Kansas Economic Development Guide 2011

Page 1

kansas economic development guide kansaseconomicdevelopment.com

Business at Jet Speed Investments lift aviation industry

Wide Open Possibilities

New initiatives feed rural economy

Fueling Innovation

State sets the pace in renewable energy Sponsored by the Kansas Department of Commerce | 2011













38 Workstyle Staying Power

26

Kansas economic development efforts draw millions in new investment

Speed Merchants

32

Kansas broadband initiative transforms rural economies

Business at Jet Speed

32

26

38

Incentives give lift to the state’s aviation industry

Driven by the Wind

44

Suppliers flock to Kansas to serve growing energy sector

Job Well Done

52

KANSASWORKS connects employers to skilled workers

Wide Open With Possibilities

58

Bumper crop of initiatives feeds rural Kansas economy

No Place Like Kansas

64

State is stocked with natural beauty, history and culture

Known Around the World

72

Kansas is a global player in exports, foreign investment

72

Table of Contents Continued on Page 11

On the Cover The AGC Flat Glass manufacturing operation in Spring Hill, Kan. Photo by jeff adkins

k a n s a s e co n o m ic d e v e l op m e n t . co m

9



Insight

92 108

100

Overview

19

Almanac

20

Energy/Technology

80

Transportation

86

Health

92

Education

100

Livability

108

Gallery

116

Economic Profile

122

Through the Lens

127

All or part of this magazine is printed with soy ink on recycled paper containing 10% post-consumer waste.

Please recycle this magazine

86

k a n s a s e co n o m ic d e v e l op m e n t . co m

11



ONLINE

l if e s t y l e | works t y l e | d i g g in g d e e p e r | v i d eo | l ink t o u s | a d v e r t is e | c on ta c t u s | si t e m a p

CONNECTIONS

An online resource at

kansaseconomicdevelopment.com

digital Magazine >>

kansas economic development guide kansaseconomicdevelopment.com

Business at Jet Speed Investments lift aviation industry

Wide Open Possibilities

New initiatives feed rural economy

Lifestyle Find out what it’s like to live in Kansas and what makes the state such a special place to be.

Fueling Innovation

State sets the pace in renewable energy SPOnSOred By the KanSaS dePartment OF COmmerCe | 2011

Read the magazine on your computer, zoom in on articles and link to advertiser websites. News and Notes >> Our editors give you the Inside Scoop on the latest development and trends across the state.

Workstyle A spotlight on innovative companies that call the state home.

success breeds success >> Meet the people who set the pace for business innovation. Dig Deeper >> Plug into the state with links to local websites and resources to give you a big picture of the region. Data Central >> A wealth of demographic and statistical information puts the entire state at your fingertips.

See the Video Our award-winning photographers give you a virtual tour of unique spaces, places and faces.

guide to services >> Links to a cross section of goods and services special to the state.

go online

kansaseconomicdevelopment.com

k a n s a s e co n o m ic d e v e l op m e n t . co m

13



Digital Edition Known Around the World Kansas is a global player in exports, foreign investment

Story by Katie Kuehner-Hebert

E

JEFF ADKINS

ven in a sluggish global economy, Kansas has remained an export powerhouse and an attractive locale for foreign direct investment. The state’s export volume for 2010 was $9.9 billion, surpassing 2009’s total by more than 11 percent. Kansas exports to markets around the world, sending everything from aircraft ($2.1 billion) to industrial machinery ($955.9 million) to meat ($756.2 million) to cereals ($643.2 million) to countries in Europe, Asia, South America and North America. Wichita was the fastest-growing export market among the top 100 U.S. metropolitan areas, with 22.3 percent growth from 2003 to 2008, according to a July report by the Brookings Institution. Wichita’s explosive growth has been fueled by aviation manufacturers such as Cessna and

72

Ceva Santé Animale in Lenexa is one of Kansas’ major foreign-owned employers.

KANSAS

MAJOR EXPORT CATEGORIES Vehicles & Parts $554.6 million

Animal Feed $494.3 million

Electric Machinery $640.1 million Aircraft $2.1 billion

Cereals $643.2 million Meat $756.2 million

Industrial Machinery $956 million K A N S A S E C O N O M I C D E V E L O P M E N T. C O M

73

Share with a friend Easily share an interesting article, stunning photo or advertisement of your business on Facebook, Twitter or via email.

HAVE A BLOG OR WEBSITE? Embed the digital magazine into your site to add compelling information about the successful businesses located here, what it’s like to work here and why it’s a great place to live.

DO MORE THAN JUST READ ABOUT IT Hear from decision-makers at leading companies, see video of the region’s success stories and find links to useful demographic information and information sources.

kansaseconomicdevelopment.com

k a n s a s e co n o m ic d e v e l op m e n t . co m

15



kansas economic development guide 201 1 Edition , volum e 2 audience development director Lisa Battles Proofreading Manager Raven Petty Content Coordinator Jessica Walker Staff Writer Kevin Litwin Copy Editor Jill Wyatt Contributing writers Pam Coyle, Bill Lewis, Heather Johnson Johnston, Betsy Williams Media Technology Director Christina Carden Senior Graphic Designers Laura Gallagher, Jessica Manner, Janine Maryland, Kris Sexton, Vikki Williams Graphic Designer Rachael Gerringer Media Technology Analysts Chandra Bradshaw, Lance conzett, Michele Niccore, Marcus Snyder Photography Director Jeffrey S. Otto Senior Photographers Jeff Adkins, Brian McCord Staff Photographers Todd Bennett, Antony Boshier Web Content Manager John Hood Web project manager noy fongnaly Web Design Director Franco Scaramuzza Web Designer II richard stevens Web Developer I Yamel Hall Ad Production Manager Katie Middendorf Ad Traffic Assistants Krystin Lemmon, Patricia Moisan I.T. Director Yancey Bond I.T. support technician bryan foriest Senior Accountant Lisa Owens Accounts Payable Coordinator Maria McFarland Accounts Receivable Coordinator Diana Guzman Office Manager/Accounts Receivable Coordinator Shelly Miller Senior Integrated Media Manager Clay Perry Sales Support Manager Cindy Hall color imaging technician alison hunter Chairman Greg Thurman President/Publisher Bob Schwartzman Executive Vice President Ray Langen Senior V.P./Sales Todd Potter, Carla Thurman Senior V.P./Operations Casey Hester Senior V.P./Client Development Jeff Heefner Senior V.P./business Development Scott Templeton V.P./external communications Teree Caruthers V.P./Custom Publishing Kim holmberg V.P./Visual Content Mark Forester V.P./Content Operations Natasha Lorens V.P./Sales Charles Fitzgibbon, Herb Harper, Jarek Swekosky Controller Chris Dudley Content Director/Travel Publications Susan Chappell Content Director/Business Publications Bill McMeekin Marketing Creative Director Keith Harris Distribution Director Gary Smith Executive Secretary Kristy Duncan Human Resources Manager Peggy Blake Receptionist Linda Bishop

Kansas Economic Development Guide is published annually by Journal Communications Inc. and is distributed through the Kansas Department of Commerce. For advertising information or to direct questions or comments about the magazine, contact Journal Communications Inc. at (615) 771-0080 or by email at info@jnlcom.com.

For more information, contact: Kansas Department of Commerce 1000 S.W. Jackson St., Suite 100, Topeka, Kansas 66612 Phone: (785) 296-3481 • Fax: (785) 296-3665 www.kansascommerce.com

Visit Kansas Economic Development Guide online at kansaseconomicdevelopment.com ŠCopyright 2011 Journal Communications Inc., 725 Cool Springs Blvd., Suite 400, Franklin, TN 37067, (615) 771-0080. All rights reserved. No portion of this magazine may be reproduced in whole or in part without written consent. Member Member

The Association of Magazine Media Custom Content Council

k a n s a s e co n o m ic d e v e l op m e n t . co m

17



Overview

A Roadmap for Jobs, Investment in Kansas A letter from kansas governor sam brownback My No. 1 priority as Governor of Kansas is to restore economic growth and spur privatesector job creation. To that end, we have laid out our Road Map for Kansas that details our plans to grow the Kansas economy, excel in education, reform state government and protect Kansas families. We have proposed a number of initiatives in our Strategic Economic Development Plan that refocuses our state’s economic incentives and reforms our state tax code. Our plan will allow for a much

broader range of businesses currently operating in Kansas to invest more for expansions and add workers while at the same time making the Sunflower State even more attractive to companies from outside our borders. Kansas continues to focus on our core strengths of aviation manufacturing, life sciences, agriculture, services, wind energy and biofuels, and the Animal Health Science Corridor. We have not forgotten, however, the rural areas of our state. We have created Rural Opportunity Zones to spark business creation and economic growth in exchange for no state taxes and student loan forgiveness for those who make the move. In this second edition of the

Kansas Economic Development Guide, you’ll discover what makes Kansas a great state to live and do business. You’ll learn more about the wide range of companies that call Kansas home, from Cerner Corp., a global supplier of technology solutions, to airplane maker Hawker Beechcraft to Denmark-based Jupiter Group, a manufacturer of wind turbines. They make Kansas a great state for business. Find out how you can make it even better. Sincerely,

Gov. Sam Brownback

k a n s a s e co n o m ic d e v e l op m e n t . co m

19


Almanac Liquid Assets When your favorite beverage is delivered to a store or restaurant, there’s a good chance it got there from the work of a manufacturer in Kansas. Hackney is the world’s largest producer of side-loader, overhead door truck bodies and trailers. Many of the company’s trucks and trailers, used to haul products for beer distributors, soft drink companies, bottled water providers and others, are built by Hackney in Independence, where the company has been since 1972, and where it operates one of its two North American manufacturing operations.

calling on kansas One of the globe’s telecom giants calls Overland Park its home base. Sprint Nextel offers a range of wireless and wireline communications services, serving more than 48.8 million customers. With 10,000 employees in Kansas, it is among the state’s largest employers. The first wireless 4G carrier in the United States, Sprint Nextel offers a number of mobile data services, prepaid brands including Virgin Mobile USA, Boost Mobile, Common Cents Mobile and Assurance Wireless, and a global Tier 1 Internet backbone.

The company also manufactures emergency response vehicles and contractor service vehicles. For more, go to www. hackneyusa.com.

Newsweek ranked the company No. 6 in its 2010 Green Rankings of the nation’s greenest companies, the highest of any telecommunications provider. For more, go to www.sprint.com.

Shining a Light on Wichita Coleman Co. Inc., the iconic camping and outdoors-gear giant, is based in Wichita. Founded more than 100 years ago, the company produces a range of products, from its legendary lanterns and stoves to coolers, tents, sleeping bags, airbeds, backpacks, furniture and grills, that are sold under its Coleman and Exponent brands. The “greatest name in the great outdoors” got its start in what is now downtown Wichita’s Old Town neighborhood. Coleman operates a factory outlet there and a museum detailing the company’s history. For more, go to www.coleman.com.

20

Kansas


Hot Prospects They carry a torch for natural gas products at Flame Engineering Inc. in LaCrosse. From a single torch used to clear brush on the founder’s family farm, Flame Engineering Inc. has grown into a company with a product line numbering more than 100 items, including handheld torch kits, outdoor patio lights, portable heaters and torches for agricultural and construction uses. The company’s engine preheaters, for example, are used by pilots. contractors, farmers, oil field operators and others who need to keep the engines in their equipment warm.

Type A Personalities Hutchinson is home to Collins Bus Corp., North America’s largest producer of small, Type-A school and activity buses used by school districts, childcare providers and others. The company (www.collinsbus.com) sells its products under the Collins, Mid Bus and Corbeil brand names and employs more than 220 people in Hutchinson. It has more than 70 dealers in North America, the largest distribution network for any Type-A bus manufacturer.

The company, whose roots date to the 1950s, produces its Red Dragon product lines under eight patents at its manufacturing operation in LaCrosse. Go to www.flameengineering.com for more.

The company, a subsidiary of Allied Specialty Vehicles Inc., was recognized in December 2010 with Safety and Health Achievement Recognition Program (SHARP) certification. The award, administered by the Kansas Department of Labor in conjunction with the federal Occupational Safety and Health Administration, recognized Collins as a national model for workplace safety and health. The company was just one of 157 employers in Kansas to receive the designation.

at the top of google’s search Google has selected Kansas City, Kan., as its first Google Fiber community, an initiative designed to bring Internet connections at speeds 100 times higher than what most Americans have today. Kansas City was selected from among more than 1,100 communities that applied for the service, which Google plans to offer beginning in 2012. Google said the initiative represents the future of how people will connect to the web. “The availability of ultra-high-speed bandwidth will be another tool for the community to use to drive more economic growth in the region,” said Kansas Commerce Secretary Pat George.

k a n s a s e co n o m ic d e v e l op m e n t . co m

21



Almanac Built Brick by Brick Cloud Ceramics has been a manufacturing fixture in Concordia since 1945, when the company began mining Dakota clay deposits found in the area and producing bricks in its kilns. From those beginnings, Cloud Ceramics has built a reputation for its high-quality brick products – still made from the five different colors of clay from the same Dakota clay field used when the company began. Today, Cloud Ceramics manufactures more than 30 different colors of brick in a variety of sizes and textures, and boasts a 46-state distributor network. Known as the “Cadillac of brick lines” for their consistency and color uniformity, Cloud Ceramics bricks are a staple of office buildings, schools, private residences, churches and universities. The company's bricks can be found in places such as American National Bank in Wichita, Asbury Methodist Church in Tulsa and Duke University in North Carolina. For more, go to www.cloudceramics.com.

They’re Great With Freight

A Power Play in Hays

If you ship product, there’s a good chance a Kansas company helps get it where it needs to go. YRC Worldwide Inc. in Overland Park is a Fortune 500 company and one of the world’s largest transportation service providers.

Hays in Ellis County is one of 27 global manufacturing operations for EnerSys, the world’s largest industrial battery manufacturer.

YRC, with 2,200 employees in Kansas, is a holding company for a roster of successful brands, including YRC, YRC Reimer, YRC Glen Moore, New Penn, Holland and Reddaway.

The company’s line of batteries and chargers are used for electric lift trucks, mining, railroad and airport ground support equipment.

YRC offers expertise in heavyweight shipments and flexible supply chain solutions on a local, regional, national and international basis. For more on the company, go to www.yrcw.com.

Pho t o c o u r t e s t y of Y R C W or l d wi d e I n c .

