Mehta points out, the Ark Encounter “has legally been a for-profit business in order to receive a number of tax incentives from the city and state. … It’s not a church; it’s a money-making tourist attraction.”
But the plan didn’t have its intended effect. On July 18, the Kentucky Tourism, Arts, and Heritage Cabinet sent a letter to the Ark Encounter’s lawyers, informing them that as of July 10, they were “in breach of its Tourism Development Agreement… with the Commonwealth.” “On July 10, 2017, the Tourism, Arts, and Heritage Cabinet… became aware of a quit claim deed transferring the Ark Project land, with all the privileges and appurtenances to the same, from Ark Encounter, LLC, a for profit company, to Crosswater Canyon, Inc. a non-profit company,” the letter read.
please be advised that no further incentives may accrue from sales tax imposed on sales generated by or arising at the tourism development project, as of the date of transfer of the property, June 28, 2017,” the letter continued.