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2024 Legislative Update

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01<br />

100 East Vine St #800, Lexington, KY 40507<br />

800.876.4552 | KLC.ORG | KLCCITYLIMIT.com<br />

@KyLeagueCities<br />

Kentucky League of Cities<br />

KentuckyLeagueOfCities<br />

<strong>2024</strong><br />

<strong>Legislative</strong><br />

<strong>Update</strong><br />

KLC.ORG


02<br />

TABLE OF CONTENTS<br />

SECTION 1: AGRICULTURE --------------------------------------------------------------------------------------<br />

HB 418 Agricultural Districts<br />

SB 16 Agricultural Key Infrastructure Assets<br />

SECTION 2: ALCOHOLIC BEVERAGES ------------------------------------------------------------------------<br />

HB 439 Quota Retail Package License<br />

HB 712 Local Option Election for Limited Sale of Alcoholic Beverages in Precinct Containing Marina<br />

SECTION 3: ANNEXATION ----------------------------------------------------------------------------------------<br />

HB 492 Annexation into Third County<br />

HB 596 Annexation Restrictions and Procedures<br />

SECTION 4: BROADBAND INTERNET -------------------------------------------------------------------------<br />

HB 267 Office of Broadband Development<br />

SJR 175 Broadband Pole Attachment<br />

SECTION 5: CONTROLLED SUBSTANCES --------------------------------------------------------------------<br />

HB 829 Medicinal Cannabis<br />

SECTION 6: CRIMES & PUNISHMENTS -----------------------------------------------------------------------<br />

HB 5 Safer Kentucky Act<br />

HB 159 Immunity from Criminal Liability for Health Care Providers<br />

SECTION 7: ECONOMIC DEVELOPMENT & TOURISM -----------------------------------------------------<br />

HB 13 Kentucky Product Development Initiative<br />

HB 29 Motor Vehicle Racing Events<br />

HB 533 Municipal Revenue Bonds for Economic Development<br />

HB 561 Certified Child Care Community Education Program<br />

HB 712 Kentucky Ohio River Regional Recreation Authority<br />

HB 723 Government Resources Accelerating Needed Transformation Program<br />

SB 125 Off-Highway Vehicle Pilot Program<br />

SJR 176 Workforce Attraction and Retention Task Force<br />

SECTION 8: EMERGENCY MEDICAL SERVICES --------------------------------------------------------------<br />

HB 57 Classifications<br />

HB 272 Abandoned Infants<br />

HB 484 Emergency Medical Services Education Grant Program<br />

KLC UPDATE


03<br />

HB 528<br />

HB 782<br />

911 Services<br />

Telecommunicators<br />

SECTION 9: FIRE DEPARTMENTS & FIREFIGHTERS ----------------------------------------------------------<br />

SECTION 10: FISCAL MATTERS ------------------------------------------------------------------------------------<br />

SECTION 11: LAW ENFORCEMENT -------------------------------------------------------------------------------<br />

SECTION 12: LOCAL GOVERNMENT ADMINISTRATION -----------------------------------------------------<br />

SECTION 13: NUCLEAR ENERGY ----------------------------------------------------------------------------------<br />

SECTION 14: PLANNING & ZONING ------------------------------------------------------------------------------<br />

HB 43 Change in Fire Protection Services<br />

HB 323 Cancer Detection in Firefighters<br />

HB 1 Appropriations from State “Rainy Day” Fund<br />

HB 6 State/Executive Branch Budget<br />

HB 8 Tax Increment Financing<br />

HB 752 Disaster Recovery Funds<br />

HB 5 Crimes and Punishment<br />

HB 456 County Sheriff’s Office and County Police Force<br />

HB 482 Kentucky Law Enforcement Council<br />

HB 551 Cold Cases<br />

SB 162 Vehicle Accident Reports<br />

HHB 18 Rights of Owners of Rental Property<br />

HB 248 Reinstatement of Police and Fire Department Employees in Urban-County Government<br />

HB 320 Civil Procedure<br />

HB 472 Residential Planned Communities<br />

HB 528 City Alcoholic Control Administrators<br />

HB 388 Consolidated Local Government<br />

HB 492 Local Government Access to Federal Tax Information<br />

SB 198 Nuclear Energy Development<br />

SJR 140 Public Service Commission<br />

HB 443 Land Use<br />

HB 581 Retail Filling Stations<br />

KLC.ORG


04<br />

SECTION 15: PUBLIC HEALTH --------------------------------------------------------------------------------<br />

HB 11 Nicotine Products<br />

HB 109 Swimming Pools<br />

HB 293 Kratom<br />

HB 583 Environmental Emergencies<br />

SB 71 Mental Health Evaluators<br />

SECTION 16: RETIREMENT SYSTEMS -------------------------------------------------------------------------<br />

HB 99 Kentucky Public Pensions Authority<br />

SECTION 17: SCHOOL SAFETY ---------------------------------------------------------------------------------<br />

SB 2 Student Safety<br />

SECTION 18: SUBSTANCE ABUSE -----------------------------------------------------------------------------<br />

HB 462 Recovery Residences<br />

SB 71 Substance Use Treatment Programs<br />

SECTION 19: TAXATION ------------------------------------------------------------------------------------------<br />

HB 147 Property Tax Rate Levies<br />

SB 58 Recall Petitions<br />

SECTION 20: TRANSPORTATION -------------------------------------------------------------------------------<br />

HB 7 Autonomous Vehicles<br />

SB 107 Towing Companies<br />

SB 215 Emission Control<br />

SECTION 21: UTILITIES -------------------------------------------------------------------------------------------<br />

SB 229 Municipal Utilities<br />

SECTION 22: WATER & WASTEWATER SYSTEMS -----------------------------------------------------------<br />

HB 40 Board of Certification for Water Treatment and Distribution System Operators<br />

HB 563 Distressed Water and Wastewater Systems<br />

SJR 149 PFAS Management Practices<br />

SECTION 23: WORKFORCE INSURANCE ---------------------------------------------------------------------<br />

HB 401 Workers’ Compensation<br />

SB 140 Unemployment Insurance Compensation<br />

KLC UPDATE


05<br />

BILL TITLE & PAGE NUMBER<br />

House Bill 1: Appropriations from State “Rainy Day” Fund – Pg. 27<br />

HB 5: Crimes and Punishment – Pg. 15<br />

HB 6: State/Executive Branch Budget – Pg. 28<br />

HB 7: Autonomous Vehicles – Pg. 48<br />

HB 8: Tax Increment Financing – Pg. 29<br />

HB 11: Nicotine Products – Pg. 38<br />

HB 13: Kentucky Product Development Initiative – Pg. 17<br />

HB 18: Rights of Owners of Rental Property – Pg. 31<br />

HB 29: Motor Vehicle Racing Events – Pg. 18<br />

HB 40: Board of Certification for Water Treatment and Distribution System Operators – Pg. 51<br />

