2005 Tax Abatement Report

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Prepared by

Frank Reeb

Administrative Services Director/City Clerk

Mia Payne, Personnel Intern

 

 

 

 

 

Introduction

A total of thirteen businesses received tax abatements in 2005.  Pursuant to City Code Section 1-2125, a business receiving a tax abatement is required to complete an annual questionnaire.  The purpose of the questionnaire is to determine whether a business is meeting its promises and projections as stated in the original abatement application.  The information from these questionnaires plus information from the Douglas County Appraiser’s Office was used to prepare this Annual Report.  As of March 27, 2005, API Foils did not return a completed questionnaire.  Staff did not send questionnaires to three businesses whose abatements ended in 2005 and prior to the original ten year period of the abatements.  Those businesses are Serologicals, Inc.; Microtech (Sunshine Properties); and Martin Logan.  Information regarding the ending of each of these abatements is included in the Notes section following Table 1 on page 3. 

 

As of the writing of this Report, there are two companies with tax abatements pending.  First, on November 18, 2003, the City Commission approved a 10-year, 55% tax abatement on approximately $7,700,000 of new construction and modifications and approximately $9,400,000 of new machinery and equipment for AMARR Garage Doors.  Most recently, on February 7, 2006, the City Commission approved Resolution 6627 supporting a Packerware/Berry Plastics request for Industrial Revenue Bonds and a 90% tax abatement on $24,500,000 in new construction and $93,500,000 in machinery and equipment.

 

 

General Information

The information in Table 1 lists all 13 businesses receiving tax abatement in 2005 and contains key information about each abatement.  All of the abatements described in Table 1, except the abatements for Serologicals and the latest Prosoco abatements, were approved while Resolution 5431 was the applicable tax abatement policy (adopted on September 17, 1991).  Resolution 5431 was later repealed by Resolution 6343 (adopted on November 13, 2001) which was in effect at the time of the Serologicals and Prosoco abatements.  Ordinance 7706, now found at City Code 1-2101, et seq. contains the current Economic Development Policy.  The pending AMARR and Packerware abatements referenced above were approved after the effective date of Ordinance 7706. 

 

Table 1.

 

Name of Business and

Exemption Application Date

Abatement Percentage

Expiration Date

Abatement Authorized*

2005 Appraised Value of Property Subject to Abatement

Actual

Investment and Percent of Abatement Authorized

Allen Press, Inc.

1-Jan-99 Phase I

50% eqpmnt; 50% lsehld imprvmnt

31-Dec-09

Phase I -- $2,777,134.81 new equipment & machinery

$1,925,674.88 bldg. improvements

Bldg. $1,290,000

Mach & Eqpmnt

$553,114

 Equipment $2,777,134.81

(100%)

Building Improvements $1,925,674.88 (100%)

Allen Press, Inc.

1-Jan-99 Phase II

50% eqpmnt; 50% lsehld imprvmnt

31-Dec-11

Phase II-- $3,723,000 new equipment & machinery

$1,074,500 bldg. improvements

Land 387,700

Bldg. $612,300

Mach & Eqpmnt

$521,926

Equipment $1,785,846.75

(48%)

Building Improvements  $448,169.64 (42%)

RAM/Garage Door

22-Aug-94

50% Bldg. Expansion

31 Dec 05

$4,500,000

Land $222,920

Bldg.$3,139,510

 

Land $140,220

Improvements

$4,359,780 (100%)

Amarr Garage Doors Inc.

22-Aug-94

50% Machinery and Equipment

31-Dec-06

$2,500,000 Machinery & Equipment

Mach & Eqpmnt

$320,961

 $2,428,996

Mach. & Equipment (97%)

Amarr Garage Doors Inc.

13 Nov-98

50% Mach. & Equipment

31-Dec-09

$3,650,000.00 in Machinery & Equipment

Mach & Eqpmnt

$559,427

 $3,756,214 Mach. & Equipment  (103%)

API Foils

18-Oct-94

50% on $327,330 of eqpmnt; 63.896% on $8,050,000 land & bldg

31-Dec-05

$327,330 in equipment $8,050,000 in land and building

Land $296,630

Bldg. $3,683,370

Mach & Eqpmnt

$55,931

Mach & Eqpmnt $327,724.64 (100%)

DST Systems

21-Nov-00

50% on improvements and new equipment

100% for 5 years on used equipment purchased from Sallie Mae

31-Dec-11

$5,550,000 Existing Land & Improvements

$2,000,000 existing personal property

$200,000 new improvements

$1,450,000 new pers. Prop.

