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2017 Year End Report

At each year’s end, KEDC reflects on its Strategic Plan as a whole as well as the Mission and Vision Statements to determine how its accomplishments and activities are moving the organization forward. Below is a summary of accomplishments for fiscal year 2016-2017.
 
The KEDC Mission Statement is to enhance a business climate that is conducive to job creation and retention, improving the standard of living for Kilgore residents. Job creation and retention: Through new KEDC Economic Development Performance Agreements, companies projected to create 42 new jobs and retain 284 jobs, for a total of 326 total jobs under contract. The creation of 42 new jobs is a 40 percent increase from last fiscal year.
★ 284 jobs retained.
★ 42 new jobs created.
★ 326 total jobs under agreement.
 
The KEDC Vision Statement is A diverse economy that attracts and retains high impact projects and quality jobs. Diversity: The number of companies operating under an agreement and related to the energy sector continued to decline from 47 percent in 2012-2013 and 28 percent last fiscal year to 25 percent this fiscal year.
★ 75% of active agreements are non-energy related.
 
Projects: Two companies signed economic development agreements and one signed a lease at a KEDC asset. The number of companies committing to an agreement or lease is the same as last fiscal year.
★ 3 closed projects.
 
Investment: Companies under new Economic Development Performance Agreements are investing $20,720,000, which is up substantially from last fiscal year as well as the five year average of approximately $13 million. Companies operating under existing agreements are exceeding job creation estimates as well as investment estimates by more than $30 million.
★ $20,720,000 projected investment.
 
Incentives: KEDC performance based incentives averaged two percent of company investment, although individual agreements varied depending on individual company variables. Variables include number of employees, payroll, contribution to ad valorem and sales taxes, and industry. Incentives average five percent of investment most years.
★ 2% of investment.
 
Impact: The combined direct, indirect and induced benefits over a 10 year period of the companies under new Economic Development Performance Agreements include the creation of 62.7 jobs, disbursement of $35.3 million in salaries, taxable sales and purchases of $74 million and an economic output of $226,300,000. Incentives awarded these agreements average a payback period of 1.6 years with a rate of return of 89.4%
★ 1.6 years payback on incentives.
★ 89.4% ROR.

For the complete annual report click HERE.