mur-ytaf rurtaf no-nd fy 2012-13 mid... · forklift rodeo appreciation reception quarterly...

Mid-YearReport12-13

October6 Leads

November14 Leads

December5 Leads

January23 Leads

February 8 Leads

March2 Leads

May 21, 2013

Prospect Timeline

Mid-Year Report2012-2013

Page 1

Kilgore Economic Development Corporation

Section I

In October 2012 the KEDC board of directors approved a strategic plan describing how the organization would pursue its vision and mission statements. This 2013 Mid-Year Report describes the progress being made towards the goals and objectives described in that plan. The 2012-2017 Strategic Plan is included in Section II.

This FY 2012-2013 is based on materials and analysis addressing each of the three goals and 10 objectives of the plan as well as the related program of work. This report includes the following key elements:

Section II 2012-2017 Strategic Plan. Section III An executive summary that includes mid-year highlights including new initiatives, collaborative endeavors and development efforts. Section IV A list of the accomplishments of KEDC including Economic Development Performance Agreements as well as project details such as type and industry along with one- and three-year comparisons. Section V A description of activities undertaken to reach goals and objectives. Section VI Financial activities including P&L Budget Overview and Budget vs. Actual along with an estimated cash flow worksheet. Section VII Short term challenges, long term issues along with relevant program of work additions or changes in priorities.

Amanda NoblesExecutive Director

Lisa DentonAssistant Director

Jana RussellMarketing & Dev. Director

April McCameyAdmin. Assistant

Our Staff

I. Introduction

Board of Directors

Bill AdamsonDirector

Pat NaultAsst. Secretary - Treasurer

J. Ty SharpSecretary - Treasurer

Wilbur F. YatesVice President

Bill MishkindPresident


Page 2

Kilgore Economic Development Corporation Kilgore Economic Development Corporation

Section II

II. 2012-2017 Strategic Plan


Strategic Plan2012-2017

Mission: to enhance a business climate that is conducive to job creation and retention, improving the standard of living for Kilgore residents.

Vision: a strengthened and diverse economy that is considered to be a prime business location.

Measurements: 1. Jobs Retained2. Jobs Created3. Percentage of tax base total value that is commercial/industrial4. Oil & Gas investment vs. other5. Household and disposable income


Page 3


Section II

Strategic Plan

Business Climate

Goal: encourage investment and job growth and retention from existing primary employers

Objective A: enable existing primary employers to know and utilize the resources of KEDC and increase familiarity with the KEDC brand.

Objective B: advance perception that Kilgore is a prime business location.

Objective C: contribute to a highly skilled and productive workforce.

Strategies

Improve CEO perception of Kilgore and KEDC

Develop regular communication with primary employers

Strategies

Complement traditional economic development models with sustainability methods

Collaborate with partners to influence economic outcomes and perceptions

Strategies

Evaluate workforce characteristics and compare to the needs of targeted industry sectors

Develop workforce training plan

2012-2017 Strategic Plan


Page 4


Section II

Strategic Plan

New Investment

Goal: attract jobs & investment that diversify the economy & improve the standard of living for Kilgore residents

Objective A: plan for relevant property availability

Objective B: affect small town perceptions

Objective C: build brand recognition

Strategies

Maintain a relevant inventory of available properties with suitable infrastructure

Strategies

Pursue indicators that verify quality location services

Strategies

Maintain leading presence in marketing initiatives

Communicate organizational successes with targets and constituencies

Craft consistent marketing campaigns to support regional, state and internal initiatives

Objective D: develop internal leads

Strategies

Engage in activities offering quality opportunities with lead generating agents and targets



Page 5


Section II

Strategic Plan

Administration

Goal: organize staff and resources, directing activities toward goals and objectives

Objective A: establish goals for the organization

Objective B: coordinate efforts among all elements of the organization.

Objective C: protect the financial integrity of KEDC

Strategies

Create and implement an active strategic plan

Strategies

Assess organizational functions

Determine staffing needs and professional development needed to progress brand and productivity

Communicate activities and engage input from constituents

Strategies

Operate KEDC efficiently and effectively



Page 6


Section III

III. Executive Summary

“Up” is a good word to describe Kilgore Economic Development Corp.’s progress mid-FY 2012-13. Leads are up 107%. Projects are up 300%. The average rate of return on those projects is 32% with an average payback period of 4 years.

The assessment underscores KEDC’s assertive development activities and a changing mindset toward lead generation. Staff is now shifting its attention to the companies themselves as well as lead generating agents, or “gateways” to companies. Reaching out to companies with new initiatives, collaborations and development have pushed results up and include:

• Collaboration with North East Texas Economic Alliance and Target Industry Prospects for two recruiting trips to California with another planned for summer.• Mass recruitment to firearms related manufacturers.

To support these new leads and projects, new business climate initiatives began, including:

• Company interviews in conjunction with the KEDC Technology Center.• A labor analysis of East Texas talent and transferability of skills.

While KEDC’s ROI and payback periods are impressive, it should be noted that the cost of project incentives is up as well, 80%. So far in FY 2012-13, KEDC investment is 9% of the investment made by companies. During the past three years, the rate has held steady at 5%. Based on the state of the national economy and personal surveys, staff believes the increase is caused by increased competition and resulting company expectations.

Should the year continue as started, KEDC is on pace to end the year with eight projects, up 166% from last year, and 116 leads, up 47%.


Page 7


Section IV

The Kilgore Economic Development Corp. board of directors has approved four economic development performance agreements thus far in fiscal year 2012-13. During the past two mid-year assessments combined, only three total agreements had been signed at this point. It is also one more than signed during the entire FY 2011-12. And while the percentage of KEDC investment to company investment has increased, the average ROI is still at an impressive 32% with an average payback period of 4 years. The impact to the local economy is more than $150,000,000 over 10 years.

