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Business Retention and Development Committee Agenda and Packet 2014 07 07
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Business Retention and Development Committee Agenda and Packet 2014 07 07
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BRADPKT 2014 07 07
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SUBJECT: LOUISVILLE ECONOMIC INDICATORS AND 2015 GOALS DISCUSSION <br />DATE: JULY 7, 2014 <br />PAGE 3 OF 4 <br />growth. The following table outlines the critical data points associated with the projects <br />offered assistance by the City. <br />Table 1: Summary of Incentives and Benefits from Business Assistance Packages <br />Incentives Paid <br />Retained Jobs <br />Created Jobs <br />Total Jobs <br />Total Annual Wages <br />Average Wage /Salary <br />Annual Sales Tax <br />Permit Fees Paid <br />Construction Cost <br />Incentives per Job <br />Annual Sales Tax $ per Incentive $ <br />Construction $ per Incentive $ <br />Retail <br />339,193 <br />27 <br />276 <br />303 <br />4,889,388 <br />16,137 <br />460,496 <br />108,059 <br />3,850,033 <br />1,119 <br />1.36 <br />11.35 <br />Commercial <br />Total <br />$ 357,602 <br />741 <br />1,376 <br />2,117 <br />$ 189,939,428 <br />$ 89,721 <br />NIA <br />$ 1,379,798 <br />$ 29,458,010 <br />N/A <br />169 <br />82.38 <br />$ 696,796 <br />768 <br />1,652 <br />2,420 <br />$ 194,828,816 <br />$ 77,862 <br />$ 460,496 <br />$ 1,487,857 <br />$ 33,308,043 <br />N/A <br />288 <br />47.80 <br />For the retail projects, every dollar of incentives provided to the retail projects has <br />leveraged $1.36 of new annual sales tax revenue to the City. Total annual sales tax <br />receipts to the City total $460,496. The retail projects have created 276 new jobs with <br />an average wage of $16,137. These are typically part -time positions and wages tend to <br />be lower in the retail sector. <br />The commercial projects have retained 741 jobs and created 1,376 new jobs in <br />Louisville, resulting in total employment from these projects of 2,117 jobs. The average <br />annual wage for these jobs is $89,721. The average incentive paid to create or retain a <br />primary job is $169. <br />The Business Assistance Packages have encouraged improvements to property totaling <br />$33,308,043 either through tenant improvements or new construction. Every dollar of <br />incentive paid out through the program has leveraged $47.80 of improvements to <br />property in Louisville. <br />City Council Goals for Economic Development <br />The City Council developed and discussed goals for the 2015 budget year at a special <br />meeting on June 27, 2014. A section of the goals relate directly to Economic <br />Development activities. The goals are listed below with actions staff is currently <br />performing to achieve them. <br />❑ Continue to facilitate redevelopment of URA <br />7 <br />
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