Monday, November 16, 2009

McAllen and Brownsville Ranked 3rd & 4th in BusinessWeek's List of "Where the Jobs Will Be in 2010"

Where the Jobs Will Be in 2010


The recession might be technically over, but unemployment is rising month after month even in most of the nation's strongest job markets.

A full-fledged job recovery seems to be a long way away. But some metros are poised for significant job growth by the first quarter of next year. BusinessWeek.com teamed up with Moody's Economy.com to identify America's 25 next recovering job markets. These metros were ranked based on Economy.com's projected job growth in the first three months of 2010.

Topping the list is Mount Vernon, Wash., a small town about 60 miles north of Seattle with just 48,000 workers. The town, which lost jobs quickly during the recession, could see a rebound, in part because tourism, retail, and hospitality will make a comeback as the economy improves. Additionally, the weak dollar will provide a boost to communities with international trading ports and metros that border Mexico, such as Brownsville, Tex. (a port town that is No. 4 on our list), and border town McCallen, Tex. (No. 3). Our list was also packed with towns that are closely linked to the energy industry (Billings, Mont., Houston, Tex., and Farmington, N.M.), college towns (College Station, Tex., Tuscaloosa, Ala., Auburn, Ala., and Lawrence, Kan.), and military towns (Columbus, Ga., Augusta, Ga., and Texarkana, Tex.).

None of the metros on the list experienced a housing bubble that had a disastrous pop. Miami, Las Vegas, Phoenix, and Stockton, Calif., will likely be in a funk long after many Texas metros are in growth mode.

"These are areas that had little or no housing cycle and stand to benefit from the renewed firmness in commodity prices," said Chris Lefakis, an economist at Moody's Economy.com. "This could be an export-lead recovery with the replenishment of inventory leading to a resurgence in manufacturing."

Room for Growth in Manufacturing
The manufacturing sector has taken such a battering that it has a lot of room for improvement. Inventories have fallen to such low levels that manufacturers will have to increase production even to keep up with existing demand, Lefakis said.

A plant opening or just expanding can have a magnified impact on a small metro, giving a swift boost to the job market, said Joel Naroff, president of Naroff Economic Advisors in Holland, Pa. But job growth elsewhere mostly will be slow and incremental, he said. Companies will be cautious about hiring and will expand overtime hours and bring on temporary workers before making permanent hires.

The good news is that overtime pay and the increase in temp workers will push up wages nationwide, which could result in more consumer spending, he said.

"If the economy begins to grow, it will be enough [for companies] to add slowly to payroll," Naroff said. "I'm not expecting a vigorous upturn."

Travel, hospitality, and retail could see more dramatic growth. Throughout the recession, Americans have cut down on travel, eating out, and shopping. If the economy improves, they'll add more entertainment to their budgets, he said.

"People might not go to Disney World," said Naroff. "But they might start going out to dinner once week."

New York City, which didn't make our list, could also have a great year, especially now that Wall Street is giving out bonuses "like 2008 never existed," he added.

The federal government will also play a key role in the recovery even as it begins to phase out tax incentives and other economic stimulus spending, Moody's Economy.com Chief Economist Mark Zandi said on CNBC Nov. 3.

"Without the government, the consumer would be pulling back," Zandi said. "By early next year job losses will abate … so we will start to see wage and salary growth and government can begin to pass that baton off [to the private sector]. But it will be a tricky handoff."

Sunday, November 15, 2009

County holds off on Ocean Tower for the time being

County holds off on Ocean Tower for the time being
November 13, 2009 8:04 PM
By LAURA B. MARTINEZ, The Brownsville Herald

The Cameron County Commissioners’ Court has held off on providing a contractor with a temporary storage site for demolished construction material from South Padre Island’s Ocean Tower, which is scheduled for demolition.

Action on the site was tabled Thursday because the Commissioners’ Court needed additional information about the implosion of the structure, including whether there would be hazardous material involved and who would be in charge of removing the debris, County Judge Carlos H. Cascos said.

