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Construction jobs increase is nice. But are jobs going to Wyandotte County residents?
In a wild news week, two interesting economic statistics were released about Wyandotte County that on the surface conflict each other.
Literally within minutes of each other, the two following studies and statistics were released to me and other media outlets:
- The unemployment rate in Wyandotte County increased from 10.0 percent to 10.4 percent, indicating some job losses are at least an increase in residents enrolling in unemployment rates.
- A study from the Associated General Contractors of American indicated that Kansas City, Kan., was the number three city when it comes to job growth in the area of construction jobs. Around 1,700 construction jobs were added from 2009.
How's this possible? There were no mass layoffs in General Motors, the Unified Government, Kansas City, Kan., Public Schools or any of the larger employers in the city.
Here's a tough possibility to swallow: Are the jobs going to those outside of KCK/Wyandotte County, similar to what occurs at General Motors?
I know most of those in charge of the developments are working to get local businesses involved, particularly the new central office development for the KCK Public Schools District.
Those two numbers above don't make much sense.
But the above scenario might be the answer.
That doesn't diminish what's going on construction wise, but it takes away just a slight shine off of it.
You certainly can't mandate an employer to hire certain amount of local residents or force them to hire only local residents – that's wrong and is not a good way to generate business in your county.
However, these numbers are an indication that there's still a lot to accomplish in Wyandotte County when it comes to the economy and when it comes to spreading the success around the county a little bit more.
Better economic news: KCK among highest areas of construction job gains
The Associated General Contractors of America has ranked Kansas City, Kan., No. 3 in the nation in terms of added construction jobs.
KCK earned the ranking for adding 1,700 jobs – a nine percent gain from 2009.
The city has around 21,000 jobs in the construction area.
Construction of the Kansas City Wizards' new stadium and the new casino at Kansas Speedway are credited with the boost.
KCK was just one of 30 "metro areas" to see the boost in construction jobs.
Overall nationwide, construction dropped in 276 out of 337 metro areas.
“There is no doubt that we have seen an increase in stimulus activity this summer,” said Ken Simonson, the association’s chief economist. “Unfortunately, that increase in stimulus activity is largely being overshadowed by continuing declines in overall demand for construction that are likely to persist well into next year.”
KCK was actually second in the number of new jobs added, but third in the percent gained from last year.
The only metro area that added more construction jobs as Calvert-Charles-Prince George's Counties in Maryland.
Wyandotte County unemployment rate increases in July
According to the U.S. Bureau of Labor Statistics, an increasing amount of Wyandotte County residents are without work.
The Wyandotte County unemployment rate for July was 10.4 percent, according to the study. The rate increased .4 of a point from 10.0 in June and has increased from the low rate of 8.9 percent in April of this year.
Numbers wise, 7,489 Wyandotte Countians are listed without work, down from 8,003 at the time last year. On the downside, the number of unemployed has jumped up by 1,200 residents since April.
Of the past 12 months, seven have featured double-digit unemployed rates, peaking in July 2009 with a 10.8 rate.
Wyandotte County has the highest rate among the counties in all of Kansas.
Magazine ranks Kansas third in Southern development
A publication entitled "Southern Business & Development" has ranked Kansas third out of 17 "Southern" states when it comes to economic development.
One of the reasons why Kansas ranked so highly: development in Kansas City, Kan. Among the top deals listed in the publication is the General Motors' Fairfax plant in KCK.
"Kansas City, Kan. had a remarkable year with several huge deals that lifted Kansas up to its best SB&D 100 year yet," a quote from the piece reads.
The ranking's nice, but I have just one question. When did Kansas become a Southern state?
I must have slept in geography class at Stony Point North a little too much.
Making it in harsh economic times...
Are you concerned about the very real prospect that you will be asked to endure another year without increased compensation for your services to your current employer?
- NO Large Investment
- NO Carrying Inventory
- NO Taking Orders
- NO Making Deliveries
- NO Billing and Collection
- NO Pressuring Customers to Purchase
- NO Repeat Sales Presentations
- NO RISK Simply Switch Stores and Save (No New Money Required and Reduce Your Monthly Budget)
- Bill Burke
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U.S. Bureau of Labor: Local unemployment at five-month low
There's more evidence today that the national economy is improving at least a little bit.
