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From YouTube: Oklahoma City Economic Development Trust - May 11, 2020
Description
A special meeting, via video conference, of the Oklahoma City Oklahoma City Economic Development Trust for May 11, 2020.
D
D
B
B
D
A
A
A
A
E
As
you
will
recall,
there
was
an
original
allocation
of
tax
increment
financing
funding
in
the
amount
of
4.4
million
dollars
for
a
homeland,
grocery
store
and
corporate
headquarters
to
be
located
on
the
same
parcel
with
the
maps.
Three
northeast
oklahoma
city
senior
wellness
center
homeland
has
decided
not
to
build
a
new
corporate
headquarters.
The
project
has
been
reduced
in
size,
and
the
agreement
today
will
include
three
and
a
half
million
dollars
in
tax
increment
financing.
E
A
F
F
E
A
C
E
E
D
G
I
have
been
helping
costco
in
the
management
of
the
real
estate
activities
for
about
28
years
in
the
midwest
and
texas
region,
and
we
have
a
short
power
point
here
that
I
thought
we'd
go
through
with
brevity
as
a
theme
next
slide,
please
so
for
those
of
you,
I'm
sure
most
of
you
are
familiar
with.
Who
costco
is
costco
is
the
third
largest
retail
in
the
world
currently
founded
in
1983..
G
They
are
the
originator
of
the
warehouse
club
concept,
of
which
you
know.
Sam's
club
also
competes
in
that
in
that
space
with
us,
costco
is
the
14th
largest
company
in
the
fortune
500
up
until
recently,
they
were
the
largest
publicly
traded
company
by
sales
in
the
state
of
washington.
I
believe
amazon
now
has
that
title.
A
G
Is
the
current
number
we
have
258
000
employees
worldwide
next
slide,
please
and
I'll
break
down
where
we're
located
worldwide
on
the
next
slide.
But
for
the
company
background
again
it's
a
membership
based
company
with
102
million
card
holders
about
53
million
gold,
star
and
business
primary
members.
Gold
star
would
be
our
members
who
predominantly
join
for
their
businesses
to
buy
janitorial
supplies,
office
supplies
and
the
primary
in
the
gold
star
excuse.
G
The
gold
star
excuse
me
is
for
the
retail
client
and
then
the
primary
business
members
would
be
the
alternate
we
currently
have
about
a
90
percent
renewal
rate
in
the
us
and
canada
by
our
allocation.
That's
probably
the
highest
renewal
rate
of
any
membership
based
retailer
in
the
world.
It's
important
to
us!
It's
one
of
the
key
metrics
we
look
at
because
the
bulk
of
our
revenues
are
derivative
of
membership
sales.
G
We
generally
market
ourselves
to
middle
income
and,
above,
although
we
see
ourselves
as
a
retailer
for
all
basic
social
quantiles,
our
business
model
has
a
very
reduced
sku
shell
keeping
unit
count.
We
only
have
about
three
thousand
four
thousand
items
compared
to
a
traditional
supermarket
of
sixty
thousand
or
supercenter
of
200
000.
So
one
of
the
key
takeaways
from
this
is
we
have
no
depth
of
selection
in
any
product
category.
G
G
The
company
background.
This
is
actually
our
mission
statement.
It's
to
continually
provide
our
members
with
quality
goods
and
services
at
the
lowest
possible
prices,
and
in
order
to
do
this,
we
follow
that
we
conduct
our
business
with
the
following
ethics
in
mind:
number
one
obey
the
law
number
two
take
care
of
our
members,
number
three
take
care
of
our
employees
and
number
four
respect
our
suppliers,
vendors
and.
G
These
things,
the
ultimate
goal,
will
be
achieved,
which
is
to
reward
our
shareholders.
I
have
to
share
with
you
a
very
brief
story.
When
I
was
hired
in
february
of
1992,
I
was
told
by
costco
that
literally
I
was
told
in
the
absence
of
negligent
malfeasance
or
fraud.
I
would
be
doing
their
work
until
I
retired,
and
they
immediately
instructed
me
to
hire
lawyers,
architects,
engineers
and
surveyors
and
tell
them
the
same
thing
and
back
in
1992.
G
A
couple
takeaways
from
this
we've
been
operating
the
united
kingdom
for
over
20
years
and
in
asia
for
over
20
years,
so
we
have
tremendous
head
start
over
there.
We
just
opened
our
first
costco
in
china
about
nine
months
ago
in
iceland
about
a
year
and
a
half
ago,
and
we
currently
are
under
contract
in
new
zealand
and
several
other
countries,
but
I
can't
review
the
other
countries
because
we're
not
yet
public
with
those,
and
we
are
public
within
next
slide.
