News & Events

On Thursday, Gov. Beshear announced that Moody’s Ratings has upgraded the commonwealth’s credit rating to Aa2 from Aa3. The rating is a measure of the state’s ability to pay debts and the overall health of Kentucky’s economy. 

The upgrade was driven by the commonwealth’s sustained commitment to healthy reserves and structural balance, by fully funding pensions and paying down unfunded liabilities. It also reflects growth in key industries that will help solidify Kentucky’s economic growth over the next several years, including large investments in the state’s manufacturing sector, EV manufacturing, logistics and the growth of Kentucky’s tourism and health care sectors.

On July 25, 2024; Governor Beshear recapped his recent economic development trip to Japan and the Republic of Korea, where he met with leaders at existing Kentucky companies, including Akio Toyoda, chairman of Toyota Motor Corporation. The Governor met with 18 companies that provide 15,000 full-time jobs in Kentucky, with 7,000 announced new jobs on the way. The Governor also met with business leaders considering future investment in the United States.

The Governor also announced the largest General Fund surplus on record in Kentucky with Fiscal Year 2024 ending at approximately $2 billion.  This is the fourth consecutive year that the General Fund surplus has exceeded $1 billion.  The surplus will be deposited into the Budget Reserve Trust Fund, bringing its balance up to $4.5 billion.

The Turnpike Authority of Kentucky approved the sale of $128 million of revenue bonds, with the proceeds to be used to refund the Authority's Series 2010B Build America Bonds.

The Kentucky State Property and Buildings Commission has $649 million of bonds on the calendar next month in a deal that will refund all of its outstanding Build America bonds and provide new money for capital projects.

Tonight, less than a month after being sworn in for a second term, Gov. Andy Beshear delivered his annual State of the Commonwealth Address and said that “thanks to the strength of our people and our red-hot economy, the state of our commonwealth is stronger than it has ever been.”

Throughout the address, the Governor detailed the state’s strength and resilience by sharing stories of several Good Samaritans, helpers and heroes who attended the address, which included economic development leaders, teachers, health care heroes and first responders. To capitalize on the work Kentuckians are doing to make their communities better, the Governor said everyone must continue to come together to move the state forward by renewing investments in economic development, communities affected by natural disasters, education, infrastructure, health care and public safety.

The Governor’s $136.6 billion two-year budget aims to address the concerns that families worry most about by helping the state build a world-class education system; move major infrastructure projects forward; grow jobs; boost public safety; expand health care and support local and state employees who are working to build a better Kentucky. The investments that are needed to move the commonwealth forward are being proposed without spending any of the state’s record-largest Rainy Day fund or General Fund surplus.

Today, Gov. Andy Beshear announced that his administration secured the largest General Fund budget surplus and Rainy Day Fund as well as the most jobs filled in state history.

Today, Gov. Andy Beshear announced that his administration has secured a second credit rating increase from a major agency, this time from S&P Global Ratings.

In general, the rating is a measure of the state’s ability to pay debts and the overall health of Kentucky’s economy. The Governor said the increased confidence in Kentucky’s financial outlook will mean lower costs for taxpayers on the state’s investments in critical infrastructure projects, like roads, bridges and schools. It also means that public employee pensions are more secure.

Fitch Ratings - New York - 11 May 2023: Fitch Ratings has upgraded the Commonwealth of Kentucky's (the commonwealth) Long-Term Issuer Default Rating (IDR) to 'AA' from 'AA-' and has likewise upgraded the ratings on Kentucky's annual appropriation-backed debt and other commonwealth IDR-linked debt by one notch to 'AA-' from 'A+'.

The Rating Outlook is Stable.

