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DATE DUE DATE DUE DATE DUE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6/07 p:/ClRClDateDue‘indd-p.1

Economic Study of Wyandotte County, Kansas

By Scott Ramsey

 

DEL-m :mm‘r—w

05.

.-'n:. - .- . “I”

ms.-mi

Background

 

The following report is a descriptive study of the Wyandotte
County, Kansas economy. This document examines the components of
the county's economy, and compares its recent trends to those in the
metropolitan area, other counties in Kansas, and a sample of
Midwestern urbanized counties. This study also looks at business
trends in county sub-areas as well.

In examining the wyandotte County firm and employment base as
described above, a general methodoloay'has been developed to study
the components and the relative growth patterns of any major juris-
diction‘s economy in a clear and concise way. This is the type of
report that could serve as a foundation for more detailed economic
studies, such as economic base analysis, input-output analysis, fiscal
impact analysis, or firm identification surveys.

The writing of this report required fundamental knowledge of
the Statistical Package for the Social Sciences (S.P.S.S.) computer
program and computer mapping techniques. Most of the tables and

virtually all the maps in this study are the direct result of computer

a,

use .

1.0 introduction

The contents of this report suammrize trends that have taken.p1ace
in the Wyandotte County economy in recent ’ears. Three major subject

areas are covered in the report. First, using County lrswnrss Patterns

 

 

data, the components of the county's economy are discussed, as are changes
that have taken place in the county's establis meat and employment bases
between 1974 and 1978. The second portion of this report compares recent
trends in the hyandotte County economy with those of the Kansas City
region, other counties in Kansas, and several urbanized counties throughout

the Midwest. The? e compa1isons also use 1974 and 19m oCounty Business

 

_Eatterns fi_gures. The third section of the report do: C11 :5 net changes
in business activity that have occurred within hyandotte County neichborhoods
between 1973 and 1977. This portion of the analysis uses the Hid~America

Regional Council (M.A.R.C.) employment file.

2.0 The Hyandotte County Economy: 1974 and 1978

 

According to (ouuty BEElL_§:.E_}lCqu data the Wyandotte County
economy experienced a net loss of 59 business establishments (-1.9%) between
19/4 and 1978, but also experienced a net gain of 6,662 employees (+1l.8%).
Three major factors account for these statistics. First of all, as the

local economy emerged from the 1974—75 recession, it regained much of the

'workforce that was laid off. Secondly, County Business Patterns figures

 

show that in 1978 there were 167 less firms in Wyandotte County with one to
four employees, but 79 more firms with 20 to 249 employees, than in 1974.
This suggests that the county's economic climate for small businesses 1.es
not as attractive as it was for medium and large-sized establish uents.
Finally, the county experienced a detmr ms of 92 Retail finns(—10.2%) over
this time period. This busines ss category, more than any other, contributed

to the decline in the Wyandotte County firm base between 197 4 and 197 8.

Figures 1 A~B and 2 A~B break the county's establishment and
employment bases down into several different categories, both for 1974
and 1978. These figures account for all the components of the Wyandotte
County economy SEEERE government, railroad, post office, and fawn
establishments and employment.* Also, not included are businesses
without payroll records.**

Figures 1 and 2 show (1) the various shares of county establishments
and employment held by different business categories; and (2) how these
shares have changed between 1974 and 1978. For example, Manufacturing
had 269 (8.6% of the county total) establishments and 21,103 (37.3% of
the county total) employees in 1974; in 1978 these numbers were 270
(8.8%) and 22,578 (35.7%). Hence, while Manufacturing mployment
registered a net gain, its proportion of the county's employment base
actually decreased between 1974 and 1978. Two categories, Transportation/
Communications/Public Utilities (T.C.P.U.) and Services, both significantly
increased their shares of the htandotte County firm and employment base
over this time period. T.C.P.U. increased its finn totals from 120 to
154 (+28.3%) and its employment levels from 3,030 to 5,323 (+75.7%).
Services experienced a net gain of 20 establishments (+2.2%) and 1,963
employees (+21.7%). Wholesale firms and employment increased (from 331
to 334 and from 6,267 to 6,718) between 1974 and 1978, but the Wholesale
share of total county employment actually decreased-from 11.1% to 10.6%.

The Retail and Finance/Insurance/Real Estate (F.I.R.E.) categories both

 

 

* County Business Patterns does not tabulate data for these categories.
It is estimated,~however, during 1974-1978 period,Government employment
was approximately 15,000, while railroad and post office employees
numbered about 5,200. Farm employment in Wyandotte County is negligible.
**

County Business Patterns coes not enumerate establishments which have

55—payroll rccEth. There are several hundred businesses in Wyandotte
County of this type.

 

Hf); 1‘0 l—;\
HYkkflflflh CUUKlfi }.5l\’1 SH”CXYS, 1974
_,,_,,..,;1‘..;:.;L.__L{ 1 w (3.8%)
f”. / fix,“ 3 ‘.
*~\\V,zrt11ikxu111gj‘xfl) (8.0T:
'\_
‘5“.