G
G
Last
year,
e-commerce
sales
were
up
86
percent
year
over
year
for
the
last
period
and
if
you
removed
covid,
what
we
think
are
covid
related
items,
it's
still
up
between
30
and
40
percent,
so
this
facility
would
primarily
be
to
service
e-commerce
in
doing
the
site.
Selection
for
this
costco
used
a
number
of
different
consultants,
demographers
site
planners-
and
you
know.
Ultimately,
we
examined
multiple
states.
G
We
are
currently
looking
at
a
site
within
the
market,
we're
actually
negotiating
to
purchase
the
site,
and
but
we
don't
have
anything
to
announce
just
yet,
but
we
hope
to
shortly
and
because
we're
under
a
confidentiality
agreement
we
can't
yet
reveal
where
it
is.
But
again
we
expect
in
the
next
couple
weeks
to
be
able
to
do
that
again.
State
local
incentives
played
a
major
role
in
this
decision,
along
with
utility
occupancy
costs.
Workforce
availability
and
economic
stability,
as
you
can
imagine,
there's
an
enormous
amount
of
metrics.
We
look
at.
F
G
Of
that
stuff
has
to
be
homogenized
down
before
executives
can
make
decisions,
and
at
this
point
we've
decided
on
oklahoma's
next
slide,
please
relative
to
our
local
effects.
Costco.
I
tell
people
there's
a
lot
of
superlatives
to
describe
costco
where
the
chief
among
them
is.
We
are
socially
progressive
and
a
leader
in
wage
wages
and
benefits.
G
So
this
just
to
give
you
some
context.
Costco's
current
average
wage
in
the
united
states
in
retail
buildings
is
25.85
an
hour
which
is
over
double
what
target
walmart
and
most
of
the
others
pay.
This
particular
unit
will
start
out
employing
over
500
people
and
ultimately
employ
over
a
thousand
by
the
third
year.
The
average
wage
would
be
60
000
and
the
job
classifications
would
be
kind
of,
as
you
would
expect
for
a
a
call
center
clerks
computer
experts,
technical
people,
supervisors
managers,
and
there
also
will
be
part-time
and
seasonal
employment
opportunities.
G
The
benefits
to
employees
are
white
collar
benefits.
You
can
see
them
all
here:
metal,
medical,
dental
vision,
pharmacy.
Some
some
that
aren't
mentioned
here
are
orthodontic
optical,
glasses,
above
vision,
testing.
So
really,
we
believe
that
we
have
the
best
benefit
package
of
any
retailer
in
the
world.
G
Part-Time
employees
are
also
eligible
for
these
benefits
after
450
paid
hours,
part-timers
are
generally
guaranteed
20
hours
a
week.
Company-Wide
and
again,
I
believe
the
minimum
wage
for
costco
worldwide
now
is
15.50
an
hour
and
my
my
it's
been
rumored,
but
I
believe
that
that's
going
up
soon
as
well.
G
G
A
G
Think
will
primarily
be
oklahoma
city
residents,
but
I
can
tell
you
for
our
traditional
costco's.
They
normally
draw
about
60
miles.
Costco
is
a
tremendous
corporate
citizen.
We
engage
in
in
the
in
the
community.
One
percent
of
our
pre-tax
profit
goes
to
charitable
organizations.
We
have
in
volunteer
breeding
programs.
We
have
partnerships
with
non-profits
again
feeding
america
is
one
new
eyes.
The
charity
backpack
program
is
common.
F
G
Allocated
a
couple
of
these
schools
to
to
to
adopt
world
vision
again,
we
connect
we
collect,
recyclable,
glasses
and
distribute
them
relative
to
the
dedication
of
our
involvement.
The
warehouse
manager,
the
facility
manager
will
become
involved
with
the
chamber
and
other
local
business
groups
and
then
the
last
two
are
actually
our
national
programs.
The
chur
children's
miracle
network
and
united
way
campaign-
and
I
don't
have
the
exact
numbers
on
those.
But
my
recollection-
is
we
raise
about
three
to
five
million
dollars
for
each
of
those
a
year.
G
G
So
so
cos,
a
lot
of
people
are
not
aware,
but
costco
has
a
travel
division.
You
can
go
on
our
website
and
you
can
look
and
costco
similar
to
other
products
and
merchandises
merchandise.
Items
is
a
price
leader
in
the
travel
business.
So
we
without
believing
too
much
we.
We
establish
pricing
authority
in
group
travel,
for
instance.
If
you
want
to
do
a
seven-day
trip
to
hawaii,
we
find
that
we're
more
competitive
than
all
of
the
major
travel
agents,
including
the
expedias
of
the
world.
