HomeMy WebLinkAbout8-22-22RICHARD WARREN, PRESIDENT DANNY EARP, BOARD MEMBER
BRENT McCAULLEY, COUNCILPERSON JOHN BLAKEMORE, BOARD MEMBER
AMANDA GERRISH, BOARD MEMBER NANCY OJEDA, VICE-PRESIDENT
CHUCK ENGELKEN, COUNCILPERSON
CITY OF LA PORTE DEVELOPMENT CORPORATION BOARD OF DIRECTORS
MEETING AGENDA
Notice is hereby given of a meeting of the City of La Porte Development Corporation Board of
Directors to be held on August 22, 2022, at the City Hall Council Chamber, 604 West Fairmont
Parkway, La Porte, Texas, beginning at 5:00 p.m., to consider the items of business below.
Remote attendance is available using the link
https://us02web.zoom.us/j/85848545358?pwd=Y0dCeEE0aDNPVXpmWEtmL3NPRDhIZz09.
Join by phone at 877-853-5257 or 888-475-4499. The meeting ID is 858 4854 and the passcode is 505525.
1.CALL TO ORDER
2.CITIZEN COMMENT (Generally limited to five minutes per person; in accordance with state law,
the time may be reduced if there is a high number of speakers or other considerations.)
3.CONSENT AGENDA (Approval of Consent Agenda items authorizes each to be implemented in
accordance with staff recommendations provided. An item may be removed from the consent
agenda and added to the Statutory Agenda for full discussion upon request by a member of the
Committee present at this meeting.)
(a)Approve the minutes of the July 25, 2022, regular meeting and the August 2, 2022, special
meeting of the La Porte Development Corporation Board of Directors. [Chair W arren]
4.PUBLIC HEARING AND ASSOCIATED MATTERS
(a)The La Porte Development Corporation Board of Directors will hold a public hearing to hear
comment on proposed 508 W est Main Street Project - 'State Farm', a project to promote
and develop new and expanded business enterprises, specifically for site, infrastructure,
and related improvements in connection with the renovation and construction of facilities at
508 W est Main Street, to be operated as a commercial office building, which location is
legally described as Lot 20, Block 56 of Town of La Porte, in a total amount not to exceed
$30,000.00; followed by discussion and possible action to authorize the following project of
the La Porte Development Corporation: 508 W est Main Street Project - 'State Farm', in an
amount not to exceed $30,000.00. [Matt Daeumer, Assistant City Manager]
5.AUTHORIZATIONS
(a)Presentation, discussion, and possible action to approve an economic development
incentive agreement between the La Porte Development Corporation and Frank Nance,
providing incentives in a total amount not to exceed $30,000.00 for site, infrastructure and
related improvements in connection with the renovation and construction of facilities for the
commercial office building located at 508 W. Main Street in La Porte, Texas [Matt
Daeumer, Assistant City Manager]
(b)Presentation, discussion, and possible action to approve the La Porte Development
Corporation’s proposed 2022-23 Fiscal Year budget. [Matt Daeumer, Assistant City
Manager]
6.SET NEXT MEETING
7.BOARD COMMENTS Hear announcements concerning matters appearing on the agenda;
items of community interest; and/or inquiries of staff regarding specific factual information
or existing policy from the Committee members and City staff, for which no formal action
will be discussed or taken.
8.ADJOURN
If, during the course of the meeting and discussion of any items covered by this notice, the La Porte
Development Corporation Board determines that a Closed or Executive Session of the Board is required,
then such closed meeting will be held as authorized by Texas Government Code, Chapter 551, Section
551.071 - consultation with counsel on legal matters; Section 551.072 - deliberation regarding purchase,
exchange, lease or value of real property; Section 551.073 - deliberation regarding a prospective gift; Section
551.074 - personnel matters regarding the appointment, employment, evaluation, reassignment, duties,
discipline, or dismissal of a public officer or employee; Section 551.076 - implementation of security
personnel or devices; Section 551.087 - deliberation regarding economic development negotiation; Section
551.089 - deliberation regarding security devices or security audits, and/or other matters as authorized under
the Texas Government Code. If a Closed or Executive Session is held in accordance with the Texas
Government Code as set out above, the La Porte Development Corporation Board will reconvene in Open
Session in order to take action, if necessary, on the items addressed during Executive Session.
Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are
requested to contact the City Secretary's office (281-470-5019), two working days prior to the meeting for
appropriate arrangements.
Pursuant to Texas Government Code Sec. 551.127, on a regular, non-emergency basis, members may attend and participate in the
meeting remotely by video conference. Should that occur, a quorum of the members will be physically present at the location noted
above on this agenda.
CERTIFICATE
I, Lee W oodward, City Secretary, do hereby certify that a copy of the A ugust 22, 2022, La Porte Development
Corporation Board agenda was posted on the City H all bulletin board, a place convenient and readily accessible to the
general public at all times, and to the C ity's website, www.LaPorteT X .gov, in compliance with Chapter 551, Texas
Government Code.
DATE OF
POSTING
TIME OF
POSTING
TAKEN DOW N
Lee Woodward
Lee W oodward, City Secretary
Page 1 of 2
July 25, 2022, La Porte Development Corporation Board of Directors Minutes
RICHARD WARREN
PRESIDENT
BRENT MCCAULLEY
COUNCILPERSON
AMANDA GERRISH
BOARD MEMBER
CHUCK ENGELKEN
COUNCILPERSON
DANNY EARP
BOARD MEMBER
JOHN BLAKEMORE
BOARD MEMBER
NANCY OJEDA
VICE-PRESIDENT
MINUTES OF THE LA PORTE DEVELOPMENT CORPORATION
BOARD OF DIRECTORS MEETING OF JULY 25, 2022
The City of La Porte Development Corporation Board met on Monday, July 25, 2022, at the City Hall
Council Chambers, 604 West Fairmont Parkway, La Porte, Texas, at 5:00 p.m., with the following in
attendance:
Board members present: Richard Warren, Danny Earp, Chuck Engelken (left the meeting at 5:28 p.m.),
John Blakemore, Brent McCaulley, Amanda Gerrish, Nancy Ojeda
Board members attending remotely: None
Board members absent: None
Council-appointed members present: Corby Alexander, City Manager; Lee Woodward, City Secretary;
Clark Askins, Assistant City Attorney
1. CALL TO ORDER – President Warren called the meeting to order at 5:00 p.m.
2. CITIZEN COMMENT (Generally limited to five minutes per person; in accordance with state law, the
time may be reduced if there is a high number of speakers or other considerations.)
There were no comments.
3. PRESENTATIONS
a. Receive Annual Report from Houston Port Region Economic Alliance. [Matt Daeumer,
Assistant City Manager]
Chad Burke provided the report and introduced Karen Gregory, Intergovernmental Relations,
Economic Alliance.
