BOARD DIRECTORS. What is Economic Development?

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2 of BOARD DIRECTORS What is Economic Development? The process of creating wealth through the mobilization of human, financial, capital, physical and natural resources to generate marketable goods and services. International Economic Development Council From Left to right back row: Chad Degges Lori Klein-Quinn, Treasurer Vince O Donnell Steven Vaughan, Vice President From Left to right front row: William E. Sumner, Secretary Gretchen Fagan, President Richard Bruce The Tomball Economic Development Corporation (TEDC) is a non-profit Type B Corporation created pursuant to the Texas Development Corporation Act of The TEDC was formed in November 1994, after the citizens of Tomball voted to pass a one-half cent sales tax dedicated to economic development. The TEDC works to promote, assist, and enhance economic and related development activities on behalf of the City of Tomball. It is governed by a seven member board of directors who are appointed by the Tomball City Council. Operating Revenues (FY 2014 Adopted) Beginning Fund Balance...$9,399,286 Sales Tax... $2,725,000 Interest Income...$30,000 Total Available Resources... $12,154,286 Expenditures Administrative... $327,574 Indirect Economic Development Expenses... $983,050 City Debt Services...$1,204,816 Grants, Loans, & Other Expenditures...$1,935,000 Total Expenditures...$4,450,439 Ending Fund Balance...$7,694,347

3 EXECUTIVE DIRECTOR S MESSAGE Kelly Violette, AICP Executive Director Tiffani Wooten Coordinator This year the Tomball Economic Development Corporation (TEDC) celebrates its 20th Anniversary! Since the beginning, the TEDC has focused on business retention and attraction efforts in order to develop the local economy and enhance Tomball s living and working environment. As we look back at the past two decades it is incredible to see how far we have come. Since its inception, the TEDC has relocated nearly four dozen new companies, and assisted over 100 area businesses with expansion and improvement projects. These efforts have resulted in the creation of over 2,000 new jobs, the retention of 1,287 existing jobs, and over $200 million in private capital investment! Additionally, the TEDC has invested over $13 million in infrastructure projects, including the expansion of Medical Complex Drive, as well as utility extensions along Holderrieth Road, Hufsmith-Kohrville Road, and Brown Road to serve new commercial developments. This past year the TEDC celebrated several major accomplishments including the groundbreaking of the Tomball Business & Technology Park and the Texas Economic Development Council s Community and Economic Development Award for our efforts in bringing the Baker Hughes Western Hemisphere Education Center to Tomball. These two projects will bring hundreds of thousands of dollars in new capital investment to the city and provide meaningful job opportunities for our residents. The Tomball Economic Development Corporation is proud of the accomplishments made during Fiscal Year and remains committed to its goals of supporting businesses and economic growth to improve Tomball s quality of life. The TEDC assisted with two expansion projects this year resulting in over $12 million in private capital investment, the retention of 131 jobs, the creation of 24 new jobs, and over 41,000 square feet of newly constructed space. Additionally, the TEDC was instrumental in attracting two new businesses to Tomball resulting in 34 new jobs and over $6.8 million in capital investment. The improvements realized over the last two decades must be attributed in great part to those who have served the Corporation in one role or the other. I would like to take this opportunity to thank the past and present Board of Directors, City Council, community supporters, and staff for their contributions to the TEDC s success. It is my great pleasure to serve you as the Executive Director of the Tomball Economic Development Corporation and I look forward to working with you to continue to develop Tomball as a great place to do business! Sincerely, Kelly Violette, AICP Executive Director

4 TEDC Goals&Objectives MISSION The mission of the Tomball Economic Development Corporation (TEDC) is to promote economic growth in the City of Tomball through the attraction of new business and industry and the retention of existing businesses by providing the resources that enable development and advance the general well being of the community. PROMOTE BUSINESS RETENTION AND EXPANSION Tomball s businesses are the heartbeat of our local economy! That s why Business Retention and Expansion is the TEDC s first priority. Our goal is to retain Tomball companies and encourage business growth and expansion in order to increase employment and expand the tax base Results: Two Expansion projects resulting in capital investment of over $12M, 131 retained jobs, 24 new jobs, and $107,617 in incentives Forty-three Business Improvement Grants awarded to 22 businesses resulting in $3,261, in capital investment Conducted 11 on-site visits with area businesses to discuss growth potential, resources, and needs Developed Community Profile and Retail Market Profile to promote expansion/development opportunities and incentives Met with 45 existing businesses to discuss possible expansion opportunities

