Business Lexington March 29, 2013 by Smiley Pete Publishing

SMILEY PETE

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MARCH 29, 2013 VOLUME 9, ISSUE 7

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A PA R T N E R I N P R O G R E S S

SMALL-TOWN SURVIVAL

Coba Cocina takes a bold leap into Lexington’s restaurant scene PAGE 8

Helping the poor, or hindering the economy? Opinions differ on potential results of raising the minimum wage

Green BEAN delivers the goods PAGE 16

By Pam Mangas CONTRIBUTING WRITER

ollowing-up on a campaign promise to further strengthen America’s middle class, President Barack Obama proposed to raise the federal minimum wage to $9 per hour during his most recent State of the Union address in February. Less than a month later, Sen. Tom Harkin, D-Iowa, and Rep. George Miller, DCalif., introduced the Fair Minimum W age Act of 2013, a bill aimed at raising the minimum wage from $7.25 per hour to $10.10 by 2016. Predictably, this reignited the minimum wage debate that has been all but dor mant since 2007, the last time Congress increased the wage. The million-dollar question: Does raising the minimum wage help or hurt America’s working poor, businesses and the overall economy? SEE MINIMUM WAGE PAGE 7 

Local franchise Right at Home helps aging seniors PAGE 21

The Jefferson Davis Inn settles in South Hill district PAGE 22

Focus: Agriculture Second five-year strategic plan for agriculture unveiled By Tim Thornberry CONTRIBUTING WRITER: AGRICULTURE

Despite the loss of 160 jobs in a downsizing by local employer Joy Global, Millersburg residents are optimistic that the town they call home will weather the outcome

Robert Barker, owner of Millersburg’s 5th Street Café PHOTO BY EMILY MOSELEY

BY KRISTY ROBINSON HORINE | CONTRIBUTING WRITER: BOURBON COUNTY

he challenges facing the coal-mining supply industry have landed like a boulder in the middle of a central Kentucky town, where the employer of roughly 25 percent of the population has served notice that it is shutting down operations and letting people go. Joy Global, touted on its website as “a worldwide leader in high-productivity mining solutions,” is closing its Millersburg mining machinery plant. It’s a blow to the town of 792, but one which local officials and business people say they are prepared to weather. SEE MILLERSBURG PAGE 12

uch of the success the state’s agriculture industry has enjoyed is due in part to having good operating plans — one of them being a five-year strategic plan initiated by the Kentucky Agriculture Council (KAC). The group recently presented Gov. Steve Beshear with its second such plan, “Connecting: Strategies to Better Kentucky’s Agricultural Economy and Rural Communities (2013-2018),” at a ceremony at the Capitol in Frankfort, Ky. The idea of the plan began in 2007 with the convening of the first-ever Kentucky Agriculture Summit, which brought agriculture leaders from around the state together to accept a challenge from then Gov. Er nie Fletcher. They were charged with the task of developing a strategic plan of action to build on the state’s agricultural successes and propel all of Kentucky agriculture into the future. SEE STRATEGIC PLAN PAGE 15 

INSIDE

POINTS OF INTEREST: MINIMUM WAGE WORKERS IN KENTUCKY PAGE 3 • BRIEFS PAGE 4 • WHO’S WHO IN LEXINGTON PAGE 6 CONSTRUCTION AT COBA COCINA PAGE 9 • UK CLIMATE CHANGE FORUM PAGE 10 • JIM AKERS, A TRUE KENTUCKY CATTLEMAN PAGE 14 REAL ESTATE SALES RETURNING TO NORMAL PAGE 21 • I KNOW EXPO PAGE 23 • PARTING THOUGHTS PAGES 24-25 • LEADS PAGE 26

BLUEGRASS BUSINESS

BY THE NUMBERS

Business Lexington magazine proudly presents its third annual Book of Lists, the only resource guide to business and industry rankings in the Bluegrass area. A ready-made reference tool for the Bluegrass business community—the Book of Lists combines a year’s worth of Business Lexington’s most statistically informative feature into one glossy-cover publication, which will be seen by thousands of corporate and community decision makers across the state. The Book of Lists offers a wealth of information reaching

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G AT T O N C O L L E G E O F B U S I N E S S & E C O N O M I C S

POINTSOFINTEREST Kentucky’s minimum wage workers According to the U.S. Bureau of Labor Statistics, 63,000 (5.8 percent) of Kentucky’s 1.1 million hourly workers earned the prevailing federal minimum wage of $7.25 per hour or less in 2011.

Percentage of hourly-paid wage and salary workers with earnings at or below the prevailing Federal minimum wage in Kentucky Annual averages, 2001-2011 Percent Percent 9.0 9.0

APPLY NOW!

8.0 8.0 7.0 7.0

=$5.85 = $5.85

Federalminimum minimum wage wage=$7.25 Federal = $7.25

==$7.25 $7.25

6.0 6.0

One Year Accelerated Program application deadline is

=$6.55 = $6.55

5.0 5.0 4.0 4.0

MAY 11!

3.0 3.0 2.0 2.0 1.0 1.0 0.0 0.0 2001 2001

2002 2002

2003 2003

2004 2004

2005 2005

At wage Atororbelow belowminimum minimum wage

2006 2006

2007 2007

At Atminimum minimumwage wage

2008 2008

2009 2009

2010 2010

2011 2011

Below Below minimum minimumwage wage

Source: U.S. Bureau of Labor Statistics

2011 Median hourly earnings

$12.08

$11.58

$12.71

$11.98

EMPLOYED HOURLY WORKERS IN KENTUCKY

EMPLOYED HOURLY WORKERS IN THE U.S.

KENTUCKY’S FEMALE HOURLY WORKERS

U.S. FEMALE HOURLY WORKERS

$12.85 KENTUCKY’S MALE HOURLY WORKERS

$13.80

U.S. MALE HOURLY WORKERS

Kentucky vs. other states

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Kentucky ranked 18th in 2011 among the 50 states and Washington, D.C., for its proportion of hourly workers earning at or below the Federal minimum wage. The states with the highest proportion were Georgia (9.6 percent), Mississippi (8.5 percent), and Texas (8.0 percent). States with proportions of 7.0 percent or higher included Louisiana, West Virginia, South Carolina, Missouri, Virginia and Kansas. The states with the lowest percentage of hourly workers earning at or below the Federal minimum wage included Oregon, California, Washington and Alaska, all of which had percentages below 2.0 percent.

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grow my practice. Now I focus on keeping my patients healthy. States with minimum wage rates higher than the Federal

States with no minimum wage law

States with minimum wage rates the same as the Federal

States with minimum wage rates lower than the Federal

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Source: U.S. Bureau of Labor Statistics

Business Lexington • March 29, 2013

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Gov. Steve Beshear will lead an international business trade mission to Toronto, Canada, Kentucky's top export destination.

â&#x20AC;&#x153;We are pleased to announce the completion of our acquisition of Sealy and are very excited about our future as Tempur Sealy International,â&#x20AC;? Lexington-based CEO Mark Sarvary said in a statement. â&#x20AC;&#x153;We remain confident that our shared know-how and expected efficiencies will result in tremendous value. Our focus now is on ensuring that our integration process remains on track and is as seamless as possible for all of our employees, customers and other stakeholders.â&#x20AC;?

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The visit will be the first-ever Kentucky Export Initiative trade mission, with the goal of increasing commerce between Kentucky and Canada, according to a news release from Beshear's office.

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Kentucky exports to Canada totaled $7.3 billion in products and services in 2012. Mexico ($1.7 billion) and the United Kingdom ($1.5 billion) round out the top three among 199 nations receiving Kentucky exports. Kentuckyâ&#x20AC;&#x2122;s trade relationship with Canada in 2012 pumped $3.2 billion into the stateâ&#x20AC;&#x2122;s economy, supporting more than 38,000 jobs and creating $245 million in state and local taxes for Kentucky.

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WOMEN LEADING KENTUCKY

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CONGRATULATIONS TO OUR MARTHA LAYNE COLLINS LEADERSHIP AWARD WINNERS Jean Hale ~ President, Community Trust Bancorp, Pikeville Lindy Karns, CPA ~ Director, Blue & Company, Lexington Vickie Yates Brown ~ President/CEO, U of L Nucleus, Louisville

CONGRATULATIONS TO OUR MARTHA LAYNE COLLINS AWARD FOR EXCELLENCE WINNER Nikky Finney ~ Poet & 2011 National Book Award Winner

EXHIBIT SPACE / SPONSORSHIPS AVAILABLE Early Bird Registration Rate: $155 per person (prior to April 2) Registration: $175 per person (after April 2) Group Rate: (4 or more from same organization) $145 per person Lunch Only: $55 per person Table of 10 With Signage At Awards Luncheon: $500

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The trade mission is scheduled for June 4-7. Businesses interested in joining the trade mission are being urged to act quickly. Space is limited. Some companies may be eligible for grant assistance through the U.S. Small Business Administration State Trade and Export Promotion (STEP) program administered by the Cabinet for Economic Development. More information about the trade mission and STEP grant can be found at www.KYExports.com.

Kentucky Proud members may be eligible for 2013 promotional grant funds from a promotional cost-share grant. The grant reimburses up to half of eligible expenses (capped at $12,000 annually) for advertising, marketing and reaching consumers at the point of purchase to promote Kentucky Proud products with direct farm impact. The grant is funded as part of the stateâ&#x20AC;&#x2122;s tobacco litigation settlement to help Kentucky farmers pursue new markets and agricultural options.

The company states it will be able to create significant shareholder value with annual cost synergies in excess of $40 million expected by the third year through purchasing, supply chain and increased efficiencies. In the previous announcement of the purchase, Tempur stated the companies would operate in largely the same fashion, with Sealy continuing its presence in North Carolina with former CEO Larry Rogers remaining in the top position there and reporting to Sarvary in Lexington.

- BY ERIK A. CARLSON

UK design dean departing for Syracuse Michael A. Speaks, dean of the College of Design at the University of Kentucky and an influential voice in planning downtown public amenities in Lexington, has been named dean of the School of Architecture at Syracuse University. Speaks, also a professor of architecture, has been at the center of debates about the role innovation and prototyping play in design and has written a series of influential essays that argue for the importance of what he calls â&#x20AC;&#x153;design intelligence,â&#x20AC;? or the various forms of design knowledge generated during design but which are often overlooked in favor of â&#x20AC;&#x153;the design.â&#x20AC;? Speaks will assume his position on July 1.

The program allows members to advertise in participating publications with the support of Kentucky Proud. Information is available at kyproud.com. Click on â&#x20AC;&#x153;Members.â&#x20AC;?

Tempur-Pedic completes purchase of Sealy, changes name Lexington-based Tempur-Pedic International has completed its previously announced acquisition of Trinity, North Carolina-based Sealy. The combined company will be named Tempur Sealy International, Inc., and it becomes the largest bedding company in the world, with brands such as Tempur, Tempur-Pedic, Sealy, Sealy Posturepedic, Optimum and Stearns & Foster. Announced in late September, Tempur is paying $1.3 billion to purchase of the 131year-old Sealy. The company will be traded

Business Lexington â&#x20AC;˘ March 29, 2013

Seton Catholic plans engineering program, grades K-5 Beginning in the fall of 2013, Seton Catholic School will offer a new engineering program in grades K-5. Called â&#x20AC;&#x153;Engineering is Elementary,â&#x20AC;? the initiative is the schoolâ&#x20AC;&#x2122;s first step toward becoming the first private school with a STEM (Science, Technology, Engineering, and Math) program in Lexington and the surrounding areas. Plans call for a learning environment that encourages the innovation, problem solving, cooperative learning and critical thinking skills necessary for the 21st century workforce. Seton was named a 2012 Blue Ribbon School of Excellence by the U.S. Department of Education. The honor places Seton in the top 15 percent of schools throughout the nation. Only 50 private schools earn this recognition each year.

Amazon’s Winchester Center wins national award Trade & Industry Development magazine lists Amazon’s customer service center in Winchester, Ky., among the nation’s top 30 economic development projects from 2012. Along with General Electric in Louisville, Ky., and Berry Plastics in Madisonville, Ky., the new 70,000-square-foot facility is among winners of the magazine’s Corporate Investment & Community Impact Awards, given in recognition of corporate investment and projects with significant community impact. Amazon expects to hire a permanent workforce of 550, with another 600 seasonal and parttime jobs, by 2017.

Bike Lexington Commuter Challenge coming in May The Bike Lexington Commuter Challenge will run through the month of May, encouraging Lexington commuters to travel to work and run errands by bike instead of driving. In 2012, nearly 30 businesses competed in the Commuter Challenge, totaling 3,527 trips and 11,729 miles traveled by bicycle for the month. The Commuter Challenge is free and open to businesses and individuals in Fayette County. Business teams will be grouped into one of four categories according to company size. The winning business in each category will be profiled in Business Lexington. The overall business winner will receive the Golden Cranks award. Individuals not associated with a company can also record their bike trips to compete for the most trips made and miles ridden to earn prizes. Registration for the Challenge opens April 8th and will remain open throughout May. Visit bikelexington.com to learn how to get started. Bike Lexington 2013 is presented by Pedal Power. Sponsors include Downtown Lexington Corporation, Lexington-Fayette Urban County Government, YMCA, Bullhorn, tadoo.com, Bluegrass Cycling Club, Debra Hensley’s Social $timulus, Good Foods Market & Café, Green’s Scion of Lexington, Humana, Pedal the Planet, Scheller’s Fitness and Cycling and Stites & Harbison, PLLC.

Lyric to lead East End walking tour The Lyric Theatre and Cultural Arts Center will host a walking tour of Lexington’s Historic East End neighborhood, led by local historian and Isaac Scott Hathaway Museum Executive Director Yvonne Giles. The two-mile walking tour will take participants from the corner of East Short and Deweese Street to the corner of East Third and Midland Avenue. Along the way, the history of the development of homes and businesses in the predominately African-American neighborhood will create a picture of what the East End really looked like from 1780 through the 1960s, organizers said. The walking tours will be held from 1 p.m. to 3 p.m. on three Saturday dates: April 6, May 4 and June 8. Admission is $10 and can be purchased by calling (859)280-2218 or visiting www.lexingtonlyric.com.

THE GRAMMAR GOURMET

A R T M AT T E R S T O U S A L L

Capital Ideas: From Midwest to Middle East BY NEIL CHETHIK

Kentucky is the Literary Capital of Mid-America, and because it is part of a title, Mid-America begins with a capital M. But what if we used this hyphenated noun in an ordinary sentence? For example: "Most of the U.S. population lives in mid-America." Should the m in mid-America still be capitalized? I'll give my opinion in a moment. But first, we know this for sure: When you describe a simple direction, you do not capitalize the first letter of that direction. "Lexington is north of Chattanooga and south of Cincinnati." Here, north and south are simple directions and should begin with a lowercase letter.

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However, when you name a geographical region, the rule is that you begin with a capital letter. For example, "People disagree about whether Kentucky is in the South." In this case, South is not simply a direction; it's a specific area of the country. This capital-letter rule extends to other U.S. regions: Northeast, Southwest, Midwest. And you could broaden this beyond our borders: Middle East, Western Hemisphere, South Pacific. So what about mid-America? While mid-America doesn't appear on most regional maps, it is not a simple direction (north, south, etc.). At the same time, it is differentiated from most regional names (Northeast, Southwest, etc.) by its hyphen. Ultimately, it seems to me, mid-America has more in common with Midwest than west -- that is, it's more like a region and less like a direction. Thus, whenever describing our part of the country, call it Mid-America, with a capital M. Neil Chethik, aka the Grammar Gourmet, is executive director at the Carnegie Center for Literacy and Learning (www.carnegieliteracy.org) and author of FatherLoss and VoiceMale. The Carnegie Center offers writing classes and seminars for businesses and individuals. Contact Neil at neil@carnegiecenterlex.org or (859) 254-4175.

Business Lexington • March 29, 2013

BusinessLexington TOM MARTIN Editor in Chief tom@bizlex.com

SUSAN BANIAK Features Editor susan@bizlex.com

ERIK A. CARLSON

Reporter/Editor • Weekly Wire erik@bizlex.com

WHO’SWHO EMPLOYMENT AND AWARDS IN OUR COMMUNITY

TYLER

MEEK

TOBE

ELLIS

KING

DREW PURCELL Art Director drew@bizlex.com

New Hires & Promotions

ROBBIE CLARK

Chris Tyler, LEED AP BD+C, is now a partner of Thermal Equipment Sales, Inc. Tyler serves as vice president of business development for the company.

New Media Director robbie@bizlex.com

ACCOUNT EXECUTIVES

CHUCK CREACY chuck@bizlex.com

LINDA HINCHCLIFFE linda@bizlex.com

STEVE O’BRYAN steve@bizlex.com

ANN STATON ann@bizlex.com

AMY VAN WINKLE amy@bizlex.com

ROBBIE MORGAN rmorgan@bizlex.com PUBLISHERS

Fifth Third Bank has announced the following officer promotions. Emily Meek (commercial banking) has been named vice president. Julie Baker (mortgage loan originator), Joseph Deraney (Beaumont branch manager), Aaron Mason (mortgage loan originator), Emma Montgomery (Paris branch manager) and Jennifer Wilson (private banking) have been named officers. The Foundation for a Healthy Kentucky has hired Lisa Tobe, MPH, as a senior program officer and promoted Katie Ellis, MS, to program officer.

