Data Center Neighbor

State page

Kentucky

Where things stand as of August 6, 2026. This page moves fast, so every section is dated. If you’re reading it much later, check the sources rather than trusting the page.

Carroll County: two projects, not one

As of August 6, 2026

Most coverage describes one data center in Carroll County. There are two, on different sites, from different developers.

The $9.6 billion Carrollton project

A Louisville-based development team, Poe Companies and PowerHouse Data Centers, announced plans for a $9.6 billion campus in Carroll County. The site is on Green’s Bottom Road near KY 389, east of I-71, between Louisville and Cincinnati.[1] The site totals about 550 acres, roughly 342 of them owned by Carrollton Utilities. It’s bounded by I-71, the utility’s regional wastewater treatment plant, and the Kentucky River on the north edge.[2] About 300 acres would be built out, with the rest landscaped as a sound and light buffer.[2]

The status is pre-approval. The developers hold purchase options on the property rather than closed sales. They’ve completed initial site studies, power studies, and a draft economic impact analysis.[1]

In late July 2026, Carrollton Mayor Robb Adams announced an agreement between the developer, the City of Carrollton, and adjoining landowners.[2] Its terms as reported:

The city bought the tract in 2019 to expand Carrollton Utilities’ regional sewage treatment plant. It’s selling the remainder to Poe Companies LLC.[2]

The $4 billion DECA project

A second developer, DECA Companies, has proposed a roughly $4 billion data center on a different site. It’s on Sharon Road east of Ghent, across several hundred acres.[3] The Carroll County Fiscal Court sent a letter of support to KEDFA for state tax incentives. The magistrates approved it and Deputy Judge Michael Humphrey signed it at a special meeting on June 24, 2026, with Judge-Executive David Willhoite absent. The letter is explicitly not a county endorsement of the project.[3] DECA held an invitation-only stakeholder meeting in the Fiscal Court’s meeting room in early July 2026. Willhoite said a public forum would be scheduled later.[3]

The state’s own EPIC report names Carroll County among counties with data center projects under consideration. The others are Hancock, Mason, Clark, Oldham, Meade, Gallatin, Madison, Laurel, Jackson, Marion, Hardin, and Simpson.[4] That’s independent state-government confirmation that activity in the county is real, though it doesn’t speak to either project’s specifics.

The zoning wrinkle

As of August 6, 2026

This is the part that makes Carroll County different from a typical rezoning fight, and it’s also the part we can’t fully verify.

County officials have said publicly that the county cannot stop the projects. Carroll County Director of Government Services Matt Dusing told the Fiscal Court in June 2026:[3]

“Carroll County does not have the capability to block this project. The county cannot adopt any ordinance to ban this project and neither can the planning and zoning.”

Matt Dusing, Carroll County Director of Government Services, per the Carroll News-Democrat[3]

Judge-Executive David Willhoite is quoted in the same article on who decides. Whether DECA gets state tax incentives, or is allowed to develop in Carroll County at all, will be decided by the state and not the county, he said.[3] A separate article from the same outlet puts it more flatly. A decision on whether the projects proceed “rests with the state since Carroll County has no zoning laws with the exception of the city of Carrollton.”[2]

Structurally, the claim is plausible. Kentucky doesn’t require counties to zone, and as of 2025, 58 of 120 counties had adopted planning with 40 of those implementing zoning regulations.[5] That source does not name Carroll County and can’t serve as the second confirmation. See the zoning and hearings explainer for what a process looks like when there is one.

The executive order signed August 6, 2026

As of August 6, 2026

Governor Andy Beshear signed an executive order on data centers on Thursday, August 6, 2026, announced at a Team Kentucky press conference.[6] The date and the contents are well confirmed across outlets. The order number is not.

What the order actually does

Five provisions, consistent across outlets:[6]

  1. Developers must submit an energy plan to the Energy and Environment Cabinet showing the project won’t raise electric bills for families and existing businesses.
  2. The Public Service Commission is to prevent utilities from raising rates to recover data-center-related costs.
  3. The Cabinet must deny permits for projects that would negatively affect air quality, water use, water quality, water supply, federal jurisdictional wetlands, or natural resources.
  4. Developers must pay their fair share of state, local, and school taxes.
  5. Developers must commit to transparent public engagement with local community leaders and residents.