‘\

  

(10 (Tl \\

    
 

Wholesale 331

   

(lulstrucli

 

Retail
901 (28. I)

 

1‘. I. R. 1a. ~=—...._.._..L
250 ( .00)

Wlk I “5‘\JII5HV“X”S' 3,130
S~u1coz COLHII\ Bu Lhkxx Pa*tx1n\ 1971 and 1978

-A- _-.._'_ -“u -—

f

5*

FIGURE 1~B
MHAXDQTFF COUNTY METABLTSHHENTS. 1978

 

 

Other* 7" (2.5%)
Construction '" T ”'
289 (9.1;)
Services ;11 (29.b
Manufacturing ’
270 (8.8%)
Z.C.P.U. 154

’.0%) f

 

hholesalc 334 -.I.
(10.9%) /' 23.
‘ (7 65;

Retail
809 (26.3%‘

TOTAL ESTABLISHMENYS: 3,07"
. '. . . -\ . “°‘ ‘. :,‘..‘ '.“.1‘,‘

* Inc1udcs Agricultural Sorvxcc, Mlnxng, and Ron—leazzfxahle LdenllbnmkntS
'nttcrnfi, 1974 and 19T8

—._-_.

Source: County l-Eusunc-ss l

/
Y1,4facturing
21,103
(37.3%)

FIGURi Z—A
h) CQXJITE (AXHQIY Ififi’LtfiTEfVY rrcu , 1974 '

(Other* 379 (0.7E)
Construction *“'fi"""

4,71%I/zrwa”flfi
(8.37;

 

 

,Scrrjccs 9,056 (1”.

 

 

,Retf'
9,8<-.
(17.i

Wholesale 6,267 (11.1%)

'l‘.C.I’.U.
3,030 (5.4%)

TOTAL IBHWIfi3U2CF: 56,593
Source: County Business Puttcrui, 1974 and 19T8

Ccustruction

: - -- a
'1' , 33-.

Manuiacturing /
32,5“3 (33.7%)

T.C.P.U. 5,323 (8.4%)

!

(c.s;,
”x”

Figuro 2-H
.EJBTFTXI‘i118ii

1(3'13
’ .1Is.‘

lugmur'317 (0.51)

"—'< u

i ““~\‘\»~

\

   

Services 11. (‘

 

 

 

 

 

Miolesale 6,718 (10.6%)

'HTLU.13HWLHTSNT: $3,255
lnciuios Agricultural Service, Mining, nnJ Non-Classifiablo Employmout'

Source: Couugf BusinCssrngigru§, 1974 and 1978

experienced increases in employment totals despite losses in establish-
ments. However, the Retail share of county employment dropped from

17.4% to 16.3%, while the F.I.R.E. share increased from 3.8% to 4.2f.
Construction was the only category that recorded a gain in establishments
(256 to 289) and losses in employment (4,718 to 4,332) between 1974 and
1978. Finally, other miscellaneous businesses, including Agricultural
Services, Mining, and Non-classifiable firms, accounted for a very small
portion of the Wyandotte County economy during this time period.

In summary, between 1974 and 1978 the fastest growing sectors of
the county's economy were T.C.P.U. and Services. The Wholesale and
Manufacturing categories both registered very small gains in firms and
significant increases in employment. The Retail and F.I.R.E. categories
incurred net losses in establishments and net increases in employment,
while Construction experienced just the opposite effect. Overall, a
slight decrease in county business firms was accompanied by a strong

increase in its employment.

2.1 The Kansas City Metropolitan Area: 1974 and 1978

 

Tables 1 and 2 display County Business Patterns establishment and

 

employment figures, along with percentage shares by category, for the
eight counties comprising the Kansas City Standard.Metropolitan Statistical
Area (K.C.S.M.S.A.)* in 1974 and 1978. These tables show to what extent
business firm and employment growth has taken place within the region
over this time period.

Tables 1 and 2 show that the number of business establishments in
the region increased from 26,855 to 28,770 (+7.l%), while employment rose

from 464,210 to 536,410 (+13.1%) between 197 and 1978. These gains were

 

* By definition, the K.C.S.M.S.A. consists of Johnson, Leavenworth,
and Wyandotte Counties in Kansas, and Cass, Clay, Jackson, Platte,
and Ray Counties in Missouri.

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particularly noticeable in Construction (23.8% increase in establishments,
12.7% increase in employment), T.C.P.U. (+12.5%, +1Z.0%), Retail Trade
(+4.5%, +16.2%), and Services (+9.9%, +29.6%). Johnson County was by far
the most rapidly growing area in the region, accounting for 76.9% of the
region's increase in business {inns and 42.5% of the region's employment
growth over this time span. Platte County incurred a substantial increase
in its employment principally because of growth associated with the airline
industry and Kansas City International Airport. These two counties

along with Cass, Clay, and Leavenworth Counties, all experienced establish—
ment and employment growth at rates greater than the metropolitan area
between 1974 and 1978. Ray County registered a decrease in its regional
share of business firms, but slightly increased its share of the region's
employment base.

