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Greetings!
Welcome to SPCEDC your electronic newsletter. |
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TEXAS - AMERICA'S TOP STATE FOR BUSINESS 2008 |
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2008 Gold Shovel Recipient
Area Development
June/July 2008
Best State in which to
do Business
Chief Executive Magazine
January 2009
No. 1 exporting
U.S. state for
7 - straight years
WISER Trade
February 2009
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Pending Home Sales Up 6.7% |
by Daniel Carty
Pending home sales climbed for the third straight month, boosted by low mortgage rates and a first-time homebuyer tax credit, according to the National Association of Realtors.
The real estate group's Pending Home Sales Index, which is based on contracts signed in April, rose 6.7 percent from its March reading to 90.2. April's data also showed a 3.2 percent improvement from a year ago.
"Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market," Lawrence Yun, NAR's chief economist, said in a statement. "Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers."
The Northeast saw the greatest improvement, with a 32.6 percent gain over the previous month, but still lags well behind other regions.
While positive, Yun cautions that the index is subject to greater variability due to its relatively small sample size. There is also an increasing time lag between contract signings for pending purchases and closings on existing home sales.
The real estate group also reported improvements in their Housing Affordability Index, which measures whether a family with the median U.S. income has enough money to buy a median-priced home. A family earning $60,900 could afford a $296,800 home, with a 20 percent down payment, in April, according to the report. The median price of a single family home was $169,800 for that month. |
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BOTTOM LINE FOR RETIREMENT |
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What you can do now to help your bottom line for retirement
By Leah Golden
You may feel at a loss watching the investment markets stumble, but there are things you can do during this downturn to make progress on your retirement goals.
"It's important to exercise patience and self-control," said Brent Neiser, director of strategic programs and alliances for the National Endowment for Financial Education. Below are some ideas that may help you financially prepare for your retirement.
Review your Assets. Look at any IRAs and Roth IRAs or 401 (k) and 457 plans you have and get second opinions on your allocation and financial position. Are you comfortable with the current level of risk in these retirement investments and are they appropriate for your stage in life?
Be aware of your cash flow. What are your sources of income and where does your money go every month? Could be a good time to get spending on non-essential items under control.
Begin putting an adequate emergency cash fund together. In general, financial planners recommend having enough cash in your emergency fund to cover three to six months worth of basic living expenses. Consider starting to set aside an additional year's worth of living expenses on tip of the emergency fund to draw down in retirement incase of another downturn.
Practice for retirement. Even if you are still doing fine financially, this may be the right time to see what living on less is like.
Consider your anticipated retirement date. Working longer allows your assets to grown and as a result, you have more money to live on when you do retire.
Neiser says there's one more important thing to remember at times like these:
"All market declines come to an end," he said. "And this one will, too." |
| Summer Leisure Travel Remarkably Stable in Down Economy |
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Painted Bunting
Birding is a huge, global-wide draw for tourism in the Coastal Bend
Research Shows Americans' Travel Intentions, Spending Expectations Same or Better than Last Year
Americans are expected to take 322 million domestic leisure person-trips during June, July and August 2009, according to the annual summer travel forecast by the U.S. Travel Association. Although a decline of 2.2 percent from summer 2008, leisure travel remains resilient in the current economic climate. Consumers are expected to take an average of two trips this summer, stay approximately seven nights away from home and spend more than $900 on their longest summer trip.
"Travelers' resilience is good news for the travel industry and the entire American economy," said Roger Dow, president and CEO of the U.S. Travel Association. "According to our forecast, Americans will do their part this summer to stimulate the economy, save and create jobs and strengthen communities from coast-to-coast."
The April 2009 travelhorizons™ survey by the U.S. Travel Association and Ypartnership, a critical component of the summer travel forecast, shows that an estimated 54 percent of American households are planning to take at least one leisure trip this summer, compared to 50 percent at the same time last year. While Americans are still watching their travel budgets and other discretionary spending, more than half (51 percent) of these leisure travel planners expect to spend the same amount on their summer vacations this year.
