If I live in VA but the occurrences happened in KY do I have to retain an attorney from KY or VA?

That depends on whether you have a basis for jurisdiction in VA.  If so, you would probably prefer to sue there, and would hire a Virginia attorney.  Even if you have to sue in Kentucky, if there is a particular Virginia attorney that you trust, he/she could probably still handle the matter, but you would probably need to also hire local counsel, and I don't know if the matter is large enough to justify the expense.