By TIM CARPENTER and CRISTINA JANNEY
Kansas Reflector/Hays Post
TOPEKA — Growth in the market value of goods and services produced in Kansas from July to September was tops in the nation and expanded by 9.7 percent during that three-month period, the federal Bureau of Economic Analysis reported.
All 50 states and the District of Columbia increased real gross domestic product during the third quarter, but Kansas outpaced the rest of the country. By comparison, GDP growth in Missouri registered at 4 percent while rates in the three other neighboring states surged by 5.8 percent in Colorado, 6 percent in Oklahoma and 7.5 percent in Nebraska. Arkansas recorded the quarter’s lowest level of growth at 0.7 percent.
“This data shows that our efforts to support businesses, create a stable economy and grow our workforce are paying off,” said Gov. Laura Kelly.
Ellis County had the highest GDP percentage increase in the state for 2023, said Doug Williams, Grow Hays executive director.
Ellis County had a 5 percent growth in gross domestic product in 2023 compared to 2022. The data comes from the Wichita State University Center for Economic Development and Research.
"I believe we know things have been good in Ellis County and continue to be," Williams said. "I think if people would turn off the national news and the negative information they get there and look locally, it would be a very positive perspective."
Williams listed several economic high points including housing construction in Hays, new schools, new buildings and a handful of new businesses opening in just the last quarter.
"I think most of the local businesses are doing pretty well," Williams said.
Unemployment in Ellis County remains extremely low. In November, the jobless rate dipped to 1.3 percent.
"The biggest challenge Ellis County businesses have is workforce," Williams said. "The ability to find a workforce and retain a workforce is a challenge and has resulted in the cost of labor going up. It's not necessarily a good situation for the business owner, but it's great for the employees."
Increased wages, in some cases, have allowed employees to keep up with inflation, Williams said.
He said he thinks the Ellis County economy will continue to be strong in 2024. He said he thought 2023 will reflect record sales tax collection for the city of Hays.
The Grow Hays microfactory is set to open in February. Work will continue on the Hays USD 489 school bond projects, including the construction of a new high school. The community center for The Grove housing addition is set to start in 2024.
The Bureau of Economic Analysis reported Kansas had real GDP expansion of 7.4 percent in the second quarter from April through June. Overall, 44 states and District of Columbia were on the plus side in that quarter ranging from a positive 8.7 percent in Wyoming to a negative 1.4 percent in Vermont.
The border states to Kansas featured advances and a setback in real GDP during the second quarter. Growth in Nebraska came in at 5.9 percent while Oklahoma was at 4.5 percent and Colorado at 2.6 precent. Missouri slumped to a minus 0.1 percent.
In the first quarter of 2023, Nebraska topped the five-state region at 12.3 percent growth in real GDP from January to March. The other states: Kansas, 6 percent; Missouri, 2.6 percent; Oklahoma, 2.5 percent and Colorado, 1.9 percent. Each state and the District of Columbia grew in the first quarter and the spread nationally had North Dakota at a positive 12.4 percent and Rhode Island and Alabama at a plus 0.1 percent.
“Now, Kansas is outstripping the entire nation in economic growth and attracting business investment,” Kelly said on Wednesday. “It’s clear we have the momentum to continue this trajectory of economic success into 2024 and beyond.”
Meanwhile, Kansas recorded the third-ranked growth in personal income at 4.9 percent during the third quarter. Farming income contributed to the state’s improvement in personal income during the period.