4. AUTHORIZATIONS
a. Approve the minutes of the regular meeting of the La Porte Development Corporation Board
of Directors held on June 27, 2022. [Chair Warren]
Member Engelken moved to approve the minutes of the regular meeting of the La Porte
Development Corporation Board of Directors held on June 27, 2022; the motion was seconded by
Members Ojeda and Blakemore; the motion was adopted, 7-0.
b. Presentation, discussion, and possible action to approve the La Porte Development
Corporation’s proposed 2022-23 Fiscal Year budget. [Matt Daeumer, Assistant City
Manager]
Assistant City Manager Daeumer presented the proposed budget. Member Ojeda proposed that
the abandoned concession stand at the Little Cedar Bayou front ballfields be renovated into a
restroom. City Manager Alexander said there would likely be a special meeting calle d shortly and
asked for the opportunity to bring estimates to that meeting. There was no objection. Assistant City
Manager agreed to also bring fund amounts for 6040 Trade Shows. He also said an individual had
Page 2 of 2
July 25, 2022, La Porte Development Corporation Board of Directors Minutes
been interviewed for the Economic Development position and that the City Manager’s office would
like to set a special session for August 1.
5. SET DATE FOR NEXT MEETING
The next meeting date was scheduled for August 1, for a special meeting and next regular meeting on
August 22, 2022.
6. BOARD COMMENTS Hear announcements concerning matters appearing on the agenda; items of
community interest; and/or inquiries of staff regarding specific factual information or existing policy from
the Committee members and City staff, for which no formal action will be discussed or taken.
There were no comments.
ADJOURN – The meeting was adjourned without objection at 5:42 p.m.
___________________________________
Lee Woodward, City Secretary
Page 1 of 2
August 2, 2022, La Porte Development Corporation Board of Directors Minutes
RICHARD WARREN
PRESIDENT
BRENT MCCAULLEY
COUNCILPERSON
AMANDA GERRISH
BOARD MEMBER
CHUCK ENGELKEN
COUNCILPERSON
DANNY EARP
BOARD MEMBER
JOHN BLAKEMORE
BOARD MEMBER
NANCY OJEDA
VICE-PRESIDENT
MINUTES OF THE LA PORTE DEVELOPMENT CORPORATION
BOARD OF DIRECTORS MEETING OF AUGUST 2, 2022
The City of La Porte Development Corporation Board met in a special meeting on Tuesday, August
2, 2022, at the City Hall Council Chambers, 604 West Fairmont Parkway, La Porte, Texas, at 5:00
p.m., with the following in attendance:
Board members present: Richard Warren, Danny Earp, Chuck Engelken (arrived at 5:08 p.m.), John
Blakemore, Brent McCaulley, Amanda Gerrish, Nancy Ojeda
Board members attending remotely: None
Board members absent: None
Council-appointed members present: Corby Alexander, City Manager; Lee Woodward, City Secretary;
Clark Askins, Assistant City Attorney
1. CALL TO ORDER – President Warren called the meeting to order at 5:00 p.m.
2. CITIZEN COMMENT (Generally limited to five minutes per person; in accordance with state law, the
time may be reduced if there is a high number of speakers or other considerations.)
There were no comments.
3. AUTHORIZATIONS
a. Presentation, discussion, and possible action to approve the La Porte Development
Corporation’s proposed 2022-23 Fiscal Year budget. [Matt Daeumer, Assistant City
Manager]
Assistant City Manager Daeumer attended remotely and provided a brief update to last week’s
item, noting the addition of the funds for remodeling the Fairmont Park ballfields concession stand
into bathrooms. Member Blakemore moved to approve the La Porte Development Corporation’s
proposed 2022-23 Fiscal Year budget as presented; the motion was seconded by Member Ojeda;
the motion was adopted, 6-0.
b. Authorize staff to publish a notice to begin the 60 -day comment period for seven (7)
proposed projects of the La Porte Development Corporation totaling $2,425,000.00 for fiscal
year 2022-2023. These projects are: 1) La Porte Golf Course Fencing Project - $475,000.00;
2) La Porte Golf Course Pond Remediation - $150,000.00; 3) La Porte Golf Course Land
Acquisition - $350,000.00; 4) Fairmont Park Ballfield Restroom - $350,000.00; 5) La Porte
Wave Pool Enhancements - $500,000.00; 6) La Porte Recreation Center Phase II Design -
$250,000.00; and 7) Citywide Signage Project Phase III - $350,000.00. [Matt Daeumer, Asst.
City Manager]
Member McCaulley moved to open the 60-day comment period for seven (7) proposed projects of
the La Porte Development Corporation totaling $2,425,000.00 for fiscal year 2022 -2023. These
projects are: 1) La Porte Golf Course Fencing Project - $475,000.00; 2) La Porte Golf Course Pond
Remediation - $150,000.00; 3) La Porte Golf Course Land Acquisition - $350,000.00; 4) Fairmont
Park Ballfield Restroom - $350,000.00; 5) La Porte Wave Pool Enhancements - $500,000.00; 6)
Page 2 of 2
August 2, 2022, La Porte Development Corporation Board of Directors Minutes
La Porte Recreation Center Phase II Design - $250,000.00; and 7) Citywide Signage Project Phase
III - $350,000.00; the motion was seconded by Member Blakemore; the motion was adopted, 6-0.
c. Presentation, discussion and possible action to fill the open Economic Development
Coordinator position. [Matt Hartleib, HR Manager]
HR Manager Matt Hartleib presented David Gwin for an interview with the Board. (Member
Engelken arrived at this point.)
4. SET DATE FOR NEXT MEETING
The next meeting date was scheduled for August 22, 2022.
5. BOARD COMMENTS Hear announcements concerning matters appearing on the agenda; items of
community interest; and/or inquiries of staff regarding specific factual information or existing policy from
the Committee members and City staff, for which no formal action will be discussed or taken.
President Warren thanked everyone for the special meeting and considering new ideas.
ADJOURN – The meeting was adjourned without objection at 5:51 p.m.
___________________________________
Lee Woodward, City Secretary
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD
AGENDA ITEM
Agenda Date Requested: August 22, 2022
Requested By: Matt Daeumer Asst. City Mgr.
Department: Administration/CMO
Report Resolution Ordinance
Exhibits: Development Agreement, Incentive
Application, Design & Site Plans
SUMMARY & RECOMMENDATION
On May 23, 2022, staff brought to the La Porte Development Corporation Board a
project in downtown La Porte. The applicant Frank Nance has purchased the building
at 508 W. Main St, which currently house his State Farm Insu rance Agency. There is
a need to significantly remodel and expand the structure in order to grow his business.
The initial estimates put the applicant’s investment at $200,000. Staff ran the project
through the EDC matrix, which indicated that this project would be eligible for a $30,000
incentive. This project has the potential to have more intangible value to the City,
specifically due to the foot traffic hub on Main Street.
On May 23, 2022, the La Porte Development Corporation Board discussed the project
and approved to move forward with an incentive package for this project i n an amount
not to exceed of $30,000. As required by state law, a sixty (60) day public comment
period needed to occur. The public “Notice of Proposed Project” w as advertised in the
Bay Area Observer on June 2, 2022. Since this date, staff has not received any citizen
feedback regarding this incentive application.