The company’s 375,000-square-foot operation in Hays employs about 200 and specializes in batteries that serve as the main emergency back-up power sources for nuclear reactor controls. The Hays operation also produces a battery line utilized in telecommunications, uninterruptible power systems, and utility switchgear and control applications.

In 2009, the Hays operation was named to Quality magazine’s Quality Leadership 100, which surveyed 5,000 manufacturing companies across the country on various quality assurance criteria. For more on the company, go to www.enersys.com.

k a n s a s e co n o m ic d e v e l op m e n t . co m

23



Almanac Get Your Shopping on Among the most popular visitor destinations in the state, Village West is a $573 million, 400-acre retail, dining and entertainment mecca in Kansas City, Kan. The complex includes a 1.2 million-square-foot, open-air shopping and entertainment center that features 101 stores and restaurants, including 27 outlets. A signature restaurant is T-Rex Cafe, a 20,000-square-foot destination eatery where dinosaurs “come to life” among theatrical settings including waterfalls and ice caves. The 150-foot-tall Smokestack Tower is designed with the theme of a historic warehouse district. The twotiered Civic Courtyard Fountain rises 60 feet in the air. In June 2011, LIVESTRONG Sporting Park opened at Village West and serves as home field for the Sporting Kansas City pro soccer franchise. The venue seats 18,457 for soccer and 25,000 for concerts. A key feature of Village West is Kansas Legends – statues, paintings and plaques dedicated to more than 80 Kansas sports figures, entrepreneurs, explorers, artists, scientists, writers, poets and politicians. Go to www.legendsshopping.com for more.

Sounds Great If you can hear your favorite song or the sound on your DVD sounds like the local cineplex, it may be because of the work of MartinLogan.

They Stretch Innovation A Wichita company is woven into the fabric of hundreds of products, from clothing and carpet to cars and computers. Invista, an integrated fibers and polymers company, is a subsidiary of Kansas-based Koch Industries. The company is an innovator in fibers, fabrics, polymers and intermediate chemicals used in nylon, spandex and polyester applications. Among the company's signature brands are Lycra, Cordura and Solarmax fabrics, Stainmaster carpeting and Dacron fiberfill used in products such as pillows and bedding.

Founded in 1983, the company designs and manufactures electrostatic speakers for stereo and home theater use. The company, based in Lawrence, produces a range of high-quality, high-end speakers that are not only renowned for their technologically advanced sound reproduction, but also their cuttingedge design. The company’s LS Series and Design Series loudspeakers and subwoofers, and Custom Installation in-wall and in-ceiling speakers products are sold through specialty retailers in the United States and internationally. For more on the company, go to www.martinlogan.com.

One of the company's most recent innovations is its line of Coolmax ecomade socks, produced with fiber containing 97 percent recycled resources such as plastic water bottles. For more, go to www.invista.com.

k a n s a s e co n o m ic d e v e l op m e n t . co m

25


Business Climate

26

Kansas


Staying Power Kansas economic development efforts generate jobs, investment

Story by Betsy Williams

Pho t o Co u r t e s y of S t e v e F ec h t for G e n e ra l Mo t ors

D

uring a year in which most states were chalking up lost jobs, Kansas was breaking records with new capital investment, job creation and retention, and some impressive national accolades. The Kansas Department of Commerce facilitated 110 successful relocations or expansions, creating and retaining nearly 19,500 jobs – 6,806 more than 2009 – and a whopping $1.3 billion in capital investment. “It was the best year we’ve ever had for business recruitment,” says Barbara Hake, business recruitment manager for Commerce. “We had some major companies with large projects choose to locate to Kansas.”

Cerner Brings 4,500 Jobs Leading the pack was Cerner Corp., a global supplier of technology solutions that help hospitals and other health-care organization manage and integrate electronic medical records, computer physician order entry and financial information. The company is investing $170 million in a headquarters facility in Kansas City, Kan., creating 4,500 jobs. J.P. Morgan is moving its retirement plan services headquarters to Overland Park in a $30 million, 650job investment, while Tindall Corp. will build a $66 million facility in Newton to manufacture precast concrete wind towers, bringing 400

General Motors employs more than 3,800 workers at its Fairfax Assembly Plant in Kansas City, Kan., where the automaker is adding a third shift. k a n s a s e co n o m ic d e v e l op m e n t . co m

27



J e ff A d kins

General Motors is investing $136 million in its Kansas City plant to build the next-generation Chevrolet Malibu.

jobs to the region. GM Invests in Kansas “GM will invest new capital in its Kansas City, Kan., plant to build its next-generation Chevrolet Malibu, which will add a third shift to this plant,” Hake says. “J.P. Morgan was another great win for us with the relocation of their headquarters to Kansas.” Four Industry Sectors Targeted Based on its highly skilled workforce, the nucleus of research universities and its central location, the Kansas Department of Commerce team has targeted four industry sectors:

advanced manufacturing, distribution, alternative energy and bioscience. Billed as the aviation capital of the world, Kansas produces more than 40 percent of the world’s general aviation aircraft. The state confirmed its reputation in December 2010 by completing an agreement to keep Hawker Beechcraft and 4,000 jobs in Wichita. Alternative energy is growing with rural biofuels projects, a value-added target that builds upon the state’s extensive agribusiness sector. In addition, the state is ranked No. 2 nationally for wind energy potential. Distribution makes sense for the state, Hake maintains, as Kansas is located in the center

In Good Company kansas ranks well on several prestigious lists • Kansas ranked 10th on Forbes’ new Best States for Business and Careers list in 2010. The state scored particularly well for its regulatory environment and economic climate, finishing 11th and 13th, respectively, in those categories.

Major New Investments in 2010: Cerner Corp., Kansas City (4,500 jobs, $170 million capital investment) Regent Asset Management, Overland Park (1,250 jobs, $2 million capital investment) General Motors, Kansas City (1,000 jobs, $88 million capital investment) J.P. Morgan, Overland Park (650 jobs, $30 million capital investment) Tindall Corp., Newton (400 jobs, $66 million capital investment)

• Kansas was listed in the top 10 in eight of 20 categories in Business Facilities magazine’s 2010 Rankings Report, the state’s best-ever finish. • Kansas ranked third in Southern Business & Development magazine’s Top Deals and Hot Markets report, the state’s best-ever finish and second straight top 5 ranking. • Kansas ranked No. 6 on Site Selection magazine’s Competitiveness Awards, moving up from No. 10 the previous year. • Kansas was ranked No. 11 in CNBC’s America’s Top States for Business 2010 report for the second time in three years. • Area Development magazine named Kansas the winner of the Silver Shovel Award for excellence in job creation and capital investment, the fourth Silver Shovel in five years.

k a n s a s e co n o m ic d e v e l op m e n t . co m

29


J e ff A d kins

of the continental United States and boasts the nation’s top-ranked transportation system. New rail intermodal facilities being built in Kansas will spur more companies considering the state for their next distribution operation. On the retention front, the Sugar Creek Packing Co. will create 150 new jobs in Frontenac, while retaining 145 jobs, and General Motors is investing $136 million in its Kansas City plant.

Major retention/expansions in 2010 • Sugar Creek Packing Co., Frontenac (150 new jobs, 145 retained jobs, $7.9 million capital investment) • RTS International, Lenexa (165 new jobs, $5.2 million capital investment)

Animal Science Corridor Draws Investment Kansas is one of the nation’s fastestgrowing bioscience hubs and is located in the middle of the Global Animal Health Corridor, a stretch of real estate that runs through the Kansas City metropolitan area and comprises more than 40 percent of the world’s animal science assets. In January 2011, Ceva Santé Animale, a global leader in the animal health industry, selected Lenexa to maintain and expand its North American corporate location, building upon a $15 million expansion that created 80 new jobs in 2010. The value of being located within the Animal Health Corridor was key to the company’s decision to stay in the region and add 20 new corporate level positions. “Ceva’s decision to maintain and expand its Lenexa campus is a testament to the support we’ve received from the Animal Health Corridor,” says Dr. Arnaud Bourgeois, vice president of Ceva Santé Animale. “Thanks to Animal Health Corridor’s extended networking opportunities, resources in the state of Kansas and support from officials in Lenexa, we will continue to invest in breakthrough technologies that support our future growth.”

• PTMW Inc., Topeka (135 jobs, $9 million capital investment) • LDF Cos. Inc., Wichita (5 new jobs, 146 retained jobs, $11.9 million capital investment) • Watco Cos., Pittsburg (304 retained jobs, $1.9 million capital investment)

30

Kansas

Kansas has become a destination for corporate headquarters location.


Business Friendly Pro-business legislation aids Kansas job creation To attract new business, a state’s leadership has to think like a business, and that is exactly what the Kansas Legislature has been doing in recent years. Key among reasons for the state’s economic success is a series of pro-business legislation passed by Kansas lawmakers, starting with the Kansas Economic Growth Act of 2004 that created the Kansas Bioscience Authority. Kansas will be named the future home of the National Bio and Agro-Defense Facility, a $650 million laboratory that will work to research diseases that can affect the public health and

food supply. In 2011, the Legislature also approved “expensing,” which will allow businesses to immediately deduct the entire cost of certain purchases for tax purposes, rather than requiring a set schedule of smaller deductions over multiple years. The law is expected to pump at least $47 million per year back into the Kansas economy. Legislators also eliminated property tax on new business machinery and equipment, phased out the Kansas franchise tax and reduced unemployment insurance and corporate income tax rates. In

2009, the Legislature approved the Wind and Solar Bond Financing Incentive, making up to $5 million available for eligible wind/solar projects, which proved to be helpful in Siemens Energy’s spring 2009 selection of Hutchinson, Kan., for its first North American wind turbine nacelle production plant. Another program aimed at job creation is Promoting Employment Across Kansas (PEAK), which allows qualified for-profit new and existing expanding companies to retain 95 percent of the payroll withholding tax of the relocated jobs over a period of five or more years. – Betsy Williams

k a n s a s e co n o m ic d e v e l op m e n t . co m

31


Speed Merchants Broadband initiative transforms rural economies

Story by Bill Lewis Photography by Jeff Adkins

T

he jobs of the future, new educational opportunities, health-care services never before available in rural areas, and a higher quality of life are coming to communities across Kansas thanks to the Internet. The Kansas Department of Commerce’s Connect Kansas initiative is working to make sure they are ready. “The initiative’s goal is to make sure more homes, businesses, schools, medical facilities and other institutions have access to the Internet through a high-speed broadband connection,” says Stanley

Adams, broadband manager for the Kansas Department of Commerce. “High-speed Internet makes a tremendous difference in people’s everyday lives, in ways barely imaginable just 10 years ago. The information superhighway has rapidly become integral infrastructure to fostering a strong, vibrant economy.” “Broadband is the type of thing that makes a huge difference in people’s lives. I think it’s like the advent of the telephone, electricity and color TV. It could be imagined as a luxury, but it isn’t. Without it you’ll be left out,” Adams says.

By the numbers

$6.4 million Amount Kansas has received in federal stimulus funds for planning, data collection and mapping of broadband capacity

$136 million Amount Kansas businesses and organizations have been awarded from the BIP and BTOP programs.

The higher connectivity speeds offered by broadband could unlock new services and enterprise in rural parts of Kansas.

32

Kansas


k a n s a s e co n o m ic d e v e l op m e n t . co m

33


Pho t o Co u r t e s y of Ch e l s e y Gross m an

Pho t o Co u r t e s y of Ch e l s e y Gross m an

34

Kansas


program boosts rural kansas incentives promote growth in counties Kansas is committed to boosting rural development. The new Rural Opportunity Zones (ROZs) program covers 50 counties in the state and offers incentives such as a rebate on all state income taxes for up to five years to individuals who move into an ROZs county from outside Kansas. The program also offers up to $3,000 a year ($15,000 maximum benefit) in student loan forgiveness for students who graduate from an accredited post-secondary institution and move into an ROZs county.

A Big Incentive for Rural Development ROZs program aims to jumpstart growth in 50 counties

Clockwise from top: SCTelecom is working to bring high-speed connectivity to thousands of Kansans in its rural service areas. Kansas sees the development of high-speed broadband networks bringing new jobs and economic opportunity to rural communities.

Gov. Sam Brownback has made growing the Kansas economy a top priority. He made good on one of his first major Pat George efforts to fulfill that pledge by signing into law the Rural Opportunity Zones (ROZs) program in April 2011. The ROZs program covers 50 rural counties in Kansas: Barber, Chautauqua, Cheyenne, Clark, Cloud, Comanche, Decatur, Edwards, Elk, Gove, Graham, Greeley, Greenwood, Hamilton, Harper, Hodgeman, Jewell, Kearny, Kingman, Kiowa, Lane, Lincoln, Logan, Marion, Mitchell, Morton, Ness, Norton, Osborne, Pawnee, Phillips, Pratt, Rawlins, Republic, Rooks, Rush, Russell, Scott, Sheridan, Sherman, Smith, Stafford, Stanton, Trego, Thomas, Wallace, Washington, Wichita, Wilson and Woodson. Kansas will offer a rebate on all state income taxes for up to five years to individuals who move to an ROZs county from outside the state. In addition, the program offers up to $3,000 per year ($15,000 maximum benefit) in student loan forgiveness for students who graduate from an accredited post-secondary institution and move to an ROZs county. “Rural Opportunity Zones will jump start economic growth in many areas in Kansas that have experienced dramatic population declines,” says Kansas Commerce Secretary Pat George. “We need people to move to these areas, and the ROZs program provides the state with a powerful incentive to do just that. This is a partnership between the state and counties to help them promote the state and bring back individuals to these areas. This is just the start of the Brownback Administration’s efforts to revive rural Kansas.”

k a n s a s e co n o m ic d e v e l op m e n t . co m

Cheyenne

Rawlins

Decatur

Norton

Phillips

Smith

Jewell

Republic

Marshall

Washington

Nemaha

Brown Doniphan

Thomas

Sheridan

Graham

Cloud Rooks

Osborne

Mitchell

Clay

Riley

Pottawatomie

Jackson Jefferson

Wallace

Logan

Gove

Trego

Ellis

Ottawa

Lincoln

Shawnee

Russell

Dickinson

Geary

Wichita

Scott

Lane

Ness

Rush

Kearny

Hodgeman

Stafford

Chase

Miami

Coffey

Anderson

Linn

Woodson

Allen

Bourbon

Wilson

Neosho

Harvey

Reno

Butler

Edwards Ford

Grant

Marion

Pawnee

Finney

Gray Stanton

Franklin

Lyon McPherson

Greenwood

Sedgwick Pratt

Haskell

Wyandotte

Johnson

Osage

Morris

Barton Rice

Hamilton

Douglas

Wabaunsee

Saline Ellsworth Greeley

Leavenworth

Sherman

Atchison

Kiowa

Kingman

Crawford

Elk Morton

Stevens

Meade Seward

Clark

Barber Comanche

The Department of Commerce is leveraging new federal funding to gather data and assess the gaps in Kansas so that no one is left behind in the digital dust. The Broadband Initiatives Program makes loans and grants primarily to private enterprises expanding or improving infrastructure exclusively in remote, rural areas. Meanwhile, the Broadband Technology Opportunities Program focuses on the expansion of publicly accessible computer centers and sustainable broadband adoption programs within the state. Public-Private Partnerships Broadband access has the power to transform rural economies, says Steve Allen, marketing manager for SCTelecom. The company is one of several providers participating in the broadband initiative. SCTelecom is working to bring high-speed connectivity to thousands of Kansans

Harper

Sumner

Cowley

Montgomery Labette

Cherokee

Chautauqua

in its rural service areas. Steve Davis, the company’s general manager, is a member of Gov. Sam Brownback’s broadband task force. “Back in the 1970s, every home had a phone. Broadband will provide your phone, television, security, a storefront for your business, all through that fiber optic connection,” Allen says. SCTelecom is connecting many customers with fiber optic lines. In isolated places, the company is turning to an even more modern solution – wireless broadband. Wide swaths of rural Kansas could be turned into Wi-Fi hotspots, Allen says. Connecting E-commerce The effort has already had measurable results. A ranch that provides horseback riding experiences for tourists is using its broadband connection to reach new

35


More than 72 percent of Kansans households have access to broadband technology.

