Hydro-Gear Limited Partnership, a designer and manufacturer of precision drive systems, will invest $2.6 million to expand its operations in Princeton, Kentucky. The company plans to add up to 40 new jobs in Caldwell County.
The company plans to add more capacity, including the construction of a new 55,000-square-foot warehouse. This will allow Hydro-Gear to create more manufacturing space. The project is expected to be complete by the end of the year.
“When you have great team, it is amazing what can be done,” said Ray Hauser, President of Hydro-Gear. “We joined the Princeton community in 2005 to support our growth. We have attracted outstanding people that truly care and are motivated to perform for our customers every day. This facility expansion will allow us to enhance our customer service and provide solid employment opportunities for the local community.”
Working in partnership with manufacturers worldwide, Hydro-Gear produces an extensive line of high-performance, efficient hydrostatic transmissions and transaxles for industrial, commercial and consumer markets. The company currently employs more than 120 workers in central Kentucky.
To encourage the investment and job creation, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $800,000 through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
In addition, Hydro-Gear is eligible to receive resources from the Kentucky Skills Network. Through the Kentucky Skills Network, companies are eligible to receive no-cost recruitment and job placement services, reduced-cost customized training and job training incentives. Last year, the Kentucky Skills Network trained more than 84,000 employees from more than 4,100 Kentucky companies.
“Today’s announcement is a demonstration that Hydro-Gear continues to build on its growth as a leading global manufacturer in its field,” said Governor Steve Beshear. “We’ve worked hard with our community partners to make this region attractive to businesses, and that work is paying off. I’m proud of the new jobs and investment here. This is a great day for the Commonwealth, Princeton and Hydro-Gear.”
“Hydro-Gear is an important part of our manufacturing community in Princeton,” said Princeton Mayor Danny Beavers. “This investment will assure continued growth and give us 40 new jobs for our community. The city of Princeton greatly appreciates Hydro-Gear choosing our community for its expansion.”