"Consumer spending intentions for this summer are consistent with the patterns we have observed in earlier travelhorizons™ and other recent survey work," said Peter C. Yesawich, chairman of Ypartnership. "Americans continue to shop aggressively for value pricing when purchasing travel services."
The travelhorizons™ survey also revealed:
Six out of ten (57 percent) intended leisure travelers expect to spend the same number of nights away from home this summer compared to last. Slightly more (22 percent) travelers expect to spend "more" nights away from home this summer than "fewer" nights (20 percent).
Americans plan to take more day trips or long weekend getaways in lieu of week-long vacations. On a positive note for travelers, according to the U.S. Travel Association's Travel Price Index, the cost of lodging and airfares is down by 6.8 percent and 4.1 percent, respectively, through the first quarter of 2009 compared to the same period in 2008.
Travel deals may entice Americans to travel, especially at the last minute. And the market of "undecided" leisure travelers looms large: an estimated 38 million U.S. adults have not yet decided whether or not they will take a leisure trip this summer through early fall.
These Americans are waiting to see if the economy and their personal finances improve in the coming months. TravelhorizonsTM reveals that 45 percent of travelers will plan their trip and 39 percent will book it within two months of departure.
Consumers are seeking out packages to book and comparison shopping, especially online, to save money.
While gas prices were the primary deterrent to travel last summer - hitting an all time high of $4.11 for a gallon of unleaded regular - gas prices should be less of an issue this summer as they are expected to hover just over $2 per gallon. While the domestic leisure travel market has been fairly resilient, a more concerning trend is the expected 9 percent decline in international travel to the United States for full-year 2009, including a 7 percent decline in overseas travel. Because international travelers spend more money, averaging $4,500 per trip to the U.S., increasing travel to the United States is the most efficient form of economic stimulus.
A nationally coordinated travel promotion campaign would save U.S. jobs and kick-start economic recovery. Senators Byron Dorgan (D-ND) and John Ensign (R-NV) yesterday introduced the "Travel Promotion Act of 2009" (S. 1023) and a similar bill is expected to be introduced soon in the House of Representatives. This legislation can stimulate U.S. economic growth, create thousands of new American jobs and generate hundreds of millions of dollars in new tax revenue for communities across the country.
Check out the next article "Corpus Christi Breaks Bird Count Record" for an update from the Corpus Christi Visitor's Bureau on birding in our area! |
| Corpus Christi Breaks Bird Count Record |
July 2, 2009
American Birding Association convention spotted 266 Species
CORPUS CHRISTI, Texas - Corpus Christi flies away with yet another birding honor.
The American Birding Association announced today, Thursday, July 2, 2009 that Corpus Christi broke the record for the number of bird species counted during their convention with 266 species.
The previous record was held by McAllen with 260 birds spotted during the American Birding Association's 2004 convention.
The American Birding Association held their convention in Corpus Christi from April 27 to May 3, 2009. The convention brought 250 birders to the city, and it was during their visit that the 266 birds were tallied.
This birding distinction comes shortly after the announcement of Corpus Christi receiving the America's Birdiest City title for the 7th year in a row. Corpus Christi has held the title since 2003.
The Nature Tourism Initiative is in the planning stages for an interactive website portal, informational kiosks and marketing collateral. The Coastal Bend alone has an impressive 153 nature and birding sites in the area available to birders and nature lovers year round.
In the Corpus Christi area, Nature Tourism accounts for the largest component of visitor activities. Approximately, 40 percent of visitor trips to Corpus Christi are nature-based, according to the 2008 Economic Impact Study conducted by Dr. Jim Lee of Texas A&M University-Corpus Christi. The total economic impact of nature tourism to our economy is estimated at $668.4 million in sales, $371.7 million in value added, and nearly 9,000 jobs, according to the study.