5 ATTRACT NEW BUSINESS AND INDUSTRY Attracting new businesses to Tomball benefits the community by bringing in new investment, creating jobs and providing a source of new money to the community through sales and services. The TEDC works to attract new businesses to Tomball by funding targeted infrastructure improvements, providing incentives for relocations, utilizing print and electronic media, developing new industrial sites, and maintaining relationships with sources of new business referrals Results: Two new projects resulting in 34 new jobs and over $6.8 million in capital investment Continued progress on the development of the Tomball Business & Technology Park: completed engineering design, bid land clearing and drainage improvements, contracted with Colliers International for brokerage services, completed land clearing, coordinated with Railroad Commission and Energy Companies regarding pipeline relocation/removal, coordinated with Harris County Precinct 4 regarding off-site roadway improvements, held Groundbreaking Ceremony Submitted proposals for 8 industrial prospect leads from partner organizations including the Governor s Office of Economic Development and Tourism and the Greater Houston Partnership Hosted 3 site tours for international companies from China, Germany, and Belgium seeking to establish U.S. facilities Conducted over 100 prospect meetings to discuss relocation opportunities, incentives, and development procedures COORDINATE ECONOMIC DEVELOPMENT EFFORTS IN TOMBALL, THE REGION, AND THE STATE Successful economic development efforts are the result of many people working together to achieve a common goal. The TEDC works hand-in-hand with the City of Tomball, Greater Tomball Area Chamber of Commerce (GTACC), Lone Star College-Tomball, area realtors and developers, and regional partners to strengthen the local economy Results: Referred clients to Small Business Development Center and Service Corps of Retired Executives (SCORE) for start-up and mentoring assistance Provided presentations and development updates to area organizations, including the North Houston Association, Greater Tomball Area Chamber of Commerce, Magnolia Rotary, Society of Marketing Professional Services (SMPS), Leadership North Houston, and Lone Star College-Tomball Conference speaker and Trade Show participant at 2014 Public, Private, Partnership (P3) Conference Trade Show participation at 2013 International Council of Shopping Centers (ICSC) Deal Making Conference Participated in the City of Tomball Development Process Review Committee Hosted 5th Annual Economic Development Breakfast- Over 70 attendees Partnered with the City of Tomball on the implementation of the Livable Centers Downtown Plan construction completed on downtown public restroom facilities at the Depot Plaza site

6 BUSINESS Retention&Expansion The Tomball Economic Development Corporation is committed to the long-term economic growth and prosperity of the Tomball community. The Corporation s recruitment and retention efforts during FY will result in the retention of 131 jobs, the creation of 24 new jobs, and more than $12 million in capital investment. Breaux Properties, LTD Breaux Properties LTD owns and operates Breaux Machine Works out of an approximately 52,580 square foot facility located at Hirschfield Road, Tomball, TX The company has been in Tomball for over 38 years and provides CNC machining, conventional turning, milling, boring, drilling, and contract manufacturing services for customers in the energy industry. In 2014, Breaux Properties LTD entered into a performance agreement with the Tomball Economic Development Corporation to expand its operations by constructing a new 35,750 square foot building on a acre tract of land. The new facility is under construction at High Meadow Road, Tomball, TX The company currently has 115 employees and plans to add 10 additional employees as part of the expansion. The TEDC awarded the company $74, to assist with the expansion. The estimated capital investment for this project is $11,050, Inline Services, Inc. Inline Services relocated to Tomball in 2003 after receiving a grant from the TEDC to assist with the relocation of 8 employees and the construction of a 7,250 square foot office/manufacturing facility located at Commercial Park Road. Inline Services is an industry leader in pipeline services and pigging products for commissioning and maintenance of oil and gas pipelines. Inline Services is expanding its operations by adding an additional 5,500 square foot warehouse/manufacturing facility on its existing site. The company currently has 16 employees and plans to add an additional 14 employees as part of the expansion. In 2014, the TEDC approved a performance agreement with Inline Services, awarding the company $33, to assist with the expansion. The estimated capital investment for this project is $1,100,

7 Business Visitation Program The Business Visitation Program was established in 2011 as part of the Corporation s Business Retention and Expansion Program. The program provides businesses with a point of contact for questions and issues and brings awareness of the resources available to them. Over the year, TEDC staff along with partners from the Greater Tomball Area Chamber of Commerce, City of Tomball, and the Lone Star College System s Small Business Development Center met on-site with eleven existing businesses. As part of these on-site visits the team asked specific questions to understand the factors that affect the overall climate of each business and its industry. Those factors include: recent business achievements, business needs, local workforce factors, community strengths and weaknesses, community service and utility satisfaction, and legislative policy. The Business Visitation Program is not only a relationship building tool, it also assists staff in gathering data on each business for the TEDC database as well as identifying companies that may be at-risk or looking to expand operations.

