Title
Public Hearing: Chapter 100 Plan for the Project Kings Industrial Development Project; Graham Packaging Company, applicant
Body
Issue/Request:
The request is being made by Graham Packaging Company ("the Company") to open new operations in approximately 215,000 square feet of existing industrial space in the Lee’s Summit Commerce Center, Building A, located at 1100 NW Main Street. The project is expected to cost approximately $33,775,000. The Project to be financed by the Bonds consists of manufacturing and ancillary equipment, with a new equipment investment of approximately $23,000,000 and relocation of equipment with a depreciated value of approximately $10,700,000.
Key Issues:
Evaluation of a request for incentives in the form of:
(1) Personal property tax abatement through Chapter 100 in the amount of 75% of the assessed value of new personal property only (as determined by the County) for five (5) years
(2) Personal property tax abatement through Chapter 100 in the amount of 75% of the assessed value of relocated personal property only (as determined by the County) for five years, to be installed in two installments
Background:
The project is expected to be located within Building A of Lee's Summit Commerce Center. Lee's Summit Commerce Center is part of an existing Master Plan for Lee's Summit Logistics Park Project that was approved by the City Council on January 4, 2022. Chapter 100 Industrial Revenue Bonds were issued for Building A on April 11, 2022. The property is subject to a fixed PILOT payment for real property until 2042. The existing Chapter 100 and PILOT structure does not prohibit the use of additional Industrial Revenue Bonds for the personal property transactions.
Impact/Analysis:
The Company is anticipating the creation of 82 quality jobs with average wages exceeding the Jackson County Average Wage. The Company is estimating Total PILOT and Tax payments over the initial 10 year period to equal $1,958,641 (City portion ...
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