HomeMy WebLinkAboutAgenda_GEDCO_06.16.2014Notice of Meeting for the
Georgetown Economic Development Corporation and the Governing Body
of the City of Georgetown
June 16, 2014 at 3:30 PM
at in the City Council Chambers, located at 101 E. 7th Street, Georgetown, Texas
The City of Georgetown is committed to compliance with the Americans with Disabilities Act (ADA).
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Legislative Regular Agenda
A Consideration and possible action to elect a Vice-President consistent with Section 3.02 of the
GEDCO Bylaws—Paul E. Brandenburg, City Manager
B Discussion and possible action regarding the Project Progress Report, including Airborn, Radix
BioSolutions, Lone Star Circle of Care, Georgetown Winery, Difusion Technologies, Inc., Texas
Life Sciences Collaboration Center (TLCC), Radix, Radiation Detection Company, Summit at the
Rivery Conference Center, and Molecular Templates, Inc.—Paul E. Brandenburg, General
Manager and Mark Thomas, Economic Development Director
C Consideration and approval of the minutes for Georgetown Economic Development Corporation
for the Regular Meeting held Monday, April 21, 2014--Hugh Brown, Secretary
D Consideration of the April 30, 2014 and May 31, 2014 Financial Reports-Micki Rundell, Finance
Manager
E Discussion and presentation on Sales Tax Analysis. – Paul Diaz, Utilities Financial Analyst, Chris
Foster, Manager of Resource Planning & Integration, and Micki Rundell, Chief Financial Officer
F Presentation, discussion and possible action regarding the Performance Agreement between
GEDCO and Georgetown Independent School District - Mark Thomas
G Action out of Executive Session.
Executive Session
In compliance with the Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes,
Annotated, the items listed below will be discussed in closed session and are subject to action in the
regular session.
H Sec. 551.071: CONSULTATION WITH ATTORNEY
Consultation with attorney regarding legal issues related to agenda items and other matters in
which the duty of the attorney to the Georgetown Economic Development Corporation under the
Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas.
I Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT
NEGOTIATIONS.
Deliberation regarding commercial or financialinformation that the corporation has received from
a business prospect that the Georgetown Economic Development Corporation seeks to have
locate, stay, orexpand in or near the territory of the City of Georgetown and with which the
Corporationis conducting economic development negotiations; and/or deliberation regardingthe
offer of a financial or other incentive to a business prospect that the Corporation seeks to have
locate, stay, or expand in or near the territory ofthe City of Georgetown.
- Citicorp
- DisperSol
- Enflite
- Grape Creek
J Section 551.072. DELIBERATIONREGARDING REAL PROPERTY
Discussion and possible action to deliberate the purchase,exchange, lease or value of real property
for purposes authorized by the Development Corporation Act which discussion in open session
would have adetrimental effect on negotiations with third persons.
CERTIFICATE OF POSTING
I, Jessica Brettle, City Secretary for the City of Georgetown, Texas, do hereby certify that this Notice
of Meeting was posted at City Hall, 113 E. 8th Street, a place readily accessible to the general public
at all times, on the ______ day of __________________, 2014, at __________, and remained so
posted for at least 72 continuous hours preceding the scheduled time of said meeting.
____________________________________
Jessica Brettle, City Secretary
City of Georgetown, Texas
SUBJECT:
Consideration and possible action to elect a Vice-President consistent with Section 3.02 of the
GEDCO Bylaws—Paul E. Brandenburg, City Manager
ITEM SUMMARY:
Pursuant to the GEDCO Bylaws, Section 3.02 Officers:
"The officers of the Corporation shall be a president, vice president, and secretary. The Board, at
each annual meeting, which shall normally occur in the first meeting in March of each year, shall
elect these officers. The Board may appoint such other officers as it deems necessary, who shall
have the authority, and shall perform such duties as from time to time may be prescribed by the
Board.”
The GEDCO Board elected officers at its April 21, 2014 Meeting. Councilmember Jerry
Hammerlun was elected as Vice President.