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| U.S.
Unemployment Rate May 9, 2009 - 9.4%
Texas
Unemployment Rate May 9, 2009 - 6.7%
San Patricio County Unemployment Reate May 9, 2009 - 7.9% |
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BOARD MEMBER BIO
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Tim McDaniel is the Plant Manager at the DuPont plant at Ingleside, Texas, which produces fluorochemicals used primarily in the refrigerants and propellants markets.
Tim has been at the Ingleside plant since September 2006. He has 27 years of service with DuPont, having worked in various Operations leadership or Engineering positions at facilities in Oklahoma, West Virginia, South Carolina and now Texas.
Tim is a graduate of Clarkson College in Potsdam, New York, with a BS degree in Chemical Engineering.
Tim and his wife Jackie live in Corpus Christi. They have two sons: Tom who lives in Vermont and Sean who lives in West Virginia.
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CALENDAR OF EVENTS |
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SPCEDC BOARD MEETINGS:
Monday, August 24, 2009 Full Board Meeting
Monday, November 23, 2009 Full Board Meeting
July 28, 2009 Fly Fishing Tournment 1-361-758-6900
July 15, 2009 Luncheon
August 19, 2009 Luncheon
September 16, 2009 Luncheon
October 21, 2009 Luncheoon
October 23-25, 2009 Round-Up Days Festival
November 18, 2009 Luncheon
December 12-13, 2009 Renaissance Faire
July 15 Ribbon Cutting for new Holiday Inn 10:00 a.m.
July 30 Monthly Luncheon Northshore Country Club 11:30 a.m.
Aug 11 Fibromyalgia Support Group
Sep 8 Fibromyalgia Support Group
Oct 13 Fibromyalgia Support Group
City of Odem
Oct 10 - Jubilee 100- Celebrate the 100th birthday of Odem! Day long events include 5K run, Parade, Barbeque, & Street Dance. 361-816-1576
September 26 & 27 Adventure Bay at Bayfest 2009
November 5 Annual Conservation & Stewardship Awards (Kayak Raffle)
July 28 - Beeville
August 25 - Port Aransas
Sept 22 - Corpus Christi
Oct 27 - Cuero
July 21 San Juan/Weslaco/Donna (Hildalgo Cty) Tours
August 18 Corpus Christi USS Lexington
September 15 Laredo
October 20 Board Retreat
November 17 Padre Island National Seashore (near Corpus Christi)
December 15 McAllen
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San Patricio County Economic Development Corporation
P.O. Box 238
Gregory, Texas 78359-0238
361-643-4744 Office
361-643-4394 Fax
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| Notes From Josephine |
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Dear Members,
Recently, my assistant, Elizabeth Roberts and I worked a booth at the BRAC Coastal Bend Job Fair organized by Sue Catherman and Daniel Korus from the Naval Station Ingleside Base Closure support group in conjunction with Workforce Solutions. Sue and Daniel have been complimented for doing more than other areas of the U. S. A. in their efforts to connect job seekers to employers. This event served not only those caught in the BRAC process but job seekers in the wider Coastal Bend area. Over 1000 people attended. Our booth asked the question, "Do you want to start your own business? -- Ask how here." We handed out all our folders that have great information on starting a business including a sample loan application CD. We were busy constantly and wrapped up at four o'clock as we had handed out all the material we had. The SPEDC along with the CCREDC helped sponsor the event, paying for some of the food provided for the seventy-four exhibitors and their staff.
The feedback from both vendors and attendees has been extremely positive. The Texas Veterans Land Board and other informational presenters were overjoyed with the number of contacts they developed. Resumes and applications are being processed and interviews scheduled as a result of Sue, Mary Ann and Dan's fine work.