Costa Rica Food & Spirits Restaurant requested that it be allowed to store the remnants of Ocean Tower for about 45 days, while the steel and concrete is separated, said Cameron County Parks Director Javier Mendez.

Costa Rica Food & Spirits Restaurant is leasing its land from Cameron County.

Oceans Towers is a 31-story condominium scheduled to be demolished in early December.

Construction on the 151-unit luxury project was halted last summer year after it was determined it was sinking, which caused cracks in beams and columns.

Antun T. Domit, listed as the resident agent for Ocean Tower LP, sent out letters in November 2008 to people who had either expressed interest or had purchased one of the condo units, informing them that the high-rise project was cancelled.

The developers of Ocean Tower have filed a lawsuit against the two engineering firms contracted for the project.

Meanwhile, while discussing the Ocean Tower situation at Thursday’s meeting, commissioners learned that Ocean Tower LP owes the county about $40,000 in back taxes from 2008. Ocean Tower owes other taxing entities in the county an additional $40,000, officials said.

Tax attorney John Guevara, of Linebarger Goggan Blair & Sampson LLP, on Friday said the law firm has filed a lawsuit against Ocean Tower on behalf of Cameron County for the 2008 back taxes.

The lawsuit was filed earlier this week.

Although past due tax notices were sent out beginning in July to Ocean Tower, the law firm has received no response, Guevara said.

Domit could not be reached for comment on Friday.

News of the owed taxes didn’t sit well with Precinct 3 County Commissioner David A. Garza, who said the county should consider filing an injunction against Ocean Tower.

An injunction would temporarily prohibit Ocean Tower from being demolished.

"I think we need to protect ourselves," Garza said. "It’s costing a lot for them (Ocean Tower) to do that. Maybe they’d be more apt to pay what they owe," if an injunction was filed.

However, Cascos said he didn’t believe asking for the delay would help the county collect the taxes.

Precinct 1 County Commissioner Sofia C.Benavides said since Ocean Tower has been selling some of the furnishings from the high-rise, the business should also make an attempt to pay the county money owed.

Advertisements have been placed in The Brownsville Herald stating that some of the furnishings, such as lighting, plumbing, interior fixtures, granite flooring and countertops, were for sale and priced below wholesale.

"If they’ve been selling all this stuff, they should be paying us," Benavides said.

Shovel-ready building sites in the Rio Grande Valley offer quick road to development

Shovel-ready building sites offer quick road to development

Photo: Delcia Lopez   dlopez@themonitor.com
Ramiro Garza, executive director of Edinburg Economic Development Corp., is seen recently with a map of the Edinburg North Industrial Park

The industrial park north of town was little more than empty land crawling with ants and snakes when Gerardo “Jerry” Nuñez set up shop there five years ago.

Nuñez, owner of Nu-Co Tool, a toolmaker for 35 categories of manufacturers, rented out his old building and moved into the park off U.S. 281 and Orange Avenue because he saw a chance to grow his business on the open land.

“The space was there and the opportunity of the unknown gets to me,” Nuñez said inside the 23,000-square-foot warehouse he built on the 8-acre plot of empty land he bought from the Edinburg Economic Development Corp. “I wanted to develop it from nothing.”

But in a fast-paced business world where time is money, Nuñez’s willingness to go it alone in an undeveloped area was a rarity.

Economic development officials in the Rio Grande Valley want to ensure they have everything already in place at a few select spots where they hope to land large employers.

By the end of this year, Hidalgo and Cameron counties will have four shovel-ready mega-sites, locations generally reserved for companies that plan to employ 500 or more people.

The designations are an effort by the Rio South Texas Economic Council, a group formed last year to market the region, to make the Valley appealing to large companies looking to set up shop here.

A Sharyland Plantation site for which McAllen and Mission economic development officials are seeking shovel-ready status is near the site the cities have talked about as a possible location for an auto manufacturer.

Hidalgo County’s other site is in the same park that is home to Nuñez’s Nu-Co Tool, next to where Brazilian denim manufacturer Santana Textiles plans to start construction next year.

