A much-anticipated move to Fort Worth by a media company has been adjusted and the company will only partly call Cowtown home.
For the time being, at least.
In its work session Tuesday, June 20, the Fort Worth City Council heard an update on an economic development program agreement (EDPA) with Rural Media Group (RMG). The council authorized execution of the agreement last November with economic development grants up to $1 million in return for RMG relocating its corporate headquarters and broadcasting operations to the Stockyards.
RMG is still planning to relocate its corporate headquarters and primary broadcasting studio to the Fort Worth Stockyards (although the broadcasting studio is now currently planned for the Auction Barn, rather than in the Mule Barns as originally proposed). However, the company has decided to leave some of its back office operations at its current location in Omaha, Nebraska.
But Business Development Coordinator Michael Henning of the city’s economic development department said not to worry. The company still plans to completely relocate to Fort Worth.
“Based on everything told us by RMG, it will happen,” he said. “It’s really just a timing issue more than anything else. They wanted to get their initial foothold in the Stockyards.”
The original authorization included a community facilities agreement (CFA) with Fort Worth Heritage Development (FWHD) for public improvements to East Exchange Avenue and Mule Alley, along with a tax increment financing (TIF) development agreement for reimbursement to the city for up to $7.9 million for those costs and additional public improvements.
However, the recent decision by RMG reduces their space needs from the original estimated 30,000 square feet to approximately 14,000 square feet. RMG will also be reducing the initial employment associated with the relocation of its corporate headquarters to between 35 and 40 employees, although that number may increase to over 100 employees in future years.
“When they eventually move completely they’ll need more space. Where it will be hasn’t been decided yet, but it will all be in the Stockyards,” Henning said.
“Of course we’d love to see more jobs, but the real value to the city is in the broadcasting.”
As a result of these changes, the approved EDPA between RMG and the city will not be executed. However, construction of the public improvements to East Exchange Avenue will proceed. All remaining agreements previously approved by the City Council and Stockyards TIF Board, including the two CFA’s and the TIF development agreement, will still be carried out.
RMG must still complete its relocation by Jan. 1, 2020 and continue its corporate headquarters operations for a period of 10 years. Henning said it is expected the initial move will be finished by 2019, with the subsequent relocation of the remaining operations undecided with no deadline.