HB 43: Change in Fire Protection Services – Pg. 26<br />

HB 57: Classification – Pg. 23<br />

HB 99: Kentucky Public Pensions Authority – Pg. 42<br />

HB 109: Swimming Pools – Pg. 38<br />

HB 147: Property Tax Rate Levies – Pg. 47<br />

HB 159: Immunity from Criminal Liability for Health Care Providers – Pg. 16<br />

HB 248: Reinstatement of Police and Fire Department Employees in Urban-County Government – Pg. 31<br />

HB 267: Office of Broadband Development – Pg. 12<br />

HB 272: Abandoned Infants – Pg. 23<br />

HB 293: Kratom – Pg. 39<br />

HB 320: Civil Procedure – Pg. 32<br />

HB 323: Cancer Detection in Firefighters – Pg. 26<br />

HB 388: Consolidated Local Government – Pg. 33<br />

HB 418: Agricultural Districts – Pg. 7<br />

HB 439: Quota Retail Package License – Pg. 8<br />

HB 401: Workers’ Compensation – Pg. 54<br />

HB 443: Land Use – Pg. 3<br />

HB 456: County Sheriff’s Office and County Police Force – Pg. 30<br />

HB 462: Recovery Residences – Pg. 45<br />

HB 472: Residential Planned Communities – Pg. 32<br />

HB 482: Kentucky Law Enforcement Council – Pg. 30<br />

HB 484: Emergency Medical Services Education Grant Program – Pg. 23<br />

HB 492: Annexation into Third County – Pg. 47<br />

HB 492: Local Government Access to Federal Tax Information – Pg. 34<br />

HB 528: 911 Services – Pg. 24<br />

HB 528: City Alcoholic Control Administrators – Pg. 33<br />

KLC.ORG


06<br />

HB 533: Municipal Revenue Bonds for Economic Development – Pg. 18<br />

HB 551: Cold Cases – Pg. 30<br />

HB 561: Certified Child Care Community Education Program – Pg. 19<br />

HB 563: Distressed Water and Wastewater Systems – Pg. 51<br />

HB 581: Retail Filling Stations – Pg. 37<br />

HB 583: Environmental Emergencies – Pg. 40<br />

HB 596: Annexation Restrictions and Procedures – Pg. 9<br />

HB 712: Local Option Election for Limited Sale of Alcoholic Beverages in Precinct Containing Marina – Pg. 8<br />

HB 712: Kentucky Ohio River Regional Recreation Authority – Pg. 8<br />

HB 723: Government Resources Accelerating Needed Transformation Program – Pg. 20<br />

HB 752: Disaster Recovery Funds – Pg. 29<br />

HB 782: Telecommunicators – Pg. 24<br />

HB 829: Medicinal Cannabis – Pg. 14<br />

Senate Bill 2: Student Safety – Pg. 43<br />

SB 16: Agricultural Key Infrastructure Assets – Pg. 7<br />

SB 58: Recall Petitions – Pg. 47<br />

SB 71: Substance Use Treatment Programs – Pg. 41<br />

SB 107: Towing Companies – Pg. 49<br />

SB 125: Off-Highway Vehicle Pilot Program – Pg. 22<br />

SB 140: Unemployment Insurance Compensation – Pg. 54<br />

SB 162: Vehicle Accident Reports – Pg. 30<br />

SB 198: Nuclear Energy Development – Pg. 35<br />

SB 215: Emission Control – Pg. 49<br />

SB 229: Municipal Utilities – Pg. 50<br />

SJR 140: Public Service Commission – Pg. 36<br />

SJR 149: PFAS Management Practices – Pg. 53<br />

SJR 175: Broadband Pole Attachment – Pg. 13<br />

NOTE<br />

The effective date of all legislation enacted by the <strong>2024</strong> Regular Session of the General Assembly is July<br />

15, <strong>2024</strong> except for measures containing emergency or delayed effective date provisions. (OAG 24-04)<br />

If a bill reported in this update becomes effective on a date other than<br />

July 15, <strong>2024</strong>, it is noted in the summary of the bill.<br />

The complete text of all bills is available for review on the<br />

<strong>Legislative</strong> Research Commission website at www.lrc.ky.gov.<br />

KLC UPDATE


1. AGRICULTURE<br />

07<br />

HB 418<br />

AGRICULTURAL DISTRICTS<br />

Sponsor: Representative Michael Pollock (R–Campbellsville)<br />

HB 418, a KLC initiative, amends KRS 262.850 to decrease the minimum number of acres to qualify<br />

as an agricultural district from 250 acres to 50 acres. Upon receipt of a petition to form an agricultural<br />

district, the local conservation district board of supervisors shall, in addition to notifying the fiscal court<br />

and any local or regional planning or zoning body of the proposed agricultural district, notify each city that<br />

is located less than one mile from the boundaries of the proposed agricultural district.<br />

Upon approval of a petition to form an agricultural district, notice of the approval shall be provided<br />

to the clerk of each city that is located less than one mile from the boundaries of the approved agricultural<br />

district, in addition to the area development district in which the agricultural district will lie, the local<br />

county clerk, and the secretary of the Governor’s Cabinet by sending a description of the boundaries and<br />

the names and addresses of the property owners within the district.<br />

Procedures for dissolution of an agricultural district are amended to permit any member, or<br />

any successor heir of a member, of an agricultural district may withdraw his or her property from the<br />

agricultural district upon notifying the local conservation district board of supervisors in writing. The<br />

removal of the property from an agricultural district shall be effective immediately upon receipt by the<br />

board of the written notification, at which time the district board of supervisors shall remove the property<br />

from the agricultural district and immediately provide written notice of the changed boundaries to the<br />

same entities and persons named to receive notice of a petition to form an agricultural district.<br />

The withdrawal of a member from an agricultural district reducing the remaining acreage of the<br />

agricultural district land to less than 50 acres, or resulting in the remaining land being noncontiguous,<br />

shall not cause the decertification of the district. The local district board of supervisors may consider<br />

a dissolution of the agricultural district if the withdrawal results in the remaining property within the<br />

agricultural district no longer meeting the definition of agricultural land as defined in KRS 132.010.<br />