In conjunction with the upgrade of the commonwealth's IDR, Fitch has upgraded the ratings as noted below on various credits linked to the IDR:

--SPBC revenue and revenue refunding bonds, SPBC road fund revenue and revenue refunding bonds, SPBC judicial branch agency fund revenue bonds, Kentucky Turnpike Authority economic development revenue and revenue refunding bonds, Kentucky ALCo general and road fund project and project refunding notes, ALCo general fund first series funding notes, Kentucky Infrastructure Authority 2001 revenue and revenue refunding bonds, and the Lexington-Fayette Urban County Government Public Facilities Corp. lease revenue bonds upgraded to 'AA-' from 'A+';

--SPBC agency fund revenue and revenue refunding bonds, project no. 102, 103, 114 and 116 issued for public universities and based on the intercept of commonwealth higher education aid upgraded to 'AA-' from 'A+';

--SPBC agency fund revenue bonds, project nos. 105 and 113 issued for the Kentucky River Authority upgraded to 'AA-' from 'A+';

--SPBC agency fund revenue bonds, project. no. 97 and project no. 120 issued for its Department of Military Affairs related to the Blue Grass Station project upgraded to 'AA-' from 'A+';

--SPBC agency fund revenue bonds, project no. 104 issued for the Kentucky State Fair Board upgraded to 'AA-' from 'A+';

--Kentucky school aid intercept program upgraded to 'AA-' from 'A+';

--Commonwealth of Kentucky Payment Obligations - Next Generation, PPP counterparty obligations for the Kentucky Wired Project upgraded to 'A+' from 'A'.

Kentucky Gov. Andy Beshear, Ohio Gov. Mike DeWine and U.S. Senate Republican Leader Mitch McConnell announced today that the Brent Spence Bridge Corridor Project was awarded federal funding grants worth more than $1.6 billion, giving the landmark bridge and corridor project the green light to move toward construction.

On December 14, 2022, the state’s Consensus Forecasting Group (CFG), a group of financial experts, revised the state General Fund revenue estimates upward by $1.4 billion in the current fiscal year and by $1.3 billion in fiscal year 2024. The estimates yield total revenues of $15.2 billion this fiscal year and $15.5 billion next fiscal year. These are expected to be the four largest budget surpluses in the commonwealth’s history and will bring the state’s rainy day fund up to over $3 billion at the end of fiscal year 2023 and nearly $4 billion at the end of fiscal year 2024. These figures also represent growth rates of 3.4% for the 2023 fiscal year and 1.7% for fiscal year 2024.

Executive Cabinet Secretary and State Budget Director John Hicks said that these positive numbers result from economic improvement of households and businesses, as well as recentstrong revenue trends, and increased forecasts in individual income taxes, sales taxes and business taxes. 

“One area of the economic assumptions highlighted in the CFG’s deliberations is that manufacturing employment in Kentucky will do better than the Unites States as a whole. And that data does not incorporate the manufacturing announcements like the Ford/BlueOval SK battery plants,” Secretary Hicks said.

Gov. Andy Beshear and Lt. Gov. Jacqueline Coleman updated Kentuckians on continued General Fund growth; economic development progress; the Education First Plan; the Bowling Green Veterans Center; disaster recovery and rebuilding efforts; the 200th anniversary of the founding of Calloway County; nonprofit assistance; kynect open enrollment coverage; funds to improve railroad crossings; Eddyville Riverport funding; and COVID-19.

S&P improves rating outlook from stable to positive for Kentucky issuers.

The meeting notice for Calendar Year 2022 Kentucky Private Activity Bond Allocation Committee (KPABAC) allocation of Volume Cap has been posted to the OFM website. If interested, please use the link attached below.

Governor Beshear delivered his budget address and called on lawmakers to make record investments, build a better education system, and grow jobs for the future.

The notice for Calendar Year 2022 Kentucky Private Activity Bond Allocation Committee (KPABAC) Volume Cap has been posted to the OFM website. Posted along with the notice is the application form. If interested, please use the link attached below.