8 New BUSINESS INDUSTRY & Garth Lodging Corporation In 2013, the Tomball Economic Development Corporation entered into a performance agreement with Garth Lodging Corporation for assistance with infrastructure costs associated with the construction of a three-story Holiday Inn Express & Suites hotel. The 43,000 square foot facility includes 70 guest rooms, over 1,000 square feet of meeting space, and an outdoor pool. The project will bring 20 full time jobs and 5 parttime positions to the community. The TEDC awarded the company $56, to assist with infrastructure improvements including water and sewer extensions, drainage facilities, electrical service, and related site improvements that are necessary to develop this project. The estimated value of the project and improvements is $6,000, The hotel is currently under construction at Park Drive, Tomball. Quick Turn Machining Inc. Quick Turn Machining Incorporated is a CNC machine shop that services the oil and gas, petrochemical, control valve, automotive, and aerospace industries. The company has been in business for 18 years and is relocating from its current location in Spring, Texas to a 10,000 square foot facility at 428 South Persimmon Road in Tomball to accommodate the company s growth. Quick Turn Machining is relocating 7 jobs to the City and will create 2 new jobs within the first 2 years. The TEDC awarded the company $13, to assist with the relocation and necessary improvements to the building. The capital investment for this project is $825,

9 Tomball Business and Technology Park The Tomball Economic Development Corporation, along with area officials, celebrated the groundbreaking of the Tomball Business and Technology Park on May 6, The ceremony was the culmination of three years of planning and preparation on the project which, upon completion, will provide development ready sites for new and expanding businesses in the Tomball community. The property was acquired by the TEDC on December 19, Since the project was announced in 2012, interest from site selectors and business owners has continued to grow. Although the site has been planned to accommodate variable lot sizes, the TEDC has seen interest from companies looking to purchase large tracts for corporate campus facilities due to its proximity to the Grand Parkway as well as other corporate facilities locating in the north Houston region. The project master plan includes the construction of South Persimmon Road and Spell Road, as well as the extension of water, sewer and natural gas facilities. Development of the project includes the construction of the southern portion of the M118 Drainage Channel and improvements to the M118 Detention Pond located southerly of Holderrieth Road. The drainage improvements will provide regional detention for approximately 634 acres of development in the area. The land clearing was completed in April 2014, and construction of the roadways, drainage channel and utilities are anticipated to begin by the fall of HIGHLIGHTS: The Tomball Economic Development Corporation entered into a partnership with Harris County Precinct 4 for intersection improvements at Hufsmith-Kohrville Road and Holderrieth Road. The TEDC will fund the design of the intersection, including a new traffic signal and left turn lanes, and Harris County Precinct 4 will fund the construction. Design plans for the improvements are complete and the county anticipates bidding the construction in June The Tomball Economic Development Corporation approved a listing agreement with Colliers International for marketing and land sales of the Tomball Business & Technology Park in December Colliers Tom Condon, Jr., Senior Vice President, is leading the efforts. Colliers International is the third largest commercial real estate services company in the world with 12,500 professionals operating out of more than 500 offices in 61 countries.

10 EconomicDevelopment EFFORTS Over the past year, the TEDC has continued to build and reinforce partnerships with its economic development allies to help advance development opportunities within the community and strengthen the local economy. In 2013, the TEDC was awarded the Texas Economic Development Council s Community Economic Development Award (CEDA) for its work on the Baker Hughes Western Hemisphere Education Center Project. The Community Economic Development Awards program recognizes exceptional contributions of TEDC member cities toward the economic vitality of their communities and the state of Texas through creativity, leadership, and partnership in the achievement of business retention, business recruitment and community improvement. The award highlighted the coordination efforts between the TEDC, Baker Hughes, the City of Tomball, and the Greater Tomball Area Chamber of Commerce. Each entity worked diligently to facilitate the $55 million Western Hemisphere Education Center project, which will provide state-of-the art training for thousands of employees in the oil and gas industry. The facility, which is the only one of its kind in the United States, celebrated its Grand Opening on May 15, Over the past year, the TEDC has worked with Harris County Precinct 4 to facilitate improvements to the Hufsmith-Kohrville Road corridor in order to ease congestion in the area and accommodate future traffic demand associated with the Baker Hughes project as well as the Tomball Business & Technology Park. As a result, Harris County Precinct 4 moved Segment 6 of the Hufsmith-Kohrville Road expansion project, which will widen the road from 500 south of Willow Creek Estates to F.M. 2920, up on its priority list. The segment is currently in the study phase and construction is anticipated to begin in the first quarter of 2015.

