McAllen announces largest holiday illuminated parade in Texas

Written by mcallenretail on . Posted in Media Releases

FOR IMMEDIATE RELEASE

November 10, 2014

Contact: Roy Cantu, Public Information Office, 956-681-1201, 956-792-7779

Rebecca Olaguibel Retail and Business Development Director 956-681-1001

McAllen announces largest holiday illuminated parade in Texas

City touts bigger and better event

McALLEN – McAllen’s biggest, brightest and most anticipated event of the holiday season will be held on Saturday, Dec. 6. City of McAllen leaders and parade sponsors hosted a press conference today at La Plaza Mall and unveiled details regarding the newly revamped McAllen Holiday Parade.  This year the City has plans to grow it on an even bigger scale to match the City’s tremendous growth.

La Plaza Mall will serve as a presenting sponsor for the parade.

For 32 years McAllen has hosted thousands of spectators for its annual Candlelight Posada Parade, this year the City has plans to innovate and grow the parade on an even greater scale to match the city’s growth.

The City will partner with major event and parade production companies to produce the largest illuminated holiday parade in Texas. It will feature a large array of giant helium-filled balloons similar to those seen in the Macy’s Thanksgiving Day Parade.

It will also showcase decorated, colorful and illuminated parade floats including some from Blaine Kern Studios in New Orleans, the company that creates the magic of Mardi Gras. The floats that will be featured in the McAllen Holiday Parade are by invitation only and will be themed and built around a storybook Christmas.

“We have a much more energized vision for this year’s Christmas parade,” Mayor Pro tem and Commissioner Hilda Salinas said. “Our crews are working at a remarkably intense pace to make this one of the most inspiring holiday parades in the country, and potentially the largest illuminated parade in Texas. Everything will be on a different scale. It’s going be a memorable event with giant helium balloons, marching bands playing uplifting holiday tunes, impressive new floats and a few celebrity appearances. This year’s McAllen Holiday Parade should be the most remarkable ever.”

The new parade route will begin on Business 83 and will run north on Bicentennial Blvd. culminating at the McAllen Veterans Memorial Stadium for a grand finale.

Five row bleachers will be set up along the route for spectators to experience the magnitude of the parade that evening.

Saturday will be a day full of holiday fun and activities suitable for the entire family. Christmas in the Park will combine two unique holiday celebrations: the McAllen Tamale Fest and Kids Marathon and the Candlelight Posada and Marketplace.

“As our city continues to see constant growth it is important that our events are able to accommodate more people, not only from McAllen, but from our surrounding communities as well,” McAllen Mayor Jim Darling said. “This year’s parade will be unlike any other in the past years and we are extremely excited to have everyone join us for a wonderful holiday experience.”

Sponsors of the Holiday Parade include:

La Plaza Mall – A Simon Mall 

Bert Ogden

L&F Distributors

McAllen PUB

McAllen CVB

Anzalduas Bridge

Linebarger, Goggan, Blair & Sampson

ERO Architects

McAllen Reynosa Maquilla Association

AEP

SpawGlass

CAROLLO ENGINEERS INC.

Melden & Hunt

Halff & Associates

IBC Bank

SpawGlass

CAROLLO ENGINEERS INC.

Plains Capital  Bank

The tentative schedule for Christmas in the Park is as follows:

Tamale Fest: 12:00 p.m.

Tamale Kids Fun Run: 4:00 p.m.

Candlelight Posada: 5:15

McAllen Holiday Parade: 6:00 p.m.

Other City of McAllen holiday events throughout December include:

Dec.1 Tree Lighting: (Time is still tentative) at the McAllen Convention Center

Dec. 13 Sunset Live: 5:00 p.m.at the McAllen Convention Center

Dec.14 McAllen Marathon: 7:00 a.m. at the McAllen Sports Complex

Dec. 20 Christmas for Kids: 8:30 a.m. at the McAllen Police Department

Dec.31 New Year’s Eve Bash: (Time is still tentative) at the McAllen Convention Center

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McAllen ranked most affordable city in the US

Written by mcallenretail on . Posted in Media Releases

McALLEN — From inexpensive housing to a gallon of gasoline about 20 cents below national average prices, the Rio Grande Valley has historically enjoyed a low cost of living.

