HomeMy WebLinkAboutAgenda_GEDCO_08.19.2019Notice of Meeting for the
Georgetown E conomic Dev elopment Corporation
of the City of Georgetown
August 19, 2019 at 4:00 P M
at 808 Martin L uther K ing Jr Street, Georgetown, T X 78626
T he C ity of G eorgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you
require as s is tance in partic ipating at a public meeting due to a disability, as defined under the ADA, reas onable
as s is tance, adaptations , or ac commodations will be provided upon request. P leas e c ontact the C ity S ec retary's
O ffic e, at leas t three (3) days prior to the sc heduled meeting date, at (512) 930-3652 or C ity Hall at 808 Martin
Luther King Jr. S treet, G eorgetown, T X 78626 for additional information; T T Y users route through R elay
Texas at 711.
Regular Session
(T his R egular S es s ion may, at any time, be rec es s ed to c onvene an Exec utive S es s ion for any purpose
authorized by the O pen Meetings Act, Texas G overnment C ode 551.)
A C ons ideration and approval of the minutes for the G eorgetown Ec onomic Development C orporation
Meeting held on July 10, 2019--Hugh Brown, S ecretary
B C ons ideration of the July 31, 2019 financ ial report.--Leigh Wallac e, F inance Manager, G EDC O , F inance
Direc tor, C O G .
C Disc ussion and possible action regarding the S taff R eport – David Morgan, C ity Manager
• P erformance Agreement R eport
• Activity R eport
• O ther S taff Items
D Ac tion out of Executive S ession
E xecutiv e Session
In c omplianc e with the O pen Meetings Ac t, C hapter 551, G overnment C ode, Vernon's Texas C odes,
Annotated, the items listed below will be dis cus s ed in c los ed session and are s ubjec t to action in the regular
s es s ion.
E Sec. 551.071: C ON S ULTAT ION WIT H AT TOR N E Y
C ons ultation with attorney regarding legal is s ues related to agenda items and other matters in whic h (1)
when the governmental body s eeks the advice of its attorney about: (A) pending or c ontemplated litigation;
or (B) a settlement offer; or (2) on a matter in whic h the duty of the attorney to the governmental body
under the Texas Dis ciplinary R ules of P rofessional C onduc t of the S tate Bar of Texas c learly conflicts
with this chapter - C harlie Mc Nabb, C ity Attorney
F Section 551.072. D E LIB E R AT ION R E G AR D IN G R E AL P R O P E RT Y
Disc ussion and possible action to deliberate the purchas e,exchange, leas e or value of real property for
purpos es authorized by the Development C orporation Act whic h dis cus s ion in open s es s ion would have a
detrimental effec t on negotiations with third persons .
G Section 551.087. D E LIB E R AT ION R E G AR D IN G E C ON O MIC D E VE LOP ME N T
N E G O T IAT IO N S.
Deliberation regarding commerc ial or financial information that the c orporation has rec eived from a
Page 1 of 40
bus iness pros pect that the G eorgetown Economic Development C orporation seeks to have locate, s tay,
or expand in or near the territory of the C ity of G eorgetown and with whic h the C orporation is c onducting
ec onomic development negotiations ; and/or deliberation regarding the offer of a financial or other inc entive
to a busines s prospec t that the C orporation s eeks to have loc ate, stay, or expand in or near the territory of
the C ity of G eorgetown.
• P rojec t C at
• P rojec t F is h
• P rojec t Wafer
Adjournment
Adjourn meeting
Ce rtificate of Posting
I, R obyn Densmore, C ity S ecretary for the C ity of G eorgetown, Texas, do hereby c ertify that this Notic e of
Meeting was posted at C ity Hall, 808 Martin Luther King Jr. S treet, G eorgetown, T X 78626, a plac e readily
acc es s ible to the general public as required by law, on the _____ day of _________________, 2019, at
__________, and remained s o posted for at leas t 72 c ontinuous hours prec eding the s cheduled time of said
meeting.
__________________________________
R obyn Dens more, C ity S ec retary
Page 2 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
C onsideration and approval of the minutes for the G eorgetown Economic Development C orporation
Meeting held on July 10, 2019--Hugh Brown, S ec retary
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
Amy Mertink, Board Liais on
AT TAC H ME N T S:
Description Type
July Minutes Backup Material
Page 3 of 40
GEDCO Minutes
July 10, 2019
Page 1 of 2
Minutes of the Meeting of the
Georgetown Economic Development Corporation
City of Georgetown, Texas
July 10, 2019
The Georgetown Economic Development Corporation of the City of Georgetown, Texas, met on Wednesday July 10, 2019.
