HomeMy WebLinkAbout02-08-16 Meeting of the La Porte Development Corporation Board of Directors
RICHARD WARREN, PRESIDENTRICHARD WARREN, PRESIDENTMIKE CLAUSEN, BOARD MEMBERMIKE CLAUSEN, BOARD MEMBER
MIKE COOKSLEY, VICEMIKE COOKSLEY, VICE--PRESIDENTPRESIDENTRANDY WOODARD, BOARD MEMBERRANDY WOODARD, BOARD MEMBER
JAY MARTIN, BOARD MEMBERJAY MARTIN, BOARD MEMBERNANCY OJEDA, BOARD MEMBERNANCY OJEDA, BOARD MEMBER
CHUCK ENGELKEN, BOARD MEMBERCHUCK ENGELKEN, BOARD MEMBER
CITY OF LA PORTE DEVELOPMENT CORPORATION MEETING AGENDACITY OF LA PORTE DEVELOPMENT CORPORATION MEETING AGENDA
Notice is hereby given of a meeting of the City of La Porte Development Corporation to be held on Notice is hereby given of a meeting of the City of La Porte Development Corporation
to be held on
February 8, 2016February 8, 2016, at the City Hall Council Chambers, 604 W. Fairmont Parkway, La Porte, Texas, , at the City Hall Council Chambers, 604 W. Fairmont Parkway, La Porte,
Texas,
beginning at 5:00 PM to consider the following items of business:beginning at 5:00 PM to consider the following items of business:
1.CALL TO ORDERCALL TO ORDER
2.CONSENT AGENDACONSENT AGENDA (All consent agenda items are considered routine by the La Porte (All consent agenda items are considered routine by the La Porte
Development Corporation Board and will be enacted by one motion. There will be no separate Development Corporation Board and will be enacted by one motion. There will be no separate
discussion of these items unless a Board member requests an item be removed and considered discussion of these items unless a Board member requests an item be removed and considered
separately)separately)
Consider approval or other action regarding minutes of the La Porte Development Consider approval or other action regarding minutes of the La Porte Development
(a)
Corporation Board meeting held on January 11, 2016 Corporation Board meeting held on January 11, 2016 -- P. Fogarty P. Fogarty
Receive Financial Report Receive Financial Report -- S. Livingston S. Livingston
(b)
Consider approval or other action authorizing Staff to execute payment in the amount of Consider approval or other action authorizing Staff to execute payment in the amount of Consider
approval or other action authorizing Staff to execute payment in the amount of Consider approval or other action authorizing Staff to execute payment in the amount of
(c)(c)
$100,000.00 to Gantstein Esquire, LLC (the Pipeline Grill) for completed infrastructure, site $100,000.00 to Gantstein Esquire, LLC (the Pipeline Grill) for completed infrastructure,
site
improvements, and other related improvements for building site at 10003 Spencer Hwy, in improvements, and other related improvements for building site at 10003 Spencer Hwy, in
accordance with terms of incentive agreement accordance with terms of incentive agreement -- S. Livingston S. Livingston
3.DISCUSSION AND POSSIBLE ACTIONDISCUSSION AND POSSIBLE ACTION
Discussion and possible action regarding the proposed Economic Development Strategic Discussion and possible action regarding the proposed Economic Development Strategic
(a)
Plan Update Plan Update -- S. Livingston S. Livingston
4.SET DATE FOR NEXT MEETING SET DATE FOR NEXT MEETING -- S. Livingston S. Livingston
5.Board member comments regarding matters appearing on agenda; Recognition of Board member comments regarding matters appearing on agenda; Recognition of
community members, city employees, and upcoming events; inquiry of staff regarding community members, city employees, and upcoming events; inquiry of staff regarding
specific factual information or existing policies.specific factual information or existing policies.
6.AdjournAdjourn
The La Porte Development Corporation Board reserves the right to meet in closed session on any The La Porte Development Corporation Board reserves the right to meet in closed session
on any
agenda item should the need arise and if applicable pursuant to authorization by Title 5, Chapter 551, agenda item should the need arise and if applicable pursuant to authorization by
Title 5, Chapter 551,
of the Texas Government Code (the Texas open meetings laws).of the Texas Government Code (the Texas open meetings laws).
In compliance with the Americans with Disabilities Act, the City of La Porte will provide for reasonable In compliance with the Americans with Disabilities Act, the City of La Porte
will provide for reasonable
accommodations for persons attending public meetings. To better serve attendees, requests should be received accommodations for persons attending public meetings. To better serve attendees,
requests should be received
24 hours prior to the meetings. Please contact Patrice Fogarty, City Secretary, at 281.470.5019.24 hours prior to the meetings. Please contact Patrice Fogarty, City Secretary, at 281.470.5019.
CERTIFICATIONCERTIFICATION
I certify that a copy of the February 8, 2016, agenda of items to be considered by the Board of the La Porte Development I certify that a copy of the February 8, 2016, agenda of items
to be considered by the Board of the La Porte Development
Corporation was placed on the City Hall Bulletin Board on February 2, 2016.Corporation was placed on the City Hall Bulletin Board on February 2, 2016.
Patrice Fogarty, City SecretaryPatrice Fogarty, City Secretary
RICHARD WARREN, PRESIDENT
MIKE CLAUSEN, BOARD MEMBER
MIKE COOKSLEY, VICE PRESIDENT RANDY WOODARD, BOARD MEMBER
CHUCK ENGELKEN, BOARD MEMBER NANCY OJEDA, BOARD MEMBER
JAY MARTIN, BOARD MEMBER
MINUTES OF LA PORTE DEVELOPMENT CORPORATION BOARD
MEETING OF JANUARY 11, 2016
January 11, 2016,
The City of La Porte Development Corporation Board met on at the City Hall Council
5:00 p.m
Chambers, 604 West Fairmont Parkway, La Porte, Texas, at . to consider the following items of
business:
1. CALL TO ORDER
President Richard Warren called the meeting to order at 5:00 p.m. The following members of the
La Porte Development Corporation Board were present: Vice-President Cooksley, Board members
Clausen, Engelken, Woodard, Martin and Ojeda. Staff Present: Corby Alexander, Traci Leach, Patrice
Fogarty, Scott Livingston, and Clark Askins.
(
2. CONSENT
All consent agenda items are considered routine by the La Porte Development Corporation Board
and will be enacted by one motion. There will be no separate discussion of these items unless a Board member
requests an item be removed and considered separately.)
(a)
Consider approval or other action of minutes of the La Porte Development Corporation Board
meeting held on December 14, 2015 P. Fogarty
Vice-President Cooksley moved to approve minutes of the La Porte Development Corporation Board
MOTION PASSED
meeting held on December 14, 2015. Board member Woodard seconded.
UNANIMOUSLY 7/0.
(b)
Receive Financial Report S. Livingston
Economic Development Coordinator Scott Livingston provided the Financial Report.
Board member Clausen moved to approve the Financial Report. Vice-President Cooksley seconded.
MOTION PASSED UNANIMOUSLY 7/0.
3. AUTHORIZATIONS
This item was taken out of order.
(c)
Consider approval or other action to adopt proposed amendments to the Bylaws of the La Porte
-laws to the
City Council for consideration S. Livingston
Economic Development Coordinator Scott Livingston presented a summary.
Page 1 of 3
January 11, 2016, La Porte Development Corporation Board Minutes
Board member Woodard moved to amend the Bylaws and increase authorized expenditures up to
MOTION PASSED UNANIMOUSLY 7/0.
$50,000.00. Board member Ojeda seconded.
(a) Consider approval or other action authorizing an enhancement grant in an amount not to exceed
$42,057.86 payable to Brotamonte Asset 1, LLC., and associated development agreement, for
nd
infrastructure improvements to apartment building complex located at 315 N. 2 Street with payment to
be remitted at the completion of the project S. Livingston
Economic Development Coordinator Scott Livingston presented a summary.
Edwin Brotamonte provided a presentation on the project.
Board member Woodard moved to approve Option A, Traditional for an
enhancement grant in an amount
not to exceed $42,057.86 payable to Brotamonte Asset 1, LLC., and associated development agreement, for
nd
infrastructure improvements to apartment building complex located at 315 N. 2 Street with payment to be
MOTION PASSED.
. Board member Ojeda seconded.
remitted at the completion of the project
Ayes: Vice-President Cooksley, Board members Woodard, Engelken
and Ojeda
Nays: President Warren, Board members Martin and Clausen
Absent: None
(b)
Consider approval or other action authorizing an incentive grant in an amount not to exceed
infrastructure improvements to property located at 1010 S. Broadway, Street, with payment to be
remitted at the completion of the project - S. Livingston
Economic Development Coordinator Scott Livingston presented a summary
Hardware, Inc., estimates $611,559.28 investment to upgrade and request an incentive grant not to
exceed $250,000.00.
Board member Woodard moved to give to the project 25% of $611,559.28
Hardware, Inc., and associated development agreement, for infrastructure improvements to property
located at 1010 S. Broadway, Street, with payment to be remitted at the completion of the project.
MOTION PASSED.
Board member Martin seconded.
Ayes: President Warren, Vice-President Cooksley, Board members
Woodard, Clausen and Martin
Nays: Board members Ojeda and Engelken
Absent: None
(c)
Consider approval or other action to adopt proposed amendments to the By-Laws of the La Porte
-laws to the
City Council for consideration S. Livingston
Authorization Item c was taken out of order. See item above.
4. SET DATE FOR NEXT MEETING
Page 2 of 3
January 11, 2016, La Porte Development Corporation Board Minutes
Board members set the next meeting date for Monday, February 8, 2016, and Monday,
March 14, 2016, at 5:00 p.m.
5. BOARD MEMBER COMMENTS
regarding matters appearing on agenda; recognition of community
members, city employees, and upcoming events; inquiry of staff regarding specific factual information
or existing policies.
Board member Ojeda commented ; her only problem is
paying for interior furniture; equipment and fixtures. In addition, Board member Ojeda commented she
is excited about the Sylvan Beach Apartments and knows former Councilmember Moser would be
proud.
6. ADJOURN
There being no further business, Board member Woodard moved to adjourn the meeting at 5:45 p.m.
MOTION PASSED UNANIMOUSLY 7/0.
Vice-President Cooksley seconded.
Respectfully submitted,
____________________________________
Patrice Fogarty, City Secretary
th
Passed and approved on this 8 day of February 2016.
____________________________________
President Richard Warren
Page 3 of 3
January 11, 2016, La Porte Development Corporation Board Minutes
This is an Unaudited Statement.
City of La Porte
La Porte Development Corporation (038) Fund Summary
(Section 4B Sales Tax)
Previous
ReportFY 2015-16FY 2014-15
Unaudited Beginning Fund Balance 9/30$3,458,203$3,458,203$3,213,390
Plus Year to Date Revenues:
1/2 Cent Sales Tax---
Transfers-In---
Interest Income-391363
Total Revenues-391363
Equals Total Resources3,458,2033,458,5943,213,753
Less Year to Date Expenditures:
Payroll-6,7307,060
Supplies-1151
Services & Charges (Memberships, Training, Advertising, Legal, Utilities)-1,0336,903
Capital Outlay---
*
Debt Service Transfer-56,72290,318
Total Expenditures-64,600104,282
Estimated Year to Date Fund Balance as of 9/30/2016$3,458,203$3,393,994$3,109,471
Commitments
Pipeline Grill$300,000
Richard Industrial Group10,000
ACT Independent Turbo Service, Inc.426,000
Debt Service Reserve680,668
$1,416,668
Adjusted Year to Date Fund Balance$1,977,326
Projection Through Year End
Adjusted Year to Date Fund Balance$1,977,326
Plus: Estimated Sales Tax2,434,375
Less: Estimated Operational Costs(350,928)
Less: Debt Service Transfers(623,946)
Projected Year End Fund Balance$3,436,827
Sales tax revenues for Fiscal Year 2016 are estimated to be $2,434,375.
Previously Funded Projects (Funding in Fund 015 - General CIP Fund)
BudgetExpendituresBalance
Façade Grants407,669131,697275,972
Total407,669131,697275,972
*Debt Service Payments for Library, Bay Area Boulevard & Canada Road and Ballfields.
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION AGENDA REQUEST FOR LA PORTE DEVELOPMENT CORPORATION AGENDA
ITEMITEM
February 8, 2016February 8, 2016AppropriationAppropriation
Agenda Date Requested:Agenda Date Requested:
Fund 038Fund 038
Scott D. LivingstonScott D. LivingstonSource of Funds:Source of Funds:
Requested By:Requested By:
Account Number:Account Number:
Economic Development/TourismEconomic Development/Tourism
Department:
$300,000.00$300,000.00
Amount Budgeted:Amount Budgeted:
Report:Resolution:Resolution:Ordinance:Ordinance:
$100,000.00$100,000.00
Amount Requested:Amount Requested:
Exhibits:
Budgeted Item:Budgeted Item:YESYESNONO
1. Pipeline Grill Presentation Pipeline Grill Presentation
2. Pipeline Grill, Payment Request 1 of 3 Pipeline Grill, Payment Request 1 of 3--
January 5, 2016January 5, 2016
3. Financial Analysis of Pipeline Grill's Invoices Financial Analysis of Pipeline Grill's Invoices
and Checksand Checks
4. Executed Development Agreement, June 1, Executed Development Agreement, June 1,
2015
SUMMARY & RECOMMENDATIONSSUMMARY & RECOMMENDATIONS
On 1 June 2015, the ED Board approved an economic development agreement in the amount of $300,000 to be On 1 June 2015, the ED Board approved an economic development agreement in the
amount of $300,000 to be
paid to Gantstein Esquire, LLCGantstein Esquire, LLC((aka aka the Pipeline Grillthe Pipeline Grill) ) in three equal installments of $100,000 each for capital in three equal installments
of $100,000 each for capital
improvements, renovation of the restaurant, and related infrastructure and site work. improvements, renovation of the restaurant, and related infrastructure and site work.
According to the terms of the development agreement, Gantstein Esquire, LLC must satisfy three conditions prior According to the terms of the development agreement, Gantstein Esquire,
LLC must satisfy three conditions prior
to receiving the first payment of $100,000: payment to receiving the first payment of $100,000: payment
Complete the renovation work,Complete the renovation work,Complete the renovation work,Complete the renovation work,
Obtain a Certificate of Occupancy from the City of La Porte, andObtain a Certificate of Occupancy from the City of La Porte, and
Provide proof of expenditure of at least $1.2 million in infrastructure and site related improvements. Provide proof of expenditure of at least $1.2 million in infrastructure and site
related improvements.
Staff has evaluated the documentation for each condition and recommends execution of payment in the amount of Staff has evaluated the documentation for each condition and recommends
execution of payment in the amount of
$100,000 to Gantstein Esquire, LLCGantstein Esquire, LLCper the terms of the enclosed economic development agreement. per the terms of the enclosed economic development agreement.
The enclosed file called The enclosed file called Pipeline Grill PresentationPipeline Grill Presentationshows pictures of the renovated restaurant, and the principal shows pictures
of the renovated restaurant, and the principal
of Ganstein Esquire, LLC will be available to answer any questions that the Board may have about the project. of Ganstein Esquire, LLC will be available to answer any questions that
the Board may have about the project.
Action Required by the La Porte Development Corporation:Action Required by the La Porte Development Corporation:
Consider approval or other action to authorize staff to execute payment in the amount of $100,000.00 to Gantstein Consider approval or other action to authorize staff to execute payment
in the amount of $100,000.00 to Gantstein
Esquire, LLC (aka the Pipeline Grill) for completed infrastructure, site improvements, and other related Esquire, LLC (aka the Pipeline Grill) for completed infrastructure, site improvements,
and other related
improvements for building site at 10003 Spencer Hwy, in accordance with terms of incentive agreement.improvements for building site at 10003 Spencer Hwy, in accordance with terms of
incentive agreement.
Approved for the La Porte Development Corporation AgendaApproved for the La Porte Development Corporation Agenda
Corby D. Alexander, City ManagerCorby D. Alexander, City ManagerDateDate
From: KRIS GANT \[mailto:kgant11@yahoo.com\]
Sent: Tuesday, January 05, 2016 4:52 PM
To: Livingston, Scott <LivingstonS@laportetx.gov>
Subject: Pipeline Grill La Porte
Scott,
The attached documents are the certificate of occupancy and accounting of
expenditures for the La Porte restaurant. If you have any questions, please contact me
at your earliest convenience. Let me know when we can expect the first payment of
$100,000
Thanks
Kris Gant
Construction Administration, Inc.
333 Freeport Street
Houston, Texas 77015
713-455-2100 Office
713-450-2434 Fax
kgant11@yahoo.com
15-518666526117613017614371986672041272106872393672472272661130233050151240633718097356 & 809736980975618099286 & 809952580996688100811 & 8101036810124681015518101622618296335263984644276495165543660
9566816
Invoice #s
Pipeline Grill Expenditures -- Analysis of Invoices and Cleared Checks
519.602,814.501,020.264,536.00778.007,480.00365.00541.25116.917,036.254,986.003,444.52545.00395.00545.00395.00790.00395.00395.00395.00113.66
22,889.4692.0192.0192.0192.0192.0192.0192.01
Amount
$ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $
$ $ $ $ $
$ $ $ $ $ $ $
$
1
Check #
51415042510851525022502950415102511851625111515550305002501750265038509951195137515150115016502050335043507451035132
Payment Date
12/14/201510/30/201510/21/201511/16/201512/31/201512/28/201510/21/201511/19/201512/14/201512/24/201510/20/201511/24/2015
8/24/20157/16/20157/29/20158/18/201511/6/20156/22/20157/22/20158/10/20156/18/20157/16/20158/24/20159/22/2015
1/5/20168/3/20154/9/20156/8/20158/3/2015
Bayou City Waste Systems, L.P.Bayou City Waste Systems, L.P.Bayou City Waste Systems, L.P.Bayou City Waste Systems, L.P.Bayou City Waste Systems, L.P.Bayou City Waste Systems, L.P.Bayou
City Waste Systems, L.P.Bayou City Waste Systems, L.P.
American Southern Supply Co.
American Door ProductsAmerican Door ProductsAmerican Door ProductsAmerican Door ProductsAmerican Door ProductsAmerican Door Products
Payee
All the Marbles, Inc.All the Marbles, Inc.
Bay Area Landscape
A-1 Fire Equipment
American Genesis
Alamo Stone
BJ PortacanBJ PortacanBJ PortacanBJ PortacanBJ PortacanBJ PortacanBJ PortacanBJ Portacan
67247752763N/AN/AN/A233652341823424283366/29/159/3/159/16/1510/9/1510/23/1511/5/1512/18/158/12/15N/A8/12/15N/AN/AN/AN/A3150131805 & 315013191131988 & 3198932110 & 3211132208, 322072015634201587479778
2,960.641,818.604,659.081,818.604,766.835,304.25850.003,601.583,810.005,508.296,358.425,201.032,702.204,000.004,000.005,180.003,299.203,873.403,873.40368.005,936.431,215.654,866.38
45.3822,191.2522,821.2515,000.0034,580.2316,160.5016,415.0060,908.5042,470.00
$
$ $
$ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $
2
51575144502850505057508050825087509750185059507250955105511251605039504750555083508851095120500850455076509451365172506451465125
12/22/201512/14/201510/14/201510/15/201510/13/201510/26/201512/22/201510/28/201511/16/201510/21/201511/25/201511/18/2015
7/29/20159/29/201510/1/20157/10/20159/22/201511/9/20158/14/20158/24/20158/31/20159/28/201510/9/20158/21/20159/30/20159/14/201512/7/2015
9/1/20159/9/20159/8/20156/4/20151/8/2016
Express Electrical Services, Inc.Express Electrical Services, Inc.Express Electrical Services, Inc.Express Electrical Services, Inc.Express Electrical Services, Inc.Express Electrical
Services, Inc.
Custom Built Fabrication
F.Z. Multi-Services, Inc.F.Z. Multi-Services, Inc.
Everardo RodriguezEverardo RodriguezEverardo RodriguezEverardo RodriguezEverardo RodriguezEverardo RodriguezEverardo Rodriguez
Eduardo MaltosEduardo MaltosEduardo MaltosEduardo MaltosEduardo MaltosEduardo MaltosEduardo Maltos
Coast GraphicsCoast GraphicsCoast GraphicsCoast GraphicsCoast GraphicsCoast Graphics
Fire Boss, Inc.
BJ Portacan
C2 Media
797785000-375211506115061165811613, 11620, 116789/10/153-279885, 3-279955, 3-2804603-281316, 3-283292, 3-283794, 3-2838953-291809857888600286725N/A1287272-8574572-8585472-8599078858439384853F5910F591
07682148014861493, 149415031441150915171224, 1556
540.719,118.80111,164.6555,582.331,590.551,200.006,087.087,231.352,310.062,034.342,975.881,769.635,749.43431.11368.85766.41400.00400.006,155.007,370.587,700.009,700.00300.006,700.00
19,631.7917,248.2827,179.6722,029.0012,400.0026,300.0015,500.0014,800.00
$ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $
$ $ $ $
$ $ $ $ $ $ $ $ $
$
3
WIREDWIRED
514350775159517150615040505150895023503150905078516750275046506250055066516950655128513850255032504450685081509351175140
12/11/201512/22/201510/13/201510/13/201510/29/201511/19/201510/14/201511/16/2015
9/22/20157/17/20159/17/20159/14/20158/18/20158/31/20157/16/20159/24/20151/13/20167/29/20158/27/20159/16/20154/29/20159/17/201512/1/20157/20/20157/29/20158/24/20159/22/20159/28/201512/8/2015
1/8/20168/3/20151/4/2016
Houston Sawing & Drilling, Inc.Houston Sawing & Drilling, Inc.Houston Sawing & Drilling, Inc.
Hangman CorporationHangman CorporationHangman CorporationHangman Corporation
Lancaster Glass, Inc.
Fire Boss, Inc.