On June 10, 2014, the City Council confirmed the appointment of Councilmember John Hesser to
replace Councilmember Jerry Hammerlun on the GEDCO Board.
Accordingly, the Board is requested to elect a new Vice President in accordance with the Bylaws.
FINANCIAL IMPACT:
None
SUBMITTED BY:
Paul E. Brandenburg, General Manager
City of Georgetown, Texas
SUBJECT:
Discussion and possible action regarding the Project Progress Report, including Airborn, Radix
BioSolutions, Lone Star Circle of Care, Georgetown Winery, Difusion Technologies, Inc., Texas
Life Sciences Collaboration Center (TLCC), Radix, Radiation Detection Company, Summit at the
Rivery Conference Center, and Molecular Templates, Inc.—Paul E. Brandenburg, General
Manager and Mark Thomas, Economic Development Director
ITEM SUMMARY:
The GEDCO Board has requested that staff provide a project progress and status report at each
meeting on all of the active projects discussed by the Board.
ATTACHEMENT:
1. Project Status Report
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
Paul E. Brandenburg, General Manager and Mark Thomas, Economic Development Director
ATTACHMENTS:
Description Type
June 16, 2014 Update Cover Memo
Project Project Description
Approved by
Council Funded Monitoring Compliance Closed
Citigroup
$1.3 Million Grant for wastewater infrastructure disbursed in April
2008. 12/12/2006 Funded April 2008
Approved and
completed; Monitoring
Compliance No
Enflite
Company building 25,000 sq. ft. expansion and adding 75 new jobs.
Grant amount is $144,000 on completion of facility.
8/12/2008 and
3/10/2009
Funded $144,000 in
May 2009
Yes. Final Compliance
Date is in 2013. No
Airborn II
investment based on new 50,000 sq. ft. manufacturing facility at
Georgetown South Commercial Park. Amending Performance
Agreement to extend the construction completion date to May 2010.
Extension was approved by GEDCO on January 25, 2010 and the
City Council on January 26, 2010. Construction of Facility completed
May 2010. Yes.
9/25/2007and
1/26/2010
Partially Funded. First
Annual payment made
February 2011
Yes. Did not meet job
numbers in 2011 or
2012, therefore, no
payment in those years.
Final compliance 2014 No
Radix BioSolutions, Ltd.
Provide grant to assist with the work and future plans of Radix
BioSolutions at the TLCC. Agreement approved by GEDCO on
February 9, 2010 and Council approved the Agreement at its March
9, 2010 Meeting. 3/9/2010 Funded May 13, 2010
Yes, Final compliance
date is March 2018 No
Lone Star Circle of Care
Provide a grant not to exceed $387,000 for Qualified Expenditures
for future site improvements at 205 East University Avenue,
Georgetown, Texas. Loan Agreement and Promissory Note have
not been executed. Agreement approved by GEDCO on June 23,
2011 and Council approved the Agreement at its June 28, 2011
Meeting. 6/28/2011
Funded November and
December 2011
Yes, Final Compliance
Date is July 28, 2016 No.
Grape Creek
Provide a grant not to exceed $447,000 for Qualified Expenditures
for the lease/purchase and future site improvements at 101 E. 7th
Street and 614 Main Street for the operation of a winery on the
Downtown Square in Georgetown Agreement approved by GEDCO
on July 25, 2011 and Council approved the Agreement at its August
23, 2011 Meeting. Fourth Amended Performance Agreement, Lease
Agreement, and Promissory Note was approved by GEDCO on
August 20, 2012 and by the City Council on August 28, 2012. TIRZ
Agreement for $60,000 approved by City Council on 9-11-12. 8/23/2011 Funded
Yes, Final Compliance is
March 2018.No
GEDCO PROJECT UPDATE AND STATUS REPORT
June 16, 2014
Project Project Description
Approved by
Council Funded Monitoring Compliance Closed
GEDCO PROJECT UPDATE AND STATUS REPORT
June 16, 2014
Georgetown Winery
Provide a grant not to exceed $70,000 for Qualified Expenditures
described as equipment for wine production and an agreement to
maintain and operate the existing winery in Georgetown. Agreement
approved by GEDCO on July 25, 2011 and Council approved the
Agreement at its August 23, 2011 Meeting. 8/23/2011 Funded
Yes, Final Compliance
Date is June 30, 2016 No
DiFusiion Technologies
Provide a grant not to exceed $92,000 for Qualified Expenditures
described as an ICP Spectrometer to be purchased by TLCC to be
leased to Dufusion under the terms of the Performance Agreement.