Securing the shovel-ready designation requires extensive work to produce a thick binder filled with documents that show the site is ready for development, said Ramiro Garza, the executive director of Edinburg’s development corporation. To lure projects the size of Santana, which plans to employ 800 people by 2014, the old plan of building a sales pitch around an empty plot of land is no longer enough.

“When companies are looking for property, they want readily available sites,” Garza said. “They don’t want to wait for everything to be in place.”

SHOVEL-READY
When Austin Consulting certifies the Valley’s sites as shovel-ready, the firm says the locations will be the first in the state to receive the designation.

Most states — including Texas — have not adopted official criteria to designate a site as shovel-ready.

Instead, site location consultants that traditionally helped companies find a place to build provide the certification, placing their own stamp of approval on an area, said Frank Spano, a director with Austin Consulting, the firm hired by the economic council to review the Valley’s sites.

The shovel-ready designation grew out of a desire by companies that wanted to expand and governmental entities looking to land them as a way to speed the process along.

From start to finish, most companies spend nine months deciding where to expand or relocate their operations, Spano said. Having a site ready to go, with the property on the market, utilities extended and the permits in place, gives the company a better picture of what the site offers and how long until it can start operations there.

But getting the designation — since the companies that give them out put their own reputations on the line — isn’t easy.

To receive Austin’s shovel-ready designation, sites start with a comprehensive, 10-page form filled with questions, Spano said. By the time they complete the form’s requirements, the paperwork fills a 3-inch binder — the documents include everything from ownership information, aerial photographs and maps of the location, soil tests and environmental details, right-of way-plans and more.

But Spano said the designation makes the site appealing to companies looking to fast-track the development process.

“Shovel-ready sites are important because companies want to make a decision faster,” Spano said. “They want to have that information on hand. It certainly gives you a leg up on the other site.”

VALLEY SPOTS
The Valley’s failed attempt to attract a Kia Motors Corp. manufacturing plant in 2006 provided the impetus for it to work toward the shovel-ready tags.

Automaker officials who looked at the area wanted to know why the Valley’s prospective site wasn’t certified by a South Carolina-consulting company with extensive experience in automotive site selection, said Pat Townsend, president of the Mission Economic Development Authority.

Kia eventually decided to put the plant in West Point, Ga., but the brief flirtation with the company showed local economic development officials the turnaround that the industry and others like it need.

Townsend said having the information ready is key even if there aren’t immediate prospects for the three subdivided plots off Shary Road that the economic council is designating as shovel-ready.

“We’re doing it with no immediate prospect identified,” he said. “The benefit is if we actually have a prospect identify it as a suitable location, we’re way down the road to answering what the company actually requires.”

The learning experience on what’s needed for the designation also gives local officials a better feel for what they need to compete for a major project, said Keith Patridge, president of the McAllen Economic Development Corp. With all the specific details on the site available, the companies can spend more time learning about the region, the labor force and other key factors in a decision.

Although the economic council is starting with four shovel-ready sites, the plan is to develop a revolving portfolio of sites to attract companies that create 500 jobs or more, Patridge said. The jury is still out on whether the shovel-ready sites help the Valley bring in companies but, with the rather exclusive nature of the process, “it can’t hurt,” Patridge said.

“It’s like another arrow in our quiver we have available to target manufacturers,” Patridge said. “It puts us in a great position to compete.”

FULL PARK
Nuñez is still alone in the industrial park he moved into four years ago.

But with roads and utilities in place in the 160-acre site, it likely won’t be long before he sees a flurry of development around him.

Santana Textiles and two other manufacturers are under contract to build on 70 acres in the park — work the city expects to start next year. And the 25 acres left in the park will soon be designated as shovel-ready.

Nuñez, who builds tools primarily for the automotive industry, said he’s looking to expand on the plot he already owns.

“Five years from now, we’ll see this park full,” he said. “It’s got everything in place to take off.”

Jared Janes covers Hidalgo County government, Edinburg and general assignments for The Monitor. He can be reached at (956) 683-4424.

Saturday, November 14, 2009

Port increases appeal of Hidalgo County sites

Port increases appeal of Hidalgo County sites
November 13, 2009 10:30 PM
Jared Janes

The distance between downtown Houston and the Port of Houston is the same as the distance separating the Port of Brownsville and McAllen.