Head WatersHead WatersHead Waters
Landa PavingLanda PavingLanda PavingLanda PavingLanda PavingLanda PavingLanda PavingLanda Paving
Gas Light Pro
Lam NguyenLam Nguyen
John Villars
J.D. FieldsJ.D. FieldsJ.D. Fields
HpossHposs
HARS
JDSIJDSI
4150171115018362395639573080310531233145NC-4925NC-4940, NC-494145182777678011480141, 8021741077, 410783589623618053624214275-31127-57256-4730730729, 730, 773, 774, 776, 777 2015258425091627127627129,
627130, 627131, 627132627133627135, 627136627137627140
12,500.0094,768.761,461.382,168.003,000.0017,000.0027,000.002,300.0031,359.5032,329.50974.25443.5081.415,574.875,791.802,286.241,295.54120.8648.7040,000.0020,000.0026,665.031,028.387,700.002,963.0013
,308.005,822.005,715.007,225.003,083.00
28,000.0097.40
$ $ $
$ $ $
$ $ $ $ $ $ $ $ $ $ $
$ $ $ $
$ $ $ $ $ $ $ $ $ $ $
4
50065168513950845110502150795130516550925163500951455161511350525101511450545070507550865128516651495001501950245036504850565063
11/25/201510/14/201511/28/201511/20/201510/22/201511/16/201511/20/2015
5/18/20151/14/201612/3/20159/30/201511/2/20157/14/201510/1/20151/12/20161/19/20169/22/20159/28/201510/9/20151/21/20163/31/20157/10/20157/20/20158/24/20158/31/20159/14/2015
1/8/20166/8/20159/1/20159/4/20151/6/20168/5/2015
South Texas Maintenance
Rasmussen Wood ShopRasmussen Wood Shop
Simplified ElectronicsSimplified ElectronicsSimplified Electronics
Sanchez and SanchezScholl Forest LumberScholl Forest LumberScholl Forest Lumber
Southern ErectionSouthern ErectionSouthern ErectionSouthern ErectionSouthern ErectionSouthern ErectionSouthern Erection
Sherwin WilliamsSherwin WilliamsSherwin Williams
RNA MechanicalRNA Mechanical
Safeway SignsSafeway Signs
Nato DrywallNato Drywall
RG PlumbingRG PlumbingRG PlumbingRG Plumbing
Roto-Rooter
Pro Clean
627142627145627148, 627149, 62715662715862715762715962717049534, 5141957208104421048551703879-00155235596-00156036208-00155752146-001, 56338885-00156923658-001, 55688043-002225JW112231359634WLY
IV-340150, HOU IV-468213HOU IV-475631, HOU IV-477649HOU IV-488805HOU IV-501295
4,432.093,947.5412,785.004,118.003,450.008,435.007,536.707,260.005,367.006,180.89220.8356.0240.63628.831,927.97678.22200.001,313.82974.256,072.191,433.492,596.402,489.30 1,264,695.36
$ $
$ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $
$ $ $ $
$
$
5
WIRED
5069508551045106511651355071515651235153501050915124513151505115515451735037505350735100
10/14/201510/26/201510/26/201511/23/201512/30/201511/20/201512/24/201510/13/201511/16/201511/24/201512/22/201511/16/201512/31/201510/20/2015
9/28/201510/2/201511/9/20159/28/20151/12/20169/22/2015
6/8/20158/6/20159/1/2015
Standard Automatic Fire Ent. Inc.Standard Automatic Fire Ent. Inc.
Telephone Market & Services
STYLECRAFT PRODUCTS
Triangle Reproductions
Style Craft Products
Southern ErectionSouthern ErectionSouthern ErectionSouthern ErectionSouthern ErectionSouthern ErectionSouthern Erection
Sunbelt RentalsSunbelt RentalsSunbelt RentalsSunbelt RentalsSunbelt Rentals
T&D Transport
Triple S SteelTriple S SteelTriple S SteelTriple S Steel
Total:
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION AGENDA ITEM
Budget
Agenda Date Requested: 8 February 2016
Source of Funds:
Requested By: Scott D. Livingston
Account Number:
Department: Administration/Economic Development
Amount Budgeted:
Report: Resolution: Ordinance:
Amount Requested:
Exhibit: 2009 ED Strategic Plan - Achievements
Budgeted Item: YES NO
Exhibit: Takeaways from the 2009 ED Strategic Plan_
Exhibit: La Porte’s ED Strategic Plan, May 2009
SUMMARY & RECOMMENDATION
On Nov 11, 2015, the Board heard a presentation from John Cook, Regional Manager of
Economic Development for CenterPoint Energy and a local member of the committee that
certifies economic development organizations as an Accredited Economic Development
Organization (AEDO).
An Economic Development Strategic Plan is an important cornerstone of any professional
economic development organization, and it is a necessary tool to acquire certification as an
AEDO. In that same meeting, the Board discussed the process for formulating a new ED
Strategic Plan, and the Board recommended that the 2009 ED Strategic Plan Board be updated or
refreshed. In the budget for FY 2015-2016, the ED Board appropriated $20,000 to update and/or
refresh the new ED Strategic Plan for the City of La Porte. The cost of a brand new strategic
plan is likely to exceed the existing budget.
As a result, the Board asked staff to identify how many of the recommended items in the 2009
ED Strategic Plan have been completed. Most of the items have been completed, and the items
that were not completed were as a result of lack of community consensus (i.e. Main Street),
changing priorities, and changes in technology. For specific information, please see “2009 ED
Strategic Plan - Achievements”.
Based upon the approach that the ED consultants took to survey the community and formulate
the 2009 ED Strategic Plan, staff feels comfortable in updating the existing plan, refining the
focus, identifying and prioritizing new projects, and then creating a new plan of action, and
performance metrics to move forward. Key findings of the 2009 ED Strategic Plan are enclosed
as “Takeaways from the 2009 ED Strategic Plan”, and a full copy of the 2009 ED Strategic Plan
is also enclosed.
1
Discussion and Next Steps?
Last fall, staff polled the Board to ascertain the basic direction or general priorities of the Board
with respect to economic development, and three Board members responded as follows:
Quality of Life (3 votes)
Attract/Create Primary Jobs (2 votes)
Retail (2 votes)
Please note that this tally does not consider the votes of the four other Board members.
Attracting/Creating Primary Jobs
However, with the exception of “”, the Board’s response
generally reflects the priorities outlined in the 2009 ED Strategic Plan.
Staff Recommendation
update
If the Board wishes to the current ED Strategic Plan, staff recommends hiring an ED
Consultant to assist the community in addressing only items #4, 5, and 7 below that includes
opportunities for public comment. Items #1-3 were already addressed in the 2009 ED Strategic
Plan, and items #6 and 8-11 would be completed by City Staff. If the Board wishes to formulate
altogether new
an ED Strategic Plan, then staff recommends hiring an ED Consultant to assist
the community in address items #1-5 and 7 below.
Steps for Formulating and Maintaining an ED Strategic Plan
1)Community Visioning -- Seek input from the ED Board, other city boards and
commissions, City Council, business community, and citizens regarding desired projects.
2)Identify the community’s strengths, weaknesses, opportunities, and threats,
3)Community Assessment (i.e. Where are we now? What resources do we have to
accomplish our vision? What do we need to accomplish our vision?)
4)Formulate Realistic Goals, Objectives, and Strategies to Accomplish Our Vision
5)Identify and Prioritize Projects to Accomplish Our Vision
6)Report Project Plans to Accomplish Our Vision to the Public and Request Feedback
7)Develop Plans of Action with Performance-Based Metrics to Accomplish Our
Vision
8)Implement the Plans of Action to Accomplish Our Vision
9)Monitor and Evaluate the Plans of Action against the Performance Metrics
10)Annually Re-tool and Adjust the ED Strategic Plan
2
11)Annually Report Accomplishments to the Public
bold
Note: Steps in above identify those for which the Board may wish to consider soliciting the
professional assistance of an ED Consultant to work with ED Staff.
Action Required by the La Porte Development Corporation:
Discussion and possible action regarding the proposed Economic Development Strategic Plan
update.
Approved for the La Porte Development Corporation Agenda
Corby D. Alexander, City Manager Date
3
Takeaways from the 2009 ED Strategic Plan
(Note: The letter in parenthesis following the statement represents the Chapter, while the number references
the page number in the chapter. For example, (I,24) means page #24 in Chapter #1)
Across the board, considering surveys with 42 local leaders and 301 residents, survey responses reflected a
beautificationMain
consistent thinking among La Porte residents. Quality of place topics such as ,
Street/downtown revitalizationSylvan Beach revitalization
, and to
development priorities. Traditional economic development roles such as business recruitment, local
business expansion, and external marketing rated much lower. (I24,26)
lack of retail shoppingdowntownarts and culture
ere the , , , and the
. (I,24)
community development
Many residents encouraged the City to concentrate on balancing growth through
vs. industrial recruitmentoffering families enhanced
, , and
entertainment and recreational opportunities
. (I,24)
Limited retail trade opportunities result in sales tax leakages to surrounding communities.
La Porte is severely underserved when it comes to retail opportunities. (I,1)
Economic diversific
force. La Porte residents comprise only 11.7% (Note: Pg. I,11 says 13.4%) of total local employment, with
the balance of workers commuting from surrounding cities. Future economic development recruitment
strategies should link the skills sets of current La Porte residents with industry targets. (I,2)
Quality of Place
-term economic development efforts. La
downtown historic beach waterfront
-utilized resources are its ,,and . Enhancing
Sylvan Beach, redeveloping downtown, and improving Main Street serves not only to encourage economic
growth, but these initiatives directly improve the quality of life for city residents. (I,2)
current total employment. Over the long-term, filling retail trade gaps and expanding tourism-related
activities (i.e. Main Street redevelopment) should help diversify the local economy and benefit residents by
providing employment opportunities closer to home. (I,7 and II,9))
A large
city is not strong in retail trade, healthcare, or education, nearly 1 in 4
La Porte residents work in these sectors. (I,9)
In 2006, only 13.4% of La Porte residents worked in the city. Since La Porte residents work throughout the
non-local residents
energy sector. The downside is that La Porte-based businesses pay high wages to .
(I,11) Millions of dollars in wages are leaking to surrounding cities. (I,18)
1
The fact that workers will commute to La Porte for work is a good indicator that future tourism and quality
of place projects (i.e. Sylvan Beach and downtown) will attract visitors from neighboring communities.
(I,11)
-70%) peer communities. (I,21)
(Note: This means that the city is experience retail leakage, and our existing retailers are neither meeting the
retail demand within our city, nor attracting customers from other communities.)
Strengths
: Bay front location, Sylvan Beach, and historic Main Street top the list. Others included a strong
industry base, low cost of living, current and planned parks, and close proximity to all the educational,
cultural, and business assets of the Greater Houston Area (II,1,3)
Weaknesses
Downtown and the Bay Front, intra-city communication, limited undeveloped land, and the lack of
economic diversification. (II,1,3)
Threats
: Truck traffic, oil and gas industry downturn, external perception of La Porte, flooding, and growth
management. O
Opportunities
: Quality of Life factors including downtown revitalization, and Sylvan Beach improvement,
connecting Main
readiness, and continued investment in parks and trails. Capitalizing on these opportunities will please the
residents and encourage the growth of a more diverse mix of businesses. (I,1,3)
Downtown: The City of La Porte has a tremendous opportunity to further ramp up the
o
ability to attract tourists and retailers. (II,10)
Sylvan Beach: Significant improvements have been made to Sylvan Beach.
o
(II,10-11)
Beautification
o
represents an opportunity for the City. Beautification initiatives are a visible representation of the
Tourism: Tourism represents an opportunity for La Porte to diversify its economy, but it will not
o
reach its full potential unless the City invests in beautification, downtown revitalization, and Sylvan
Beach improvements. (II,12)
Retail Readiness: Another opportunity is to offer local residents a good level of support for starting
o
their own businesses. Locally-grown, niche retail will be a good complement to downtown
revitalization. (II,12)
quality of life
SWOT Summary: The focus of economic development in La Porte is . Its audience is
unique amenities. La Porte should target:
Tourists: Seek to attract day visitors from the Greater Houston Area.
o
2
Retailers: Niche retailers, such as those that would locate in the Main Street District or
o
neighborhood centers, need attractive space, quality control, and assurance of adequate local
demand. Ensure that the city has the appropriate infrastructure and policies in place to attract
retailers.
Hospitality Businesses: As La Porte invests in tourism amenities, hospitality businesses become a
o
natural target. Full service restaurants are a prime target immediately. Long-term, small grocers,
wellness businesses, art studios, and bed and breakfasts will fit well in La Porte. City may wish to
consider recruiting a hospitality-training academy as an anchor.
Real Estate Developers: (II,15)
o
Local leaders recognized that quality of life is critical to helping local businesses and residents thrive. The
r
one of the most desired destinations in the Greater Houston Area. (III,3)
Two different kinds of retail markets (destination and local service), a tourism base, and downtown living
can establish La Porte as one of the best places in the Houston Region to live and visit. (III,4)
Main Street is positioned to provide a community gathering place to anchor expanding residential urban
living in the Greater Downtown (La Porte) Area. The sustained living environment will make service retail
for tourists and neighborhoods more viable on Main Street. (III,5)
Incentives to consider to revitalize downtown La Porte may include expanding the TIRZ, empowerment
zone, and Chapter 380. (III,6)
The key to La Porte sustaining its new economic development prospects will be a focus on the livability and
the current code would need to revise the existing Main Street Overlay and Main Street District
Guidelines to create a new comprehensive master plan for Greater Downtown that includes a higher level of
detail that creates investment certainty from property to property and street to street. (III,9,14)
Expanding the recreational and retail capacity of the community will serve both residents and tourists. In La
Porte, entertainment, retail trade, and enhanced tourism amenities are valid targets for economic
development. For example, a destination retail/entertainment project not only attracts regional shoppers, but
also helps stop retail leakage to neighboring communities. (III,17-18)
The community has overwhelmingly stated its desire for economic development to prioritize qualify of life
enhancements, specifically in four areas:
Beautification
o
Downtown
o
Sylvan Beach
o
Retail (III,26)
o
3
Chapter 1:
Economic Assessment
ECONOMIC DEVELOPMENT STRATEGIC PLAN
CITY OF LA PORTE, TEXAS
January 2009
1601 D West 6th Street
Austin, Texas 78703
(512) 472-1 555
www.avalancheconsulting.com
ListofFigures
Figure1:CityofLaPorteStudyAreaΑZipCodes......................................................................3
Figure2:CityofLaPortePeerCommunities..............................................................................4
Figure3:LaPortePopulationTrends&Forecast.......................................................................5
Figure4:PeerCommunityPopulationGrowthRate(2000to2007).........................................5
Figure5:MedianAges(2005to2007Average).........................................................................6
Figure6:WhereEmployedLaPorteResidentsWork.............................................................12
Figure7:WhereWorkersLivewhoareEmployedbyLaPorteBusinesses.............................13
Figure8:LaPorteUnemploymentRate...................................................................................17
Figure9:RegionalUnemployment(November2008).............................................................18
Figure10:LaPorteAverageWageperJob...............................................................................19
Figure11:VisitorDestinationSpending(2008)........................................................................20
Figure12:AnnualLaPorteTotalSalesTaxRebates.................................................................21
Figure13:LaPorteSingleFamilyBuildingPermitActivity.......................................................22
Figure14:LaPorteAverageValueperSingleFamilyDwellingUnit($)...................................23
Figure15:AverageValueperSingleFamilyDwelling(2007)...................................................23
Figure16:HowsatisfiedareyouwiththefollowingaspectsofLaPorte?ͶͶͶͶͶͶͶͶͶͶ26
Figure17:Whatarethecity'stopthreeeconomicdevelopmentpriorities?ͶͶͶͶͶͶͶͶ26
ListofTables
Table1:RegionalPopulationTrends..........................................................................................6
Table2:CityofLaPorteStudyAreaEmploymentTrends..........................................................7
Table3:EstimatedRegionalEmploymentTrends(2006)..........................................................8
Table4:LaPorteStudyAreaResidentIndustrySectorEmploymentProfile.............................9
Table5:LaPorteStudyAreaResidentLaborForceProfileversusIndustryBase(2006)........10
Table6:WhereEmployedLaPorteResidentsWork................................................................11
Table7:WhereLaPortebasedBusinessEmployeesLive........................................................12
Table8:ClusterIndustryMicrofoundations.............................................................................14
Table9:LaPorteStudyAreaIndustryConcentrations............................................................16
Table10:RegionalPerCapitaIncomeandAverageWageTrends..........................................19
Table11:AnnualEconomicImpactofLaPorteVisitorSpending............................................20
Table12:PerCapitaRetailSalesSubjecttoSalesTax..............................................................21
|
City of La Porte, Texas - Economic & Demographic Assessment January 2009
SummaryofEconomicTrends&KeyFindings
LaPortehasgrownsteadilyoverthepasttwodecadesbyweatheringstatewideeconomic
downturnsinnaturalresourceindustries,thehightechsectorcollapse,andrealestate
bubbles.TheĭźƷǤƭstrongmanufacturingbase,proximitytothePortofHouston,andshort
commutetoIƚǒƭƷƚƓƭcentralbusinessdistricthavehelpedbufferthesedownturns.The
highpercentofresidentswhoworkthroughoutgreaterHoustonandbringwagesbacktoLa
Portealsomitigatetheeffectsoflocalemploymentforces.Thecurrenteconomicrecession,
however,willhavenegativeconsequencesforLaPorte.Reducedinternationaltradeand
plummetingoilpriceswillinfluencelocalbusinessdecisions.TXPbelievesanumberofkey
factorswillhelpshapetheğƩĻğƭeconomiclandscapeandfutureeconomicdevelopment
strategies:
Overthenextfiveyears,LaPortebasedemploymentwillstruggletogrowaslocal
firmsadjusttothenationalrecession.LatƚƩƷĻƭindustrialbaseisheavilydependent
onthesectorshithardduringthiseconomicdownturn:oilrefineries,petrochemical
manufacturers,andtheconstructionbusiness.
Despiterecentfluctuations,theoilandgassectorwillremainthedominantforcein
theLaPorteeconomy.Thissectorisresponsiblefor30to40percentoftotalLaPorte
businessesoutput.Foranumberofreasonsincludingexistingcapitalinvestment,
difficultyinrelocatingoperations,andlongtermconsumerdemand,themajorityof
thesefirmswillreboundoncethenationaleconomystartstogrow.
LatƚƩƷĻƭproximitytothePortofHoustonandtransportationinfrastructurewill
causefuturegrowthinthewarehousingsector.ThesuccessfulbuildoutofthePort
CrossingCommerceCenteroverthenext10yearswillbeamajordriverofthelocal
economy.Thispropertyalonecouldsupport4millionsquarefeetofbuildingspace
whenfullydeveloped.Increasedtrafficcongestionmightcreateissues,butthis
ƭĻĭƷƚƩƭgrowthwillhelpdiversifythelocaleconomy.
Limitedretailtradeopportunitiesresultinsalestaxleakagestosurrounding
communities.LaPorteisseverelyunderservedwhenitcomestoretailopportunities.
Cityleadersandcommunitystakeholdersareworkinghardtoaddressthisissue.La
tƚƩƷĻƭlimitedretailsectoralsomeansitsgeneralfundwillnotdeclineasmuchas
communitiesdependentonhouseholdspendingfortaxrevenue.Thisprovidesthe
citytimetorefineitsrecruitmentstrategywhileretailersmodifybusinessplansto
adjusttotheslowingeconomy.
1
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
EconomicdiversificationrequiresattractingbusinessesthatcantakeadvantageofLa
tƚƩƷĻƭdiverselaborforce.LaPorteresidentscompriseonly11.7percentoftotal
localemployment,withthebalanceofworkerscommutingfromsurroundingcities.
GiventheheavyconcentrationofmanufacturingandconstructionfirmsinLaPorte,
itisimportanttodiversifytheĭźƷǤƭemploymentbasetolimittheeffectsofa
downturninthesetwosectors.Therefore,futureeconomicdevelopment
recruitmentstrategiesshouldlinktheskillssetofcurrentLaPorteresidentswith
industrytargets.
QualityofplaceshouldbethecornerstoneofLaPortelongtermeconomic
developmentefforts.LaPortehasarobusteconomywithlocalbusinessesemploying
moreworkersthanlocalresidentsinthelaborforce.Limitedlandavailablefor
developmenthindersmajorprojectslookingforagreenfieldsite.LatƚƩƷĻƭmost
underutilizedresourcesareitsdowntown,historicbeach,andwaterfront.Thelackof
amasterplanoroverarchingstrategytounitetheseelementsisanissue.Enhancing
SylvanBeach,redevelopingdowntown,andimprovingMainStreetservesnotonlyto
encourageeconomicgrowth,buttheseinitiativesdirectlyimprovethequalityoflife
forcityresidents.
2
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
CityofLaPorteStudyArea
LatƚƩƷĻƭtwoindustrialzones(BattlegroundIndustrialDistrictandBayportIndustrial
District)arenotwithinitscitylimits.Asaresult,datasetsspecifictothecitylimitsofLaPorte
undercountlocalbusinessactivity.Becausefirmslocatedintheindustrialdistrictspaidover
$10.0millionͻźƓlieuofƷğǣĻƭͼin2008andemploythousandsofworkers,anyanalysisofLa
Porteshouldincludetheseareas.Toaddressthisissue,TXPdefinedtheLaPorteͻ{ƷǒķǤ
!ƩĻğͼbasedontwozipcodes:77571and77507(outlinedinredinFigure1).Whilenota
perfectfitforLaPorteandtheindustrialzones,theStudyAreaboundariesprovidean
appropriaterepresentationoftheĭźƷǤƭbusinessprofile.UnlessdenotedastheStudyArea,
theinformationpresentedislimitedtoLatƚƩƷĻƭcitylimits(ex.populationestimates)
highlightedingreeninFigure1.
Figure1:CityofLaPorteStudyAreaΑZipCodes
3
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
TXPselectedanumberofLaPorteregionalpeercommunitiesbasedonemploymentand
populationsize,geographiclocation,industrialmix,andresidentcommutingpatterns.The
longtermdamagecausedbyHurricaneIkecreatedchallengesintheselection.TheCityof
Galveston,forexample,wouldhavebeenanappropriatepeercommunityforassessingLa
tƚƩƷĻƭtourismsector,butthemassivestormdamagehasdramaticallyalteredDğƌǝĻƭƷƚƓƭ
future.BecauseLaPorteislandlockedandsurroundedbylargeindustrialcomplexes,
suburbancommunitiestothenorthandwestofHoustonwerenotappropriate.The
followingpeercommunitieswerechosen:
CityofBaytown
CityofDeerPark
CityofLeagueCity
CityofTexasCity
Figure2:CityofLaPortePeerCommunities
4
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
PopulationGrowthTrends
LatƚƩƷĻƭpopulationhasbeenslowlyincreasingoverthepastdecade.Thecurrent
populationestimateforLaPorteisapproximately34,300residents.Since2000,thecityhas
added2,200residents,anincreaseof6.9percent.LatƚƩƷĻƭmodestgrowthstandsinstark
contrasttosignificantpopulationgrowthinpeercommunitiesandtheHoustonMSA.The
TexasWaterDevelopmentBoardforecaststheĭźƷǤƭpopulationwillsurpass42,000by2030.
Figure3:LaPortePopulationTrends&Forecast
45,000
40,000
35,000
30,000
25,000
20,000
15,000
10,000
5,000
0
20002001200220032004200520062007201020202030
Source:U.S.CensusBureau,TexasWaterDevelopmentBoard
Figure4:PeerCommunityPopulationGrowthRate(2000to2007)
60%
50%
49%
40%
30%
20%
15%
14%
10%
7%
7%
5%7%
0%
BaytownDeerParLaPorteLeagueCitTexasCitHarrisCountyStateofTexas
kyy
Source:U.S.CensusBureau
5
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Table1:RegionalPopulationTrends
BaytownDeerParkLaPorteLeagueCityTexasCityHoustonMSA
Year
200066,56428,54632,04145,88241,7004,740,423
200166,96928,75832,84548,10242,5114,855,878
200267,68629,04933,38851,15842,6554,988,369
200368,05529,03333,67354,40342,6905,098,375
200468,04628,96233,66657,69443,2745,208,977
200569,31329,42433,62260,91743,9025,321,501
200670,01330,36634,54464,41044,4565,507,557
200770,13530,62834,26168,17844,4155,628,101
CAGR0.75%1.01%0.96%5.82%0.91%2.48%
Source:U.S.CensusBureau
Areviewofpopulationcomponentsuncoveredanumberofusefulfactorsrelatedtolabor
forceavailability.First,themedianageofLaPorte(34.7yearsofage)ismuchhigherthanthe
HarrisCountyaverageof32.6yearsofage.Second,over63.0percentoftheĭźƷǤƭcurrent
populationiscomprisedofworkingagedresidentsdefinedbetweentheagesof18and65.
