Kelly Administration Begins Design of Comprehensive Economic Development Strategy for State

TOPEKA, Kan. – Kansas Governor Laura Kelly and Secretary of Commerce David Toland announced Monday they have kicked off the development of the “Framework for Growth” – a robust strategy to accelerate economic growth in the state of Kansas.

The announcement comes after a months-long search for a professional consulting services firm to help research and analyze the Kansas economy and deliver a comprehensive economic development blueprint for the state.

“The economic challenges facing Kansas require innovative solutions and a well-coordinated approach,” Governor Kelly said. “It’s been more than 30 years since the state had a formal strategy to accelerate economic development. The creation and implementation of a new economic growth strategy, along with other initiatives such as tax reform, will help ensure Kansas remains an attractive place for individuals and businesses alike.”

In coordination with members of Kansas businesses and economic development organizations, the Commerce team will develop the first economic development strategy for the state of Kansas since the Redwood-Krider report was issued in 1986.

“Kansas’ lack of a strategy has resulted in our state lagging in some key economic indicators such as GDP growth, population growth and labor participation. Under the leadership of Governor Kelly, I’m excited to announce that we have now embarked on a necessary journey to bring Kansas back to best in class,” Secretary Toland said. “To be competitive in today’s global economy, we must identify and pursue new, nimble economic best practices. It’s past time that we develop a thoughtful, strategic plan to guide Kansas forward.”

A steering committee consisting of economic development professionals, Kansas business leaders and Commerce staff has been created to guide the team through the planning process and the development of the Framework for Growth.

“Our local and regional economic development partners and business stakeholders are critical to our success as a state, so as we put together the team who would guide this process, it was important they were represented in the steering committee,” Toland said. “We also want to ensure that all interested stakeholders have the opportunity to be involved in this process and have created an online survey to capture feedback and allow individuals to share their ideas of how to create long-term prosperity for Kansas.”

The Department of Commerce selected McKinsey and Company as its partner for this important initiative. The work over the next several months will be broken into three phases: assessment and benchmarking, recommendations and best practices, and implementation planning. Each of these phases will be underpinned by ongoing stakeholder and public engagement, and the Department of Commerce will provide progress reports upon the completion of each phase.

For more information on the Kansas Framework for Growth, visit www.kansasgrowth.com.

FEMA Grant Awarded for High Hazard Potential Dams Rehabilitation Program

$409,298 awarded for use on eligible dams in Kansas

The Kansas Water Office (KWO), with assistance from Kansas Department of Agriculture (KDA) Water Structures Program and the Division of Conservation applied for the FY 2019 Federal Emergency Management Agency (FEMA) High Hazard Potential Dam (HHPD) Rehabilitation Grant. The approval was recently announced and Kansas is being awarded $409,298 in grant funds for rehabilitation of eligible high hazard potential dams.

“Many Kansans were able to see firsthand benefits of dams helping to minimize downstream flooding this year across the state,” said Kansas Water Office Director Earl Lewis. “Utilization of resources such as this HHPD Rehabilitation Grant will help to ensure eligible projects will function properly into the future.”

The purpose of the HHPD Grant is to make funds available to eligible dams for technical, planning, design, and pre-construction assistance. Two eligible dams, McPherson County State Lake Dam and Lake Sherwood Dam, were part of this initial Kansas request to FEMA. Both were approved and there are 34 other eligible dams with the option to apply for the grant funds through KWO. In order for a dam to be considered eligible it must be a non-federal dam located in a state with a state dam safety program, classified as high hazard potential by the state dam safety agency, have an approved emergency action plan, and pose an unacceptable risk to the public.

“Overtime, some dams have been reclassified as high hazard structures and are now out of compliance,” and,” said Kansas Secretary of Agriculture Mike Beam. “With the award of the HHPD Grant funds, we will have the ability to work with eligible dam owners throughout the state to bring their high hazard classified dams into compliance. Having these dams in compliance will reduce risks to the public, decrease flood potential, and in some cases, protect critical water supplies.”

The official and final grant award notification was received by the KWO on September 19 with three years to utilize funds. The KWO will again work with the KDA Water Structures Program and the Division of Conservation to revise the grant work plan to appropriately distribute the additional funds.

For more information about the grant please contact the Kansas Water Office at 785-296-3185 or email [email protected].

