Kentucky/EZFeed Policies

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EZ Feed Policies for Kentucky

Download EZFeed Policies for Kentucky CSV (rows 1 - 44)

Policy Place Policy Type Active Affected Technologies Implementing Sector Summary
Alternate Energy Development Fund (Kentucky) Kentucky Industry Recruitment/Support No Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Solar Photovoltaics
Wind energy
State/Province Kentucky Administrative Regulations Title 115 chapter 2 establishes the alternative energy development fund under the authority of the Kentucky Energy Cabinet. The goal for the use of the alternate energy development fund is to encourage and promote the development, implementation and construction of alternate energy projects in the Commonwealth. Funding cycle(s) during which applications will be received for the program will be announced. A deadline for proposals will be established and advertised through appropriate newspapers to effect statewide coverage. Interested parties will be notified about the program upon request to the Kentucky Energy Cabinet. In addition workshops to explain the program are anticipated and will be held as appropriate. More than one (1) funding cycle is anticipated, but this will be dependent upon the continued existence of available funds for the program. Each loan and/or grant proposal must involve the research, development, implementation, operation and/or construction of an alternate energy project. Also, projects of renewable resources must be designated within one (1) or more of other categories: Biomass, Geothermal, Hydropower, Solar and Wind. Proposals must detail all costs and financing information. To insure proper use of funds, successful applicants will be held accountable for project expenses in a manner acceptable to the Kentucky Energy Cabinet. Records, receipts, and vouchers, etc., for the selected projects are subject to audit. Documentation of reliable credit must be furnished with all loan applications. A separate bank account for each project is required. A grant or loan recipient will be required to submit to the Kentucky Energy Cabinet quarterly reports on projects in progress and a final report within three (3) months after completion of the project. Quarterly reports following a format designated by the Kentucky Energy Cabinet will show progress of project, schedule, and financial activities. The final report will emphasize results and other activities associated with the project. The Kentucky Energy Cabinet anticipates that new technology and considerable valuable data will be generated through the use of program funds. The cabinet encourages inventors to seek patents for and to commercialize their inventions and technology. The cabinet will not interfere with an inventor seeking patent protection, but the inventor will be responsible for filing and prosecution of any patent applications. The Kentucky Energy Cabinet reserves the right to use and disseminate all information, data, and technology derived from use of program funds to the extent such information and technology is not protected by any claim of confidentiality. Any data which are released from confidential status may then be used or disseminated by the cabinet in any way it deems appropriate.
Alternative Fuel Production Facility Incentives (Kentucky) Kentucky Corporate Tax Incentive Yes Biomass/Biogas
Coal with CCS
Natural Gas
State/Province The Kentucky Economic Development and Finance Authority (KEDFA) provides tax incentives to construct, retrofit, or upgrade an alternative fuel production or gasification facility that uses coal or biomass as a feedstock. Beginning Aug. 1, 2010, tax incentives are also available for energy-efficient alternative fuel production facilities and up to five alternative fuel production facilities that use natural gas or natural gas liquids as a feedstock. Energy-efficient alternative fuels are defined as homogeneous fuels that are produced from processes designed to densify feedstocks such as coal, waste coal, or biomass resources, and have an energy content that is greater than the feedstock. The incentives may consist of: 1) a refund of up to 100 percent of the state sales tax paid on the purchase of personal property used to construct the facility; 2) a credit of up to 100 percent of an approved company's state income tax and limited liability entity tax that is generated by the project; 3) up to 4 percent of the wage assessment of employees whose jobs were created as a result of the construction, retrofit, upgrade or operation of a qualified facility; and 4) a credit for up to 80 percent of the severance tax paid for coal, natural gas, or natural gas liquids used as a feedstock. The incentives expire at the time of receipt of the authorized incentives or 25 years from activation of the project, whichever occurs first. Approved companies may recover up to 50 percent of their capital investment through the authorized tax incentives. The minimum capital investment for incentive eligibility is $25 million for an alternative fuel or gasification facility that uses biomass as the primary feedstock; $100 million for an alternative fuel or gasification facility that uses coal, natural gas, or natural gas liquids as the primary feedstock; and $25 million for an energy-efficient alternative fuel facility.
Biodiesel Production and Blending Tax Credit (Kentucky) Kentucky Corporate Tax Incentive Yes Biomass/Biogas State/Province blended biodiesel does not qualify. The biodiesel tax credit is applied against the corporation income tax imposed under KRS 141.040 and/or the limited liability entity tax (LLET) imposed under KRS 141.0401. The amount of the tax credit claimed against the corporation income tax and LLET can be different. The total amount of credit for all biodiesel producers may not exceed the annual biodiesel tax credit cap of $10 million. Unused credits may not be carried forward. For the purpose of this credit, biodiesel must meet ASTM specification D6751. Renewable diesel is defined as a renewable, biodegradable, non-ester combustible liquid derived from biomass resources that meets ASTM specification D975 or D396. The Kentucky Administrative regulation KAR 15:140. Biodiesel tax credit outlines the credit information administered byKentucky Department of Revenue.
CO2 Geologic Storage (Kentucky) Kentucky Industry Recruitment/Support Yes Coal with CCS State/Province Division staff, in partnership with the Kentucky Geological Survey (KGS), continued to support projects to investigate and demonstrate the technical feasibility of geologic storage of carbon dioxide (CO2) in Kentucky. In 2012, KGS conducted a test of carbon dioxide enhanced natural gas recovery in the Devonian Ohio Shale, Johnson County, east Kentucky. During the test, 87 tons of CO2 were injected through perforations in a cased, shut-in shale gas well. Industry partners for this research included Crossrock Drilling, Advanced Resources International, Schlumberger, Ferus Industries, and Nabors Well Services. Pre- and post-test data are being analyzed to assess the results of the experiment. Additionally, a request for proposals was issued for drilling and testing a deep well on property owned by Hanson Aggregates, Carter County, east Kentucky. Contracts are being finalized with site construction and drilling expected to begin in January, 2013. As proposed, the well will be drilled to a total depth of 4,800 feet to test the Cambrian Knox Group dolomite and Mt. Simon sandstone and identify the primary seals to ensure stored CO2 will remain in deep reservoirs (no CO2 will be used in this test well). Reservoir data will also be acquired for other potential storage zones and sealing units. The Division of Carbon Management’s goal is to investigate, develop, and promote technical solutions for carbon capture, storage and reuse; and to engage with state, regional and federal agencies in the development of state policy designed to man¬age greenhouse gas emissions, especially carbon dioxide, in a carbon constrained environment. The division has oversight in implementing Strategy 6 of the Governor’s energy plan.
