State officials issued their final approval for up to $5 million in tax incentives for Catalent Pharma Solutions over the next decade.

The measure was approved during the May 30 meeting of the Kentucky Economic Development Finance Authority in Frankfort.

The incentives are connected to a $61.7 million project at the Winchester facility for renovations, new equipment and expansion.

The incentives were issued under the Kentucky Business Investment program.

The project was initially announced in April 2015.

Jack Mazurak, director of communications for the Kentucky Cabinet for Economic Development, said Catalent now has two years to activate its plan.

The incentives, he said, are performance-based and require the company to meet several targets, including number of employees and average wages.

State documents indicate Catalent must create 100 jobs when the incentives are activated, and increase by 40 jobs each of the first five years. After that, it must maintain 300 employees. It also calls for an average hourly wage with benefits of $32.

If the company meets all targets, it can request up to $500,000 a year in tax credits, Mazurak said. If it misses goals, the amount of credits would be reduced for that year.

“They have to submit their employee numbers and wages paid to the state,” he said.

The incentives will end after 10 years.

The authority issued its preliminary approval for the project March 26, 2015. Mazurak said companies have three years from the preliminary approval date to finalize their application, though extensions can be granted.

The incentives are the latest in a number of expansion projects at the Winchester facility.

A month ago, the company said it would invest up to $40 million to add new equipment to increase its tablet and capsule manufacturing capability in Winchester.

In April 2015, the company completed a $52 million expansion which added 140 jobs and 80,000 square feet to its then 100,000 square-foot facility in Winchester.

The facility opened in 1992 and manufactures over-the-counter and prescription medication in tablets, capsules and powders.