SB 16<br />

AGRICULTURAL KEY INFRASTRUCTURE ASSETS<br />

Sponsor: Senator John Schickel (R–Union)<br />

SB 16 amends KRS 511.100 to expand the definition of “key infrastructure assets” to include: 1) an<br />

animal feeding operation as defined in C.F.R. sec. 122.23; 2) a concentrated animal feeding operation as<br />

defined in 40 C.F.R. sec. 122.23; or 3) a commercial food manufacturing or processing facility in which food<br />

is manufactured, processed, or packaged commercially for human consumption, but not including retail<br />

food establishments, home-based processors, or home-based microprocessors as those terms are defined<br />

in KRS 217.015.<br />

The definition of the offense of trespass upon key infrastructure assets is also expanded to include<br />

knowingly, without the consent of the owner or authorized representative, operating an unmanned aircraft<br />

system, video recording device, audio recording device, or photography equipment on or above property<br />

containing an agricultural key infrastructure asset; or records or distributes, photographically, electronically,<br />

or otherwise, any part, procedure, or action of an agricultural key infrastructure asset.<br />

Additional exceptions to the offense of trespass upon key infrastructure assets are added to<br />

include: 1) any electric, water, or natural gas utility company or a person acting on behalf of any electric,<br />

water, or natural gas utility company for legitimate business purposes; and 2) any federal, state, or local<br />

government law enforcement or regulatory officer or employee while the officer or employee is engaged in<br />

the performance of his or her official duties.<br />

KLC.ORG


08<br />

2. ALCOHOLIC BEVERAGES<br />

HB 439<br />

QUOTA RETAIL PACKAGE LICENSE<br />

Sponsor: Representative Matthew Koch (R–Paris)<br />

HB 439 amends several statutes relating to alcoholic beverages, including statutes relating to quota<br />

retail package licenses. KRS 241.066 is amended to increase the number of quota retail package licenses in a<br />

wet county or urban county government containing more than 100,000 residents, excluding Louisville, to one<br />

license for every 2000 residents from one license for every 2300 residents.<br />

KRS 241.069 is amended as a KLC initiative to permit any city, including any city located in a wet or<br />

dry county or urban-county government, to petition the Department of Alcoholic Beverage Control for an<br />

increase in the number of quota retail package licenses available in the city. KRS 242.021 is amended to permit<br />

a city, including a city located in a wet or dry county or urban-county government, to file a request seeking<br />

to increase the number of quota retail package licenses in the city within one year, instead of 3 years, after the<br />

certification of the local option election approving alcohol sales that resulted in the establishment of the quota<br />

retail package license number that the city seeks to have increased.<br />

KRS 243.360 is amended to permit an applicant for a license to publish its intent to apply for a license<br />

either online or in print, subject to an administrative regulation promulgated by the Department of Alcoholic<br />

Beverage Control.<br />

KRS 243.060 is amended to permit the disposal of contraband alcoholic beverages through public<br />

auction, rather than destruction, if: 1) a final order has been entered after all administrative and judicial<br />

proceedings are conducted, if applicable; 2) the entire proceeds of the public auction are donated to the<br />

alcohol wellness and responsibility education fund; and 3) the department deems the inventory safe to release<br />

to the public, including but not limited to the alcoholic beverages being in their original, unopened packaging.<br />

KRS 243.232 is amended to create a vintage distilled spirits license to be issued as a supplementary<br />

license to a licensee that holds a primary license that permits the sale of distilled spirits by the package or by<br />

the drink. Vintage distilled spirits licensees must purchase all vintage distilled spirits in person at its licensed<br />

premises and, at the time of purchase, immediately place a conspicuous sticker, not readily removable, on the<br />

bottle or container that states ‘Vintage Distilled Spirit’. A vintage distilled spirits licensee shall not purchase<br />

more than 24 vintage distilled spirits packages from any single vintage distilled spirits seller in any given<br />

12-month period. A vintage distilled spirits seller shall not sell more than 24 vintage distilled spirit packages<br />

to any single or combination of vintage distilled spirits licensees in any given 12-month period. KRS 243.990 is<br />

amended to establish penalties for vintage distilled spirits sellers who exceed the maximum package limit. An<br />

emergency is declared. HB 439 became law on April 4, <strong>2024</strong> when signed by the Governor.<br />

HB 712<br />

LOCAL OPTION ELECTION FOR LIMITED SALE OF ALCOHOLIC BEVERAGES<br />

IN PRECINCT CONTAINING A MARINA<br />

Sponsor: Representative Ken Fleming (R–Louisville)<br />

HB 712 creates a new section of KRS Chapter 242 to permit a local option election for the sale of<br />

alcoholic beverages to be held in any precinct in a dry or moist county where a marina is located. “Marina” is<br />

defined to mean a dock or basin providing moorings for boats and offering supply, repair, or other services for<br />

remuneration.<br />

A new section of KRS Chapter 243 is created to detail qualifications. To qualify for a local option<br />

election, a marina shall: 1) operate on any body of water; 2) own, operate, or manage at least 15 boat slips; 3)<br />

buy and sell gasoline and petroleum products for the operation of boats; and 4) sell staple groceries; operate a<br />

restaurant on its premises; or sell staple groceries and operate a restaurant on its premises. A restaurant on the<br />

premises is not required to be located on or adjacent to the shoreline of the body of water.<br />

A petition seeking a local option election shall state, “We the undersigned registered voters hereby<br />

petition for an election on the following question: ‘Are you in favor of the sale of alcoholic beverages by the<br />

drink and malt beverages by the package at marinas located in (name of precinct)?’”.<br />

Likewise, a local option election for the sale of alcoholic beverages shall be conducted in the same<br />

manner as specified in KRS Chapter 242. The form of the proposition to be voted upon shall be “Are you in<br />

favor of the sale of alcoholic beverages by the drink and malt beverages by the package at marinas located<br />

in the (name of precinct)?”. When a majority of the votes cast in an election are in favor of establishing moist<br />

territory, the premises of marinas located in that precinct shall become moist in the manner specified in KRS<br />

242.200.