If you have not seen, read about or toured the new County parks on the west end of San Patricio County, call William Zagorski and get the information you need to access these new spaces. They are available to the public by appointment and, when all the plans are implemented, will greatly enhance our area as a tourist destination. You can now get to the Nueces River with your kayak at one location and float down to a second park for the outlet. Great five hour trip. Ski and his crew have cleaned up the river as well as developed some great camping spots. One location is a great place to ride your horses. Ski's number is 364-6144 if you want to make reservations. Remember this is a beginning project so camping is somewhat basic. The County acquired most of this land in a FEMA buy-out program. The parks have been named La Fruta, Chipita Rodriquez and San Patricio de Hibierna Parks.
The SPEDC recently heard from our agriculture agent, Duane Campion, on the status of farm and ranch income to the County this year. We did not hear good news. 140,000 acres of cotton were planted and 92% of this has been turned in for insurance. 78,000 acres of grain were planted and 20% has been turned in for insurance. The grain numbers are still arriving at the insurance office. Many of the grain fields are being bailed for feed and not harvested. 11,000 acres of corn were planted and 50% of that crop has been zeroed out. All this is happening while commodity prices are falling so expect the economic numbers to continue to move down. The current estimate in this county alone is 100 million dollars in direct loss and with a modest 2.1 multiplier; we have over 200 million dollars in lost revenue. The cattle world here is experiencing a 60 to 65% sell off with some cattle raisers selling out completely. Having an economic downturn in the middle of a drought is a double hit for our farmers and ranchers.
Our SPEDC is a member of the Texas Economic Development Council. I am encouraging you to go to their web site, www.texasedc.org to review what happened in the legislature for the economic development world. Their five page overview is interesting reading.
I am usually asked about the TPCO project. It is still a viable, moving project. We are waiting for the draft air permit which could arrive as early as August and as late as January. The TCEQ will issue this draft and then the official comment period can begin. Firms are still calling the office with an interest in doing business with TPCO.
Wind energy, A&M, Naval Station Ingleside and the LRA will continue to keep us in the news. I am looking forward to the Wind Alliance getting started on the Ingleside location. The San Patricio Municipal Water District has approved a 17 million dollar expansion. We are preparing for new industry in this County. The future shows promise and it can not get here soon enough.
Love,
Josephine |
TEXAS ECONCOMIC DEVELOPMENT COUNCIL TO HOLD 2009 SUMMER MEETING IN CORPUS CHRISTI
The Texas Economic Development Council (TEDC) is largest state association of economic development professionals, volunteers, and elected officials.
The TEDC is a one-stop shop for ideas, information, and influence. The members share a common goal -- bringing new investment and jobs to Texas. The TEDC provides information, educational and legislative services to nearly 900 members.
This group is holding its summer conference in Corpus Christi at the Omni Marina Hotel on July 22 through 24. If you see this group in town, be sure and welcome them to our sparkling City.
Recent Accomplishments
·The TEDC was instrumental in the creation of the economic development sales tax in 1989--and has been its most vocal and effective supporter for over 20 years.
·The TEDC has trained nearly 3,500 local government leaders and board volunteers in our economic development sales tax workshops.
·The TEDC raised early awareness about the need for the Texas Enterprise Fund and the Texas Emerging Technology Fund.
·The TEDC has consistently lead legislative efforts to protect critical economic development programs for the State.
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TEXAS IN THE NEWS |
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From the Office of Susan Combs Comptroller of Public Accounts
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Batten the Hatches
BY BRUCE WRIGHT
Market economies are cyclical in nature, however much we might wish otherwise. Despite the current drumbeat of gloomy business news, an upturn will come sooner or later, and it's not too early to start thinking about how Texas should position itself to thrive in the recovery - whenever it arrives.
At the Comptroller's January economic summit, and in subsequent conversations with Fiscal Notes, three of the nation's top economists discuss the road ahead.
Short-Term Pain...
There's no denying that "the short-term outlook is extremely painful," says Nigel Gault, chief U.S. economist for IHS Global Insight. "We're witnessing the unwinding of the biggest housing and credit bubble ever, and on the global stage, the worst recession since the Second World War.
