PADUCAH, Ky. — Some western Kentucky farmers will receive funds from the state's Tobacco Settlement Trust to begin projects aimed at lessening dependence on tobacco production.

        The money from the state's portion of the tobacco settlement is earmarked at 65 percent for regional and statewide projects and 35 percent for projects in individual counties based on their tobacco dependence, said Penny Cline, spokeswoman for the agricultural policy office.

        “Usually the state dollars are given to projects that have a more regional effect,” she said.

        One of the largest awards in the state, about $940,000 in grants and a $3.8 million low-interest loan, will go to Ballard, Calloway, Graves and Hickman counties to start the Kentucky West Nursery Co-op, which will grow ornamental trees for the wholesale nursery market.

        About 30 farmers from six counties have joined the cooperative, which now holds 60 to 90 acres, Graves County agricultural extension agent Bill Green said. The grants and loans will go for irrigation and planting equipment, planting stock and other start-up necessities.

        Mr. Green said co-op members hope to grow trees that would suit the needs of commercial landscapers, who “need something that looks good fast.” The trees and shrubs would be planted next summer and harvested in two to three years.

        The Purchase Area Aquaculture Co-op will get $100,000. With 56 members raising grain-fed catfish in more than 400 acres of water, the co-op's plant fillets and freezes 5,000 pounds of fish daily for sale to local restaurants and groceries.

        Terrie Rattray, co-op sales and marketing director, said the grant will be used to fund operating costsand added that state parks and prisons have agreed to serve co-op fish, which will help the co-op's economic condition.

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