CHRIS EDDIE

chris@smileypete.com

CHUCK CREACY

chuck@smileypete.com 434 Old Vine Street or P.O. Box 22731 Lexington, KY 40522-2731 (859) 266-6537 • (859) 255-0672 (Fax) www.smileypete.com For licensing and reprints of content, contact Wright’s Reprints at (877) 652-5295.

Unified Trust Company, N.A. has named R. Scott King as the new senior fiduciary advisor for the Wealth Management Group. The YMCA of Central Kentucky has

named three new members to its executive team. Assuming leadership positions in the organization are Trisha Rayner as chief operating officer, Kim Shelton as vice president for financial development and Julie Balog as vice president of marketing and communications.

Board Announcements The 2013 Big Brothers Big Sisters of the Bluegrass Board of Director members include: Alan Stein, chair (The SteinGroup LLC); Catherine Wright, vice-chair and chair-elect (Dinsmore & Shohl); David Turner, treasurer (Central Bank); Vonda Melton, secretary (Exceptional Living Centers); Mike Scanlon, as past chair (Thomas & King); Leslie Baldwin, (Portraits, Inc); Dr. J.P. “Ike” Adams (University of Kentucky); Laura Babbage (UK Medical Center); Anthany Beatty Jr. (Medical Device Sales); Paul Chartier (Rector-Hayden Realty); Catherine Edelen (Apple, Inc); Tim Feld (Feld and Hassman); Jon Ford; David Fraley (Ashland); Billy Frey

WHO’S WHO FOR YOU?

TO SUBMIT YOUR WHO’S WHO NEWS EMAIL A PRESS RELEASE AND PHOTO TO INFO@BIZLEX.COM (Alltech); Sandy Hatfield (Three Chimneys Farm); Phil Holoubek (Lexington’s Real Estate Company); Will Jones (Bullhorn Marketing LLC); Tressa Mason (Ephraim McDowell Health, Danville); Bill Papania (Papania’s Inc); John Perkins (First Gear, Richmond); Eve Proffitt (University of Kentucky); Justin Ross (Wyatt, Tarrant & Combs); Seth Salomon (Salomon & Company); Reginald Smith (Messer Construction); Kevin Stinnett (Premier Financial Group); Greg Waters (Dairy Queen, Mt. Sterling); Jennifer Wilson (Fifth Third Bank); and Mac Zachem (public affairs consultant). The Beaumont Centre Family YMCA welcomes the following 2013 Board of Managers: Betsy Adler; Brian Buchanan, GSA, LLC;

Cathy Callaway, LFUCG Dept. of Emergency Management; Robin Fleischer, Robin Fleischer Counseling, LLC; Darryl Gaines, Ashland Oil; Al Isaac, NAI Isaac Commercial Properties; Eleanor Isom; Javid Javaherian; Terri Jones, Central Bank & Trust Co.; Marvin King, Lexmark; Lorraine Kinley, Central Bank and Trust Co.; Aaron Lubbers, Infintech; Donna Mason, Bluegrass Area Development District; Earl McKinney; Dirk Morris, Lexmark; Ted Norris, Alliance Coal; Dinker Patel, Kentucky State University; Jeannine Petell, Community Trust Bank; Scott Southall, CDP Engineers; Bob Traynor; Michael Troutman, Troutman & Napier; Mike Wedding, Messer Construction; and Carolyn Yates Cunningham, Kinkead and Stilz.

Hometown Host brings in global visitors Rolex Kentucky Three–Day Event April 25–28 at the Kentucky Horse Park The Rolex Kentucky Three-Day Event is the ultimate test of horse and rider. Held at the beautiful Kentucky Horse Park, this pinnacle Four Star event solidiﬁes Lexington as the Horse Capital of the World. Lee Carter, Executive Director, provides insight as to what makes this event possible year after year. What makes the Kentucky Horse Park the perfect venue for the Rolex Kentucky Three–Day Event? The Kentucky Horse Park has served as the host facility for the Rolex Kentucky Three–Day Event for over 30 years. With over 1,200 acres, the Park allows our guests to experience the beauty of the Bluegrass Region while watching world–class competition. Our relationship and partnership with the Park has enabled our event to grow to one of only six CCI four–star events in the world, and the only one in the Western Hemisphere. The quality of the facilities and amenities offered by the Park are key factors in our ability to annually produce an event that is recognized around the world. Since the Kentucky Horse Park is located just north of downtown Lexington, our guests are able to enjoy the great hospitality offered by the Horse Capital of the World, making this truly the perfect venue.

Lee Carter Executive Director Rolex Kentucky Three-Day Event

Volunteers are a huge aspect of making this event a success. How do you manage this? Approximately 2,000 volunteers annually commit their time and resources to the Rolex Kentucky Three–Day Event. While many of our volunteers are local residents, a large number travel from outside the state and region to volunteer their time. The majority of our volunteers return year–after–year, with many having supported the event since its inception. This has created a strong foundation to our volunteer system that has provided stability over the years. Volunteers begin signing up early in the year with training provided as the event draws closer. Needless to say, their support is vital to our success.

The total economic impact on Fayette County by the Rolex Kentucky Three–Day Event is

$10,758,101* 92%of 2012 attendees surveyed indicated they would be returning for the 2013 event *Source: 2004 Rolex Kentucky Three–Event Economic Impact study ($8,851,300) adjusted to the 2012 U.S. Dollar values based on data from stats.areppim.com

Hometown Host Lee shares his passion for both his profession and Lexington by partnering with the Lexington Convention and Visitors Bureau to help bring visitors from around the world to our wonderful city. Lee, we thank you and Lexington thanks you!

For more information on how you can support Lexington as a Hometown Host, please call Dennis at (859) 244-7712.

Business Lexington • March 29, 2013

Minimum wage CONTINUED FROM PAGE 1

The cons

In 2007, Ken Troske, Ph.D. and senior associate dean of the University of Kentucky Gatton College of Business and Economics, conducted a study examining this precise question but with regard to Kentuckyâ&#x20AC;&#x2122;s working poor . While he admits this study is somewhat dated, he believes its conclusions still ring true. The study concluded that â&#x20AC;&#x153;both the poor families, which the minimum wage is intended to help, and the state as a whole would be, if anything, less well off if the wage were raised.â&#x20AC;? Troske argues that the demographic of people who might benefit from such an increase is not necessarily the working poor but college students and others who are working to supplement their household incomes. â&#x20AC;&#x153;Some of them may be poor , but a large number of them arenâ&#x20AC;&#x2122;t particularly poor â&#x20AC;&#x201D; theyâ&#x20AC;&#x2122;re living in middle-class households or theyâ&#x20AC;&#x2122;re the second-ear ner in a reasonably well-to-do household,â&#x20AC;? said Troske. Additionally, Troske said the minimum wage has little to do with why some Kentucky families are living at povertylevel and that most of these people already earn more than minimum wage, so raising it provides very little benefit to them. â&#x20AC;&#x153;If you look at our report, one of the reasons people are poor is not because they are ear ning low wages; itâ&#x20AC;&#x2122;s because theyâ&#x20AC;&#x2122;re not working a lot, for a variety of reasons,â&#x20AC;? said Troske. Troske said there are better , more effective ways to help Americaâ&#x20AC;&#x2122;s working poor and of fered the ear nedincome tax credit (EITC) as a prime example. â&#x20AC;&#x153;The reason the EITC is so ef fective is because itâ&#x20AC;&#x2122;s tar geted at the poor ,â&#x20AC;? said Troske. â&#x20AC;&#x153;To get the ear ned-income tax credit, you have to live in a household thatâ&#x20AC;&#x2122;s considered poor . People living in households that are poor qualify for the earned-income tax credit, not middleclass people who have middle-class teenagers who earn low wages.â&#x20AC;? â&#x20AC;&#x153;Another thing the ear ned-income tax credit can do is help overcome child-care costs, because it essentially gives people a raise, helps them better overcome costs that are preventing them from working, and gets them in the labor market,â&#x20AC;? he said. â&#x20AC;&#x153;The evidence is overwhelming. This is one of the most ef fective povertyreducing programs that weâ&#x20AC;&#x2122;ve seen in the last 30 years.â&#x20AC;? Of course, a minimum-wage debate wouldnâ&#x20AC;&#x2122;t be complete without weighing the costs to do so. â&#x20AC;&#x153;One of the things most people donâ&#x20AC;&#x2122;t seem to understand is if you are going to raise these peopleâ&#x20AC;&#x2122;s wages, the money just doesnâ&#x20AC;&#x2122;t drop from above â&#x20AC;&#x201D; that involves a cost and someone has to pay for it,â&#x20AC;? said Troske. So, who pays? Consumers and jobseekers, he says. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s not like these businesses are making a lot of money, so the only way they are going to survive is if they raise their prices, and theyâ&#x20AC;&#x2122;re going to have to pass the additional cost on to consumers,â&#x20AC;? said Troske. Troske also contends that businesses will be forced to hire fewer workers in the future with a higher minimum wage, resulting in fewer opportunities for jobseekers.

The pros

But, on the opposite side of the debate, proponents of raising the minimum wage offer their own evidence of the benefits to the working poor , businesses and the economy. Jack Temple is a policy analyst for the N ational Employment Law Project (N ELP), a non-partisan, not-for -profit organization that conducts research and advocates on issues af fecting lowwage and unemployed workers. T emple said the minimum wage was initially intended to increase with the cost of living, but over the past three decades or so, Congress has largely ignored this intention. At the federal level, the minimum wage was last increased in 2009, when it rose from $6.55 to $7.25 per hour , the last of a three-step increase approved by Congress in 2007. However, before 2007, the minimum wage had been stuck at $5.15 per hour for 10 years. Whatâ&#x20AC;&#x2122;s more, the â&#x20AC;&#x153;tippedâ&#x20AC;? minimum wage has been frozen at $2.13 per hour since 1991, plummeting in value to less than 30 percent of the minimum wage. â&#x20AC;&#x153;Employers back in the late â&#x20AC;&#x2122;60s were already paying the equivalent of $10.50 in todayâ&#x20AC;&#x2122;s dollars,â&#x20AC;? said T emple. â&#x20AC;&#x153;So this is basically just restoring the value thatâ&#x20AC;&#x2122;s been shed over the last 30 to 40 years due to the fact that Congress has been too slow to update the minimum wage.â&#x20AC;? Despite inaction at the federal level, Temple said that states have been acting in record numbers to boost their minimum wages. He said his or ganization has developed a â&#x20AC;&#x153;rich body of evidenceâ&#x20AC;? from these states that clearly shows no reduction in employment growth or changes in jobgrowth patterns. NELPâ&#x20AC;&#x2122;s research shows that, from 2004 to 2006, 25 states raised the minimum wage, including seven states where voters approved ballot initiatives to do so. T en states have adopted â&#x20AC;&#x153;indexingâ&#x20AC;? for their minimum wages to keep pace with the rising cost of living. â&#x20AC;&#x153;Contrary to what some claim, when you look at the whole picture, there are actually some savings that result from paying higher wages, the most significant being sharp reductions in tur nover and, particularly for low-wage employers, turnover is a huge expense,â&#x20AC;? said T emple. â&#x20AC;&#x153;You have to recruit new employees, you have to retrain them. Theyâ&#x20AC;&#x2122;re not as good when they first start. Especially if youâ&#x20AC;&#x2122;re a retailer or in food services, a lot of products can get wasted if your employees donâ&#x20AC;&#x2122;t know how to manage stock appropriately.â&#x20AC;? Temple said businesses can also expect increases in worker productivity as wages increase. N ELP is not the only or ganization supporting an increase in the minimum wage. Just this month, the Economic Policy Institute, a nonprofit, nonpartisan economic policy think-tank, released the results of an analysis that examined how raising the minimum wage to $10.10 would impact working families and the overall economy. The study concluded that this would boost the earnings of working families hardest hit by the recent recession, spur economic growth and net about 140,000 new jobs. The debate over raising the minimum wage has only just begun but could be over before any meaningful dialogue takes place, as the vast majority of bills introduced to the House and Senate never make it past committee. But the presidentâ&#x20AC;&#x2122;s endorsement has, no doubt, placed the issue in the spotlight, which is sure to keep supporters and opponents abuzz and pave the way for more serious consideration by Congress.

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Coba Cocina takes a bold leap onto Lexington’s restaurant scene By Robbie Clark BUSINESS LEXINGTON

fter more than a year’s worth of speculation and curiosity, the public finally has its opportunity to experience all that Coba Cocina, the new restaurant at the cor ner of Richmond Road and St. Mar garet Drive in the Idle Hour Shopping Center, has to offer. And it is a lot. From the food to the architecture to the unique concept, Coba Cocina is certainly a distinct Lexington restaurant. It is also a dream years in the making for the project’s founders, father-andson Phil and Lee Greer of Greer Companies, a local hospitality and real estate development company headquartered in Lexington LEE GREER whose portfolio also includes 35 Cheddar’s restaurants in Kentucky, Ohio, Indiana, Tennessee, West Virginia and North Carolina. The restaurant, which opened in midMarch, is actually three separate, but complementary, concepts: Cocoh! Confectioner , a bakery, cafe and gelateria; Cobar Cantina, an upstairs lounge with a specific small- plate (tapas) menu; and Coba Cocina, the intricately decorated downstairs restaurant with seating for nearly 230 people (the entire building can sit upward of 400 people). The cuisine, managed by chef Alejandro Velasquez, is “Pan-American,” according to Lee Greer, and is inspired by dishes from Mexico, South America and Latin America, the Baja and Texas. Coba menu specialities include ceviche, brisket tacos, a Cubano sandwich, agave-barbecue glazed ribs, chicken Monterey and “pescado de Yucatan.” Coba will offer lunch and dinner, as well as a variety of breakfast items in Cocoh. The restaurant is named after the city of Coba, on the eastern Gulf Coast of Mexico’s Yucatan Peninsula, which is a well-known destination because of its Mayan ruins. Its interior was inspired by “cenotes” — sea caves characteristic of Y ucatan that were important sources of water and other aspects of the Mayan civilization. The piece de resistance of the restaurant is a gar gantuan, 3,000-gallon jellyfish aquarium — the largest private container of its kind in the world — home to 100 moon jellyfish. At 20 feet high, the cylindrical aquarium is visible from nearly everywhere in the nearly 12,000square-foot building. Many other features in the restaurant feed into this nautical and cenote-cave theme, from the 38-foot-wide dome perched on top of the building to the sparkling blue ceiling panels and the wavy, scale-like “fish panel” walls. Many other pieces and installations play into the Mayan theme, with a row of panels of “glyphs” lining the exterior and ornate, hand-hammered front door pulls at the front entrance. “Everything has a purpose; every little detail has a story for us,” Greer said. “Hopefully it comes together so when you’re driving by at night it looks like something different but cool. And something Lexington can be proud of.” Having been involved in the restaurant industry for several years, Greer wanted to incorporate a number of unique fixtures and features into Coba Cocina that he has always thought would be beneficial to restaurants,

Alejandro Velasquez (right) is the restaurant's chef, while his wife, Shanyn, is the head pastry chef. PHOTOS BY EMILY MOSELEY

such as tables for large groups with a small path down the middle for easier access and a video screen that displays waiting times for guests in real time. “This is something I’ve always wanted,” Greer said. “I don’t want people wondering how many people are in front of them or how much longer they’ll have to wait.” Dozens of local and central Kentucky craftspeople and professionals contributed to specific components of the building’s full rendering, such as Mike Angelucci, whose company, Angelucci Acoustical, constructed the the restaurant’s large domes, and Bryan Uittenbogaard from Garrard Wood Products, who fashioned the interior’s distinctive walls (see page 8.) Greer said he is excited finally to be able to show off all the work that went into the building, which was designed by architect Todd Ott. “When this thing was under construction, it was a hodgepodge of all kinds of crazy stuff,” Greer said. “You had a bunch of people thinking we’d just dumped a bunch of leftover building material on to a job site and started throwing it together . But now, with the outside really coming together and done, you can get a full appreciation. It is an amazing work of art by the architects and all the craftspeople we had working on it.” Greer wouldn’t provide the exact amount invested for the multi-million-dollar restaurant, which he said will employ about 200 people, but he did acknowledge that opening more Coba Cocina locations (or perhaps one of the three different concepts) could be a possibility after gauging the success of the initial restaurant’s per formance, from the food to the service to the design. “Frankly, this one could never make money; there’s just too much in it,” Greer said. “This is for Lexington, and we want to get it right. ... If you’re ever looking for a return on investment, you’ll never get it in just one. It’ll take several of these.”