Land $1,131,610

Bldg. $3,596,240

Mach. & Equip

$533,478

Land  $5,647,101

Improvements

$1,020,317

Mach & Eqpmnt

$1,387,418

(Aggregate 90%)

Hardman and Hardman LLC/ Jayhawk Bowling Supply

1-Jan-98

50%

31-Dec-07

$560,000 - New Construction; $50,000 - Land;                         $53,000 - Machinery and Equipment

Land $112,260

Bldg. $577,840

Mach & Eqpmnt

$306

 Land $51,276  (102%)

Bldg $594,501  (106%)

Mach & Eqpmnt $54,042 (102%)

Martin Logan

8-Sep-98

50%

31-Dec-09

$250,000 land

$750,000 new construction

$300,000 machinery & equipment

Land $579,740

Bldg. $561,100

Mach & Eqpmnt

$93,362

 Land  $328,653  (131%)  

Bldg. Imprvmnts  $769,619  (103%)

Eqpmnt $378,704  (126%)

Sunshine Properties (Microtech Computers, Inc.)

14 Oct-96

50%

31-Dec-07

$2,100,000.00

Land $337,300

Bldg. $1,832,200

Mach & Eqpmnt

$27,105

 $1,942,994.09 (93%)

PackerWare/ Berry Plastics

6-Jan-98

50%

31-Dec-08

$2,845,000 Mach. & Eqpmnt

Mach & Eqpmnt

$153,811

 Mach. & Equipment*** $967,060.00 (34%)

Progress Vanguard

1-Jun-98

50%

31-Dec-08

$1,650,000 - Mach & Eqpmnt;

 $50,000 - Bldg Imprvmnts 

Bldg. sold in 2004

Mach & Eqpmnt

$171,541

Mach & Eqpmnt $1,650,000 (100%)

Bldg Imps $50,000 (100%)

Prosoco, Inc.

17-Nov-97

50%

31-Dec-08

$350,749 land

$6,575,847 improvements

$1,113,404 machinery & equipment

Land $397,840

Bldg. $4,912,160

Mach & Eqpmnt

$193,212

Land $350,748 (100%)

Bldg. $6,911,456 (105%)

Eqpmnt $1,732,486

(156%)

Prosoco, Inc.

25-Sep-02

55%

31 Dec 14

$2,348,000 improvements

$260,000 equipment

Bldg. $2,039,100

Mach & Eqpmnt

$228,060

Improvements $2,397,288.41 (102%)

Mach. & Eqpmnt$662,312.22 (255%)

Reuter Organ Co.

4-Jan-00

50%

31-Dec-11

$3,683,489 land, bldg, machinery & equipment

Land $327,000

Bldg. $2,554,000

Mach & Eqpmnt

$87,184

Land $290,000

Bldg. $3,037,239

Eqpmnt $389,250

Total $3,716,489 (101%)

Sauer-Danfoss Co.

1-Mar-98

80%

31-Dec-08

$35,416,360.00

Land $675,530

Bldg. 7,987,570

Mach & Eqpmnt

$3,267,774

 $23,858,000

(67%)

Serologicals Corp.

16 Dec 02

80%

31 Dec 14

$13,236,792 new construction

$12,508,559 machinery & equipment

Land $443,370

Bldg. $11,334,760

Mach.&Equpmnt

$8,672,881

$17,802,918 new construction (134%)

$10,141,697 machinery & Equipment (81%)

 

                NOTES:

*Amounts presented in Column 4 Abatement Authorized are amounts that appear in the City Ordinance authorizing the abatement

 

Allen Press  The total abatement authorized $6,500,000 in equipment $3,000,000 in building improvements and was approved for two phases.

 

Martin Logan  On October 18, 2005, Martin Logan exercised an option to pay off outstanding IRBs and the City subsequently sold and deeded the real property back to Martin Logan.

 

Microtech At request of the company, the City Commission approved an amended performance agreement on January 17, 2006, whereby Microtech, effective December 20, 2005, agreed to increase the payment in lieu of taxes from 50% to 100% of the ad valorem tax which would otherwise be due.  In effect, the tax abatement ended but the IRBs remain in effect. 

 

PackerWare/Berry Plastic’s amount of actual investment is less than the abatement authorized because there was a decision to lease and not purchase equipment.  The leased property was not eligible for abatement.

 

Progress Vanguard Corporation was sold in 2005 to One Equity Partners, LLC located in Chicago, Illinois

 

Sauer-Danfoss has not yet applied for Phase IV of the abatement which authorizes an 80% abatement of up to $10,230,000 on machinery & equipment.

 

Serologicals  On October 3, 2005, the Board of Tax Appeals issued an order for Serologicals Corporation (dba Celliance Lawrence, Inc.) approving the 10-year, 80% tax abatement for $13,236,792 in new construction and $10,141,697.05 in new machinery and equipment.  However, in early January 2006, the corporation announced plans to sell the facility.  While Serologicals received a tax abatement for 2005, the facility and related personal property are now on the tax rolls.  In addition to the amount of personal property applicable for the abatement, Serologicals also leased additional new machinery & equipment totaling $3,535,409.

 

 

 

Employment Information

The questionnaire requested information on the number of full time and part time employees in the year prior to the granting of abatement.  We also requested information on the projected number of additional jobs to be created as stated on the abatement application.  The businesses were also asked to provide the number of individuals employed as of the end of December 2005. The following table also presents the number of full time and part time employees for the previous five years in order to see any trends for the five year period.  The “over/under projection” column compares the December 2005 employment information with the “Projected on Application” information in column 3.