According to statistics released this morning by the U.S. Bureau of Labor Statistics, unemployment in Wyandotte County is at a five-month low and is lower from this point last year.
For April 2010, the unemployment rate in Wyandotte County was 8.9 percent, down from 10.5 percent in March and a two-year high of 10.6 percent in January.
The April unemployment figure is the lowest percentage from Wyandotte County since November 2009, when unemployment was 8.3 percent.
According to the report, seasonal job opportunities provided a boost in the numbers.
Still, at this point last year, unemployment in the county was 9.5 percent, offering some evidence (and hope) that an economic rebound is closer.
- Nick Sloan
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Today's Poll: Do you feel the economy has improved the past three months?
- Nick Sloan
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Edwardsville business to receive $5 million in state funds
Earp Meat Company of Edwardsville, Kan., will receive $5 million in allocated funding from the Kansas Department of Commerce.
The funds were received from the American Recovery and Reinvestment Act. Areas were targeted based on recovery needs and the economic situation.
Earp is one of four businesses to receive funding.
Over $99 million worth of requests were made to the state; only $30.6 million were rewarded in the competitive process.
UPDATE: More on the funds, from a press release:
Recovery Zone Facility Bonds and Recovery Zone Economic Development Bonds are two new types of bonds created by the American Recovery and Reinvestment Act to help economically distressed areas. Recovery Zone Facility Bonds are much like Private Activity Bonds and can be used for privately owned or used projects. These bonds are federally tax exempt, which can provide the issuer with a lower cost of capital. Recovery Zone Economic Development Bonds, which are used for public infrastructure, are fully taxable to the bond holders, but the U.S. Treasury will pay to the issuer (cities, counties) an amount equal to 45 percent of each interest payment.
The Kansas Department of Commerce reviewed applications for these two categories of bonds through a competitive process. The Recovery Zone Facility Bond process was exceptionally competitive, with the Department of Commerce receiving $99 million in requests for $30.617 million in available authority.
Organizations that have been issued bond authority through the first round of this reallocation process must confirm their intent to issue bonds with the Department of Commerce’s Bond Allocation Administrator by February 17, 2010. Allocations that are not confirmed by this date will be surrendered and redistributed among other applicants. The bond authority allocated to a project may be combined with other funding sources. This bond allocation expires if the bonds are not issued by May 31, 2010.
Census jobs still available
Having to fill 1,400 slots in Wyandotte County, the federal government is still seeking employees for the 2010 Census.
Temporary, part-time jobs are still available. Those who are bilingual are especially sought.
"This is the largest civilian mobilization of workers in the history of the United States" said Dennis Johnson, Regional Director.
For more information, you can visit the Unified Government's Web site at www.wycokck.org or visit the official site of the Census, located at www.2010census.gov.
By phone, you can contact the Wyandotte County Census Bureau office at (913) 233-8400.
- Nick Sloan
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Today's Poll: Should KCK Public Schools outsource custodial, security, transportation and nutritional job positions?
Note: We had this poll question last fall when the issue of outsourcing in public school districts began to become a hot topic locally.
With the issue heating back up after yesterday's Kansas City, Kan., Board of Education budget retreat, it would be interesting to ask it again.
Also, feel free to comment if have some to share.
Discussion on KCKPS outsourcing continues, but no bid calls yet
As expected, the Kansas City, Kan., Board of Education picked up its discussion on outsourcing positions in security, custodian, transportation nutritional services today during a budget workshop.
However, the board rejected a motion that would call for bids in these areas...for now.
Kansas City, Kan., Public Schools Executive Director of Operations and Quality Control Kelli Mather outlined some possibilities in terms of cost savings and the costs of outsourcing these positions.
"This topic brings about emotion and anxiety," Mather said to board members. "It's critical information you need to make informed decisions."
Since exact cost savings are unknown, Mather went on research. The district could save an estimated five to 10 percent of its operation costs. Overall, the district spends 12.2 percent of its expenses on maintenance and operation costs.