Business Lexington • March 29, 2013

The restaurant’s 3,000-gallon jellyfish aquarium

Local contractor rises to meet Coba’s construction challenges By Brian Powers

in drywall installation and does mainly commercial work as a subcontractor . Angelucci ike Angelucci is not shy about what has partnered with his brother, Phil, for the drives the success of his business, past 10 years, making the company a family Angelucci Acoustical. affair. Since its inception, the Lexington“I have the best crew,” he said. “It is not based company has had as many as 50 emme — they make my company what it is.” ployees and as few as four or five. Having been in this line of work for “We’re not a big company, but we’re a more than 30 years, Angelucci knows that tighter unit,” said Mike Angelucci. The close his crew is the solid structure that underpins working relationship and camaraderie of his his company, much like the metal framing crew is what he believes delivers a higher they install below custom drywall. quality experience to customers. He also “My employees are awesome. They’re thinks that a key differentiator between himsuperstars of the industry,” said Angelucci. self and the competition is that he pays his “A lot of them have been with me 20-plus employees by the hour, encouraging them years.” to take the time to do the job right. After traveling across the country work“I don’t want to be the fastest in town; ing for other similar companies, Angelucci I want to be the best,” he said. “The most formed Angelucci Acoustical on his 21st rewarding part is building a reputation — birthday in 1981. The company specializes having people call you back. Out of 150-200 CONTRIBUTING WRITER

Restaurant tests the skills of local fabricator

jobs we do a year, 150 or so are people who call all the time, so there’s a sense of pride.” Angelucci Acoustical was responsible for all the drywall throughout the new Coba Cocina restaurant, as well as the stucco appearance on the outside. That also meant creating all the metal stud framing for interior spaces and insulating the exterior jobs. When the call came down to help create some of the unique designs in and around Coba Cocina, Angelucci knew it was a make-or-break moment. “It was scary, wondering if we could pull it off in the time allotted and with the difficulty level,” he said. “But the more difficult the job, the more we get into it.” He was right to be nervous, as the degree of difficulty proved to be a true challenge to Angelucci and his crew. “It’s the toughest drywall job I’ve ever

seen,” said Angelucci. “In 31 years, this is the hardest job I’ve had — everything in there is round. Every piece in there is the most difficult thing I’ve done.” The work also provided ample opportunities to work with new products and techniques, with some products — especially the translucent ceiling panels, a new material, used for its first time at Coba Cocina — requiring close contact with the manufacturers themselves. Angelucci Acoustical has been working with Coba Cocina for a year now. Now that the work on Coba Cocina has been substantially completed, Angelucci said his crew feels a true sense of accomplishment. “They get a kick out of showing off their skills,” he said. “It’s cool for them stand back and say, ‘Wow, look at what we did.’”

He found a small cabinet-door manufacturer that he thought was viable and bought it. The intervening 13 years saw some serious changes, however. “We were doing 250 doors a day in our heyday, selling throughout Ohio, Kentucky, West Virginia, etc.,” Uittenbogaard said. “As the economy tanked out and custom homes went to almost nothing, we started looking at other things to build.” Today, Garrard W ood Products no longer makes any cabinet doors but serves a new market for specialty products. The company currently only employs one other full-time person, but helping them in their new role is a state-of-the-art piece of equipment that brings digital-age precision to their work. The 10,000-pound computer numerical controlled (CNC) router is the centerpiece of the Garrard Wood Products shop. This router uses computer -aided design, or CAD, to create and design complex and intricate pieces and can handle a 5-by-10-foot PHOTOS BY EMILY MOSELEY sheet of material. The curves and unusual shapes incorpo“We can create curves and crazy rated into the interior of Coba Cocina shapes with the proper programming,” said posed some interesting fabrication challenges for Bryan Uittenbogaard’s Uittenbogaard, something that appeals to company, Garrard Wood Products his engineering background. “To be able to sit down and design something — it’s just a lot of fun, to tell you the truth.” That combination of cutting-edge techBy Brian Powers CONTRIBUTING WRITER nique and sense of fun are exactly the right he name Garrard Wood Products is combination necessary for the complex desomething of a misnomer, for reasons sign of the new Coba Cocina restaurant. For other than the fact that it no longer Uittenbogaard, the entire process has been resides in its namesake county. one of innovation. When asked to specify what medium, “We’ve done so many projects — exactly, his company works in, owner Bryan maybe hundreds of kitchens — where Uittenbogaard spun off a list that began with maybe one piece would be interesting and wood and touched on such other materials unique and require us to think about how as Styrofoam, PVC and stainless steel, as to make it,” Uittenbogaard said. “In Coba well as “more and more plastics — a mix of [Cocina], it’s every piece, every day.” whatever it takes to get the job done.” From the cor nice band that runs Rather than pigeonhole his business as around the top of the building to integral some sort of carpentry, Uittenbogaard said parts of the main attraction, an 18,000-galthat a more apt descriptor would be “cuslon aquarium, every fabricated piece retom fabricator.” Nowhere have his fabrica- quired an excess of creativity and tion skills been tested like the work his unconventional thinking, sometimes changN icholasville-based company has been ing the plans entirely. For instance, the cordoing in Coba Cocina. nice band was going to be molded from An engineer by trade, Uittenbogaard’s fiberglass, but Uittenbogaard discovered career ultimately brought him to a company that he could cut the piece with his router in Lexington. When that company fell on more efficiently. hard times, he decided to buy a local busi“For most of these pieces, the thought ness rather than uproot again. In choosing is, ‘How in the world am I going to pull this his new business, he went back to basics. together?’” said Uittenbogaard. “For the first “I thought, ‘I know how to manufactime ever, I’ve had to actually build a model ture things,’” said Uittenbogaard. to see how something works.”

Business Lexington • March 29, 2013

UK climate change forum to focus on shared values By Carol L. Spence GUEST WRITER

he University of Kentucky College of Agriculture will host a free public forum, Climate Change: Values, National Security and Free Enterprise, at 7 p.m. on April 4 in the UK Student Center ballroom. The forum will include climate change experts with viewpoints that will resonate with many Kentuckians, said Paul V incelli, extension professor in the UK Department of Plant Pathology and forum organizer. “Our speakers will be taking the climate change discussion further by talking about values, by talking about the relationship to our national security and by talking about solutions that are grounded in free enterprise,” he said. Forum speakers will include Katherine Hayhoe, author of A Climate for Change: Global Warming Facts for Faith-Based Decisions; retired Brig. Gen. Steve M. Ander son; and Bob Inglis, for mer U.S. representative from South Carolina and president of the Energy and Enterprise Initiative at George Mason University. Hayhoe is an internationally known climate scientist with a faith-based perspective. Her talk is titled “Would You Sell Your Car to Save a Polar Bear? I Wouldn’t. Why I Care About Climate Change and Y ou Should, Too.” Anderson, whose talk is titled “Climate Change and National Security,” is a self-described conservative and strongly believes

the military must develop renewable energy sources. Inglis is well known in the field of climate science as an advocate for free-enterprise solutions. He will share his ideas in his talk, “Free Enterprise Approaches to Energy Security and Climate Change.” The forum will take place in front of a live audience and will also be streamed live online. “What I hope is that all listeners understand that this issue really does touch and relate to our values as Americans,” V incelli said. Climate Change: Values, National Security and Free Enterprise is sponsored by the UK College of Agriculture, UK Environmental and Natural Resources Initiative, T racy Farmer Institute for Sustainability and the Environment, UK Sustainability Student Council and the UK Invasive Species Working Group. The forum is part of the Environmental Issues Conference on April 2-4, hosted by the Environmental and Natural Resources Initiative. Reservations are not needed to attend. Those unable to attend the session in per son can view the streamed presentations online at http://ustream.tv/kyclimateforum. At the conclusion of the forum, presentations will also be posted online at http://www.youtube.com/ukagriculture. Carol Spence is an agricultural communications specialist at the University of Kentucky College of Agriculture.

A FRESH LOAD OF CONVENIENCE Laundry pick-up service saves clients the laundromat trip

By Charles Sebastian

and volume discounts for corporate and larger residential customers, it starts to save f you’re like the vast majority of people, people a lot of time that they could spend time is the fixed commodity that is most doing other things, Bonner said. challenging to manage. For this reason, “We’ve contracted with several cleaners many services have popped up to help peo- in town who handle laundry, designated by ple reclaim those precious minutes often a blue bag, and dry cleaning, designated by lost to life’s tiresome necessities — like han- a yellow bag.” dling the laundry. It’s a system that seems to be working Laundry101, which opened its doors in well, with a lot of satisfied clients. September 2011, is the brainchild of three “We even do wedding dresses,” Bonner friends: Tony Bonner, who serves as marsaid. “The whole idea is service: if we can keting and legal advisor; Joe Putnam, who take away the burden that everyone has to handles billing and accounting; and Jimmy remember to gather their laundry, take time Turek, who heads operations. While a cor- to drop it off and remember to go get it, this porate office is maintained on Main Street, saves people enormous amounts of time and in essence, there is no storefront. energy. You also have a lot of people who “It’s very easy,” Bonner said. “Just go to are unable to get their laundry to the cleaners our website, Laundry101.com, and enroll. and need help. That’s where we come in.” Once you’re a client, you simply set the Laundry101 offers a texting service for time you want your laundry or dry cleaning their clients. Once registered online, clients picked up. We arrange for the pickup with decide how often they would like texting you, which may be a bit dif ferent from reminders. client to client, and we have it back to you “These remind people to get their launwithin two business days.” dry and dry cleaning together, and that we Laundry 101 has grown steadily since will be by on a certain day at a certain time opening, averaging a new client every day. for pickup; then another reminder when the Bonner said he sees this as just the beginitems are returned to them.” ning, with three other employees already Laundry101 has found a receptive marworking for the company, not including the ket in the Lexington and now Louisville owners. A Louisville branch was opened in areas. Bonner said he is excited about the June 2012, and the company has branched possibilities ahead and the growing chance out, not only offering laundry and dry clean- to serve community. ing, but also shoe repair, zipper replacement, “All three of us came up with this idea and mending services for tears in fabric. and decided to bring it to life,” Bonner said. “We have a lot of massage [business] “Now it’s becoming a true service to make clients who need linens washed and docpeople’s lives better.” tors’ offices that send out their lab coats,” To learn more about Laundry101, go to Bonner said. With the two-day tur naround laundry101.com, or call (859)967-9274.

CONTRIBUTING WRITER

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Business Lexington • March 29, 2013

COAL/HEALTH STUDY DISPUTED, DEFENDED By Molly Burchett

viously the one with the biased perspective and has a strong financial motivation to try to discredit this work.” heated debate centers on new reBissett questions the study’s use of selfsearch showing that residents in Floyd County, where coal is stripped reported health measures that did not consider medical history. Self-reporting is from the tops of mountains and ridges, report more health problems than those in two susceptible to bias, which can be reduced nearby communities without such mines, El- by using other sources of data/. This study only included data collected from interviews liott and Rowan. The study, published in the online Jour- conducted by volunteers, which may have nal of Rural Health, is the latest by Dr . introduced more bias, Bissett said. Hendryx replied, “We used undergradMichael Hendryx of West Virginia University uate students from Christian colleges who to suggest that residents of mining areas were trained to be fair and objective in the have poorer health conditions and experisurvey procedures, and to use the same proence more serious illness. It is available to cedures in both the mining and non-mining readers of Kentucky Health News by clickcommunities.” He said Peter Illyn, who runs ing here. Unlike some of his W est Virginia re- the Christian organization Restoring Eden, search, Hendryx does not say there is a cor- approached him to do the survey because relation between mining and poorer health Illyn “wanted to give the students this expeoutcomes in Eastern Kentucky. He does sug- rience, and he wanted to replicate the survey gest the possibility of a connection by show- that we had done the previous year in West ing residents’ self-reported health problems Virginia, this time in Kentucky.” The volunteers interviewed 544 particilike asthma, chronic obstructive pulmonary pants lived in Floyd County and 351 in disorder and hypertension are more comRowan and Elliot counties, where coal is not mon in mining areas. And in an interview, mined. It used standard statistical devices to he said he believes there is a connection. control for factors that might influence The study and its critics highlight the challenges and pitfalls of discussing and re- health status: age, sex, education, marital staporting such research. The study’s underly- tus, work as a coal miner , weight and toing motives and methodology are contested. bacco habits. However , there was no The president of the Kentucky Coal Associ- consideration of health behaviors such as ation, Bill Bissett, said Hendryx has reached drug and alcohol use, wellness measures, a conclusion and is seeking evidence to sup- exercise or other healthy lifestyle habits that could have positive influences. port it. “The survey had to be brief with the “Bissett’s accusation is completely false,” Hendryx replied. “On the contrary, he is ob- time and resources we had,” said Hendryx.

GUEST WRITER

“We did measure overweight and obesity, which is a reflection of diet and exercise. We measured tobacco use. We did not measure alcohol use in this survey but in other studies we have found that heavy alcohol use is not common and is not an explanation for the findings.” Kentucky House Speaker Greg Stumbo, who is from Floyd County, said he disagreed with the use of Rowan County, home of Morehead State University, as a control group due to the higher rates of education attainment and per capita income, reported Ronnie Ellis of Community N ewspaper Holdings Inc. Stumbo told Ellis, “Everybody in the world knows that you can take a population that is less well educated and that has a lower per capita income and you’ll see their health habits are (worse) and hence their rates of diseases are attributable to those two things.” Rowan has a much better health status than surrounding counties, according to the latest national County Health Rankings. Hendryx defended his research controls and the process of relying on self-reported medical histories. He said the health problems may be caused by tiny particles of dust from coal mining, which have been linked to health problems, can penetrate the lungs to cause

health impacts, reported James Bruggers of The Courier-Journal. Hendryx said there are also concerns about polluted water and soil. The study’s data only hint at a connection between surface coal mining and poor health. Hendryx said he can’t prove that mountaintop removal is causing people to get sick, but he believes it is. What is needed, he told Bruggers, is a more thor ough and expensive “gold standard” study of air and water quality near residences, and samples of blood, hair and toenails that can reveal exposure to pollutants. Molly Burchett writes for Kentucky Health News, an independent news service of the Institute for Rural Journalism and Community Issues, based in the School of Journalism and Telecommunications at the University of Kentucky, with support from the Foundation for a Healthy Kentucky.

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Business Lexington • March 29, 2013

YOU STILL HAVE TO HAVE OPTIMISM IF YOU’RE GOING TO LIVE THERE. YOU HAVE SOME PEOPLE WHO HAVE ALREADY MADE UP THEIR MIND [TO KEEP GOING], LIKE THE CITY COUNCIL, THE MAYOR AND SOME COMMUNITY MEMBERS.”

Millersburg resident and Bourbon County magistrate John Smoot

JOHN SMOOT, MILLERSBURG RESIDENT

PHOTO EMILY MOSELEY

of the manufacturing positions moving to Joy Global facilities in Longview, Texas. “We always go up and down in the CONTINUED FROM PAGE 1 market cycles, and we have employees that come and go. We try to stay flexible in that, but this one is down so far that we just can’t According to town historical records, see the bottom,” said Mark Finlay, vice Millersburg was founded in 1798 by Pennpresident of marketing for Joy Global. “Nosylvanian John Miller. He and his brothers body likes to see these downsizes at all. settled along land claims bordering How we treat our people is quite critical. Hinkston Creek and made their homes, farms and businesses there. Over the course It’s an unfortunate decision, and we’ve had of several centuries, Millersbur g has sur - to make it, and now we have to move vived the rise and fall of various businesses, through it in an orderly manner. It’s not one including mills, distilleries and factories. The of our proudest hours that we have to go through this.” town was once an important stop along Finlay said the closure stems from a vaboth the Lexington-Maysville Highway and riety of factors, including governmental regthe Central Railroad Line. As businesses came and went, so did some of the towns- ulation, the closure of coal mines and an folk, but the heart and soul of Millersbur g abundance of natural gas. While the manufacturing side of the remained in the people who chose to stay. In the mid-1950s, Stamler Corp., a com- plant is closing, Finlay said that Joy Global is doing its best to continue to help employpany that manufactured and supplied unees through this transition. The company is derground mining equipment to coal companies, began as a two-man operation. not yet ready to announce any specifics with regard to retention or severance packIt grew and was eventually purchased by Oldenburg and then later, in 2006, was pur- ages, but Finlay said that they are working with agencies such as the Bluegrass Area chased again by Joy Global, which continDevelopment District and local city governued manufacturing mining equipment. But on March 1, Joy Global representa- ment officials to try to deter mine how to tives called a meeting with employees that make the transition as smooth as possible. The phase-out begins with a “warn” period, would again change Millersbur g. In the where employees and local government ofmeeting, employees were notified that out of the company’s 197 current local employ- ficials are notified of the change, and will end with the complete shutdown of manuees, only 37 would keep their jobs there. facturing in Millersburg. The other 160 positions would be phased “This is going to happen over a period out by October of this year. The 37 remaining positions will include engineering, sales of time. We want to continue to maintain our and marketing professionals, with the bulk customers through this transition, and we are

Millersburg

trying to help our employees as much as we can,” Finlay stated. “There is a proper transition plan that has to be put in with each of the departments to allow them to manage the strategy of warning down Millersburg, and what we are doing to try to offer some counseling for our employees for skills opportunity management.” And the employees are not the only ones who will be affected by the void. The entire town faces challenges and massive changes. Jon Ott, who is going on his third year as Millersburg’s mayor, said the change will be significant, but he forecasts the town itself will survive. “We are looking at maybe a loss in payroll tax of about $100,000. That is generally about half of our budget,” Ott said. “It’s just like when someone loses their job, you learn how to cut costs. Everything is on the table to find out where to cut funds. I mean, you either have to raise taxes or cut funds, or you do a little bit of both.” Ott said that he, alongside city council members and other Bourbon County of ficials, will hold several budget meetings to determine the next best course of action. “I’ve heard a lot [of people talking] about changes. To a degree, there may be changes in services and changes in how they are provided, but it is not the death of the city,” Ott said. “I’m pretty optimistic about it. The town is going to still be there.” Millersburg resident and Bourbon County Magistrate John Smoot agrees with Ott.

