Skills Training Investment Credit (STIC)

Program Description

The BSSC's STIC program's basic purpose is to improve and promote employment opportunities for the residents of Kentucky through tax credits with business and industry. The STIC program provides tax credits to companies for company specific training activities. To be considered, a company must complete and submit an application to the BSSC Board of Directors. Once the application is preliminarily approved by the board the company can begin eligible training.

Project Funding

The maximum funding amount for individual companies is $500 per eligible employee or $100,000 per BSSC biennium (July 1, 2010- June 30, 2012). The BSSC has a maximum of $2.5 million per fiscal year to award to eligible companies as tax credits.

Eligible Firms

The company must have been engaged in one of the following qualified activities within Kentucky for not less than three consecutive years immediately preceding the submission of the application: manufacturing including the processing, assembly, production or warehousing of any property; processing of agricultural and forestry products; telecommunications; health care; product research and engineering; tool and die and machine technology; mining; tourism and operation of facilities to be used in the entertainment, recreation and convention industry; transportation in support of manufacturing. Any company whose primary purpose is the sale of goods at retail shall not constitute a qualified company.

Eligible Training

The following training type is allowed under BSSC guidelines: Skills Upgrade Training. The following are examples of eligible training activities and methods: classroom & OJT, innovative training techniques, individual assessment, train-the-trainer travel, tuition, training equipment, mandated/safety training and employee wages. Pro/con union training and retroactive training are not eligible.

Training Costs

The BSSC provides tax credits for 50% of customized training programs. This training can be provided in-house, by a consultant, or by an educational institution. BSSC will provide credits up to $25 per hour ($50 p/h total training) for all in-house training. Consultant & Education Provider rates vary from $50-$65 per hour. To view specific rates, refer to our STIC guidelines.

Eligible Employees

Participants in the STIC program must be residents of Kentucky who are full-time employees of the applying company. Eligible employees must make a minimum of $10.88 per hour base wage plus 15% benefits.

Application Scoring

STIC applications are not scored but are considered on a first come, first serve basis.