Last,thepercentageofschoolagedchildren(betweentheagesof6and17)islowerinLa
Portethanpeercommunities.Onaverage,LaPorteishometoalargepercentageof
workingageadultsoryoungchildren.Thecombinationofthesetrends,isputtingupward
pressureonLatƚƩƷĻƭmedianage,butoffersrelocatingandexpandingbusinessesa
proximatelaborforce.
Figure5:MedianAges(2005to2007Average)
35.5
35.0
35.0
34.5
34.7
34.0
34.2
33.5
33.0
33.1
33.0
32.5
32.632.6
32.0
31.5
31.0
BaytownDeerParkLaPorteLeagueCityTexasCityHarrisCountyStateofTexas
Source:U.S.CensusBureauAmericanCommunitySurvey
6
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
EconomicBase&JobCreation
LatƚƩƷĻƭemploymentbaseexpandedbetween2005and2006(thelastyeardatais
availableatthesubcountylevel),adding3,200newjobsora10.8percentincreaseintotal
employment.In2006,therewereapproximately29,300LaPortebasedbusinessemployees.
TheManufacturing,Construction,andTransportation&Warehousingsectorsplayalarge
roleintheLaPorteeconomy.Thesethreesectorsaccountformorethan60.0percentofLa
tƚƩƷĻƭcurrenttotalemployment,comparedto21.6percentfortheHoustonMSAand51.5
percentDeerPark.Overthepasttwoyears,LatƚƩƷĻƭemploymentbasehaslikely
contractedbecauseofdecliningnaturalresourceprices,fallinginternationaltrade,andthe
nationalrecession.ContinuedgrowthatthePortCrossingCommerceCenterand
redevelopmentactivityassociatedwithSylvanBeachParkrepresentthemostlikely
opportunitiesforgrowthoverthenextfewyears.Overthelongterm,fillingretailtradegaps
andexpandingtourismrelatedactivity(ex.MainStreetredevelopmentandBayportCruise
Terminal)shouldhelpdiversifythelocaleconomy.
Table2:CityofLaPorteStudyAreaEmploymentTrends
Description20022003200420052006
Agriculture,Fishing&Hunting10716510
Mining,&OilandGasExtraction546543496869908
Utilities136105173175203
Construction3,9263,8724,5116,2107,555
Manufacturing8,0046,5686,9907,3227,703
WholesaleTrade1,5371,5881,4271,8162,108
RetailTrade1,078922919880829
Transportation&Warehousing2,2422,2992,2572,2772,366
Information3340313226
Finance&Insurance213197209199263
RealEstate,Rental&Leasing284258240240307
Professional&ScientificServices9661,1821,1721,2241,445
ManagementofCompanies1532791691319
Administration&Support7066727511,0181,316
EducationalServices1,3821,4471,4981,2371,622
HealthCare&SocialAssistance443339401414434
Arts,Entertainment,&Recreation157164163168152
Accommodation&FoodServices7977849201,006968
OtherServices533680776749805
PublicAdministration344348322336335
Total23,49022,29423,44126,19029,374
Source:TXP,U.S.CensusBureauLEHDProgram
7
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Duetodatalimitations,specificcitylevelemploymentvaluesarenotavailable.Basedon
industrialdistricts,zipcodes,ETJs,andcitylimits,TXPcreatedestimatesofemploymentby
majorsector.Thepurposeofthisdatasetistohighlightwhichsectorsarestrongineachcity,
notactualemploymentfigures.
Table3:EstimatedRegionalEmploymentTrends(2006)
LaPorteLeagueTexas
BaytownDeerParkStudyAreaCityCity
Description
Agriculture,Fishing&Hunting19181012
Mining,&OilandGasExtraction3,3548779084022
Utilities27214720358188
Construction2,1725,2047,5551,206817
Manufacturing6,6084,1847,7031783,777
WholesaleTrade9119502,108434305
RetailTrade4,4879938291,2442,102
Transportation&Warehousing8174042,366251229
Information3564126225136
Finance&Insurance669305263503428
RealEstate,Rental&Leasing894229307196308
Professional&ScientificServices1,8599271,445977349
ManagementofCompanies27171985
Administration&Support1,6587701,316602709
EducationalServices4,4972,2441,6226,3771,483
HealthCare&SocialAssistance3,6294594341,2152,595
Arts,Entertainment,&Recreation3219152372157
Accommodation&FoodServices2,6915799681,4591,484
OtherServices1,140489805570344
PublicAdministration705176335307503
Total37,33019,01229,37416,22315,943
Source:TXP,U.S.CensusBureauLEHDProgram
8
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
LaborForceProfile
Consistentwithaslowgrowingpopulation,LatƚƩƷĻƭemployedlaborforce(residentswho
haveajobregardlessoflocation)hasheldsteadyoverthepast5to10years.In2006,
roughly19,000LaPorteresidentswereemployed.Themanufacturingandconstruction
sectorscapturethelargestpercentageofworkingLaPorteresidents.Eventhoughthecityis
notstronginretailtrade,healthcare,oreducationoccupations,nearly1in4LaPorte
residentsworkinthesesectors.ThedisconnectbetweenLaPorteresidentoccupationsand
localjobsavailableindicatesalargenumberofresidentscommutetosurroundingcitiesfor
workeachday.
Table4:LaPorteStudyAreaResidentIndustrySectorEmploymentProfile
Description20022003200420052006
Agriculture,Fishing&Hunting2732373832
Mining,&OilandGasExtraction652573536546559
Utilities208196208165144
Construction2,2822,0271,7851,9452,156
Manufacturing2,7762,4782,5882,3912,572
WholesaleTrade9439209311,0721,049
RetailTrade1,7781,6741,7031,7521,814
Transportation&Warehousing974967971955986
Information226207232198176
Finance&Insurance455395485486516
RealEstate,Rental&Leasing327335333343392
Professional&ScientificServices1,1871,2201,2391,2431,394
ManagementofCompanies1001351217686
Administration&Support1,0048989841,1081,231
EducationalServices1,8121,8861,9281,7161,833
HealthCare&SocialAssistance1,3121,3691,3881,3871,356
Arts,Entertainment,&Recreation201180222211173
Accommodation&FoodServices1,2901,2361,3991,3861,443
OtherServices586573642603598
PublicAdministration438438445414478
Total18,57817,73918,17718,03518,988
Source:TXP,U.S.CensusBureauLEHDProgram
9
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Table5:LaPorteStudyAreaResidentLaborForceProfileversusIndustryBase(2006)
LaPorte
ResidentLaPorte
DescriptionEmploymentBusinesses
Agriculture,Fishing&Hunting0.2%0.0%
Mining,&OilandGasExtraction2.9%3.1%
Utilities0.8%0.7%
Construction11.4%25.7%
Manufacturing13.5%26.2%
WholesaleTrade5.5%7.2%
RetailTrade9.6%2.8%
Transportation&Warehousing5.2%8.1%
Information0.9%0.1%
Finance&Insurance2.7%0.9%
RealEstate,Rental&Leasing2.1%1.0%
Professional&ScientificServices7.3%4.9%
ManagementofCompanies0.5%0.1%
Administration&Support6.5%4.5%
EducationalServices9.7%5.5%
HealthCare&SocialAssistance7.1%1.5%
Arts,Entertainment,&Recreation0.9%0.5%
Accommodation&FoodServices7.6%3.3%
OtherServices3.1%2.7%
PublicAdministration2.5%1.1%
Total100.0%100.0%
Source:TXP,U.S.CensusBureauLEHDProgram
10
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
LaborShedAnalysis
Usingpubliclyavailabledataitispossibletoperformalaborshedanalysis.Thepurposeof
thisanalysisistohighlight:1)whereLaPorteresidentsworkand2)whereLaPortebased
businessemployeeslive.Theresultsareusefulinidentifyingfutureeconomicdevelopment
targets,determiningworkforcegaps,andguidingfuturepublicsectorinvestment.
In2006,approximately19,000cityresidentswereemployed.Atthesametime,LaPorte
basedbusinessesemployed29,000workers.Hypothetically,ifallLaPortebasedjobswere
firstfilledbylocalresidents,thenapproximately10,000workerswouldneedtocommuteto
thecityeachday.However,datafromtheCensusBureauLEHDProgrampaintadifferent
picture.
In2006,only13.4percentofLaPorteresidentsworkedinthecity.OveronethirdofLaPorte
workingresidentscommutedtoHoustoneachday.Otherlargeemploymentcenterswere
Pasadena,DeerPark,andBaytown.
ThesefindingscreatepositiveandnegativeimplicationsforLaPorte.BecauseLaPorte
residentsworkthroughouttheregioninabroadrangeofindustries,thiscanhelpoffsetthe
negativeeffectsofaslowdownintheĭźƷǤƭenergysector.ThedownsideisthatLaPorte
basedbusinessespayhighwagestononlocalresidents.However,thefactthatworkerswill
commutetoLaPorteforworkisagoodindicatorthatfuturetourismandqualityofplace
projects(SylvanBeachandDowntown)wouldattractvisitorsfromneighboringcommunities.
Table6:WhereEmployedLaPorteResidentsWork
Description20022003200420052006
Houston39.2%38.8%38.1%38.3%37.2%
LaPorte14.0%13.5%13.1%13.4%13.4%
Pasadena9.8%10.2%9.4%9.1%9.4%
DeerPark7.1%7.1%6.8%6.6%6.7%
Baytown3.1%2.7%3.4%3.1%3.0%
Webster1.4%1.6%1.6%1.8%1.5%
LeagueCity1.0%0.9%1.1%1.3%1.3%
Austin0.7%0.7%0.8%0.8%0.9%
Seabrook0.5%0.8%0.8%0.9%0.8%
Pearland0.6%0.8%0.9%0.7%0.8%
AllOtherLocations22.5%22.8%24.1%24.0%25.0%
Source:TXP,U.S.CensusBureauLEHDProgram
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Figure6:WhereEmployedLaPorteResidentsWork
Source:TXP,U.S.CensusBureauLEHDProgram
Table7:WhereLaPortebasedBusinessEmployeesLive
Description20022003200420052006
Houston18.1%18.0%17.5%17.2%18.1%
LaPorte14.7%14.4%13.6%12.8%11.7%
Pasadena10.6%10.3%10.2%10.0%10.2%
Baytown6.4%5.9%6.2%6.0%6.3%
DeerPark6.4%6.0%5.8%5.7%5.6%
LeagueCity2.8%2.9%3.1%2.8%2.4%
Pearland1.4%1.4%1.6%1.7%1.6%
TexasCity0.9%1.4%1.2%1.5%1.5%
Channelview1.3%1.4%1.3%1.2%1.3%
Friendswood1.3%1.3%1.2%1.0%1.2%
AllOtherLocations36.1%37.0%38.1%40.1%40.0%
Source:TXP,U.S.CensusBureauLEHDProgram
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Figure7:WhereWorkersLivewhoareEmployedbyLaPorteBusinesses
Source:TXP,U.S.CensusBureauLEHDProgram
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
IndustryClusterAnalysis
Industryclusteranalysisisacommonapproachusedineconomicdevelopmenttoevaluate
theeconomicbaseofaregion,usuallyatthecountyormulticountylevel.Clustersarehighly
integratedgroupsofbusinesseswithstrongverticalandhorizontallinkages.Notonlydoes
industryclusteranalysisdescribethecurrentstate,butthistechniqueisoftenusedto
identifyareasofrecruitmentopportunity.Industryclusteranalysis,however,isabroad
conceptratherthanapreciseterm.Thereisnotaunifieddefinitionofindustryclustersor
theirsubcomponents.
Ingeneral,aclusterconsistsoffirmsandrelatedeconomicactorsandinstitutionsthatdraw
productiveadvantagefromtheirmutualproximityandconnections.First,linkagesare
establishedinwhichbusinessesbuildrelationshipswithexistingspecializedsupplierfirms
throughoutaregion.Second,thesedevelopingclustersattractadditionalsupplierfirmsand
supportingbusinessfromoutsideofthearea.Finally,bycreatingacriticalmassof
production,labor,andinformation,relatedmanufacturersandsupplierfirmsareattractedto
thesedevelopingclusterregionstotakeadvantageoftheexistinghumanandphysical
infrastructure.
Acomprehensiveanalysisofindustryclustertechniquesreleasedby TheBrookingsInstitute
(MakingSenseofClusters:RegionalCompetitivenessandEconomicDevelopment,2006)
highlightssevenclusterdriverscalledͻƒźĭƩƚŅƚǒƓķğƷźƚƓƭͼofclustering:
Table8:ClusterIndustryMicrofoundations
MicrofoundationsDescription
LaborMarketPoolingStrongmarket/supplyforthedistinctiveskilledlaborneeded
SupplierSpecializationLargenumberofindustrialcustomersinthenearbyarea
createsufficientdemandtoenablesupplierstoacquireand
operateexpensivespecializedmachinery
KnowledgeSpilloversConcentrationofmanypeopleworkingonasimilarsetof
economicproblemsproducesawidelysharedunderstanding
ofanindustryanditsworkings
EntrepreneurshipEntrepreneurshipincludesboththewillingnessofindividuals
toformnewbusinessesandthewillingnessofownersof
existingbusinessestoundertakenewideas
PathDependenceandLockInSetofopportunitiesavailabletoanyparticularplacewillbe
shapedbytheeconomicactivitiesithasalreadyestablished
CultureCulturemaybeparticularlyimportantinhelpinglocal
economiesandclustersadapttochangeovertime
LocalDemandDemandinglocalconsumerscanpressurefirmstoinnovate
andtomaintainandimproveproductquality,whichinturn
improvestheircompetitivenessinothermarkets
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
TheBrookingsstudyconcludes,ͻLƷisdifficultforpublicpolicytocreatenewclusters
deliberately.Instead,policymakersandpractitionersshouldpromoteandmaintainthe
economicconditionsthatenablenewclusterstoemerge.Suchanenvironment,forexample,
mightsupportknowledgecreation,entrepreneurship,newfirmformation,andthe
availabilityofĭğƦźƷğƌ͵ͼ
Thereporthighlightstherolethepublicsectorcanplayinclusterdevelopmentby
microfoundation:
LaborMarketPooling:labormarketinformation,specializedtraining
SupplierSpecialization:brokering,recruiting,entrepreneurship,credit
Knowledgespillovers:networking,publicsectorresearchanddevelopmentsupport
Entrepreneurship:assistanceforstartups,spinoffs
xtend,refine,andrecombineexistingdistinctivespecializations
LockIn:worktoe
Culture:acknowledgeandsupportclusterorganization
LocalDemand:aggregateandstrengthenlocaldemand.
ApplicationofIndustryClusterAnalysistoLaPorte
Toassessthestrengthofaclusterinaregionaleconomy,thelocationfactorsarecalculated
bycomparingtheclǒƭƷĻƩƭshareoftotallocalemploymenttotheĭƌǒƭƷĻƩƭnationalshare.
Thisquotientwillyieldavaluegenerallybetween0.00and2.00,where1.00demonstratesan
equalsharepercentagebetweenthelocalandnationaleconomies.Clusterlocationfactors
greaterthan2.00indicateastrongclusteragglomeration,whilethoselessthan0.50indicate
extremelyweakclusters.
ThebiggestchallengeforperformingaclusteranalysisonLaPorteisdataavailability.
Clustersaretypicallydefinedusing6digitNAICS(abusinessclassificationsystem).Giventhe
employmentbasesizeofLaPorteandlinkagestoneighboringcities,detaileddataisnot
readilyavailablebecausegovernmentagenciesͻƭǒƦƦƩĻƭƭͼdatatoprotecttheconfidentiality
ofthebusinesses.Forexample,detailedemploymentandpayrolldataforthepetrochemical
sectorisnotreleasedforLaPortebecauseitmightrevealspecificinformationaboutlocal
firms.Therefore,TXPperformedaclusteranalysisusinglocationquotientsatthemajor
NAICSlevel.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Table9:LaPorteStudyAreaIndustryConcentrations
DeerLeagueTexas
BaytownParkLaPorteCityCity
Description
Agriculture,Fishing&Hunting0.320.600.220.040.08
Mining,&OilandGasExtraction2.701.390.930.070.04
Utilities0.981.040.930.481.58
Construction0.753.553.330.960.66
Manufacturing1.872.332.770.122.51
WholesaleTrade0.420.861.230.460.33
RetailTrade1.110.480.260.711.22
Transportation&Warehousing0.490.481.800.350.32
Information0.590.130.050.860.53
Finance&Insurance0.470.420.240.810.70
RealEstate,Rental&Leasing1.120.560.490.570.90
Professional&ScientificServices0.690.680.680.840.30
ManagementofCompanies1.200.060.110.080.05
Administration&Support0.610.560.620.510.61
EducationalServices1.131.110.523.680.87
HealthCare&SocialAssistance0.970.240.150.741.62
Arts,Entertainment,&Recreation0.760.040.462.020.87
Accommodation&FoodServices0.920.390.421.141.18
OtherServices1.090.910.971.250.77
PublicAdministration0.810.400.490.811.35
Total 0.320.600.220.040.08
Source:TXP,U.S.CensusBureauLEHDProgram
LaPortehassizeableconcentrationsofManufacturing,Construction,and
Transportation&WarehousingclustersrelativetotheHoustonMSA.In2006,La
Portewashometoover225establishmentsforthesethreesectorscombined.
LaPortehasabelowaverageretailtradeclusterforacommunityofitssize.A2006
retailtradestudyperformedbyBuxtondeterminedthatLaPortedoeshavethe
potentialtoattractnewretailersandrestaurants.
KeyindustryclusterslessdevelopedinLaPortethantheHoustonMSAasawhole
areHealthCare&SocialAssistance,EducationalServices,Accommodation&Food
Services,andArts,Entertainment,&Recreation.TheproximitytotheGreater
Houstonareawithalreadystrongclusters(ex.Kemah)aswellasgeographiclocation
onthefareasternedgeoftheregionmightlimitgrowthinsomeofthesesectors.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
UnemploymentRate
Consistentwithastablepopulationbaseandlargenumberofresidentsworkingoutsideof
thecity,LatƚƩƷĻƭunemploymentratehasfluctuatedbasedonregionaleconomictrends.In
2000,theunemploymentrateinLaPorteregistered3.2percent.By2005,the
unemploymentratehadrisento4.4percent.Theresurgenceoftheoilandgassector
createdaneconomicsurgeforthearea.Asaresult,theunemploymentratedroppedto3.6
percentin2007.Thecurrentnationaleconomicrecessionandfallingenergyprices,however
havereversedsomeofthesejobgains.ThecurrentunemploymentrateinLaPorteis6.0
percent,abovetheHarrisCountyaverageforthefirsttimethisdecade.
Figure8:LaPorteUnemploymentRate
8%
LaPorteHarrisCountyStateofTexas
7%
6%
5%
4%
3%
2%
1%
0%
200020012002200320042005200620072008(Nov)
Source:TexasWorkforceCommission
Comparedtoitspeercommunities,LatƚƩƷĻƭrisingunemploymentrateisconsistentwith
regionaltrends.InNovember2008,Texas/źƷǤƭunemploymentrateclimbedto9.3percent,
or50.0percentgreaterthantheLaPortevalue.DeerParkandLeagueCityhavethelowest
unemploymentratesat5.1percent5.3percentrespectively.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Figure9:RegionalUnemployment(November2008)
10%
9%
8%
7%
6%
5%
4%
3%
2%
1%
0%
BaytownDeerParkLaPorteLeagueCityTexasCityHarrisCountyStateofTexas
Source:TexasWorkforceCommission
PerCapitaIncome&WageLevels
WhileLatƚƩƷĻƭpopulationhasbeenslowlyincreasing,whencomparedtothestateasa
whole,itsresidents'percapitaincomehaskeptup.LatƚƩƷĻƭpercapitapersonalincomeis
3.7percentabovetheTexasaverage,but4.7percentbelowtheHarrisCountyAverage.The
20052007averagepercapitaincomeforLaPorteis$24,176versustheHarrisCounty
averageof$25,364.(Note,AmericanCommunitySurveyestimatesareusedtoproducethe
percapitaincomestatisticsandarebasedondatacollectedovera3yeartimeperiod.The
estimatesrepresenttheaveragecharacteristicsofpopulationbetweenJanuary2005and
December2007anddonotrepresentasinglepointintime.)
WagespaidtoLaPortebasedworkers,however,arewellabovestateandregionallevels.In
2006,theaveragesalarywas$57,195versustheHarrisCountyaverageof$51,932.LaPorte
isalsooutperformingallofitspeercommunities.
ItisnotpossibletoproducewageestimatesforLaPorteresidentswhoworkoutsideofthe
city.BasedonananalysisofLaPorteresidentoccupations(Table4)andaveragewageand
percapitaincometrends(Table11),however,itislikelythatresidentsearnlessthantheLa
Portebasedaveragewage.LaPorteregistersthegreatestdisparitybetweenpercapita
income(basedonplaceofresidence)andaveragewageperjob(basedonthelocationofthe
firm).Thisindicatesmillionsofwagesareleakingtosurroundingcities.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Figure10:LaPorteAverageWageperJob
$70,000
$60,000
$50,000
$40,000
$30,000
$20,000
$10,000
$0
2000200120022003200420052006
Source:U.S.CensusBureau,EconomicPlanningandCoordinationDivision
Table10:RegionalPerCapitaIncomeandAverageWageTrends
PerCapitaIncomeAverageWageperJob
2005to2007
2000Average20002006
AustinCounty$18,140$24,232$29,532$36,678
BrazoriaCounty$20,021$25,946$33,561$39,859
ChambersCounty$19,863$24,784$35,037$42,439
FortBendCounty$24,985$29,005$34,833$43,701
GalvestonCounty$21,568$26,204$29,333$38,170
HarrisCounty$21,435$25,364$41,339$51,932
LibertyCounty$15,539$17,720$24,435$30,355
MontgomeryCounty$24,544$29,279$31,563$39,429
SanJacintoCounty$16,144$17,900$21,187$24,887
WallerCounty$16,338$20,490$24,708$33,126
Baytown$17,641$20,165$35,734$41,169
DeerPark$24,440$27,313$49,964$56,881
LaPorte$21,178$24,176$46,135$57,195
LeagueCity$27,170$32,668$24,263$30,304
TexasCity$17,057$19,070$37,450$42,504
Source:TXP,U.S.CensusBureau,U.S.BureauofEconomicAnalysis
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
TourismSector
TourismrelatedactivityisnotasignificantcomponentoftheLaPorteeconomy,butthecity
doeshavealonghistoryofattractingvisitorstoSylvanBeach.Inrecentyears,SylvanBeach
remainedapopulardestinationforfamilyoutingsandthePavilionhostedlocaleventsbefore
itsclosingafterHurricaneIke.Currently,effortsareunderwaytoincreasetourismactivityin
thearea.HarrisCounty,forexample,hascompletedaSylvanBeachParkMasterPlanandhas
allocatedfundsforbeachreclamation.A2007hotelfeasibilitystudybyPKFconsultingfound
thattheSylvanBeachareacouldsupporta250roomfullservicehotel,thoughnohotelhas
yetexpressedinterestintheproperty.LaPorteisalsoexploringstrategiestolinkMain
Street,the5PointsDevelopment,andSylvanBeach.Outoftownvisitorsstillspendmillions
ofdollarsatlocalhotelsandshopseachyear.In2006,the$45.1millionindirectspendingby
LaPortevisitorssupported400localjobsandgenerated$1.1millionintaxrevenue.
