HVAC engineering services provider creating high-wage opportunities for Kentucky residents
FRANKFORT, Ky. (Oct. 14, 2021) – Today, Gov. Andy Beshear congratulated Kentuckiana Curb Co. Inc., a manufacturer of commercial HVAC products doing business as KCC Manufacturing, on the groundbreaking of the company’s new $60 million operation in Simpsonville, a project creating 700 well-paying jobs for Kentuckians.
“As we celebrate Manufacturing Month across the commonwealth, new and expanding companies within the sector continue to move their projects ahead with a vision for the future,” Gov. Beshear said. “I want to once again thank KCC Manufacturing for this significant commitment to our state, and I congratulate the company on today’s major step forward toward creating hundreds of quality job opportunities for Kentucky families.”
In response to an increased need for production space, KCC will construct a 380,000-square-foot manufacturing facility and a 40,000-square-foot research and development operation on 80 acres along Buck Creek Road in Simpsonville. The project will boost the company’s HVAC equipment production, as well as roof curbs, curb adapters and other sheet metal products for roof-mounted air conditioning equipment. KCC’s customer base has grown in recent years and includes agritech-related businesses, health care facilities, school districts, retail, hotels and restaurants across the U.S. Company leaders anticipate construction will be completed by late 2022. KCC’s existing Kentucky footprint includes two manufacturing facilities in Jeffersontown, where it currently employs more than 550 people.
“The future is in our hands, and I am confident in the growth and evolution of future products,” said KCC Manufacturing CEO Al Fiorini.
Founded in Kentucky in 1977, KCC designs and manufactures commercial heating and air conditioning equipment focused on improved indoor air quality, as well as proprietary technology for indoor agriculture applications. Other products include metal and conventional roof curbs, stainless steel gutters, skylights, smoke vents, roof hatches, walkways and other roof products. In addition to its Kentucky locations, KCC operates a distribution center in Tooele, Utah.
The groundbreaking comes as Kentucky celebrates Manufacturing Month, recognizing the state’s nearly 5,000 manufacturing facilities, which employ over 250,000 Kentuckians. Since 2020, the sector has contributed to more than 13,500 announced jobs and $10 billion in new investment.
Shelby County Judge/Executive Dan Ison welcomed the company’s investment and job creation.
“As the second-fastest growing county in the commonwealth, Shelby County is proud to now be known as the new home for KCC Manufacturing,” Judge/Executive Ison said.
Simpsonville Mayor Cary Vowels said KCC will be a great addition to the community.
“KCC Manufacturing will be a true asset to Simpsonville and Shelby County,” Mayor Vowels said. “The investment in our community will provide positive rewards for many years to come with quality high-tech, high-paying jobs.”
Ray Leathers, president and CEO of the Shelby County Industrial and Development Foundation, said the company will be a great addition to the local industry sector.
“Simpsonville and Shelby County are extremely proud to have such a renowned industry as KCC Manufacturing make the decision to locate in our community,” Leathers said. “The professionalism and technology that they will bring with them will enhance the quality of life for all our residents.”
KCC’s groundbreaking furthers recent economic momentum in the commonwealth, as the state builds back stronger following the effects of the pandemic.
In September, Gov. Beshear, Ford Motor Co. Executive Chair Bill Ford, CEO Jim Farley and Dong-Seob Jee, president of SK Innovation’s battery business, announced the single largest economic development project in the history of the commonwealth, celebrating a transformative $5.8 billion investment that will create 5,000 jobs and places Kentucky at the forefront of the automotive industry’s future.
Year-to-date, private-sector new-location and expansion announcements include over $8.7 billion in total planned investment and the creation of 12,000-plus full-time jobs across the coming years. Through July, Kentucky’s average incentivized hourly wage is $23.47 before benefits, a 6.2% increase over the previous year.
In July, thanks to strong fiscal management by the Beshear administration, the state budget office reported the commonwealth ended the 2021 fiscal year with a general fund surplus of over $1.1 billion – the highest ever in the commonwealth – and a 10.9% increase in general fund receipts to $12.8 billion.
In May, Moody’s Analytics published a positive economic outlook for Kentucky, noting mass vaccination as the driving force behind a sustained recovery in consumer services. The state’s recovery, Moody’s said, benefited from earlier reopening efforts and increased demand for manufactured goods over services. The report also found Kentucky’s manufacturing industry outperformed the nation’s since the national downturn last year.
Fitch Ratings in May improved the state’s financial outlook to stable, reflecting the commonwealth’s solid economic recovery. The state’s April sales tax receipts set an all-time monthly record at $486.5 million, as did vehicle usage tax receipts at over $64 million.
In March, Site Selection magazine’s annual Governor’s Cup rankings for 2020 positioned Kentucky atop the South Central region, and third nationally, for qualifying projects per capita. The commonwealth also placed seventh overall in total projects, the highest of any state with a population under 5 million. Site Selection also recently placed Kentucky in a tie for fifth in its 2021 Prosperity Cup rankings, positioning the state among the national leaders for business climate.
To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in April preliminarily approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $10 million in tax incentives based on the company’s investment of $60 million and annual targets of:
- Creation and maintenance of 700 Kentucky-resident, full-time jobs across 10 years; and
- Paying an average hourly wage of $29 including benefits across those jobs.
Additionally, KEDFA approved KCC for up to $500,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.
In addition, KCC can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.
For more information on KCC Manufacturing, visit KCCCompanies.com.
A detailed community profile for Shelby County can be viewed here.
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.
Read about other key updates, actions and information from Gov. Beshear and his administration at governor.ky.gov, kycovid19.ky.gov and the Governor’s official social media accounts Facebook, Twitter and YouTube.