As a result, one of the region’s cities, McAllen, has been ranked the most affordable urban area in the nation, according to a recent quarterly report by The Council for Community and Economic Research, a Virginia-based nonprofit research firm. Click here to read more.

$100 million in new development for McAllen

Written by mcallenretail on . Posted in Media Releases

McALLEN – Some $100 million in new restaurants, hotels and stores have opened their doors on McAllen’s southwest side or are planning to soon as the city expands its retail and commercial footprint in the Convention Center-Anzalduas Bridge corridor.

The Embassy Suites Convention Center Hotel, the McAllen Performing Arts Center, various new shopping centers and unique restaurants – local and chain – such as Kokos, Los Asados, RGV Cupcakes, Blue Onion, Rodizio Grill, Salt Grass Steakhouse, Tilted Kilt, Zoe’s Kitchen and Starbucks among many others have set up shop on the city’s west side. Mostly located along West Expressway 83 (Interstate 2), the new attractions cement McAllen as the region’s restaurant hub and serve booming residential and high-traffic areas. Click here to read more.

Fitch Rates McAllen, TX’s Ltd Tax GOs and COs ‘AA+’; Outlook Stable

Written by rebecca on . Posted in Media Releases

Fitch Rates McAllen, TX’s Ltd Tax GOs and COs ‘AA+’; Outlook Stable

AUSTIN, Texas–(BUSINESS WIRE)–Fitch Ratings takes the following rating action on the city of McAllen, Texas’ (the city) limited tax bonds:

–$45 million limited tax general obligation (LTGO) bonds, series 2014 rated ‘AA+’;
— $11.2 million combination tax and revenue certificates of obligation (COs), series 2014 rated ‘AA+’.

The bonds will be sold via competition on Feb. 24. Proceeds will be used to fund the construction of a performing arts facility, park and street improvements, and pay issuance costs.

Fitch also affirms its ‘AA+’ rating on outstanding limited tax COs, series 2010 and 2011.

The Rating Outlook is Stable.

SECURITY

All bonds are secured by an ad valorem tax levied upon all taxable property within the city. The tax rate is limited to $2.50 per $100 assessed valuation limitation.

The series 2014 COs are additionally secured by a limited pledge of the city’s hotel occupancy tax.

The series 2010 COs are additionally secured by a limited, de minims pledge of net revenues of the city’s water and sewer system.

The series 2011 COs are additionally secured by a limited, nominal pledge of net revenues of the city’s airport system.

KEY RATING DRIVERS

WELL-MANAGED FINANCES, VERY STRONG RESERVES: Sound management practices have sustained the city’s strong financial profile and proactive approach to funding operations, economic development and capital needs. Operating reserves and liquidity provide a good fiscal cushion against unforeseen budget and economic stress.

DIVERSE INTERNATIONAL ECONOMY: The city is a premier commercial and industrial hub in the Rio Grande Valley along the U.S.-Mexico border. Commercial trade with Mexico, healthcare, government, and retail provide a well-diversified economic base that complements the traditional agriculture and tourism sectors.

IMPROVING BUT BELOW-AVERAGE DEMOGRAPHICS: Per capita income has increased at a rate faster than the state and nation but overall wealth indices and educational attainment measures remain below average. These concerns are somewhat tempered by the region’s low cost-of-living.

CONCENTRATION IN SALES TAX: Relatively high dependence upon economically sensitive sales tax revenues for operations is a risk, particularly when considering the large amount of retail activity generated by shoppers from Mexico. Fitch believes the city’s high fund balance and relatively low property tax rate mitigate this risk to a degree.

AFFORDABLE LONG-TERM LIABILITY BURDEN: Outstanding debt levels are moderate and carrying costs for debt service and retiree benefits are very low relative to the budget. Amortization is average and the city plans to continue utilizing its pay-as-you-go approach to capital improvements.

