2006 Tax Abatement Report

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Prepared by

Frank Reeb

Administrative Services Director/City Clerk

Carly Herman

City Clerk Intern

 

 

 

 

 

 

Introduction

A total of eight businesses received tax abatements in 2006 (three of the eight, Allen Press; AMARR Garage Doors; and Prosoco, Inc. have two abatements each).  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.  All of the eight businesses submitted a completed questionnaire.

 

As of the writing of this Report, there are three companies with tax abatements pending.  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. 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.  Most recently, on March 6, 2007, the City Commission approved a request from API Foils, for a 55% tax abatement on $4 to $5 million in new construction and $11 to $12 million in machinery and equipment. 

 

 

General Information

The information in Table 1 lists all eight businesses receiving a tax abatement in 2006 and contains key information about each abatement.  All of the abatements described in Table 1, except the 2002 Prosoco abatement, were approved while Resolution 5431 (adopted on September 17, 1991) was the applicable tax abatement policy.  Resolution 5431 was later repealed by Resolution 6343 (adopted on November 13, 2001) which was in effect at the time of the 2002 Prosoco abatement.  Ordinance 7706, now found at City Code 1-2101, et seq., contains the current Economic Development Policy.  The pending AMARR; Packerware/Berry Plastics; and API Foils 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*

2006 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 $388,680

Bldg. $611,320

Mach & Eqpmnt

$455,305.04

Equipment $1,785,846.75

(48%)

Building Improvements  $448,169.64 (42%)

Amarr Garage Doors Inc.

22-Aug-94

50% Machinery and Equipment

31-Dec-06

$2,500,000 Machinery & Equipment

Mach & Eqpmnt

$317,868.80

 $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

$559,426.83

 $3,756,214 Mach. & Equipment  (103%)

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 $1,120,250

Bldg. $3,783,290

Mach. & Equip

$332,263.80

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 $121,760

Bldg. $580,440

Mach & Eqpmnt

$306

 Land $51,276  (102%)

Bldg $594,501  (106%)

Mach & Eqpmnt $54,042 (102%)

PackerWare/ Berry Plastics

6-Jan-98

50%

31-Dec-08

$2,845,000 Mach. & Eqpmnt

Mach & Eqpmnt

$153,811.33

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

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

$194,575.56

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. $1,121,510

Mach & Eqpmnt

$190,005.35

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 $345,000

Bldg. $2,536,800

Mach & Eqpmnt

$58,650.83

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

$2,677,231.47

 $23,858,000

(67%)

 

                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.

 

 

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.

 

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.

 

 

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.  Information was 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 at the end of December 2006.  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 most recent five year period.  The “over/under projection” column compares the December 2006 employment information with the “Projected on Application” information in column 3.

Table 2.

 

Number of Full Time and Part Time Employees

Name of Business

Pre-Abatement

Projected on Application

December

December

December

December

December

Over/ Under Projection

2002

2003

2004

2005

2006

 

FT

PT

FT

PT

FT

PT

FT

PT

FT

PT

FT

PT

FT

PT

FT

PT

Allen Press Inc.

314

8

327

0

340

18

337

13

358

12

369

12

361

8

34

0

Amarr Garage Doors Inc. (1994)

153

0

180

0

189

1

180

0

185

0

180

0

180

0

0

0

Amarr Garage Doors Inc. (1998)

340

0

371

0

380

0

379

0

376

0

387

0

398

0

27

0

DST Systems, Inc.

0

0

175

0

149

0

145

4

146

7

146

87

146

87

(29)

87

Hardman and Hardman LLC / Jayhawk Bowling Supply

13

5

15

0

15

2

14

3

14

5

14

5

13

4

(2)

4

Packerware / Berry Plastics Corp.

350

0

370

0

393

25

370

18

377

8

398

10

435

0

65

0

PROSOCO, Inc.

0/50

0

75

3

79

0

81

0

65

0

67

1

68

1

(7)

1

Reuter Organ

42

0

56

0

47

5

45

3

39

4

29

3

31

1

(25)

1

Sauer-Danfoss Co.

