Two years ago, Kentucky’s 15 Area Development Districts, through the Kentucky Council of Area Development Districts, created the Kentucky Area Development Districts (KADD) loan program. The program provides access to tax-exempt financing for cities, counties and special districts. The program offers low-interest rate funding with low or no fees and closing costs. Monies can be used for virtually any governmental purpose.

The loan pool is capitalized through the sale of tax-exempt bonds. Loans are ultimately made to borrowers following loan submission and approval.