Frankfort, Ky. - Governor Paul Patton announced today the preferred site for the 420,000 square foot office building—a new home for the offices of the state Transportation Cabinet—will be ten acres on the north side of Mero Street in downtown Frankfort. Situated between Ann and St. Clair Streets, work could proceed this summer with an anticipated occupancy between 2002 and 2003.

"Placing this building in downtown Frankfort is key to the continued revitalization of the capital city," Patton said. "The addition of the transportation building to downtown on the heels of the opening of the Kentucky History Center, will not only be a boost to the business district, but will sustain ever-growing community pride for Kentucky’s distinctive and unique seat of government."

Patton recently pledged that he intends to ensure that careful consideration is given to the building’s design so that will fit appropriately in the area which, in addition to state offices, consists of small businesses and residences. "This building should make a strong statement about our government and this community," he said. "It’s through the government that we express pride and this building will reflect our pride."

The governor also mentioned his appreciation to local leaders from the public and private sectors for their cooperation and collaboration as the state considered the various sites. "This project depends on the enthusiasm and assistance of so many people who are dedicated to the well-being of downtown Frankfort. I appreciate their guidance and advise and look forward to working with them to make sure this building is a substantial asset to this city."

Total project costs, including site preparation, road and infrastructure improvements in the area and a supporting utility plant is currently estimated at $81.2 million. The General Assembly approved $87 million for the facility during the 1998-99 fiscal year.

The original scope of the project did not include funding for the 1,500-car parking structure that will be located behind the office building that is estimated to cost $16 million. Patton will ask the 2000 General Assembly to fund the garage but design work can proceed.

The Mero Street site was selected over two others that were considered; a downtown location on Holmes Street, where road and infrastructure improvements would have added an additional $8.5 million to the project, and another on the East – West Connector outside the central business district, that would have made the facility less accessible to related offices. The Kentucky Heritage Council, the state’s historic preservation office, worked closely with the Finance and Administration Cabinet to evaluate the Mero Street site. Council staff will continue to work with Finance to document the area and help secure locations for buildings that may be moved. No zoning changes are needed to begin work on the Mero Street site, which should commence early this summer.

A report on property appraisals is due to the Finance and Administration Cabinet by the end of May. Negotiations for property the state needs to complete the project will begin immediately with site development work estimated to begin in the spring of 2,000. Depending upon the method chosen for design and construction, the project will be ready for occupancy between the spring of 2002 and the summer of 2003.

Transportation offices are now located in the State Office Building, which has been slated for renovation for several years. The work was halted when asbestos removal complicated restoration and estimates indicated that it would cost the state less to vacate the building completely before work resumed.

New space for the Kentucky Higher Education Assistance was being considered as part of a package that included the transportation building but plans for that facility are still under consideration.