{"data":{"id":"us-ky/krs-154.30-060","jurisdiction":"us-ky","citation":"KRS 154.30-060","heading":"Commonwealth Participation Program for Mixed -Use Redevelopment","body":"in Blighted Urban Areas -- Definitions -- Criteria for state participation --\nQualifying expenditures -- Authority review -- Required determinations by the\nauthority -- Pledge limitations -- Tax incentive agreement required.\n(1) The Commonwealth Participation Program for Mixed -Use Redevelopment in\nBlighted Urban Areas is hereby established.\n(2) State participation under this program shall be limited to the support of approved\npublic infrastructure costs and costs associated with land preparation, demolition,\nand clearance determined to be necessary to support private investment or private\ndevelopment projects that benefit the public, where project economics are unable to\nsupport or secure necessary financing to undertake the public improvements, land\npreparation, demolition, and clearance.\n(3) As used in this section:\n(a) \"Mixed-use\" means a project:\n1. That includes at least two (2) qualified uses, each of which comprises at\nleast twenty percent (20%) of the total finished square footage of the\nproposed project or represents at least twenty percent (20%) of the total\ncapital investment; or\n2. That includes at least three (3) qualified uses:\na. One (1) of which comprises at least t wenty percent (20%) of the\ntotal finished square footage of the proposed project or represents\nat least twenty percent (20%) of the total capital investment; and\nb. The remainder of which, when combined, jointly comprise at least\ntwenty percent (20%) of th e total finished square footage of the\nproposed project or represent at least twenty percent (20%) of the\ntotal capital investment;\n(b) \"Qualified use\" means:\n1. Retail;\n2. Residential;\n3. Office;\n4. Restaurant; or\n5. Hospitality; and\n(c) \"Retail\" means an establishment predominantly engaged in the sale of\ntangible personal property subject to the tax imposed by KRS Chapter 139,\nbut shall not include restaurants.\n(4) To be considered for state participation under this program, a project shall:\n(a) Be located in an area that has three (3) or more of the conditions listed in KRS\n65.7049(3)(a), or be a project described in KRS 65.7049(3)(b);\n(b) Be a mixed-use project;\n(c) Represent new economic activity in the Commonwealth;\n(d) Result in a cap ital investment between twenty million dollars ($20,000,000)\nand two hundred million dollars ($200,000,000);\n(e) Not include any retail establishment that exceeds twenty thousand (20,000)\nsquare feet of finished square footage;\n(f) Include pedestrian amenities and public space;\n(g) Result in a net positive economic impact to the Commonwealth, taking into\nconsideration any substantial adverse impact on existing Commonwealth\nbusinesses. The net positive impact shall be certified to the authority as\nrequired by KRS 154.30-030(6)(b); and\n(h) Notwithstanding any provision of this section to the contrary, if a project has a\nresidential use that comprises at least fifty percent (50%) of the total finished\nsquare footage of the proposed project:\n1. The report requir ed in KRS 154.30 -030(2)(a)3.b. shall not be required;\nand\n2. The certification required in KRS 154.30-030(6)(b) and paragraph (g) of\nthis subsection shall not be required.\n(5) The following costs may be recovered pursuant to this section:\n(a) Up to one hun dred percent (100%) of approved public infrastructure costs;\nand\n(b) Up to one hundred percent (100%) of expenses for land preparation,\ndemolition, and clearance necessary for the development to occur.\n(6) The commission shall review the application, the c ertification required by KRS\n154.30-030, and supporting information as provided in KRS 154.30-030.\n(7) The authority shall specifically identify the state taxes from which incremental\nrevenues will be pledged. The authority may pledge up to eighty percent (80%) of\nthe incremental revenues from the identified state tax revenues from the footprint of\nthe project, provided that the maximum amount of incremental revenues that may\nbe pledged for a project during the term of the tax incentive agreement from all\napproved state taxes shall not exceed the costs and expenses determined under\nsubsection (5) of this section.\n(8) As part of the approval process, the authority shall determine the following:\n(a) The footprint of the project;\n(b) That the proposed project m eets the requirements established by subsection\n(4) of this section;\n(c) The maximum amount of approved public infrastructure costs and expenses\nfor land preparation, demolition, and clearance;\n(d) That the local revenues pledged to support the public infrastructure of the\nproject and local revenues pledged to support the overa ll project are of a\nsufficient amount to warrant participation of the Commonwealth in the\nproject;\n(e) The termination date of the tax incentive agreement; and\n(f) Any adjustments to be made to old revenues, in determining incremental\nrevenues during each year of the term of the tax incentive agreement.\n(9) If state income taxes or local occupational licenses taxes are included for a project\nthat includes office space, the authority shall consider the impact of pledging these\ntaxes on the ability to utilize other economic development projects at a later date.\n(10) The pledge of state incremental tax revenues of the Commonwealth by the authority\nshall be implemented through the execution of a tax incentive agreement between\nthe Commonwealth and the agency, ci ty, or county in accordance with KRS\n154.30-070.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=56175","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:55Z","sha256":"fdc3bbfcb9d5fb06596364b2c91b79447a7aa4106190a4b2e058eac5c8398743","source_id":"us-ky","stale":false,"prev":"us-ky/krs-154.30-052","next":"us-ky/krs-154.30-070"},"notice":"GroundRules: Original legal text. Not legal advice."}