Carbon Capture Pilots (Kentucky) Kentucky Industry Recruitment/Support Yes Coal with CCS State/Province Support for the Carbon Management Research Group (CMRG), a public/private partnership consisting of most of the Commonwealth’s utilities, the Electric Power Research Institute, the Center for Applied Energy Research (CAER), and the Department for Energy Development and Independence (DEDI), continues by the division. The program is broken into 9 project areas with 6 projects devoted to fundamental research, 2 projects devoted to pilot scale research and one project for a semi-commercial slip stream CO2 capture system. The 9 projects are geared towards addressing the most pertinent issues facing the wide scale deployment of CO2 capture systems for post-combustion applications. In 2011, CAER was awarded a U.S. DOE cooperative agreement which will allow CMRG to pursue the project for a semi-commercial slip stream CO2 capture system, with substantial federal funding and involvement.
Chapter 10 Water Quality Standards (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province This administrative regulation establishes procedures to protect the surface waters of the Commonwealth, and thus protect water resources. It states the designated uses of surface water and establishes a methodology to implement the antidegradation policy. The regulation establishes water quality standards that consist of designated legitimate uses of the surface waters of the commonwealth and the associated water quality criteria necessary to protect those uses. These water quality standards are minimum requirements that apply to all surface waters in the commonwealth of Kentucky in order to maintain and protect them for designated uses.
Chapter 30 Waste Management: General Administrative Procedures (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Energy Storage
Fuel Cells
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province The waste management administrative regulations apply to the disposal of solid waste and the management of all liquid, semisolid, solid, or gaseous waste defined or identified as hazardous in KRS Chapter 224 or the appropriate administrative regulations by all persons and state and federal agencies who engage in the generation, treatment, storage, or disposal of wastes, including hazardous substances spilled into the environment, that meet the criteria of hazardous waste. The regulation also sets forth the minimum environmental performance standards with which all waste sites or facilities shall comply. According to KRS Chapter 224, "Hazardous waste" means any discarded material or material intended to be discarded or substance or combination of such substances intended to be discarded, in any form which because of its quantity, concentration or physical, chemical or infectious characteristics may cause, or significantly contribute to an increase in mortality or an increase in serious irreversible, or incapacitating reversible, illness or pose a substantial present or potential hazard to human health or the environment when improperly treated, stored, transported, or disposed of, or otherwise managed. 
Chapter 31 Identification and Listing of Hazardous Waste (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Energy Storage
Fuel Cells
Natural Gas
Nuclear
Solar Photovoltaics
State/Province This administrative regulation establishes the general provisions necessary for identification and listing of a hazardous waste. The regulation also establishes the criteria for identifying the characteristics of hazardous waste and the criteria for listing a hazardous waste. "Hazardous waste" means any discarded material or material intended to be discarded or substance or combination of such substances intended to be discarded, in any form which because of its quantity, concentration or physical, chemical or infectious characteristics may cause, or significantly contribute to an increase in mortality or an increase in serious irreversible, or incapacitating reversible, illness or pose a substantial present or potential hazard to human health or the environment when improperly treated, stored, transported, or disposed of, or otherwise managed. 
Chapter 32 Standards Applicable to Generators of Hazardous Waste (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Energy Storage
Fuel Cells
Natural Gas
Nuclear
State/Province This administrative regulation establishes procedures to establish the applicable general provisions for generators of hazardous waste. It also establishes recordkeeping and reporting standards. This administrative regulation is equivalent to corresponding federal requirements except an annual report is required rather than a biennial report.
Chapter 37 Hazardous Waste Land Disposal Restrictions (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Energy Storage
Fuel Cells
Natural Gas
Nuclear
State/Province This administrative regulation establishes requirements for land disposal of hazardous waste. These include- surface impound exemptions, prohibitions on disposal and storage and treatment standards. This administrative regulation differs from the corresponding federal regulation in Section 8 of this administrative regulation, which has Kentucky specific information regarding standards to control metal emissions.
Chapter 38 Hazardous Waste Permitting Process (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Energy Storage
Fuel Cells
Natural Gas
Nuclear
State/Province This administrative regulation establishes the general provisions for storage, treatment, recycling, or disposal of hazardous waste. It provides information about permits and specific requirements for containers, tanks, surface impoundments, waste piles, equipment and air emissions control for tanks, surface impoundments and containers.
Chapter 47 Solid Waste Facilities (Kentucky) Kentucky Environmental Regulations
Fees
Siting and Permitting
Yes Biomass/Biogas State/Province This chapter establishes the permitting standards for solid waste sites or facilities, the standards applicable to all solid waste sites or facilities, and the standards for certification of operators. This administrative regulation sets forth the classification of solid waste sites or facilities for permitting purposes. The regulation applies specifically to landfills. It also provides information about permits, solid waste permit fees from the Kentucky Division of Waste Management and the Kentucky Department for Environmental Protection. By-products from coal mining are excluded from the definition of solid waste.
Chapter 50 Division for Air Quality: General Administrative Procedures (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Natural Gas
Nuclear
