10-26-2023 Agenda SEDC Board Reg Meeting with Packet
NOTICE OF MEETING
AGENDA
OCTOBER 26, 2023
6:00 p.m.
The City of Schertz Economic Development Corporation (SEDC) Board of Directors will hold a regular monthly meeting on Thursday, OCTOBER 26, 2023.
at 6:00 p.m. at the Hal Baldwin Municipal Complex, Council Chambers Conference Room, Building No. 4, 1400 Schertz Parkway, Schertz, Texas. This is an
open meeting, subject to the open meeting laws of the State of Texas.
Call to Order
1.Roll call, recognition of visitors, and review of meeting instructions for effective Board
interaction and public participation.
2.SEDC Board Member Oath of Office for member appointed by City Council on 09/05/2023
for a term of two years ending 09/30/2025. (S. Courney)
Appointment: Henry Hayes
Hearing of Residents
3.This time is set aside for any person who wishes to address the Board. Presentations should
be limited to no more than 3 minutes.The presiding officer will call on those persons who
have signed up to speak.
Minutes
4.Approval of the minutes for the Board of Directors Regular Monthly Meeting held on
Thursday, September 28, 2023. (T. Miller)
Presentations
5.Staff briefing on SEDC monthly financial statement for the month of September 2023.
(S.Wayman)
Closed Session
6.Called in accordance with Section 551.087 of the Texas Government Code,
Deliberation Regarding Economic Development Negotiations; Closed Meeting. The
governmental body is not required to conduct an open meeting (1) to discuss or deliberate
regarding commercial or financial information that the governmental body has received from
a business prospect that the governmental body seeks to have locate, stay, or expand in or
near the territory of the governmental body and with which the governmental body is
conducting economic development negotiations; or (2) the deliberate the offer of a financial
or other incentive to a business prospect.
E-92 E-88 E-86
Reconvene to Regular Session
7.Take any actions based on discussion held in closed session under Agenda Item No. 6
SEDC Agenda October 26, 2023 Page 1 of 2
7.Take any actions based on discussion held in closed session under Agenda Item No. 6
Requests and Announcements
Announcements by staff:
Office closed for Veterans Day November 10, 2023
Next Board Meeting - November 16, 2023
Office closed for Thanksgiving November 23-24, 2023
Holiday Dinner - December 7, 2023, RSVP by November 16, 2023
December Board Meeting date rescheduled to December 14, 2023
Requests by Board Members to place items on a future SEDC Board Meeting agenda.
Adjournment
CERTIFICATION
I, Tracy Miller, Administrative Assistant, of the City of Schertz Economic Development Corporation, do hereby certify that
the above agenda was posted on the official bulletin boards on this the 20th day of October, 2023, at 5:00 p.m., which is a
place readily accessible to the public at all times and that said notice was posted in accordance with chapter 551, Texas
Government Code.
Tracy Miller
Administrative Assistant- Economic
Development
I certify that the attached notice and agenda of items to be considered by the Schertz Economic Development
Corporation Board of Directors was removed from the official bulletin board on _____day of _______________, 2023.
Name/Title:______________________________
This facility is accessible in accordance with the Americans with Disabilities Act. Handicapped parking spaces are available.
If you require special assistance or have a request for sign interpretative services or other services, please call 210-619-1070.
The Economic Development Corporation Board of Directors reserves the right to adjourn into closed session at any
time during the course of this meeting to discuss any of the matters listed above, as authorized by the Texas Open
Meetings Act.
Closed Sessions Authorized: This agenda has been reviewed and approved by the City’s legal counsel and the presence
of any subject in any Closed Session portion of the agenda constitutes a written interpretation of Texas Government
Code Chapter 551 by legal counsel for the governmental body and constitutes an opinion by the attorney that the items
discussed therein may be legally discussed in the closed portion of the meeting considering available opinions of a
court of record and opinions of the Texas Attorney General known to the attorney. This provision has been added to
this agenda with the intent to meet all elements necessary to satisfy Texas Government Code Chapter 551.144(c) and
the meeting is conducted by all participants in reliance on this opinion.
SEDC Agenda October 26, 2023 Page 2 of 2
Agenda No. 4.