36

Kansas


customers. A number of cattle auction houses are broadening their reach by conducting e-auctions. A dial-up connection would be far too slow to keep up with the fast-paced action, Allen says. “I know of several businesses that were going to have to relocate but didn’t have to once broadband became available,” Allen says. More than 90 percent of Kansans have access to some form of broadband. That existing

infrastructure is better than dial-up, but not always fast enough to support life-changing services such as distance medicine or encourage e-commerce. For that, the highest speeds are needed, Adams says. “We have doctors in rural areas that need to consult with specialists in major medical centers. A small town may not have a radiologist. But a doctor there can send an X-ray image on the Internet and have it

read in real time. Broadband means higher quality care, close to home,” Adams says. Once enhanced broadband is available, the Kansas Department of Commerce wants to ensure that Kansans subscribe. Currently, only about half of Kansans who have service available are actually using it, Adams says. “The more people using the Internet, the better it is for our economy. It’s a commerce engine,” Adams says.

Kansas Technology Benchmarks

72% Households in Kansas with broadband service

67% U.S. average of households with broadband service

83% Kansas households with a computer

88% Kansas residents who access the Internet from home

28% Residents who subscribe to mobile wireless via laptop or cell phone/ mobile device

Source: Connect Kansas k a n s a s e co n o m ic d e v e l op m e n t . co m

37


38

Kansas


Business at Jet Speed Incentives give lift to Kansas aviation industry

Story by Bill Lewis

W

J e ff A d kins

ith an economy connected to the world at the speed of Learjet, Cessna, Hawker Beechcraft, Airbus, Boeing, Spirit AeroSystems and other aircraft companies, Kansas is taking steps to nurture the industry that makes it the world’s aviation leader. “We’ve built over a quarter-million aircraft in Kansas,” says Randi Tveitaraas Jack, international business recruitment manager for the Kansas Department of Commerce. The state is taking steps to ensure that aircraft keep coming off the line in Wichita, long known as the Air Capital of the World, and in

Independence, where Cessna assembles the Citation Mustang business jet and single-engine piston aircraft. Wichita has six major aircraft companies, including Airbus Americas Engineering; Boeing Defense, Space & Security; Bombardier Aerospace/Learjet; Hawker Beechcraft; Spirit AeroSystems; and Cessna, which manufactures and services its Citation business jet line in the city. Kansas Aviation Innovation Additional aviation industry companies with large Kansas

Bombardier Aerospace has announced the expansion of its Learjet production in Wichita, creating at least 300 jobs and $600 million in total investment in Kansas. k a n s a s e co n o m ic d e v e l op m e n t . co m

39


40

Kansas


To d d B e nn e t t

From left: A technology lab at the National Institute for Aviation Research (NIAR) at Wichita State University; Bombardier Learjet

operations include: • Garmin International, navigation systems • Honeywell Aerospace, avionics • GE Engine Services, aircraft engine overhaul • Triumph Group, aircraft components • Goodrich Cabin Systems, aircraft interiors • TECT Aerospace, aircraft components • B/E Aerospace, aircraft interiors • Senior Aerospace, aircraft components At least 30,000 people are employed in the aviation industry and a significant number, over 40 percent globally, of general aviation aircraft are built in Kansas,” says Tveitaraas Jack. Approximately 200 suppliers and “innovation companies” do business in Kansas, says Suzie Ahlstrand, interim president of the Greater Wichita Economic Development Coalition. “They are the rest of the foundational pieces. When you put all

these together, you’d be hard pressed to find any place in the United States with the depth and breadth of Kansas in the aviation industry,” she says. A major contract for Boeing will have enormous impact for the Kansas aerospace and aviation industry. Boeing, in early 2011, was awarded a $35 billion contract to build a new fleet of air refueling tankers for the Air Force based on its 767 jetliner platform. The company has estimated the project, which will deliver some 200 of the tankers, will create 50,000 jobs at its U.S. operations. Initial estimates put the number of jobs in Kansas directly and indirectly tied to that contract at 7,500, with an economic impact of $388 million. Boeing’s Wichita operations will be the finishing center for converting the jets into tankers, and Spirit AeroSystems, which builds the forward section for the 767, is also expected to see work from the contract.

Incentives Create Jobs in Kansas Facing competition from other states and even other countries that would like to lure those jobs away, the state is making targeted use of economic incentives to ensure that the industry has an unmatched business climate in Kansas. Two of the largest aviation companies responded with major investments in the state. Bombardier Aerospace announced the expansion of its Learjet production in Wichita to include the advanced new Learjet 85. The company is creating at least 300 jobs and $600 million in total investment in Kansas. Approximately 600 jobs will be associated with the new production line. The expanded Learjet site will handle final assembly, interior completion, paint and final delivery of the Learjet 85, the largest, fastest and longest-range Learjet ever. The announcement came after a meeting between state and company officials at k a n s a s e co n o m ic d e v e l op m e n t . co m

41


42

Kansas

J e ff A d kins

To d d B e nn e t t

J e ff A d kins


Top left and bottom: Workers assemble new Learjet aircraft at Bombardier’s manufacturing facility in Wichita. Top middle and top right: NIAR is the nation’s largest aerospace research and development academic institution.

the Farnborough Air Show in England. Bombardier Learjet has about 2,250 employees in the state. Hawker Beechcraft, a world-leading manufacturer of business, special mission and trainer aircraft, inked an agreement with the state that guarantees the company will maintain its current production lines in Wichita and retain at least 4,000 jobs over the next 10 years. The company’s headquarters and major facilities are located in the city. Kansas’ commitment to the industry includes research and training facilities that help its aviation businesses maintain their lead. The National Center for Aviation Training, a worldclass facility in Wichita, provides realistic hands-on technical training on the latest aircraft manufacturing

equipment. NCAT also incorporates major new facilities for the National Institute for Aviation Research (NIAR). Located at Wichita State University, NIAR is the nation’s largest aerospace research and development academic institution. It provides applied research into advanced materials and composites, 3-D prototyping, aerodynamics, aircraft aging and other fields critical to aircraft design and manufacturing. An Industry Advisory Council, composed of senior managers from several aviation companies, communicates the industry’s needs to NIAR. NIAR “plays a key role in attracting and retaining aviation manufacturing businesses,” says Tracee Friess, NIAR’s spokeswoman and coordinator of special projects.

Creating a Climate for Investment Important recent legislation and incentives have bolstered Kansas’ manufacturing sector, including its aviation industry: • 2011: The Legislature passes legislation allowing businesses to immediately “expense” certain purchases for tax purposes, putting at least $47 million back into the Kansas economy. • 2008: The Legislature passed HB 2006, which makes up to $33 million in state incentives available for eligible large-scale aviation projects. • 2006: The Kansas Legislature eliminated the property tax on new business and machinery, meaning major savings for large-scale manufacturers, including aviation companies. • Qualified companies relocating or bringing new operations to Kansas can retain their payroll withholding tax for five to 10 years, depending on wages and number of jobs brought to the state. • Financial assistance is available to train a new workforce or to retrain existing workers on new technology. • Financial assistance is available for construction, remodeling, furnishings and equipment. • 10 percent corporate income tax credit for new capital investment. • 100 percent sales tax exemption on purchases to construct, remodel, furnish and equip a facility. • 100 percent sales tax exemption on items that become part of a manufactured product or items consumed in production. • 100 percent personal property tax exemption on commercial machinery and equipment new to Kansas. • Property tax abatement on real property for up to 10 years subject to community approval. • No inventory tax or franchise tax.

k a n s a s e co n o m ic d e v e l op m e n t . co m

43


44

Kansas


Driven by the Wind Suppliers flock to Kansas to serve growing energy sector

Story by Pamela Coyle Photography by Jeff Adkins

W

hen Draka, a global manufacturer of wire and cable, announced its first U.S. wind industry cable assembly venture would be in Hutchinson, Kan., it cited Siemens Energy’s nearby nacelle plant as a big reason. The Siemens project is drawing companies at all ends of the wind supply chain to the state. Schuff Steel in January 2011 said it will build a 200,000-square-foot wind tower manufacturing plant in Ottawa, Kan., rather than North Dakota as planned.

This will be the large steel fabricator’s first venture in the wind sector, and it will use its existing plant in Ottawa to create the next generation of wind towers – ones that can be broken down into smaller pieces and assembled on site, rather than huge tubular structures that are more difficult to transport. At full capacity, Schuff will have up to 250 workers and produce 300 towers a year. Additionally, South Carolina-based Tindall Corp. is building a facility in Newton, Kan., to make the massive

Kansas is ranked second in the nation for wind-energy potential, according to the National Renewable Energy Laboratory.

k a n s a s e co n o m ic d e v e l op m e n t . co m

45


Kansas wind farms the heart of the wind corridor

Meridian Way Wind Farm Cloud County Central Plains Wind Farm Wichita County

Smoky Hills Wind Farm Lincoln/Ellsworth Counties

Gray County Wind Farm Flat Ridge Wind Farm, Gray County Barber County Spearville Wind Energy Facility Greensburg Wind Project, Kiowa County Ford County

concrete bases for wind towers, a capital investment of $66 million that will create 400 jobs. Wind Corridor Draws Suppliers Kansas makes sense – seven nacelle plants in addition to the Siemens facility are in operation or under construction within 500 miles. Kansas is in the heart of the Wind Corridor, with great access to interstates, Class I railroads and even water transport out of nearby Tulsa, Okla. Wind is strong in Kansas, literally as well as economically. The state is ranked second in the nation for wind energy potential, according to the National Renewable Energy Laboratory. At the end of 2010, Kansas had 1,026 megawatts of wind generating capacity. And though total U.S.

installation of new wind projects in 2010 was half the level of 2009, several Kansas projects with more than 500 total megawatts were announced. Kansas has long been a big oil and natural gas player, and now wind is attracting international investment to the Sunflower State. Draka, which announced its project in December 2010, is based in Holland and is the eighth-largest cable manufacturer in the world and the third largest in Europe. It is the main cable supplier for Siemens Wind in Denmark. Jupiter Group, a Denmark-based producer of wind turbine components, opened a new facility in Junction City from which it will serve clients throughout the Midwest. Siemens, a German powerhouse, started producing 90-ton nacelles in

Elk River Wind Project Butler County

Hutchinson in December 2010. The nacelle is a large, heavy box that sits on top of the wind tower and contains the components that run the turbine, including the gear box, rotor and hundreds if not thousands of components that control the blades, collect the energy and convert it into usable power. Moving them is expensive, and Kansas’ central location helps manufacturers and their suppliers control transportation costs. “To get closer to the customer because of freight costs is a big concern,” says Dennis Anweiler, business unit director for Draka. International Flavor, Local Opportunities But the wind isn’t blowing past existing Kansas manufacturers. Dozens of companies, including many

Siemens Energy’s wind turbine nacelle manufacturing plant in Hutchinson is drawing many wind-industry companies to Kansas.

46

Kansas


k a n s a s e co n o m ic d e v e l op m e n t . co m

47


HUTCHINSON KANSAS

Come see why Siemens Wind Power chose Hutchinson for their North American nacelle plant.

Shovel-ready land 1 Siemens Energy Hutchinson, KS

Available buildings

2 Mitsubishi Power Systems Fort Chaffee, AR 3 Nordex USA Jonesboro, AR

Central location

Photo supplied by Siemens press

4 Suzion Blades Pipestone, MN

Excellent transportation access Motivated and educated workforce Value-driven community

5 Clipper Windpower Cedar Rapids, IA 6 Acciona Energy West Branch, IA Hutchinson/Reno County Chamber of Commerce

620.662.3391 www.hutchchamber.com

7 Vestas Nacelles Brighton, CO 8 Vestas Blades Windsor, CO


An employee makes wind turbine blade kits at Jupiter Group, a Denmark-based company that opened a new facility in Junction City.

that have long supplied the state’s huge aerospace industry, are retooling or studying the feasibility of working in the wind sector. JR Custom Metal Products in Wichita is one of them. The job shop has started supplying big wind manufacturers with walkways, platforms and material handling equipment for nacelle components. “Last year we added 30 people, and

it is looking like 2011 is going to be exciting,” says owner Pam Koehler. Companies such as JR Custom can get help from the Advanced Manufacturing Institute (AMI) at Kansas State University. AMI has partnered with the Great Lakes Wind Network (GLWN) to provide site assessments for manufacturers wishing to enter the wind industry

supply chain, make recommendations on possible components to be supplied and review the production systems. The institute also works with regions and their governmental entities on the economic development planning. “The biggest challenge is materials,” says Jeff Tucker, AMI’s associate director. “A lot of aviation work is in aluminum, and the wind

An Incentive Generating Results siemens energy takes advantage of bond financing Alternative Energy Bond Financing incentives make up to $5 million available for eligible renewable energy projects in Kansas. To qualify, a project must have a capital investment of at least $30 million, create at least 200 jobs within five years and pay an average salary of $32,500. The bonds are paid off from the withholding tax of the new jobs. This legislation was a major draw

in luring Siemens Energy to Hutchinson, Kan., the site of the company’s first U.S.-based nacelle production facility, which created 400 jobs. The Kansas Legislature approved the incentive, which applies to solar projects as well as wind, in 2009. Siemens was the first wind venture to take advantage of the bond financing, though other eligible projects are in the pipeline. k a n s a s e co n o m ic d e v e l op m e n t . co m

49


50

Kansas


industry uses steel and others. The business relationships have a different structure, and the return on investment is usually longer. The question is more whether it is economically viable than technically feasible.” Renewable Energy Goals Kansas first enacted Renewable Energy Standards for 2010 (10 percent) and 2020 (20 percent), a strong signal to alternative energy producers of Kansas’ commitment to renewable energy. The state is on target to hit a 20 percent threshold by 2020 and has a portfolio of economic incentives to also pave the way for manufacturers. “The economy has impacted the wind industry like everything else, and some investment decisions have been delayed,” says Randi Tveitaraas Jack, international business recruitment manager for the Kansas Department of Commerce. “We are patient, and we are in this for the long haul.”