The two counties that did not grow as fast as the entire metropolitan
area between 1974 and 1978 were its two most centrally located jurisdictions,
Jackson and Wyandotte Counties. Jackson County’s share of the region's
establishments decreased from 55.1% to 51.4%, and its employment share
dropped from 62.8% to 57.6%. Jackson County still managed a 3.8% increase
in its employment base over this period as a result of growth in its
Wholesale/Retail trade and Services sectors. wyandotte County's establish-
ment share declined from 11.7% to 10.7%, while its employment share dipped
slightly from 11.9% to 11.8%. The only major category in the county
that increased its proportion of the region's business establishments
between 1974 and 1978 was T.C.P.U. Three categories, including Manufacturing,
T.C.P.U., and F.I.R.E., all increased their regional employment shares
over this period. The remaining sectors of Wyandotte County's economy
either did not experience any increases or grew at rates slower than

those of the entire region.

2.2 Selected Kansas Counties: 1974 and 1978

 

Tables 3 and 4 present County Business Patterns business establish—

 

ment and employment totals for selected counties in Kansas and on a state«
wide basis for 1974 and 1978. Each of the counties chosen for this
comparison (Wyandotte, Shawnee, and Sedgewich) contains a fairly large
urban area.*

These two tables show that Wyandotte County had a slower overall‘
rate of growth in business firms and employment than Shawnee County
(Topeka), Sedgewick County (Wichita), and the state of Kansas as a whole
over this time period. Shawnee County experienced a 5.4% increase in
establishments and a 12.9% increase in employment primarily as a result
of growth in the Construction, T.C.P.U., F.I.R.E., and Services categories.
Sedgewick County registered.employment gains of at least 9% in every
sector of its economy, and the entire state of Kansas showed firm and
employment increases in every category but Wholesale Trade between
1974 and 1978. Wyandotte County, with a 1.9% decline in establishments
and an 11.8% increase in employment, compared well with state—wide totals
only in the T.C.P.U. and Wholesale Trade economic sectors. All other
Wyandotte County categories, particularly Retail Trade, lagged behind
the state of Kansas in firm and employment growth rates between 1974 and

1978.

 

* Adthough each of these counties contains a large urban area, Shawnee

County (548 square miles) and sedgewick County (1,007 square miles)

are much larger than Wyandotte County (152 square miles). The differences
in land area imply that both Shawnee and Sedgewick Counties have more
developahle land than Wyandotte County, and thus, rave greater potential
for absorbing economic growth.

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2.3 Selected Midwestern Counties: 1974 and 1978

 

Tables 5 and 6 display County Business Patterns establishment and

 

employment figures in ten urbanized Midwestern counties for 1974 and
1978. These two tables provide a means for comparing Wyandotte County
trends to those of similarly situated counties for this time period.

Table 5 shows that only one county, Muskegon County, Michigan,
experienced an overall decrease in business firms (-0.5%) between 1974
and 1978. All other counties chosen for this comparison recorded business
firm gains ranging from 1.1% (Jackson County, Michigan) to 13.2% (Scott
County, Iowa). The categories in which these gains were most noticeable
included T.C.P.U., F.I.R.E., and Services. .In comparison, Wyandotte
County registered a net change of -1.9% in total business establishments,‘
and noticeable gains were made only in the T.C.P.U. and Construction sectors
of its economy.

Table 6, which displays 1974-78 employment changes for these same
counties, reveals that once again only Muskegon County lost employment
(-4.6%) between 1974 and 1978. All other counties in Table 6 registered
some type of net employment gain, ranging from +2.0% (Jackson County,
Michigan) to +20.2% (Peoria County, Illinois). Retail trade, F.I.R.E.,
and Services recorded the greatest employment increases in most cases,
while in nine of the ten counties significant decreases in Manufacturing
employment occurred. Wyandotte County experienced an overall employment
increase of 11.8% between 1974 and 1978, which exceeded the gains made by
eight of the ten counties in Table 6. These increases in employment were
accounted for primarily by the T.C.P.U., F.I.R.E., and Services sectors.
Manufacturing employment in Wyandotte County rose 7.0% between 1974 and 1978,
presenting quite a contrast_to the M.iufacturing employment declines

experienced by most counties in Table 6.

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3.0 The Mid-America Regional Council (M.A.R:C.) Employment File

The third section of this report examines business changes that
~have taken place within hyandotte County between 1973 and 1977, and uses
the Mid—America Regional Council (M.A.R.C.) employment file. The MLA.R.C.
employment file contains five years of data (1973—1977) for business
establishments throughout the Kansas City metropolitan region. The primary
data base for building the file is Contacts lnfluential*, an organization
which collects and sells detailed individual firm information. As a
supplement to the business firms listed on the Contacts file, M.A.R.C.
has added government, public safety, religious, college, airport, hospital,
parochial school, library, and museum information. Hence, a fairly com-
plete data base for both the private and public sectors of the regional
economy is contained in the M.A.R.C. employment file.

Each record in the file contains a firm's name, address, phone number,
census tract number, Standard Industrial Classification (S.I.C.) codes,
employment, and file year. This detailed and varied information lends

itself to firm and employment trend analysis by location and business type.**

 

* When the file was developed in 1973, several alternatives were considered.

