Office consists of Director and Assistant Because of minimal staff and resources, we have to stay extremely flexible and able to reprioritize projects at the drop of a hat And then pick back up where we left off on the first project Hard to juggle those balls effectively at times. Eco Dev Office must abide by strict confidentiality guidelines. Loose Lips Sink Ships
To make things better by increasing the local tax base.
Relives tax burden off rooftops and residential sector Diversifies tax base by having primary businesses to tax Increases community wealth and diversity Helps pay for streets, libraries, parks, police and fire Helps finance quality public schools
Strengths, Weaknesses and Threats Capitalize on strengths Identify and Acknowledge weaknesses and threats Address them.
Guarantee for the future- give the educated population a reason to be here.
A City Must Determine… What do you want to look like when you grow up? SWAT- Realistic and Honest
QoL also commonly referred to as Quality of Place
In 1987, economic developers were focused on chasing smokestacks -- wouldn’t consider retail Yesterday’s BIG 3 -- GM, Ford, and Chrysler Today’s BIG 3 -- HEB, Home Depot, Wal-Mart
Towns do not HAVE to offer incentives, but choosing not to is choosing not to seriously participate in Economic Development Incentivize and accelerate development Sometimes do not pay off Sometimes given to companies that would have come anyway Are being bid up every day by desperate cities
Creative Class:40 million Americans – over a third of our national workforce – who create for a living. This “creative class” is found in a variety of fields, from engineering to theater, biotech to education, architecture to small business. Their choices have already had a huge economic impact. In the future, they will determine how the workplace is organized, what companies will prosper or go bankrupt, and even which cities will thrive or wither.
Primary jobs are those that produce something that is consumed outside of the community where the job exists. The revenue it generates is new money to that locale and, therefore adds wealth rather than just spreading the money around. These kinds of jobs are desirable to the economic sustainability of a community because it allows them to generate new money.
Primary Jobs are about the flow of money within a community.
If PRIMARY jobs are the target, Why a shift to retail? Shortage of mfg and primary jobs Enhanced quality of life Leakage, keep $’s at home, “Shop Kyle” Sales tax could be greater than property tax Fill service needs of the community *Creates Property and Sales Tax dollars that will grow the City tax base not only decreasing the burden of property owners, but generating resources/tools to attract those Primary Employers
Company needs, location, mobility, access, etc. determined by demand for their product and access to their customers - Supply needs to be where the Demand is.
Left- Desired -equal distribution and support of the local economy/demands Right- Reflects Current structure
Taken from the ED Strategic Plan
Team Consists of: Other City Departments City Committees City Council Engaged Citizens The Business Community The School District Chamber of Commerce Utility providers And other community and regional partners and resource agencies
ED utilizes marketing strategies targeted at key industries through market specific tradeshows, trade magazines, industry news, etc By recruiting and growing local business to lessen the tax burden on existing businesses and home owners.
Planning Director has offered to make presentation to ED&T regarding the local development process and planning department in more detail.
Training Required: Public Information Act, Ethics Misc. committee workshops and annual planning retreat
City Leaders: City Boards, Committees and Council Must keep a finger on the pulse and remember decisions and policy created today impacts the economic development and growth for the future in one way or another.
(Detailed demographic reports available at KyleED.com, and Informational folders provided to interested businesses/prospects) 2010 Census: Pop: 28, 016 (2000: 5,000) Household size: 3.64 Median Age: 28 Ave. Household Income: $65,100 Some College (no degree): 47% Bachelor Degree or Higher: 19%
Additional Documents/Resources: Commonly Used Terms/Concepts Key Tools for Successful ED Types of Possible Incentives Memo: Limited Overview- Economic Development City Council Economic Development Vision City of Kyle Incentive Policy *Kyle Leadership Academy –Every Department and Every Committee of the City Impact ED
Ed&t 2014 workshop
City of Kyle
Economic Development &
2014 ED Workshop
January 9, 2014
WHAT IS IT?
•How does economic development work?
•What do economic development organizations
do and the role of ED staff?
•What is the role of the ED&T Committee and
"Kyle will be the premier employment center for
the southern tier of the Austin metropolitan
area and will serve as a destination for the best
in shopping, recreation, and living in Hays
County." -City of Kyle ED Strategic Plan 2008
Kyle will become a full service community that
will continue to grow quality healthcare, higher
education and retail industries for the benefit of
its residents. -Kyle City Council 2011
What is Economic Development?
It is the creation of new tax dollars to grow
and diversify the local economy whereby
lessening the burden on local tax payers.
Is all about OPPORTUNITY
To improve the community…..
Economic Development is…
a PROCESS that if successful leads to
employment opportunity and wealth creation
and improves the Quality of Life of the town,
It’s about economic growth through existing
business retention and business recruitment.
Focused on job creation
& building community wealth
Economic Development is…
Recognizing our SWAT
Capitalizing on Assets
And working on Challenges
ED is key to a communities
Decrease “ Brain Drain”
Opportunity to create a
positive business climate and
Helps define “what we want to
be when we grow up.”
Guarantee for the future
Economic Development vs.
A process which improves the economic and
cultural well-being of the people
Is focused on job creation and building
A process which builds a desirable and
Improves the look and feel of a community - -
parks and green-space, redevelopment and
beautification, and other QOL amenities
The thing about community &
There are no right or wrong answers
There are no magic formulas or silver bullets
Every town is unique
Every town must chart its own course
Today’s action -- or inaction -- dictates city
First things first….
Priorities and vision for community future
What do you want to be
Realistic assessment of assets & liabilities
F O C U S: put chips where you can win
Don’t chase after the latest and greatest
economic development fad
Quality of Life -- What is it?