Qualified Expenditure to remain the Property of GEDCO unless
transferred to DiFusion per the terms of the Performance
Agreement.Agreement approved by GEDCO on October 17, 2011
and November 21, 2011 and Council approved the Agreement at its
December 13, 2011 Meeting. Performance Agreement and Lease
Agreement have not been executed. The GEDCO Board approved
additional requirements for the Performance Agreement on May 21,
2012. Approved by Council on July 10, 2012.7/10/2012 Funded
Yes, Final Compliance
Date is July 31, 2015 No
Georgetown Indpendent School District
Provided a grant not to exceed $200,560 for the purchase of
qualified expenditures related to the equipment for the Engineering
Program and Laboratories at Georgetown and East View High
Schools. GISD will offer the MSSC Certifications, implement a Job
Placement Program, provide and annual report and annual tour of
the facilities to the GEDCO Board. Agreement was approved by
GEDCO on September 17, 2012 and the City Council on September
25, 2012. The GEDCO Board approved the GISD request to amend
the Performance Agreement to allow the purchase different
equipment than outlined in the original agreement onNovember 18,
2013.9/17/2012 Partially Funded.
Yes. Final Compliance
based on life of
equipment. No
Texas Life Sciences Collaboration Center
Provide a grant of $150,000 for the maintenance of the TLCC.
Performance Agreement approved by GEDCO on July 15, 2013. 7/16/2013 Funded October 2013
Yes. Final Compliance
September 2014 No.
The Rivery at Summit Conference Center
Provide a grant not to exceed $4.5 Million for Public Infrastructure
Improvements. Approved by the GEDCO Board on November 18,
2013. Approved by the City Council on December 10, 2013. 12/10/2013 Not Funded
Yes.Construction
Deadline is September
30, 2015. No.
Molecular Templates, Inc.
Provide a grant of $69,000 for the retention of jobs and retaining its
headquarters at the TLCC. Approved by the City Council on
December 10, 2013 and approved by the GEDCO Board on
December 16, 2013. 12/10/2013 Not Funded
Yes. Final Compliance
December 31, 2014 No.
TASUS Texas Corporation
Provide a grant of $67,500 for job creation related to expansion of
manufacturing facilities. Approved by the City Council on February
25, 2014 and approved by the GEDCO Board on February 17, 2014 2/25/2014 Not Funded
Yes. Final Compliance
May 31, 2017 No.
Project Project Description
Approved by
Council Funded
Monitoring
Compliance Closed
Vista Solutions
Provided up to a $30,000 grant for the creation of high
wage jobs and capital investment. Software development
company locating on the square. 4/25/2006 Funded $21,000 April 2008 No. Yes
Orthopeutics
Provided up to $18,000 grant to company for creation of
new jobs and capital investment. 8/12/2008
Yes. Funded up to $18,000
March 2009 No Yes
Airborn I
Provide a $300,000 grant for job creation and retention
and capital investment based on new 50,000 sq. ft.
manufacturing facility at Longhorn Junction. 12/11/2007 Not funded No Yes
Loading Dock
Water line infrastructure project to provide fire rate water
flow to the Loading Dock restaurant and all buildings
along Austin Avenue between 6th Street and 7th. 12/12/2006
Funded up to $100,000
Spring 2007 No Yes
Quantum Logic Devices
Provide Grant to assist the company in its efforts to build
a test product for diagnostic clincical trials. GEDCO did
not approve request.No Not funded No Yes
Kenny Nguyen DBA The Beauty Escape
Salon (Gardens Building)
Provide grant to relocate transformers to downtown
building. 5/13/2008 Funded $10,750 June 2008 No Yes
CLOSED GEDCO PROJECTS
Project Project Description
Approved by
Council Funded
Monitoring
Compliance Closed
CLOSED GEDCO PROJECTS
IntraLink-Spine, Inc.
