Title
Consider a memorandum/resolution approving an amendment to the letter of agreement with the Killeen Economic Development Corporation to provide economic development services, in an amount of $865,000.
Body
DATE: March 19, 2024
TO: Kent Cagle, City Manager
FROM: Edwin Revell, Executive Director of Development Services
SUBJECT: Killeen Economic Development Corporation Agreement Amendment
BACKGROUND AND FINDINGS:
On November 30, 1990, the City of Killeen entered into an agreement with the Killeen Economic Development Corporation (KEDC) to provide economic development services. Since 1990, the City of Killeen has continued this collaboration, including an annual appropriation to the KEDC.
In January of 2023 the City of Killeen approved a two-year agreement with KEDC in the amount of $725,054 per year.
The City determines each year's allocation in consultation with the KEDC. The agreement then sets out the responsibilities of the City and the KEDC, including provisions for the use of funds and financial reporting.
On September 12, 2023, City Council as a part of the annual budget, increased funds appropriated to KEDC to $865,000. An amendment to the Agreement is necessary to authorize the disbursement of the increased funding amount.
THE ALTERNATIVES CONSIDERED:
N/A
Which alternative is recommended? Why?
N/A
CONFORMITY TO CITY POLICY:
This action conforms to Section 3-60, Economic Development Partner's Roles and Expectations, of the City's approved Economic Development Policy (Res. 19-007R).
FINANCIAL IMPACT:
What is the amount of the revenue/expenditure in the current fiscal year? For future years?
This expenditure is $865,000 for FY 2024. The city will determine each future year's allocation in consultation with the KEDC and upon City Council's approval of the annual budget.
Is this a one-time or recurring revenue/expenditure?
Recurring expenditure
Is this revenue/expenditure budgeted?
Yes, funds are available in the General Fund ...
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