Post on 07-May-2015
COSADC CY 2012 Annual Report
Robert Schneeman, Interim Director of Economic Development
http://www.sanangelodevelopment.com/
Working with economic development partners, COSADC retains, strengthens and diversifies the job base of the community to ensure a vibrant business climate for San Angelo and the region.
Mission Statement
Evolution of COSADC1999 Ballot
Approved ½ cent sales taxApproved uses:
o Lake Nasworthy Dredgingo Coliseum and Fairgrounds projects othe promotion and / or development of new or expanding business enterprises
Term of financing limited to 6 years
Evolution of COSADC2004 Ballot
Approved Uses:oinfrastructure projects relating to the development of water supply facilities for water reuse othe use of fresh or brackish ground watero and the development and institution of water conservation programso Concho River improvementso parks and sports facilities improvements and the maintenance thereofo Fort Concho Museum
Term extended to 20 years
Evolution of COSADC2004 Ballot cont’d
o coliseum and fairgrounds improvementsodevelopment of an Affordable Housing Program
Term extended to 20 years 2010 Ballot
Approved Uses:oVoter approved projectsoAffordable Housing for 30 yearsowater related projects on an increasing basis from a minimum of 21% of total receipts increasing to a maximum of 72% of receipts as voter approved projects are completed.
Evolution of COSADC2010 Ballot cont’d
omaximum amount of total half cent sales tax receipts allocated for job creation and retention projects authorized under the act was set at 28%oCapital improvement and infrastructure projects other than water infrastructure and economic development requiring additional funding must be resubmitted to the voters
Economic Snapshot
Construction
Education & Health Services
Financial Activities
Information
Leisure and Hospitality
Manufacturing
Natural Resources & Mining
Other Services
Professional & Business Services
Public Administration
Trade, Transportation & Utilities
-1,000 -800 -600 -400 -200 0 200 400 600 800 1,000
-100
641
133
-788
731
-41
-44
137
233
313
723
New Jobs in Tom Green County, TX 2007 to 2013 (1st quarter, 3rd month employment)
Difference in employment between 1st quarter, 3rd month, 2007 and 2013
Indu
stry
Sup
erse
ctor
s
Economic Snapshot
Construction
Education & Health Services
Financial Activities
Information
Leisure and Hospitality
Manufacturing
Natural Resources & Mining
Other Services
Professional & Business Services
Public Administration
Trade, Transportation & Utilities
-30 -20 -10 0 10 20 30 40 50
-2
25
-21
-5
38
-14
3
8
38
0
-3
New Businesses in Tom Green County, TX 2007 to 2013(1st quarter, 3rd month establishments)
Difference in number of establishments between 1st quarter, 3rd month, 2007 and 2013
Indu
stry
Sup
erse
ctor
s
Economic Snapshot
Dec 2012 Balance Sheet
Marketing & Business Recruitment
Marketing & Recruitment by San Angelo Chamber of Commence
By Contract with COSADC
Annual Contract $225,000 plus specifically identified reimbursable expenses
Marketing & Business Recruitment
Trade Shows attended - 5 Association events attended – 10 Prospects hosted – 21 Adds placed in trade magazines – 6 Marketing materials sent to trade show contacts –
600+ Requests for Proposals - 49
Recruitment Projects
MedHab, LLC Medical Device Company – manufacturing & sales Job Creation – between 75 & 225 Capital Investment – Minimum $125,000 w/in 2 yrs Capital Investment or lease w/in 6 yrs – up to $2M Incentives include:
o Job creation - $7,929.00 per FTE - $1,800,000 max (must retain 6 yrs from date of incentive)oCapital Investment – 15% - $300,000 maxoReal Property Investment (w/in 6 yrs)- 52% - $575,000 maxoCode Compliance – 25% - $12,500 max
Recruitment Projects
MedHab, LLC Incentives (cont’d)oRent forgiveness – 3 years at 2009 W. Beauregard (CVCED Annex) at $1.00 per year
oAs of December 31, 2012 MedHab had received no incentives
oTo date MedHab has not received any incentives other than rent forgiveness
Recruitment ProjectsEthicon (July 2012) Medical Manufacturer 10th largest employer in San Angelo Expanding existing plant w/ Capital Investment between $16M
& $28M Retain / retrain up to 30 at risk positions Incentives include:
o 4 year City tax rebate decreasing yearly oCounty tax abatement to match City termsoJob retention at $5,000 per position retained and up to $10,000 for retraining - $300,000 max
Recruitment ProjectsHirschfeld Energy Systems (Martifer Hirschfeld) (Dec 2010)
Wind energy plant ( tower manufacturing)Capital Investment - $20M Ph 1 & $20M Ph 2Job creation – up to 225 FTEsIncentives include:
o Land Purchase - $280,000 o Construction Funding Incentive - $500,000oConstruction Funding Incentive 2 - $500,000oJob Creation Incentive - $6,000 per FTE up to 225 or a total of $1,350,000
Recruitment ProjectsHirschfeld Energy Systems (formerly Martifer Hirschfeld) (cont’d )
Incentives paid to dateo2010 – 47 FTEs / $282,000o2011 – added 134 FTEs / $804,000o2012 – added 50 FTEs / *
*Although the total salary paid for the year 2012 yielded the equivalent of 50 additional FTEs, total employment at the end of the year was less than at the height of employment for the year. When the 4th quarter payroll for the year was annualized, the equivalent rate was 155 FTE’s or 26 FTEs less than the total incentivized for the previous year. COSADC and Legal staff are currently working with the company to determine the long range employment goals for the company and a schedule for repayment of any funds due.
