Economic impact big thanks to two industrial parks

 SHEPHERDSVILLE — The study conducted by the state Cabinet for Economic Development on the impact created by the Cedar Grove and Salt River business parks came a couple of days too late to be included in a recent planning commission hearing.

The data was to be used by the applicants hoping to rezone 650 acres in the Heritage Hill development.

However, it could be used when the Shepherdsville City Council considers the rezoning of property from R-3 Residential to IL Light Industrial.

Regardless of its use, the impact on the county is very impressive.

In looking at the effect throughout Kentucky of those two parks, the study shows that the employment at the two business parks would be 5,435 jobs for the 2010 calendar year. The payroll would be $256 million for these jobs for an average wage and benefits package of $47,100.

In addition to the jobs directly created by the industrial park businesses are indirect effect and induced effects.

For the indirect effects, the state defines this as vendors which have jobs created due to supplies and services for the industrial park customers.

The study says that another 1,430 jobs are created at an annual payroll and benefits of $45 million.

For the inducted effects, this accounts for jobs created at places like restaurants, convenience stores and gas stations due to the location of the industrial jobs. This accounted for another 1,950 jobs and $56 million in wages.

If you looked only in the Bullitt County boundaries, the total number of direct jobs remains the same at 5,435. The annual average wage and benefit package would be $47,100 per person.

For the indirect effect, there would be 1,110 of the jobs which would be created, which means many of the vendors or suppliers are located in Bullitt County. 

The parks would also created induced effects of 1,270 jobs with an average wage and benefit package of $22,870.

Overall, the county has 7,815 jobs attributed to the companies located within the two industrial parks.

There are annual wages and benefits of over $313 million paid out with an average wage of $40,060.

The gross domestic product that benefits Bullitt County is over $444 million.

Those businesses created another $124 million in gross products to the rest of Kentucky.

There are also 1,000 jobs attributed in other parts of the state to the two BUllitt County industrial parks.

Crunching all the numbers together, the state estimated that the aggregated values were 5,435 jobs paying wages and benefits of $256 million for an average of $47,100.

During a recent meeting of the Bullitt County Economic Development Authority, executive director Bob Fouts said that with just the two parks, the 5,435 permanent jobs placed Bullitt County among the top 30 in Kentucky.

In looking at the tax rolls, Fouts said over $2 million is paid annual in occupational taxes in the Cedar Grove Business Park alone.

One area still being regulated is the payment of occupational taxes by part-time and seasonal employees.

Fouts said there is probably a number of employers who are not collecting the tax, as required. Many of the seasonal and part-time employees are actually placed by staffing companies.