M.A.R.C. found that the Division of Employment and Security records are
not as detailed to the individual firm as Contacts. Their records often
represent corporate or headquarter information. The Dunn and Bradstreet
business file was also considered, but at that time, M.A.R.C. felt Dunn
and Bradstreet failed to update individual firm’information on an annual
basis; rather, only when credit references were run.
** In its original form, the M.A.R.C. employment file contained a number of
inconsistencies. These included duplicate records, missing records, and
incorrect S.I.C. code, census tract, or employment information. To make
the file information more reliable, an update was undertaken to correct
these errors. Records of firms with five or more employees were examined;
in several areas of the county, records of all business establishments were
examined. Overall, approximately 10,000 of the 36,300 entries on the file
were scrutinized. Of these 10,000 records, 2,113 alterations were made,
including 500 deletions of duplicate records, the addition of 157 new
records. and 1,456 changes involving S.I.C. code, census tract, or employ-
ment information. .

As a test for compatibility, the M.A.R.C. employment file tabulations

were compared with 1977 County Business Patterns data for Wyandotte County.

 

Business establishments and employment were grouped together by employee
size class and S.I.C. category and compared, as shown in Tables 7 and 8.
The figures in Table 7 show that there were some major differences

between the M.A.R.C. employment file and County Business Patterns data in

 

several employee size classifications. For example, while there was a
small difference (4.1%) between the two data bases in the number of firms
in the five to nineteen employee range, the contrast was substantial in
the one to four employee range and with establishments having 20 or more
employees. In the fonner category, the M.A.R.C. employment file contained

3,371 firms, while County Business Patterns enume‘ated just 1,583 establish-

 

ments. In the latter category, County Business Patterns outnumbered the

 

MLA.R.C. employment file 520 to 344.
Two major reasons might account for these disparities between the

two information sources. First of all, County Business Patterns only

 

enumerates those establishments with payroll records, while the MLAJR.C.
employment file contains records of all establishments regardless of

payroll. The 1977 Census of Retail Trade* reported 1,225 retail establish-
ments in Wyandotte County, nearly 400 of which had no payroll data. Assuming
that most of these 400 firms fell into the one to four employee range,

this helps to explain the substantial difference between the two data bases
for this particular size class. Secondly, the M.A.R.C. employment file

uses a standardized employment estimate based on a firm's Contacts Influential

size code and its S.I.C. code rather than an actual count. These estimates

 

*

 

the 1977 Economic CensUETTEFBduced every five years by the Bureau of the
Census. These publications would have provided a-better information base
than County Business Patterns to compare with the M.A.R.C. employment file,
but a§_6f_this writing only three 1977 publications (Retail Trade, Whole-
sale Trade, and Services) were available.

The 1977 Census of Retail Trade is one of several publications comprising

 

 

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apparently do not compare well with finas having unusually high or low
labor needs. These are precisely where the differences between the M.A.R.C.

employment file and County Business Patterns data exist - at the low and

 

high ends of the employment spectrum.

Because of the major discrepancies between the two information sources
regarding the number of establishments in the one to four employee range,
Table 8 displays comparisons by business category between 1977 M.A.R.C.

employment file data and County Business Patterns data only for firms with five

 

or more employees. This table shows that with two major exceptions, Retail
Trade and Services, comparisons between the two data bases were fairly
good. In these two categories, the M.A.R.C. employment file contained

589 establishments and 15,162 employees, while County Business Patterns

 

data indicated totals of 776 firms and 17,204 employees. Retail Trade and
Services alone, thus, accounted for over 80% of the differences between
the two data bases in total establishments and employment.

One final note is worth mentioning before proceeding to the final
section of this report. The employment estimates for firms on the M.A.R.C.
employment file are generally kept constant between 1973 and 1977. For
example, a firm on file with 100 employees in 1973 will also have employment
of 100 in 1974, 1975, 1976, and 1977, although in reality that firm's
employment totals probably fluctuated somewhat over this time period.

This fact implies that (1) any subsequent tables showing changes in employ-
ment by business category will reflect only the sum total of personnel from
firms leaving or entering the M.A.R.C. employment file between 1973 and
1977 and not actual changes that might have occurred; and (2) net changes
in business establishments are probably nore accurate indicators of

real change than employment changes.

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3.1 Business Trends by Type and Location

 

This portion of the summary report examines Wyandotte County trends

both by selected business type and by location. To make this analysis

more easily understandable, the county was partitioned into twenty neighbor-
hoods. Accompanying discussions of changes that have taken place between
1973 and 1977 for selected business categories are tables displaying these
changes in each of the twenty neighborhoocs and shade maps graphically
portraying these patterns by census tract.* Figure 3 familiarizes the
reader with the names and locations of the Wyandotte County neighborhoods,

and Figure 4 sh ws the locations of Wyandotte County census tracts.

3.1.1 lhnuifactin big

 

Trends for the Manufacturing industries of Wyandotte County are shown
in Table 9 and Figures 5 and 6.

Manufacturing firms are those businesses involved in the mechanical
or chemical transformation of materials or substances into new products.
Included in this category are establishments engaged in the processing or
refining of food and kindred products, textile products, apparel, wood and
paper products, furniture and fixtures, chemicals, petroleum, plastics,
leather products, glass and concrete products, metal products, machinery,
transportation equipment, and scientific equipment. The Manufacturing
category also includes firms involved in the printing and publishing businesses.

In 1977, there were 284 Manufacturing establiShments in Wyandotte
County, employing a total of 22,019 people. These figures represent 5.4% of
the county's total finns and 29.5% of the county's total workforce for that
year. Manufacturing's employment totals indicate the significance this
business category has in determining the local economic outlook. It is
worth noting that three neighborhoods (Fairfax, Armourdale, and Turner)

contained approximately 87% of the county's Manufacturing workforce in 1977.

