{"data":{"id":"us-ky/krs-154.34-010","jurisdiction":"us-ky","citation":"KRS 154.34-010","heading":"Definitions for subchapter.","body":"As used in this subchapter:\n(1) \"Affiliate\" has the same meaning as in KRS 154.32-010;\n(2) \"Agribusiness\" has the same meaning as in KRS 154.32-010;\n(3) \"Alternative fuel production\" has the same meaning as in KRS 154.32-010;\n(4) \"Approved company\" means an eligible company approved unde r KRS 154.34-070\nfor a reinvestment project;\n(5) \"Approved costs\" means the eligible equipment and related costs approved by the\nauthority that may be recovered by an approved company through the incentives\nauthorized by this subchapter;\n(6) \"Authority\" me ans the Kentucky Economic Development Finance Authority\ncreated by KRS 154.20-010;\n(7) \"Capital lease\" has the same meaning as in KRS 154.32-010;\n(8) \"Carbon dioxide or hydrogen transmission pipeline\" has the same meaning as in\nKRS 154.32-010;\n(9) \"Coal se vering and processing\" means activities resulting in an eligible company\nbeing subject to the tax imposed by KRS Chapter 143;\n(10) \"Commonwealth\" means the Commonwealth of Kentucky;\n(11) \"Department\" means the Department of Revenue;\n(12) (a) \"Eligible company\" means any corporation, limited liability company,\npartnership, limited partnership, sole proprietorship, business trust, or any\nother entity:\n1. Employing or intending to employ a mi nimum of twenty -five (25)\npersons on a full-time bases; and\n2. Engaged in or planning to engage in one (1) or more of the following\nactivities:\na. Headquarter operations;\nb. Manufacturing;\nc. Agribusiness;\nd. Nonretail service or technology;\ne. Coal severing and processing;\nf. Alternative fuel, gasification, energy -efficient alternative fuel, or\nrenewable energy production;\ng. Carbon dioxide or hydrogen transmission pipeline operations; or\nh. Hospital operations;\nat the same facility located and operating within the Commonwealth on\na permanent basis for a reasonable period of time preceding the request\nfor approval of a reinvestment project by the authority, including\nfacilities where operations have been temporarily suspended and which\nmeet the standards u nder KRS 154.34 -070 and related administrative\nregulations promulgated by the authority.\n(b) \"Eligible company\" does not include any company for which the primary\nactivity to be conducted within the Commonwealth is:\n1. Forestry;\n2. Fishing;\n3. The provision of utilities;\n4. Construction;\n5. Wholesale trade;\n6. Retail trade;\n7. Real estate;\n8. Rental and leasing;\n9. Educational services;\n10. Accommodation and food services; or\n11. Public administration services;\n(13) (a) \"Eligible equipment and related costs\" means:\n1. Obligations incurred for labor and to vendors, contractors,\nsubcontractors, builders, suppliers, deliverymen, and materialmen in\nconnection with the acquisition, construction, equipping, rehabilitation,\nand installation of a reinvestment project;\n2. The cost of contract bonds and of insurance of all kinds that may be\nrequired or necessary during the course of acquisition, construction,\nequipping, rehabilitation, and installation of a reinvestment project\nwhich is not paid by the vendor, supplier, deliveryman, contractor, or\notherwise provided;\n3. All costs of architectural and engineering services, including estimates,\nplans and specifications, preliminary investigations, and supervision of\nconstruction, rehab ilitation and installation, as well as for the\nperformance of all the duties required by or consequent upon the\nacquisition, construction, equipping, rehabilitation, and installation of a\nreinvestment project;\n4. All costs required to be paid under the ter ms of any contract for the\nacquisition, construction, equipping, rehabilitation, and installation of a\nreinvestment project;\n5. All costs required for the installation of utilities, including but not\nlimited to water, sewer, sewer treatment, gas, electrici ty,\ncommunications, and access to transportation, and including off -site\nconstruction of the facilities paid for by the approved company; and\n6. All other costs of a nature comparable to those described in this\nparagraph.\n(b) \"Eligible equipment and relate d costs\" does not include costs related to the\nreplacement or repair of existing machinery or equipment resulting from\nnormal wear and usage of the machinery or equipment;\n(14) \"Energy-efficient alternative fuel production\" has the same meaning as in KRS\n154.32-010;\n(15) \"Equipment\" means manufacturing machinery equipment, computers, furnishings,\nfixtures, and other assets installed by the approved company as part of the\nreinvestment project;\n(16) \"Final approval\" means the action taken by the authority designating a preliminarily\napproved eligible company as an approved company to receive incentives under\nthis subchapter;\n(17) \"Full-time employee\" means a person who:\n(a) Is required to work a minimum of thirty-five (35) hours per week; or\n(b) Works remotely  away from the reinvestment project if all the following\nconditions are met:\n1. Is a Kentucky resident;\n2. Whose job was created or retained as a result of the reinvestment\nproject; and\n3. Whose payroll is expensed to the reinvestment project;\n(18) \"Gasification production\" has the same meaning as in KRS 154.32-010;\n(19) \"Headquarters\" has the same meaning as in KRS 154.32-010;\n(20) \"Heritage county\" means a county where the county population ranking determined\nby the cabinet under KRS 154.21 -017 scores gre ater than or equal to ninety -seven\n(97);\n(21) \"Hospital\" has the same meaning as in KRS 154.32-010;\n(22) \"Incentives\" means the Kentucky tax credit as prescribed in this subchapter;\n(23) \"Kentucky gross profits\" has the same meaning as in KRS 141.0401;\n(24) \"Kentucky gross receipts\" has the same meaning as in KRS 141.0401;\n(25) \"Leased project\" has the same meaning as in KRS 154.32-010;\n(26) \"Manufacturing\" has the same meaning as in KRS 154.32-010;\n(27) \"Nonretail service or technology\" has the same meaning as in KRS 154.32-010;\n(28) \"Personal protective equipment\" has the same meaning as in KRS 154.32-010;\n(29) \"Preliminary approval\" means the action taken by the authority designating an\neligible company as a preliminarily approved company;\n(30) \"Reinvestment agreement\" means the agreement entered into pursuant to KRS\n154.34-080 between the authority and an approved company with respect to a\nreinvestment project;\n(31) \"Reinvestment project\" means:\n(a) A r einvestment in the facility of an eligible company and in the full -time\nemployees of an eligible company through the acquisition, construction, and\ninstallation of new equipment and, with respect thereto, the construction,\nrehabilitation, and installation of improvements to facilities necessary to\nhouse the new equipment, including surveys; installation of utilities, including\nwater, sewer, sewage treatment, gas, electricity, communications, and similar\nfacilities; or off-site construction of utility extens ions to the boundaries of the\nreal estate on which the facilities are located;\n(b) The expenditure of at least one million dollars ($1,000,000) in eligible\nequipment and related costs for leased projects and at least two million five\nhundred thousand dollars ($2,500,000) in eligible equipment and related costs\nfor all other reinvestment projects; and\n(c) A reinvestment in a facility in order to allow for the production of vital\nmedications, personal protective equipment, or equipment necessary to\nproduce personal protective equipment;\n(32) \"Renewable energy production\" has the same meaning as in KRS 154.32-010; and\n(33) \"Vital medications\" has the same meaning as in KRS 154.32-010.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=57140","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:56Z","sha256":"38d58bf72e183d590793c34d5ea34efd93830e9763bb070b18ab409d4f999848","source_id":"us-ky","stale":false,"prev":"us-ky/krs-154.335","next":"us-ky/krs-154.34-020"},"notice":"GroundRules: Original legal text. Not legal advice."}