Provide grant to assist with the work and future plans of
IntraLink-Spine, Inc, at the TLCC. Agreement approved
by GEDCO on June 3, 2010 and Council approved the
Agreement at its June 8, 2010 Meeting. The Agreement
was not funded. Most of the company's operations are
moving to Kentucky. 6/8/2010 Not Funded No Yes
Amante
Provide grant to fund grease trap improvements in alley in
an amount not to exceed $25,968.40. Amante's closed its
operations June 9, 2010.There is now a working grease
trap that will benefit the next tenant. 8/25/2009
Funded $25,968.40 in
September 2009 No (business closed) Yes
Hope Lumber Company nka Pro-Build
South, LLC
Distributor of building materials. Company expanded rail
line which required relocation of electric transformers. 4A
funds provided $18,410 to offset cost of relocating
electric transformers. 11/14/2006 Funded $18,410 March 2007 No Yes
Ringdale, Inc.
Provide grant for $20,000 to expand its current facility to
8,500 sq. ft. and hire at least 10 new employees to work
on the LED technology. Agreement approved by GEDCO
on February 9, 2010 and Council approved the
Agreement at its March 9, 2010 Meeting
3/9/2010 Funded $20,000 April 8, 2010 No Yes
Project Project Description
Approved by
Council Funded
Monitoring
Compliance Closed
CLOSED GEDCO PROJECTS
McIntosh Holdings, LLC
Provide grant to relocate transformer to office building.
GEDCO approved conditional Performance Agreement on
December 21, 2009. Staff has requested back up
invoices to verify electrical work performed and will bring
agreement back to GEDCO once that is received from
the Applicant. Legal worked with Applicant's Attorney to
negotiate a settlement agreeement. No Not funded No Yes
Texas Outdoor Power Equipment
Funded extension of water and wasterwater infrastructure
based on the construction of a new 70,000 sq. ft.
warehouse. 5/27/2008
Funded $160,800 March
2009 No Yes
Texas Life Sciences Collaboration Center
Provide a grant not to exceed $150,000 for the
maintenance of the TLCC. Performance Agreement
approved by GEDCO on November 1, 2010 and the City
Council on December 14, 2010. 12/14/2010 Funded No Yes
City of Georgetown, Texas
SUBJECT:
Consideration and approval of the minutes for Georgetown Economic Development Corporation
for the Regular Meeting held Monday, April 21, 2014--Hugh Brown, Secretary
ITEM SUMMARY:
ATTACHMENTS:
1. Draft Minutes for the Regular Meeting held Monday, April 21, 2014
FINANCIAL IMPACT:
None
SUBMITTED BY:
Hugh Brown, Secretary
ATTACHMENTS:
Description Type
DRAFT Minutes - April 21, 2014 Backup Material
GEDCO Minutes
April 21, 2014
Page 1 of 3
Minutes of the Meeting of the
Georgetown Economic Development Corporation
And the Governing Body of the
City of Georgetown, Texas
April 21, 2014
The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on
Monday, April 21, 2014.
