kentucky economic development guide: 2009

KENTUCKY ECONOMIC DEVELOPMENT GUIDE

kyedg.com

Still in High Gear Auto sector powers up new investment

Fueling Innovation State takes lead in green energy

The World Comes Calling

PRESENTED BY THE KENTUCKY CABINET FOR ECONOMIC DEVELOPMENT | 2009

Experience more of Kentucky in words, pictures and video

at kyedg.com.

What’s Online

sessssssssssssss eeeeeeeeeee

Click the top corners of the magazine to turn pages

56

48

36

On the Cover PHOTO BY ANTONY BOSHIER

The Muhammad Ali Center in Louisville

BUSINESS ALMANAC 19

OVERVIEW 27

BUSINESS CLIMATE

Unbridled Ambition 28Diverse industry sectors are a major hallmarkof Kentucky’s growing business population.

Strength in Numbers 35

EDUCATION

Property Rights 36Expanding intellectual capital builds the business base of the Commonwealth.

A Winning Formula 42

From Classroom to Community 43

TRANSPORTATION & LOGISTICS

What Brown Does for Bluegrass 44UPS expansion in Louisville deliversa truckload of new business for Kentucky.

Opportunity Docks 48

HEALTH CARE & BIOTECHNOLOGY

A Shot in the Arm 52Research initiatives spawn innovationin the health-care and biotech sectors.

Nucleus of an Idea 55

LIVABILITY

My New Kentucky Home 56The Bluegrass State’s ease of livingbeckons business and families.

Golden Opportunity 62

Recipe for Success 65

28

contents

K E N T U C K Y E C O N O M I C D E V E L O P M E N T G U I D E K Y E D G . C O M 9


All or part of this magazine is printed with soy ink on recycled paper containing 10% post-consumer waste.

PLEASE RECYCLE THIS MAGAZINE

ENERGY

Fueling Innovation 66The Bluegrass State takes a lead rolein green-energy technology.

Seed Money Yields Success 71

GLOBAL BUSINESS

The World Comes Calling 72Kentucky sets a fast pace for attractinginvestment from foreign companies.

Kentucky’s Man in Japan 75

TECHNOLOGY

Solid State 76Kentucky’s efforts to build research enterprise create a burgeoning tech sector.

Resource to Innovation 81

AUTOMOTIVE

Still in High Gear 82The auto sector is alive and well, and revving up investment in Kentucky.

MANUFACTURING

Made in Kentucky 86The state has a broad industrial base that spans across a range of industries.

Primed for Development 93

RECREATION

Calling All Nature Lovers 94Heaven, nirvana, paradise – by whatever the name, Kentucky is the ultimate recreation destination.

Horse Play 101

TOURISM

Plowing New Opportunity 102Agritourism is taking root as a bumper cropfor economic development.

Cultured Pearls 106

GALLERY 110

ECONOMIC PROFILE 117

71 72

94

102

contents



2009 EDITION, VOLUME 1

C U S TO M M A G A Z I N E M E D I A

MANAGING EDITOR BILL McMEEKIN

COPY EDITOR JOYCE CARUTHERS

ASSOCIATE EDITORS LISA BATTLES,

SUSAN CHAPPELL, JESSY YANCEY

ONLINE CONTENT MANAGER MATT BIGELOW

STAFF WRITERS CAROL COWAN, KEVIN LITWIN

CONTRIBUTING WRITERS PAMELA COYLE,

SHARON H. FITZGERALD, ANNE GILLEM, ROY MOORE,

JOE MORRIS, CLAIRE RATLIFF-SEARS

DATA MANAGER CHANDRA BRADSHAW

INTEGRATED MEDIA MANAGERS BLAKE PETTIT, CLAY PERRY

SALES SUPPORT MANAGER SARA SARTIN

SENIOR PHOTOGRAPHER BRIAN MCCORD

STAFF PHOTOGRAPHERS JEFF ADKINS, TODD BENNETT,

ANTONY BOSHIER, IAN CURCIO, J. KYLE KEENER

PHOTOGRAPHY ASSISTANT ANNE WHITLOW

CREATIVE DIRECTOR KEITH HARRIS

WEB DEVELOPMENT DIRECTOR BRIAN SMITH

ASSOCIATE PRODUCTION DIRECTOR CHRISTINA CARDEN

PRODUCTION PROJECT MANAGERS MELISSA BRACEWELL, KATIE MIDDENDORF, JILL WYATT

SENIOR GRAPHIC DESIGNERS LAURA GALLAGHER,

KRIS SEXTON, CANDICE SWEET, VIKKI WILLIAMS

GRAPHIC DESIGN ERICA HINES, ALISON HUNTER,

JESSICA MANNER, JANINE MARYLAND,

AMY NELSON, MARCUS SNYDER

WEB DESIGN DIRECTOR FRANCO SCARAMUZZA

WEB PROJECT MANAGERS ANDY HARTLEY, YAMEL RUIZ

WEB DESIGN CARL SCHULZ

WEB PRODUCTION JENNIFER GRAVES

COLOR IMAGING TECHNICIAN TWILA ALLEN

AD TRAFFIC JESSICA CHILDS, MARCIA MILLAR,

PATRICIA MOISAN, RAVEN PETTY

CHAIRMAN GREG THURMAN

PRESIDENT/PUBLISHER BOB SCHWARTZMAN

EXECUTIVE VICE PRESIDENT RAY LANGEN

SR. V.P./CLIENT DEVELOPMENT JEFF HEEFNER

SR. V.P./SALES CARLA H. THURMAN

SR. V.P./OPERATIONS CASEY E. HESTER

V.P./SALES HERB HARPER

V.P./SALES TODD POTTER

V.P./VISUAL CONTENT MARK FORESTER

V.P./TRAVEL PUBLISHING SYBIL STEWART

V.P./EDITORIAL DIRECTOR TEREE CARUTHERS

MANAGING EDITOR/COMMUNITY KIM MADLOM

MANAGING EDITOR/CUSTOM KIM NEWSOM

PRODUCTION DIRECTOR NATASHA LORENS

PHOTOGRAPHY DIRECTOR JEFFREY S. OTTO

CONTROLLER CHRIS DUDLEY

ACCOUNTING MORIAH DOMBY, DIANA GUZMAN,

MARIA MCFARLAND, LISA OWENS

RECRUITING/TRAINING DIRECTOR SUZY WALDRIP

DISTRIBUTION DIRECTOR GARY SMITH

INFORMATION TECHNOLOGY DIRECTOR YANCEY TURTURICE

NETWORK ADMINISTRATOR JAMES SCOLLARD

IT SERVICE TECHNICIAN RYAN SWEENEY

HUMAN RESOURCES MANAGER PEGGY BLAKE

CUSTOM/TRAVEL SALES SUPPORT RACHAEL GOLDSBERRY

SALES/MARKETING COORDINATOR RACHEL MATHEIS

EXECUTIVE SECRETARY/SALES SUPPORT KRISTY DUNCAN

OFFICE MANAGER SHELLY GRISSOM

RECEPTIONIST LINDA BISHOP

Kentucky Economic Development Guide is published annually by Journal Communications Inc. and is distributed through the Kentucky Cabinet for Economic Development. For advertising information or to direct questions or comments about the magazine, contact Journal Communications Inc. at (615) 771-0080 or by e-mail at [email protected].

FOR MORE INFORMATION, CONTACT:Kentucky Cabinet for Economic DevelopmentOld Capitol Annex, 300 W. BroadwayFrankfort, KY 40601Phone: (502) 564-7670 • Fax: (502) 564-1535www.thinkkentucky.com

VISIT KENTUCKY ECONOMIC DEVELOPMENT GUIDE ONLINE AT KYEDG.COM

©Copyright 2009 Journal Communications Inc., 725 Cool Springs Blvd., Suite 400, Franklin, TN 37067, (615) 771-0080. All rights reserved. No portion of this magazine may be reproduced in whole or in part without written consent.

Member

Magazine Publishers of America

Member

Custom Publishing Council

Kentucky Cabinet for Economic Development

12 K Y E D G . C O M K E N T U C K Y E C O N O M I C D E V E L O P M E N T G U I D E

CONNECTIONS

LIFESTYLE | WORKSTYLE | DIGGING DEEPER | VIDEO | LINK TO US | ADVERTISE | CONTACT US | SITE MAP

GO ONLINE

KYEDG.com

NEWS AND NOTES >>

Get the Inside Scoop on the latest

developments in Kentucky from

our editors and business insiders

SUCCESS BREEDS SUCCESS >>

Meet the people setting the pace

for Kentucky business

DIG DEEPER >>

Log into the community with links

to local Web sites and resources

to give you the big picture

of Kentucky

DATA CENTRAL >>

A by-the-numbers look at

doing business and living

in Kentucky

GUIDE TO SERVICES >>

Links to a cross section

of goods and services

in Kentucky

DIGITAL MAGAZINE >>

Read the Kentucky Economic Development Guide on your computer, zoom in on the articles and link to advertiser Web sites

See the VideoOur award-winning photographers give you

a virtual peek inside Kentucky

WorkstyleA spotlight on innovative companies that call

Kentucky home

LifestyleA showcase of what drives Kentucky’s high

quality of life

An online resource at KYEDG.com



contents


Turn the pages of our

Digital Magazine

kyedg.com

LIVE LINKSHot links allow users to quickly link to other sites for additional information, and an ad index allows you to easily locate local advertisers in the magazine.

SEARCH AND YOU SHALL FINDAn easy-to-use search function allows you to fi nd specifi c articles or browse content by subject.

A DIGITAL TOOLBELTTools allow you to customize the look and function of the magazine on your desktop as well as print individual pages or save the magazine for offl ine reading.

MORE OF THE SAMEAnd that’s a good thing. Inside, you’ll fi nd the same award-winning photography and compelling content as in the printed magazine.

SHARE WITH A FRIENDE-mail individual stories using the pop-up text window.



DISCOVER POSSIBILITIES!

GATEWAY REGIONAL BUSINESS PARK

Cabinet for Economic Development

Location:

Support:

Features:

Benefits:

unlimited

606-438-1265

HATS OFF TO THE DERBYIt’s hard to think about the Bluegrass

State without thinking of the

Kentucky Derby.

The state has six racetracks, but perhaps

none in the world more famous than

Churchill Downs in Louisville, where the

“most exciting two minutes in sports” is

held the first Saturday in May.

The Derby, which was inaugurated in

1875, is a stakes race for 3-year-old

thoroughbred horses on a 1 1/4-mile track.

But that two minutes caps the month-

long Kentucky Derby Festival, a series

of some 70 events and celebrations that

draws more than 1.5 million visitors

annually and creates an economic

impact of $90 million.

Go to www.kdf.org for more on the

Kentucky Derby Festival.

HONEST, IT’S ABEKentucky lays claim as the birth state of the

16th U.S. president and is in the midst of

a celebration of the 200th anniversary of

Abraham Lincoln’s birth.

The state is home to a number of Lincoln-related

historic attractions, including the Abraham Lincoln

Birthplace National Historic Site in Hodgenville,

which includes the Boyhood Home Unit at

Knob Creek Farm, home to Lincoln during his

formative years.

Other Lincoln-related points of interest include

the family home of his wife, Mary Todd Lincoln,

in Lexington, and Lincoln Homestead State Park,

which features the original home of Lincoln’s

mother, as well as replicas of the 1782 cabin and

blacksmith shop where his father was reared and

learned his trade.

Go to www.kylincolntrail.com for more on the

Lincoln Heritage Trail.


business almanac

HOMEGROWN GOODNESSKentucky’s Department of Agriculture operates the

Kentucky Proud program, which markets Kentucky-made

food products and is a resource for finding Kentucky

food producers and restaurants, retailers and wholesalers

that sell Kentucky-made items.

The Kentucky Proud Country Store offers a variety of

food and beverage products for sale, including meat,

baked goods, produce, dairy products, wine, beer and

distilled spirits, as well as household supplies, crafts,

candles, pet products and other merchandise.

For more, go to www.kyagr.com/kyproud/index.htm.

WHERE BOURBON WAS BORNKentucky lays claim as the birthplace of bourbon, and the Kentucky Bourbon Trail connects the state’s distilleries, where the art of bourbon-making is still practiced much as it was 200 years ago.

The trail includes seven distilleries that produce bourbons such as Maker’s Mark, Jim Beam, Buffalo Trace and Woodford Reserve that are known the world over. Package tours and excursions are available.

Each fall, the Kentucky Bourbon Festival in Bardstown offers five days of food, entertainment, historical tours, black-tie galas and, of course, bourbon. The 2009 event takes place from Sept. 15-20. Go to www.kytourism.com/thingstodo/bourbon.htm for more.

BRIGHT IDEASIdea State U. may not have a basketball

team, but it has a lot of bright minds.

Idea State U., run by the Kentucky

Cabinet for Economic Development,

is a statewide business-concept and

business-plan competition designed

to encourage innovation and

entrepreneurship at Kentucky’s

eight four-year state universities.

Winning teams are those judged as

having the best new business concepts

and more formal business plans for their

proposed ventures. The entries have

included concepts and plans for a

patented medical device used in hospital

delivery rooms to monitor the stages of

labor, a system that automatically prints

custom marketing messages on retailers’

shipping packages, and software that

enables earlier detection of lung cancer.

For more, go to www.IdeaStateU.com.


business almanac

PH

OT

O C

OU

RT

ES

Y O

F N

AS

A

THEY’VE GOT THEIR HEADS IN THE CLOUDSKentucky Space is a nonprofit consortium of universities, public and private organizations that promotes space-related education, research, small-satellite design and launch operations.

One of the organization’s primary goals is to design and lead innovative space missions within realistic budgets and objectives. The organization’s first effort was KySat, an initiative to create cost-efficient small satellites.

Kentucky Space has launched an ambitious program that includes an array of flight opportunities, including near space, sub-orbital, orbital and deep space missions and partnerships with organizations, space agencies and commercial organizations.

Go to www.kentuckyspace.com for more.

SHOWCASING KENTUCKY CRAFTSGood location often means good

business. And that’s the case for

the Kentucky Artisan Center at

Berea, conveniently located just

off Interstate 75. It has

welcomed more than 1 million

visitors since opening in 2003.

The large stone building

showcases arts and crafts from

the region. Items for sale

include books by Kentucky

authors, paintings of

Kentucky landscapes,

barbecue sauces and

honeysuckle baskets.

There’s also a restaurant

specializing in local

cuisine. Check out the

offerings of the Kentucky

Artisan Center at

imagesmadisonco.com.

SHOWCAKENTUCCRAFTSGood location oft

business. And tha

the Kentucky Arti

Berea, convenient

off Interstate 75. I

welcomed more t

visitors since open

The large stone b

showcases arts an

the region. Items

include books

authors, paint

Kentucky land

barbecue sau

honeysuckle

There’s also

specializing

cuisine. Che

offerings of

Artisan Cente

imagesmadis

WHERE GOOD IDEAS GROWIdeaFestival is an event that

attracts leading and highly diverse

thinkers from across the nation

and around the globe to explore

and celebrate innovation,

imagination and cutting-edge

ideas in areas such as business,

technology, science, education

and the arts.

