2012 Kentucky Revised Statutes CHAPTER 154 DEVELOPMENT SUBCHAPTER 26 Financing of Existing Industry Development 26.080 Standards for determination of eligibility -- Review of application -- Request for emergency declaration -- Authorizing resolution -- Application for and approval of supplemental projects -- Meetings.
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154.26-080 Standards for determination of eligibility -- Review of application -Request for emergency declaration -- Authorizing resolution -- Application for
and approval of supplemental projects -- Meetings.
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The authority shall establish standards for the determination and approval of eligible
companies and their projects by the promulgation of administrative regulations in
accordance with KRS Chapter 13A.
The criteria for approval of eligible companies and economic revitalization projects
or supplemental projects shall include but not be limited to the:
(a) Need for the project;
(b) New capital investment in the project or supplemental project that will result
in financial stability for the manufacturing or coal mining and processing
facility; and
(c) Retention or expansion of the greatest number of employees at the
manufacturing or coal mining and processing facility.
With respect to each eligible company or supplemental project eligible company
making an application to the authority for inducements, and with respect to the
project or supplemental project described in the application, the authority shall
make inquiries and request materials of the applicant, including but not limited to
written evidence that except for a substantial investment in the project or
supplemental project, assisted by the inducements authorized by KRS 154.26-015 to
154.26-100, the eligible company will:
(a) Close its manufacturing or coal mining and processing facility; and
(b) Permanently lay off its employees and cease operations; or
(c) Not resume operations of a closed facility as permitted by KRS 154.26010(9).
The eligible company or supplemental project eligible company shall, in a manner
acceptable to the authority, detail the condition of the facility, including but not
limited to financial, efficiency, and productivity matters; explain in detail why the
company intends to close the facility or not resume operations of the facility as
permitted by KRS 154.26-010(9); and set out alternatives that are available to the
company.
As a part of its application, an eligible company as described in KRS 154.26010(10)(b) may request an emergency declaration based upon the urgency of the
request and its impact on the local or regional economy.
A request for an emergency declaration shall be reviewed by the secretary of the
Cabinet for Economic Development, the secretary of the Education and Workforce
Development Cabinet, and the secretary of the Finance and Administration Cabinet
and their findings in connection with the emergency declaration shall be delivered
to the authority.
If the emergency declaration is granted in accordance with subsection (6) of this
section, the eligible company shall not be subject to the requirements contained in
subsection (8), (9), or (11) of this section.
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In accordance with, and after the adoption of a resolution under subsection (10) of
this section, the authority shall engage the services of a competent consulting firm
or technical resource to analyze the data made available by the company, and to
collect and analyze additional information necessary to determine that, in the
independent judgment of the consultant, the company will close the facility or not
resume operations of the facility as permitted by KRS 154.26-010(9) absent a
substantial investment in the project, assisted by the inducements authorized by
KRS 154.26-015 to 154.26-100. The company shall pay the cost of this evaluation.
The company shall cooperate with the consultant and provide all of the data which
could reasonably be required by the consultant to make a fair assessment of the
company's intentions to close the facility or not resume operations of the facility as
permitted by KRS 154.26-010(9).
After a review of relevant materials and completion of inquiries, the authority may,
by resolution, give its preliminary approval by designating an eligible company as a
preliminarily-approved company and authorizing the undertaking of the economic
revitalization project.
The authority shall review the report of the consultant and other information which
has been made available to it in order to assist the authority in determining whether
the company intends to close the facility for valid reasons or whether it intends or is
able to resume operations of the facility in accordance with the requirements of
KRS 154.26-010(10)(b) if inducements are granted. The authority shall determine
the potential of the proposed revitalization project to make the facility stable,
productive, and competitive in its market.
After the review of the consultant's report or if an emergency declaration has been
issued in accordance with subsection (6) of this section, the authority shall hold a
public hearing to solicit public comment from any person, group, or interested party
regarding the proposed project.
After the public hearing, the authority, by resolution, may:
(a) Declare the jobs then existing at the facility to be lost or the company unable
to resume operations as permitted by KRS 154.26-010(9);
(b) Give its final approval to the eligible company's application for a project; and
(c) Grant to the eligible company the status of an approved company.
The decision reached by the authority shall be final and no appeal shall be granted.
(a) During the term of a revitalization agreement, a supplemental project eligible
company may apply for, and the authority may approve, a supplemental
project.
(b) In reviewing an application submitted by a supplemental project eligible
company, the authority may waive the requirements of subsections (8), (9),
(10), (11), (12), and (13) of this section if:
1.
The authority receives from the eligible company a signed application
attesting that the company will close its facility without the
supplemental project assisted by the inducements authorized by this
subchapter; and
2.
The authority determines that it has sufficient information from the
original project application and additional information provided through
submission of the supplemental project application to approve the
supplemental project.
(c) The authority shall approve a supplemental project by resolution, authorizing
the execution of an amended project agreement. The adjustment to the initial
project shall be made on the total approved costs, and any credits taken prior
to the addition of a supplemental project shall then be subtracted from the
increased amount of approved costs.
(15) All meetings of the authority shall be held in accordance with KRS 61.805 to
61.850. The authority may, pursuant to KRS 61.815, hold closed sessions of its
meetings to discuss matters exempt from the open meetings law and pertaining to
an eligible company.
Effective: July 12, 2012
History: Amended 2012 Ky. Acts ch. 119, sec. 2, effective July 12, 2012. -- Amended
2009 Ky. Acts ch. 11, sec. 42, effective June 25, 2009. -- Amended 2007 Ky. Acts
ch. 71, sec. 2, effective March 23, 2007. -- Amended 2006 Ky. Acts ch. 211, sec. 74,
effective July 12, 2006. -- Amended 2001 Ky. Acts ch. 153, sec. 2, effective March
20, 2001. -- Amended 1996 Ky. Acts ch. 194, sec. 46, effective July 15, 1996. -Amended 1994 Ky. Acts ch. 450, sec. 24, effective July 15, 1994; and ch. 499,
sec. 25, effective July 15, 1994. – Created 1992 Ky. Acts ch. 359, sec. 9, effective
July 14, 1992.
Legislative Research Commission Note (7/12/2012). 2012 Ky. Acts ch. 119, sec. 4,
provides that this statute, as amended by 2012 Ky. Acts ch. 119, sec. 2, "shall apply
to taxable years beginning on or after January 1, 2014."
Legislative Research Commission Note (3/23/2007). Under the authority of KRS
7.136(1), the Reviser of Statutes in codification has changed the internal numbering
system of subsections (2), (3), and (13) of this statute by inserting paragraph
divisions (a), (b), and (c). The meaning of the text renumbered is not changed.
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