RATING SENSITIVITIES

The rating is sensitive to shifts in the fundamental credit characteristics of the city, including its strong financial management practices and economic diversification and growth. The high rating and Stable Outlook reflect Fitch’s expectation that such shifts are unlikely.

CREDIT PROFILE

McAllen is located in south Texas seven miles north of the Mexican border and the city of Reynosa, Tamaulipas. The city is part of the rapidly growing metropolitan statistical area that includes Edinburg and Mission, Texas, as well as populous neighbors to the south of the border. The estimated population of 136,507 reflects 2% average annual growth since 2000.

TRADE WITH MEXICO IMPORTANT, ECONOMIC DIVERSIFICATION CONTINUES

The city benefits from trade with Mexico, especially the maquiladora program where manufacturing and assembly occurs in plants located in Reynosa and warehouse and distribution is handled in the U.S. in the city’s foreign trade zone. The McAllen Economic Development Corporation has aggressively recruited new companies to the city under this program. However, Fitch believes there is also downside risk associated with the city’s trade dependence with Mexico, including exposure to shifts in political and economic conditions.

Strong retail and healthcare sectors in the city serve both the growing south Texas region and Mexican residents. An estimated 35% of the city’s retail purchases are attributed to shoppers from Mexico. Cross-border traffic is facilitated by two international bridges. Additionally, the city’s healthcare sector is robust and has become a destination for Mexican residents who previously traveled to Houston for services and treatment. Government, tourism and agriculture employment (centered on citrus crops) round out the local and regional economy.

The city’s employment picture is positive. Annual job growth has occurred in all but one year since 2004. The November 2013 unemployment rate stood at 6.4%, a decrease from 6.7% for the same month in 2012. The unemployment rate is above the state average (5.8%) but below the national average (6.6%).

City wealth levels are above average for the region but remain well below state and national norms. Tax base growth has been good but the per-capita market value ($63,000) is below average for the rating category. Per capita income and median household income equal only 72% and 74% of national levels, respectively. These income levels correspond with the local below-average cost of living.

Taxable value has returned to growth following a slowdown during the recession, during which taxable assessed valuation (TAV) marginally declined. TAV has increased by a 1.1% annual compounded average in the last five fiscal years (2009-2014). Prospects for continued growth are positive given the business investment occurring in the area and stability in real estate values.

EXCELLENT MANAGEMENT PRACTICES UNDERPIN CITY’S STRONG FINANCIAL PROFILE

The city maintains a good level of financial flexibility that is supported by its sizable reserves, low tax rate and sound policies adopted by the city council. The city has prudently maintained a high level of general fund reserves and continued to make transfers out for capital projects and some early debt retirement; these transfers have averaged 5.3% of total general fund spending since fiscal 2008.

The general fund concluded fiscal 2012 with a modest operating surplus after transfers of $2.9 million (2.9% of spending). The surplus reflects lower total spending levels due to reduced transfers out that year, as well as good performance by sales and property tax revenues. These primary general fund revenues increased by 7% and 3%, respectively. Unreserved fund balance stood at $45.8 million which represents a significant cushion equal to 45% of spending.

Fiscal 2013 preliminary unaudited results indicate a small $1.9 million deficit after transfers (2.1% of spending). Operating results before considering a $6.9 million transfer (6.4% of spending) to the capital investment fund were again positive. Unrestricted fund balance is anticipated to settle at $41.5 million or a robust 39% of spending. The city remains in compliance with its prudent fund balance policy that sets a floor for fund balance at 140 days (38%) of spending.

Management adopted a surplus fiscal 2014 budget that increases spending by 5.5%, supported by reasonable assumptions for sales tax and property tax revenue gains. Appropriations include 0.5% pay raises for fire department personnel, as dictated by a collective bargaining agreement in place, 3% pay raises for all other staff, and additional positions. There was no change in tax rates. The city expects to maintain its sizable fiscal cushion at year-end.