Business Lexington • March 29, 2013

“You still have to have optimism if you’re going to live there,” Smoot said. “You have some people who have already made up their mind [to keep going], like the city council, the mayor and some community members.” Still, Smoot said there will be a serious trickle-down effect that will impact the post office and several small businesses in town. The good news, Smoot said, is that the water and sewer plants are in relatively good condition and are mostly self-supporting. In addition, the streets in the entire town were recently paved, so the infrastructure is in place to continue operations for a while. While city of ficials believe that the town will still stand, business owners are taking a realistic and hard look at their options. Scott Clark was bor n and raised in Millersburg. He owns three businesses in town including Connor’s Café, a restaurant Clark named after his grandson. The restaurant has been open for four years and will likely lose about 20 percent of its business because of the closure. The restaurant delivers about 40 meals a day to Joy Global employees. “It’s going to be hard on the town. It’s going to be hard on us. But we’ll make it,” Clark said. “It’s not going to hurt our grocery store too much, but it will hurt us a little there.” Clark said he is still optimistic about economic opportunities and will continue with his plans for opening another business, a sports bar on the other side of

Starting over The national average unemployment rate hovers between seven and eight percent. Kentucky’s unemployment rates are slightly higher than the nation’s average, with some counties reporting rates between 15 and 20 percent. “I’ve been doing this for over 41 years, and I’ve seen the job market up and down. But the last four or five years, it has just gone right off the cliff. There are jobs that are gone forever,” said Janey Moores, the owner and CEO of BJM & Associates in Lexington. “Those people with welding and heavy-metal fabrication are going to be really challenged to stay in their own field. [These jobs] have generally given them a little bit more generous hourly wage. They are going to be looking at leaving this area and trying to go somewhere else.”

Andrew Buchanan, chairman of the nonprofit Millersburg Pride PHOTO EMILY MOSELEY

town, in a few weeks. He also said that losing the Joy Global business forces him to think about taking up the slack in creative ways, such as a menu change aided by a new charbroiler that might attract new business. Other business owners, such as Robert Barker, who owns 5th Street Café and has just completed an exterior restoration of the 500 block in Millersburg for an arts and cultural center, said his business will not likely be affected because he draws customers from Kentucky cities outside Millersbur g, such as Lexington, Maysville, Paris and Georgetown. “These changes in the community are opportunities, really. I don’t think anyone wants to see a downsizing with the company, but with the site being there, we as a community should encourage multiple employers to come in who could make sure that our destiny is not tied to the success of one person, or one company,” Barker said. Despite the obvious drop in payroll tax revenue and the hit the local businesses will take, many of the town’s residents still see Millersburg as the place to raise their children and make their homes. Andrew Buchanan grew up in Millersburg. He and his wife graduated from the local high school, went off to college, lived in Lexington for several years, and then returned to Millersburg, a place they proudly call home. “We didn’t move back to Millersbur g because Joy Global was there,” Buchanan said. “We moved back because we had family who lived there and we had roots there. We all know each other’s history, so it makes us a really tight-knit community, and that, to me, is what makes Millersbur g. It’s not Joy Global. It’s not a café. It’s not the civic center or the military academy. It’s the people.” Buchanan serves as chair man for Millersburg Pride, a nonprofit community group made up of eight volunteers who see a vision for Millersburg’s future. In this tightknit community, pride and a sense of connection will likely be what saves them. Millersburg Pride, which recently received $5,000 in grants from Joy Global, is working toward enhancing what has been there for decades. During the summer months, they promote Fresh Friday, a fam-

5th Street Café owner Robert Barker PHOTO EMILY MOSELEY

While Moores acknowledged that the job market might be more lucrative in other areas or other states, employees still have a chance in Kentucky’s job market. Moores said that in the case of massive layoffs like the one at the Millersburg Joy Global plant, companies usually bring in other agencies, such as the state employment agency or others, that can explain options to employees and tell them how to effectively job hunt. Employees who are facing certain job loss have a course of action to take, Moores said, and there are definite steps they can take to improve employability. First, employees need to get their resumes ready. Moores suggested that employees keep their resumes short and base their history on experience. Second, Moores advised that employees remain mindful of their personal habits. Prospective employees should dress for success, inside and out. This means making sure that they are ready to take and pass a drug test at any time. Third, whether seeking the advice of an employment agency or looking online for jobs, job seekers should apply to jobs that fit their employment history. “Don’t just apply to any and all jobs. If you are a welder, do not apply for a job as a nurse,” Moores said. Moores advises job seekers to wait 48 hours after applying for a job and then follow up with a phone call. She said that looking for a job now is not a “passive activity.” Employers look for those who are seriously interested and eager to go to work. Applicants should also be polite and professional when asking current supervisors for time off to interview. “Even if you have worked there for 14 years, it is the last two weeks that people will remember. Always leave a sweet taste in their mouth,” Moores said.

ily-friendly community gathering in the town square on Main Street where they show a movie, of fer hot dogs and hamburgers and host live music and games for all ages. Buchanan said he hears a lot about people who are from Millersbur g but who don’t live there any more. He and his grow-

ing family have no intention of leaving the comforts of the small town. “We bought our first house here. W e have a 14-month-old son, and this is the place he is going to call home,” Buchanan said. “We have dogs and a child and a garden, and Millersburg gave us an opportunity to do all that.”

Business Lexington • March 29, 2013

If an employee is looking to retrain to enter a different career field, he or she needs to do extensive research into the field and the training facility, including checking on how many actual job placements the training facility reports. “Prospective employers are going to go with someone who already has work experience and skills,” Moores said. “Focus. You have got to keep your hands on the steering wheel and drive your vehicle directly to the next good opportunity.”

Focus: Agriculture

JIM AKERS, A TRUE KENTUCKY CATTLEMAN By Tim Thornberry

Morehead State University to work on a regional adult education and sheep developCONTRIBUTING WRITER: AGRICULTURE ment project. f there is one person who knows Ken“Considering my background and ecotucky’s cattle industry, it most assuredly nomic situation, I took the job,” he said with would be Jim Akers, the chief operating a laugh. “And it was a good first job for me.” officer of the Bluegrass Livestock Marketing While there, he taught night classes and Group. oversaw about 100 sheep producers in northAkers has been involved in the cattle industry for many years, and he has seen Ken- eastern Kentucky. “I’m one of those lucky people. I’ve tucky grow into one of the most respected never gone out looking for a job. There’s just cattle-producing states in the country. always been something new that came down Akers began his career on his family’s farm in White Mills, Ky., participating in 4-H the way,” said Akers. After about two and a half years at Moreand FFA. head, he was offered an assistant farm man“Our farm was typical of those in that area of the state at that time. We were tobacco ager position at a commercial operation in farmers with purebred Her ford cattle and Paris, Ky., raising both sheep and cattle. Two years later, Akers moved into the manager’s sheep,” he said. Akers’ parents worked public jobs, so the job, after the person who hired him retired. From there, Akers’ career path continued farm was a part-time business. His opportuto a much different place than White Mills or nity to move toward a full-time, mainstream Paris, when his wife was accepted into vetagriculture occupation came when he won erinarian school in 1992. the state 4-H livestock judging contest as a “We moved to Alabama for her to go to senior in high school, which brought him to Lexington for the first time. Auburn, and amazingly and fortunately, “That got me in touch with some of the within 30 days of being down there, I was ofpeople at the University of Kentucky. Dr . fered a position to manage a ranch,” he said. Monty Chappell, who was the sheep specialist Akers stayed there for the duration of his at UK and the coach of the state livestock-judg- wife’s studies but returned to Kentucky when ing team, kind of put me under his wing and a new manager’s position in Bourbon County encouraged me to go to UK and helped me came along. get a job and get situated there,” Akers said. The circle was completed a few years later He graduated from UK in 1985 with a de- when Akers returned to UK as an integrated gree in animal science, having worked at the resource management coordinator . It was UK Research Farm while a student. there, after 15 years in commercial farm manAkers said he was set to work on his agement, he became involved in many initiamaster’s degree at UK when a call came from tives, including Cow College, the Kentucky

Certified Pre-Conditioned for Health (CPH-45) program and the Master Cattlemen’s program, all of which have grown into revered, recognized educational and animal-health programs to help cattle producers succeed. Akers said one of his pet projects was to nurture the relationship between the univer sity and the Kentucky Cattlemen’s Association. As this relationship has grown, so has the cattle industry in Kentucky. The state has become one of the premiere cattle-producing states in the country, ranked fifth overall and first east of the Mississippi. But there was one more move in the stars for Akers. When the Bluegrass Stockyards organization decided to expand, Akers was once again called upon to help lead that expansion. He said initially he told them he was really happy where he was, but the opportunity to be involved in one of the largest cattle groups in the country lured him away. “We’ve overseen the expansion and the increase in market share even in an environment when we’re challenged with cow numbers,” he said. “It has been a very rewarding time but a very challenging time as well, and right now, it’s about as challenging a time as we’ve had since I’ve been here, from a business perspective.” Cow numbers are down all over the country, due in part to drought conditions that have forced producers to sell off the herds. Even with that, Akers said he feels good about the industry, and many of those cows are being sold to other cattle producers, which helps the industry and has helped steady cow numbers.

Business Lexington • March 29, 2013

Akers said it’s amazing and rewarding to hear people in feedlots outside the state talk about how much the cattle industry has improved in every way over the past 15 years in Kentucky. He attributes that directly to the investments made by the Kentucky Agricultural Development Board into the industry. Akers also said programs around the country are being modeled after the ones here, and those investments have had more impact on the industry here than anything that has happened in the last 100 years. He has worked hard and hopes his endeavors have made a difference in the cattle business, but he’s modest in accepting accolades. “I genuinely love the agricultural industry. It’s a part of my heritage and part of who I am,” he said. “I’ve been very, very lucky to have been put into situations that I just love to be in, and I felt like I was being productive.” Akers added that he feels like now is a pivotal time in the cattle industry in making changes to meet the needs of producers. He said he’s excited about it and he believes the auctioning marketing system is the foundation for the whole industry. “Bluegrass and our whole organization is progressive enough and solid enough to be able to move outside of where we’ve operated for the last 100 years basically, and to be able to make the changes needed to make our selves valuable in the marketing sector and to open doors for these producers that are doing a better job with their cattle,” he said. “That’s what I think about all day long, every day.”

Strategic plan CONTINUED FROM PAGE 1

Keith Rogers, who served as the executive director of the Governor’s Office of Agricultural Policy under the Fletcher administration and current board member of the KAC, said something unique about both strategic plans is they were built around topic areas. “This plan has seven topic areas, and within those, we have established a background and goals and action items to accomplish those goals,” he said. Kentucky isn’t the only state to implement such a plan, but Rogers said because of the way it has been designed with the action items and goals, one study ranked Kentucky’s in the top three of all state plans. “Probably the most unique thing about the structure and how we do this is the fact that the KAC is the lead entity. The council is an organization of about 84 organizations that work with agriculture,” he said. “When you bring those kinds of numbers to the table to develop a strategic plan, you generally can have all views on the table and a good discussion, and I think that’s what our secret is in Kentucky.” A task force was created to put together the plan, which began work last February with a series of meetings and forums across the state. The report was finished last November. Beshear, who accepted the first plan early in his first term, said this strategic document is not just about improving far ms and helping farmers; it’s about strengthening their place in communities, improving quality of life and economic vitality across Kentucky.

“This plan for Kentucky’s agriculture community is a strong and thoughtful document that, when implemented, will help secure a bright future for our farm families,” he said. The seven topic areas listed in the plan include: next generation far ming; new markets identification and development; regional agricultural and rural community development; agricultural education; consumer education and outreach; gover nment policies, initiatives and programs; and policymaker education and outreach. Rogers said the importance of such a document is to guide the state to the next level, agriculturally speaking, as it grows and diversifies, and while the plan addresses many areas in agriculture, he said the topic of next generation farming really stood out. “We have matured enough as an industry that we have a lot of young people who are coming back into production agriculture and into industry careers,” he said. “So one of the biggest focuses was on the next crop of producers and those being involved in agriculture.” Todd Clark, a far mer from Fayette County, along with Rogers and Sharon Furches, president of Kentucky W omen in Agriculture, Inc., served as co-chairs of the KAC task force that helped to put together the strategic plan. Clark said in bringing all the different agriculture groups together under the KAC umbrella, each one had an opportunity to learn from the others. “It was interesting in roundtable discussions how someone would mention something and other people around the table would not be familiar with that subject,” he said. “It may have been, for instance, the corn growers were doing something beneficial but others were unaware of it. Just making it

known makes small ideas into something very substantial that could have a lasting effect, especially with an industry as big as agriculture, across the state.” Kentucky agriculture has enjoyed growth even in the midst of an economic downturn. But during the period that the plan covers, the state will lose a significant portion of farm income, as tobacco buyout funds will end and as direct payments from the government will likely go away as part of a new Farm Bill. Rogers said that loss of revenue was acknowledged in the document, and while a direct way to replace it is not included and well may not even be possible, action on such topics as tax policy, for example, that would give farmers an advantage or help compensate for lost revenue are addressed. Will Snell, an agricultural economist at the University of Kentucky College of Agriculture, made note of the concer ns caused by these upcoming losses in the plan’s executive summary. Snell wrote, “A more immediate and direct concern will be filling the void of tobacco buyout payments ending in 2014 and likely cuts in other gover nment payments

WE HAVE MATURED ENOUGH AS AN INDUSTRY THAT WE HAVE A LOT OF YOUNG PEOPLE WHO ARE COMING BACK INTO PRODUCTION AGRICULTURE AND INTO INDUSTRY CAREERS.” KEITH ROGERS, KENTUCKY AGRICULTURAL COUNCIL BOARD MEMBER

Business Lexington • March 29, 2013

(e.g. direct payments), collectively accounting for around 20 percent of our net farm income in recent years. Consequently, Kentucky agriculture, like U.S. agriculture, will probabl y have to depend more on the marketplace to replace these lost dollars.” With that said, the strategic plan also includes a “top-five list” of priority policy actions to advance Kentucky agriculture. Those include: “Restore the historical level of revenue to the Kentucky Agricultural Development Fund that will permit it to continue support for diversification of Kentuck y farm production and strengthen the economic vitality of rural communities; fully fund and implement initiatives underway to upgrade the diagnostic facilities at the Murray State Breathitt Veterinary Center, including full construction funding in the Commonwealth’s 2014 budget; improve the competitiveness of Kentucky agriculture with other states and help to increase net farm income through innovative legislation and tax-law modifications and also create a regulatory environment that allows agricultural producers and businesses to make long-term operational decisions and investments in land, labor and equipment; continue to provide strong funding support for the Department of Agriculture’s Kentucky Proud program and also increase state funding through KDA for agriculture-focused companion marketing efforts at regional, national and international events; and adequately fund the state’s agricultural experiment stations and university farms to cover the costs of deferred maintenance on facilities and provide adequate funds for new programs.” For more information about the KAC o r to view the five-year strategic plan, go to www.kyagcouncil.org.

Focus: Agriculture

Green BEAN brings local and natural options to your doorstep

PHOTO FURNISHED

By Sarah Mullins CONTRIBUTING WRITER: LOCAL AGRICULTURE

e’ve all been there: staring at the inside of our refrigerators, finding only enough ingredients to make a very disgusting sandwich. Lacking the motivation to go to the grocery store, we usually resort to take out. We’ll go shopping the next day, we assure ourselves, as we stuf f our faces with dietbreaking, preservative-filled, often greasy food. Going to the grocery store takes so much time and patience that some of us would rather eat moldy cheese than force a buggy down the aisles. Many times, going to the grocery store can sneakily tempt you into breaking your budget. Just a little extra of this or that, or an impulse buy, never seems to make that much of a dif ference, yet you find yourself staring at the final amount on the register in disbelief. One solution has made its way to Lexington. In February of this year, Green BEAN Delivery expanded into Lexington. Green BEAN (biodynamic, education, agriculture, nutrition) is a full-functioning grocery store with only natural items in stock — only those things without preservatives or growth hor mones. What is even better than not having to spend time reading the labels or guessing at how to pronounce the long name of the obviously chemical-related ingredients, is that this grocery store comes to you. Green BEAN Delivery was founded in 2007 by Matt Ewer and Elizabeth Blessing. Ewer had formerly been involved with community-supported agriculture (CSA) in Seattle, and he wanted to make it more modern. A family-owned and -operated company, Green BEAN expanded into Cincinnati in 2009, as well as many other cities, before it landed in the Bluegrass.