Table11:AnnualEconomicImpactofLaPorteVisitorSpending
DestinationStateTaxLocalTax
SpendingEarningsReceiptsReceipts
Year(millions)(millions)Employment(millions)(millions)
$34.8$10.0400$0.9$2.4
2002
$35.5$9.9400$0.9$2.4
2003
$36.0$9.8380$0.8$2.4
2004
$42.2$11.1420$1.0$2.7
2005
$45.1$11.4410$1.1$2.8
2006
Source:OfficeoftheGovernor,EconomicDevelopmentandTourism
Figure11:VisitorDestinationSpending(2008)
$120
$100
$80
$60
$40
$20
N/A
$0
BaytownDeerParkLaPorteLeagueCityTexasCity
Source:OfficeoftheGovernor,EconomicDevelopmentandTourism
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
RetailTradeSector
AreviewofarearetailsalesbytradesectorrevealsthatLaPorteisnotcapturingitsfullshare
ofresidentspending.Thisfindingisconsistentwithstakeholderinputthatmanyresidents
drivetosurroundingcommunitiestoshopineconomictermstheregionisͻƌĻğƉźƓŭͼretail
salesdollars.Forexample,LaPortetaxableretailsalespercapitaarewellbelowpeer
communities.In2007,LaPorteregistered$1,850taxableretailsalespercapitacomparedto
$5,938forHarrisCounty.ThishasimportantimplicationsforLatƚƩƷĻƭoveralltaxbase
becausethecitygeneratesclosetohalfofitsrevenuefrompropertytaxesorindustrial
payments.AreviewofLatƚƩƷĻƭtotalsalestaxcollectionsoverthepast20yearsrevealsthat
bigupticksincollectionsarecloselyrelatedanincreaseinthesalestaxrate(ex.economic
developmentsalestaxorconstructionspendingbybusinesses),butnotnewretailactivity.
Table12:PerCapitaRetailSalesSubjecttoSalesTax
BaytownDeerParkLaPorteLeagueCityTexasCityHarrisCounty
Year
2002$5,619$1,607$1,487$2,382$4,988$4,941
2003$5,381$1,655$1,494$2,288$4,473$4,825
2004$5,466$1,752$2,356$2,644$4,321$4,949
2005$5,844$2,751$2,492$3,130$4,371$5,281
2006$6,528$4,122$1,591$2,432$4,366$5,629
2007$7,024$4,220$1,844$3,176$4,561$5,938
Source:TXP,TexasComptrollerofPublicAccounts
Figure12:AnnualLaPorteTotalSalesTaxRebates
$6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
Source:TXP,TexasComptrollerofPublicAccounts
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
RealEstateSector
SinglefamilybuildingpermitactivityhasbeenhealthyinLaPorteoverthepastdecade.Data
providedbytheTexasA&MRealEstateCenterandU.S.CensusBureau,however,indicates
thatLaPortesinglefamilybuildingspermitslagtherapidgrowthinsomepeercommunities.
Thisisnotasurprisegiventhelimitedamountoflandavailablefordevelopment.Future
developmentwilllikelytakeplaceneartheBayForestgolfcourseoraslargelotsinthe
westernportionofthecityaresubdivided.Overthepastfewyears,approximately100
singlefamilybuildingpermitswereissued.
Figure13:LaPorteSingleFamilyBuildingPermitActivity
350
300
250
200
150
100
50
0
Source:U.S.CensusBureau
Theaveragevalueofanewsinglefamilyhomein2007was$136,321.Usinganindustry
standardof28percentofgrossincome,themaximumpercentageofmonthlygrossincome
thatalenderallowsforhousingexpensesplusrecurringdebt,anewhomebuyerwouldneed
toearn$40,000peryeartoqualifyforatraditionalloan.Comparedtopeercommunities,La
Porteoffersoneofthelowestpricesforanewsinglefamilyhome.Themostexpensivepeer
communitywasDeerParkat$181,123pernewhome.ItisworthnotingevenwithLatƚƩƷĻƭ
relativelylowhousingcosts,themajorityofLaPortebusinessworkersdonotliveinthecity.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Figure14:LaPorteAverageValueperSingleFamilyDwellingUnit($)
$160,000
$140,000
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0
20002001200220032004200520062007
Source:U.S.CensusBureau
Figure15:AverageValueperSingleFamilyDwelling(2007)
$200,000
$180,000
$160,000
$140,000
$120,000
$100,000
$80,000
$60,000
$40,000
$20,000
$0
BaytownDeerParkLaPorteLeagueCityTexasCityHarrisCountyStateofTexas
Source:U.S.CensusBureau
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Appendix:SurveyResults
AvalancheConsultingispleasedtopresenttheresultsoftheForwardLaPorteEconomic
DevelopmentSurvey.ThesurveywasconductedbetweenDecember2008andJanuary2009
togaininsightintolocalresidentsandĬǒƭźƓĻƭƭĻƭopinionsabouteconomicdevelopment.A
totalof301surveyswerecompleted.
Acrosstheboard,surveyresponsesreflectedaconsistentthinkingamongLaPorteresidents.
Citybeautification,MainStreetrevitalization,andSylvanBeachrevitalizationtopped
ƩĻƭźķĻƓƷƭeconomicdevelopmentpriorities.LatƚƩƷĻƭtopstrengthsareperceivedasbeing
(1)publicsafety,(2)costofliving,(3)accesstohighereducation,and(4)qualityofK12
education.TheĭźƷǤƭperceivedweaknessesincludedretailshopping,downtown,artsand
culture,andtheĭźƷǤƭappearance.ManyresidentsencouragedtheCitytoconcentrateon
balancinggrowththroughcommunitydevelopmentversusindustrialrecruitment,revivingLa
tƚƩƷĻƭhistoriccore,andofferingfamiliesenhancedentertainmentandrecreational
opportunities.
Methodology
AvalancheConsultingkickedofftheprojectbydevelopinganonlinesurveyandthen
presentedthedraftquestionstotheForwardLaPorteSteeringCommitteeforreview.After
receivingtheirfeedback,AvalanchefinalizedthesurveyandlauncheditonDecember8,
2008.(AcopyofthesurveyisprovidedattheendofthisAppendix.)
Toencourageresidentstoparticipateinthesurvey,Avalancheinitiatedamultifaceted
promotionalcampaign:
AvalanchedevelopedtheonlinesurveyutilizingQuestionProsoftware.Anonline
formatwaschosentosavetimeandcost.
Avalanchedevelopedasurveywebpagewhichcontainedalinktothesurvey.
TheǞĻĬƭźƷĻƭURLwasprovidedtoSteeringCommitteemembersandothercivic
leaders,andtheyinturnshareditwiththeircontacts.
The BayshoreSun and HoustonChronicle wrotearticlesabouttheƭǒƩǝĻǤƭlaunch.
Avalancheandthe BayshoreSun createdanadvertisementtoremindresidentsto
takethesurvey.TheadswerepublishedintheJanuary18andJanuary21editions.
Thesurveywasviewedby497people.Avalanchereceived301completesurvey
questionnaires.Onaverage,ittookparticipants10minutestofinishthesurvey.
ThesurveywascompletedonJanuary23,2009.
SurveyDemographics
Ofthe301residentswhocompletedthesurvey,60percenthadlivedinLaPortefor11years
orlonger.
76percentofallrespondentswerecurrentlyemployed,withexactlyonehalfemployedbya
companylocatedinLaPorteandtheotheronehalfworkingoutsideofthecity.Alarge
majorityofsurveyparticipants(65.8percent)were45yearsoldorolder.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
ThedemographicmixofsurveyrespondentscloselymatchedtheĭźƷǤƭpopulation
demographics.
AgeRange%ofSurveyParticipants
1824years2.8%
2534years10.4%
3544years21.0%
4554years31.6%
5564years20.2%
65+years14.0%
EconomicDevelopmentQuestions
Tokickofftheeconomicdevelopmentportionofthesurvey,Avalanchewantedto
understandlocalƩĻƭźķĻƓƷƭdefinitionofͻǞŷğƷcountsasƭǒĭĭĻƭƭͪͼineconomic
development.84%ofthemsaidthattheyagreewiththefollowingdefinition:
ͻ9ƓŷğƓĭĻķprosperityandqualityoflifeforLatƚƩƷĻƭresidentsandĬǒƭźƓĻƭƭĻƭ͵ͼ
Next,weaskedrespondentstoratetheirsatisfactionlevelonavarietyofeconomic
developmenttopics,fromeducationtoqualityoflifetocitygovernment.Participantsscored
eachtopiconascaleof1(notsatisfied)to4(verysatisfied).Tohighlightafewofthe
findings:
AmajorityofrespondentswereeitherͻƭğƷźƭŅźĻķͼorͻǝĻƩǤƭğƷźƭŅźĻķͼwiththefollowing
topics:
Publicsafety(75.9%)
Costofliving(75.8%)
Highereducationopportunitiesinthearea(62.8%)
Publiceducation(54.5%)
Incontrast,amajorityofrespondentsindicatedthattheywereͻƓƚƷƭğƷźƭŅźĻķͼwiththe
following:
Retailshoppingandrestaurants(67.1%)
Downtowndevelopment(63.4%)
/źƷǤƭappearance(60.7%)
Entertainmentandrecreation(60.0%)
Artsandculture(56.3%)
ExternalperceptionofLaPorte(54.1%)
Transportationaccess(44.1%)
Ontheremainingtopics,mostrespondentsfeltneutralontheavailabilityofvolunteer
opportunitiesandlocalcooperation/sharedvision.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Figure16:HowsatisfiedareyouwiththefollowingaspectsofLaPorte?
Not SatisfiedVery Satisfied
Theabovefigureillustratestheaveragescoreforeachoption.Optionsreceivingascoreof
2.5orgreateraresatisfactoryforamajorityofLaPorteresidents,whilescoreslowerthan
2.5areareasinwhichresidentsseeneedforimprovement.
RespondentswerealsoaskedtoratewhattheybelievetobeLatƚƩƷĻƭtopeconomic
developmentpriorities.Qualityofplacetopicssuchasbeautification,downtown
revitalization,andSylvanBeachstronglyrosetothetop.Interestingly,traditionaleconomic
developmentroles,suchasbusinessrecruitment,localbusinessexpansion,andexternal
marketingratedmuchlower.
Figure17:WhataretheĭźƷǤƭtopthreeeconomicdevelopmentpriorities?
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Thesurveycontainedseveralopenendedquestionsthatallowedparticipantstocomment
ontheirviewoftheĭźƷǤƭgreateststrengthsandchallenges.Theywerealsoaskedtoprovide
asinglewordorphrasethattheywouldliketobeusedtodescribeLaPorte20yearsfrom
now.
Alistofselectcommentsisprovidedattheendofthisdocument.Wealsosortedcomments
accordingtosubjectmatter,andhavelistedtheresultsbelow.(Note,noteveryparticipant
commented.)
WhatisLatƚƩƷĻƭsinglegreateststrength?
TopicNumberofResponses
WaterfrontLocation/SylvanBeach95
Smalltowncharm58
LocationrelativetoGreaterHouston42
PeopleΛͻǞğƩƒͲͼͻŅƩźĻƓķƌǤͼΜ41
Petrochemicalandportindustries25
Publicsafety10
Cityleadership7
History6
LaPorteK12schools5
WhatisLatƚƩƷĻƭsinglegreatestweakness?
TopicNumberofResponses
Balancinggrowth/preservingĭźƷǤƭcharacter63
Appearanceofthecity60
AppearanceofMainStreet,specifically15
Newbusinessattraction,retailandentertainment47
Petrochemicalandportindustries39
Pollutionrelatedtoindustry,specifically12
Trafficrelatedtoindustry,specifically13
Externalperception/reputation17
Localpolitics/statusquothinking13
Flooding/hurricanes8
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
WhatisLatƚƩƷĻƭsinglegreateststrength?(sampleanswers)
ͻDƚƚķdownhomeŅĻĻƌźƓŭͼ
ͻ{ƒğƌƌtownattitudeandğƒĬźğƓĭĻͼ
ͻğƷĻƩŅƩƚƓƷlocationanddiversityofŷƚƒĻƭͼ
ͻŷĻplantsandƩĻŅźƓĻƩźĻƭͼ
ͻ{ǤƌǝğƓ.Ļğĭŷͼ
ͻtƩƚǣźƒźƷǤtoGalvestonBayandhistoricalroleintheBattleofSanWğĭźƓƷƚͼ
ͻtƚƷĻƓƷźğƌforgrowth,notnecessarilyinsizebutinƨǒğƌźƷǤͼ
ͻ{ƦğĭĻfordevelopmentthatwillbringintourismandĬǒƭźƓĻƭƭͼ
ͻ{ǤƌǝğƓBeachPavilion,źƷƭreputationfromyearsofŷźƭƷƚƩǤͼ
ͻtƩƚǣźƒźƷǤtoHouston,massiveemploymentbase,vitaltransportationƭǤƭƷĻƒƭͼ
ͻЌ͵ЌmilesofGalvestonBayŅƩƚƓƷͼ
ͻŷĻthingthatIhaveheardfromHurricanesupportworkersisthatwehavegreatdiƓĻƩƭͧͼ
ͻCƩźĻƓķƌźƓĻƭƭͼ
ͻ{ĻĭǒƩźƷǤandƷƩğƓƨǒźƌźƷǤͼ
ͻtĻƷƩƚĭŷĻƒźĭğƌĬǒƭźƓĻƭƭͼ
ͻLƷƭƦĻƚƦƌĻͧͼ
ͻ{ƒğƌƌtownqualitieswhilebeingnexttoalargeĭźƷǤͼ
ͻ\[ƚĭğƷĻķonacornerofamajorhighwaywithplentyoflandforķĻǝĻƌƚƦƒĻƓƷͼ
ͻtƚƩƷofHouston,LPISD,andtheCityarefineexamplesofthestrengthofLatƚƩƷĻͼ
eĭƚƒƒǒƓźƷǤͼ
ͻ/ğƒğƩğķĻƩźĻofth
ͻCƩźĻƓķƌǤpeopleincludingstoreandrestaurantƚǞƓĻƩƭͼ
ͻhǒƩtownhasafinegroupofcitizens,manyofwhomIamproudtocallŅƩźĻƓķƭͼ
ͻ!ŅŅƚƩķğĬźƌźƷǤofŷƚƒĻƚǞƓĻƩƭŷźƦͼ
ͻWƚĬƭͲindustryandrecreationofGalveston.ğǤͼ
ͻtğƩĻƓƷğƌinvolvementinschoolğĭƷźǝźƷźĻƭͼ
ͻ{ƒğƌƌcitywithindustrytaxĬğƭĻͼ
ͻIźƭƷƚƩźĭğƌsignificanceofthecityandtheğƩĻğͼ
ͻğƷĻƩŅƩƚƓƷparksandhomes,olderneighborhoodswithŷźƭƷƚƩǤͼ
ͻ{ŷźƦĭŷğƓƓĻƌͼ
ͻŷĻhistoryofthedowntownarea/oldbuildings,thebayΑifcleanedǒƦͼ
ͻ\[ƚǞĭƩźƒĻͼ
ͻ/ğƩźƓŭĭƚƒƒǒƓźƷǤͼ
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
WhatisLatƚƩƷĻƭsinglegreatestchallenge?(sampleanswers)
ͻtĻƚƦƌĻnotwantingƦƩƚŭƩĻƭƭͼ
ͻ\[ğĭƉźƓŭinbeautification,nolocalƩĻƷğźƌͼ
ͻ.ƌźŭŷƷͼ
ͻ!ƷƷƩğĭƷźƓŭretailcustomersforLatƚƩƷĻƭĬǒƭźƓĻƭƭĻƭͼ
ͻhƌķinğƦƦĻğƩğƓĭĻͶandmaybeinƭƦźƩźƷͪͼ
ͻDĻƷƷźƓŭpeopleheretoappreciatetheĭźƷǤͼ
ͻwĻƒğźƓźƓŭagoodplacetoraiseafamilywithoutsuccumbingtotheindustryandtƚƩƷͼ
ͻwĻƭƷƚƩğƷźƚƓandredevelopmentofolddowntownwhilemaintainingtheoriginalƌƚƚƉͼ
ͻhǝĻƩĭƚƒźƓŭthecurrentperceptionfrompeoplenotlivingorentertainingŷĻƩĻͼ
ͻtƩƚƷĻĭƷźƓŭcitizenrightsagainstźƓķǒƭƷƩǤͼ
ͻ.ƩźƓŭźƓŭmoretouristactivitytoLatƚƩƷĻͼ
ͻCźŭŷƷźƓŭtheͷźƓķǒƭƷƩźğƌƒƚƓźƉĻƩͼ
ͻLƒƦƩƚǝźƓŭschools.ResistingcontinuedindustrialŭƩƚǞƷŷͼ
ͻvǒğƌźƷǤretaildevelopƒĻƓƷͼ
ͻCƌƚƚķźƓŭźƭƭǒĻƭͼ
ͻ!źƩqualitycausedbylocalźƓķǒƭƷƩǤͼ
ͻYĻĻƦźƓŭussafefromtrafficproblemsandchemicalƌĻğƉƭͼ
ͻ5ƚźƓŭsomethingwithSylvan.Ļğĭŷͼ
ͻtğƷźĻƓĭĻ͵Realgrowthandqualityoflifecomesfromtime,perseverance,andhardǞƚƩƉͼ
ͻDĻƷƷźƓŭmorepeopletotheĭźƷǤͼ
ͻŷĻoverwhelmingpresenceofźƓķǒƭƷƩǤͼ
ͻ!ĬźƌƷǤtoattracthigherendretail/diningĭĻƓƷĻƩƭͼ
ͻDĻƷƷźƓŭcitizenstonotbeafraidtosupportĭŷğƓŭĻͧͼ
ͻCĻǞactivities,nooutdoortrailsdespitetheĬğǤͼ
ͻ\[źƒźƷĻķƭŷƚƦƦźƓŭͼ
ͻ!ŭĻofinfrastructureandlackofrecreationalactivitiesthatwoulddrawƓƚƓƩĻƭźķĻƓƷƭͼ
ͻ/ŷĻƒźĭğƌplantsandtheresultingƦƚƌƌǒƷźƚƓͼ
ͻYĻĻƦźƓŭoursmalltownŅĻĻƌźƓŭͼ
ͻ.ƌźŭŷƷĻķƓĻźŭŷĬƚƩŷƚƚķƭͼ
ͻ5ƚǞƓƷƚǞƓshouldbedevelopedwithtourisminminķͼ
ͻIƚƩƩźĬƌĻportƷƩğŅŅźĭͼ
ͻtǒƷƷźƓŭpoliticalagendasğƭźķĻͼ
ͻ5źǝźƭźƚƓͼ
ͻLƓķǒƭƷƩźğƌĻƓĭƩƚğĭŷƒĻƓƷͼ
ͻŷĻageofthecityandthefactthatitisinneedofafaceƌźŅƷͼ
ͻwĻƭźƭƷğƓĭĻtogrowthandĭŷğƓŭĻͼ
ͻƩǒĭƉƷƩğŅŅźĭͼ
ͻbƚƷverymanyprogramsofferedforĭŷźƌķƩĻƓͼ
ilapidatedbuildings,particularlyinķƚǞƓƷƚǞƓͼ
ͻbǒƒĬĻƩofd
ͻbƚtallpalmtreesorlushlandscapingtowelcomevisitorsandƩĻƭźķĻƓƷƭͼ
29
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Inanidealworld,whatwordorphrasewillbeusedtodescribeLaPorte20yearsfrom
now?(sampleanswers)
ͻaƚƭƷbeautifulportcityintheǞƚƩƌķͼ
ͻYĻǤinboostingcommerceoftheHoustonƩĻŭźƚƓͼ
ͻ!greatplacetoliveandƦƌğǤͼ
ͻ!ƓartisticĭƚƒƒǒƓźƷǤͼ
ͻwĻǝźǝĻķͼ
ͻ5ƚƚƩǞğǤtotheǞƚƩƌķͼ
ͻCƩźĻƓķƌǤͲdynamicsmallĭźƷǤͼ
ͻ/ƚğƭƷğƌcommunitybytheBaytolive,work,andƦƌğǤͼ
ͻźĬƩğƓƷͲƩĻƓĻǞĻķͼ
ͻaƚķĻƩƓandǝźğĬƌĻͼ
ͻ!historiccitythathasgreatƒĻƒƚƩźĻƭͼ
ͻ\[ğPorte,Yourportofğƌƌͧͼ
ͻŷĻmostprosperoussmalltownintheƓğƷźƚƓͼ
ͻ!ķĻƭƷźƓğƷźƚƓͼ
ͻ!jewelonGalveston.ğǤͼ
ͻ\[ğPorte,weareŅğƒźƌǤͼ
ğŷͼ
ͻŷĻnewKem
ͻ!ƓoasisfromtheratraceofƌźŅĻͼ
ͻ\[ğPorte:TheGulfCoastķĻƭƷźƓğƷźƚƓͼ
ͻLƓǝźƷźƓŭandLƓķǒƭƷƩźƚǒƭͼ
ͻ!modelportĭźƷǤͼ
ͻ!walkable,mixedusecommunitywithmultipleincomesandhousingƷǤƦĻƭͼ
ͻCǒƓbutĭƚǩǤͼ
ͻŷĻͷƒğƭƷĻƩofbedroomĭƚƒƒǒƓźƷźĻƭͼ
ͻĻfinallyhaveunderwearforƭğƌĻͧͼ
ͻCğƒźƌǤfriendlyandprospĻƩƚǒƭͼ
ͻ{ĻƌŅƭǒŅŅźĭźĻƓƷͼ
ͻ/źƷǤontheƭǒƓƩźƭĻͼ
ͻ/ƌĻğƓͲgreen,andƭğŅĻͼ
ͻ!port,warehouse,andtransportationcenter~notaŷƚƒĻƷƚǞƓͼ
ͻDğƷĻǞğǤtoIƚǒƭƷƚƓͼ
ͻ{ĻƷyoursailsonLatƚƩƷĻͼ
ͻtƌğǤŭƩƚǒƓķͼ
ͻ/ƚƓƷĻƒƦƚƩğƩǤsuburbanƒĻƷƩƚƦƚƌźƭͼ
ͻ.ĻğĭƚƓofǞƚƓķĻƩƒĻƓƷͼ
ͻCƚƩǞğƩķƷŷźƓƉźƓŭͼ
ͻ/ŷźƓğƭǞğƩĻŷƚǒƭĻͼ
ͻ{ĻğƭźķĻƓƚƭƷğƌŭźĭͼ
ͻ/ƚğƭƷğƌƩĻƌğǣğƷźƚƓͼ
ͻ/źƷǤofHopeͼ
ͻŷƩźǝźƓŭͼ
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
LegalDisclaimer
TXPandAvalancheConsultingreservetherighttomakechanges,corrections,and/or
improvementsatanytimeandwithoutnotice.Inaddition,TXPandAvalancheConsulting
disclaimanyandallliabilityfordamagesincurreddirectlyorindirectlyasaresultoferrors,
omissions,ordiscrepancies.TXPandAvalancheConsutlingdisclaimanyliabilityduetoerrors,
omissions,ordiscrepanciesmadebythirdpartieswhosematerialTXPandAvalanche
Consutlingreliedoningoodfaithtoproducethereport.
Anystatementsinvolvingmattersofopinionorestimates,whetherornotsoexpressly
stated,aresetforthassuchandnotasrepresentationsoffact,andnorepresentationis
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opinioncontainedhereinaresubjecttochangewithoutnotice,andshallnot,underany
circumstances,createanyimplicationsthattherehasbeennochangeorupdates.