The event, which started in

Lexington in 2000 and moved to

Louisville in 2006, is billed as a

“nonlinear” program designed to

stretch people’s horizons and

promote breakthrough thinking.

IdeaFestival features a number

of thought-provoking speakers,

satellite events including food

festivals and a film series, and the

presentation of the Curry Stone

Design Prize, a $100,000

international prize administered by

the University of Kentucky College

of Design. The 2009 event is

scheduled for Sept. 24-26. Go to

www.ideafestival.com for more.

SEE MORE ONLINECheck out the Kentucky

Artisan Center at kyedg.com.


business almanac

A NEW GOLD STANDARDMajor changes are under way at Fort Knox, long known as the keeper of the U.S. gold reserve.

As part of its Base Realignment and Closing initiative, the Army is building a 900,000-square-foot Human Resource Center of Excellence complex at the fort, a $206 million project that will house more than 4,200 military, civilian and contractor employees by summer 2010.

While the base saw the departure of some of its components, it gained a net of 3,500 military and civilian jobs in the transition.

The new complex will house Human Resources Command, based primarily in Alexandria, Va., and Army Accessions Command, which handles recruiting for the Army. For more on the base, go to www.oneknox.com.

LOOK, UP IN THE SKYLebanon-Springfield Airport

hosts the annual Kentucky

Jets popular remote-control

jet show, with pilots coming

from all over the United

States as well as Canada,

France and Argentina to

test their skills.

Jets Over Kentucky made

its debut in 2006, drawing

more than 2,000 spectators

and participants. The event

grew to nearly 3,500 the

following year and was

named by the Kentucky

Tourism Council as one

of 2007’s top 10 summer

events. The 2009 event

is slated for July 5-12.

A CHAMPION MUSEUMKentucky is famous as the birthplace of a number

of arts, music, culture and sports figures from

author and poet Robert Penn Warren to jazz great

Lionel Hampton to actor Johnny Depp.

Few, though, can eclipse Louisville native

Muhammad Ali, not only for his success as an

Olympic and professional boxing champion, but

as a leader for social justice, a humanitarian and

citizen of the world.

The Muhammad Ali Center in downtown Louisville

is a cultural attraction and an international

education center that carries on the ideals of

its namesake and includes innovative exhibits as

well as educational and public programming

themed around the prevailing core values of Ali’s

life: respect, confidence, conviction, dedication,

giving and spirituality, For more on the center and

Ali, go to www.alicenter.org.


business almanac

Eddie Crittendon Executive Director

Fulton County-Hickman County Economic Development Partnership P.O. Box 1413 Fulton, KY 42041

Office: (270) 472-2125 Cell: (270) 672-3716 Fax: (270) 472-1944

Web site: www.westkyeconomic.com E-mail: [email protected]

Fulton County/Hickman County EconomicDevelopment Partnership is a very industry-friendly

organization located in West Kentucky. We are very unique;our two-county area includes a slack water port on theMississippi River, with an extensive rail connection, and the Julian Carroll-Purchase Parkway (Future I-69 corridor).The mainline of the Canadian National Railroad is within afew yards of most our sites. We have an available workforce ofover 100,000 within commuting distance and great utilities.Forty-five percent of the U.S. population lives within 600 miles of western Kentucky. The completion of I-69 will connect theCanadian border with Mexico. Our future is bright and thetime is right. With the best incentives the State of Kentuckyoffers, we can provide any prospective industry a great locationfor their next expansion or relocation.

PAID ADVERTISEMENT

Canadian National Railroad Mainline

North-South lines

Under option126 acres

Under option80 acres N

HIGHWAY DISTANCE TO SELECTED MAJOR MARKETS

Atlanta, GA 412 Dallas, TX 600 Nashville, TN 170Baltimore, MD 826 Detroit, MI 594 New Orleans, LA 521Birmingham, AL 361 Houston, TX 725 New York, NY 986Boston, MA 1200 Indianapolis, IN 349 Norfolk, VA 874Buffalo, NY 785 Jacksonville, FL 762 Oklahoma City, OK 614Charlotte, NC 579 Kansas City, MO 436 Omaha, NE 614Chicago, IL 416 Lexington, KY 282 Philadelphia, PA 920Cincinnati, OH 348 Louisville, KY 245 Pittsburgh, PA 636Cleveland, OH 599 Memphis, TN 112 St. Louis, MO 218Columbus, OH 455 Minneapolis, MN 796 Wichita, KS 637

Under option50 acres

Und

er op

tion

40 ac

res

Tenn-Ken RR

1000 acres under option levee protected and rail served

W

MississippiRiver

To New Orleans

To C

hica

go

51

62

45 68

60

60

41

41

62

62

6260

79

68

68

68

62

60

27

23

27

42

23

23

25E

150

421

421

460

119

127

127

421

150

12731E

231

431

231

24

65

65

75

71

64

L. Barkley

L. Cumberland

Dale Hollow L.

Kentucky L.

Licking R.

Kentucky R

.

Green R.

Ohio R.

Green R

.

Frankfort

Owensboro

Hopkinsville

PaducahBowling Green

HendersonRichmond

Covington

Louisville

Lexington

Ashland

Pikeville

EXPERIENCE THE UNBRIDLED SPIRITA message from Gov. Steven L. Beshear The Commonwealth of Kentucky

Welcome to the inaugural issue of the Kentucky Economic Development Guide. I believe as you browse this

magazine you will be pleased with what you learn. You’ll find out why Kentucky is a leader in attracting and

developing businesses.

Known as the horse capital of the world, Kentucky is the birthplace of Abraham Lincoln and world-famous

bourbon. It’s a place where the sun shines bright and the people have an unbridled spirit. With its diverse

landscape, the Commonwealth can claim to many superlatives.

While the grass may be blue, Kentucky businesses are seeing green. Called the new “Auto Alley” for its

strong vehicle manufacturing presence, the Commonwealth now also offers a burgeoning service sector

and a rash of high-tech opportunities, including a National Battery Manufacturing Research and

Development Center.

Kentucky has earned national and international recognition for its hospitable business climate and

profitable investment opportunities, including several benchmark citings by Site Selection magazine – most

recently ranking ninth nationally with the 2008 Governor’s Cup Award.

These accolades have not gone unnoticed by industry leaders, both on a national level and on a global

scale. Thirteen Fortune Top 25 U.S. corporations have operations here in the bluegrass, while foreign

enterprises currently total more than 400 facilities, resulting in more than 76,000 jobs.

We’re especially proud to be home to a bevy of homegrown companies — Humana, Lexmark, Papa John’s,

KFC, Ashland Inc. and Louisville Slugger among them — all of which have become household names around

the world. We also put a heavy emphasis on our very own exciting cadre of small businesses – the

household names of tomorrow.

Certainly, our ideal location, quality workforce, low utility rates and positive economic climate are strong

factors in our success. But equally important is our incredible quality of life. Life outside the office simply

couldn’t be better than it is in Kentucky.

I hope you enjoy reading about the many advantages Kentucky offers to new and expanding businesses,

and I encourage you to come and explore them for yourself. Give us a call; we want to help you write your

own success story in Kentucky.

Sincerely,

SEE VIDEO ONLINE | Take a virtual tour of Kentucky at kyedg.com, courtesy of our award-winning photographers.


overview

Diverse, dynamic business base makes Kentucky a powerhouse brand

AmbitionUnbridled


business climate


business climate

Kentucky displays natural beauty in every part of the state. JEFF ADKINS

K E N T U C K Y E C O N O M I C D E V E L O P M E N T G U I D E K Y E D G . C O M 29 K E N T U C K Y E C O N O M I C D E V E L O P M E N T G U I D E K Y E D G . C O M 29

JE

FF

AD

KIN

S


business climate

W hile Kentucky will always be known for its equine cul-ture, the commonwealth’s

increasingly varied business base shows that its economic development leaders aren’t horsing around.

Contributing to a state Gross Domestic Product that tops $154 billion are headquarters for a slew of globally recognizable brands such as printing and imaging equipment supplier Lexmark International Inc.; restaurant companies Papa John’s and Yum! Brands Inc., parent of KFC, Pizza Hut, Taco Bell and Long John Silver’s; and energy com-pany Ashland Inc. Louisville’s Humana Inc. is the nation’s largest publicly traded health-benefits company.

Animal-health and nutrition giant Alltech is based in Nicholasville. The state is home to more than 60 corporate or regional headquarters, including Commonwealth Brands, GE Capital and Toyota Motor Engineering & Manufacturing North America Inc.

In April 2009, the state, the University of Kentucky and University of Louisville announced a partnership with Argonne National Laboratory to establish a national Battery Manufacturing Research and Development Center in Central Kentucky to help develop a domestic supply of advanced battery technologies for vehicles.

Homegrown successes are found on a smaller scale, too. Little Kentucky Smokehouse LLC began as a family-owned business in Union County. With a forgivable loan from the Kentucky Agricultural Development Board, it has grown into a national company with product in major grocery chains.

In Nicholasville near Lexington, Alltech oversees an empire that includes offices, production facilities and distrib-utors in 113 countries.

“We use Kentucky, and the whole

Access to a highly skilled and trained workforce is a major advantage that Kentucky can offer businesses.

ScorecardKENTUCKY BY THE NUMBERS

4.26 millionPopulation in 2008

$154.2 billionGross Domestic Product in 2007

$31,826Per-capita personal income in 2008

$34,849Average annual wage and salary in 2006


Kentucky-based Yum! Brands operates several restaurant companies, including the iconic KFC. ANTONY BOSHIER

“Two great brands (came) out of this state: KFC and

Muhammad Ali. We want (Alltech) to be ... third.”

image of Kentucky, as a major part of our marketing,” says Dr. Pearse Lyons, president. “I often say that there are two great brands out of this state: KFC and Muhammad Ali. We want to be that third brand, that super brand.”

The company has stepped forward as title sponsor of the FEI World Equestrian Games, which will be held in 2010 in Kentucky, the first time they will be hosted outside Europe.

Humana points to Louisville and its employee base as major factors in the company’s development.

“Louisville is uniquely positioned at the crossroads of the region and

country, which was particu larly bene-ficial as Humana expanded from a regional player to our current status as a fast-growing Fortune 100 company,” says Jeffrey Bringardner, president of Humana’s Kentucky market.

The company points to Louisville’s “robust arts community, rich cultural history, and wealth of world-class edu-cational institutions” as major factors in its ability to recruit and retain top-tier talent.

With Humana, Yum! Brands, GE Consumer & Industrial, Brown-Forman Corp. and UPS’ international air hub, Louisville is becoming known as fertile

ground for companies to achieve national and international prominence.

“We see nothing but positive, even in a tough climate that’s forcing us to be lean,” Alltech’s Lyons says. “The beau-tiful thing about Kentucky is that it’s relatively small, so you have access to the politicians and people who can make decisions for you. … They’ve gone out of their way to introduce us to new opportunities, written letters for us to other governments and endorse what we’re trying to do. Those are powerful things, and reflect the level of support you receive here.”

– Joe Morris

SEE MORE ONLINEFor more articles on

Kentucky business and

industry, go to kyedg.com.


business climate

Regional development efforts pay off for Kentucky communities

Successful economic development partnerships are a Kentucky staple. The entire state benefits from the joint and individual efforts of groups such as the

South Central Kentucky alliance, Northern Kentucky Tri-ED and the Ashland Alliance.

The three-year-old Northwest Kentucky Forward handles economic development for Henderson, McLean, Union and Webster counties and their metro area. “Each county here was trying to do its own thing, and none was able to make the investment in either the people or the money to be successful,” says Kevin Sheilley, president and CEO. The region’s local governments had a history of cooperative efforts and shared a regional industrial park, so the new organization was a natural next step.

A chief goal is to recruit new industry to rural areas, a complicated challenge made easier with a unified effort.

“When Homecare Products Inc. located in a spec building in Morganfield, they bought equipment in Henderson, and worked with a supplier in Webster County. Everybody won with that one,” Sheilley says.

Northern Kentucky Tri-ED is considered a pioneer in regional economic development. Formed in 1987, the organ-ization promotes Boone, Campbell and Kenton counties nationally and internationally as a location for advanced manufacturing, professional office and technology-oriented projects, playing on the region’s location to major U.S. markets east of the Mississippi River, lower taxes, lower cost of living and skilled workforce.

Northern Kentucky Tri-ED provides assistance to local companies expanding their operations and works with local communities to develop resources and infrastructure to support economic development.

The South Central Kentucky alliance brings together several counties in the Bowling Green area that support a number of economic development initiatives. The Bowling Green Area Chamber of Commerce serves as lead economic development

General Motors builds the Corvette in Bowling Green, which is part of a multi-county economic development alliance. D

AV

ID M

UD

D

in NumbersStrength

agency for the alliance.“We have an understanding among all parties that when a

client locates in one county, that just doesn’t help that county, it helps the entire region,” says James N. Hizer, CEcD, Bowling Green chamber president and CEO.

The partnership grew from the 2003 formation of the Intermodal Transportation Authority, a multi-county effort to oversee Kentucky Transpark, a state-of-the-art industrial and business park in Warren County.

Today, South Central Kentucky, through the chamber’s management, offers a suite of business attraction and expansion, strategic planning and product-development services to support members’ economic development efforts. Allen, Barren, Butler, Edmonson, Hart, Logan, Metcalfe, Monroe and Warren counties, as well as Bowling Green and Morgantown are South Central Kentucky partners.

The efforts have hit pay dirt, with creation of 1,600 jobs from new industry and 1,000 more from existing industry.

“Our regional partners get it – they understand the economic impact of a project landing anywhere in the region,” Hizer says. – Joe Morris


business climate

Western Kentucky University STAFF PHOTO

SEE MORE ONLINEFor more articles on Kentucky

colleges and universities,

go to kyedg.com.


education

Expanding intellectual capital builds the state’s business base

Property

Expanding intellecbuilds the state’s b

RightsK E N T U C K Y E C O N O M I C D E V E L O P M E N T G U I D E K Y E D G . C O M 37

T hrough on-campus research and development that often is patented and spun out into private-sector businesses, Kentucky’s higher-education institutions

are doing their part – and more – to grow the Bluegrass State’s book of business.

Small-business development centers, organizations to promote entrepreneurship and multiple other programs and activities blend town and gown in ways that continue to grow business across many industry sectors.

At the University of Kentucky, partnerships with local and state economic development officials, as well as entities such as the Von Allmen Center for Entrepreneurship are front and center when it comes to business outreach, as is the groundbreaking Office for Commercialization & Economic Development, says Len Heller, vice president for commer-cialization and economic development.

Heller also serves as president and CEO of Kentucky Technology Inc., the university’s investment arm for technology-based businesses and startups.

