Volume one, Issue six
2007 marked great achievements for EEDC as the Edinburg business community participated in many initiatives including: The International Council of Shopping Centers Conference in Las Vegas, the I-SHOP campaign, the Commercial Real Estate Roundtable event, the Workforce Summit 2007, amongst others.
During the year EEDC assisted seven companies with a $105 million in capital investment into the local economy. EEDC also participated in vital infrastructure projects including water lines, sewer, and roads for the necessary improvements to help support local businesses.
As we move forward into 2008, our business activity continues to grow. Programs for business retention and expansion will increase next year. Our marketing and recruitment efforts to attract targeted industries and quality jobs for Edinburg will also be at the top of our priority list in 2008.
Edinburg will continue to attract a wide range of businesses and industry during the next year. Business growth will concentrate in the northern and eastern quadrants. We extend our best wishes to each of you for a most joyous holiday season.
Edinburg has already welcomed new businesses to our community and we are pleased with the new jobs that they have brought.
Happy Holidays,
The Board and staff at EEDC thank you for your investment in Edinburg and look forward to assisting you in developing your business.
Ramiro Garza, Jr. Executive Director
In the past 12 months we achieved significant results. We retained and attracted 1788 direct and indirect jobs in our community representative of projects approved this year.
EEDC Monthly Newsletter I December 2007
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Can you remember life before high-speed Internet? If you can, you probably can’t imagine going back to the days before broadband. The Internet touches everything: our entertainment, our finances, our families, our education, our livelihoods. Streaming video, movie downloads, online banking, educational resources. Technology is converging like never before. Broadband is everywhere. And everything is better with broadband. But the Internet network is finite and has to grow to keep up before the “exaflood” – the inevitable onslaught of data the Internet will have to handle…and soon. High speed internet connections are changing lives. The ways we receive broadband change nearly daily. Broadband isn’t just about downloading music and family photos but also improving healthcare, boosting economic development and connecting local economies to the world. Broadband is central - and essential - to modern life for Texans of all ages in an incredible range of purposes. A panel of the nation’s premier experts featured a complimentary luncheon to discuss the power of connectivity in Texas. The featured speakers included Larry Irving, Co-Chairman of Internet Innovation Alliance; Debra Berlyn, President of Consumer Policy Solutions; and Dr. Edwin LeMaster, Dean of College of Science & Engineering at the University of Texas - Pan American. The EEDC took part in this forum.
U.S. chain store sales for November grew 3.5 Niemira predicts that December sales alone will percent year on year, according to ICSC’s index. increase 1.5 percent. The gain was the strongest since March, when sales grew 5.9 percent, but ICSC estimates that between 0.75 and 1 percent of the November results is attributable to a year-on-year calendar mismatch that yielded an extra week of sales this year. Many retailers do not adjust for this “53rd week” in the calendar year, which produced an additional week of post-Thanksgiving sales versus a year ago. “Adjusting for the calendar quirk, November sales were in line with fiscal-year trends,” said Michael P. Niemira, ICSC’s chief economist and director of research. “We continue to expect comparable-store sales to increase by 2.5 percent during the holiday season.” 3
EEDC Monthly Newsletter I December 2007
City of Edinburg Residential Building Permits $45,100,000 $40,100,000 $35,100,000 $30,100,000 $25,100,000 $20,100,000 $15,100,000 $10,100,000 $5,100,000 $100,000
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City of Edinburg Commercial Building Permits $50,100,000 $45,100,000 $40,100,000 $35,100,000 $30,100,000 $25,100,000 $20,100,000 $15,100,000 $10,100,000 $5,100,000 $100,000
2007 2006 2005
EEDC Monthly Newsletter I December 2007
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City of Edinburg Bank Deposits
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$600,000,000
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$400,000,000
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EEDC Monthly Newsletter I December 2007
According to the Federal Reserve Bank of Dallas, the Dallas Fed's Texas Business-Cycle Index, an aggregate measure of the region's current economic activity, reports that McAllen's metro economy slowed in September as its business-cycle index rose a modest 1.3 percent, and employment remained flat. The increase came mainly from service industries: professional and business, education and health, leisure and hospitality, and financial activities. Commercial construction remains active, with about 500,000 square feet of development between McAllen and Edinburg underway.