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City of La Porte, Texas - Economic & Demographic Assessment January 2009
Chapter 2:
SWOT Analysis
ECONOMIC DEVELOPMENT STRATEGIC PLAN
CITY OF LA PORTE, TEXAS
February 2009
1601 D West 6th Street
Austin, Texas 78703
(512) 472-1555
info@avalancheconsulting.net
TableofContents
SWOT!ƓğƌǤƭźƭͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵2
SWOTLƌƌǒƭƷƩğƷźƚƓͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵͵3
{ƷƩĻƓŭƷŷƭͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵4
ĻğƉƓĻƭƭĻƭͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵͵8
hƦƦƚƩƷǒƓźƷźĻƭͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵͵10
ThreatsͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵13
Target!ǒķźĻƓĭĻƭͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶͶ͵͵15
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
SWOTAnalysis
Aͻ{hͼanalysisevaluatesaĭƚƒƒǒƓźƷǤƭstrengths,weaknesses,opportunities,and
threats.PerformingaSWOTAnalysisisasimplebutexcellenttooltohelpfocusaneconomic
developmentstrategyanddevelopanactionplan.
TheinformationpresentedinReport1,EconomicAssessment,providesananalysisofthe
trendsimpactingtheCityofLaPorte.ThisSWOTAnalysistakestheinvestigationonestep
further.Italsoconsidershowcloselythosetrendsalignwithinputreceivedthroughthe
communitysurveyandinterviewsconductedforLatƚƩƷĻƭStrategicPlan.Contrasting
quantitativeandqualitativeinformationrevealswhereLatƚƩƷĻƭtruestrengthsand
weaknessesexist.
StrengthsarethoseuniqueattributesofLaPortethatshouldbemarketedandbuiltupon.
Thecityhasaremarkablenumberofassetsforacommunityofitssize.Itsbayfrontlocation,
SylvanBeach,andhistoricMainStreetDistricttopthelist.Alsoincludedisthestrong
industrialbasethatgeneratessubstantialtaxrevenueandhelpsLaPorteendureeconomic
downturns.AlowcostoflivingandcloseproximitytoGreaterIƚǒƭƷƚƓƭworldclass
educational,business,andculturalamenitiesareadditionalstrengths.
WeaknessesarecharacteristicsthatcurrentlyhinderLatƚƩƷĻƭeconomicdevelopment.
ToponthelististheĭźƷǤƭphysicalappearance,whichstemsfromaheavyindustrial
presence.Localresidentsaredispleasedwiththeavailabilityofretailwithinthecitylimits,
andLaPorteratesthelowestofitsneighborsinpercapitasalestaxgeneration.Whilethe
bayfrontandMainStreetareassets,theircurrentdisconnectfromaplanningperspectiveis
aweakness.Ashortsupplyofundevelopedlandcouldlimitfuturegrowth,whetheritcomes
fromnewindustry,retail,orresidentialconstruction.
OpportunitiesandthreatsarefactorsthataffectLatƚƩƷĻƭeconomicdevelopment
potential.Thehighconcentrationofoilandgascompaniesinthecityisastrength,butalso
posesathreatshouldtheindustrysufferadownturn.Increasingtrucktrafficfromindustry
andportactivitythreatensLatƚƩƷĻƭqualityoflife.LatƚƩƷĻƭgreatestopportunitiesrevolve
aroundimprovingqualityoflife.RevitalizingdowntownandSylvanBeach,connectingMain
Streettothebayfront,beautifyingtheĭźƷǤƭphysicalappearance,andcontinuedinvestment
inparksandtrailsarealltremendousopportunitiesthatwillpleaseresidentsandencourage
thegrowthofamorediversemixofbusinesses.
ThefollowingpagesprovideanillustrationofLatƚƩƷĻƭSWOTanalysisandadescriptionof
eachtopic.Themarketingandeconomicdevelopmentrecommendationsthatwillbe
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
includedinthefinalEconomicDevelopmentStrategywillaimtoaddresstheĭƚƒƒǒƓźƷǤƭ
threatsandbuilduponitsopportunities.
2
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
SWOTIllustration
3
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
LatƚƩƷĻƭStrengths
SylvanBeach/BayFront
TheForwardLaPortesurveyaskedparticipantsto
commentonLatƚƩƷĻƭsinglegreateststrength.The
largestresponsecenteredontheĭźƷǤƭwaterfront
locationandSylvanBeach.Theyaretrulyuniqueassets
thatdistinguishLaPortefrommanyotherTexastowns.
Abayfrontlocationhasallowedthegrowthofboth
commercialandrecreationalamenities.LaPorteis
locatedbetweenthePortofIƚǒƭƷƚƓƭtwoterminal
WhatisLatƚƩƷĻƭsingle
complexes:therecentlyopenedBayportIndustrial
greateststrength?
Complex,whichcontainstwoportterminalsanda
TopicResponses
cruiseterminal,andthe.ğƩĬƚǒƩƭCutContainer
WaterfrontLocation95
Terminal.Together,thetwocomplexeshandle
/SylvanBeach
around1.6missionTEUs(twentyfootequivalent
Smalltowncharm58
units)ofgoodsannually,whichrepresentsan
estimated72percentofallcontainerizedcargointhe
Locationrelative
U.S.Gulf.ThecommerceflowingthroughPortof
toGreaterHouston42
HoustonfacilitiesΑtheǞƚƩƌķƭsixthlargestportis
Friendlypeople41
aneconomicengineandstrengthofthecity.
Petrochemicaland
portindustries25
RecreationalopportunitiesaboundatLatƚƩƷĻƭ
historicSylvanBeach,waterfrontparks,neighboring
Publicsafety10
HoustonYachtClub,andhomesites.SylvanBeachis
Cityleadership7
thestarofLatƚƩƷĻƭbayfrontamenities.The32
acreparkwasafamousresortintheearlypartofthe
History6
1900sandistheclosestbeachaccesstoGalveston
LaPorteK12schools5
BayfromdowntownHouston.Locatedonthe
propertyistheSylvanBeachPavilion,whichhosted
Source:ForwardLaPortepublicsurvey,
countlessdancesandothercommunityeventsover
January2009
theyears.WhileЋЉЉБƭHurricaneIkeseverely
damagedthe1,100footpierandPavilion,HarrisCountyandtheCityofLaPorteareworking
onplanstorevitalizethepark.Thefirststepinthatprogressisthereconstructionofthe
beach,whichisscheduledtobeginin2009.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
HistoricMainStreetDistrict
Whenonenewresidentwasasked
LatƚƩƷĻƭMainStreetisoneofonly59Texascitiesto
howshechoseLaPorte,shesaid
berecognizedbytheNationalTrustforHistoric
thatsheconductedanational
PreservationandtheTexasHistoricalCommission.
searchbasedonthefollowing
The/źƷǤƭMainStreetProgramaimstohelpMain
criteria,andLaPortecameouton
StreetLaPorteͻƩĻemergeasathrivingdowntown
top:
communityencompassinganappealinghometown
atmosphereinauniquehistoricalbayfrontƭĻƷƷźƓŭ͵ͼ
(1)Lowcostofliving
ThetƩƚŭƩğƒƭAdvisoryBoardaddressesbuilding
design,economicrestructuring,promotions,and
(2)Lowcrime
volunteerorganization.
(3)Lowunemployment
TheCityhasconcentratedonrevivingdowntown
commercethroughtwogatewaydevelopments.The
(4)Warmclimate
firstwillanchortheHighway146entrancetoMain
Streetwithanarchitecturalelementandanew
restaurant.Thesecondinvolvesapublicplaza
(5)Closetomajorcitywith
locatedatthefivepointsintersection.Bothprojects
culturalamenities
havebeenfunded,anddesignandconstructionare
slatedtobeginin2009.
Asoneresidentstatedduringhisinterviewwith!ǝğƌğƓĭŷĻƭprojectteam,ͻ5ƚǞƓƷƚǞƓLa
Portehasneverlookedsoŭƚƚķ͵ͼWhileimprovementswillcontinuewellintothefuture,the
foundationforathrivingdowntownisinplace.
StrongindustryBase
Themanufacturing,construction,andtransportation/warehousingsectorsplayalargerole
intheLaPorteeconomy.Thesethreesectorsaccountformorethan60percentofLatƚƩƷĻƭ
currenttotalemployment,comparedto21.6percentfortheHoustonMSA.LatƚƩƷĻƭoil
andgasindustryisresponsiblefor30to40percentoftheĭźƷǤƭoutput.Locationquotient
analysisshowsthatLaPortehas3.3timesHoustona{!ƭconcentrationofconstructionjobs,
2.8timestheconcentrationofmanufacturingjobs,and1.8timestheconcentrationof
warehousingandtransportationjobs.SalariespaidbyLaPortebusinessesaverage$57,200
peryear,higherthanneighboringcitiesandHarrisCounty.
Eventhoughpopulationgrowthhasbeenslow,LatƚƩƷĻƭresidentsremainsteadily
employed.ͻLŅyouwanttowork,youcanfindaƆƚĬͲͼtoutedoneresident.LatƚƩƷĻƭ
industrybaseisastrengthforCitycoffersaswell.TheCityofLaPortehas118industrial
districtcontracts,eachpaying$.62perdollarwithouttheCityprovidingservices.This
5
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
significantincomestreamprovidestheCityfiscalcomfortandcapacitytoreinvestinthe
community.
LowCostofLiving
LaPorteisanaffordableplacetolive.TheaveragevaluepersinglefamilydwellinginLa
PorteislowerthanneighboringDeerPark,LeagueCity,ClearLake,aswellastheHarris
CountyandTexasaverage.Propertytaxratesarelowerthanaveragecomparedtoother
HarrisCountycities.
LocationwithinGreaterHouston
LaPorteislocatedwithintheƓğƷźƚƓƭfourthlargestmetropolitanareaandwithin20
minutesofdowntownHouston.Itsstrategicpositionallowsthebestofbothworlds,asmall
townatmospheresituatedinsideofaninternationalhub.
GreaterIƚǒƭƷƚƓƭassetsaretoomanytoname.Theareaishometomorethan60
universities,colleges,andotherdegreegrantinginstitutionswithacombinedenrollmentof
360,000.TwentysixFortune500companiesareheadquarteredinGreaterHouston.Ofthe
ǞƚƩƌķƭ100largestnonU.S.basedcompanies,halfhaveoperationsintheregion.2.7million
workersliveinthemetroarea.Inaddition,theareaishometoawidespectrumof
internationallyrenownedperformingandvisualartsorganizations,culturalactivities,and
recreationalamenities.
CurrentandPlannedParks
TheCityofLatƚƩƷĻƭparkssystemisastrength,andtheCityhasplanstomakeiteven
better.Thesystemcurrentlyincludes18parkstotalingmorethan115acresofland.
In2009,theCityiscommitting$250,000infundingforimprovementstoLittleCedarBayou
Park,includingentranceimprovementsandclearinglandonthesouthtomakespacefor
picnictables.TheParkisapopularspotwithabayfrontlocation,athleticfacilities,andwave
poolthatdrawspeoplefromsurroundingcities.
TheCityplanstospend$2$3millionconstructinga33acresportscomplexonCanada
Road.Theparkwillincludetenbaseballdiamonds,andhasthepotentialtoattractgames
andtournamentsfromacrosstheHoustonarea.
LatƚƩƷĻƭimprovedtrailsystemiscurrentlyintheworks.In2009,theCitywillleta$1.8
millioncontracttoconstructa5.2milepavedpedestrianandbicycletrailthatconnects
PasadenatoLaPorte.Inthenextfewyears,thePortofHoustonwillbebuildingbikepaths
alongthewaterfrontthroughaƚƩŭğƓƭPoint.Thiscreatesanopportunitytoextendthe
pathwaythroughtoSylvanBeach,LittleCedarBayou,ParkandtheHoustonYachtClub.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
Longerterm,theCityenvisionsthetrailconnectingthejuniorhighandhighschoolstothe
waterfront.
LowmaxArenarepresentsanotherassetintheCityofLatƚƩƷĻƭrecreationalamenities.The
facility,builtintheearly1990s,hosts4Hclubactivities,equestrianevents,barrelracingand
teamropingcompetitions.Itisopenforfreeridingonunscheduleddays.Recently,theCity
installedlightingintheArena.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
Weaknesses
PhysicalAppearance
AccordingtotheForwardLaPortesurvey,60.7percentof
residentsarenotsatisfiedwiththeĭźƷǤƭphysical
appearance.Inaddition,whenaskedwhatthe/źƷǤƭtop
economicdevelopmentprioritiesshouldbe,beautifyingthe
ĭźƷǤƭappearancereceivedthehighestpercentageof
responses.
SalesTaxLeakage
LaPorteisseverelyunderservedwhenitcomestoretailopportunitiesandisnotcapturingits
fullshareofresidentspending.Duringinterviewsandsurveysconductedforthisstrategic
planningprocess,manyresidentscomplainedaboutthelackofretailshoppingoptionswithin
LaPorte.Datasupportsthisbelief.TheĭźƷǤƭretailsalesarefarbelowthatofneighboring
communities.In2007,LaPorteregistered$1,850taxableretailsalespercapitacontrasted
against$7,024inBaytown,$4,220inDeerPark,and$4,561inTexasCity.
AshortageofretailsaleshasimportantimplicationsforLatƚƩƷĻƭtaxbase.Almostonehalf
oftheĭźƷǤƭrevenuecomesfromindustrialpaymentsandpropertytaxes.Whileasteady
baseofindustrialtaxrevenueispositiveforthe/źƷǤƭgeneralfund,supplementalretailsale
taxeswouldhelpbalanceLatƚƩƷĻƭrevenueagainstindustrydownturn.
Thecurrenteconomicrecessionhasslowedretailexpansion,andseveralmajorretailershave
declaredbankruptcy.ThisprovidesLaPortetimetoprepareforretaildevelopmentand
refineitsrecruitmentstrategy.
DisconnectedMainStreetandBayFront
AccordingtoEmmaCƚǣǞƚƩƷŷƭ
book ͻŷĻRomanceofOldSylvan
LatƚƩƷĻƭhistoricMainStreetandSylvanBeachPark
th
.ĻğĭŷͲͼ inthelate19Century
aretopstrengths.AlthoughSylvanBeachislocated
ͻĬƚğƩķwalkswerebuiltfromthe
lessthanonemilefromthefivepointsintersection,
bayshoreareatoMainStreetalmost
thereiscurrentlynopathway,signage,branding,or
amileawaysothatlocalpeople
cleartransportationrouteconnectingthetwo.
couldhaveaccesstothepicnic
groundsandhotelwithoutgetting
IntraCityCommunication
theirhightopshoesandlongskirts
Interviewsandresidentsurveysrevealedadegreeof
muddy.Woodenplanksservedas
misinformationamongresidentsaboutthe/źƷǤƭ
sidewalksformanyyearsinnew
activities.Insomecases,residentsweresimply
ƷƚǞƓƭ͵ͼ
unawareofpositivethingsthattheCityisdoing.In
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
otherinstances,residentsfeltfrustratedaboutsituationsthattheCityisactivelyremedying.
ImprovedcommunicationbetweentheCitygovernmentandlocalresidentswouldbe
beneficial.
LimitedUndevelopedLand
RedevelopmentopportunitiesaboundinLaPorte,butgreenfieldsitesavailablefornew
constructionarelimited.Althoughretailisatargetofeconomicdevelopmentefforts,the
ĭźƷǤƭonlymajorswathsoflandthatcouldbesuitableforlargescaleretaildevelopmentare
theLakesofFairmontGreenandthePreserveatTaylorLakeproperties.
EconomicDiversification
FiftypercentofLaPortejobsareinthemanufacturingandconstructionsectors,asopposed
to14percentforthestateofTexas.Industrypresenceisanimportantstrengthofthecity,
butthelackofeconomicdiversificationisaweaknessandpotentialthreattosustaininglong
termeconomichealth.Giventheheavyconcentrationofmanufacturingandconstruction
firmsinLaPorte,itisimportanttodiversifytheĭźƷǤƭemploymentbasetolimittheeffectsof
adownturninthesetwosectors.Therefore,futureeconomicdevelopmentrecruitment
strategiesshouldlinktheskillssetofcurrentLaPorteresidentswithindustrytargets.
Theheavyconcentrationofmanufacturingandconstructionjobsdoesnotmeanthata
similarportionofresidentsworkinthosefields.Only11percentofLatƚƩƷĻƭlaborforce
actuallyworksinthecity.Onequarterofresidentsareemployedintheeducation,retail,
andhealthcaresectors.Overthelongterm,fillingretailtradegapsandexpandingtourism
relatedactivityshouldhelpdiversifythelocaleconomyandbenefitresidentsbyproviding
employmentopportunitiesclosertohome.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
Opportunities
DowntownRedevelopment
TheForwardLaPortesurveyrevealedthatresidents
considerdowntownrevitalizationtobeoneoftheĭźƷǤƭ
topthreeeconomicdevelopmentpriorities.The
gatewayandfivepointsplazaprojectsareapositive
start,ͻĬƚƚƉĻƓķźƓŭͼaredevelopmentopportunity
alongMainStreet.Therecentlyapprovedfaçadegrant
programisanotherstepintherightdirection.The
programcovers50percentofcostsoffaçade
improvementsupto$50,000.
TheCityofLaPortehasatremendousopportunitytofurtherrampuptheredevelopmentof
theMainStreetDistrict.AhealthydowntowniscriticallyimportanttotheĭźƷǤƭabilityto
attracttouristsandretailers.
SylvanBeachImprovement
SylvanBeachisLatƚƩƷĻƭhistoriccornerstoneandisatrulyuniqueasset.Although
communityopinionvariesaboutwhatexactlytodowiththePavilionbuilding,butonedesire
ispervasiveacrossallresidents:SylvanBeachimprovementisapriority.The/źƷǤƭfirst
stepsaretorestoreanderosionproofthebeach.TheStateprovidedLaPorte$3.5million
fortheproject.Whencomplete,LaPortewillhavea1,000footsandbeach.
Withintheyear,HarrisCountyisexpectedtodeliveritsassessmentoftheSylvanBeach
WhataretheĭźƷǤƭtopthreeeconomicdevelopmentpriorities?
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
Pavilionbuilding.The/źƷǤƭ
courseofactioninpart
dependsonthe/ƚǒƓƷǤƭ
report.Otherfactorsareat
playinthedecisionaswell,
andtherearebothprosand
consofremodelingthe
currentbuilding.Onone
hand,LaPortehasashortage
ofeventandmeetingspace.ThePavilionhashistoricandemotionalsignificancetoLaPorte,
anditsmidcenturyarchitectureisinteresting.Ontheotherhand,however,thePavilion
coststheCityofLaPortearound$50,000eachyeartomaintain.Itsufferedsignificant
hurricanedamagethatwillbecostlytorepair,andthespaceitselfwouldrequire
reconfiguringifitweretofunctionasaneventcenter.Eitherway,successfulimprovement
ofSylvanBeachhingesonsettingafirmdirectiononthefateofthePavilionandactingonit
inatimelymanner.
AnotheropportunityrelatedtotheimprovementofSylvanBeachisthereconstructionofthe
pier.BadlydamagedbyhurricaneIke,theCityhasanopportunitytoeitherrebuildthepier
initscurrentlocationormovethepiertothenorthendoftheparksothatthesandbeach
canbecontiguous.Althoughapprovalformovingthepieraddstimetotheprocess,itcould
beaworthwhilesteponbehalfofthelongtermappearanceofthepark.
Beautification
ImprovingtheĭźƷǤƭphysicalappearanceisapriorityofLatƚƩƷĻƭresidentsandrepresents
anopportunityfortheCity.Beautificationinitiativesareavisiblerepresentationofthe/źƷǤƭ
commitmenttomeetingƩĻƭźķĻƓƷƭneeds.LikedowntownandSylvanBeachimprovement,
beautificationwillenhancetheĭźƷǤƭabilitytoattracttourists,retailers,andnewresidents.
ͻ.ĻğǒƷźŅźĭğƷźƚƓͼencapsulatesavarietyofactivitiesfromgarbageremovaltocode
enforcement,landscaping,publicart,andbuildingdesign.Theinitiativeshouldbeginwith
the/źƷǤƭownbuildingsandproperties.Encourageresidentstopayattentiontoqualityby
ensuringthatCityownedspacesareattractive.
AttractingTourists
Fromitsearliestdays,LaPortewasdestinedtoattracttourists.Thenameͻ\[ğtƚƩƷĻͼitselfis
FrenchforͻƷŷĻķƚƚƩͲͼandthenamewaschoseninthe1800sasawelcometovisitors.
Duringthe1920sand1930s,SylvanBeachrosetonationalprominenceasavoguevacation
spot.ThegrowthoftheoilandgasindustryinLaPortewasaccompaniedinstepbyadecline
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
inthetourismindustry.NownearlyacenturyaftertheheydaysofSylvanBeach,theCityof
LaPorteonceagainseekstorolloutitswelcomemat.
TourismrepresentsanopportunityforLaPortetodiversifyitseconomy,butitwillnotreach
itsfullpotentialunlesstheCityinvestsinbeatification,downtownrevitalization,andSylvan
Beachimprovements.
Attractingacruiseshipcarriertoneighboring.ğƩĬƚǒƩƭCutorBayportTerminalswouldbea
significantboosttourismgrowth,butnotcriticaltosuccess.Daytravelersandovernight
travelerscomingfromtheGreaterHoustonandbeyondrepresentenormouspotentialas
well.GoodhighwayaccessandtheLaPorteMunicipalAirportmakeiteasyfortravelersto
gettothecity.AccordingtoTravelIndustryAmerica,weekendtravelisincreasingin
popularity,andthenumberofvacationslastingoneweekorlongerisdiminishing.More
than50%ofAmericanadultstakeatleastoneweekendtripeachyear,and30%takefiveor
moreweekendtrips.Manyweekendtripsareplannedlessthantwoweeksbeforetravel.
Citiesandsmalltownsaretopweekenddestinations(30%),followedbybeaches(16%),
mountains(10%),lakes(4%)andamusementparks(3%).
RetailReadiness
AsdescribedintheͻĻğƉƓĻƭƭĻƭͼsectionofthisreport,LaPortegenerateslessthanone
halfofpercapitaretailspendingcomparedtoothercitiesinthearea.Attractingretailersto
thecityisanopportunity.
Settingretailasaneconomicdevelopmenttargetisatrickyproposition.Mostnationaland
regionalretailershavesophisticatedmodelstodeterminethelocationofnewstores.
Populationnumbersarekeydriversinthedecisionmakingprocess.
ThisdoesnotruleoutLaPorteforfutureretailgrowth.Ratherthanlaunchinganexternal
marketingefforttorecruitretailers,LaPorteshouldutilizeitstimeandenergymakingsure
retailershaveasitetobuildonshouldtheychoosetolocateinthecity.Anotheropportunity
istoofferlocalresidentsagoodlevelofsupportforstartingtheirownbusinesses.Locally
grown,nicheretailwillbeagoodcomplementtodowntownrevitalization.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
Threats
TruckTraffic
Thesuccessofthepositivequalityoflifeopportunitiesin
LaPortecouldbethreatenedshouldindustryandport
relatedtrucktrafficcontinuetoheighten.Althougha
necessarypartofcommerce,safetyandenvironmental
issuesrelatedtotrucktrafficareofseriousconcernto
localresidents.Toremedy,theCityneedstoactively
planforroadwayimprovementsandtruckroutingaway
fromlifestyleandtourismamenities.
WhatisLatƚƩƷĻƭsingle
greatestweakness?