“When this office was created in 2006, the goal was to put together the various economic development efforts that we do, and also to develop an outreach campus as part of this operation,” Heller says. “Now we have a business development unit that helps startup businesses with business plans and models to get them in the right frame of mind.” The intellectual property generated at the university begins the commercialization process out of the office, as well. “We get it patented, license it and start a company around it,” he says.

The office is focusing on Kentucky’s major business assets, such as the equine industry and the pharmaceutical sector,

UNIVERSITY OF KENTUCKYwww.uky.eduEnrollment: 26,900

UNIVERSITY OF LOUISVILLEwww.louisville.eduEnrollment: 21,800

WESTERN KENTUCKY UNIVERSITYwww.wku.eduEnrollment: 19,800

EASTERN KENTUCKY UNIVERSITYwww.eku.eduEnrollment: 16,000

NORTHERN KENTUCKY UNIVERSITYwww.nku.eduEnrollment: 15,100

MURRAY STATE UNIVERSITYwww.murraystate.eduEnrollment: 10,000

MOREHEAD STATE UNIVERSITYwww.morehead-st.eduEnrollment: 9,000

KENTUCKY STATE UNIVERSITYwww.kysu.eduEnrollment: 2,700

More Insight KENTUCKY’S PUBLIC UNIVERSITIES

The Centennial Year Statue by Felix de Weldon on the campus of Eastern Kentucky University in Richmond A

NT

ON

Y B

OS

HIE

R


education

Research initiatives on Kentucky college campuses have spurred private-sector enterprise.

using established businesses as wheelhouses for economic development while newer indus-tries are being spun out from the school or are created within the community.

“We now have 55 early startup companies in Lexington and the Bluegrass area that we’ve helped develop in the last two years, and we’ve gotten $64 million in investments for them,” Heller says. “We believe that by working with the state and our partners, we can recruit a lot of big companies, but now we also believe we can grow our own as well.”

LASER FOCUS IN LOUISVILLEThere’s a laser focus on new economic clusters

at the University of Louisville, whose three campuses host a wide variety of research and development efforts.

The university also is contributing to the state’s workforce at the highest levels, awarding record numbers of baccalaureate and doctoral degrees, as well as producing seven Fulbright scholars in both 2007 and 2008, says Ellen de Graf fenreid, director of the Of f ice of Communications and Marketing at the university’s Health Sciences Center.

“Moving ideas from the mind to the

marketplace is a major focus at the University of Louisville,” she says.

In addition to offering one of the nation’s most-generous intellectual property policies to faculty inventors, the university has focused on developing infrastructure to assist in patents, licensing, commercialization and the formation of business enterprises.

Key portions of that infrastructure include the university’s Office of Technology Transfer, which works with researchers to move the university’s intellectual assets into the marketplace while also protecting the data and technology developed on campus.

That effort has led to more than 50 full-time jobs, 114 material transfer agreements and more than $19.7 million in seed and venture capital funding rounds.

“Research is economic development,” says Dr. James R. Ramsey, president of the University of Louisville. “It brings new dollars to the state through research grants with a multiplier effect that we estimate at $2 for every $1 our researchers bring in. Research creates new companies and jobs and improves the quality of life in our community.”

– Joe Morris

More students are enrolling in college in the Bluegrass State. Undergraduate enrollment has increased 40 percent and graduate enrollment 20 percent in the last 10 years.

Degrees and credentials awarded by Kentucky colleges and universities have increased 94 percent since 1997, and there has been an 89 percent increase in degrees and credentials awarded in science, technology, engineering and mathematics fi elds.

More Insight

JE

FF

AD

KIN

S


education

Community college system boosts workforce-training initiatives

In 1997, the Kentucky Community and Technical College System (KCTCS) was formally composed by the state Legislature,

the hope being that a unified organization would improve delivery and expand opportunities at the state’s two-year colleges.

A decade later, the legislation’s intent has been met – and then some.

Some 16 colleges and more than 65 campuses serve individuals around the state looking to further their education by obtaining a two-year degree, certificate training or other coursework. Enrollment numbers continue to soar, as do the number of companies that utilize the various institutions for workforce training and development, which shows that the KCTCS continues to meet a vital need, says Dr. Keith Bird, chancellor.

“We look at the workforce role of community colleges as a three-legged stool,” Bird says. “There’s the transfer of education to four-year colleges, workforce training itself and then all the other things we do around development and adult education that prepares people to be in the workforce. When the system was created in 1997, the focus really was on business and industry getting a more responsive system than what had existed before. Everything we do is about preparing people for the workforce.”

A major tool utilized by KCTCS is the Kentucky Workforce Investment Network System (WINS) program, created in 1997 in tandem with the college system with $12 million in seed money.

Its goal is to assist with business and industry training programs.

In the last 12 years, 716 projects have been initiated, Bird says. The system also has worked with the U.S. Department of Labor and other workforce-related entities within the state to grow job-training programs, such as the auto-motive center of excellence at Toyota’s North American Product Support Center in Georgetown, and multiple grants from the National Science Foundation.

“We are fostering relationships for the future and looking to build up on the types of grants we have been getting,” Bird says. “We are focusing on the skills-gap issue because of the shortage we face in a number of areas because of retirement and because of what’s not coming through the system.”

A major issue with the workforce development in many states is the “pipeline” issue, Bird says. But programs to feed the pipeline won’t work if they are not coordinated with career and technical education programs at the high schools and the universities.

“We have to play an even more aggressive role with the state in terms of not just getting people back into the workforce, but also developing new jobs and training for industries that are just beginning to emerge,” he says. “Because of the way we were created, we have a very strong system. If Hopkinsville doesn’t have a program they need for a company in the area, we can get it down there.”

– Joe Morris

THE KENTUCKY COMMUNITY AND TECHNICAL COLLEGE SYSTEM

WWW.KCTCS.EDU

KCTCS is comprised of 16 two-year colleges and more than 65 campuses and other locations open or under construction. This system allows students to move easily among programs and institutions as they pursue academic and technical degrees and workforce training.

Enrollment in KCTCS schools has increased nearly 60 percent since the system’s inception in 1998, with more than 81,000 students now enrolled in some 1,700 credit programs.

More Insight

A Winning Formula


Berea College and Eastern

Kentucky University (EKU) in

Madison County are a good

example of what plays out in

communities across Kentucky –

colleges and universities that

offer a variety of programs that

match the needs of residents

and employers alike.

Berea, a liberal arts institution

founded in 1855, was the first

college in the South to be

coeducational and racially

integrated. Its 1,500 students

pay no tuition but are involved

in a full-participation, work-

study program while working

toward degrees in 31 fields of

study. That philosophy of

requiring students to work their

way through school resonates

with the community, says

David K. Tipton, dean of labor.

“The college develops

partnerships with a wide

variety of organizations in

the community and region

to provide opportunities for

students to work and perform

internships in settings related

to their major as well as in

community-service settings,”

Tipton says.

Eastern Kentucky University

also offers an array of academic

programs and other services

that benefit area residents and

businesses. EKU, founded in

1874, has 168 undergraduate

and graduate programs, with

about 16,000 students on its

main campus in Richmond and

five satellite locations in the

eastern half of the state.

EKU has been recognized by

U.S. News & World Report for

its graduate programs, ranking

60th for Top Southern Master’s

Universities, while its

occupational therapy program

was ranked 24th in the

magazine’s America’s Best

Graduate Schools 2009 listings.

And while the accolades are nice,

the university also is working

to fulfill a larger role within the

community and region, says

Dr. Doug Whitlock, president,

citing the Center for Economic

Development, Entrepreneurship

and Technology as one example.

“We are getting increasingly

involved in the whole area of

regional stewardship, carrying

the outreach of the institution in

an economic development sense

to our entire 22-county service

region,” Whitlock says. “We feel

good about that.” – Joe Morris

From Classroom to the CommunityCOLLEGES AND UNIVERSITIES FORGE STRONG LOCAL TIES


education

ScorecardBROWN’S FOOTPRINT

5.2 millionSquare footage of UPS Worldport facility

$1 billionValue of latest expansion at Worldport

5,000New jobs created by Worldport expansion

350,000Packages per hour processed at Worldport


UPS expansion in Louisville delivers new business for Kentucky

G eek Squad founder Robert Stephens says the computer service company can work

anywhere, citing locations in London and Madrid as well as stand-alone U.S. shops and operations within parent company Best Buy.

But when the time came for Geek Squad City, a self-contained hub where hundreds of agents work to repair computers within 24 hours of receiving them, the destination of choice was suburban Louisville.

“The most important thing we need is access to parts, with the one-day turnaround, and there are a lot of parts suppliers. And we certainly love UPS,” Stephens says.

UPS loves Kentucky, too. The ship-ping giant started in Louisville in 1982 with 150 employees and a mere 200,000 square feet. It is in the midst of a massive expansion of its Worldport, next to the Louisville International Airport, a $1 billion project that will grow the footprint to 5.2 million square

What

The UPS Worldport facility in Louisville was a major draw for Geek Squad City.

BrownBluegrass

Does forP

HO

TO

S B

Y A

NT

ON

Y B

OS

HIE

R


transportation

feet and create another 5,000 jobs.“We looked at a lot of locations,” says

Tom Volta, UPS vice president of human resources in Louisville. “Louisville provides us with the best opportunity. Most locations in the U.S. are within three days. It is the farthest western portion of the Eastern time zone.”

When it came time to expand, the region still made sense.

“We already had the infrastructure in place,” Volta says. “The economy in Kentucky is not subject to high swings. It stays pretty level.”

The Worldport expansion’s first phase will open in 2009 and boost UPS’ sorting capacity from 304,000 packages per hour to 350,000 packages per hour. The second phase aims to tackle 416,000 packages an hour.

The vast facility already has docks at its buildings for 44 airplanes and is adding 26 more, Volta says. The expan-sion will add 1.2 million square feet and nearly triple the miles of conveyor belts to 170. The presence of UPS is a major draw for logistics and distribution operations. Greater Louisville is a

frequent component of Expansion Management magazine’s Top 10 markets for logistics. Amazon.com has distri-bution centers in Taylor, Fayette and Boone counties. Geek Squad City opened in Hillview in 2006 with 165,000 square feet of space and hundreds of “agents.” On a quiet day, UPS delivers 1,500 boxes, according to Geek Squad’s Web site.

Stephens credits the quality of life in the Louisville area as another factor in the company’s ability to recruit and keep people. Agents from other Geek Squad locales want to transfer to Kentucky, he says.

“It’s a good economic climate; there’s a steady supply of talent. It’s certainly a

nice place to live and centrally located,” Stephens says.

Hillview is in Bullitt County, which also is home to distribution centers for Zappos Shoes. The county has also attracted Alliance Entertainment, which handles video games, books, DVDs and other merchandise for big U.S. retailers; Gordon Food Service; APL Logistics; and a pharmaceutical division of Johnson & Johnson, among others.

“UPS has been the main driver from my point of view,” says Bob Fouts, d irector of t he Bu l l it t Count y Development Authority. “It really has had an impact. I’ve been here five years, and we’ve located 20-plus companies.”

– Pamela Coyle

“It’s a good economic climate; there’s a

steady supply of talent. It’s a nice place

to live and centrally located.”

AN

TO

NY

BO

SH

IER

A $1 billion expansion at the UPS Worldport facility in Louisville will increase handling capacity to 350,000 packages per hour.


transportation

Kentucky’s seven inland ports are primed to handle more cargo

Kentucky’s seven inland ports want to be bigger players in the state’s transportation matrix

and are positioning themselves to take on more and larger cargo.

The Owensboro Riverport, for example, spent $5 million on a 102-acre rail loop in 2008 that will be able to accommodate 100 rail cars.

“It was a big bite for us,” says Ed Riney, CEO of the Owensboro Riverport. “But the real purpose is for long-term development, and we have long-term plans that would include the airport as well as rail.”

Miles Farm Supply, which owned the land, is building a $10 million facility for bulk fertilizer storage on port property, with a long-term lease.

Grain, fertilizer and aluminum are among Owensboro’s biggest commod-ities, along with paper products from a local Kimberly-Clark mill.

Owensboro and the Paducah-McCracken County Riverport move

BR

IAN

MC

CO

RD

The Ohio River gives Kentucky a major shipping channel. The state is home to seven inland ports. JEFF ADKINS

Opportunity Docks


transportation

about 1 million tons a year each.Greenup-Boyd County, Jefferson

County, Henderson County, Hickman-Fulton County and Lyon County also have active port facilities.

The Paducah Riverport is considered the northernmost ice-free port facility in the United States and sits at the confluence of the Tennessee-Tombigbee Waterway, the Ohio River and the Cumberland River.

“We are basically a day or a day-and-a-half drive from 65 percent of the U.S. population,” says Ken Canter, who serves as president of the Kentucky Association of Riverports and port director at Paducah-McCracken County. “We are the first port you come to after the Mississippi.”

The port has a 150,000-square-foot warehouse under lease, outside storage capacity for 200,000 tons of limestone or sand, and 230 acres available in a Paducah industrial park.

It can handle containers less than20 tons but, like its peers, wants to get into the growing business of moving larger containers. “The next phase is in barge transportation in containers,” Canter says.

Unlike similar facilities in other states, Kentucky’s ports are self-sup-porting and don’t receive state or local funds. The association is getting the word out that ports can help reduce interstate congestion. Its new Web site, www.kentuckyriverports.com, touts cost effectiveness: one gallon of gas can move one ton of cargo 155 miles by truck, 413 miles by rail or 576 miles by inland towing.

– Pamela Coyle

The Ohio River between Indiana and Kentucky carries a high volume of

cargo-loaded barge traffic.


transportation

JE

FF

AD

KIN

S


AN

TO

NY

BO

SH

IER


health care & biotechnology

Kentucky Bioprocessing in Owensboro is a leader in plant-based pharmaceutical research.

Research initiatives spawn health-care and biotechnology breakthroughs

in the ArmShotA

F rom developing immunotherapy to extracting proteins from plants, Kentucky’s health-care and biotechnology sectors are leveraging the state’s strong

research base to build the next generation of employers.ApoImmune in Louisville is developing treatments that

allow patients to use their own immune systems to fight chronic and life-threatening diseases. Through these efforts, the company could develop treatments for cancer, tuberculosis and diabetes. A novel vaccine for cervical cancer could start Phase I clinical trials in 2009.

In Owensboro, Kentucky Bioprocessing has invested millions of dollars to express, extract and purify plant proteins. Under the leadership of Chairman Hugh Haydon, Kentucky Bioprocessing offers controlled plant-growth and processing facilities and can leverage the expertise of the Owensboro Cancer Research Program.

In September 2008, the company, whose principal investor is Owensboro Medical Health System, announced it was collaborating with Germany’s Bayer Innovation GmbH to develop a biopharmaceutical production service facility in Owensboro. The company owns numerous patents related to the expression of genes in plants, biomanufacturing, novel plant varieties and antibodies.

