HomeMy WebLinkAboutAgenda_GEDCO_08.17.2015Notice of Meeting for the
Georgetown Economic Development Corporation And the Governing Body
of the City of Georgetown
August 17, 2015 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).
If you require assistance in participating at a public meeting due to a disability, as defined under the
ADA, reasonable assistance, adaptations, or accommodations will be provided upon request. Please
contact the City at least four (4) days prior to the scheduled meeting date, at (512) 930-3652 or City
Hall at 113 East 8th Street for additional information; TTY users route through Relay Texas at 711.
Legislative Regular Agenda
A Consideration and approval of the minutes for Georgetown Economic Development Corporation
for the Regular Meeting held Monday, June 1, 2015--Kevin Kelly, Secretary
B Presentation regarding sales tax forecasting, FY2015 year-end projections and the FY2016 sales
tax budget projections.
C Consideration of the May 31, June 30 and July 31, 2015 Financial Reports-Micki Rundell, Finance
Manager
D Consideration and possible action to approve the GEDCO 2015/16 budget - Micki Rundell,
Finance Manager
E Consideration and possible action regarding the Administrative Services Contract between the
City of Georgetown and the Georgetown Economic Development Corporation - Micki Rundell,
Finance Manager
F Discussion and possible action regarding the Project Progress Report—Mark Thomas, Economic
Development Director
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 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.
I 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
Page 1 of 49
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.
J 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.
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 __________________, 2015, at __________, and remained so
posted for at least 72 continuous hours preceding the scheduled time of said meeting.
____________________________________
Jessica Brettle, City Secretary
Page 2 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Consideration and approval of the minutes for Georgetown Economic Development Corporation
for the Regular Meeting held Monday, June 1, 2015--Kevin Kelly, Secretary
ITEM SUMMARY:
ATTACHMENTS:
1. Draft Minutes for the Regular Meeting held Monday, June 1, 2015
FINANCIAL IMPACT:
None
SUBMITTED BY:
Kevin Kelly, Corporate Secretary
ATTACHMENTS:
Description Type
June 1 Cover Memo
Page 3 of 49
GEDCO Minutes
June 1, 2015
Page 1 of 3
Minutes of the Meeting of the
Georgetown Economic Development Corporation
And the Governing Body of the
City of Georgetown, Texas
June 1, 2015
The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on
Monday, April 20, 2015.
Members Present:
Steve Fought, Hugh Brown, Rachael Jonrowe, Kevin Kelly, Jeff Parker
Members Absent:
Bill Mateja
Staff Present:
David Morgan, General Manager; Jim Briggs, Assistant City Manager; Mark Thomas,
Economic Development Director; Laurie Brewer, Assistant City Manager; Paul Diaz, Finance;
Lisa Hanes, Senior Accountant; Bridget Chapman, City Attorney; Tina Dunbar, Administrative
Assistant; Conchita Gusman, Program Manager
MINUTES
Call to Order at 03:31PM
A. No Executive Session, therefore, no action.
B. Consideration and approval of the minutes for Georgetown Economic Development
Corporation for the Regular Meeting held Monday, April 20, 2015--Hugh Brown,
Secretary
Motion by Brown, second by Kelly to approve the Georgetown Economic Development
Corporation minutes for the Regular Meeting held Monday, April 20, 2015.
(Approved
C. Consideration of the April 30, 2015 Financial Reports-Micki Rundell, Finance Manager
Lisa Hanes explained the financial reports and she and Mark Thomas answered
questions.
Accepted by the Board
D. Presentation of the 2015-2016 Economic Development Department Budget - Mark Thomas
Page 4 of 49
GEDCO Minutes
June 1, 2015
Page 2 of 3
Mark Thomas went through the budget presentation that was previously presented to
Council plus one slide regarding retail that was added. Discussion was held regarding
the marketing program, targeted retail, and defining community assets and areas.