Wind in Kansas

2 U.S. rank in potential capacity

14 U.S. rank in existing capacity

8 Wind farms in Kansas producing 100 or more megawatts

1,026 Megawatts online at the end of 2010 SOURCE: American Wind Energy Association Employees assemble nacelles at the Siemens Energy plant in Hutchinson.

k a n s a s e co n o m ic d e v e l op m e n t . co m

51


Kansas training programs help ensure that employers have workers with the right skills.

52

Kansas


Job Well Done KANSASWORKS connects employers to skilled workers

Story by Heather Johnston Johnson Photography by Jeff Adkins

O

nline matchmakers are churning out hundreds of successful matches in Kansas – at least when it comes to the state’s workforce system. The Kansas Department of Commerce administers the KANSASWORKS system, which links businesses, job seekers and educational institutions to ensure that Kansas employers can find skilled workers. The system includes various workforce centers, which are located statewide to connect businesses with

job seekers in their area, and integrates Kansas universities, community colleges and technical schools so they can tailor their curriculum to the needs of new and expanding businesses. The result is a seamless network in which Kansas workers receive jobspecific training and Kansas businesses can find well-trained employees. Those efforts are paying off on a number of fronts: Kansas has the No. 3-ranked workforce development programs in the nation, according to

an Area Development magazine survey of site location consultants. Kansas Workforce Program Targets Industry Needs And as workforce and employer needs evolve, the program is evolving with them and keeping pace with industry innovations. Biosciences are seeing tremendous growth in Kansas, especially in animal and human health. Energy is expanding beyond its base in oil, gas and coal to include a

Industrial strength Training KIT Program preps workers before and after they’re hired The Kansas Industrial Training (KIT) program assists firms in pre-employment and on-the-job training. Preemployment training may be used to allow the company and prospective employees an opportunity to evaluate one another before making employment commitments. Prospective employees are given the knowledge and specific skills necessary for job entry. On-the-job training is conducted after hiring. Trainees may receive

instruction on the company’s own production equipment on the plant floor or on similar machinery in a classroom setting. To be eligible, a company must add at least one net new position at an average wage of at least $11 per hour in Douglas, Johnson, Leavenworth, Sedgwick, Shawnee and Wyandotte counties, or $9.50 per hour in the rest of the state.

k a n s a s e co n o m ic d e v e l op m e n t . co m

53


High Impact The Investments in Major Projects and Comprehensive Training (IMPACT) program is designed to respond to training and capital requirements of major business expansions and locations in Kansas. Under certain circumstances, IMPACT may also be used for job-retention projects. IMPACT has two major components: SKILL (State of Kansas Investments in Lifelong Learning) and MPI (Major Project Investment). SKILL funds may be used to pay for expenses related to training a new, and in certain instances, an existing workforce. MPI funds may be used for other expenses related to the project, such as the purchase or relocation of equipment, labor recruitment or building costs. IMPACT is typically reserved for projects involving at least 100 new jobs at a higher-thanaverage wage. The IMPACT program may also be used for job retention projects that have compelling economic benefit for Kansas.

burgeoning wind energy sector and biofuels. Kansas is ranked No. 2 in wind potential, according to National Renewable Energy Laboratory data. And companies such as Siemens Energy, which has a new nacelle manufacturing facility in Hutchinson, along with suppliers such as Denmark-based Jupiter Group and Holland-based Draka, are creating new job opportunities and, with them, new training needs. Skills Training Helps Kansas Employers A critical component to building a strong economy is the availability of a highly trained and qualified workforce, and Kansas has launched efforts on a number of fronts to ensure that employers have a deep pool of skilled talent from which to draw. One of the keys to those efforts is the Kansas WORKReady! Initiative, which uses the WorkKeys® assessment tool to award Career Readiness Certificates to individuals to document their skills in mathematics, reading for information and locating information. Applicants can receive a bronze-, silver-, goldor platinum-level certificate based on their score, which indicates the percentage of core skills they possess for the jobs profiled by WorkKeys®. Keith Meyers, director of training services for the Kansas Department of Commerce, sees a strong future for the training component. “A lot of our employers find the skills assessment to be a valuable tool, especially in the manufacturing arena. If candidates don’t have a previous manufacturing background, but they can demonstrate a skills background, employers can see that they have a certain level of aptitude,” Meyers says. When Siemens began hiring for its new facility in Hutchinson, the workforce program provided a job fair at Hutchinson Community College and listed open jobs on the state website. Roger Brown, human resources manager for Siemens, says the state program provided important services the company couldn’t handle on its own. The plant hired around 150 employees in 2010 and plans to add more in 2011. “Instead of having people constantly walk in and disrupt our small workforce, the job site listings allowed control of applications for a given time,” he says.

KANSASWORKS’ continues to seek additional funding to enhance its training capacity. The Department of Commerce and other partners collaborated on eight successful grant applications, which will amount to more than $23 million over the next few years, giving the program stability and the ability to help more people and leverage current resources. A federal Health & Human Services grant for $15 million over five years, for example, is designed to increase the health care workforce by helping low-income individuals find employment in health care-related fields.

Clockwise from top left: Kansas Workforce Centers, like this one in Topeka, assist job seekers and employers; KANSASWORKS provides a range of training programs that assist businesses.

54

Kansas


To d d B e nn e t t

k a n s a s e co n o m ic d e v e l op m e n t . co m

55


Kansas Workforce Center Locations Kansas Workforce Centers provide a range of services for people seeking careers and businesses looking for qualified employees. More on services Kansas offers to job seekers and employers can be found at www.KANSASWORKS.com. 1. Atchison

10. Hutchinson

19. Overland Park

2. Chanute

11. Independence

20. Paola

3. Colby

12. Junction City

21. Pittsburg

4. Dodge City

13. Kansas City

22. Salina

5. El Dorado

14. Lawrence

23. Topeka

6. Emporia

15. Leavenworth

24. Wellington

7. Garden City

16. Liberal

25. Wichita

8. Great Bend

17. Manhattan

26. Winfield

9. Hays

18. Newton

1 3

15

17

23

12

9

13 19

14

22

20 6

8 10

7 4

18 25 24

16 56

Kansas

5 26

2 21 11


High-Voltage Training Workforce initiative targets energy sector Kansas is giving its energy workers an edge over those in surrounding states by providing a new education program with targeted skills training. EnergyNET, also known as the Energy Network of Education and Training, delivers the education and training needed by the energy industry and ties a statewide network of community and technical colleges together to provide specialized training for energy employees.

Fort Hays State university Coordinates EnergyNET Program With an initial $1.6 million investment from the Kansas Department of Commerce and the Kansas Board of Regents, the program is coordinated by Fort Hays State University. Dr. Chris Crawford, assistant provost for quality management at FHSU, says partnering colleges will focus on occupational skills, such as line worker training, as well as the more advanced skills needed for smart grid technology. Fort Hays State is drawing on its experience with distance learning to help partnering colleges build their own online courses.

Industry Needs Shape EnergyNET Kathy Hund, director of workforce education and training for the Kansas Department of Commerce and Kansas Board of Regents, says the education initiative offers a hybrid delivery model for education. Potential workers who don’t want to travel out of their region can take advantage of distancelearning courses at local schools. Cooperation between colleges saves money for new programs by providing students broader access to established courses with

expensive equipment – such as climbing poles – that teach skills necessary for line workers. “Industry needs are front and center,” Hund said. “Industry drives EnergyNET.” EnergyNET organizers have met with energy leaders to determine what skills are needed. As the coordinating entity,

Fort Hays State will work with the state’s 26 independent community and technical colleges to enhance existing programs. Participation by colleges is voluntary. Hund hopes EnergyNET will result in more efficient use of limited public funds and increase training opportunities to Kansans. – Heather Johnston Johnson

y t n u o C Russell Alive with …

Culture

History Grassroots Art Capital of Kansas History of oil in this area comes alive!

rce e m m o C

Wish You Were Here! Russell County Economic Development & CVB rced@russellks.org (877) 830-3737 www.russellcoks.org

Russell Kansas or GetRussell

k a n s a s e co n o m ic d e v e l op m e n t . co m

57


Wide Open With

58

Kansas


Possibilities Bumper crop of initiatives feeds rural Kansas economy

Agritourism and other programs are making a real difference in the economic outlook of rural Kansas. photo b y J eff A dkins

k a n s a s e co n o m ic d e v e l op m e n t . co m

59


60

Kansas

J e ff A d kins J e ff A d kins


T

Story by Betsy Williams

he rural communities of Kansas are developing creative ways to diversify and strengthen their economies, and efforts by the Rural Development Division of the Kansas Department of Commerce are ensuring these communities will play a major role in the state’s future. “Kansas has a wide geography that is very rural, and our department has developed programs that provide funding and technical assistance to regions, communities and individuals,” says Carole Jordan, rural development director at the Kansas Department of Commerce. “Rural is our sole focus.” Utilizing federal dollars, the Rural Development Division assists communities with infrastructure and housing stabilization, and statefunded community development programs provide funding opportunities and hands-on technical assistance from Rural Opportunity field representatives. Value-added Programs Make a Difference Agritourism, renewable energy, value-added loan programs, dairy

farm expansion assistance – these and other programs are making a real difference in the economic outlook of rural Kansas. “Our agriculture marketing piece is state-funded and is impacting rural businesses and agribusiness,” Jordan says. “Our Value-Added Loan Program adds value to agricultural commodities. For example, ethanol is a value-added commodity, where corn or sorghum is turned into a secondary product. Or we might help someone purchase the equipment necessary to turn organic wheat into organic flour, which is valued higher than regular flour.” Simply Kansas, a trademark program that highlights and markets Kansas products, has been extremely successful, Jordan says. And the state’s Main Street program continues its community capacitybuilding, self-sustaining effort. Just developed over the past year is the Kansas Downtown Network for smaller and non-Main Street communities. This network utilizes the national program’s successful four-point approach to downtown redevelopment. The state’s successful agricultural

Clockwise from top: Guests at Grandview Ranch in Emporia; Longhorn cattle at Longhorn Park in Dodge City; Jan Jantzen, on his Grandview Ranch property, is helping other rural entrepreneurs design their own agritourism experience.

2009 KANSAS AGRICULTURE OVERVIEW

65,500 Number of farms

46.2 million Number of acres

$12 billion Amount of cash receipts in 2009

$4.9 billion Agricultural export values

705 Average farm size in acres

6 million Number of cattle and calves

1.8 million Number of hogs and pigs

k a n s a s e co n o m ic d e v e l op m e n t . co m

61


S taff Pho t o

Rural entrepreneur initiatives in Kansas are helping farmers and ranchers diversify their operations and unlock other uses for their land, such as for hunting, camping and agritourism experiences.

marketing programs will be housed in the Kansas Department of Agriculture, effective July 1, 2011. In the top tier of the rural Kansas success story is agritourism, and one of the pioneers in the state’s movement is now devoting his extensive knowledge to spreading the word through seminars and workshops. Jan Jantzen, who has great success with marketing and hosting the authentic ranch experience to eager urban dwellers at his Grandview Ranch

in Emporia, is now helping other rural entrepreneurs design their own agritourism experience. The 20-hour “Agritourism: Your Next Cash Crop?” interactive business course, sponsored by the Kansas Department of Commerce, covers targeted client demographics, marketing, cash flow and accounting, liability and idea development. “I think the rural economy has a lot of unrealized potential,” Jantzen says. “For instance, Kansas is one of the great

All About ag kansas ranks in many agriculture categories Kansas ranks first in wheat, first in grain sorghum, second in cropland and third in sunflowers produced. The state ranks fourth in summer potatoes, sixth in hay produced, seventh in corn for grain and ninth in soybean production. More than 19 percent of all U.S. beef originates from Kansas beef-processing facilities. The state ranks third in cattle and calves on farms and third in cattle and calves on grain feed, 10th in hogs on farms and 11th in market sheep and lambs.

62

Kansas

deer-hunting states in the nation. I had a father and son who walked into a class, saying the son wants to take over the farming operation but can’t without further diversifying the income. We’re looking at how he can utilize rural assets that were going untapped. That farm has a great habitat and a good deer population, ideal for hunting. All of a sudden, that farm has additional value.” Hunting trips that can cost upward of $1,500 per person and can extend into fishing, camping, chuck wagon dinners, working and moving cattle, tours of local historic assets, horseshoe art – all falling into the broad definition of rural tourism, Jantzen says. For him, it also means he’s been able to parlay the successful trail-riding, range-burning business at Grandview into something he sold to a fellow rancher, while still retaining his property ownership. “That is an amazing stamp of the maturing of this industry,” he says. “The agritourism business has value.”


Grass-Roots Approach Office of Rural Opportunity plants seed for growth Rural Opportunity representatives within the Kansas Department of Commerce are building bridges between what is and what can be by spurring meaningful development in communities of 5,000 or less. These rural-based representatives serve as contacts for rural communities seeking assistance in the development of strategic plans to attract businesses, workers and investment. “We have four individuals who have offices in four regions of the state, and they are our bridge between the community and available assistance,” says Carole Jordan, rural development director at the Kansas Department of Commerce. “We work with cities, counties and not-for-profit groups to build foundations that can help initiate and sustain economic development by helping them go through a strategic planning process. When opportunity comes their way, they know what to do to optimize it.” The definition of “rural” is “all over the map,” Jordan says. “For the Rural Opportunity program, we set the number at 5,000 and fewer when we started our program in 2007. In Kansas we have about 600 municipalities that fit that category.” By working with hundreds of these communities, the program has helped communities generate projects that created economic benefit or simply restored community pride. Sometimes it’s as simple as providing information. “We had one very small community that didn’t have the financial capacity to do much, but they had a cemetery in the middle of town that had become an eyesore,” Jordan says. “They were at a loss as to what to do to restore the tombstones. We got them that information, they did the work. It increased their community pride and prompted volunteer involvement.” – Betsy Williams

Living green starts from the ground up. Living green is making sure the air in your home is healthy for your family to breathe. Test your home for radon and build radon-resistant. It's easy. That's living healthy and green.

