Pflugerville City Council Tuesday night approved the drafted fiscal year 2019 PCDC budget which included first year revenue additions as well as new expenses.
PCDC will collect lease payments from Typhoon Texas for its land for the first time in FY 2019. The first annual payment from Typhoon Texas totals $1.12 million after a $25,000 marketing grant was subtracted from the initial lease payment.
Along with an expected nine percent jump in sales tax revenue, the 2019 PCDC budget outlines a nine percent increase in total expenses.
The largest jump occurs in community projects outlined by PCDC. PCDC budgets $659,700 in community projects spending in its 2019 budget, an increase of $469,700 from the year prior. That represents a 247 percent increase in year-over-year spending in community projects expenses.
Two expenses account for $483,000 of the community projects budget. PCDC has earmarked $110,000 for sidewalk and infrastructure improvements near Typhoon Texas along FM 685 and $373,000 for infrastructure improvements at the 130 Commerce Park off Pecan Street.
PCDC will additionally contribute a combined $180,000 for park and trail improvements in Pflugerville.
The FY 2019 PCDC budget outlines a 17 percent jump in recruitment marketing costs. That budget includes costs for travel, site visits, website and social media, public relations and more activities the PCDC believes helps to recruit businesses to Pflugerville.
PCDC will increase its personnel budget by five percent in FY 2019 through the addition of an intern. The personnel budget additionally outlines “full year funding” for staff salaries plus 3 percent merit increases for the PCDC executive director, business development director, business recruitment director, executive assistant and marketing and communications manager.
According to PCDC budget documents, the corporation projects to come in $438,547.24 under budget by the end of FY 2018, about one-third of which was shaved off in recruitment and retention costs.
The economic development corporation Tuesday night additionally officially sold PCDC land in the One Thirty Business Park off Sunlight Near Way to a regional industrial developer. The sale of that property will bring in approximately $2.38 million to the PCDC budget—revenue that is not explicitly outlined in the approved FY 2019 budget.
That development will bring seven separate buildings for mixed-use industrial purposes and that space is essentially to recruiting new businesses to Pflugerville, according to PCDC Executive Director Amy Madison.
"Our biggest issue right now is we have little to no vacancy," Madison told Pflugerville City Council members Tuesday night. "Our focus this year by the board has been trying to attract developers."
Madison added PCDC is working to add 80,000 square feet of space for potential industrial tenants.
PCDC contributed $1.5 million to help bring the recently-opened Costco to Pflugerville and helped recruit Flooring Spaces Southwest, which is expected to open its facility before the end of the year. The $20 million, 187,000-square-foot Flooring Spaces development will bring 160 employees by the time it opens and will add 40 additional jobs in five years.