Kentucky’s Appropriation Program: A Game-Changer for Economic Development and Community Revitalization

The Commonwealth of Kentucky, located in the eastern central part of the United States, is known for its rich history, natural beauty, and diverse culture. However, like many states, it faces challenges in economic development and community revitalization. To address these challenges, the Kentucky legislature passed a House-bill that includes a $450 million appropriation to cover local funding matches for communities and nonprofits seeking federal assistance. This innovative program, known as the GRANT program, has the potential to bring billions of dollars in federal grants to the Bluegrass State, fueling economic growth, infrastructure development, and community revitalization projects.

For decades, Ballard County, situated at the confluence of the Ohio and Mississippi rivers, has longed to build a riverport to capitalize on its strategic location. However, the rural county lacks the financial resources to cover the local funding match required for federal grants. With the new appropriation program, Ballard County and other communities like it, can now apply for federal grants with confidence, knowing that the state will cover their local funding matches.

The potential impact of this program is enormous. According to Hannah Conover, the executive director of Grant Ready Kentucky, a charitable program that offers technical support to communities and nonprofits, “From the state’s perspective, that’s a fantastic return on investment.” The GRANT program could unlock federal grants to support coalfield communities struggling from the loss of mining jobs, help communities recovering from devastating natural disasters, and fund infrastructure and economic development projects.

The prospect of leveraging state dollars to secure much larger federal grants is drawing considerable attention from communities and nonprofits across the state. In 2023, the state appropriated $2 million to get the program started and gauge grassroots interest. Nearly 100 applications totaling over $102 million in matching fund requests have already been submitted to the Department for Local Government. These totals are expected to grow significantly if the next round of state funding wins final approval.

The initiative has strong bipartisan support. Democratic Governor Andy Beshear sees the program as having “tremendous potential to help communities across Kentucky secure much-needed federal funding.” Republican Representative Richard Heath, the lead sponsor of the 2023 measure, calls it a “once-in-a-lifetime opportunity to get some things done that probably would never have gotten done.”

One potential project that could benefit from the GRANT program is the proposed riverport in Ballard County. The project, which is expected to cost $50 million to $60 million, could attract business, increase markets for farmers, and provide much-needed jobs for young adults in the county. The county applied for a $9 million federal grant last year, but the required local match of $1.8 million was a significant barrier. With the GRANT program, Ballard County can now apply for the federal grant with confidence, knowing that the state will cover the local funding match.

In eastern Kentucky, the nonprofit group Backroads of Appalachia is hoping to secure a federal grant to open more transitional housing for women in recovery from substance abuse. The group, based in Lynch, hopes that state dollars will help secure their match. As Erik Hubbard, the group’s executive director, noted, “As always, it comes to the match.” With the GRANT program, the group can now apply for the federal grant with a greater sense of confidence, knowing that the state will cover their local funding match.

The GRANT program is part of a larger appropriations bill that taps into Kentucky’s massive budget reserves to make one-time investments, such as paying down state pension liabilities and supporting infrastructure and economic development. The bill passed the House with a unanimous vote and now moves to the Senate for consideration.

The Kentucky legislature’s innovative GRANT program is a game-changer for economic development and community revitalization in the Bluegrass State. By leveraging state dollars to secure much larger federal grants, Kentucky communities and nonprofits can now apply for funding for projects that would otherwise be out of reach. The potential impact of this program is enormous, and it has strong bipartisan support. As the program moves forward, we can expect to see significant progress in economic development, infrastructure, and community revitalization projects across the state.

In conclusion, the GRANT program is a game-changer for Kentucky. It has the potential to bring billions of dollars in federal grants to the Bluegrass State, fueling economic growth, infrastructure development, and community revitalization projects. With the state’s strong bipartisan support, we can expect to see significant progress in the near future. The GRANT program is a testament to the power of collaboration between the state and local communities to achieve great things. It is a once-in-a-lifetime opportunity to get things done that would otherwise never have been possible.