Summary
The application requires action by the City Council, which will occur on September 12,
2022. Staff has worked with the applicant and the City Attorney’s Office to draft a
development agreement concerning the funding through an incentive project for an
amount not to exceed $30,000. Below outlines details of this draft development
agreement:
• Total cash incentive of $30,000 with following payment schedule: two payments
of $15,000 and $15,000
o First payment of $15,000, within 30 days of substantial completion of
construction/ renovations. This payment is estimated to occur around July
2023.
Appropriation
Source of Funds: Special Programs
Account Number: 038-6030-565-9997
Amount Budgeted:
Amount Requested: $30,000
Budgeted Item: Yes No
o Second payment of $15,000 when building is occupied with four (4) full-
time jobs (confirmed by documentation stating such). The applicant will
be responsible for maintaining jobs 5 years after 2nd payment. This
payment is estimated to occur around January 2024.
• Claw-back provisions within the development agreement if the project doesn’t
maintain the four (4) jobs for five (5) years, each year potential recapture amount
decreases by $6,000. If the Recipient fails to qualify for the first payment, then
recapture amount will decrease by $3,000.
Staff request the Board to hold a public hearing to receive feedback on this incentive
project that was funded by the Board for FY 2021 -22. At the conclusion of the public
hearing, based on the feedback received during the 60-day comment period, staff
recommends approval from the LPDC Board for the State Farm Building incentive
project.
Staff has worked with the Assistant City Attorney and the applicant on an agreeable
development agreement. Staff will ask that the Board consider approval of the
agreement if it approves the project.
ACTION REQUIRED BY BOARD
Conduct public hearing to receive comments from the public on this project.
Consider, discuss, and possible action on a financial incentive of $30,000 to
Frank Nance, applicant for his refurbishment/Renovation of the State Farm
Building, located at 508 S. Broadway Street in La Porte, Texas.
Approved for the La Porte Development Corporation Board meeting agenda.
Corby D. Alexander, City Manager Date
Project Type
Project's
PRIORITY Value
(Up to 10) 1
Project's 10 Year
Tax or PILOT
Revenue 2
Project's
Multiplier Value
(Up to 4) 3
# of New
Full Time
Jobs
Full Time
Job Avg.
Value 4
Project's Existing
10 Year
Incentives 5
Regression
Analysis 6
Estimated
Incentive Value 7
Incentive Value
Allowed by Tax
Abatement Policy 8
% Allowed by
Tax Abatement
Policy
New Retail/Restaurant Dev.
(Higher)A 10 $3,420,000 2 0.0 0.0 $0 342.0 $2,565,000 $355,000 50%
Palais Royal A1 10 $471,000 2 16 0 $0 47.1 $353,250 $17,750 50%
Retail or Restaurant Re-Development/
Blight Removal/EHG (Higher)B 9 $684,000 1 0 0 $0 30.8 $230,850 $71,000 50%
Pipeline Grill B1 9 $846,628 2 100 0 $0 76.2 $571,474 $11,657 50%
Fischer's Hardware B2 9 $210,500 2 8 0 $0 18.9 $142,088 $17,750 50%
Quality Waterfront Development C 8 $1,532,500 2 0 0 $0 122.6 $919,500 $133,125 50%
Main Street Improvements D 7 $648,500 3 0 0 $0 68.1 $510,694 $62,125 50%
Bank Building Remodel D1 7 $35,500 3 8 0.1 $0 3 $22,365 $8,875 50%
Micro-Brewery (Purchase)D2 7 $105,500 2 12 0.1 $0 9 $66,465 $8,875 50%
Battleground Saloon D3 5 $64,730 2 15 0.075 $0 4 $27,308 $8,875 50%
New Retail/Restaurant Dev.
(Lower) - Rob Johnson/Dollar Tree E 6 $826,000 1 0 0 $0 24.8 $185,850 $106,500 50%
Retail or Restaurant Re-Development/
Blight Removal/EHG (Lower)F 6 $121,000 1 0 0 $0 3.6 $27,225 $3,550 50%
El Toro F1 6 $542,000 2 12 0 $0 32.5 $243,900 $35,500 50%
Industry - NEW Development
(Higher) - INEOS Unit #1 - $250 Million G 5 $11,182,500 4 24 0.125 $4,579,500 396 $2,971,350 $2,662,500 10%
INEOS Unit #2 - $500 Million G1 5 $22,365,000 4 60 0.125 $9,159,000 1981 $14,856,750 $2,662,500 10%
Project Regulate G2 5 $1,136,000 3 40 0.125 $0 85 $639,000 $56,800 10%
La Porte Development Corporation Project Scorecard -- PRIORITIES
ACT Turbo (New Industry)G3 5 $426,000 3 73 0.13 $0 61 $454,808 $21,300 10%
NEW Office/HQ - InterGulf Corporation H 4 $142,000 4 30 0.15 $0 10 $76,680 $7,100 10%
NEW Office/Regional - Richard Industrial Group I 4 $10,650 4 75 0.15 $0 2 $14,378 $1,775 10%
Industry - NEW Development
(Lower) - Sector 23 (Original)J 3 $568,000 4 35 0.1 $0 24 $178,920 $28,400 10%
Sector 23 (Latest)J1 3 $1,278,000 4 72 0.1 $0 110 $828,144 $28,400 10%
Industry - RETENTION/EXPANSION
(Higher) - ACT Turbo (Expansion)K 3 $426,000 3 73 0.13 $0 36 $272,885 $21,300 10%
Industry - RETENTION/EXPANSION
(Lower)L 2 $710,000 3 15 0.075 $0 5 $35,944 $35,500 10%
Airport Re-Development M 1 $177,500 2 30 0.1 $0 1 $7,988 $8,875 10%
State Farm (Frank Nance)N 1 $21,655 1 3 0.1 $0 4 $30,000 $650 10%
Notes:
1. Staff assigned prioritized values, from a maximum of 10 to a minimum of 1, based upon his understanding of the City Council and 4B Board’s values for various types of projects.
2. The values in this column include revenues from property taxes, business personal proeprty taxes, and sales taxes.
3. Staff assigned a value, from a maximum of 4 to a minimum of 1, for each project. A value of 4 means that the project will have a significant multiplier effect to bring new money and/or people into our local economy. A value
of 1 means that the project will have little or no multiplier effect to bring new money and/or people into our local economy.
4. Staff assigned a value, from a maximum of 0.15 to a minimum of 0.075, for each type of “primary job” associated with each project type. A value of 0.15 was assigned to higher paying,white collar, engineering, engineering
design, or executive positions. A value of 0.125 was assigned to highly skilled positions for a process technician and/or advanced manufacturer. A value of 0.10 was assigned to skilled positions. A value of 0.075 was assigned
to unskilled positions.
5. Data in this column identifies all other local incentives, like PILOT abatements under an existing IDA or scheduled TIRZ reimbursements, that any project may be entitled to receive.
