< Previous8 2019 GEDP DEVELOPER PROFILE // GEDP.ORGSite Selectors for location, expansion and diversification have continually become more sophisticated over time. Twenty years ago it was common for economic development organizations to compile and produce volumes of data that ranged from available properties to utilities, incentives, workforce data, socio economic information, economic climate data and many, many other attributes. Today most information is readily available through software programs and internet access to resource agencies from the local, regional, state, and federal levels.The GEDP has compiled and maintains a wide array of information for these purposes. Through the years this information has created a one-stop shop for data related to Galveston and our surrounding area. As much as this information is utilized for business development purposes, this information has also been accessed for community development initiatives that have occurred throughout our City.As we have found, the data itself is but one element in the decision-making process. Value is added with qualifying information and assessments that, when merged, creates a compelling representation of how the Galveston economy ebbs and flows over time. Examples of the diversity of data that is available for telling the Galveston “story” – is presented on these two pages for your review.INFORMATION CLEARINGHOUSE» Residents: 53,956» Commuters: 21,255» College Students: 8,123» Visitors: 19,726 (estimated based on 7.2 million annual visitors)» Second HomeownersGALVESTON EMPLOYS OVER 38,000 WORKERS FROM ALL OVER THE STATE OF TEXAS AND SEVERAL OTHER STATES.GALVESTON IS A COLLEGE TOWN WITH OVER 8,100 STUDENTS.GALVESTON’S DAYTIME POPULATION IS OVER 100,000.GALVESTON’S COST OF LIVING INDEX 95.4 IS SLIGHTLY LOWER THAN THE U.S., YET SLIGHTLY ABOVE THE STATE OF TEXAS (93.9) GEDP.ORG // 2019 GEDP DEVELOPER PROFILE 9 OF THE 38,154 TOTAL WORKERS IN GALVESTON, 16,899 OR 44.3% ARE HELD BY GALVESTON RESIDENTS. THE OTHER 55.7% OF WORKERS – 21,255 – ARE COMMUTING TO GALVESTON.CITY TAXABLE RECEIPTS Galveston $208,027,598.36 Crystal Beach $11,602,623.12 Texas City $10,863,380.61 League city $9,354,147.38 Kemah $8,447,333.95 Jamaica Beach $2,705,203.82 La Marque $1,687,279.12 Bacliff $749,890.20 Gilchrist $673,257.06 Dickinson $577,394.17 GALVESTON REPRESENTS OVER 81% OF ALL HOTEL OCCUPANCY TAX COLLECTIONS THROUGHOUT GALVESTON COUNTY. TOP 10 CITIES: HOTEL OCCUPANCY TAX COLLECTIONSLEAGUE CITYTEXAS CITYDICKINSONLA MARQUESANTA FEHITCHCOCKFRIENDSWOODPEARLANDBACLIFFALVINKEMAH/CLEAR LAKE SHORESOTHER COMMUNITIES18%18%11%8%5%4%3%2%2%1%1%27%LARGEST PERCENT OF COMMUTERS COME FROM THESE CITIESAPPROXIMATELY 20 EMERGING TECHNOLOGY COMPANIES IN GALVESTON ... OVER 50 WITHIN GALVESTON COUNTY44.3%GALVESTON RESIDENTS55.7%COMMUTERS TOTAL WORKERS IN GALVESTONSource: CHMURA, JobseqAN ISLAND OF IDEASECONOMICDEVELOPMENTWWW.GALVESTONTX.GOV/ECONOMICDEVELOPMENTGarrett C. McLeod | 409-797-3695 | gmcleod@galvestontx.govRick Beverlin | 409-797-3914 | rbeverlin@galvestontx.gov GEDP.ORG // 2019 GEDP DEVELOPER PROFILE 11 A message from the mayorMEET OUR COUNCIL MEMBERSThe City of Galveston is an exceptional place to live, and I am honored to call this community my home. It’s been 180 years since our founding, and we strive to maintain our rich history while continuing the momentum for a prosperous future for our residents, students and workforce. Galveston has always been an integral part of commerce in Texas, and continues to strengthen its position within the state’s economy and the greater Gulf Coast. Galveston has remained proactive in promoting a business-friendly culture while continuing to support our existing economic base and vital businesses that have served the Island throughout our past. We have prioritized investment in our critical infrastructure, including roads and water infrastructure, to enhance the quality of life for our citizens and visitors on Galveston Island. The Port of Galveston continues to experience steady growth with the cruise industry, with plans for a third Cruise Terminal. The Port has also prioritized reinvestment in its infrastructure in preparation for future investment and further growth. They are currently finalizing their Strategic Master Plan which is set for release in late 2019. This Master Plan will create a vision and direction that will guide the Port of Galveston over the next 40 years. Galveston Island remains a top tourist destination with ever-growing annual visitation numbers, which helps support numerous local businesses. We are continuing to see the diversification and investment into this vital sector of our local economy. Our