0

4

150

0

86

0

109

0

146

1

181

0

173

0

23

0

 

NOTES:

Amarr Garage Doors reported a total of 730 employees as of 12/31/06; 681 full time employees, 0 part time employee, and 49 temporary employees.

 

PackerWare/Berry Plastics Corp. also reported 74 temp-to-hire employees in addition to the 435 full time employees for a total of 509 employees.

 

Sauer-Danfoss  also reported 72 full time contract employees in addition to the 173 Full Time 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 12/31/06 was 68 full time for an increase of 18.

 

The City’s Application for Bond Allocation dated September 11, 1998 indicated an expectation of 14 new jobs.  Subtracting the number employed on 12/31/06 from the number employed in Kansas City at the time of the Application shows an increase of 18 employees.  (The increase is actually 68, if you take into account there were originally zero Lawrence employees.)  Our increase has been in line with the City’s expectations.

 

Below is a history of PROSOCO’s Kansas employment totals

 

Year

1998

KC

1999

Law.

2000

2001

2002

2003

2004

2005

2006

KS

Employees

50

58

64

61

60

63

63

67

68

 

In addition PROSOCO provided this information: “Please note that the total employment number has increased from 12/31 by three as of today [3/12/07].  Two of those three positions were actually offered in October but the applicants (both from IMPACT) asked to finish out their contract.  We actually ran short handed for the last couple of months of 2006 waiting on IMPACT personnel to transition.  The two applicants ended up taking other positions BEFORE reporting to PROSOCO leaving us short handed right after Christmas and unable to replace until after the first of the year.  I think we have 4 former IMPACT employees on staff now.

 

 

 

 

 

 

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 2006 Edition of the Kansas Wage Survey for the Lawrence Metropolitan Statistical Area (MSA).  Whenever a 6-digit SOC Code mean wage was not available, the closest 6 digit SOC Code available for the Lawrence MSA was used (e.g., 51-5022 when 51-5021 was not reported on the wage survey for the Lawrence MSA) or a 4 digit SOC Code was used (e.g., 43-90xx was used when 43-9051 was not reported).

 

 

 

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 bulleted, 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.

11-1011 (3)

Chief Executive

FT

ABOVE

$84.90

$62.15

$54.17

13-1199 (28)

Business Operations Specialists, All Other

FT

BELOW

$20.06

$28.93

$14.30

15-1021 (7)

Computer Programmers

FT

BELOW

$19.25

$21.36

$17.08

15-1041(7)

Computer Support Specialists

FT

BELOW

$15.70

$18.16

$13.00

15-1071 (8)

Network Systems Administrator

FT

ABOVE

$23.56*

$22.34

$17.33

27-1024 (9)

Graphic Designers

FT

ABOVE

$18.26

$17.13

$15.17

27-3031 (3)

Public Relations Specialist

FT

BELOW

$15.56

$16.99

$15.17

27-3041 (16)

Editors

FT

BELOW

$18.04

$18.76

$14.63

37-2011 (6)

Janitors and Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$12.00

$10.85

$9.75

41-0000 (6)

Sales and Related Occupations

FT

ABOVE

$17.18

$12.50

$13.00

43-0000 (7)

Office and Administrative Support Workers, All Other

FT

BELOW

$11.85

$12.26

$9.21

43-1011 (15)

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

FT

ABOVE

$25.15

$18.04

$15.63

43-3021 (7)

Billing and Posting Clerks and Machine Operators

FT

ABOVE

$16.70

$13.41

$13.00

43-3031 (6)

Bookkeeping, Accounting and Auditing Clerks

FT

ABOVE

$15.42

$13.09

$13.00

43-4051 (5)

Customer Service Representatives

FT

ABOVE

$13.36

$10.63

$12.49

43-5061 (16)

Production, Planning and Expediting Clerks

FT

BELOW

$16.55

$17.93

$13.00

43-5071 (7)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$13.84

$11.62

$10.29

43-9011 (48)

Computer Operator

FT

ABOVE

$16.12

$13.81

$9.75

43-9021 (8)

