The initial round of competition for Empowerment Zone or Enterprise Community designations concluded in December 1994 with the announcement of three (3) rural Empowerment Zones and thirty (30) rural Enterprise Communities. One of the Empowerment Zones selected was The Kentucky Highlands Empowerment Zone (KHEZ). It consists of Clinton County, Jackson County, and two census tracts of Wayne County. This designation brought $40 million in block grants from Health and Human Services to the area and has allowed it to compete favorably for millions more since 1994.

One project that was a direct result of the Empowerment Zone designation is the ASPIRE Center located in Wayne County. ASPIRE is an acronym for Activities, Sports, Programs, Information, Recreation and Education. This center has provided a facility where young and old meet to use state-of-the-art technology. It is a unique facility in that it has multiple components including recreational programs, athletic activities and a computer learning center where users can access the Internet. Several colleges and universities use the ASPIRE Center to bring educational opportunities to Wayne County that would otherwise only be available at some distance away.

The initial round of selections also brought a designation of Enterprise Community to an alliance known as the Scott/McCreary Area Revitalization Team (SMART). Scott County, Tennessee, and McCreary County, Kentucky, have joined forces in an attempt to address common economic problems. Since their designation in 1994, SMART has succeeded in bringing a substantial number of jobs to the area as well as obtaining funding for several infrastructure and community development projects. One of these is the McCreary County Center. A school building was renovated and a 15,000 square foot addition added to house classrooms, a science laboratory, a conference room and a distance learning center. McCreary County has also received approval of $100 million for construction of a high-security prison.

The second round of Empowerment Zone/Enterprise Community selections were made December 24, 1998. Bowling Green, Kentucky was designated as an Enterprise Community in Round II and received $250,000 in annual funding in each of the first two years and $249,450 in years three and four. Round II EZ/EC(s) receive their allocation on an annual basis.