Approved EDAs

Economic Development Leads

KEDC developed 58 leads during October 1, 2012, through the end of March 2013, a 107% increase from 2011-2012 and a 65% increase from fiscal year 2010-2011. Only 9 were oil and gas related. Manufacturing and warehouse/distribution centers accounted for 49 of the 58 projects. Regional marketing efforts, pri-marily those aimed at the recruitment of California companies, caused the most dramatic increase in the number of leads.

All leads represent a known 111 companies, almost 3,500 jobs and an investment of more than $350,000,000 and have an average facility need of 82,000 SF.

Company Outreach

KEDC increased its Business Retention and Expansion outreach to companies by 29% from 49 instances of contact and assistance to 63.

IV. Accomplishments

Company Company Investment Job Base New Jobs KEDC InvestmentCameron Technologies $390,000 24 4 $50,000Stream-Flo USA $900,000 35 $40,000Orgill, Inc. 157 $88,000Temple Pro Ventures $4,680,000 $182,000Pallet Companies $2,500,000 40 $438,000

Total $8,470,000 216 44 $798,000 (9%)


Page 8


Section IV

Source

Industry

Classification

Accomplishments - Project Overview

58Worked

Leads

Manufacturing,65%

Warehouse/Distribution,19%

Other,7%

Office, 3%

Call Center,2%Undetermined, 2%

Energy & Energy Utilities,

17%

Advanced Manufacturing,

17%

Durable Goods Producer,

24%

Transportation,16%

Consumer Goods Producer5%

Aeronautics & Defense, 4%

Industrial Goods, 3%

Technology/Information, 3%

Telecommunications, 3%

Building & Construction, 2%Business Services, 2%

High End Business Service, 2%Undetermined, 2%

Direct Inquiry,31%

Partner - Regional,41%

Broker/Consultant,9%

Partner - State9%

Partner - Local, 4%

Local Referral, 3%

3-year Lead Comparison

Research & Development, 2%Partner - Utility, 3%

0

10

20

30

40

50

60

2011 Mid-Year 2012 Mid-Year 2013 Mid-Year

Lead

s

Attraction

Retention/Expansion


Page 9


Section V

Media Interviews News releases

V. Activity Highlights

Local Communication

MembershipsContinuing Education Topics

Advisory BoardNewsletter


Page 10


Section V

Synergy Center Meeting Space

EDSuite

Cypress Interactive

Compostite Fluid Transfer

Leadership Kilgore

General Dynamics

KEDC Technology Center

Past Chamber Presidents

Baker Hughes

Republic Services

City of Kilgore

Human Resource Professionals

Legislative

Closure Systems Int’l. E&R Kimray SteelmanComposite Fluid Transfer Core Lab Drilltools NOV WilsonProgressive Waste Solutions Drilltools Orgill Surface EquipmentH & W Enerflex Permian Tank VermeerPak-Sher FESCO ETCOG WTH, Inc.Spartan Thru Tubing Franks Casting Pro-Test IESIBaker Hughes General Dynamics RCW Energy Services Cypress InteractiveCaterpillar Gulf Coast Chemical Sentry Pumping Units EDSuiteCleveland Steel Container Halliburton Skeeter GasFrac

CEO Outreach and Company Assistance

Industrial Appreciation Events

Forklift Rodeo

Appreciation Reception

Quarterly Luncheons

Manufacturing Skill Standards Council Event for Certifications

Senate Bill 1458 to define truck drivers as qualified employees

Representative David Simpson listening day

PartnersKC Small Business Development Center

Gregg County Historical Commission

Kilgore Chamber of Commerce 12@12

Kilgore Historical Preservation Commision

Leadership Kilgore

Kilgore Chamber of Commerce

KISD

WorkforceKEDC Technology Center

Activity Highlights


Page 11


Section V

Regional and state memberships in marketing organizations

North East Texas Economic Alliance • Two California recruitment trips• Society of Industrial and Office Realtors

Fall World Conference• IAMC

Right Corner of Texas • Fabtech trade show marketing

I-20 Corridor• Dallas Industrial Real Estate Summit

Texas Economic Development Council Team Texas

• Site Selectors Guild Texas meeting• IAMC

Office of the Governor Texas One

Campaigns

California recruitment follow-upAnnual Site Selectors Guild ConferenceSEDC Meet the Consultants

International Asset Management Council

Internal

Marketing Initiatives

Relevant Property Development

Documented SitesEconomic Development Finance Professional

Certified Economic Developer

Professional Community & Economic Developer

Quality Location Services

Certifications

Leadership in establishing a statewide program through

Texas Economic Development Council

Leadership

Texas Economic Development Council Mentor

Course author and teacher at the Community Development Institute Author and presenter at Area Development’s Women Site Selector Forum

Activity Highlights

Purchase of 44 acres on FM 349

Metal FabricationGun Related ManufacturersDallas Industrial Realtors

Kilgore Economic Development CorporationMid-Year Report

2012-2013

Page 12


Section VI

Oct '12 - Sep 13

Ordinary Income/ExpenseIncome

5001 · Sales Taxes 2,750,000.005005 · Garbage Sales Tax 8,000.005201 · Interest - Bank Operating 10,000.005400 · Lease Revenue 177,570.005402 · Incentive Recovery 35,000.00

Total Income 2,980,570.00

Gross Profit 2,980,570.00

Expense6030 · Construction - Synergy Park

6030-02 · Over $5,000 50,000.00

Total 6030 · Construction - Synergy Park 50,000.00

6201 · Supplies6201-10 · Office Supplies 5,000.006201-30 · Repair/Maintenance Supplies 850.006201-40 · Miscellaneous Supplies 750.00

