Business & Community Stakeholders Make Case in Frankfort for Regional Projects Funding

Commerce Lexington President and CEO, Bob Quick, and Blue Grass Airport President and CEO, Eric Frankl, testified in front of the Kentucky General Assembly’s Budget Review Subcommittee on Economic Development, Tourism, and Environmental Protection in Frankfort.

​On October 15, Greater LEX business and community stakeholders testified before the Kentucky General Assembly’s Budget Review Subcommittee on Economic Development, Tourism, and Environmental Protection in Frankfort. With the upcoming 2026 Legislative Session’s primary focus on the state’s next biennial budget, mixed economic indicators and state revenues are building towards cautious budget discussions amongst state policymakers. However, with a FY 2025 end balance of $3.76 billion in the state’s Budget Reserve Trust Fund and with revenues expected to continue with modest growth, there remains a possibility for one-time appropriations legislation similar to House Bill 1 (H.B. 1) from the last budget cycle in 2024. In the last budget, H.B. 1 appropriated approximately $1 billion into one-time investments across the Commonwealth, including $10 million to Lexington’s Transformational Housing Partnership. 

To prepare for the possibility of a one-time appropriations package, Lexington business and community stakeholders gathered at the State Capitol to brief policymakers on key projects requesting a state investment. Lexington’s testimony was headlined by VisitLEX, testifying to each project’s importance to the Greater LEX, eastern, and southern regions of Kentucky’s economic development, quality of life, and communities.
 
The first group to testify represented Lexington’s vision for a new performing arts center with Headley Butler, Chair of Next Stage Development Corporation, representing the not-for-profit entity that will lead fundraising efforts, and Josh Fuhrer, Vice President of Business Development/North America for ATG Entertainment, representing the corporate investment into the new center. Lexington is home to great performance venues from the Lexington Opera House to Rupp Arena. However, between small and large venues, a market gap exists for a 2,500-to-5,000-person venue in the region. The proposed performing arts center would aim to fill this market gap. The total cost of the project is approximately $120 million, with a $30 million commitment from ATG Entertainment, a $60 million fundraising campaign goal, and a request for a $30 million investment from the Commonwealth. Additional details regarding this project can be found HERE.
 
Another quality-of-life project testified before the Subcommittee with plans to relocate and build a new Lexington Children’s Museum. Colby Ernst, Executive Director, and Olivia Davis, CPA and current Chair of the Board of Directors, testified to the regional impact and service of the museum. Over half of the 55,000 annual visitors to the museum come from outside of Lexington. The reimagined museum is planned to be located on the corner of Scott Street and Oliver Lewis Way, with a projected total cost of $50 million. Thus far, the Museum has raised $7 million for the project and is requesting a $10 million investment from the state. Additional details regarding this project can be found HERE.
 
A major economic, business, and commerce engine of Kentucky is Blue Grass Airport. For decades, this hub has served as the primary passenger airport for Greater LEX, eastern, and southern Kentucky. With increased passenger demand and a growing region, the airport is planning for significant expansions to service over the next decade. Eric Frankl, President & Chief Executive Officer of the airport, testified on a planned $776.5 million terminal expansion to accommodate a higher number of larger aircraft. With a $5 million investment from the General Assembly in 2024, the airport has started expansion of its parking lot this year. To help initiate this major project, the airport is seeking up to a $50 million investment from the state this coming Legislative Session to leverage additional investments and financing for the terminal expansion. Additional details regarding this project can be found HERE.
 
In addition to these three projects, the Aviation Museum of Kentucky, located at Blue Grass Airport, is planning to relocate due to the terminal expansion project underway. The Aviation Museum has served Kentuckians for over 30 years with more than 15,000 visitors annually. The new project is seeking a $4 million investment from the General Assembly to bolster a $32 million fundraising campaign for the new facility.
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To tie together the importance of these projects, Bob Quick, President & CEO of Commerce Lexington, highlighted why each of these budget requests are critical to enhancing the quality of life, driving sustained economic growth, and attracting and retaining talent in Lexington and the Greater LEX region. Lexington serves as a vital cultural and economic hub, not only for the Bluegrass region but also for all eastern and southern Kentucky. These projects will deliver benefits far beyond the boundaries of Lexington-Fayette County, serving Kentuckians across the Commonwealth. As the leading business organization in the Greater LEX region, representing over 1,800 businesses, Commerce Lexington strongly supports these budget requests for transformative investments that will strengthen Kentucky moving forward.