Kentucky Tourism
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Kentucky's Tourism Development Incentive Program

Eligible Tourism Attraction Projects


 $1,000,000 minimum project development cost can recover 25% of development cost over 10 years, such as:

  • cultural or historical sites;
  • recreation or entertainment facilities;
  • areas of scenic beauty or distinctive natural phenomena;
  • Entertainment Destination Centers;
  • Kentucky Crafts and Products Centers; 
  • Theme Restaurant Destinations; 

$500,000 minimum project development cost can recover 30% of development cost over 10 years in enhanced incentive counties, such as:

  • cultural or historical sites;
  • recreation or entertainment facilities;
  • areas of scenic beauty or distinctive natural phenomena;
  • Entertainment Destination Centers;
  • Kentucky Crafts and Products Centers; 
  • Theme Restaurant Destinations; 
*Please visit www.thinkkentucky.com/kyedc/pdfs/KBIEnhancedCounties.pdf to see the current list of enhanced incentive counties.

Eligible Lodging Projects


  • built with a tourism attraction and the tourism attraction cost more than the lodging facility; or
  • rehabilitation of a historic structure; or
  • restoration or renovation of a lodging facility having no less than 500 rooms with project costs exceeding $10,000,000; or
  • construction, restoration, or renovation of a full service lodging facility which is or will be a part of a major convention or sports facility with project cost exceeding $6,000,000; or
  • construction, restoration, or renovation of a facility which is or will be located within a 50 mile radius of a property located on the National Register of Historic Places with a current function of recreation and located within any of the 100 least populated counties in terms of population density
Eligible Lodging Projects built on state or federal parks and recreational lands can recover up to 50% of development costs over 20 years

Application and Approval Process


  1. The company submits the application to the Secretary of the Tourism, Arts and Heritage Cabinet.
  2. With the Secretary’s recommendation the project will go before the Kentucky Tourism Development Finance Authority for preliminary approval. The applicant cannot begin construction until after preliminary approval.
  3. With preliminary approval, the Cabinet’s independent consultant will do a in depth study to make sure the project meets the requirement of the act.  This study will be paid for by the applicant in advance.
  4. Using the consultant’s findings, the Secretary will determine whether to request the Authority give final approval.
  5. Upon final approval from the Authority, an agreement will be signed by the applicant and the Commonwealth allowing the company to recover the sales tax. The Kentucky Tourism Development Finance Authority meets once a month to approve incentive requests.  The meetings are held at 1:30 p.m. the second Wednesday of every month at 100 Airport Road, Second Floor, Frankfort, KY 40601. Below are a list of dates for 2017:
    • January 11, 2017
    • February 8, 2017
    • March 8, 2017 
    • April 12, 2017
    • May 10, 2017
    • June 14, 2017
    • July 12, 2017
    • August 9, 2017
    • September 13, 2017
    • October 11, 2017
    • November 8, 2017
    • December 13, 2017
For a detailed discussion on this or any of our programs, please contact the Kentucky Office of Film and Development at 800-345-6591.

Jay Hall, Executive Director of the Office of Film and Development

DOWNLOAD
KTDA Application (2-15) (2).doc