{"data":{"id":"us-ky/krs-65.7063","jurisdiction":"us-ky","citation":"KRS 65.7063","heading":"Requirements for local participation agreements -- Pledge of incremental","body":"revenues superior to other pledges of revenues.\n(1) A local participation agreement shall be executed among the agencies and taxing\ndistricts involved in administering or providi ng financing or pledging incremental\nrevenues to support the implementation of a development plan in a development\narea. The local participation agreement shall be adopted by a city or county by\nordinance and by any other taxing authority or agency by reso lution, and shall\ninclude but not be limited to the following provisions:\n(a) Identification of the parties to the local participation agreement and the duties\nand responsibilities of each entity under the agreement;\n(b) Specific identification of the incr emental revenues released or pledged, or\nwage assessments pledged by type of tax by each taxing district;\n(c) The anticipated benefit to be received by each taxing district for the release or\npledge, including:\n1. A detailed summary of old revenues collect ed and projected new\nrevenues for each taxing district on an annual basis for the term of the\nlocal participation agreement; and\n2. The maximum amount of incremental revenue to be paid by each taxing\ndistrict and the maximum number of years the payment will be effective;\n(d) A detailed description of the development area, including a legal description\nof the parcels included in the development area;\n(e) A description of each proposed project that is the subject of a local\nparticipation agreement, including an estimate of the costs of construction,\nacquisition, and development;\n(f) A requirement that pledged incremental revenues will be deposited in a\nspecial fund established pursuant to KRS 65.7061, including the timing and\nprocedure for depositing incremental revenues and other pledged amounts into\nthe special fund;\n(g) Terms of default and remedies, provided that no remedy shall permit the\nwithholding by any party to the local participation agreement of any\nincremental revenues pledged to the special fund i f increment bonds are\noutstanding that are secured by a pledge of those incremental revenues;\n(h) The commencement date, activation date, and termination date; and\n(i) Any other provisions not inconsistent with KRS 65.7041 to 65.7083 deemed\nnecessary or appropriate by the parties to the agreement.\n(2) Any pledge of incremental revenues in a local participation agreement shall be\nsuperior to any other pledge of revenues for any other purpose and shall, from the\nactivation date to the termination date set forth in the local participation agreement,\nsupersede any statute, ordinance, or resolution regarding the application or use of\nincremental revenues. An ordinance in conflict with a local participation agreement\nshall not be adopted while any increment bonds secured by that pledge remain\noutstanding. Ordi nances or resolutions pledging incremental revenues on a\nsubordinate basis to any existing pledges may be adopted.","path":["KRS Chapter 65"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=23481","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:49:22Z","sha256":"6b9a0bd54320586580900685093f229f1474344b9fc0a50e18ae227e7ecebb79","source_id":"us-ky","stale":false,"prev":"us-ky/krs-65.7061","next":"us-ky/krs-65.7065"},"notice":"GroundRules: Original legal text. Not legal advice."}