{"data":{"id":"us-ky/krs-143a.025","jurisdiction":"us-ky","citation":"KRS 143A.025","heading":"Natural gas severance incentives.","body":"(1) As used in this section:\n(a) \"Alternative fuel facility\" has the same meaning as in KRS 154.27-010;\n(b) \"Approved company\" has the same meaning as in KRS 154.27-010;\n(c) \"Authority\" has the same meaning as in KRS 154.27-010;\n(d) \"Base amount\" has the same meaning as in KRS 154.27-010;\n(e) \"Capital investment\" has the same meaning as in KRS 154.27-010;\n(f) \"Eligible project\" has the same meaning as in KRS 154.27-010; and\n(g) \"Tax incentive agreement\" has the same meaning as in KRS 154.27-010.\n(2) Notwithstanding any other provision of K RS 134.580 or this chapter, an approved\ncompany that purchases or severs natural gas or natural gas liquids that is subject to the\ntax imposed under KRS 143A.020 and that is specifically used by the approved\ncompany as feedstock for an alternative fuel fac ility described in KRS 154.27 -\n020(4)(d) may be eligible for an incentive under KRS 154.27-060.\n(3) A company approved for incentives under KRS 154.27 -060 shall file a request for the\nincentive with the department within sixty (60) days of the completion of  the\nconstruction, retrofit, or upgrade of the facility. In subsequent years, the approved\ncompany shall file a request for the incentive within sixty (60) days following the end\nof each calendar year. The request for incentives shall be in the form prescr ibed by the\ndepartment through the promulgation of administrative regulations in accordance with\nKRS Chapter 13A. The request for incentives shall include but not be limited to the\nfollowing information:\n(a) Verification of the base amount;\n(b) Verification of the thousand (1,000) cubic foot units (Mcf) of natural gas or\ngallons of natural gas liquids purchased and used or severed and used by the\napproved company as feedstock for an alternative fuel facility during the calendar\nyear for which the request for incentives is being made;\n(c) Verification that the minimum capital investment as set forth in the tax incentive\nagreement has been made;\n(d) Verification of the output of natural -gas-derived or natural gas liquids -derived\nalternative transportation fuel; and\n(e) Any other information that the department may require.\n(4) (a) The department and the authority shall review the request for incentives jointly\nand shall verify that the request for incentives meets all requirements established\nby statute and administrative regulation.\n(b) The department shall verify the tax paid pursuant to KRS 143A.020 on the\nnatural gas and natural gas liquids purchased or severed by the approved\ncompany and used as feedstock for an alternative fuel facility during the calendar\nyear for which the application was submitted and shall determine the amount of\nthe tax paid that qualifies for distribution to the approved company pursuant to\nthis section.\n(c) The incentive amount shall be distributed to the approved company in quarterly\ninstallments beginning on July 1 of the year following the calendar year for\nwhich the request for incentives required under this section was submitted.\n(6) The approved company seeking incentives shall execute information -sharing\nagreements prescribed by the department with vendors from which it purchased natural\ngas and natural gas liquids to verify the value of natural gas and natural gas liquids\npurchased by the approved company and used as feedstock for an alternative fuel\nfacility and the amount of tax paid under KRS 143A.020 on such natural gas and\nnatural gas liquids.\n(7) The department shall notify the authority of the incentive distributed to each approved\ncompany upon request.","path":["KRS Chapter 143A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29252","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:37Z","sha256":"85530c6780f538348c45f1cae83ccff4392a86814900a656f628ba0f80560b84","source_id":"us-ky","stale":false,"prev":"us-ky/krs-143a.020","next":"us-ky/krs-143a.030"},"notice":"GroundRules: Original legal text. Not legal advice."}