Recruitment ProjectsGlazer Wholesale Drugs (May 2010)
Land Acquisition – 10.757 Acres Facility Construction - $7,200,000.00Job Retention - 45 FTEs (FTE = $31,720.00 per year)Job Creation – 79 FTEs (FTE = $33,390.00)Incentives include:
o124 FTEs / $930,000 ($7,500 /FTE)oCity Property Tax Rebate - $204,235.40 to date
Glazers currently have 173 FTEs and have continually performed above their required level
Recruitment ProjectsBlue Cross Blue Shield of Texas (April 2009)
Total payroll of at least $12MIncentive - $37,118 per year for 10 yearsPaid to date - $111,354.00
Business Retention & ExpansionPer the Strategic Plan- “Implement a formalized Business Retention and Expansion Program (BREP) with regular outreach to existing San Angelo businesses”
Develop goals and performance metrics for retention and expansion program administered / conducted by the San Angelo Chamber of Commerce, w/ involvement by COSADC and other E.D. partners Develop an annual retention and expansion report which can be shared with local officials & residentsAddress issues identified by working with city, county, or state officialssurvey existing businesses through online surveys and in-person interviews every six months
Business Retention & ExpansionUse the program to probe supplier opportunities and to better understand and support the growth trends of local businessesVisit corporate headquarters of firms with major local operations that are not headquartered in San AngeloEstablish an Ambassador Program in which Chamber members as Ambassadors play an active role by engaging with new Chamber member businesses to encourage participation
Business Resource Center From Concept
To Completion
Business Resource Center
Description: A one-stop shop for business resourcesMission: To grow and retain local businesses by
providing exceptional business services and to strengthen San Angelo’s appeal as a place to do business
Goals:•Consolidate many of San Angelo’s ED agencies into one facility
•Create an improved environment for small businesses and the recruitment of businesses
•Increase the knowledge sharing, synergy, cooperation, and collaboration amongst the Economic Development Partners
Business Resource Center
Full Time Occupants
COSADC staffASU Small Business Development Center
(SBDC)The Business Factory (Concho Valley Center for
Entrepreneurial Development)
Satellite Offices
Chamber of CommerceDowntown San Angelo, Inc. Concho Valley Workforce Development BoardHoward College
Target Industries
Key Strategies
Goals of the Strategic Plan
Strengthen San Angelo’s infrastructure and enhance connectivity to other regions
Continue to invest in downtown San Angelo and the Concho
Fully capitalize on the unique opportunities provided by Angelo State University and Goodfellow Air Force Base
Tap into San Angelo’s innovative culture and leverage small business resources to support entrepreneurship and minority business development
Key Strategies
Goals of the Strategic Plan (cont’d )
Clarify and formalize the roles of San Angelo’s economic development partners to ensure that economic development is streamlined, transparent, and well-understood by all stakeholders.
Improve San Angelo’s image and ensure that marketing efforts highlight regional assets and focus on target industries
Ensure that workforce development and education programs are connected to the marketplace and support the retention of young professionals
Engage in specific strategies to grow existing and emerging target industry sectors
Development Process
Development Process
Development Process
Development Process
Major Voter Approved Projects
Affordable Housing - $335,000 per year
Helping Hands - $53K, rehab of 25 housing units for elderly homeowners
Blitz - $150K, siding and painting of 48 housing units for low income homeowners
Gap Financing - $202,631, 5 new housing units for first time homebuyers
Major Voter Approved Projects
Concho River Improvement Project
$13.6M including grants
Major Voter Approved Projects
Hickory Aquifer Pipeline
$12M
Major Voter Approved Projects
Rio Vista Park - $636,400
(Now Jaime Pardon Memorial Park)
Major Voter Approved Projects
Livestock Barn- $1M
Major Voter Approved Projects
Municipal Swimming Pool Improvements- $3.2M
Major Voter Approved Projects
Airport Terminal Renovation- $5.9M ($500,000 COSADC funded for non-FAA funded items)
Major Voter Approved Projects
50th Street Extension (Lakeview Heroes Drive)
On the Horizon
Activation of “Advance San Angelo” Web Portal
Development of the Industrial Park
Business & Retention & Expansion Program
Possible Coworking Space in the Business Factory
Completion of the BRC finish out
www.advancesananglo.com
Board of Directors
Board of Directors 2012
left to right: Tony Villareal, 1st Vice President Chris Cornell, Randy Brooks, 2nd Vice President Scott Tankersley, President Larry Teague, Joe Terrazas, and John Bariou
September of 2012 Pedro Ramirez was appointed to the COSADC board with the departure of Joe Terrazas.
Board of Directors
Board of Directors 2013
left to right: Tommy Hiebert, Daniel Anderson, 2nd Vice President Tony Villarreal, President Scott Tankersley, President 1st Vice President John Bariou, Pedro Ramirez, Richard Crisp