Table 2.

 

Number of Part/Full Time Employees

Name of Business

Pre-Abatement

Projected on Application

December

December

December

December

December

Over/ Under Projection

2001

2002

2003

2004

2005

 

Full Time

Part Time

Full Time

Part Time

Full Time

Part Time

Full Time

Part Time

Full Time

Part Time

Full Time

Part Time

Full Time

Part Time

Full Time

Part Time

Allen Press Inc.

314

8

327

0

352

16

340

18

337

13

358

12

369

12

42

12

Amarr Garage Doors Inc. (1994)

153

0

180

0

189

1

189

1

180

0

185

0

180

0

0

0

Amarr Garage Doors Inc. (1998)

340

0

371

0

380

0

380

0

379

0

376

0

387

0

16

0

API Foils

0

0

58

1

65

0

62

0

62

0

60

0

DNR

DNR

Unk

Unk

DST Systems, Inc.

0

0

175

0

NA

NA

149

0

145

4

146

7

146

87

(29)

87

Hardman and Hardman LLC / Jayhawk Bowling Supply

13

5

15

0

15

6

15

2

14

3

14

5

14

5

(1)

5

Packerware / Berry Plastics Corp.

350

0

370

0

423

19

393

25

370

18

377

8

398

10

28

10

Progress Vanguard

23

0

35

1

67

0

57

0

59

0

52

0

61

0

26

(1)

PROSOCO, Inc.

0/50

0

75

3

78

0

79

0

81

0

65

0

67

1

(8)

(2)

Reuter Organ

42

0

56

0

NA

NA

47

5

45

3

39

4

29

3

(27)

3

Sauer-Danfoss Co.

0

4

150

0

100

0

86

0

109

0

146

1

181

0

31

0

 

NOTES:

Amarr Garage Doors had a total of 586 employees as of 12/31/05, 538 full time employees, 1 part time employee, and 47 temporary employees.

 

PackerWare/Berry Plastics Corp. also reported 62 temp-to-hire employees in addition to the 398 full time employees for a total of 460 employees.

 

 

Sauer-Danfoss  reported 181 Full Time employees as well as 67 other full time contract employees.

 

PROSOCO provided the following information in its questionnaire: “In the Year Prior to Application, PROSOCO had no Lawrence employees.  The City Commission minutes for December 1, 1998 reference 62 employees working at PROSOCO’s Kansas City, Kansas facility.  That number was in error, because in providing it, PROSOCO inadvertently included employees working in facilities outside Kansas.  In reviewing our records, we now see that at the time of the Application, PROSOCO had 50 employees working in Kansas City, Kansas

 

** The Application was submitted on November 5, 1998, and it required listing of “new employees.”  Since all the Lawrence employees would be new to Lawrence, PROSOCO listed 75 full-time employees and 3 part-time employees would be working in the new Lawrence corporate headquarters and centralized manufacturing facility when operations began there in the fall of 1999.  In retrospect, that number was in error, because it was an estimate of all PROSOCO employees across the country.  (Our national employment in the fall of 1999 turned out to be 77 which exceeded the estimate of 75.)  Our Kansas employment in the year prior to the application was 50, and that should have been listed as the number of new employees for the Lawrence facility.  Total Lawrence employment on 12/31/05 was 67 full time for an increase of 17.

 

The City’s Application for Bond Allocation dated September 11, 1998 indicated an expectation of 14 new jobs.  Subtracting the number employed on 12/31/05 from the number employed in Kansas City at the time of the Application shows an increase of 17 employees.  (The increase is actually 67, if you take into account there were originally zero Lawrence employees.)  Our increase has been in line with the City’s expectations.

 

 

 

Payroll and Wage Information

 

The questionnaire requested each business to provide occupation specific information to include a 6-digit SOC Code, full or part time status, and the hourly or annual wage for each position.  The information for each occupation was then compared with a benchmark mean wage for that occupation.  In the majority of cases, the benchmark used was the 6-digit SOC Code mean wage as reported in the 2005 Edition of the Kansas Wage Survey for the Lawrence Metropolitan Statistical Area (MSA).  Whenever a 6-digit SOC Code mean wage was not available, a 4-digit SOC Code mean wage was used as the benchmark.  This benchmark is a weighted mean wage for all reported wages in a 4-digit SOC Code for the Lawrence MSA and is a non-standard Code that was created by the Kansas Department of Human Resources at our request.  The 4-digit benchmark is based on the same wage information as the 2005 Kansas Wage Survey but blends together the more specific 6 digit SOC Code information into a broader 4 digit SOC Code category. 

 

 

 

Table 3

 

NOTE:  In order to preserve the confidentiality of all employees’ wage information, reported job categories containing two or less employees in those categories are not listed in the tables below.  However, the average information for those job categories is included in the cumulative data information following the table for each business.