Data Entry Keyers

FT

ABOVE

$13.54

$10.31

$9.75

*43-9051 (6)

*Mail Clerks and Mail Machine Operators, Except Postal Service

FT

*ABOVE

$13.93

$11.62

$12.16

**43-9081 (19)

**Proofreaders and Copy Markers

FT

**ABOVE

$13.60

$12.26

$10.61

49-9042 (6)

General Maintenance and Repair Workers

FT

ABOVE

$20.28

$15.25

$19.53

51-1011 (11)

First Line Supervisors of Production & Operating Workers

FT

ABOVE

$30.56

$19.41

$24.93

51-5011 (23)

Bindery Workers

FT

ABOVE

$13.42

$8.45

$9.85

51-5022 (8)

Prepress Technicians and Workers

FT

ABOVE

$17.88

$15.16

$11.55

***51-5023 (26)

*** Printing Machine Operators

FT

***ABOVE

$20.30

$15.16

$11.38

51-9111 (11)

Packaging and Machine Filling Operators

FT

ABOVE

$12.26

$9.46

$9.75

53-7051 (3)

Industrial Truck and Tractor Operations

FT

ABOVE

$20.38

$12.41

$16.25

 

*No wage information for this SOC code was listed in the Kansas wage survey for the Lawrence MSA; used wage data from 43-5071 (Shipping, Receiving and Traffic Clerks)

** No wage information for this SOC was listed in the Kansas wage survey for the Lawrence MSA; used wage data from 43-0000

*** No wage information for this SOC was listed in the Kansas wage survey for the Lawrence MSA; used wage data from 51-5022

 

 

Allen Press reported 65 total job categories (57 full time and 8 part time)

·        39 of 57 full time (68.42%) 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

SOC and number of jobs

Occupation

FT or PT

Above/Below Survey Mean

Firm Avg.

KS Wage Survey Mean Wage

Firm Min.

51-1011 (7)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$21.29

$19.41

$19.41

51-2092 (23)

Team Assemblers

FT

ABOVE

$15.93

$12.46

$13.97

51-2099 (136)

Assemblers and Fabricators, All Other

FT

ABOVE

$12.13

$11.15

$10.98

51-4081 (20)

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

FT

ABOVE

$15.31

$13.07

$14.48

51-9111 (58)

Packaging and Filling Machine Operators and Tenders

FT

ABOVE

$11.82

$11.38

$11.28

53-7051 (16)

Industrial Truck and Tractor Operators

FT

ABOVE

$14.46

$12.41

$13.77

 

 

Amarr Garage Doors, Inc. reported 6 full time total job categories.

·        6 of 6 full time (100%) paid at or above the mean wage for the job category

 

 

 

 

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

$25.12

$34.22

$16.80

**13-1070 (3)

**Human Resources, Training, and Labor Relations Specialists

FT

*BELOW

$21.02

$23.16

$18.75

***43-4190 (114)

***Misc. Information and Record Clerks

FT

***BELOW

$13.66

$18.41

$11.58

***43-4190 (87)

***Misc. Information and Record Clerks

PT

***BELOW

$11.70

$18.41

$11.58

* 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

PT

ABOVE

$15.08

$11.69

$11.50

 

Hardman and Hardman LLC/Jayhawk Bowling Supply reported 10 total job categories (8 full time and 2 part time)

·        4 of 8 full time (50%) paid at or above the mean wage for the job category

·        2 of 2 part time (100%) 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.

*13-1081 (6)

*Various Business Operations Occupations (Inventory Analyst, Logistics Manager, Molding Scheduler)

FT

*ABOVE

DNR

21.15*

DNR

17-3026 (4)

Industrial Engineering Technicians

FT

BELOW

$16.05

$19.04

$12.36

37-2011 (5)

Janitors And Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$14.30

$10.85

$11.22

41-9099 (9)

All Other Sales and Related Workers

FT

BELOW

$13.52

$21.44

$7.21

41-9099 (4)

All Other Sales and Related Workers

PT

BELOW

$10.00

$21.44

$10.00

43-4051 (11)