There is a catch, however. You must include produce. As John Freeland, vice president of Green BEAN Delivery, explained, the entire point is to “help support sustainable agriculture.” Each week, the online store opens on Thursday at 3 p.m., Freeland said. It stays open until Monday at 12 p.m. During this time, customers can pick out a produce package and build from there, adding whatever other groceries they may need, including locally produced meat, eggs, milk and more. The store does carry national brands as well. This system, Freeland said, “create[s] peace of mind for customers; they don’t have

to read labels or wonder what is in the food. You can shop knowing you’re going to come out with products that are all-natural. Everything is transparent, including where it comes from and how it was grown.” While their customers are shopping, the Green BEAN team is busy working with local producers, getting the best for their customers. The relationship between Green BEAN and local food producers is vital to the entire process. Building this “network of farmers and artisans,” as Freeland calls it, allows them to offer “competitive pricing with the support of membership, to buy in larger volume and pass the value off to the customer.” The price of delivery is free and not

PHOTO FURNISHED

Husband-and-wife-team Elizabeth Blessing and Matt Ewer and their daughter, Izzy

Business Lexington • March 29, 2013

built back into the cost to the customer. They do have a minimum purchase amount o f $35. However, the customer is never charged any additional start-up or cancellation fees. The delivery system is flexible and works with what the customer needs. Clients may choose any type of delivery, whether it be multi-weekly or bi-weekly. The calendar is customizable to fit the customer’s agenda, and a client may opt not to have a deliver y at all on specific weeks. Freeland said that it is “easy to come in and manipulate the schedule and not feel like you’re on the hook to waste food.” Green BEAN’s goal is to keep all products reasonably priced, as it is “not a luxury service, it is a viable option for all walks o f life offering convenience, affordability and accessibility,” Freeland said. Right now, the delivery system has around 100 customers in Lexington and is “actively seeking out new partnerships with food vendors and farmers in this region.” If you are interested in becoming a part of Green BEAN’s new approach to grocer y shopping, whether it be as a consumer or as a local producer looking for a fresh way to market your items, their website, greenbeandelivery.com, is a great source for information. The motivation, beyond helping local food producers reach their customers, is largely altruistic, although remaining “commercially viable” is important. They simpl y wish to offer “creative solutions to a broken food system,” Freeland said. “It is becoming important to kno w where our food comes from,” Freeland said. “We steer customers in the right direction to make the right choices when it comes to meal planning. There are more opportunities to make the right decisions, by having consistent delivery.”

Focus: Agriculture

FROM THE GROUND UP: IT ALL STARTS WITH HAY By Natalie Voss

have to make a decision on whether to keep planting their acreage with hay or switch to a more profitable crop, and those prices aving fields of hay will soon keep rising. spring up around the outskirts of Fortunately, Keene doesn’t anticipate Lexington, marking the start of a that those prices will be enough to cause a new growing season for one of the state’s hay shortage in the coming years. agricultural commodities. Hay is the third “I’ve never seen a year where there largest crop in the United States, and Kentucky’s production of the crop is an impor - wasn’t enough hay produced in this country tant part of the state’s agricultural life cycle. to feed the livestock in this country,” he said. “We’re doing so many things better than we Aside from being a commodity itself, used to; we’re getting hay is central to the feeding programs on cattle and horse farms across the state, par- higher yields on our corn ticularly as pasture grass disappears through and soybean production as well as hay.” the fall and winter months. Munfordville hay Initial forecasts for hay last summer predicted high winter prices and low availability producer Clayton Ger due to the drought that crippled a large part alds said that those rising corn and soybean of the country. Fall rains saved Kentucky prices also allow manufarmers, boosting harvests enough that a shortage wasn’t a major concern this winter. facturers of chemicals and fertilizers to raise Last year’s drought was unusual in that it wasn’t limited to a handful of states, which is their prices, which places pressure on hay far mers, typically the case and allows producers in too. other parts of the country to make up the “In my opinavailability gap. Like most farmers, hay growers are at ion, fertilizer comthe mercy of the weather — not only to pro- panies are pricing their fertilizer vide enough moisture for the hay to grow, based on what but for enough of a break in the rain that they can for it,” he hay can be cut and plant moisture allowed said. “And also, to dry before it is baled. According to T om Keene, agronomy the price of land has specialist at the University of Kentucky’s Col- gone up, so a lot of our lege of Agriculture, the prices of cor n and input costs are based on soybeans influence the price of hay also. As the price of somebody else’s the demand for biofuels goes up, far mers product and not our product.” CONTRIBUTING WRITER

Geralds sells 90 percent of his hay in central Kentucky but also ships some to Georgia and Florida. Some Kentucky hay is sold out of state, and possibly even out of the country. The United States exports hundreds of thousands of tons of the forage across the world each year. Most of the hay produced in the state is sold via another end product, such as beef or milk. According to Geralds, the natural and economic factors driving his pricing schedule for his nutrient-rich alfalfa hay also influence prices consumers see at the grocery store. Alfalfa is commonly fed to diary cattle to nourish milk production, and far mers have to pass their costs, including grain and hay, on to the consumer. “If my input costs go up 10 percent, I’ve got to recover that somewhere, [and] the end users have to get more out of their product to keep up,” he said. In the end, hay economics is more of an art than a science, according to Geralds. While corn and soybean prices remain the same for the products regardless of the location

or conditions in which they are grown, ha y prices can vary widely. The variety of the plants used, the amount of weeds allowed in the field, and the amount of water the plants receive can be the difference between $2 and $10 for a 50-pound rectangular bale of the crunchy stuff. Customers are discer ning, too. Cattle, with their four stomach chambers, can break down tougher plant material easier than horses and are often viewed dif ferently by their managers than horses. “Cattle are purely livestock … horses are more like pets,” said Keene. “My pet’s going to get the best that it can get. I’ll pay that extra money, because my horse is one of the family.” In addition to requiring higher qualit y than cattle far mers, horse owners are also more inclined to purchase smaller square bales, which can be easily separated into portions, than large round bales, which typically weigh anywhere from 1,000 to 2,000 pounds. “You get paid for what you do. You get paid for quality. If you’re the kind of person who wants to do a real good job, pay attention to detail and do everything right, in the hay business you can get paid for that extra work. In the corn and soybean business, you basically don’t.” For now, it’s too early for experts to say what the hay forecast looks like for the year. Farmers like Geralds will be establishing prices for baling twine and estimating yields for the next six weeks, but he reports that he doesn’t anticipate any drastic changes from last year’s prices.

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Business Lexington • March 29, 2013

Focus: Agriculture

Alltech’s got the right stuff: algae By Campbell Wood

CONTRIBUTING WRITER

lgae had a prominent focus at the recent Alltech conference in downtown Lexington — a conference that addressed the challenges of feeding an exploding world population. The microorganism that grows in preponderance in wet places around the planet has become an important component of Alltech’s strategy. Alltech grows massive quantities of heterotrophic algae, which can be grown in the dark, under controlled conditions at its facility in W inchester, Ky. Algae biomass, abundant in oil, has been integrated into the company’s nutrient-rich feeds for livestock, poultry, aquaculture and pet food, and the company’s research into algae’s promising potential is ongoing. One of the speakers at the conference, Kyle Raney, who has worked extensively with Alltech’s algae program, told Business Lexington that Alltech’s core competency is with yeast. Thirty-three years ago, Dr. Pearse Lyons

founded Alltech with yeast as a primary focus, because of its nutrients and other beneficial attributes for animal health. Alltech has a slew of products made with yeast components, and Raney said there are hundreds of yeast strains to work with. Alltech began studying algae about six years ago, and in 2010, the company acquired the for mer Martek algae plant in Winchester. Raney said that algae strains number in the thousands, with variations of content that of fer up a smorgasbord of nutrients. “You can even take one specific strain and grow it in three dif ferent ways,” said Raney. “One way may produce oil, another proteins, another lipids or fats. Any given vitamins can be found in dif ferent species. There is such variety.” Alltech has a database with about 500 strains of algae, said Raney, and at any given time, active research is being conducted on five to 10 of them. “It could be very simple research to just see if we can get it to grow,” he said, “or very detailed research to see what it can pro-

duce and to see if it can be done economically, scaleable to large production.” At Alltech in Winchester, six final-stage fermenters — three 265,000-liter tanks, two 149,000-liter tanks and one 90,000-liter tank — produce the algae biomass rich in nutrients. It takes just nine days to produce 20 tons of algae biomass from one final-stage fermenter. The fermentation starts at laboratory scale in a cryovial and moves up the ladder through larger and lar ger fermenters until harvest time from the final-stage fermenters. The tremendous yield of highly nutritious biomass using a mere 100,000 square feet, the facility’s size, shows ef ficient land use. To give an idea of the potential algae holds for agriculture, the Alltech website states that an “acre of Chlorella algae can produce as much protein as 21 acres of soybeans, 49 acres of corn, 95 acres of wheat or 994 acres of barley.” All of the oil-rich algae biomass produced in Winchester goes into Alltech products. “There are several algae products that

are produced out of the plant,” said Raney. “The main product is made through a patented process and contains high levels of oil, up to 70 percent, and DHA.” DHA is a valued Omega-3 Fatty Acid that supports brain and eye development, cognitive health and general immunity. DHA is typically added to the food chain by the use of fish oil. With the global issues of overfishing and mercury contamination, DH A produced from a closed system deriving it directly from algae can assure buyers o f product quality and purity. When Alltech acquired the W inchester facility, it came with a pilot plant. The pilot plant is a scaled-down version of the production system, and it allows for ongoing research and experimentation to evaluate different algae strains and study dif ferent production processes before taking them to a commercial level. It appears that algae is quickly growing to become a part of Alltech’s core competency — a competency to help agriculture meet pressing challenges now and in the time ahead.

Growing to our global potential with Alltech crop science In November 2012, Alltech kicked off its inaugural Graduate Academy, inviting outstanding young leaders to take part in a year-long training program. Out of a pool of more than 1,500 applicants, 20 graduates from across the globe wer e selected through a rigor ous evaluation pr ocess. Four of those chosen graduates ar e from Kentucky. The four Kentuckians are recounting their experiences learning about agribusiness, brewing and distilling, and other Alltech initiatives, through a monthly blog exclusive to Business Lexington. By Rebecca Noble

ALLTECH GRADUATE TRAINEE

oday, our world has the potential of 3.4 billion acres of arable land. This is land that can flourish environmentally, nutritionally and economically, and yet sustain its natural landscape, ecosystems and population. It’s the responsibility of agribusiness to meet this potential. As part of the Alltech Graduate Academy, I was placed within Alltech Crop Science, a division of Alltech where our global potential for raising crops and our responsi-

bility to the environment conver ge. If each grower produces up to one extra ton of grain per acre of land, we could produce up to 3.4 billion extra tons of grain — enough to feed future generations. This is an unbelievable and even daunting opportunity; however, as a member of the Graduate Academy, I am mandated by Dr . Pearse Lyons to think big, be bold and work hard to feed a growing global population. With exposure to top business, marketing and technical minds across different regions of the globe, my training with Alltech tells the story of a business innovating and driving modern agriculture to feed and nourish billions. Now based in our European headquarters in Dunboyne, Ireland, I work to collect, communicate and distribute infor mation to growers in the region through a range of sales and technical forces. Alltech Crop Science provides naturally based solutions for modern agriculture, rooted in more than 30 years of Alltech’s global innovation, education, application and involvement and uses our core yeast fermentation technology. My job as a project coordinator is to help growers ensure their crop is getting the right nutrition at the right time and is maximizing its inherent genetic potential.

So far, my training with Alltech Crop Science has taken me to the corn fields of Iowa, the wheat fields of Ireland and the vineyards of Italy. My initial focus was the marketing and sale of Grain-Set, a per formance product. Grain-Set increases the quality of the crop and encourages a higher yield for the grower. An increase in the nutritional value of the forage eaten by a dairy cow means more milk production for the dairy far mer. Nutrition remains our biggest focus, because it naturally links Alltech’s Animal Health and Crop Science divisions and allows for concise marketing and branding that continues to build trust in our brand. In Iowa, for example, the weather and soil conditions can vary between the northwest, northeast, central, east central, southeast and southwest, and its 99 counties usually organize information differently. In Italy, the length of the country extends from southern France to northern Africa. This variance doesn’t just af fect agronomic conditions; it also implies dif ferences in culture, which affect the sales and marketing aspects of business. Europe itself spans from Ireland to Turkey, which means a one-size-fits-all marketing and sales plan will not produce the same, or even similar, results. In working

for a global company like Alltech, experiencing, understanding and interpreting the culture and business climate of each countr y and region are keys to success. As a project coordinator , I aim to immerse myself in the market of each country and gain knowledge of each landscape and persona to figure out what works best on the local level and then extrapolate carefully to the larger, global picture. In this essential communications role, I have seen the many aspects of Alltech’s business, with a glimpse beyond marketing into sales, technical support and operations. It’s an opportunity for rapid, but well-supported, career development. As exemplified by my own experience, the Alltech Graduate Academy offers a wealth of opportunity for young Kentuckians who want to gain global experience in a strong, pioneering business. As Alltech’s innovation, application, education and involvement expand day-by-day, the opportunities will only continue to grow. It’s hard to speculate on the progress I will have made between now and my next blog. But one thing is clear: the potential is big. For Alltech, Alltech Crop Science and those of us in the Graduate Academy — it’s 3.4 billion acres kind of big.

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LEXINGTON

BORN & READ

Manufacturing

BIG ASSETS Focus: Advanced

cky’s Taking Kentu plans super region bly line to the assem By Erik A. Carlson

and Louisvil of Lexington hen the mayors their cities in plans to join transform th announced effort to g, th concerted regional manufacturin a hub for advanced already kne Bluegrass into sed Kinemetrix people of Lexington-ba left Toy could play out. how this story years ago when Jim Peyton build Kinemetrix Founded 16 type of fa his own company, for the exact ota to form assembly lines Gray and Louisville processes and Mayor Jim area. Upo cilities Lexington hope to attract to the the Blu as Fischer plan known Mayor Greg “super region” t Movement (BEAM hearing of the Advancemen PAGE 18 grass Economic

BUSINESS LEXINGTON

SEE KINEMETRIX

practice t’s common measure these days to sucrial entrepreneu of outcess by the level attracted to side funding taking that a project. But overlook view can often an equally important makmarker of success: of the assets ing the most hand, includyou have on cash ing your internal your comflow, to grow This is pany from within.went how Carey Smith sprinklers to from selling of large cool the roofswarehouses factories and in the PHOTO that were baking ILLUSTRATION to where BY DREW PURsummer heat chief execCELL he is today as Lexingof utive officer Ass Fans, a ton-based Big despite company that,and continrecession the in the uing weaknessnot seen a economy, has Smith spoke single layoff. Lexingwith Business ton’s Tom Martin.

SEE CAREY

SMITH PAGE

ND CAP & DIVIDE TO APPROACH A DIFFERENT EMISSIONS CURBING CARBON PAGE 19

s in it for us?

What’ merger of AT&T If the proposed approved, how will and T-Mobile is Kentucky benefit? By Dan Dickson

WRITER the nation’s seconT s giant AT&T, to merge with ommunication carrier, wants largest wireless fourth in size among wirele tran Mobile, ranked $39 billion deal. But the of Ju estimated carriers, in an stymied by a U.S. Department action has been T-Mobile woul tice lawsuit. of AT&T and th “The combination of consumers all across an of millions choices result in tens prices, fewer services facing higher United States mobile wireless products for Cole. “Consume lower-quality general James said deputy attorney PAGE 22

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ION WITH A CONVERSAT INTERIM GATTON COLLEGE HACKBART DEAN MERL

PAGE 19

BizList Real Estate Companies For questions please contact: Sharon Lee Metz sharon@bizlex.com

Current Rank

Top Local Real Estate Companies Ranked by Dollar V olume of Sales in 2012

Company Name Address Phone Website

2012 Volume of Sales

2012 Total Home Sales

2012 Average Sale Price

Services

2012 Full-time Local Residential Agents

2012 Full-time Local Staff

2012 Part-time Local Staff

Number of locations in Lexington

Top Local Executive

Year Founded

Rector Hayden Realtors 998 Governors Ln., Ste. 125 Lexington, KY 40513 859-276-4811 www.RectorHayden.com

$410,220,000

2,250

$182,300

Full Service, including financing through Rector Hayden Mortgage

250

Sha Fister (General Sales Manager)

1969

RE/MAX Creative Realty 2808 Palumbo Dr. Lexington, KY 40509 859-422-2000 www.4222000.com

$245,370,723

1,421

$172,675

Listings and Sales of Real Estate: Residential, New Construction, Farms & Acreage, Multi Family, Investment, Commercial, Short Sales, Relocation, Mortgage Services, Home Warranties

Janice Mueller (Broker/Owner)

1987

Keller Williams Bluegrass Realty 2424 Harrodsburg Rd. Lexington, KY 40503 859-260-1444 www.kw.com

$227,038,000

1,122

$202,351

Residential, New Construction, Farm, Commercial & Luxury Home Sales.

110

Bo Smith (Team Leader)

2005

Bluegrass Sotheby’s International Realty 800 East High St., Ste. 200 Lexington, KY 40502 859-268-0099 www.bfsir.com

$214,578,251

609

$352,345

Full Service Real Estate Company

M. Riley Kirn (VP - Operations Manager)

2009

Milestone Realty Consultants 3609 Walden Dr. Lexington, KY 40517 859-245-1179 www.milestoneky.com

$167,298,602

848

$197,286

Full Service Real Estate Company

Judy A Craft (Prinicpal 2003 Broker)

Turf Town Properties 124 Kentucky Ave. Lexington, KY 40502 859-268-4663 www.turftown.com

$79,245,274

230

$344,545

Residential, Investment & Farm Real Estate in Central Kentucky

Hill Parker (Broker); Rick Queen (V.P.); Becky Mobley (President); Steven Wathen (Treas)

1978

RE/MAX Elite Lexington 437 Lewis Hargette Cir., Ste. 114 Lexington, KY 40503 859-245-1165 www.eliterealtygroup.remax-kentucky.com

$77,161,896

429

$186,860

Full service real estate office. Assist buyers and sellers with the buying and selling process.

