FRANKFORT, Ky. (May 13, 2019) – The Department for Local Government (DLG) has announced a $1,000,000 Community Development Block Grant (CDBG) to Graves County Fiscal Court, on behalf of the Graves County Economic Development Corporation.
The federal funds will contribute to the expansion of GenCanna Global USA, Inc., a Winchester, Ky.-based manufacturer of legal hemp-derived products. The company plans to open its fourth Kentucky industrial hemp facility in Mayfield, Ky. The expansion is expected to create 50 full-time jobs in Graves County. The CDBG funds will allow the development corporation to purchase equipment to lease to GenCanna.
“This grant is just one piece of the puzzle in GenCanna’s expansion, but I’m proud that DLG has been able to play a small role in the project,” DLG Commissioner Sandra K. Dunahoo said. “Not only has GenCanna been committed to creating manufacturing jobs, but it continues to build relationships with Kentucky farmers. It’s gratifying to see companies invest in our Commonwealth and thrive in a growing industry.”
The expansion is expected to cost $60 million, with additional funding provided by the following sources: GenCanna, Waygar Capital, Graves County Economic Development Corporation and CFSB Financing.
GenCanna was founded in 2014, soon after the Agriculture Act of 2014 authorized companies to legally develop hemp in Kentucky. Since then, GenCanna has completed five growing seasons, partnering with Kentucky farmers to produce hundreds of acres of hemp biomass, from which cannabidiol (CBD) is derived. CBD is different from THC, the intoxicant in marijuana.
“I’d like to thank Commissioner Dunahoo and the Department for Local Government for its support of this project,” Rep. Richard Heath said. “Building this new facility is a major undertaking, and every grant dollar secured is a win for Graves County. As Chair of the House Agriculture Committee, I know that the future for companies like GenCanna is incredibly promising. That translates into Kentucky jobs and local investments.”
About the Community Development Block Grant ProgramThe CDBG program, overseen by the U.S. Department of Housing and Urban Development, provides assistance to communities for use in revitalizing neighborhoods, expanding affordable housing and economic opportunities, providing infrastructure and/or improving community facilities and services.
About the Department for Local GovernmentFunds are administered by DLG, an arm of the Office of the Governor dedicated to supporting local officials and communities. To learn more about CDBG and other grant opportunities available through DLG, visit
dlg.ky.gov.
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