3. ANNEXATION<br />

09<br />

HB 596<br />

ANNEXATION RESTRICTIONS AND PROCEDURES<br />

Sponsor: Representative Jonathan Dixon (R-Corydon)<br />

HB 596, initially filed on behalf of county governments, amends several provisions in KRS Chapter<br />

81 and KRS Chapter 65 related to annexation. KRS 81A.412 is amended to require when a city located in a<br />

county subject to crediting of occupation license fees as set forth in KRS 68.197 proposes to annex territory,<br />

it shall provide written notice to the fiscal court of the county in which the territory is located regarding the<br />

proposed annexation that includes a map and description of the territory to be annexed at least 45 days prior<br />

to enactment of an ordinance finally annexing the territory into the city.<br />

KRS 81A.420 is amended to eliminate an election in opposition to a proposed annexation but allow<br />

a petition to defeat an annexation proposal if 51% or more of the resident voters or owners of real property<br />

within the proposed territory sign and submit to the mayor a petition in opposition within 60 days following<br />

publication of the ordinance proposing annexation. If within 60 days following publication of the ordinance<br />

proposing annexation, no petition in opposition containing the signatures of 51% or more of the resident voters<br />

or owners of real property within the limits of the territory proposed to be annexed has been received by the<br />

mayor, and if the city has provided the written notice to the fiscal court of the county in which the territory is<br />

located at least 45 days prior, the legislative body of the city may enact an ordinance annexing to the city the<br />

territory described in the ordinance.<br />

A new section of KRS 65.210 to 65.300 is created to make interlocal agreements concerning the<br />

sharing of occupational or insurance premium tax revenue between a city and a county terminable only with<br />

the consent of both parties.<br />

A new section of KRS Chapter 81A is created to allow a county subject to occupational tax crediting to<br />

have standing to challenge a proposed annexation prior to or within 60 days after enactment of an ordinance<br />

proposing annexation.<br />

When a city annexes territory in a county that contains active residential, commercial, or industrial<br />

uses on a substantial part of the territory, and the crediting provisions contained in KRS 68.197 apply to the<br />

county, the city shall remit payments to the county on January 1 of each year for a period of 10 years following<br />

enactment of the ordinance annexing the described territory to the city pursuant to the following formula: 1)<br />

the county shall calculate the amounts of ad valorem property, occupational licensure, and insurance premium<br />

taxes the county collected within the territory in the year prior to the proposed annexation;<br />

KLC Executive<br />

Director/CEO<br />

J.D. Chaney<br />

testifies before<br />

the House Local<br />

Government<br />

Committee with<br />

Annexation<br />

Task Force<br />

Co-Chairs Sen.<br />

Robby Mills and<br />

Rep. Jonathan<br />

Dixon, and<br />

KACo Executive<br />

Director/CEO<br />

Jim Henson.<br />

KLC.ORG


10<br />

2) the county shall add to the total amount of ad valorem property tax 150% of the occupational licensure tax<br />

and 150% of the insurance premium tax collected in the year prior to annexation; and 3) the county shall then<br />

subtract from the figure calculated the property tax, occupational licensure tax, and insurance premium tax<br />

revenue it has collected or anticipates it will be able to collect for each year following the annexation, which<br />

figure will represent the remittance payment required to be paid by the city to the county.<br />

The county shall update its calculations on a yearly basis and provide the updated figure to the city<br />

at least thirty 30 days prior to the date on which payment is required to be made by the city. A city shall not<br />

be required to remit payments unless the county has provided the city with documentation confirming the<br />

calculation.<br />

When a city proposes to annex territory that: 1) does not contain active residential, commercial, or<br />

industrial uses on a substantial part of the territory and the crediting provisions contained in KRS 68.197<br />

apply to the county in which the territory is located; 2) the territory is not immediately contiguous to the<br />

existing city boundary and is connected only by a corridor; or 3) the territory is contiguous to the existing<br />

city boundary, but the city is not able to provide tangible benefits or services as a result of the annexation,<br />

the county may, within 15 days after receiving written notice of the annexation from the city, enact a<br />

resolution for transmission to the city stating that the county desires to negotiate with the city regarding<br />

creation of an interlocal agreement for revenue and cost sharing related to development of the territory to be<br />

annexed.<br />

If a city receives the resolution, it shall negotiate with the county to form an interlocal agreement that<br />

addresses participation between the county and city in: 1) cost sharing for public investment in development<br />

of the area; 2) cost sharing for provision of municipal services within the area; and 3) revenue sharing of<br />

occupational tax revenue collected from the territory. The negotiations shall be completed within 60 days of<br />

the enactment of the resolution by the county, and the city shall not enact an ordinance to annex during that<br />

period. If the parties fail to reach an agreement within the 60-day period, the city may enact an ordinance<br />

annexing the territory. The county may elect to participate or not participate in development of the territory.<br />

If the county elects to participate with the city in development of the territory, a cost and revenue<br />

sharing default option shall apply, under which the county shall provide funding for 50% of the costs<br />

associated with the public investment made in developing the territory and 50% of the costs associated with<br />

the provision of additional municipal services in the territory.<br />

The city shall be required to remit to the county, on a yearly basis, 50% of the occupational tax<br />

revenue generated in the territory, or an amount of occupational tax revenue that would equal the amount<br />

that the county would collect from the territory pursuant to its countywide occupational tax rate in the<br />

absence of crediting, whichever is less. In no instance shall a county receive payments that would exceed the<br />

amount it would collect from the territory pursuant to its countywide occupational tax rate in the absence of<br />

crediting.<br />

If a county would receive an amount of revenue that is less than 50% of the occupational tax revenue<br />

generated in the territory, its responsibility for funding shall be changed to a percentage equal to the<br />

percentage of revenue that the county would receive. A county may, during the 60-day period discussed,<br />

KLC Public Affairs Director<br />

Bryanna L. Carroll is<br />

interviewed by WEKU<br />

reporter Stu Johnson.<br />

KLC UPDATE


11<br />

Kentucky Capitol Dome<br />

undergoing renovations.<br />

elect to impose a countywide occupational tax or raise its countywide occupational tax rate in conformance<br />

with statute.<br />

Any agreement, including a default agreement, shall be considered an interlocal agreement and be<br />

subject to the provisions of the Interlocal Cooperation Act, including the reporting requirements contained in<br />