6. The formulas in this column represent staff’s best estimate using regression analysis to tie together all the columns of data. Important assumptions of the formulas are as follows:
x Retail projects are five times (5x) more attractive to the community than industrial projects. For reference, please see page #6 of La Porte’s enclosed Tax Abatement Policy.
x Each “project type” is not equal to every other project type. Therefore, each project type’s priority value is included in the formula.
x The value of incentives that a project is already scheduled to receive, and is shown in the “Project's Existing 10 Year Incentives”, must be deducted from the total tax/PILOT revenue that the project is expected to
generate, which is shown in “Project's 10 Year Tax or PILOT Revenue“.
x Each project’s value to create a “multiplier effect” on our local economy should be included. See the values listed un der “Project's Multiplier Value (Up to 4)"above.
x Each value in the column for “Regression Analysis” is divided by 1 million to make the values under “Regression Analysi s”smaller, more manageable, and easier to compare.
The two (2) basic formulas used in “Regression Analysis” are as follows:
(a) For all Retail, Restaurant, Re-Development, and Waterfront Projects , “Project's PRIORITY Value (Up to 10)” x 5 times “Project's 10 Year Tax or PILOT Revenue” –“Project's Existing 10 Year Incentives”times “Project's
Multiplier Value (Up to 4)”divided by 1 million.
(b) For all Industry and Office Projects,“Project's PRIORITY Value (Up to 10)” x 1 times “Project's 10 Year Tax or PILOT Revenue” –“Project's Existing 10 Year Incentives”times “Project's Multiplier Value (Up to 4)”divided
by 1 million.
7. The values in this column are simply the value from the column called “Regression Analysis” times $7,500.
8. Data in this column shows the value of incentive recommended for each project type, according to the La Porte’s current Tax Abatement Policy.
7. The values in this column are simply the value from the column called “Regression Analysis” times $7,500.
8. Data in this column shows the value of incentive recommended for each project type, according to the La Porte’s current Tax Abatement Policy.
Projects identified in dark green text represent projects that have either already been awarded an incentive grant, or staff has good estimates for the project s.All other projects are completely "hypothetical".
A. Hypothetical -$20 million retail/restaurant/mixed use development project with $10 million in annual retail sales.
A1. Palais Royal -$1 million property value with $2 million in annual retail sales.
B. Hypothetical -$4 million project with $2 million in annual retail sales.
B1.Pipeline Grill -$1.2 million in commercial property with $4 million in annual retail sales.
B2. Fischer's Hardware -$1.5 million in commercial property with $520,000 in additional, annual retail sales.
C. Hypothetical -$7.5 million with $5 million in annual retail sales.
D. Hypothetical -$3.5 million with $2 million in annual retail sales.
D1.Micro-Brewery (Lease) -$500,000 in commercial property value, $350,000 in annual retail sales, 12 full time employees, and rent of $48,000/year for five years.
D2.Micro-Brewery (Purchase)-$500,000 in commercial property value, $350,000 in annual retail sales, and 12 full time employees
E.Rob Johnson/Dollar Tree -$6 million project with $2 million in annual retail sales.
F. Hypothetical -$1 million project with $250,000 in annual retail sales.
F1.El Toro -$2 million in new commercial property, plus $2 million in additional, annual retail sales.
G. INEOS USA, LLC -Unit #1, $250 million investment, 84 highly skilled, full time jobs, 20% IDA for years #1-6, 63% IDA for years #7-10.
G1.INEOS USA, LLC -Unit #2, $500 million investment, highly skilled, full time jobs, 20% IDA for years #1 -6, 63% IDA for years #7-10
G2.Project Regulate -$16 million investment, with at least 40 (to 60 within 5 years) highly skilled, advanced manufacturing, full time jobs. (Note: Project would be in the TIRZ).
G3.ACT Turbo (New Industry)-$6 million investment with 73 new, highly skilled, advanced manufacturing, full time jobs.
H. InterGulf Corporation -$2 million investment with 30 white collar, higher paying, full time jobs.
I. Richard Industrial Group -$500,000 investment with 75 white collar, higher paying, full time jobs. (Note: the 10 year PILOT is based on 3 years, equal to the term of the lease, rather than the usual 10 year timeframe.)
J. Sector 23 (Original) -$8 million investment and 35 full time, skilled jobs assuming 15 buildings, 3 employees per building, and minus 10 employees per the development agreement.
J1. Sector 23 (Latest)-$18million investment and est. 72 full time, skilled jobs assuming 18 buildings, 4 employees per building.
K. ACT Turbo (Expansion) -$6 million investment with 73 new, highly skilled, advanced manufacturing, full time jobs.
L. Hypothetical -Warehouse/Distribution, $10 million investment, 15 unskilled, full time jobs.
M. Hypothetical -Airport expansion, $2.5 million city participation/investment with 30 skilled, full time jobs.
From:Woodward, Lee
To:CMO - Staff
Cc:CSO - Staff; Clark T. Askins
Subject:Fw: Public Notice - 508 W. Main Street
Date:Thursday, June 2, 2022 2:19:47 PM
Attachments:60 day notice LPDC project 508 West Main.docx
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Good afternoon! Please see below, this ran today.
Lee
From: Kizzee, Julius <kizzeej@laportetx.gov>
Sent: Wednesday, May 25, 2022 8:43 AM
To: editor@bayareaobserver.com <editor@bayareaobserver.com>
Cc: Daeumer, Matt <DaeumerM@laportetx.gov>; CSO - Staff <CSOStaff@laportetx.gov>
Subject: RE: Public Notice - 508 W. Main Street
Good morning Rebecca,
Please use this version with an updated contact number for Mr. Daeumer.
Julius Kizzee| Senior Administrative Assistant,
City Manager’s Office
604 W. Fairmont Parkway | La Porte, TX 77571
O. 281.470.5013 | f. 281.842.1259
website | map | email |
From: Kizzee, Julius
Sent: Wednesday, May 25, 2022 8:17 AM
To: editor@bayareaobserver.com
Cc: Daeumer, Matt <DaeumerM@laportetx.gov>; CSO - Staff <CSOStaff@laportetx.gov>
Subject: Public Notice - 508 W. Main Street
Good morning Rebecca,
We wanted to submit this public notice for publication in the next available edition of the Observer. Please send
proof when you are able to.
If you are able to, please send the invoice back to me so that we may make a payment.
Thank you,
Julius Kizzee| Senior Administrative Assistant,
City Manager’s Office
604 W. Fairmont Parkway | La Porte, TX 77571
O. 281.470.5013 | f. 281.842.1259
website | map | email |
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD
AGENDA ITEM
Agenda Date Requested: May 23, 2022
Requested By: Matt Daeumer, Asst. City Manager
Department: City Manager’s Office
Report Resolution Ordinance
Exhibits: Application; Site plan
SUMMARY & RECOMMENDATIONS
The applicant, Frank Nance, is interested in buying his current building at 508 W. Main
Street and remodeling it to expand his current State Farm Insurance Agency. This will
allow him to add three (3) additional full-time positions in the next five (5) years and
provide improved services to his customer base. The total requested amount from the
City is $30,000 from the Economic Development Incentives Program.
