To the editor:

To what degree should our elected leaders enthusiastically encourage industry to locate in Lawrence? Consider these facts:

1. The tax rate per dollar of appraised value for industry is more than twice that of the rate on residences.

2. A company receiving a tax rebate of 50 percent still pays more taxes per dollar of appraised value than do homeowners.

3. Companies pay the full commercial rate after the abatement period ends.

4. In the computer model that calculates the benefit/cost ratio, only a fraction of the costs (police, fire, road maintenance, etc.) are directly associated with the bricks and mortar and business dealings of a company. Most of the costs are associated with supporting the employees (schools, police, fire, etc.).

5. The city and county bear the burden of these same employee-related costs (schools, etc.) for those who commute to jobs outside Lawrence, but the city and county do not receive any compensatiing property and sales taxes from the employer.

6. Tax abatements are about the only incentive offered to industry to locate in Lawrence while we compete against many cities that offer much more.

7. Furthermore, the enactment of a “living wage” requirement will be perceived by many location analysts as an antibusiness indicator and tend to eliminate Lawrence from further consideration as a good location even though most companies would meet this requirement.

8. The fact that there are more than 1,600 applicants for the 125 jobs at our new Home Depot indicates Lawrence needs hourly as well as professional-type job opportunities.

9. Lawrence is becoming more and more a bedroom community.

10. Residential property taxes will continue to increase faster as our industrial base shrinks.

Lew Phillips,

Lawrence