What it is not, in the governor’s own words: Reported, not verified. “To be clear, this order doesn’t say ‘yes’ to any data center. That is up to the local community,” Beshear said, per WKYT’s coverage.[8] We recorded that quote from WKYT’s reporting but didn’t record the article URL, so it’s marked. The substance matches the rest of the coverage: this is a ratepayer, environmental, and tax accountability order. It is not a moratorium, it doesn’t pause any project, and it doesn’t touch local land use authority.[6]

The criticism

Enforcement is the weak point. The governor said his office will actively monitor compliance, and no penalties are stated. House Speaker David Osborne criticized the order for lacking real enforcement mechanisms.[6] Reported, not verified. Senate President Robert Stivers separately called it political theater, per WUKY. He argued the legislature should set a lasting framework rather than governing by executive order.[10] We didn’t record the WUKY article URL, so that one is marked. Attribute each criticism to the official who made it, not to “Republicans” generally.

Context: the 2026 legislature, controlled by Republicans, did not pass data center environmental or financial regulation. A Republican-sponsored bill to keep large-load infrastructure costs off other ratepayers died on the final day of the session.[11]

The state tax exemption

Statute text current as of June 27, 2025

Kentucky exempts qualifying data center equipment from state sales and use tax under KRS 139.499.[12] The dollar thresholds and the length of the exemption are in KRS 154.20-220, not in 139.499, which is a distinction most summaries get wrong.[13] Full detail is on the taxes explainer. The short version:

Industrial revenue bonds, a separate local mechanism

Reported, not verified. A Kentucky Attorney General opinion released in late August 2025 deemed that data centers qualify as “industrial buildings” under KRS 103.200(1)(a). That can make them eligible for industrial revenue bonds issued by local legislative bodies. The reasoning was that data is a commercial product because it’s produced and can be sold for a profit. The opinion was requested by a Louisville attorney on behalf of a client planning a large technology and data center project.[14]

We’ve read a news summary of that opinion, not the opinion itself, which is why it’s marked. If it holds up, it’s a local tax mechanism entirely separate from the state sales tax exemption. Local officials decide it, not Frankfort. Worth asking about by name.

The load numbers

Utility filings from March 2026, report published June 2026

The clearest Kentucky-specific numbers come from EPIC, a state commission the General Assembly created in 2024. They’re in a June 2026 report prepared for the legislature.[4]

The regulator has been openly skeptical of the pipeline. EPIC notes the Public Service Commission found it troubling that the utility had not provided evidence supporting the probability estimates it assigned to individual projects.[4] More on what this means on the power explainer.

One more piece of Kentucky context. The state’s first hyperscale facility is in southwest Louisville, announced January 2025 by PowerHouse Data Centers and Poe Companies. That’s the same pairing as the Carrollton project. LG&E secured 335 megawatts initially, with near-term expansion to 402 megawatts. The first phase of 130 megawatts is targeted for late 2026, against a lifetime investment of roughly $11 billion.[4]

Other Kentucky communities

As of June 8, 2026

Local governments across Kentucky have gone different directions, and the votes have not been one-sided.[11]

For balance, the industry position. Dan Diorio is vice president of state policy at the Data Center Coalition, an industry trade group. He says local moratoriums “send a signal that the area is closed for business.”[11]

What we still owe this page

All of that is tracked on the sources page.

Sources for this page

  1. WDRB (Louisville)

    Louisville-based development team announces plans for $9.6B data center campus in Carroll County

    2026. Accessed August 6, 2026.

    https://www.wdrb.com/news/business/louisville-based-development-team-announces-plans-for-9-6b-data-center-campus-in-carroll-county/article_fbadd4b9-3df3-4a85-8e1c-ed98165aec07.html

    Television news station.

  2. Carroll News-Democrat / Madison Courier (Paxton Media Group)

    Carrollton reaches agreement for $9.6B data center

    July 29, 2026. Accessed August 6, 2026.

    https://www.madisoncourier.com/carroll_news_democrat/news/carrollton-reaches-agreement-for-9-6b-data-center/article_f616dd07-b3b7-53dd-a9e8-4824c9263043.html

    Local newspaper. The only outlet reporting several Carroll County details on this site. Paxton Media Group owns both mastheads, so a second Paxton article is not an independent confirmation.