11 The Community Economic Development Award was presented to the TEDC at a special awards luncheon on October 17, 2013 at the Texas Economic Development Council s Annual Conference at the Hyatt Regency Riverwalk Hotel in San Antonio. There to accept the award was (from left to right): Tomball EDC board members Chad Degges and Lori Klein-Quinn; Mayor Gretchen Fagan; Tomball EDC Executive Director Kelly Violette; Jennifer Cutaia Schally, Government Relations, Baker Hughes Incorporated; George Bernhardt, Managing Counsel - Global Real Estate, Baker Hughes Incorporated; and TEDC Coordinator Tiffani Wooten.

12 EconomicDevelopment EFFORTS The TEDC has been active in local, regional, and state events promoting economic development activities. Staff has attended conferences and provided presentations to numerous organizations including the North Houston Association, North Houston Regional Center for Economic Development, the Society of Marketing Professional Services (SMPS), and the Public Private Partnership Alliance. The Public Private Partnership Alliance hosted the P3 Conference in Dallas, Texas in February The conference was attended by more than 750 public and private sector representatives from across the country. The TEDC sponsored a booth at the event in order to promote development projects in Tomball and connect with potential new development partners. TEDC Executive Director, Kelly Violette, made a presentation during the Deal Day Showcase Session to share Tomball s development goals, redevelopment visions and new projects. The North Houston Economy: Dynamic & Diverse event was hosted by TEDC partners, the North Houston Association and the North Houston Regional Center for Economic Development, on April 23, The event featured keynote speaker, Bob Pertierra, Senior Vice President and Chief Economic Development Officer for the Greater Houston Partnership. TEDC Executive Director, Kelly Violette, joined fellow speaker and panelist, Gil Staley, Chief Executive Officer, The Woodlands Area Economic Development Partnership, to discuss growth and targeted projects in the area at the January 2014 luncheon of the Houston division of Society of Marketing Professional Services (SMPS).

13 Economic Development Breakfast In June of each year, the TEDC hosts an Economic Outlook event for community leaders, real estate professionals, bankers, and developers to learn about and discuss the region s economic competitiveness and the issues that will impact growth and development The event has become one of the TEDC s most successful outreach initiatives as it continues to bring allies and stakeholders together to promote economic activity in Tomball. The speakers for the 2013 event included Gretchen Fagan, Mayor of Tomball, Commissioner R. Jack Cagle, Harris County Precinct 4, and Dr. Jim Gaines, Research Economist, Real Estate Center at Texas A&M. This has proven to be an ideal venue for staying informed on the Tomball community as well as providing a networking opportunity for attendees. Really liked the breakfast and meeting this morning; excellent speakers, good information, fun time; lots of guests--way to go! Keep up the good work. Rick Gatewood, Broker, Gatewood & Associates International Council of Shopping Centers (ICSC) As they say, everything is bigger in Texas! ICSC s Texas Conference & Deal Making is no exception. With over 220 exhibiting companies and 3,000+ of the industry s top leaders, this 3 day event is a great opportunity to attract new retailers, network with brokers, lenders, and property asset managers, and promote available properties. The TEDC was one of the exhibitors at the Texas Conference and Deal Making show at the Dallas Convention Center on November 6-8, The presence of a Tomball booth at the show provided a wonderful opportunity for staff to connect with potential retailers and developers and provide an overview of the growth in the Tomball area. Two prospect visits and numerous leads were generated from attending the show.

14 BusinessImprovement GRANT PROGRAM The purpose of this program is to promote the development and expansion of new and existing business enterprises within the City of Tomball, and enhance the economic welfare of the citizens of the City by securing and retaining business enterprises and maintaining a higher level of employment, economic activity and stability. In FY for every dollar the TEDC invested it was matched 11:1 BEFORE AFTER Business Improvement Grant Program Fiscal Project Cost Project Scope tedc Grant Baker Katz $200, Property, Façade, & Signage Improvement $22, B&D Custom Ink $7, Signage $1, America s Best Value Inn $11, Property & Facade Improvement $5, Chec-M Properties (One Moore) $96, Property, Landscaping, & Signage Improvement $21, Tomball Plaza LLC $214, MEGA Grant-All Improvements $50, Klein Wealth Management $23, Property & Landscaping Improvement $11, Pecos Grilling Company $38, açade, Landscaping, & Signage Improvement $18, Albers Properties $8, Landscaping Improvements $4, Keystone Townhomes $60, Property, Façade, Landscaping, & Signage Improvement $24, Gatewood and Associates $6, Façade Improvement $3, Breaux Properties $355, Property & Landscaping Improvement $20, Inline Services $107, Property, Façade & Landscaping Improvement $21, Hilltop Tool Rental $6, Signage $1, Davis Chiropractic Center $13, Façade and Signage Improvement $6, Dr. Hutson $9, Façade Improvement $4, Texas Star Gymnastics of Tomball $17, Façade and Signage Improvement $6, Grevis Properties $17, Property, Façade, Landscaping & Signage Improvement $8, Tomball Parkway Plaza $728, Property, Façade, & Signage Improvement $22, BK 249, LTD $1,300, Property Improvement $17, Pinnacle Collision Inc. $3, Signage $1, NW Heart Center $19, Landscaping Improvement $9, Rick Friedrichs DDS $9, Signage $2, $3,261, $283,991.93