D
G
And
take
the
risk
of
being
able
to
sell
all
of
those
positions,
and
just
as
one
example,
I
can
tell
you
about
eight
years
ago
I
did
a
cruise
of
the
mediterranean
and
costco
committed
to
all
200
positions
on
the
boat
and
then
went
out
and
put
it
on
our
website.
It
sold
out
in
three
days.
So
most
of
these
travel
programs
sell
out
very
quickly,
but
you
can
go
on
there
and
you
can
do
ordinary
travel
as
well,
including
business
travel.
D
And
mike
to
expand
on
your
core
missions
and
number
two
and
number
three
safety
for
your
members
and
safety
for
your
employees
having
been
a
customer
of
costco
now
since
you've
opened
in
oklahoma
city,
I
was
very
appreciative
of
the
extra
sanitation
protocol
and
everything
else
it
led.
It
led
the
community
appreciate
that
tremendously.
G
B
G
People
came
up
with
that
idea.
We,
like
other
retailers,
I
know
aldi
does
as
well.
We
really
we
had
a
plan
in
place
before
this
happened
for
such
a
such
occurrences
and
again
I'm
taking
more
of
your
time,
but
I
can
tell
you
we
are
getting
a
lot
of
pushback
lately
for
this,
but
we
believe
it's
the
whole
wearing
of
mass
program
is
is
drawing
some
ire,
but
we
believe
it's
critical
for
the
safety
of
our
members
and
our
in
our
employees.
C
E
The
project
consists
of
the
acquisition
of
the
property
and
the
investment
of
approximately
52.6
million
dollars
for
the
construction
of
300
apartment
units,
with
72
apartment
units
being
designated
as
affordable
housing
units
by
the
developer,
who
is
700
west?
Fourth
llc,
whose
principal
partner
is
ron
bradshaw,
so
for
some
additional
information
about
the
project.
E
E
We
received
two
proposals,
one
of
which
was
from
ron
bradshaw
and
colony
partners,
and
they
were
designated
as
the
developer
of
the
site.
Since
the
original
proposal
was
received,
the
project
has
evolved
somewhat
into
a
more
dense
project
with
many
more
affordable
or
workforce
housing
units
than
was
originally
envisioned.
E
E
And,
let's
see
it
has
structured
parking
for
the
units
and
a
little
bit
of
retail
space.
On
the
first
floor
with
that,
I
can
turn
it
over
to
ron
bradshaw
for
a
little
bit
more
information
about
the
project,
just
as
another
little
aside,
because
it
is
an
urban
renewal
project,
he
will
be
under
an
economic
development
agreement
with
urban
renewal
or
he
already
is
under
one
that
will
require
the
urban
renewal
authority
to
approve
all
of
his
plans
at
every
step
of
the
process.
E
So
we
control
the
design
process
for
the
project
at
a
at
a
greater
degree
of
detail
and
then,
like
the
downtown
design
review
committee
process,
enables
the
city
to
do
so.
This
will
be
constructed
as
an
urban
renewal
project
with
all
of
the
requirements
on
the
developer
that
urban
renewal
usually
places.
So
with
that
I'll
turn
it
over
to
ron.
H
H
H
H
We
will
fund
the
tiff,
we're
not
asking
for
the
funding
of
the
tif
we're
asking
for
a
rebate
of
the
ad
valorem
taxes
after
construction,
and
we
estimate
that
to
be
about
five
years
of
life
left
in
the
tif
and
we
estimate
the
tax
revenue
or
revenue
to
be
over
500
000
a
year.
That's
how
we've
arrived
at
the
2
million
155.
H
H
H
H
We
hope
to
get
underway
this
this
august
or
september
on
that
timeline.
We'd
have
units
available
the
first
quarter
of
2022,
maybe
the
the
third
quarter,
the
the
the
best
leasing
time,
of
course,
is
this
is
in
the
spring
for
for
new
projects,
but
we'll
have
this
ready,
probably
in
two
phases.
Some
will
be
will
be
available
before
the
end
of
2021
and
the
remainder
of
the
first
quarter
of
2022.
B
Okay,
thank
you
so
relatively
quickly.
I
guess.
Mr
chairman,
I
would
just
offer
thank
you
to
ron
and
his
partners
for
the
coordination
with
downtown
design
with
urban
renewal
and
others.
This
looks
to
be
a
wonderful
reuse
of
a
piece
of
land
to
get
it
off
of
the
tax
exempt
rolls
rather
and
into
live
property
for
development
on
the
west
side
of
downtown,
so
very
much
appreciate
the
affordable
housing
component,
the
parking
accommodations
and
what
appears
to
be
a
good
neighbor.
So
thank
you
for
the
investment.