State/Province Chapter 50 of the Division of Air Quality section within Energy and Environment Cabinet Department For Environmental Protection outlines the general administrative procedures for maintaining air quality standards. These procedures are created in adherence to 42 USC 7410 which requires the state to implement standards for national primary and secondary ambient air quality. All major sources of VOCs located in a county or portion of a county which is designated ozone nonattainment, for any nonattainment classification except marginal, under 401 KAR 51:010, shall install and use control technology which is reasonable and available. If no Control Techniques Guidelines Document is appropriate, the lowest emission limit that a particular source is capable of meeting by the application of control technology that is reasonably available considering technological and economic feasibility. The cabinet may require technology that has been applied to similar, but not necessarily identical source categories. In the absence of a standard specified in these administrative regulations, all major air contaminant sources shall as a minimum apply control procedures that are reasonable, available, and practical. Nothing in these administrative regulations is intended to permit a practice which is in violation of a statute, ordinance, or administrative regulation. These administrative regulations shall be complementary to each other, and to other administrative regulations adopted by the cabinet. If a provision of these administrative regulations or the application thereof to a person or circumstance is held to be invalid, the invalidity shall not affect other provisions or application of another part of these administrative regulations and to this end each provision of these administrative regulations and the various applications thereof are declared to be severable. Except as provided by 401 KAR 50:055, nothing in these administrative regulations shall allow a source to remove control equipment or discontinue procedures previously required in a nonattainment area to achieve the national ambient air quality standards until a state implementation plan containing different requirements has been approved by the U.S. EPA. For the purpose of applying the definition of modification, an increase in the amount of an air pollutant shall be determined as in 40 CFR 60.14.
Chapter 51 Attainment and Maintenance of the National Ambient Air Quality Standards (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Natural Gas
Nuclear
State/Province Kentucky Administrative Regulation Chapter 51, entitled Attainment and Maintenance of the National Ambient Air Quality Standards, is promulgated under the authority of the Division of Air Quality within the Energy and Environment Cabinet’s Department for Environmental Protection. This administrative regulation establishes the general provisions as related to new air pollution sources with respect to the prevention of significant deterioration of air quality and construction of stationary sources impacting on nonattainment areas. The purpose of chapter 51 is to prevent the significant deterioration of air quality in areas of the state where the air quality is better than the ambient air quality standards outlined in 401 KAR 53:010; and to provide conditions for the construction of new or modified sources which would impact on nonattainment areas in order that major or new or major modified sources will not exacerbate existing violations of the ambient air quality standards. These regulations state that the owner of an affected facility subject to this chapter shall be subject to the performance testing regulations found in 401 KAR 59:005, section 2. The owner or operator of an affected facility subject to this chapter is also subject to the notification and recordkeeping provisions found in 401 KAR 59:0005, Section 3. The Cabinet, as defined by KRS 224.01-010(9), may require the owner or operator of an affected facility subject to this chapter to install, calibrate, maintain, and operate continuous emission monitoring systems. All such emission monitoring systems shall be subject to the provisions of 401 KAR 59:005, Section 4, and other provisions as the cabinet deems necessary. "Affected facility" means an apparatus, building, operation, road, or other entity or series of entities that emits or may emit an air contaminant into the outdoor atmosphere. These regulations also cover the NOx requirements for stationary internal combustion engines, NOx requirements for large utility and industrial boilers, NOx credits for early reduction and emergency, Banking and trading if NOx allowances, NOx opt-in provisions, CAIR Ox Annual Trading Program, CAIR NOx ozone season trading program and the CAIR SO2 Trading Program.
Chapter 52 Air Quality: Permits, Registrations, and Prohibitory Rules (Kentucky) Kentucky Environmental Regulations
Siting and Permitting
Yes Biomass/Biogas
Coal with CCS
Natural Gas
Nuclear
State/Province Kentucky Administrative Regulation Chapter 52, entitled Air Quality: Permits, Registrations, and Prohibitory Rules, is promulgated under the authority of the Division of Air Quality within the Energy and Environment Cabinet’s Department for Environmental Protection. Chapter 52 outlines the permitting requirements for all air pollution sources within the state; the chapter includes application procedures, the application review process, the necessary steps to maintain and renew permits, and the monitoring, notification and maintenance standards for all air pollution sources. The following permits are covered in chapter 52: Title V permits, Federally enforceable permits for nonmajor sources, State-origin permits, Permit Applications Forms and Acid rain permits. Chapter 52 also outlines the review process which has public, state and EPA (federal) phases.
Chapter 53 Ambient Air Quality (Kentucky) Kentucky Environmental Regulations
Safety and Operational Guidelines
Yes Biomass/Biogas
Coal with CCS
Natural Gas
Nuclear
State/Province Kentucky Administrative Regulation Chapter 53, entitled Ambient Air Quality, is promulgated under the authority of the Division of Air Quality within the Energy and Environment Cabinet’s Department for Environmental Protection. Chapter 53 sets the air quality standards for pollutants regulated under the federally mandated Clean Air Act. The purpose of the primary ambient air quality standards is to define levels of air quality that the cabinet judges are necessary, with an adequate margin of safety, to protect the public health. Secondary ambient air quality standards define levels of air quality which the cabinet judges necessary to protect the public welfare from any known or anticipated adverse effects of a pollutant. Chapter 53 implements the federal standard for all air pollutants and requires that Within sixty (60) days of promulgation or revision of any ambient air quality standard by the U.S. EPA, the cabinet shall initiate proceedings to promulgate or review this administrative regulation in conformance with the federal ambient air quality standards.
Chapter 63 Air Quality: General Standards of Performance (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province Kentucky Administrative Regulation Chapter 63, entitled Air Quality: General Standards of Performance, is promulgated under the authority of the Division of Air Quality within the Energy and Environment Cabinet’s Department for Environmental Protection.