"Pretty much every region around the world is contracting pretty sharply," Gault says, noting that South Korea's economy contracted by 5 percent in the fourth quarter of 2008 alone, while Japan suffered a 35 percent year-over-year drop in exports in December. Gault expects the U.S. economy to contract by 2.5 percent in 2009, in the steepest decline seen in about six decades.
In Texas, "the fact that there was no housing bubble meant that, in the early stages of the downturn, there was no direct fallout from what was going on in the rest of the country," Gault says. "But this crisis is now so broad, affecting so many sectors, and it's so global, that Texas can no longer stay immune."
The recession will have varying effects around the state, says Keith Phillips, a senior economist and policy advisor at the San Antonio branch of the Federal Reserve Bank of Dallas.
"Dallas has a 50 percent higher share of jobs in financial activities than the national average," Phillips says. "That means the city is very susceptible to the decline in the financial sector." A downturn in demand for high-technology exports, in turn, is likely to hit Austin. By contrast, "San Antonio has a lot of jobs in health care and the military - it's not very affected by business cycles," he says.
...and Long-Term Gains
Yet "Texas still has good long-term potential," says Phillips. "We have a low cost of living, and this is still a low-cost place to do business. Recessions happen. We'll get through this one."
Steven Cochrane, senior managing director at Moody's Economy.com, shares Phillips' optimism. "The problems in Texas are so much less severe than elsewhere," Cochrane says. While other states "are scrambling just to keep their heads above water, in Texas, it's just not that bad. This is a great time to be thinking long term."
And in that longer term, Cochrane sees four "driving" industries assuming prime importance in the Texas economy.
Medical services will benefit from "good, strong demand as our population grows and ages," Cochrane says. Banking can expect slow short-term growth because of a tighter regulatory environment, but the state's banks have avoided most of the problems plaguing major national financial companies, and Texas will benefit from its position as banking center for the Southwest.
Companies involved in freight, logistics and domestic and global trade will do well over the long term. And technology-related industries are due for an expansion "once research and development spending gets back on its feet," Cochrane says, noting that investments in this area have lagged in recent years.
Exports One Key...
The worldwide slowdown has hit energy producers such as Texas particularly hard. "The states that were doing well [in 2008] were energy states, but they're all likely to turn downward this year," says Phillips. "The rig count is falling off a cliff."
And since petroleum products and chemicals, particularly petrochemicals, account for a full third of the state's goods sold internationally, "Texas exports show quite a sharp decline, even sharper than the U.S. average," Phillips says.
To Cochrane, this shows that Texas must "diversify its exports and export destinations, across the global economy" - an important mission for the nation's leading exporting state. Unsurprisingly, Mexico is by far our most significant trading partner at present, accounting for nearly a third of the state's exports, and Canada represents another 10 percent.
But Gault sees the most room for expansion in Asia. "Ten years from now, the Asia-Pacific region excluding Japan will account for 26.7 percent of the world economy," Gault says. "China alone will account for almost 15 percent. That's where the market growth will be."
Ultimately, "the U.S. is going to have to adjust to be less of a consuming economy and more of a producing economy," Gault says. "And correspondingly, we see Asia transforming itself into more of a consuming region than in the past. We'll have to shift more of our activity into exports."
...and Work Force Quality Another
But the kind of exports that can fuel renewed prosperity in Texas and the U.S. will require a well-trained work force.
"The sort of jobs and opportunities we'll create will be different from those in the past," Gault says. "We can't compete with the rest of the world purely on cost - there are lots of places that have lower wages. So our growth has to be concentrated in things that require more intellectual capital to produce.
