Osmundson Mfg. Establishes Graves County, Kentucky, Operations
The investment will include the purchase of nearly 35 acres to construct a 150,000-square-foot facility, which will house two hot production lines and support cold workstations that will produce 20-inch and larger disc blades for both the agriculture and construction industries. Construction is scheduled to begin in 2023 with completion by 2025.
“Osmundson is excited about the expansion of our business and the opportunities that come with this new facility and from being a part of the Mayfield community,” said Heather Bruce, president of Osmundson. “We believe this expansion will set us up for another 120 years of success and we’re committed to building that together through the involvement and support of a great community.”
To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved a 15-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $1.5 million in tax incentives based on the company’s investment of $12.5 million and annual targets of creation and maintenance of 80 Kentucky-resident, full-time jobs across 15 years; and paying an average hourly wage of $36.07 including benefits across those jobs, and an average base pay of $21.74 not including benefits.
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.
“Once again, we are reminded that Kentucky’s unprecedented economic growth and momentum shows no signs of slowing down,” noted Governor Andy Beshear. “I am thrilled to welcome Osmundson to the commonwealth as yet another quality company that will bring well-paying jobs and an economic boost to a Western Kentucky region still recovering from last year’s devastating tornadoes. I want to thank the company’s leadership as well as local and state officials for making this investment possible and helping to create a better Kentucky.”
In addition, Osmundson Mfg. Co. 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.
“Osmundson’s culture, history and values align with the very being of Graves County, family, community and vision,” added Jason Lemle, president of the Graves County Economic Development Council. “From the events of Dec. 10, 2021, Graves County has made significant strides toward the future of our community and what we might look like. This new expansion and new business from another part of the country further cements that we are making the necessary steps to create a better and brighter future for our community and its people. We are honored to have Osmundson select Graves County for the future of their business, and we look forward to supporting them for decades to come.”
Osmundson Mfg. Co. blades are 100% American-made and have been for nearly 120 years, state officials noted. Founded in 1903 as Osmundson Spade, the company developed a revolutionary spade that resists breakage. The company currently employs approximately 100 employees at their 142,000-square-foot headquarters and production facility in Perry, Iowa.
2023 Top States for Doing Business Meet the Needs of Site Selectors
The Rise of Mid-Size U.S. Cities: The Industrial Development Boom
Front Line: Brownfields Offer Redevelopment Opportunities
2023 Top States Commentary: Top-Ranked States Have What It Takes to Win Mega Projects
37th Annual Corporate Survey: Economic Pressures Exerting Greatest Effect on Decision-Makers
2023 Top States Workforce Development Programs
Immigration: A Potential Fix for Labor Shortages?
Workforce Q4 2023