Kentucky Proud

Winery Cost-Share & Wholesaler Reimbursement Program

Kentucky Wine

Available Winery Grants

Two grant programs are available: the Marketing Cost-Share Program and the Wholesaler Reimbursement Program. These programs are available to every small farm winery in Kentucky. To find out how to be included in this program please call 502-782-4114.

Winery Cost-Share Program

Kentucky Grape and Wine Council Winery Marketing Cost Share Program Program Guidelines

Purpose of the Program
The Kentucky Grape and Wine Council Winery Marketing Cost-Share Program provides a 50% reimbursement of total expenditures for approved marketing projects, in accordance with 302 KAR 39:020, to assist Kentucky's small farm wineries in the promotion of grape and wine products through advertising. Funding for this program is provided by the Kentucky small farm wineries support fund established by KRS 260.175. This grant program is administered by the Kentucky Grape and Wine Council (KGWC), in collaboration with the Kentucky Department of Agriculture.

Available Funds
This annual fund will be divided equally into two (2) bi-annual program periods. The availability of funds will be a combination of the bi-annual portion and any unencumbered funds from the previous program periods. The KGWC will mail a written notice of the new program period to all licensed small farm wineries each June and December, requiring the winery to confirm if it will participate in this program. The Council will then calculate a cap for each participating small farm winery each January and July, based on the amount of funds available and the number of licensed wineries who confirm they will participate in the program period. A written notice of the cap for the program period will be mailed to all small farm wineries that confirm active participation in the program.

    Eligible Expenditures According to 302 KAR 39:020, the following items qualify for reimbursement:

  • An internet, print, radio, or television advertisement.
  • A promotional item to be given away.
  • Signage with permanent lettering or logo for a special event, tradeshow, farmers' market, or festival.
  • Uniform apparel that shall be worn by operators or employees for the purpose of advertising the grape or wine industry.
**Eligible expenditures must serve the primary purpose of promoting or selling Kentucky grapes, grape products, or wine. All items qualifying as eligible expenditures MUST clearly display a small farm winery logo or name.



What's Not Eligible? According to 302 KAR 39:020, the following items do not qualify for reimbursement:

  • Equipment without a primary purpose of advertising grapes or wine.
  • Blank or modifiable signage, electronics, or electronic media products.
  • Blank paper products or ink.
  • Promotional items that do not permanently or clearly display the small farm winery logo or name.
  • Food or wine products served at special events, tradeshows, farmers' markets, and festivals.
  • Membership dues or registration fees.

Application
The application must be pre-approved by the KGWC prior to the expenditure of funds requested. This is to ensure that expenditures are qualified. Completed applications will be submitted by the KDA to the KGWC at the next regular monthly meeting. The Council will make approvals, denials, or recommendations within two (2) regular meetings of the application submittal to the KGWC. Incomplete applications will be returned to you by the KDA.

Budget Request
The Budget Request portion of the application must be complete and reflect expenses as accurately as possible. This form must be submitted as part of the program application.

Expenditure Report The Expenditure Report form must be completed for all expenditures on the Budget Request that you are seeking reimbursement for. The expenditures reported on this form must have transpired to receive reimbursement. This form will be compared to the Budget Request form.

Reimbursement Request The following items must be mailed to the KGWC within 90 days of completion of the last approved expenditure reported on the approved Budget Request form:

  • An accurate Expenditure Report form.
  • A copy of the receipts indicating qualified expenditures on the Expenditure Report form.
  • Copies or photos of the qualified expenditures.

Reimbursement Check
The Kentucky Department of Agriculture will mail your reimbursement check following approval by the KGWC of the reimbursement request.

Wholesaler Reimbursement Program

Purpose of the Program
The Kentucky Grape and Wine Council Wholesaler Reimbursement Program is intended to assist licensed small farm wineries, defined by KRS 241.010(45), and licensed Kentucky wholesalers in the distribution of wine products. Funding for this program is provided by the Kentucky small farm wineries support fund established by KRS 260.175. This grant program is administered by the Kentucky Grape and Wine Council (KGWC), in collaboration with the Kentucky Department of Agriculture, in accordance with 302 KAR 39:020.

Guidelines
A licensed Kentucky wine wholesaler may be reimbursed $20 per case for distributing the wine products of licensed small farm wineries based on the following requirements:

  • The wholesaler must complete the program application and receive written confirmation of receipt from the KGWC before delivering wine.
  • The wine must be pre-approved by the KGWC before delivery.
  • The wholesaler must sell the wine at the same price it was purchased.
  • The wholesaler will not be reimbursed for any wine that is participating in an active marketing contract with a wholesaler.
  • The wine must be delivered by the wholesaler before a reimbursement request can be filed.
  • The reimbursement request must be submitted to the KGWC within 90 days of wine delivery.
The wholesaler is not required to undertake any marketing or promotional responsibility for the approved wine.



Approval of Wine
The KGWC will approve wine that is confirmed by the Kentucky Office of Alcoholic Beverage Control as a product of a small farm winery with a valid Kentucky license. All wine must be approved prior to delivery to be eligible for reimbursement.

Limitations on Reimbursement
This annual fund will be divided equally into two (2) bi-annual program periods. The availability of funds will be a combination of the bi-annual portion and any unencumbered funds from the previous program periods. The KGWC will mail a written notice of the new program period to all licensed small farm wineries each June and December, requiring the winery to confirm if it will have products participating in this program. The Council will then calculate a cap for each participating small farm winery each January and July, based on the amount of funds available and the number of licensed wineries who confirm they will participate in the program period. A written notice of the cap for the program period will be mailed to all small farm wineries that confirm active participation in the program and to all licensed wholesalers.

Reimbursement
The wholesaler must provide the KDA with a completed Reimbursement Request and a printed report that includes eligible wine purchase price, sale price, and proof of delivery.

Reimbursement Check
The Kentucky Department of Agriculture will mail your reimbursement check following approval by the KGWC of the reimbursement request.

Direct all inquiries and mail all applications and forms to:
The Kentucky Grape and Wine Council
c/o The Kentucky Department of Agriculture
111 Corporate Drive, Frankfort, KY 40601
(502) 782-4117,
or email this program