AGP Executive Report

Data Center Boom: Meta has confirmed plans for a data center outside Maysville and reached an agreement with Mason County. Gov. Andy Beshear says Kentucky will closely review tax incentives for the project. Frankfort has also approved DataOne’s proposed $7.5 billion data center, while Kentucky Power seeks approval for a gas plant tied to an Eastern Kentucky data center—raising questions about the energy infrastructure these projects will need. Regional Growth: A truck-body maker plans a $17 million expansion in Floyd County, and more than $22 million in federal grants will support Eastern Kentucky revitalization. At the SOAR Summit, Gov. Beshear said the initiative created 320 jobs this year. Business and Workforce: Kentucky manufacturers are looking to produce more goods now imported, while hemp business owners are pressing lawmakers to lower licensing fees and provide regulatory stability for the state’s $300 million industry. Major Projects: UK HealthCare has broken ground on a $275 million Lexington complex, and Louisville-based Yum Brands’ KFC will switch its U.S. restaurants from Pepsi to Coca-Cola starting in January.

Manufacturing: Kentucky manufacturers are launching ReshoreKY to identify products the state could make instead of importing; organizers estimate $29.7 billion in potential reshoring opportunities. Toyota’s Georgetown plant is also showcasing high-tech careers to students as employers seek a skilled workforce. Data Centers: Meta has been identified as the company behind a proposed 2,000-acre Mason County data center, drawing local concerns over water and development. Agriculture: A $100,000 USDA grant will help prepare a Park City site for Barren County’s planned grain elevator, giving farmers a closer place to sell grain and potentially cutting hauling costs. Eastern Kentucky Investment: The SOAR Summit highlighted regional growth, while a separate Appalachian Regional Commission announcement cited a record $78.8 million in investments for the region. Housing Market: Kelley Blue Book Homes has expanded its home valuation platform into Kentucky, adding a new tool for local buyers and sellers.

Data Center Investment: Meta’s proposed Mason County data center starts with a $10 billion investment and could bring 100 to 400 permanent jobs, plus thousands of construction jobs. The company also pledges at least $115 million for local roads and water infrastructure, as residents raise concerns about the project’s resource demands. Jobs and Development: Arvato opened a Louisville fulfillment center expected to create 150 jobs, while a new industrial site in Owsley County received state support. Eastern Kentucky also stands to receive more than $22 million for economic revitalization. Agriculture: Kentucky Agricultural Finance Corp. approved more than $850,000 in loans, and Barren County secured a $100,000 USDA grant for a planned grain elevator as farmers contend with higher production costs. Tourism and Equine Business: Lexington is preparing for the Breeders’ Cup, which brought nearly $82 million in economic impact when it was held there in 2022.

Power and Data Centers: Kentucky was among 13 states covered by an emergency order allowing extra power generation as warm weather strained the grid. The move comes amid growing debate over data centers: Meta is tied to a proposed 2,000-acre Maysville project, while Lexington has approved limits on their size, power use and noise. Industrial Growth: Caldwell County says grants have secured $4 million for one industrial-park site and nearly $500,000 for a build-ready pad on another. In Floyd County, R/S-Godwin Truck Body plans a $17 million expansion expected to create 65 jobs. Banking: Lebanon-based Peoples Bank is named in a lawsuit alleging a $20 million mortgage-related Ponzi scheme. The bank says it acted in good faith and denies knowing of wrongdoing. Workforce: Kentucky colleges and universities awarded a record number of degrees and credentials in a single year, strengthening the pipeline for employers.

Data Center Investment: Meta will develop a 2,000-acre campus in Mason County, with more than 400 jobs projected and a community benefits package exceeding $115 million, including water infrastructure. Eastern Kentucky Jobs: R/S-Godwin Truck Body plans a $17 million Floyd County expansion expected to create 65 jobs. Beshear and Rogers also awarded $600,000 for a build-ready pad at Wolfpit Industrial Park. Farm Economy: Barren County received a $100,000 USDA grant to prepare a rail-served grain elevator site intended to cut farmers’ hauling costs as rising input prices squeeze margins. Workforce Development: Kentucky colleges and universities awarded a record number of degrees and credentials in a single year.

