Fayette County Agribusiness
Thoroughbred Industry
Kentucky, which annually produces more registered foals than any other state, yielded a record number of registered foals in 2006, 10,376, (which was 30.5% of the U.S. Crop) and exceeded its previous high-water mark of 10,118 registered foals in 2000. -- The Jockey Club, 2008
Fayette County is home to two of the largest thoroughbred horse sale agencies in the world -- Keeneland and Fasig-Tipton.
In 2006, they collectively had more than $1.1 billion dollars in thoroughbred sales.
-- Keeneland, Fasig-Tipton
In 2006, Keeneland sold $804.4 million in thoroughbreds.
Today, Lexington is the horse capital of the world. This title is proudly displayed everywhere, from government stationary to local business slogans.
We have this honor because world-renowned horse farms, bloodstock companies, veterinary clinics, sales agencies, and racecourses are located here.
-- The Lane Report, “Not Just a Business Center, June 27, 2006.
Lexington-Fayette County has over 200 horse farms.
-- KY Horse Farm Manager’s Directory, 2004
In 2002, Fayette County’s veterinary payroll was $17.1 million.
-- The Lane Report, Market Review, 2007-2008
The KY thoroughbred industry itself generates over $4 billion dollars each year, and it generates 80,000-100,000 direct and indirect jobs.
--KEEP, 2007
General Agriculture Industries
Yet, Fayette County is not only famous for its thoroughbreds, but also its row crops and livestock.
The Bluegrass Stockyards is also located here in Fayette County, and it largest stockyards East of the Mississippi River.
Kentucky is the largest cattle-producing state east of the Mississippi River. It has over 1.1 million beef cows with an overall cattle inventory of 2.4 million.
Cattle producers generated over $561 million in cash sale receipts last year, and this money supports Kentucky beef-producing farm families.
--The Lane Report, Kentucky Cattlemen's Association, January 2007.
The Bluegrass Region has the largest assembly of
cattle brokers in the United States. Eastern
Livestock, the largest order buyer in the nation, has
offices in Lexington. S&B Cattle Company and Eugene
Barber & Sons are national players that are also based
in Lexington. Business Lexington, 2007.
In 2006, it had over $144 million in cattle sales, and it sold over 245,000 cattle.
--
Bluegrass Stockyards, 2007
In 2005, the sales of Major Crops in Fayette County, including tobacco, corn soybeans, and hay was $12,4 million. -- USDA Annual Report, 2006
As of January 1, 2007 KY had 37,000 sheep and lambs-a 5.7% increase from 2006.
-- KY Farm Bureau, 2006
Overall impact of Fayette County Agribusiness
Employment numbers and value of agriculture production
and processing in Fayette County*
Employees |
Gross Product Generated |
8,542 |
$803 Million |
* Includes farms and ancillary industries, i.e. veterinary services, feed stores, etc.
-- Dr. Timothy Woods, Agri-business Task Force Study, 2005
The Employee withholding tax and payroll tax are major revenue sources for the city.
--
American Farmland Trust, “The Cost for Community Services in Lexington-FayetteCounty Kentucky”, 1999; LFUCG Dept. of Revenue, 2006
LFUCG Dept. of Revenue does not know the amount of tax revenues generated by Fayette County Agribusiness or its related industries.
--
LFUCG Dept. of Revenue, 2006
All in all, agriculture has over a $2 billion impact on the regional economy each year.
--
Dr. Timothy A. Woods, Agri-business Task Force Study, 2005
Agritourism
Farming in Fayette County is not just about cash receipts; it's also about tourism. Agritourism in Fayette County is also a major industry, contributing over a billion dollars each year to the regional economy.
--
The Lexington Convention and Visitor’s Bureau, 2006
60% of tourists visit Lexington to see its farms.
-- The Lexington Convention Visitor’s Bureau, 2006
A remarkable amount of tourists come to Fayette County each year to experience its rural heritage. In 2004, over 1.4 million visitors registered at the KY Horse Park, Keeneland, and the Red Mile.
-- 2005 Dr. Timothy A. Woods-Agribusiness Task Force Study
In 2006, The Kentucky Horse Park hosted nearly 900,000 visitors, 15,000 competition horses, and 100 special events.
– The Kentucky Horse Park, 2007
The 2010 World Equestrian Games is estimated to have a $115 million impact on Lexington-Fayette County.
