Kentucky One-Pager (State's Fuel Quality Regulation) Return to Map
	Department	KY Dept of Agriculture		NCWM Region	SWMA
	Primary Contact	Lanny Arnold		Last Modified	02/17/09 04:53pm
	Phone	(502) 573-0282 x-228
	Email	lanny.arnold@ky.gov
	What's needed for a successful program?	KY Biodiesel Production and Blending Tax Credit: Qualified biodiesel producers or blenders are eligible for an income tax credit of $1.00 per gallon of pure biodiesel (B100) produced or $1.00 per gallon of biodiesel used in the blending process; re-blending of blended biodiesel does not qualify. The total amount of credit for all biodiesel producers may not exceed the annual biodiesel tax credit cap of $5 million; beginning January 1, 2009, the biodiesel tax credit cap is expanded to $10 million per taxable year. For the purpose of this credit, biodiesel must meet ASTM specification D6751. (Reference Kentucky Revised Statutes 141.422 to 141.424)
AUTHORITY
	Fuel Authority	Regulatory (state regulations); Statutory (enacted legislation)
	Statutory/Regulatory Citation	Program is responsible for the testing of gasoline and diesel fuel to ensure that the quality of the fuel meets Kentucky law and the ASTM standards. Retail facilities which sell gasoline and/or diesel fuel to the general public must be registered annually. Law: Section for Motor Fuel Inspection and Testing - KRS 363.900 to 363.908. Regulation: Section for Motor Fuel Inspection & Testing - 302 KAR 79:010 Section for Motor Fuel Civil Penalties - KRS 363.908 Inspections are conducted routinely at sites across the state and when a consumer complaint is received. All retail facilities which sell gasoline and/or diesel fuel to the general public must be registered annually.
ADOPTED FUEL SPECIFICATIONS
	Fuels Currently Regulated	Biodiesel-Blends_yes; B100-Biodiesel_yes; Diesel Fuel_yes
	Fuel Specifications	B6-19_other; B1-B5_ASTM D975; B100_ASTM D6751; PetroDiesel_ASTM D975
	Other Specifications	B6-B20 ASTM D7467
	If no spec - plan to adopt
	Process to Adopt Specifications	Legislative Process; Administrative Rulemaking
	ASTM-Rev Adopted	not automatic - use earlier revision, til law / regulations revised
TESTING PROGRAMS
	Proactive Tests	Petroleum Diesel; Biodiesel Blends (Bxx)
	Reactive Test Circumstance	Routinely tested across the state and upon customer complaint.
	Fuel Test Performed	Visual; Acid Number; Water & Sediment; Density; Cloud Point; Flash Point; Glycerine; Carbon Residue; Cetane; Copper Strip; Phosphorus; Stability; Sulfated Ash; Sulfur; Total Ca / Mg; Total Na / K; Vacuum Distillation; Viscosity
	Where Sampled	Retailer
	Where Tested	Out-Sourced
	Penalties	Stop Sale and issuance of fines. Fuel to be upgraded to meet specs. Fines are calculated at number of gallons in storage x price per gallon and a factor x.25
	How to Report
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