3DR Laboratories was created in 2005 to free hospitals and imaging centers from spending thousands of dollars for equipment to process their own MRI images. Instead, 3DR and its radiology technicians do the work for them, creating a


Kentucky-based companies are creating breakthroughs in all areas of health care, including the processing of MRI images.

JE

FF

AD

KIN

S

business that serves hospitals and groups across the country.“It’s grown unbelievably, especially since the economic

turmoil that hit this past year, because there are no capital budgets to be spent on this,” says David Ferguson, senior manager at 3DR.

In addition to saving providers money, 3DR is saving them time with a 24/7 model that allows for quick turnaround of the scans.

The state has fostered innovation in the health and biotech sectors through a number of programs that provide resources, expertise and funding.

UK’S BEST IN THE NATIONThe College of Pharmacy at the University of Kentucky has

become one of the best in the nation and is building a $155 million facility that will train pharmacists under one roof.

On the drawing board for a decade, the 286,000-square-foot center was needed to handle the growth in enrollment and activities in the college.

“It’ll be the finest pharmacy education environment in the nation and, frankly, one of the finest – if not the finest – in the world,” says Dean Kenneth Roberts.

The college has helped spur innovation that has led to

creation of new enterprise.Coldstream Laboratories Inc., for example, opened in 1991

as the Center for Pharmaceutical Science & Technology, a unit of the College of Pharmacy, and completed more than 200 development projects that led to clinical trials.

In 2007, the CPST became a 30-employee private company, Coldstream Laboratories, which offers analytical, formulation development and pharmaceutical manufacturing services.

The College of Pharmacy has enlarged the class size for its four-year program. The school now can admit as many as 132 applicants, up from 88 when Roberts joined the faculty, from a pool of more than 1,000 students every year.

The school has migrated to more active learning from students, with roughly a third of the curriculum being experiential. In fact, the entire fourth year of class is spent on rotations mentored by community-based faculty at hospitals and pharmacies.

The college even employs actors in the Lexington com-munity to play the role of patients so students are prepared for every eventuality. More than 85 percent of graduates take their first jobs in Kentucky.

“We’re preparing the learners to be pharmacists for the rest of their lives,” Roberts says. – Roy Moore


health care & biotechnology

The University of Louisville

is a driving force behind a life-

sciences hub being created in

the city’s downtown.

Under the Nucleus:

Kentucky’s Life Sciences and

Innovation Center banner, the

university and its development

foundation are working with

city and state economic

development entities, major

businesses and medical

institutions to create a life-

science research park at UofL’s

30-block Haymarket property

in the city’s medical-university-

riverfront corridor.

Those efforts are at the core

of the university’s commitment

to propel the $2.3 billion

development forward and

make Louisville a globally

known life-sciences hub.

The Nucleus Life Science

and Innovation Center will

house multiple facilities in

close proximity to expedite

collaboration and shared

expertise among researchers

and companies.

The park will cluster

resources and connections to

grow business in a campus-like

environment. Facilities will

include wet and dry laboratories

for research, state-of-the-art

clean-room technology and

office space.

Through its research, UofL

has moved 22 life-science

startups into the marketplace

since 2000. University officials

see Nucleus, coupled with the

world-class expertise in life

sciences at UofL, as a catalyst

in recruiting companies from

across the country.The university’s Nucleus

effort grew out of the Louisville Medical Center Development Corp., an affiliate formed in 1997

to coordinate common interests for downtown Louisville hospitals.

The university has been a

driver in several life-sciences

initiatives, including creation

of the MetaCyte Business Labs

business incubator and the

establishment of a special tax-

increment-financing district that

is expected to generate more

than $300 million.

That funding would be

targeted at developing the

Haymarket property and

implementing UofL’s master plan

for its health-sciences campus.

For more on Nucleus, go to

www.nucleusky.com.

The Nucleus of an IdeaUNIVERSITY HAS GRAND VISION FOR LIFE-SCIENCES DEVELOPMENT


SEE MORE ONLINELearn more about Kentucky’s

attributes as a place to live

and work at kyedg.com.


livability

Kentucky’s ease of livingbeckons business and families

Home

MyNewKentucky

Natural beauty and a relaxed lifestyle are among the attractions drawing new residents to Kentucky. PHOTO BY TODD BENNETT


Philippe Garnier moved from his home near Paris, an international city renowned for its culture, cuisine and romance, for a job in Kentucky. His family was so

comfortable with the decision, they made it twice.Employed by Messier-Bugatti, a world leader in the field of

aeronautical braking and carbon brakes, Garnier accepted a position that first brought him to Walton, Ky., in 2001 for a three-year assignment.

“We liked it enough the first time,” Garnier says, “that when I received an offer for another position within the

company a few years later, we came back.”Like Garnier, many people who come for a job or vacation

decide to make the Bluegrass State their home for a lifetime. With a combination of Southern hospitality and Midwestern ethos, Kentucky charms with its history, natural beauty and relaxed lifestyle.

Messier-Bugatti USA chose Walton for a number of reasons, including generous state and county incentives, low cost of energy and proximity to an international airport. A skilled workforce has allowed Messier-Bugatti USA to successfully

In addition to splendid settings, Kentucky offers a range of cultural and recreation options that will suit any lifestyle.

“There’s no rush here, no traffi c and outdoor life is so easy.

A few miles in any direction you fi nd a beautiful park.”

BR

IAN

MC

CO

RD


livability

BR

IAN

MC

CO

RD

BR

IAN

MC

CO

RD

AN

TO

NY

BO

SH

IER


livability

grow from zero to 200 employees in less than 10 years.“The cost of living is low, the environment is very safe, and

the school system is quite good,” says Garnier, who has two daughters. “There is no rush here, no traffic problems, and outdoor life is so easy. A few miles in any direction you will find a beautiful park.”

Garnier and his family enjoy the temperate climate, often dining outdoors into late October.

“One of my daughters is into horseback riding,” Garnier says. “The farm is not far away, and it is quite easy to do.”

The family appreciates being close to larger city centers with a range of theater, dining and sporting events. They enjoy a variety of amenities without living in a big city.

KENTUCKY HAS DEEP POOL OF TALENTA well-trained, educated population drew Dr. Eric Ostertag

to Lexington, where he relocated his company from Philadelphia. Transposagen Biopharmaceuticals operates within the business incubator on the University of Kentucky campus. The UK Advanced Science and Technology Commercialization Center (ASTeCC) is a combination faculty research facility and commercialization center with labs for business startups.

“We needed to be near an academic institute for senior scientists and technicians,” Ostertag says. “Hiring talented people here is easy.”

The state has a matching program for a government grant Ostertag’s company received from the National Institutes of Health. “Kentucky was the first in the nation to offer that type of grant,” Ostertag says. “That’s what originally attracted me, but the quality of life and cost of doing business make it a good choice.”

Lexington has a college-town feel. The airport is easily accessible with direct f lights to major cities. The city has been good at limiting urban sprawl, and there is much to do nearby.

“On weekends, I enjoy the art museum at UK, the philharmonic, the Kentucky Horse Park,” Ostertag says. “There are lots of restaurants and music venues. In general, the people are friendly, customer service is excellent, and it’s a good place to raise a family. In all respects, Kentucky has met or exceeded my expectations.”

– Claire Ratliff-Sears

Horse racing and the equine business are a Kentucky passion and major industries. Top left: The Kentucky Center for the Performing Arts is a Louisville cultural draw. Top right: The restaurant scene is lively in Lexington.


ST

AF

F P

HO

TO


livability

Kentucky communities catch on as desirable retirement destinations

Kentucky offers an abundance of communities that are not only great places to live and work – but also great places to live after work.

Just ask Cliff Stilz‚ a retired banker who lives in Mt. Sterling in Montgomery County. “Basically‚ for me‚ Mt. Sterling has everything I need‚” he says. “We’ve got good recreational facilities‚ two nice golf courses‚ and we’re close to Lexington to see college sports‚ great arts and opera and that kind of thing. And we’re relatively affordable.”

Reasonable living costs, quality cultural amenities and diversified health-care facilities are breeding active senior-related tourism and retirement economies.

“Our retirement community is growing,” says Judy Cox, director of the Campbellsville/Taylor County Chamber of Commerce. “We get inquiries from Florida to Michigan to Las Vegas, mostly people who are looking to get out of major metropolitan areas and have heard about us from articles that mention our community, and the state, as a retirement destination.”

Locales such as Campbellsville, Danville, Glasgow, Madisonville, Maysville, Morehead, Murray and Richmond have met state retirement-community certification require-ments for housing options and cost, climate, personal safety, work opportunities, health care and other services related to the continuum of aging, transportation, continuing education, leisure living, recreation, performing arts, community

support, and festivals and events. Danville-Boyle County has earned plaudits as a place to

live from national media outlets such as Time and Where to Retire magazines.

“When you’re ranked highly in those national magazines as a retirement community you get some interest, so we work with those people when they come through the door,” says Adam Johnson, executive director of the Danville-Boyle County Convention & Visitors Bureau.

Other areas play the hand they’ve been dealt, and do it effectively, by capitalizing on their location.

“Most folks who retire come down here from up north, and they find that they can buy a lot more floor space and a more luxurious house than what they had before,” says Ernie Myers, executive vice president of the Glasgow-Barren County Chamber of Commerce. “We also have a lot of retirees here now, so that segment of the community has been growing on its own as well as with our help.”

The T. J. Sampson Community Hospital is now a regional facility, and the Glasgow-Barren County area also has several other facilities that provide the full spectrum of health care from doctor’s offices to assisted living and full-scale nursing home facilities. That’s key to an aging population, and it’s often a deciding factor for new residents, Myers says.

“Having those options along with everything else makes us quite attractive,” he says. – Joe Morris

Opportunity

Retired banker Cliff Stiltz enjoys time with grandson Jacob at his home in Mt. Sterling.

Golden


©2002 American Cancer Society, Inc.

questions

answers

8 0 0 . A C S . 2 3 4 5 / c a n c e r . o r g

Home to two of the world’s natural rock wonders, Natural Bridge and the Red River Gorge, Powell County, Kentucky is also home to rock solid industrial and business development opportunities.

AVAILABLE LAND: Clay City Business Park and Stanton Industrial Parks

ACCESS: Powell County, Kentucky is located approximately 40 miles east of Lexington via I-64 and the Mountain Parkway. Located immediately off the four-lane Mountain Parkway, Powell County blends small-town charm with easy access to larger cities. Transportation is further enhanced with a local UPS hub and airport.

FINANCIAL INCENTIVES AND WORKFORCE: Designated a KREDA tax credit community, Powell County, Kentucky offers an eager workforce with strong rural work ethic.

CONTACT: Powell County Economic Development P.O. Box 10 Stanton, KY 40380 [email protected] (606) 663-2156 www.powellkentucky.com

Photo courtesy of timwebbphotography.com

BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBUBUBBUBUBUBBUBBBUBUBUBUBUBUBUUUUUUUUBUUUUUUUUUUUUUUUUUUUUUBUBUBUBUBUBBUBUBBUBUBUBUBUBUBBUBUBUUUUUUUUUUUBUUUUBUBUBUBBBBBBUBUBUBUBUBUUUBUUUUUUUUBBUBBBBUUUUUBBUBBBBBBUUUUUUBUUUBBBBUUUUUUUUBBUBBBBBBUBUUUUUBUBBBUBUBUBUBUBUBUUUUBUUUUUUUUUUBBUBBUBBBUBUBUUUBUUUUUUUUBUBBBUBUBUUUBBBBBBUBBUUUBBBBBBBBBUUUBUBBUBBBBBBBUBBUUBBBBBUUBBBBBBBBUUUUUUUBBBBBUUUBBBBBBBBUBBBBBBBBBUUUBUUUBBBBBBBBBBBUUBUUBBBBBBBBBBUUUUUBBBBBBBBBBBBBUUUBBBBBBUUBBBBBBBBBBBBBBUUUUUBBBBBUBUUUBBBBBBBUUUUUUBBBBBBUUUUUBBBUUBBBBBUUUUUBBUBUBUBB SSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSININININININININININNNNNNNNINININNNNNNNINNNNNNNINNNNNINIIINININININININNINININNINNNNIINININIININNINININNININNNNNIINININNNNNINNNNININININIININININNNNNININININNNINNINNINNINNNNINIINNNNINNNNNNNNNNNININININNNNNNININIININNNIIINNININNINIINNININNININNNNIININININNINNNNNNNIIININNININNNNIIINNNNNNINNNNNNINNNNNNNINNNNNNNNNNNNNINNNNINIIIIINNNNNNNNNNIIIINNIININEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEININNNINI EEEEESSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPP OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOPPPPPPPPPPOOOOOORRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRTTTTTTTTTTTTTTTTTTTTUTUTUTUTUTUTUTUTUTUTUUTUTUTUUUUUUUUUUTTTTTTTTUTUUUTUUTUTUTUTUTUUTUTUTUTUUUUTTTTTTTTTTTTUTUTUTUTUUUUUTUTUTUUTUUUTTTTUTUTUTUTUTUTUUTUUTUTTTTTTTTTUTUTUTUUUTUUTUTUUTUTUTUTTTUUTUTUTTTTUUTTTUTTUUUTTTUUUUUTTUUUUTUTTTUTTUUTUUTUUUUUUUTTUUUUUUTUTUTUUTTUUUUUTUTTUTUTUTUUUUUUUTTTTUTUUTTTTTUUUTUTTTUTTUUTUUTTUUTUTTTUUUTTTTUTTTUTTTTUTTUUUTUTTUTUUUUTTUTTUTUTTTUUUTTTTUTUUUUUUTTUTUUUUUUUUUTTUTTTTUUUUUUUUUUUUUUNNNINNNNINNNNNINNNNNNNNNNNNININININININIIIININNNNNNNNNNNNNINIININININININININNNNNNNNNNNINIIININNINNNNNNIININININININNNNNNININIININININIINNINNNINNININININININININININININNNNNINININININNINNNNNNINIININININIINININNNININININININNNNNNINIINININNNINIINININININININNNNININININNININININININIININNINNINNINNNININIIIIININNININNIIINIINININNNNNNNNIININNNNNINNNNINNNNNNNNNIIIIINNNNNINNNNNNNIININNNNNIIIINNNINNNNNNIINNNNNINNNNNNNNNNNNINNNNNNNNINNNNNNNNNNNNNINNNNNINNNNNNNININNNNNNNNNNNNNIINNNNNNNNNNNNIIIITTITITTTITITTTITTTITTITTTTTTIIIIIIIIIITIITTTTTTTIIIIITTITITITITITTTTIIIIIIITITTITITITITTTITTIIITTITITITTITTITTITTITITTTIIIIIIIITITITITTTITTITTTTITIIIIIITITITTTTITITITITTTTIIIIIIIIIITITTTTTTTTTTIITIIIIITTTTTTTTTTTITTTTIIIIITTTTTTTTITTTIIIIITTTTTTTTTITITITIITITIITITTTTIIITITTTTITITIITIITITITTTITITITTTTIIIIITTTTTTTTITIIIITIITTIIIIITTTTTIIIIITITTTTTTTITITTTTTTTTITIIITTTTTTTITTTTTTTTITIIITTTTTITTTTTTTTTTTTTITTTTTITTTTTIEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEETTUTUTUTUTUNNINININIITITITITIT EEESSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS ................................. .. .......................................................................................................PPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEELLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL CCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYY KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYPPOOWWEELLLL CCOOUUNNTTYY KKYYPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEELLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL CCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYY,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYPPPOWELLLLLL CCCOUNTYY,,, KKKYYPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWWEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEELLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL CCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCCOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUUNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYY,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,, KKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKKYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYYPPPPOOOWWWEEELLLLL CCCCOOOUUUNNNTTTYYY,,, KKKKYYY


Spoonbread, a signature dish

at the historic Boone Tavern,

remains a menu fixture at the

Berea restaurant and hotel that

opened a century ago.