SEDC MEMORANDUM
SEDC
Board Meeting:10/26/2023
Department:Economic Development Corporation
Subject:Approval of the minutes for the Board of Directors Regular Monthly
Meeting held on Thursday, September 28, 2023. (T. Miller)
SUBJECT:
Approval of the minutes for the Board of Directors Regular Monthly Meeting held on Thursday,
September 28, 2023. (T. Miller)
Attachments
09-28-23
MINUTES
Thursday, September 28, 2023
The City of Schertz Economic Development Corporation (SEDC) Board of Directors met for a Regular Monthly Meeting on Thursday,
September 28, 2023. at 6:00 p.m. at the Hal Baldwin Municipal Complex, Council Chambers Conference Room, Building No. 4, 1400
Schertz Parkway, Schertz, Texas. This was an open meeting, subject to the open meeting laws of the State of Texas.
Call to Order
1.Roll call, recognition of visitors, and review of meeting instructions for effective Board interaction and public participation.
Board President Paul Macaluso presided over the meeting and called it to order at 6:00 p.m.
Board of Directors Present:Staff Present:
Paul Macaluso, Board President Scott Wayman, Executive Director
Jesse Hamilton, Board Vice President Holly Malish, Deputy Director
Sammi Morrill, Board Secretary/Treasurer Ashley Ritchey, Business Engagement Manager
Roy Richard, Board Member Tracy Miller, Administrative Assistant
Bill Dixon, Board Member Steve Williams, City Manager
Eryn McElroy, Board Member
Board of Directors Absent: Others Present:
Mark Moody, Board Member Allison Heyward, Councilmember, City Council Liaison
Sheila Edmondson, City Secretary
William Bates, Caterpillar Corporation
Evan Horn, Ernst Young
Troy Reed, Ernst Young
Henry Hayes, Schertz Citizen
2.SEDC Board Member Oath of Office for member appointed by City Council on 09/05/2023 for a term of two years ending on
09/30/2025. (S. Edmondson)
Appointment: Eryn McElroy
Sheila Edmondson, City Secretary administered the oath of office to the new Board Member.
Board President Paul Macaluso welcomed her and ask Board Member Eryn McElroy to give an introduction. Ms. McElroy gave a
brief introduction of her background.
Hearing of Residents
3.This time is set aside for any person who wishes to address the Board. Presentations should be limited to no more than
3 minutes.The presiding officer will call on those persons who have signed up to speak.
No resident signed up to speak. No commits were made.
Minutes
4.Approval of the minutes for the Board of Directors Regular Monthly Meeting held on Thursday, August 24, 2023. (T. Miller)
Board President Paul Macaluso asked for a motion to approve the Minutes of the Board of Directors Regular Monthly Meeting
held Thursday, August 24, 2023.
Moved by Board Member Roy Richard, seconded by Vice President Jesse Hamilton.
AYE: Board President Paul Macaluso, Vice President Jesse Hamilton, Board Secretary/Treasurer Sammi Morrill
Board Member Roy Richard, Board Member Bill Dixon, Board Member Eryn McElroy.
Presentations
5.Staff briefing on SEDC monthly financial statement for the month of August 2023. (S. Wayman)
Scott Wayman, Executive Director provided a summary and overview on the SEDC Financials for the month of August, 2023.
August, 2023 sales tax received was $596,424, a 1.9% decrease over the year prior. The 12-month rolling average is 8.9% still
trending up. Expenditures for August was small with only 2 vendors invoicing over $1,000 Community Impact and Scenic Texas.
Total Cash & Investments figure at the end of August was 31.1 million.
6.Presentation by Applicant regarding Caterpillar Projects.
Scott Wayman, Executive Director introduced Evan Horn, Senior Manager and Troy Reed, Senior Tax Manager with Ernst Young
LLP. Mr. Horn introduced Bill Bates, Business Resources Manager with Caterpillar.
Mr. Bates gave an update on Project Hydra and Project Aquos.
The Schertz facility makes cylinder heads and a few cylinder blocks that go into engines in their plant in Seguin for Project
Hydra. Since 2022 Project Hydra is making 27L/32L cylinder heads and blocks for engines. Production will be starting 1st
quarter in 2024. The Hyrda Incentive Agreement commits to 24 new jobs with $50,000 annual salary and 22 million in capital.
Project Aquos currently makes 13L cylinder blocks and head machining operations to support newly announced C13D engine.
The C13D will replace existing 11L, 13L, 15L and some 18L products. The Project Aquos will create over 25 new jobs with
$43,000 annual salary and 70 million in capital.