Jennifer Parsons (Office Manager)

2006

ERA Select Real Estate 1019 Majestic Dr., Ste. 170 Lexington, KY 40513 859-296-1525 www.ERAselect.com

$39,060,947

245

$160,360

Full Service Real Estate Company including Listings, Buyers, New-Construction, Relocation, Investment and Property Management

Greg Buchanan (Broker/Owner)

2002

Hendricks Real Estate Team 80 Codell Dr. Lexington, KY 40509 859-294-5006 www.HendricksTeam.com

$22,743,960

111

$204,899

Full Service Real Estate Company

WND

1997

Realty World Mays & Associates 2357 Huguenard Dr. Lexington, KY 40503 859-278-7501 www.come2kentucky.com

$21,227,000

136

$156,080

Residential, Commercial, Property Management

Bonnie S. Mays (Broker/Owner)

1989

Cypress Residential Group 3399 Tates Creek Rd. Lexington, KY 40502 859-977-000 www.CypressResidentialGroup.com

$17,378,334

$179,158

Focusing on Residential Real Estate in Central Kentucky ranging from SingleFamily Homes to Condos to Horse Farms

Nick Ratliff (Principal Broker)

2010

Lincoln Real Estate, Inc. 1795 Alysheba Way, Ste. 1202 Lexington, KY 40509 859-273-2222

$15,075,828

172

$60,132

Full Service Real Estate Company

Rick Szaks (President)

1981

Source: Data was gathered by Business Lexington questionnaire to the Top 20 Residential Real Estate Companies, locally, identifying the above criteria. There were many companies contacted but due to deadlines and no response they were not listed. Please follow this link if you want to be added to our database, https://secure.datajoe.com/url/?GWL1drR14. Key: WND=Would Not Disclose.

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BizList Research was conducted by Sharon Lee Metz, for questions, contact sharon@bizlex.com

Current Rank

2012 Most Expensive Homes Sold in Fayette County

Business Lexington

Fayette County Home Sold for $800,000+

PRESENT THE BUSINESS LEXINGTON LEARNING SERIES PARID

Property Sold Address

Sale Price

Date Sold

38173060

4909 McAtee Lane

2,275,000

Dec 3, 2012

10022700

871 McMeekin Place

2,060,000

Aug 23, 2012

12247400

1707 Clay Spring Lane

1,425,000

Jul 11, 2012

13151400

1469 Lakewood Drive

1,330,000

Sep 11, 2012

20106970

1789 Eastwood Drive

1,100,000

Aug 13, 2012

38010530

756 Garden Grove Walk

1,075,000

Jan 12, 2012

38010530

756 Garden Grove Walk

1,060,000

Oct 12, 2012

15314300

209 Barrow Road

1,000,000

Jun 15, 2012

23402000

1956 Shadybrook Lane

1,000,000

Dec 28, 2012

38165360

2309 Barnwell lane

962,909

Dec 10, 2012

15536050

414 Andover Drive

920,000

Jun 25, 2012

19319100

1705 Lakewood Drive

905,000

Nov 14, 2012

17271075

239 South Hanover Avenue

900,000

Apr 10, 2012

38074990

2216 Terranova Court

900,000

Sep 25, 2012

20119000

1604 Eastwood Lane

887,000

May 29, 2012

16773400

1713 Clays Spring Lane

875,000

Aug 18, 2012

17217600

141 South Hanover Avenue

865,000

Jun 11, 2012

13297875

2032 Bridgeport Drive

862,000

Oct 27, 2012

38067900

1305 Cordele Lane

860,000

Feb 2, 2012

38068010

1408 Brianna Court

830,000

Oct 18, 2012

15221500

513 Clinton Road

825,000

Jul 12, 2012

38075040

2260 Guillford Lane

825,000

Mar 27, 2012

38074890

2201 Terranova Court

819,000

Mar 9, 2012

38067910

2201 Guilford Lane

812,500

Oct 1, 2012

14563425

305 Clinton Road

800,000

Aug 13, 2012

38021940

2201 Olmstead Court

800,000

Aug 6, 2012

ROMANCE OR RUIN? MUSINGS ON THE FOOD BUSINESS

APRIL 24 -STARTING A FOOD TRUCK KEYNOTE SPEAKER: JESSE AND LIZ HUOT OF GRIND FOOD TRUCK

TIE

The food truck craze has hit cities from Lexington to Las Vegas. Like all small businesses the food truck industry has its upsides and challenges. Join our panel of experts who will help you understand the steps to help you mitigate the challenges and improve your chances of success. JUNE 27 - OPENING A FRANCHISE The allure of being self-employed with the security of a known brand is often the driver behind becoming a franchise owner. However, doing good research and due diligence is crucial to having a successful operation. Learn from experts in the field from franchise owners and operators and those in the know. AUGUST 22 - OPENING A BAR You love talking to people, never fit in the 9 to 5 and know how to infuse some mean bitters. However, the business of opening a bar is more complex than a perfect Bloody Mary. Running a bar can be a profitable business but an extremely risky one. Join the discussion and find out from bar owners and investors how to be in the bar business.

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OCTOBER 24 - TAKING YOUR FOOD TO MARKET Turn your hobby into a successful niche product and a big business. Learn from the best of the best how to package, price, brand and promote your product and get it on the shelves.

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Source: Office of Property Valuation Administrator, Fayette County, Kentucky, Property Records

TIMES FOR ALL ARE 8:00 TO 10:00 AM

TICKETS GO ON SALE APRIL 1 WWW.BIZLEX.COM/ROMANCEORRUIN Business Lexington â&#x20AC;˘ March 29, 2013

SLOWLY RETURNING TO NORMAL Residential sales have been encouraging in recent months in this 11-county region

By Dan Dickson

it’s all local, like the weather ,” said Blevins. We’re somewhat insulated from the real esn good times or bad, the familiar cry of tate issues you find on the East and W est the real estate agent is “There’s never coasts and in other cities. It got pretty low been a better time to buy.” N ow, after here as far as activity was concer ned, but some lean years in the central Kentucky real we’re overcoming that now.” estate market, conditions for buyers and sellLBAR says housing inventory, which ers alike are indeed improving. was quite high, is shrinking a bit, so some “We’re very encouraged and optimistic popular types of homes may soon be gone. that the market seems to be on a major Fayette County, from January 2012 to Janucomeback,” said Al Blevins, president of the ary 2013, showed a decrease in inventory of Lexington Bluegrass Area Realtors. LBAR rep- 42 percent. resents more than 1,900 Realtors in Fayette Inventory is calculated in months. In County and also Anderson, Bourbon, Clark, January 2012, it was 13 months. In January Franklin, Jessamine, Montgomery, Nicholas, 2013, it was 7.6 months. Blevins explained Powell, Scott and Woodford counties. if you take the number of listings you have Blevins is also broker manager for today and divide it by the previous month’s Caswell Prewitt Realty in Mt. Sterling, Ky. sales, you’ll get the listing inventory in Blevins said that comparing 2011 to months. Theoretically, if you stopped 2012, last year showed a 17 percent increase adding any new listings, this is how many in overall residential sales. More recently, months it would take to sell out the invencomparing January 2013 with January 2012, tory at that rate of sales. It’s an industry residential sales climbed 28 percent. Partial measurement. figures comparing last February with this The last quarter of 2012 was especially February showed a 14 percent improvement. good, a sign the recession had loosened its “The price of homes is increasing mod- grip in the region. Spring and summer , the estly. Average days on the market are debest sales months, are approaching. “Brokers creasing some, so prices are going up. It’s and Realtors are out, and some are getting looking pretty encouraging,” said Blevins. multiple offers on homes. We’re encouraging How bad was the bottom of the local people who’ve been holding back to get out market? now and start looking,” Blevins added. “One thing we say in real estate is that Blevins thinks the region is inching closer

CONTRIBUTING WRITER

to becoming a seller’s market. The average sales price for all homes in the 11-county area in 2011 was $164,000; in 2012 it was $171,000, an increase of about four percent. “The inventory level is still higher than you would want to see in a stable market,” commented Anthony de Movellan, broker and owner of Prudential A.S. de Movellan Real Estate. De Movellan said there is a lot of psychology involved in how and when people attempt to buy or sell residential real estate. You’ve got to believe that for you personally, now is the right time to act. “That’s an individual decision everyone has to make. Three years ago, we all questioned the economy in a significant way. Maybe people had jobs and qualified to buy homes, but were worried about the stability of that job. As time went on, people waited on the sidelines, and now there’s more of a comfort level. The stock market was just at an all-time high.” De Movellan continued: “As we get through the inventory, we’ll see higher housing prices. Maybe we’re on the upside of the bottom, which would mean now is a good time to purchase a home.” There’s that familiar real-estate pitch again. De Movellan also noted that mortgage interest rates are low.

“If they went up, they’d still be low,” he said. He also sees homebuilders getting busy again. It’s always about supply and demand for them, he said, so most cut back on inventory in the lean years. “They’re capable of doing that more easily than the real estate market,” he said. “You just can’t tell a thousand people to take their homes off the market to control inventory. On the building side, they can just stop building.” Unfortunately for Realtors, it’s getting harder for people to qualify for mortgages; requirements tightened up in the wake o f the national housing meltdown of a fe w years ago. Blevins agreed, but countered that interest rates could remain in the four per cent range for the rest of this year and possibly into the next. “There are some down-payment assistance programs coming to the market, especially to help first-time homebuyers,” he said. In addition, some young people who graduated from college in recent years, and who may have been living in apartments or with their parents, are getting into the market. Finally, Blevins said economists believe housing is a major tailwind for our nation’s economic recovery. He said that every home purchased pumps about $60,000 into the economy for furniture, appliances, home improvements, transportation and more.

Local in-home care franchise helps growing population of aging seniors By Kathie Stamps

tance provider. Hudson is hiring for two different positions at his Right at Home business. ccording to the U.S. Census Bureau, N oncertified homemaker companions prothe number of people age 65 and vide safety supervision, medication reolder (40.3 million) increased faster minders, transportation, light housekeeping than the nation’s total population between and meal preparation. Personal care assistants the past two decennial reports. That demo- provide the same services, as well as aiding graphic is projected to double in the next 50 in bathing, grooming and toileting. Hudson’s years, while the number of people age 85 personal care assistants need to be certified and older will triple. The bureau’s stats for as nursing assistants, certified medical assis2011 show Kentucky to be right in line with tants or state-registered nursing assistants. the United States with the number of people “We ask for one of those three for per above the age of 65, at 13.5 and 13.3 per - sonal care. We are not required by the state cent respectively. to do that; that’s my thing,” Hudson said. “I As an industry, senior care is attracting want my employees to have that extra trainbusiness owners who may or may not have ing when they are working in a case that reany experience in geriatrics. One burgeoning quires personal care.” industry sector is in-home care, as there are Hudson obtained a license as a personal plenty of people who would rather spend services agency through the state’s Cabinet their golden years in their own homes infor Health and Family Services. stead of moving to an assisted-living facility “It is a very rigorous process to go or nursing home. through to work here,” he said. Enter the franchise Right at Home. He has hired 13 people since opening Founded in Omaha, Neb., by hospital admin- the business in January this year . For each istrator Allen Hager in 1995, Right at Home employee, he conducts a background check, has more than 300 locations in North Amer- drug screening, TB skin test and reference ica and other countries, and was the first in- checks. home senior care franchise in China. The His own background is in science. Hudcompany currently has one franchise in Lex- son graduated from UK in 2000 with a deington and is looking to open seven more in gree in natural resource management and central Kentucky by the end of the year. was employed by the university’s College of “Our service cuts of f where an actual Agriculture. Then, looking to do something registered nurse would step in,” said Eric completely different, he switched from sciHudson, president and CEO of the first Right ence to sales, taking the position of inside at Home in Lexington. sales manager at Baumann Paper Company “We basically cater to seniors and adults in 2007. In August 2012, he was laid off. with disabilities,” he said. “A lot of people Hudson wanted to start his own comthink it’s just senior care, but as long as they pany and had been curious about franchises, are over 18 and we can help them out, we so he started researching trends. A franchise do whatever we can to help.” consultant presented him with a half-dozen Right at Home is not home health care, franchise opportunities in the area. but a non-medical in-home care and assis“I told him upfront I wasn’t really interCOLUMNIST: INDEPENDENT BUSINESS

ested in a restaurant and I didn’t want to have inventory,” Hudson said. He had three criteria for his yet-to-be discovered franchise: helping people, creating jobs and giving back to the community. When he heard about Right at Home, he was intrigued. He called 17 or 18 other Right at Home owners to learn more about the franchise. “I call it validation,” he said, “to get the facts about the business and to see if it was something I would like to do. It tur ned out to be a great fit.” Hudson now has what he calls a rewarding career, “based on the ability for me to help people out and create jobs at the same time,” he said. Aside from employee and client inter views, Hudson spends most of his time marketing, talking to potential referral sources such as hospitals, rehab centers, churches, elder law attorneys and insurance companies. He is also concentrating on online marketing, because many people research in-home care sites on the Inter net, sometimes for a future but not current need.

Lexington is split into two territories for the Right at Home franchise. “Right now I’m the only one in Lexington, so it’s all fair game to me,” Hudson said “Hopefully business will take off and I’ll purchase the other territory.” For more infor mation about Right at Home, visit www.rah-lexington.com.

Eric Hudson, president and CEO of the first Right at Home in Lexington PHOTO BY EMILY MOSELEY

Business Lexington • March 29, 2013

Jeff Morgan, owner and operator of the Jefferson Davis Inn PHOTO BY EMILY MOSELEY

SOUTH HILL GETS NEW INCARNATION OF THE JEFFERSON DAVIS INN By Kathie Stamps

architecture of the homes on Broadway. “We weren’t some national company rom vacant to vibrant in four years, an coming in; we were a local family,” Jason Morgan said. $8.6 million project is underway on “They got behind us,” he said of the South Broadway and Cedar Street. It started in March 2009, when builder and de- neighborhood association. “We had a lot of help and support from veloper Jeff Morgan purchased the property from Traditional Bank. Formerly the site of local government,” he added. “The planning Popeye Sign Company and a dry cleaner, the commission signed off on the plan. The peolot at the corner of Broadway and Cedar had ple in the building inspection department are great; they have a job to do, and they did it. sat empty for several years. The police are happy because there are cam“A group came in and bought it and pitched a big condo hotel project,” Mor gan eras all over the exterior of the building.” By the fall of 2010, the 8,800-squaresaid. “They got all the way down to approve a development plan and then the [financial] foot restaurant was in design mode. Ground was broken on Derby Day 2011 and JDI’s climate turned and the group went under.” grand opening was March 1, 2013. N ext The land was encumbered with deed restrictions and legal complications, so Mor- door to the restaurant, the first of 20 brick gan, owner of Morgan Properties, brought in townhome units are expected to be movehis brother, Jason, an attor ney with in ready by August, with the second phase McBrayer, McGinnis, Leslie & Kirkland. The to be completed by the spring of 2014. Jeff Morgan has owned his property siblings approached the Historic South Hill management company since 2006. He got N eighborhood Association. Instead of a started in construction at the age of 12 and, mixed-use hotel and retail complex, the after graduating from college, worked with Morgan brothers wanted to build separate G.D. Perkins, a general contractor in Lexingstructures: a restaurant they were going to name Jefferson Davis Inn and 20 townhouse ton, with whom he still partners on projects, units for single-family residences, called the including the current Village at South Broadway. In the mid-1990s, Mor gan attended Village at South Broadway. Transylvania University (where the Jefferson “I wanted to add to the South Hill neighborhood, not add a big box that didn't Davis residence hall was built in 1964). He fit very well with the neighbor hood,” Jeff remembers going to the Jefferson Davis Inn Morgan said. Working with architect T odd on High Street during the bar’s second in Ott of CMW, Morgan designed the restau- carnation. “It was this cool place where everybody rant’s three-story brick building with limehung out and had a great time,” he said. “I alstone pediments to fit in with the historical COLUMNIST: INDEPENDENT BUSINESS

ways thought of it affectionately and fondly. I thought it would be a cool thing to bring it back. It’s a tip of the hat — a tribute.” The original JDI, a music club, opened in the early 1970s, before the Morgan brothers were bor n. It closed in 1984, then opened and closed again in the 1990s. While the new JDI on Broadway is not a nightclub, there will be small bands and musical groups performing in the restaurant. “It was my brother’s dream to bring back the JDI,” Jason Morgan said. Nobody was using the name and it was publicly available from the secretary of state, so attorney Jason Mor gan trademarked the name and symbol. The JDI logo, with a shield background, was designed by Lynn Imaging.

