Recently in David Cawthon Category

                For many the deals were just a sign that gas prices were too high. For others though, the low sport utility vehicle and truck prices were too good to pass up. Robert Klinge, a contractor from Overland Park, thought that when he decided to buy his new Ford F-150. It was November of last year, and Klinge saved $10,000 dollars buying at a time when dealers were desperate to get rid of their inventory.

Klinge saved around $10,000 on an F-150 similar to this last year.

A year ago this summer gas prices in Kansas hit the highest they had ever been, topping $4 a gallon. People across the country stopped buying SUV and large trucks in favor of more fuel efficient imports and alternative energy hybrids. Car dealers watched as their lots filled up with gas-sucking behemoths that nobody wanted, and prices hit rock bottom.

                Klinge was just one of many Americans taking advantage of the low prices, but a majority of people were biding their time, saving their money or investing in smaller more fuel efficient cars.

Source: http://dev.cardata.ca/

                Since the decline of gas prices after the summer of 2008, the worries that people harbored towards SUVs and trucks have decreased as demand and the price go back up. Cars that had seen prices drop into the $35,000 range in 2008 are back up to nearly $50,000 dollars.

In Lawrence, car dealers are experiencing this same trend. According to Kevin Storm, finance manager of Bossier Nissan, 2300 W. 29th Terrace, Lawrence, Kan., prices are mainly up on domestic vehicles such as Ford and GM. Large import vehicles such as Nissan and Toyota have not seen their prices or demand increase to the levels that their domestic counterparts have.

Despite the increase in SUV sales, car companies are still suffering difficulties in the weak economy. A large portion of car companies profits came from SUV sales, and with the decline of sales from high gas prices in 2008 and the weak economy in 2009, car companies will need more than this increase in sales to keep themselves afloat.

Allen Jaskiewicz of Dale Willey Automotive, 2840 Iowa Street, says that used vehicles are very difficult to find right now. With the present state of economy, used cars have a much higher demand than new cars. And since fewer people are buying new cars, there are no used cars being traded in. That demand is driving the prices up.

Dealers across the country were desperately trying to sell the unwanted vehicles. Many were offering large cash rebates, great financing options, buy one get one free options for certain vehicles, and one dealer in Kansas City, Mo. Was offering buyers a certificate for a free semi-automatic handgun.

According to Edmunds.com, a new and used car listing database, F-150s are selling for prices between $25,000 to $30,000 dollars. Many people were reluctant to dish out the money for a car last summer, but for people like Klinge, the risk may have paid off.

He lives a fairly normal life now. He works 40 hours a week at Batteries Plus in Overland Park, more if the boss lets him have the over time. He plays with his grandkids in Olathe when he can. He keeps his car and his motorcycle in tip-top shape. He has his hobbies too; racing RC cars.

Jim also works on cars in his free time, which helps
keep his car running smoothly.

                But Jim Folsom said life wasn't always as normal or as easy as it is now.  At the age of 19, Jim was convicted of felony statutory rape and sent to a state correctional facility. His 16 year old girlfriend's father found out about their intimate relationship and contacted the authorities. "It was a real disaster for me. I felt like I didn't do anything wrong, and now I was going to prison."

                For the next four years Jim lived in Lansing Correctional Facility. His life was turned upside down. "I was surrounded by some real hard dudes, and I had to harden up too," he said.

 He learned to be a real angry person in prison, and that led him to get in fights with other inmates.

Jim was sent to Lansing Correctional Facility after
his conviction, and lived there for four years.

                Now 53 years old, Jim has a grizzled look to him. He stands five foot six, but carries a presence that says "don't mess with me." His graying hair is kept short, and he always keeps his beard at a five o'clock shadow. Though you can't tell at first glance, more than half his teeth are false. Remnants of his past, lost in one fight or another. 

                After getting out of prison he bought his first Harley-Davidson. Jim found release in riding his Harley. His love for riding helped him get into groups with other motorcycles riders, the type of people with criminal intent. This also gave him an outlet for the aggression he had developed in prison. The fast paced lifestyle led to more fights and crime. It was also where he met his future wife, Barbara.

                At the age of 26, Jim's father died, and three years later his mother passed away. Jim was left nearly $250,000 in retirement money. He spent all of the money throwing parties and drinking booze, on motorcycles and motorcycle accessories, on cars he couldn't afford. "That money lasted me about four years before I had to file for bankruptcy." After the bankruptcy he was left with nothing.

                Jim and his wife had to start their lives over. After their daughter Crystal was born, the difficulty of raising a family and the financial struggles led to their divorce.

                Jim has since turned his life around. He said he realizes in his old age that he needs a stable setting to grow old in, and he wants to be able to give his grandkids a good household to live in. Though he is now divorced from his wife Barbara, they still live together. He helps support her, his daughter, and his three grandkids.

"He really changed his life from the days where he used to get in fights all the time," Barbara said.

Jim Folsom at Batteries Plus in Overland Park.

                Jim works a steady job as a manager at Batteries Plus, where he replaces batteries in everything from cars to watches. He still rides motorcycles, but he keeps away from the negative crowd that life can breed. His main hobby now is racing RC cars professionally. "The team I'm on has a really good car. Our last race we finished 15 laps in front of everyone else." Jim said. The course, which was 100 laps, required at least two pit stops, one to change batteries and one to change motors.

