18 - PEDC 2019-2020 Budget AmendmentsItem No. 18
Memorandum
TO: Paris City Council
Grayson Path, City Manager
FROM: Maureen Hammond, PEDC Executive Director
SUBJECT: PEDC 2019-2020 BUDGET AMENDMENTS
DATE: September 28, 2020
BACKGROUND: The Paris EDC Board has requested that the following amendments to its
2019-2020 Budget be approved by the City Council as required by the PEDC bylaws. Attached
to this memo is a worksheet containing columns for the current PEDC budget, the changes
requested and the amended budget amounts. Adjustments to increased line items are primarily
due to unexpected expenses related to the search and hire of a new executive director,
settlement expenses incurred following the departure of Michael Paris, incentives for Turner
Industries to retain jobs and additional expenses for the American SpiralWeld project. Due to
several line items coming in under budget in both operations and incentives, we expect to be
under budget for the 2019-2020 FY.
STATUS OF ISSUE: The PEDC Board approved the changes to the budget at the September
15, 2020 Board Meeting and requests that the City Council consider approval of the
amendment budget.
RECOMMENDATION: Motion to approve the requested amendments to the 2019-2020
PEDC budget.
Note: Treasurer Mihir Pankaj will present amendments for the 2019-2020 budget.
1125 Hanham Street oParis, TOxas 7.5460
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2019-2020
PEDC BUDGET BUDGET AMENDMENTS
September 15, 2020 PEDC Board Approved the 2019-2020 Budget Amendments
PAGE 1
BUDGET FOR
SUGGESTED
Acct #
Account Name
AMENDED BUDGET
2019-2020
CHANGES
PERSONNEL
0101
Salaries & Wages
$
178,400.00
$
$
178,400.00
0102
Social Security/Medicare (6.21/6/1.459/2)
$
13,700.00
$
$
13,700.00
0103 'Retirement
$
11,000.00
$
$
11,000.00
0104 1
Insurance Benefits:
$
35,190.00
$
$
35,190.00
0105
Workers Comp. Ins. (.44%)
$
785.00
$
$
785.00
TOTAL PERSONNEL EXPENSES
$
239,075.00
$
-
$
239,075.00
ADMINISTRATION
0201
Office Su a ulies
4,700.00
$
4,700.00
0202
Postage
500.00
$
-
500.00
0301
Tel ahone/Communication
5,500.00
$
1,500.00
7,000.00
0302
Car Allowance
8,400.00
$
-
8,400.00
0303
Insurance & Bonds
2,500.00
$
-
2,500.00
0304
Movin , Ex eases
$
5,000.00
5,000.00
0306
Travel Expenses
1,000,00
$
-
11000.00
0308
Utilities
12,000.00
$
-
12,000.00
0310
NTuweflxuuuaYouus
500.00
$
200.00
700.00
0311
Association Memberships
3,500.00
$
-
3,500.00
0314
Staff Training
1,500.00
$
-
1,500.00
0319
The PACE Groh (Consultants
-
$
41,,,000.00
41,000.00
0348
Du root O aerations
16,150.00
$
16,150.00
0355
Contract Labor
$
0357
Contract Services - Legal Fees
5,000.00
$
-
5,000.00
0359
Settlement/Michael Paris
-
$
25,000.00
25,000.00
0402
,Industrial Park Maintenance
10,000.00
$
-
10,000.00
0605
Auditin:t Services
9,000.00
$
9,000.00
1002
Machin uy, Tools & Eu. ui rment
12,000.00
$
-
12,000.00
TOTAL ADMINISTRATION
$
92,250.00
$
72,700.00
164,950.00
MARKETING AND PROMOTION
Secure Jobs/RetentionBus.Retention & Expansion
5,000.00
$
-
5,000.00
Lamar County Days
-
$
-
-
Marketing Airport as Industrial Site
10,000.00
$
(5,000.00)
5,000.00
Industry Attraction Video
10,000.00
S
(7,700.00)',
2,300.00
Marketing and Promotion
100,000.00
$
(60,000.00)
40,000.00
0315
TOTAL MARKETING AND PROMOTION
$
125,000.00
$
(72,700.00)
$
52,300.00
I°OTAIL OPERATING EXPENSES
$
456,325.00
$
-
$
456,325.00
JOB TRAINING -DIRECT INCENTIVES -DEBT
SERVICE -CAPITAL
INCENTIVES
I
JOB TRAINING
High DO ITO Jl011 1 ar,'dru�gng , 1M h Graw
25,000.00
$
5,700.00
30,700.00
0318
TOTAL JOBTRAINING RAINING
$
25,000.00
$
5,700.00
$
30700.00
DIILECT BUSINESS INCENTIVES
0066
American Spiral Weld -Upfront
$
-
$
-
$
-
0067
American Spiral Weld -Jobs
$
1,000,000.00
$
-
$
1,000,000.00
Rail Lead
$
1,000,000.00
$
-
$
1,000,000.00
Huhtamaki-Rail Development
$
100,000.00
$
-
$
100,000.00
J. Skinner -Rail Development
$
300,000.00
$
-
$300,000.00
0061
Daisy Dairy
$
131,400.00
$
-
$
131,400.00
0073
Turner Industries -Jobs
$
$
200,000.00
$
200,000.00
TOTAL DIRECT BUSINESS INCENTIVES'
$
2,531,400.00
$
200,000.00
1 $
;,73 1,400.00
September 15, 2020 PEDC Board Approved the 2019-2020 Budget Amendments
PAGE 1
2019-2020
PEDC BUDGET BUDGET AMENDMENTS
September 15, 2020 PEDC Board Approved the 2019-2020 Budget Amendments
PAGE 2
BUDGET FUR
SUGGESTED
Acct #
Account Name
AMENDED BUDGET
2019-2020
CHANGES
DEBT SERVICE
SW BUSINESS PARK-PRIN, INT
SW PARK PRINCIPAL 02-0001-90-06
$
36,278.11
SW PARK INTEREST 02-0002-90-06
$
24,759.17
TOTAL PARK
$
61,037.28
$
61,037.28
ASWP LOAN - PRIN, INT
ASWP PRINCIPAL 02-0001-90-05
$
51,520.78
ASWP INTEREST 02-0002-90-05
$
36,265.82
TOTAL ASWP
$
87,786.60
$
87,786.60
TOTAL DEBT SERVICE
$
148,823.88
$
-
$
148i823.88
NEW INDUSTRY PROJECTS
0064
Project American SprialWeld
$
200,000.00
$
75,000.00
$
275,000.00
0065
New Business Park
$
320,000.00
$
-
$
320,000.00
0072
Land Development
$
180,000.00
$
-
$
180,000.00
TOTAL NEW INDUSTRY PROJECTS
$
700,000.00
$
75 000.00
$
775000.00
TOTAL DEBT, CAPITAL & INCENTIVES
$
3,405,223.88
$
280,700.00
$
3,685,923.88
TOTAL BUDGET EXPENSES
I $
3,861,548.88
$
280,700.00
1 $
4„142,248,88
September 15, 2020 PEDC Board Approved the 2019-2020 Budget Amendments
PAGE 2