KRS 65.260.<br />

A new section of KRS Chapter 81A is created to allow fiscal courts to establish designated county<br />

industrial districts by enacting an ordinance stating its intent to establish a district that includes a map<br />

and description of the area to be included within the district. Within 10 days of the enactment of the initial<br />

ordinance, the fiscal court shall provide written notice to all cities within the county that includes a map<br />

and a description of the area. The fiscal court shall obtain written consent for inclusion within the proposed<br />

district from each property owner of record within the area to be included in the district. If a county fails<br />

to obtain the consent of each property owner of record, the county shall be barred from including the land<br />

owned by a property owner who did not consent for a period of 5 years in any future attempts to include<br />

that land in the district. Within 100 days following enactment of the ordinance of intent to establish a<br />

district, and after obtaining the consent of each property owner of record, the fiscal court may enact a final<br />

ordinance establishing the district. Within 10 days of enactment of the final ordinance, the fiscal court shall<br />

provide written notice to all cities within the county.<br />

The area within a designated county industrial district shall: 1) be suitable for development for<br />

industrial or commercial purposes; 2) as of the date of the establishment of the district, not be used for<br />

industrial or commercial purposes; and 3) as of the date of the establishment of the district, not have any<br />

part that is contiguous to the municipal boundaries of any city. Land within a district shall be used solely for<br />

industrial or commercial purposes.<br />

A county may establish up to 2 districts that shall collectively total no more than 1,000 acres. If,<br />

within 5 years following establishment of a district, the county has not made substantial investment in<br />

the district, the district shall be dissolved by operation of law. A landowner of property located within a<br />

district may have the property removed from the district with the consent of the county that established<br />

the district. A property owner of land within an established district or abutting a district, or a city within a<br />

county containing a district, may bring suit against the county in the Circuit Court of the county in which the<br />

district is located, on the basis that the county has failed to comply with the provisions of the Act relating to<br />

industrial districts.<br />

A city shall not annex any territory that is within a designated county industrial district, or territory<br />

that is part of a proposed district between the enactment of the initial ordinance but before the enactment<br />

of the final ordinance establishing a designated county industrial district. A city may annex territory within<br />

a district, subject to all other requirements provided by law, if it enters into an interlocal agreement with the<br />

county that specifically allows part or all of the district to be annexed, or the county government passes a<br />

resolution stating that territory in the district may be annexed.<br />

KLC.ORG


12<br />

4. BROADBAND INTERNET<br />

HB 267<br />

OFFICE OF BROADBAND DEVELOPMENT<br />

Sponsor: Representative Josh Bray (R-Mount Vernon)<br />

HB 267 creates new sections of KRS Chapter 224A to establish the federal Broadband Equity<br />

Access and Development Program (BEAD) in the Office of Broadband Development within the Kentucky<br />

Infrastructure Authority as the single point of contact and liaison between the Commonwealth and<br />

federal agencies with regard to programs to expand access to broadband in Kentucky, including<br />

the National Telecommunications and Information Administration, which is part of the United States<br />

Department of Commerce. Under the Infrastructure Investment and Jobs Act, Pub. L. No. 117-58, the<br />

National Telecommunications and Information Administration has allocated significant funding to support<br />

broadband deployment throughout Kentucky as part of the BEAD program administered by the National<br />

Telecommunications and Information Administration.<br />

The Office of Broadband Development shall prioritize BEAD Program funds for delivery of service to the<br />

last mile of unserved areas consistent with the federal requirements.<br />

The Office of Broadband Development is authorized to administer the Kentucky BEAD Grant Program,<br />

including the powers to:<br />

1) Develop and submit BEAD Program funding requests to the National Telecommunications and<br />

Information Administration or other responsible federal entities;<br />

2) Conduct a challenge process consistent with federal requirements to identify Kentucky locations<br />

eligible for funding;<br />

3) Develop an application process for applications for funding from the Kentucky BEAD Grant Program,<br />

including requirements for the applications;<br />

4) Determine eligibility criteria for prospective subgrantees and projects;<br />

5) Create rules governing the review process and timeline for applications and challenges to those<br />

applications;<br />

6) Make administrative rules necessary for the achievement of the goals of the Kentucky BEAD Grant<br />

Program;<br />

7) Coordinate and partner with local governments or private entities as necessary;<br />

8) Determine which grant applications should receive funding and disburse those grants from the BEAD<br />

fund;<br />

9) Enter into contracts or agreements necessary or incidental to the performance of its duties, functions,<br />

and responsibilities;<br />

10) Require applicants to submit letters of credit, bonds, or other reasonable means of assuring project<br />

completion it deems appropriate and necessary;<br />

11) If funding is available after identifying and funding BEAD Program deployment projects, identify and<br />

fund nondeployment projects consistent with federal law;<br />

12) Oversee and administer reporting and compliance under grants made under the Kentucky BEAD Grant<br />

Program consistent with federal law; and<br />

13) Act as otherwise necessary to pursue the goals of the Kentucky BEAD Grant Program.<br />

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The BEAD fund is established in the State Treasury for administration by the Office of Broadband<br />

Development. All moneys in the fund shall be allocated and dedicated solely to providing moneys to<br />

grantees which comply with federal requirements and the requirements developed by the Office of<br />

Broadband Development in compliance with the Act and administering the federal BEAD Program. All<br />

moneys obtained from the administration shall be deposited into the BEAD fund.<br />

An emergency is declared. HB 267 became law on April 4, <strong>2024</strong> when signed by the Governor.<br />

SJR 175<br />

BROADBAND POLE ATTACHMENT REQUESTS<br />

Sponsor: Senator Damon Thayer (R-Georgetown)<br />

SJR 175 is a joint resolution to facilitate the deployment of broadband internet service related to a<br />

backlog in processing utility pole attachment requests.<br />

The General Assembly directs the Public Service Commission to promulgate emergency<br />

administrative regulations on utility pole attachments no later than 45 days after the effective date of the<br />

Resolution that shall, at a minimum: 1) remove any utility pole attachment-related impediments to the<br />

deployment of broadband service throughout the Commonwealth; 2) establish parameters for expediting<br />

and processing pole attachment requests for unserved and underserved areas of the Commonwealth in<br />

accordance with the federal Broadband Equity Access and Deployment (BEAD) Program, as authorized<br />

by the bipartisan Infrastructure Investment and Jobs Act and other government initiatives; 3) reduce the<br />

backlog of utility pole attachment requests; and 4) direct utilities that own poles to file new tariffs to<br />

conform with the emergency administrative regulations promulgated by the Public Service Commission no<br />

later than 30 days after the effective date of the emergency administrative regulations.<br />

The Public Service Commission shall additionally initiate a docket on utility pole attachment<br />

issues to receive comments from the affected parties and find resolutions that will expedite utility pole<br />

attachment requests. The docket shall remain open until all utility pole attachment requests funded by the<br />

BEAD Program, the Rural Digital Opportunity Fund, state grants, and local governments are processed and<br />

the projects are completed.<br />

Beginning September 30, <strong>2024</strong>, and quarterly thereafter, the Public Service Commission shall issue<br />

a report to the <strong>Legislative</strong> Research Commission for referral to the Interim Joint Committee on Natural<br />

Resources and Energy, updating the General Assembly on the progress made in expediting utility pole<br />

attachment requests for broadband service.<br />

An emergency is declared. SJR 175 became law on April 4, <strong>2024</strong> when signed by the Governor.<br />