According to The Monitor, more jobs in government and agriculture sent the Rio Grande Valley's jobless rate to a record low in October 2007 as the region added 3,500 jobs, according to the Texas Workforce Commission. Hidalgo County's unemployment rate dropped to 5.3 percent in October from 6.2 percent in September 2007. Cameron County's rate dipped to 5.1 percent from 5.8 percent. Texas' statewide unemployment rate of 3.9 percent matched a record low from earlier in the year. South Texas College in McAllen has hired an additional 600 employees in the last three years as the institution's enrollment has increased to more then 20,000 students this year, said Diana Pe単a, the college's head of finance and administrative services.
EEDC Monthly Newsletter I November 2007
Starting January 2008, students can enroll in the National Customer Service Certification Program through the college's Partnership for Business and Industry Training. It is projected that by 2014, more than 20,000 new jobs will be created in the service and retail industry in the Valley. Currently the industry employs more than 32,000 Valley residents. The six-week program is free to qualifying applicants. Students will participate in 90 hours of classroom instruction and 90 hours of internship training with a local employer. Those who complete the entire program will earn an STC certificate and be eligible to take the National Retail Federation Test to obtain their Nationall Certification. Students will also be added to the Nationall Retail Certification database. The program is available through June 2008. To obtain more information and find out if you or your employees qualify to enroll in the program call 687-1121 6
According to The Monitor last week, The Rio Grande Valley has some of the best schools in the state, according to a report released in Texas Monthly magazine. Texas Monthly teamed up with the National Center for Educational Accountability, which analyzed standardized test results for the past three years, and listed more than 800 schools that performed better on the tests than students at other schools throughout the state. Edinburg had six elementary schools listed on the December issue of Texas Monthly. Canterbury, Lincoln, Austin, De La Vina, Jefferson, and Trevi単o Elementary Schools were among the ones recognized.
Real Estate Development and Reuse Training - The EEDC took part in a training course hosted by the International Economic Development Council in San Antonio, November 10 - 11. As economic developers work to improve the communities in which they work, real estate development and reuse often comes forward as a popular economic development tool. While most real estate development projects occur entirely within the realm of the private sector, the public sector becomes involved in real estate projects as it works to create jobs, improve the tax base or encourage development in a particular area, among many other reasons. Participants will learn about the various tools that are available at the local level, including tax increment financing, bonds, land assembly and eminent domain, in addition to the many federal programs available. 7
EEDC Monthly Newsletter I December 2007
By Lynda Lopez, UTPA Public Affairs Specialist II
A record crowd of 25,000 enjoyed a lighted parade, musical groups, posada, fireworks and of course caught a glimpse of the man of the hour – Santa Claus – at the fourth annual Night of Lights festival at The University of Texas-Pan American, Saturday, Dec. 7. Little angels participate in the first lighted parade of the festival Saturday night. “It was a real success. We promised bigger and better and we definitely delivered, said event coordinator Debbie Grant, director of UTPA alumni relations and annual giving. The event – which has grown each year – added a lighted parade and children’s carnival to this year’s festivities. Floats, dancing horses and musical groups marched down University Drive, much to the delight of the thousands of people who lined the street. In all there were 68 parade entries with Santa Claus bringing up the rear, riding in an illuminated Edinburg City fire truck. Congressman Rubén Hinojosa served as Grand Marshall. “Night of Lights” is a holiday treat for the entire South Texas area served by the University,” said Roland S. Arriola vice-president of External Affairs. Families were treated to a fireworks display orchestrated to a medley of music – swing, rock, disco and today’s hits – spanning 75 years in honor of the University’s anniversary, immediately following the parade. The carnival featured a ferris wheel, train ride and bouncing tent. More than 50 food, craft and game booths offered something for everyone. The booths were sponsored by University clubs and area non-profit groups. “There’s a lot more people out here this year,” said Marta Hernandez who ran a booth for the Advocacy Resource Center, selling glow lights which were a big hit with the young crowd. In keeping with tradition, UTPA sponsored a Christmas tree decorating contest with winning trees displayed on the quad for the public to enjoy. The Physician’s Assistant Department took first place, the Sign Language Club got second and the College of Education took third place honors. The Edinburg Chamber of Commerce hosted a gingerbread house contest giving out a first place $200 cash prize to Cory’s Cakes of San Juan for “Santa’s Workshop.” The creation included gingerbread workshop, train, toys, Christmas trees and sleigh. Night of Lights is jointly sponsored by University, the City of Edinburg, the Edinburg Economic Development Corporation and the Edinburg Chamber of Commerce. EEDC Monthly Newsletter I December 2007
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The Renaissance Behavioral Center, a newly developed outpatient/inpatient behavioral health facility, will celebrate its inaugural ribbon-cutting ceremony on Monday, December 10, 2007, with special keynote speaker, United States Congressman Patrick J. Kennedy. The facility is approximately 60,000 square feet with an 80 bed capacity for Children, Adolescent, Adult and Geriatric population, with an inpatient / outpatient psychiatric program with specially trained physicians. The economic impact of this behavioral center is $53 million dollar project, resulting in increase of $1,315,000 dollar property tax assessment including The Women’s Hospital at Renaissance, The Cancer Center at Renaissance,
The Renaissance Medical Tower, and The Renaissance Behavioral Center. The new addition to the Renaissance project will bring an additional 400 new jobs, bringing total number of employees to 2,700.
