2008 Tax Abatement Report

 

 

 

 

 

 

Draft

4/6/09

 

 

 

 

 

 

 

 

 

 

 

 

Prepared by

Frank Reeb

Administrative Services Director/City Clerk

Carly Herman

City Clerk Intern

 

 

 

 

 

 

Introduction

A total of seven businesses received tax abatements in 2008 (two of the seven, Allen Press; 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 seven businesses submitted a timely, 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, 2008, 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 seven businesses receiving a tax abatement in 2008 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  Resolution 5431 was later repealed by Resolution 6343 (adopted on November 13, 2001) which was in effect at the time of the 2002 Prosoco abatement.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 in the Introduction above were approved after the effective date of Ordinance 7706.   Ordinance 8384, will upon its effective date (likely April 11, 2009) repeal Ordinance 7706 and Chapter 1, Article 21 of the City Code and will become the official policy and procedures for all economic development incentives, including tax abatements, for the City of Lawrence. 

 

Table 1.

 

Name of Business and

Exemption Application Date

Abatement Percentage

Expiration Date

Abatement Authorized*

2008 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

$529,332.60

 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 $401,930

Bldg. $628,070

Mach & Eqpmnt

$365,854.58

Equipment $1,785,846.75

(48%)

Building Improvements  $448,169.64 (42%)

Amarr Garage Doors Inc.

13 Nov-98

50% Mach. & Equipment

31-Dec-09

$3,650,000.00 in Machinery & Equipment

Mach & Eqpmnt

$558,312.80

 $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 $1,115,290

Bldg. $2,840,970

Mach. & Equip

$167,144.94

Land  $5,647,101

Improvements

$1,020,317 (99%)

Mach & Eqpmnt

$1,387,418

(Aggregate 90%)

PackerWare/ Berry Plastics ***

6-Jan-98

50%

31-Dec-08

$2,845,000 Mach. & Eqpmnt

Mach & Eqpmnt

$146,580.56

 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

$193,143.81

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

$151,951.06

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 $348,000

Bldg. $2,785,300

Mach & Eqpmnt

$41,565.93

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.8,749,290

Mach & Eqpmnt

$1,209,492.16

$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 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 2008.  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.  The “over/under projection” column compares the December 2008 employment information with the “Projected on Application” information in column 3.

Table 2.

Name of Business

Pre-Abatement

Projected on Application

December

December

December

December

December

Over/Under Projection

2004

2005

2006

2007

2008

 

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

358

12

369

12

361

8

347

5

327

3

0

3

Amarr Garage Doors Inc. (1998)

340

0

371

0

376

0

387

0

398

0

398

4

469

0

98

0

DST Systems, Inc.

0

0

175

0

146

7

146

87

146

87

133

108

161

60

(14)

60

Packerware / Berry Plastics Corp.

350

0

370

0

377

8

398

10

435

0

486

0

370

44

0

44

Prosoco, Inc.

0/50*

0

75

3

65

0

67

1

68

1

66

3

69

0

(6)

(3)

Reuter Organ

42

0

56

0

39

4

29

3

31

1

33

1

34

3

(22)

4

Sauer-Danfoss Co.

0

4

150

0

146

1

170

0

173

0

150

0

151

0

1

0

 

 

 

NOTES:

 

PackerWare/Berry Plastics Corp. Packerware/Berry Plastics reported total employment of 602 full time employees as of 12/31/08 which includes the 370 related to the abated project.  Packerware/Berry Plastics reported 73 temp-to-hire employees in addition to the 602 full time employees.

 

Sauer-Danfoss  also reported 22 full time contract employees in addition to the 150 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 12/31/08 was 69 full time for an increase of 19.

 

The City’s Application for Bond Allocation dated September 11, 1998 indicated an expectation of 14 new jobs.  Subtracting the number employed on 12/31/08 from the number employed in Kansas City at the time of the Application shows an increase of 19 employees.  (The increase is actually 69, 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 Kansas employment totals

 

Year

1998

KC

1999

Law.

2000

2001

2002

2003

2004

2005

2006

2007

2008

KS

Employees

50

58

64

61

60

63

63

67

68

69

69*

 

*This number reflects three employees who were working for us on a temp-to-hire basis through a local employment agency.  These individuals were brought on as regular, full-time employees in 2009.”

