Convinced they had met the necessary requirements, the Emporia City Commission this morning approved tax breaks for Hill’s Pet Nutrition for the next decade.
The commission did not have the final dollar amount of real property improvements made by the company, but an attorney for Hills and Mark McAnarney, assistant city manager, assured commissioners it exceed the $100 million requirement.
The commission voted 4-0 to approve an ordinance granting a 10-year property tax abatement for Hill’s Pet Nutrition. Per commission instructions, the ordinance will not be published In the Gazette to become effective until the city has the final dollar figures.
Hills started production of Prescription Diet and Science Diet pet food earlier this year in its new 500,000 square-foot facility at 400 Weaver St. As part of the past negotiations with city and economic development officials, it was agreed the company would receive tax incentives as long as it met the necessary criteria.
For the full story, pick up the Thursday Emporia Gazette.
Buffalo_Breath (anonymous) says...
Why would you even vote on something when you don't have the information?
If the agreement was that you would grant the incentives if they met the criteria, then you must first determine that the criteria were met, then you vote on the incentives.
How hard is this?
December 22, 2010 at 1:49 p.m. ( permalink | suggest removal )
photobuggy2 (anonymous) says...
Its okay, don't you know...they can just raise our property taxes a bit more!
December 22, 2010 at 2:01 p.m. ( permalink | suggest removal )
methusla (anonymous) says...
What about job creation as an incentive by Hills to the City ?
How many jobs did the City require Hills to create before considering a 10 year tax abatement to Hills ?
How much money does a 10 year tax abatement on $100 million dollars worth of property improvements amount too ?
Hills now employes approx. 100 people, do all of these people reside in Emporia and Lyon County and pay taxes in Emporia and Lyon county ?
Will Hills, employment/jobs increase substantially in the next 10 years in order to justify such a large and long tax abatement ?
Will Hills even be a viable employer in 10 years ?
It would seem that the Citys leaders and others have a bad habit of giving away things, such as moneys, etc., and getting no guarantees or anything in return.
Regardless of what happens in the next ten years, Hills will be the inevitable " Winner " in any possible scenario !!
December 22, 2010 at 2:15 p.m. ( permalink | suggest removal )
methusla (anonymous) says...
Why not give Hills a 3 year tax abatement, based on jobs creation !
Then in 3 years if Hills meets job creation requirements, then extend the tax abatements for another 3 three years, based again on jobs creation & projected longevity of Hills being a viable steady jobs creating employer in Emporia ?
Seems to me this would be a fair compromise to both parties ???
December 22, 2010 at 2:20 p.m. ( permalink | suggest removal )
methusla (anonymous) says...
It seems to me to give someone, anyone a 10 year guarantee on anything, without some guarantees in return is not good sense or good business.
Oh it may be good business on the part of one of the parties involved, but certainly not advantageous to both parties involved in such an arrangement !!!
Kinda makes me wonder who got " paid " or benefited from such an arrangement !!!
December 22, 2010 at 2:24 p.m. ( permalink | suggest removal )
methusla (anonymous) says...
I certainly wish I could get a " tax abatement " on my property taxes !!
legal definition of a " tax abatement " is as follows, just in case you are unfamilier with the term " tax abatement " !
In the context of taxation, an abatement is a decrease in the amount of tax imposed. Abatement of taxes relieves property of its share of the burdens of taxation after the assessment has been made and the levy of the tax has been accomplished.
source:
http://legal-dictionary.thefreedictio...
December 22, 2010 at 2:36 p.m. ( permalink | suggest removal )
methusla (anonymous) says...
The following info is property tax info.
AVERAGE COUNTY LEVIES ON TANGIBLE PROPERTY VALUATION
average rate in dollars on each one thusand dollars valuation
Avg. Lyon County 136.498
source:
http://www.ksrevenue.org/pvdstatistic...
Therefore the amount of property taxes the City gave away to Hills, based on how much of a tax abatement the City agreed to give Hills on $100 million dollars of property improvements for 10 years, just could be a very substantial amount !!