This will be a significant remodel of the existing structure which is currently 720 square
feet. They will also expand the existing structure to the North adding an additional 1200
square feet for a total of 1920 square feet. A parking lot of 950 square feet will be
added to the North side of the property. They will re-paint the entire building, update
façade siding, signage, canopy and exterior finishes, This project is eligible for $30,000,
based on the matrix scorecard, but the Board has the authority to award any amount
not to exceed $30,000.
Total project budget:
Interior Remodeling of 720 sf $ 5,000
North Expansion of 1200 sf $ 87,000
North Parking Lot of 950 sf $ 8,000
Re-paint building exterior $ 4,500
Update Façade Siding, Signage $ 5,000
Canopy and Exterior Finishes $ 20,500
Total $130,000
If the Board was interested in pursuing this project, staff would suggest opening the 60
day public comment period as there would be no requirement to fund the project at the
end of 60 days.
Appropriation
Source of Funds: Special Programs
Account Number: 038-6030-565-9997
Amount Budgeted: $200,000
Amount Requested: $30,000
Budgeted Item: Yes No
RECOMMENDED MOTION
Move to open the 60-day public comment period for a possible incentive payment, not
to exceed $30,000, for 508 W. Main Street.
Approved for the La Porte Development Corporation Board meeting agenda
Corby D. Alexander, City Manager Date
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD
AGENDA ITEM
Agenda Date Requested: August 22, 2022
Requested By: Matt Daeumer Asst. City Mgr.
Department: Administration/CMO
Report Resolution Ordinance
Exhibits: Development Agreement, Incentive
Application, Design & Site Plans
SUMMARY & RECOMMENDATION
On May 23, 2022, staff brought to the La Porte Development Corporation Board a
project in downtown La Porte. The applicant Frank Nance has purchased the building
at 508 W. Main St, which currently house his State Farm Insu rance Agency. There is
a need to significantly remodel and expand the structure in order to grow his business.
The initial estimates put the applicant’s investment at $200,000. Staff ran the project
through the EDC matrix, which indicated that this project would be eligible for a $30,000
incentive. This project has the potential to have more intangible value to the City,
specifically due to the foot traffic hub on Main Street.
On May 23, 2022, the La Porte Development Corporation Board discussed the project
and approved to move forward with an incentive package for this project i n an amount
not to exceed of $30,000. As required by state law, a sixty (60) day public comment
period needed to occur. The public “Notice of Proposed Project” w as advertised in the
Bay Area Observer on June 2, 2022. Since this date, staff has not received any citizen
feedback regarding this incentive application.
Summary
The application requires action by the City Council, which will occur on September 12,
2022. Staff has worked with the applicant and the City Attorney’s Office to draft a
development agreement concerning the funding through an incentive project for an
amount not to exceed $30,000. Below outlines details of this draft development
agreement:
• Total cash incentive of $30,000 with following payment schedule: two payments
of $15,000 and $15,000
o First payment of $15,000, within 30 days of substantial completion of
construction/ renovations. This payment is estimated to occur around July
2023.
Appropriation
Source of Funds: Special Programs
Account Number: 038-6030-565-9997
Amount Budgeted:
Amount Requested: $30,000
Budgeted Item: Yes No
o Second payment of $15,000 when building is occupied with four (4) full-
time jobs (confirmed by documentation stating such). The applicant will
be responsible for maintaining jobs 5 years after 2nd payment. This
payment is estimated to occur around January 2024.
• Claw-back provisions within the development agreement if the project doesn’t
maintain the four (4) jobs for five (5) years, each year potential recapture amount
decreases by $6,000. If the Recipient fails to qualify for the first payment, then
recapture amount will decrease by $3,000.
Staff recommends the La Porte Development Corporation Board approve the
development agreement for the 508 W. Main Street project for the
refurbishment/renovation of the State Farm building located at 508 W. Main Street in
La Porte, Texas not to exceed $30,000.
ACTION REQUIRED BY BOARD
Presentation, discussion and possible action to approve a Development
Agreement for 508 W. Main Street, an incentive for refurbishment/renovation of
the State Farm building located at 508 W. Main Street in La Porte, Texas not to
exceed $30,000.
Approved for the La Porte Development Corporation Board meeting agenda.
Corby D. Alexander, City Manager Date
1
ECONOMIC DEVELOPMENT INCENTIVE AGREEMENT BETWEEN THE LA
PORTE DEVELOPMENT COPRPORATION AND FRANK NANCE, FOR USE OF
TYPE B DEVELOPMENT CORPORATION SALES TAX FUNDS
THIS AGREEMENT made by and entered into this 22nd day of August 2022
between the La Porte Development Corporation, a Type B non-profit corporation
operating under authority of Texas Local Government Code Chapters 501 and
505, hereinafter referred to as “LPDC”, and Frank Nance, hereinafter referred to
as “Recipient”.
WITNESSETH:
WHEREAS, the voters of the City of La Porte authorized the levying of
additional sales tax within the City for promotion of economic development and the
LPDC is authorized to use such tax revenues for certain qualifying projects and
other economic development related purposes; and
WHEREAS, Recipient is an individual who owns the land and existing
building situated thereon, located at 508 West Main Street, La Porte, Texas, and
at which site Recipient operates a business as an independent agent for State
Farm Insurance Company; and
WHEREAS, Recipient wishes to renovate the exterior and interior of the
existing building located at 508 West Main Street, and make associated
infrastructure, site and related improvements, for the purpose of operating
commercial office space and which would 1) result in the expenditure by Recipient
of an estimated $130,000.00 in capital improvements; and 2) employ an estimated
four (4) full time personnel; and
WHEREAS, Recipient has requested that LPDC provide financial incentives
to Recipient to contribute towards the cost of renovation of the property at 508
West Main Street under a qualifying project of the LPDC for infrastructure, site and
related improvements that promote or develop new or expanded business
enterprises, as authorized by Texas Local Government Code Chapters 501 and
505, and it is the desire of LPDC to assist in the funding of same, finding that such
expenditures will promote or develop new or expanded business enterprises.