Mather also cautioned board members regarding contracts with larger companies that would fill the positions.
"There are some disadvantages and potential for higher costs," she said. "If contracts are not clearfully or clearly written, you could look at being lowballed and the board should be very cautious at that."
The district would look at these cost savings: Between $3-4 million in cleaning services, just over $741,000 in security cost savings and hundreds of thousands more in transportation and nutritional services.
Current employees would likely have the option of taking reduced salaries and benefits if the district goes the route.
But there are other costs associated with outsourcing, mostly those on the community.
Over 75 percent of the employees in security, transportation, nutritional and custodial departments work and live in Wyandotte County.
And if a lively discussion between board members is any preview, a battle to approve outsourcing could be divided.
Board member Richard Kaminski suggested some board members were taking the issue "personally."
"We're here to save money for the district," he said. "Would you rather lay off teachers?"
Board member Brenda Jones responded.
"These are people in our community," she said. "That's why I'm taking it personally. It impacts our community regardless of the cost savings."
Board members wanted more information and more discussion before sending out bids for these areas. However, the issue will continue to be discussed and a call for bids in at least some areas will likely be made eventually.
No final decision was made Tuesday.
- Nick Sloan
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Wyandotte County, KCK unemployment rates above 10 percent again
After dipping back down into single figures in November, the unemployment rate in both Wyandotte County and Kansas City, Kan., has increased to over 10 percent.
In Wyandotte County overall, unemployment rate jumped from 8.7 percent in November to 10.3 percent in December 2009. In 2008, the number was 8.8 percent.
In KCK, the jump in unemployment was similar.
The December 2009 figure came in at 10.7 percent, up from 9.0 percent last month. At this point last year, the number was 9.1 percent. Both numbers are the highest in the State of Kansas. The overall unemployment rate in the state is 6.3 percent.
"We continue to experience a weak labor market in Kansas as evidenced by significant over-the-year job losses," said Tyler Tenbrink, with the Kansas Department of Labor "Industries where we expect to see job losses this time of year experienced more significant losses than are typical, and industries where we normally see job gains experienced smaller gains than normal."
Across the state, 60,000 jobs were lost in 2009.
Public learns more about Rainbow Blvd TIF, area business owners voice concerns

In a continuation of a public hearing for a TIF development that stretches from 39th and Rainbow to 40th and Adams in Rosedale, more information was released about the project.
But concerns from business owners already in the area remain, which were voiced at Thursday night's Unified Government Board of Commissioners meeting. The entire project is $35 million and includes an 89-room hotel, over 60 "Class A" departments and 30,000 of mixed retail and businesses.
Chase Simmons of Polsinelli Law Firm spoke out in representation of Rainbow Redevelopment Partners, the group responsible for the development of the TIF project.
"It's very consistent with the Rosedale Master Plan," he said. "You see buildings and structures very much like these in Rosedale."
In order to establish a TIF district, nine criteria must be met in the area. Two independent studies established that nine criteria exist, Simmons said.
While the majority of Thursday night's attendants strongly support the TIF project, a few tenants within the district have questions about it.
Shawn Nelson of Jaywalkers Sports Bar & Grill – which is located inside the TIF boundaries – said the lack of action has left his business and the bar's 15 employees in limbo.
"We are still a business," he said. "A valuable business. We're still trying to do good things in the community."
Since opening about three years ago, Jaywalkers has generated $130,000 in sales tax. Nelson said 15 employees at the business are unsure if they'll have jobs soon.
"We don't feel like we're part of the process," he said.
Carl Scruggs, who's also a tenant in the area, voiced similar concerns.
"I was not aware of the project," he said. "I'm not quite sure what the next step is for my business."
Interestingly, both said the TIF project would be good for the Rosedale area.
Simmons said the development's partners will work with the area owners. But....
"We can't make everyone feel great right now and say we can buy them out."
As for the project, it's scheduled completion date would be Fall 2011 if everything is approved. Other representatives for the project said Mariott is close to an agreement on becoming the hotel brand associated with the TIF project.