Data Center Push: Frankfort approved DataOne’s proposed $7.5 billion data center, even as Kentuckians press lawmakers for stronger rules over power costs, land and natural resources. Kentucky Power is also seeking approval for a gas plant tied to an Eastern Kentucky data center. Eastern Kentucky Jobs: R/S-Godwin Truck Body plans a $17 million Floyd County expansion, adding 65 full-time jobs in manufacturing trades. Regional Investment: Beshear and Congressman Hal Rogers announced more than $22 million in federal grants for Eastern Kentucky communities, supporting economic revitalization. Logistics Growth: Louisville Amazon and Arvato distribution expansions point to continued investment in the city’s fulfillment sector.

Data-Center Investment: Frankfort approved the $7.5 billion DataOne project in a 5-2 vote. Kentucky Power is also seeking state approval for a 760-megawatt gas plant to serve TeraWulf’s planned Eastern Kentucky campus; the developer would cover the plant’s financing costs. Jobs & Industry: R/S-Godwin Truck Body announced a $17 million Floyd County expansion, while Louisville’s Amazon expansion is set to add full- and part-time jobs. Leggett & Platt, meanwhile, is closing a Kentucky plant. Eastern Kentucky: Gov. Andy Beshear and Congressman Hal Rogers announced $22 million in federal grants for regional revitalization. Tourism: Hazard’s motorsport championships are expected to draw more than 5,000 visitors, with local hotels reporting full bookings. Business & Health: Humana shares rose after its Medicare Advantage star ratings improved for 2027.

Data Center Rules: Kentuckians urged lawmakers to regulate hyperscale data centers statewide, citing potential effects on electricity bills, rural land and natural resources. Legislators are preparing proposals for next year’s session. Air Links: Owensboro’s daily United Express flights to Washington, D.C., begin Oct. 13, with Chicago service starting Oct. 25, giving local travelers new connections. Plant Closure: Leggett & Platt plans to close a Kentucky plant, a setback for local workers and manufacturing. Health Business: Humana shares rose after its Medicare Advantage star ratings improved for 2027. Farm Costs: Gov. Andy Beshear’s red-diesel order aims to ease fuel costs for Kentucky farmers and truckers. Regional Investment: Federal grants are set to support Eastern Kentucky healthcare and infrastructure, while the Kentucky Agricultural Finance Corp. approved more than $850,000 in loans.

Manufacturing: Leggett & Platt will close its Leitchfield plant by year-end as part of an operations consolidation, affecting production, administrative and management staff. Jobs & Investment: Arvato’s new Louisville fulfillment center is expected to create 150 jobs; Lyon County received more than $560,000 for site development, and SOAR reported $22 million in Appalachian investments. Farm & Fuel Costs: Gov. Andy Beshear’s red-diesel order aims to ease fuel costs for Kentucky farmers and truckers. The Kentucky Agricultural Finance Corp. also approved more than $850,000 in loans. Utilities & Household Finances: Kentucky American Water completed its purchase of Black Mountain Utility District. State officials say nearly $1.1 billion in unclaimed assets is held for Kentuckians, who can search for funds free at MissingMoney.com.

New Kentucky Ventures: Lexington’s Cannabuzz has built a business around cannabis-infused drinks, a growing market facing uncertainty from a proposed federal hemp-product ban. Development & Housing: Fischer Homes has filed plans for a 687-home Boone County community, its largest regional expansion yet, amid local concerns about density. Infrastructure: Kentucky American Water completed its $1.4 million purchase of the Black Mountain system, serving more than 4,300 water connections, and plans over $20 million in upgrades. Farm & Fuel Costs: Gov. Andy Beshear authorized farmers and truckers to use untaxed dyed diesel on public roads to ease pressure from rising fuel costs. Jobs & Investment: Arvato opened a Louisville fulfillment center expected to create 150 jobs; Toyotetsu plans nearly $41 million in Kentucky investment, and the SOAR Summit announced $22 million in Appalachian investments.