And just what benefit such an abatement will have upon the taxpayers of Emporia and Lyon County ???
If you calculate the full tax levy of 136.498 on a full assesed value of $100 million the amount of taxes comes to $13,649,800 over a 10 year period or $1,364,980 dollars per year !
In any case the City is giving away a big chunk of potential tax money, that would mean some tax relief tor all property owners and tax payers !!
December 22, 2010 at 3:06 p.m. ( permalink | suggest removal )
justaflushaway (anonymous) says...
the county commissioners are just as stupid as the city commissioners.
Meth, that was some good info, thanks
December 22, 2010 at 4:06 p.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
Well, we wanted higher paying jobs in Emporia, it's my understanding Hills will have them. Over 3 million dollars a year in payroll. And methusla, to do it in 3 year increments and renew it if conditions are met is not a real life solution for a billion dollar company, especially when you consider it may end up being a 1/4 billion dollar investment in the long run. They plan ahead by decades not yearly like some cities do.
We would be better off if our city, state and federal leaders thought things through for ten years down the road, instead of just until the next election cycle.
I could be wrong, (it's happened), but I think that if at any time the company does not meet the minimum requirements of the agreement, the abatement is abated. (hah, hah). Then the company would have to pay the regular taxes on the property.
I have also heard that the upper management at Hills commutes from Topeka, but who knows, Once they see what a great town this is they may decide to make Emporia their hometown.
December 22, 2010 at 4:32 p.m. ( permalink | suggest removal )
Wichitawings (anonymous) says...
This from the Steve Corbin who a few days ago was applauding the Hills group and the Commission for giving the tax breaks??? You're not wrong, you just don't remember very well!!!
December 22, 2010 at 4:54 p.m. ( permalink | suggest removal )
Wichitawings (anonymous) says...
Oh and by the way, ask the people in St. Joe about Colgate-Palmolive when they closed that plant and put so many people out of work, when they got a better deal in Ohio!!
December 22, 2010 at 4:56 p.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
Wichitawings,
I don't see any inconsistencies in my posts.
I am glad Hills is here, and I am glad the city stood by their agreement with them.
I think Emporia's work force will be good for Hills and the payroll sure can't hurt Emporia's economy.
Please explain the confusion on my two posts?
Off to work for now.
December 22, 2010 at 5:26 p.m. ( permalink | suggest removal )
methusla (anonymous) says...
Well, Steve, Exactly when are these higher paying jobs supposed to materialize?
In ten years, two years, or never ?
And the majority of the tax abatements that Hills has been given by the City, will pay for the upper management wages, instead of production line and lower position workers wages !! That is how tax abatements given to large Multi Billion Corps is used, not for the lower eschilon workers or jobs or to benefit the areas that they locate/build in ! And if States, Communities would think and plan in shorter lived deals, such as 3 years versus 10 years maybe, just maybe the communities, States and Areas would have better leverage in negotiations with Companies than giving away the farm for ten years !
As I have said a ten year agreement favors only one negotiating party, the large " Wealthy " corporations, the CEOs, upper management, Boards of Directors and Stockholders ! This long term give away, is a benefit to one party and one party only !!! The party that receives the " Farm " so to speak with out anything being guaranteed, promised or given to the other party and that is not a real life solution, except for one party and one party only !!
If Hills does not create a $3 million dollar per year job/employment payroll in within the 10 year tax abatement promise/agreement by the City, just how much money does the City stand to lose in taxes from Hills, in that ten year period of time ? I have already given you the figures and the tax savings to Hills amounts to almost half of the 3 million dollar payroll per year and Hills made no guarantee that they will even be operating in Emporia or anywhere in 10 years !!
Agreeing to any thing for 10 years without any guarantees in return is a bad move on anyones part ! Even if it is something that may be thought of as trivial as a sales tax extension !!!
