Morningstar Official Talks Expansion

Tulare - Morningstar employees and managers who had assembled to celebrate completion of a two-story addition at the North J Street plant got a message that many other workers in this difficult economy would love to receive.

J. Scott Toth, the senior vice president who oversees Morningstar Foods, and Jay Altizer, general manager of cultured products, had come from Dean Food's corporate headquarters in Dallas last week to personally deliver the message to plant manager Buck Buchanan and his team.

“This is something you've earned,” Toth told employees at the ribbon cutting ceremony. “Tulare is a plant you never have a problem with. We're going to continue to expand in Tulare.”

The project, he said, is “not a one-shot thing.”

Altizer had earlier told the audience, which also included city, county and state officials, that the new office and employee center “really reflects our commitment to this team, this community and this plant.”

The plant at 605 North J St. has been a Tulare fixture since it began operations 92 years ago in 1918. It is well-known for the white cow and milkmaid statue on the west lawn, which was erected by what was then the Adohr Company in 1927 and refurbished in 1998 by the late Tulare artist Jim Hitchcock and his son James.

While the plant today produces sour cream and cottage cheese, it has in the past also made nonfat dry milk and processed fluid milk. The portion of the plant just north of the original brick structure was added in the 1970s for culture processing and the cold box and dry warehouse were added in the 1980s, according to company officials.

The new building replaces a 1936 structure that served as the plant manager's home for 44 years and then as the main office for the past 30. The two-story, 6,217-square-foot structure includes a reception area, offices, conference and training rooms, employee break room and locker rooms and restrooms.

The break and local rooms are currently in the original structure.

The plant employs 92 people and the new facility will accommodate about 150.

“This is a positive and really energizing thing for us,” Mayor Craig Vejvoda said during the ceremony.

Tulare County Supervisor Pete Vander Poel of Tulare also spoke and Assemblywoman Connie Conway, R-Tulare, presented Morningstar officials with a certificate of recognition from the state Assembly.

---

Candidates Disagree on Business Incentives

Tulare - Tulare's four City Council candidates agree the community needs more jobs, but where they disagree is how far the city should go to help companies build or expand.

The City Council in the past few weeks has grappled with proposals to:

• Use federal job creation grant money to loan House of David Poultry $250,000 for equipment and machinery if the company succeeds in building a kosher poultry plant here and hires 65 full-time employees.

The city would forgive the loan if that staffing level is maintained for five years. The council approved the plan in a 3-2 vote.

The proposal was designed to help House of David obtain new financing for the project.

• Split the sales tax Ritchie Bros. Auctioneer would generate from on-site equipment auctions at the new complex it wants to construct at Avenue 200 and Highway 99. Ritchie would get 75 percent and the city 25 percent for 15 years, according to the proposal.

Ritchie Bros. would be required to invest not less than $10 million in site acquisition and construction and maintain not less than five full-time employees during the life of the agreement.

Dr. Robert Fountain, a regional economic consultant, estimated Ritchie Bros. would generate $218,807 in sales tax in its first year, an amount expected to grow annually as taxable sales increased from an estimated $13.26 million in 2012 to $41.62 million in 2024.

The City Council was expected to take up the matter this week at regular meeting, which was held after the Tulare Voice deadline.

Skip Barwick

“I want new business; I'm pro business, pro good growth, but I don't want to give away the family farm,” said candidate Skip Barwick, a long-time businessman and former banker.

Even if the money the city plans to loan to House of David and then forgive if criteria are met comes from the federal Community Development Block Grant program, it is still taxpayer money, Barwick said.

“If existing businesses have access to those same funds, then I don't have a problem with it,” he said.

As for the Ritchie Bros.' proposal, Barwick said he could not agree to giving the company 75 percent of the sales tax it generates for 15 years.

Art Cabello

“I don't feel the city or the [Tulare Redevelopment] Agency board should provide funds to entice a business to develop in town,” said candidate Art Cabello, a teacher who also has owned two businesses and worked in auto and furniture sales.

“It's O.K. to fast-track a project,” he said. “We should be open to the process and … tell them we'll do things in a timely manner.”

Cabello said he was absent when the redevelopment board approved the House of David agreement, but would have voted against it had he been present.

“As for the 75-25 split, it wouldn't be something I would be in favor of,” he said, adding it is a question of fairness because the city cannot afford to do the same for every new business. “If I wouldn't split with one, I wouldn't do it for another.”

He agrees it is “going to be a fantastic project” and that if it doesn't get built here the city won't get even 25 percent, but said the city has to weigh carefully the situation.

“If we're only collecting 25 percent, can we really, truly provide them with the services they need,” he said.

He would like to find another way to keep the company in Tulare.

Roger Hill

“Anything we can do to encourage businesses to come to Tulare we should do,” said candidate Roger Hill, retired chief of the Tulare Police Department, where he worked for 40 year. “We should be very encouraging and supportive.”

The Tulare Redevelopment Agency and city's move to offer House of David job creation funds is appropriate and splitting sale tax revenues 75-25 with Ritchie “is not a bad deal,” Hill said.

“The company will pay all of its development impact fees, all of its Measure I and Measure R fees and the split pertains only to the company's on-site sales,” he said.

The city will also realize new tax revenues from motels, restaurants and retail operations because of the auction house, he said. “It's a good deal.”

David Macedo

“It seems like everybody coming in is asking for something,” said Macedo, who is seeking a fourth term. He voted against the proposal for House of David Poultry and expressed concern about the Ritchie plan prior to this week's meeting.

“I've never been against waiving development impact fees if they [businesses] perform to a certain level, but giving money away — I'll always be against that,” he said.

The 75-25 split “is just too much,” he said, adding Tulare has had businesses that have brought in well over 50 people and “we've never done that for them. Why should they have to live under a different set of rules than the others?”

---

Tulare Relay for Life Saturday

Tulare - They've painted the town purple, held bake sales, fashion shows, poker walks and other fund raisers and now Relay for Life teams are ready to spend 24 hours walking the Bob Mathias Stadium track to raise even more money for the American Cancer Society.

The 57 teams are brimming with excitement, said Michele Matheny, who with her mother, Sandi Matheny, are steering committee members assigned to work with team captains in preparation for Saturday and Sunday's event.

“More than half of them are brand new teams,” Michele Matheny said. “Several of them have never been to a relay before.”

Some teams were formed after Team Garrison put on the large Shop for the Cure fashion show fundraiser earlier this year, she said.

Fund raising is going well, said Denise Freitas, another steering committee member who reported last week that $62,360 had been raised so far.

“We think we'll come close to doubling that at bank night [when teams turn in their money],” Freitas said.

Samantha Cushing, co-chair with Barbara Blackwell of the survivor activities, reports invitations have been sent to cancer survivors who registered at previous relays, encouraging them to attend.

Special gifts await them and survivors who register at this year at the Survivors Tent on the south side of the stadium close to Kern Avenue.

Special parking is available for survivors and help is available for those who need assistance getting into the stadium.

Cushing reports her husband, Will, is setting up the caregivers' tent and has special treats to honor them as well.

Johnny Batista, who will share master of ceremonies responsibilities this year with Dan Harp, praised relay co-chairs Karen Smith and Trish Arnold and their steering committee at a recent meeting.

“You have done an admirable job and I think you're going to have a tremendous relay,” Batista said.

Smith and Arnold stepped forward to co-chair this year's relay when Passion Daley, who headed up last year's event, was again diagnosed with cancer. Daley, who is undergoing treatment at Stanford Medical Center, has been named honorary chair.

---