Mr. Horn gave a summary of the Project Hydra proposed amendment for the annual compliance for both the City and Caterpillar.
Mr. Reed gave a summary of the Project Aquos proposed amendment for the annual compliance.
Public Hearing
7.Resolution 2023-13 - An amendment to Economic Development Performance Agreement between Caterpillar Project Hydra and
the City of Schertz Economic Development Corporation. (S.Wayman)
8.Resolution 2023-14 - An Economic Development Performance Agreement between Caterpillar Project Aquos and the City of
Schertz Economic Development Corporation.
Board President Paul Macaluso opened the public hearing for Items 7 & 8 at 6:25 pm.
Mr. Henry Hayes, Schertz Citizen - Inquired about permits or variances and any long term adjustments that may be a
challenge to the city.
1.
Board Present Paul Macaluso closed the public hearing for Items 7 & 8 at 6:26 pm.
Closed Session
9.Called in accordance with Section 551.087 of the Texas Government Code, Deliberation Regarding Economic Development
Negotiations; Closed Meeting. The governmental body is not required to conduct an open meeting (1) to discuss or deliberate
regarding commercial or financial information that the governmental body has received from a business prospect that the
governmental body seeks to have locate, stay, or expand in or near the territory of the governmental body and with which the
governmental body is conducting economic development negotiations; or (2) the deliberate the offer of a financial or other
incentive to a business prospect.
E-92 E-88 E-91
E-81 E-86
Start time: 6:28 p.m.
End time: 7:40 p.m.
Board President Paul Maculso reconvened to open session at 7:41 p.m.
Reconvene to Regular Session
10.Take any actions based on discussion held in closed session under Agenda Item No. 9.
No action taken based on discussion in closed session.
11.Resolution 2023-13 - Approval of an amendment to Economic Development Performance Agreement between Caterpillar Project
11.Resolution 2023-13 - Approval of an amendment to Economic Development Performance Agreement between Caterpillar Project
Hydra and the City of Schertz Economic Development Corporation. (S. Wayman)
Motioned by Board Vice President Jesse Hamilton, seconded by Board Member Bill Dixon.
AYE: Board President Paul Macaluso, Vice President Jesse Hamilton, Board Secretary/Treasurer Sammi Morrill
Board Member Roy Richard, Board Member Bill Dixon, Board Member Eryn McElroy.
12.Resolution 2023-14 - Approval of an Economic Development Performance Agreement between Caterpillar Project Aquos and the
City of Schertz Economic Development Corporation. (S. Wayman)
Board President Paul Macaluso read the following caption into record and asked for a motion:
Resolution 2023-14 - Approval of an Economic Development Performance Agreement between Caterpillar Project
Aquos and the City of Schertz Economic Development Corporation.
Moved by Board Member Bill Dixon, seconded by Board Secretary/Treasurer Sammi Morrill.
AYE: Board President Paul Macaluso, Vice President Jesse Hamilton, Board Secretary/Treasurer Sammi Morrill
Board Member Roy Richard, Board Member Bill Dixon, Board Member Eryn McElroy.
Requests and Announcements
Announcements by staff:
Orientation Book for Board Members
Office closed for Columbus Day October 9, 2023
Next Board Meeting - October 26, 2023
Lauren Shrum, Parks and Recreation Director, will present November 2023
Goals and Mission Statement discussion will be presented in November 2023
Ribbon cutting for Schertz/Cibolo/Selma Chamber October 26, 2023
Recognition for Roy Richard at City Council Meeting October 17, 2023
Establishing a Holiday Dinner Date
Requests by Board Members to place items on a future SEDC Board Meeting agenda.
No requests by Board Members to place items on a future SEDC Board Meeting agenda.
Adjournment
Board President Paul Macaluso adjourned meeting at 7:46 p.m.
MINUTES PASSED AND APPROVED THIS ____ DAY _______ 2023.
____________________
Paul Macaluso
Board President
___________________
Sammi Morrill
Board Secretary
Agenda No. 5.