 

 

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 2008 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

$96.61

$55.67

$56.52

11-1021 (5)

General and Operations Managers

FT

ABOVE

$53.18

$38.63

$39.20

11-2022 (6)

Sales Manager

FT

ABOVE

$62.95

$38.45

$43.27

13-1199 (30)

Business Operations Specialists, All Other

FT

BELOW

$23.60

$25.38

$16.26

15-1021 (8)

Computer Programmers

FT

BELOW

$22.57

$26.89

$16.53

15-1041(10)

Computer Support Specialists

FT

BELOW

$16.01

$19.38

$13.57

15-1071 (6)

Network and Computer Systems Administrator

FT

ABOVE

$25.39

$24.46

$19.20

27-1024 (6)

Graphic Designers

FT

ABOVE

$18.13

$16.66

$14.41

27-3031 (3)

Public Relations Specialist

FT

BELOW

$14.79

$18.65

$12.93

27-3041 (15)

Editors

FT

BELOW

$19.19

$20.07

$14.51

37-2011 (5)

Janitors and Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$12.74

$11.25

$10.17

41-3011 (4)

Advertising Sales Agents

FT

ABOVE

$29.73

$17.58

$20.52

41-9099 (4)

All Other Sales and Related Workers

FT

ABOVE

$24.63

$20.04

$18.27

43-1011 (8)

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

FT

ABOVE

$20.97

$19.57

$12.86

43-3021 (5)

Billing and Posting Clerks and Machine Operators

FT

ABOVE

$20.29

$12.32

$14.52

43-3031 (5)

Bookkeeping, Accounting and Auditing Clerks

FT

ABOVE

$18.06

$13.83

$13.77

43-3061 (4)

Procurement Clerks

FT

ABOVE

$16.59

$15.40*

$13.81

43-4051 (7)

Customer Service Representatives

FT

ABOVE

$14.93

$10.88

$13.05

43-4151 (5)

Order Clerks

FT

ABOVE

$13.83

$13.24

$12.29

43-5061 (13)

Production, Planning and Expediting Clerks

FT

ABOVE

$18.16

$17.89

$12.98

43-5071 (10)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$15.04

$12.69

$10.01

43-5111 (4)

Weigher, Measurer & Checker

FT

ABOVE

$16.26

$12.61*

$12.62

43-9011 (4)

Computer Operator

FT

ABOVE

$16.47

$13.85

$11.13

43-9021 (6)

Data Entry Keyers

FT

ABOVE

$13.40

$10.22

$11.71

43-9031 (31)

Desktop Publishers

FT

ABOVE

$18.61

$14.44*

$12.40

43-9081 (18)

Proofreaders and Copy Markers

FT

ABOVE

$14.56

$10.64*

$10.57

49-9042 (6)

General Maintenance and Repair Workers

FT

ABOVE

$23.27

$15.33

$21.64

51-1011 (7)

First Line Supervisors of Production & Operating Workers

FT

ABOVE

$35.40

$23.60

$27.19

51-5011 (15)

Bindery Workers

FT

ABOVE

$16.09

$12.61

$11.13

51-5021 (13)

Job Printers

FT

ABOVE

$19.79

$16.17*

$14.09

51-5022 (9)

Prepress Technicians and Workers

FT

ABOVE

$21.01

$18.76

$12.67

51-5023 (12)

Printing Machine Operators

FT

ABOVE

$27.27

$16.93

$23.83

53-7011 (9)

Conveyer Operator & Tendor

FT

ABOVE

$14.02

$13.68*

$9.51

 

*Wage information for Lawrence Metropolitan Area not available, used statewide average

 

 

Allen Press reported 63 total job categories (60 full time and 3 part time)

·        48 of 63 full time (80%) paid at or above the mean wage for the job category

·        3 of 3 part time (100%) 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.

