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SUBJECT:
<br />DATE:
<br />BUSINESS ASSISTANCE PROGRAM STATISTICS
<br />AUGUST 3, 2015
<br />PAGE3OF4
<br />table outlines the critical data points associated with the projects offered assistance by
<br />the City.
<br />Table 1: Summary of Incentives and Benefits from Business Assistance Packages
<br />Retail Commercial
<br />Total
<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 />$ 801,573 $
<br />27
<br />257
<br />284
<br />$ 5,349,240 $
<br />$ 18,835 $
<br />$ 671,204
<br />$ 321,737 $
<br />$ 11,313,354 $
<br />Incentives per Job $
<br />Annual Sales Tax $ per Incentive $ $
<br />487,053 $ 1,288,627
<br />1,057 1,084
<br />1,306 1,563
<br />2,363 2,647
<br />209,013,336 $ 214,362,576
<br />88,453 $ 80,916
<br />N/A $ 671,204
<br />1,465,466 $ 1,787,203
<br />42,472,402 $ 53,785,756
<br />2,822 $ 206 $ 487
<br />0.84 N/A N/A
<br />Construction $ per Incentive $ $ 14.11 $ 87.20 $ 41.74
<br />For the retail projects, every dollar of incentives provided to the retail projects has
<br />leveraged $.84 of new annual sales tax revenue to the City. Total annual sales tax
<br />receipts to the City total $671,204. The retail projects have created 257 new jobs with
<br />an average wage of $18,835. These are typically part -time positions and wages tend to
<br />be lower in the retail sector.
<br />The commercial projects have retained 1057 jobs and created 1,306 new jobs in
<br />Louisville, resulting in total employment from these projects of 2,363 jobs. The average
<br />annual wage for these jobs is $88,453. The average incentive paid to create or retain a
<br />primary job is $206.
<br />The Business Assistance Packages have encouraged improvements to property totaling
<br />$53,785,756 either through tenant improvements or new construction. Every dollar of
<br />incentive paid out through the program has leveraged $41.74 of improvements to
<br />property in Louisville.
<br />Overall, the program has encouraged significant job growth, new sales tax revenue, and
<br />investments in property in the community. The program has provided more assistance
<br />to retail projects, but long -term retail projects provide an on -going source of revenue to
<br />the City. The incentive per job of $206 to encourage primary job growth is an excellent
<br />value given the benefit high - paying jobs provide to the economic condition of the area.
<br />The paid incentives leverage a significant amount of improvement to property. These
<br />CITY COUNCIL COMMUNICATION
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