STATE OF THE CITY: Diverse economy shelters Corpus Christi from oil crisis

Long range planning, including water supply, road maintenance and passage of Plan CC 2035, topped the Mayor’s list of important issues facing Corpus Christi. In the annual Mayor’s State of the City address Feb. 18, Mayor Nelda Martinez outlined a bright future for a city with a diverse economy already overcoming the current oil crisis.
“There is no doubt we have seen some fallout from oil prices going from $107 to below $30 [a barrel] in the last two years,” Martinez told the 1,000-plus attendees to a luncheon in the American Bank Center. The State of the City address is a major fundraiser for the Corpus Christi Chamber of Commerce, celebrating its 100th birthday this year. “And we don’t know if we have hit the bottom in oil prices and what full impact lies ahead.” 
Although the city’s sale revenues have dipped about 3.8 percent and residential permits are down about 4 percent, commercial permits are up, valuations are up and the unemployment rate is holding steady.
“During the last oil bust in the 1980s, employment fell nearly 8 percent within a year of the oil market collapse,” Martinez said. “The picture is drastically different today in our current economy.”
The city’s best unemployment rate peaked in 2014 at 4.5 percent. Today, with the oil collapse, it is at 5.2 percent, less than a 1 percent difference. 
“Our unprecedented economy is so much more diversified since the 80’s,” Martinez said.  “And clearly more resilient.” 
Coming one day after officially announcing her bid for a third term as Mayor, Martinez outlined some of the long-term challenges the city faces, most notably the disrepair of residential streets. According to some estimates, 70 percent of the city’s residential streets need to be repaved. 
Martinez pointed out that the city has upgraded its standards for street repairs and paving and has seated a citizens’ committee to help in determining priorities and funding for the future. 
“I understand this is a politically difficult decision,” she said. “But, I truly believe this city council has the political courage to follow through on our No. 1 priority in finding the solution to reconstructing our local/residential streets.” 
In her remarks about shoring up the city’s water supply, she announced that the Mary Rhodes Phase II water pipeline is expected to come online sometime in March.
“Folks, our long term water supply has proven to be the mother’s milk of our explosive $40 billion growth with our global economy AND our existing industry,” she said. “Long term water supply equals jobs and we are not done yet.”
Other ways the city is working to improve the water situation, which hit a new low in the summer when city-wide boil water notices were issued twice, include: 
• First place finish in its category for National Mayor’s Challenge for Water Conservation, where citizens pledged to conserve up to 5 million gallons of water a day;
• An industrial water reuse program that reportedly saves nearly 500 million gallons of fresh water per year; 
• A desalination pilot project to build a small scale desal plant to determine the feasibility and cost estimate of a full scale plant;
• A $500,000 grant from the Texas Water Development Board to conduct a study on a drought tolerant water supply.
The tourism industry provided one of the brightest spots in the presentation. 
“One of our shining stars in 2015 was our tourism industry,” the mayor said. “Through the leadership and partnership with the Corpus Christi Convention & Visitors Bureau, we had 4.6 percent growth in hotel occupancy.”
She especially noted the highly successful Fiesta de la Flor in 2015. A second festival is set for May 6-7.
“[The Convention and Visitors Bureau] not only beautifully honored the legacy of our own Selena,” Martinez said, “but they put Corpus Christi on the global map by attracting over 52,000 Selena fans from around the world with about a $13 million economic impact for our city.” 
She also pointed out how improvements at the Texas State Aquarium and the USS Lexington Museum on the Bay have tremendously increased tourism in the North Beach area of the city. Further improvements are underway at both attractions, which are expected to continuing driving up the number of visitors to the city.
Downtown revitalization was another stimulus cited.
“All areas of the city benefit when you have a thriving downtown,” she said. “ No matter what area of the town you live in, we all pay for blight.” 
In downtown Corpus Christi, blight is giving way to public works of art, new upscale residential apartments like the Cosmopolitan and the 600 Building and new restaurants and businesses. An increase in family friendly downtown activities has driven foot traffic and interest in the area. Programs like the ArtWalk, BridgeWalk, farmers market, A La Mano Food Truck Fridays and a variety of new festivals are leading the way to a new, livable downtown. 
As usual, the serious nature of the speech came with a lighter side, as a video of council members and the mayor having a bit of fun with pop music (and their inner children) added to the luncheon’s uplifting atmosphere.
The mayor signed off on a high note with her signature description of the city she serves. 
“It is an honor and a privilege to be your Mayor of the most beautiful city in the Milky Way Galaxy,” she said in conclusion.