 

* The twenty Wyandotte County neighborhoods actually represent aggregations

of the seventy county census tracts.

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At the neighborhood level, the Central Industrial District (-4 firms,
~33? employees), Northeast (—S, -51), lirerview (~10, -130), Argentine
(~4, ~19S), fairfax (—7, -238), Muncie (~3, ~9), and Bethel-Welborn (~S, -18)
all experienced significant decreases in Manufacturing establishments and
employment. The outmigration of firms from these four neighborhoods covered
many different Manufacturing categories, with concentration among businesses
Specializing in food and kindred products, furniture, printing and publishing,
and fabricated metal products. In Armourdale it was difficult to discern
any noticeable trends, since there occurred a net loss of nine firms but a
net gain of 55 employees. Areas that experienced increases in both Manufactur-
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3.1.2 Transportation/Communications/Public Utilities (T.C.P.U.)

 

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transportation and warehousing, water transportation, air transportation,
transportation services, communications, and electric, gas and sanitary
services. Also included in this grouping are firms specializing in pipeline
transit and the United States Postal Service.

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firms in Wyandotte County and lf.2% of the county's workforce for that
year. In particular, railroad transportation, with 1977 data indicating
seventeen establishments employing 3,657 people, makes up a considerable
portion of this business category. T.C.P.U. employment is geographically
concentrated in the Armourdale, Turner, Riverview, and Fairfax areas.

Between 1973 and 1977, the number of T.C.P.U. establishments in the
county increased by 11.4%. Over the same time period, employment levels
also showed a gain of 5.7%. At the neighborhood level, only Argentine (-3
firms, —24 employees) registered losses in both T.C.P.U. firms and employ-
ment. In several neighborhoods, no clear trends were apparent. For
example, Fairfax (-1, +97), the Northeast (-1, +26), and Rosedale (-1, +23)
each recorded net gains in emplo>nent despite losses in establishments. Over
the same time period, the Central Industrial District (+5, -20), Riverview
(+3, -31), and Armourdale (+10,.-6) all experienced net gains in business
firms and net losses in employment.* In neighborhoods where losses in T.C.P.U.
establishments occurred, businesses specializing in trucking and warehousing,
air transportation, and utility services suffered most. Neighborhoods in
which major increases in T.C.P.U. establishments and employment occurred
between 1973 and 1977 include Turner (+2, +51), Coronado (+2, +18), and
Western Hyandotte County (+6, +280). In these areas major gains were made by

firms engaged in trucking and warehousing.

3. 1 . 3 hholesal ing

 

Summary data for Wholesaling establishments in Wyandotte County for

the years 1973 through 1977 are displayed in Table 11 and Figures 9 and 10.

 

* As was mentioned previously, net changes in business establishments are

in all likelihood more accurate than changes in employment.

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By definition, Wholesaling firms are businesses who sell merchandise
to retailers, to industrial, commercial, institutional, farm, or professional
business users, or to other wholesalers. This category includes establish-
ments engaged in the wholesale trade of durable goods (motor vehicle parts
and supplies, furniture, lumber, construction materials, etc.) and non—
durable goods (paper and paper products, drugs, clothing, groceries, etc.).

In 1977, the M.A.R.C. employment file reported 447 Wholesaling estab-
lishments in Wyandotte County with a workforce of 6,831 employees. These
numbers represent 8.4% of the county's business establishments and 9.3%
of the county‘s total number of employees for that year. Wholesaling employ~
ment in 1977 was concentrated in the Fairfax, Armourdale, and Turner
neighborhoods.

On a county~wide basis, Wholesaling establishments and employment
°declined between 1973 and 1974, rose in 1975, declined again in 1976, and
1977 increased to a level lower than that in 1973.

Several neighborhoods suffered substantial Wholesaling finn and employ-
ment losses over the 1973-77 time span. They include Riverview (~24 firms,
-164 employees), Northeast (~8, -238), Northwest (~6, -49), Kensington (-2,
-1), Rosedale (~1, -81), and Wyandotte Plaza (—3, -4). In all these areas
the greatest losses were incurred by wholesalers of durable goods. Armourdale
(~5, +92), Turner (-2, +34), and.Muncie (72, +2) each registered a net gain
in employment despite net losses in establishments. Fairfax (+0, +71) and
Shawnee Heights (+0, +28) both experienced no net increases in Wholesaling
establishments between 1973 and 1977, but registered net employment gains.
Finally, the Central Industrial District (+4, +24),.Argentine (+18, +105),
Coronado (+3, +35), White Church (+2, +6), and Western Wyandotte County
(+8, +30) all experienced increases in Wholesaling establishments and employ-

ent. The majority of these gains were made by firms engaged in the whole-

saling of durable goods.

 

3.1.4 Retailing

Summary trends for Retail establishments in Wyandotte County between
1973 and 1977 are portrayed in Table 12 and Figures 11 and 12.

Retail establishments typically sell merchandise for personal or
household consumption. Included in this category are establishments
engaged in the sale of building materials, hardware, general merchandise,
groceries, automobiles, gasoline, clothing, and furniture. Also included
under the Retail heading are eating and drinking establishments.