 

Allen Press, Inc

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

11-3011 (5)

Administrative Service Managers

FT

ABOVE

$36.56

$26.38

$25.97

11-3051 (5)

Industrial Production Managers

FT

ABOVE

$42.23

$41.63

$21.89

13-1121 (3)

Meeting and Convention Planners

FT

ABOVE

$15.18

$14.37

$12.49

13-1199 (36)

Business Operations Specialists, All Other

FT

BELOW

$17.71

$21.59

$12.45

15-1021 (8)

Computer Programmers

FT

BELOW

$23.46

$24.72

$16.75

15-1041(16)

Computer Support Specialists

FT

ABOVE

$18.09

$17.95

$12.84

27-1024 (7)

Graphic Designers

FT

ABOVE

$17.96

$17.08

$14.45

37-2011 (6)

Janitors and Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$11.26

$11.24

$9.54

43-1011 (5)

First-Line Supervisors/Managers, Office & Administrative Support Workers

FT

ABOVE

$23.23

$18.31

$16.05

43-3021 (8)

Billing and Posting Clerks and Machine Operators

FT

ABOVE

$15.23

$13.34

$9.42

43-3031 (8)

Bookkeeping, Accounting and Auditing Clerks

FT

ABOVE

$15.41

$13.43

$10.00

43-4051 (13)

Customer Service Representatives

FT

ABOVE

$12.48

$11.72

$10.42

43-5071 (7)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$12.87

$11.12

$9.73

43-9011 (13)

Computer Operator

FT

ABOVE

$16.15

$13.92

$13.29

43-9021 (7)

Data Entry Keyers

FT

ABOVE*

$12.42

$10.76

$8.50

43-9031 (44)

Desktop Publishers

FT

ABOVE

$16.62

11.03*

$10.43

43-9051 (5)

Mail Clerks and Mail Machine Operators, Except Postal Service

FT

ABOVE*

$14.70

$11.03*

$12.88

43-9061 (10)

Office Clerks, General

FT

ABOVE

$14.05

$10.01

$11.72

43-9081 (23)

Proofreaders and Copy Markers

FT

ABOVE*

$13.31

$11.03*

$10.00

43-9999 (5)

Office and Administrative Support Workers, All Other

FT

ABOVE*

$15.14

$11.03*

$10.70

49-9042 (6)

General Maintenance and Repair Workers

FT

ABOVE

$21.04

$15.42

$19.40

51-1011 (11)

First Line Supervisors of Production & Operating Workers

FT

ABOVE

$23.73

$19.38

$17.43

51-5011 (29)

Bindery Workers

FT

ABOVE

$12.70

$9.62

$9.15

51-5022 (8)

Prepress Technicians and Workers

FT

ABOVE

$19.47

$16.38

$12.25

51-5023 (27)

Printing Machine Operators

FT

ABOVE

$20.82

$15.32

$12.42

51-9111 (9)

Packaging and Machine Filling Operators

FT

ABOVE

$12.41

$9.41

$10.41

53-7051 (3)

Industrial Truck and Tractor Operations

FT

ABOVE

$19.71

$12.39

$15.12

*No wage information for this SOC code was listed in the Kansas wage survey; used wage data from 43-90 (Other Office and Administrative Support Workers)

 

Allen Press reported 60 total job categories (52 full time and 8 part time)

·        39 of 52 full time (75%) paid at or above the mean wage for the job category

·        3 of 8 part time (37.5%) paid at or above the mean wage for the job category

 

 

 

 

 

 

 

 

 

 

Amarr Garage Doors, Inc.

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

37-2011 (6)

Janitors and Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$11.75

$11.24

$11.53

53-5071 (4)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$12.28

$11.12

$12.02

49-1011 (6)

First-Line Supervisors/Managers of Mechanics, Installers, and Repairers

FT

ABOVE

$26.06

$24.19

$25.00

49-9041 (17)

Industrial Machinery Mechanics

FT

ABOVE

$20.10

$18.16

$18.66

49-9043 (7)

Maintenance Workers, Machinery

FT

ABOVE

$16.10

$13.67

$15.20

51-1011 (10)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$20.17

$19.38

$18.27

51-2093 (35)

Team Assemblers

FT

ABOVE

$15.47

$12.29

$13.46

51-2099 (133)

Assemblers and Fabricators, All Other

FT

ABOVE

$11.99

$10.04

$10.98

51-4081 (20)

Multiple Machine Tool Setters, Operators, and Tenders, Metal and Plastic

FT

ABOVE

$15.24

$13.39

$14.20

51-9111 (56)

Packaging and Filling Machine Operators and Tenders

FT

ABOVE

$11.61

$9.41

$10.98

53-0000 (57)

Transportation and Material Moving Occupations

FT

ABOVE

$12.88

$12.20

$12.29

53-1031 (4)

First-Line Supervisors/Managers of Transportation and Material-Moving Machine and Vehicle Operators

FT

ABOVE

$21.66

$20.74

$18.99

53-7051 (58)

Industrial Truck and Tractor Operators

FT

ABOVE

$14.19

$12.39

$13.08

53-7064 (28)

Packers and Packagers, Hand

FT

ABOVE

$11.74

$9.16

$11.54

 

Amarr Garage Doors, Inc. reported 17 full time total job categories.

