Cabinet for Economic Development
Governor Beshear Brings Economic Development News to Paducah
Gov. announces expansion of Paducah & Louisville Railway’s headquarters, grant for Genesis Health Technologies and recognizes EntrePaducah’s Innovator Award
PADUCAH, Ky. (March 2, 2010) – Gov. Steve Beshear today joined community and business leaders in Paducah to make three positive economic development announcements for the community. The first is the expansion of Paducah & Louisville Railway’s headquarters operation. The full-service, 265-mile regional railroad will construct a new administrative facility, creating 10 new full-time jobs and investing more than $4.2 million in the Commonwealth.
“Kentucky is proud to be the home of Paducah & Louisville Railway and welcome the additional jobs and investment this headquarters expansion will bring to the community,” said Gov. Beshear. “The growth of our existing industries is vital to the state’s economic recovery and prosperity. We look forward to a continued partnership with Paducah & Louisville Railway as we strive to create opportunities for the citizens of Kentucky.”
Paducah & Louisville Railway handles a broad range of commodities, serving more than 90 industries and managing approximately 200,000 car loads annually. The company’s new headquarters facility will be approximately 20,000 square feet and will be constructed to Leadership in Energy and Environmental Design (LEED) standards.
“We have a long-time presence in Paducah,” said Tony Reck, president of Paducah & Louisville Railway. “With our recent acquisitions, we need additional space for new employees. Paducah and McCracken County offer the amenities desired by a corporate headquarters and the quality of life helps us recruit key employees. Since 1986, we have called Paducah home and now with our new headquarters, we will continue to proudly call Paducah our home.”
The expansion project was preliminarily approved by the Kentucky Economic Development Finance Authority for up to $286,000 in tax incentives under the Kentucky Business Investment program. Additionally, the company was approved for up to $114,000 in tax benefits under the Kentucky Enterprise Initiative Act, an incentive that allows approved companies to recoup Kentucky sales and use tax on the cost of construction materials, building fixtures and equipment used for research and development.
“Paducah & Louisville Railway’s decision is a major win for downtown Paducah,” said Mayor Bill Paxton. “This means more people in the immediate downtown shopping and dining and enjoying the amenities of the area. It will be a beautiful headquarters.”
“Paducah & Louisville Railway is a nationally known railroad with several opportunities to relocate the new headquarters in other cities that the railroad serves,” added McCracken County Judge Executive Van Newberry. “We are committed to assisting existing businesses expand as evidenced by our recent announcements. Our local industries continue to view the Paducah/McCracken County area as a growth-oriented community with outstanding resources for a corporate headquarters. The McCracken County Fiscal Court welcomes the Paducah & Louisville Railway corporate headquarters expansion to the community.”
While in Paducah, Gov. Beshear also announced a state grant in the amount of $30,000 for Genesis Health Technologies, a Paducah-based company that has developed a new diabetes monitoring device. The grant was made from the Rural Innovation Fund, which is managed by the Kentucky Science and Technology Corporation in partnership with the Kentucky Council for Postsecondary Education. The Rural Innovation Fund, part of the Kentucky Enterprise Fund Program, provides grant and investment capital to seed-stage startup companies throughout rural Kentucky.
Genesis Health Technologies was assisted by EntrePaducah®, Paducah and McCracken County’s newest economic development agency whose mission is to provide small business development resources and support.
“We are very excited to be one of the few companies awarded this money and know that it will help our goal to ease the frustration diabetes patients suffer every day,” said Nathan G. Cross, chief financial officer of Genesis Health Technologies. “We appreciate EntrePaducah’s efforts in the community. Without their help, we may not have received or known about the grant program.”
A third economic development-related announcement was also made at today’s news conference. Gov. Beshear recognized EntrePaducah for receiving the “Innovator Award” by the Southern Growth Policy Board for its work with small businesses facing challenges from the economic downturn. Only one award recipient is selected from each of the 13 participating states.
“In just a year, we’ve effectively become a central source for small business development in the Paducah area,” said EntrePaducah Board Chairman Phil McIntosh. “Devoting resources specifically toward entrepreneurial businesses has made us a stronger community, despite the recession.”
The 2010 Innovator Awards will be presented at Southern Growth's 2010 Chairman's Conference, Driving the Next 20 Years: Maximizing the New Automotive Industry in the South. The conference will be held June 7-8 in Lexington, Kentucky. Hosted by Gov. Beshear, the conference will focus on the role the automotive industry can play in creating jobs and investment in the South. More information about the conference can be found at www.southerngrowth.com. In addition, EntrePaducah’s Web site is www.entrepaducah.com
A community profile for Paducah can be viewed at http://thinkkentucky.com/EDIS/cmnty/index.aspx?cw=096. Information on Kentucky’s economic development efforts and programs is available at www.ThinkKentucky.com.