In 1977, there were 1,347 Retail establishments in the county employing
8,904 people. These numbers represent 25.4% of Wyandotte County's total
firms and 11.9% of its employees for that year. Retail employment in 1977
was dispersed throughout county neighborhoods, although there was some
concentration in the Riverview, Coronado, and Wyandotte Plaza areas.

According to the summary data tabulated from the M.A.R.C. business
file, Retail establishments in the county have not fared well since 1973.
There was a substantial decline in the number of Retail businesses between
1973 and 1974, and since 1974, there have been gradual increases in finns
and employment. However, 1977 levels were still below 1973 figures.

An examination of the data on the accompanying table and maps reveal
some fairly obvious trends. In the eastern portion of the county, which
contains the Central Business District and some of Kansas City's older
neighborhoods, there occurred a considerable net outmigration of Retail
establishments and employees. The affected neighborhoods include the North-
east (-31 firms, ~112 employees), Northwest (~20, ~81), Riverview (which
contains the city's Central Business District: ~44, ~404), Armourdale (—21,
~62), Argentine (~16, ~53), and Fairfax (~10, ~57). Other neighborhoods
which experienced Retail net outmigration on a lesser scale were the

Central Industrial District (~3, -12) and Bethel-Welborn (~4, ~2). Losses

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in these neighborhoods occurred among all types of retailers, although
automotive dealers/gasoline service stations and furniture stores were

the hardest hit. In some neighborhoods there were conflicting trends.
Kensington (~2, +92), Shawnee Heights (-5, +1), and Rosedale (-13, +12)

all experienced losses in Retail establishments but increased their employ-
ment levels. Neighborhoods that made significant gains in Retail firms
and employment between 1973 and 1977 include Coronado (+22, +64), Muncie
(+6, +15), Wyandotte Plaza (+9, +116), White Church (+1, +40), and Western
Wyandotte County (+15, +88). In these neighborhoods, modest gains were

made in every Retail category except general merchandise stores.

3.1.5 Service:

Summary trends for Wyandotte County Service establishments between
1973 and 1977 are displayed in Table 13 and Figures 13 and 14.

This category of establishments, as the name suggests, provides a wide
variety of services for individuals, business and government establishments,
and other organizations. Included under this heading are hotels, lodges,
personal services (dry cleaners, beauty and barber shops, etc.), business
services (employment agencies, data processing firms, cleaning services,
etc.), automotive-miscellaneous repair shops, motion picture theatres,
amusement and recreation services, health services (doctors, dentists,
hospitals, etc.), educational services (schools, libraries, etc.), social
services (day care facilities, job training centers, etc.), museums, member-
ship organizations (labor unions, business associations, etc.), domestic
services, and professional services (engineering, architectura1,accounting
firms, etc.).

In 1977, there were 1,988 Service establishments in Wyandotte County

with employment of 17,667 persons. These figures represent 37.5% of the

 

 

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county's total number of business establishments and 23.7% of the county's
employment for that Year. A comparison with 1973 data indicates that the
number of Service finns in 1977 was 0.6% lower, while employment was 6.7%
higher. Like other types of businesses, Service establishments and employ—
ment declined significantly between 1973 and 1975 before increasing consider-
ably through 1977. Service employment in 1977 was concentrated in the
Rosedale, Riverview, and Wyandotte Plaza neighborhoods, where large hospitals
employing in excess of 1,000 people are located-

At the neighborhood level, substantial losses in Service firms and
employment occurred in the Northeast (~48 firms, -36 employees), Fairfax
(~3, ~24), Armourdale (~8, ~17), and Nearman Hills (~3, ~12) between 1973
and 1977. The Central Industrial District (~3, +26), Northwest (~14, +7),
Riverview (~7, +466), Shawnee Heights (+0, +30), Rosedale (~4, +182), and
Morris (~l, ~19) also experienced net losses in firms, but also registered
gains in employment. In these neighborhoods, most of the decline occurred
among establishments providing health services, personal services, and
educational services. Also of interest is the fact that social services
recorded a net increase of twenty-five establishments in these areas through
this time period.

The Providence—St. Margaret Hospital figured prominently in the
Kensington (+3, ~1,0S6) area's employment losses and the Wyandotte Plaza
(+4, +l,163) area's employment gains, as it vacated the former neighborhood
and relocated in the latter. Coronado (+5, ~20) was the only neighborhood
that recorded gains in establishments and losses in employment over this
time period.

Finally, neighborhoods that registered gains in Service firms and
employment between 1973 and 1977 were Argentine (+9, +47), Turner (+10, +34),

Wyandotte Plaza (+4, +1,l63), White Church (+8, +37), Bethel-Welborn (+5, +64),

and Western Wyandotte County (+33, +204). In these areas, much of the
increase consisted of automotive repair services, miscellaneous repair

services, health services, and business services.

3.1.6 Finance/lnsurance/Real Estate (F.I.R.E.)

 

Summary data for F.I.R.E. establishments in Wyandotte County between
1973 and 1977 are shown in Table 14 and Figures 15 and 16.

The F.I.R.E. business category includes these establishments engaged
in banking, insurance, and real estate. Also included under this heading
are credit agencies, security and commodity brokers, and holding and other
investment offices.