Just call 866-730-green or visit www.epa.gov/radon

k a n s a s e co n o m ic d e v e l op m e n t . co m

63


64

Kansas

Pho t o Co u r t e s y of K ansas Cos m os p h e r e & S pa c e C e n t e r


Pho t o Co u r t e s y of Mar c i P e nn e r

No Place Like Kansas State is stocked with natural beauty, history and culture

Story by Kevin Litwin

Pho t o Co u r t e s y of M e r e d i t h Cor p orat ion / Mi c ha e l C . S n e l l

O

ne of every nine Kansas citizens today owes his or her job to tourism. In fact, the state’s tourism industry directly supports approximately 125,000 individuals, and if tourism didn’t exist, each Kansas household would pay $875 more in annual taxes to maintain the current level of state and local tax receipts. “When I hear from visitors and travel writers who visit Kansas for the first time, most are impressed with

our pace of life and friendliness of the people – no matter where they go,” says Richard Smalley, tourism marketing manager for the state’s Travel & Tourism Division. “Visitors are also often surprised by the landscape of the state. We aren’t just flat land. Kansas has wooded hills, rolling hills, high plains and more.” One famous and well-visited scenic area is the Flint Hills National Scenic Byway, which stretches 48 miles and offers travelers an unchanged view of

Clockwise from top left: An Apollo spacecraft on display at the Kansas Cosmosphere & Space Center in Hutchinson; Dwight D. Eisenhower Presidential Library & Museum in Abilene; Hikers stop on a trail to take in the views of the Flint Hills of Kansas. k a n s a s e co n o m ic d e v e l op m e n t . co m

65


P hoto C o u rtesy of K ansas C osmosphere & S pace C enter

66

Kansas


Pho t o Co u r t e s y of B arbara S h e lt on

grasslands in the Great Plains. The Tallgrass Prairie National Preserve is another popular destination, home to the last remaining stand of native tallgrass prairie in North America. Smalley says visits to those two sites and the many other Kansas attractions help the tourism industry surpass $5 billion annually in total economic impact. “More than $2.5 billion of that tourism money goes to employee wages and salaries,” he says. “We are lucky that there are so many interesting places to see in the Sunflower State.”

S taff Pho t o

Kansas and the Space Race For history buffs, the Kansas Cosmosphere & Space Center showcases an important chapter in U.S. history – the Space Race. The center includes a large collection of U.S. space artifacts along with the

Clockwise from far left: Kansas Cosmosphere & Space Center; Castle Rock features unique limestone outcroppings and fossils left behind from thousands of years ago; Oldtown in downtown Wichita

k a n s a s e co n o m ic d e v e l op m e n t . co m

67


largest collection of Russian aerospace artifacts outside Moscow. “The Cosmosphere attracts 150,000 tourists annually, including 30,000 school children,” Smalley says. “One side of the hall is the timeline from the 1950s and 1960s of the Soviet Union and their space race agenda, and the other side has the corresponding timeline of the U.S. during those same years. It is an interesting tourism destination in Hutchinson.” History, Culture, Old West History fans can also visit the federally designated Freedom’s Frontier National Heritage Area, which commemorates sites and events that helped shape the nation, such as “Bleeding Kansas,” the precursor to the Civil War, and the Brown v. Board of Education National Historic Site. Cattle drives, cowboys and the Old West’s wilder days are also a big part of the Kansas experience in historic Dodge City, with attractions such as

Kansas Tourism Industry By the Numbers

$5.4 billion Economic impact in 2009

Direct employment in the state by tourism-related enterprises

$2.56 billion Wages paid by tourismrelated businesses

$238 Average expenditure by each Kansas visitor

68

Kansas

Pho t o Co u r t e s y of M e r e d i t h Cor p orat ion /J ohn N o lt n e r

125,000

Kansas offers ample water opportunities for anglers and boaters.


k a n s a s e co n o m ic d e v e l op m e n t . co m

69


Pho t o Co u r t e s y of M e r e d i t h Cor p orat ion /J ohn N o lt n e r

From top: Cattle drives are still part of the Kansas landscape; Kansas Underground Salt Museum in Hutchinson

Boot Hill Museum and the Dodge City Trail of Fame. Kansas attractions include the Dwight D. Eisenhower Presidential Library & Museum in Abilene, Oldtown in downtown Wichita, geological formations such as Monument Rocks, Castle Rock and Gypsum Hills, and the Kansas Underground Salt Museum in Hutchinson that take visitors 650 feet below the Earth’s surface. “For outdoor enthusiasts, pheasant hunting is fantastic in Kansas, whitetail deer are abundant, and mule deer is prominent in the western part of the state,” Smalley says. “There are also plenty of lakes and reservoirs for fishing, and a number of state parks have cabins right on the water. Information on things to do, places to see and great Kansas events can be found on TravelKS.com and in the Official Kansas Visitors Guide. (The state’s tourism programs will be housed in the Kansas Department of Wildlife, Parks and Tourism, effective July 1, 2011.)

for more information Kansas Cosmosphere & Space Center www.cosmo.org Freedom’s Frontier National Heritage Area www.freedomsfrontier.org Boot Hill Museum boothill.org Dodge City Trail of Fame www.dodgecitytrailoffame.org Dwight D. Eisenhower Presidential Library & Museum www.eisenhower.archives.gov

Pho t o Co u r t e s y of B rian Lin g l e

Kansas Underground Salt Museum www.undergroundmuseum.org

70

Kansas

Oldtown www.oldtownwichita.com Monument Rocks www.naturalkansas.org/ monument.htm


That’s a lot of Candles Kansas celebrates 150 years of statehood in 2011 Kansas looks really good for 150 years old. The Sunflower State turns 150 in 2011, as Kansas celebrates its 1861 admission into the Union as the 34th state. Festivals, concerts, theatrical performances, quilt shows and a host of other events will take place across the state throughout the year. The Kansas sesquicentennial is being marketed as a grassroots effort, meaning that residents from all parts of the state are invited to plan and participate in a year’s worth of special events. Festivities officially began Jan. 29, 2011, on Kansas Day, which commemorated the day in 1861 that the state became an official part of the United States.

Recognizing the Sesquicentennial Members of the Kansas 150 Steering Committee compiled a long list of activity suggestions for individuals and communities to put into action to recognize the sesquicentennial. As part of the celebration, the Kansas Museum of History’s special exhibit, 150 Things I Love About Kansas, features 150 objects, images, and documents about the Sunflower State. The year-long exhibit, which runs through 2011, “presents Kansas symbols and stereotypes while also turning them inside out and inviting public reaction,” the museum says. The state’s history, culture, and traditions will be examined through these common themes. The list includes everything from the Wizard of Oz to the Wild West to sunflowers to the state’s reputation for friendliness. For more on the Kansas sesquicentennial, go to KS150.org. – Kevin Litwin

Rice County KANSAS

Located in the center of Kansas!

We’re growing … right now! Strong, Established Industry • Active Lending Institutions Progressive, Growing Community • Aggressive Government We have buildings and space – and our people make the difference. Rice County Economic Development P.O. Box 171 • Lyons, KS 67554 (620) 257-5166 • (620) 257-3039 Fax visit us online at www.ricecounty.us to learn more.

k a n s a s e co n o m ic d e v e l op m e n t . co m

71


72

Kansas


Known Around the World Kansas is a global player in exports, foreign investment

Story by Katie Kuehner-Hebert

E

J e ff A d kins

ven in a sluggish global economy, Kansas has remained an export powerhouse and an attractive locale for foreign direct investment. The state’s export volume for 2010 was $9.9 billion, surpassing 2009’s total by more than 11 percent. Kansas exports to markets around the world, sending everything from aircraft ($2.1 billion) to industrial machinery ($955.9 million) to meat ($756.2 million) to cereals ($643.2 million) to countries in Europe, Asia, South America and North America. Wichita was the fastest-growing export market among the top 100 U.S. metropolitan areas, with 22.3 percent growth from 2003 to 2008, according to a July report by the Brookings Institution. Wichita’s explosive growth has been fueled by aviation manufacturers such as Cessna and Ceva Santé Animale in Lenexa is one of Kansas’ major foreign-owned employers.

Major export categories Vehicles & Parts $554.6 million

Animal Feed $494.3 million

Electric Machinery $640.1 million Aircraft $2.1 billion

Cereals $643.2 million Meat $756.2 million

Industrial Machinery $956 million k a n s a s e co n o m ic d e v e l op m e n t . co m

73


Aircraft is Kansas’ top export category.

Hawker Beechcraft, and a host of suppliers. the world Comes Calling The state has also attracted more foreign direct investment, with a spate of companies building major facilities in the state. Nearly 53,000 Kansans are employed by foreign-owned companies. In 2009 alone, foreignowned companies made $367 million in capital investments in the state, creating 1,420 jobs. In December 2010, Denmark-based Jupiter Group opened a wind turbine component manufacturing facility in Junction City. Siemens Energy, a unit of Germany-based Siemens AG, cut the ribbon on its first U.S.-based nacelle production facility in Hutchinson. Because of Siemens’ investment, Dutch wire and cable manufacturer Draka in November announced it would build an assembly facility in Hutchinson to supply Siemens and

74

Kansas


other key customers in the region. In the animal health industry, France-based Ceva Santé Animale in January 2011 recommitted to keeping its North American headquarters in Lenexa. Ceva is increasing production capacity at its existing Lenexa facility with construction of a new 53,000-square-foot, two-story building. A Breed Apart in Livestock Osborne Industries was named the 2010 Kansas Governor’s Exporter of the Year. The company is an innovator in solutions for livestock production, including feeders and management systems, and has exported livestock products to 44 countries. Osborne also provides custom plastic molding technology solutions to other industries. “One of our core values is providing jobs for people in Osborne County, and if we didn’t have an export business, we would not be able to employ as many people,” says Steve Langley, president. The Kansas Department of Commerce’s Trade Development Division helps Kansas

companies increase their export business through a variety of marketing efforts and networking with foreign contacts, says John Watson, trade director. The division targets industries that already have a strong base in the state, including wind energy, aviation, bioscience, agriculture and animal health. The division maintains offices in Mexico City and Beijing, staffed by local business advisers contracted by the division to introduce foreign prospects to Kansas. “These two markets are important to us,” Watson says. “Our strategy is to try to do the most good for the most number of Kansas companies, so we have offices where there are significant amounts of business to capture.” The division also works closely with business consultants in other parts of Asia, India, Latin America and Europe to conduct market research for Kansas companies.

Foreign Direct Investment Foreign-controlled companies employ nearly 53,000 Kansas workers. Major sources of foreign investment in Kansas include Canada, the United Kingdom and Germany. Projects involving international investment in 2009 resulted in a total of $367 million in capital investment and 1,420 jobs created. The primary project was the $30 million Siemens Energy wind turbine plant in Hutchinson, expected to create 400 jobs.

Promoting Kansas globally Through the Kansas International Trade Show Assistance Program, or KITSAP, the division will pay some of the direct costs of

k a n s a s e co n o m ic d e v e l op m e n t . co m

75


Ceva SantĂŠ Animale is nearly doubling its existing Lenexa manufacturing facility to 55,000 square feet.

76

Kansas


eligible Kansas companies attending international trade shows in foreign locales. The division also participates in such shows, including the China Veterinary Medicine Association conference in Beijing last October. Five Kansas companies in the animal health sector joined the division, as well as Kansas State University’s College of Veterinary Medicine. “They were also promoting educational opportunities for Chinese veterinarians, which is another form of export,� Watson says. Other trade missions included a visit with wind energy investors in Denmark and Germany; a trip to an international aviation trade show in Farnborough, England; and two joint missions with the states of Colorado and Montana to Russia to promote the animal genetics industry.

2010 Kansas export markets

$2.5 billion Canada

$1.3 billion Mexico

$585 million Japan

$527 million China

$456 million United Kingdom

$9.9 billion J e ff A d kins

Kansas total export value 2010

$8.9 billion Total export value in 2009

k a n s a s e co n o m ic d e v e l op m e n t . co m

77


Progressive Higher Education

Pratt Community College provides business and industry training, as well as general and technical education.

Our Future Economy

Agriculture, energy and industry come together to make Pratt a community of opportunities.

Excellence in Education

We have two school districts offering innovative education to prepare our youth for the 21st Century.

Sports/Recreation Facilities

Sports complex and a new 44,000-square-foot fitness facility.

Thriving Downtown

Pratt offers a robust mix of unique shops, eateries and professional offices in the downtown area.

Kansas Department of Wildlife and Parks Education Center

This showcase for outdoor Kansas houses numerous displays, dioramas, aquariums and exhibits.

Where Agriculture Pratt Area Economic Development Corporation


Great Bend 45 mi.

Hutchinson 60 mi.

Lemon Park

Pratt has 19 parks comprising approximately 270 acres of “green space.”

Union Pacific Railroad

Wichita 70 mi.

Kansas & Oklahoma Railroad

Pratt Pratt Regional Airport

Our C-II GA airport boasts a 5,500-foot concrete runway and is also home to one of our industrial parks.

Regional Medical Center

Pratt Regional Medical Center is a progressive medical center providing the region with outstanding patient care.

Meets Industry (888) 886-1164 • www.prattkansas.org


80

Kansas


Energy/Technology

Plenty of Energy Kansas sets the pace in biofuels, solar, traditional sources

Story by Pamela Coyle

I

J e ff A d kins

nvesting in Kansas energy is easy – the tough part may be deciding which sector, because the state is making moves in all of them. Kansas is a longtime leader in traditional energy, including natural gas and oil production, consistently ranking among the top 10 U.S. states in crude oil production. The Sunflower State is a hub for wind power, with 1,026 megawatts on line at the end of 2010, and the industry’s growing U.S. supply chain. Solar energy’s future is bright, too. The state has a high solar rating, and industry powerhouses such as AGC Flat Glass, a global leader in solar glass production, have

operations in Kansas. Ethanol, biodiesel and cellulosic technologies are also part of the portfolio. Standards, Incentives fuel growth Kansas is an active partner in developing new technologies and creating markets for sustainable fuel sources. The state demonstrated its commitment to renewables with a Renewable Energy Standard – 10 percent for 2011 (which was met almost exclusively with wind generation), 15 percent for 2016 and 20 percent for 2020. In 2009, the state bumped up its commitment and elevated the benchmarks from “goals” to “mandatory requirements,” making

Kansas is a leader in energy production on several fronts, including oil and natural gas, and agriculturalbased renewables, such as ethanol and biofuels made from such things as switchgrass and wheat stover.