Spoonbread, made of

cornmeal, salt, baking powder,

eggs and boiling water, dates

to the mid-19th century.

Boone Tavern, which opened

in 1909 as a place for Berea

College visitors to dine and

stay, is celebrating its 100th

birthday in 2009.

The tavern, named for

Daniel Boone, reopened in

late February 2009 following a

$10.8 million renovation. Aside

from classic dishes such as the

spoonbread, the new menu

features choices for the health-

conscious. Diners also will

enjoy a slice of birthday cake

following their meals

throughout 2009.

In 2009, Boone Tavern

expects to become the first

hotel in Kentucky to gain LEED

certification as a green building.

“Boone Tavern has served as

the cornerstone of hospitality

for the region since 1909,” says

Gary McCormick, general

manager. “We want to be the

premier hotel in the region for

the next 100 years.”

At the 36-year-old Berea

Farmers Market, patrons find

offerings from up to 20 local

growers. The market is “grower-

only,” says founder Bill Best. “You

have to produce everything that

you sell. Growers tend to pride

themselves on quality. Farmers

markets have been good about

bringing people back to at least

a minimal understanding of what

food is really like,” Best says.

“People are beginning to realize

they need to be more aware of

where their food comes from.”

– Anne Gillem

A Recipe for SuccessLANDMARK RESTAURANT CELEBRATES A MAJOR MILESTONE

JE

FF

AD

KIN

S

Vendors at the Berea Farmers Market sell only what they grow.


livability

Bluegrass State takes a lead in green-energy technology

T he Bluegrass State is going green, and old-line industries are leading the way.

Companies as disparate as coal developers and animal feed firms are developing renewable or clean energy, with the aim of powering Kentucky’s businesses in the future.

Gov. Steve Beshear has unveiled the state’s first-ever comprehensive energy plan, which calls for reducing green-house gas emissions and creating 40,000 jobs tied to energy production and conservation by 2025.

The governor wants to increase renewable energy, boost biofuels, develop a coal-to-gas industry and encourage carbon capture/sequestration.

In April 2009, the state, University of Kentucky (UK) and University of Louisville (Uof L) announced a partnership with Argonne National Laboratory to establish a national Battery Manufacturing Research and Development Center in Central Kentucky. Argonne is the nation’s leading federal lab for transportation-related research and development.

The center’s major goals will include supporting

development of a viable U.S. battery manufacturing industry and making it easier for federal labs, universities, manufacturers, suppliers and end-users to collaborate. It also will develop advanced-manufacturing technology to reduce advanced-battery production costs and accelerate the commercialization of technologies developed at national laboratories and universities.

The center is being located in Central Kentucky to leverage the expertise and research facilities at the two universities.

“The market is expanding, and

the need to replace fossil fuels

is becoming more apparent.”

Already a world leader in animal health, Central Kentucky-based Alltech is branching into biofuels development. ANTONY BOSHIER

Fueling Innovation


energy

Big Sandy Regional Industrial

Development Authority

Floyd – Johnson – Magoffin – Martin – Pike

The Energy to Move America Forward

(606) 886-2374www.bsrida.org

Industrial Park

Complementary research and development capabilities and facilities will also be located at Argonne.

Such moves put Kentucky at the forefront on green-technology job creation.

Peabody Energy is teaming with ConocoPhillips to build a plant in Muhlenberg County that will turn coal into a cleaner form of natural gas.

The four-year development project allows Kentucky to leverage its abundance of coal while burning fuel cleanly.

If approved, the project will take four years to build, create 1,200 construction jobs and 500 long-term jobs, and produce nearly $100 million in regional economic benefits each year.

As part of this “mine mouth” gasif ication project, ConocoPhillips will employ technology that will be used to produce clean-synthesis gas that is transformed into clean-burning natural gas.

Kentucky NewGas will produce emissions of less than 5 percent of the emissions of a comparably sized traditional coal plant. The plant aims to capture the carbon dioxide that could be permanently stored or used for enhanced oil recovery.

Alltech, which is based in Central Kentucky, is proving that

companies unrelated to energy have an opportunity to thrive in this sector. For nearly three decades, the company has been one of the world’s top animal-health companies, selling animal feed to buyers worldwide. Now it has identified new opportunities with its extensive knowledge of ethanol.

Alltech has plans for a $70 million commercial cellulosic ethanol plant in Springfield, aided by a $30 million grant from the Department of Energy and $8 million from the Kentucky Economic Development Finance Authority.

The rural community biorefinery would be one of the nation’s f irst to use cellulose such as switch grass and corncobs at raw-material rates of up to 30 percent. This material is converted to ethanol.

“The appealing aspect of using cellulosic materials is that it is considered a waste product by most – that being corn stover, saw dust, waste paper and pulp,” says Mark Lyons, the company’s international projects director. “The market is expanding, and the need to replace fossil fuels is becoming more apparent with the limited supply, the vulnerability of foreign energy, national security, and the competition for grains for human and animal nutrition.”

– Roy Moore

Alltech, headquartered in Central Kentucky, has plans for a $70 million biorefinery project in Springfield.


energy

Energy loves company

Western Kentucky has the perfect combination of waterways, business infrastructure, natural resources and proximity to major markets. If you are looking for a region with all the advantages, then let us be your partner in success …

www.bigrivers.com

www.JPEnergy.com Graves Growth Alliance Inc. Livingston Industrial Development Authority Marshall County EDC Greater Paducah Economic Development Authority Purchase Area Regional Park

www.kenergycorp.com Crittenden County EDC Greater Owensboro EDC Hancock County Industrial Foundation Lake Area Partnership Madisonville-Hopkins County EDC Northwest Kentucky Forward Ohio County Industrial Foundation

www.mcrecc.coopBreckinridge County United Meade County-Brandenburg Industrial Authority

www.sweda.org

Springfield-Washington County Economic Development Authority

Kentucky New Energy

Ventures is a state program

that administers public funds

for investment in promising

renewable and alternative

energy companies in the state.

The $5 million fund, created

in 2007, provides one-time

grants of $30,000 and larger

equity investments that must

be matched dollar-for-dollar

by recipient companies.

The program targets high-

growth potential, early-stage,

Kentucky-based companies

that are developing and

commercializing alternative-fuel

and/or renewable-energy

technologies.

Managed by the Kentucky

Cabinet for Economic

Development through

the Department of

Commercialization and

Innovation, the program is

administered by the Kentucky

Science and Technology Corp.,

an independent, nonprofit

organization.

To date, the fund has made

equity investments totaling $1

million to two companies and

awarded $30,000 grants to six

other initiatives.

The fund made a $750,000

equity investment in Wind

Energy Corp. in Elizabethtown.

The company focuses on wind-

harvesting solutions that will be

used in commercial and

community markets.

Louisville Clean Energy

received a $250,000 investment

as part of its efforts for

renewable-energy production

facilities that will use off-the-shelf

technology to make biodiesel

fuels from feedstock such as

yellow grease, animal fat and

vegetable oil. The company plans

to build its initial production

facility in Henry County in

summer 2009.

For more on the program, go

to www.ThinkKentucky.com.

Seed Money Yields SuccessSTATE FUND GIVES LIFT TO ENERGY INNOVATION

A Kentucky fund provides investment money and grants to new energy ventures.

ST

AF

F P

HO

TO


energy

TheWorldComes Calling


global business

In the race for foreign investment, Kentucky set a strong, early pace and remains a favorite.

More than 400 foreign companies have made direct investment and employ more than 75,000 people in the commonwealth, according to a January 2009 Kentucky Cabinet for Economic Development Report.

In the last five years alone, foreign companies made $5.1 billion in capital investments and created just under 16,100 full-time jobs in Kentucky.

The Bluegrass State has nearly 160 operations owned by Japanese firms, with the investment spread among 43 of Kentucky’s 120 counties. The state is home to the largest U.S. investment of a Spanish corporation, North American Stainless, as part of the Acerinox Group, which has a $1.7 billion plant in Ghent.

“Kentucky makes a geographically compelling case when international companies are deciding on the best location for their U.S. facility,” says Larry Hayes, interim secretary of the Kentucky Cabinet for Economic Development. “Kentucky is within 600 miles of two-thirds of the U.S. population; our industrial electricity costs are consistently among the lowest in the nation; and Kentucky’s tax structure is among the most competitive in the region.”

On the export side, Kentucky ranks ninth among states in exports per capita, totaling $19 billion in 2008.

Transportation equipment, chemicals, machinery and computer and electronics products are the main exports. The

More than 400 foreign firms have made direct investment in Kentucky, employing more than 77,000 people.A

NT

ON

Y B

OS

HIE

R

Kentucky sets a fast pace for foreign

investment


three largest markets for exports are Canada, France and Mexico, respectively.

For European firms with Kentucky operations, the Euro’s strength makes expansions more cost effective. Messier-Bugatti USA, maker of wheels, brakes and other components in aircraft-braking systems, finished an expansion in 2008 that doubled the size of its original plant in Boone County.

“Northern Kentucky is fairly advantageous in respect to the manufacturing base that is here,” says Andy Short, vice president of carbon operations at Messier-Bugatti USA. “The supplies we would need were here. For transportation purposes, it is a fairly central location, regardless of where our product was going.” Messier-Bugatti has a 10-year track record in Kentucky.

Mazak Corp., the first Japanese manufacturer in the state, goes back four decades. It is the North American arm of Yamazaki Mazak Corp., a major global player in the production of machining tools.

President Brian Papke says the Florence plant has expanded “at least 14 times” and now employs about 600. The total campus is 600,000 square feet and serves the medical instrument, aerospace, automotive and oil-service sectors as well as small shops that make precision metal parts.

The company picked Northern Kentucky because proximity to Cincinnati suggested a solid manufacturing foundation, quick access to its customer base, ease of travel with a nearby international airport and potential talent available from regional universities.

“All of those things did come true,” Papke says. “Kentucky is still a good place for us to be.”

– Pamela Coyle

“All of those things did come true.

Kentucky is still a good place for us to be.”

ScorecardGLOBAL REACH

410Foreign companies that have made direct investment in Kentucky

77,046Jobs in Kentucky from foreign-owned firms

$5.1 billionCapital investments by foreign-owned firms in Kentucky from 2003-2008

$19 billionValue of exports in 2008

Source: U.S. Census Bureau

Kentucky is within one-day’s drive of nearly 60 percent of the population of the United States.

BR

IAN

MCC

OR

D

SEE MORE ONLINELearn about more businesses that

call Kentucky home at kyedg.com.


global business

Jiro Hashimoto has been

Kentucky’s chief representative

in Japan for 24 years, helping

craft and seal deals that

have brought scores of new

companies and thousands

of jobs to the state. As of

January 2009, the Kentucky


Development reported direct

investment from 157 Japanese

companies totaling 38,570 jobs.

QWhat do Japanese firms look for when they are

contemplating a U.S. location?

AThe presence of fully developed, reasonably flat industrial sites

with easy access to major airports, major highways and Japanese Saturday schools. Companies also look for a non-union environment, a community’s acceptance/enthusiasm, tax incentives and low electric costs for large power users.

QHistorically, what have been the strongest sectors

for direct Japanese investment in Kentucky and why?

AAutomobiles and auto parts because of the convenience of

two ‘auto alleys,’ namely I-75 and I-65, running in the state.

QLooking ahead, past the current economic

slowdown, what sectors show growth potential for direct Japanese investment in Kentucky?

AEnvironmentally friendly sectors such as renewable

energy-related products and hybrid/electric car components.

QDoes Kentucky have an advantage because the

state has had consistent representation in Japan?

AConsistent representation in Japan, relationship building and

“service after sale” are extremely important. Annual gubernatorial trips to Japan have been most effective in that regard.

QWhat do you hear

from first-time visitors

to Kentucky about the

state upon their return

to Japan?

ALivability is excellent, and the people are friendly.

– Pamela Coyle

Kentucky’s Man in JapanJIRO HASHIMOTO HELPS PROMOTE THE STATE’S BUSINESS


Efforts to build research enterprise create burgeoning tech sector State

Solid


technology

If Stephen Foster were alive today, he might change the title of My Old Kentucky Home to My New Economy Home to keep up with the

efforts of the commonwealth’s entrepreneurs and governmental leaders.

For the past decade, state leaders have sought to offset losses in rural manufacturing by breeding a new generation of companies that thrive in science, technology and engineering.

Those efforts to develop technology clusters are creating centers of research excellence that will support technology-based clusters serving manufacturing, material science, energy and environmental technology businesses.

Kentucky leaders hope to spur the technology to diversify the economy of the commonwealth and support businesses that could employ thousands of workers.

At the hub of much of this activity is the Kentucky Science and Technology Corp., (KSTC) which helps stimulate private investment in locally based technology companies. Much of the money comes in the form of grants and investments that help those companies grow.

More than 400 companies have received

money from three funds, and these companies have received more than $119 million in follow-on funds from both pubic and private sources.

KENTUCKY ENCOURAGES ENTREPRENEURSHIP

KSTC also administers, under contract to the Kentucky Cabinet for Economic Development, the Innovation and Commercialization Center Program, which provides advice to faculty members and technology entrepreneurs.

Kentucky has shown that it can grow tech-nology companies.

Exstream Software developed a thriving operation through its Dialogue software, which allowed companies to personalize their consumer mailings.

Growing into an enterprise that served 400 major clients and generated $100 million in revenue, Lexington-based Exstream was acquired in 2008 by Hewlett-Packard, a gold standard in the technology arena.

State officials hope to grow other companies and have several that show promise.

One, Kaba Mas Corp., has brought innovation

Left: The Kentucky Science and Technology Corp. helps stimulate tech investment. PHOTO BY JEFF ADKINS

The state offers numerous programs to support research.

KENTUCKY SCIENCE AND TECHNOLOGY CORP.

www.kstc.com

KSTC is a private, nonprofi t corporation committed to the advancement of science, technology and innovative economic development. Established in 1987, KSTC is governed by a board composed of leaders from business, education, and government.

