More Than $24 Billion Added to Regional Economy Through Efforts of Allen Economic Development Corp.

ALLEN, Texas--(BUSINESS WIRE)--While no city is recession-proof, Allen can boast of new jobs, a stable tax rate and a spike in commercial property values -- due largely to the efforts of the Allen Economic Development Corporation (AEDC), according to the results of a study released Tuesday.

“The City and its citizens can be very pleased with the positive impact its economic development corporation is having here.”

The study, which looked at 19 years of AEDC activities, estimates that the AEDC's performance has added more than $24.35 billion to the regional economy.

"That's a remarkable figure, particularly given the current economic climate, and it's a testament to the creative and innovative strategies that the AEDC uses to attract economic activity to our area," said Tim Wood, AEDC Board President. "Nineteen years ago, voters tasked the AEDC with bringing more jobs and investment to Allen, and this study clearly shows a strong return on their investment."

The study, which is the fourth prepared for Allen by Insight Research Corporation since 1992, identifies the economic, employment and tax revenue impact of 89 completed AEDC projects, with particular attention placed on employment figures.

AEDC projects created an estimated 13,257 direct jobs within the city between 1993 and 2011, including temporary construction jobs, along with 9,109 annual indirect jobs in the region, according to the study.

"More than 18,000 jobs have been created in the City of Allen since 1993, with 70-percent of those resulting from the encouragement of the AEDC," said Dr. Elizabeth Morris, CEO and Chief Economist for Insight Research Corporation. "The City and its citizens can be very pleased with the positive impact its economic development corporation is having here."

An increase in the appraised value of commercial property in Allen can also be linked to AEDC performance, according to the study. Commercial properties related to AEDC projects represented $1.19 billion in appraised value over the past 19 years, or 57.5-percent of Allen's current commercial tax base.

"The AEDC has been a major force behind the increase in appraised value of commercial property in Allen, and this isn't just evidence you see on paper," said Dan Bowman, interim director of the AEDC. "You see it when you drive the major highways and thoroughfares of our city. You see it in Cabela's and KONE and the dozens of new retail outlets and restaurants that our citizens frequent. It's obvious that the AEDC is creating value that will only grow in the coming decades."

Finally, the study indicated that AEDC projects have helped stabilize not only Allen's tax base, but also that of the Allen Independent School District, Collin County, the Collin County Community College District and the State of Texas. It is estimated that AEDC projects have had a cumulative tax impact of $1.04 billion to all jurisdictions since 1993.

"Our firm also updated the AEDC cost/benefit analysis using International City/County Management Association (ICMA) standards for public cost measurement," Morris said. "The result? AEDC projects have provided more than $84.4 million to the City, over and above its costs, in new revenue that can support other quality-of-life services for Allen residents."

ABOUT ALLEN ECONOMIC DEVELOPMENT CORPORATION:

In 1992, the citizens of Allen passed a citywide half-cent sales tax in support of an economic development corporation. Since its inception, the Allen Economic Development Corporation has been charged with facilitating company relocations and assisting the expansion of existing businesses, which creates jobs and additional tax revenue to the community. Since 1992, the AEDC has recruited over seventy new businesses and industries to Allen that have contributed to increasing Allen's total ad valorem tax base from $729 million in 1992 to $8 billion in 2011.

The AEDC received the Community Economic Development Award from the Texas Economic Development Council for its recruitment of a $500 million Cisco Systems data center.

The AEDC Board of Directors, appointed by the Allen City Council, governs the corporation's operations. These individuals represent a diverse spectrum of interests and expertise, which is invaluable to making prudent decisions with regard to the quality of Allen's economic development.

ABOUT INSIGHT RESEARCH:

Dallas-based Insight Research Corporation is a specialist in the measurement of economic, employment, and investment grade tax revenue impacts. The firm has special depth in freight and passenger transportation, traditional and high-tech manufacturing and municipalities.