11-1011 (3)

Chief Executives

FT

ABOVE

Exceeds*

$55.67

DNR

11-3011 (5)

Administrative Services Manager

FT

BELOW

Below**

$28.58

DNR

11-9199 (7)

Managers, All Other

FT

BELOW

$31.40***

$34.36

$31.40

13-1023 (3)

Purchasing Agents Except Wholesale, Retail and Farm Products

FT

ABOVE

Exceeds†

$20.74

DNR

13-1073 (3)

Training and Development Specialists

FT

BELOW

Below††

$18.22

DNR

17-2112 (6)

Industrial Engineers

FT

ABOVE

31.88†††

$31.18

$29.44

37-2011 (4)

Janitors and Cleaners, Except Maids and Housekeeping Cleaners

FT

ABOVE

$11.93

$11.25

$11.93

43-1011 (7)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$21.07†††

$19.57

$20.54

43-3031 (4)

Bookkeeping, Accounting and Auditing Clerks

FT

ABOVE

$17.33†††

$13.83

$17.33

43-4051 (87)

Customer Service Representatives

FT

ABOVE

$12.66°

$10.88

$11.47

43-4161 (4)

Human Resources Assistants, Except Payroll and Timekeeping

FT

BELOW

$20.90††

$15.46

DNR

43-5071 (5)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$15.55†

$12.69

15.5513.12

43-9061 (3)

Office Clerks, General

FT

ABOVE

$13.06

$9.72

$13.06

49-1011 (5)

First Line Supervisors/Managers of Mechanics, Installers and Repairers

FT

ABOVE

$28.50

$24.83

$28.50

49-9042 (20)

Maintenance and Repair Workers, General

FT

ABOVE

$21.09†

$15.33

$19.00

51-1011 (13)

First-Line Supervisors/Managers of Production and Operating Workers

FT

BELOW

$21.65†

$23.60

$21.65

51-2092 (39)

Team Assemblers

FT

ABOVE

$15.98

$12.08

$13.82

51-2099 (44)

Assemblers and Fabricators, All Other

FT

ABOVE

$13.42†

$10.38

$12.65

51-9199 (104)

Production Workers, All Other

FT

ABOVE

$11.70°°

$7.63

$11.48

53-7051 (37)

Industrial Truck and Tractor Operators

FT

BELOW

$14.65

$17.00

$13.85

53-7064 (50)

Packers and Packagers, Hand

FT

ABOVE

$12.40

$7.85

$11.52

 

            *Information Not Provided, exceeds mean wage

                ** Information Not Provided, below mean wage

                ***3 amts listed as “exceeds”, excluded from average

                † 1 amt listed as “exceeds”, excluded from average

                †† 1 amt listed as “does not exceed”, excluded from average

                ††† 2 amts listed as “exceeds”, excluded from average

                ° 7 amts listed as “exceeds”, excluded from average

                        °°4 amts listed as “exceeds”, excluded from average

 

Amarr Garage Doors, Inc. reported 34 full time total job categories.

·        26 of 34 full time (76.47%) 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.

13-1073 (3)

Training and Development Specialists

FT

ABOVE

$20.48

$18.22

$18.22

43-1011 (25)

First-Line Supervisors/Managers of Office and Administrative Support Workers

FT

ABOVE

$24.31

$19.57

$11.46

43-4051 (60)

Customer Service Representatives

PT

ABOVE

$12.07

$10.88

$11.46

51-2099 (9)

Assemblers and Fabricators, All Other

PT

ABOVE

$13.67

$10.38

$11.08

 

 

DST Systems, Inc. reported 9 total job categories (6 full time and 3 part time)

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

·        2 of 3 part time (66.67%) 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.

11-1021 (3)

General Operations Managers

FT

ABOVE

Exceeds*

$38.63

$13.75

11-3051 (3)

Industrial Production Managers

FT

ABOVE

DNR

$41.18

DNR

13-1079 (3)

Human Resources, Training, and Labor Relations Spe

FT

BELOW

Below**

$27.31***

DNR

13-1081 (5)

Logisticians

FT

BELOW

DNR

$32.94***

DNR

17-3026 (3)

Industrial Engineering Technicians

FT

ABOVE

Exceeds*

$24.49***

DNR

17-3026 (3)

Industrial Engineering Technicians

PT

BELOW

$11.66

$24.49***

$10.00

37-2011 (5)

Janitors and Cleaners Except Maids and Housekeeping Cleaners

FT

BELOW

$18.77

$19.81

$15.83

41-9099 (3)

All Other Sales and Related Workers

FT

BELOW

Exceeds*

$20.04

DNR

41-9099 (3)

All Other Sales and Related Workers

PT

BELOW

$10.83

$20.04

$10.00

41-1012 (3)

First Line Supervisors/Managers of Non Retail Sales Workers

FT

BELOW

Below*

$32.46

DNR

43-4051 (11)

Customer Service Representatives

FT

ABOVE

$18.50†

$10.88

$16.05

43-5061 (3)

