{"data":{"id":"us-ky/krs-154.21-017","jurisdiction":"us-ky","citation":"KRS 154.21-017","heading":"Kentucky Product Development Initiative of 2024 -- Establishment --","body":"Grant criteria -- County population ranking and local match for eligible\nprojects -- Limitations -- Maximum amount -- Pooling of funds -- Report.\n(1) The Kentucky Product Deve lopment Initiative of 2024 is hereby established under\nthe cabinet. The cabinet shall partner with the Kentucky Association for Economic\nDevelopment to administer the program. The cabinet's administration of the\nprogram includes:\n(a) Creating and making av ailable a standardized grant application and regional\ngrant application;\n(b) Adopting a standardized scoring system pursuant to KRS 154.21-040;\n(c) Reviewing the applications and proposals submitted by the proposed grant\nrecipients;\n(d) Verifying the eligibility of the proposed grant recipients;\n(e) Verifying that the proposed grant recipient seeks grant money for an eligible\nproject prior to prioritizing all eligible projects;\n(f) Determining the county's population ranking under subsection (3) of this\nsection;\n(g) Awarding grants to selected eligible grant recipients in multiple rounds of\nfunding; and\n(h) Compiling and submitting the reports required by subsections (3) and (5) of\nthis section.\n(2) Upon receipt of eligible grant recipients and eligible proj ect recommendations and\nprioritization from the Kentucky Association for Economic Development and the\nthird-party independent site selection consultant, the cabinet shall verify and\nprocess the eligible grant recipients and eligible project recommendations  with the\nintent to approve and award grants under the economic development fund program\npursuant to KRS 154.12-100 and based on the following criteria:\n(a) Consideration of whether the eligible grant recipient had received a grant\naward from the Kentucky Product Development Initiative of 2022 under KRS\n154.21-020; and\n(b) The matching funds for the selected grant recipient's contribution to its\neligible proje ct based on the county population ranking determined under\nsubsection (3) of this section.\n(3) (a) On or before June 1, 2024, and no later than June 1 every two (2) years\nthereafter, the cabinet shall determine a county population ranking for each\ncounty by adding the following two (2) factors:\n1. The population density ranking; and\n2. The ten (10) year percentage change in population ranking.\n(b) The required local match for each county shall be as follows:\n1. Eligible projects in counties where the county  population ranking is\ngreater than or equal to one hundred ninety -three (193) shall provide a\nminimum amount of local matching funds equal to ten percent (10%) of\nthe project cost;\n2. Eligible projects in counties where the county population ranking is le ss\nthan one hundred ninety -three (193) but greater than or equal to one\nhundred forty -five (145) shall provide a minimum amount of local\nmatching funds equal to twelve and one -half percent (12.5%) of the\nproject cost;\n3. Eligible projects in counties where  the county population ranking is less\nthan one hundred forty -five (145) but greater than or equal to ninety -\nseven (97) shall provide a minimum amount of local matching funds\nequal to fifteen percent (15%) of the project cost;\n4. Eligible projects in counties where the county population ranking is less\nthan ninety-seven (97) but greater than or equal to forty -nine (49) shall\nprovide a minimum amount of local matching funds equal to seventeen\nand one-half percent (17.5%) of the project cost;\n5. Eligible projects in counties where the county population ranking is less\nthan forty-nine (49) shall provide a minimum amount of local matching\nfunds equal to twenty percent (20%) of the project cost; and\n6. For eligible projects requesting due diligence as an eligible  use, the due\ndiligence must be completed prior to acquisition of the site. If the due\ndiligence result leads to the decision to not purchase the site, then the\ncabinet may expend up to two hundred thousand dollars ($200,000) with\nno local matching funds required. If the amount to be reimbursed by the\ncabinet exceeds two hundred thousand dollars ($200,000), the cabinet\nshall report to the Interim Joint Committee on Appropriations and\nRevenue, or the Senate Standing Committee on Appropriations and\nRevenue an d the House Standing Committee on Appropriations and\nRevenue, within five (5) days of the disbursement. The report shall\ninclude the name and county location of the eligible project approved,\nthe amount of the grant awarded, the amount of the funding disbu rsed\nfor due diligence and the extenuating circumstances related to the due\ndiligence study.\n(c) On or before July 1, 2024, and no later than July 1 every two (2) years\nthereafter, the cabinet shall report to the Legislative Research Commission\nand the Int erim Joint Committee on Appropriations and Revenue the\nfollowing information for each county:\n1. The county name;\n2. The population density ranking for that county;\n3. The ten (10) year percentage change in population ranking for that\ncounty; and\n4. The county population ranking for that county.\n(d) When awarding grants in this initiative, the cabinet shall not award grants to:\n1. An eligible grant recipient or a group of eligible grant recipients in\nexcess of the amount allocated to the county in which the  county is\nlocated, except when pooled pursuant to subsection (4) of this section;\nor\n2. An eligible grant recipient that received a grant award from the\nKentucky Product Development Initiative of 2022 prior to all other\neligible grant recipients receiving  a grant award from the Kentucky\nProduct Development Initiative of 2024 if the eligible project scores are\nequal to or above the score of an eligible project from an eligible grant\nrecipient who received a grant award from the Kentucky Product\nDevelopment Initiative of 2022 under KRS 154.21 -040, and in the case\nwhere the scores are equal, discretion by the Kentucky Association for\nEconomic Development and the cabinet shall be used.\n(e) The maximum funding available for an approved development project is two\nmillion five hundred thousand dollars ($2,500,000) in a heritage county and\ntwo million dollars ($2,000,000) in any other county, except as permitted by\nsubsection (4) of this section.\n(f) If there are funds available after the first round of grant awards  of the\nKentucky Product Development Initiative of 2024, the cabinet shall initiate\nadditional rounds of grant awards.\n(4) (a) For selected eligible grant recipients that are involved in a regional project,\nthe cabinet may pool the potential allocation of funds available for each\ncounty represented by the eligible grant recipients for the grant amount\nawarded.\n(b) A county that is an eligible grant recipient involved in a regional project shall\nprovide that county's local matching funds based on the county population\nranking determined under subsection (3) of this section and each county's\nlocal matching funds may be pooled as described in paragraph (a) of this\nsubsection.\n(5) Beginning no later than November 1, 2024, and annually thereafter until the\nauthorized appropriation is spent or returned, the cabinet shall compile and submit a\nreport for each application approved by the Kentucky Economic Development\nFinance Authority for the Kentucky Product Development Initiative of 2024. The\nreport shall be electronically delivered to the Legislative Research Commission and\nthe Interim Joint Committee on Appropriations and Revenue and contain the\nfollowing information:\n(a) The name of the applicant, a description of the eligible project, and the\nlocation of each proposed project for which an application was approved;\n(b) The date the application was approved by the Kentucky Economic\nDevelopment Finance Authority;\n(c) The amount of funding authorized for each project approved;\n(d) The total amount of funding disbursed for each project approved; and\n(e) The round of funding for which each project received approval.\n(6) The Kentucky Product Development Initiative of 2024 shall begin July 1, 2024.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57119","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:54Z","sha256":"a92124cffbf8868ed5f98d69a5e8b67402dc4bb150e8ba7fb82f2d39e3d975ac","source_id":"us-ky","stale":false,"prev":"us-ky/krs-154.21-015","next":"us-ky/krs-154.21-020"},"notice":"GroundRules: Original legal text. Not legal advice."}