Senate Majority Leader Damon Thayer<br />

(R-Georgetown) speaks on House Bill 5.<br />

Photo courtesy of LRC.<br />

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5. CONTROLLED SUBSTANCES<br />

HB 829<br />

MEDICINAL CANNABIS<br />

Sponsor: Representative Jason Nemes (R–Middletown)<br />

HB 829 amends SB 47, which passed in 2023, creating the legal framework for medicinal cannabis<br />

in Kentucky to revise certain provisions before the legislation goes into effect on January 1, 2025.<br />

Lawmakers declined to expand the list of 7 conditions eligible for medicinal cannabis use under<br />

the state program but provided for opt-out provisions. New provisions allow local governments to elect<br />

not to participate in the state program once it launches in January, provided they do so before the state<br />

grants a license to a cannabis business seeking to operate in the local government’s territory. Likewise,<br />

schools, public and private, may opt out of the program. Local governments can elect not to participate<br />

by passing an ordinance or by putting the question to local voters in a referendum.<br />

The bill additionally moves up the timeline for medicinal cannabis businesses to obtain state<br />

licenses so they can gear up operations before the program officially launches, allowing them to do<br />

so as early as July <strong>2024</strong>, so that cannabis will be available for patients in early 2025. After <strong>2024</strong>, local<br />

governments can still vote to opt-out of allowing medicinal cannabis businesses to operate in their<br />

jurisdictions, but if a business has obtained a license before that, the business is “grandfathered” in.<br />

The Kentucky Medical Cannabis Program under the Cabinet for Health and Family Servies is<br />

expected to release its final regulations on licensing applications by July 1, <strong>2024</strong>, followed by a 3-month<br />

period for public comment.<br />

Louisville House Republicans led by Rep. Jared Bauman unveil House Bill 5<br />

at a press conference in the Capitol Annex.<br />

KLC UPDATE


6. CRIMES & PUNISHMENT<br />

15<br />

HB 5<br />

CRIMES AND PUNISHMENTS<br />

Sponsor: Representative Jared Bauman (R-Owensboro)<br />

HB 5 is an omnibus criminal justice bill relating to crimes and punishments. The purpose of the<br />

measure is to either enhance current penalties or create new criminal offenses. Other provisions in the<br />

bill impact the expenditure of state funds on permanent housing for the homeless, conditions necessary<br />

for involuntary commitment for psychiatric evaluation, programming used as conditions for probation<br />

and parole, the issuance of personal identification to felons upon release, and the circumstances in which<br />

charitable bail organizations can operate. Various sections either enhance current penalties or create new<br />

criminal offenses.<br />

Two provisions of the bill relate specifically to local governments. A new section of KRS Chapter<br />

507 creates the offense of murder of a first responder. A person is guilty of murder of a first responder<br />

when, with the intent to cause the death of a first responder, he or she causes the death of a first<br />

responder. Murder of a first responder is a capital offense and the person shall be sentenced to death or<br />

imprisonment for life without benefit of probation or parole.<br />

A new section of KRS 311 creates the offense of unlawful camping. A person is guilty of unlawful<br />

camping when he or she knowingly enters or remains on a public or private street, sidewalk, area under<br />

a bridge or underpass, path, park, cemetery, or other area designated for use by pedestrians or vehicles,<br />

with the intent to sleep or camp in that area when the area has not been designated for the purpose of<br />

sleeping or camping, or the individual lacks authorization to sleep or camp in the area. Unlawful camping is<br />

a violation for the first offense and a Class B misdemeanor for the second and each subsequent offense, or<br />

if during the first offense the individual refuses to cease the offense.<br />

A new section of KRS Chapter 65 is created to prohibit a government official or governmental<br />

body to adopt or enforce any policy under which it directly or indirectly prohibits or discourages the<br />

enforcement of any law, order, or ordinance prohibiting unlawful camping. A government official or<br />

governmental body shall not directly or indirectly prohibit or discourage a peace officer or prosecuting<br />

attorney who is employed by or otherwise under its direction or control from enforcing any law, order, or<br />

ordinance prohibiting unlawful camping.<br />

The section shall not be interpreted or construed to: 1) prohibit a policy that encourages diversion<br />

programs or offering of services in lieu of citation or arrest; 2) prohibit or otherwise interfere with<br />

general orders or decisions that involve resource allocation or prioritization made by a governmental<br />

official or governmental body; 3) create any cause of action; or 4) permit a peace officer to disobey an<br />

instruction, order, or command from an officer or official within his or her chain of command. The Attorney<br />

General may bring a civil action in any court of competent jurisdiction against any government official<br />

or governmental body to enjoin it from nonenforcement. The Attorney General may recover reasonable<br />

expenses incurred in any civil action brought under this section, including court costs, reasonable<br />

attorney’s fees, investigative costs, witness fees, and deposition costs.<br />

A new section of KRS Chapter 65 is additionally created to permit a local government to<br />

designate indoor or outdoor areas with defined boundaries in an area zoned for commercial or industrial<br />

use, separate from any area frequently used for public purposes, as a temporary camping location for<br />

unsheltered homeless individuals. Any such designated area shall contain potable water and adequate<br />

sanitary facilities, such as portable toilets.<br />

Other provisions of the bill include increased penalties for distribution or trafficking in fentanyl or a<br />

fentanyl derivative.<br />

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HB 159<br />

IMMUNITY FROM CRIMINAL LIABILITY FOR HEALTH CARE PROVIDERS<br />

Sponsor: Representative Patrick Flannery (R-Olive Hill)<br />

HB 159 creates a new section of KRS Chapter 311 to provide immunity to a health care provider<br />

providing health services from criminal liability for any harm or damages alleged to arise from an act or<br />

omission relating to the provision of health services, except nothing limits liability for gross negligence or<br />

wanton, willful, malicious, or intentional misconduct.<br />

“Health services” means clinically related services provided within the Commonwealth to two or<br />

more persons, including but not limited to diagnostic, treatment, or rehabilitative services, and includes<br />

alcohol, drug abuse, and mental health services.<br />

“Health care provider” means: 1) an employee of a health care facility as defined in KRS<br />

216B.015(13); or 2) a person providing health services, including those licensed, certified, or registered<br />

under, or subject to, KRS 194A.700 to 194A.729 or KRS Chapter 311, 311A, 311B, 312, 313, 314, 314A, 315, 319A,<br />

319B, 320, 327, or 333, such as physicians, emergency medical technicians, medical imaging, chiropractors,<br />

dentists, nurses, respiratory care practitioners, pharmacists, phycologists, occupational therapists, and<br />

medical laboratories.<br />

Nothing in the Act shall be construed to amend, repeal, or alter any other immunity, defense,<br />

limitation of liability, or procedure available or required under any other law or contract.<br />