Members Present:
Steve Fought, Kevin Kelly, Hugh Brown, Patty Eason, Charles Carter, Walt Barkalow, Jerry
Hammerlun
Members Absent:
Staff Present: Paul E. Brandenburg, General Manager, Mark Thomas, Economic Development
Director, Shirley Rinn, Executive Assistant, Micki Rundell, Finance Manager, Laurie Brewer,
Assistant City Manager, Jodi Levi, Senior Accountant, Bridget Chapman, City Attorney,
Conchita Gusman, Economic Development Program Manager
MINUTES
Call to Order at 03:30 PM
A. Consideration and possible action to elect officers to include President, Vice-President and
Secretary consistent with Section 3.02 of the GEDCO Bylaws.—Paul E. Brandenburg, General
Manager
Motion by Fought, second by Barkalow to keep the same officers as the past year:
President: Patty Eason
Vice President: Jerry Hammerlun
Secretary: Hugh Brown
There was additional discussion regarding whether or not the Bylaws needed to be changed to have
Officer Elections in June after any new Council members are appointed to the Board. Staff is asked
to consult with Legal Department about this proposed change to the Bylaws.
(Approved 7-0)
B. Review and possible action related to the Day and Time of GEDCO Meetings--Paul E. Brandenburg,
General Manager
Motion by Hammerlun, second by Brown to keep meeting dates and times the same. (Approved 7-0)
GEDCO Minutes
April 21, 2014
Page 2 of 3
C. Discussion and possible action regarding the Project Progress Report, including Citicorp,
Airborn, Enflite, Radix BioSolutions, Lone Star Circle of Care, Grape Creek Winery,
Georgetown Winery, Difusion Technologies, Inc., Georgetown Independent School District
(GISD), Texas Life Sciences Collaboration Center (TLCC), Radiation Detection Company,
Summit at the Rivery Conference Center, Molecular Templates, Inc., and TASUS Texas
Corporation—Paul E. Brandenburg, General Manager and Mark Thomas, Economic
Development Director
Thomas provided an overview to the Board.
He told the Board that the Economic Development Project Manager Conchita Gusman is
taking on the Compliance of the Performance Agreements.
He also provided an update with regard to Enflite and that it has been determined that
Enlfite will need to payback funds GEDCO due to a shortfall on jobs.
He also let them know that Radix is also another company that has paid GEDCO back for
front ended performance agreements due to a shortfall in jobs.
D. Consideration and approval of the minutes from the Meeting held Tuesday, February 17, 2014,
Hugh Brown, Secretary
Motion by Brown, second by Barkalow to approve the minutes from the Meeting held Tuesday,
February 17, 2014. (Approved 7-0)
E. Consideration of the February 28, 2014 and March 31, 2014 Financial Reports--Micki Rundell,
Finance Manager
Rundell told the Board that GEDCO received $36,000 from Radix.
She also provided a more detailed sales tax report and also provided a brief overview of the current
sales tax trends. She reiterated that the sales tax collections are two months in arrears.
There was also a question and discussion about issuance of bonds.
Recessed into Executive Session at 3:44 p.m.
GEDCO Minutes
April 21, 2014
Page 3 of 3
EXECUTIVE SESSION
The Georgetown Economic Development Corporation will meet in closed executive session as allowed by Texas
Open Meetings Act (Texas Government Code)
G. Section 551.072. DELIBERATION REGARDING REAL PROPERTY
Discussion and possible action to deliberate the purchase, exchange, lease or value of real property for
purposes authorized by the Development Corporation Act which discussion in open session would have a
detrimental effect on negotiations with third persons.
H. Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT NEGOTIATIONS.
Deliberation regarding commercial or financial information that the corporation has received from a business
prospect that the Georgetown Economic Development Corporation seeks to have locate, stay, or expand in or
near the territory of the City of Georgetown and with which the Corporation is conducting economic
development negotiations; and/or deliberation regarding the offer of a financial or other incentive to a
business prospect that the Corporation seeks to have locate, stay, or expand in or near the territory of the City
of Georgetown.
-Dispersol
-Plymouth Canton
I. Section 551.071. CONSULTATION WITH ATTORNEY
Consultation with attorney regarding legal issues related to agenda items and other matters in which the duty
of the attorney to the Georgetown Economic Development Corporation under the Texas Disciplinary Rules of
Professional Conduct of the State Bar of Texas.
Reconvened to Regular Session at 4:12 p.m.