While Houston’s two assets are viewed as part and parcel of Greater Houston, the Rio Grande Valley has struggled to brand the Brownsville port as part of a larger metroplex, said Eduardo Campirano, the director of the Port of Brownsville. But when it comes to marketing Hidalgo County sites designated as “shovel-ready” for large-scale industrial development, the port can’t be left out of the plans.

“Without a doubt, you have to look at all the assets the Valley has,” Campirano said. “By positioning ourselves as a complimentary aspect, the region obviously benefits.”

The Rio South Texas Economic Council, a group formed last year to market the region, is certifying two Cameron County sites as shovel-ready — one in Brownsville and one in Harlingen.

Easy access to the port will be a selling point for all of the area’s shovel-ready locations, but the port may also have its own ready-to-go site soon, said Gilbert Salinas, vice president of the Brownsville Economic Development Corp. The city is looking to partner with the port to certify a mega-site, a tract of land 500 acres or larger that is used to attract heavy manufacturing that relies on immediate access to a deepwater port.

With the shovel-ready tag already in place for a 73-acre site in a city-owned industrial park, Salinas said, the city plans to apply the expertise accumulated during that process to the certification of the port mega-site.

“We’re already seeing the benefits,” he said of the designation, noting a food processing company from Monterrey, N.L., has already requested space at the industrial park. “From here, we’ll use this as our blueprint for the next site we want to certify at the Port of Brownsville.”

As a regional asset, the port helps all parts of the Valley compete globally by offering a way to export goods using all major transportation modes, Campirano said. Using all the available means of transport helps the area produce an inventory that says “there is nothing the region can’t handle,” he said.

“If we position ourselves, there’s no reason we can’t compete for manufacturing, industrial or any other kind of company that is looking to expand.”

Friday, November 13, 2009

Chinese company to launch maquiladora in Reynosa

Chinese company to launch maquiladora in Reynosa

REYNOSA — HCP Packaging, a global supplier of custom cases for some of the world’s top cosmetic companies, will launch a new maquiladora early next year, the company said recently.

HCP Packaging USA Inc. — a subsidiary of the China-based parent company — expects to open the 60,000-square-foot facility at the Villa Florida Industrial Park in early 2010, adding 130 jobs to Reynosa.

Officials from the company, which supplies cases for lipstick and eye shadow and other cosmetics for Maybelline and L’Oreal among other companies, could not be reached for comment Thursday. A woman at the company’s New Hampshire office said Steve Levine, president and chief executive officer, was in China.

Ralph Garcia, vice president for business recruitment at the McAllen Economic Development Corp., said HCP is shifting production to save on labor costs and be closer to customers. The close proximity to the U.S. will allow the company to keep inventory levels low and costs down.

“One of the primary reasons (for the move) is that some of the management staff had previous experience here in Reynosa and had liked the area,” Garcia said.

With next year’s expansion, HCP will be among a number of manufacturers that have shifted production to Reynosa in recent months. Amid a global downturn in manufacturing, the city’s maquila industry has proven attractive for companies from the United States and within Mexico because of its proximity to the U.S. market.

Kohler Co. is in the process of closing an Arkansas plant to fold the production of stainless steel sinks into its maquila. Steelcase, a Grand Rapids, Mich.-based office furniture manufacturer, is expected to open a new factory in early 2010.

South Korea’s LG Electronics said in July that it was creating 1,200 jobs by shifting production of electronics from a plant across the border from California, to its Reynosa facility.

Late last year, the global economic downturn assailed Reynosa’s maquilas, contributing to a 5.3 percent rise in unemployment. Since then, analysts have said the job loss has slowed, and some expect the border town’s manufacturers to begin recovering by 2010.

Thursday, November 12, 2009

Rooms To Go opening store in McAllen, Texas

Rooms To Go opening store in McAllen, Texas

Location will include Rooms To Go Kids showroom

MCALLEN, Texas — Rooms To Go will open a 35,000-square-foot main store and attached Rooms To Go Kids showroom here Nov. 21.

