Kansas signs off on multi-billion economic development bill

A 32-7 vote in the Senate has granted approval for the Kansas Department of Commerce to offer $1 billion in incentives to help attract a $4 billion project to the state, which remains undisclosed at this time. The bill could bring over 4,000 jobs, and is now waiting on a vote from the House.

The economic development bill, Senate Bill 347, would enact the Attracting Powerful Economic Expansion Act (APEX), which could add a significant boost to the Kansas economy if it is passed by the House and signed off by Gov. Laura Kelly.

If APEX is passed into law, it could mean that a $4 billion company, which remains secret for legal reasons, could come to Kansas. Many in the Kansas Legislature believe that it’s important to move quickly before the mysterious company moves to a different state.

Gov. Laura Kelly’s administration is pushing the legislation, arguing that Kansas has a rare opportunity to attract a facility that the Department of Commerce claims will employ 4,000 people and create more than 16,000 jobs during construction. The department’s authority to offer the incentives expires at the end of March 2023.

Supporters of the bill, including Senate President Ty Masterson, argue that the new project would generate economic activity and tax revenues to offset the incentives and pay for the corporate income tax cut.

Masterson said the incentives are at least $1 billion, but some lawmakers suggested they could be $1.5 billion. The Department of Commerce has not offered an estimate.