J. Action out of Executive Session.
Motion by Fought second by Brown to direct staff to negotiate a Performance Agreement
with Dispersol per the terms discussed in Executive Session. (Approved 7-0)
There were no items discussed in Executive Session.
ADJOURNMENT
The Meeting was adjourned at 4:13 p.m.
Attest:
______________________________ ___________________________________
Hugh Brown, Corporate Secretary Patty Eason, President
City of Georgetown, Texas
SUBJECT:
Consideration of the April 30, 2014 and May 31, 2014 Financial Reports-Micki Rundell, Finance
Manager
ITEM SUMMARY:
See Attachment
FINANCIAL IMPACT:
None
SUBMITTED BY:
Micki Rundell, Finance Manager
ATTACHMENTS:
Description Type
Financials Cover Memo
City of Georgetown, Texas
SUBJECT:
Discussion and presentation on Sales Tax Analysis. – Paul Diaz, Utilities Financial Analyst, Chris
Foster, Manager of Resource Planning & Integration, and Micki Rundell, Chief Financial Officer
ITEM SUMMARY:
This presentation will provide information regarding the make-up of the City's sales tax base,
review sector trends, evaluate key economic indicators and forecast sales tax revenue for FY2014-
2015.
FINANCIAL IMPACT:
None
SUBMITTED BY:
City of Georgetown, Texas
SUBJECT:
Presentation, discussion and possible action regarding the Performance Agreement between
GEDCO and Georgetown Independent School District - Mark Thomas
ITEM SUMMARY:
At its September 17, 2012 meeting GEDCO approved a Performance Agreement between GEDCO
and GISD for a grant to purchase equipment for the Engineering Laboratories at Georgetown and
Eastview High Schools in an amount not to exceed $200,560. The equipment is intended to help
the GISD engineering program prepare students to become a part of the advanced technical
workforce and meet the needs of Georgetown employers. The Agreement between GEDCO and
GISD requires the GISD engineering department to present and update GEDCO on its program. In
May, GISD provided a tour of the Engineering Lab to GEDCO and members of the Georgetown
Manufacturers' Alliance. Mark Thomas and GEDCO member Steve Fought attended the tour and
will provide information.
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
Mark Thomas, Economic Development Director
City of Georgetown, Texas
SUBJECT:
Action out of Executive Session.
ITEM SUMMARY:
FINANCIAL IMPACT:
None
SUBMITTED BY:
Bridget Chapman, City Attorney
City of Georgetown, Texas
SUBJECT:
Sec. 551.071: CONSULTATION WITH ATTORNEY
Consultation with attorney regarding legal issues related to agenda items and other matters in
which the duty of the attorney to the Georgetown Economic Development Corporation under the
Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas.
ITEM SUMMARY:
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
City of Georgetown, Texas
SUBJECT:
Section 551.087. DELIBERATION REGARDING ECONOMIC DEVELOPMENT
NEGOTIATIONS.
Deliberation regarding commercial or financialinformation that the corporation has received from
a business prospect that the Georgetown Economic Development Corporation seeks to have locate,
stay, orexpand in or near the territory of the City of Georgetown and with which the Corporationis
conducting economic development negotiations; and/or deliberation regardingthe offer of a
financial or other incentive to a business prospect that the Corporation seeks to have locate, stay,
or expand in or near the territory ofthe City of Georgetown.
- Citicorp
- DisperSol
- Enflite
- Grape Creek
ITEM SUMMARY:
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
Bridget Chapman, City Attorney
City of Georgetown, Texas
SUBJECT:
Section 551.072. DELIBERATIONREGARDING REAL PROPERTY
Discussion and possible action to deliberate the purchase,exchange, lease or value of real property
for purposes authorized by the Development Corporation Act which discussion in open session
would have adetrimental effect on negotiations with third persons.
ITEM SUMMARY:
FINANCIAL IMPACT:
n/a
SUBMITTED BY:
Bridget Chapman, City Attorney