DEPARTMENT: Economic Development Department
DEPARTMENT HEAD: Rene Dominguez
COUNCIL DISTRICTS IMPACTED: City-wide
SUBJECT:
Grant Agreement with the San Antonio Economic Development Corporation (SAEDC) for Establishing the SAEDC Investment Fund
SUMMARY:
This Ordinance approves a Chapter 380 Economic Development Program Grant Agreement with the San Antonio Economic Development Corporation (SAEDC) to provide $500,000 in funding for the establishment of an SAEDC Investment Fund ("the Fund") and authorizes the SAEDC Board to approve economic development projects funded at $50,000 or less from the Fund
BACKGROUND INFORMATION:
On May 13, 2010, City Council established the SAEDC and appointed a 7-member Board, including the Mayor, the Chair of the Infrastructure and Growth Committee (Councilman Rey Salda?a) and the Chair of the Economic and Community Development Committee (Councilman Ray Lopez), the City Manager, and three at-large citizens. The Bylaws authorize the SAEDC to invest in economic development projects and to potentially receive a return on such investment. It is the goal of the City to use any funds earned from investments by the SAEDC to create a self-sustaining economic development incentive fund for investing in future projects. Since May 2010, City Council and the SAEDC Board have approved three economic development projects to include: (1) InCube Labs, TX; (2) the South Texas Research Facility at the UT Health Science Center at San Antonio (UTHSCSA); and (3) Innovative Trauma Care, Inc. The SAEDC has secured an equity interest from each of these projects and investments.
The Brookings Institution recently reported that between 2003 and 2010 startup companies created 56.3% of all new jobs. The SAEDC, therefore, is focused on facilitating economic development by assisting local small business start-up companies and entrepreneurs, particularly in the SA2020 targeted industries of healthcare/bioscience, information/...
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