·        All 17 job categories paid at or above mean wage for the job category.

 

 

 

 

 

 

 

 

 

 

 

API Foils

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

 

The abatement period for API Foils expired on 12/31/05.  API did not report any wage information for this period.

 

 

DST Systems, Inc

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

11-9190 (25)

Misc. Managers

FT

BELOW*

$23.56

$35.37*

$16.31

13-1070 (3)

Human Resources, Training, and Labor Relations Specialists

FT

BELOW**

$20.42

$20.57**

$18.21

43-4190 (115)

Misc. Information and Record Clerks

FT

BELOW***

$13.25

$16.15***

$11.21

43-4190 (87)

Misc. Information and Record Clerks

PT

BELOW***

$11.36

$16.15***

$11.24

* No wage information for this SOC code was listed in the Kansas wage survey; used wage data for 11-9199 (Managers, All Other)

** No wage information for this SOC code was listed in the Kansas wage survey; used wage data for 13-10 (Business Operations Specialists)

*** No wage information for this SOC code was listed in the Kansas wage survey; used wage data from 43-4199 (Information and Record Clerks, All Other)

 

DST Systems, Inc. reported 7 total job categories (6 full time and 1 part time)

·        3 of 6 full time (50%) paid at or above the mean wage for the job category

·        0 of 1 part time (0%) paid at or above the mean wage for the job category

 

 

Hardman and Hardman LLC / Jayhawk Bowling Supply

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

49-9098 (3)

Helpers--Installation, Maintenance, and Repair Workers

FT

ABOVE

$13.52

$11.32

$12.80

49-9098 (3)

Helpers--Installation, Maintenance, and Repair Workers

PT

ABOVE

$15.50

$11.32

$12.75

 

Hardman and Hardman LLC/Jayhawk Bowling Supply reported 11 total job categories (8 full time and 3 part time)

·        5 of 8 full time (62.5%) paid at or above the mean wage for the job category

·        2 of 3 part time (66.7%) paid at or above the mean wage for the job category

 

 

 

 

PackerWare Corp. / Berry Plastics Corp.

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

11-2020 (5)

Marketing & Sales Managers

FT

ABOVE*

DNR

$47.05*

DNR

13-1081 (7)

Logisticians

FT

ABOVE**

DNR

$19.54**

DNR

17-3027 (6)

Mechanical Engineering Technicians

FT

ABOVE

$32.14††

$27.42***

$24.75

37-2011 (5)

Janitors And Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$14.07

$11.24

$11.24

41-9099 (5)

All Other Sales and Related Workers

FT

BELOW

$18.79††

$18.81

$17.42

43-4051 (10)

Customer Service Representatives

FT

ABOVE

$15.82

$11.72

$12.15

43-5061 (3)

Production, Planning, and Expediting Clerks

FT

ABOVE

DNR

$17.08

DNR

49-9042 (17)

Maintenance and Repair Workers, General

FT

ABOVE

$19.06

$15.42

$12.99

49-9043 (14)

Maintenance Workers, Machinery

FT

ABOVE

$17.77

$13.67

$11.64

51-1011 (15)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$20.16

$19.38

$14.94

51-4081 (19)

Multiple Machine Tool Setters, Operators, and Tenders, Metal and Plastic

FT

ABOVE

$17.29

$13.39

$13.39

51-5023 (54)

Printing Machine Operators

FT

BELOW

$12.92†

$15.32

$10.66

51-9061 (10)

Inspectors, Testers, Sorters, Samplers, and Weighers

FT

BELOW

$12.77

$13.93

$11.51

51-9199 (9)

Production Workers, All Other

PT

ABOVE

$10.00

$9.97

$10.00

53-7062 (62)

Laborers and Freight, Stock, and Material Movers, Hand

FT

BELOW****

$12.87

$14.68****

$10.30

53-7064 (144)

Packers and Packagers, Hand

FT

ABOVE

$11.06

$9.16

$9.53

† The wage data for one (1) employee was listed as “exceeds” on the questionnaire and was not included in the average wage calculation.

†† The wage data for two (2) employees were listed as “exceeds” on the questionnaire and were not included in the average wage calculation.