–The World Equestrian Games Inc., 2007
Employment numbers and tax revenues generated by Fayette County agritourism*:
Local Tax Receipts |
Local Jobs |
| $14.6 Million |
13,130 |
* Lexington Convention and Visitor’s Bureau, 2006
All in all, agritourism activities generate over $1 billion to the regional economy each year.
-- The Lexington Convention and Visitor’s Bureau, 2006
If we don’t expand the urban service boundary at this time, the agriculture/agritourism businesses- a $3 billion industry in Fayette County will thrive, and in turn preserve our cultural heritage and sense of place.
Public’s favorite thing about Lexington is its surrounding landscape.
-- LFUCG Division of Planning Comp. Plan Survey, Spring 2005
Effects of Urban Sprawl on Agribusinesses in Fayette County
Despite these incredible statistics, we are losing the factory floor of the thoroughbred, general agriculture, and agritourism industries in Fayette County to urban sprawl.
Between 1997-2002, we lost 19,508 agricultural acres in Fayette County.
-- 2005 USDA Annual Report.
And it is estimated that we lose 137 acres of prime agricultural land in the inner Bluegrass Region each day to urban sprawl.
-- USA Today, “Houses vs. Horses, November 3, 2005
This troubling trend has not only alarmed the average Lexingtonian, but also the international community.
In 2005, the World Monument Fund designated the inner Bluegrass Region, including Fayette County, as one of the 100 most endangered sites in the world.
-- The Lexington Herald Leader, “A Case For Preservation”, June 22, 2005
It’s clear that Fayette County Bluegrass and its agricultural industries are under attack.
Agriculture is here for one reason- the soil.
Our topography in Fayette County consists of Maury Silt Loam soil associations. These associations are considered prime soils for row crops, equine and livestock production, and pasture land.
-- U.K. Dept. of Landscape Architecture, “The Bluegrass Region: A Finite Resource, 1999.
They are located all of over Fayette County, North South East and West.
- Lower South Elkhorn: 774 acres consisting of prime agricultural or core equine agricultural land.
- Man O’ War: 89% is core equine agricultural or prime agricultural land.
- Old Frankfort Pike: 99% are core equine agricultural or prime agricultural land.
- Ironworks Pike: 37% of land is core equine agricultural or prime agricultural land.
- Avon/I-64: Over 70% is core equine agricultural or prime agricultural land.
- Delong Road/Richmond Road: Over 82% is core equine agricultural or prime agricultural land.
For Fayette County soil map, please click here (image).
For Fayette County soil descriptions, please click here (PDF)
Fayette County Bluegrass is truly a finite geological treasure, and they aren’t making any more of it.
Our farms can’t simply move away and maintain similar livestock quality standards and production rates, when urban sprawl encroaches on their borders.
To move away and cope with urban sprawl will drive many farmers out of business because its tough to make a profit-even under perfect conditions.
For instance, in 2003, average expenses exceeded revenues by $10,000 on Fayette County farms.
--
Dr. Timothy a. Woods, Agri-business Task Force Study, 2005
According to local farmers, urban sprawl and local politicians’ lack of appreciation for the industry are biggest challenges facing farming today.
--
Dr. Timothy a. Woods, Agri-business Task Force Study, 2005
By all accounts, an expansion of the urban service boundary will
undermine Fayette County’s $3 billion dollar agriculture and agritourism industries.
Historic Rural Settlements
The Effects of Urban Sprawl on Rural Settlements
Historic rural settlements such Athens, Jimtown, Uttingertown, Mattoxtown, and Coletown are threatened by encroaching urban development.
Many of these settlements are close the current urban service boundary, and if an expansion goes forward, many will be swallowed up.
Without question, an influx of traffic, noise, and commercial, industrial, and residential development will compromise their historic integrity and sense of place.
The 1996 Rural Land Management Plan recognized this potential problem, and it expressly mandates their preservation.
“Historic rural settlements are an essential part of the rural character of Fayette County, and the rural land management plan requires the preservation and enhancement of these settlements.
-- Pg. IV-30, 1996 Rural Land Management Plan
The Effects of Urban Sprawl on Fayette County farms under easement.
Currently, there are approximately 18,719 agricultural acres under easement in Fayette County.
--
LFUCG Rural Land Management Board, 2006; The Bluegrass Conservancy, 2006.
As many farmers can attest, farming and most forms of development cannot co-exist side by side, and an expansion will make it practically impossible for many to continue farming in an economically feasible fashion.
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