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Area Development - Site Selection, Facility Planning and Workforce Development

Flottweg Separation Technology Plans Boone County, Kentucky, Warehouse Hub

05/11/2022
Flottweg Separation Technology Inc., a manufacturer of centrifuges and other liquid-solid separation equipment, will locate a new warehouse facility in Boone County, Kentucky. The $1.75 million project is expected to create 12 jobs.

The company will construct a new 15,000-square-foot warehouse facility on Flottweg’s existing campus on Toebben Drive, expected to be completed by Q1 2023. The expansion, Flottweg’s fourth since 2011, comes in response to rising demand and will accommodate increased parts manufacturing.

“New jobs are continually being created and community involvement will expand with the growth of our building,” said Flottweg President Dan Ellis. “We are happy to grow our presence here in Northern Kentucky. Most of us live and work here and consider it our corporate responsibility to invest in our neighborhood.”

The Kentucky Economic Development Finance Authority (KEDFA) in March preliminarily approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $112,000 in tax incentives based on the company’s investment of $1.75 million and annual targets of creation and maintenance of 12 Kentucky-resident, full-time jobs across 10 years and paying an average hourly wage of $38 including benefits across those jobs.

Additionally, KEDFA approved Flottweg for up to $50,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

“It’s great to see job creation continue throughout the commonwealth, and it is even better when those jobs include high wages as is the case with this expansion in Boone County,” Governor Andy Beshear said. “Flottweg has established a strong presence in Northern Kentucky over the past 15-plus years, and this investment shows the commitment of the company’s leadership to future growth in our state.”

In addition, the company can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

“The Cincinnati region has a strong legacy of machine tooling and also a bright future with companies like Flottweg investing in new equipment and talent,” added Northern Kentucky Tri-ED CEO Lee Crume. “Our Target Industry Analysis reveals that employment in advanced manufacturing is projected to grow 9% from 2020-2025, and this expansion by Flottweg will contribute to that growth.”

Established in 2006, Flottweg Separation Technology is a subsidiary of Flottweg SE, which was founded in Germany in 1932. Flottweg SE has grown into a global technology leader producing centrifuges, belt presses and separators used for liquid-solid separation. The company’s products support a range of industries, including the mining, petrochemical, chemical, pharmaceutical, food and beverage and machining sectors. Its products also have environmental uses, including treatment of wastewater or oil sludge.

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