* No wage information for this SOC code was listed in the Kansas wage survey; used wage for 13-2021 (Marketing Managers)

** No wage information for this SOC code was listed in the Kansas wage survey; used wage for 13-10 (Business Operations Specialists)

*** No wage information for this SOC code was listed in the Kansas wage survey; used wage for 17-21 (Industrial Engineers, Including Health and Safety)

**** No wage information for this SOC code was listed in the Kansas wage survey; used wage info from 53-70 (Material Moving Occupations)

 

PackerWare, Corp. / Berry Plastics, Corp. reported 31 total job categories (30 full time and 1 part time)

·        20 of 30 full time (66.7%) paid at or above the mean wage for the job category

·        1 full time had two employees: 1 listed as “above” and 1 listed as “below”

·        1 of 1 part time (100%) paid at or above the mean wage for the job category

 

Progress Vanguard

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

51-2031 (27)

Engine and Other Machine Assemblers

FT

ABOVE*

$14.88

$11.17*

$14.88

51-4040 (19)

Machinists

FT

ABOVE**

$16.26

$13.73**

$16.68

51-9198 (5)

Helpers, Production Workers

FT

BELOW***

$10.83

$10.93***

$10.82

* No wage information for this SOC code was listed in the Kansas wage survey; used wage data from 51-20 (Assemblers and Fabricators)

** No wage information for this SOC code was listed in the Kansas wage survey; used wage data from 51-40 (Metal Workers and Plastic Workers)

*** No wage information for this SOC code was listed in the Kansas wage survey; used wage data from 51-91 (Packaging, Painting, and Other Production Workers)

 

Progress Vanguard reported 12 full time job categories

·        11 of 12 full time (91.67%) paid at or above the mean wage for the job category

 

 

PROSOCO, Inc.

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

11-1010 (3)

Chief Executives

FT

ABOVE

DNR

$62.10

DNR

19-4031 (4)

Chemical Technicians

FT

BELOW

$14.98

$17.80

DNR

43-4051 (6)

Customer Service Representatives

FT

ABOVE

$16.12

$11.72

DNR

43-6014 (3)

Secretaries, Except Legal, Medical & Executive

FT

ABOVE

$16.58

$12.04

DNR

51-9111 (4)

Packaging & Filling Machine Operators and Tenders

FT

ABOVE

$13.64

$11.38

DNR

51-9199 (7)

Production Workers, All Other

FT

ABOVE

$10.48

$9.97

DNR

 

PROSCO, Inc. reported 36 full time job categories

·        28 of 36 full time (77.8%) paid at or above the mean wage for the job category

Reuter Organ Company

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

11-1021 (6)

General & Operations Managers

FT

BELOW

$25.63

$35.79

$17.37

17-3099 (3)*

 

FT

BELOW*

$18.53

$18.56*

$12.91

51-7011 (20)

Cabinetmakers & Bench Carpenters

FT

ABOVE

$14.40

$13.35

$10.80

51-7011 (3)

Cabinetmakers & Bench Carpenters

PT

ABOVE

$13.55

$13.35

$10.00

*No such SOC code was found; used wage data from 17-30 (Drafters, Engineering, and Mapping Technicians)

 

Reuter Organ Company reported 4 total job categories (3 full time and 1 part time)

·        1 of 3 full time (33.3%) paid at or above the mean wage for the job category

·        1 of 1 part time (100%) paid at or above the mean wage for the job category

 

 

Sauer Danfoss Company

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

13-1023 (4)

Purchasing Agents, Except Wholesale, Retail, and Farm Products

FT

ABOVE

$30.11

$20.59

$27.38

13-1199 (3)

Business Operations Specialists, All Other

FT

ABOVE

$26.24

$21.59

$18.35

17-2112 (8)

Industrial Engineers

FT

BELOW

$27.26

$31.61

$23.40

17-2141 (5)

Mechanical Engineers

FT

ABOVE

$34.96

$32.72

$28.80

17-3027 (3)

Mechanical Engineering Technicians

FT

ABOVE*

$20.27

$18.56*

$16.52

43-5061 (4)

Production, Planning, and Expediting Clerks

FT

ABOVE

$23.34

$17.08

$18.04

43-5071 (4)

Shipping, Receiving, and Traffic Clerks

FT

ABOVE

$14.07

$11.12

$12.94

49-9042 (7)

Maintenance and Repair Workers, General

FT

ABOVE

$20.44

$15.42

$16.86

51-1011 (6)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$28.54

$19.38

$20.64

51-2092 (87)

Team Assemblers

FT

BELOW

$12.24

$12.29

$11.00

51-4011 (6)

Computer-Controlled Machine Tool Operators, Metal and Plastic

FT

BELOW

$14.83

$15.71

$14.01

51-9061 (4)

Inspectors, Testers, Sorters, Samplers, and Weighers

FT

ABOVE

$18.06†

$13.93

$16.78

53-7064 (7)

Packers and Packagers, Hand

FT

ABOVE

$12.05

$9.16

$11.50

† The wage data for one (1) employee was listed as “exceeds” on the questionnaire and was not included in the average wage calculation.

* No wage information for this SOC code was listed in the Kansas wage survey; used wage data from 17-30 (Drafters, Engineering, and Mapping Technicians)

 

Sauer Danfoss Company reported 29 total job categories (27 full time and 2 part time)

·        21 of 27 full time (77.78%) paid at or above the mean wage for the job category

·        1 of 2 part time (50%) paid at or above the mean wage for the job category

 

 

 

Property Tax Information

The companies were asked to report the amount of real and personal property taxes paid in 2005.  In addition, if applicable, companies were asked to report the amount of any payment in lieu of tax they were required to make.  Table 4 below reports tax information for real and personal property related to the tax abatement(s).

