Kansas Department of Commerce

Personal income in Kansas and Wichita

Personal income in Kansas and Wichita

Personal income in Wichita and Kansas has declined. Today the Bureau of Economic Analysis, an agency of the United States Department of Commerce, released real personal income for the states and metropolitan areas. [1. Bureau of Economic Analysis. Real Personal Income for States and Metropolitan Areas, 2016. Available at https://www.bea.gov/newsreleases/regional/rpp/2018/pdf/rpp0518.pdf.] The data released today is through the complete year 2016. For the state of Kansas, real personal income declined from $137,975 million in 2015 to $137,307 in 2016, a decline of 0.5 percent. For the entire country, the growth was 1.1 percent. Among the states and DC, Kansas ranked forty-fifth…
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Kansas government data may not be available

Kansas government data may not be available

There is a movement to increase the transparency of government in Kansas, but there's much to be done, starting with attitudes. One of the major economic development programs in Kansas is PEAK, or Promoting Employment Across Kansas. [1. Weeks, Bob. PEAK, or Promoting Employment Across Kansas. Available at https://bobw7.sg-host.com/kansas-government/peak-promoting-employment-across-kansas/.] It provides benefits to companies when they expand their operations in Kansas, or sometimes when they merely threaten to leave. The recent expansion by Spirit AeroSystems is reported to benefit from $23.5 million in PEAK cash. [1. Jerry Siebenmark. New facility part of Spirit’s new jobs, expansion plan. Available at http://www.kansas.com/news/business/aviation/article201082884.html.]…
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PEAK benefits across Kansas

PEAK benefits across Kansas

The use of PEAK, a Kansas economic development incentive program, varies widely among counties. An economic development incentive program in Kansas is PEAK, or Promoting Employment Across Kansas. This program allows companies to retain 95 percent of the payroll withholding tax of employees. [1. Weeks, Bob. PEAK, or Promoting Employment Across Kansas Available at https://bobw7.sg-host.com/kansas-government/peak-promoting-employment-across-kansas/.] Data is available for fiscal years 2010 through 2015. For this period, we can see that the application or use of PEAK varies widely among counties. Here is data for the two largest counties in Kansas: Johnson County: 135 projects, 17,643 new or retained jobs,…
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Wichita job growth

Wichita job growth

Wichita economic development efforts viewed in context. Greater Wichita Partnership is the organization with primary responsibility for economic development in the Wichita area. Data provided by GWP shows that since 2004, GWP takes credit for creating an average 1,847 jobs per year through its economic development efforts. [1. Greater Wichita Partnership - 2017 Investment Request. Part of the February 15, 2017 Sedgwick County Commission meeting. Available at https://goo.gl/hk6RHB.] To determine whether this is an impressive amount, we need context. Over the past ten years the labor force for the Wichita MSA has averaged 314,877 each month (in May 2017 it…
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Economic development incentives at the margin

Economic development incentives at the margin

The evaluation of economic development incentives in Wichita and Kansas requires thinking at the margin, not the entirety. When considering the effect of economic development incentives, cities like Wichita use a benefit-cost analysis to determine whether the incentive is in the best interests of the city. The analysis usually also considers the county, state, and school districts (although these jurisdictions have no say over whether the incentive is granted, with a few exceptions). The idea is that by paying money now or forgiving future taxes, the city gains even more in increased tax collections. This is then pitched as a…
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