Total 6201 · Supplies 6,600.00

6300 · Contractual Services6301 · Contractual - City 358,943.006313 · Contractual Professional Svcs 20,000.006314 · Contractual Economic Developmnt 3,000.006319 · Contr. School Reg/Training Fees

6319-10 · TEDC 2,200.006319-20 · Sales Tax Training 350.006319-30 · BREI 600.006319-50 · IEDC 1,700.006319-60 · Community Development Instit... 800.006319-70 · Open Government Trng (even y... 150.006319-90 · SEDC 500.00

Total 6319 · Contr. School Reg/Training Fees 6,300.00

6320 · Contractual Travel Expense6320-10 · Special Project Travel 8,000.006320-20 · TEDC 4,750.006320-25 · SEDC 1,200.006320-26 · Community Development Institite 550.006320-30 · BREI 2,000.006320-40 · CEcD Maintenance 2,000.006320-50 · IEDC 2,000.006320-60 · National Development Council 1,000.006320-70 · NETEDR Meetings 250.006320-80 · Misc Kilgore Mtgs/Other 200.006320-82 · Sales Tax Training (odd years) 500.006320-90 · Mileage Expenses 2,000.00

Total 6320 · Contractual Travel Expense 24,450.00

6321 · Contractual Adv & Legal Notices 250.00

KEDC Fund 70Budget

October 2012 through September 2013

VI. Financial Activities


Financial Activities

Page 13


Section VI

Oct '12 - Sep 13

6324 · Contractual Dues, Fees & Member6324-10 · TEDC 1,350.006324-20 · IEDC 375.006324-30 · BREI 100.006324-40 · NETEDR 150.006324-50 · Kilgore Chamber of Commerce 185.006324-60 · Sam's Wholesale Club 135.006324-70 · SEDC 345.00

Total 6324 · Contractual Dues, Fees & Mem... 2,640.00

6326 · Contractual Rental Equipment 3,000.006350 · Contractual Network/Computers 12,000.00

Total 6300 · Contractual Services 430,583.00

6315 · Contractual - Special Svcs/Inc 1,302,850.006316 · Contractual - Legal 22,000.006340-00 · Marketing-General

6340-10 · Marketing Initiative Membership6340-11 · NETEA Membership 3,000.006340-12 · I-20 Membership 1,500.006340-13 · Texas One Membership 1,000.006340-14 · Team Texas Membership 3,000.006340-15 · IAMC Membership 1,495.006340-16 · CoreNet Global 850.006340-17 · Impact Data Tool 3,300.006340-18 · Contact Management Tool 1,200.006340-19 · Research 360 4,000.00

Total 6340-10 · Marketing Initiative Member... 19,345.00

Total 6340-00 · Marketing-General 19,345.00

6341 · eMarketing6341-10 · Web Presence Management

6341-11 · Web Page Updates 5,000.006341-12 · Pay Per Click 7,000.006341-13 · Optimization 7,000.00

Total 6341-10 · Web Presence Management 19,000.00

6341-20 · Directory Listings 1,000.006341-40 · Real Estate Advertising

6341-43 · Misc Other Sites 2,000.00

Total 6341-40 · Real Estate Advertising 2,000.00

6341-50 · E-Marketing 9,500.00

Total 6341 · eMarketing 31,500.00

6342 · Collateral Materials6342-10 · Brochures 2,500.006342-20 · Photographs & Videos 6,000.006342-30 · Billboard Adv 1,500.006342-40 · Bnchmrk & Forecasting Analysis 2,500.006342-50 · Promotional Items 2,000.00

Total 6342 · Collateral Materials 14,500.00

KEDC Fund 70Budget




Page 14


Section VI

Oct '12 - Sep 13

6343 · Trade Shows, Cons Visits & Misc6343-10 · Texas One

6343-11 · Texas One Meetings/Events 2,500.006343-12 · Trade Missions 5,000.00

Total 6343-10 · Texas One 7,500.00

6343-20 · Team Texas6343-21 · CEO-Showcase 2,000.006343-22 · Site Selection Consultant 2,000.006343-23 · Team Texas Meetings 500.006343-24 · TT IAMC Event 1,500.006343-25 · TT Misc Event 2,500.00

Total 6343-20 · Team Texas 8,500.00

6343-30 · Misc Events 12,000.006343-40 · IAMC

6343-41 · Fall Meeting 4,000.006343-42 · Spring Meeting 4,000.00

Total 6343-40 · IAMC 8,000.00

6343-50 · NETEA6343-51 · NTCAR Trade Show 350.006343-52 · Real Estate Exec Visits 1,000.006343-53 · Company Visits 1,000.006343-54 · State Agency Visits 1,250.006343-55 · Sponsorship Opportunities 2,000.006343-56 · NETEA Meetings 200.00

Total 6343-50 · NETEA 5,800.00

6343-60 · Misc Consultant Visits 5,000.006343-70 · Misc Marketing Opportunities 30,000.006343-80 · I-20 Corridor

6343-81 · I-20 Meetings 100.006343-82 · I-20 Corridor Events 500.00

Total 6343-80 · I-20 Corridor 600.00

Total 6343 · Trade Shows, Cons Visits & Misc 77,400.00

6344 · Biennial Surveys6344-20 · Wage & Benefit (odd years) 3,000.006344-40 · Surveys 20,000.00

Total 6344 · Biennial Surveys 23,000.00

6345 · Business Retention & Expansion6345-20 · Annual Report 500.006345-30 · BRE & CEO Meetings

6345-31 · BRE Meetings with Chamber 2,000.006345-32 · CEO Meetings 2,500.00

Total 6345-30 · BRE & CEO Meetings 4,500.00

6345-40 · HR Meetings 5,000.006345-50 · Cooperative Programs

6345-51 · SBDC Programs 3,000.006345-52 · Workforce Development 25,000.006345-53 · BRE Projects 10,000.00