OilandGasIndustryDownturn
TopicResponses
AsdescribedintheͻĻğƉƓĻƭƭĻƭͼsectionofthisreport,
Balancinggrowth/
LatƚƩƷĻƭconcentrationofindustrycloselytiesthe
preservingĭźƷǤƭcharacter63
ĭźƷǤƭeconomytotheebbandflowoftheoilandgas
industry.Thisposesapotentialthreattothe Appearanceofthecity60
communitythatcanbeaddressedbyattractingamore
AppearanceofMain
diverseeconomicmixintothecommunity.
Street,specifically15
Newbusinessattraction,
ExternalPerception
retailandentertainment47
WhatdooutsidersthinkaboutLaPorte?Accordingto
Petrochemicaland
theForwardLaPortesurvey,aportionoflocalresidents
portindustries39
believesthatLaPortehasapoorreputation.Anegative
externalperceptionthreatensLatƚƩƷĻƭabilityto
Pollutionrelatedto
industry,specifically12
attractnewresidents,businesses,andtourists.
Changinganexternalimagestartsathome.Internally,
Trafficrelatedto
industry,specifically13
howdoresidentstalkaboutthecity?Wordofmouth
impressionsquicklyspreadoutsideofacommunity.
Externalperception/
HowdoesthecityappeartopeopledrivingthroughLa
reputation17
Porte?Aclean,consistentappearancespeaksvolumes
Localpolitics/status
aboutthequalityofacity.
quothinking13
Flooding/hurricanes8
Flooding
WhenaskedwhatresidentswouldsayisLatƚƩƷĻƭ
Source:ForwardLaPortepublicsurvey,
January2009
numberonepriority,severalintervieweesreplied,
ͻŅƌƚƚķƦƩĻǝĻƓƷźƚƓ͵ͼPerhapsHurricaneLƉĻƭrecent
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
damageinfluencedthecomment,butitisanaccurateassessment.Hurricanesareafactof
lifeforGulfCoastcommunities,andthedamagetheycauseposeathreattocommunity
improvements.
GrowthManagement
OneofLatƚƩƷĻƭgreatestchallengeswillbetomanagegrowthinawaythatpreservesthe
ĭźƷǤƭcharacterandauthenticity.TheForwardLaPortesurveyrevealedthatresidents
believegrowthmanagementistheĭƚƒƒǒƓźƷǤƭgreatestweakness.Thepetrochemical
industrywillcontinuetoexpandinLaPorte,andbothportterminalswillcontinuetoup
trafficvolumes.Developingandcommittingtoamasterplaniscriticaltoensuringthatthis
growthdoesnotthreatenthe/źƷǤƭqualityoflife.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
TargetAudiences
AstheSWOTAnalysisindicates,LaPorteisinauniquepositionrelativetoothercities.Most
economicdevelopmentinitiativeshappeningintheU.S.todayconcentrateonrecruitinghigh
wage,highcapitalinvestmentbusinessesintotheircommunities.LatƚƩƷĻƭenviable
positionisthatithasawealthoftheseemployersalready.
Instead,thefocusofeconomicdevelopmentinLaPorteisqualityoflife.Itsaudiencesare
individualsandbusinessesthatenhancetheĭźƷǤƭlivabilityandareattractedtoLatƚƩƷĻƭ
uniqueamenities.Theyinclude:
Tourists.LaPorteshouldfocusonattractingdayvisitorsfromtheGreaterHouston
area.Acruiseshiplinedockedat.ğƩĬƚǒƩƭCutorBayportopensopportunityto
targetindividualstravelingfromotherpartsofTexasandneighboringstates.These
individualsmightstayovernightintheareabeforeoraftertheircruise.
Retailers.ͻ.ǒźƌķitandtheywillĭƚƒĻͲͼshouldbeLatƚƩƷĻƭmottoforrecruiting
retailersintothecity.Ensurethatthecityhastheappropriateinfrastructureand
policiesinplacetoattractretailers.Bigretailchainsanddevelopmentswillrequirea
sizable,shovelreadyproperty.Nicheretailers,suchasthetypethatwouldlocatein
theMainStreetDistrictorneighborhoodcenters,needattractivespace,quality
control,andassuranceofadequatelocaldemand.
HospitalityBusinesses.AsLaPorteinvestsinitstourismamenities,hospitality
businessesbecomeanaturaltarget.Fullservicerestaurantsareaprimetarget
immediately.Longterm,smallgrocers,wellnessbusinesses,artstudios,andbed
andbreakfastswillfitwellinLaPorte.TheCitymightevenconsiderrecruitinga
hospitalitytrainingacademyasananchorforthissector.
RealEstateDevelopers.Severalofthelargerprojectsunderconsiderationbythe
cityshouldinvolvearealestatedevelopmentcompany.
LatƚƩƷĻƭEconomicDevelopmentStrategywillcontainspecificrecommendationsonwhat
theCityshoulddotoprepareforandmarkettotheaboveaudiences.
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City of La Porte, Texas – SWOT and Target Audience Analysis February 2009
Chapter 3:
Strategic Plan
ECONOMIC DEVELOPMENT STRATEGIC PLAN
CITY OF LA PORTE, TEXAS
May 2009
1601 D West 6th Street
Austin, Texas 78703
(512) 472-1555
info@avalancheconsulting.net
Table of Contents
Acknowledgements……………………………………………………. 2
Introduction…………………………………………………………….. 3
Section 1: Community Development Policy Review………………. 4
Section 2: Strategic Plan……………………………………………… 17
Appendix: Incentive Policy Example………………………………….. 35
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Acknowledgements
Avalanche Consulting, TXP, and Gateway Planning would like to thank the City of La Porte’s
City Council, staff, and Economic Development Board for their tireless support throughout the
course of this project. We would also like to recognize the input and support of the members
of the project Steering Committee for setting aside their time and providing invaluable insight
during the creation of this Economic Development Strategic Plan.
Members of the Steering Committee included:
Stephen Barr – Parks and Recreation Manager, City of La Porte
Ron Bottoms – City Manager, City of La Porte
Martha Gillett – City Secretary, City of La Porte
Karen Gregory – Economic Development Director, CenterPoint Energy
Gary Huffman – Plant Manager, Invista
John Joerns – Assistant City Manager, City of La Porte
Susan Muha – San Jacinto College District
Russell Plank – Principal, National Property Holdings
Jeff Suggs – Emergency Management, City of La Porte
Tim Tietjens – Planning Director, City of La Porte
Debbie Westbeld – Economic Development Coordinator, City of La Porte
In addition, the project team greatly appreciates the many other community leaders who
contributed insight during interviews and focus groups. Their input helped shape this plan.
These individuals included:
Katherine Aguilar, Resident Ronda Lunsford, Main Street Advisory Board
Margaret Anderson, Main Street Advisory Board Shar Lynch, Main Street Advisory Board
Nick Barrera, Planning & Zoning Commission Georgia Malone, La Porte City Council
Barry Beasley, La Porte EDC Board Member Bill Manning, Jr., Main Street Advisory Board
John Black, La Porte City Council Ed Matuszak, Main Street Advisory Board
Jerry Carpenter, Main Street Advisory Board J.J. Meza, TIRZ Board Member
Mike Clausen, La Porte City Council Tommy Moser, La Porte EDC Board Member
Chuck Dibala, Imperial Homes Mike Mosteit, La Porte City Council
Dennis Dunham, Resident Fred Muston, La Porte Heritage Society
Chuck Engelken, La Porte City Council Pat Muston, La Porte EDC Board Member
Mark Follis, Main Street Advisory Board Bob Pizzitola
Debra Gallington, Main Street Advisory Board Alton Porter, Mayor
David Janda, Planning & Zoning Commission Louis Rigby, La Porte City Council
Paul Larson, Main Street Advisory Board Garson Silvers, Silvers Development Co.
Hal Lawler, Planning & Zoning Commission Adam Yanelli, Bayshore Sun
Bill Love, La Porte EDC Board Member
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Introduction
The economic development environment facing the City of La Porte and other Texas
communities has changed significantly over the past twenty years. Economic development
was once largely about corporate relocation and expansion, with cost considerations the
driving force and the competition almost entirely domestic. Today, while competition from
other communities has never been fiercer, there a variety of additional considerations shaping
the overall competitive landscape. These factors include, but are not limited to: the influence
that quality of place has on economic growth; the emerging role of the “creative class;” the
convergence of retail, tourism, entrepreneurship, and industry in economic development
planning; and globalization.
La Porte has long been a center of commerce and industry, and its bayside location has
attracted residents seeking a coastal lifestyle. The desire to refresh the city’s appearance,
build on its core assets, and continue to increase leisure opportunities inspired this economic
development strategy. Local leaders recognize that quality of life is critical to helping local
businesses and residents thrive.
La Porte is home to many unique assets. Currently, some of those assets are not well linked
or leveraged. Better connecting La Porte’s historic downtown district, the renaissance of
Sylvan Beach, and diversifying residents’ leisure and job options can transform La Porte into
one of the most desired destinations in the Greater Houston Area.
Success is dependent on a well executed planning effort that can be implemented and
sustained long into the future.
Planning Process
Crafting La Porte’s economic development strategy involved large-scale community input.
Through the course of this project, the consulting team interviewed 42 local leaders and
surveyed more than 300 residents. Their input, combined with economic research, formed the
platform on which the goals and recommendations in this plan were founded.
The six-month planning process began in November 2008. Prior to this document, the
consulting team provided city leaders with two reports that form the initial chapters of the
strategy: a Community Assessment Report and a SWOT Analysis / Target Audience Report.
Both reports were presented to the Steering Committee for review and finalized based on their
comments.
This final chapter of the strategy contains two sections. The first is a review of the City’s
community development policies. The second contains La Porte’s economic development
mission, vision, goals, and strategies. It is accompanied by an implementation calendar,
estimated budget, and performance metrics.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Section 1: Community Development Policy Review
La PorteÔs New Opportunity Ï Place-Based Economic Development
The Greater Downtown of La Porte offers a unique opportunity to link multiple destinations
that serve a broad market. The prospects to grow synergistically two different kinds of retail
markets (destination and local service), a tourism base and downtown living can establish La
Porte as one of the best places in the Houston Region to live and visit.
Sustainable development today means harnessing and coordinating real estate development,
architecture, urban planning and public-private partnerships. The nature of economic
development has changed, necessitating a review of current land use planning practices. Not
so long ago, economic development was mostly focused on recruiting businesses to locate in
your community. That is still important. But today, economic development has become firmly
connected to place and the environment.
“Quality of life” was once just a buzzword used as the calling card of the local neighborhood
activist. As measured by the quality of our neighborhoods, our cities and our regions, quality of
life has now become a bottom-line factor for many business decisions. Why? Business
decisions continue to be driven by competition. And competition is more and more about
recruiting the best talent—people who have the luxury of living and working wherever they
desire. Accordingly, attracting the best and the brightest means that companies must also
provide access to an attractive quality of life in addition to merely providing competitive
compensation.
Similarly, tourism has become a growing part of the economy, especially for those
communities that can harness historical, local assets such as Sylvan Beach. The tendency
towards more local spending because of the economy—rather than longer trips, and La
Porte’s location in the Greater Houston Region, position La Porte to draw tourists out of its
own community and from those living within the larger region. This strategy takes advantage
of the fact that economic development now is inextricably tied to sustaining quality of life,
fundamentally creating the concept of sustainable economic development.
A planning approach that takes advantage of this opportunity is the New Urbanism. The goal
of New Urbanism is to remarry real estate development, architecture and urban planning. New
Urban projects can include downtown redevelopment, infill and large-scale new growth in
suburban greenfield locations. Based on time-tested neighborhood design principles, the
New Urban approach to growth and development gained some traction in 1991. That year, the
Local Government Commission, a California-based non-profit promoting healthy, walkable and
resource-efficient communities, invited a group of urban architects to develop a policy for
planning sustainable communities.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Named the “Ahwahnee Principles” after the location of their formal presentation to a group of
public officials, these Principles include the supposition that “planning \[should\] form complete
and integrated communities containing housing, shops, work places, schools, parks and civic
facilities essential to the daily life of the residents.” The Principles also call for a diversity of
housing types and transportation options within each neighborhood. The environment plays a
central role, too, as the Principles call for respect for the natural site conditions and the
environmental resources of areas to be developed. At the regional level, the Principles call for
connected greenbelts, the locating of civic infrastructure in downtowns as well as
transportation networks built around both roads and transit. In terms of implementation, the
document calls for comprehensive planning that is community-based.
These principles provide support for the strategy of Sustainable Economic Development for La
Porte:
Main Street is positioned to provide a community gathering place to anchor
expanding residential urban living in the Greater Downtown.
Downtown La Porte has the opportunity to link this expanding opportunity for
urban living to the natural assets of the area including the waterfront and the
watershed corridors, providing natural linkages for the planned system of trails
that in turn will enhance the ability to attract and sustain high quality downtown
neighborhoods.
This sustained living environment will then make service retail for tourists and
neighborhoods more viable on Main Street and on key locations on Fairmont
Parkway, providing a competitive advantage to attract even higher potential
destination retail at SH 146
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Forward La Porte Economic Development Strategic Plan I 2009-2013
The “new” in the New Urbanism is really just a new appreciation for more sustainable
approaches to planning and development recognized by prescient leaders of earlier
generations. Developer J.C. Nichols, a founding member of the Urban Land Institute (ULI),
was one of them. Wayne Nichols, grandson of J.C. Nichols, says that the goal of his
grandfather and his peers in planning “was to create beautiful communities—not subdivisions,
not shopping centers—but long-term, integrated planned communities. They saw themselves
as building human environments.
Today, Nichols’ strategies are used by those of us in town planning who recognize that place-
making is the new frontline of economic development. When combined with the New
Urbanism, the Community Builders’ approach creates opportunities for real estate value
capture. Critical to sustaining all business, value capture is fundamental to economic
development.
In the context of town planning and development, value capture recognizes that with each
infrastructure investment some marginal improvement or marginal decline occurs in the value
of the surrounding land. A second form of value capture recognizes that planning and
implementing development under the same vision and set of rules over multiple parcels
creates adjacency predictability and thus increasing value. This additional value created in
terms of property tax revenue and sales tax revenue can then be captured through an
expanded Tax Increment Financing District (TIF), empowerment zone, chapter 380, or other
vehicles to provide sustainable funding streams for capitalizing and maintaining the needed
infrastructure for Greater Downtown La Porte.
The utilization of an enhanced, well funded infrastructure system for Greater Downtown will
provide the basis for linking the key opportunities and destinations. In this context, it is critical
that the street network for Greater Downtown makes it convenient and inviting for people to
walk from destination to destination. The power of linking the Main Street Gateway, Five-
Points, Sylvan Beach and the emerging retail at SH 146 and Fairmont will provide economic
and market leveraging necessary to create increases in tax base to energize value capture for
infrastructure.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
A key linnk that can bee facilitated byy tax base vaalue capture wwill be reinvennting San Jaccinto
Boulevaard. Reinventting the streett as a safe, innviting pedesttrian corridor wwill bring the
emerginng trail systemm to and from Sylvan Beacch directly to the Main Streeet Corridor. TThe
right-of-wway of San Jacinto and the predominannce of public ownership of adjacent parrcels on
the westt side of the rroad can accoommodate a ddedicated traiil as part of a reinvented crross-
section.
The keyy to value capture to suppoort enhanced street infrastrructure and otther needed ppublic
amenitiees will be the creation of a de facto masster developer environmennt across multtiple
parcels controlled by different ownners within a ggiven area. This de facto mmaster develooper
environmment is why ddowntowns crreate and susstain value oveer time. The cchart below shows
the diffeerence betweeen conventionnal single-usee projects andd developmennt under valuee capture
environmments.
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Forward La Porte Econoomic Developmment Strategic Plan I 2009-22013
The termm “suburban ddevelopment”” (the red linee) does not reffer to the “whhere” but to the “how,”
in termss of the type oof developmennt. These proojects are typiccally isolated and accessibble only
by drivinng to them, suuch as strip-commercial ceenters or single-use office ccomplexes.
In this TTeam’s experience with towwn planning, wwe are findingg that commuunities that booth (i)
leveragee the infrastruucture and traansportation ssystems throuugh value cappture and (ii) uuse
adjacency predictabillity through a de facto “maaster developeer” environmeent are realizing value
curves ssuch as thosee depicted forrdowntowns ((the blue line)) in the chart above.
“Empty-nesters” and young professsionals can bbecome key mmarket targetss for this strattegy.
They tennd to have moore disposablle income andd put less preessure on the costs of servving
communnities in termss of kids, social services, eetc.. Attractingg and maintaining empty-nesters is
like attraacting touristss. Empty nestters like to speend money; aand their childdren only visitt,
lesseninng burdens onn the local schhools. Moreovver, both emppty-nesters annd young
professionals like to llive in smallerr lot homes, toownhomes annd lofts. Moree dense in dessign,
those reesidences tend to be muchh more efficiennt in terms of community sservices such as
police,ffire and the mmaintenance oof utility systemms. Accordinngly, empty-neesters and yooung
professionals are an important target market foor any meaninngful economiic developmeent
strategyy.
Communities that attract empty-neesters and yooung professioonals are alsoo attractive locations
for corpoorate investmment. People like “cool” commmunities. Soo if a suburbaan communityy can use
good deesign and valuue capture to create great places to livee and work, thhose communnities will
have a ccompetitive advantage in aattracting a claass of “knowledge workerss,” such as arrtists,
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Forward La Porte Econoomic Developmment Strategic Plan I 2009-22013
scientists and engineers, university professors and architects. This “creative class,” the term
Richard Florida—who penned two national bestsellers, The Rise of the Creative Class and
The Flight of the Creative Class—coined, are the intellectual assets of the new economy.
The mortgage crisis may be an early indication of why a New Urbanism strategy makes
sense. Those communities that are not attractive to the broader market of living preferences
are showing signs of potential long-term decline. In many locations around the country, those
areas that offer only “cookie-cutter” housing (often times expensive, but homogenous) and
only strip commercial at the major highway interchanges are facing higher foreclosure rates
than mixed use centers and walkable downtowns. Accordingly, the key to La Porte sustaining
its new economic development prospects will be a focus on the livability and sustainability of
Greater Downtown.
The key here will be activating a vision for downtown that will be embraced effectively by the
market under a master plan implemented through responsive city policies and regulations.
Some of the current policies and regulations support the recommended place-based economic
development strategy, while others do not.
Assessment of La Porte’s Comprehensive Plan and Regulations to Implement
New Economic Development Plan
Generally, the Comprehensive Plan sets up support for the recommended place-based
economic development strategy. The current code, however, would need to build on
substantially the Main Street Overlay and Design Guidelines in order to implement walkable
urbanism in Greater Downtown, the key to the initiative.
La Porte’s Comprehensive Plan provides support for the sustainable economic development
strategy recommended herein. The City’s pronouncement of the following principle sets the
stage:
“We have the ability and the resources to shape a more positive future. We
do not have to accept a declining quality of life. By planning for the future
and involving the entire community, we can maintain the qualities and make
La Porte even better.”
The keys to utilizing walkable urbanism to anchor a new place-based economic development
strategy are supported in the following comprehensive plan policies:
¤ “Encourage an active, vital downtown with a variety of uses” (Goal 4.4)
¤ “Provide an appropriate amount of land for various densities and types of residential
uses and ensure the highest quality living environment” (Goal 4.5)
¤ “Develop a \[pedestrian\] network … through the La Porte area, including an
interconnected system of paths, trails, lanes and routes (Goal 7.7)
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Forward La Porte Economic Development Strategic Plan I 2009-2013
¤ “Meet the future housing needs in La Porte by providing for a variety of housing
options” (Goal 9.2)
¤ “Preserve the integrity of existing neighborhoods and create livable and safe
neighborhood environments” (Goal 9.6)
¤ “Stabilize and improve the quality of neighborhoods and other areas of decline by
attracting renewed private investment activity.” (Goal 12.1)
¤ “Revitalize the City’s historic downtown area” (Goal 12.2)
¤ “Revise existing ordinances and adopt new ordinances as necessary to implement
the La Porte 2020 Comprehensive Plan Update.” (Goal 13.5)
The select policies implicitly recognize that linking destinations and quality neighborhoods is
necessary to sustain quality of life and to create the base for the recommended economic
development strategy. However, the following policies set up a possible conflict in terms of
being able to make it convenient by walking to link neighborhoods to improved downtown
destinations.
¤ “Protect Neighborhoods from encroaching incompatible development” (Obj.9.6.d)
- Amend the zoning ordinance to incorporate provisions regarding lot sizes,
setbacks and buffering (Action 1)
- Use the Land Use Plan to protect existing neighborhoods from adjacent
incompatible land uses (Action 3)
These policies of buffering uses from neighborhoods are depicted in the following schematic.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
The resulting development under this current policy likely will result in more conventional
development patterns, which will stunt the ability to transform the Greater Downtown into a
walkable urban environment because the policy reinforces the following conditions, which tend
to put development on the unsustainable “red” curve in the graph above.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Specificcally in regard to the Main SStreet and thee Historic District east of HHighway 146, the
objectivee currently in the Comprehhensive Plan of “neighborhhood bufferingg” will make itt difficult
to implement good traansitions to cconnect neighborhoods witth high qualityy adjacent
destinattions.
A betterr strategy will be to revise tthe land use pplan through tthe creation oof a Comprehhensive
Master PPlan for Greaater Downtownn and correspponding perfoormance-baseed regulationss to
facilitatee good pedestrian connections and transitions betweeen neighborhhoods and
commerrcial areas. TThe key is to rrely on qualityy pedestrian ttransitions bettween uses, nnot
buffers. The resultingg developmennt will take onn the followingg characteristtics, placing GGreater
Downtowwn on the susstainable “bluue” curve on the graph aboove.
Note thaat while this cconsistently hoolds true for LLa Porte’s dowwntown and hhistoric area,
neighboorhood buffering may be deesired for somme residential developmennts located weest of
Highwayy 146. Thesee homeownerrs will expect aa degree of bbuffering betwween their houuses and
surroundding industriaal or heavy coommercial usees.
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Forward La Porte Econoomic Developmment Strategic Plan I 2009-22013
Additionnal policies maake the development of a wwalkable linkeed downtownn challenging. For
examplee, the current land use plann does not prrovide for mixeed use as inddicated as crittical to
the strattegy in the graaphic above. Notwithstandding the Mainn Street Overllay, the current land
use plann provides strrictly for separrated uses, again reinforcing the need ffor a new Masster Plan
for Greaater Downtowwn.
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Forward La Porte Econoomic Developmment Strategic Plan I 2009-22013
The new approach underlying the need for a new master plan is somewhat reflected in the
Main Street Overlay and Design Guidelines. Those regulatory vehicles establish the following:
¤ Main Street Overlay
- Allows mixed use: commercial and residential
- Creates urban pedestrian environment through build-to lines
- Substantially reduces off-street parking requirements
Main Street Design Program
- Establishes standards for awnings, signs and colors
Both of these regulations provide a good starting point. However, they both should be refined,
and the reach of the intent of the overlay should be expanded as discussed above.