Members
Present: Steve Bohnenkamp, Steve Fought, Kevin Cummins, Hugh Brown, Valerie Nicholson, Ron Garland
Members
Absent: Tom Menke
Staff
Present:
David Morgan, City Manager; Laurie Brewer, Assistant City Manager; Michaela Dollar, Director of Economic
Development; Conchita Gusman, Business Retention and Expansion Program Manager; Leigh Wallace,
Finance Director; Debbie Mitchell, Sr Accountant; Jennifer Schoenradt, Special Events & Marketing
Coordinator; Amy Janecka, Finance Admin; Nathan Parras, Budget Analyst
Guest
Present: Justin Drummons, GISD Extern
MINUTES
Call to Order at 4:31 pm
A. Consideration and approval of the minutes for the Georgetown Economic Development Corporation
Meeting held on Monday March 18, 2019--Hugh Brown, Secretary
Motion to approve the minutes by Ron Garland, 2nd by Steve Fought. Approved 5-0 (Valerie Nicholson absent for the
vote).
B. Presentation of the Georgetown Economic Development Corporation March, April, May and June 2019
financial reports and discussion regarding the Fiscal Year 2018 external audit and Comprehensive Annual
Financial Report for the City and GEDCO-- Leigh Wallace, Finance Manager, GEDCO, Finance Director,
COG.
Leigh Wallace presented the financial reports. She also showed and reviewed the audit report from Weaver and
explained that Weaver gave a clean report. No voting needed.
C. Sales Tax Presentation--Paul Diaz, Budget Manager
Nathan Parras presented on the sales tax methodology and sales tax projections. He showed the data that is collected,
tools used to forecast, and the multilevel analysis that is done on the data. No voting needed.
D. Discussion and possible action to recommend the FY2020 proposed GEDCO budget--Paul Diaz, Budget
Manager
Nathan Parras reviewed the GEDCO budget process and showed the detail on the revenues and expenses for the
FY2020 proposed budget. Motion to recommend by Ron Garland, 2nd by Kevin Cummins, approved 6-0.
E. Discussion and possible action regarding the Staff Report – David Morgan, City Manager
• Performance Agreement Report
• Activity Report
• Other Staff Items
David Morgan reviewed the performance agreement report. Michaela Dollar reviewed the activity report. No voting
needed.
Page 4 of 40
GEDCO Minutes
July 10, 2019
Page 2 of 2
-----GEDCO entered into Executive Session at 6:05 pm and returned to Regular Session at 6:17 pm-----
F. Action out of Executive Session.
Motion to approve incentives for Project Big C as discussed in executive session by Hugh Brown, 2nd by Ron Garland,
approved 6-0.
Meeting adjourned at 6:18
Attest:
Hugh Brown, Secretary Steve Bohnenkamp, President
Page 5 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
C onsideration of the July 31, 2019 financial report.--Leigh Wallace, F inanc e Manager, G EDC O , F inanc e
Director, C O G .
IT E M S UMMARY:
T he c orporate bylaws require the F inance Manager to pres ent the monthly financ ial reports to the Board.
Included in these reports will be:
•F inanc ial reports
•S ales Tax revenues
•Monthly expenditures
•Any other relevant financ ial information
S ales tax revenue is two months in arrears ; therefore the revenues reflect only the amount rec eived, not
actually earned, as of the report date. A report on payments made to vendors in the month of July is also
inc luded.
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
Leigh Wallace, F inanc e Direc tor
AT TAC H ME N T S:
Description Type
July Financials Backup Material
Page 6 of 40
GEDCO Board Meeting Date: August 19, 2019 Item No. __________
GEORGETOWN ECONOMIC DEVELOPMENT CORPORATION
AGENDA ITEM COVER SHEET
_________________________________________________________________
SUBJECT:
Consideration of the July 31, 2019 financial report. Leigh Wallace, Finance Manager,
GEDCO, Finance Director, COG.
