Scope
KRS 154.20-226 sets the application, preliminary approval, memorandum of agreement and final approval process under KRS 154.20-220 to 154.20-229 for an eligible company with a proposed data center project. On preliminary approval the Kentucky Economic Development Finance Authority authorizes the Department of Revenue to issue a certificate of exemption under KRS 139.499; if the company misses the agreed minimum capital investment by the fifth anniversary of the agreement, the certificate is revoked and the untaxed amount becomes due. On final approval the company is approved for the KRS 139.499 exemption for the term of the agreement.
- Geographic scope
- Kentucky
- Jurisdiction
- State
- Authority type
- Legislature
- Issuing authority
- Kentucky General Assembly
Dates
- Adopted
- No adoption day is recorded
- Effective
- 15 July 2024
- Scheduled expiration
- See completion condition
- Ended
- Not recorded as ended
- Completion condition
- Each approval runs for the term of its memorandum of agreement. The section states no program end date.
- Source document
- 15 July 2024
- Last checked
- 23 September 2026 (earlier than tracker date 5 October 2026; not an automatic status change)
Summary
Kentucky's qualified data center project program, created in 2024, lets an eligible company apply to the Kentucky Economic Development Finance Authority for preliminary and then final approval of a data center project under a memorandum of agreement. Approval is what unlocks the sales and use tax exemption for data center equipment in KRS 139.499, and the certificate is revoked if the company misses its agreed minimum investment within five years. The statute page states the section is effective 15 July 2024.
What this does not establish
- Only KRS 154.20-226 was re-opened for this record; definitions and investment minimums in KRS 154.20-220 and the other sections were not restated.
- The exemption itself is the separate record ky-krs-139499-data-center-exemption; this record is the approval process that feeds it.
- Approval is discretionary and project-specific; the record does not say any named project is approved.
Unresolved questions
- Whether the authority has adopted administrative regulations under KRS 154.20-226(2)(a) was not checked.
Relationships
Supersession means a later instrument replaces the earlier legal effect. Repeal links identify the repeal instrument and the measure it ends. A later implementation or related letter is not treated as a replacement unless the record says so.
- Related, not a replacement Data center equipment sales-tax exemption (In effect)
Sources
https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=55422