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Sebelius signs bill for Cessna factory funding

About $50 million from state and local governments will help Cessna build its Citation Columbus in Wichita.

BY MOLLY MCMILLIN

The Wichita Eagle

Calling it one of the best examples of a public-private partnership in her six years as governor, Kathleen Sebelius signed a bill Wednesday authorizing economic development assistance for Cessna Aircraft Co.

The bill provides $33 million in state bonds to help Cessna build a plant for its transcontinental Citation Columbus business jet, its largest plane to date.

"It's a great investment for Kansas," Sebelius said at a bill-signing ceremony at Cessna's west Wichita headquarters.

Cessna is investing $780 million in the project, including $200 million for the plant and equipment. The project is expected to create 1,010 jobs at an average salary of $73,000.

Company officials worked with local economic development leaders and state officials to put together an incentives package for the project.

"The impact of this legislation is monumental," said Cessna chairman and chief executive Jack Pelton.

It provides a boost to the aviation industry and allows Kansas to remain the "Air Capital of the World," he said.

The ceremony was attended by officials from Cessna, the city of Wichita, Sedgwick County, the Machinists union, the Greater Wichita Economic Development Coalition, the Wichita Metro Chamber of Commerce and local members of the Kansas Legislature.

About 25 Cessna workers stood behind the governor as she signed the bill.

As she finished signing at a small desk, Sebelius said, "April 23, 2008. House Bill 2006 is now law."

She handed the pen to Pelton as attendees responded with a standing ovation.

Cessna had been heavily courted by other states that wanted the company to put the plant in their areas. Some were putting "$100 million packages on the table," Sebelius said after the signing.

In addition to the $33 million, the state is also aiding Cessna with training money, making the state's commitment more than $40 million.

Wichita and Sedgwick County also offered forgivable loans of $5 million each.

Sebelius praised the Legislature for moving with the "speed of light" to get the bill through during the session. The bill was introduced and passed in less than a week.

"We need to think decades out," said Sen. Carolyn McGinn, R-Sedgwick. "It's important that new aircraft product lines, like the Citation Columbus, are in Kansas."

Reach Molly McMillin at 316-269-6708 or mmcmillin@wichitaeagle.com.