Governor to honor National Fallen Firefighters Memorial Day

In accordance with Executive Order 10-12, and in recognition of the National Fallen Firefighters Memorial Day on Sunday, October 6, 2019, Governor Laura Kelly has ordered flags throughout the State of Kansas to be flown at half-staff from sunup to sundown on October 6.

“Today, let us begin Fire Prevention Week by honoring all who put their lives on the line every day to protect people, property and communities,” Governor Kelly said. “We also must remember and pay our respects to those who made the ultimate sacrifice while serving the people of Kansas.”

The honor is extended for all fallen firefighters – such as veteran firefighter John Randle, 67, who served as a first responder and EMT for the Wamego Fire Department. After returning from a structure fire on January 1, 2018, Randle fell and suffered head injuries. He was airlifted to a hospital, where he later died.

“John Randle made lasting contributions in his community, and we are grateful for his dedication and commitment to helping fellow Kansans,” the governor said.

Governor joins other states in amicus brief supporting DACA

Michigan, Nevada, Wisconsin, Montana Governor among other supporters

Governor Laura Kelly today joined other states in legal action supporting the federal Deferred Action for Childhood Arrivals (DACA) program.

Kelly joined Michigan, Nevada and Wisconsin, as well as Montana Governor Steve Bullock, in filing an amicus brief in the United States Supreme Court in support of DACA.

The friend-of-the-court brief, filed in Department of Homeland Security, et al., v. Regents of the University of California, et al., Case No. 18-587, opposes the Trump administration’s attempt to rescind DACA.

In the brief, Governor Kelly argues that rescinding DACA will cost Kansas millions of dollars in tax income and economic growth, while unfairly punishing undocumented Kansans who are contributing to the Kansas economy and enhancing the state’s culture.

“It goes without saying that we need Washington to finally fix our country’s broken immigration system. But here in Kansas, we care about the well-being of all of our children,” Kelly said. “We simply shouldn’t punish children for decisions their parents made years ago. That’s not who we are as Kansans.

“These young people have worked hard, attended our schools and continue to give back as teachers, nurses, police officers, or by serving in the military. They belong here, and we welcome their contributions in our communities and to our economy.”

In Kansas, nearly 6,000 DACA recipients generate $111 million in annual spending power and pay $12.6 million annually in state and local taxes. The Cato Institute conservatively estimates that rescinding DACA will cost the Kansas economy $1.76 billion over the next decade, while the Center for American Progress estimates that the Kansas economy would lose $335 million in annual gross domestic product (GDP).

The Supreme Court will hear arguments in the case on Nov. 12, 2019. More than 25 governors or state attorneys general are participating in the case in support of DACA

State’s September tax collections are $43.2 million ahead of estimates

TOPEKA – The state’s total tax collections for September showed the continued trend upward at $744.1 million; 6.2% or $43.2 million above the estimate. These collections are $48.2 million more than September of Fiscal Year 2019.

Retail sales tax collections are $200.5 million; $2.5 million or 1.3% more than the estimate. Those collections are $3.4 million more than the same month in Fiscal Year 2019. Compensating use tax collections are $36.9 million; $1.9 million or 5.5% more than the estimate. That’s $1.4 million more than September of Fiscal Year 2019.

Individual and corporate income tax collections are above estimates. Individual income tax collections are $375.1 million; 5.7% or $20.1 million more than estimated. Corporate income tax collections are 23.7% or $19.0 million more than $80.0 million estimate.

“This is an encouraging end to the first quarter of the fiscal year,” Secretary Mark Burghart said. “We are seeing the increase in revenue in large part due to increases in regular and estimated individual and corporate income tax collections.”

“This is a positive sign as we slowly recover from the Brownback-Colyer tax experiment. However, with economic uncertainty ahead in a possible recession, we must remain cautious and continue to show fiscal restraint,” Governor Laura Kelly said.

Department for Children and Families Awards New Family First Prevention Grants

Kansas families will now have access to strong evidence-based programs designed to prevent the need for foster care.

Governor Laura Kelly along with Department for Children and Families Secretary Laura Howard awarded 18 agencies from across the state with $13 million in Family First prevention grants.

“From day one of my administration, I’ve made it clear that the safety and well-being of children in Kansas is my top priority,” Kelly said. “I am proud that Kansas, as one of the first states in the nation to implement Family First, has partnered with community organizations to support vulnerable families.”

The Family First Prevention Services Act (FFPSA) provides new federal funding for prevention activities. The funding is available for children at imminent risk of placement in foster care as well as parents or kinship caregivers. The Act provides federal matching dollars for evidence-based services rated as “well- supported” in the areas of mental health, substance use disorder, parent skill building and kinship navigation.