Today, President Joseph R. Biden, Jr. declared that a major disaster exists in the Commonwealth of Kentucky and ordered Federal aid to supplement Commonwealth and local recovery efforts in the areas affected by severe storms, straight-line winds, flooding, and tornadoes beginning on December 10, 2021, and continuing.

The President’s action makes Federal funding available to affected individuals in the counties of Caldwell, Fulton, Graves, Hopkins, Marshall, Muhlenberg, Taylor, and Warren.

Assistance can include grants for temporary housing and home repairs, low-cost loans to cover uninsured property losses, and other programs to help individuals and business owners recover from the effects of the disaster.

Federal funding also is available to Commonwealth and eligible local governments and certain private nonprofit organizations on a cost-sharing basis for emergency work in the in the counties of Caldwell, Fulton, Graves, Hopkins, Marshall, Muhlenberg, Taylor, and Warren.

Lastly, Federal funding is available on a cost-sharing basis for hazard mitigation measures for the entire commonwealth.

Deanne Criswell, Administrator, Federal Emergency Management Agency (FEMA), Department of Homeland Security, named John Brogan as the Federal Coordinating Officer for Federal recovery operations in the affected areas. 

Damage assessments are continuing in other areas, and more counties and additional forms of assistance may be designated after the assessments are fully completed.

Residents and business owners who sustained losses in the designated counties can begin applying for assistance tomorrow by registering online at http://www.DisasterAssistance.gov or by calling 1-800-621-FEMA (3362) or 1-800-462-7585 (TTY) for the hearing and speech impaired. The toll-free telephone numbers will operate from 7 a.m. to 10 p.m. (local time) seven days a week until further notice.  

FOR FURTHER INFORMATION MEDIA SHOULD CONTACT THE FEMA NEWS DESK AT (202) 646-3272 OR FEMA-NEWS-DESK@FEMA.DHS.GOV.

Kentucky Public Transportation Infrastructure Authority and Turnpike Authority of Kentucky are planning two refunding revenue bond sales.

In this podcast Governor Beshear did not discuss bonds, but instead mostly gave a marketing piece for Kentucky as well as promoting Covid response. In the podcast Governor Beshear made several references to KY being a post Covid business leader.

March 24, 2021 - Fitch Ratings has assigned a 'BBB' rating to the Kentucky Public Transportation Infrastructure Authority (KPTIA) approximately $185 million first tier toll revenue refunding bonds Series 2021A and has upgraded the ratings to ‘BBB’ from ‘BBB-‘ for both the KPTIA outstanding $336 million first tier toll revenue bonds and $446 million Transportation Infrastructure Finance and Innovation Act (TIFIA) loan. The Rating Outlook to all obligations are revised to Positive from Stable.

March 30, 2021 - Moody's Investors Service has assigned a ‘Baa2’ rating to the Kentucky Public Transportation Infrastructure Authority (KPTIA) $185 million First Tier Toll Revenue Refunding Bonds, Series 2021A (Downtown Crossing Project). At the same time, Moody's has upgraded the ratings to ‘Baa2’ from ‘Baa3’ for both the KPTIA outstanding $365 million first tier revenue bonds and $452 million third lien TIFIA loan. The outlook has been revised to stable from positive.

The Governor delivered his combined State of the Commonwealth and Budget Address in a virtual speech recorded in his office due to coronavirus restrictions and delayed a day by the attack on the U.S. Capitol by domestic terrorists.

Members of the Consensus Forecasting Group revised the official enacted FY 2021 General Fund and Road Fund estimates and adopted official estimates

Actions taken by Governor Beshear since the first case of novel coronavirus disease 2019 (COVID-19) was confirmed in Kentucky.

Beshear recommends teacher raise, school safety, full funding for Medicaid and pensions, 350 new social workers

Governor Beshear: State’s Future Depends on Kentuckians Working Together

Kentucky's new statutory lien law credit positive for local governments

Ruling on a Kentucky pension plan viewed as credit positive for state