ANNUAL PROGRESS REPORT
McKinney is a city on the rise. You can see it in the diverse neighborhoods, growing business districts, serene natural settings and varied cultural opportunities coming together to form a balanced way of life.
People are taking notice. As one of the fastest growing cities in the country, people and businesses are making the decision to call McKinney home. McKinney is a bustling city that commands its own future without losing touch with its past.
“I see great benefit in looking at things from a new perspective. The City Council and I have made it a priority to make decisions that will positively impact everyone who calls McKinney home and chooses to do business here.”
- Mayor George Fuller
MESSAGE FROM THE MAYOR
It’s an exciting time to be in McKinney. This year we were named the third fastest growing city in the country. That growth is evident everywhere you look. New neighborhoods and shopping centers are springing up, the new aquatics and fitness center opened, and historic downtown is continuing its transformation. With every groundbreaking, a grand opening is sure to follow. We are booming.
2017 brought renewed economic growth to the community as we made a steady flow of announcements of relocations and expansions. Many progressive and first-rate employers like Independent Bank, PACCAR and Playful Corporation chose McKinney because of our attractiveness.
This year, I joined the City Council along with three new Council members. As we collectively continue our work for the betterment of McKinney, I see great benefit in looking at things from a new perspective. We’ve made it a priority to make decisions that will positively impact everyone who calls McKinney home and chooses to do business here.
As a community, let us each strive to elevate our city to greater heights, whether through public participation or just by being a good neighbor.
Thank you to the many people who made this an incredible year in the history of our city. McKinney is on the rise, and I can’t wait to see what new heights we’ll reach together.
Mayor George Fuller
“We must rise to the challenge of guiding rapid growth so the future of our city remains true to our roots while improving on those things that make McKinney great today. ”
- City Manager Paul Grimes
MESSAGE FROM THE CITY MANAGER
At the end of this year, we’ll be nearing a population of 175,000. We must rise to the challenge of guiding this rapid growth so the future of our city remains true to our roots while improving on those things that make McKinney great today.
We have a responsibility to continue funding the right growth. Our five-star recognition from the Texas Comptroller and our AAA ratings from both Moody’s and Standard & Poor’s are acknowledgments that we are committed to being a well-run, transparent, financially stable city and a solid investment.
We believe citizens have a right to know what the city is doing and how things are being done. To further increase transparency, we launched the Virtual Town Hall to engage residents on topics such as budget, council priorities, development and even address rumors circulating in the community. We will continue to add more ways residents can learn about city activities and get involved in their local government.
I’m proud to announce city employees established a set of core values this year to guide the way we treat those within and outside our organization. Going forward, everything we do will center on Respect, Integrity, Service and Excellence, the first letters of each word spelling out R.I.S.E. These values are intended for us to inspire and hold ourselves accountable to the high standards we set together.
Thank you to the many individuals who contributed to the city, whether it’s on one of our boards and commissions or through other McKinney volunteer programs. Your time and talents are continuing to make a positive difference in our community.
With your ongoing support, McKinney will continue to flourish and grow into a city we can all be proud to call home.
Paul Grimes, City Manager
The annual budget is created with the goal of providing a wide range of high-quality services while responsibly stewarding the city’s financial resources.
Statement of General Fund Revenues
Statement of General Fund Expenditures
Parks & Library
& TRANSFER BUDGET
Sales & Use Taxes
Licenses & Permits
Charges & Fines
& TRANSFER BUDGET
For the Fiscal Year 2017-18 (FY17-18), City Council approved a budget of $406.7 million. The general fund revenues and expenditures were proposed at $137.2 million, and the fund balance remains strong. McKinney received the highest AAA ratings issued from Moody’s and Standard & Poor’s for the city’s general obligation bonds.
Lower Property Tax Rate
The largest share of General Fund revenues comes from property taxes. This year, Council adopted a reduced property tax rate of 0.540199 per $100 of valuation, keeping approximately $6 million in the hands of taxpayers.
WHERE YOUR TAX DOLLARS GO
Many taxpayers are surprised to learn that only 22¢ of every dollar paid in property taxes goes to the City of McKinney to fund vital services like public safety, streets and parks. The following chart shows how property tax dollars are distributed among the four taxing entities:
College - 3%
ISD - 67%
McKinney - 22%
County - 8%
BASED ON A PROPERTY TAX BILL OF $7,896
ASSESSED ON AN AVERAGE McKINNEY HOME VALUE OF $324,636
FIVE STAR TRANSPARENCY
Texas Comptroller Glenn Hegar and the City of McKinney Financial Services staff members
Most Transparent City in Texas
McKinney became the first city to receive all five transparency stars from the Texas Comptroller for providing easy online access to important financial data. This designation affirms the city’s commitment to transparency by showing residents clearly how tax dollars are spent.