Oil and Gas Kansas consistently ranks among the top 10 states in crude oil production. The Anadarko Shelf in southwestern Kansas contains the Hugoton Gas Area, one of the top producing natural gas fields in the United States. The Mid-Continent Center, located in Wichita, is a key natural gas supply hub that merges production from several states in the region before piping it east toward major consumption markets. Source: U.S. Energy Information Administration

k a n s a s e co n o m ic d e v e l op m e n t . co m

81


Pho t o Co u r t e s y of I CM , I n c .

ICM, based in Colwich, is a leader in building and retrofitting ethanol plants. Kansas has 12 operating ethanol production facilities.

82

Kansas


stats Kansas Natural Gas Production (in mcf) Kansas Natural Gas Production (in mcf)

250000000

354,440

374,310

365,877

300000000

371,044

350000000

377,299

400000000

200000000 150000000 100000000 50000000 0 2005

2006

2007

2008

2009

Source: U.S. Energy Information Administration

Kansas Oil Production barrels) Kansas Oil Production (in(inbarrels) 50000000

40,420,000

2007

39,464,000

2006

39,582,000

20000000

36,490,000

30000000

35,651,000

40000000

2008

2009

2010

10000000

0 Source: U.S. Energy Information Administration more at kansaseconomicdevelopment.com

Kansas an attractive investment option because companies have evidence of the state’s commitment. State incentives include special bond financing, which make up to $5 million available for eligible projects. Renewable energy incentive grants from the Kansas Energy Office provide up to $250,000 to help state agencies, local governments and educational institutions finance 25 percent of alternative energy projects. In addition, Kansas has a $34 million revolving loan program for small commercial and residential energy efficiency projects. Ethanol, Biofuels Flowing Kansas has 12 operating biofuel facilities with a combined permitted capacity of 519.5 million gallons per year. More projects are in the permit or construction phase. Abengoa Bioenergy, an industry leader, picked Kansas for its first commercial-scale hybrid biomass plant, in part because the state has no shortage of feedstock. “We are a big agricultural state and produce corn and sorghum, feedstocks for ethanol plants,” says Carole Jordan, rural development director at the Kansas Department of Commerce. “Those can be interchanged in plants depending on what the market is doing. We have the source of those inputs very near to production.” Companies are working with wheat stover, switchgrass and other potential sources of biomass. Researchers are trying to figure out how to break apart corn kernels to get all the material for potential energy conversion. Both the University of Kansas and Kansas State University have dedicated k a n s a s e co n o m ic d e v e l op m e n t . co m

83



biomass working groups, including one that is developing algae as a biofuel, Jordan says.

transportation infrastructure and market access, Jordan says, “it makes for a really great combination.”

What’s Online  For more information about energy in Kansas, visit the website at kansaseconomicdevelopment.com.

S taff Pho t o

The Location Advantage The state already is home to major industry players. In addition to Abengoa, ICM, a leader in building and retrofitting ethanol plants, is based in Colwich, Kan. ICM is one of four

biorefinery companies selected by the U.S. Department of Energy to lead biomass-to-ethanol research efforts with innovative technologies. Projects include developing a demonstration plant at the Harvey County landfill for a biomass gasifier, says Monique Garcia, ICM’s director of government affairs. With innovative companies, existing production, solid

Cleaner Fuels on tap

SOURCE: Kansas Department of Commerce, December 2010 figures

Wind

Biofuels

Biodiesel

The state has eight operating wind farms and 1,026 megawatts of wind power online as of the end of 2010.

12 operating biofuel facilities with a combined permitted capacity of 519.5 million gallons per year.

Three plants in operation, with a combined output of 7.4 million gallons per year, and one plant with the capacity to produce 72 million gallons per year under construction or permitted.

k a n s a s e co n o m ic d e v e l op m e n t . co m

85


86

Kansas


Transportation

Paved With Good Intentions Highway, rail, air systems give Kansas a logistical advantage

Story by Kevin Litwin Photography by Jeff Adkins

A

key component of the Kansas economic development success story is its sophisticated and integrated transportation infrastructure that includes major interstate highways, Class I rail service and a network of commercial airports. Kansas has the best highways in the United States, according to a 2010 survey compiled by Reader’s Digest. “More than 10,000 miles of roads in Kansas are either interstates, U.S. highways or state roads, and all are in excellent shape,” says Jerry Younger, deputy secretary of engineering with the Kansas Department of Transportation. “Also, many states today are wrestling with poor bridges,

but Kansas has only 2 to 3 percent that currently need attention. That is a very low and manageable number.” Good Connections Good highways are a key reason why many companies set up logistics and distribution operations in Kansas. The major east-west route of Interstate 70 and the north-south route of I-35 cross in Kansas and connect with I-29, which is part of the NAFTA highway corridor linking the United States to Mexico and Canada. “The state underwent two robust highway improvement programs in the 1980s and 1990s, and now has embarked on a new 10-year project,” Younger says. “The transportation

By the Numbers

10,607 Highway miles in Kansas

4,776 Miles of rail in Kansas, including 2,790 miles served by Class I carriers

9,691 Kansas-based motor carriers with intrastate or interstate operating authority licensed to operate in Kansas

k a n s a s e co n o m ic d e v e l op m e n t . co m

87


88

Kansas


Kansas Commercial Airports Dodge City Regional Airport www.dodgecity.org/index. aspx?nid=60

Hays Regional Airport www.haysusa.com/html/ airport.html

Forbes Field (Topeka) www.mtaa-topeka.org

Liberal Mid-America Regional Airport www.cityofliberal.com/ c_airport.htm

Garden City Regional Airport www.fly2gck.com

system in this state is impressive.” Kansas Secretary of Transportation Deb Miller says that in the past decade, Kansas completed 5,700 road projects, replaced or repaired 900 bridges and rehabilitated more than 1,000 miles of rail. “New airport runways have also been built across the state. In fact, 209 airport improvement projects were completed over the past 10 years,” she says. “Tens of thousands of transportation jobs were created or sustained as a result.”

Manhattan Regional Airport www.flymhk.com

Goodland Municipal Airport www.goodlandks.us

Salina Municipal Airport www.salinaairport.com

Great Bend Municipal Airport www.greatbendks.net/?nid=190

Wichita Mid-Continent Airport www.flywichita.org

A Logistical Advantage Miller adds that a slew of manufacturers – from aircraft makers to wind-energy component manufacturers – have cited the overall transportation infrastructure and accessibility to markets among the state’s major attributes. Some key companies that utilize the logistical distribution advantages in Kansas include Coleman, Foot Locker, Home Depot, JCPenney, Target and Walmart Stores. In 2009, Siemens Energy officials noted that infrastructure was

a key factor in their decision to establish a wind turbine production facility in Hutchinson. Rail carrier BNSF Railway Co. announced in 2010 that it was adding to the state’s transportation infrastructure by constructing a $750 million intermodal rail facility in Edgerton, just outside of Kansas City. The Logistics Park KC is tentatively scheduled to open in 2011. The project was aided by a $35 million grant from the state’s Rail Assistance Program. The 443-acre facility will feature wide-

Top left: Wichita Mid-Continent Airport is one the largest commercial airports serving Kansas. Top right: A FedEx aircraft at the Wichita Mid-Continent Airport Bottom left: BNSF is constructing a $750 million intermodal rail facility in Edgerton, just outside Kansas City.

k a n s a s e co n o m ic d e v e l op m e n t . co m

89



To d d B e nn e t t

The major east-west route of Interstate 70 and the north-south route of I-35 cross in Kansas and connect with I-29.

span electric cranes that produce zero emissions on site and automatic gate systems to speed the movement of traffic entering and departing the facility. The facility will also incorporate a 60-acre conservation corridor for water quality benefits to the area. Officials expect the project will create some 8,700 jobs when complete. “The facility will offer companies the ability

upgrade on track The Kansas Department of Transportation was awarded a $10.2 million federal Transportation Investments Generating Economic Recovery II (TIGER II) grant in fall 2010 to help fund its Great Plains Freight Rail Service Improvement Project. The grant will provide for infrastructure and facility rail improvements to the South Kansas and Oklahoma Railroad (SKOL) owned and operated by Watco Transportation Services Inc.

to ship goods quickly and efficiently by rail and truck to their final destinations,” says Matthew Rose, BNSF chairman, president and CEO. “It will also help the Kansas City region’s economy grow in a more energy-efficient and environmentally friendly way, by expanding that market’s capacity to shift even more freight traffic from an all-highway move to rail.”

Markets Within 500 Miles of Kansas

Kansas’ Goal: 45 Minutes to Airport While the BNSF facility will ultimately add to the Class I rail service that Kansas already enjoys, transportation officials also tout the state’s strong airport system. Kansas City International Airport and Wichita MidContinent Airport are the largest airports serving the state; in all there are eight commercial airports and 132 general aviation facilities in Kansas. “One of the big goals in this state is to eventually grow our airport system in such a way that every resident will be within 45 minutes of an airport,” Younger says. “And, of course, large companies all want to be located near airports, which can often happen in Kansas.”

33.7 million

89.3 million

Population (30.2% of U.S.)

Households (30.4%)

$1.6 trillion

Buying Power (29.5%)

3.9 million

Businesses (30.7%)

$5.3 trillion Total Sales

k a n s a s e co n o m ic d e v e l op m e n t . co m

91


92

Kansas


Health

Lab Partners Investment in bioscience pays dividends in innovation

Story by Heather Johnston Johnson Photography by Jeff Adkins

W

hat once seemed like science fiction is bioscience fact in Kansas. The state’s bioscience corridor stretches from Kansas City to Hays, Manhattan to Wichita, and Atchison to Garden City. Along the way it sustains and attracts global businesses such as Bayer and Hill’s Pet Nutrition and promotes innovation in human and animal health as well as in plant science, bioenergy, biomaterials and biomanufacturing. Kansas ramped up its bioscience investments in 2004 with the Kansas Economic Growth Act, and state funding is estimated to reach more than $580 million in the next decade. “The Brownback Administration is focused on growing the Kansas economy and creating jobs, and a key part of that effort will focus on pursuing new economic opportunities,” says Kansas Commerce Secretary Pat George. “We expect many of those opportunities to come in the bioscience area, from animal health science to cancer research.” Gov. Brownback announced earlier this year his plan to host several economic summits focusing on

Left: Kansas will invest an estimated $580 million over a 15-year period to promote bioscience investment in the state.

k a n s a s e co n o m ic d e v e l op m e n t . co m

93


Biocience is a growing sector of the Kansas economy and numbers more than 16,000 workers. Right: Animal health leader Hill’s Pet Nutrition opened a new 500,000-square-foot manufacturing plant in Emporia.

94

Kansas


Pho t o Co u r t e s y of H i l l s P e t N u t ri t ion

specific industry sectors critical to the Kansas economy, including bioscience. “The administration wants to gather all the industry stakeholders in one place, so they can openly share ideas and thoughts on the future of bioscience over the next several years,” George says. “From those ideas, we will develop an action plan to move the industry forward in Kansas.” Bioscience Yields Financial Returns Economic returns on statesupported bioscience programs continue to fuel innovation in the industry. The sector’s workforce is more than 16,000 strong. Animal health and human health are the state’s two major bioscience sectors, receiving the most funding. The Animal Health Corridor, which runs through the heart of Kansas, has the world’s largest concentration of animal health interests. In fact, it accounts for nearly 32 percent of total sales in the $19 billion global animal health market. The state’s human health activities include clinical research, pharmaceutical drug development, medical devices and diagnostics. In addition to animal and human health, three other key areas have a growing presence in the state: 1. Bioenergy, which includes technology development associated with alternative fuels. 2. Biomaterials, which repurposes materials used for biomedical devices for

other uses, such as airline applications. 3. Plant biology, which researches and develops genetic modifications to yield better crops. Companies Invest in Kansas Cargill, the international producer of food and agricultural products, plans to build a $14.7 million facility in Wichita that will be used for research and development, as well as a culinary laboratory, pilot plant and distribution center. The center, which will focus on food safety and quality, will add 65 jobs to the 50-person workforce over the next few years. More jobs are on tap for the sector. Hill’s Pet Nutrition, which has its global headquarters in Topeka, opened a new

500,000-square-foot manufacturing plant in Emporia in December 2010. The $200 million facility, which produces Hill’s Prescription Diet and Science Diet pet food, employs more than 100 and is a state-of-the-art bioscience production facility. Promoting Food Safety and Cancer-Fighting Cures In April, Kansas State University opened the International Animal Health and Food Safety Institute on the Olathe Innovation Campus. The institute is a $28-million, 108,000-square-foot facility that opens a new chapter in the efforts to make the state a global center for research. The Innovation Campus will serve

in good company kansas makes the grade in state rankings Kansas was named a top 10 state in eight of 20 categories in Business Facilities magazine’s 2010 Rankings Report, an annual report that rates the 50 states on their economic development efforts. Economic Growth Potential (No. 10) Biotechnology Strength (No. 5) Biofuels Manufacturing Research Leaders (No. 10) Alternative Energy Industry Leaders (No 10) Wind Energy Manufacturing (No. 3) Quality of Life (No. 3) Employment Leaders (No. 5) Best Education Climate (No. 3) Source: Business Facilities magazine k a n s a s e co n o m ic d e v e l op m e n t . co m

95


96

Kansas


as a center for research, education and commercialization. Students earning master’s and doctorate degrees in biosciences and biotechnology will work alongside scientists conducting research. The campus is part of the Johnson County Education and Research Triangle, or JCERT, initiative. It’s a cooperative effort with the University of Kansas, involving KU’s Edwards Campus and the KU Medical Center. K-State also will house the Department of Homeland Security’s National Bio and Agro-Defense Facility, which is charged with protecting the nation’s food supply, among other duties. Once completed, the $650 million, 500,000-square-foot facility in Manhattan, Kan., will provide integrated research, response and diagnostic capabilities to protect animal and public health. Meanwhile, the KU Cancer Center is working to achieve designation from the National Cancer Institute. Once completed, the designation will bring millions more in research dollars along with the ability to provide widespread, cutting-edge cancer treatment throughout the region and local economic growth through job creation.

