Kentucky State Seal

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*OFFICE OF GOVERNOR ANDY BESHEAR*

*COMMONWEALTH OF KENTUCKY*








*FOR IMMEDIATE RELEASE*




*Contact:*?

*Crystal Staley*
*502-545-3714*

*Brandon Mattingly
502-782-2006*






*G*ov. Beshear: SCS-2 Announces New $63 Million Distribution and Transfer Facility in Bowling Green**

"""Project builds on $27 million investment announced in July 2023"""

*FRANKFORT, Ky. (March 28, 2024) *? Today, Gov. Andy Beshear highlighted continued growth in Kentucky?s booming metals industry as SCS-2 LLC, a member of the Southern Coil Solutions family, announced plans for a new, cutting-edge $63 million distribution and transfer facility in Bowling Green, creating 28 new full-time jobs.

The project follows a July 2023 announcement [ [link removed] ] of a $27 million investment to build a fully automated steel coil warehouse distribution and logistics center in Bowling Green. That announcement included the creation of 30 full-time jobs.

?I am thrilled to see continued investment to support the Southern Coil Solutions location in Warren County that was announced just last summer,? said *Gov. Beshear*. ?This investment builds on our state?s strong infrastructure to support distribution and logistics operations, and I look forward to this new transfer facility being completed next year.?

The facility will be engineered to meet the needs of the company?s diverse clientele, featuring advanced automation systems for optimal coil storage and rail services capabilities. With a focus on safety, security and efficiency, SCS-2 is poised to serve the critical storage needs and transportation requirements of key sectors, including the rapidly evolving battery industry, essential for powering electric vehicles and renewable energy systems. The facility is expected to be operational by June 2025.

Upon completion, the facility will be Leadership in Energy and Environmental Design (LEED) certified by the U.S. Green Building Council, showcasing Southern Coil Solutions? commitment to sustainability and environmental responsibility.

?This new facility signifies more than just an expansion; it reflects our unwavering commitment to innovation and excellence,? said *Mark J. Loik, CEO of SCS-2 LLC*. ?By selecting Bowling Green for this project, we leverage not only its strategic location and infrastructure within the Kentucky Transpark but also contribute significantly to local economic growth and industry diversification. Additionally, we are deeply grateful to our partner, CareGo, for their dedicated work and pivotal role in making this project a reality.?

Established in 2024, SCS-2 LLC is a frontrunner in automated storage and railway services for the metals industry, catering to sectors like automotive, food and beverage and battery production. The company?s facility, located in a strategic industrial area for easy access to major transport routes, spans over 300,000 square feet. Aimed at revolutionizing coil management within the rail industry, the company is committed to ongoing investment in technology and infrastructure to meet its clients? diverse needs with safety, security and efficiency at the forefront. Serving key industries with high standards, the company ensures safe, efficient storage and handling solutions for materials critical to automotive production, food packaging and battery manufacturing.

*Warren County Judge/Executive Doug Gorman *highlighted the implications for the community: ?Southern Coil Solutions? investment is a game-changer for Warren County, promising not just economic growth but also a stronger, more resilient local workforce. We?re proud to welcome Southern Coil Solutions to our community and excited about the future collaborations and opportunities this new facility will bring.?

*Bowling Green Mayor Todd Alcott *recognized the potential of the project: ?Southern Coil Solutions? new facility represents a monumental stride in our ongoing efforts to attract high-tech industries to Bowling Green. Their innovative approach to materials handling will undoubtedly set a new industry standard, reinforcing our city?s position as an attractive destination for global companies.?

*Bowling Green Area Chamber of Commerce President and CEO Ron Bunch *mentioned the overall scope of the project: ?It is great to see local investors continuing to grow their opportunities in Bowling Green. This addition to our community continues to solidify our region?s competitive advantage in our metals cluster. This is more than an investment in the metals industry; it?s an investment in the future of Bowling Green and Kentucky at large.?

*CSX Manager of Industrial Development Jody Lassiter *welcomed the project: ?CSX welcomes Southern Coil Solutions to the Kentucky Transpark in Bowling Green. We look forward to providing rail service to the company?s new warehousing operations, helping enhance the region?s logistical capabilities and reaffirming our commitment to fostering economic growth and development in the area.?

SCS-2?s investment and job creation build on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $30.5 billion in announced investments, creating more than 52,500 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth?s history.

The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On?s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park [ [link removed] ]?in Hardin County; AESC [ [link removed] ]?s $2 billion, 2,000-job gigafactory project in Warren County; Toyota [ [link removed] ]?s $1.3 billion investment in Scott County; and INFAC North America [ [link removed] ]?s $53 million investment in Taylor County, among others.

The Governor?s administration also secured [ [link removed] ]?the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record [ [link removed] ]?for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch Ratings [ [link removed] ]?and S&P Global Ratings [ [link removed] ], and Moody?s Investors Service upgraded Kentucky?s credit outlook from stable to positive.

This month, Site Selection magazine ranked [ [link removed] ]?Kentucky third nationally and first in the South Central economic development projects per capita in its 2023 Governor?s Cup rankings. Previously, Site Selection placed Kentucky first in the South Central region and top 5 nationally in its 2023 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.

Gov. Beshear announced a ?Supply Kentucky [ [link removed] ]? initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.

To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) today preliminarily approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $560,000 in tax incentives based on the company?s investment of $63 million and annual targets of:


* Creation and maintenance of 28 Kentucky-resident, full-time jobs across 10 years; and
* Paying an average hourly wage of $30.63 including benefits across those jobs.

Additionally, KEDFA approved the company for up to $175,000 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.

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. ?

For more information on Southern Coil Solutions, visit SouthernCoilSolutions.com [ [link removed] ].??

A detailed community profile for Warren County can be viewed here [ [link removed] ].??

Information on Kentucky?s economic development efforts and programs is available at "CED.ky.gov" [ [link removed] ]. Fans of the Cabinet for Economic Development can also join the discussion at "facebook.com/CEDkygov" [ [link removed] ]", on Twitter ""@CEDkygov" [ [link removed] ]", Instagram ""@CEDkygov" [ [link removed] ]" and ""LinkedIn" [ [link removed] ].

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