Customer Service Representatives

FT

ABOVE

$14.81

$10.63

$8.65

43-5061 (4)

Production, Planning, and Expediting Clerks

FT

ABOVE

DNR

$17.93

DNR

43-5071 (3)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$16.33

$11.62

$15.68

49-9042 (20)

Maintenance and Repair Workers, General

FT

ABOVE

$18.73

$15.25

$15.00

49-9043 (6)

Maintenance Workers, Machinery

FT

ABOVE

$20.86

$14.32

$18.74

51-1011 (20)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

20.48

$19.41

$14.71

51-4081 (32)

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

FT

ABOVE

$16.73

$13.54

$12.16

**51-5023 (76)

**Printing Machine Operators

FT

**BELOW

$12.52

$15.16

$10.64

51-9199 (12)

Production Workers, All Other

FT

ABOVE

$12.41

$10.18

$11.08

53-3032 (4)

Truck Drivers, Heavy and Tractor-Trailer

FT

BELOW

$15.00

$15.18

$15.00

***53-7062 (64)

***Laborers and Freight, Stock, and Material Movers, Hand*

FT

***ABOVE

$14.03

$12.21

$11.00

53-7064 (137)

Packers and Packagers, Hand

FT

ABOVE

$11.40

$9.04

$10.00

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

** No wage information for this SOC code was listed in the Kansas wage survey; used wage for 51-5022 (Prepress Technicians and Workers)

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

 

PackerWare, Corp. / Berry Plastics, Corp. reported 32 total job categories (31 full time and 1 part time)

·        23 of 31 full time (74.2%) paid at or above the mean wage for the job category

·        0 of 1 part time (0%) paid below 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.

11-1011 (3)

Chief Executives

FT

ABOVE

DNR

$62.15

DNR

19-4031 (4)

Chemical Technicians

FT

BELOW

$16.96

$18.77

DNR

43-3031 (3)

Bookkeeping, Accounting & Auditing Clerks

FT

ABOVE

$18.47

$13.69

DNR

43-4051 (5)

Customer Service Representatives

FT

ABOVE

$16.96

$10.63

DNR

43-5071 (3)

Shipping, Receiving, & Traffic Clerks

FT

ABOVE

$16.90

$11.62

DNR

43-6014 (3)

Secretaries, Except Legal, Medical & Executive

FT

ABOVE

$19.00

$12.07

DNR

51-1011 (3)

First-Line Supervisors/Managers of Production & Operating Workers

FT

ABOVE

$22.15

$19.41

DNR

51-9111 (4)

Packaging & Filling Machine Operators and Tenders

FT

ABOVE

$14.42

$9.46

DNR

51-9199 (7)

Production Workers, All Other

FT

ABOVE

$10.68

$10.18

DNR

 

PROSOCO, Inc. reported 36 total job categories (35 full time, 1 part time)

·        30 of 35 full time (85.71%) paid at or above the mean wage for the job category

·        0 of 1 part time (0.0%) paid below 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

$26.09

$35.97

$17.37

*17-3099 (3)

*Drafters, Engineering, & Mapping Technicians, All Others  

FT

*BELOW

$14.58

$17.38

$12.25

51-7011 (20)

Cabinetmakers & Bench Carpenters

FT

ABOVE

$15.19

$14.20

$11.00

 

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

 

Reuter Organ Company reported 5 total job categories (3 full time and 2 part time)

·        1 of 3 full time (33.3%) 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

 

 

 

 

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.

11-3051 (5)

Industrial Production Managers

FT

BELOW

$40.65

$40.76

$34.92

13-1023 (5)

Purchasing Agents, Except Wholesale, Retail, and Farm Products

FT

ABOVE

$28.14

$23.52

DNR

17-2112 (13)

Industrial Engineers

FT

ABOVE

$31.13

$30.25

$23.40

*17-3027 (3)

*Mechanical Engineering Technicians*

FT

*ABOVE

$20.68

$19.04

$16.52

*17-3029 (7)

*Engineering Technician And Others

FT

*ABOVE

$19.15

$19.04

$15.44

43-5061 (6)