"And that leads us to the importance of education," he says. "We will need a highly skilled work force to produce goods and services that can compete in the global economy. We have to compete in the areas that need brainpower," says Nigel Gault, chief economist, IHS Global Insight
"For example, the U.S. is a leader in aircraft production and in many areas of pharmaceuticals," says Gault, "and in the development stages of many types of computers and software. Now, the mass production phase gets moved off-shore, because you can do it more cheaply elsewhere. But the U.S. is much better equipped for initial development.
"I don't think there's a lack of areas to expand into, and many of them probably don't even exist right now," Gault says. "But we do know that we're going to need intellectual skills and education."
Texas workers are among the nation's most productive, but Steven Cochrane sounds a cautionary note. While the average educational level of Texas workers has improved, he says, "everyone is improving. The competition is relentless and fierce."
Work force quality, says Cochrane, "threatens the productivity growth that Texas has had for quite some time. If Texas doesn't always strive not just to be better, but to be better than all the other states in the international markets, it could fall behind. And this is what it's all about. Productivity means rising incomes and a more vibrant economy. This is really the bottom line. |
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Comptrollers Office Control Self Assessment: |
Preparing you to meet your "what ifs" head-on.
Announcing the Control Self Assessment (CSA) program -
A new initiative from the Texas Comptroller of Public Accounts that can help you prevent and control loss of valuable data and resources, increase efficiency and save taxpayer money.
We can help you identify your organization's risks within functional areas such as asset and risk management, financial administration, purchasing, human resource management and tax and revenue administration, and guide you to take protective measures to save your resources.
The Benefits
Conducting a control self assessment can help you maintain the security and integrity of your governmental entity and its resources. A control assessment will enable you to:
offset any unacceptable risks to prevent costs to taxpayers, lawsuits and negative media attention;
learn the relative importance of risks and devise control measures;
make decisions on appropriate control measures that are cost-effective;
expand employees' understanding of their area's risk and internal controls;
improve employees' understanding of how key activities and duties are related to those of other employees or work teams;
increase employees' involvement in managing risks; and
discover and prepare for new risks before they happen.
Empowering Local Governments
The Comptroller's CSA program is designed to help you fully identify key operations, activities, policies and procedures; address potential risks within these or other functional areas of your organization; and help you control or mitigate them. On request, management systems analysts with the Comptroller's Local Government Assistance Division (LGA), working with your key personnel and elected officials, will conduct an on-site assessment of local government operations of the offices of a city, county or special district. The results are published in a report to provide local government leaders with information to better manage risks leading to improved efficiencies and savings. The report also makes recommendations on using a monitoring plan that is included with the CSA program. Implementation of any changes to the levels of controls or mitigations is entirely up to local officials. This service is provided without cost to the local government.
Identifying Risk
We define a risk as a negative event that makes it difficult or impossible to successfully perform a key process. A governmental entity's risks could include the potential for loss of valuable data or resources due to a natural disaster, error or fraud. Some possible real-life risk scenarios for local governments include the following:
An ice storm, hurricane or flood hits your city. If employees are not able to come to work, is there a contingency plan?
A sudden loss of key personnel. Are there employees who are cross-trained to prevent a disruption in staff support and customer service?
Lost or stolen computer data. Are processes in place to protect valuable data?
Compliance of management operations, policies and procedures with state law and best practices of public administration, which includes sound accounting, internal controls and other controls and mitigations?
Functional Areas
Functional areas may include asset and risk management, human resource management, purchasing, financial administration, tax and revenue administration, facilities management or any other area requested by the local government.
Potential Participants
Local governmental entities' elected officials and key personnel are eligible for participation in this program. During the control self assessment session, your participants will work with the LGA team to identify risks and develop solutions to mitigate them.
We're Here to Help
For more information or to contact the Comptroller's Local Government Assistance Division, call us at (800) 531-5441, ext. 3-4679; visit our Web site; contact a regional representative; or mail inquiries to:
Local Government Assistance Division
Texas Comptroller of Public Accounts
P.O. Box 13528
Austin, TX 78711
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