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TRIBUNE FILE PHOTO
Pictured is the former Great Bend Packing facility south of Great Bend. City and county leaders approved Monday an incentive package to lure Redbarn Pet Products to take over the plant.
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By DALE HOGG
November 3, 2009 @ 12:21pm 9
Both the Barton County Commission and the Great Bend City Council Monday approved entering into a three-party agreement with pet food maker Redbarn, exchanging a host of economic incentives for assurances of job creation from the company.
Redbarn, the Long Beach, Calif.-based specialty pet treat manufacturer, has eyed the former Great Bend Packing facility since shortly after Smithfield Foods closed the John Morrell plant in July. Company representatives met with the council and commission Oct. 23 seeking help covering the estimated $3 million in relocation expenses.
Under the agreement, which has yet to be OKed by Redbarn, the city and the county would each provide the firm with a $22,500 grant “to be used for projects incident to job creation in Barton County.” Each would also offer $800 for each full-time job created up to 175 jobs.
Both the city and county would pay Redbarn $81,250 upon the company’s closing its purchase of the packing facility. That includes the grant funds plus an advance on the per-job payment. The maximum amount paid by the city and county to the company is $162,500.
In exchange, Redbarn agrees to locate in Barton County, use cash incentives to upgrade the facility and create jobs, spend money locally that will increase tax assessment, be in production in six months, stay in Barton County for three years, provide proof of job creation and have 175 jobs in place within 24 months. In addition, 51 percent of the positions must meet low- to moderate-income requirements.
The money for both the city’s and the county’s incentive package is coming from their respective Economic Development Revolving Loan Funds. Each has more than $300,000 in those funds.
Although approved unanimously by the commission Monday morning, there were concerns. Commission Chairperson Jennifer Schartz applauded the use of the EDRLF instead of tax money, but wondered why Redbarn needed two years to get up to the 175 jobs instead of the 12 months first discussed.
“They plan on being operational in April,” County Administrator Richard Boeckman said. They have indicated they plan to work as hard as they can to have a full staff in one year, but couldn’t guarantee it.
“This agreement is very beneficial to the county and to the city as well,” said Commissioner John Edmonds. But he was troubled by “limited disclosure” of company information by Redbarn.
He said he found some sketchy information in a Dun and Bradstreet report that indicated they had an “acceptable” credit rating and paid their bills on time.
“I guess we need them more than they need us,” Edmonds said. “Despite this thin information, I support this, but not without some reservations.”
Boeckman did cite a report from the Kansas Department of Commerce that gave Redbarn a glowing review. “Redbarn is the real deal,” the report said, experiencing rapid growth since opening in 1996.
The report noted that the availability of the plant, the proximity to beef and the lower worker’s compensation rates in Kansas made Great Bend an ideal candidate for the company.
The duplicate of the agreement that was approved by the county officials Monday morning was also unanimously approved by the city council Monday night.
Jan Peters, Great Bend economic development director, said Redbarn should complete its due diligence by Nov. 15. After that, there may be another two or three weeks of negotiating with Smithfield to purchase the facility. If Redbarn picks Barton County, it probably wouldn’t start anything here until mid-December, probably before Christmas.
“Thank you for your support,” she said.
Redbarn is looking to leave what company reps said is an “unfriendly business environment” in California. They would be closing their cramped Long Beach facility and moving.
They have also looked at sites in Texas and Nebraska. Since they use a lot of beef by-products in the product lines, the proximity to cattle slaughter houses is a plus.
Company officials said Oct. 23 that Great Bend is a front-runner and is a good fit for their operation.
Today, they employ 150 in the United States plus 130 at a plant in South America and are a $35 million company looking to grow to $75 million by expanding into different markets.
Their products are available in such stores as PetCo, Walgreen’s and Kroger, and they also have 70-75 independent distributors. Their mainly high-end pet treats are more common in metropolitan areas.
GReat Bend could be bringing in no jobs.. Why bring youth to GB when there isn't jack for them to do here. This is not a kid friendly town. Hasn't been in a very long time.
Low to moderate income jobs = what? more violence in a town already over ran by it.