WHEREAS, Texas law and the by-laws of the LPDC require that certain
expenditures and projects by the LPDC be approved by the governing body of the
City; and whereas the LPDC Board has duly approved such project and the
expenditures for same have been authorized by the La Porte City Council; and
NOW THEREFORE, in consideration of the covenants and conditions
stated herein, and in consideration of the mutual benefits that will accrue to each
of the parties hereof, as well as to the citizens of the City of La Porte, Texas, the
parties have agreed and do hereby agree as follows:
2
ARTICLE I
In consideration of Recipient renovating the existing structure at 508 West
Main Street and operating commercial office space at the subject site (“Building”
herein), which proposal was considered in that certain public hearing authorizing
a proposed project for the expenditure of LPDC funds for the promotion or
development of new or expanded business enterprises, held before the LPDC on
August 22, 2022, LPDC agrees to provide Recipient an incentive package
consisting of a cash payment in a total sum not to exceed $30,000.00, to be
distributed in two increments of $15,000.00 and $15,000.00 each, with each
distribution conditioned on the attainment of certain performance thresholds, more
specifically outlined as follows:
1) A cash incentive payment in an amount equal to $15,000.00 will
be distributed to Recipient by LPDC, upon a) receipt by LPDC of
proof of substantial completion of renovation of the Building and,
and b) proof of minimum capital investment in the amount of
$130,000.00 applied towards renovation of the Building and
related infrastructure and site work. However, in no case will the
$15,000.00 payment be made by LPDC if documentation
substantiating 1) substantial completion of the renovation of the
Building and 2) the expenditure of no less than $130,000.00
applied towards capital improvements to the Building and related
infrastructure and site improvements is not delivered to and
received by LPDC by July 31, 2023. In the case that proof of
substantial completion of renovation of the Building and minimum
capital investment of $130,000.00 applied towards capital
improvements to the Building related infrastructure and site
improvements is presented to LPDC on or before said July 31,
2023 deadline, the LPDC shall convene a meeting of the LPDC
Board of Directors for a date no later than forty-five (45) days after
receipt of proof of substantial completion of the renovation of the
Building and minimum capital investment of $130,000.00 by
LPDC from Recipient. Upon verification of the substantial
completion of the Building and minimum capital investment of
$130,000.00, as reflected by formal vote of the LPDC Board of
Directors that Recipient has satisfied the requirements of this
paragraph, LPDC will then remit the $15,000.00 to Recipient
within a period not to exceed thirty (30) days.
In the case where Recipient fails to submit proof of substantial
completion of renovation of the Building and proof of a minimum
capital investment in the amount of $130,000.00 by the July 31,
2023 deadline, despite therefore being disqualified for the first
$15,000.00 incentive payment, Recipient will remain eligible to
qualify for receipt of the second $15,000.00 incentive payment
under Paragraph 2 below, in so far as the conditions precedent of
permanent employment of four (4) positions required in such
paragraph is met. However, in such case Recipient will remain
responsible to submit proof of substantial completion of
3
renovation of the Building and minimum capital investment in the
amount of $130,000.00 in order to qualify for the second incentive
payment outlined in Paragraph 2 below.
2) A cash incentive payment in an amount equal to $15,000.00 will
be distributed to Recipient by LPDC upon delivery to the LPDC of
a) an employment roster evidencing that Recipient employs a
minimum of four (4) full time employees at the Building site as of
January 31, 2024. However, in no case will the $15,000.00
payment be made by LPDC if proof of the employment of a
minimum of four (4) full time personnel at the Building site as of
January 31, 2024 is not delivered to and received by LPDC by
August 30, 2024. Proof of employment, for purposes of this
agreement, may be satisfied by submission to LPDC by the said
August 30, 2024 deadline of a) copies of Recipient’s 941 Report
to the Internal Revenue Service and C3 Report to the Texas
Workforce Commission for each employee (but with social
security numbers of each employee redacted) and b) a notarized
statement executed by Recipient affirming that a cumulative four
(4) full time employees are employed in positions permanently
located at the Building site.
In the case that proof of employment of four (4) full-time personnel
is presented to LPDC on or before said August 30, 2024 deadline,
the LPDC shall convene a meeting of the LPDC Board of Directors
for a date no later than forty-five (45) days after receipt of proof of
employment by lessees at the Building site by Recipient. Upon
verification of employment as reflected by formal vote of the LPDC
Board of Directors, LPDC will then remit the $15,000.00 to
Recipient within a period not to exceed thirty (30) days.
In the event that Recipient qualifies for the $15,000.00 incentive installment based
upon proof of employment of four (4) full-time positions located at the Building site
pursuant to Article 1, Paragraph 2, above, then in such case Recipient shall be
required to prove the continuous employment at the Building site of a minimum of
four (4) full-time positions, for a continuous five (5) year period. At the conclusion
of each calendar year during such five (5) year period, beginning on December 31,
2024, through and including December 31, 2028, Recipient shall be required to
submit to the LPDC proof of employment of a minimum of four (4) full-time positions
at the Building site, in the manner required under Article 1, Paragraph 2, above.
Should Recipient fail to provide proof of the employment of four (4) full-time
employees at the end of a calendar year, then for that year Recipient shall be
responsible for remitting to the LPDC the sum of $6,000.00, representing recapture
out of the previously awarded $30,000.00 incentive paid under this Agreement.
However, in the instance that Recipient provides proof of employment of a
minimum of four (4) full-time positions at the end of a calendar year, Recipient shall
be relieved from the obligation to remit to the LPDC $6,000.00 recapture for that
year.
If Recipient fails to qualify for the $15,000 incentive installment provided for in
Article I, Paragraph 1 but qualifies for payment of the $15,000.00 payment under
4
Article 1, Paragraph 2, then in that case the obligations of Recipient to maintain
the continuous employment of four (4) full-time personnel at the Building site shall
continue to apply. However, in the case of failure to maintain employment of four
(4) full-time employees at the Building site for a given calendar year, Recipient
shall be required to remit to the LPDC the sum of $3000, instead of $6000, as
recapture for that year.
ARTICLE II
All funds received as herein provided shall be solely for the purpose of
contributing towards Recipient’s costs in the renovation of the exterior and interior
of the building located at 508 West Main Street and for the making of associated
site and infrastructure improvements, to operate commercial office space.
Recipient further acknowledges that the incentive grant provided for herein is tied
to a project of the LPDC for the promotion or development of new or expanded
business enterprises, as authorized by Texas Local Government Code chapters
501 and 505.
ARTICLE III
Disbursement and/or retention of the cash incentive identified in Article I of
this Agreement shall be made as follows:
A. Disbursement shall be made to Recipient, subject to the satisfaction of the
conditions precedent or conditions subsequent contained within Article I of
this Agreement.
B. LPDC’s obligation to Recipient shall not exceed $30,000.00, nor shall LPDC
be obligated to reimburse Recipient for requests delivered to LPDC after
the termination of this Agreement.
ARTICLE IV
Recipient understands that the funds paid to Recipient by the LPDC are
derived from tax revenues collected under Texas Local Government Code
505.252, and that LPDC has estimated the tax revenues to be collected during the
term of this Agreement. Recipient further understands, acknowledges, and agrees
that if the tax revenue actually collected is less than 90% of the estimated tax
revenues to be collected in any fiscal year during the term of this Agreement, LPDC
will be under no obligation to provide funding to Recipient for any payment or
payments during or after the fiscal year for which there is a revenue shortfall. Upon
execution of the Agreement, funds will be placed in a City of La Porte designated
commitment account for purposes of this Agreement.