15 On behalf of myself and the entire JBL Asset Management organization, we would like to personally thank you for all your help and support with our Tomball Plaza project initiatives. Looking forward to continuing our relationship with you and the City of Tomball. Marc Orio, Director of Operations, JBL Asset Management This year the TEDC developed opportunities for catalyst projects that will promote significant reinvestment in underutilized commercial centers. A mega grant for up to $50,000 may be awarded for an improvement project that encompasses a multi-tenant retail, commercial, or service center. The Project must make a minimum private investment amount of $100,000 in order to be eligible for the Mega grant bringing the total project investment to at least $150,000. BEFORE AFTER BEFORE AFTER BEFORE AFTER

16 The success of an economic development organization is often measured by the number of jobs created/retained, the amount of private sector investment, workforce development initiatives, etc. All of these performance measures are intended to identify how effective the organization has been at enhancing the economic environment in which they function. What is often the most important indication of success is also the most difficult to measure- the partnerships that are created between the organization, the business community, local and regional allies, the municipality, and the citizens. These partnerships play a critical role in a community s ability to retain and attract businesses that drive economic growth. The success of the Tomball Economic Development Corporation can be measured in terms of the nearly four dozen new companies that have relocated to Tomball through our attraction efforts, the 100+ existing businesses that have been able to leverage their expansion dollars through our grants, the 2,000 new jobs that have been brought to the Tomball community, or the 1,287 jobs that have been retained due to the TEDC s efforts, but it is the partnerships and collaborative efforts of the organization that have truly made an impact in Tomball over the past 20 years. With every new project that the TEDC undertakes it makes a commitment to increased prosperity and opportunity for our community. The pictures shown here represent a snapshot of the partnerships that have been formed over the past 20 years and the growth that has resulted from these efforts. The TEDC looks forward to celebrating these accomplishments and the businesses that have made Tomball their home at the 20th year celebration luncheon on June 26, 2014.

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18 MARKETING Activities The TEDC has continued to focus on online and print materials in local, regional and national publications, including the Greater Tomball Area Chamber of Commerce Guide, Houston Economic Development Guide, Area Development, Business Facilities, Trade & Industry, Expansion Solutions, and Global Corporate Expansion. Additionally, the TEDC advertised in Texas Wide Open for Business, which is distributed by the Texas Governor s Office of Economic Development & Tourism to all business inquiries and approximately 40,000 site selectors, brokers and incentive consultants Highlights: New Community Profile Fact Sheet & Retail Market Profile Two Page Feature Story in Expansion Solutions Magazine New Tomball Business & Technology Park Flyer Attended two Trade Shows with TEDC booth New Web Banners for national site selectors website Developed 20th Anniversary Video to be publicized at TEDC Luncheon on June 26, 2014 New marketing materials for events: Tomball Business & Technology Park Groundbreaking, TEDC 20th Anniversary Luncheon, TEDC 20 Year Logo, etc. These ads promote Tomball s area resources, demographics, and high quality of life to businesses seeking new locations.

19 Economic Development Website ( The TEDC website is the Corporation s most powerful marketing tool. During FY13-14, TEDC staff continued to update the website with current information and to improve functionality to keep the TEDC competitive in the recruitment of new jobs and capital investment. Site selectors and other decision-makers have access to useful information such as demographics, available properties, research reports, site selection data, incentives, partner agencies and community/quality of life amenities Highlights: The Tomball Economic Development Corporation entered into a yearly contract with LoopLink which is hosted by LoopNet. The LoopLink Search Engine brings industry-leading property search, mapping and display technology to the website, allowing our developers and site selectors to increase lead generation and enhance customer communications Over the past year, the TEDC website was visited 17,427 times by 14,337 unique visitors, which is 70.47% higher than the previous year. Viewers visited 2.69 pages per visit, with 46,925 page views EXPENDITURES

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