Kentucky Cabinet For Economic Development eNewsletter

Kentucky's Economic Competitiveness Scores High Marks

Site Selection (www.siteselection.com), a leading international economic development publication, has ranked Kentucky 6th in the United States in its 2006 Annual Competitiveness Award (May 2007 issue). The benchmark that measures state economic development agencies' competitiveness -- the most important factor in an agency's ability to attract capital investment and expand economic activity in the state -- is regarded by corporate real estate analysts as “the industry scoreboard”.

Open only to state-level economic development agencies, the states were ranked according to an indexing system based on 10 criteria for measuring business-expansion activity that took place in the previous calendar year. Kentucky has consistently ranked in the Top 10 since the inception of the award in 2003.

“States must perform well in 10 criteria related to actual business expansion activity as tracked by our New Plant database,” says Mark Arend, Editor of Site Selection. “The fact that Kentucky appears near the top of the list each year is evidence that its economic development team is delivering what location decision makers are looking for.”

Categories used to calculate the ranking include per capita jobs and investment numbers for 2006, the number of top metros and micropolitans in Site Selection’s 2006 rankings, rates of growth in new and expanded facilities and ranking in the annual business climate survey. The indexing system for determining the state rankings is set up to ensure that all states have the same opportunity at competing for the award.

During 2006, 399 manufacturing and or supportive/service companies located or expanded in Kentucky resulting in over 18,500 net new jobs created. Investment was estimated at more than $3.4 billion. To view the Site Selection article in its entirety, visit www.siteselection.com.