In 1977, there were 373 F.I.R.E. establishments in Wyandotte County
employing 2,555 people. These figures represent 7.0% of the county's total
number of firms and 3.4% of the county's total workforce for that year.

In 1977, data for firms and employment are 2.2% and 1.8% higher, respectively,
than the same data for 1973. Like some other business categories, F.I.R.E.
establishments and employment levels in the county declined between 1973

and 1975, then rose significantly through 1977. F.I.R.E. employment is

most heavily concentrated in the Riverview and Wyandotte Plaza areas.

At the neighborhood level, trends for F.I.R.B. businesses through this
time period are similar to those described previously for Retail categories.
In the older parts of the county (particularly the Central Business District
and some surrounding areas), a sizable net outmigration of firms and
employees occurred between 1973 and 1977. These neighborhoods include
Riverview (~33 finns, ~218 employees), Northwest (~4, ~65), Northeast (~3,
~51), and, to a lesser extent, Rosedale (~3, ~18), Armourdale (~1, ~3),
and the Central Industrial District (~1, ~3). In these areas, losses were
largely confined to credit agencies and insurance agents and brokers.

Nine neighborhoods experienced gains in F.I.R.E. establishments and employ-

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Heights (+1, +3), Argentine (+4, +30), Coronado (+11, +52), Nuncie (+5, +19),
Wyandotte Plaza (+8, +194), White Church (+1, +17), Bethel—Welborn (+4, +5),
and Western Wyandotte County (+12, +57). F.I.R.E. business increases in
these areas were made up of real estate firms, credit agencies, banks,

and insurance agents.

3.1.7 Construction

 

Construction industry trends for Wyandotte County are portrayed in
Table 15 and Figures 17 and 18.

This category includes establishments engaged in building construction,
highway and street construction, plumbing, heating, air conditioning, painting,
and electrical work.

1977 figures indicate that 345 Construction establishments were located
in the county with a workforce of 4,172 persons. These numbers represent
6.5% of the county's total finns and 5.6% of the county's total employment
for that year.

It is worth noting that between 1973 and 1977 separate trends were in
evidence for Construction establishments and employment. The number of
Construction firms in the county declined markedly between 1973 and 1975,
then rose sharply between 1975 and 1977. Construction employment, however,
rose steadily between 1973 and 1977. This apparent discrepancy is supported
by County Business Patterns data*. Construction employment in 1977 was
most heavily concentrated in.Armourdale, Muncie, Rosedale, Fairfax, the

Central Industrial District, Riverview, and Western Wyandotte County.

 

Coungy Business Patterns data show that between 1973 and 1975, the number
'EfFConstruction establishments dropped from 275 to 250, while between 1975
and 1977 Construction finns increased to 284. Employment between 1973 and
1977 fluctuated, but showed an overall increase of 1,300 (from 3,299 to
4,599).

 

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On a locational basis, the Northwest (-2 finns, ~11 employees),
Kensington (-4, -22), Rivewiew {-8, -51), Aimourdale (-3, ~29), Shawnee
Heights {—5, —10), Coronado (-Z, -6), Wyandotte Plaza {-1, -8), Nearman
Hills {-2, -18), and the Central Industrial District (-1, -3) neighborhoods
all suffered losses in both Construction firms and employment. The majority
of these losses occurred among special trade contractors, including
establishments engaged in plumbing, heating, painting, electrical work, and
carpentry. In several areas, no clear-cut trends were apparent. Fairfax
(-2, +192), Rosedale (~3, +41), and Bethel-Welborn (~1, +7) each gained
Construction employment despite losses in finns. The Northeast (+1, -9)
and Quindaro Bluffs (+1, ~2) areas experienced the opposite effect. The
Turner (+2, +143), Argentine (+4, +7), Muncie (+10, +284), White Church
(+6, +6), and Western Wyandotte County (+14, +71) neighborhoods all recorded
significant gains in Construction establishments and employment. ‘More than

75% of these increases occurred among special trade contractors.

3.1.8 Government

 

For 1977, the M.A.R.C. employment file indicated that there were 145
Government establishments in Wyandotte County with a workforce of 2,380.

It is apparent that the file grossly underestimated Wyandotte County
Government sector employment between the years 1973 and 1977. Kansas City,
Kansas, alone in 1977 employed more than 2,000 people. The addition of
Bonner Springs, Wyandotte County, and Federal Government employees adds
considerably to this total. Figures provided by the State of Kansas
Department of Human Resources indicate that in 1977, Government employment
was approximately 15,000. Since the M.A.R.C. employment file captured less
than 20% of Government employment in the county in 1977, an examination of

trends using the file would not be meaningful. Suffice it to say that the

two neighborhoods with the largest concentration of Government firms
and employment over this time period were Riverview and Western Wyandotte

County.

3.1.9 Total Business Changes

 

Swmnary trends for all types of business establishments within
Wyandotte County are displayed in Table 16 and Figures 19 and 20.