Total 6345-50 · Cooperative Programs 38,000.00

KEDC Fund 70Budget




Page 15


Section VI

Oct '12 - Sep 13

6345-90 · Advisory Board Meetings 200.00

Total 6345 · Business Retention & Expansion 48,200.00

6347 · Web Page & Email Fees & Maint. 2,500.006400 · Synergy Center Lease Expense

6401-10 · Lease Payments 30,000.006401-20 · NNN Expense 11,500.006401-30 · Electricity 6,000.006401-40 · Telephone & Fiber 3,600.006401-50 · Cleaning 4,500.006401-60 · Supplies 2,000.006401-70 · Misc Repairs & Maintenance 5,000.00

Total 6400 · Synergy Center Lease Expense 62,600.00

6501 · Maintenance - Bldgs & Grounds6501-10 · Synergy Park

6501-01 · Supplies-Maintenance & Cleani... 2,000.006501-02 · Contract-Maintenance/Cleaning 13,200.006501-03 · Fish 2,500.006501-04 · security camera expenses 9,000.006501-05 · Gate Repairs 3,500.006501-06 · Water Utilities 2,000.006501-07 · Electric-signs, front, pavilion 2,000.006501-11 · Contractual Security Patrol 12,000.006501-12 · Brush Hog/Open Area Mowing 22,500.006501-13 · Trail Mowing, etc 23,200.006501-15 · Tree Cutting/Removal 7,500.006501-16 · Weed & Ant Control 1,600.006501-17 · Landscape & Beds Maintenance 3,600.006501-18 · Telephone lines to gate 700.006501-19 · Misc Repairs & Maintenance 20,000.00

Total 6501-10 · Synergy Park 125,300.00

6501-20 · NKIP6501-21 · Brush Hog/Open Area Mowing 1,000.006501-22 · Weed & Ant Control 250.006501-23 · Misc Repairs & Maintenance 1,000.00

Total 6501-20 · NKIP 2,250.00

6501-30 · KIP6501-31 · Brush Hog/Open Area Mowing 2,000.006501-32 · Landscape & Bed Maintenance 2,280.006501-33 · Misc Repairs & Maintenance 1,000.006501-35 · Electric Utilities 250.00

Total 6501-30 · KIP 5,530.00

6501-50 · Reserve for buildings & grounds 50,000.00

Total 6501 · Maintenance - Bldgs & Grounds 183,080.00

6708 · Accounting & Professional Fees 8,500.006709 · 4A(s) Projects 300,000.00

KEDC Fund 70Budget


Kilgore Economic Development CorporationMid-Year Report

2012-2013Financial Activities

Page 16


Section VI

Oct '12 - Sep 13

6803 · Capital Expenditures-Equipment6803-01 · Under $5,000 5,000.006803-02 · Over 5,000 15,000.00

Total 6803 · Capital Expenditures-Equipment 20,000.00

Total Expense 2,602,658.00

Net Ordinary Income 377,912.00

Other Income/ExpenseOther Expense

6295 · Transfers Out6295-10 · Bond Principal 110,000.006295-20 · Bond Interest 87,412.006295-30 · General Transfers 500.006295-40 · Bond Set-Aside 180,000.00

Total 6295 · Transfers Out 377,912.00

Total Other Expense 377,912.00

Net Other Income -377,912.00

Net Income 0.00

KEDC Fund 70Budget



Financial Activities - Budget vs. Actual

Page 17


Section VI

Oct '12 - Sep 13 Budget $ Over Budget % of Budget

Ordinary Income/ExpenseIncome

5001 · Sales Taxes 1,954,636.79 2,750,000.00 -795,363.21 71.1%5005 · Garbage Sales Tax 5,576.63 8,000.00 -2,423.37 69.7%5201 · Interest - Bank Operating 3,023.14 10,000.00 -6,976.86 30.2%5204 · Interest - Texpool Operating 6,243.305205 · Interest - Other 404.755400 · Lease Revenue 74,087.40 177,570.00 -103,482.60 41.7%5401 · Miscellaneous Income 0.005402 · Incentive Recovery 38,951.49 35,000.00 3,951.49 111.3%5403 · Network Comm Contract 0.005405 · Synergy Park Elder Well Revenue 0.005407 · Business Tech Center Revenue 0.005408 · Cypress Lease Revenue 0.005409 · Grant Revenue 93,633.18

Total Income 2,176,556.68 2,980,570.00 -804,013.32 73.0%

Cost of Goods Sold50000 · Cost of Goods Sold 0.00

Total COGS 0.00

Gross Profit 2,176,556.68 2,980,570.00 -804,013.32 73.0%

Expense6020 · Building Purchase 0.006030 · Construction - Synergy Park

6030-01 · Under $5,000 0.006030-02 · Over $5,000 86,956.97 50,000.00 36,956.97 173.9%6030 · Construction - Synergy Park - Other 0.00

Total 6030 · Construction - Synergy Park 86,956.97 50,000.00 36,956.97 173.9%

6032 · Synergy Park-Elder Well Expense 0.006035 · Construction - N.K.I.P. 0.006062 · Consulting 0.006090 · Exchange Fees 0.006115 · Interest Expense 0.006120 · Internet Services 0.006140 · Luncheons and Breakfasts 0.006150 · Membership Dues 0.006160 · Office Expense 0.006180 · Printing 0.006185 · Professional Services 0.006190 · Property Taxes 0.006201 · Supplies

6201-10 · Office Supplies 1,108.08 5,000.00 -3,891.92 22.2%6201-20 · Audio/Visual Supplies 0.006201-30 · Repair/Maintenance Supplies 156.53 850.00 -693.47 18.4%6201-40 · Miscellaneous Supplies 176.00 750.00 -574.00 23.5%6201 · Supplies - Other 0.00