Fuel Costs: Gov. Andy Beshear’s emergency order would let Kentucky farmers and truckers use tax-exempt dyed diesel on public roads, offering relief as fuel costs rise. The measure is set to remain in place until the federal authorization ends or the war in Iran concludes. Bourbon Business: Lofted Spirits promoted Bardstown native Nick Smith to master distiller, putting him in charge of production at Bardstown Bourbon Company, Green River Whiskey and Lofted Custom Spirits. National Bourbon Week returns to Bardstown June 14–20, 2027; its 2026 celebration drew visitors from 37 states and abroad, with most partner-distillery bookings coming from outside Kentucky. Eastern Kentucky Investment: The Appalachian Regional Commission awarded Kentucky a record $78.8 million for 67 projects, including healthcare training, water and wastewater upgrades, and flood recovery efforts.

Energy Costs: Toyota’s Georgetown plant cut electricity use 2.6% with motor controls, saving more than $700,000 a year. The same technology could help Kentucky businesses manage rising power demand and bills. Local Growth: Kentucky Honey Farms has its honey in every Publix store in the state, turning a childhood beekeeping hobby into a growing retail business. Farm Finance: The Kentucky Agricultural Finance Corp. approved seven beginning-farmer loans totaling $856,115 for projects in seven counties. Industrial Sites: Adair County’s development authority accepted a $1.76 million bid for a 38,500-square-foot speculative building intended to attract new employers. Eastern Kentucky Investment: More than $22 million in funding was announced for regional revitalization, while the Appalachian Regional Commission reported a record $78.8 million in investments for the region.

Agriculture Development: A draft study backs a proposed $27 million Barren County expo center, but officials still need a plan to cover its long-term operating costs. State Budget: Kentucky forecasters are using a pessimistic outlook amid energy-price and economic uncertainty. A Senate budget leader questioned claims that the state has $1.7 billion in extra revenue, despite more than $350 million in corporate tax payments. Eastern Kentucky Investment: The SOAR Summit announced $22 million for nine projects, including water, health care and broadband improvements. Water Infrastructure: Kentucky American Water has acquired the Black Mountain system in Harlan County and plans to invest more than $20 million in upgrades for its 4,300-plus customer connections. Data Centers: TeraWulf’s Kentucky campus is slated to reach 1 gigawatt of contracted power, with a finalized utility agreement promising $100 million in customer benefits.

Investment & Jobs: Arvato opened a new Louisville fulfillment center expected to create 150 jobs, while Speed Kentucky’s planned Owsley County UTV facility is set to add 60. Kentucky also landed a proposed $1 billion explosives manufacturing hub. Energy & Data Centers: TeraWulf doubled planned power capacity at its Kentucky data campus to 1 gigawatt; a finalized deal with Kentucky Power includes $100 million in customer benefits. Business Climate: Kentucky ranked 13th nationally for doing business, and Midea is expanding its Louisville research center to 157,000 square feet. Workforce: The Franklin-Simpson Industrial Authority raised $6,000 for SKYCTC scholarships, supporting students preparing for careers in the region.

Budget Outlook: Kentucky’s Senate budget chair questioned a revised forecast that projects $1.7 billion in additional revenue, citing economic uncertainty and rising energy costs. Fuel Costs: Temporary permission to use tax-free red-dyed diesel on public roads could save Kentucky farmers and truckers 40 to 60 cents a gallon through year-end. Business Expansion: Clark Distributing plans a 26,000-square-foot Owensboro facility, while the Green River Community Food Warehouse plans to buy its current building. Midea is also expanding its Louisville research center to 157,000 square feet. Economic Development: A Kentucky county has landed a planned $1 billion explosives manufacturing hub; elsewhere, Arvato’s new Louisville fulfillment center brings 150 jobs, and Toyotetsu plans a nearly $41 million Kentucky investment. State Competitiveness: Kentucky ranked 13th nationally for doing business, while Lyon County received more than $560,000 for site and building development.

Jobs and Investment: Arvato opened a Louisville fulfillment center expected to create 150 jobs. In Owsley County, Speed Kentucky’s $1.47 million assembly and distribution operation is expected to add 60 jobs. Rural Development: Kentucky approved more than $560,000 for Lyon County site and building work to support future job growth. Business Climate: Kentucky ranked 13th nationally for doing business, with strong marks for labor costs, energy costs and permitting. Data Centers: Lexington extended its data center moratorium through October 2027 as debate grows over power demand and potential effects on electric bills. Distilling: U.S. craft distilleries and sales continued to shrink, adding pressure on an industry important to Kentucky’s spirits economy.