ARTICLE V
In the event of any default by Recipient hereunder, including, but not limited
to, use of the funds provided herein for purposes other than those stated in Article
I of this Agreement, LPDC may cease all future payments hereunder and terminate
this Agreement. In addition, LPDC shall have the right to reclaim and recapture,
and Recipient shall refund, any funds that are not spent in accordance with the
5
terms of this Agreement, including 1) LPDC funds spent by Recipient in
contravention of this Agreement and 2) any LPDC funds previously paid to
Recipient but not yet spent by Recipient. In each such case, the previously paid
cash payment or payments shall be remitted to the LPDC within sixty (60) of receipt
of written demand for same.
Any breach of this covenant shall be grounds for immediate termination of
the distribution of funds.
ARTICLE VI
The term of this Agreement is for a period beginning on the date of approval
by LPDC and ending July 1, 2029.
ARTICLE VII
All funds provided by the LPDC pursuant to this Agreement may be used
only for the purposes authorized by this Agreement . Notwithstanding Article I,
above, City shall be under no obligation to make any fund disbursements if the
reports required under this Agreement have not been delivered to the LPDC.
ARTICLE VIII
This Agreement does not create any joint venture, partnership, or agency
relationship between the LPDC and Recipient. Recipient shall have exclusive
control of, and the exclusive right to control the details of the work to be performed
by Recipient hereunder and all personnel performing same, and shall be solely
responsible for the acts and omissions of its officers, members, agents, servants,
employees, subcontractors, program participants, volunteers, licensees, and
invitees. In no event shall any person participating in or performing any of
Recipient’s duties or responsibilities hereunder be considered an officer, agent,
servant, or employee of the LPDC.
ARTICLE IX
Recipient agrees to assume and does hereby assume all responsibility and
liability for damages sustained by persons or property, whether real or asserted,
by or from the carrying on of work by Recipient or in the performance of services
performed and to be performed by Recipient hereunder. Recipient covenants and
agrees to, and does hereby indemnify, defend, and hold harmless LPDC and all
their respective officers, agents, and employees from all suits, actions, claims, and
expenses of any character, including attorney’s fees, brought for or incurred on
account of any injuries or damages, whether real or asserted, sustained by any
person or property by or in consequence of any intentional or negligent act,
omission, or conduct of Recipient, its agents, servants or employees.
ARTICLE X
This Agreement may be amended by the mutual agreement of the Parties
hereto in writing to be attached to and incorporated into this Agreement.
6
ARTICLE XI
Recipient shall adhere to all local, state, and federal laws and regulations
that may affect its actions made pursuant to this Agreement, and shall maintain in
effect during the term of this Agreement any and all federal, state, and local
licenses and permits which may be required of Recipients generally.
ARTICLE XII
Recipient may not assign this Agreement, or any of the benefits provided
herein including but not limited to incentive payments identified in Article I, without
the written consent of LPDC.
ARTICLE XIII
The waiver by LPDC of any breach of any term, condition, or covenant
herein contained shall not be deemed a waiver of any subsequent breach of the
same, or any other term, condition, or covenant.
ARTICLE XIV
The obligations of the Parties to this Agreement are performable in Harris
County, Texas and if legal action is necessary to enforce same, venue shall lie in
Harris County, Texas.
ARTICLE XV
This Agreement shall be governed by and construed in accordance with the
laws of the State of Texas.
ARTICLE XVI
This Agreement may be executed in triplicate, each of which shall be
deemed an original and constitute one and the same instrument.
ARTICLE XVII
Neither LPDC nor Participant shall be required to perform any term,
condition, or covenant in this Agreement so long as such performance is delayed
or prevented by force majeure, which shall mean Acts of God, civil riots, floods,
and any other cause not reasonably within the control of LPDC or Recipient except
as herein provided, and which by the exercise of due diligence LPDC or Recipient
is unable, wholly or in part, to prevent or overcome.
ARTICLE XVIII
In submitting this application, the applicant whose signature appears
below affirms its intent and commitment to comply in full with Section 2264.052 of
the Government Code and certifies that it does not and will not knowingly employ
an undocumented worker during any time period associated with the public
subsidy for which the application is being submitted. The applicant further certifies
7
its understanding and agreement that if it is convicted of a violation of 8 U.S.C.
Section 1324a(f), providing for civil and/or criminal penalties for engaging in a
pattern or practice of knowingly hiring or continuing to employ unauthorized aliens,
it shall repay the amount of the public subsidy with interest, at the rate and
according to the terms of the agreement signed under Section 2264.053 of the
Government Code, not later than the 120th day after the date the city notifies the
business of the violation.
ARTICLE XIX
The Agreement embodies the complete agreement of the parties hereto,
superseding all oral or written pervious and contemporary agreements between
the Parties, which relate to matters in this Agreement.
SIGNED AND AGREED to by LPDC and Recipient on the dates indicated
below.
LA PORTE DEVELOPMENT CORPORTION
__________________________
Richard Warren, President
___________________
Date
ATTEST
___________________________
Secretary of the Corporation
Frank Nance
_________________________________
_________________________
Date
ATTEST
________________________________
8
REQUEST FOR LA PORTE DEVELOPMENT CORPORATION BOARD
AGENDA ITEM
Agenda Date Requested: August 22, 2022
Requested By: Matt Daeumer, Asst. City Mgr.
Department: Administration/CMO
Report Resolution Ordinance
Exhibits: Proposed FY 2021-22 Budget
SUMMARY
The La Porte Development Corporation fiscal year 2022-23 proposed budget has been
reviewed by the City Manager’s Office and Finance. The expenditure budget for next
fiscal year has been prepared with a $784,741 (25%) increase from the current fiscal
year budget. This is due to decreased transfers to CIP than the previous year along
with a decrease in Special Programs. Generally, the EDC Fund transfers money to the
Debt Service Fund annually in the amount of $750,000 to $1 million. In FY 2025-26,
this transfer will decrease to approximately $150,500 to service debt payments.
Staff has proposed to budget for continuation of the membership in vital key
organizations within the Houston area such as Bay Area Houston Economic
Partnership (BAHEP) and Economic Alliance as well as the International Center for
Shopping Centers (ICSC). Generally, the Economic Development Coordinator attends
the Texas Municipal League (TML) and the Texas Economic Development Cou ncil
(TEDC) conference. City Council has approved the continuation of the Harris County
Transit services provided to residents in La Porte, which is funded by LPDC. Staff has
included funding for mid-year advertising opportunities as well as funds to attend trade
shows, like the Red River & ICSC conferences. As discussed previously with the Board,
staff has included funding for any mid-year incentive opportunities.