SEDC MEMORANDUM
SEDC
Board Meeting:10/26/2023
Department:Economic Development Corporation
Subject:Staff briefing on SEDC monthly financial statement for the month of
September 2023. (S.Wayman)
SUBJECT:
Staff briefing on SEDC monthly financial statement for the month of September 2023. (S.Wayman)
Attachments
September FInancials
620-SED CORPORATION
FINANCIAL SUMMARY OVERVIEW
Revenues
Sales Tax 533,947.58$ Payment Received in September
0.4% Annual Increase
7.5%12-Month Rolling Average
Expenses
COSTAR Suite - Annual 6,615.00$
Resimplifi Annual Subscription 4,200.00$
Promotional Items 2,595.02$
Proj Tiger Impact Analysis 2,500.00$
Year-to-Date
Total Revenue 7,994,813.96$
Total Expenses 884,093.53$
Over/Under 7,110,720.43$
Cash & Investments
Cash 326,935.65$
Investments 31,485,837.53$
Total 31,812,773.18$
C I T Y O F S C H E R T Z
*************************************************** 2 0 2 2 - 2 0 2 3 ***************************************************
REVENUE AND EXPENSE REPORT (UNAUDITED)
AS OF: SEPTEMBER 30th, 2023
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620-SED CORPORATION CURRENT CURRENT PRIOR YEAR CURRENT Y-T-D BUDGET 100% OF
FINANCIAL SUMMARY BUDGET PERIOD Y-T-D ACTUAL Y-T-D ACTUAL ENCUMBR BALANCE BUDGET
REVENUE SUMMARY
Taxes 6,548,000 670,671.64 6,025,703.00 6,732,306.69 - (184,306.69) 102.81%
Miscellaneous 182,000 131,187.47 201,279.17 1,262,507.27 - (1,080,507.27) 693.69%
TOTAL REVENUES 6,730,000 801,859.11 6,226,982.17 7,994,813.96 - (1,264,813.96) 118.79%
EXPENDITURE SUMMARY
NONDEPARTMENTAL
City Assistance 3,000,079 - - 81,944.29 - 2,918,134.71 2.73%
Fund Charges/Transfer 5,750,000 - 1,240,000.00 - - 5,750,000.00 0.00%
TOTAL NONDEPARTMENTAL 8,750,079 - 1,240,000.00 81,944.29 - 8,668,134.71 0.94%
ECONOMIC DEVELOPMENT
Supplies 1,000 162.84 1,011.27 529.61 56.93 413.46 58.65%
City Support Services 18,359 54.68 7,311.03 10,895.12 - 7,463.88 59.34%
Utility Services 2,975 40.00 2,211.58 179.69 - 2,795.31 6.04%
Operations Support 437,610 17,705.89 186,417.42 139,530.27 1,624.99 296,454.74 32.26%
Staff Support 25,775 3,389.90 21,350.37 17,692.84 (335.00) 8,417.16 67.34%
City Assistance 206,641 3,525.00 - 45,640.94 - 161,000.06 22.09%
Professional Services 61,300 798.00 20,751.72 44,844.50 - 16,455.50 73.16%
Fund Charges/Transfers 542,221 - 506,984.00 542,221.00 - - 100.00%
Operating Equipment 5,000 37.99 4,046.67 615.27 - 4,384.73 12.31%
TOTAL ECONO DEVELOPMENT 1,300,881 25,714.30 750,084.06 802,149.24 1,346.92 497,384.84 61.77%
TOTAL EXPENDITURES 10,050,960 25,714.30 1,990,084.06 884,093.53 1,346.92 9,165,519.55 8.81%
** REVENUE OVER(UNDER) EXPEND (3,320,960) 776,144.81 4,236,898 7,110,720 (1,346.92) (10,430,333.51)
C I T Y O F S C H E R T Z
*************************************************** 2 0 2 2 - 2 0 2 3 ***************************************************
REVENUE AND EXPENSE REPORT (UNAUDITED)
AS OF: SEPTEMBER 30th, 2023
2 of 8
620-SED CORPORATION CURRENT CURRENT PRIOR YEAR CURRENT Y-T-D BUDGET 100% OF
REVENUES BUDGET PERIOD Y-T-D ACTUAL Y-T-D ACTUAL ENCUMBR BALANCE BUDGET
Taxes
000-411500 Sales Tax Revenue (4B)6,548,000 670,671.64 6,025,703.00 6,732,306.69 - (184,306.69) 102.81%
TOTAL Taxes 6,548,000 670,671.64 6,025,703.00 6,732,306.69 - (184,306.69) 102.81%
Miscellaneous
000-491000 Interest Earned 2,000 961.24 1,438.01 11,479.91 - (9,479.91) 574.00%