The main store at 1400 E. Expressway 83 near La Plaza Mall will feature the Top 100 retailer's room packages of living room, dining room and bedroom furniture. The "Kids and Teens" lineup at the RTG Kids showroom next door will feature various Disney collections - including Hannah Montana, Princesses, Pirates of the Caribbean and High School Musical - as well as an NFL collection.

The Seffner, Fla.-based company noted in a press release that at least 90% of the products shown at the new location will be available for quick delivery, including its popular Cindy Crawford Home Collection.

RTG CEO Jeff Seaman said the more than 130-store company has been looking for a site here for several years and is "thrilled to be opening our first store in McAllen."

"We're committed to providing unparalleled service, selection, value and a terrific shopping experience," he added.

The retailer said it will make an opening day donation to the McAllen Food Bank.

McAllen awards Bicentennial extension contract

McAllen awards Bicentennial extension contract
November 11, 2009 10:40 PM
Nick Pipitone
The Monitor

McALLEN — City commissioners on Monday awarded the contract for the long-awaited extension of Bicentennial Boulevard to an Edinburg company.

Construction could begin as early as January.

The awarding of the nearly $5.3 million contract to IOC Co. LLC brings the city closer to beginning the 2.2-mile extension of Bicentennial from Nolana to Trenton Road.

Plans for the extension have been 15 years in the making and have faced several obstacles along the way.

City officials say the addition of another north-south corridor in North McAllen will alleviate traffic congestion in the city, especially on 10th and 23rd streets.

“The No. 1 problem cited in our city among constituents in any district is traffic,” City Commissioner Marcus Barrera said. “It will lighten the load for all roads.”

More than a decade ago, city officials originally envisioned extending Bicentennial all the way to University Drive in Edinburg, but they faced opposition from residents there who fought the prospect of a heavily trafficked road running across their property.

The city eventually settled on a four-lane roadway extending to Trenton with an adjacent hike-and-bike trail.

“It’ll probably be very similar to how Second Street is,” Barrera said, referring to the combination of a north-south thoroughfare paralleled by a greenway. “(It will be) a more scenic way when trying to get to work or get the kids to school or get to the airport. It’ll be a boon for everybody.”

The major obstacle in the way of the plan was the crossing of two railroad tracks just north of Nolana and near Bill Schupp Park. The rail lines are owned by Rio Valley Switching Co. and the city had to close two crossings at Highland and Beech avenues earlier this year to offset the planned crossings farther north and continue with the project.

Another obstacle was the irrigation canal and drainage ditch running along Bicentennial. The city worked out an agreement with the irrigation district to convert the open canal into an underground canal on the east side of the extension, City Engineer Yvette Barrera said. The drainage ditch will remain open but will be moved slightly to the east, following the entire length of the extension.

The city also had to negotiate with property owners along the planned path of the extension to buy up the necessary land, a process it completed earlier this year, Yvette Barrera said.

The contractor, IOC, must turn in all construction plans and documents and then set up a pre-construction conference with the city, which Yvette Barrera estimates will take about three weeks. After the conference, the company would have 10 days to start construction.

Along with building the road, the company will lay down the concrete hike-and-bike trail. The landscaping aspect of the greenway will be handled by another company. The city plans to submit a grant application to the state for that part of the project, City Commissioner Marcus Barrera said.

The timing of the contract for the road was “serendipitous” for the city because of how competitive construction bidding is at the moment, he said. That’s in contrast to a few years ago when cost estimates were rising because development was rampant.

“We were able to take advantage of the situation and save the taxpayers millions” of dollars, the city commissioner said.

“Reynosa / McAllen, Union para el desarrollo fronterizo” – Strategic Alliance for Border Economic Development

“Reynosa / McAllen, Union para el desarrollo fronterizo” – Strategic Alliance for Border Economic Development
(Free-Press-Release.com)
By: Cesar Sanchez
American Industries Group
November 10, 2009 --

FOR IMMEDIATE RELEASE

United States of America. October 26th, 2009 – On October 20th, the economic promotion event "Reynosa / McAllen – Strategic Alliance for Border Economic Development" took place at the Camino Real Valle Oriente Hotel in Monterrey, NL with the special attendance of Consulates represented in the city of Monterrey, as well as Industrial companies and Chambers of Industry. The main objective of the event was to show the competitive advantages, business and investment opportunities in the Region of Reynosa / McAllen.