Key Kansas Bio Contacts Kansas Department of Commerce 1000 S.W. Jackson St., Ste. 100 Topeka, KS 66612 (785) 296-3481 busdev@kansascommerce.com Kansas Bioscience Authority 25501 W. Valley Pkwy., Ste. 100 Olathe, KS 66061 (913) 397-8300 info@kansasbioauthority.org Kansas Bioscience Organization 8527 Bluejacket St. Lenexa, KS 66214 (913) 495-4334 info@kansasbio.org

k a n s a s e co n o m ic d e v e l op m e n t . co m

97



Kansas Programs Encourage Bioscience Industry state offers a Wealth of Resources to aid sector’s growth Bringing talented people to Kansas is important to the state. The Sunflower State’s Eminent Scholars Program recruits distinguished bioscience researchers to Kansas institutions. Another effort, the Kansas Bioscience Rising Stars Program, enlists world-class bioscience scholars to the state and encourages the state’s best scholars to stay.

Recruiting High-Potential Companies The Kansas R&D Voucher Program gives early-stage financing and support to bioscience companies

with high-potential but high-risk innovations. Meanwhile, the Kansas Bioscience Matching Fund matches a portion of research grants for largescale research and development projects at academic institutions. The Kansas Bioscience Expansion & Attraction Program focuses on high-tech jobs, a program partially administered by the Kansas Department of Commerce to provide funds to growing bioscience companies.

Building Research Centers Kansas has committed to build several world-class centers of

innovation over the next 10 years, centers that will provide innovative research along with profitable commercial applications. Animal health and human health – the state’s core bioscience sectors – also have special initiatives. The Collaborative Biosecurity Research Initiative is a $2.5 million effort to promote products that will protect Americans from a terrorist attack that spreads animal-borne disease. Meanwhile, the Collaborative Cancer Research Initiative will promote all areas of cancer research in the state. – Heather Johnston Johnson

facts and figures Kansas and the burgeoning bio sector National site selection magazine Business Facilities highlighted Kansas’ success by ranking the state #5 in the nation for biotechnology, placing Kansas alongside powerhouses such as California, Massachusetts and Illinois. Kansas ranked #1 in the nation in growth of critical research funding from the National Institutes of Health from 2004 to 2009. The federal government chose Kansas for a new $650 million national research facility and a research center of excellence that will be housed at Kansas State University to protect the American food supply. K-State opened the $28 million International

Animal Health and Food Safety Institute on the Olathe Innovation Campus in April 2011. Kansas is generating new investment in its bioscience industry. Cargill, the international producer of food and agricultural products, plans a $14.7 million facility in Wichita that will be used for research and development, as well as a culinary, laboratory, pilot plant and distribution center. Hill’s Pet Nutrition, which has its global headquarters in Topeka, opened a new 500,000-square-foot, $200 million manufacturing plant in Emporia in December 2010 that will produce Hill’s Prescription Diet and Science Diet pet food. k a n s a s e co n o m ic d e v e l op m e n t . co m

99


Education

Big Ideas Born Here High-powered research fuels innovation at Kansas universities

Story by Kevin Litwin Photography by Jeff Adkins

I

t’s no coincidence that Kansas’ reputation as a center of innovation in life sciences, animal health, advanced manufacturing, aviation and agriculture mirrors the rise in research prominence of the state’s major universities. Kathy Hund says that for every scientist who introduces a research project at a Kansas university, 20 to 100 research technicians will assist that scientist with the project. “Many of those technicians can actually receive their education and training from a community or technical college, while others will University of Kansas in Lawrence

100 K a n s a s

attend one of the state’s regional or big universities,” says Hund, director of workforce education and training with the Kansas Department of Commerce and Kansas Board of Regents. “There’s a need right now for additional highly skilled technicians in Kansas.” Millions for Research The number of research projects at the state’s major universities continues to grow in Kansas each year, especially in fields such as life sciences, animal health, advanced manufacturing, aviation and agriculture. Kansas State University, the University of Kansas

Educational Facts

30,000+ Number of students enrolled at KU

250+ Number of undergraduate majors available at Kansas State

12 Wichita State University’s rank in U.S. for international students


k a n s a s e co n o m ic d e v e l op m e n t . co m

101



Fort Hays State University photo b y T odd Bennett

“Today, there is $500 million a year being spent on overall research at Kansas universities, and much of the money is coming from federal grants. The federal government believes in what is happening research-wise at Kansas universities.” and Wichita State University all developed major centers of research that attract millions of dollars in public and private grants and bring new products and companies to market. In fact, Kansas State is among the top animal health/ag science schools in the country, while Wichita State is home to the renowned National Institute for Aviation Research. The University of Kansas has a Top 3

school of pharmacy research complex. “One of the pharmacists who taught here at KU helped develop timedrelease capsules, and alum helped develop insulin,” says Lynn Bretz, KU’s director of communications. “We certainly have a legacy of being at the forefront of life-changing discoveries.” Funds for Four Facilities Research is so important in the state that in 2010, the Kansas Legislature approved $130 million in

additional funding for four major research facilities at Kansas universities: a food safety and security research facility at KSU, a biomedical research facility at the KU Medical Center, equipment for a biosciences research building at KU and expansion of the Aviation Engineering Complex at WSU. “Wichita State is such a leader in aviation research and composite materials that the university has k a n s a s e co n o m ic d e v e l op m e n t . co m

103


104 K a n s a s


Left: Kansas State University Right: Wichita State University

A n t on y B oshi e r

expanded its research into studying composites for joint replacement parts in the human body,” says Gary Sherrer, chairman of the Kansas Board of Regents. “There appears to be a tremendous advantage in using composite-based artificial knees and hips because the composites are not made of metal.” Sherrer points out that since Kansas State is so involved with animal health and agriculture research, the university is building a large research center in Kansas City, a hub for the industry. “Kansas City’s animal health industry is huge, and a significant portion of animal health products for the world are produced in the Kansas City metro area,” he says. “So KSU is expanding into the Kansas City area and will be opening an animal health research facility in 2011.” Sherrer adds that researchers at the

Public universities in Kansas Washburn University* Topeka, KS www.washburn.edu Enrollment: 7,876

Kansas State University Fort Hays State University Hays, KS www.fhsu.edu Enrollment: 11,883

Manhattan, KS www.k-state.edu Enrollment: 23,588

Emporia State University Emporia, KS www.emporia.edu Enrollment: 6,262

Wichita State University Wichita, KS www.wichita.edu Enrollment: 14,806

University of Kansas Lawrence, KS www.ku.edu Enrollment: 29,462

Pittsburg State University Pittsburg, KS www.pittstate.edu Enrollment: 7,131

*Municipal university

k a n s a s e co n o m ic d e v e l op m e n t . co m

105



University of Kansas are making large strides these days in cancer research, and KU’s medical center is expected to be designated a National Cancer Institute sometime in 2011 or 2012. “When KU is given this designation, it will mean $1.5 billion annually in economic impact for the Kansas economy because of all the research related to it,” he says. “Today, there is $500 million a year being spent on overall research at Kansas universities, and much of the money is coming from federal grants. The federal government believes in what is happening research-wise in Kansas.”

kansas educational attainment high school or higher

associate degree

5.8%

bachelor’s degree

17% 89.5%

graduate degree

8.7%

k a n s a s e co n o m ic d e v e l op m e n t . co m

107


108 K a n s a s

Pho t o Co u r t e s y of S t e v e Cr ec e l i u s


Livability

Home is Where the Heartland Is Kansans form strong ties to the Sunflower State

Story by Kevin Litwin Photography by Jeff Adkins

T

hat famous Kansan, Dorothy, knew why she wanted to get home so badly. Beyond its highly advantageous cost of living and nationally ranked schools, Kansas is the true heartland, offering an authentic American experience, from the hometown feel of small communities to the cosmopolitan amenities of urban areas that rival those in any large city. The state’s quality of life is gaining national notice. Forbes named Johnson County the third-best place in the nation to raise a family, citing its affordability and accessibility.

Overland Park and Shawnee were ranked No. 7 and 17, respectively, on CNNmoney.com’s Best Places to Live list for 2010. RelocateAmerica.com named Overland Park among its Top 100 Places to Live for 2010. The community excelled in categories such as employment opportunities, quality of K-12 education, crime rates, median housing costs and real estate appreciation. Topeka made Kiplinger magazine’s Top 10 Cities for the Next Decade list for 2010. The report cited quality schools and hospitals, a stable job market, municipal university and low housing costs.

Clockwise from top: Commercial Street in downtown Emporia; Oldtown Wichita; Outdoor dining in Lawrence

Kansas Cost of Living Dodge City, 89.8 Garden City, 87.6 Hays, 89.2 Hutchinson, 94.3 Lawrence MSA, 98.9 Manhattan, 96.3 Salina, 88.1 Topeka, 90.7 Wichita, 91.0 U.S. Average=100 Source: ACCRA Cost of Living Index

k a n s a s e co n o m ic d e v e l op m e n t . co m

109


110

Kansas

Pho t o Co u r t e s y of M e r e d i t h Cor p orat ion / Larr y F l e m in g


To d d B e nn e t t

Clockwise from top left: Newly renovated buildings in downtown Junction City; Bartlett Arboretum in Belle Plaine; Diners at Cafe Tempo at the Nerman Museum of Contemporary Art on the campus of Johnson County Community College; Biking in the Gypsum Hills

good medicine The state is a leader in quality health care, offering a variety of services that typically cost below national averages. The state boasts 4.9 community hospitals per 100,000 residents, which is nearly three times the national average. “The only way we know that people get truly healthy is by having more family physicians, and Kansas is really a leader in that area” says Dr. Robyn Liu, a family physician in Tribune. “I just found the perfect practice opportunity here.”

Extra Credit One of the state’s major quality of life attributes is its highly rated education system. Kansas boasts an impressive roster of higher education institutions that include seven major universities, 19 community colleges and 11 technical schools. The state devotes 37 percent of its annual budget allocation to education, and nearly 90 percent of Kansas adults have earned at least a high school diploma. ACT scores for Kansas students are above the national k a n s a s e co n o m ic d e v e l op m e n t . co m

111


Western Kansas … Where life works! What you know about us … Western Kansas, there is space to breathe and freedom to thrive here. It’s a great place to grow up or raise a family, to be a part of a neighborhood. Children receive personalized education through some of the best schools in the nation, and they are raised in safe, affordable surroundings. Find peace in the beautiful, clear, star-filled skies.

What you may not know about us is … Western Kansas, even today, is full of unique and plentiful job opportunities. In addition to the traditional industries, there are a host of new businesses that will surprise you. New technologies and ideas have transformed your possibilities.

What you will find in Western Kansas … The quality of life is better than ever, even with the sagging national economy. There is a lot to do, short commutes, the cost of living is lower than many other places, housing is affordable, the entrepreneurial environment is inspiring, and the workplace needs you and appreciates you!

Visit WesternKSjobs.com to learn more about the jobs and lifestyle of Western Kansas.


From top: Keeper of the Plains statue in Wichita; Nerman Museum of Contemporary Art at Johnson County Community College in Overland Park

average and pupil-teacher ratios at Kansas schools are in the top 10 among states. Pretty As a Picture It is a hometown flavor that gives Kansas such appeal, but it is also a state that offers cosmopolitan cultural amenities in abundance. Wichita is a center of art that includes the recently refurbished Wichita Art Museum with its highly regarded collection of American works and the breathtaking Dale Chihuly Persian Seafoam Installation hanging in its lobby. In Lawrence, the Spencer Art Museum at the University of Kansas, which counts among its collection works by Chihuly, Claude Monet, Jean Fragonard, Georgia O’Keeffe and Ansel Adams, is considered one of the

Kansas Living By the Numbers

2.8 million Population of Kansas

8.5% The cost of living in Kansas is 8.5 percent lower than the national average

35% Kansas housing costs are 35 percent lower than the national average

18 minutes Average commute time in Kansas, fourth lowest among states

56.4 Average daily temperature

k a n s a s e co n o m ic d e v e l op m e n t . co m

113


best university art museums in the country. The Prairie Museum of Art and History in Colby includes an international collection of porcelain, rare dolls, antique furniture and textiles. And Kansas is a state with of unspoiled natural beauty and boundless outdoor possibilities, from hiking, camping and wildlife watching to horseback riding and hunting. The Sunflower State includes 14 state parks, 24 major reservoirs and 40 public fishing lakes. David Toland, an outdoor enthusiast and executive director for Thrive Allen County-Iola, used to live in Washington, D.C. “The best things in Kansas are access to the outdoors and the ability to experience small-town life, but yet be close to larger cities,” he says. “I’m interested in having the chance to live my life and thrive – not spend my time pushing onto the last subway car at midnight after a 14-hour day.”

Cottage House Hotel, built in 1867, in downtown Council Grove

Home to … You!

It’s

Business

City of Andover 1609 E. Central Andover, KS 67002 (316) 733-1303, Ext. 412

Recreation

Calling all site selectors! Andover is situated just outside Wichita with quick access to the Kansas Turnpike, US-54 and K-96. Check out the Andover Industrial Park!* With 72 acres and fiber optic lines already installed, this location offers your business a competitive edge. Your employees will be delighted to relocate to this community of choice! All issues related to Industrial Park land cost, development fees, and property tax abatements are negotiable depending on the client and their financial commitment.

*

Community Involvement

Visit us at: www.andoverks.com

First-Rate Schools 114

Kansas


Pho t o Co u r t e s y of M e r e d i t h Cor p orat ion / R o y I n m an

Visitors share a bottle of wine and a relaxing evening on the deck at Holy-Field Vineyard & Winery in Basehor.