higher education campuses have all experience growth in enrollment. University of Texas Medical Branch, Texas A&M Galveston, and Galveston College remain leaders in their respective classifications. Galveston ISD is currently developing its master plan to determine the long term facilities needs of the district, which will also be finalized in late 2019. I am honored to serve as the Mayor of Galveston and look forward to future successes.JAMES D. YARBROUGHMayor of GalvestonJAMES D. YARBROUGH Mayor of GalvestonAMY BLY City Council District 1CRAIG BROWN City Council District 2DAVID COLLINS City Council District 3JASON HARDCASTLE City Council District 4JOHN PAUL LISTOWSKI City Council District 5JACKIE COLE City Council District 6Galveston has always been an integral part of commerce in Texas, and continues to strengthen its position within the state’s economy and the greater Gulf Coast. 12 2019 GEDP DEVELOPER PROFILE // GEDP.ORGGALVESTON, TEXAS IS AN AMAZING COMMUNITYSteeped in history, while building on its foundation of innovation and entrepreneurship – Galveston continues to grow, diversify and expand its’ importance to the region and its value as a place to call home. Galveston’s economic base is primarily fueled through maritime; tourism; education, healthcare and emerging technology sectors. Galveston is prominent as a deep water port beaming with potential, an ever expanding coastal tourism destination and the home of world class education, research and healthcare advances. GALVESTON IS THE EMPLOYMENT CENTER OF GALVESTON COUNTYEach of Galveston’s industry sectors have established excellence within their respective areas. Investor confidence in Galveston is supported through a proactive City that is investing in infrastructure, neighborhoods and parks. Educational institutions are growing (programs, student populations and facilities) and the critical mass for greater opportunities in emerging technology sector exist locally and regionally for life sciences, maritime, petrochemical, aerospace/aviation, sports tourism, resilience, environmental and more.The maritime industry is positioned geographically, logistically and strategically for future expansion and diversification.Tourism related investments in beach nourishment, cruise terminal expansions, and a robust private sector in the restaurant, hospitality, convention and tourism attraction markets continue leading the region. Combining this with our location in close proximity to the 4th largest City in the Country – Houston, the Gulf of Mexico, NASA – Johnson Space Center, and so much more – Galveston is poised to continue moving forward in a meaningful way.Galveston Economic climate MAJOR EMPLOYERS – GALVESTONGALVESTON’S WORKFORCE Galveston Island continues to represent the job center of Galveston County. With almost 40,000 jobs and a daytime population of over 100,000 people, Galveston maintains a healthy balance of commuter employees employed in various aspects of Galveston’s economy. Current estimates indicate an unemployment rate of 7.3 percent for 2019. The top employers in Galveston reflect the major industries of education and health care, tourism and hospitality, the public sector, and the maritime industry. The University of Texas Medical Branch (UTMB) and Texas A&M University-Galveston (TAMUG) have completed extensive project expansions in their facilities. UTMB is not only the largest employer in Galveston, but also the largest in Galveston County. The outlook of Galveston’s workforce aligns with those of the Texas Workforce Commission as projected for both the fastest growing industries and those industries adding the most jobs. PRIVATE SECTOR COMPANIES» Landry’s Inc.» Moody Gardens» American National Insurance Co.» Schlitterbahn Waterpark» Walmart» ILA (Locals 20, 1665, 15048, 1443)» Mitchell Family Corp.PUBLIC SECTOR COMPANIES» UTMB» Galveston County» Galveston ISD» City of Galveston» Texas A&M University at GalvestonROBERT MIHOVIL GEDP.ORG // 2019 GEDP DEVELOPER PROFILE 13 Galveston Economic climateECONOMIC BASEGalveston’s current cumulative property tax assessment is approximately $2.466 per $100 of assessed value, with the exception of those properties west of 103rd Street, which are not assessed by the Galveston County Navigation District #1. Galveston’s local and state sales tax rate is 8.25 percent. A portion of the city’s local share of sales tax is allocated to the Industrial Development Corporation through the Type B Sales Tax (previously 4b sales tax for economic development) benefiting Galveston’s parks, beaches, infrastructure and economic development initiatives. PROPERTY TAX RATES City of GalvestonENTITYTAX