_________________________________________________________________
ITEM SUMMARY:
The corporate bylaws require the Finance Manager to present the monthly financial
reports to the Board. Included in these reports will be:
•Financial reports
•Sales Tax revenues
•Monthly expenditures
•Any other relevant financial information
Sales tax revenue is two months in arrears; therefore the revenues reflect only the amount
received, not actually earned, as of the report date. A report on payments made to
vendors in the month of July is also included.
ATTACHMENTS:
Monthly Financial Report
Sales Tax History
SUBMITTED BY:
Leigh Wallace
Finance Manager, GEDCO
Finance Director, COG
Page 7 of 40
APPROVED BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
BEGINNING FUND BALANCE 6,853,073 6,853,073 6,972,637
OPERATING REVENUES
Interest 40,300 11,932 144,269 119,000
Sales Tax 1,768,275 147,782 1,212,754 1,859,375
OPERATING REVENUES Total 1,808,575 159,713 1,357,023 1,978,375
OPERATING EXPENDITURES
Joint Services Allocation 238,622 - 178,967 238,622
Miscellaneous Expense 50 - - 50
Promotional & Marketing Program 100,000 - 73,843 100,000
Special Services 30,000 705 - 30,000
Travel & Training 500 - - -
OPERATING EXPENDITURES Total 369,172 705 252,810 368,672
TOTAL NET OPERATIONS 1,439,403 159,008 1,104,213 1,609,703
NON-OPERATING EXPENDITURES
Principal Reduction 80,568 - - 80,568
Debt Service 205,069 - 42,534 205,069
Interest Expense 23,157 - - 23,157
Atmos Energy 146,096 - - 225,000
DisperSol 50,000 - 30,000 30,000
Economic Development Projects -Undetermined 7,000,517 - - -
Holt Cat 185,000 - - -
Radiation Detection Company 150,000 - - -
NON-OPERATING EXPENDITURES Total 7,840,407 - 72,534 563,794
TOTAL NET NON-OPERATIONS (7,840,407) - (72,534) (563,794)
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL
REQUIREMENTS (6,401,004) 159,008 1,031,679 1,045,909
ENDING FUND BALANCE 452,069 7,884,752 8,018,546
Georgetown Economic Development Corporation Fund
Year-End Projection to Approved: Jul FY2019
Page 8 of 40
As of July 31, 2019
Georgetown Economic Development Corporation
Sales Tax History
Variance % Var.
MONTH [a]2014-15 2015-16 2016-17 2017-18 2018-19 To FY 17 To FY 17
October 98,094$ 106,050$ 114,748$ 124,478$ 159,033$ 34,555$ 27.76%
November 102,891 112,766 125,214 127,063 135,079 8,016$ 6.31%
December 143,774 148,200 160,542 162,940 171,066 8,126$ 4.99%
January 87,695 96,563 110,006 115,291 126,985 11,694$ 10.14%
February 89,107 108,117 105,556 133,797 134,421 624$ 0.47%
March 123,951 133,492 137,301 158,112 168,168 10,056$ 6.36%
April 102,671 108,977 117,261 135,036 155,962 20,926$ 15.50%
May 95,699 120,418 125,188 148,761 159,422 10,661$ 7.17%
June 130,589 142,767 151,484 157,313
July 108,994 119,534 154,889 143,616
August 102,888 132,582 122,847 142,154
September 125,201 135,378 143,897 154,864
Total 1,311,554$ 1,464,844$ 1,568,933$ 1,703,425$ 1,210,136$
YTD 843,882 934,583 995,816 1,105,478 1,210,136 104,658 9.47%[b]
Notes:
[a]Sales tax revenue from the State Comptroller is received two months in arrears.
[b]YTD compared through current month.
$-
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
$160,000
$180,000
Re
v
e
n
u
e
s
Sales Tax 3 Year Trend
2016-17
2017-18
2018-19
Page 9 of 40
GEORGETOWN ECONOMIC DEVELOPMENT CORPORATION
CHECKS WRITTEN REPORT
FOR THE MONTH OF JULY 2019
• Special Services:
- Inland Geodetics, LP $ 705.00
Page 10 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
Dis cus s ion and pos s ible ac tion regarding the S taff R eport – David Morgan, C ity Manager
• P erformanc e Agreement R eport
• Ac tivity R eport
• O ther S taff Items
IT E M S UMMARY:
T he G EDC O Board has requested that staff provide a project progres s and status report at eac h meeting
on all of the ac tive projec ts dis cus s ed by the Board.