More Insight

BR

IAN

MCC

OR

D


to an industry whose basic technology dates back 200 years. The company’s locks generate their own power so they don’t need connection to an outside source or batteries.

“Self-powered technology is what has catapulted the company to where it is today,” says Stephen Pollack, the company’s marketing manager.

A startup, StrataSpace, hopes to enjoy the same kind of success. The data center company was founded when parent company Rogers Group decided to make use of an old mine it had used. The underground nature of the mine made it an ideal spot for a data center, ensuring security to companies.

President Don Esterle says the location has more than 300,000 square feet of usable building space, with redundant power, fiber and ventilation. His company is pitching the site to businesses in need of tight security and points to its attributes, including proximity to Interstate 75 and cheap energy.

“It’s a fairly small niche of people that demand the type of security that this facility offers, but when you get in that niche, this facility really stands out,” Esterle says.

– Roy Moore

Kaba Mas is an innovator in self-powered technology. Below: Exstream Software in Lexington was an early tech success.

AN

TO

NY

BO

SH

IER


technology

Northern Kentucky

Opportunity Central – for Advanced Manufacturing;

Office/Regional Headquarters; Technology

Toyota Motor Engineering & Manufacturing North America, NA

WILD Flavors

888-874-3365


A business investment that pays you back!Kentucky Association of Manufacturers (KAM)

Get involved in Kentucky’s #1 industry and state’s hottest business association ... The Kentucky Association of Manufacturers

If you are a manufacturer or in an industry that supports manufacturing, one of the smartest investments you can make is in the Kentucky Association of Manufacturers.

KAM is focused exclusively on growing and promoting the state’s manufacturing sector.

KAM is dedicated to giving you a multiple return on your investment in membership or sponsorship.

KAM has the largest and most experienced governmental relations team.

Go to www.kamanufacturers.com and find out why membership is

right for your business!

609 Chamberlin Ave. Frankfort, KY 40601(502) 352-2485

Housed under the Kentucky


Development, the Department

of Commercialization and

Innovation works to create

high-tech job opportunities and

develop clusters of innovation

throughout the state.

Between 2002 and 2008,

investments made through

department programs created

more than 3,000 high-paying

technology jobs.

Among the department’s

efforts are:

The Small Business Innovation

Research and Small Business

Technology Transfer Research

Matching Funds programs

encourage small businesses

to explore their technological

potential and maximize

commercialization

opportunities. The program

includes up to $100,000 in

matching funds for eligible

recipients of Phase 1 federal

awards and up to $500,000

for up to two years for eligible

recipients of Phase 2 federal

awards.

From 2006 to 2008, 55 awards

were made to 37 companies,

totaling more than $13 million.

A statewide business-plan

competition to encourage

entrepreneurship and develop

new high-growth ventures, with

winners receiving combined cash

awards of up to $100,000.

A grant of $750,000 to

MetaCyte Business Lab, a

biotechnology incubator in

Louisville founded in 2002 that

helps nurture biotech companies

and provides expertise to assist

start-up firms.

Resource to InnovationAGENCY PROGRAMS BOOST ENTREPRENEURSHIP

Kentucky’s Department of Commercialization and Innovation helps create high-tech opportunities.


technology


automotive

Auto sector, battery research center power up in Kentucky

Four auto plants go a long way in Kentucky’s economy, accounting for more than 400 related sup-

pliers, nearly 80,000 workers and $5.6 billion to the state’s gross domestic product, half of it in wages.

With 1 million vehicles produced, Kentucky ranks third in U.S. auto manufacturing, behind Michigan and Ohio. The state’s stature as an auto-motive center and research hub grew with the April 2009 announcement that a national Battery Manufacturing Research and Development Center would be established in Central Kentucky to develop and deploy a domestic supply of advanced-battery technologies for vehicle applications.

The center will be a partnership between Argonne National Laboratory, a national leader in transportation-related research and development, and the state, University of Kentucky and University of Louisville.

“Central Kentucky is an ideal location for the center,” says Larry Hayes,

Kentucky’s interim secretary for eco-nomic development. “Not only does Kentucky have an experienced auto-industry related workforce, but the region is within 500 miles of more than 4,800 auto-related manufacturers.”

And there was good news on other fronts. In 2008, Big Rapids Products Inc., INFAC Corp. and MTS Inc. announced they would locate in Kentucky, investing $6.7 million and creating 120 jobs. Forty-two auto-related firms spent $386.5 million on expansions, meaning another 1,440 jobs, according to a January 2009 report from the Kentucky Cabinet for Economic Development.

American Howa Kentucky Inc., one of more than 100 Japanese-owned sup-pliers, opened a $10 million plant in Bowling Green, and in 2008 announced a $12 million expansion. Toyota Boshoku America is expanding its Kentucky-based North American headquarters in Northern Kentucky.

State officials are working to adjust

Toyota’s largest North American production plant is in Kentucky.

ScorecardIN OVERDRIVE

1,046,531Cars and light trucks assembled in Kentucky in 2007

9.9Percentage of cars produced in U.S. made in Kentucky

$5.6 billionGross domestic product of auto industry in Kentuckyin 2006

50,457Automotive jobs in Kentucky

Source: U.S. Bureau of Economic Analysis, 2007

Still inHigh Gear


financial incentives to help com panies that need to invest in plant upgrades so the state retains its competitive position when the economy improves.

KENTUCKY DRIVESAUTO EXPANSION

“The last thing you want is for someone’s facility to fail to update,” says Hayes. “The current economic climate has caused us to take a more serious look at possibly some form of advance disbursement of tax credits, if the projections are sound enough, and then net it out or recover it.”

Ford has two Kentucky plants, one in Louisville and one in eastern Jefferson County, which produces trucks. In Bowling Green, General Motors makes Corvettes and Cadillac XLRs.

Toyota’s largest North American pro-duction plant is in Georgetown. Erlanger is home to Toyota’s North American B

RIA

N M

CC

OR

D


automotive

Below: Auto-related industry is a major component of the economy. Left: Ford has substantial presence in Kentucky.

manufac turing headquarters, and its North American parts division is based in Hebron.

The Tennessee Valley Authority’s Megasite program is aimed at attracting vehicle manufacturers, and a 2,100-acre site in Hopkinsville is certified and ready to go.

“These are the type of projects that will have regional and multistate impact,” says John Bradley, TVA’s senior vice president of economic development. “We knew they were coming and wanted a shot at them.”

– Pamela Coyle

Looking for ways to save money on gas and help the environment? Be aware of your speed ... did you know that for every 5 miles you go over 65 mph, you’re spending about 20 cents more per gallon of gas? For more tips and to compare cleaner, more effi cient vehicles, visit

www.epa.gov/greenvehicles.

Save Money. Smell the Flowers.


AN

TO

NY

BO

SH

IER

SEE MORE ONLINERead more articles on

products made in Kentucky

at kyedg.com.


manufacturing manufacturing

Manufacturing remains a vigorous economic sector in the state

Though automotive production is a major component of Kentucky’s manufacturing sector, the state

has a broad industrial base that spans everything from consumer appliances to food processing to aircraft engines to sportswear to greeting cards.

More than 263,000 people work in Kentucky’s manufacturing sector, about 63 percent of whom produce durable goods such as autos and appliances. Nearly 24,000 workers are in food

processing and production.Kentucky’s industrial base of steel,

aluminum, chemical and machinery production has been built on availability of key resources, including water, low-cost electric power and reasonably priced barge, rail and truck transportation infrastructure.

In 2008, Kentucky ranked ninth in Site Selection magazine’s Governor’s Cup, awarded annually to states with the most new and expanded facilities. It

was the smallest in population of any state in the top 10.

Thirteen Fortune 25 U.S. corporations have manufacturing or service facilities in Kentucky, including General Electric, Ford Motor Co. and General Motors Corp. Nearly 400 foreign-owned enterprises have Kentucky operations, including Toyota, Hitachi, Siemens and Matsushita Electric.

The Novelis Inc. plant in Berea is the world’s largest aluminum-can recycling

Kentucky

Appliance maker Sub-Zero has found Kentucky to be a hospitable environment for manufacturing.

Madein


facility, and used beverage cans literally pour into the sprawling facility via railroad and truck.

“Our cans come from all over the U.S., from as far away as California, and we do bring some in from Canada and Mexico,” says Ernie Corvi, Novelis-Berea plant manager.

Incorporated in Canada, Novelis leads the world in the production of rolled aluminum. The company has 32 production facilities in 11 countries and six can-recycling operations.

While some U.S. communities face an industrial decline, Madison County’s manufacturing sector, with an estimated 8,000 jobs, is growing, diverse and internationally f lavored.

From glass to vinyl extrusions, under-ground wiring to pressure-sensitive tape and industrial batteries to paint, products manufactured in Madison County are astoundingly varied.

Novelis’ Berea plant, which opened in 1989, now employs about 100 people. Used cans arrive in bales, which are broken up and the cans shredded. A de-coating process burns off the cans’ lacquer. Then they are loaded into one of four furnaces that burn at 750 degrees Celsius. The molten aluminum is cast into 60,000-pound ingots, which are shipped to a Novelis plant in Russellville, Ky., for rolling into coils, ultimately used by beverage-can manufacturers.

“One of our ingots makes about 1.6 million cans, so our facility here would produce about 16 billion cans a year,” says Corvi, who notes the skill and reliability of the local workforce as one of the reasons for the operation’s success.

Workforce is one reason Sub-Zero Wolf Inc. chose Richmond as the site of a new manufacturing plant, says Jimmy Howard, executive director of

Novelis operates the world’s largest aluminum-can recycling facility.

Below: Auto suppliers are a major component of the Kentucky economy.

J.

KY

LE

KE

EN

ER


manufacturing

kyedg.com

What makes Kentucky such a favorable place to do business? What is it about the livability of Kentucky that makes people who move there to work decide to stay for the long term?

Experience the vitality and charm of Kentucky from the comfort of your computer.

Kentucky Economic Development Guide shows you Kentucky like you’ve never seen it before, thanks to the work of our award-winning photographers and writers.

Kentucky is just a click away.

... see it for yourself VIDEO >>

AN

TO

NY

BO

SH

IER

Household names such as Sherwin-Williams have Kentucky operations. The company has a facility in Richmond.

the Richmond Industrial Development Corp. A manufacturer of high-end kitchen appliances, Sub-Zero Wolf announced in August 2007 its intention to invest $51.6 million and employ about 100 workers. The plant will manufacture dishwashers, a new product for the company.

The economic downturn has forced Sub-Zero Wolf to slow its plans, but the company is still committed to Richmond, Howard says. While holding on to 42 acres it acquired there, Sub-Zero Wolf bought nearly 11 adjoining acres, and t he compa ny i s bu i ld i ng a n 80,000-square-foot plant on the site. Operations are expected to launch by the end of 2009 with at least 50 employees. “The other acreage is sitting there, prepared, ready to build on,” Howard says.

– Sharon H. Fitzgerald


manufacturing

(270) 765-6663

PERSONAL ADProgressive Central Kentucky region seeks business/industrial clients to form lasting partnerships. Region is attractive, innovative, educated and highly competitive.

Much to offer including bountiful land, infrastructure that won’t quit, a workforce with all the right skills and a location to die for. All nationalities welcome.

Companies must be willing to locate in Central Kentucky. Must enjoy long- term economic success and be committed to a mutually beneficial relationship.

For more information about our region,

visit us at www.bluegrassalliance.com.

Marshall County

River. Road. Rail.We can get you there!

Marshall County Economic DevelopmentJosh Tubbs, Director

www.opportunitymarshall.com


A Tennessee Valley Authority

economic development

program designed to shave up

to nine months off site selection

for major manufacturers helped

attract Hemlock Semiconductor

to Clarksville, Tenn., and

Volkswagen to Chattanooga.

Each “megasite” project will top

$1 billion in direct investment.

Kentucky is home to two such

megasites, one in Hopkinsville

and the other, certified in April

2009, in Graves County.

“We’ve got options on the

land and good roads to the

land and available water,” says

Eston Glover, chairman of the

Hopkinsville Christian County

Economic Development Council.

“We have everything ready to

go for the site. We think we

have the best site in the valley.”At 2,100 acres, the

Hopkinsville site is the largest in the TVA Megasite Program.

The TVA hired an outside site selection firm, McCallum Sweeney Consulting of Greenville, S.C., to evaluate and certify the sites.

The Graves County site is at the Purchase Region Industrial Park on U.S. Highway 45, eight miles from Purchase Parkway and 10 miles from I-24. Five Class I railroads serve the park.

The park is overseen by an eight-county board, with a representative from each county in the Purchase area.

Criteria for megasite consideration include 1,000 or more acres, infrastructure or a plan with funding in place, plus access to roads, rail, sewer and water, says Ed McCallum, McCallum Sweeney senior principal. “One of our premises was ‘Let’s give everyone the opportunity to participate,’” he says.

Glover says the Hopkinsville

site will “fit just about anything,”

and the TVA agrees. The site is

just off I-24 and U.S. Highway 41,

about an hour’s drive from

Nashville International Airport.

John Bradley, TVA’s senior vice

president for economic

development, says the agency

launched the program to give

communities a better shot at

landing automakers – though

the first taker was a steel

manufacturer.

“I describe it as one of the best

community development

programs out there,” he says.

– Pamela Coyle

Primed for DevelopmentHOPKINSVILLE HAS A SHOVEL-READY, TVA-CERTIFIED MEGASITE


manufacturing

LoversCalling AllNature

SEE MORE ONLINERead more about Kentucky’s

recreation opportunities

at kyedg.com.


recreation

Kentucky is the ultimate recreation destination

BR

IAN

MC

CO

RD

F rom mild to wild, outdoor adventure abounds in the Bluegrass State. You can tour an

idyllic horse farm or go spelunking in Mammoth Cave, hike a wooded trail or scale a sandstone cliff, f loat a houseboat on placid waters or slice river currents in a canoe.

Lovers of nature will find their bliss amid Kentucky’s rolling hills, sparkling waters and unspoiled wilderness.

The 700,000-acre Daniel Boone National Forest in eastern Kentucky lays along the foothills of the Appalachian Mountains and stretches north to south virtually the length of the state.

More than 5 million people f lock to it each year to backpack, camp, picnic and enjoy breathtaking scenery and abundant wildlife.

Highlights include the rugged Red River Gorge, an area known for natural stone arches and soaring cliffs.

“Rock climbing has become a very popular attraction at Red River Gorge,”

For outdoor enthusiasts, Kentucky offers abundant opportunities to get out on the water.


“We take you right into the farms to

see the horses up close and personal.”

says Bob Adams, a spokesman for the Kentucky Department of Travel.

Trails for all-terrain vehicles also draw visitors.

“The ATV people, rock climbers and hikers all know this is a great desti-nation for their forms of recreation,” Adams says. “We’re really raising our profile as an adventure-tourism desti-nation.”