 

Table 4.

 

 

Taxes Paid Related to the Abatement

 

 

 

Business

Real Property Tax

Personal Property Tax

Payment in

Lieu of taxes

Total Paid for 2005

 

Allen Press*

$17,747

$7,398

N/A

$25,145

 

Ram/ Garage Doors (IRB)

-----

------

$

$46,327.35

 

Amarr Garage Door (1994)

N/A

$4491.20

N/A

$4491.20

 

Amarr Garage Door (1998)

N/A

$7828.06

N/A

$7828.06

 

API Foils

$40,097.78

$782

N/A

$40,879.78

 

DST Systems (IRB)

----

----

$129,104.92

$129,104.92

 

Hardman and Hardman/ Jayhawk Bowling Supply

$9,493.52

N/A

N/A

$9,493.52

 

Martin Logan (IRB)

-----

------

$13,797.08

$13,797.08 (prorated to 10/18/05)

 

Microtech Computers (IRB)

------

-------

$60,438.46

$60,438.46

PackerWare/ Berry Plastics

N/A

$2,116

N/A

$2,116

 

Progress Vanguard

$0

$2400

N/A

$2400

 

Prosoco  (IRB)

-----

------

$77,006.28

$77,006.28

 

Prosoco (2005)

$25,679.96

$2872.11

N/A

$28,552.07

 

Reuter Organ

$39,645.29

$2,931.92

N/A

$42,577.22

 

Sauer-Danfoss Co.

$48,488.54

$84,029.08

N/A

$$132,517.62

 

 

 

 

 

 

 

TOTAL

$181,152.09

$114,848.37

$280,346.74

$576,347.20

 

 

*Several properties used by the business are owned by Allen family corporations and are leased to Allen Press, Inc

 

† The Progress Vanguard real property was sold to Storgard Development LLC in 2004

 

Industrial Revenue Bonds

Six companies have had Industrial Revenue Bonds (IRBs) issued on their behalf.  The table below details the date of issue as well as the amount of the bonds and the date of final payout. 

In addition, those companies that had IRBs issued after 1995 are required to provide arbitrage and secondary disclosures requirements.

 

Table 5.

 

Industrial Revenue Bonds

Name of Business

Amount of the Bonds

Date of Issue

Year Matures

RAM/Garage Doors Inc.

$4,500,000

1995

2015

DST Systems, Inc.

$7,250,000

2001

2012

Sunshine Properties (Microtech Computers, Inc.

$2,100,000

1997

2007

Prosoco, Inc.

$8,040,000

1999

2019

 

 

 

 

Local Expenditures and Local Sales

The questionnaire asked companies to report what percentage of their expenditures were made in the city of Lawrence as well as the percentage of the companies’ sales made outside of the city.

 

Table 6.

 

Name of Business

Projected Expenditures to be made Locally in Lawrence*

Percentage of Expenditures Made Locally in Lawrence

Percentage of                            Non-local Sales

Allen Press, Inc

86.7%

14%

99%

Amarr Garage Doors Inc. (1998)

1.9%

5%

99%

Amarr Garage Doors Inc. (1994)

2.3%

5%

99%

API Foils

15.8%

24%

100%

DST Systems

93%

100%

100%

Hardman and Hardman LLC/ Jayhawk Bowling Supply

100.0%

70%

99%

Martin Logan, Ltd.

31.0%

50%

100%

Microtech Computers, Inc.

39.0%

80.0%

20%

PackerWare/ Berry Plastics Corp.

Information not available

10.0%

90%

Progress Vanguard

69.0%

15%

100%

Prosoco, Inc

10.8%

15%

100%

Reuter Organ

55%

15%

99%

Sauer-Danfoss Co.

6.6%

30.0%

100%

*Taken from the Cost Benefit Analysis that was attached to the application. 

 

 

 

Company Achievements

The questionnaire allowed businesses to report any company achievements, particularly those in the areas of environmentally sound practices, community engagement and service, and job training.  The table below highlights some of these accomplishments.

 

Table 7.

 

Business

Environmental Practices

Community Engagement/Service

Job Training

Other

Allen Press, Inc

Used over 1 million pounds of recycled rolled paper and  also over 1 million sheets of recycled paper in printing process in 2005;

Recycled 4 million pounds of paper waste for 2005.

 

Provided part time employment for 6 physically-challenged workers through Cottonwood Industries;

 

Participated in the 1st Annual Chamber Leadership Lake Challenge Boat Race;

 

Provided intern opportunities for KU students in selected disciplines;

 

Use over 30 local, professional contractors for proofreading, editing and style markups;

 

Continually give tours of industrial facilities for school groups;

 

Provide above-average wage jobs for 370 people in Lawrence with high-tech or high-skilled training required for many of these positions;

 

Supported Junior Achievement Bowl A Thon with 6 teams of five employees each;

 

Annual Blood Drive;

United Way;

Lawrence HS DECCA Job Internship sponsor;

 

Monetary and material donations to local non profit organizations;

 

Allen Press Outstanding Teacher Award;

 

Participated in Holiday Adopt a Family program;

 

Extensive job training for employees via FT in house instructor to meet changing technology requirements;

 

Safety; OSHA; CPR; ADA; Sexual Harassment, Workers compensation, and other annual classes;

 

Personal development program for employees;

 

Supervisor development training program;

 

Technical Education Task Force member.

