In January 2004, the Kansas Legis-lature convened for what would be-come the state’s most activelawmaking session in years. Thesession resulted in a number of in-

novative policy initiatives, including thehallmark Kansas Economic Growth Act,which established incentives to growemerging industries, serve employers, at-tract new businesses, and support smallbusinesses and startups.Three years later, Kansas continues to

be a hotbed for progressive economic de-velopment policies and has confirmed itsspot among the nation’s most business-friendly states. More importantly, the in-novative policymaking is already payingdividends in the form of a stronger andmore diverse economy, new job creationand increased entrepreneurial activity.Kansas has maintained its historic domi-nance in industries like aviation manu-facturing and agriculture, while furtherstrengthening its status as one of the na-

tion’s fastest-growing biotechnologyhubs. Meanwhile, the state has welcomednational and international companies fromnearly every major economic sector,along with the jobs and capital investmentthat come with them. In Fiscal Year 2007,the State’s Department of Commercehelped bring 6,500 jobs to Kansas, result-ing in a payroll of $195 million and $500million in new capital investment. In thepast 6 months alone, Kansas has opened

its doors to 15 businesses, creating morethan 3,000 new jobs and $155 million incapital investment.“We’re certainly excited by the suc-

cess we’ve had,” said Kansas Depart-ment of Commerce Secretary DavidKerr, who oversees the state’s economicdevelopment activities. “The simpletruth is that few states can match oureconomic assets, and that’s why moreand more

TRADE & INDUSTRY DEVELOPMENT • SEPTEMBER/OCTOBER 200728 www.tradeandindustrydev.com 29

SPOTLIGHT Kansas

(Continued on page 30)

Kansas…A Place Where Opportunities for Success are

“As Big As You Think.”

Lighton Plaza in the city of Overland Park.PHOTO BY HARLAND SCHUSTER

PHOTOBYMICHAELC.SNELL

phase out the corporation franchise taxover the next five years and reduce unem-ployment insurance rates for businesses ingood standing, measures strongly endorsedby the state’s business community. In ad-dition to these newest incentives, Kansascontinues to offer income and premium taxcredits for new job creation; sales tax ex-emptions on the purchase of constructionlabor and materials and facility machineryand equipment; property tax abatements;industrial revenue bonds; Community De-velopment Block Grants for projects innon-metro areas; and forgivable loans forproject-related costs.

The Air Capital of theWorldFor years, the City of Wichita and the

surrounding south-central Kansas regionhave comprised the most prolific aviationcluster in the world, boasting industry lead-ers like Boeing IDS, Bombardier Aero-space, Spirit AeroSystems, Cessna Aircraftand Hawker Beechcraft. More than half of

all general aviation aircraft produced in theUnited States are built in south-centralKansas, and the region currently employsnearly 37,000 aviation industry workers,making it the nation’s most concentratedarea of aircraft manufacturing employ-ment. After a post-September 11 down-turn, the state’s leading industry hasrebounded and is again producing recordnumbers of airplanes and aviation-relatedparts. The industry has done especiallywell in overseas sales, with 2006 exportsreaching a record $2.56 billion. Oftencalled the “Air Capital of the World,” Wi-chita is also home to the National Institutefor Aviation Research, a state-of-the-artaviation research center that integrates uni-versity, government and business entitiesin cooperative efforts to advance technolo-gies for aviation and other industries.As a result of its aviation legacy,

south-central Kansas has also emerged asa leading producer of advanced materi-als and polymers, which are increasingly

used in general aerospace manufacturingas an alternative to sheet metal and othertraditional products. In 2004, a targetedstudy identified plastics and other ad-vanced materials (such as composites) asindustrial sectors in which Wichita al-ready has a significant competitive ad-vantage. Last month, the region wasawarded a Workforce Innovation in Re-gional Economic Development (WIRED)grant from the U.S. Department of Laborto further grow its aviation clusterthrough workforce development, innova-tion and the continued development ofadvanced materials and polymers.