Total 6201 · Supplies 1,440.61 6,600.00 -5,159.39 21.8%

6280 · Trade Shows 0.006300 · Contractual Services

6301 · Contractual - City 166,340.09 358,943.00 -192,602.91 46.3%6313 · Contractual Professional Svcs 7,576.46 20,000.00 -12,423.54 37.9%6314 · Contractual Economic Developmnt 139.20 3,000.00 -2,860.80 4.6%6319 · Contr. School Reg/Training Fees

6319-10 · TEDC 500.00 2,200.00 -1,700.00 22.7%6319-20 · Sales Tax Training 0.00 350.00 -350.00 0.0%6319-30 · BREI 0.00 600.00 -600.00 0.0%6319-40 · CEcD Maintenance 0.006319-50 · IEDC 0.00 1,700.00 -1,700.00 0.0%6319-60 · Community Development Institute 350.00 800.00 -450.00 43.8%6319-70 · Open Government Trng (even yrs) 0.00 150.00 -150.00 0.0%6319-80 · TML (odd yrs) 0.006319-90 · SEDC 345.00 500.00 -155.00 69.0%6319 · Contr. School Reg/Training Fees - Other 0.00

Total 6319 · Contr. School Reg/Training Fees 1,195.00 6,300.00 -5,105.00 19.0%

KEDC Fund 70Profit & Loss Budget vs. Actual

October 2012 through March 2013



Page 18


Section VI


6320 · Contractual Travel Expense6320-10 · Special Project Travel 383.36 8,000.00 -7,616.64 4.8%6320-20 · TEDC 2,227.46 4,750.00 -2,522.54 46.9%6320-25 · SEDC 283.60 1,200.00 -916.40 23.6%6320-26 · Community Development Institite 286.36 550.00 -263.64 52.1%6320-30 · BREI 0.00 2,000.00 -2,000.00 0.0%6320-40 · CEcD Maintenance 182.90 2,000.00 -1,817.10 9.1%6320-50 · IEDC 1,367.68 2,000.00 -632.32 68.4%6320-60 · National Development Council 0.00 1,000.00 -1,000.00 0.0%6320-70 · NETEDR Meetings 0.00 250.00 -250.00 0.0%6320-80 · Misc Kilgore Mtgs/Other 0.00 200.00 -200.00 0.0%6320-82 · Sales Tax Training (odd years) 0.00 500.00 -500.00 0.0%6320-85 · Open Meetings (odd years) 0.006320-86 · Gregg County Days 0.006320-90 · Mileage Expenses 449.26 2,000.00 -1,550.74 22.5%6320 · Contractual Travel Expense - Other 0.00

Total 6320 · Contractual Travel Expense 5,180.62 24,450.00 -19,269.38 21.2%

6321 · Contractual Adv & Legal Notices 0.00 250.00 -250.00 0.0%6324 · Contractual Dues, Fees & Member

6324-10 · TEDC 900.00 1,350.00 -450.00 66.7%6324-20 · IEDC 345.00 375.00 -30.00 92.0%6324-30 · BREI 0.00 100.00 -100.00 0.0%6324-40 · NETEDR 0.00 150.00 -150.00 0.0%6324-50 · Kilgore Chamber of Commerce 200.00 185.00 15.00 108.1%6324-60 · Sam's Wholesale Club 0.00 135.00 -135.00 0.0%6324-70 · SEDC 0.00 345.00 -345.00 0.0%6324 · Contractual Dues, Fees & Member - Other 0.00

Total 6324 · Contractual Dues, Fees & Member 1,445.00 2,640.00 -1,195.00 54.7%

6326 · Contractual Rental Equipment 1,627.11 3,000.00 -1,372.89 54.2%6350 · Contractual Network/Computers 5,811.00 12,000.00 -6,189.00 48.4%6300 · Contractual Services - Other 0.00

Total 6300 · Contractual Services 189,314.48 430,583.00 -241,268.52 44.0%

6310 · Loan Payments - City 0.006315 · Contractual - Special Svcs/Inc 448,296.52 1,302,850.00 -854,553.48 34.4%6316 · Contractual - Legal 7,314.00 22,000.00 -14,686.00 33.2%6325 · Shell Building Tenant Build Out 0.006340-00 · Marketing-General

6340-10 · Marketing Initiative Membership6340-11 · NETEA Membership 3,000.00 3,000.00 0.00 100.0%6340-12 · I-20 Membership 500.00 1,500.00 -1,000.00 33.3%6340-13 · Texas One Membership 1,000.00 1,000.00 0.00 100.0%6340-14 · Team Texas Membership 3,000.00 3,000.00 0.00 100.0%6340-15 · IAMC Membership 0.00 1,495.00 -1,495.00 0.0%6340-16 · CoreNet Global 850.00 850.00 0.00 100.0%6340-17 · Impact Data Tool 0.00 3,300.00 -3,300.00 0.0%6340-18 · Contact Management Tool 0.00 1,200.00 -1,200.00 0.0%6340-19 · Research 360 0.00 4,000.00 -4,000.00 0.0%6340-10 · Marketing Initiative Membership - Other 0.00

Total 6340-10 · Marketing Initiative Membership 8,350.00 19,345.00 -10,995.00 43.2%

6340-20 · Contractual Lead Generation 0.006340-00 · Marketing-General - Other 0.00

Total 6340-00 · Marketing-General 8,350.00 19,345.00 -10,995.00 43.2%

6341 · eMarketing6341-10 · Web Presence Management

6341-11 · Web Page Updates 0.00 5,000.00 -5,000.00 0.0%6341-12 · Pay Per Click 2,500.00 7,000.00 -4,500.00 35.7%6341-13 · Optimization 100.00 7,000.00 -6,900.00 1.4%6341-14 · Chamber Ad 0.006341-10 · Web Presence Management - Other 0.00