RATECity0.561School District1.155County0.529831Road & Flood0.002067Colleges0.17519Nav District0.042922Total2.46601Per $100 assessed valuationSource: Galveston CAD, 2019 tax rates CONSTRUCTION PERMITSCity of Galveston 2019 YTD (as of 8/2019)TYPETOTALCommercial161Residential755Demolition33Electrical762Mechanical617Swimming Pool35Plumbing675Other655Total3,693Source: City of Galveston SALES TAX COLLECTIONS City of Galveston YEARGROSS SALESAMOUNT SUBJECT TO SALES TAXOUTLETSALLOCATION TO CITY2014 $1,754,845,885 $738,273,986 1,937 $19,171,870 2015 $3,076,266,851 $753,250,464 1,971 $19,580,044 2016 $1,675,934,591 $757,924,634 2,152 $20,088,671 2017 $1,644,470,454 $779,165,329 2,056 $20,275,462 2018 $1,928,377,323 $804,623,362 2,020 $21,338,933Source: Texas Comptroller PROPERTY TAX REVENUESCity of Galveston 20182019Properties35,272 35,221Appraised Value$9,000,231,770$9,473,142,084Assessed Value$8,842,965,971$9,315,072,480Adjusted Value$5,666,400,983$5,991,297,5812019 NEW VALUE ADDED: $74,611,589(93% Residential; 6% Commercial; < 1% Industrial)Source: Galveston CADTotal property tax rate decreased from 2018 to 2019 by about .0145.Of the 3,693 permit applications as of Aug 2019, over 750 were for residential construction while 160 were for commercial construction.Sales Tax Allocations to Galveston increased year over year since 2014; specifically, 5.8% increase from 2017 to 2018 year end allocations.14 2019 GEDP DEVELOPER PROFILE // GEDP.ORGGalveston’s Key FactsDIVERSE POPULATION53,956BASE POPULATION21,255AVERAGE DAILY COMMUTING WORKFORCE81,944DAYTIME POPULATION(includes commuting workforce)78%SECOND HOMEOWNERS ON WEST END OF GALVESTON19,726AVERAGE DAILY VISITORS7.2MANNUAL VISITORS1.21%2018-23 POPULATION GROWTH RATE8,123COLLEGE STUDENTS(attending Galveston College, TAMUG and UTMB)39.7MEDIAN AGEGalveston enjoys a diverse daily population on any given day. It nearly DOUBLES due to its commuting workforce, college student, second homeowners and robust tourism population.100,000POPULATION BY GENERATION3.2%ALPHA(born 2017-present)7.8%GREATEST GENERATION (born 1945 - earlier)24.4%BABY BOOMERS(born 1946-1964)18.6%GENERATION X(born 1965-1980)26.1%MILLENNIAL(born 1981-1998)19.9%GENERATION Z(born 1999-2016)STRATEGIC INVESTMENT AREASGalveston is blessed with a number of areas (sectors) that maintain a distinct feel within their geographic region for the City. The City has been moving forward within a series of strategic corridors emphasizing place, landscaping and street-scaping improvements for the benefit of the corridors. Moving forward, development of key strategic areas combined with the recent successes of corridor redevelopment by the City – creates an opportunity for future development. The following locations are generally considered strategic investment areas that possess the potential of even greater development/ redevelopment for Galveston overall.1. Broadway Corridor2. West Market Street3. West End4. Harborside Drive (Port Industrial)5. Airport / Moody Gardens6. 61st Street Corridor7. North Broadway District8. Central Business District (Strand, Postoffice, etc.)9. Port of Galveston/ Pelican Island10. Seawall Boulevard/ East Beach3 GEDP.ORG // 2019 GEDP DEVELOPER PROFILE 15 $47,917MEDIAN HOUSEHOLD INCOME$29,500PER CAPITA INCOME95.4COST OF LIVING INDEX2.28AVERAGE HOUSEHOLD SIZE$210,794MEDIAN HOME VALUE2,437BUSINESSES24,752TOTAL GALVESTON RESIDENTS WHO WORK IN GALVESTON56,353TOTAL EMPLOYEES7.3%UNEMPLOYMENT RATE68%GALVESTON RESIDENTS WHO WORK IN GALVESTON84.8%HIGH SCHOOL GRADS OR MORE30.1%BACHELOR DEGREE OR MOREUnlike many cities its size, Galveston has the distinct advantage of serving as home to three institutions of higher education:SPENDING FACTS (average annual dollars per household)$1,702 TRAVEL$991TRANSPORTATION$1,775APPAREL$2,618ENTERTAINMENT$1,731FURNITUREHIGHER EDUCATION2,451GALVESTON COLLEGE ENROLLMENT2,300TAMUG ENROLLMENT3,372UTMB ENROLLMENT56.1%WHITE COLLAR15.9%BLUE COLLAR27.9%SERVICESSOURCES: 2019 ESRI demographics, U.S. Census, ACS population estimates910821746516 2019 GEDP DEVELOPER PROFILE // GEDP.ORGAs of recent, City Staff and GEDP staff worked together to develop and finalize an economic development plan for the City of Galveston. The plan focuses on how the City of Galveston can actively promote growth and development across the island. It is also designed to promote sustainable and substantive growth and redevelopment. This has been the building block for conversations with key stakeholders across the community and across the Greater Houston Area. As part of the Economic Development Plan, recommendations were brought forth to consider for short, medium, and long term goals. A summary of the goals are listed below:1. PRIORITIZE ECONOMIC DEVELOPMENT AS A SPECIFIC INITIATIVE FOR THE CITY OF GALVESTON. A business development flowchart has been listed as a priority, in order to streamline the development process. The Economic Development Coordinator has been tasked with serving as a development ombudsman, in order to assist any projects through the development process to ensure any roadblocks are avoided. 