Production, Planning, and Expediting Clerks

FT

ABOVE

$23.44

$17.93

$18.03

43-5071 (5)

Shipping, Receiving, and Traffic Clerks

FT

ABOVE

$13.60

$11.62

$12.28

49-9042 (8)

Maintenance and Repair Workers, General

FT

ABOVE

$19.04

$15.25

$14.62

51-1011 (8)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$28.25

$19.41

$19.31

51-2092 (61)

Team Assemblers

FT

ABOVE

$12.65

$12.48

$11.75

51-4011 (18)

Computer-Controlled Machine Tool Operators, Metal and Plastic

FT

BELOW

$14.17

$14.61

$13.05

53-7064 (13)

Packers and Packagers, Hand

FT

ABOVE

$12.86

$9.04

$11.00

 

* No wage information for these SOC codes were listed in the Kansas wage survey; used wage data from 17-3026 (Industrial Engineering Technicians)

 

Sauer Danfoss Company reported 29 full time job categories

·        22 of 29 full time (75.86%) 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 2006.  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 2006

Allen Press*

$18,652.60

$14,571.23

N/A

$33,223.83

Ram/ Garage Doors (IRB)

-----

------

$46,327.35

$46,327.35

Amarr Garage Door (1994)

N/A

$4669

N/A

$4669

Amarr Garage Door (1998)

N/A

$8218

N/A

$8218

DST Systems (IRB)

----

----

$129,104.92

$129,104.92

Hardman and Hardman/ Jayhawk Bowling Supply

$10,153.38

N/A

N/A

$10,153.38

PackerWare/ Berry Plastics

N/A

$2,224

N/A

$2,224

Prosoco  (IRB)

-----

------

$77,006.28

$77,006.28

Prosoco (2005)

$26,960.20

$2512.16

N/A

$29,472.36

Reuter Organ

$41,669.04

$848.04

N/A

$42,517.44

Sauer-Danfoss Co.

$50,905.96

$15,732.10

N/A

$66,638.06

 

 

 

 

 

TOTAL

$148,341.18

$48,774.53

$252,438.55

$449,554.62

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

 

 

 

Industrial Revenue Bonds

Four 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

 

* On March 13, 2007, the City Commission adopted Resolution 6709 approving the sale of certain real and personal property, and authorizing the Mayor to execute the Special Warranty Deed, Bill of Sale, and Termination of Documents, all related to the RAM Company project and redemption of 1995 Industrial Revenue Bonds.

 

** 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. 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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%

23%

99%

Amarr Garage Doors Inc. (1998)

1.9%

5%

99%

DST Systems

93%

100%

100%

Hardman and Hardman LLC/ Jayhawk Bowling Supply

100%

70%

Over 99%

PackerWare/ Berry Plastics Corp.

Information not available

10.0%

90%

Prosoco, Inc

10.8%

5%

100%

Reuter Organ

55%

15%

100%

Sauer-Danfoss Co.

6.6%

30%

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

Completed an agreement with Rainforest Alliance to conduct a controlled forest management system called “Smartwood.”  This system has been created to certify participant usage of paper that is purchased from organizations that practice better forest management.  The Rainforest Alliance works to help reconcile our growing demand for trees and other forest flora with a diminishing supply by encouraging better on-the-ground practices. 

 

Continues to participate in a number of community activities, including Dog Days; the Lawrence Children’s Choir; the Lawrence Arts Center as well as other organizations in Lawrence

 

Employer of the month in December 2006 for Cottonwood, Inc.

 Received reimbursement from the State of Kansas for a recent KIR training project.  Our investment in training in 2006 exceeded $275,000 for both time and materials associated with technical and management training

Added Pharmacy benefit to its medical plan on January 1, 2006 administered through MedTrak.  These additions

 

Added a discretionary 401k profit sharing plan

 

On 1/1/07 added an employee assistance program and vision care

 

Amarr Garage Doors Inc.