Building in the BiosciencesKansas has emerged as one of the

fastest-growing bioscience clusters in thenation, with particular strengths in phar-maceuticals, plant science, human health,animal science and alternative energy. Inrecent years, Kansas has welcomed indus-try giants like

SPOTLIGHT Kansas (Continued from page 29)

third nationally for percent of adults with acollege degree, average ACT score, pupil-to-teacher ratio and students per computer.The state commits 37 percent of overallspending to education, which is the 14th-best rate in the country and a significantlyhigher percentage than that of New Yorkand California. Kansas’ higher educationsystem includes 6 Kansas Board of Re-gents universities, 19 community colleges,10 technical colleges and schools and 1municipal college. Moreover, these insti-

companies are choosing to come here.”So what is it about Kansas that’s catch-

ing the eye of businesses around theworld? For starters, Kansas boasts a centrallocation and access to interstate rail, truck-ing and air corridors that put the state’sbusinesses within next-day freight serviceof nearly 70 percent of the United States.Kansas maintains the third-best state-owned road and highway system in the na-tion and access to Kansas City, the nation’ssecond-leading rail center. In addition, anew Burlington Northern Santa Fe Rail-ways intermodal facility is currently underconstruction in the Kansas City suburb ofGardner. This facility is projected to be anenormous asset to the state’s aviation andbioscience clusters – and it may also an-chor the development of a new cluster ofdistribution centers in northeast Kansas.Kansas also has one of the most skilled

labor pools in the nation, a direct result ofits having one of the nation’s premier edu-cation systems. Kansas ranks in the top

tutions are remarkably affordable. A studyby the Kansas Board of Regents shows tu-ition and fees at the state’s six regents uni-versities compare favorably with collegesin five neighboring states and fall signifi-cantly below the regional average.Finally, Kansas offers one of the na-

tion’s most generous portfolios of eco-nomic incentives to companies consideringa move to (or expansion in) Kansas. Thatportfolio was recently expanded by the2007 Legislature’s passing legislation to

PHOTO BY HARLAND SCHUSTER

Wichita night skyline

(Continued on page 32)

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Quintiles, Caravan Ingredients, BayerCropScience, Cargill and MGP Ingredi-ents, as well as early-stage stars like Ven-tria Bioscience, Edenspace, OncImmuneand IdentiGEN. Industrial research and de-velopment in the biosciences reached$1.67 billion in 2006, marking a $250 mil-lion increase from the previous year. At the

same time, Kansas State University and theUniversity of Kansas have confirmed theirreputations among the nation’s preeminentbioscience research institutions and are es-tablishing themselves as viable producersof commercial spinouts, patentable prod-ucts and innovation. Kansas’ unique bio-science cluster is a major reason theDepartment of Homeland Security hasnamed the state as a finalist for the soon-to-be-built National Bio and Agro-DefenseFacility. If commissioned to Kansas, thefacility would bring as many as 500 newbioscience jobs to the state.Perhaps the most impressive compo-

nent of Kansas’ bioscience profile is itspresence within the globally recognizedAnimal Health Corridor, which spansfrom central Kansas through Kansas Cityand into Missouri and comprises thelargest single concentration of animalhealth and nutrition interests in the world.The Corridor is home to 37 global or U.S.

headquarters and has more than 125 totalcompanies, including Bayer HealthCareand Animal Health, Fort Dodge AnimalHealth, Boehringer Ingelheim Vetmedica,Intervet and Hill’s Pet Nutrition. This listrepresents 4 of the 10 largest global ani-mal health interests, 1 of the 5 largest petfood companies and the world’s largestanimal health generics manufacturer. In2006, Kansas and Missouri were jointlyawarded a WIRED grant to address theworkforce needs of Kansas City’s biotech-nology industry, further strengthening thearea’s status as a leading bioscience clus-ter. So far, theWIRED initiative in KansasCity has yielded an asset map for the re-gion, a specific workforce council to ad-dress the talent needs of regional clustersand a framework to assist technologytransfer in the region. T&ID

For more information on doing businessin Kansas, visit www.thinkbig.com.

TRADE & INDUSTRY DEVELOPMENT • SEPTEMBER/OCTOBER 200732

SPOTLIGHT Kansas (Continued from page 31)

The citizens of Shawnee County are committed

to economic development. Our half-cent sales

tax has created more than $60 million

in incentives for companies looking

to do business in the capital city.

If you haven’t considered

Topeka, Kansas maybe

you should. If the shoe

fits, wear it!

We also offer:• Numerous sites, including

a new, state-of-the art 500acre business park

• A highly skilled workforce

• Foreign trade zone

• Very affordable costof living

• Minutes away fromKansas City

Contact: Kathy Moellenberndt, Vice President/Director Economic Development kmoellenberndt@topekachamber.org • 120 SE 6th, Suite 110 Topeka KS 66603 • (785) 234-2644

Learn more at

www.topekachamber.org

TOPEKA IS COMMITTEDFROM HEAD TO TOE

CJ production line

PHOTO COURTESY OF CESSNA AIRCRAFT COMPANY

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