What shape is your city in? Coming soon: a report from the top
If ever there was a year when it mattered more than most what is going on at city hall, 2010 is it.
Put simply, the Lexington Fayette Urban County Government is struggling to maintain services with a multi-million dollar budget deficit in a down economy even as the city watches the days tick by on the Alltech FEI World Equestrian Games countdown clocks strategically positioned on high-traffic downtown byways.
"We have been experiencing declining revenues for several budget cycles because of the national recession, but this year we are facing a significant fiscal challenge. I have put a budget reduction plan in place to adjust to a $12.5 million shortfall," said Newberry, commenting on what he described as possibly "the tightest budget in the history of the Lexington-Fayette Urban County Government."
Boosting the drama: it's an election year with incumbent Newberry challenged by the Urban County Council's top vote-getter, Vice Mayor Jim Gray, as well as the predecessor Newberry defeated in 2006, Teresa Isaac. In addition, the makeup of the council is in play with most of its members running for reelection.
The Lexington Forum will offer an opportunity to get the latest assessment from Mayor Newberry when the organization hosts the 2010 State of the Merged Government Address at 11:30 a.m. on January 26 in the Patterson Ballroom at the Hyatt Regency Hotel in downtown Lexington.
The cost of attendance for Lexington Forum members in good standing is $35; the ticket price for guests of the Forum is $40, with corporate tables of 10 available for $400.
The Forum is a non-profit organization devoted exclusively to the exploration and analysis of community and regional issues. Revenue from ticket sales support events such as the State of the Merged Government Address as well as the Forum's monthly breakfasts, featuring leaders and outspoken experts from across the commonwealth.
Tickets may be purchased online at www.lexingtonforum.org.
Foreclosure rates in Lexington-Fayette increase
Foreclosure rates in Lexington-Fayette increased in November over the same period last year, according to First American CoreLogic.
The latest information from the real estate data and analytics organization shows the rate of foreclosures among outstanding mortgage loans in the Lexington-Fayette County area at 1.67 percent for the month of November, an increase of 0.80 percentage points compared to November of 2008.
Foreclosure activity in Lexington-Fayette is lower than the national foreclosure rate, which was 3.09 percent for November 2009, representing a 1.35 percentage point difference.
The area's mortgage delinquency rate also has increased. First American CoreLogic data for November 2009 shows 4.17 percent of mortgage loans were 90 days or more delinquent compared to 2.59 percent for the same period last year, an increase of 1.58 percent.
Leading the nation in foreclosure rates in 2009 were Nevada, Arizona and Florida, according to RealtyTrac. Kentucky was 40th. With unemployment and wage cuts overcoming programs to remedy failing home loans, RealtyTrac is forecasting another record-breaking year for foreclosures across the nation in 2010.
Republic Bancorp posts 2009 earnings boost of 25 percent
Republic Bancorp, the Louisville parent of Republic Bank & Trust, posted a 25 percent increase in earnings for 2009. The bank cites growth in its Tax-Refunds Solutions loan program, with net income nearly tripling over the year to $52.7 million. Loan losses increased as well from $8.1 million in '08 to $18.1 million in '09.
Republic reported net income for the year of $42.1 million, an increase from $33.7 million the year before. Earnings per share increased from $1.62 in '08 to $2.02 for the same period in '09.
At Verizon, in with the new, out with the obsolete - and 241 jobs
Verizon Wireless invested nearly $39 million in 2009 in Kentucky to enhance the technology that had a role in scores of pending layoffs in Lexington.
The enhancements included building 15 new cell sites and upgrading equipment on several existing cell sites to increase coverage and capacity of the company's voice and 3G high-speed wireless network.
Since the company was formed in 2000, Verizon Wireless has invested $307 million on improvements to its network in Kentucky.
According to a statement from Verizon Wireless, the company's 2009 upgrades in Kentucky included the activation of 15 new cell sites to improve network coverage and capacity; installation of equipment doubling the company's advanced 3G high-speed wireless network; installation of permanent backup generators at 49 cell sites across the state to ensure functionality during crises; and the upgrade and conversion of the former Cellular One network in Danville, London, Maysville, Richmond, Somerset and Winchester to Verizon Wireless' high-speed 3G network.