Production, Planning and Expediting Clerks

FT

BELOW

DNR

$17.98

DNR

43-5071 (3)

Shipping, Receiving and Traffic Clerks

FT

ABOVE

$19.17

$12.69

$18.34

49-9042 (35)

Maintenance and Repair Workers, General

FT

ABOVE

$19.01††

$15.33

$15.00

49-9043 (5)

Maintenance Workers, Machinery

FT

BELOW

$22.64

$14.74*

$21.79

51-1011 (26)

First-Line Supervisors/Managers of Production and Operating Workers

FT

ABOVE

$20.60†††

$23.60

$16.56

51-2099 (134)

Assemblers and Fabricators, All Other

FT

ABOVE

$12.28

$10.38

$11.35

51-4081 (45)

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

FT

ABOVE

$17.34

$13.69***

$14.50

51-5022 (3)

Prepress Technicians and Workers

FT

ABOVE

Exceeds*

$15.02

DNR

51-5023 (17)

Printing Machine Operators

FT

BELOW

$16.39

$16.93

$15.36

51-9199 (15)

Production Workers, All Other

FT

ABOVE

$13.10

$7.63

$11.35

53-3032 (10)

Truck Drivers, Heavy and Tractor-Trailor

FT

BELOW

$15.83

$16.08

$15.56

53-7062 (89)

Laborers and Freight, Stock, and Material Movers, Hand

FT

BELOW

$13.34

$13.84

$11.59

53-7064 (162)

Packers and Packagers, Hand

FT

ABOVE

$11.43†

$9.21

$10.28

53-7064 (27)

Packers and Packagers, Hand

PT

ABOVE

$13.34

$7.85

$10.00

 

 

* Information Not Provided, exceeds mean wage

** Information Not Provided, below mean wage

*** Lawrence Metropolitan Area Not Available, used statewide average

† 2 amounts listed as “exceeds”; excluded from average

††1 amount listed as “exceeds”; excluded from average.

††† 8 amounts listed as “Exceeds”

 

PackerWare, Corp. / Berry Plastics, Corp. reported 38 total job categories (34 full time and 4 part time)

·        14 of 34 full time (41.18%) paid at or above the mean wage for the job category

·        1 of 4 part time (25%) 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

Exceeds*

$55.67

DNR

19-2031 (3)

Chemists

FT

ABOVE

$32.82

$28.19

DNR

19-4031 (5)

Chemical Technicians

FT

BELOW

$16.58

$19.57**

DNR

43-3031 (3)

Bookkeeping, Accounting & Auditing Clerks

FT

ABOVE

$18.20

$13.83

DNR

43-4051 (6)

Customer Service Representatives

FT

ABOVE

$17.80

$10.88

DNR

43-5071 (3)

Shipping, Receiving, & Traffic Clerks

FT

ABOVE

$18.27

$12.69

DNR

51-1011 (3)

First-Line Supervisors/Managers of Production & Operating Workers

FT

ABOVE

$30.11

$23.60

DNR

51-9111 (6)

Packaging & Filling Machine Operators and Tenders

FT

ABOVE

Exceeds*

$13.33

DNR

51-9199 (4)

Production Workers, All Other

FT

ABOVE

Exceeds*

$7.63

DNR

 

*Information not provided, exceeds mean wage.

** Lawrence Metropolitan Wage not available, used statewide average.

 

PROSOCO, Inc. reported 35 full time job categories

·        29 of 35 full time (82.86%) 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 (7)

General & Operations Managers

FT

BELOW

$25.86

$38.63

$18.24

51-7011 (24)

Cabinetmakers & Bench Carpenters

FT

ABOVE

$14.75

$13.44

$12.00

 

 

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

·        2 of 2 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.

