FRANKFORT, Ky. — SRC of Lexington Inc., a supplier to original equipment manufacturers (OEM), is planning to invest $15 million into relocating to a new facility in Fayette County in order to expand capacity and meet consumer demands.
The company manufactures OEM products, as well as aftermarket products and cylinder heads. They remanufacture products for their partners in construction, mining, natural gas compression and power generation markets, according to their website.
According to information presented at the Kentucky Economic Development Finance Authority’s (KEDFA) March board meeting, SRC of Lexington will receive a total tax incentive amount of $840,000 if they can abide by the set job and wage target.
The Kentucky Business Investment (KBI) program will require SRC of Lexington, Inc. to bring their job target up from their current amount of 10 employees to 60 employees after about five years.
They will also need to keep an average hourly wage of $35.22 over the span of 10 years, including employee benefits.
If they maintain all of these requirements, they will receive $50,000 the first year, and reach $100,000 by their seventh year, amounting to the full $840,000 by the end of 10 years.
The special conditions listed in the KEDFA book also stated SRC of Lexington will need to maintain a base employment equal to the number of full-time employees subject to Kentucky income tax as of the date of preliminary approval.
The company reported currently having 173 full-time employees subject to income tax as of the application date.
Kristen Roberts is an editorial intern for The Lane Report.