The Renaissance Behavioral Center provides short term, solution- oriented treatment options for children, adults and seniors. The center strives to provide personal, confidential and comprehensive care. In addition, the center is open 24 hours seven days a week, with or without appointment.
Retailers managed to beat last year’s Black Friday sales, though for a number of them it meant opening shop at midnight and offering aggressive discounts to drive traffic. Combined U.S. retail sales for this year’s Black Friday and Black Saturday rose 7.2 percent over the comparable period last year. The two days saw total sales of $10.3 billion and $6.1 billion, respectively, according to research firm ShopperTrak. Black Friday 2007 was up 8.3 percent year on year. Black Saturday’s results were not as strong (up 5.4 percent), but preliminary estimates suggest that the two days combined got the holiday shopping season off to a healthy start. Discounts helped drive the traffic, says C. Britt Beemer, chairman of America’s Research Group, which surveyed 903 U.S. shoppers. “During a tough economy, Black Friday becomes even more important to retailers, as shoppers are looking to save that $200 or $500,” he said. Retailers embraced the strategy wholeheartedly, what with all those midnight specials. About 80 percent of the consumers surveyed said they got an early-bird deal. Some 67 percent of the respondents were done shopping by noon on Friday, and roughly 17 percent of them spent over $751 that day, versus 11.6 percent who had spent that much a year ago. Beemer says shopper traffic Saturday and Sunday was slower because few retailers had special promotions on those days. JCPenney, though, was one of the few that extended Black Friday promotions to Saturday. Discount stores were the most popular destination for Black Friday shoppers, with 64.7 percent of respondents reporting that they had patronized one of these. Department stores followed, with 48 percent, and specialty retailers drew 25.2 percent. “Although retailers need to remain cautious, the Black Friday outpouring should have them breathing a sigh of relief, and they will be paying close attention to see if consumers continue this strong shopping pace throughout the holiday season,” said Bill Martin, co-founder of ShopperTrak in a press release. Kohl’s opened its doors at 4 a.m. ICSC predicts that holiday same-store sales will rise 2.5 percent over last year’s holiday season.
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EEDC Monthly Newsletter I December 2007
Known for their efforts in continuously developing their program with resourcefulness and energy, The University of Texas - Pan American Small Business Development Center (SBDC) is currently assessing the program’s vast accomplishments for their fiscal year 2007 activity, ending September 30. Over the year, SBDC Advisors worked 6,739 hours with countless clients from all over the Rio Grande Valley. Through SBDC assistance, numerous business start-ups and expansions and over 850 jobs were created and/or retained; and 107 loans for over $31 million were secured-an essential contribution of the SBDC to local economic development with positive multiplier effects. The SBDC also offered various sessions in topics ranging from planning to legal tips, tax issues, handbook of operating procedures, procurement, international trade, and many more.
Over 2,700 individuals attended business training sessions to work on their new businesses or to obtain information and knowledge to improve their existing businesses. The 27-year SBDC program is a national network of over a thousand business consulting centers funded through cooperative efforts amongst the private sector, the educational community, and the public sector. Designed to provide the business owner with training, counseling, research, and other specialized, technical assistance to enhance economic development, each center is staffed with qualified certified business advisors and a training coordinator - all under experienced management. For individuals considering a small business venture or expanding one, SBDC offers free, confidential business advice, technical assistance, and training services. The SBDC is located at 2412 S. Closner and may be reached at (956) 292-7535 for appointments. [Article reprinted from The Business Times]
EEDC Monthly Newsletter I December 2007
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With sincere good wishes for happiness throughout the new Edinburg Economic Development Corporation Board of Directors and Staff Richard H. Garcia Glenn A. Martinez Fred Palacios Elias Longoria Mayor Joe Ochoa Ramiro Garza, Jr. Nelda Ramirez Leticia Reyes Dalila Razo
President Vice-President Secretary/Treasurer Director Director Executive Director Assist. Executive Director Project Manager Administrative Asst.
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EEDC Monthly Newsletter I December 2007
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