I would imagine that the upper management positions at Hills would be at least 40% or more of the $3 million per year salary that Hills promised and you, yourself have stated that most or all of Hills upper management commute to work at Hills and do not necessarily live, shop or pay taxes in Emporia or even Lyon County !
But of course that is just the way things are done by the " Push Overs " that are the " Leadership " of Emporia !!!
I am happy that Hills located in Emporia, but I don' t believe that the City should agree to anything for 10 years, without some guarantees in return !!
December 22, 2010 at 5:59 p.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
Meth,
I think the higher paying jobs have started already. I could be wrong. Is their an employee from Hills that can set the record straight?
ARE THE WAGES AT HILLS THE SAME OR BETTER THAN OTHER EMPLOYERS IN EMPORIA?
IS Hills paying more per hour than Walmart? Tell me if I am wrong, but are the people employed at hills paid a better wage than Walmart?
people keep saying they want better paying jobs in town, are they willing to help bring them in? And as I said, their are no guarantees in life, but if things don't work out with Hills, I think we are covered.
Of all the things we have to worry about in our hometown, this is the least important one.
December 22, 2010 at 9:57 p.m. ( permalink | suggest removal )
Jersey (anonymous) says...
The people that were lucky enough to be hired at Hills recieve WELL above average wages for this area, not to mention great benefits. It is a great company to be a part of.
This is a great company that has decided to spend over $200 million dollars in a state of the art facility in this town. They employ over 100 people currently at this facility.
I cant believe that Colgate decided on giving Emporia this outstanding once in a lifetime oppurtunity after reading some of you a-holes on here. Most of you are grumpy old farts with nothing better to do than find something to complain about.
December 22, 2010 at 10:23 p.m. ( permalink | suggest removal )
koalemos (anonymous) says...
People will work. People will earn money. People will spend money. People will sell stuff to people with money. People will not earn enough money to take charge of their life though. Not with this. It will do well though.
Learn to love what you have. Learn to enjoy life. Life will not last forever. Greed will take you down with it. God has given you more than what you need. You sit and ponder...what if I win the lottery? You have everything right now and yet you do nothing with it. Winning the lottery will change nothing. You will still be the empty vessel that you are right now. Empty and alone. Selfish and greedy. Surrounded by delicacies as you starve. Drowning in a well as you beg for something to drink. Your Lust for material wealth makes you willing to sell your soul for something better without realizing what you already have...And then there is the new kid on the block. Let's kick his @$$!!!
December 22, 2010 at 11:09 p.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
welcome to our little group
laurasmithy.
Thank you for your input on this issue :>)
December 23, 2010 at 6:26 a.m. ( permalink | suggest removal )
create (anonymous) says...
And Santa Fe's Eastern Division moved too. High paying jobs gone elsewhere and many empty homes left behind.
December 23, 2010 at 8 a.m. ( permalink | suggest removal )
methusla (anonymous) says...
Was there any research done into what Colgate-Palmolives ( Hills ) track record is on environmental contamination, animal abuse, thru animal testing of their products, etc..
Do any of the City Leaders know that Colgate-Palmolive has closed and or moved or sold some of their facilities, starting in 2004 or how many jobs this eliminated ?
" " Colgate-Palmolive, as a successor to The Mennen Company, is one of about 300 companies held potentially responsible for hazardous waste at the Chemsol federal Superfund site in Piscataway, New Jersey.[11] Their involvement in this site may have contributed to the contamination of an estimated 18,500 cubic yards (14,100 m3) of soil with volatile organic compounds (VOCs), PCBs, and lead off-site. "
" Colgate launched a sweeping restructuring in December 2004, its first major overhaul since 1995. The latest reorganization, a four-year program, aimed to generate between $250 million and $300 million in after-tax cost savings by 2008 by closing 26 of the firm's 78 factories around the world and eliminating about 12 percent of the workforce, or more than 4,400 jobs. "
I, more than likely will not be around in 10 years and I hope Hills, is still a viable and productive part of the Emporia area and there are many Emporians and Lyon Countians working there and making a good/decient living wage !!!