Host many national and international clients, and potential clients, whoc visit the production facility

 

National and International recognition as one of the top printers of scientific, technical, and medical journals

 

 

Amarr Garage Doors Inc.

 

Donates garage doors for Habitat for Humanity house built in the community; donates a monetary contribution for each Habitat for Humanity house built in the community;  contribute to charities and not for profit businesses including Big Brothers, Big Sisters, Boys and Girls Club; United Way; American Heart Association; Kansas Blood Services; Bert Nash; Brooke Creek Learning Center; Van Gogh Arts Program; Junior Achievement; Lawrence Aquahawks; University Excellence by Design; Tenants 2 Homeowners; Tenants to Homeowners; Lawrence Public School Partnership, KU Endowment Assoc.

In 2004, AMARR conducted more than 12,000 hours of training to both permanent and temporary employees to include advanced computer and equipment training;

 

Other training included critical manufacturing, administrative and leadership training

 

Each new employee received a minimum of 40 hours of training

 

API Foils

 

No information submitted

 

 

 

DST Systems

Established white paper and aluminum recycling programs; tree planting; optimize heating, cooling, and electrical practices

Active participant in Junior Achievement with local schools; member of Lawrence Chamber of Commerce and active on various Chamber committees; actively support Van Go, Lied Center, Ballard Center, Lawrence Community Theatre, and Lawrence Arts Center; supports local companies (lawn care, security, HVAC, and office supplies)

Ongoing staff training; partnered with Baker University for college completion programs

 

Jayhawk Bowling Supply

Recycle almost all boxes and aluminum cans; recycle scrap metal; lane finish is environmentally safer and odor free; Proper disposal of paints and solvents; 

Take pride in being the first commercial building seen from the turnpike coming to Lawrence from the west and maintain building accordingly;

 

Member Lawrence Chamber of Commerce;

Support local high school sports programs;

Big Brothers/Big Sisters;

Kansas Special Olympics

Four or five employees a year are sent to various training schools/programs

 

Host training seminars and have many customers stay overnight (some as many as five days)

 

PackerWare/ Berry Plastics Corp.

 

Multiple donations of product to charitable and civic organizations, partial list includes L.I.N.K., shelters, schools, Boy & Girl Scouts, Big Brothers Big Sisters, Lawrence Park & Recs, Chamber of Commerce, and storm relief victims in Lawrence and Kansas City;

March of Dimes Walk a Thon;

Habitat for Humanity;

American Heartwalk;

Participated in St. Patrick’s Day Parade;

Tours for various educational groups;

School Business partner with Quail Run Elementary School;

Served meals at LINK;

Earth Day activities

 

 

Progress Vanguard

 

Participated in Annual East Hills Blood Drive

 

ISO 9001-2000 Certified

M1003 American Association of Railroads Certified

Prosoco, Inc

Employes Regulatory Affairs Director to oversee compliance with all applicable environmental requirements

Employs an accredited LEED Professional under the U.S. Green Building Council’s Leadership in Energy and Environmental Design Program

Eastern Kansas Branch MS 150 (raised approx. $10,000 for Lawrence Chapter of the National Multiple Sclerosis Society

 

Donates to Boys and Girls Club and Lawrence Aquahawks

 

Active member in Lawrence Manufacturers Group

DCDI; Lawrence Chamber of Commerce

 

Staff member is Chairman of the Douglas County Emergency Management Board and a member of the CERT for East Hills Business Park

 

Provides free Building Restoration consultation to the City of Lawrence, Douglas County, and the University of Kansas (recently KU launched a major restoration of Allen Field House using PROSOCO products

Provided internal and outsourced training valued by the State of Kansas at $26,572 for 17 employees on new state of the art manufacturing equipment installed in 2004 at a cost of $425, 376

 

Offers regular full time employees $2,000 per year for tuition or professional certification costs

 

Offers in house training including computer skills, product knowledge, management skills and self improvement

 

Annual Safety Training as well as well as CPR/First Aid training every two years

Individual employees involved in over  25 local community programs

Reuter Organ

 

Actively involved in all aspects of the community through the arts and volunteerism

 

 

Sauer-Danfoss Co.

Utilize numerous environmentally friendly processes and materials including recycling

Continuing to make significant community contributions in time, talent and monetary support.

 

Member of Lawrence and Kansas Chambers of Commerce;

 

Finalist in 2005 Excellence in Commerce Award program for Manufacturing sector.

Average of 25 hours per employee in 2005 for classroom training and development