DCF awarded substance use disorder grants to:

• DCCCA for Adolescent-Community Reinforcement Approach services to teens in Crawford county.
• Kansas Children’s Service League for the Parent-Child Assistance Program in Shawnee county.
• Saint Francis Ministries for Seeking Safety in Sedgwick county and five counties in the West Region.

DCF awarded mental health grants to:

• Community Solutions, Inc. for Multisystemic Therapy in selected counties for each DCF region.
• Cornerstones of Care for Functional Family Therapy in the Kansas City Region
• Horizons Mental Health Center for Parent Child Interaction Therapy in Reno county and four counties in the Wichita Region.

• TFI Family Services for Parent Child Interaction Therapy in selected counties in the East, West, and Wichita Regions
• Saint Francis Ministries for Family-Centered Therapy in the West and Wichita Regions.

DCF awarded kinship navigation services to:

• Kansas Legal Services for Kin-tech. This program will serve 400 families statewide.

DCF awarded parent skill building grants to:

• Child Advocacy and Parenting Services for family mentoring in Saline and Ottawa counties.
• FosterAdopt Connect, Inc. for fostering prevention in Johnson and Wyandotte counties.
• Great Circle for Health Families America in selected counties for the East and Kansas City regions.
• Kansas Children’s Service League for Healthy Families America in Sedgwick county and selected counties in the East.
• Kansas Parents as Teachers Association for support to Parents as Teacher’s programming across the state.
• Success by 6 Coalition of Douglas County for Healthy Families America in Douglas County in the Kansas City Region.
• University of Kansas Medical Center Research Institute, Inc. – Project Eagle for Attachment and Bio-Behavioral Catch-Up Program in selected counties in the Kansas City and West Regions.

DCF also awarded the FFPSA grant evaluation to the University of Kansas Center for Research, Inc. The agency is required to engage in an evaluation of our Family First implementation and programs. In its role as Grant Evaluator, KU’s Center for Research will work with DCF prevention grantees to evaluate program data and information regarding outcomes in communities where the new programs are implemented.

As part of the evaluation effort, KU will convene regional and statewide advisory teams around Family First Prevention Services Act implementation.

The evaluation activities in this grant award begin in October and the grant may extend up to five years.

“I am excited that we are able to partner with agencies across the state to make Family First a reality in Kansas,” Howard said. “Whether you are in Cherokee or Cheyenne county, families will have access to strong evidence-based programs all with the goal of preventing the need for a child to enter the foster care system.”

DCF received 55 proposals for Family First prevention grant services. Grant review teams represented each region, DCF administrative staff, and representatives from the Kansas Department for Aging and Disability Services, the Kansas Department of Health and Environment, and the Kansas Children’s Cabinet and Trust Fund.

Team representatives had program expertise in foster care, mental health, early childhood programming, quality assurance, substance use disorder services, and prevention services.

The grants term awarded is October 1, 2019 through June 30, 2020.

Secretary Burghart’s statement on Attorney General Derek Schmidt’s opinion of the collection of taxes from out-of-state retailers

The following statement is from Secretary Mark Burghart regarding AG Schmidt’s opinion of KDOR Notice 19-04.

“For the past 29 years, there has been overwhelming legislative support for re-establishing fairness in the obligation to collect and remit Kansas taxes between out-of-state retailers and Kansas retailers. Notice 19-04 simply informs out-of-state retailers of the law that overwhelmingly passed the Legislature in 2003 that ensures the obligation of out-of-state retailers to collect and remit the taxes that are due and owing. The Notice does not reflect a change in policy, but only restates long-established statutory provisions regarding the duty to collect and remit Kansas taxes.

Prior to the Wayfair decision, Kansas retailers were at a competitive disadvantage with out-of-state retailers. This Notice informs out-of-state retailers of the Wayfair result, which merely removed the constitutional physical presence requirement for such out-of-state retailers and thus leveled the playing field between in-state and out-of-state retailers.

Since the Wayfair decision, more than 3,200 out-of-state businesses have registered with the state to collect and pay taxes to Kansas. Almost 600 of those have registered since August 1, 2019 when the Notice was published.

The Department of Revenue cannot select which laws it enforces. Kansas statutes are presumed to be constitutional, and unless deemed otherwise by a court of competent jurisdiction, the Department is obligated to enforce the statutes enacted by the Legislature.”