  3. Carroll News-Democrat / Madison Courier (Paxton Media Group)not verified

    DECA proposing $4B data center in Carroll County

    July 23, 2026. Accessed August 6, 2026.

    https://www.madisoncourier.com/carroll_news_democrat/

    Direct article URL was not recorded in our source pass, so the link goes to the outlet’s Carroll County section. Same owner as the July 29 story above. Treat both as one outlet.

  4. Kentucky Energy Planning and Inventory Commission (EPIC)

    EPIC Report No. 2026-001, “Data Centers in Kentucky: Policy Analysis for the General Assembly”

    June 2026. Accessed August 6, 2026.

    https://caer.uky.edu/sites/default/files/2026-06/epic-report-no-2026-001.pdf

    State commission report prepared for the General Assembly under KRS 164.2807. Hosted on the University of Kentucky CAER website, but it is not a UK study. Full 20-page text read directly. Its own disclaimer says it “does not constitute a formal recommendation or position of any state agency, utility, or regulated entity.”

  5. Kentucky Association of Counties

    Planning and Zoning 101 for Counties

    Undated article, figures given as of 2025. Accessed August 6, 2026.

    https://kaco.org/articles/planning-and-zoning-101-for-counties/

    Membership association for Kentucky county governments. Loaded directly.

  6. WKYU (public radio, Bowling Green)

    Kentucky Gov. Beshear to require data centers prove no impact on ratepayers

    August 6, 2026. Accessed August 6, 2026.

    https://www.wkyufm.org/2026-08-06/kentucky-gov-beshear-to-require-data-centers-prove-no-impact-on-ratepayers

    Public radio. Loaded directly. Primary source used for the executive order’s provisions.

  7. Washington Examiner

    Andy Beshear Kentucky data center executive order

    August 6, 2026. Accessed August 6, 2026.

    https://www.washingtonexaminer.com/policy/energy-and-environment/4678258/andy-beshear-kentucky-data-center-executive-order-latest-governor-crackdown/

    National outlet with a conservative editorial line. Used here only as one of the two outlets that printed the order number.

  8. WKYT (Lexington)not verified

    Coverage of the August 6, 2026 data center executive order

    August 6, 2026. Accessed August 6, 2026.

    https://www.wkyt.com/

    Television news station. Direct article URL was not recorded in our source pass, so the link goes to the station homepage. WKYT posted what appears to be the signed order to Scribd under the filename “20260806 Executive Order 2026 494 Related to Data Centers,” but that upload is set to private and cannot be read.

  9. Commonwealth of Kentuckynot verified

    Office of the Governor, and the Secretary of State executive order registry

    Checked August 6, 2026. Accessed August 6, 2026.

    https://apps.sos.ky.gov/executivejournal/

    This is the primary record that would confirm the order’s number. On August 6, 2026 the Secretary of State registry returned HTTP 403 to every request we made, and governor.ky.gov returned 403 as well, so we could not read the order itself. That is why the number on this site is attributed to news outlets instead of stated as fact.

  10. WUKY (public radio, Lexington)not verified

    Coverage of the August 6, 2026 data center executive order

    August 6, 2026. Accessed August 6, 2026.

    https://www.wuky.org/

    Public radio. Direct article URL was not recorded in our source pass, so the link goes to the station homepage.

  11. Kentucky Lantern

    Some Kentucky counties and cities are hitting pause on data centers

    June 8, 2026, by Liam Niemeyer. Accessed August 6, 2026.

    https://kentuckylantern.com/2026/06/08/some-kentucky-counties-and-cities-are-hitting-pause-on-data-centers/

    Nonprofit statehouse news outlet. Loaded directly.

  12. Kentucky Revised Statutes

    KRS 139.499, Exemption for certain data center equipment

    Effective July 15, 2024. Accessed August 6, 2026.

    https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=55425

    Primary statute text, read directly.

  13. Kentucky Revised Statutes

    KRS 154.20-220, definitions including “qualified data center project” and “term”

    Effective June 27, 2025. Accessed August 6, 2026.

    https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=56356

    Primary statute text, read directly. This is where the dollar thresholds and the length of the exemption actually live, not in KRS 139.499.

  14. Carroll News-Democrat / Madison Courier (Paxton Media Group)not verified

    Data centers qualify as industrial buildings, Attorney General says

    September 15, 2025. Accessed August 6, 2026.

    https://www.madisoncourier.com/carroll_news_democrat/

    Direct article URL was not recorded in our source pass, so the link goes to the outlet’s Carroll County section. The underlying Kentucky Attorney General opinion has not been read directly.