The Overlay supports mixed use, but it does not provide enough certainty of the form of the
buildings and the transitions beyond Main Street. Similarly, the Design Standards provide
aesthetic guidance such as color; but they do not provide enough guidance for architectural
function such as storefront design and public space design. The key to creating a successful
walkable Greater Downtown will be revising these standards to implement the recommended
new comprehensive master plan for Greater Downtown with a higher level of detail that
creates investment certainty from property to property and from street to street. See below for
an example of the kind of regulatory performance-based approach that could take the initiative
to the next level of quality development by providing more certainty of how buildings interact
with public spaces for walkability and retail success.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
A key too the success of Greater Downtown oveerall will be thee proper design of streets so that
they botth support a wwell functioninng street netwwork for mobility; but so thaat they also
complemment walkablee mixed use eenvironmentss at the pedesstrian-scale. TThe Comprehhensive
Plan pollicies supportt this approacch:
¤“Develop a \[ppedestrian\] neetwork … throough the La PPorte area, inccluding an
interconnecteed system of paths, trails, lanes and rouutes (Goal 7.77)
¤ “Maximize nnetwork continnuity to providde for the freee flow of peopple….” (Obj. 55.2.d)
¤ “Provide a safe and effecctive means too accommodaate pedestriann traffic and pprioritize
sidewalk impprovement areeas based onn type of streeet and adjaacent land usse(Goal
5.7)
But the ttools available in terms of support for sttreets design to accomplissh these goalss are in
some seense in conflicct with anotheer comprehennsive plan policy that statess “\[e\]stablish a
hierarchhy of thoroughhfare classificcations that will provide for safe and connvenient flow of traffic
throughoout the commmunity” (Obj.9.6.d). The figuure below shoows the appliccation of this policy of
mobilityto the street network of Greater Downtown. If the sttreets depicteed below are
designed strictly to mmove cars, theey will not proovide the kind of context thaat will supporrt
sustaineed investmentt in walkable urbanism, an underpinningg of the placee-based econoomic
development recommmendation herein.
The poteential refinemment of the crooss-sections iimplementingg the thoroughhfare plan, witth the
guidancce of the new Manual for WWalkable Urbaan Thoroughfaares by the Innstitute for
Transpoortation Enginneers (ITE), wwill enable the effective marriage of the mmobility need
s of the
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Forward La Porte Econoomic Developmment Strategic Plan I 2009-22013
network and the adjacent land uses in Greater Downtown. Adopting these design practices
will further support La Porte’s new place-based economic development strategy.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Section 2: Strategic Plan
This strategy was designed to address what is needed to generate sustained prosperity for La
Porte through economic diversification and improvements in quality of life.
Core Themes
During the planning process, a number of themes emerged from discussions with
stakeholders, economic analysis, input obtained from the community survey, and the SWOT
analysis. Avalanche has grouped these major themes into broad categorize that capture the
essence of where the City of La Porte should focus its economic development energy in the
coming years.
Over half the employment base in La Porte (51.9%) is in the production sectors of
manufacturing and construction, a much greater concentration than neighboring
communities, Houston (17.2%), and the state as a whole (15.9%). La Porte’s
proximity to the Port of Houston and transportation infrastructure should enable future
growth in the warehousing sector as well. While these sectors provide some counter-
cyclical benefit, little new job growth is expected in the near future.
La Porte’s location within Greater Houston is a blessing, and Houston area residents
should be a primary target audience for economic development. By the same token,
La Porte has a number of unique assets (such as Sylvan Beach) that help it stand out
within the region and the state.
The community appears primed to support economic development. When asked as
part of the community survey if they supported the statement that economic
development success is defined as “Enhanced prosperity and quality of life for La
Porte,” 4 out of 5 respondents said “yes.”
Unlike some communities that are struggling to revive their economies, La Porte is in
an enviable position. A strong industrial base generates jobs and healthy tax revenue
for the city. Despite recent fluctuations, the oil and gas sector will remain the dominant
force in the La Porte economy. The challenge is to diversify in order to maximize the
community’s economic potential.
Downtown is a priority for near-term action. The downtown area has the potential to
be a focal point for the community, both in terms of the day-to-day lives of local
residents and as a significant element of the attractions that make La Porte appealing
to both tourists and those relocating to the area.
Expanding the recreational and retail capacity of the community will serve both
residents and tourists. In La Porte, entertainment, retail trade, and enhanced tourism
amenities are valid targets for economic development. As an example, a destination
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Forward La Porte Economic Development Strategic Plan I 2009-2013
retail/entertainment project not only attracts regional shoppers, but also helps stop
retail leakage to neighboring communities.
La Porte’s Economic Development Mission and Vision
A mission statement describes what the Economic Development Corporation is charged with
doing throughout the duration of its existence.
The mission of the La Porte Economic Development Corporation is to plan,
provide, and promote economic development in the city of La Porte, Texas.
A vision statement describes what the city of La Porte will look like in 20+ years from now as a
result of the City’s economic development activities.
A doorway of commerce for the nation, La Porte, Texas, is a vibrant, historic
city that offers a diversity of economic opportunity and a healthy coastal
lifestyle for residents and visitors alike.
Mission and vision statements serve as the cornerstone of an economic development
strategy. All goals and tactics contained within the plan support the overarching vision of the
city.
La Porte’s Economic Development Goals
Avalanche Consulting created three goals that are critical to La Porte’s ability to succeed in
economic development and that move the city forward toward accomplishing its vision. These
goals are both attainable (reachable outcomes that will require commitment) and sustainable
(consistent with the long-term economic growth that does not harm the community’s unique
character).
Goal 1 – Adopt policies that encourage high quality development.
Goal 2 – Engage in an economic development marketing campaign that increases
awareness and perception of La Porte to residents and the outside world.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Goal 3 – Implement the strategies in such as way that maximum flexibility and
accountability are maintained.
GOAL1
Adoptpolicies
thatencourage
highquality
development.
VISION
Adoorwayofcommerce
forthenation,LaPorte,
Texas,isavibrant,
historiccitythatoffersa
diversityofeconomic
opportunityanda
healthycoastallifestyle
forresidentsandvisitors
GOAL3
alike.
GOAL2
Implementthe
strategiessothat
Engageinan
economicmaximum
development
flexibilityand
marketing
accountabilityare
campaign.
maintained
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Forward La Porte Economic Development Strategic Plan I 2009-2013
GOAL 1.0:
Adopt policies that encourage high quality development.
To provide a more competitive environment to recruit new businesses, to increase tourism, to
create a more attractive retail context and to expand the residential market in terms of variety
and quality of housing types, the Consultant Team recommends the following package of
steps to implement the place-based aspects of this new strategy:
Strategy 1.1 - Develop a Comprehensive Master Plan for Greater Downtown that
links key destinations and neighborhoods.
A master plan is the business plan of a particular focus point within a community such as a
downtown. City policy has been calling for a downtown master plan, understanding that the
real potential of La Porte cannot be realized ad hoc. A downtown master plan must be seen
not only as a planning tool that harnesses a vision to the opportunities at the street, block and
building level; but also, the master plan becomes the policy framework going forward for a
host of related issues such as infrastructure phasing, connecting key destinations, supporting
catalytic projects and determining how best to invest the public-sector’s limited resources. In
short, the master plan becomes the basis for creating and sustaining economic investment in
the context of creating a great place for people to live, work, visit, shop and play in Greater
Downtown La Porte.
The basic steps of the kind of master plan that is needed to realize the vision of downtown’s
renaissance includes the following:
Creating a block, street, public space and building level scale plan that respects and
builds upon the existing fabric of downtown;
Creating a revised street network concept that balances pedestrian-scale
development with good local access and regional mobility;
Identified catalytic development projects in the context of the master plan framework,
including a integrated mixed use strategy to link the Sylvan Beach Park Plan with the
remainder of downtown;
Undertake a fiscal impact analysis of the tax base impacts to determine the level of
public revenue that would be realized over time;
Develop a priority and phasing plan for infrastructure; and
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Develop select renderings of key catalytic projects to provide a means to
communicate effectively the goals of the master plan to the community, developers
and future members of the City Council.
All of these steps would be taken in the context of an integrated public process.
Based on our evaluation of La Porte’s assets and opportunities, as well as our review of
current development policies, we strongly recommend that the Master Plan reflect the
following direction:
Develop and implement performance-based development standards beyond the Main
Street Overlay and Design Guidelines to implement the new Master Plan, including
refinement of street cross-sections to accommodate walkable urbanism.
Increase the boundaries of the TIF beyond the limited street rights-of-way within
Greater Downtown to capture more value for
needed infrastructure improvements for
Retail Development:
downtown.
Main Street and Fairmont
Reinvent San Jacinto as a walkable corridor
Fairmont developed as the
new location for the relocation
with a trail to extend the reach of Main Street
of some key destinations that
conveniently to Sylvan Beach.
once were anchors for Main
Street, the seat of
Create a partnership with the Harris County to
government, the post office,
make the Sylvan Beach Park a true mixed use
etc. In addition, new retail
tourist destination, building on the impending
sprung up on Fairmont, while
investment in the Park.
Main Street’s declined.
Today, La Porte has the
Consider Fairmont Parkway as a means to opportunity to have
complementary retail in both
bring the reach of future destination retail at the
locations. Main Street offers a
SH 146 Interchange into downtown towards (i)
place well suited for
the intersection of Broadway and over to (ii)
entertainment, fine dining,
Sylvan Beach.
neighborhood cafes and
boutique shopping. On the
Preserve Broadway as a key connector street
other hand, Fairmont has
between the emerging gravity of Main Street
developed as a place for auto-
and the reinvention of Fairmont Parkway.
oriented retail that is not
necessarily a good fit for the
Strategy 1.2: Prepare the City for retail
pedestrian and tourist-focus
development.
emerging on Main Street. The
two can become a symbiotic
The key to aggregating land is to make protective
opportunity to offer the full
acquisitions in the context of potential land swaps,
range of retail needed to make
infrastructure coordination and potential city-initiated
any livable downtown a
rezoning to protect long-term destination retail
success.
opportunities.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Strategy 1.3: Ensure that the City has appropriate tools to finance and
incentivize quality economic development.
Tactic 1.3.1: Adopt incentive policy guidelines that are competitive with other regions while
protecting the tax base.
Before offering a prospect an incentive package, La Porte should conduct a cost-benefit
analysis to determine the potential value of the project to the community. As part of this
process, La Porte should be able to answer a number of general questions about each
project:
Would this project happen absent the provision of incentives?
What is the opportunity cost of the incentive (in other words, what alternative uses of
these resources are foregone by supporting this project)?
How much economic activity will occur because of the project?
What is the total present value of the incentive package?
How much will it cost the city to adequately service (e.g., utilities, public safety, etc.)
the project during its construction and operational phases?
What will be the environmental impact?
What return can government expect in terms of tax revenues from the project?
Beyond the questions outlined above, La Porte should consider adopting the following policy
guidelines.
Policy Guideline #1:
Benefits should exceed costs, even after incentives are granted. Except in
extraordinary situations, the public sector should not be willing to “go upside down,”
meaning that tax revenues must exceed public sector costs.
This may appear obvious, but many communities do not accomplish this goal because
they do not correctly measure the costs and benefits. For other communities, the
challenge is to balance immediate jobs creation with long-term tax revenue required to
provide city services. La Porte is in a unique position because of its large industrial
districts and high percentage of workers who commute to the area for work. For La
Porte, what counts as success is linked more closely with quality of life projects rather
than strictly job creation. This translates into La Porte being more selective about
which projects to incentivize.
The success measures for La Porte should focus on:
1. Total tax revenue generated, with emphasis on sales tax revenue
2. Industry sector diversification (retail trade or business/professional service
firms)
3. Geographic location within La Porte
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Evaluation Framework
Based on discussions with local economic development stakeholders and
professional expertise and experience, the project team has created a preliminary
framework (Scoring System) by which La Porte can assess the impact of future
projects. This process not only allows evaluation of projects, but also provides
guidance on the level of incentives that the community might ultimately offer. Our
approach strives to offer competitive incentives to important projects while protecting
the community’s unique position and cultural heritage.
The Scoring System is an approach that uses points for each of the major criteria
discussed in the next section. This Scoring System evaluates both the traditional
(economic impact) and non-traditional (quality of life) elements of the project. These
point values are for illustration, and should be refined as La Porte sees fit.
Table 1: Preliminary Scoring System
Overall Economic and Fiscal Impact
Minimal Acceptable Good Excellent
0 10 20 30
Character of Jobs
Poor/Minimal Acceptable Good Excellent
0 10 15 20
Connection to Economic Development Focus Areas
Unconnected Acceptable Good Excellent
0 10 20 30
Additional Contribution to Community Vitality
Minimal Acceptable Good Excellent
0 10 15 20
Total Possible Points 100
Bonus Points for Desired
Development Location in 15
Downtown/Sylvan Beach Corridor
Policy Guideline #2
Projects with a score between 70-100 may qualify for return of up to 50% of the net
present value of the estimated total tax liability, minus direct city and or county costs,
for a term that may be as long as 10 years. Projects with a score between 50-70 may
qualify for up to 30% of the net present value of the estimated total tax liability for a
term that may be as long as 10 years. Projects that score 50 and below do not
qualify. In addition, tax revenue returned will not exceed 80% of the total tax liability in
any single year.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Scoring System Factors
Economic/Fiscal Impact and Character of the Jobs
La Porte’s primary considerations when evaluating whether or not to offer an incentive
package is the potential aggregate economic and fiscal impact on the community and
the character of the jobs to be created. Standard questions asked when evaluating
firm-based incentives requests may include:
What is the absolute size of the net benefit (economic and fiscal)?
Is the firm a headquarters operation? Does it represent the “headquarters” of
a new product line/service for the firm?
Is the firm growing? Is the firm in a growing industry? How stable is the firm?
Does the project represent a significant enhancement of the local tax base
over and above the economic impact (i.e., a new entertainment/lodging facility
that can choose whether or not to locate in the city limits)?
Will the project make a disproportionate demand on the community’s
environmental and infrastructure resources?
Policy Guideline #3:
Chapter 380 of the Texas Local Government Code, due to its flexibility and simplicity,
is likely to be the preferred vehicle for any financial incentive agreement between La
Porte and a potential recipient.
Within this structure, sales taxes, property taxes, and other fees paid by the company
could be eligible to be included in the agreement, although all should be returned,
rather than waived/abated. Property taxes can be an incentive for existing space as
well. For end-user purchase, La Porte can offer to structure an agreement that
returns, on a performance basis, the taxes that accrue based on the incremental
growth of the property over time. The same process could be applied to end-user
tenants, since commercial/industrial leases can be written as “triple net,” where the
tenant directly pays the cost of taxes, insurance, and utilities.
What this structure does is to insure that La Porte covers its costs before offering
incentives, while essentially forgoing the right to use the “profit” from the firm to cross-
subsidize residents (as with utilities, commercial property taxpayers tend to provide a
disproportionate share of revenue). At the same time, the community (and the city)
gain in a number of additional ways, such as economic activity in the form of jobs and
spending plus additional tax revenues.
Policy Guideline #4:
Financial incentives should not be “front-loaded.” Rather, the community should set an
incentive policy based on returning taxes and/or fees paid by a company upon
execution of a specific set of agreed-upon performance criteria between the applicant
and the City.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Standard economic development practice has moved toward using performance-
based standards to safeguard the public interest in incentive agreements. The extent
of the incentive(s) to be offered could be a substantial percentage of the net gain to
the community, as measured by the expected tax revenue gains minus direct costs,
and the community should be aggressive in working with companies and projects that
meet the criteria established. However, the return of these funds must be
performance-based, and must occur after the funds have been paid initially to the
City.
Policy Guideline #5:
La Porte should reserve the right to craft a unique incentive package in the case of
extraordinary opportunities for economic development in La Porte. These may
include cases with: 1) exceptionally high levels of economic impact as measured by
investment, jobs, or tax revenue; or, 2) opportunities to leverage significant funds from
other public sector jurisdictions, for example federal or state sources.
Inevitably, there will be situations that should be exceptions to the policy guidelines
outlined above. This guideline provides some indication about the conditions under
which an exception should be made, and acknowledges that overall policy must be
flexible.
TheAppendixofthisreportcontainsanexampleofanincentivepolicyinaction.
Tactic 1.3.2: Create specific incentive strategies for Sylvan Beach, Main Street, and a new
retail center.
These three areas of focus likely will each require additional elements beyond those outlined
in the incentive policy above. For example, Harris County is a significant stakeholder in
Sylvan Beach, and policy & plans for its redevelopment and/or reuse should reflect their
cooperation and participation. Some tools that could facilitate the revitalization of Main Street
and the development of the retail site(s) are already in place (such as the TIRZ). These may
need to be modified or augmented (through boundary expansion, regulatory reform, etc.)
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Forward La Porte Economic Development Strategic Plan I 2009-2013
GOAL 2.0:
Launch a coordinated economic development marketing campaign that
increases awareness and perception of the community to the outside
world.
Economic development entails both capacity building and marketing. Capacity building
improves a community’s readiness for its target audiences. As addressed in Goal 1, master
planning and changes to City policies will greatly contribute to La Porte’s capacity for
economic development.
Marketing alerts a community’s target audiences of a city’s interest in them and its ability to
serve their needs. The mix of audiences vary from city to city. Many traditional economic
development programs market to industry, encouraging those businesses to relocate or
expand into the city. In La Porte’s case, local industry is strongly dominant. The community
has overwhelmingly stated its desire for economic development to prioritize quality of life
enhancements, specifically in four areas:
1. Beautification
2. Downtown
3. Sylvan Beach
4. Retail
La Porte’s marketing audiences are those that will complement these objectives and be
attracted to the city as a result. As discussed in Chapter 2: SWOT and Target Audiences,
Avalanche Consulting highly recommends the following four targets:
Tourists
. La Porte should focus on attracting day visitors from the Greater Houston
area.
Hospitality Businesses
. As La Porte invests in its tourism amenities, hospitality
businesses become a natural target. Full service restaurants are a prime target
immediately. Long-term, small grocers, wellness businesses, art studios, and bed
and breakfasts will fit well in La Porte.
Real Estate Developers
. Several of the larger projects under consideration by the
city should involve a real estate development company.
Retailers
. Ensure that the city has the appropriate infrastructure and policies in place
to attract retailers. Big retail centers will require a sizable, shovel-ready property.
Niche retailers, such as the type that would locate in the Main Street District, along
Fairmont, or in neighborhood centers, need attractive space, quality control, and
assurance of adequate local demand.
In addition, the City should also remember that La Porte’s residents and businesses are also
audiences for the economic development campaign.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
In this strategy, marketing recommendations are organized within two topics. The first topic,
“external marketing,” provides recommendations related to La Porte’s push to draw its target
audiences into the city. The second topic, “internal marketing,” offers the City and its partners
recommendations for bolstering collaboration and building widespread community awareness
of positive development.
Accomplishing this goal will require participation and support of many organizations in La
Porte in addition to City government. Within each strategy, Avalanche Consulting has listed
tactics required for implementation.
Strategy 2.1: Organize and launch an external marketing campaign.
Tactic 2.1.1: Develop and adopt a marketing plan based on the recommendations of this
Strategic Plan.
The City’s marketing capacity must improve if it is to achieve its long term vision. The purpose
La Porte with a framework for engaging in an economic
of Goal 2 is to provide
development marketing campaign
. The following tactics outline the core principles of the
marketing plan.
Tactic 2.1.2: Brand and market the downtown district.
In concert with the Master Plan, the City should package the entire
downtown district within a single brand identity. Naming the area will go a
long way toward creating a sense of place. The downtown district would
include the geography defined within the Master Plan and all of the
amenities within.
The specific name should incorporate aspects of La Porte that are well known outside of the
the City adopt “Historic Sylvan Beach” as
city and have universal appeal. We recommend
the umbrella brand
, and adapt that brand to each specific amenity. This concept is
illustrated below:
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Forward La Porte Economic Development Strategic Plan I 2009-2013
incorporate the name into gateways and
The City should
signs within the district
. Mock ups of what signage could
look like are provided to the right.
Finally, working with the Main Street Advisory Board and
Coordinator, the City should develop marketing materials to
help promote the district, including:
Historic Sylvan Beach District website
– a
standalone website should be created that features
all amenities within the district. Model the website
on best practices of other communities such as
Long Beach, California (www.visitlongbeach.com),
Raleigh, North Carolina
(www.godowntownraleigh.com), and Annapolis,
Maryland (www.visitannapolis.org).
Historic Sylvan Beach District brochure
– a
printed brochure highlighting amenities and
containing a map of the district. The brochure may
be mailed to prospects and distributed at various
establishments around La Porte.
Historic Sylvan Beach District newsletter
– a
printed newsletter that is distributed 1-2 times per
year, showcasing new business activity,
developments, and events happening within the
district.
Historic Sylvan Beach District advertisement
– an advertisement that can be used
across a variety of publications in the Greater Houston area (see Tactic 2.1.3 for
suggestions on which media should be considered).
Tactic 2.1.3: Market La Porte to tourists.
La Porte has a long history as a tourist destination. Long before industry came to town,
visitors from across the state flocked to Sylvan Beach and Main Street. The entire Ship
Channel area contains interesting historical sites, including the San Jacinto Monument. The
Economic Alliance Houston Port Region, an economic development organization
headquartered in downtown La Porte, is spearheading an initiative to package regional
attractions within one tour. This program, called “Project Stars,” is another basis for visitor
traffic into and around La Porte.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
La Porte doesn’t need to travel far from home to find tourists. Greater Houston’s 5+ million
residents is a large enough market to fuel day travelers for years to come. The key will be
honing in on populations that will be the “early adopters” of the new tourism push. These
individuals will view La Porte as a diamond in the rough, and feel personally involved in the
rediscovery of La Porte. They will also be the city’s best word of mouth marketing agents as
the campaign kicks off. They are:
Residents of other historic, gentrified neighborhoods in Greater Houston, including the
Houston Heights, Boulevard Oaks, Broadacres, Independence Heights,
Westmoreland, and the Old Sixth Ward, to name a few.
Board members, members, and investors of the Houston Preservation Alliance
Board members, members, and investors in the Houston Heritage Society
Alumni of La Porte High School living in Greater Houston
Advertising the Historic Sylvan Beach District in neighborhood association
newsletters
, particularly those targeted above, will be an affordable way to reach these
offer to host membership meetings or special events
individuals. In addition, in La Porte
that include a tour and lunch.
As tourism traffic increases and buzz builds, La Porte can extend its tourism promotion to
more mainstream audiences. Place Historic Sylvan Beach District brochures and
advertisements at venues such as:
San Jacinto Monument Visitor Center
San Jacinto College
Hotels and attractions in and around the Bay Area
La Porte Municipal Airport
Houston Hobby, Ellington, and Intercontinental Airports
The Houston Chronicle’s travel section, both print and online editions
position City leadership and the Main Street
Longer term, as the district establishes itself,
Coordinator as thought leaders on the topic of downtown redevelopment
. Speak at
community planning, downtown association, and historic organizations across the region and
state, citing La Porte as a successful model for other communities.
Tactic 2.1.4: Market La Porte to culinary related institutes and businesses.
The City’s goal of attracting visitors and enhancing quality of life could be greatly supported by
additional culinary activity located in the downtown district, including:
Culinary academy
– A culinary academy anchored in the historic district would be the
impetus for establishing La Porte as a visitor destination in the region. Not only would
it draw a daily stream of students into downtown, but it would also spark the growth of
niche retail and hospitality businesses.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Farmer’s market
– Buying locally produced, organic food is a nationwide trend, but
La Porte residents have little if any access to these products. Currently, the closest
farmer’s market is located more than 10 miles outside of the city. Interviews and
surveys conducted for this Strategic Plan indicate demand for a farmer’s market. The
examine the possibility of hosting a market in downtown La Porte
City should .
