Acting state jobs chief resigns; Bevin hasn’t filled position

Erik Dunnigan is resigning as acting secretary of the Kentucky Economic Development Cabinet, effective Nov. 16.

Seventeen months after former Economic Development Secretary Larry Hayes announced his retirement in the administration of Democratic Gov. Steve Beshear and 10 months into Gov. Matt Bevin’s Republican administration, Kentucky still does not have a full-time economic development secretary.

Dunnigan, of Lexington, submitted his letter of resignation to Bevin last week to take a job in the private sector, cabinet spokesman Joe Lilly said Tuesday. Lilly said Dunnigan took his name out of consideration for the permanent position.

Lilly also said “the situation is close to wrapping up” for Bevin to name a full-time secretary to oversee the cabinet that tries to create jobs in Kentucky.

The $250,000-a-year job to attract new industries and help existing companies expand has not been filled since last November, when Hayes retired after seven years in the position. He had announced his retirement in May 2015.

Beshear, whose administration ended last December, passed up the opportunity to replace Hayes before leaving office and left the decision to Bevin.

Dunnigan, who had been deputy secretary under Hayes, would not comment last month on whether he would like the job full time.

Lilly declined to say what job Dunnigan is taking and where it is located. Dunnigan could not be reached for comment.

Bevin press secretary Amanda Stamper said Tuesday that the governor is “proud of the progress that has been made under Secretary Dunnigan and he is totally committed to economic development in Kentucky.”

The Economic Development Partnership Board, a 15-member board that oversees the cabinet, will continue its search for a permanent secretary, Lilly said.

The board is to submit the names of three finalists to the governor. The governor may choose the permanent secretary from the list or ask the board to submit three additional names.

Lilly said he did not know if the board will submit a list of names to the governor before Dunnigan leaves.

Asked what would happen if the board has not acted and no one is named permanent secretary before Dunnigan departs, Lilly said, “I expect something soon.”

The Herald-Leader reported last month that Daniel Logan, head of the Oxford, Miss.-based Logan Development Group, said the state has taken too long in naming a full-time secretary. His firm identified several candidates for the job for both Beshear and Bevin to consider.

This story was originally published October 25, 2016 at 6:05 PM with the headline "Acting state jobs chief resigns; Bevin hasn’t filled position."