Poor process
If a tax rebate for a new Lawrence company is a good deal for the city, commissioners should have been more willing to share that good news with the public.
Accommodating a new bioscience startup business in Lawrence is a desirable goal, but the process by which Lawrence city commissioners approved a unique funding tool for that firm last week left much to be desired.
With essentially no public discussion, commissioners approved a deal last week to give Deciphera Pharmaceuticals a tax rebate as part of an incentives package for the firm that has decided to buy a building in East Hills Business Park. The rebate plan was never mentioned during the Oct. 23 meeting during which it was approved.
In fact, the 20-page agreement with Deciphera originally was put on the consent agenda where it would have been voted on without any specific discussion. It was only because Commissioner Boog Highberger asked the item to be removed from the consent agenda that commissioners discussed the matter at all.
It appears there was no need to discuss it because the whole matter had been discussed and decided in executive sessions. City Manager David Corliss said that discussion didn’t violate the Kansas Open Meetings Act because the matter was covered by attorney-client privilege. However, there is some question about what was discussed in the meeting. Although the legality of the process can be discussed in executive session, the policy discussion itself must be held in open meeting.
Corliss maintains that no policy issues were discussed in executive sessions, but if that is the case, the commission never discussed the policy issues of Deciphera’s unique tax rebate deal because it was never discussed in open session.
And it certainly should have been. Requests from companies seeking “tax abatements” from the city must go through a thorough review and cost-benefit analysis. Conveniently, the “tax rebate” deal, which provides the same if not more benefits for the company as an abatement, bypassed all that red tape. It sort of makes you wonder why any company in the future would seek a tax abatement when it would be so much easier to push through a tax rebate plan.
Deciphera appears to be a good company with a good chance of becoming a great corporate asset for Lawrence. But the city’s desire to solidify a deal with Deciphera doesn’t justify what appears to be some undesirable – if not illegal – corner cutting by commissioners. If this is a good deal for Lawrence, there was no reason not to share the details of the agreement with local taxpayers – before the papers were signed.