However, I still do not believe that so much needs to be given up for so long, that places even more burden on the taxpaying people of an area, such as Emporia and Lyon County !!
FYI, Colgate-Polmolives' wages range from $10 to $55 per hr. and you can bet that the $55 per hr wage is for upper or top management personel !!!
And how many of you know that the Colgate company was bought by the B.J. Johnson company in or around 1923 and became known as Colgate-Palmolive and has been a member of the Johnson group of companies ever since ?
December 23, 2010 at 8:30 a.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
i would bet a bag of science diet dog food, that there are close to a hundred families in Emporia RIGHT NOW, that are having a better Christmas than they did last year.
if you really think this is bad methusla, the city is now considering charging people for police and fire calls. And maybe a dollar a month fee on your water bill to "pay for" rain water run off. i sure hope the fire trucks are equipped with credit card swipers, We don't have much cash laying around our home.
December 23, 2010 at 8:46 a.m. ( permalink | suggest removal )
sail (anonymous) says...
ohhh jersey, you must be one of the new hires,welcome to E-TOWN,wonder if you ride the KTA to work?????
December 23, 2010 at 8:47 a.m. ( permalink | suggest removal )
tbluma (anonymous) says...
Meth
Why don't you make a New Years resolution.
This year I will think of the glass as being half full instead of half empty.
Merry Christmas to everyone and Happy New Year.
December 23, 2010 at 8:51 a.m. ( permalink | suggest removal )
methusla (anonymous) says...
I don' t think that any addition of jobs is a bad thing .
But what I do think is a bad thing is the one sided give aways that is needed or insisted/demanded to get the jobs and who these one sided giveaways benefit the most and the amount of time these giveaways are to last, insisted upon by the ones who benefit from these givaways !
I have one question for all of you to consider !!!
Has any individual, who pays property taxes or sales taxes, been given any form of tax abatements in the last 50 years in order for them to keep more of their money or live a better life ???
And is the City charging for Fire and Police calls and a dollar a month for Rain Water run off ? After all the City does what they want anyway, so whats the difference between doing that and trying to save $42,000 by eliminating jobs and then spending 41,000 for City Entrance Rocks ???
Also tbluma, is that thinking of my glass as half full or half empty ?
The only thing I can say is, We shall have to wait and see what the next 10 years will bring !!!
And good luck to everyone !!! You/We will need a lot of good Luck !!
I tire of disussing what should or should not be or been done or whether I think of my glass as being half full or half empty . FYI I believe everyones glass is more toward empty, than even being half full or half empty !!
December 23, 2010 at 10:39 a.m. ( permalink | suggest removal )
b3bill (anonymous) says...
Granting the 10 year tax abatement should have been done, since it was part of the original deal with Hills.
However, I feel Hills did not seem to prepare for this upcoming vote with the professionalism and business partnership commitment with Emporia that they should have shown. I see no reason why a plant that is now in operation for a few months would not have had the proper documentation available to present at the meeting to properly document that the spending was over $100 million. The representing parties for Hills should have been instructed by Hills to be fully prepared with the documentation for the meeting.
Hopefully this isn't an indication of tardiness with other obligations that Hills will have with Emporia. I wish Hills and all their employees much success with their new venture in Emporia.
It is now time for Emporia and the RDA to move on and actively seek more new industry to come here. It's time for the RDA to quit talking about Hills as if they're still on the way here, and act like they're totally consumed by Hills. Hills is here now and they are in business, and I am sure they will do fine. RDA, get busy and get more industry here.
December 23, 2010 at 1:46 p.m. ( permalink | suggest removal )
sail (anonymous) says...
It would be interesting to know if some of the execs transit the kta to emporia to work.
December 23, 2010 at 10:52 p.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
We both know the answer to that sail, but it's all o.k. When I was a government exec out in California in the 70's I would drive a 39 mile freeway jaunt everyday to work. And there are a lot of Emporia workers that drive to wolf creek daily.