One of the previous articles said the income levels for their positions would start at 18000.00. That is not a bad wage for this area. And as for the violence I do not think GB is over ran by it. WE have some but no town is violence proof. And that would go back to my point of there is not ANYTHING for youth much less yound adults to do in this town. We have Bars, Bowling Alley, Movie Theater and.... wait that is about it. All you can do is party out or party in either way someone is drinking and guess what you get...trouble. I believe in the late 80's early 90's we had skating rink, teen center "rock shop", kids could hang on main which I have heard even police officers say was nice because they were all in one area not spread out all over or at house parties. This town has been it's own enemy.
I see the locals are willing to voice their opinions and criticize something that is good for Great Bend. What ever happened to people being thankful for what they can have? Are the citizens of Great Bend that stuck in their ways? Embrace opportunity with open arms and be thankful. You the people and the community are the only ones that can change what you do not like but dogging your great town and its leaders is not the way to make change.
And Joe C even back in the 60's and 70's there was all those things to do and yes we did hang out on Main Street at was then known as Griffs and yes the cops did like it for the reasons you state. Then there was the Blue Cue, Stone Lion, The Pub, etc, etc where many hung out.
Remember Great Bend was an oil town. Roughnecks, roustabouts, etc all had to keep their repytation up as being the biggest and the baddest. That was done along with lots of drinking. I know all these facts because I was one of those punk arsed kids that did it all and paid a price for it.
Welcome RedBarn and start making change for the better Great Bend. You can do it. I support you and love all of you.
Low to moderate income jobs? What companies already in GB fall into that category - Let's see now there's _______________. Mike W. maybe everyone could pull together to force the current ones in GB wages up a little, and you would see new talent and youth returning or staying in GB. I'm sure we could pick almost any business currently in GB and find a mirror company somewhere else paying better. So I ask why is that?
Hey Joe C! Can I call you Joe? You are correct 18000.00 is not a bad wage......unless you ever want to own your own home, which you would probably have a monthly payment, property taxes, insurance, maintenance and repairs. Then if you wanted a car that was less than 10 years old with less that 200,000 miles on it you would probably have a car payment, then your would need auto insurance, then you would have to pay personal property tax on it and tags, then gas, maintenance and repairs on it. If you needed a house you would probably have a family to feed. Then you would probably need to have health insurance if you ever intended to pay the Dr. or hospital that brought your children into the world. Then you would probably want to start a 529 college savings account for your children to make sure they got a good education. Then you would probably want to have a life insurance policy to protect your family in case of an untimely death. Then there are electric bills, gas bill, sewer and water, phone (cell phone) cable or satellite TV, trash collection service......I think the 18000.00 may not cover all this. Unless the good ol' goverment steps in and furnishes you a vision card, free or reduced school lunches for the kids, free medical and health care, cold weather assistance with heating bills, low income housing and I'm sure a whole host of other programs to help low-to moderate-income families survive!
I think we're going to have those kind of people in this town either way, so we may as well have some place for them to work. Even if we had a nice place for our "talented youth" to come back home to work, that's not going to make our untalented/uneducated youth go away.
I agree it is a good thing to have a new employer and business in GB.
I also agree that wages in GB need to come up to a more competitive rate.{ 18000.00 is fair, but could easily be 25000.00 in a year or 2}
I also agree that GB needs desperately to improve the entertainment opportunities for our residents, both young and older.
BY that I mean fewer bars and restraunts and more activity centers, and not operated by the city.
And in response to GB residents slamming this and other things,,we, the people of GB have been burned in the past by our leaders empty promises,and companies that have left in the night owing money or having dumped problems on us that we are a little gunshy so to speak.
As for the law breakers we have ,,stop watching it happen, pick up the phone and report it, don't be afraid to let them know you will get the tag number,or let them see you dial the phone,,stand up to it,show them we won't tolerate their behavior and they will leave, go to jail, or get themselves square with the world.
Way to go Great Bend!!!! Please bring in more of the "low-to moderate-income" jobs so that even if you do get full time employment there you can work another part time job just to make ends meet!! Heres a new idea......try to bring in companies that offer high paying jobs that would bring new talent and youth to Great Bend (or keep a few of those that are leaving) and stimulate the local economy with spendable income.