Kansas, Missouri battle over companies

[KCPowercat]

65 architecture jobs from the plaza to leawood and the firm get $4M in tax incentives from Kansas. Seriously people, this is getting insane.

Economy.kansascity.com/q=node/7883

[KCMax]

So the state is subsidizing $61,000 per job. Nice "limited government" stance Kansas.

[KCPowercat]

Key Bank taking 300 jobs to the Sprint Campus...this is a fucking joke.

http://kansascity.bizjournals.com/kansa ... ily10.html

[KCPowercat]

Re: OP snatches another longtime KCMO company with incentives, but KCMO gets a Qmo state corp income tax is higher when in fact its 1% lower (well actually even with kcmo 1%).....so I assume the millions they save in tax is an state of ks incentive?  Collison should make that point more clear.

Is the edc doing anything?

[loftguy]

Re: OP snatches another longtime KCMO company with incentives, but KCMO gets a Qmo state corp income tax is higher when in fact its 1% lower (well actually even with kcmo 1%).....so I assume the millions they save in tax is an state of ks incentive?  Collison should make that point more clear.

Is the edc doing anything?

Read the article.  EDC worked this one hard.  They simply don't have anything in their arsenal to compete with the Ks incentives.

It's going to get worse, too, with the cuts that are indicated in Jeff City and the growing conservative voice in Mo politics.

I'm pretty pissed at the Key Bank team, some of whom I know, but I guess I'm really pissed that Ks hasn't offered me a mil or so to make a move to the Sprintitentiary.

[grovester]

I hate to say it, but somebody needs to alert the KS teaparty and make them aware of these corporate/government bailouts!  Seriously.

[KCPowercat]

Well the article could say I worked on it too. My question is actual production. As much as I hate raiding another state and want to get jobs outside of the metro, use the same tactics. I'm sure the state of mo has plenty of incentives for "new jobs" 

I still think the corporate tax reporting is misleading and needs further explanation as to how that was realized by key.

[KCPowercat]

OP now looking to grab hold of the NIAC currently in crown center. Fairly large tenant.

This is simply amazing. The state of ks backs a huge sprint campus which never meets projections and can now offer insanely low lease rates now also uses state incentives on top of that to lure 'new' jobs.

If op is such a great place why aren't they targeting out of the region companies to come there and why can't they lure anybody without ridiculously undetcutting the market rate?

This is sickening no matter which direction these exchanges go.

[macnw]

One might look at the fact that these companies don't care what address they carry. OP is still considered to be KCMO. The companies are looking at their bottom line(money).

[KCPowercat]

While I want companies to be civic leaders and all, its not realistic for moat businesses. Can't necessarily blame them for taking a great deal. Problem I have is they don't look at longer term issue such as transportation alternatives and employee retention and recruitment.

My other beef is opks and others beating their chest about them being so attractive. Don't get it twisted, you are attractive for huge incentives and cheap leases.

[KCMax]

In fairness, the Sprint Campus is just one of three sites NAIC is looking at. The other two are downtown - Town Pavilion and Two Pershing Square. And that's if they decide not to renew at Crown Center - which they haven't made a decision on yet.

[Highlander]

In fairness, the Sprint Campus is just one of three sites NAIC is looking at. The other two are downtown - Town Pavilion and Two Pershing Square. And that's if they decide not to renew at Crown Center - which they haven't made a decision on yet.

My concern is that nearly every time Kansas into the picture as a relocation option, it seems to win out.  How many jobs here?

[KCMax]

Collison: In KC metro area, company courting between Missouri, Kansas is a touchy issue

First, when it concerns incentives, there's no question the state and city that are courting a company to cross the border have a big advantage over the state and city striving to retain those jobs.

Missouri and Kansas are among the nation's best at the incentives game, according to a recent study by Pollina Corporate Real Estate. Kansas ranked seventh and Missouri 10th in its list of the Top 10 Pro-Business States for 2010.

"Both states are very competitive, it's not like it's a mismatch situation," said Brent Pollina, the author of the study.

That's interesting. Its not that Kansas can offer more incentives than Missouri, its that both states offer more incentives to new businesses than existing businesses. And Missouri has more businesses to lure to Kansas, than Kansas has businesses to lure to Missouri.

[droopy]

That's interesting. Its not that Kansas can offer more incentives than Missouri, its that both states offer more incentives to new businesses than existing businesses. And Missouri has more businesses to lure to Kansas, than Kansas has businesses to lure to Missouri.

Great, so OP can have a couple decades of stealing business and making MO a ghosttown again.  Then MO can take a turn and steal them all back and make OP a ghosttown.  Good healthy stuff.  &&& 

It's good business for a corporation to try to get as many incentives as possible.  I don't blame a business for jumping at a financial opportunity.  I do wonder how the governments fix what is a broken system, to me anyway.  I don't want them to eliminate incentives because it is good for business development, but I'd think that they would have a more cooperative regional approach.  I'm thinking in lines of an "in-state reciprocal tuition" sort of thing.  If KS has a facility or something that MO can't match/provide (or vice versa), then the corporation can get an incentive, otherwise you don't qualify for the price break.

[KCPowercat]

Problem is there will always been one state 'winning' at one point in time.....so getting agreement on changing laws will never occur. When it swings the other way the previous stealing state will begin whining.

[mean]

All the while, these companies get cheap or free rent, pay minimal taxes, etc., and shift the burden of supporting local infrastructure and stuff onto the middle class! Woo! What a deal!

[KCPowercat]

Yeah its awesome.

Any possibility of a solution? 

[Highlander]

Kansas suburbs court KC businesses at their own peril.  Unfortunately, the authorities there are too backwards to realize that suburbs will never prosper without a strong urban core.  

[loftguy]

Yeah its awesome.

Any possibility of a solution? 

Where is Quantrill, when you really need him?

[Highlander]

Yeah its awesome.

Any possibility of a solution?  

Well, one solution is a strong, forward-thinking, charismatic mayor that can project his vision for the metro to the leaders of suburban communities to instill a sense of mutually beneficial cooperation to achieve a greater goal instead of sniping of each other business infrastructure that does nobody any good in the long term.  Unfortunately, that mayor is the exact opposite of the sitting mayor in KC.