At Thursday's meeting, nothing was approved as it was just a public hearing.
PHOTO: Shawn Nelson of Jaywalkers addresses the Unified Government's Board of Commissioners at Thursday night's meeting. The UG held a public hearing about a TIF development project on 39th and Rainbow.
- Nick Sloan
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Additional statements on Wizards/Cerner deal
The deal between the State of Kansas, Unified Government and Kansas City Wizards is reverberating across the political, local and sports world.
Here are a collection of statements from various parties.
Kansas Governor Mark Parkinson:
“I applaud the work of Mayor Reardon, the Wyandotte County Commissioners, Secretary Thornton and the entire team at the Department of Commerce for bringing thousands of jobs to Kansas and helping our state get back on track. The proposal we offered was responsible and did not overreach; as a result, we were successful.”
Major League Soccer Commissioner Don Garber:
“We applaud OnGoal and the State of Kansas for creating an innovative partnership to bring a world-class soccer stadium to Kansas City. Lamar Hunt’s vision to build true homes for the soccer community began more than 10 years ago and we will now have a minimum of 12 clubs playing in stadiums built for built for MLS teams by 2011. This new stadium will provide the appropriate environment for our fans to enjoy the beautiful game and give young players the opportunity to dream about playing on that field for the Wizards someday.”
Unified Government/Wyandotte County Administrator Dennis Hays:
“It will not only bring jobs, but new housing and families to our community,” explained Wyandotte County Administrator Dennis Hays. “This will truly make Wyandotte County a growing and vital county in the Kansas City metro and a true destination for the entire Midwest.”
It's official: Major League Soccer, Cerner find home in KCK

The Unified Government Board of Commissioners unanimously approved of multiple motions tonight that will officially allow for construction on the new Kansas City Wizards' stadium and new Cerner facility to begin.
In a process that began in September, Kansas City, Kan., will now be home to a Major League Soccer team permanently and an office complex expected to bring thousands of jobs.
For Cerner, a 600,000 square feet office complex will be built, which will generate about 4,000 jobs in job creation within four years. For the Wizards, a brand new soccer-only 18,000-seat stadium.
For Wyandotte County, the biggest benefit will be jobs.
"The (Cerner office) is part of the journey of Wyandotte County," said Joe Reardon, Unified Government Mayor/CEO. "When you look at the economy in Wyandotte County, so much of it is still tied to industry. These will be job opportunities for the near term and the long-term."
Along with the jobs created by Cerner, over 1,000 construction jobs will be created during the project's construction.
Financially, the plan will be boosted by $147 million in STAR bond proceeds generated by sales tax revenues. No property tax dollars will be used to finance it.
A $30 million investment from private donors and investors will finance a 18-field facility at Wyandotte County Park. The fields are expected to draw over 2 million to Wyandotte County.
Three recreational soccer fields will also be built across Wyandotte County. They will be spread out over the county's geography.
"The development of these fields will allow us to bring development in the sport of soccer in Kansas City," said Robb Heineman, OnGoal CEO. (OnGoal owns the Wizards.) "I think the two million number is too low. There's no reason to think this won't be a first class complex."
Heineman believes league tournaments not just from Kansas City – but across the United States and throughout Europe – will select KCK as a host city.
Cliff Illig, vice chairman and co-founder of Cerner, said Cerner's expansion across the state-line is exciting.
"We see Kansas City as a community without a state line," he said. "We've grown our business and we're just excited to serve as part of this joint vision."
The soccer stadium, located across the street from Nebraska Furniture Mart, will be completed by the opening of the 2012 season. The recreation fields will be available for use in 2011.
- Nick Sloan
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Regional Headlines
- KCKCC "Fringe Benefits of Education" helps local youth
from Channel 41 NBC Action News - RED Development moves to acquire West Edge project
from Kansas City Business Journal - Concerts announced
from The Pitch - Citizens sue "elitist" Supreme Court Nominating Commission
from Paul Soutar, Kansas Watchdog.org - Tiblow Days Schedule
from Bonner Springs Chieftain


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