The event counted with the special participation of the City Mayor of McAllen, Mr. Ricardo Cortez, and his guests, Mr. David Guerra and Mr. Manuel Muniz, both representing the IBC bank, Mr. George Ramon, manager of the International Bridge Hidalgo-McAllen, and Mr. Joseph Olmeda, general manager of BSN Medical.

Diplomatic presence from consuls of countries such as Canada, Australia, Spain, USA, France, Honduras, Netherlands, Sweden, Switzerland and United Kingdom, among others, concurred with the benefits of establishing international operations in the Reynosa / McAllen region. The Industrial Chambers who attended this event were: Consejo Mexicano de Comercio Exterior, Sociedad Mexicana de Aguas, Customs Brokers Association, Colter Carswell & Associates, among others, and some companies from Monterrey interested in investing in the Mexico-US border region.

This event was organized and sponsored by the “Secretaria de Desarrollo Economico de Reynosa, Tamaulipas” (SEDEEM), the Economic Development Corporation of McAllen, Texas (MEDC), and also some Industrial developers established in Reynosa such as American Industries, GGP, “Grupo Sara” and “Grupo Stiva”. The event was a complete success and at the end some representants of European countries who attended the event announced to Armando Zertuche (Secretary of the "Secretaria de Desarrollo Economico y del Empleo de Reynosa"), their interest of visiting the Region of Reynosa / McAllen.

About American Industries Group:
American Industries Group is Mexico’s leading manufacturing facilitator with over 30 years of successfully landing manufacturing projects in Mexico from over 100 global corporations. For more information visit our company’s website: www.AmericanIndustriesGroup.com or contact us at + 52 (899) 951-8300

Press Contact:
Cesar Sanchez
American Industries Group
12120 Esther Lama Dr. S-100. El Paso
Texas 79936
Ph ( 915 )-860-0401
business.opportunities@reynosa-mcallendevelopment.com

Wednesday, November 11, 2009

McAllen-Edinburg-Mission, TX Ranked 4th in the Best-Performing Cities 2009: Where America's Jobs Are Created and Sustained

Best-Performing Cities 2009: Where America's Jobs Are Created and Sustained
Milken Institute Publications
Ross DeVol, Armen Bedroussian, Kevin Klowden, and Candice Flor Hynek
November 11, 2009



Leaders in the 2009 index, which ranks U.S. metros based on their ability to create and sustain jobs, are all metros that succeeded in avoiding the worst of economic declines driven by falling housing markets and job losses in manufacturing and global trade.


The 2009 top 10 performers (with 2008 rankings) of the 200 largest metros:

1. Austin-Round Rock, TX (4)

2. Killeen-Temple-Fort Hood, TX (13)

3. Salt Lake City, UT (3)

4. McAllen-Edinburg-Mission, TX (7)

5. Houston-Sugar Land-Baytown, TX (16)

6. Durham, NC (21)

7. Olympia, WA (9)

8. Huntsville, AL (5)

9. Lafayette, LA (14)

10. Raleigh-Cary, NC (2)

Regional economic factors also strongly influenced the rankings this year, with the oil and gas sector, technology and alternative energy providing stability among metros in Texas, North Carolina, Washington and Louisiana, which also benefited from low dependence on housing/construction. Austin in particular has been helped by its strong tech industry. It is the first metro to ever be ranked number one twice on the index, the last time being in 2000.

Another factor helping Texas metros move up in the rankings is that state’s favorable business climate and its ability to attract jobs and corporations away from higher-cost states.

The Best Performing Cities Index includes both long-term (five years) and short-term (one year) measurements of employment and salary growth. There are also four measurements of technology output growth, which are included because of technology's crucial role in creating good jobs and driving regional economies.

