Kraft wants to expand Maxwell House plant

Started by thelakelander, June 19, 2014, 10:09:34 AM

thelakelander

QuoteBy David Chapman, Staff Writer

Kraft Foods Group Inc. is seeking $425,000 in taxpayer dollars to expand its Maxwell House facility Downtown and create 10 new jobs.

In addition, the company will retain the 227 employees who work there and invest $16 million in capital expenses for adding coffee and bag lines.

full article: http://www.jaxdailyrecord.com/showstory.php?Story_id=543222
"A man who views the world the same at 50 as he did at 20 has wasted 30 years of his life." - Muhammad Ali

Non-RedNeck Westsider

And before this gets a chance to jump the shark, not that facts will get in the way of some peoples' arguments, the incentives they're seeking are laid out in the JEDC Incentive program.  They're just using the options that are available to them.

A common mistake people make when trying to design something completely foolproof is to underestimate the ingenuity of complete fools.
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billy

If any entity deserves to use existing programs, given their history in Jacksonville, it is Maxwell House.

I thought the expression "jump the shark", was a reference to an incident in a TV episode that marks the beginning of the show's decline.

Is the Fonz going to waterski over a shark in Hogans Creek?

Non-RedNeck Westsider

Quote from: billy on June 19, 2014, 10:48:04 AM
If any entity deserves to use existing programs, given their history in Jacksonville, it is Maxwell House.

I thought the expression "jump the shark", was a reference to an incident in a TV episode that marks the beginning of the show's decline.

Is the Fonz going to waterski over a shark in Hogans Creek?

+1 on your first statement and only if we can put him in a jaguar spotted, teal leather jacket...

The expression was used in regards to this post.  These threads seem to take a nosedive the moment that the words, "...seeking incentives for..." are used.
A common mistake people make when trying to design something completely foolproof is to underestimate the ingenuity of complete fools.
-Douglas Adams

billy

#4
I withdraw my second statement, and not just because Henry Winkler's lawyers called.

Typically KGF is not shy about shifting operations around, the number of  facilities they possess gives them options.
This is reality, not extortion.
The incentives are one of many factors in their decision regarding this particular expansion.

IrvAdams

Quote from: stephendare on June 19, 2014, 10:49:18 AM
Quote from: billy on June 19, 2014, 10:48:04 AM
If any entity deserves to use existing programs, given their history in Jacksonville, it is Maxwell House.


+1

+1
"He who controls others may be powerful, but he who has mastered himself is mightier still"
- Lao Tzu

bencrix

I assume building some sort of destination coffee "experience" on bay st. & hogan's creek is out of the question, but boy would that be cool for MH, Jax, visitors, etc.

thelakelander

^It's been discussed in the past before.  Previously, they weren't interested because they wanted to keep a low profile.
"A man who views the world the same at 50 as he did at 20 has wasted 30 years of his life." - Muhammad Ali

AuditoreEnterprise

Quote from: stephendare on June 19, 2014, 03:41:16 PM
Quote from: thelakelander on June 19, 2014, 03:22:55 PM
^It's been discussed in the past before.  Previously, they weren't interested because they wanted to keep a low profile.

It was 12 years ago, and the idea pitched to them was to open the plant itself for a tour as part of a chain of maxwell house branded coffeehouses.

The local guys can't make branding decisions like that, but they can open up a tasting cafe adjacent to the property which wouldn't constitute making a brand change for the corporation as a whole.

+1

But a tour would be cool none the less. There are some antique machines in there too. Unless they had them removed by now. But your idea is pretty cool none the less
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thelakelander

"A man who views the world the same at 50 as he did at 20 has wasted 30 years of his life." - Muhammad Ali

thelakelander

Who are they?

I was just saying if we have ideas that we think others aren't taking and implementing, then we can take matters into our own hands, going directly to the appropriate parties instead.

Basically, the Jax Truckies, Jaxsons Night Market, MJ Pub Crawls, Preservation SOS approach.
"A man who views the world the same at 50 as he did at 20 has wasted 30 years of his life." - Muhammad Ali

taylormiller

(from the article...)
"The summary states the California plant and a facility in Pennsylvania are competing with Jacksonville for the project....The 10 new Jacksonville jobs will have average annual wages of $57,400, plus an additional $36,200 in benefits, for a total of $936,000 in compensation."

This is all that needs to be considered. The city of Jacksonville has to be vigilant in defending existing business, and Maxwell House is an entity that we need to reward for their loyalty to the First Coast. They've been great for the city and we need to ensure that they know we value their investment.

Plus, this would touted as a major accomplishment in the realm of job creation as a $425,000 investment would yield 10 jobs paying salaries of $57,400 - it's a no brainer. These would be well paying jobs that 10 people could use to perhaps buy their first house and begin paying property taxes. This is the ideal role of government - to create an atmosphere conducive to job creation and grants can play an important role in that.

I can only hope City Council will not see this as a handout or get queasy at the idea of "giving away" $425,000 when they're entrenched in financial woes including the pension reform, the credit downgrade, the River Taxi issue, the Westside High renaming etc. The city's expenses are rising while the revenues are not; and I can understand city officials being more stringent than usual during such times, but this is a situation in which blind frugality cannot trump common sense.

As for the Maxwell House opening it's doors to the public, I hope they change their mind soon. A daily tour of their facility or some form of a coffee house at or near their facility would be an incredible addition to Bay St. The idea of keeping a low profile is noble, but they have a unique situation where there is relatively low competition for coffee downtown. Most downtowns have multiple Starbucks and a few local cafes, but the coffee market is a relatively open game downtown. Raising their profile may not be their "style," but I hope they reconsider.

thelakelander

^Here's what they had to say about having tours and a coffeehouse in 2010 and 2012.

QuoteWhile it sounded like a good idea to some members of the community, Waryold said that a request to open a coffee shop at the plant won't happen. "It's not our base," he said. "We're in manufacturing."

full article: Jax Daily Record - A century of coffee
04/06/2010 - https://www.jaxdailyrecord.com/showstory.php?Story_id=530687

QuoteJacksonville has grown up around the Maxwell House plant. The shipyards were neighbors early on and nearby buildings have changed names a few times.  Despite its size, being one of the biggest coffee roasting plants in the world, Maxwell House keeps a low profile in town. There are no plant tours and there's good reason for the plants secrecy.  The coffee business is competitive and Maxwell House's parent company Kraft Foods wants to keep it that way.  "We talked about our need to stay competitive. Part of that is to not let our competitors know how we operate to the minute detail," said Waryold

full article: First Coast News 11/8/2012 - Landmark Legend: Maxwell House - http://archive.firstcoastnews.com/news/article/281594/0/Landmark-Legend-Maxwell-House-
"A man who views the world the same at 50 as he did at 20 has wasted 30 years of his life." - Muhammad Ali

downtownbrown

I don't get the math.  $425,000 results in a return of what? Some potential property taxes? Some sales taxes? If I were a Councilman I'd be against the expansion.  Increasing manufacturing is NOT the goal of downtown investment.  In fact, any incentive ought to be to get them to move, and to take the jail with them.  Can anyone offer any examples of how Maxwell House has been a good corporate citizen for Jax?  Have they contributed to downtown revitalization?  Are they investing in the community significantly? 

IrvAdams

Maxwell House has been a very good citizen for a very long time in this city, and it remains a strong nostalgic icon and a source of civic identity. You have to look at their history.

I think this is a no-brainer; they are welcome to expand at will as far as this citizen is concerned.

Max in Jax!
"He who controls others may be powerful, but he who has mastered himself is mightier still"
- Lao Tzu