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
David Morgan, C ity Manager
AT TAC H ME N T S:
Description Type
Project updates Backup Material
Activity Report Backup Material
Page 11 of 40
Name Description
Start Date (Council
Approved)End Date $ Encumbered $ Expended
Radiation Detection Corporation
Grant for Qualified Expenditures and job creation
related to the relocation of the corporate offices to
Georgetown. 7/23/2013 12/31/2021 320,000$ $ 320,000
KJ Scientific (KJS)
Provide a grant of the equipment obtained in the
TLCC brand acquisition to KJ Scientific (KJS) to
retain the business in Georgetown.The retention
equipment grant is for five years with KJS obligated
to pay a pro-rated amount of $10,000 per year
should they relocate outside of the City.2/27/2018 12/31/2022 $ 50,000 $ 50,000.00
Holt Caterpillar
GEDCO to provide up to $185,000
infrastructure grant for the cost of
connecting to a new wastewater line run to the
property by the City. Approved by
Council on 1/24/17.1/24/2017 185,000$
Georgetown Development I, LLC
Infrastructure reimbursement grant of $500,000 for
qualified expenditures related to the development
of 90,000 SF of speculative business park space in
Georgetown at the Westinghouse Business Center.10/9/2018 6/1/2021 500,000$
WBW Development
Infrastructure reimbursement grant of $200,000 for
qualified expenditures and a $120,000 job creation
grant for the creation of 30 jobs over 6 years
related to the development of their headquarters
location in Downtown Georgetown.2/12/2019
within 6 years of
the certificate of
occupancy date 320,000$
Confido III, LLC
Infrastructure reimbursement grant for $600,00 to
assis with construction of an access road and turn
lane to maintain access to the Georgetown airport
as area land development continues.3/8/2019 3/31/2022 600,000.00$
Sedro Crossing
Infrastructure reimbursement grant of $250,000 to
assist with utilities and access points for
construction of 170,000 square feet of new
professional office space on Williams Dr.3/26/2019 12/31/2023 250,000.00$
GEDCO - AGREEMENTS STATUS REPORT
August 19, 2019
Page 12 of 40
Name Description
Start Date (Council
Approved)End Date $ Encumbered $ Expended
GEDCO - AGREEMENTS STATUS REPORT
August 19, 2019
Atmos Energy
Infrastructure reimbursement grant of $148,499.36
for the installation of 776 feet gas main along 7th,
8th, and 9th streets.4/6/2019 148,499.36$
Page 13 of 40
Economic Development
Activity Report
August 2019
Page 14 of 40
Strategic Goal 1
Support existing businesses
and industries
Page 15 of 40
0
5
10
15
20
25
30
35
40
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Business Retention Activity
Visits Assistance Requests Touches
Page 16 of 40
Additional BRE Activity
•Several active expansion retention and
projects
•Approximately 30% of active projects are
existing businesses
•Major themes are growth and workforce
Page 17 of 40
Additional BRE Activity Cont.