KLC Public Affairs Director Bryanna L. Carroll testifies<br />

before the Public Pension Oversight Board.<br />

KLC UPDATE


7. ECONOMIC DEVELOPMENT & TOURISM<br />

17<br />

HB 13<br />

KENTUCKY PRODUCT DEVELOPMENT INITIATIVE<br />

Sponsor: Representative Adam Bowling (R–Middlesboro)<br />

HB 13 creates a new section of Subchapter 21 of KRS 154 to divide the Kentucky Product<br />

Development Initiative into two segments, the Kentucky Product Development Initiative of 2022 and the<br />

Kentucky Product Development Initiative of <strong>2024</strong>. The Kentucky Product Development Initiative of <strong>2024</strong><br />

begins July 1, <strong>2024</strong>.<br />

A new section of Subchapter 21 of KRS Chapter 154 is created to establish the Kentucky Product<br />

Development Initiative of <strong>2024</strong> under the Cabinet for Economic Development. The cabinet shall partner<br />

with the Kentucky Association for Economic Development to administer the program. The cabinet’s<br />

administration of the program includes: 1) reviewing the applications and proposals submitted by the<br />

proposed grant recipients; 2) verifying the eligibility of the proposed grant recipients; 3) verifying that the<br />

proposed grant recipient seeks grant money for an eligible project prior to prioritizing all eligible projects;<br />

4) determining the population ranking for each county; 5) awarding grants to selected eligible grant<br />

recipients in multiple rounds of funding; and 6) compiling and submitting required reports.<br />

Upon receipt of eligible grant recipients, eligible project recommendations, and prioritization by the<br />

Kentucky Association for Economic Development and a third-party independent site selection consultant,<br />

the cabinet shall verify and process the eligible grant recipients and eligible project recommendations<br />

with the intent to approve and award grants under the economic development fund program pursuant to<br />

KRS 154.12-100. Grants shall be awarded based on: 1) whether the eligible grant recipient received a grant<br />

award from the Kentucky Product Development Initiative of 2022; and 2) available matching funds for the<br />

selected grant recipient’s eligible project based on the county population ranking as determined by the<br />

cabinet.<br />

On or before June 1, <strong>2024</strong>, and no later than June 1 every 2 years thereafter, the cabinet shall<br />

determine a county population ranking for each county by adding the following two factors: 1) the<br />

population density ranking; and 2) the 10-year percentage change in population ranking.<br />

“Population density” means the number of persons per square mile of a county determined by<br />

using the population estimate from the most recent available 5-year American Community Survey as<br />

published by the United States Census Bureau; 2) is calculated by dividing the total county population<br />

by the square miles in the county; and 3) used to rank each county in descending order, with the county<br />

having the largest population density receiving a rank of 1 and the county with the smallest population<br />

density receiving a rank of 120.<br />

“Ten-year percentage change in population” means the percentage change in population within a<br />

county determined by comparing the population estimate from the most recent available 5-year American<br />

Community Survey as published by the United States Census Bureau to the same survey 10 years prior to<br />

the most recent available survey and used to rank each county in descending order, with the county having<br />

the largest positive percentage change in population receiving a rank of 1 and the county with the largest<br />

negative percentage change receiving a rank of 1.<br />

The required local match for each county shall be as follows: 1) eligible projects in counties where<br />

the county population ranking is greater than or equal to 193 shall provide a minimum amount of local<br />

matching funds equal to 10 percent of the project cost; 2) eligible projects in counties where the county<br />

population ranking is less than 193 but greater than or equal to 145 shall provide a minimum amount of<br />

local matching funds equal to 12.5 percent of the project cost; 3) eligible projects in counties where the<br />

county population ranking is less than 145 but greater than or equal to 97 shall provide a minimum amount<br />

of local matching funds equal to 15 percent of the project cost; 4) eligible project in counties where the<br />

county population ranking is less than 97 but greater than or equal to 49 shall provide a minimum amount<br />

of local matching funds equal to 17.5 percent of the project cost; and 5) eligible project in counties where<br />

the county population ranking is less than 49 shall provide a minimum amount of local matching funds<br />

equal to 20 percent of the project cost.<br />

If there are funds available after the first round of grant awards of the Kentucky Product<br />

Development Initiative of <strong>2024</strong>, the cabinet shall initiate additional rounds of grant awards.<br />

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The maximum funding available for an approved development project is $2 million per county,<br />

except for eligible grant recipients involved in a regional project.<br />

For selected eligible grant recipients that are involved in a regional project, the cabinet may pool<br />

the potential allocation of funds available for each county represented by the eligible grant recipients for<br />

the grant amount awarded. A county that is an eligible grant recipient involved in a regional project shall<br />

provide that county’s local matching funds based on the county population ranking. Each county’s local<br />

matching funds may be pooled.<br />

Beginning no later than November 1, <strong>2024</strong>, and annually thereafter until the authorized<br />

appropriation is spent or returned, the cabinet shall compile and submit a report for each application<br />

approved by the Kentucky Economic Development Finance Authority for the Kentucky Product<br />

Development Initiative of <strong>2024</strong>. The report shall be electronically delivered to the <strong>Legislative</strong> Research<br />

Commission and the Interim Joint Committee on Appropriations and Revenue and contain the following<br />

information: 1) the name of the applicant, a description of the eligible project, and the location of each<br />

proposed project for which an application was approved; 2) the date the application was approved by the<br />

Kentucky Economic Development Finance Authority; 3) the amount of funding authorized for each project<br />

approved; 4) the total amount of funding disbursed for each project approved; and 5) the round of funding<br />

for which each project received approval.<br />

$70 million is appropriated by the <strong>2024</strong> General Assembly to the Cabinet for Economic<br />

Development to support development projects approved by the Kentucky Product Development Initiative.<br />

An emergency is declared. HB 13 became law on April 16, <strong>2024</strong>, when signed by the Governor.<br />