E. Discussion and possible action regarding the Project Progress Report, including Radix,
DisperSol, Airborn, Lone Star Circle of Care, Georgetown Winery, Grape Creek Winery,
Difusion Technologies, Inc., Texas Life Sciences Collaboration Center (TLCC), Radiation
Detection Company, Summit at the Rivery Conference Center, Molecular Templates,
Inc., and TASUS Texas Corporation—Mark Thomas, Economic Development Director
Mark Thomas provided a summary of activity on several of the projects. Mark Thomas
updated the board on recent activity and answered questions regarding compliance
status of projects.
F. Consideration and possible action to nominate and elect a President, Vice-President, and
Secretary consistent with Section 3.02 of the GEDCO Bylaws— Mark Thomas, Director
of Economic Development
Morgan called for nominations and election of officers.
Motion by Jonrowe, second by Brown to accept the nomination of and elect Steve
Fought to the office of President of the Corporation. (Approved
Motion by Jonrowe, second by Kelly to accept the nomination of and elect Hugh Brown
to the office of Vice President of the Corporation. (Approved
Motion by Fought, second by Parker to accept the nomination of and elect to the office
of Secretary of the Corporation. (Approved
Adjourn at 4:14
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.
No Executive Session
Page 5 of 49
GEDCO Minutes
June 1, 2015
Page 3 of 3
The meeting was adjourned at 4:30PM
Attest:
______________________________ ___________________________________
Hugh Brown, Corporate Secretary Patty Eason, President
Page 6 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Presentation regarding sales tax forecasting, FY2015 year-end projections and the FY2016 sales
tax budget projections.
ITEM SUMMARY:
Paul Diaz, Budget Manager for the City, will present information on sales tax forecasting and
Georgetown sales tax projections.
FINANCIAL IMPACT:
none
SUBMITTED BY:
Paul Diaz, Budget Manager
ATTACHMENTS:
Description Type
Sales Tax Analysis Cover Memo
Page 7 of 49
Sales Tax Analysis
Page 8 of 49
Sales Tax Projection Process
•Monthly Report from the State
–Individual Companies –about 15,000 each month
•Sales Tax ID
•Date of Collections
•Amount
•NAICS Code: North American Industry Classification
System
–453998
»45: Retail
»453: General Merchandise
Page 9 of 49
Sales Tax Projection Process
Wal ‐Mart,
Kohl’s, Target,
Old Navy
General
Merchandise
Subsector
Retail Sector
Page 10 of 49
Sales Tax by Sector
Page 11 of 49
Georgetown Data
•Current Year: Correlation
•Variance analysis
•Year ‐end projections
Page 12 of 49
Georgetown Data
•Next Year: Trend Analysis
–Regression & multi‐year trends by sector.
Page 13 of 49
Statewide Economy
•Regional Cities: Austin MSA
•Top Twenty Cities
•All Texas Cities
Page 14 of 49
FY2015 Projection
•Year end projection totals $21 M.
–Less than budget
–Directly tied to large, one‐time in nature
occurrences last year.
–Year to date, the Retail, Food and Information
sectors are up nearly 10%.