HIGH SALES TAX DEPENDENCY MITIGATED BY SUBSTANTIAL RESERVES

Operating revenues are led by sales tax collections which represented a substantial 43% of general fund revenues in fiscal 2012. Sales tax performance has been notably strong due to annual growth in retail sales, but this revenue stream was not immune to recessionary forces and declined by 7% and 2% in fiscal years 2009 and 2010. Receipts flattened in fiscal 2011 before increasing by 5% in both fiscal 2012 and fiscal 2013 (unaudited); cash-basis receipts through December show year-to-date fiscal 2014 revenues tracking very closely with last year’s trend but running slightly below budget, which may reduce the budgeted general fund surplus.

Fitch views the high degree of reliance on economically sensitive sales taxes to be a risk, particularly when considering that 35% of retail purchases are sources from Mexico, exposing this revenue stream to political dynamics between the U.S. and Mexico and currency value fluctuations. The substantial reserves and other budget flexibility, such as the relatively low property tax rate and ability to curtail pay-as-you-go capital funding, somewhat offset these concerns.

AFFORDABLE DEBT BURDEN

Overall debt levels are moderate at $2,768 per capita and 4.4% of market value. These ratios include the overlapping debt of several school districts and do not consider the state debt service aid provided to these generally low property-wealth districts. Amortization slows to 56% with this issuance. Future debt needs are relatively limited given the city’s ongoing pay-as-you-go capital investments from general fund resources, a hotel occupancy tax, and economic development sales tax.

Voters approved this GO authority in November 2013 and the city expects a roughly 4.5-cent tax rate increase (10%) will be necessary to service the debt. Audited fiscal 2012 debt service consumed a very low 2.7% of governmental spending. Total debt service with this issuance would increase debt service to a still low 5.6% of spending (using current spending levels).

WELL-FUNDED LEGACY BENEFITS

All city employees with the exception of fire personnel participate in a joint contributory, hybrid defined benefit pension plan through the state-wide Texas Municipal Retirement System (TMRS). The city pension’s already high funded position was further increased with TMRS’ actuarial methodology changes in 2011. The city’s TMRS pension liability was 100% funded as of Dec. 31, 2012, using a 7% discount rate. Fire department personnel pension benefits are administered through a single-employer defined benefit plan that was funded at a weaker estimated 64% as of Sept. 30, 2010 (using a more conservative 7% discount rate). The city recently agreed to increase its contribution rate to this plan to 13% of payroll from 12.5% effective this year (fiscal 2014).

Other post-employment benefit (OPEB) liabilities for retiree healthcare are modest; the unfunded liability equaled 0.1% of fiscal 2012 full market value. The city has set aside funds towards the unfunded liability, which reside in a retiree healthcare fund which is not an irrevocable trust. Total carrying costs for debt service, pension ARC, and OPEB pay-go are projected to remain quite affordable with this debt issuance at about 10% of spending.

Additional information is available at www.fitchratings.com.

1,000 New Jobs Coming to the Valley

Written by mcallenretail on . Posted in Media Releases

KRISTEN MOSBRUCKER | STAFF WRITER The Monitor

Four businesses bringing more than 1,000 new jobs – all expected to pay above minimum wage – are slated to come to the Rio Grande Valley over the next year, the McAllen Economic Development Corp. announced Thursday.

“I hope it’s an indicator that we are returning to the way things used to be,” said the corporation’s CEO Keith Partridge, referring to pre-recession levels when on average two major companies came to the region per month, not each year.

The new businesses range from a customer service call center to a corporation specializing in a manufacturing process called “steel slitting” where large coils are spread, cut and stamped into shapes ready for assembly.

“Anything made out of metal starts with us,” said Ed Camden, president of Southwest Steel Coil, a subsidiary of Calstrip Industries.

He said that 50,000-pound steel coils are sent by railroad freight trains from steel mills and will be transformed at the future factory in the Valley. The California-based company is looking at the McAllen area but will likely land in Mission or beyond, Camden said.

The company contracts with the maquiladora industry for home goods and automobile products, and has a similar borderlands operation in Santa Teresa, N.M., across the river from Ciudad Juarez, Mexico.