Data for all 324 metros is available on our 2009 Best-Performing Cities interactive web site.

Tuesday, November 10, 2009

School bond projects end on time and within budget for McAllen ISD

School bond projects end on time and within budget for McAllen ISD
November 09, 2009 10:16 AM 
Jennifer L. Berghom
The Monitor

McALLEN — It’s finished.

On Oct. 30 the McAllen school district celebrated the grand opening of the last component of its 2005 bond projects, the district operations complex, which also houses the system’s warehouse, central kitchen and transportation building.

The $13.3 million project was the last of several that voters approved in 2005 when the school district sought to sell $97.8 million in bonds to pay for them.

Other projects funded with the bond issue were the construction of five new elementary schools and a middle school, a new gymnasium for Lincoln Middle School, additions for McAllen High and Navarro Elementary schools, a new heating, ventilation and air-conditioning system for Memorial High School, and other renovations and improvements.

Final expenses for construction and other work were about $10 million more than originally planned, but the district was able to pay for those extra costs because the money it received from selling bonds accrued more interest than the district was paying on them, said McAllen School Board President Richard Moore.

The completion of the bond project on time and with enough money was the combination of hard work by the community, the school system, the engineering firm contracted to oversee the project and a little “dumb luck,” Moore said.

McAllen taxpayers didn’t originally support spending millions of dollars on new constructions and renovations. They shot down a similar bond request in 2003. Opponents of that bond said they did not trust the district to handle such a large project.

That prompted then-superintendent Yolanda Chapa to visit with community and business leaders to find out what the district needed to do to win the people’s favor.

“She listened to the bad news,” Moore said.

The district also formed a committee of residents from different facets of the community, called the Community Capital Advisory Committee, to assess the needs of the district and compile a report. The language of the bond referendum came from the committee; the board just ratified it, Moore said.

Proponents of the bond also formed a political action group to advertise and promote the proposal when it was placed on the ballot two years after the earlier referendum failed.

After voters approved the bond issue, the advisory committee played an integral role in making sure the project stayed on task, said Moore and former committee members. The committee stopped meeting about a year ago, when the contract to build the maintenance and operations complex was awarded.

“All of the grunt work was done by the committee,” Moore said.

Members of the group met several times over nearly a year to go over plans and make sure the district stuck to what the bond measure authorized, said Mike Blum, who served as the committee’s president.

“There are very few times when a political community is able to do something that has a multi-generational impact,” he said. “I knew going in we could make a difference.”

The district built the elementary schools with identical blueprints to save money on planning and materials, Blum said. The committee also had a Web site residents could access to learn about the bond and where the money was going.

Moore and Blum also credit Jacobs Facilities Inc. — the engineering firm hired to oversee the project — with keeping costs low enough to complete all the projects within the parameters of the referendum.

When bids started coming in for new construction of Thigpen-Zavala and Fields elementary schools, they were about $2 million more than what the district had planned a couple years earlier, Moore said.

But Kevin Hitchcock, a program manager with Jacobs Facilities and former manager of the district’s bond projects, was able to negotiate lower costs for those schools, as well as the other bond items, Moore said.

Though the district was able to complete its bond projects without having to ask for more money, some who were involved in the construction and renovations thought the final price tag was too high, especially for the district operations complex.

“It certainly cost more than it should’ve cost,” said Ruth Skow, president of the McAllen American Federation of Teachers and a former member of the advisory committee. “I feel a lot of angst about the final costs.”

Skow praised Blum for how he was able to organize the committee members, even if they all didn’t always agree.

“I’m glad it’s completed. We did our best to do what the taxpayers approved,” she said. “I was very honored to work on the bond.”

Though the district has completed its checklist of needs addressed with the 2005 bond, it already has begun assessing what might be needed in the future.

Another community advisory committee has been formed, and earlier this year it gave a report to the school board listing repairs, construction and other work the district might want to consider.

The district has not made any decisions on that report or set a timeline for acting on it.

Jennifer L. Berghom covers education and general assignments for The Monitor. She can be reached at (956) 683-4462