Good schools and low crime
Clean environment & appealing look
Community identity, diversity & PRIDE
Well managed public sector; good value for the
Increasing property values
Connectivity between the city, schools and
A healthy balance of primary jobs, retail
opportunities, and service sector and an
active life/work balance
A place where people want to live, raise kids,
start a business, invest, and retire
Role of Local Economic Development
Do things that people assume just happen
CARE about business: Creation, Attraction,
Retention and Expansion.
Tear down fences and build fences
Maximize economic opportunity for citizens
Promote community to the outside world
Build balanced economy…increase tax base
More incentives required to get new companies
Everything has to be ready for companies: real estate,
23 million people in TX today -- est. to be 50 million by year
Kyle will be the largest City in Hays County within the next
5-8 years. How can we not recruit?
Prospects are usually unreasonable -- Quick turnaround /
pages and pages of data / little feedback and strict
“You’ve got to go out on a limb
sometimes because that’s where the
fruit is.” - Will Rogers
A fact of life if you want to recruit high paying
jobs and large capital investment
Nothing just happens by accident
Competition for quality jobs is INTENSE
Incentive wars are most competitive in metro
areas with multiple communities
In Texas, local governments must put up
majority of incentives
Examples of Types of
grants and financing for
working capital loans
letter of intent
the public does
Raising the Financial Incentive Bar
Albany, N.Y. $300 M
Local Case Studies
OK, Let’s recruit….but what?
Tourists & retirees
Creative class, or home based consultants
Big companies, small companies
Real estate developers & investors
What are Primary Employers?
…are companies whose products or services are
ultimately used in statewide, national or
And perhaps more importantly, primary employers
create primary jobs
What are Primary Jobs?
Primary jobs are jobs created by manufacturing,
professional services, distribution/warehouse,
service industry, etc. that produce or sell their
services on a regional, state, national or
Non-Primary jobs (or tertiary jobs) are jobs
created in the local area and are the result of the
economic development (wealth created by primary
jobs) ….e.g., local grocery store, service station
Primary Jobs are…
Primary jobs are the foundation of local economic
Retail expansion is the product of economic
development, not the cause of it
Local governments “ profit” from economic growth
All Jobs Are Not Created Equally –
A fast food job creates 1/10 additional job
A high-paying manufacturing job creates 2+
A job at an advanced technology company
creates 7 additional jobs
One wealthy retiree creates 3 additional jobs
(represent economic opportunities to which Kyle can
begin marketing immediately.)
Destination Retail and Leisure
Electronics and Technology
(require sustained efforts over a significant period
Corporate Business Services and
Biomedical and Life Sciences
Logistics and Distribution
Balanced & Equitable Tax
Kyle will build this position
as an employment center by:
Supporting the development of a commuter
rail station surrounded by dense mixed-use
Establishing high standards for new
development along I-35 to maximize the
impact of new business opportunities;
Unifying the urbanized area;
Bridging the gaps between Kyle’s pool of
talent and the lack of local employment
Diversifying the tax base to serve a growing
Providing a new outlet for regional economic
growth by positioning Kyle as the employment
center for Austin region’s southern tier; and
Aggressively promoting a new image of Kyle
—internally and externally—as the leader in
economic development for the metropolitan
region’s southern tier.
What do Economic Development
The role of an Economic Development
Organization is to organize and implement a
plan of action to improve the economic wellbeing and quality of life of residents of a given
Economic Development Organizations are
part of a team of players committed to
creating and maintaining good jobs and a
high quality of life
Most Important Role of City Staff?
Facilitate processes and accommodate to the
extent that local code and ordinances allow.
City of Kyle adds value for businesses in Kyle
through the ED Department?
The ED Office visits with prospects, existing
businesses, groups and individuals on a regular
basis to facilitate/educate on the City of Kyle,
local trends and demands, basic processes and
referrals to additional resources.
in fr a s t r u c t u r e
D e v e lo p m e n t
Economic Development & Tourism
The ED&T Committee is the voice of the
community in regards to ED related issues.
Requires Commitment, Confidentiality,
Positivity, Support and Vision
Makes recommendations to City Council and
plays integral role in the review process of
applications for business incentives, policy
and plans impacting the future of Economic
Development in the City of Kyle.
The Very Best City Leaders Know …
Connections between economic development and
other city policies
Their regulatory environment
Their local economic development stakeholders
The needs of your business community
What does Kyle look like?
What are the fundamentals of Kyle?
(household size, age, income and education)
2012 Population Estimate: 30875
Household Size: 3.23
Median Age: 29
Average Household Income:
High School Grad: 89%
Some College (no degree): 31%
Bachelor Degree or Higher: 25%
Some observation’s relevant to
Kyle’s current situation ....
A Third Party Perspective- Carlton Schwab, TEDC
Your economic development effort is strong for
what it is, but woefully behind communities that
have the economic development sales tax
Buda $1.2 million
Bastrop $1.3 million
Pflugerville $2.0 million
“As such, you are at a competitive disadvantage
for most primary employer opportunities, which
makes it extraordinarily difficult to address the
-Carlton Schwab, President
Texas Economic Development Council
How everyone can help everyday…
Local identity/Community pride
Shop KYLE when possible
Get involved & stay informed
Be Open to Change
Change is going to happen with your whether
we like it or not. Change is inevitable.
-Let’s help direct it.
“There are at least ninety nine ways to get
beat, but only one way to win: get there first”
“Even if you’re on the right track, you’ll get run
over if you just sit there.”