Page 46 - City of McAllen - Approved Annual Budget Book FY 24-25

City of McAllen, Texas Adopted Budget 2025

Strategic Business Plan

Goal 3: Continue to grow stable property tax revenue; strengthen the local economy in order to grow
the “tax base” to support increased city services long-term.
Goal #3 is about diversification of not only the local economy, but as well the city’s revenue. Employment data indicates that the local
economy is transitioning from one with a concentration in the service sector to one more balanced, with increased jobs and wages related
to education and medical� As this long-term goal is implemented, the city’s revenue will become more traditional & stable as the ad valorem
values are generally more stable, year to year, than are sales taxes� In 2007, by comparison, the Sales to Property Tax revenues in the City’s
General Fund was 64% to 36%. As projected for this fiscal year 2024-2025, this ratio is 56/44 which is closer to 50/50. This will provide more
predictable & stable sources of revenue - important for long-term planning and budgeting�
Department / Total Project Estimated Budget
No. Objective Time- line Status - Rationale
Agency Cost FY 23-24 FY 24-25
Strategy 3.1: Strategically bring new industry to the region.
Increase efforts to City Manager, Matching grant programs,
3�1�01 recruit and retain the Ongoing Program Program Program 380 Agreements, and various
business sector Retail omnichannel campaigns�
Continue efforts to Work to enhance and expand
ease bridge crossing commercial business &
International trade� For
3�1�02 to and from Mexico; Bridge Ongoing Program Program Program Anzalduas International
secure grants/funding
to facilitate truck Bridge, this includes extended
traffic. hours from 6 a�m� to 10 p�m�,
seven days a week�
Continue to expand
manufacturing This sector has the greatest
base by attracting impact on bringing new
3�1�03 primary service MEDC Multi-year Program Program Program money into the local economy
and manufacturing and provides long-term
investment/jobs to revenue growth�
McAllen
Increase focus on Recent growth in local
attracting higher educational institutions has
3�1�04 skilled, higher wage MEDC Multi-year Program Program Program resulted in an enhanced
MEDC focus on jobs in this
jobs & professional
careers in medical & area, working with regional
research fields stakeholders�
Work with UTRGV Provides opportunity to
to attract medical encourage pharmaceutical
manufacturing research and ready to market
3�1�05 opportunities to MEDC Ongoing Ongoing Program Program manufacturing� This is
McAllen� Plan to work
with drug companies to ongoing project with UTRGV
and also involves Medical
conduct clinical trials institutions from Mexico�
here�
As the demand for larger
Increase available buildings, often with
buildings necessary specialized requirements,
3�1�06 to support new MEDC Multi-year Program Program Program continues to grow, it is
manufacturing related- important to respond quickly
companies to Industrial demands for
available space�
Creation of a respective
Technology District Overlay
Establish Technology and Health District Overlay
in the City will attract both
3�1�07 & Medical District MEDC Multi-year Program Program Program technology and medical
Overlays for Industry
Clustering sectors. Note: These two
sectors have been shown
to drive jobs and population
growth�
380 Economic Incentive
Agreements for Business
380 Agreements for City Manager, and Industrial Incentives-Vary
3�1�08 Business and Industrial Ongoing Varies $6,815,691 $9,005,847 depending upon prospect’s
Incentives MEDC impact on the community
such as new jobs, new added
property value, etc�

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