Chapter 63 adopts the National Emission Standards for Hazardous Air Pollutants (NESHAP) codified in 40 C.F.R. 63.1 through 63.56, 63.70 through 63.81, and 63.100 through 63.11434. Delegation of implementation and enforcement authority for the federal NESHAP program from the United States Environmental Protection Agency to the Commonwealth of Kentucky is provided under 42 U.S.C. 7412(l).

Reasonable precautions must be taken to prevent particulate matter from becoming airborne from any material handled, processed, transported, or stored; or from a building or its appurtenances to be constructed, altered, repaired, or demolished, or a road to be used.

When dust, fumes, gases, mist, odorous matter, vapors, or any combination escape from a building or equipment that cause a nuisance or violate any administrative regulation, the Secretary may order that the building or equipment in which processing, handling and storage are done be tightly closed and ventilated in such a way that all air and gases and air or gas-borne material leaving the building or equipment are treated by removal or destruction of air contaminants before discharge to the open air.

Persons responsible for a source from which hazardous matter or toxic substances may be emitted must provide the utmost care and consideration, in the handling of these materials, to the potentially harmful effects of the emissions resulting from such activities.

Facilities may not emit potentially hazardous matter or toxic substances in such quantities or duration as to be harmful to the health and welfare of humans, animals and plants. Evaluation of such facilities as to adequacy of controls and/or procedures and emission potential will be made on an individual basis by the cabinet.
Clean Coal Incentive Tax Credit (Kentucky) Kentucky Property Tax Incentive Yes Coal with CCS State/Province Clean Coal Incentive Tax Credit provides for a property tax credit for new clean coal facilities constructed at a cost exceeding $150 million and used for the purposes of generating electricity. Before the credit is given, the Environmental and Public Protection Cabinet must certify that a facility is reducing emissions of pollutants released during electric generation through the use of clean coal equipment and technologies. The amount of the allowable credit is $2 per ton of eligible coal purchased that is used to generate electric power at a certified clean coal facility. The credit shall not be carried forward and must be used on the tax return filed for the period during which the eligible coal was purchased.
Climate Action Plan (Kentucky) Kentucky Climate Policies Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province The Commonwealth of Kentucky established the Kentucky Climate Action Plan Council (KCAPC) process to identify opportunities for Kentucky to respond to the challenge of global climate change while becoming more energy efficient, more energy independent, create jobs and spur economic growth. Recognizing the interconnectedness of energy, environment and economic development, in June of 2009 Governor Steven L. Beshear created the Kentucky Energy and Environment Cabinet (EEC). Three departments within the EEC — Department for Environmental Protection, Department for Natural Resources and Department for Energy Development and Independence — are participating in the Kentucky Climate Action planning process.
Coal Mining Regulations (Kentucky) Kentucky Environmental Regulations
Siting and Permitting
Yes Coal with CCS State/Province Kentucky Administrative Regulation Title 405 chapters 1, 2, 3, 5, 7, 8, 10, 12, 16, 18 and 20 establish the laws governing coal mining in the state. The Department of Natural Resources under the authority of the Energy and Environment Cabinet is responsible for enforcing these laws and assuring compliance with the 1977 Federal Surface Mining Control Act (SMCRA). The Division of Mine Reclamation and Enforcement is responsible for inspecting all surface and underground coal mining permits in the state. The Division of Mine permits is responsible for issuing all permits related to coal mining. The Division of Abandoned Mine Lands is responsible for ensuring that all mines are properly closed down and will not pose a threat to the public once they are closed. All certifications and mining specialties, as established by the Kentucky Mining Board, must be signed by the Director (KOMSL) verifying the holder has completed the requirements for certification. All coal miners must be drug tested prior to being issued any new certification. New miners must have 24 hours of training and pass a written exam before being eligible for employment at a surface mine. Workers at prep plants, rail sidings, and river terminals must also meet those training requirements. The inexperienced miner must work a minimum of 45 days at a surface mine before becoming a certified experienced miner. After the initial training, each surface mine employee is required to receive eight hours of retraining annually. To obtain a Surface Mine Foreman Certification, a miner must have three years of surface mining experience achieved after age 18. To obtain certification, a surface mine foreman must specialize in either coal extraction or post mining activities (coal preparation or coal handling). The applicant must have at least one year of practical experience in the specialty category. To become a blaster in a surface coal mine, the applicant must attend 30 hours of training and pass both a licensing and certification test. Two years of additional work experience under a licensed blaster is required. The federal Surface Mining Control and Reclamation Act of 1977 (SMCRA) established authority for the AML Fund. Production fees of $0.325 per ton for surface-mined coal and $0.125 per ton for underground-mined coal are collected from coal producers at all active coal mining operations.
Community Development Block Grant/Economic Development Infrastructure Financing (United States) United States Grant Program
Loan Program
Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Natural Gas
Nuclear
Tidal Energy
Wave Energy
Wind energy
Biomass/Biogas
Hydroelectric energy
Hydroelectric (Small)
Solar Photovoltaics
Federal Community Development Block Grant/Economic Development Infrastructure Financing (CDBG/EDIF) provides public infrastructure financing to help communities grow jobs, enable new business startups and expansions for existing businesses. State programs help achieve the national objective of CDBG by funding projects in which at least 51 percent of the new jobs created are made available to low and moderate income individuals. The maximum amounts awarded under the program are $1 million for new businesses locating to the state and $500,000 for existing businesses expanding in the state.
Direct Loan Program (Kentucky) Kentucky Loan Program Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province The Direct Loan Program, is designed to allow businesses to obtain the long term financing needed to encourage growth. The Kentucky Economic Development Finance Authority (KEDFA) may participate in projects with loans ranging from $25,000 to $500,000. The amount of KEDFA participation is dependent on the project fixed asset cost. To participate, project owners must inject a minimum of 10% toward the fixed assets.
Enterprise Fund (Kentucky) Kentucky Loan Program Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Natural Gas
Nuclear
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province The Kentucky Enterprise Fund (KEF) is a state-sponsored, venture capital-like fund that invests in Kentucky-based seed and early stage technology companies. KEF supports the development of entrepreneurial technology companies in Kentucky, stimulates private investment in these companies, and spurs economic growth.

Companies seeking funding from KEF go through a rigorous due diligence process and are judged in terms of industry fit, return on investment, and potential for economic development. The accepted use of funds and additional details on KEF may be found in the KEF Guidelines. Companies may apply for a grant of $30,000 or an initial investment of up to $250,000. Restrictions and repayment conditions may apply (see below).