Page 15 of 49
FY2016 Budget
•Overall budgeted increased of 2.5%
–Slowing Texas economy
–No new direct retail generators
–Hedges against highly volatile sectors
Page 16 of 49
Questions
Page 17 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Consideration of the May 31, June 30 and July 31, 2015 Financial Reports-Micki Rundell, Finance
Manager
ITEM SUMMARY:
See Attachment
FINANCIAL IMPACT:
None
SUBMITTED BY:
Micki Rundell, Finance Manager
ATTACHMENTS:
Description Type
financial Cover Memo
Page 18 of 49
Page 19 of 49
Page 20 of 49
Page 21 of 49
Page 22 of 49
Page 23 of 49
Page 24 of 49
Page 25 of 49
Page 26 of 49
Page 27 of 49
Page 28 of 49
Page 29 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Consideration and possible action to approve the GEDCO 2015/16 budget - Micki Rundell,
Finance Manager
ITEM SUMMARY:
See Attachment
FINANCIAL IMPACT:
See Attachment
SUBMITTED BY:
Micki Rundell, Finance Manager
ATTACHMENTS:
Description Type
15/15 Budget Cover Memo
Page 30 of 49
Page 31 of 49
Page 32 of 49
Page 33 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Consideration and possible action regarding the Administrative Services Contract between the
City of Georgetown and the Georgetown Economic Development Corporation - Micki Rundell,
Finance Manager
ITEM SUMMARY:
Please see attached
FINANCIAL IMPACT:
See Attachment for Budget Details
SUBMITTED BY:
Micki Rundell, Finance Manager
ATTACHMENTS:
Description Type
15/16 Admin Services Cover Memo
Page 34 of 49
Page 35 of 49
Page 36 of 49
Page 37 of 49
Page 38 of 49
Page 39 of 49
Page 40 of 49
Page 41 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Discussion and possible action regarding the Project Progress Report—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:
Mark Thomas, Economic Development Director
ATTACHMENTS:
Description Type
8-17 Cover Memo
Page 42 of 49
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
Airborn II
Provided a $300,000 grant for job creation and retention and capital
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. They didn't meet the number 490 for the final year of the
agreement, therfore no incentive was earned or paid. Their
headcount in Georgetown as of 3/12/15 is 460.
9/25/2007and
1/26/2010
Partially Funded. First
Annual payment made
February 2011
Yes. Final compliance
date is 12/31/2014.
yes (pending
formal letter to
company)
Radix BioSolutions, Ltd.
Provided 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. They paid back $47K on 3/15/15.3/9/2010 Funded May 13, 2010
Yes, Final compliance
date is March 2018 No
Lone Star Circle of Care
Provided 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
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
GEDCO PROJECT UPDATE AND STATUS REPORT
August 17, 2015
Page 43 of 49
Project Project Description
Approved by
Council Funded Monitoring Compliance Closed
GEDCO PROJECT UPDATE AND STATUS REPORT
August 17, 2015
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 on November 18,
2013.9/17/2012 Partially Funded.
Yes. Final Compliance
based on life of
equipment. No
Texas Life Sciences Collaboration Center
(3)
Provide a grant of $150,000 for the maintenance of the TLCC.
Performance Agreement approved by GEDCO on 10/17/14. 11/11/2014 Funded Dec. 2014
Yes. Final Compliance
October 31, 2015 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.
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.
Radiation Detection Corporation
Provide a grant of $320,000 for job creation related to the relocation
of the corporate offices to Georgetown. Approved by City Council
and GEDCO on July 23, 2013. 7/23/2013 Funded
Yes. Final Compliance
December 31, 2021 No
Page 44 of 49
Project Project Description
Approved by
Council Funded Monitoring Compliance Closed
GEDCO PROJECT UPDATE AND STATUS REPORT
August 17, 2015
DisperSol
Provide a grant of $250,000 for job creation related to expansion of
manufacturing facilities. Approved by the GEDCO Board on August
18, 2014. Company earned $50K (= 10 eligible positions at
$10/job). Check delivered 4/17/15 to company. 10/16/2014 Partially Funded
Yes. Final Compliance
February 15, 2019 No.
Page 45 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
Action out of Executive Session.
ITEM SUMMARY:
FINANCIAL IMPACT:
None
SUBMITTED BY:
Bridget Chapman, City Attorney
Page 46 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
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
Page 47 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
SUBJECT:
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.
ITEM SUMMARY:
FINANCIAL IMPACT:
N/A
SUBMITTED BY:
Bridget Chapman, City Attorney
Page 48 of 49
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 17, 2015
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:
Bridget Chapman, City Attorney
Page 49 of 49
