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Brownback announces truce to economic border war

Posted at 4:36 PM, Apr 14, 2016
and last updated 2016-04-15 18:28:50-04

Governor Sam Brownback announced he is taking action to end the Kansas-Missouri “Border War” and encouraged Missouri to do the same, according to a news release from the governor’s office.

The release states Brownback has directed Commerce Secretary Antonio Suave to significantly reduce the use of incentives that have contributed to the Border War, effective on the date Missouri enacts legislation amending its Missouri Works program.

The news release states the direction to the Commerce Department will be withdrawn and nullified immediately if the Missouri General Assembly doesn't adopt "appropriate legislation" in its 2016 session to amend the Missouri Works incentive program to mirror the provisions in Brownback's proposal. The initial term of the agreement would be for one year. 

Click here to read Brownback's full direction to the Department of Commerce

“Our focus should be on creating new jobs that help our states and the region grow, not on providing opportunities for businesses that routinely cross the border to access economic incentives” Brownback said in a news release. “Kansas is, and will remain, an attractive state for business growth with our stable regulatory environment and tax policy.”

The release states the direction affects the following.  

Kansas counties:

  • Wyandotte
  • Johnson
  • Leavenworth
  • Douglas

Missouri counties:

  • Jackson
  • Clay
  • Cass
  • Platte
  • Ray

The news release states the action requires both states to refrain from active recruitment of companies from the identified counties, creates new limitations on the use of state incentives in the border counties and calls for an independent study to identify ways to also level the incentive playing field at the local level. 

A statement released by Missouri Governor Jay Nixon's office says he "he will review the latest proposal and continue to work to enhance the competitiveness of the Kansas City region as a whole."

Kansas City Mayor Sly James issued the following statement to Brownback's announcement saying he's "glad [he] decided to be more strategic in his economic development.

"Moving jobs across state lines isn’t economic development. It’s score keeping, and we can do better than that. I’m glad Gov. Brownback has decided to be more strategic in his economic development policy," James said in a statement. "A bi-state group of elected officials and staff have been working for a year and a half to find a way to truly add jobs to the region. Today we’re seeing a step in the right direction. I look forward to working with the Missouri General Assembly and Gov. Nixon to keep the conversation moving.”

 

Previous coverage: 

Missouri lawmaker wants to end Kansas, Missouri business border war 

Nixon wants to put an end to economic border war between Missouri and Kansas 

Official: Kansas, Missouri to close to ending economic war

Report: Kansas, Missouri business border war squandering taxpayer dollars