KRS 154.30-080: Requirement that minimal capital investment be made prior to the

release of incremental revenues -- Escrow account -- Cancellation if agency

fails to meet minimum investment -- Duties of authority to monitor agreements

and track revenues.

(1) (a) Prior to any incremental revenues being released by the Commonwealth for

any project, the authority shall certify that the minimum capital investment has

been made as required by the tax incentive agreement.

(b) Incremental revenues received after th e activation date but prior to

certification of the minimum capital investment shall be retained by the

Commonwealth until the minimum capital investment is certified by the

authority. The incremental revenues shall be released to the agency upon

certification. If the minimum capital investment is not certified within the

time period established by the authority, the incremental revenues shall be

forfeited to the Commonwealth.

(c) The tax incentive agreement shall be canceled and the approved agency shall

not be eligible for incentives if the agency fails to meet the minimum capital

investment established by KRS 154.30-040, 154.30-050, or 154.30-060 on the

activation date.

(2) The authority shall monitor all tax incentive agreements and shall verify for each

project expenditure identified as approved public infrastructure costs and where

applicable, financing costs, approved signature project costs and expenses for land

preparation, demolition and clearance.

(3) The authority and the department shall track th e amount of incremental revenues

released to each agency under each tax incentive agreement.