000-491200 Investment Earnings 180,000 130,226.23 199,841.16 1,251,027.36 - (1,071,027.36) 695.02%
TOTAL Miscellaneous 182,000 131,187.47 201,279.17 1,262,507.27 - (1,080,507.27) 693.69%
TOTAL REVENUES 6,730,000 801,859.11 6,226,982.17 7,994,813.96 - (1,264,813.96) 118.79%
C I T Y O F S C H E R T Z
REVENUE REPORT (UNAUDITED)
*************************************************** 2 0 2 2 - 2 0 2 3 ***************************************************
AS OF: SEPTEMBER 30th, 2023
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Cash in Bank
Claim on Operating Cash Pool-Checking 326,935.65$
Cash in Investments
Texas Class Investment-Economic Development Corp 29,232,797.22
Schertz Bank & Trust-Certificate of Deposit 1,099,538.79
Schertz Bank & Trust-Certificate of Deposit 1,153,501.52
Total Cash in Bank & Investments 31,812,773.18$
CASH IN BANK AND INVESTMENTS
AS OF: SEPTEMBER 30th, 2023
SED CORPORATION
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0.8%
8.0%
24.8%
3.2%
11.1%
17.7%
15.8%
7.7%17.0%
7.6%
-1.9%
0.4%
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP
4B SALES TAX
By Collection Month
2022-23 2021-22 2020-21 2019-20
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-5.0%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53 55 57 59 61 63 65 67 69 71 73 75 77 79 81 83 85 87 89 91 93 95 97 99
10
1
10
3
10
5
10
7
12 Month Rolling Average
Oct 2014 - Present
Rolling 12 Month Average Long Term Average
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FUND VENDOR NAME DESCRIPTION AMOUNT
Economic Development SED CORPORATION OFFICE DEPOT, INC Paper/Sheet Protectors 86.75
THE WATERMARK GROUP, INC Business Cards 48.50
UBEO Monthly Copier 276.55
COSTAR REALTY INFORMATION, INC.COSTAR Suite - Annual 6,615.00
SCHERTZ EMBROIDERY, LLC Fully Promoted 20.00
LIANE GARRETT Promotional Items 2,595.02
WEX BANK Monthly Fuel 40.00
AMAZON CAPITAL SERVICES, INC.Keyboard/Mouse 37.99
Binders/Dividers 76.09
HOLLY MALISH Per Diem-Dallas, Texas 264.42
RESIMPLIFI, INC Resimplifi Annual Subscription 4,200.00
SCOTT WAYMAN TML Region 7 Meeting 30.00
Per Diem-Dallas, Texas 207.99
LARRY MAULDIN & JANE FELTS MAULDIN WTR Color Paintings 385.00
IMPACT DATA SOURCE Proj Tiger Impact Analysis 2,500.00
DENTON, NAVARRO Legal Services July 2023 273.00
Legal Services August 2023 525.00
GREATER NEW BRAUNFELS Feb 23 Regional Job Fair 645.75
CITIBANK Notarize Inc 25.00
Mailchimp 42.11
IEDC - EXAM Retake 375.00
Adobe Stock - August 29.99
Americana Coffee 9.58
Northeast Partnership 20.00
Bluehost Sitelock Secur 95.88
Adobe Creative Cloud 599.88
Ziplinners- Board Meal 225.00
Umast Membership 40.00
Walmart 54.68
Odessa Marriot Hotel 543.00
BJ's Restaurant 52.01
Formassebbly 99.00
Mailchimp 42.11
IEDC Webinar 149.00
Adobe Stock - September 32.46
Hilton Anatole Dallas 711.45
Frame 151.20
Engraved Plate 24.00
Residence Inn by Marriott 1,307.40
Southwest Airlines 338.96
Chamber Luncheon 22.00
Northeast Partnership 20.00
Southwest Airlines 236.42
Chili's-Board Meal 230.42
TMCCP Seminar 380.00
OFFICE OF THE GOVERNOR Texas Enterprise 1,000.00
CITY OF SCHERTZ Postage 30.69
SEPTEMBER 2023 PAYABLES REPORT
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FUND VENDOR NAME DESCRIPTION AMOUNT
SEPTEMBER 2023 PAYABLES REPORT
SUBTOTAL:25,714.30
TOTAL:$25,714.30
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