What we can do is impress upon all the workers at Hill's that Emporia is a pretty good place to live, as well as work. Our city leaders need to renew their efforts to make Emporia a more affordable place to raise a family.
December 24, 2010 at 8:29 a.m. ( permalink | suggest removal )
sail (anonymous) says...
Yes, Steve, I agree. .....When a person earns an income in Emporia and lives and spends in topeka ,topeka wins.I hope the strings the rda put on Hills for # of employees means those living in Lyon Co.Topeka is a town in decline , and going down fast.I pick Emporia anytime over topeka.
December 24, 2010 at 9:42 a.m. ( permalink | suggest removal )
Jersey (anonymous) says...
So, why dont we witch hunt all the Emporians that go to work out of town every day? Isn't this what you are saying about the out of towners that come to Hills "on the KTA"?
Hills likes to hire people that are upbeat, level headed and with a positive attitude. From the looks of these boards, no wonder why they had to stretch the boundaries of their hiring away from this town. It is absolutely stupid to expect a global company to come in and be expected to hire ONLY locals.
December 24, 2010 at 9:50 a.m. ( permalink | suggest removal )
Wichitawings (anonymous) says...
Well Steve, there seemed a little inconsistency with the fact you praised the abatement, but then acknowledged the fact that upper management wasn't living in Emporia. Don't blame them, the tax base is about the same and there is more things to do and places to shop in Topeka.
December 24, 2010 at 10:19 a.m. ( permalink | suggest removal )
marko (anonymous) says...
or Texas, or Nevada, or some nice Island in a warmer climate with nicer banking rules.
December 24, 2010 at 10:44 a.m. ( permalink | suggest removal )
Jersey (anonymous) says...
One thing is to put yourself in their shoes. If you were given the oppurtunity of a career of starting up a new state of the art facility only 45 minutes from home would you do it? Of course.... Do you expect all the "KTA'rs" to pull their kids from their established schools, friends, spouse quit their jobs and TRY to find a new one in this town, just so they live in the higher taxed, Wal Mart dominated Lyon Co. I would drive the 45 minutes too.
December 24, 2010 at 12:09 p.m. ( permalink | suggest removal )
Steve_Corbin (anonymous) says...
Wichitawings and others,
Trying to stay positive here, I think I have. I am glad Hill's is here and they are employing local workers. The company deserved the package of incentives they got, and the workers here will do the company proud.
Are some upper management living out of town? Maybe they are, I just acknowledged that may be the case. If you carefully read my 8:29 post you will note that I said it's o.k. to commute.
Maybe they will eventually get to know the real side of Emporia residents,(which may or may not be reflected on these posts), and decide to locate their families here. In my opinion that would be a benefit to all involved. What's the murder rate in Topeka, not to mention the pot hole crops in the streets?
I think if you re-read MY comments on this story, they have been pretty positive, which reflects my feelings on the issue.
SO THERE WON'T BE ANY DOUBT !
WELCOME HILL'S PET FOODS. I AM GLAD YOU ARE HERE AND HOPE THERE IS A LONG AND MUTUAL BENEFIT TO BOTH YOUR COMPANY AND EMPORIA KANSAS.
December 24, 2010 at 12:18 p.m. ( permalink | suggest removal )
Jersey (anonymous) says...
Not lashing out at you directly Steve. Just get tired of when a great thing happens to this city, some people always find something to bitch about. Sometimes makes me want to be one of "the commuters"!
December 24, 2010 at 12:56 p.m. ( permalink | suggest removal )
marko (anonymous) says...
the English used to commute all the way across the pond
December 26, 2010 at 10:46 a.m. ( permalink | suggest removal )
create (anonymous) says...
Maybe some people look more deeply into the pitcher of kool ade and see things that others don't.
December 26, 2010 at 12:22 p.m. ( permalink | suggest removal )