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Published August 26, 2008 12:01 pm - An electric car assembly company is coming to Franklin with the help of $48 million in state incentives and 160 acres of “shovel-ready” land in the Rob Wilkey Industrial Park in Simpson County.

Electric car company coming to Franklin


By RONNIE ELLIS
CNHI News Service

FRANKFORT

An electric car assembly company is coming to Franklin with the help of $48 million in state incentives and 160 acres of “shovel-ready” land in the Rob Wilkey Industrial Park in Simpson County.

Gov. Steve Beshear delayed his trip to Denver for the Democratic National Convention on Monday to make the announcement, along with Randy Waldman, CEO of Integrity Automotive of Bullitt County, which will assemble the cars now being made in China for Zero Air Pollution (ZAP) of California. Steve Schneider, CEO of ZAP, did not attend the news conference, instead sending a video message.

The company makes electric cars ranging from three-wheel runabouts (essentially an enclosed motorcycle) with top speeds of about 40 miles per hour and costing a little more than $10,000 to four-wheel cars and four-wheel drive electric trucks with prices up to $63,000.

The plant, according to Waldman, will eventually employ as many as 4,000 workers at $20 an hour and turn out up to 500 vehicles a day. Depending on how many days or shifts the plant operates, that could be as much as 180,000 units or more a year.

“The hospitality Gov. Steve Beshear has extended to ZAP has been nothing less than overwhelming and the No. 1 reason we chose Kentucky,” Schneider said in his video message.

Schneider may not have been able to make it, but most of Simpson County was on hand.

Beshear said Kentucky’s selection by ZAP is “a huge demonstration of faith in this state’s economic climate.” He said the $48 million in state economic incentives are “performance-based, which were needed to make this happen.”

Economic Development Secretary John Hindman said the state incentives will allow the company to keep 3 percent of employee state withholding taxes for each job created. Sanders said that kicks in only after the company has hired the worker. Still to be approved are industrial revenue bonds, but groundbreaking is scheduled for Thursday at the site.

Waldman said the plant will be constructed on a modular scheme, meaning production can begin as early as mid-year 2009. Until then, some ZAP vehicles will be produced at the Bullitt County facility of Integrity, which will continue to assemble trailers after the Simpson County facility is operational. The new facility will include a two-mile test track.

Brown, the Franklin mayor, said it’s “exciting to be on the cutting edge. I hope someday Franklin will be known for this product like Georgetown is for Toyota.”

Nearly everyone at the press conference said timing was essential. The key for choosing Franklin was the ready availability of land which is “shovel-ready” meaning construction can begin immediately and proximity to rail lines and Interstate 65. Waldman said the incentives were critical as well because other states, including Indiana, were actively seeking to land the plant.

ZAP already manufactures the cars but Integrity, the Bullitt County company, got involved earlier this summer when it approached lawmakers about getting behind its efforts to assemble the cars in Kentucky.

ZAP wouldn’t agree to come to Kentucky, however, unless the slower-moving electric battery-powered cars were legal to drive in the state. Beshear subsequently issued an executive order making them legal on streets with speed limits of 45 miles per hour or less.

Ronnie Ellis writes for CNHI News Service and is based in Frankfort. He can be reached by e-mail at rellis@cnhi.com.



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