Kansas Governor Kathleen Sebelius has proposed many of the functions of KTEC, a program spanning more than two decades as a quasi-public agency developing Kansas' technology-based economic development efforts, would be cut substantially and absorbed by the state Department of Commerce (DOC). In addition, the proposal advanced by Gov. Sebelius eliminates or cuts funding in most other tech-based economic development initiatives funded by the state. Gov. Sebelius unveiled last week her FY10 budget recommendations and revised budget for FY09 based on the most recent revenue estimates that report a gap of more than $900 million. Citing a goal of reducing overhead expenses, the governor recommends eliminating KTEC and Kansas, Inc. as separate agencies and moving select KTEC business development programs to DOC.

For FY10, the governor recommends $25.9 million for the DOC from the Economic Development Initiatives Fund (EDIF), which includes $7.5 million for KTEC programs. This is a reduction of $4.5 million approved for KTEC in FY09. No funding (a reduction of $415,363 approved last year) is included for Kansas, Inc., which conducts economic development policy research and strategic planning for the state.

Texas Governor Rick Perry, in his State of the State Address, said, "Now, I'm a big believer in conservative fiscal approaches... but that doesn't mean it's time to play defense. Texas is strong because we aggressively play offense.
In tough times, others see threats; Texans see opportunity.
For example, the nationwide struggles are creating a buyer's market for economic development, so let's be bold and win even more jobs for Texans.  When other states are raising taxes, their businesses will be looking elsewhere for tax relief. Let's make sure they find it in Texas.  When other states are driving companies away with suffocating layers of regulation, let's welcome them with fewer obstacles.
When other states are bonding additional debt for daily operations, let's invest wisely to create even more jobs and opportunity.  We should start by replenishing the Emerging Technology Fund, our Film Incentives and the Enterprise Fund, to keep drawing ideas, investment and jobs to Texas.
Together, we've invested $377 million with the Enterprise Fund since 2003, creating nearly 54,000 jobs for Texans while drawing $14 billion in direct capital investment to our state.
These jobs have gone to both urban and rural areas, from the Metroplex to the border, from the Piney Woods of East Texas to El Paso, providing for families and strengthening communities.
As we work to enhance our economy, we also need to take a close look at the reformed business tax we implemented a few years ago.  With one collection cycle under our belts and plenty of feedback from both the Comptroller and business owners, we know enough now to improve it. The question is how.  I would support raising the small business exemption to $1 million, and I'm looking forward to hearing from folks like the House's Jim Keffer and John Otto as well as Chairman Ogden about the best way to protect small businesses.
Our guiding priority must be shrinking, not expanding, the burden on the small businesses that are the backbone of our economy. Let's free up our entrepreneurs to keep doing what they do best, creating wealth, drawing investment and generating the jobs needed by our growing population, one the Census Bureau tells us is averaging 1,000 new Texans per day.

These are interesting comments from states neighboring Colorado. Every day we compete with these other states for primary employers and the well-paying jobs and economic prosperity they bring to a state.

Please contact us if you have any questions or would like to attend - either Danny at dtomlinson@msn.com or Michelle at malcott21@comcast.net