Aside from the business categories discussed in previous sections
of this report, totals also include Agriculture, Mining, Government,
and Undefined businesses. The data indicate that several neighborhoods
incurred substantial net losses in both their finn and employment bases
between 1973 and 1977. They include the Central Industrial District
(-7 finns, -386 employees), Northeast (-104, -470), Northwest (-49, —248),
Kensington (—3, -961), and Riverview (-138, -555). Fairfax (~29, +15)
recorded losses in finns, but employment levels in this neighborhood increased
slightly as a result of increases in T.C.P.U. and Construction employment.
Armourdale (~38, +27) experienced this same type of trend, having made
employment gains in the Manufacturing and Wholesale trade industries despite
a net loss of 38 establishments (many were lost as a result of urban renewal
programs). Shawnee Heights lost six business establishments, but registered
a net employment increase of 170, principally because of gains in
Manufacturing. Rosedale (~29, +224) a1So lost buéinesses, but compensated
by making considerable gains in.Manufacturing firms and employment. It
should be pointed out that these neighborhoods that experienced net out-
migration in business are generally these neighborhoods with either the
highest concentration of poor, minority, and elderly populations, the
oldest housing stock, most dilapidated infrastructure, or the highest rates

of unemployment in Wyandotte County.

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Argentine (+10, ~84) was the only neighborhood in the county that,
according to the M.A.R.C. employment file, experienced net gains in businesses
and net losses in employment between 1973 and 1977. Neighborhoods making
considerable gains in firms and employment through this thne period were
Turner(+12, +33J), )brris (+5, +51), Muncie (+13, +312), Wyandotte Plaza
(+12, +2,4SS), White Church (+14, +103), and Western Wyandotte County
(+93, +974). These areas are for the most part newly developed, and have
attracted business and industry because of expanding residential markets

and the availability of land.

4.0 Conclusion

 

The intent of this summary report has been to (1) examine the various
components of the hyandotte County economy; (2) compare Wyandotte County
business trends to those of the metropolitan area, other Kansas counties,
and similar counties throughout the Midwest; and (3) identify neighborhoods
within Wyandotte County where net inmigration or eutmigration of business

activity has taken place. Through presentation of data from County Business

 

Patterns publications and the M.A.R.C. employment file, it has been determined
that between 1974 and 1978 the Wyandotte County economy (1) experienced

net losses in business establishments, but net gains in employment; (2)
registered significant firm and employment increases in the T.C.P.U. and
Services business categories; (3) did not compare well (in terms of business/
employment shares or growth) against counties in the metropolitan area and

the state of Kansas; and (4) suffered more business losses but experienced
greater employment gains when compared with a sample of Midwestern counties.
It has also been determined that between 1973 and 197Z/éeveral neighborhoods
situated in the eastern and central areas of Wyandotte County eXperienced

an outmigration of business activity at an alarming rate, while in the

western end of the county business activity has increased markedly. This
presentation, then, serves as documentation for development of several
inter-related policies, including those of emphasizing the county's economic
strengths, examining its economic weaknesses, retaining businesses in
geographic areas adversely affected by business outmigration, and managing
growth in an orderly fashion in neighborhoods where a sudden influx of
business firms has occurred.

Adthough it is not within the scope of this report, there are other
ways in which the data presented here (particularly the M.A.R.C. employment
file) can be extremely useful. One possible application would be to identify
individual finns that have made a locational decision (either through
outmigration, inmigration, or movement from one county site to another)
affecting Wyandotte County, and then contact these businesses and begin
to analyze reasons for business movement. In this way, county business
strengths and shortcomings by geographic area could be readily identified.

A second application might be to generate maps showing business location
by S.I.C. code on a year—by-year basis, depicting graphically and accurately
development patterns throughout the county. Since both the M.A.R.C.

employment file and County Business Patterns are updated annually, they

 

should continue to be key identifiers of business changes and relative

growth patterns in Wyandotte County.

1'

Bibliography

City and County of Denver, Economic Development in Denver; Summary of
Denver's Economic Condition (Denver: City and’County of Denver, 1978),
\bhmelL

 

 

Mid-America Regional Council, M.A.R.C. Employment Pile (Kansas City:
Mid-America Regional Council, 1979), 26,558 records.

 

 

Office of Management and Budget, Statistical Policy Division, Standard

Industrial Classification lmnual - 1972 (Washington, D.C.: U.S.
Government Printing Office, 1972).

 

 

Nie, N., Hull, C.H., Jenkins, J., Steinbrenner, K., Bent, D., Statistical
Package for the Social Sciences (New York; ittaaw=Hill Book Company, 1979),
pp. 200-230

 

 

United States Department of Commerce, Bureau of the Census, County Business
Patterns, 1974 and 1978: Kansas (Washington, D.C.: U.S. Government
Printing Office, 1979) .

 

 

United States Department of Commerce, Bureau of the Census, 1977 Census of
Retail Trade: Kansas (Washington, D.C.: U.S. Government Printing Office,
1979).

 

 

United States Department of Commerce, Bureau of the Census, 1977 Census of
Service Industries: Kansas (Washington, D.C.: U.S. Government Printing
Office, 1979).

 

 

United States Department of Commerce, Bureau of the Census, 1977 Census of
Wholesale Trade: Kansas (Washington, D.C.: U.S. Government Printing
OffiCe, 1979).

 

 

Unites States Department of Commerce, Bureau of the Census, Estimates of
the Pepulations of Counties and Metropolitan Areas: July 1, 1976
(Washington, D.C.: U.S. Government Printing Office, 1978).

 

 

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