In order to be eligible for KEF Funding/Investments, companies must:

Be a high-growth, early stage company developing a product, process, or service in an industry of bioscience, environmental and energy technologies, human health and development, information technology and communications or materials science and advanced manufacturing. The company must have its principal place of business in Kentucky or at least 50% of its property and payroll in Kentucky. The company must be organized as a C Corporation or as a Limited Liability Company to be eligible for an investment.
Ethanol Production Tax Credit (Kentucky) Kentucky Corporate Tax Incentive Yes Biomass/Biogas State/Province Qualified ethanol producers are eligible for an income tax credit of $1 per gallon of corn- or cellulosic-based ethanol that meets ASTM standard D4806. The total credit amount available for all corn and cellulosic ethanol producers is $5 million for each taxable year. Unused ethanol credits from one ethanol-based cap, such as corn, may be applied to another ethanol-based cap, such as cellulosic, in the same taxable year. Unused credits may not be carried forward. Kentucky statute information regarding alternative fuel producer tax credits can be found within KRS Chapters 141.422-141.430.
Forestry Policies (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas State/Province Kentucky's forests are managed by the State Energy and Environment Cabinet, Department of Natural Resources, Division of Forestry. In 2010 the Division completed its Statewide Assessment of Forest Resources and Strategy:

http://forestry.ky.gov/landownerservices/pages/forestlandassessment.aspx

The document identifies several goals with respect to forest biomass for energy. The document does not directly create legislation in that regard, but does identify financial assistance as the most effective way to promote new markets such as woody biomass and alternative energy markets and aims to work with legislators to develop such incentives. Objective 2.3 of the Forest Management Strategy is to "Promote the economic and environmental sustainability of Kentucky’s forests for meeting renewable energy needs through certification systems, utilization of biomass, and monetizing of ecosystem services." and more specifically, Tactic 2.3.1 reads "Provide technical and financial assistance to private forest landowners who provide sustainable renewable resources for energy production from woody biomass and to the forest products industry. Obtain funding for additional division staff to provide this assistance.", with a target completion date of 2012. And finally, Tactic 1.1.6 calls for additional funding to "Promote Kentucky’s role in renewable energy production from woody biomass to leverage funding opportunities for forest landowners." The document also sets goals of developing educational resources for foresters related to biomass energy, to be completed by 2015.

In 2011, the Division issued its "Recommendations for the Harvesting of Woody Biomass", a summary of criteria for the sustainable production of woody biomass to help the state diversify its energy portfolio:

http://forestry.ky.gov/Documents/Biomass%20Harvsting%20Recommendations%20Oct%202011.pdf
Interstate Mining Compact Commission (multi-state) Alabama
Arkansas
Illinois
Indiana
Kentucky
Louisiana
Maryland
Missouri
New York
North Carolina
North Dakota
Ohio
Oklahoma
Pennsylvania
South Carolina
Tennessee
Texas
Virginia
West Virginia
Safety and Operational Guidelines
Siting and Permitting
Yes Coal with CCS
Natural Gas
Nuclear
State/Province The Interstate Mining Compact is a multi-state governmental agency / organization that represents the natural resource and related environmental protection interests of its member states. Currently, 23 states are members to the compact, and 6 additional states are associate members. The compact is administered by the Interstate Mining Compact Commission, which does not possess regulatory powers but “provides a forum for interstate action and communication on issues of concern to the member states” and thus aids the development of effective regulatory programs and environmental protection initiatives. The Commission exercises several powers on behalf of the states, all of which are of a study, recommendatory or consultative nature. The Commission does not possess regulatory powers, as some Compacts do. The Commission provides a forum for interstate action and communication on issues of concern to the member states. It is the potential to stimulate the development and production of each state's mineral wealth through effective regulatory programs that draws many of the states together in the prosecution of the Commission's work. Given the environmental sensitivities associated with this objective, a significant portion of the Commission's work is dedicated to the environmental protection issues naturally associated with this mineral development. It is the significant value and clout that comes from "compacting" together and speaking with a strong, united voice that can make a difference in each state's efforts to implement effective regulatory programs that will conserve natural resources and secure a vibrant state (and thus national) mineral economy.
Interstate Oil and Gas Conservation Compact (Multiple States) Alabama
Alaska
Arizona
Arkansas
California
Colorado
Florida
Georgia
Idaho
Illinois
Indiana
Kansas
Kentucky
Louisiana
Maryland
Michigan
Mississippi
Montana
Nebraska
Nevada
New Mexico
New York
North Dakota
Ohio
Oklahoma
Pennsylvania
South Dakota
Texas
Utah
Virginia
West Virginia
Wyoming
Environmental Regulations Yes Coal with CCS
Natural Gas
Biomass/Biogas
State/Province The Interstate Oil and Gas Compact Commission assists member states efficiently maximize oil and natural gas resources through sound regulatory practices while protecting the nation's health, safety and the environment.

The Commission serves as the collective voice of member governors on oil and gas issues and advocates states' rights to govern petroleum resources within their borders.

The Commission formed the Geological CO2 Sequestration Task Force, which examines the technical, policy and regulatory issues related to safe and effective storage of CO2 in the subsurface (depleted oil and natural gas fields, saline formations and coal beds).

The Commission also funds research on hydraulic fracking, reusing water used in extracting oil and gas, and makes recommendations on national energy policies and statutes for individual states.

The Commission also has several associate states: North Carolina, South Carolina, Georgia, Tennessee, Missouri, Idaho, Oregon and Washington. In addition, it has international affiliations with the Canadian provinces of Alberta, British Columbia, New Brunswick, Newfoundland and Labrador, Nova Scotia, Saskatchewan, and the Yukon.
KRS Chapter 278: Electric Generation and Transmission Siting (Kentucky) Kentucky Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province No person shall commence to construct a merchant electric generating facility until that person has applied for and obtained a construction certificate for the facility from the Kentucky State Board on Electric Generation and Transmission. The construction certificate shall be valid for a period of two years after the issuance date of the last permit required to be obtained from the Energy and Environment Cabinet after which the certificate shall be void. The certificate shall be conditioned upon the applicant obtaining necessary air, water, and waste permits. If an applicant has not obtained all necessary permits and has not commenced to construct prior to the expiration date of the certificate, the applicant shall be required to obtain a valid certificate from the board.
KRS Chapter 278: Natural Gas (Kentucky) Kentucky Safety and Operational Guidelines Yes Natural Gas State/Province The Public Service Commission may, by rule or order, authorize and require the transportation of natural gas in intrastate commerce by intrastate pipelines, or by local distribution companies with unused or excess capacity not needed to meet existing obligations of the pipeline or distribution company, for any person for one (1) or more uses, as defined by the commission by rule, in the case of:(a) Natural gas sold by a producer, pipeline or other seller to such person; or(b) Natural gas produced by such person. (2) The rates and charges of any intrastate pipeline or local distribution company with respect to any transportation authorized and required under this section shall be fair and reasonable.