Some of the largest lakes in the east-ern United States are located in Kentucky. Thousands of miles of shoreline sur-round the waters of Kentucky Lake, Lake Barkley and Cumberland Lake,

drawing hikers, boaters and fishermen.The pristine Land Between the Lakes

National Recreation Area is a popular spot for horseback riding, all-terrain vehicles and hiking, with water-sports enthusiasts making full use of the lakes, Adams says.

Historically, one of the state’s most popular attractions, Mammoth Cave National Park, welcomed a whopping 625,000 visitors in 2008.

More than half of that number go in for cave tours, which can range from short, self-guided walks to longer, more rigorous tours that showcase formations

such as Frozen Niagara, the Drapery Room and Star Chamber. The 5.5-mile, six-hour Wild Cave Tour involves climbing, crawling and squeezing through the cave’s obscure underground passageways.

“The cave tours bring many people to the park, but a lot of folks come for the overland trails, which lead to geologic features that offer clues to the cave underneath,” says Vickie Carson, the park’s public information officer.

Some 85 miles of trails and 31 miles of river run through the park, making it a perfect destination for camping,

BR

IAN

MC

CO

RD


recreation

Mammoth Cave National Park draws thousands of visitors a year.

PHOTO BY RYAN SWEENEY


SEE FOR YOURSELF

The Kentucky Department of Travel offers information on the numerous attractions, historic sites, museums and points of interest in the state, as well as festivals, state parks and, of course, horses. Go to www.kytourism.com.

More Insight


recreation

Kentucky’s parks provide miles of trails for hiking, cycling and nature watching. Left: Horses are a part of Kentucky’s cultural fabric. BRIAN M C CORD

JE

FF

AD

KIN

S

picnicking, horseback riding, canoeing and fishing.

“It’s a great place to step into the woods for a quiet moment to reconnect with nature,” Carson says.

A designated World Heritage Site and International Biosphere Reserve, the park truly is a world wonder, and it’s less than a day’s drive from many of the major population centers in the eastern United States.

Adventure of a different pace revolves around Kentucky’s horse industry. Events at Churchill Downs in Louisville, home

of the fabled Kentucky Derby, and the Kentucky Horse Park in Lexington bring thousands of visitors. For many people, a visit to the state would not be complete without a tour through horse country.

Kentucky Horse Tours is one of several companies in the state that offers private, customized tours of elite thoroughbred operations.

“To see these animals is absolutely breathtaking,” says Kentucky Horse Tours owner Mary Ann Squires. “We take you right into the farms to see the horses up close and personal.” – Carol Cowan


THE DENNIS KARR AIRPARK Located off I-75 (75 miles south of Lexington and 100 miles north of Knoxville, TN)

Direct access to the London-Corbin Airport (LOZ)featuring 5,750’ x 150’ runway with ILS

PROPERTY AVAILABLE

Contact:

London-Laurel County Industrial Development Authority

4598 Old Whitley Rd.London, KY 40744(606) 864-8115

www.llcida.com

LONDON-LAUREL COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY


HWY. 286 Wickliffe, KY

36,000 sq. ft. clearspan with 24 ft. eave height available for development

Ballard County Economic & Industrial

Development Board

Terry Simmons, Pres/CEO101 Liberty Dr. • Ste. 4

Kevil, KY 42053 (270) 744-3232

101 Liberty Dr. Office Complex Kevil, KY

36,000 sq. ft. clearspan with 15,000 sq. ft. developed and remaining available

for development

BALLARD COUNTY

Take a look at the lands at the confluence of the mighty

Mississippi and the Ohio Rivers.

It’s all right here.

Horse PlayKENTUCKY SADDLES UP FOR THEWORLD EQUESTRIAN GAMES IN 2010

Kentucky is no stranger to hosting major international sporting

events. The Bluegrass State is, after all, home to the fabled Kentucky

Derby, and in 2008 the prestigious Ryder Cup golf tournament was

played at the famed Valhalla Golf Club in Louisville.

But the state will outdo itself in fall 2010 when an event known as

the Olympics of the horse world, the Alltech FEI World Equestrian

Games, comes to Lexington.

The games will be the largest equine event ever held in the United

States and the largest sporting event ever held in Kentucky. The 2010

event also marks the first time the games will be held outside Europe.

Estimated economic impact for the state is $150 million. The title

sponsor for the games is Alltech, a Central Kentucky company that

is a world leader in animal-health products. Dr. Pearse Lyons, the

company’s CEO, is a major supporter of the games.

Preparations are well under way, says Amy Walker, public relations

manager for the organizer, the World Equestrian Games 2010

Foundation. “Excitement is building in the equestrian world as

well as around the state,” she says.

Held once every four years, the event will take place Sept. 25

through Oct. 10, 2010, at the 1,200-acre Kentucky Horse Park

in Lexington.

Hundreds of horses and athletes from dozens of countries will

participate in the 16-day event.

World championships will be awarded in eight equestrian

disciplines: dressage, driving, endurance, eventing, reining, show

jumping, vaulting and, for the first time at the World Games, para-

equestrian – a dressage competition for riders with disabilities.

Jane Beshear, Kentucky’s first lady and an avid horsewoman, notes

that the event will draw spectators from all over the world. Tickets

available for sale number some 600,000 and an additional 500

million viewers will watch the games on television.

“This will be the largest sporting event held in Kentucky’s history,

and we will be hosting thousands of people from around the globe,”

says Beshear, who is on the board of the games foundation. “Our goal

is not only to welcome these guests to the Bluegrass region, but to

encourage them to venture throughout the entire state, as well.”

The Kentucky Horse Park has undertaken several improvement

projects as part of its long-term vision, which was instrumental in

winning the bid for the games. The park, a working horse farm that

includes an educational theme park and equine competition facility,

brings in 900,000 visitors and 15,000 competition horses each year.

Construction has begun on a 6,000-seat indoor arena and an

8,000- to 10,000-seat outdoor stadium (with temporary seating for

another 22,000 during the games), as well as road improvements

throughout the park.

“We’re excited that the games can be a catalyst to bring visitors

to our state,” says John Nicholson, Kentucky Horse Park executive

director. “They want to come for the horse events, but they also want

to see Kentucky, visit our attractions, and see the Bluegrass treasure

we have here.”

For more information about the 2010 Alltech FEI World Equestrian

Games, visit www.alltechfeigames.com. – Carol Cowan


recreation

Agritourism is taking root as an economic development bumper crop

Less than a decade after Kentucky threw its weight behind the effort, agritourism has become a booming business

throughout the commonwealth.Family farms are getting new life as tourism

venues, offering everything from corn mazes and tractor rides to pick-your-own crops and overnight stays.

And though turning the homestead into an attraction takes some up-front money and a definite people-friendly mindset, more farmers and rural agriculture-related businesses are making the change.

In 2007, agritourism income was $3.3 million, or $7,786 per farm, almost three times what it had been in the last agriculture census in 2002, says Stephen Yates, director of agritourism for the Kentucky Department of Agriculture. “The amount of money being earned by agritourism basically tripled, and we see that as a very healthy indicator of where we are in terms of

growing that industry,” he says.Yates credits the state’s decision to plow about

half of the money it receives from the Tobacco Master Settlement Agreement into the diversifi-cation of agriculture, a move that established loan programs that allow farmers and agri-businesses to revamp their facilities.

“It’s been very good at giving the agricultural community other production options,” Yates says. “They can raise more cattle and different crops, but also utilize existing resources, such as the farm itself, as a source of revenue.”

In the last few years, several associations have formed around the state to foster agritourism, each encompassing multiple counties and enabling the marketing of attractions on a regional level.

That was the case with the Central Kentucky Agritourism Association, which began three years ago and has seen much success in raising its member profiles, says Todd Allen, owner of

Many Kentucky farms are finding new opportunity by opening themselves to visitors. STAFF PHOTO

Opportunity

PlowingNew

The Kentucky Department of Travel offers an agritourism resource that includes a searchable database of attractions. Go to www.kytourism.com/thingstodo.

Kentucky Farms are Fun promotes agritourism across the state. Its Web site includes a database searchable by attraction and region. Got to www.kentuckyfarmsarefun.com for more.

More Insight


tourism

Maple Hill Manor, a historic home and working farm in Springfield, and the association’s current president.

“We have an abundance of variety in our 12 counties, from livestock to orchards to working farms to beekeepers,” Allen says. “Agritourism is a growing way for farms to share what they do with the public, so they not only get the income but also are able to educate people.”

That’s been the case at Chaney’s Dairy Barn in Bowling Green, a family farm that dates back to 1888 and now is a successful vendor of ice cream and destination for several annual musical events, including the June Barnfest.

“We did the research for a couple of years and opened the ice cream store, the Dairy Barn, in October 2003,” says Carl Chaney, who along with wife Debra, owns and operates the facility.

“In the first year we made 5,500 gallons; last year it was 11,000. The first year we had about 3,000 visitors; last year it was around 7,700. And one thing we do, which we’re very passionate about, is that we show people where the milk comes from. We feel like we’re ambassadors for agriculture, and we take that very seriously,” he says.

Chaney, who also is chairman of the Kentucky Agritourism Council, says that the f ledgling industry is just now coming into its own as an economic development driver.

“It’s an alternative for the farmer, and more people are looking to connect back to the land,” he says. “People want their kids to know where their milk comes from.”

They also question their apple’s origins, which is where Kevan Evans and Evans Orchards and Cider Mill come into play. Since 1994, the family-run concern has been expanding in several directions, including retail and dining, in addition to the cider press, orchard and vegetable areas.

“We got various development grants and began with the trees in 1994,” Evans says. “We were getting some production by 1998, and in 2001, we put the cider mill in a former tobacco barn.”

Evans originally pressed cider for four orchards, a number that has since grown to eight and results in about 20,000 gallons of cider per year. And his foot traffic has echoed that success.

“The tourism has taken over here in a lot of ways,” he says. “We’re still selling a lot of apples and vegetables throughout the year, but people really come out for the entertainment of being on the farm. We’ve focused on the kitchen and retail areas, so they can have something to eat, buy something and stay longer. Everybody seems to want to be back out on the farm, so we’re working to have more for them to do.”

– Joe Morris

Top left: Wines for sale at Chateau du Vieux Corbeau Winery in Danville Bottom left: Many farms offer pick-your-own fruit opportunities. Right: Agritourism efforts allowed tobacco farmers to revamp their farms and diversify.


tourism

JE

FF

AD

KIN

SJ

EF

F A

DK

INS

ST

AF

F P

HO

TO

SEE VIDEO ONLINE

Tour the family-owned Chateau

du Vieux Corbeau Winery in

Danville online at kyedg.com.


PH

OT

OS

BY

BR

IAN

MC

CO

RD

PEARLSHistoric sites offer insight into what makes Kentucky unique

CULTURED

In the world of Kentucky tourism, the focus usually is on the big three: horses, thoroughbred racing and

bourbon. But there’s a lot more to be found in the state, and its many cultural and heritage tourism destinations are gathering increasing interest from visitors and state residents.

“When people think of Kentucky they think of certain things, and we certainly encourage that, but there’s so much more to the story,” says Kimberly Clay, director of cultural tourism for the Kentucky Department of Travel.

“But when it comes to cultural heritage tourism, sometimes it’s hard to promote because many of these sites and venues don’t f it into a specific category, because they really are unique to themselves.”

As an example, Clay points to Camp Nelson, one of three Civil War supply depots where Union forces trained African-American soldiers. It was one of the largest of its kind and is a mere

The 3,000-acre Shaker Village of Pleasant Hill is the largest restored Shaker community in the United States. The National Historic Landmark offers tours, music, riverboat rides and demonstrations of life in the mid-19th century.


tourism

20 minutes from Lexington.“We have a lot of Civil War history

around the state, and people come to see those sites, but they may not know about this one because it’s a bit different,” Clay says. “So we try to highlight it, as well as places like Abraham Lincoln’s birthplace and the counties he touched on and lived in,

because that ties into the 200th birthday celebrations going on this year.”

Begun in 2008 to promote local and regional tourism sites in response to high gas prices, the department’s Discover Your Own Backyard program has gotten a new lease on life in the current economic downturn.

“People are taking more weekend

or three-day trips now, and so we’re focusing on the cultural heritage sites that are within an easy drive,” Clay says.

History and heritage can take many shapes and forms in Kentucky.

The Louisville Slugger Museum & Factory in downtown Louisville high-lights the history of the family-owned enterprise that has been supplying the

JE

FF

AD

KIN

S

JE

FF

AD

KIN

ST

OD

D B

EN

NE

TT

SEE MORE ONLINELearn more about

Kentucky’s cultural

attractions at kyedg.com.


tourism

lumber to baseball’s biggest hitters since 1884.

Shaker Village of Pleasant Hill in Harrodsburg is the largest restored Shaker community in the nation. The 3,000-acre National Historic Landmark includes 14 original Shaker buildings, costumed interpreters demonstrating life in the village in the mid-19th century, the 40-room Centre Family Dwelling with its extensive collection of Shaker furniture and artifacts, and demonstrations by skilled craftspeople.

DANVILLE, A CITY OF FIRSTS

In Danville, known as the City of Firsts, Jacobs Hall at the Kentucky School for the Deaf is a restored Italianate structure that was built in 1857 and is now a National Historic Landmark. The school was the first of its kind in the nation.

The McDowell House and Apothecary Shop, also in Danville, was the home of Dr. Ephraim McDowell, who in 1809,

performed the world’s first successful removal of an ovarian tumor and became known as the “Father of Abdominal Surgery.”

The Perryville Battlefield Museum near Danville commemorates one of the bloodiest clashes of the Civil War, involving more than 40,000 Union and Confederate troops.

Many experts consider the battle as the most important Civil War engage-ment fought in Kentucky.

The Leeds Center for the Arts, a 1925 movie palace in downtown Winchester, is having a wildly successful second life as a 450-seat multifaceted performing-arts venue.

GLASGOW CELEBRATES CELTIC HERITAGE

The Highland Games in Glasgow take place each year in late May or early June and pay homage to the Celtic culture with traditional athletic competition such as the caber toss, as well as concerts and entertainment with a Celtic f lavor. (The 2009 dates are sched-uled for May 28-31.)

“We’re focusing on promoting our cultural sites under the umbrella of our major tourism attractions and seasons,” Clay says. “We’re folding it into pro-motions for major events and festivals, and also into specific times of year and major events such as Lincoln’s birthday so that we can get more people here and get more attention on these places that often are overlooked only because they’re not as well known as we’d like them to be.”

– Joe Morris

The Leeds Center for the Arts in Winchester. Above: Danville is “Kentucky’s City of Firsts.” Far left: The apothecary is a main feature at McDowell House in Danville.



gallery

Kentucky offers abundant open

spaces and beautiful settings,

like this sunset in Glasgow.

STAFF PHOTO


The fountain at Norton Center for the Arts Newlin Hall is lit

against the night sky at Centre

College in Danville.

JEFF ADKINS


gallery

It’s time for horsing around at

Claiborne Farms in Paris.

