Green Bank of Kentucky

Mission

The mission of the Green Bank of Kentucky is to promote energy efficiency in state buildings through competition for low interest loans to reduce operating costs, energy use, protect the environment, save taxpayer dollars, promote economic development, and create new “green collar” jobs by means of education, engineering analyses and building improvements.

What is the Green Bank of Kentucky Program?

The Green Bank of Kentucky program is administered through the Finance and Administration Cabinet. The Green Bank financing will pay for up-front costs of energy-savings projects.  Future reduced energy usage will help repay the loan. Energy loans approved by the Green Bank Program Loan Committee carry a fixed rate for the term of the loan.

One of the primary purposes of the Green Bank is to offer supplementary financing to traditional sources to make a project go.  Initially, the minimum amount that may be borrowed is $50,000.

Energy loans, including secondary loans, may be used for construction, upgrades or retrofits that are intended to result in reduced energy usage and costs.  Loans may also be used to pay for certain administrative costs associated with an energy project.  Projects may involve one or more measures for individual or multiple sites.

The Green Bank is being funded through federal stimulus dollars and subsidies through the American Recovery and Reinvestment Act (ARRA). Additional financing for future Green Bank programs may be funded from ARRA direct reimbursement Build America Bonds (BAB) or traditional tax-exempt bonds which have more flexibility and can be issued for any governmental construction project.

Status of Current Projects

Green Bank Project Summaries [PDF - 96KB]