The rule states pipeline quality standards as well as delivery and curtailment provisions.

It shall be the policy of the Public Service Commission to facilitate greater utilization of the natural gas produced or available for production within the state, where this can be done without detriment to the customers of utilities under jurisdiction of the commission. This policy may be implemented by requiring the transportation of natural gas in intrastate commerce for persons who own or have purchased gas.
KRS Chapter 278: Nuclear Power Facilities (Kentucky) Kentucky Environmental Regulations
Safety and Operational Guidelines
Yes Nuclear State/Province No construction shall commence on a nuclear power facility in the Commonwealth until the Public Service Commission finds that the United States government, through its authorized agency, has identified and approved a demonstrable technology or means for the disposal of high-level nuclear waste. The provisions of this section shall not be construed as applying to or precluding the following nuclear-based technologies, provided that electricity is not the primary output of the processes:

(a) Enrichment of depleted uranium hexafluoride tails;

(b) Processing of metals contaminated with radioactive materials;

(c) Recycling or reprocessing of spent nuclear fuels; and

(d) Nuclear-assisted coal or gas conversion processes.

If the requirements have been met, the Public Service Commission may certify a nuclear power facility if it finds that:

(1) Specific facilities with adequate capacity to contain high-level nuclear waste are in actual operation, or will be in operation at the time the nuclear power facility being certified requires the means for the disposal of high level nuclear waste;

(2) The plan for disposal of high level nuclear waste for the nuclear facility to be certified is in full conformity with the technology approved by the authorized agency of the United States government; and

(3) The cost of disposal of high level nuclear waste from the nuclear facility to be certified is known with reasonable certainty, such that an accurate economic assessment of the proposal can be completed.
Kentucky Economic Opportunity Zone Program (KEOZ) (Kentucky) Kentucky Corporate Tax Incentive Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province The Kentucky Economic Opportunity Zone Program (KEOZ) focuses on the development of areas with high unemployment and poverty levels. The program provides an income tax credit of up to 100% of the Kentucky income tax liability on income generated by or arising out of the project. The approved company may require each qualified statewide employee, as condition of employment, to agree to pay a job development assessment fee not to exceed 5% of gross wages, with a 1% contribution from local government and up to 4% contribution from the state. The minimum company investment required to qualify for the program is $100,000 in the project.
Kentucky Reinvestment Act (KRA) (Kentucky) Kentucky Corporate Tax Incentive Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province The Kentucky Reinvestment Act (KRA) is a tax incentive available for up to 10 years from the date of final approval via tax credits of up to 100% of corporate income or limited liability entity tax liability generated by or arising from the project. The tax incentive remains in place until the authorized incentive amount is realized (up to 20% of the incentive per year) or for the term of the reinvestment agreement (up to 10 years), whichever occurs first. Unused credits that have been authorized for the project may be carried forward for the term of the reinvestment agreement, however, unused credits expire at the maturity of the agreement. The minimum requirements of incurring eligible equipment and related cost expenditures of at least $2,500,000 and maintaining 85 percent of the full-time employment level at the facility must be achieved in order to proceed with final approval.
Linked Deposit Program (Kentucky) Kentucky Loan Program Yes Biomass/Biogas
Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
Solar Photovoltaics
Wind energy
State/Province The Linked Deposit Program provides loan financing for small businesses of up to $100,000 for up to 7 years. The State Investment Commission invests funds from the state's Abandoned Property Cash Account at a set rate with eligible lenders. The financial institution lends the proceeds of the funds to eligible small-business borrowers at an attractive rate. To be eligible, the business must be: a for-profit entity, headquartered and maintain offices and operate facilities in Kentucky, employ fewer than 50 full-time employees, and have gross earnings of $1 million or less per year.

Eligible borrowers must meet the following criteria: - Must be established as a for-profit entity - Must be headquartered and maintain offices and operate facilities in Kentucky - Must employ fewer than 50 full-time employees, the majority of whom must be from Kentucky - Must have gross earnings of $1 million or less per year

- Business principals can’t be officers or directors of eligible lending institutions
Microenterprise Loan Program (Kentucky) Kentucky Loan Program Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Natural Gas
Nuclear
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province In partnership with Community Ventures Corporation, a non-profit community based lender, the Kentucky Cabinet for Economic Development has expanded the Kentucky Micro-Enterprise Loan (KMEL) program, which provides business loans and valuable technical assistance to entrepreneurs interested in starting or expanding a business.

To be eligible for loans through this program, a business must employ fifty or fewer employees and be located in one of the following counties: Allen Barren Breckinridge Butler Caldwell Carroll Christian Crittenden Grayson Hancock Henry Hopkins Livingston Logan Lyon Meade Metcalfe Muhlenberg Nelson Ohio Owen Simpson Todd Trigg Trimble Warren

Special emphasis is given to entrepreneurs in one or more of the following target groups: women-owned businesses, veteran-owned businesses, ethnic-minority owned businesses, microenterprises (companies with five or fewer employees), businesses owned by individuals classified with disabilities and businesses located in a U.S. Small Business Administration HUBZone qualified economically distressed area.

Maximum Loan Amount: $50,000
Midwest Independent System Operator (Multiple States) Montana
North Dakota
South Dakota
Minnesota
Iowa
Missouri
Wisconsin
Illinois
Michigan
Indiana
Kentucky
Manitoba
Interconnection Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Natural Gas
Nuclear
Tidal Energy
Wave Energy
Wind energy
Biomass/Biogas
Hydroelectric energy
Hydroelectric (Small)
Solar Photovoltaics
Non-Profit Midwest Independent Transmission System Operator (MISO) is a Regional Transmission Organization, which administers wholesale electricity markets in all or parts of 11 U.S. states and the Canadian province of Manitoba. MISO administers electricity transmission grids across the Midwest and into Canada, and provides tools, transmission planning strategies, and integration for utilities in those markets. MISO is working with PJM Interconnection to develop complementing system operations and one robust, non-discriminatory wholesale electricity market to meet the needs of all customers and stakeholders in 23 states, the District of Columbia and the Canadian province of Manitoba. The market is being developed through an open stakeholder process and is being designed to serve residents regardless of whether they reside in states with bundled or unbundled retail rates.
Natural Gas Regulations (Kentucky) Kentucky Environmental Regulations
Siting and Permitting
Yes Natural Gas State/Province Kentucky Administrative Regulation title 805 promulgates the rules and regulations pertaining to natural gas production in Kentucky. In addition to KAR title 405, chapter 30, which pertains to any oil shale operation, these regulations govern natural gas operations throughout the state.