The La Porte City Council had a pre-budget retreat earlier this year and asked for staff
to move forward with a list of several quality of life projects. Additionally, during the
budget preparation, staff noted several other quality of life amenitie s that can be
grouped together with these projects. A Total of $2,825,000 for quality of life amenity
projects and mid-year incentive opportunities is being requested to be funded by the
Board for FY 2022-23:
• Golf Course Fencing Project - $475,000
• Golf Course Pond Remediation - $150,000
• Golf Course Land Acquisition - $350,000
Appropriation
Source of Funds: 038 – EDC
Account Number: Various
Amount Budgeted: N/A
Amount Requested:
Budgeted Item: Yes No
• Mid-year Incentive Opportunities - $400,000 (Revak Bldg)
• Wave Pool Enhancements - $500,000
• Recreation Center Phase II Design - $250,000
• City-wide signage project Phase III - $350,000
• Fairmont Park Ball Field Restroom - $350,000
Staff has provided the Board with the FY 2022-23 Proposed Budget documents, which
highlight the LPDC’s healthy projected fund balance at the end of the fiscal year,
September 30, 2023 to be nearly $6.75 million, which is $618,512 less than the
projected fund balance on September 30, 2022. The City’s Finance Department has
been working diligently to project conservative revenues and feel s comfortable in the
$3,254,000 revenue projection, which includes sales tax and interest income.
Additionally, staff has provided a line-item detail of expenditures for the Board to review
for personnel services, supplies, and services & charges.
The La Porte City Council is scheduled to receive and approve the final annual budget
presentation at the September 12th City Council meeting. Staff is requesting the Board
approve the proposed FY 2022-23 budget for the La Porte Development Corporation.
ACTION REQUIRED BY LPDC BOARD
Presentation, discussion and possible action to approve the La Porte
Development Corporation’s proposed 2022-23 Fiscal Year budget.
Approved for the La Porte Development Corporation Board meeting agenda
Corby D. Alexander, City Manager Date
Beginning Fund Balance 9/30/21 7,263,258$
Plus Estimated 21-22 Revenues 3,004,500
Less Estimated 21-22 Expenditures and Commitments
Economic Development Operations 327,421
Capital Projects/Transfers 2,569,783
Total Expenditures 2,897,204
Estimated Fund Balance 9/30/22 7,370,554
Plus 22-23 Revenues:
1/2 Cent Sales Tax 3,250,000
Interest Income 4,000
Total Revenues 3,254,000
Equals Total Resources 10,624,554
Less 22-23 Expenditures:
Economic Development Operations 662,257
Debt Service Transfer 785,255
Transfer to General CIP Fund:
Signage Project Phase III 350,000
Golf Course Fence 475,000
Golf Course Pond Remediation 150,000
Wave Pool Enhancements 500,000
Recreation Center 250,000
Golf Course Land and Development 350,000
Fairmont Park - Ball Field Restroom Enhancements 350,000
Total Expenditures 3,872,512
Ending Fund Balance 9/30/23 6,752,042$
Estimated Projected
2021-22 2022-23
Revenues 3,004,500$ 3,254,000$
Expenditures & Commitments 2,897,204 3,872,512
Revenues over Expenditures 107,296$ (618,512)$
*Debt Service Payments for Library, Bay Area Boulevard & Canada Road and Ballfields.
City of La Porte
La Porte Development Corporation (038) Fund Summary
(Section 4B Sales Tax)
City of La Porte
La Porte Development Corporation Fund (038)
Statement of Revenues
Actual Budget Revised Projected
Object Description 2020-21 2021-22 2021-22 2022-23
Charges for Services:
403.02-00 1/2 Cent Sales Tax 3,368,708$ 3,000,000$ 3,000,000$ 3,250,000$
Charges for Services Subtotal 3,368,708 3,000,000 3,000,000 3,250,000
Interest:
483.01-00 Interest Income 3,651 9,000 4,500 4,000
Interest Subtotal 3,651 9,000 4,500 4,000
Total La Porte Development Corp Fund Revenues 3,372,358$ 3,009,000$ 3,004,500$ 3,254,000$
Economic Development Corporation
Fiscal Year 2022-23
Economic Development Operations
Expenditure Summary
Actual Budget Estimated Requested Percent
2020-21 2021-22 2021-22 2022-23 Change
Personal Services 34,991$ 112,036$ 32,569$ 103,508$ -7.61%
Supplies 34 900 150 300 -66.67%
Services & Charges 1,126,963 2,974,835 2,864,485 3,768,704 26.69%
Division Total 1,161,988$ 3,087,771$ 2,897,204$ 3,872,512$ 25.41%
Scope of Services Summary
Personnel Position Roster
Approved Approved Approved
2020-21 2021-22 2021-22
Economic Development Coordinator 0.75 0.75 0.75
Sr. Administrative Assistant 0.50 0.50 0.50
Total 1.25 1.25 1.25
We will continue to work with our regional economic development partners on business retention and expansion programs,
small business development,marketing efforts,workforce initiatives,transportation issues and quality of life issues.The
Economic Development Coordinator will also serve as the Business Ombudsman for the City of La Porte,assisting new and
existing businesses through the planning and zoning processes.
The Economic Development Division works with the Economic Development Corporation Board to establish direction and
polices related to economic development projects in the City.The Department and its activities are funded through the
collection of a 1/2 cent sales tax,which must be spent on economic development projects related to capital investment,
quality of life,recreation,and/or primary job creation.Past activities have included the re-nourishment of Sylvan Beach,the
ball fields at Pecan Park,the Community Library,construction of Canada Road,Construction of Bay Area Blvd.,the Sports
Complex, and infrastructure improvements on Main Street.
City of La Porte, Texas
Economic Development Corporation 038-6030-565
Detail of Expenditures
Actual Budget Estimated Requested
2020-21 2021-22 2021-22 2022-23
Personal Services:
1010 Regular Earnings 16,439$ 78,071$ 14,138$ 71,381$
1035 Longevity 180 228 - 36
1060 FICA 1,078 5,990 1,082 5,464
1065 Retirement 2,250 12,747 2,302 11,627
1067 PARS Retirement 44 - 48 -
1080 Insurance - Medical 15,000 15,000 15,000 15,000
Personal Services Subtotal 34,991 112,036 32,569 103,508
Supplies:
2001 Office Supplies - 200 100 200
2002 Postage 34 200 50 100
2015 Other Supplies - 500 - -
Supplies Subtotal 34 900 150 300
Services & Charges:
3001 Memberships & Subscriptions 20,000 41,055 41,055 41,055
3020 Training/Seminars - 7,200 - 7,200
4060 Technology Lease Fees 625 647 647 500
5001 Accounting 5,000 5,000 5,000 5,000
5007 Other Professional Services 79,500 75,500 75,500 75,500
6002 Printing & Reproduction - 500 500 500
6005 Advertising 9,638 10,000 22,000 10,000
6040 Trade Shows - 12,500 - 10,000
9997 Special Programs 45,200 252,650 150,000 408,694
9004 Adm Transfer to Fund 004 - 778,752 778,752 785,255
9015 Adm Transfer to Fund 015 967,000 1,791,031 1,791,031 2,425,000
Services & Charges Subtotal 1,126,963 2,974,835 2,864,485 3,768,704
Division Total 1,161,988$ 3,087,771$ 2,897,204$ 3,872,512$