Total 6341-10 · Web Presence Management 2,600.00 19,000.00 -16,400.00 13.7%

6341-20 · Directory Listings 340.00 1,000.00 -660.00 34.0%6341-30 · Site Selection Network 0.006341-40 · Real Estate Advertising

6341-41 · FastFacility 0.006341-42 · LoopNet 0.006341-43 · Misc Other Sites 0.00 2,000.00 -2,000.00 0.0%6341-44 · REDNews 0.006341-40 · Real Estate Advertising - Other 750.00

Total 6341-40 · Real Estate Advertising 750.00 2,000.00 -1,250.00 37.5%



Page 19


Section VI


6341-50 · E-Marketing 2,132.45 9,500.00 -7,367.55 22.4%6341 · eMarketing - Other 0.00

Total 6341 · eMarketing 5,822.45 31,500.00 -25,677.55 18.5%

6342 · Collateral Materials6342-10 · Brochures 28.98 2,500.00 -2,471.02 1.2%6342-20 · Photographs & Videos 1,005.00 6,000.00 -4,995.00 16.8%6342-30 · Billboard Adv 0.00 1,500.00 -1,500.00 0.0%6342-40 · Bnchmrk & Forecasting Analysis 0.00 2,500.00 -2,500.00 0.0%6342-50 · Promotional Items 980.30 2,000.00 -1,019.70 49.0%6342 · Collateral Materials - Other 0.00

Total 6342 · Collateral Materials 2,014.28 14,500.00 -12,485.72 13.9%

6343 · Trade Shows, Cons Visits & Misc6343-10 · Texas One

6343-11 · Texas One Meetings/Events 1,055.06 2,500.00 -1,444.94 42.2%6343-12 · Trade Missions 0.00 5,000.00 -5,000.00 0.0%6343-10 · Texas One - Other 0.00

Total 6343-10 · Texas One 1,055.06 7,500.00 -6,444.94 14.1%

6343-20 · Team Texas6343-21 · CEO-Showcase 0.00 2,000.00 -2,000.00 0.0%6343-22 · Site Selection Consultant 2,200.92 2,000.00 200.92 110.0%6343-23 · Team Texas Meetings 0.00 500.00 -500.00 0.0%6343-24 · TT IAMC Event 0.00 1,500.00 -1,500.00 0.0%6343-25 · TT Misc Event 0.00 2,500.00 -2,500.00 0.0%6343-20 · Team Texas - Other 0.00

Total 6343-20 · Team Texas 2,200.92 8,500.00 -6,299.08 25.9%

6343-30 · Misc Events 0.00 12,000.00 -12,000.00 0.0%6343-40 · IAMC

6343-41 · Fall Meeting 202.40 4,000.00 -3,797.60 5.1%6343-42 · Spring Meeting 1,582.14 4,000.00 -2,417.86 39.6%6343-40 · IAMC - Other 0.00

Total 6343-40 · IAMC 1,784.54 8,000.00 -6,215.46 22.3%

6343-50 · NETEA6343-51 · NTCAR Trade Show 0.00 350.00 -350.00 0.0%6343-52 · Real Estate Exec Visits 302.91 1,000.00 -697.09 30.3%6343-53 · Company Visits 338.39 1,000.00 -661.61 33.8%6343-54 · State Agency Visits 0.00 1,250.00 -1,250.00 0.0%6343-55 · Sponsorship Opportunities -1,024.83 2,000.00 -3,024.83 -51.2%6343-56 · NETEA Meetings 159.95 200.00 -40.05 80.0%6343-50 · NETEA - Other 0.00

Total 6343-50 · NETEA -223.58 5,800.00 -6,023.58 -3.9%

6343-60 · Misc Consultant Visits 5,043.54 5,000.00 43.54 100.9%6343-70 · Misc Marketing Opportunities 13,556.41 30,000.00 -16,443.59 45.2%6343-80 · I-20 Corridor

6343-81 · I-20 Meetings 0.00 100.00 -100.00 0.0%6343-82 · I-20 Corridor Events 474.25 500.00 -25.75 94.9%6343-80 · I-20 Corridor - Other 0.00

Total 6343-80 · I-20 Corridor 474.25 600.00 -125.75 79.0%

6343-90 · Right Corner 4,656.676343 · Trade Shows, Cons Visits & Misc - Other 0.00

Total 6343 · Trade Shows, Cons Visits & Misc 28,547.81 77,400.00 -48,852.19 36.9%

6344 · Biennial Surveys6344-10 · Labor Market (even years) 0.006344-20 · Wage & Benefit (odd years) 0.00 3,000.00 -3,000.00 0.0%6344-30 · Tax Base Value (odd years) 0.006344-40 · Surveys 2,250.00 20,000.00 -17,750.00 11.3%6344-50 · Skills Assessment 0.006344 · Biennial Surveys - Other 0.00

Total 6344 · Biennial Surveys 2,250.00 23,000.00 -20,750.00 9.8%

6345 · Business Retention & Expansion6345-10 · Qtrly Newsletter/Press Releases

6345-11 · Printing/Postage 0.006345-12 · Subcontractor 0.006345-10 · Qtrly Newsletter/Press Releases - Other 0.00

Total 6345-10 · Qtrly Newsletter/Press Releases 0.00

6345-20 · Annual Report 0.00 500.00 -500.00 0.0%



Page 20


Section VI


6345-30 · BRE & CEO Meetings6345-31 · BRE Meetings with Chamber 508.67 2,000.00 -1,491.33 25.4%6345-32 · CEO Meetings 54.44 2,500.00 -2,445.56 2.2%6345-30 · BRE & CEO Meetings - Other 0.00

