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Sara Lee is coming to town!

Wayne Hodges
EDITOR’S COMMENTARY

UNIFIED GOVERNMENT SCORES BIG TIME WITH MIGRATION OF SARA LEE by Wayne Hodges

KANSAS CITY, KS – Now, that’s more like it. Recent reports indicate Wyandotte County will receive 250 new jobs as part of a regional expansion project by Sara Lee Corp. The company, headquartered in Chicago, will open a branch at 4612 Speaker Road in Kansas City, Kan. with plans of becoming a lunchmeat manufacturer. And check this out. The average salary for the new positions are expected to be somewhere in the neighborhood of $41,000 to $49,000 annually. This is outstanding news.

The project, however, doesn’t come without a price. Sara Lee, with anticipated project costs to exceed $38 million, is expected to receive 10-years of tax abatements. But, what the heck? I’m sure nobody’s going to argue against the infusion of new jobs into the community; especially in this economy. If you’ve read any of my recent articles regarding Kansas City, Kan. and economic growth, one theme remains a constant: Resident earnings must improve.

According to Citydata.com, the median income of KCK residents is an abysmal $36,000 compared to $48,000 for the rest of Kansas. If the recruitment of Sara Lee serves as any type of indication, Wyandotte County politicians appear intent on reversing these numbers. Remember, in my “County’s Golden Goose…” article, I campaigned for the Unified Government (UG) to recruit and back the construction of new corporate office parks and manufacturing plants to provide county residents with ample opportunities to earn wages in the $15 to $20 per hour range.

The recommendations were in no way intended to come off as an assault on new retail development in Village West. The goal was simply to create enough discussion amongst the public with the hope financially-strained citizens would come out ahead in a dismal U.S. job market. And, wouldn’t you know it, the executives at City Hall have delivered.

saralee_rotationThe UG will issue $46 million in industrial revenue bonds to finance the project; with property tax revenue to eclipse $1.5 million once the abatements expire. County officials have also set a requirement that insures at least 55% of these positions will be filled by Wyandotte County residents. District 1 Commissioner Nathan Barnes said that he hoped the application process would include residents living in ZIP-codes 66101 and 66104 to help “share the wealth in the community.”

I agree with Commissioner Barnes. The aforementioned northeastern zip codes, in addition to the southern portion of Wyandotte County, are predominant African-American and Hispanic communities. These districts are immersed in high crime and severe poverty with very little, if any, economic growth. But, hey, the addition of Sara Lee is definitely a step in the right direction. So, I say, let’s give some props.

Before I conclude, I must applaud UG Mayor Joe Reardon, County Administrator Dennis Hays and the board of commissioners for getting this deal done. I do ask, however, that the momentum doesn’t end here. The migration of these types of businesses to the American heartland must continue. The combination of fresh retail and high paying jobs are certain to elevate Wyandotte County to extraordinary new heights.

To expedite the hiring process, Sara Lee will receive plenty of help in finding quality personnel. Organizations expected to assist in the employment process include the Kansas City Kansas Chamber of Commerce, Kansas City Kansas Community College, Kansas City Kansas Technical Education Center, Kansas City Kansas Public Schools, the Kansas Black Chamber of Commerce, and others. The project is scheduled to begin sometime this fall. Once again, KUDOS to the Unified Government for a job well done. Whoever said “Show me the money!” wouldn’t come to fruition?

Wayne Hodges, an MBA from St. Mary University, is the editor of “Mass Appeal News.” He is also an adjunct professor, MPA at Kansas University, and legislative intern with the Kansas Senate. Wayne welcomes your comments at whodges@massappealnews.com

To see a clip on Sara Lee job cuts, click the play arrow.

This entry was posted on Thursday, June 18th, 2009 at 8:03 pm and is filed under Business & Economics. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

7 Responses to “Sara Lee is coming to town!”

  1. S. Patterson Says:

    250 jobs down…only 10,000 more to go.

  2. Maxwell Says:

    “10,000 more to go?” How about 20,000???

  3. Karen Says:

    Wayne, it sounds like the UG has come to grips with the fact KCK residents must earn more to patronize the numerous stores and shops at the Legends of Village West. I’m sure the mall is losing boatloads of tourism dollars as a result of the recession. By improving resident income, the Legends stand a much better chance to survive. At least until the economy gets better.

  4. L. Stevens Says:

    A step in the right direction but lots more work needed; particularly in the areas of education and northeast development.

  5. JP Says:

    “SHOW ME THE MONEY!!!

  6. Angela Says:

    I agree…the unified government is on the right track by importing these jobs. I have lived in Wyco for 20 years and i love it. But we must take the necessary steps to improve income for ourselves, as adults, and for our young people coming out of school. This is a very good start and I’m praying for more.

  7. Big Boy Says:

    Can a brotha get a job?

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