2. IMPLEMENT BROADWAY CORRIDOR ECONOMIC DEVELOPMENT PROGRAM.The implementation of this recommendation would potentially include a program to incentivize property owners along the Broadway Corridor to focus on aesthetics of their property along a vital corridor in Galveston.Galveston Overview3. DESIGNATE THE NORTH BROADWAY DISTRICT FOR INFILL REDEVELOPMENT.North Broadway has seen a significant amount of investment in infrastructure and the growth of business down West Market Street, and the beginning of a power center at the Falstaff Brewery. This recommendation proposes to take this further and actively seek opportunities in the district for infill development. 4. COMPLETE EXISTING PROJECTS IN THE PIPELINE.This recommendation includes existing capital projects, long term community development goals, and rehabilitation of vital corridors. 5. DEVELOP AN ECONOMIC PLAY BOOK FOR TRACKING DEVELOPMENT INITIATIVES WITH OUTSIDE AGENCIES/ENTITIES.An implementation plan has been approved by the IDC and currently in development through City staff and multiple stakeholders across Galveston.6. EMPOWER THE GALVESTON ISLAND REDEVELOPMENT AUTHORITY (RDA), TO BECOME THE REDEVELOPMENT ENTITY FOR THE CITY OF GALVESTON.The recommendation calls for a more robust redevelopment authority that can be used to target certain districts and areas within the City of Galveston to focus on investment and redevelopment. DEVELOPMENT PROCESSPLANNING APPROVALBUILDING PERMITSStep 1Step 2Step 3Step 4Have a Pre-Development Meeting with Development Services Group You may meet with Staff to review your proposal although it is not required.Staff will provide you with opportunities, constraints, and potential issues.Goal: Expose any potential issues early, and mitigate those issues.If no zoning change is necessary, then begin at Step 7.Master Plans/Platting If the property is part of phased development, master plans need to be submitted to the City of Galveston. No further action can be conducted until all tracts are platted. If a replat, preliminary plat, or final plat is required, the Planning Commission is required to take action. In order for a plat to be recorded, infrastructure must be in place in order to serve the proposed development. If the current infrastructure is inadequate or does not exist, a separate meeting with the Economic Development Coordinator, Public Utilities, and Engineering will be necessary.Submit ApplicationSubmit an application including: Application, Plans, Other Documents, Fees.Plans are reviewed by City departments and any required outside agencies.Rezoning/SUPs After a pre-development meeting, it will be determined if a rezoning or Special Use Permit is necessary. GEDP.ORG // 2019 GEDP DEVELOPER PROFILE 17 Galveston OverviewECONOMIC DEVELOPMENT FLOW CHARTThe City of Galveston and the GEDP collaborate on bringing projects forward within Galveston. The flow chart below identifies the project development pathway for processing projects as they develop within Galveston.CITY STAFFPROJECT IDENTIFICATION GEDP STAFF(or other entity depending on project)CITY COORDINATION(public works, planning/zoning, building, incentives, transportation, etc.)DUE DILIGENCE(site location, project structuring, planning/ zoning, project feasibility, etc.)GEDP COORDINATION(site location, project structuring, coordination with other entities, etc.)(Project presented to city administration)PROJECT DETERMINATION(GO-NO GO)PROJECT IMPLEMENTATION(Project sent to PC/Boards then to City Council)CITY OF GALVESTONStep 5Step 6Step 7Step 8Step 9Step 10Step 11Step 12Planning Review Staff will review and meet to discuss their comments.Make Revisions Revise your project, and address comments. Present at Public MeetingSite Plans, Zoning Change, and Planned Developments require action from: Landmark Commission, Planning Commission, Zoning Board of Adjustments, Building Board of Adjustments, and City Council.Submit Application Includes: Application, Plans, Other Documents, Fees.Plan ReviewIncludes: Building, Fire, Engineering, Plumbing, and Building Official.Public Improvements Inspected All public improvements are inspected by Engineering, Utilities and Fire.Receive Building PermitSchedule Building InspectionsReceive Certificate of OccupancyNext >