Projects are part of Round 2 of the Kentucky Product Development Initiative
FRANKFORT, Ky. (May 30, 2024) – Today, Gov. Andy Beshear announced more than $5.7 million in state funding to support site and building development across five counties. The latest round of funding was approved today through the Kentucky Product Development Initiative (KPDI) and, including local matching funds, more than $18 million is being invested across the commonwealth.
Site and building development projects in Clay, Garrard, Harrison, Jessamine and Woodford counties are the latest approvals for the second round of the program. To date, Round 2 of the program has seen $27.5 million in state funding approved.
“Site selection is crucial in setting up Kentucky for future economic success,” said Gov. Beshear. “The funding provided through the KPDI program gives communities around the state the opportunities and advantages they need to ensure we have quality sites and buildings for incoming companies. I’m excited to announce this latest wave of projects and look forward to quality companies locating on these sites to bring even more great jobs to the commonwealth.”
The initiative, overseen by the Cabinet for Economic Development, provides funding for local communities to further invest in site and building upgrades to support future, well-paying jobs and economic growth across Kentucky.
The Clay County Fiscal Court, on behalf of the Elk Hill Regional Industrial Authority, will upgrade water infrastructure to the Elk Hill Regional Industrial Park. This is a regional project with support from Clay, Knox and Leslie counties.
The Garrard County Fiscal Court, in partnership with the Lancaster-Garrard County Industrial Development Authority, will acquire a 53-acre property and complete due diligence, as well as site readiness preparations.
The city of Cynthiana, along with the Cynthiana/Harrison County Economic Development Authority, will acquire a 60-acre property, complete due diligence and ready the site for a future economic development project.
The Jessamine County Fiscal Court, on behalf of the Jessamine County Joint Economic Development Authority, will complete development of the Jennette Industrial Park.
The Woodford County Fiscal Court, in partnership with the city of Versailles, will perform due diligence, acquire land, provide infrastructure improvements, perform site preparation and provide road improvements at the Edgewood Industrial Site. The city of Versailles will provide match funds.
Terri Bradshaw, interim president of the Kentucky Association for Economic Development (KAED), highlighted the parties that make KPDI possible: “KAED continues to celebrate the success of this program as we watch Kentucky communities grow their ability to recruit new businesses and jobs. It would not be possible without the foresight of Gov. Beshear, the legislature and the utility sponsors who have consistently supported KPDI, and we are grateful that they recognize the importance of the initiative to our economy and our citizens.”
Round 1 of the program concluded in December 2023, with 53 projects statewide approved for $31.2 million in funding. Including local contributions, these projects are generating over $123 million in investments in Kentucky’s sites and buildings portfolio.
In December, Gov. Beshear announced 46 site and building development projects in 45 counties advanced to the due diligence stage of Round 2 for further review, with $68.8 million available to support the projects.
In January, Gov. Beshear announced the first location to receive approval in the second round of the program, with nearly $2 million allocated to support site development in Campbell County.
In February, Gov. Beshear highlighted site and building development projects across 13 counties. Over $15 million in state funding was awarded to support projects in Clark, Clinton, Graves, Green, LaRue, Laurel, Logan, Montgomery, Nelson, Pulaski, Scott, Wayne and Webster counties.
In March, the Governor recognized projects in two counties. Over $2.3 million in state support was approved for projects in Breckinridge and Pike counties.
And in April, Gov. Beshear announced three site and building development projects across Fulton, Hickman and Hopkins counties were approved for nearly $2.6 million in state support.
During the 2022 legislative session, Gov. Beshear and the Kentucky General Assembly approved $100 million in funding for the initiative.
Site and building development projects are first evaluated by an independent consultant based upon all facets a prospective company would consider, from workforce availability, access to all infrastructure and detailed information on costs associated with development. In turn, these projects will generate increased economic development opportunities and job creation for Kentucky residents. The initiative furthers the efforts of the pilot PDI program, which provided nearly $7 million in state funding for 20 site development projects statewide. Companies have announced economic development projects at 10 of the locations funded during the pilot PDI program, projecting $4 billion of capital investment and 3,500 new, full-time jobs.
Investment in site development throughout Kentucky builds on the best four-year period for economic growth in state history.
Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $31.7 billion in announced investments, creating approximately 53,300 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history.
The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.
Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and INFAC North America’s $53 million investment in Taylor County, among others.
The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.
Kentucky also secured rating increases from major credit rating agencies Fitch Ratings and S&P Global Ratings, and Moody’s Investors Service upgraded Kentucky’s credit outlook from stable to positive.
In March, Site Selection magazine ranked Kentucky third nationally and first in the South Central economic development projects per capita in its 2023 Governor’s Cup rankings. In April, Site Selection placed Kentucky second in the South Central region and top 10 nationally in its 2024 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.
Gov. Beshear announced a “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.
Learn more about the Kentucky Product Development Initiative at kpdi.ky.gov.
Information on Kentucky’s economic development efforts and programs is available at CED.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.
###