Total 6345-30 · BRE & CEO Meetings 563.11 4,500.00 -3,936.89 12.5%

6345-40 · HR Meetings 452.23 5,000.00 -4,547.77 9.0%6345-50 · Cooperative Programs

6345-51 · SBDC Programs 3,000.00 3,000.00 0.00 100.0%6345-52 · Workforce Development 1,500.00 25,000.00 -23,500.00 6.0%6345-53 · BRE Projects 3,283.60 10,000.00 -6,716.40 32.8%6345-50 · Cooperative Programs - Other 0.00

Total 6345-50 · Cooperative Programs 7,783.60 38,000.00 -30,216.40 20.5%

6345-60 · BRE Survey-Update 0.006345-90 · Advisory Board Meetings 39.95 200.00 -160.05 20.0%6345 · Business Retention & Expansion - Other 0.00

Total 6345 · Business Retention & Expansion 8,838.89 48,200.00 -39,361.11 18.3%

6347 · Web Page & Email Fees & Maint. 811.53 2,500.00 -1,688.47 32.5%6400 · Synergy Center Lease Expense

6401-10 · Lease Payments 15,788.16 30,000.00 -14,211.84 52.6%6401-20 · NNN Expense 6,041.77 11,500.00 -5,458.23 52.5%6401-30 · Electricity 2,145.97 6,000.00 -3,854.03 35.8%6401-40 · Telephone & Fiber

6401-41 · Telephone Lease-Cypress -575.006401-40 · Telephone & Fiber - Other 1,768.85 3,600.00 -1,831.15 49.1%

Total 6401-40 · Telephone & Fiber 1,193.85 3,600.00 -2,406.15 33.2%

6401-50 · Cleaning 1,990.00 4,500.00 -2,510.00 44.2%6401-60 · Supplies 679.69 2,000.00 -1,320.31 34.0%6401-70 · Misc Repairs & Maintenance 1,715.72 5,000.00 -3,284.28 34.3%6401-80 · Room Rentals -998.366400 · Synergy Center Lease Expense - Other 0.00

Total 6400 · Synergy Center Lease Expense 28,556.80 62,600.00 -34,043.20 45.6%

6501 · Maintenance - Bldgs & Grounds6501-10 · Synergy Park

6501-01 · Supplies-Maintenance & Cleaning 483.54 2,000.00 -1,516.46 24.2%6501-02 · Contract-Maintenance/Cleaning 5,500.00 13,200.00 -7,700.00 41.7%6501-03 · Fish 2,500.00 2,500.00 0.00 100.0%6501-04 · security camera expenses 3,235.00 9,000.00 -5,765.00 35.9%6501-05 · Gate Repairs 316.00 3,500.00 -3,184.00 9.0%6501-06 · Water Utilities 785.50 2,000.00 -1,214.50 39.3%6501-07 · Electric-signs, front, pavilion 634.27 2,000.00 -1,365.73 31.7%6501-08 · SPPOA Reimbursement -12,875.006501-11 · Contractual Security Patrol 4,035.00 12,000.00 -7,965.00 33.6%6501-12 · Brush Hog/Open Area Mowing 7,780.00 22,500.00 -14,720.00 34.6%6501-13 · Trail Mowing, etc 8,700.00 23,200.00 -14,500.00 37.5%6501-14 · Additional Weed Eating, Etc 0.006501-15 · Tree Cutting/Removal 620.00 7,500.00 -6,880.00 8.3%6501-16 · Weed & Ant Control 0.00 1,600.00 -1,600.00 0.0%6501-17 · Landscape & Beds Maintenance 1,500.00 3,600.00 -2,100.00 41.7%6501-18 · Telephone lines to gate 283.23 700.00 -416.77 40.5%6501-19 · Misc Repairs & Maintenance 3,594.70 20,000.00 -16,405.30 18.0%6501-10 · Synergy Park - Other 0.00

Total 6501-10 · Synergy Park 27,092.24 125,300.00 -98,207.76 21.6%

6501-20 · NKIP6501-21 · Brush Hog/Open Area Mowing 0.00 1,000.00 -1,000.00 0.0%6501-22 · Weed & Ant Control 0.00 250.00 -250.00 0.0%6501-23 · Misc Repairs & Maintenance 135.00 1,000.00 -865.00 13.5%6501-24 · Water Utilities 0.006501-25 · Electric Utilties 0.006501-20 · NKIP - Other 0.00

Total 6501-20 · NKIP 135.00 2,250.00 -2,115.00 6.0%

6501-30 · KIP6501-31 · Brush Hog/Open Area Mowing 240.00 2,000.00 -1,760.00 12.0%6501-32 · Landscape & Bed Maintenance 950.00 2,280.00 -1,330.00 41.7%6501-33 · Misc Repairs & Maintenance 0.00 1,000.00 -1,000.00 0.0%6501-34 · Water Utilities 0.006501-35 · Electric Utilities 118.76 250.00 -131.24 47.5%6501-30 · KIP - Other 0.00

Total 6501-30 · KIP 1,308.76 5,530.00 -4,221.24 23.7%



Page 21


Section VI


6501-40 · 1313 Energy Dr6501-41 · Contractual Security Patrol 0.006501-42 · Landscape, Mowing & Bed Maint 0.006501-43 · Misc Repairs & Maintenance 0.006501-44 · Water Utilities 0.006501-45 · Electric Utilities 0.006501-40 · 1313 Energy Dr - Other 0.00

Total 6501-40 · 1313 Energy Dr 0.00

6501-50 · Reserve for buildings & grounds 0.00 50,000.00 -50,000.00 0.0%6501 · Maintenance - Bldgs & Grounds - Other 0.00

Total 6501 · Maintenance - Bldgs & Grounds 28,536.00 183,080.00 -154,544.00 15.6%