Verizon Wireless is a joint venture of Verizon Communications (NYSE: VZ) and Vodafone (NYSE and LSE: VOD).
The Verizon Wireless announcement of system upgrades came with some irony. It followed only by days word that Verizon Communications had informed the 241 employees of its Lexington directory assistance center that they would be losing their jobs in March, largely because technologies enabling such alternative services as cell phone information have rendered traditional directory assistance obsolete.
Apple to open Lexington store, seeking workers
Apple is recruiting employees for a general consumer store in Lexington, according to a jobs posting on the employment site Monster.com.
Apple has a presence in the UK Bookstore, but sales are subject to Apple's educational discount program and are limited to UK students.
Sharpened skills alert: deadline for Gatton CBA signup is Jan. 29
UK's Gatton College of Business and Economics is accepting registration for its Spring 2010 Certificate in Business Administration until Jan. 29. Targeted for people who work full time or who are in graduate or professional school in another field, the 10 three-hour sessions led by distinguished faculty and guest speakers from the college are held on Thursday evenings. The program begins Feb. 4, 2010, and continues through April 15.
Attending all of the sessions earns 27.5 course hours of continuing education credit and a certificate of completion. The registration fee for the 10-week program is $888.
For registration information, call the Gatton College of Business Executive Education Center at (859) 257-8746 or visit gatton.uky.edu/EEC/ Content.asp?PageName=EECCBA.
Bourbon's impact on state economy detailed in study
Kentucky hosts nearly half - 43 percent - of all distilling jobs in the United States. With a high job multiplier of 3.29, distilling creates more spin-off jobs than other signature industries, such as tobacco farming(1.267), horse farms (1.181) and coal mining (2.142).
These and other facts about the Kentucky distilling industry are contained in a study conducted by noted University of Louisville
economist, Paul Coomes.
The study, commissioned by the Kentucky Distillers' Association, was released as the 2010 General Assembly was gaveled into session. It
notes that Kentucky taxes distilled spirits higher than any other open market state except Alaska.
"Kentucky has seven different taxes on every bottle of spirits sold in the state," said KDA President Eric Gregory.
Gregory was in the capitol awaiting word on whether the legislature will take up comprehensive tax reform. Election year politics ordinarily would make that unlikely, but the sour economy and its devastating impact on state revenues have created extraordinary momentum behind efforts to bring Kentucky's tax code into the 21st century.
According to Dr. Coomes' research, distilling ranks fourth out of 244 Kentucky manufacturing industries in total employment and job
multiplier behind automobiles, meatpacking and light trucks/utility vehicles.
Oral history of Lexington law
The Fayette County Bar Association is among 10 groups across the state receiving a project grant from the Kentucky Oral History Commission. The group will interview 10 of its members to build on the historical documentation of not only the FCBA, but also the history of law in Lexington.
Applications sought for tops in workplace flexibility awards
UK's Institute for Workplace Innovation (iWin) is accepting applications for the 2010 Alfred P. Sloan Awards for Business Excellence in Workplace Flexibility. It's part of a national initiative to educate employers about the benefits of flexible workplace practices and recognize employers who are already practicing workplace flexibility.
Applying for the award is free, and takes about 30 minutes. The online application is available at www.iwin.uky.edu. Employers must have been in business for at least one year, and have 10 or more employees.
Applications will be received between January 12 and April 26, 2010.
For more information on the Institute for Workplace Innovation, the "When Work Works" program or the application procedure for awards, visit www.iwin.uky.edu or contact Lee Ann Walton at leeannwalton@uky.edu or (859)
323-0582.
Correction
In our Jan. 8, 2010, edition, the status of equine lending by JP Morgan Chase was incorrectly reported. Chase has not restricted or phased out its equine finance program. JP Morgan Chase central Kentucky president Don Hellmann states: "Chase's equine business grew quite a bit last year, and we have every intention of continuing to prudently grow in 2010 and beyond."