Camden said that the decision to open a factory in the Valleynear railroad lines and an international bridge was purposeful and the impact is larger than the 50 employees they expect to hire.

“We choose to contract with local companies,” he said of trucking companies and pallet builders, among others. “We touch a lot of other people in the local community.”

A skilled machine operator position can earn up to $21 per hour with full benefits, whereas a semi-skilled crane worker can make up to $14 per hour. Salaried support positions are also expected at the 60,000-square-foot manufacturing plant.

In the service sector, Teletech, a Colorado-based outsourcing company that contracts for customer service phone operations, plans to invest $3.7 million for a 36,000-square-foot building in McAllen and will create 650 jobs, city officials said.

The average hourly wage for a customer service representative at Teletech can range from $9.60 to $14, according to Glassdoor.com, an open data salary website. Convergys, a call center in Pharr, has comparable wages for the same position.

Conn’s Home Plus, a home goods and electronics store from Woodlands, Texas, will take over a 325,000-square-foot distribution warehouse in Sharyland Plantation and will add 80 jobs. The warehouse will be the organization’s largest distribution center in North America.

Average pay for a Conn’s warehouse worker is $10 per hour, according to Glassdoor.com.

Meanwhile, SFT Food Tech, of Monterrey, Mexico, which supplies prepared and frozen food to institutions and retailers, will build a 90,000-square-foot building on South Bentsen Road – an investment worth up to $12 million that will create 300 jobs, officials said.

In 2013, McAllen spent $1.2 million on infrastructure along South Bentsen Road that included a $600,000 matching grant from the U.S. Department of Commerce.

Neither Conn’s, SFT Food Tech and Teletech could be immediately reached for comment.

McAllen employment way up year over year

Written by mcallenretail on . Posted in Media Releases

More people had jobs in the City of McAllen in February than in the same month of 2013, and the 58,500 people working marked the second most ever employed in the City, according to the latest monthly job data from the Texas Workforce Commission.

The state agency reports that McAllen’s unemployment rate – the lowest in the Rio Grande Valley – was 6.4 percent in February, up just a hair from January’s 6.3 percent. The slight rise reflects a state-wide trend as Texas and many major cities were also up.

Click Here to Read More.

RGV Adds Thousands of Jobs

Written by mcallenretail on . Posted in Media Releases

The vast majority of Rio Grande Valley cities have lowered their unemployment rates and added jobs over the last year, according the Texas Workforce Commission’s latest statistics released by the state agency.

RGV cities and the two Metropolitan Statistical Areas they fall into added thousands of jobs to local payrolls, February 2014 figures show. Combined, the McAllen-Edinburg-Mission and Brownsville-Harlingen-San Benito MSAs had more than 10,000 more people working than in February 2013.

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McAllen Airport Boardings Busiest in 7 Years

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The McAllen International Airport experienced its busiest May in seven years – with 34,371 enplanements – helping make it the busiest airport in South Texas so far this year and claim a bigger share of the Valley market, the most recent airport statistics show.

Total boardings (enplanements) in 2014 are also up to the highest point in six years with 152,497 passengers departing from McAllen through the first five months of the year. The monthly and year-to-date totals are greater than the commercial airports in Corpus Christi, Harlingen, Brownsville and Laredo. Including deplanements, the McAllen airport saw nearly 68,000 passengers go through its doors in May.

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Groundbreaking Held for McAllen Performing Arts Center

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Mayor Jim Darling and the City Commission broke ground Thursday July 24, 2014 on the new $45 million McAllen Performing Arts Center that will become another signature facility in the city and host everything from big Broadway shows to local recitals.

City Commissioner and Mayor Darling touted the benefits of the new facility at the groundbreaking that included the building’s designers ERO Architects with Holzman Moss Bottino, the contractor SpawGlass Construction, city officials and members of the community. The vision behind the 1,800-seat performance center is to create a dynamic venue that rivals any big city but will also meet the needs of the local community.

Click Here to Read More.