I ALWAYS THOUGHT OF IT AFFECTIONATELY AND FONDLY. I THOUGHT IT WOULD BE A COOL THING TO BRING IT BACK. IT’S A TIP OF THE HAT — A TRIBUTE.” JEFF MORGAN, CO-OWNER, JEFFERSON DAVIS INN

Business Lexington • March 29, 2013

Jason Morgan, who has an MBA from the University of Kentucky, went to Chase College of Law at Norther n Kentucky University because “we figured we needed a lawyer in the family,” he said. Instead of becoming general counsel for his brother’s property management company right away, Jason Mor gan got “sidetracked with hurricane litigation,” he said. After hurricanes Charley, Katrina and Rita, he spent almost six years managing litigation cases. In an interesting side note, the tables, chairs and bars in the new JDI came from Connecticut and were almost destroyed by flood water of Hurricane Sandy, but workers were able to elevate the furniture in a warehouse before shipping it to Kentucky. Just about everything else in the restaurant is local, including artwork from photographer Price Maples and local brews from West Sixth, Kentucky Ale and Kentucky Bourbon Barrel Ale. The restaurant’s menu of Southern gastropub fare, ranging from beer cheese and sweet potato fries to burgers and steaks, was developed by chef Chad Wilhite and retired home economics teacher Karen Morgan, who is Jason and Jef f’s mother and, along with Jason Mor gan, coowner of the restaurant. As the builder of the project, Jef f Morgan’s goal in bringing back the JDI name was “to promote what JDI stood for ,” he said. “Everybody was welcome and had fun.” Jason Morgan added, “We wanted to bring back the great times and feelings.”

Expo addresses challenges for growing number of employed caregivers By Gale Reece GUEST WRITER

am an entrepreneur and business owner. For 17 years, I have also been the primary caregiver to three close relatives. I understand the ur gent need for an event such as the “i know expo,” because I have lived the need in my professional and per sonal lives. As founder of ITNBluegrass, a nonprofit organization providing volunteer-based transportation solutions for seniors and the visually impaired, I’ve been at the receiving end of distraught calls from caregivers desperate for the sort of information and resources that would have most certainly relieved my stress as I cared for my loved ones. Information about the wide range of public, private and nonprofit products and services already available in central Kentucky is out there. The problem is convenient, centralized access. The “i know expo” is a home-grown remedy created to fill that gap. As a business owner and one of the 65 million caregivers in the United States, I know the profound toll caregiving can take personally and economically. While being the boss gave me the advantage of setting my own schedule, the buck stopped squarely at my desk. I was still the one ultimately responsible to my employees and customers.

I was lucky my businesses survived, thanks to a wonderful staff. But I knew that had I a “regular” job, I would have had to cut back to part-time or even quit. Even with a flexible schedule and supportive staf f, as each caregiving scenario wound down to its inevitable conclusion, I found myself becoming more and more snappy, distracted and

anxious. My husband and grandchildren received little of me. I let all volunteer responsibilities slide. I am not alone. Twenty-nine percent of the U.S. population provides care for a chronically ill, disabled or aged family member or friend during any given year and spends an average of 20 hours per week providing care for their loved one. That number is growing. According to a 2012 AARP study, a stunning 74 percent of caregivers have worked while providing care. Two in three said they made some workplace adjustment in 2009, up from six in 10 in 2004. For workers, adjusting to a caregiving role can be overwhelming. Studies show that 81 percent of caregivers routinely take lunch hours, leave early or take time off to run errands, manage insurance and medical bills or check on loved ones. These people are often bypassed for promotions and often bear the financial burden of cutting back hours. And let’s not for get that they have lives and families of their own as well. Employees’ need to care for loved ones 50 and older is projected to cost American businesses as much as $34 billion each year. Our community can’t just sit by. W e must take proactive steps to find solutions — to get caregivers the information about resources to support loved ones and help them lead fulfilling lives themselves.

This is the goal of the first “i kno w expo,” scheduled for noon to 6 p.m. April 14 at the Lexington Center. The event is free to the public, thanks to generous sponsors, including four presenting sponsors: ITN Bluegrass, AARP , Sanders-Brown Center on Aging and the Mayor’s Commission for Citizens with Disabilities. At this upbeat, informative expo, attendees can mingle and chat with scores of experts, one-on-one. There will also be man y informative presentations on key issues such as Medicare and health insurance laws, choosing a nursing home, downsizing, preventing falls, finding reliable transportation, remaining active and engaged, handling legal and financial af fairs, stress-relieving strategies and more. The “i know expo” is a unique opportunity for our community to support ou r families and our workers as they strive to lead productive lives. I hope you will join us on April 14 at the Lexington Center . For more infor mation, check online at iknowexpo.org. Gale Reece started Kentucky Underground Storage more than 20 years ago in the facility housing her family’s Highbridge Spring Water. In 2005 she emerged above ground to establish ITNBluegrass, founded the i know expo, chairs the LFUCG Senior Services Commission and serves on the Kentucky Institute for Aging.

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Business Lexington • March 29, 2013

PARTINGTHOUGHTS

Chuck Creacy Publisher Chris Eddie Publisher Tom Martin Editor in Chief Susan Baniak Features Editor

The arts contribute to our quality of life and our economy John Gohmann GUEST OP-ED

s LexArts kicks off its 2013 Fund for the Arts campaign, we believe it is important to point out why art truly matters. Certainly the arts enrich our cultural lives, as individuals and as families, and bring together so many of us in search of creative expression. In addition to the obvious cultural benefits of the arts, it is equally vital that we understand that the GOHMANN arts contribute in very real terms to the vibrancy of our local economy. Our entire community, adults and children alike, are beneficiaries of the programming and operating support of LexArts. As Lexington’s united arts fund, LexArts oper ates to make art more accessible to everyone. We are all aware of the Philhar monic and the Lexington Children’s Theater. Many of us have also experienced the hugely popular Gallery Hops. These are a few of the programs that will resonate with lar ge audiences. However, you may not know

that LexArts also provides many smaller grants that truly change lives. Over 300,000 a year attend staged productions that are in part underwritten by LexArts; and nearly half are children who pay no admission. What is important to remember here is that so many of those children do not have art in their daily lives and will only have these experiences if we, as shareholders of our great city, share our time and resources. What is often either underappreciated or unknown is the economic boost the arts make on our local economy. A study last year by Americans for the Arts, found that non-profit arts and culture or ganizations generated $18.6 million in total economic activity in the urban county economy. This spending, $8.1 million by non-profit art and culture organizations and an additional $10.4 million in event related spending by their audiences, supports 709 full time jobs. The arts also generate $17.1 million in household income to local residents and deliver $1.9 million in local and state gover nment revenue. So whether or not you are a lover of art, music or drama, the arts in Lexington make a significant contribution to the

LETTER

THE

business goals of recruitment and retention. The arts are not only good for our city; they are also good for business. Diverse art programs that are accessible to the greatest number of citizens are a win-win for area businesses and their employees. PNC has found multiple ways to contribute to Lexarts in addition to the annual corporate gift. Our employees have the option to make personal contributions at the workplace through payroll deduction. Over the past four years, an increasing proportion of our PN C family has chosen this route. PNC has also taken advantage of the option to designate a financial gift to specific arts groups via Lexarts. All corporate partners can benefit from these various contribution opportunities. Lexington’s business community has long been generous when it comes to the fund for the arts. W e encourage fellow corporate supporters of the arts and this fund to consider the full range of ways they can support this worthy cause because art truly matters. John Gohmann is PNC Regional President

EDITOR

Food delivery drivers need some flexibility in downtown parking

he “Parking Perplexities” article in the March 1 issue addresses only half the problem of downtown parking. Enlightening readers about the daily hassles and frustrations of the city’s fast-food delivery drivers is one way to gain a comprehensive view of urban congestion during peak hours. Delivery drivers need flexibility to maneuver around traffic congestion and have quick access to businesses. They have to make shrewd decisions about where to park and how long they’re going to be in one place. That flexibility is achieved through firsthand experience of trial and error , and over time the driver develops a routine that

local economy and our collective economic health. In the last few years, LexArts has needed to adjust to accommodate for the historic challenges facing our economy. LexArts made appropriate programming changes to protect the funds available for grant-making. The true worth of the united arts fund is BEST measured in times of economic adversity. LexArts has proven a good and responsible steward while maintaining a high level of support to the local art organizations. At PNC, we know that art matters and brings creativity into our of fices. Art is an expressive outlet for our employees and plays a significant role in the lives of our clients. PNC sponsors “Pay What You Can” nights at the Downtown Arts Center so that ticket price is not a barrier to those who might otherwise miss a night of live theater. Our support of the arts in Lexington is part of our corporate culture. Our partnership with LexArts allows us to build a competitive advantage by enhancing the critical thinking and creativity skills of our employees which then enables us to achieve our

eliminates as much risk as possible from his or her route. Risks for a delivery driver include the following: having a wreck, hitting a pedestrian, getting a parking ticket, and having your car broken into or stolen. Most delivery drivers leave their vehicles running in between deliveries because it’s easier on gas and the engine, so there is a chance that someone could steal the car while the driver is inside. All of these risks are intensified during the peak lunch rush as the driver keeps track of food, drinks and money. The last thing a driver needs to worry about is a Plan B option for parking because the LexPark enforcers are out everywhere.

LexPark, having stepped up their enforcement patrols, are indifferent to our disadvantages, which results in either more financial burden or more risk associated with the route. There ought to be a voluntary registry that delivery drivers could sign up for that would give them the necessary latitude to do their job without assuming more risk or more burdens. This would also translate into advantages for the city, assuring that registered delivery drivers are operating legally and their vehicles are insured and safe. Additionally this could improve our commitment to quality customer service. Relating back to the article, I think all

Business Lexington • March 29, 2013

the people who work or live downtown deserve recognition; they’re the ones having to deal with traf fic congestion most of the time. That understanding relates back to our whole purpose in the first place — meeting a demand for fast food delivery because it is inconvenient for workers to leave their desk. We need to recognize all the constituents and environmental factors that make up our unique, dynamic and complex network of overlapping relationships in order to maintain a comprehensive account of parking problems during peak periods of traffic congestion. - CLIFF MEYERS, DELIVERY DRIVER, JIMMY JOHN’S

Kentucky retailers urge support of Marketplace Fairness Act of 2013 By Tod Griffin

In Kentucky, we've for med the Kentucky Coalition for Sales Tax Fairness, comentucky retailers aren't looking for a prised of local business groups from across handout from Washington. They just the commonwealth to encourage our conwant a sale made from a smartphone gressional delegation to support the Marketin Henderson or a laptop in Pikeville to be place Fairness Act. treated the same way as a purchase made at Congressional support for the measure a store in Danville or Frankfort. is also increasing. The House and Senate Before that can happen, Congress must versions of the bill have 53 cosponsors, inpass the Marketplace Fair ness Act of 2013, cluding both Democrats and Republicans. federal legislation that would give states the It's important to note that this is not a authority to require that out-of-state mer - tax issue; it's a matter of compliance. While chants collect and remit state sales taxes. Cur- no one wants to pay more taxes, the simple rently, the United States Senate is poised to fact is that a tax should be applied fairly and vote on the proposal and national support for across the board. Currently, the federal govMarketplace Fairness has grown to include ernment is giving out-of-state retailers a labor and business interests, state and local loophole to avoid collecting the state sales governments, as well retailers of all types. tax. Online and catalog transactions are alGUEST WRITER

By Jennifer Corbett

ready subject to the state's sales and use tax. However, if the retailer is out-of state and doesn't voluntarily collect the sales tax, the consumer is responsible for remitting the purchase as a use tax on his or her state income tax. Of course, the vast majority of consumers don't do this because compliance is cumbersome and enforcement is nearly impossible. For the past decade, online retailers have been using Kentucky retailers as their showrooms. And they have done so without creating Kentucky jobs, spending money in our economy or contributing to local communities. By giving states the authority to enforce existing tax laws, the Marketplace Fairness Act of 2013 eliminates the six to 10

percent competitive advantage currently enjoyed by many inter net retailers at the expense of local businesses. Closing the loophole would also provide Kentucky more than an estimated $220 million in tax revenue that could be used to shore up budget shortfalls. We ask our congressional delegation to step up and stand behind Kentucky retailers by cosponsoring and supporting the Marketplace Fairness Act of 2013. Congress must pass this legislation to ensure our tax laws keep up with the modern marketplace. Tod Griffin is president of the Kentucky Retail Federation and chair of the Kentucky Coalition for Sales Tax Fairness.

Teachers: Don’t write off cursive

THE KENTUCKY STANDARD

n recent years, cursive handwriting has become a dying art form. The shift in education has drifted away from the style of handwriting that was used in historic documents such as the Declaration of Independence and the U.S. Constitution. For centuries, cursive has also been a common way for people to communicate with one another through handwritten notes. With the proliferation of technology, the focus has shifted from teaching children how to write cursive to teaching students how to become proficient on computers. No longer do teachers place an emphasis on teaching students how to write or even read cursive, and those who do have less time to do so. But local educators ar gue that cursive should not be written off so quickly. “I think it’s still important to be taught,” said Rebecca Mudd, a fourth-grade teacher at Bardstown Elementary School. “Many children don’t know how to write their name in cursive.” At the beginning of each class, Christy Lutz, a third-grade language arts teacher at BES, has her students practice their cursive through “Handwriting Without Tears” writing exercises. N either the Kentucky Department of Education, nor county or city schools, have policies that require teaching cursive. To a growing number of young people, cursive has become a mystery that is too difficult to read, let alone comprehend. Not long ago, Margie Bradford said she sent a handwritten note to a high school student she knew. “She couldn’t read it because it was in cursive,” said Bradford, a member of the Bardstown Independent Board of Education. “To me, that’s scary.” Nowadays, people prepare documents on computers, forgoing a form of communication that has been so prevalent in the past. Oftentimes, people only use cursive when they’re writing their “John Hancock.” Keeping cursive as a core curriculum in schools is a debate in which people have trouble finding a middle ground. Many agree that cursive needs to be taught, but they disagree on state mandates and how much time should be dedicated to the subject.

Mudd said her school schedule is so packed that it’s hard to fit in common subjects. “For my daily schedule, it’s even hard to fit social studies in,” Mudd said. She noted that her core subjects, such as science and math, are scheduled an hour to an hour and a half, while social studies is down to 25 minutes a day. “To me, if I had to choose between teaching social studies and cursive, of course I would teach social studies,” she said. Mudd, who plans on teaching her students cursive, said she believes cursive is still important to be taught because “many children don’t know how to write their name in cursive.” She added that it’s difficult to find time to squeeze in long lessons on cursive because some students just need to be brushed up on it, while others have no concept of

cursive. “Honestly, we don’t have time to spend a whole lot of time on it,” Mudd said.

Cursive in the classroom

Developed during the 15th Century Italian Renaissance, cursive is a style of penmanship that connects letters for the purpose of making writing faster. Kentucky was one of the firsts states to adopt the Common Core Standards, which do not require teaching cursive handwriting. States are free to add a cursive requirement if they choose to do so. However, Common Core Standards place a focus on keyboard proficiency. Even with an influx of technology in the classroom, many believe cursive shouldn’t be dropped altogether. “Yes, we’re moving into a digital age,” said Frank Hall, a member of the N elson

Business Lexington • March 29, 2013

County Board of Education. But society is not there yet, it’s somewhere in between. During the 2012 Kentucky General Assembly, State Rep. Ben W aide, R-Madisonville, sponsored House Bill 489, which did not make it to a committee hearing, which would have required students entering the fifth grade to be proficient in the use of cursive writing by the 2013-2014 school year. “When Abraham Lincoln was growing up, the only kind of writing he learned was cursive writing,” Waide said during an interview with The Kentucky New Era last year. “There was no such thing as printing. The skill and the art of writing is not taught anymore. In fact, too many of our kids can’t even read it.” Local legislators agreed that cursive is a vital subject that should be taught, but there shouldn’t be any state laws requiring schools to teach it. Currently, KDE has no law requiring students to become proficient in cursive. “We mandate enough to the schools,” said state Sen. Jimmy Higdon, R-Lebanon. “I’m not supporting any type of legislation like that unless I hear a compelling reason on why we need to do that. I’ll listen to anybody. I’ve never heard anybody say kids are not going to be successful because they can’t write in cursive.” Higdon added that he thinks cursive is an art form that should be preserved, but it should be an elective course, rather than a required subject. State Rep. David Floyd agreed. He doesn’t think cursive should be mandated, adding that he would not support a bill similar to HB 489 should one come up in the General Assembly. “I generally oppose specific direction on course content in the General Assembly,” Floyd said. “Such a thing does not belong in the statutes.” While nobody seems to have the answer to the cursive conundrum, many say they wish cursive would remain a common form of communication taught in schools. “I just think it is an individual way of communicating. A hand written letter to someone will mean more to that person than a printed document with a printed name at the end,” Bradford said. “To me, it’s throwing the baby out with the bath water when you don’t teach cursive.”

BUSINESSLEADS BIDS LFUCG is seeking bids for Grimes Mill Road Bridge Replacement Over Boone. Contact 859-258-3320. Request No. 10-2013, deadline 3/29/13. LFUCG is seeking bids for HVAC and Piping Repair for the Phoenix Building. Contact 859-258-3320. Request No. 27-2013, deadline 4/2/13. LFUCG is seeking bids for Mold Remediation at the Downtown Arts Center. Contact 859-258-3320. Request No. 31-2013, deadline 4/11/13. LFUCG has issued a Request For Proposal for Electronic Access Control/Keyless Entry Assessment and Installation Plan. Contact 859-2583320. Request No. RFP10-2013, deadline 4/10/13. LFUCG has issued a Request For Proposal for Food and Laundry Services for Community Corrections. Contact 859-258-3320. Request No. RFP92013, deadline 4/3/13.