STAFF PHOTO


BRIAN M C CORD

A National Historic Landmark,

Jacobs Hall in Danville is the

oldest building at the Kentucky

School for the Deaf, which

opened in 1823.


gallery

A re-enactment of the Battle of Perryville, the largest Civil War

battle fought in Kentucky

STAFF PHOTO


SHELBY COUNTY, KENTUCKYSaddlebred Horse Capital of the World

SHELBY COUNTY INDUSTRIAL & DEVELOPMENT FOUNDATION

www.thinkkentucky.com

*Energy Information Administration report (2008)

ECONOMIC PROFILE

BUSINESS CLIMATEKentucky boasts industrial electricity costs that are consistently

among the lowest in the nation, a tax structure that’s among the most

competitive in the region and an ideal location within 600 miles of

two-thirds of the U.S. population. The commonwealth is home to 400

international companies and thousands more domestic companies.

Thirteen of the Fortune 25 largest U.S. corporations and nine Fortune

25 largest global corporations operate out of Kentucky. In addition,

Kentucky ranks third in total light-vehicle production in the country.

DEMOGRAPHICS

Population – 4,269,245 (2008)

Personal Income Estimates:

Total – $135,873,261 (2008)

Personal Income Estimates:

Per Capita – $31,826 (2008)

Median Household Income –

$40,138 (2007)

Labor Force – 2,042,915 (2008)

LARGEST CITIES

Louisville-Jefferson – 560,454

Lexington-Fayette – 275,276

Owensboro – 53,408

Bowling Green – 53,463

Covington – 41,880

Richmond – 28,435

Hopkinsville – 35,899

Henderson – 27,661

Florence – 28,877

Frankfort – 27,203

TRANSPORTATION

INTERSTATESI-24, I-64, I-65, I-71, I-75, I-264,

I-265, I-275, I-471

STATE PARKWAYS (NINE TOTAL)Audubon Parkway

Martha Layne Collins

Blue Grass Parkway

Louie B. Nunn

Cumberland Parkway

Daniel Boone Parkway/

Hal Rogers Parkway

Bert T. Combs

Mountain Parkway

William H. Natcher Parkway

Edward T. Breathitt

Pennyrile Parkway

Julian M. Carroll

Purchase Parkway

Wendell H. Ford Western

Kentucky Parkway

WATERSeven public riverports operate

facilities at Henderson, Hickman,

Louisville, Lyon County,

Owensboro, Paducah

and Wurtland.

RAILROADSCSX, www.csx.com

Norfolk Southern, www.nscorp.

com/nscportal/nscorp

Canadian National Railway

Company, www.cn.ca

Paducah and Louisville Railway

www.palrr.com

COMMERCIAL AIRPORTSCincinnati/Northern Kentucky

International Airport

www.cvgairport.com

Blue Grass Airport

www.bluegrassairport.com

Louisville Regional

Airport Authority

www.louintlairport.com

Owensboro-Daviess County

Regional Airport, www.owb.net

Barkley Regional Airport

www.barkleyregional.com

TOP 10 (2008) MANUFACTURERS/SUPPORTIVE SERVICE (WITH EMPLOYMENT)

Humana Inc. – 9,344

Toyota Motor Corp. – 8,928

United Parcel Service Inc. –

7,664

General Electric Co. – 6,904

Ford Motor Co. – 6,829

Delta Air Lines Inc. – 4,274

Citigroup – 3,900

Fidelity Investments – 3,900

Johnson Controls Inc. – 3,826

Dana Corp. – 3,418

INDUSTRIES AND NUMBER OF ESTABLISHMENTS

All Industries – 92,829

Construction – 9,256

Finance and insurance – 6,357

Information – 1,650

Manufacturing – 4,131

Mining – 684

Services – 9,742

Transportation and warehousing – 3,185

Wholesale and retail trade – 21,002

NONFARM EMPLOYMENT BY INDUSTRY SECTOR

Construction – 144,426

Finance, insurance and real estate – 92,855

Government – 364,196

Manufacturing – 263,127

Mining – 26,574

Healthcare/Social Assistance – 237,411

Services – 654,982

Total – 2.36 million

TOP COMMODITY EXPORTS BY VALUE (2007)

1. Turbojet and turboproller

parts, $3.51 billion

2. Passenger vehicles spark-

ignition engine, $678 million

3. Motor vehicle transport

of goods, spark ignition,

$607 million

4. Motor vehicle parts and

accessories, $511 million


visit ouradvertisersAppalachian Industrial Development Authority

Atmos Energy www.atmosenergy.com

Ballard County Economic & Industrial Development Board

Big Rivers Electric Corporation www.bigrivers.com

Big Sandy Regional Industrial Development Authority Inc. www.bsrida.org

Bluegrass Alliance www.bluegrassalliance.com

Bluegrass Crossings Business www.bluegrasscrossings.com

Bowling Green Area Chamber www.bgchamber.com

Carlisle County Industrial Boards www.carlislecounty.org

Central Bank www.centralbank.com

City of Greensburg www.greensburgonline.com

City of Oak Grove www.oakgroveky.org

Columbia-Adair County EDA Inc. www.columbia-adaircounty.com

Commerce Lexington www.commercelexington.com

Corbin Economic Development Agency www.sekpp.com

Danville/Boyle County Economic Development www.betterindanville.com

Eastern Kentucky University www.eku.edu

Elizabethtown/Hardin County Industrial Foundation Inc. www.eifky.org

Franklin-Simpson Industrial Authority www.f-sindustry.com

Fulton County-Hickman County Economic Development Partnership

Glasgow/Barren County Industrial Development Economic Authority www.glasgow-ky.com

Greater Louisville Inc. www.greaterlouisville.com

Greater Owensboro Economic Development Corporation www.owensboro.com

Greater Paducah Economic Development Council www.gpedc.com

Hampton Inn www.hamptoninn.com

Hopkinsville Christian County www.hopkinsvilleindustry.com

Jeffersontown Economic Development Authority www.jeffersontownky.com

Kentucky American Water www.amwater.com

Kentucky Association of Manufacturers

Kentucky Cabinet for Economic Development www.thinkkentucky.com

Kentucky Community & Technical College System www.kctcs.edu

Kentucky Department of Travel www.kentuckytourism.com

Leitchfield-Grayson County Industrial Development Foundation Inc.

Lincoln Trail Area Development District www.ltodd.org

Logan Economic Alliance for Development www.loganleads.com

London-Laurel County Industrial Development Authority www.llcida.com

Marshall County Economic Development www.opportunitymarshall.com

Morehead-Rowan County Economic Development www.edc-ky.com

Murray-Calloway County Economic Development Corporation www.thinkmurray.com

Northern Kentucky Tri-ED www.northernkentuckyusa.com

Northwest Kentucky Forward www.northwestky.com

Paducah & Louisville Railway www.palrr.com

Paradise Park – MIDC www.paradisebusinesspark.com

Powell County Industrial Development Authority Inc.

Publishers Printing Company www.pubpress.com

Purchase Region Industrial Park www.prpindustrialpark.com

RR Donnelley www.rrdonnelley.com

Scott & Murphy & Daniel LLC www.scottmurphydaniel.com

Shelby County Industrial & Development Foundation www.shelbycountyindustrialfoundation.com

Somerset-Pulaski County Development Foundation www.spcdf.com

Springfield-Washington County EDA www.sweda.org

University of Kentucky Coldstream Research Campus www.ukcoldstream.com

University of Kentucky Commercialization & Economic Development www.econdev.uky.edu

University of Louisville College of Business www.business.louisville.edu

Western Kentucky University www.wku.edu


Can you imagine …a world without children?

We Can’t.Call 1-800-996-4100 to help.

www.stjude.org

26,200.

That’s how many years RR Donnelley’s Kentucky employees have worked for the company.

It’s not surprising. Folks who enjoy what they do stick with it.

For more information, visit rrdonnelley.com. RR Donnelley is an EEO/AA employer.

5. Antisera and other blood

fractions, $378 million

6. Passenger vehicle spark-

ignition engine, more than

3,000 cc, $374 million

7. Uranium enriched in U235

plutonium, $314 million

8. Motor vehicle transport

of goods spark ignition,

$297 million

9. Parts and accessories of

printers/copiers/fax machines,

$281 million

10. Silicones, in primary forms,

$279 million

TOP COMMODITY EXPORTS BY VOLUME (2008)

1. Transportation equipment,

$6.7 billion

2. Chemicals, $3.5 billion

3. Machinery, except electrical

$1.9 billion

4. Computer and electronic

products, $1.4 billion

5. Primary metal manufacturing

$760 million

6. Electrical equipment,

appliances and parts,

$590 million

7. Fabricated metal products,

$541 million

8. Nonmetallic mineral products,

$445 million

9. Processed foods

$361 million

10. Plastics and rubber products

$360 million

FOREIGN DIRECT INVESTMENT (2006)

Companies and affiliates, 610

Employees, 91,000

Manufacturing employees, 48,400

Total value of property, plant and equipment, $27.8 billion

TOP COUNTRIES BY EMPLOYMENT:Japan – 29,500

Germany – 13,700

Canada – 7,500

United Kingdom – 8,500

France – 5,600

Switzerland – 6,600

Netherlands – 6,300

TAXES

State Sales Tax – 6%

State Income Tax – Net income for Kentucky individual income taxes is gross income minus either the standard deduction or allowable itemized deductions.

Property Tax – Combined state and local rates average $1.05 per $100 valuation in urban areas and $0.82 per $100 in rural areas.

Occupational License Tax – 0.25%-2.5% (not in entire state)

UTILITIES

Electric power is distributed by four investor-owned electric utilities, 30 municipal electric systems, the Tennessee Valley Authority and 21 rural electric cooperatives. (www.kaec.org/coops/default.htm)

Natural gas is available from

32 gas-distribution companies,

36 intrastate pipeline gas

companies, 157 municipal,

college or housing authority

providers and one gas and

water district operated locally

at the county level.

PUBLIC UNIVERSITY ENROLLMENT

Eastern Kentucky University, 16,031

Kentucky State University, 2,659

Morehead State University, 8,981

Murray State University, 10,022

Northern Kentucky University, 15,109

University of Kentucky, 26,913

University of Louisville, 21,761

Western Kentucky University, 19,761

Total public university enrollment, 121,237

SOURCES:


www.kentuckyroads.com,

U.S. Census Bureau, Dept. of

Commerce 2008, United States

Bureau of Economic Analysis

FOR MORE INFORMATION

Kentucky Cabinet for

Economic Development

Old Capitol Annex

300 W. Broadway

Frankfort, KY 40601

(502) 564-7670

Fax: (502) 564-1535



economic profile

Ad Index 18 APPALACHIAN INDUSTRIAL DEVELOPMENT AUTHORITY

15 ATMOS ENERGY

101 BALLARD COUNTY ECONOMIC & INDUSTRIAL DEVELOPMENT BOARD

70 BIG RIVERS ELECTRIC CORPORATION

68 BIG SANDY REGIONAL INDUSTRIAL DEVELOPMENT AUTHORITY INC.

92 BLUEGRASS ALLIANCE

88 BLUEGRASS CROSSINGS BUSINESS

1 BOWLING GREEN AREA CHAMBER

40 CARLISLE COUNTY INDUSTRIAL BOARDS

109 CENTRAL BANK

13 CITY OF GREENSBURG

58 CITY OF OAK GROVE

118 COLUMBIA-ADAIR COUNTY EDA INC.

43 COMMERCE LEXINGTON

6 CORBIN ECONOMIC DEVELOPMENT AGENCY

8 DANVILLE/BOYLE COUNTY ECONOMIC DEVELOPMENT

65 EASTERN KENTUCKY UNIVERSITY

2 ELIZABETHTOWN/HARDIN COUNTY INDUSTRIAL FOUNDATION INC.

24 FRANKLIN-SIMPSON INDUSTRIAL AUTHORITY

26 FULTON COUNTY-HICKMAN COUNTY ECONOMIC DEVELOPMENT PARTNERSHIP

Ad Index (cont.) 93 GLASGOW/BARREN COUNTY INDUSTRIAL DEVELOPMENT ECONOMIC AUTHORITY

55 GREATER LOUISVILLE INC.

C2 GREATER OWENSBORO ECONOMIC DEVELOPMENT CORPORATION

100 GREATER PADUCAH ECONOMIC DEVELOPMENT COUNCIL

92 HAMPTON INN

91 HOPKINSVILLE CHRISTIAN COUNTY

99 JEFFERSONTOWN ECONOMIC DEVELOPMENT AUTHORITY

14 KENTUCKY AMERICAN WATER

81 KENTUCKY ASSOCIATION OF MANUFACTURERS

C4 KENTUCKY CABINET FOR ECONOMIC DEVELOPMENT

20 KENTUCKY COMMUNITY & TECHNICAL COLLEGE SYSTEM

120 KENTUCKY DEPARTMENT OF TRAVEL

34 LEITCHFIELD-GRAYSON COUNTY INDUSTRIAL DEVELOPMENT FOUNDATION INC.

80 LINCOLN TRAIL AREA DEVELOPMENT DISTRICT

85 LOGAN ECONOMIC ALLIANCE FOR DEVELOPMENT

100 LONDON-LAUREL COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY

92 MARSHALL COUNTY ECONOMIC DEVELOPMENT

C3 MOREHEAD-ROWAN COUNTY ECONOMIC DEVELOPMENT

17 MURRAY-CALLOWAY COUNTY ECONOMIC DEVELOPMENT CORPORATION

80 NORTHERN KENTUCKY TRI-ED

10 NORTHWEST KENTUCKY FORWARD

46 PADUCAH & LOUISVILLE RAILWAY

32 PARADISE PARK – MIDC

64 POWELL COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY INC.

75 PUBLISHERS PRINTING COMPANY

4 PURCHASE REGION INDUSTRIAL PARK

Ad Index (cont.)

©2002 American Cancer Society, Inc.

questions

answers

8 0 0 . A C S . 2 3 4 5 / c a n c e r . o r g

119 RR DONNELLEY

16 SCOTT & MURPHY & DANIEL LLC

116 SHELBY COUNTY INDUSTRIAL & DEVELOPMENT FOUNDATION

78 SOMERSET-PULASKI COUNTY DEVELOPMENT FOUNDATION

71 SPRINGFIELD-WASHINGTON COUNTY EDA

12 UNIVERSITY OF KENTUCKY COLDSTREAM RESEARCH CAMPUS

80 UNIVERSITY OF KENTUCKY COMMERCIALIZATION & ECONOMIC DEVELOPMENT

22 UNIVERSITY OF LOUISVILLE COLLEGE OF BUSINESS

38 WESTERN KENTUCKY UNIVERSITY

kentucky economic development guide: 2009

Documents

i c d e v e

y e c o n o

e n t g u i d e

y e d g

contentsk e n t u c

kentucky cabinet

livabilitymy new kentucky

economic profile