McKinney is a community where businesses flourish and employees want to call home. New businesses and existing companies are adding more jobs to the area and changing the economic landscape of the region.
New and Expanding Businesses
Craig Ranch Resort and Conference Center
New and Expanding Businesses
The McKinney Economic Development Corporation announced projects with an estimated capital investment totaling nearly $182 million, bringing more than 1,400 new jobs to the city. Projects include Blount Fine Foods, Cotiviti, Independent Bank, PACCAR, Playful, Service First Mortgage and Simpson Strong-Tie.
Davis at the Square
Construction is underway on the nine-acre site in the downtown area at Davis Street and S.H. 5. The mixed-use development will be another step in adding to the diversity of development in our city and maintaining a vibrant downtown.
The city and the McKinney Economic Development Corporation approved a Memo of Understanding with a development team led by KDC for the development of Southgate, formerly known as Gateway, located at the interchange of the Sam Rayburn Tollway and U.S. 75.
Craig Ranch Resort and Conference Center
The city and the McKinney Community Development Corporation entered into a public-private partnership for a $100 million upscale lifestyle hotel and conference center in Craig Ranch, an attractive amenity for businesses and tourists visiting North Texas. (Photo is a preliminary concept.)
AIRPORT OPERATIONS SOAR
The McKinney National Airport experienced another record-setting year with operations rising 11 percent compared to last year. The McKinney Air Center experienced a two percent increase in fuel sales volume, equating to an increase of more than 16 percent in revenues above 2016.
Construction began on an already fully-leased 10,000-square-foot transient hangar scheduled to open by the end of the year.
Apex Centre Opens
This spring, the city opened the doors to the Apex Centre, the new aquatics and fitness center in Gabe Nesbitt Community Park. More than 95 percent of funding for the facility was awarded by the McKinney Community Development Corporation, generated from a half-cent quality of life sales tax. Successful partnerships within the city help bring high quality projects to fruition and offer the ability to respond to the needs of our growing community.
AIRPORT AND FBO
RECOGNITION AS #1
FIRST GOLD STAR MEMORIAL
IN TEXAS BREAKS GROUND
FIRE DEPT. RECOGNIZED FOR BEST PRACTICES
BY TEXAS FIRE CHIEFS ASSOCIATION
AIRPORT BREAKS GROUND
ON NEW HANGAR
SANTA’S HELPERS TOY DRIVE
RETURNS TO DOWNTOWN
DASH PROVIDES FREE RIDES
TO DOWNTOWN PATRONS
COLLIN COUNTY TRANSIT
SERVICE LAUNCHES WITH DCTA
McKINNEY CONVENTION & VISITORS BUREAU OPENS THE McKINNEY STORE
WELCOMES HOME 1924
VINTAGE FIRE ENGINE
CITY AND MCDC
ANNOUNCE PLANS TO EXPAND
DR PEPPER STARCENTER
CITY EMPLOYEES DEPLOY FOR HURRICANE HARVEY
WATER SERVICE LINE
ON THE HORIZON
Vibrant Quality of Life
• Leisure and recreational opportunities add to the city’s excellent quality of life. Based on valuable input from residents, the Parks and Recreation Master Plan Update has prioritized ten existing parks for needed improvements and updates.
• Due to unprecedented popularity of the public library system, McKinney is updating plans to expand facilities, resources, programming and staff to keep residents using the library for learning and fun.
• Work continued on the ONE McKinney 2040 comprehensive plan, which will guide development for the next 25 years and ensure that the successes of the past are carried into the future.
• The city also embarked on a 10-year water service line replacement project to minimize water loss within the city and conserve one of our most valuable resources.
Opportunities for Fun
• McKinney Convention and Visitors Bureau is the go-to source for information on entertaining guests or being a tourist in your own town. MCVB recently released a new app to help visitors make the most of their trip to McKinney.
• Historic Downtown McKinney continues to serve as the city’s unofficial center of leisure and play with events like Arts in Bloom and Wine Festival, Home for the Holidays and Oktoberfest.
A recent citizen survey confirmed with overwhelmingly positive feedback why McKinney is rated consistently one of the fastest-growing cities in the country. These results will serve as one of several tools to evaluate projects, infrastructure needs, staffing and operational needs as the city develops.
QUALITY OF LIFE
PLACE TO RAISE A CHILD
FEELING OF SAFETY
Source: 2017 McKinney Citizen Survey conducted by National Citizen SurveyTM
Leadership in McKinney is solidly focused on maintaining the quality of life McKinney is known for and guiding growth as the city develops. McKinney operates under a council-manager form of government, with the Mayor and City Council adopting or amending ordinances, establishing policies, approving budgets and spending priorities, setting the annual property tax rate and approving contracts and agreements.
Mayor Pro Tem/District 2