CONVENTIONS March 31 – April 6 Progressive National Baptist Convention, Midwest Regional Meeting at the Hyatt Regency Lexington. 820 people expected. April 2 – 6 Kentucky Forest Industries Association, 48th Annual Meeting at the Embassy Suites. 450 people expected. April 5 – 7 American Institute of Chemical Engineers, 2013 Southern Regional Student Conference at the Hyatt Regency Lexington. 700 people expected. April 5 – 7 Benevolent and Protective Order of the Elks of the USA, 93rd Annual Elks National Bowling Tournament with rooms at the Clarion Hotel. 2,800 people expected. April 10 – 12 College and University Professional Association for Human Resources, 2013 Annual Conference for Kentucky and Tennessee, at the Clarion Hotel. 200 people expected. April 10 – 14 College Language Association, 2013 Annual Conference at the Hilton Downtown/Lexington. 450 people expected. April 11 – 15 Kappa Kappa Gamma Sorority, KKG Nu Province Meeting at the Crowne Plaza Lexington the Campbell House. 170 people expected.

COMMERCIAL BUILDING PERMITS Dean Builds Inc, retail sales general, 201 Southland Drive (Car Quest Auto Parts), 6,375 sq.ft., $345,000. Burchfield and Thomas Inc, church ad-

dition, 3245 N. Cleveland Road (Davis Fork Baptist Church), 4,872 sq.ft., $321,000. ML Barnard Inc, remodeling restaurant, 3735 Palomar Centre Drive Suite 010 (Gold Star Chili), $200,000. Apodacas Painting LLC, retail sales remodeling, 1753 Alexandria Drive (El Rodeo Western Wear), $10,000. The Stewart-Perry Co Inc, retail sales remodeling, 1940 Pavilion Way (Target), $1,100,000. Management Resource Systems Inc, retail sales remodeling, 3707 Nicholasville Road (Men’s Warehouse), $35,000. Potter General Contracting LLC, remodeling restaurant, 1925 Justice Drive Suite 180 (Graeter’s Ice Cream), $100,000. DG Perry Building Contractors Inc, addition to a restaurant, 4191 Tates Creek Centre Drive (Taco Bell), 465 sq.ft., $502,007. Sawyer-Elder Construction LLC, automobile dealership, 232 West New Circle Drive (Rod Hatfield Chevrolet), 8,250 sq.ft., $700,000. Denham-Blythe Company Inc, remodeling general factory, 2200 Innovation Drive (Webasto), $252,000. Custom Carpentry, remodeling restaurant, 101 West Short (The Jax), $8,500. Congleton-Hacker Company, remodel bank, 2557 Sir Barton Way (UK Federal Credit Union), $25,000.

COMMERCIAL PROPERTY SALES Jan. 1 Though Feb. 28 Office Condo | 2/6/13, 2220 Executive Drive Unit 202, $69,000, 951.5 sq.ft., $73 per foot. Office Condo | 2/7/13, 1040 Monarch Street Suite 110, $109,000, 1,029 sq.ft., $106 per foot. Office Condo | 1/9/13, 2220 Executive Drive Unit 201, $93,000, 953.3 sq.ft., $98 per foot. Office Condo | 2/11/13, 2220 Executive Drive Unit 203, $68,000, 951.5 sq.ft., $71 per foot. Office Condo | 2/15/13, 151 Prosperous Place Unit 1B, $72,000, 691 sq.ft., $104 per foot. Office Condo | 2/27/13, 2250 Thunderstick Drive Unit 1101, $182,000, 1,290 sq.ft., $141 per foot. Warehouse | 2/15/13, 1211 Manchester Street, $690,000. Office Building | 1/2/13, 1010 Eastland Drive, $295,000. Office Building | 1/11/13, 1600 Harrodsburg Road, $425,000, 2,213 sq.ft., $192 per foot. Office Building | 1/25/13, 120 Dennis Drive, $175,000, 5,208 sq.ft., $34 per foot. Office Building | 1/31/13 389 Elaine Drive, $165,000, 1,500 sq.ft., $110 per foot. Retail | 2/11/13 617 West Short Street, $310,000.

Retail | 2/12/13 191 Kentucky Avenue, $355,000, 2,244 sq.ft., $158 per foot. Retail | 2/11/13 1200 North Broadway, $360,000, 3526 sq.ft., $102 per foot.

NEW BUSINESS LICENSES Apartment Rentals | Royalty Court LLC, owned by Kimberly C Baughman, 1349 Royalty Court, 859-3518591. Appraisals | Owned by Steven B Rohlfing, 2220 Executive Dr., Ste. 201, Lexington, Ky., 859-368-0448. Auto Resale | Krishna Auto Inc, owned by Ronak Patel, 790 Westland Drive, 859-226-9282. Beauty Salon | Owned by Diana Sullivan, 207 E Reynolds Rd., Ste. 120, Lexington, Ky., 859-396-0359. Cigarette Sales | Kerry Group LLC, owned by Robert Mccann, 636-2035550. Computer Hard/Software | Pc Specialists Inc, owned by Bruce Geier, 1470 Malibu Drive, 1D, 858-566-1900. Construction | Howell Contractors Inc, owned by James Howell, 980 Helen Ruth Dr., Fort Wright, 859-331-5457. Construction | Owned by Toleman D Marcum, 451 Anniston Dr., Lexington, Ky., 859-230-3414. Construction | Owned by Lawrence A Shreve, 274 Southland Dr., Ste. 102, Lexington, Ky., 859-913-1205. Construction Documentatio | Mvk Limited, owned by Mark Oldenquist, 10 Dorchester Sq. N, Ste. 102, 614776-5580. Consulting | Owned by Alesha Graves, 859-361-7290. Consulting/Marketing | A & M Solutions LLC, owned by Matthew Loy, 3677 Horse Mint Trail, Lexington, Ky., 859-523-2319. Convenience Store | Nassar Inc, owned by Roqaya Nassar, 760 Florence Ave., Lexington, Ky., 859-2559569. Cosmetologist | Owned by Laura A Breaux, 3320 Clays Mill Rd., Ste. 110, 859-519-7197. Delivery | Napier Transport, owned by Kevin L Napier, 4437 Walnut Creek Dr., Lexington, Ky., 859-396-7286. Distrib Medical Devices | Surgicor LLC, owned by James R Lawson Jr, 395 Elaine Dr., Ste. 150, Lexington, Ky., 615-778-0036. Electrical | Kevin Jones Electric, owned by Kevin D Jones, 2300 Tidwell Rd., Louisville Ky., 502-937-8067. Engineering Security | Owned by Frank Barbarits, 740-289-3282. Engineering/Consulting | Civil & Environmental, owned by James M Roberts, 412-249-3197. Exterior Painting | Student Painters LLC, owned by Daniel Bowman, 3200 Loch Ness Dr., Apt. 110, 859-3291197. Fodd Service Dining/Vending | Avi Food Systems Inc, owned by Anthony J Payiavlas, 3499 Blazer Pkwy., Lexington, Ky.

General Contractor | Owned by Ryan Chaffin, 204 David Dr., Lexington, Ky., 859-940-4138. General Contractor | Ml Barnard Inc, owned by Mike Barnard, 513-9431777. General Contractor | R Doyle Corp, owned by Ray Relford, 5050 Newtown Pike Lexington, Ky., 859-2307398. General Contractor | Rct Construction Inc, owned by Roger Thomas, 6019 Atwood Dr., Richmond, Ky, 859-6232122. General Contractor | Turning Point, owned by Stephen S Mauney, 517 Green Valley Dr., Lexington, Ky., 859230-0782. Hvac | C2 It LLC, owned by Daniel Detmer, 5909 Stewart Ave., Cincinnati, 513-561-7517. Hvac | Titan Mechanical, owned by Creed H Holler, 11011 State Rte. 128, 513-738-5800. Inject Molded Prod/Modify | Owned by Pike Spraggins, 384 Ashmoor Dr., Lexington, Ky., 859-338-3881. Internet Retail | Owned by Audrey Kersey, 4412 Riverside Ct., Lexington, Ky., 859-806-7244. Janitorial | Cornetts Commercial, owned by Clayton Cornett, 236 Elmwood Drive, 859-333-0920. Landscape | Landmark Stone Inc, owned by Lee A Sketo, 1023 Stonehouse Ridge Road, 502-331-0635. Legal Nurse Consulting | Mccamish & Associates LLC, owned by Dawn M Mccamish, 1920 Muir Station Rd., Lexington, Ky., 859-293-0690. Limo Service | American Vip Limo LLC, owned by Otmane Benouis, 803-9609391. Marriage Therapist | Owned by Michele A Beaudet Miller, 501 Darby Creek Rd., Ste. 56, 859-940-4916. Medical Clinic | Lexington Urgent Care, owned by Nawar Soda, 1701 Nicholasville Rd., Ste. 10. Mobile Food Unit Vendor | J Renders Bbq LLC, owned by John Everly, 1141 Haverford Way, Lexington, Ky., 859533-9777. Nightclub | Owned by Demond Royce, 367 E Main St., Lexington, Ky. Online Auto Advertising | Autotradercom Inc, owned by Maria Friedman, 6205 Peachtree Dunwoody Rd., 678645-4772. Online Publishing | Hippo Manager Software, owned by Samuel Razor, 3005 Drexel Pass ,Lexington, Ky., 859433-8441. Ornamental Metal | Covington Ironworks LLC, owned by William Zalla, 30 Kenton Lands Rd., Ste. D, 859331-2696. Otolaryngology Clinic | Ear Nose And Throat, owned by Ronald Shashy Md, 120 N Eagle Creek Dr., Ste. 102, 859629-7140. Painting | Owned by Mark Pena, 941321-4002. Partment Rentals | Royalty Court LLC, owned by Kimberly C Baughman, 1349 Royalty Court 859-351-8591.

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Business Lexington • March 29, 2013

Patio Accessory Sales | Owned by Thomas J Roentz, 669 Estrella Dr., Lexington, Ky., 859-363-6203. Pest Control/Animal Removal | Owned by William Abernathy, 228 Owsley Ave., Lexington, Ky., 859-492-6949. Plumbing | Hammond Plumbing LLC, owned by Robert Michael Hammond, 859-621-6980. Precious Metal Dealer | Great American Estate, owned by Scott C Garber, 630-823-3127. Private Household | Owned by Aguinaga Meza, Melina T, 859-3689702. Pro Shop & Smoothie Bar | Blue Grass Car Wash Co, owned by Dennis M Frank, 3001 Blake James Dr., Lexington, Ky., 859-263-0080. Psychotherapy | Owned by Nathan J Miles, 620 Euclid Ave., Ste. 203, Lexington, Ky., 859-379-9721. Pump Repair | John Industrial, owned by Schuyler John, 114 N 30th St., Louisville, Ky., 502-776-3937. Real Estate | Bentley LLC, owned by James F Diehl, 103 Windy View Court, 859-806-3784. Real Estate | Britron 1 LLC, owned by Emma J Johnson, 667 Hi Crest Drive. Real Estate | Fab 5 Marketing &, owned by Neal T Metcalfe, 4420 Levi Todd Blvd., Lexington, Ky., 859-3128069. Real Estate Managemant | Hanson Property, owned by Michael Hanson, 114 Dennis Drive, 859-428-7641. Rent A Center | Rac Acceptance East LLC, owned by Mitchell E Fadel, 2321 Sir Barton Way, Ste. 170. Rental Real Estate | Blue Rock Investments, owned by Jay Carrico, 4885 Wyndhurst Rd., Lexington, Ky. Rental Real Estate | Lexington Brownstone LLC, owned by Ryan Foster, 859-983-0215. Rental Real Estate | Scorsone Real Estate, owned by , 511 W Short St., Lexington, Ky., 859-361-0335. Rental Real Estate | Setzer Properties Bgs Ll, owned by Brett T Setzer, 858 Contract St., Lexington, Ky., 859-5147767. Restaurant | Hanwoori LLC, owned by Jaekeum Nam, 371 S Limestone St., Lexington, Ky., 859-258-2208. Restaurant | Owned by Sandra Pelaez, 1858 Oxford Circle Lexington, Ky., 859-254-0123. Restaurant Full Service | Owned by Beau Hiner, 567 S Broadway, Ste. 110, Lexington, Ky. Retail/Wholesale Honey | Owned by Karen Nichol, 729 Woodward Ln., Lexington, Ky., 859-621-8969. Roofing | Schefers Roofing Co, owned by Lance J Schefers, 116 E AA Hwy., Grain Valley, Mo., 816-847-1002. Roofing Siding Gutters | Dreamhome Restoration, owned by Dennis M Plante, 800-880-4018. Sales And Plantings | Can’t Contain Myself, owned by Beth Engle, 859608-2999. Sales/Service of Cellphones | Wikiwoo Electronics LLC, owned by Christopher Taylor, 3401 Nicholasville Rd., Lexington, Ky., 502-741-7159. Software Technology | Video Informed Consent, owned by Vicw LLC, 1031 Wellington Way, Ste. 115, 859-2232046. Specialty Clinic | Infinite Mind & Body LLC, owned by David Sione, 2716 Old Rosebud Rd., Ste. 230, 859-9639012. Specialty Trade | Tri State Drilling Inc, owned by Marylou R Swedberg, 763553-1234. Telecommunications | Owned by Chad White, 116 Greenway Ln., Lexington, Ky., 859-333-0318. Thoroughbred Farm | Owned by Shannon White, 4200 Old Frankfort Pike, Lexington, Ky., 859-621-2679. Tile & Granite Provider | Su Casa Home Improvemnt, owned by Julia Robinson, 2601 Regency Rd., Ste. 102, Lexington, Ky., 859-277-1394. Title Searches | Foundation & Title, owned by Chris Cantrell, 2424 Harrodsburg Rd., Ste. 101. Whsl Genl Mdse | Farroukh And Sons Inc, owned by Yousef Farroukh, 859351-2469.

Yoga Instruction | Owned by Britteny Howell, 241 Laclede Ave., Lexington, Ky., 989-621-6606.

COMMERCIAL LOANS Hawkins Inv LLC from University Of Ky Fed Cr Un for $50,000. Parsons Prop Of Ky LLC from PBI Bank Inc for $59,835. Jamcor Inv Inc from Community Tr Bank Inc for $60,650. Bluegrass Dental Holdings LLC from Bank Of The Bluegrass for $70,801. Leasing Solutions LLC from Bank Of Lex for $75,200. Webb Beatty Homes LLC from Lexington Home Ownership Commission IiI for $86,250. 35 Co from First Sec Bank Of Owensboro Inc for $89,675. Walcott Prop LLC from Peoples Exchange Bank for $94,350. Logan Bldr LLC from Bank Of Lex for $97,600. Residential Land LLC from Community Tr Bank Inc for $97,744. Poole House LLC from Traditional Bank for $104,000. Artique Inv LLC from Peoples Exchange Bank for $108,375. Residential Land LLC from Community Tr Bank Inc for $122,400. Eirecon LLC from Bank Of Lex for $128,800. Db Homes LLC from Community Tr Bank Inc for $130,320. Eirecon LLC from Bank Of Lex for $130,400. Db Homes LLC from Bank Of Lex for $143,200. Morton Prop LLC from Peoples Exchange Bank for $152,813. Cfp Prop LLC from First Southern Natl Bank for $166,605. Jw Ptnr LLC from Central Bank & Tr Co for $168,000. M & M Prop Mgt LLC from Central Bank & Tr Co for $172,500. Morton Proeprties LLC from Peoples Exchange Bank for $183,872. Via Vitae Dev LLC from Central Bank & Tr Co for $191,250. Briggs Co from Traditional Bank for $193,600. Webb Beatty Homes LLC from Community Tr Bank Inc for $195,000. Grand Prop Mgt LLC from Traditional Bank for $195,480. Morton Prop LLC from Community Tr Bank Inc for $211,000. Melville Park I LLC from Central Bank & Tr Co for $249,500. Sunrise Prop LLC from Central Bank & Tr Co for $249,500. Nash Marshall Real Est LLC from Traditional Bank for $314,880. Bluegrass Cottages Inc from Farmers Bank & Capital Tr Co for $371,000. Nandino Prop LLC from American Founders Bank Inc for $375,000. Builder Co LLC from Traditional Bank for $409,189. Shires At Kalmia LLC from Bank Of The Bluegrass for $418,500. A & P Realty LLC from Central Bank & Tr Co for $500,000. U S Iol Inc from Forcht Bank Na for $635,925. Kentucky Bear LLC from Fifth Third Bank for $685,490. Trace Inv LLC from Central Bank & Tr Co for $750,000. Legacy Prop Holdings LLC from Branch Banking & Tr Co for $850,000. S & B Inv Inc from Republic Bank & Tr Co for $945,000. Crestwood Farm LLC from PBI Bank Inc for $1,040,579. Mclean Holdings LLC from PBI Bank Inc for $1,040,579. Commonwealth Designs Inc from Bank Of Ky Inc for $2,500,000. Kanetuk Prop LLC from Forcht Bank Na for $3,097,573. Townhomes Of Chilesburg Park LLC from Branch Banking & Tr Co for $3,600,000. Scott Interests Lp from Traditional Bank for $4,377,000. Rooker Lex LLC from Wells Fargo Bank Na for $50,000,000.

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