6503 · Business Technology Center6503-10 · Synergy Center Cleaning 0.006503-20 · Synergy Center Supplies 0.006503-30 · Synergy Center Room Rentals 0.006503 · Business Technology Center - Other 0.00

Total 6503 · Business Technology Center 0.00

6504 · Business Tech Ctr-Leasehold Imp 0.006560 · Payroll Expenses 0.006708 · Accounting & Professional Fees 5,150.00 8,500.00 -3,350.00 60.6%6709 · 4A(s) Projects 0.00 300,000.00 -300,000.00 0.0%6803 · Capital Expenditures-Equipment

6803-01 · Under $5,000 2,156.43 5,000.00 -2,843.57 43.1%6803-02 · Over 5,000 227.50 15,000.00 -14,772.50 1.5%6803 · Capital Expenditures-Equipment - Other 0.00

Total 6803 · Capital Expenditures-Equipment 2,383.93 20,000.00 -17,616.07 11.9%

6804 · Capital Expenditures-Furniture6804-01 · Under $5,000 0.006804 · Capital Expenditures-Furniture - Other 0.00

Total 6804 · Capital Expenditures-Furniture 0.00

6860 · Synergy Park Trail Construction 0.006870 · Land and Improvement Expense

6870-01 · Under $5,000 0.00 0.00 0.00 0.0%6870-02 · Over $5,000 345,314.85 0.00 345,314.85 100.0%6870 · Land and Improvement Expense - Other 0.00 0.00 0.00 0.0%

Total 6870 · Land and Improvement Expense 345,314.85 0.00 345,314.85 100.0%

6899 · Bond Issue Costs 0.006900 · Suspense 0.00

Total Expense 1,199,899.12 2,602,658.00 -1,402,758.88 46.1%

Net Ordinary Income 976,657.56 377,912.00 598,745.56 258.4%

Other Income/ExpenseOther Income

5300 · Sale of Asset 0.006290 · Transfers In 0.007107 · Other Resources 0.007108 · Bond Proceeds 0.00

Total Other Income 0.00

Other Expense6295 · Transfers Out

6295-10 · Bond Principal 0.00 110,000.00 -110,000.00 0.0%6295-20 · Bond Interest 0.00 87,412.00 -87,412.00 0.0%6295-30 · General Transfers 0.00 500.00 -500.00 0.0%6295-40 · Bond Set-Aside 0.00 180,000.00 -180,000.00 0.0%6295 · Transfers Out - Other 98,376.00

Total 6295 · Transfers Out 98,376.00 377,912.00 -279,536.00 26.0%

6296 · Transfer Out to Fund 71 0.00

Total Other Expense 98,376.00 377,912.00 -279,536.00 26.0%

Net Other Income -98,376.00 -377,912.00 279,536.00 26.0%

Net Income 878,281.56 0.00 878,281.56 100.0%

Mid

-Yea

r Re

port

2012

-201

3K

ilgor

e Ec

onom

ic D

evel

opm

ent C

orpo

ratio

n

Page

22

Sect

ion

VI

VI.

Fina

ncia

l A

ctiv

itie

s - C

ash

Flow

Sect

ion

VI

Mid

-Yea

r Re

port

2012

-201

3K

ilgor

e Ec

onom

ic D

evel

opm

ent C

orpo

ratio

n

Page

23

VI.

Fina

ncia

l A

ctiv

itie

s - C

ash

Flow

Sect

ion

VI

Mid

-Yea

r Re

port

2012

-201

3K

ilgor

e Ec

onom

ic D

evel

opm

ent C

orpo

ratio

n

Page

24

Sect

ion

VI

VI.

Fina

ncia

l A

ctiv

itie

s - C

ash

Flow

Sect

ion

VI

Mid

-Yea

r Re

port

2012

-201

3K

ilgor

e Ec

onom

ic D

evel

opm

ent C

orpo

ratio

n

VI.

Fina

ncia

l A

ctiv

itie

s - C

ash

Flow

Page

25

Sect

ion

VI


Page 26


Section VII

Short Term Challenges

A. Relevant real estate inventory 23, or 37%, of 2012-13 leads prefer existing building space with an average facility space of 82,000 square feet needed. Since last FY, KEDC has been unable to respond to 10 leads because of building inventory, representing a known investment of $408,000,000 and 2,145 jobs.

Recommended response The existing strategic plan and program of work already call for KEDC to manage gaps between property requests and availability. Because a full 84% of these leads are from target industries, staff recommends board consider additional building square footage.

Long term issues

A. Recurring efforts to diminish the scope of the dedicated funds for economic development at the state level. Each legislative session brings new threats to our funding source.

Recommended response Working with legislators, both as an individual corporation and through the Texas Economic Development’s legislative committee, should be added to the strategic plan as an objective.

B. Rural relevance While Kilgore is growing at a faster rate than the county in general, it still falls well behind the metro areas of Austin, Dallas and Houston as well as the state as a whole.

Recommended response Affecting small town perceptions is already a stated objective in the strategic plan. It is recommended that KEDC’s pursuit of new indicators such as TEDC’s Documented Sites program and IEDC’s Accredited Economic Development Organization program be made a priority in the program of work. These programs verify Kilgore as a prime business location.

C. Rail service Since last FY, KEDC has been unable to respond to nine leads because of a lack of rail service. These leads represent a known $1,060,400,000 in investment and 3,455 jobs.

Recommended response Companies requiring rail service are often larger projects in both investment and jobs. Synergy Park has existing infrastructure and 130 acres on four lots available that could be rail served. Staff recommends the board consider bringing rail into the park.

VII. Challenges

mur-ytaf rurtaf no-nd fy 2012-13 mid... · forklift rodeo appreciation reception quarterly...

Documents