The following information is found in KAR title 404 chapter 30: Oil shale operations or related activity require a valid permit covering from the Environmental and Public Protection Cabinet for the area of land to be affected. Activities that throw, pile, dump any overburden, stones, rocks, shale, earth, soil, dirt, debris, trees, wood, logs, or any other materials outside of the area of land that is under permit. Oil shale operations must not engage in activities that result in an imminent danger to the health or safety of the public or cause significant, imminent environmental harm to land, air, or water resources. Any conditions that threaten the public must be met with reasonable actions to mitigate the threat, and notify the Cabinet, law enforcement, and other applicable jurisdictions.

A design engineer must determine the structure hazard classification according to the regulations of all sedimentation structures whether new or proposed reconstructed structures. For structures classified (B) - moderate hazard or (C) - high hazard, the a permit is required from the from the cabinet and the Kentucky Division of Water prior to construction.

Data, reports, documentation, certifications, or other information may also be required by the Cabinet. The Cabinet may impose any monitoring or data collection requirements upon the permittee as are deemed necessary to adequately assess the possible adverse environmental impacts of such activities.

Oil shale operations must demonstrate to the Cabinet the impacts their operation will have on the environment, utilizing necessary technical, scientific, and engineering data. If the applicant cannot demonstrate to the Cabinet's satisfaction the extent and magnitude of possible adverse environmental impacts of the facility and reasonable control of these impacts, its size will be limited to a total surface disturbance of 100 acres per year.

Each permit will be issued for a fixed term not to exceed five years. A longer fixed permit term may be granted at the discretion of the Cabinet only if:(a) The application is full and complete for the specified longer term; and(b) The applicant shows that a specified longer term is reasonably needed to allow the applicant to obtain necessary financing of the operation, and this need is confirmed, in writing, by the applicant's proposed source for the financing. A permit will terminate if the permittee has not begun the oil shale operation covered by the permit within three years of the issuance of the permit.

Preliminary Requirements Preliminary applications are required by the Cabinet before application for a permit, which must include a U.S. geological survey seven and one-half minute topographic map and a 1:6000 map marked to show the boundaries of the area of land to be affected, and the location of the oil shale deposits to be mined, access roads, haul roads, spoil disposal areas, and sedimentation ponds. Personnel of the cabinet will conduct, within thirty (30) days after filing, an on-site examination of the area with the person or his representatives after which the person may submit a permit application.

Publication of Notice of Intention to Mine An applicant for a permit must place an advertisement in the newspaper of largest bona fide circulation in the county or counties where the proposed oil shale operation is to be located.

Title 805 chapter 1 outlines the Kentucky Division of Oil and Gas regulations. Chapter 2 covers diesel equipment standards. Chapter 3 covers mining safety standards. Chapter 4 covers the Kentucky Division of Explosive and Blasting regulations. Chapter 5 covers the Division of Mining. Chapter 7 covers Miner Training Education and Certification. Chapter 8 covers Sanctions and Penalties. Chapter 9 covers Coal Bed Methane. Kentucky Class II Underground Injection Control (UIC) programs are administered by the U.S.S EPA Region 4. Kentucky has no statutes, regulations, or policies that specifically address slurry injection, subfracture injection, and annular injection of drill cuttings and drilling muds. Historically, EPA Region 4 has allowed at least one operator to dispose of drilling waste down the annulus of a producing well on a one-time basis. The EPA conditioned the approval on a verification that the injection pressure did not exceed the pressure naturally furnished by the hydrostatic head. (The state does not issue duplicate UIC permits.)
New Energy Ventures (Kentucky) Kentucky Equity Investment
Grant Program
Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Hydroelectric energy
Natural Gas
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province This fund provides capital for companies exploring alternative and renewable energy technologies. Companies may apply for a $30,000 grant, an initial investment up to $250,000, or Follow-On funding up to $750,000.

Company Eligibility • High growth, early-stage company developing and commercializing alternative fuel and renewable energy product(s), process(es), and/or services. • Business with its principal place of business in Kentucky or at least fifty-one percent (51%) of its property and payroll located in Kentucky. • Grant eligibility: To be eligible for a grant, an eligible company is any corporation, limited liability company, partnership, limited partnership, sole proprietorship, business trust, person, group, or other entity engaged in research and development and commercialization related to, or the production of, alternative fuels or renewable energy.