                Jim realizes the life he lived was exciting, but he regrets his time spent in prison, and how much time and money he had wasted. His days of fighting people are over.

Kansas state agencies are deciding where their share of the American Recovery and Reinvestment Act of 2009 funds will be spent. The Kansas Department of Transportation is one of these agencies.

As part of the $787 billion stimulus package, $26.6 billion dollars will be used to help reconstruct the nation's highway infrastructure, according to recovery.gov, a Web site that informs the public how stimulus money is being spent. Kansas will receive $350 million to repair highways, roads, sidewalks and other projects.

Large portions of the $350 million allocated to Kansas will be distributed across the state for localized governments to decide where the money is needed. District #1, which is defined as the Wichita and Kansas City areas, will receive $38 million dollars. Lawrence, which is included in District #1, will receive $11 million dollars, according to the City of Lawrence Public Works Department. Lawrence will also receive $1.9 million for public transit, said Stan Whitley, spokesman for Kansas Department of Transportation.

Charles F. Soules, director of the public works department in Lawrence, said there are many projects fighting for federal funds. These projects include:

·         Renovation of the Carnegie Library, 901 Vermont, at a cost of $1.5 million. These renovations would allow the Carnegie Library to act as a welcome center for Lawrence, as well as housing the Convention and Visitor's Bureau.

·         Reconstruction of the brick streets on New York Street, South Massachusetts Street and Ohio Street, totaling $2.1 million dollars. 

·         Repair of Clinton Parkway's multi-use path with concrete instead of asphalt, costing the city $700,000. The current asphalt is crumbling in some places.

·         Extension of the Burroughs Creek Trails, totaling $1.1 million. This would connect trails to new neighborhoods and expand the size of the trails in general.

The Department of Transportation said that federal stimulus money will help create between 10,000 and 11,000 jobs for Kansas, which was one of the major concerns for Congress when creating the stimulus bill. Before the stimulus bill was passed, KDOT had put construction jobs on hold because of economic uncertainty. Lawrence will have jobs created as well with its use of the $11 million allocated.

In a statement released by KDOT in November 2008, its main focus was to be sure it could pay its bills before starting more projects. This new influx of money allows the state to focus on new projects that are not only important to the people of Kansas, but also create jobs that help a damaged economy.

Other parts of Kansas will receive federal money as well:

 

###

Dillons grocery store on 23rd street in Lawrence.

It's Friday night and Lawrence, Kansas, residents are deciding what to have for dinner,but because of the economy those residents are going out to restaurants less  and instead are buying food at their local grocery store to prepare at home.

                Lawrence grocery stores have reported an increase in sales on certain items in their stores that they say is caused by the weak economy. People trying to save money on food are turning more and more to pre-made items such as frozen dinners, pizzas and, believe it or not, spam. Many residents are also turning to cheaper store brand items to stretch their budget a bit further.

Value items at Dillon's grocery store.

                "Convenience was the buzz word two or three years ago," said John Olsen, store director for Hy-Vee, 3504 Clinton Pkwy, Lawrence, KS 66047. Shoppers are now looking for price, as well as convenience when considering food. Olsen said that many restaurant goers are turning to grocery stores to spend less money.

                Dillons, a branch of The Kroger Co., and Hy-Vee have both seen growth in private label items since the economy started its downturn. Both companies have taken aggressive stances to keep prices as low as possible to ensure consumers keep coming back. Hy-Vee constantly searches for producers with the lowest prices, said Olsen. Kroger targets consumers with coupons based on their purchasing habits, said Sheila Lowry, a spokeswoman for Kroger.

"I used to go out to eat twice a week, but now I'm cutting back. My food budget is just too small," says Laura Riggs, Lawrence, Kansas, resident. Riggs said she had to set aside $60 per week for food to make sure all of her other bills are paid in full and on time. Riggs is one of many consumers who are making the same budget cuts.

Grocery stores have not suffered as much as other businesses have in the weakening economy. Areas such as buffet lines, salad bars and floral departments have seen significant decreases in sales as consumers cut unnecessary items out of their budget, but shoppers can make changes in their food purchasing to remove stress from their budget. Ultimately, food is a necessity.

The Kroger Co. Stock Information

In Sept. 2008, the Dow Jones Industrial Average saw a loss of nearly 1000 points in a one month period. Kroger stocks reflected the DJIA, dropping from $27.78 to $23.78 per share. Since the beginning of 2009, Kroger stocks prices have experienced a steady decrease. Wednesday's loss set the price at $20.97 per share, the lowest price since June 2006.

Dow Jones Industrial Average

"Number one, put money in people's pockets who are in trouble now -- extended unemployment benefits, the modest tax cuts, increase in food stamps. That will help grocery stores and other businesses and keep Americans who are good, honest, hardworking people afloat," said former President Bill Clinton on CNN's Larry King Live on Tuesday.

The signing of the $787 billion stimulus package on Tuesday sets up grocery stores to see a boost in sales in the coming months. The bill gives money, tax breaks and food stamps to many underprivileged Americans. Consumers will spend that money in a number of places, including grocery stores.