Grape Days Ahead Raise a glass to Kansas’ growing winery business While Kansas is rightfully known for its beef and wheat production, there’s a lot more “growing on” around the state. And some of these crops are raising eyebrows – and wine glasses. Kansas is home to 19 wineries, producing around 50,000 gallons of wine annually with locally grown grapes, berries and fruits. And the wines produced in Kansas are gaining a reputation beyond the state’s border to the tune of more than 300 international awards just in the last few years alone. The family-owned and -operated Wyldewood Cellars, which opened in 1994, produces more than 40 different varieties of grape, elderberry

and other wines. The Mulvane-based winery has won more than 400 international awards for its wines. Kansas wineries are an important part of the state’s agritourism efforts, and many of the wineries feature tasting rooms, tours and visitor-related events, from mystery dinner theater to jazz in the vines. The Kansas Grape Growers and Winemakers Association works to give the wineries and vineyards a unified voice, and also spread the word out about tours, tastings, party rentals, special events and other features of the facilities. The association, which was formed in 1987, also sponsors a conference every January as well as a

competition, and looks to further drive wine-related tourism with a growing roster of activities around that event. The association sponsors the annual Grape Stomp and wine tasting at the Kansas State Fair. As a measure of how serious winemaking is becoming in the state, the association requested and received a USDA value-added grant to help develop a wine-quality program. Called Kansas Quality Certified, the program is open to any winery in the state that can meet certain criteria, and provides each member winery with feedback on their wines, while also helping to boost consumer confidence in the wines that are produced here. – Joe Morris

50,000

1987

19

Gallons of wine produced annually in Kansas

Year the The Kansas Grape Growers and Winemakers Association was formed

Number of wineries in Kansas

k a n s a s e co n o m ic d e v e l op m e n t . co m

115


Gallery

The Tallgrass Prairie National Preserve once stretched 140 million acres; now only 4 percent remains, mostly in the Flint Hills of Kansas. Photo courtesy of Kevin Sink

116

Kansas


The Kansas State Capitol in Topeka Photo courtesy of Meredith Corp./ Michael C. Snell

k a n s a s e co n o m ic d e v e l op m e n t . co m

117


Gallery

The fan in a wind tunnel at the National Institute for Aviation Research in Wichita Photo by Todd Bennett

118

Kansas


Kayaking at Wilson State Park Photo courtesy of Meredith Corp./ Michael C. Snell

k a n s a s e co n o m ic d e v e l op m e n t . co m

119


Gallery

A sunflower field in full bloom near Wichita Photo by Jeff Adkins

120 K a n s a s



economic profile Business snapshot Wichita is the aviation capital of the world, with 50 percent of domestic commercial aircraft and 40 percent of global aircraft produced in the city. Northeast Kansas is home to a burgeoning animal health corridor, with 40 percent of global animal health and veterinary science interests converged in the region.

Population

Labor Force

2010: 2,853,818

2009: 1,503,300

2000: 2,688,816 Change: 6.1%

Major Population Centers (2010)

income Per capita personal income (2008) $38,820 Median household income (2009) $47,709

What’s Online

2008: 1,496,900

For more in-depth demographic, statistical and community information on Kansas go to kansaseconomicdevelopment.com.

2007: 1,478,800 Change: 1.7%

Major Employers Wichita: 382,368 (MSA – 623,061)

Spirit AeroSystems

13,000

Overland Park: 173,721 (MSA – 2 million)

Fort Riley

12,500

Sprint/Nextel

12,500

Kansas City, KS: 145,786 (MSA – 2 million)

Cessna Aircraft

9,000

Hawker Beechcraft

6,700

Black & Veatch

3,800

ExamOne Worldwide

3,000

Median house or condo value (2009)

Boeing

3,000

Koch Industries

3,000

Topeka: $95,400

Tyson Fresh Meats (Holcomb)

3,000

Kansas City: $96,700

Farmers Insurance

2,900

Wichita: $115,800

General Motors (Fairfax)

2,850

Embarq

2,800

Cargill Meat Solutions

2,700

Tyson Fresh Meats (Emporia)

2,700

United Parcel Service

2,650

Bombardier Aerospace

2,500

National Beef Packing (Dodge City)

2,500

National Beef Packing (Liberal)

2,500

YRC Worldwide

2,400

Garmin International

2,370

BNSF Railway

2,300

Premier Blue

2,050

Topeka: 127,473 (MSA – 233,870)

Housing Market

Overland Park: $226,900 Kansas: $125,500

COST OF DOING BUSINESS INDEX Kansas: 94 California: 117 Illinois: 99 Missouri: 92 Oklahoma: 90 New York: 111 U.S. average: 100

122 K a n s a s


Transportation

Location & Transportation Center of the United States

Commercial Service Airports Dodge City Regional Airport www.dodgecity.org/ index.aspx?nid=60 Forbes Field (Topeka) www.mtaa-topeka.org Garden City Regional Airport www.fly2gck.com Hays Regional Airport www.haysusa.com/ html/airport.html Liberal Mid-America Regional Airport www.cityofliberal.com/ c_airport.htm Manhattan Regional Airport www.flymhk.com Salina Municipal Airport salinaairport.com Wichita Mid-Continent Airport www.flywichita.org

US Hwys. 183, 50 & 56 intersect here BNSF Rail, Airport

Incentives Enhanced enterprise zone Neighborhood revitalization Community highly motivated to recruit new business

We’re in the middle of eVerything. A Great Place to Live Small-town living 30 miles from entertainment hub of Southwest Kansas Low crime rate Great schools Stand-alone medical community Low-cost property Midwest work ethic Thriving agriculture, manufacturing and retail

•y• Edwards County Economic Development 108 E. 6th St. • Kinsley, KS 67547 Toll-free: (877) 464-3929 E-mail: ecedc@sbcglobal.net Visit us online at: www.edwardscounty.org

AIR CARRIERS IN KANSAS Air Canada AirTran Allegiant American Continental Delta Delta/Atlantic Southeast Frontier Great Lakes Midwest Sea Port Southwest United United Express/Sky West US Airways

k a n s a s e co n o m ic d e v e l op m e n t . co m

123


Highways Interstate 70 provides east-west access to major markets on both coasts. Interstate 35 runs north and northeast to the Kansas/ Missouri border. I-35 connects with I-135 in Wichita and runs south to north connecting Oklahoma with Nebraska. I-29, heads north from Kansas City, and I-44 offers east-west, four-lane access close to communities in southeast Kansas. There are 65 intrastate contract carriers, more than 2,400 intrastate common carriers, 1,600 Kansas-based and nearly 2,900 interstate exempt carriers licensed in Kansas. Railroad (Class I)

Norfolk Southern www.nscorp.com Union Pacific www.up.com

In-Transit Rail Shipping Times to Major Cities Atlanta: 5 days Boston: 6 days Chicago: 2 days Cleveland: 5 days Dallas: 3 days Denver: 2 days Detroit: 5 days Kansas City: 1 day Los Angeles: 5 days Memphis: 3 days New York: 7 days Omaha: 2 days

Water Access 122 miles of the Missouri River along the northeast corner of the state. Kansas ports are at Atchison, Leavenworth and Kansas City. The shipping season generally lasts between eight and nine months.

income Median hourly wages for manufacturing, distribution and service occupations Engineering managers: $50.74 Computer & information systems managers: $45.26 Industrial production managers: $34.53 Computer programmers: $32.47

Burlington Northern Santa Fe Corporation www.bnsf.com

Oklahoma City: 2 days

Kansas City Southern www.kcsouthern.com

St. Louis: 2 days

Aircraft mechanics & service technicians: $25.33

Seattle: 5 days

Tool & die makers: $23.95

124 K a n s a s

Philadelphia: 6 days Phoenix: 3 days

Computer systems analysts: $31.72


First-line supervisors/managers of production & operating workers: $23.23 Avionics Technicians: $23.07 Numerical tool & process control programmers: $22.72 First-line supervisors/managers of helpers, laborers & material movers, hand: $20.02 Assemblers & fabricators, all other: $19.95 Industrial machinery mechanics: $18.50 Truck drivers, heavy & tractortrailer: $17.15 Welding, soldering & brazing machine setters, operators & tenders: $16.25 Computer-controlled machine tool operators, metal & plastic: $15.90 Machinists: $15.89

Kansas Bioscience Authority www.kansasbioauthority.org

City of Chanute www.chanute.org

Kansas Department of Commerce www.thinkbigks.com

City of Derby www.derbyweb.com

Kansas Gas Service www.kansasgasservice.com

City of Iola www.iolaks.com

Kansas State University www.ksu.edu

City of Kinsley www.edwardscounty.org

Lawrence Chamber of Commerce www.lawrencechamber.com

City of Liberal www.chooseliberal.com

Leavenworth County Development Corporation www.lvcountyed.org

City of Osborne www.discoverosborne.com City of Parsons www.growparsons.com

El Dorado Inc. www.360eldorado.com Emporia Regional Development Association www.emporiarda.org

4.7% 3.6% 21.4%

Emporia State University www.emporia.edu

6.2%

Fort Hays State University www.fhsu.edu

12.4% 18.2% 12.5% 15.6% Services: 21.4% Government: 18.2% Wholesale & retail trade: 15.6%Â Manufacturing: 12.5% All Other: 12.4% Mining: 6.2% Finance, insurance and real estate: 5.4% Construction: 4.7% Transportation & utilities: 3.6% Sources: www.city-data.com thinkbigks.com Kansas Data Book 2011 Kansas Department of Commerce quickfacts.census.gov

City of Andover www.andoverks.com

City of Pratt www.prattkansas.org

Major industry sectors (2009)

5.4%

visit our

advertisers

Great Bend Chamber of Commerce & Economic Development www.greatbend.org Greater Topeka Chamber of Commerce/Go Topeka www.gotopeka.com Greater Wichita Economic Development Coalition www.gwedc.org Harvey County Economic Development Council Inc. www.harveycoedc.org Hiawatha Foundation for Economic Development www.cityofhiawatha.org Hutchinson/Reno County Chamber of Commerce www.hutchchamber.com

Manhattan Area Chamber of Commerce www.pickmanhattan.org Montgomery County Action Council www.actioncouncil.com Olathe Chamber of Commerce www.olathe.org Osborne Industries Inc. www.osborne-ind.com Ottawa Area Chamber of Commerce www.thinkottawa.org Overland Park Economic Development Council www.opedc.org Phillips County Economic Development www.discoverpced.com Pottawatomie County Economic Development Corporation www.ecodevo.com Rice County Economic Development www.ricecounty.us Russell County Economic Development & Convention & Visitors Bureau www.russellcoks.org Shawnee Economic Development Council www.goodstartshere.com The University of Kansas www.rgs.ku.edu

Iola Industries www.iolaindustries.com

WKREDA www.discoverwesternkansas.com

Kansas Association of Community College Trustees www.kacct.org

Wyandotte Economic Development Council www.wyedc.org

k a n s a s e co n o m ic d e v e l op m e n t . co m

125


An entrepreneurial-driven county on Hwy. 183, halfway between I-70 in Kansas and I-80 in Nebraska; highly dedicated and educated workforce; multiple, rural bedroom communities with great living environments; short and scenic commutes for workforce; designated as an e-community in 2010; special article presented in Entrepreneur magazine – Feb. 2011 for the county’s development incentive programs and its businesses proactive approaches for growth. A destination for business start-ups. BUSINESS & INDUSTRY Home of the many niche businesses and generational businesses. Phillips County offers Kansas and central United States, the only fiber mill, The Shepherd’s Mill. Manufacturing employers in our area include: TAMKO Building Products, Goddard Manufacturing, Odor-Z-Way, Mineral Right Inc., Prairie Horizon Agri-Energy. LOCAL INCENTIVES ★ Fiber optics to locations in county ★ Entrepreneurial business enhancement program – “Local Grant Assistance” ★ Entrepreneurial training center; business incubation facility workforce training lab ★ E-Community RLF; “enhanced” enterprise zone; Phillips Co. revolving loan fund ENTERTAINMENT Dane G. Hansen Museum & Foundation; Huck Boyd Center; longest continuous operation entertainment venue in the state of Kansas; Majestic Theatre; Kansas’ biggest rodeo; the Kirwin Wildlife Federal Reserve. TRANSPORTATION US Hwy. 183 & 36 intersect at county seat in Phillipsburg; Kyle Railroad; Municipal Airport; 60 miles to regional airport. FOR MORE INFORMATION: Jeff Hofaker – Executive Director Phillips County Economic Development pced@ruraltel.net www.DiscoverPCED.com

126 K a n s a s


Through the Lens

Get the Story Behind the Photo Now that you’ve experienced Kansas through our photos, see it through the eyes of our photographers. Visit kansaseconomicdevelopment.com to view our exclusive photographers’ blog documenting what all went in to capturing those perfect moments. From Our Photo Blog: Kansas Hutchinson, Kan., is the most unlikely place to find a museum dedicated solely to space exploration. Though Kansas is the home state of three astronauts – Joe Engle, Ron Evans and Steve Hawley – it’s never been a launchpad of space exploration. Not even close. It’s 651 miles from Johnson Space Center in Houston, Texas, and 1,446 miles from Kennedy Space Center on Merritt Island, Fla. But, Hutchinson is where you will find the Kansas Cosmosphere and Space Center. The museum boasts the largest collection of U.S. space artifacts outside the Smithsonian’s National Air and Space Museum, and the largest collection of Russian Space artifacts outside of Moscow.

Posted by todd bennett

More Online

See more favorite photos and read the stories behind the shots at kansaseconomicdevelopment.com.

Boot Hill Museum’s Long Branch Saloon

Putting the Squeeze on the Grapes in Kansas k a n s a s e co n o m ic d e v e l op m e n t . co m

127



Ad Index

114 City of Andover

128 City of Chanute

31 City of Derby

16 City of Iola

123 City of Kinsley

84 City of Liberal

63 City of Parsons

78 City of Pratt

15 El Dorado Inc.

8 Emporia Regional Development Association

121 Great Bend Chamber of Commerce & Economic Development

C2 Greater Topeka Chamber of Commerce/Go Topeka

2 Greater Wichita Economic Development Coalition

6 Harvey County Economic Development Council Inc.

126 Hiawatha Foundation for Economic Development

48 Hutchinson/Reno County Chamber of Commerce

17 Kansas Association of Community College Trustees

106 Emporia State University 102 Fort Hays State University

98 Kansas Bioscience Authority


Ad Index (cont.) 28, C4 Kansas Department of Commerce

123 Kansas Gas Service 4 Kansas State University 1 Lawrence Chamber of Commerce 124 Leavenworth County Development Corporation

12, 13 Manhattan Area Chamber of Commerce

C3 Montgomery County Action Council

18 Olathe Chamber of Commerce

74 Osborne Industries Inc.

90 Ottawa Area Chamber of Commerce

126 Overland Park Economic Development Council

126 Phillips County Economic Development

22 Pottawatomie County Economic Development Corporation

71 Rice County Economic Development

57 Russell County Economic Development & Convention & Visitors Bureau

10 Shawnee Economic Development Council

107 The University of Kansas 112 WKREDA 14 Wyandotte Economic Development Council






Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.