• Investment eligibility: To be eligible for an investment, an eligible company must be organized as a C Corporation (C-corp) or as a Limited Liability Company (LLC).
Ohio River Valley Water Sanitation Commission (Multiple States) Illinois
Indiana
Kentucky
New York
Ohio
Pennsylvania
Virginia
West Virginia
Environmental Regulations Yes Biomass/Biogas
Coal with CCS
Hydroelectric energy
Hydroelectric (Small)
Natural Gas
Nuclear
State/Province The Ohio River Valley Water Sanitation Commission (ORSANCO), was established on June 30, 1948 to control and abate pollution in the Ohio River Basin. ORSANCO is an interstate commission representing eight states and the federal government. ORSANCO operates programs to improve water quality in the Ohio River and its tributaries, including: setting waste water discharge standards; performing biological assessments; monitoring for the chemical and physical properties of the waterways; and conducting special surveys and studies. ORSANCO also coordinates emergency response activities for spills or accidental discharges to the river, and promotes public participation in programs, such as the Ohio River Sweep and the RiverWatchers Volunteer Monitoring Program. ORSANCO sets Pollution Control Standards for industrial and municipal waste water discharges to the Ohio River, and tracks certain dischargers whose effluent can seriously impact water quality. The standards designate specific uses for the Ohio, and establish guidelines to ensure that the river is capable of supporting these uses. To keep pace with current issues, ORSANCO reviews the standards every three years. As part of the review process, workshops and public hearings are held for public input.
PJM Interconnection (Multiple States) Delaware
Illinois
Indiana
Kentucky
Maryland
Michigan
New Jersey
North Carolina
Ohio
Pennsylvania
Tennessee
Virginia
West Virginia
District of Columbia
Interconnection Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Natural Gas
Nuclear
Tidal Energy
Wave Energy
Wind energy
Biomass/Biogas
Hydroelectric energy
Hydroelectric (Small)
Solar Photovoltaics
Non-Profit PJM (originally Pennsylvania, Jersey, Maryland) Interconnection is a Regional Transmission Organization (RTO) that coordinates the movement of wholesale electricity in all or parts of Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia and the District of Columbia. The PJM region has an area of 214,000 square miles, a population of about 60 million and a peak demand of 163,848 megawatts.
Qualifying RPS State Export Markets (Kentucky) Kentucky Renewables Portfolio Standards and Goals Yes Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Wind energy
Coal with CCS
Nuclear
Natural Gas
Biomass/Biogas
Hydroelectric energy
Hydroelectric (Small)
Solar Photovoltaics
State/Province This entry lists the states with Renewable Portfolio Standard (RPS) policies that accept generation located in Kentucky as eligible sources towards their RPS targets or goals. For specific information with regard to eligible technologies or other restrictions which may vary by state, see the RPS policy entries for the individual states, shown below in the Authority listings. Typically energy must be delivered to an in-state utility or Load Serving Entity, and often only a portion of compliance targets may be met by out-of-state generation. In addition to geographic and energy delivery requirements, ownership, registry, and other requirements may apply, such as resource eligibility, generator vintage and capacity limitations, as well as limits on Renewable Energy Certificate (REC) vintage. The listing applies to RPS Main Tiers only, and excludes solar or distributed generation that may require interconnection only within the RPS state. This assessment is based on energy delivery requirements and reasonable transmission availability. Acceptance of unbundled RECs varies. There may be additional sales opportunities in RPS states outside the Eastern Interconnection. REC prices in markets with voluntary goals (North Dakota, South Dakota, Virginia) may be lower.
Rural Innovation Fund (Kentucky) Kentucky Equity Investment
Grant Program
Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Natural Gas
Nuclear
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province This fund provides capital to early-stage technology companies located in rural areas of Kentucky. Companies may apply for a $30,000 grant or an investment up to $100,000.

For the purpose of the Rural Innovation Fund, companies must be categorized in one of the following industry sectors: o Biosciences (BIO) o Environmental and Energy Technologies (EET) o Human Health and Development (HHD) o Information Technology and Communications (ITC)

o Materials Science and Advanced Manufacturing (MSAM)
Small Business Credit Initiative (Kentucky) Kentucky Loan Program Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Natural Gas
Nuclear
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province The Kentucky Cabinet for Economic Development has been approved by the United States Department of Treasury to receive the Commonwealth of Kentucky’s allocation of federal funding to implement the Kentucky Small Business Credit Initiative (KSBCI).

The initiative includes three distinct credit enhancement programs designed to generate jobs and increase the availability of credit to small businesses by reducing the risk participating lenders, credit unions, and community development financial institutions assume. KSBCI will leverage funding from these private lenders to help finance creditworthy small businesses that would typically fall just outside a lender’s normal underwriting standards.

The three programs that compose KSBCI are: Kentucky Capital Access Program (KYCAP): Offers loan portfolio insurance to private financial institutions, thus encouraging them to lend to creditworthy small businesses, by providing a matching contribution to a lender’s loan loss reserve account when they extend credit to qualified small businesses. In the case of a loss, the lender may draw against the account to offset a loss.

Kentucky Loan Participation Program (KYLPP): Assists borrowers whose cash flow does not meet a lender’s coverage requirements by allowing CED to purchase (or participate in) a portion of the loan from the lender and offer the borrower, on that portion, a payment-free grace period up to 24 months.

Kentucky Collateral Support Program (KYCSP): Provides a pledged asset (cash) to a lender for consideration in making a loan to a small business, thereby enhancing the lender’s ability to underwrite the loan.
Small Business Loan Program (Kentucky) Kentucky Loan Program Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Natural Gas
Nuclear
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province The purpose of the program is to help small businesses acquire funding needed to start or grow their small business. KEDFA may provide terms that are more lenient, less secure, or otherwise less stringent than industry standards. The program guidelines as set forth below outline the criteria, terms, and fees for participation in the program.
Small Business Tax Credit (Kentucky) Kentucky Personal Tax Incentives
Corporate Tax Incentive
Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Hydroelectric energy
Natural Gas
Nuclear
Wind energy
Biomass/Biogas
Hydroelectric (Small)
Solar Photovoltaics
State/Province The Kentucky Small Business Tax Credit (KSBTC) program is designed to encourage small business growth and job creation by providing a nonrefundable state income tax credit to eligible small businesses hiring one or more eligible individuals and investing at least $5,000 in qualifying equipment or technology. With certain exceptions, most for-profit businesses with fifty or fewer full-time employees are considered eligible small businesses for this program.
Southern States Energy Compact (Multiple States) Alabama
Arkansas
Florida
Georgia
Kentucky
Louisiana
Maryland
Mississippi
Missouri
North Carolina
Oklahoma
Puerto Rico
South Carolina
Tennessee
Texas
United States Virgin Islands
Virginia
West Virginia
Industry Recruitment/Support
Environmental Regulations
Yes Coal with CCS
Concentrating Solar Power
Energy Storage
Fuel Cells
Geothermal Electric
Natural Gas
Nuclear
Tidal Energy
Wave Energy
Wind energy
Biomass/Biogas
Hydroelectric energy
Hydroelectric (Small)
Solar Photovoltaics
State/Province The Southern States Energy Compact provides for the proper employment and conservation of energy, and for the employment of energy-related facilities, materials, and products, within the context of a responsible regard for the environment, among the Southeastern states, Puerto Rico, and the U.S. Virgin Islands. The Southern States Energy Board is responsible for administering the Compact and may adopt bylaws, rules, and regulations in conjunction with state agencies. The Board also encourages the development, conservation, and responsible use of energy and energy-related facilities, installations, and products as part of a balanced economy and a healthy environment.