•Beginning to coordinate with the Chamber
on a small business initiative
•Georgetown Major Employers Twelve@12
meeting –July 12
•Breakfast Bites & Downtown Lowdown –
September 11
Page 18 of 40
Strategic Goal 2
Enhance targeted recruitment
of identified industries
Page 19 of 40
0
2
4
6
8
10
12
14
16
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Leads
FY17 FY18 FY19 Rolling 12-Month Average
Page 20 of 40
0
2
4
6
8
10
12
14
16
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Qualified Leads
FY17 FY18 FY19 Rolling 12-Month Average
Page 21 of 40
0
1
2
3
4
5
6
7
8
9
10
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Site Visits
FY17 FY18 FY19 Rolling 12-Month Average
Page 22 of 40
0
5
10
15
20
25
30
35
40
Au
g
1
8
Se
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Oc
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Ju
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9
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Business Retention Activity
Visits Assistance Requests Touches
Page 23 of 40
Strategic Goal 3
Diversify workforce development
and recruitment initiatives
Page 24 of 40
Workforce Development Activity
•Continued working on a Skills
Development Fund grant application
•Workforce Development Alliance
Committee update
•Veterans & Military Spouses Job Fair –
August 21
•Coordinating a Major Employers & GISD
meeting
Page 25 of 40
Strategic Goal 4
Encourage speculative
development
Page 26 of 40
Speculative Development Activity
•Continuing to see interest in speculative
projects, mostly industrial
•Working with existing projects through
development process
–Sedro Crossing
–Lakeway Business Park
–Westinghouse Business Center
Page 27 of 40
Overall Objective
Tell our story to a
broader local audience
Page 28 of 40
Other Activity
•Hosted annual Opportunity Austin “fam
tour”
•Spoke to relocation realtors at Wolf Ranch
•Began planning the WilCo EDP Site Selector
event
•Confirmed Symposium speaker & program
Page 29 of 40
2019 Symposium
Keynote Speaker:
Revathi Greenwood
Americas Head of Research,
Cushman & Wakefield
Moderator:
Bryan Daniel
Commissioner Representing the
Public, Texas Workforce Commission
Page 30 of 40
Economic Indicators
Page 31 of 40
-
200
400
600
800
1,000
1,200
1,400
$-
$50.0
$100.0
$150.0
$200.0
$250.0
$300.0
$350.0
$400.0
Au
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1
8
Se
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1
8
Oc
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8
No
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1
8
De
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1
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Ja
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9
Ma
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Ap
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Ma
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Ju
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Ju
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9
Construction Permit Applications
Valuation
(in millions)
# of Permits
Page 32 of 40
0
2
4
6
8
10
12
14
16
Au
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1
8
Se
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1
8
Oc
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8
No
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1
9
Certificates of Occupancy Issued
Page 33 of 40
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
Oc
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No
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Ja
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Fe
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Ma
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Ap
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Ma
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Ju
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Ju
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Au
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Se
p
Sales Tax Collections
FY 2017 FY 2018 FY 2019
Page 34 of 40
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
4.0%
4.5%
Ju
n
1
8
Ju
l
1
8
Au
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Se
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Oc
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Unemployment Rate
Page 35 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
Action out of Exec utive S es s ion
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
T BD
S UB MIT T E D B Y:
C harlie Mc Nabb, C ity Attorney
Page 36 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
S ec. 551.071: C O N S ULTAT IO N WIT H AT TO R N E Y
C onsultation with attorney regarding legal issues related to agenda items and other matters in which (1)
when the governmental body seeks the advic e of its attorney about: (A) pending or contemplated litigation;
or (B) a s ettlement offer; or (2) on a matter in which the duty of the attorney to the governmental body
under the Texas Disc iplinary R ules of P rofes s ional C onduct of the S tate Bar of Texas clearly c onflic ts
with this c hapter - C harlie Mc Nabb, C ity Attorney
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
C harlie Mc Nabb, C ity Attorney
Page 37 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
S ection 551.072. D E LIB E R AT IO N R E GAR D IN G R E AL P R OP E RT Y
Dis cus s ion and pos s ible ac tion to deliberate the purc hase,exc hange, lease or value of real property for
purposes authorized by the Development C orporation Ac t which disc ussion in open session would have a
detrimental effect on negotiations with third pers ons.
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
C harlie Mc Nabb, C ity Attorney
Page 38 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
S ection 551.087. D E LIB E R AT IO N R E GAR D IN G E C O N OMIC D E VE LO P ME N T
N E GOT IAT ION S .
Deliberation regarding c ommercial or financ ial information that the corporation has received from a
busines s prospec t that the G eorgetown Ec onomic Development C orporation s eeks to have loc ate, stay, or
expand in or near the territory of the C ity of G eorgetown and with whic h the C orporation is c onducting
economic development negotiations; and/or deliberation regarding the offer of a financ ial or other incentive
to a bus iness pros pect that the C orporation seeks to have locate, s tay, or expand in or near the territory of
the C ity of G eorgetown.
• P roject C at
• P roject F ish
• P roject Wafer
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
C harlie Mc Nabb, C ity Attorney
Page 39 of 40
City of Georgetown, Texas
Georgetown Economic Development Corporation
August 19, 2019
S UB J E C T:
Adjourn meeting
IT E M S UMMARY:
F IN AN C IAL IMPAC T:
N/A
S UB MIT T E D B Y:
Amy Mertink, Board Liais on
Page 40 of 40