Specialty grocers
– Residents express great concern about the availability of grocery
stores in the city. While attracting a major national grocery chain to La Porte may take
several years, the city is ripe for specialty grocers.
Wine merchants
– Similar to specialty grocers, wine merchants are a natural fit in a
culinary environment. These merchants could sell bottles of wine, serve wine, and
host classes.
Restaurants
– Independently owned or local restaurant chains are desirable for the
downtown district. While La Porte has a good number of restaurants, it currently lacks
variety.
A cluster of culinary activity will uniquely position La Porte as a destination for visitors from
neighboring communitiesas well as fill a need for local residents. It will complement other
attractions in the city, such as Sylvan Beach, burgeoning niche retail, cruise ships, and a trail
system that draws cyclists and other sports enthusiasts.
develop a list
To start, of culinary academies, specialty grocers, wine merchants and
restaurants to target in this marketing campaign. Think small and regional chains versus
create marketing tools that express La Porte’s specific
national big box retailers. Next,
advantages for culinary businesses
. These tools may include a brochure, a web page on
the downtown website, and a series of advertisements for placement in specialty publications.
Tactic 2.1.5: Market La Porte to commercial real estate developers.
Once complete, La Porte’s Master Plan will identify specific catalyst projects that will heighten
the city’s ability to accomplish its economic development vision. These projects will likely
require participation from real estate developers. The Master Plan itself will serve as a
valuable marketing tool for the city when communicating with development companies. It will
provide a platform for conversation and illustrate to investors how their project will securely fit
within the city’s long term commitment to capital improvements.
create a database of commercial
As the Master Plan is being designed, the City should
developers
located in the Greater Houston area, as well as national firms whose niche
matches La Porte’s.
Invest in marketing tools to use when reaching out to contacts. These materials should
include:
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Forward La Porte Economic Development Strategic Plan I 2009-2013
webpage or section within the City’s website
A that provides details about the
Master Plan and the catalyst projects contained within
brochure and PowerPoint presentation
A that summarizes the Master Plan
start a phone call campaign designed to
Once marketing materials are completed,
scheduleone-to-one with developer contacts
to inform them of opportunities in La Porte.
host a Real Estate Day
As these relationships develop, in which Greater Houston area
developers tour La Porte to learn firsthand about opportunities and catalyst project locations.
This half-day event could include a brief presentation about the community, a brief tour of sites
and community assets, and a golf tournament. Provide guests with printed materials about
the Master Plan, a map of the region, and a community profile. Approach them as experts
brought in to help the City refine versus sales targets.
Tactic 2.1.6: Market La Porte to retail developers.
The survey conducted for this project revealed that increasing retail shopping options is a top
priority. Per capital taxable retail sales in La Porte were $1,844 in 2007, which is significantly
lower than neighboring cities Deer Park ($4,220), Texas City ($4,561), and Baytown ($7,024),
and Harris County as a whole ($5,938). La Porte needs to capture a higher level of spending
by residents, but first it must attract retailers to start up or expand into the city.
Although most retail developers have sophisticated approaches to site selection, and are
primarily driven by population demographics, it is beneficial to build relationships with these
businesses. In addition, as discussed in Goal 1, La Porte must prepare adequate sites and
development policies to meet the needs of retailers.
The International Conference of Shopping Centers (ICSC) is the shopping center industry’s
global trade association. It has 65,000 members, which include shopping center developers,
owners, managers, investors, lenders, retailers, and marketing specialists. ICSC’s Texas
Conference and Deal Making event occurs every fall in San Antonio. The conference attracts
major companies such as Applebee’s, Chipotle, FedEx, Hastings, JC Penney, Staples,
Starbucks, and The Container Store. Almost every major commercial developer is also
present.
attend and exhibit at ICSC
Once prepared for retail, the City should . The current cost to
register is $250 for members and $460 for non-members. Exhibit space ranges in cost from
$350 to $2100.
La Porte should invest in marketing materials to address its retail
As with developers,
audiencesDedicating a webpage within the City’s website to retail opportunities
., sites,
and sales points is an important step, as is having appropriate printed collateral for use in
sales meetings and at conferences.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Strategy 2.2: Engage in internal marketing to increase community awareness
of the City’s economic development initiative.
Internal and external marketing activities should be equally balanced in terms of time and
financial commitment. Internal marketing is essential to successful economic development.
Companies want to locate in places that exhibit a spirit of teamwork. It assures outsiders that
the city is friendly, welcoming, and will work together, and residents feel personally involved in
economic development
Tactic 2.2.1: Share the results of the final Strategic Plan with the community.
With more than 40 individuals participating in interviews and 300 in the public survey, La
Porte’s residents have contributed time and energy into the creation of this Strategic Plan. It
is important that they experience the results of their hard work.
Share the Strategic Plan with the Bayshore Sun. Encourage the Sun to develop a
series of articles over a period of several weeks that feature various topics covered
herein.
Host a roll out event in which project team members speak about the Strategic Plan.
Include a flyer about the Strategic Plan in City utility bills.
Working with La Porte Independent School District to distribute information about the
Strategic Plan to parents and teachers.
Tactic 2.2.2: Formalize a communications function within City government.
Ensure La Porte’s residents are kept updated on City activities. Create a communications
officer position or reorganize so that a current staff member(s) has time and authority to
implement this recommendation. The person should be responsible for:
Writing and distributing media releases on a regular basis about City activities
Hosting a series of events in which City leaders visit with civic groups about economic
development activities
Continuing to post current news stories and the community hotline on the City’s
website
Continuing to produce newsletters and annual reports that highlight top stories and
assure residents that the City cares about their interests
Alerting the Economic Alliance, Bay Area Houston Partnership, and Greater Houston
Partnership about economic development in La Porte
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Ensuring the City, economic development, and Historic Sylvan Beach websites are
kept up-to-date
Overseeing the design and production of collateral materials
Ensuring all City marketing activities, including those related to economic
development and the Historic Sylvan Beach District, are consistent in appearance and
messaging
Conducting an annual survey of residents to gauge perception and concerns related
to La Porte’s economic development
While these responsibilities may be handled by a single individual or divided across several
departments, each is important to maintaining a positive information flow between City
government and the public. This will help stem misinformation and generate a sense of
goodwill.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
GOAL 3
Implement the strategies in such a way that maximum flexibility and
accountability are maintained.
From the outset, this plan was designed in such a way that the priorities led to clear
implementation actions.
The goals, strategies, and tactics within this plan will be carried out by the City of La Porte with
cooperation from the Economic Development Corporation and the Main Street Advisory
Board. However, successful implementation will require energy and coordination from the
entire community.
Of foremost importance to economic development success is to accept that not everyone in
the community will agree with every tactic in this strategy. Through interviews and surveys,
we can say without question that almost everyone in the city agrees to the tenets on which this
strategy was developed. Improving La Porte’s quality of life is residents’ number one priority.
Beautification, Sylvan Beach, and Downtown redevelopment are critical components of this
initiative. City leaders and residents should not lose sight of these goals and should let them
guide decisions.
The second factor of economic development success is to keep policies flexible, geared
toward accomplishing La Porte’s long term vision versus reacting to daily crises. To
accomplish this, the public sector will have to:
Provide an overall planning context (a master plan) and funding for key catalyst
projects (e.g., Sylvan Beach and infrastructure improvements).
Ensure that policies related to land use should be focused on performance rather than
function. Focus on how the structure interacts with other elements of the built
environment, as opposed to what is going on inside the building per se.
Adopt an incentives policy that provides guidance to potential recipients as to
community priorities and goals while not being overly specific as to the type of firm or
project that is eligible. Include a system for grading a project’s eligibility that is based
on the project’s contribution to City vision and goals. Judgment should be a key part
of the evaluation process.
Focus on context and adjust this Plan as needed to facilitate market-driven evolution
of specific activities.
Finally, this strategy is an active document that should be updated and adapted to new
economic circumstances. The City should incorporate the Plan’s Implementation Guide into
staff management and evaluations. At least once a year, adjust the Implementation Guide to
include new projects and remove those that have been accomplished. In doing so, this
Strategic Plan can live well beyond its three-year timeframe.
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Appendix
35
Forward La Porte Economic Development Strategic Plan I 2009-2013
IncentivePolicyExample
MixedUseProject
NewUrbanBuildersplanstobringamixeduseprojecttothedowntownLaPorte/Sylvan
Beachcorridor.Theplanistobuild105,000squarefeetofretail/entertainment,a100room
hotel,45,000squarefeetofofficeusesand175housingunits,ofwhich75willbeowner
occupiedpricedbetween$155,000and$275,000/unit,withthebalancemultifamilyrental.
TheCitywillspend$375,000ininfrastructureextensions.
OverallEconomicandFiscalImpact
MinimalAcceptableGoodExcellent
010 20 30
CharacterofJobs
Poor/MinimalAcceptableGoodExcellent
010 15 20
ConnectiontoEconomicDevelopmentFocusAreas
UnconnectedAcceptableGoodExcellent
01020 30
AdditionalContributiontoCommunityVitality
MinimalAcceptableGoodExcellent
0 10 1520
TotalPossiblePoints100
BonusPointsforDesiredDevelopmentLocationin
15
Downtown/SylvanBeachCorridor
ProjectScore:85(qualifiesforupto50percenttaxincentive)
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Forward La Porte Economic Development Strategic Plan I 2009-2013
ProjectDetails
Taxable Annual Sales$28,875,000
Number of FTEs150
Average Hourly Wage$12
Average Annual Wage$24,000
Total Annual Payroll$3,600,000
Taxable Hotel Revenue$3,832,500
Value of Property, etc$56,875,000
Payroll Growth Factor3%
Sales Growth Factor3%
Value of Plant/Equipment Growth Factor3%
Hotel Revenue Growth Factor3%
Discount Rate5%
Present Value of Fiscal Benefits - No Incentives$9,964,168
Estimated Direct City Costs$375,000
Present Value of Fiscal Benefits - With Incentives$5,371,194
Present Value of Public Costs$344,590
Present Value of Net Benefits - With Incentives$5,026,604
Value to City as Percentage50.4%
ExampleAbatementSchedule
Direct
YearLaPorteCostTiming
Year1 80%50%
Year2 80%25%
Year3 65%25%
Year4 65%0%
Year5 65%0%
Year6 65%0%
Year7 10%0%
Year8 5%0%
Year9 5%0%
Year10 5%0%
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Forward La Porte Economic Development Strategic Plan I 2009-2013
Chapter 4:
Implementation Guide
ECONOMIC DEVELOPMENT STRATEGIC PLAN
CITY OF LA PORTE, TEXAS
2009
June
1601 D West 6th Street
Austin, Texas 78703
(512) 472-1555
info@avalancheconsulting.net
Introduction
This Implementation Guide is designed to assist the City of La Porte carry out the strategies
and tactics contained in the “Forward La Porte Economic Development Plan.” It provides a
calendar of activities, budget estimates, and performance metrics.
Following its delivery, La Porte’s City Council and Economic Development Corporation should
move to adopt the Plan (either formally or informally). By adopting the Plan, both groups will
express their support of its recommendations and agree to refer to it when making decisions
related to policy, staff, and budget.
How this document is utilized in the future varies.
City Council and Economic Development Corporation
First, members of the
Board should commit to supporting the mission statement, vision statement,
and goals contained in the Strategy
. They should agree that all future economic
development decisions will tie back to these three overarching facets of the Strategy.
Resident’s overwhelming prioritization of beautification, downtown, Sylvan Beach, and
retail development should guide how city leaders allocate their time and resources.
The City’s economic development mission, vision, and goals should remain consistent
over time.
Given an umbrella of support for the Strategy from La Porte’s elected officials and
the City Manager, Assistant City
Economic Development Corporation board,
Manager, and departmental heads have responsibility for ensuring staff are
working toward accomplishing its goals and recommendations
. The Strategy
should be referred to when establishing staff assignments and evaluating
performance.
city staff members should be responsible
Based on direction from their managers,
for implementing tactics contained within the Strategy
. Managers may ask staff
to develop an individual work plan for their assigned tactic. Steps taken to implement
tactics will occur on a daily basis. The implementation of tactics occurs on a daily
basis. Tactics may be adjusted to adapt to changing circumstances as long as the
revision supports the strategies and goals of the plan.
The three-pronged approach to implementation that is described above works well for most
communities. It keeps elected officials focused on the City’s long range vision, helps
managers set direction, and gives staff specific assignments. Most importantly, it ensures that
all City functions are working in sync toward the same long-range vision.
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Forward La Porte Implementation Guide I 2009-2013
Implementation Calendar
Goal Strategy / TacticStart Date End Date
1.0 Adopt policies that encourage high quality development.
1.1 Develop a Master Plan for downtownOct 2009 Sept2010
1.2 Prepare the City for retail developmentIn progress une 2010
J
1.3 Ensure the City has appropriate tools to finance
and incentivize quality economic development
1.3.1 Adopt competitive incentive policy guidelinesIn progress Sept 2009
1.3.1 Create incentive strategies for Sylvan Beach,une 2009 une 2010
JJ
Main Street, and a retail center (timing may
depend on Master Plan)
2.0 Launch a marketing campaign to build awareness and perception of La Porte.
2.1 Organize and launch an external campaignune 2009 une 2012+
JJ
2.1.1 Develop and adopt a marketing plan une 2009 Oct 2009
J
2.1.2 Brand and market the Greater Downtown district:
~ Agree to a name for Greater Downtownune 2009 ug 2009
JA
~ Incorporate the name into downtown signageNov 2009 Dec 2010
~ Talk to TxDOT about signsfor Highway 146Nov 2009 an 2010
J
~ Develop a website promoting downtown Sept 2009 an 2010
J
~ Create a brochure promoting downtownNov 2009 an 2010
J
~ Design and publish downtown newsletteMar 2010 Bi-nnual
r A
~ Design a multipurpose advertisement(s)Nov 2009 an 2010
J
2.1.3 Market La Porte to tourists Feb 2010 Ongoing
~ Advertise in Houston area historic
Apr 2010 Ongoing
neighborhood association newsletters
~ Place downtown promotional materials at key
Apr 2010 Ongoing
venues around Greater Houston
~ Place downtown advertisement in Houston une 2010 Sept 2010
J
Chronicle travel section
~ Position City leadership as thought leaders inan 2011 Ongoing
J
downtown redevelopment
2.1.4 Market La Porte to the culinary industry
~ Develop a list of culinary academies, grocers,Feb 2010 pril 2010
A
restaurants, and other merchants to target.
~ Create marketing tools specifically aimedDec 2009 Mar 2010
at culinary industry (brochure, webpage, ad)
~ Examine the potential of a farmerÔs market inan 2010 May 2010
J
downtown La Porte
2.1.5 Market La Porte to commercial developers
~ Develop a database of commercial developersFeb 2010 pril 2010
A
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Forward La Porte Implementation Guide I 2009-2013
~ Create marketing tools specifically aimed atDec 2009 May 2010
Houston area real estate developers
~ Engage in a call campaign to set up one-o
April 2010 Ongoing
t
one meetings with targeted developers
an 2011 Bi-nnual
JA
~ Host a Real Estate Day for developers
2.1.6 Market La Porte to retail developers
~ Create marketing materials specifically aimedDec 2009 May 2010
at retail audiences
~ Attend and exhibit at ICSCÔs annualFall 2009 nnual
A
conference in San Antonio
2.2 Engage in internal marketing to increase
community awareness of economic development
une 2009 Sept 2009
J
2.2.1 Share the results of this Plan with residents
une 2009 une 2009
JJ
~ Share the Plan with the Bayshore Sun
~ Host a roll out event where project teamuly 2009 uly 2009
JJ
members share the Plan
Aug 2009 ug 2009
A
~ Include a flyer about the Plan in utility bills
Oct 2009 Oct 2009
~ Distribute Plan highlights through LPISD
2.2.2 Formalize a communications function within Cityug 2010
Aug 2009
A
government
Goal 3: Implement the strategies in such a way that maximum flexibility and
accountability are maintained.
Adoption of this Plan by the City Council, EDC Board June 2009 Aug 2009
Align City departmental scopes of work with the Aug 2009 Sept 2009
strategies in this Plan
Align individual staff membersÔ assignments with the Oct 2009 Nov 2009
tactics in this Plan
See 1.1 May 2010
Provide an overall planning context for catalyst projects
Ensure policies related to land use are focused on une 2009 Ongoing
J
performance rather than function
Adopt an incentives policy that provides guidance to See 1.3 Dec 2009
potential recipients as to community priorities and goals
without being overly specific as to the type of project
that is eligible
Focus on context and evolve this Plan as needed to une 2009 Ongoing
J
adapt to market changes
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Forward La Porte Implementation Guide I 2009-2013
Budget Estimates
Estimated
Goal Strategy / Tactic Annual Cost
1.0 Adopt policies that encourage high quality development.
1.1 Develop a Master Plan for downtown$150,000-$250,000
1.2 Prepare the City for retail developmentTBD
1.3 Ensure the City has appropriate tools to finance
and incentivize quality economic development
1.3.1 Adopt competitive incentive policy guidelines-
1.3.1 Create incentive strategies for Sylvan Beach,
-
Main Street, and a retail center
2.1 Launch an external marketing campaign
2.1.1 Develop and adopt a marketing plan $10,000-$20,000
2.1.2 Brand and market the Greater Downtown district:
~ Agree to a name for Greater Downtown-
~ Incorporate the name into downtown signage $10,000 +
~ Develop a website promoting downtown $10,000-$15,000
~ Create a general brochure promoting downtown $2,500-$5,000
~ Design and publish downtown newslette$1,000-$2,000
r
~ Design a series of advertisements showcasing La
$2,000-$5,000
Porte to its target audiences
2.1.3 Market La Porte to tourists
~ Advertise in Houston area historic$7,500-$10,000
neighborhood association newsletters
~ Place downtown promotional materials at key $1,000-$2,000
venues around Greater Houston
~ Position City representatives as thought leaders -
in
downtown redevelopment
2.1.4 Market La Porte to the culinary industry
~ Develop a list oculinary academies, grocers, $500-$1,000
f
restaurants, and other merchants to target.
~ Create marketing tools specifically aimed
$1,000-$5,000
at culinary industry (brochure, webpage, ad)
~ Examine the potential of a farmerÔs market in -
downtown La Porte
2.1.5 Market La Porte to commercial developers
~ Develop a database of commercial developers $500-$1,500
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Forward La Porte Implementation Guide I 2009-2013
~ Create marketing tools specifically aimed at $1,000-$5,000
Houston area real estate developers
~ Engage in a call campaign to set up one-o
$500-$1,000
t
one meetings with targeted developers
$5,000-$10,000
~ Host a Real Estate Day for developers
2.1.6 Market La Porte to retail developers
~ Create marketing materials specifically aimed $1,000-$5,000
at retail audiences
~ Attend and exhibit at ICSCÔs annual$2,000-$4,000
conference in San Antonio
2.2 Engage in internal marketing to increase
community awareness of economic development
2.2.1 Share the results of this Plan with residents
-
~ Share the Plan with the Bayshore Sun
~ Host a roll out event where project team$250-$500
members share the Plan
$500-$750
~ Include a flyer about the Plan in utility bills
$500-$750
~ Distribute Plan highlights through LPISD
2.2.2 Formalize a communications function within City -
government
Goal 3: Implement the strategies in such a way that maximum
flexibility and accountability are maintained.
Adoption of this Plan by the City Council, EDC Board -
Align City departmental scopes of work with the strategies -
in this Plan
Align individual staff membersÔ assignments with the tactics -
in this Plan
See 1.1
Provide an overall planning context for catalyst projects
Ensure policies related to land use are focused on -
performance rather than function
Adopt an incentives policy that provides guidance to See 1.3
potential recipients as to community priorities and goals
without being overly specific as to the type of project that is
eligible
Focus on context and evolve this Plan as needed to adapt to -
market changes
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Forward La Porte Implementation Guide I 2009-2013
Performance Metrics
Performance metrics are monitor the implementation progress and outcomes of a strategic
plan. Most should be checked every six months to one year to ensure projects are on track.
While accomplishing metrics on time should be an objective, strategies and tactics may be
adjusted to adapt to changes that either impede or accelerate the schedule.
We recommend the following metrics for the City of La PorteÔs economic development
initiative:
1.1 Develop a comprehensive master plan for greater downtown La Porte
Metrics
Master plan is completed on budget by Sept2010.
Master plan reflects development principles stated in the Strategic Plan
1.2 Prepare the city for retail development
Metric
Acquire and aggregate land to create a retail site that is a minimum of 20 acres in size
by June 2010
1.3 Ensure the City has appropriate tools to finance and incentivize quality
economic development
Metrics
Adopt competitive incentives policy, that follows the guidelines set forth in this
Strategic Plan, by September 2009
Adopt incentives package(s) to support redevelopment of catalyst projects such as
Main Street, Sylvan Beach, and a retail center
Cost-benefit analysis is conducted on each project prior to awarding incentives
2.1 Organize and Launch an external marketing campaign
2.1.1 Adopt a marketing plan based on the recommendations of this Plan
Metric
Adopt a marketing plan by October 2009
2.1.2 Brand and market the downtown district
Metrics
The greater downtown district will have a single brand name by August 2009
Marketing tools for the downtown district will be completed by January 2010
All gateway, wayfinding, and street signs in the downtown district will reflect the new
name by July 2010
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Forward La Porte Implementation Guide I 2009-2013
2.1.3 Market La Porte to tourists
Metrics
Starting in April 2010, La Porte will regularly advertise he downtown district in a
t
minimum of three (3) Greater Houston area neighborhood association newsletters
Starting in April 2010, Downtown district marketing materials will be distributed at a
minimum of five (5) Greater Houston area establishments (visitor centers, airports,
colleges, etc.)
Three (3) consecutive downtown district advertisements will be placed in the Houston
ChronicleÔs print and/or online editions starting in June 2010
2.1.4 Market La Porte to culinary related institutes and businesses
Metrics
Develop a database of culinary institutes and businesses by April 2010
Design print and online marketing materials targeting culinary by March 2010
Locate a minimum of hree (3) restaurants to the downtown district by May 2011
t
Locate a minimum of five (5) non-restaurant culinary related businesses to the
downtown district by May 2012
2.1.5 Market La Porte to commercial real estate developers
Metrics
Keep commercial developer database updated on an ongoing basis
Design print and online marketing materials targeting developers by May 2010
Meet face-to-face with a minimum of two (2) commercial real estate developers each
quarter beginning in May 2010
Host two (2) commercial real estate tours in La Porte each year beginning in 2011
2.1.6 Market La Porte to retail developers
Metrics
Produce print and online marketing materials targeting retailers by May 2010
Attend and exhibit at ICSCÔs Fall conference in San Antonio a minimum of three years
beginning in 2009
La Porte will break ground on a new retail center by May 2012
La PorteÔs per capita retail sales tax receipts will be at a minimum on average with
neighboring cities by May 2013
2.2 Engage in internal marketing to increase community awareness of the CityÔs
economic development initiative
2.2.1 Share the results of the final Strategic Plan with the communit
y
Metrics
Generate a minimum of two (2) articles in the Bayshore Sun that discuss the Plan or
topics covered in the Plan
Conduct a minimum of two (2) community outreach activities aimed at sharing the Plan
with residents (e.g., roll out event, utility bill flyer, LPISD newsletter, or other)
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Forward La Porte Implementation Guide I 2009-2013
2.2.2 Formaize a communications function within City Government
l
Metrics
The City will create a full or part time communications officer position responsible for
public / community relations by August 2010
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Forward La Porte Implementation Guide I 2009-2013