11-3051 (4)

Industrial Production Managers

FT

DNR

DNR

$37.88

DNR

13-1023 (5)

Purchasing Agents Except Wholesale, Retail and Farm Products

FT

DNR

DNR

$20.74

DNR

13-1199 (4)

Business Operations Specialists, All Other

FT

DNR

DNR

$25.38

DNR

17-2112 (12)

Industrial Engineers

FT

DNR

DNR

$31.18

DNR

17-3013 (3)

Mechanical Drafters

FT

BELOW

$17.90

$19.69*

$15.00

17-3027 (3)

Mechanical Engineering Technicians

FT

BELOW

$19.68

$25.62*

$15.91

17-3029 (6)

Engineering Technician And Others

FT

ABOVE

$19.12

$27.50*

$16.13

43-5061 (4)

Production, Planning, and Expediting Clerks

FT

ABOVE

$17.55**

$17.98

$16.00

43-5071 (4)

Shipping, Receiving, and Traffic Clerks

FT

ABOVE

$14.49

$12.69

$12.80

49-9042 (8)

Maintenance and Repair Workers, General

FT

ABOVE

$20.23

$15.33

$17.30

51-1011 (5)

First-Line Supervisors/Managers of Production and Operating Workers

FT

DNR

DNR

$23.60

DNR

51-2092 (45)

Team Assemblers

FT

ABOVE

$13.58

$12.08

$12.37

51-4011 (24)

Computer-Controlled Machine Tool Operators, Metal and Plastic

FT

BELOW

$14.37

$16.63*

$13.44

53-7064 (6)

Packers and Packagers, Hand

FT

ABOVE

$12.94

$7.85

$11.61

 

* Lawrence Metropolitan Area not available, used statewide average

** Two amounts listed at $0.00, left out of average

 

Sauer Danfoss Company reported 27 total job categories (26 full time, 1 part time).

·        9 of 26 full time (34.62%) paid at or above the mean wage for the job category.

·        The company did not report incomes on 11 full time job categories

·        0 of 1 part time (0%) 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 2008.  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 2008

Allen Press*

$19,086.52

$13,245

N/A

$32,331.52

Amarr Garage Door (1998)

N/A

$8,402

N/A

$8,402

DST Systems (IRB)

----

----

$2,473.26

$2,473.26

PackerWare/ Berry Plastics

N/A

$2,132

N/A

$2,132

Prosoco  (IRB)

-----

------

$82,380.55

$82,380.55

Prosoco (2005)

$32,959.44

$1546

N/A

$34,505.44

Reuter Organ

$46,359.24

$610

N/A

$46,969.24

Sauer-Danfoss Co.

$56,733.06

$4167

N/A

$60,900.06

 

 

 

 

 

TOTAL

$155,138.26

$30,102

$84,853.81

$270,094.07

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

 

Industrial Revenue Bonds

Two 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

DST Systems, Inc.

$7,250,000

2001

2012

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%

27%

99%

Amarr Garage Doors Inc. (1998)

1.9%

5%

99%

DST Systems

93%

100%

100%

Hardman and Hardman LLC/ Jayhawk Bowling Supply

100%

15%

90%

PackerWare/ Berry Plastics Corp.

Information not available

10%

90%

Prosoco, Inc

10.8%

5%

100%

Reuter Organ

55%

15%

98%

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 FSC certification with Rainforest Alliance.  This documents participant usage of paper purchase from organizations that practice better forest management.

 

Green Tags purchase from Bonneville Environmental Foundation. 

Received 2007 Pacesetter Award from United Way of Douglas County.

 

Partnered with Cottonwood, Inc.

 

Supported groups, including: Habitat for Humanity, Lawrence Arts Center, Lawrence Children’s Choir, Dog Days Sponsor, Flint Hills Symphony Program

 Received reimbursement from the State of Kansas for a recent KIR training project.  Our investment in training in 2008 exceeded $300,000 for both time and materials associated with technical and management training

Increased pharmacy benefit introduced in 2006

 

Increased 401k match

 

Provided free flu shots and medical screens in 2008 at benefits fairs

 

Amarr Garage Doors Inc.

 

Committed to being the best corporate citizen possible

Contributed to the following:Van Gogh Arts Program; Tenants to Homeowners, United Way, Kansas Blood Services, March of Dimes, Lawrence Arts Center, Lawrence Memorial Hospital 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

 

PackerWare/ Berry Plastics Corp.

Recycling and Sustainability Efforts, sell or give recyclable materials to vendors who find other uses

Multiple donations of product to charitable and civic organizations, partial list includes Langston-Hughes school, Lawrence Park and Rec Dept, Meals on Wheels, Lawrence Fire Dept, Sertoma Club, Lawrence Humane Society, Deerfield Elementary; sponsored little league softball and baseball; Earth Day tours

 

Hired and trained 150 new employees;  encourage employees to attend workshops and seminars; Supervisor 101 program with JCCC

 

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 $18,000 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