 

Committed to being the best corporate citizen possible

Contributed to the following: Brookcreek Learning Center; Van Gogh Arts Program; Junior Achievement; Habitat for Humanity (monetary contribution and product contribution) Big Brothers/Big Sisters; Cottonwood; United Way; Tenants to Homeowners; American Heart Association; Kansas Blood Services; Lawrence Memorial Hospital; Lawrence Presbyterian Manor; University of Kansas Excellence by Design Campaign

Employee Culture

Which comes first, product or people? Without product, you would not need people.  Without people, you would not have product.  Prioritizing these two is a constant struggle, and for that reason we spend thousands of dollars trying to invent ways to make Amarr a more desirable place to work. 

Top notch medical benefits

Free, on site health clinic

Monthly lunch and learn sessions

Education reimbursement

Employee recognition programs including:  Birthday recognition, Years of service, Perfect Attendance, Safety Award luncheons, Production Goal recognition luncheons

DIPP incentive plan

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; respirators available as well as eye and hand protection for each employee 

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; MDA;

Kansas Special Olympics

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

 

 

 

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 Salvation Army;

March of Dimes Walk a Thon;

Habitat for Humanity;

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

 

 

Prosoco, Inc

Employs 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; named “MS150 To Corporate Fund Raiser” by Easter Kansas Branch of the Multiple Sclerosis Society in September 2005 and donated $10,025 to the society.

 

PROSOCO Pedalers cycling team raised approximately $10,000 for Lawrence chapter of National Multiple Sclerosis Society in 2002 and 2003

 

Received Lawrence Chamber of Commerce’s 2004 “Excellence in Commerce” award

 

Participated to Lawrence Junior Achievement event and donated $7,904

 

Donates to Boys and Girls Club and Lawrence Aquahawks

 

Active member in Lawrence Manufacturers Group

 

Staff member is member of the board of 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

 

East Hills Business Park Community Blood Drive; fielded 8-15 qualified donors since 2001

 

Meeting host; makes corporate headquarters available for meetings of various community and professional organizations

 

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 on computer software, financial awareness, product training, wellness, and continued high-tech training on a major enterprise software acquisition

 

Annual Safety Training as well as well as CPR/First Aid training every two years; conducted in 2006 for several of production and office personnel

Individual employees involved in over  25 local community programs

Reuter Organ

 

Reuter Organ employees continue to be active members of the community with families involved in the arts, volunteering, and support of school programs.

 

 

Sauer-Danfoss Co.

 

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

 

Member of Lawrence and Kansas Chambers of Commerce;

 

Finalist in 2006 Excellence in Commerce Award program for Manufacturing sector.

 

Team Member Community Involvement

Bikers for Babies; Board Member Jayhawk Chapter SHRM; Douglas County United Way Campaign; Community Center Blood Drives (3-4 per year); Junior Achievement Classroom Volunteer; City Household Hazardous Waste Drop Off; Clinton Lake Dam and Spillway Cleanup; MS Run/Walk; Red Cross Instructor Certification –provided adult and infant CPR classes; Community Emergency Response Team; Veterans of Foreign Wars; Lawrence Education Achievement Partners – Board Member

(Does not include On the Job Training)

8D Problem Solving; Coaching Skills; Excel 1,2,3; ISO Overview; New Employee Orientation; Performance Management; PowerPoint; Basic Lean/5s; GT&T; Leading People Through Change; Process Change Management; SIR; Basic Torque; Harassment Refresher; Standard Work; Leader Assimilation; Lotus Notes; Numerous Safety Training Sessions—Emergency Action Plans; New Employee Orientation; Orientation-Temps; Accident/Incident reporting; Machine Guarding; Job Safety Analysis; Forklift Training; Blood borne Pathogens; Confined Space Entry; Fire Extinguisher Training; Electrical; PPE; LOTO; 

Financial and Employee Time Contributions—American Red Cross; American Cancer Society; Boy Scouts; Lawrence Chamber of Commerce; Lawrence Foundation; Lawrence Sister City Organizations; Lawrence Arts Center; United Way of Douglas County; Cottonwood, Inc; Douglas County Senior Services; Leadership Lawrence; Junior Achievement Program; Community Blood Center; KSU School of Engineering