HB 29<br />

MOTOR VEHICLE RACING EVENTS<br />

Sponsor: Representative Derek Lewis (R–London)<br />

HB 29 amends KRS 189.503 enacted by the General Assembly in 2023 to allow local governments<br />

to issue permits for motor vehicle racing events on city streets. HB 29 expands the statute to allow a local<br />

government to issue permits for motor vehicle racing events on state-maintained highways subject to<br />

approval by the Transportation Cabinet as well as on city streets.<br />

HB 533<br />

MUNICIPAL REVENUE BONDS FOR ECONOMIC DEVELOPMENT<br />

Sponsor: Representative Amy Neighbors (R–Edmonton)<br />

HB 533, a KLC initiative, amends KRS 103.240 relating to the sale of revenue bonds by cities and<br />

counties permitted to borrow money and issue negotiable bonds for the purpose of defraying the cost of<br />

acquiring an industrial building or pollution control facility. The bill includes payment of working capital<br />

expenditures within a list of permitted uses of money received by cities and counties from the sale of<br />

revenue bonds. An emergency is declared. HB 533 became law on April 9, <strong>2024</strong>, when signed by the<br />

Governor.<br />

Rep. Amy Neighbors testifies before the<br />

Senate Economic Development, Tourism,<br />

and Labor Committee on the passage of<br />

House Bill 533.<br />

KLC UPDATE


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HB 561<br />

CERTIFIED CHILD CARE COMMUNITY DESIGNATION PROGRAM<br />

Sponsor: Representative Samara Heavrin (R–Leitchfield)<br />

HB 561 creates a new section of KRS Chapter 199 to require the Cabinet for Economic Development<br />

to work in partnership with the Council of Area Development Districts to establish a Certified Child Care<br />

Community Designation Program. The purpose of the program is to create new opportunities for local<br />

governments to help increase the supply of child care and early childhood education services in their<br />

communities through voluntary actions related to zoning reform and programming at the local level.<br />

By December 1, <strong>2024</strong>, the cabinet shall make available, on its website and to the <strong>Legislative</strong><br />

Research Commission for referral to the Interim Joint Committee on Families and Children,<br />

recommendations and best practices for local governments to utilize when evaluating local ordinances,<br />

regulations, and land-use rules pertaining to the availability of child care services in local communities.<br />

These recommendations and best practices shall focus on balancing safety with increasing the supply of<br />

child care and early childhood education services and easing local regulatory barriers, and shall include<br />

but not be limited to the following topics: 1) local land-use policies related to center-based, in-home,<br />

and employer-based child care services; 2) policies pertaining to local permitting fees for starting and<br />

operating child care services; and 3) policies related to other local ordinances and regulations that may<br />

pertain to the availability of child care services in local communities.<br />

Recommendations relating to land use policies shall include, but not be limited to: 1)<br />

recommendations for definitions for terms such as “child care,” “child care center,” and “family child care<br />

home;” 2) recommendations on where child care services should be permitted by right, with special<br />

standards, and with conditional use permits; 3) recommendations for requirements for compliance with<br />

conditional use permits and special standards; 4) best practices for safely permitting child care services<br />

in or near industrial areas; 5) best practices for playgrounds associated with child care services; and 6)<br />

recommendations for parking requirements where applicable.<br />

The cabinet, or a third party under contract with the cabinet, shall solicit feedback and input on<br />

the recommendations and best practices from the council, area development districts, and organizations<br />

representing child care providers and in-home family child care providers, local governments, local<br />

elementary and secondary school officials, the business community, economic developers, and community<br />

planning and design professionals. The recommendations and best practices shall take into consideration<br />

the unique needs and differences between urban and rural areas of the state and shall also include<br />

recommendations for local jurisdictions that have not adopted local land use rules in accordance with KRS<br />

Chapter 100, planning and zoning.<br />

By December 1, <strong>2024</strong>, the cabinet shall submit a draft standardized application for certification<br />

and draft instructions for the Certified Child Care Community Designation Program to the <strong>Legislative</strong><br />

Research Commission for referral to the Interim Joint Committee on Families and Children. By April 1, 2025,<br />

the cabinet, after consulting with the council, shall make publicly available a standardized application for<br />

certification and instructions for the Certified Child Care Community Designation Program.<br />

The cabinet shall: (a) begin receiving and approving applications from local governments no earlier<br />

than April 1, 2025; and (b) send notice of approval or denial to applicants no later than thirty (30) days<br />

after receiving an application. If the cabinet denies an application, the cabinet shall include the reason for<br />

the denial in its notice and shall invite the applicant to resubmit.<br />

To attain certification by the cabinet, applicants shall be required to demonstrate that the local<br />

government has: 1) developed clear and actionable strategies, including at least two action items to help<br />

address local child care challenges and raise awareness of state and local child care resources for working<br />

families, current and prospective child care providers, current and prospective employers, and economic<br />

developers; and 2) analyzed local ordinances, regulations, and land-use rules that could create barriers to<br />

the availability of child care services and developed an action plan to implement reforms.<br />

Action items include but are not limited to: 1) creating a community-wide child care task force<br />

that includes representatives from local government, the business community, education, health care,<br />

and early childhood education professionals; 2) making available and maintaining a public list of certified<br />

and licensed child care services in the community; 3) designating a local agency or nonprofit to serve<br />

as a point of contact for local child care issues; 4) helping raise awareness of certification and licensing<br />

requirements for child care providers; 5) making available an accessible guide to assist prospective child<br />

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care service providers in navigating the jurisdiction’s ordinances, regulations, and land-use rules that<br />

pertain to child care; and 6) conducting a study of child care challenges in the local community or actively<br />

participating in a study of child care challenges in the local region.<br />

To comply with the requirement to analyze local ordinances, regulations, and land-use rules that<br />

could create barriers to the availability of child care services, an applicant must demonstrate it has: 1)<br />

gathered community input from child care providers and child care organizations, local residents and<br />

homeowners, local elementary and secondary school officials, the business community, civic and nonprofit<br />

organizations, and economic developers through meetings, listening sessions, or surveys; 2) conducted a<br />

comprehensive analysis of the jurisdiction’s ordinances, regulations, and land-use rules that may pertain to<br />

the provision of child care services and identified ordinances, regulations, and land-use rules that create<br />

barriers to the availability of child care services in the community; and 3) established a clear and specific<br />

action plan to amend ordinances, regulations, and land-use rules that create barriers to the availability of<br />

child care services in the community.<br />

Prior to submitting an application to the cabinet for certification, an applicant shall first submit its<br />

application to the area development district in which the applicant is located and receive approval. The<br />

cabinet shall not accept an application for review or approval unless the area development district in which<br />

the applicant is located has recommended the application for approval. The cabinet shall make publicly<br />

available on its website a list of communities that have obtained the certified child care community<br />

designation.<br />

By December 1, 2025, the cabinet shall submit a report to the <strong>Legislative</strong> Research Commission<br />

for referral to the Interim Joint Committee on Families and Children specifying the communities that have<br />

obtained the designation, a summary of the different strategies used by local communities to expand<br />

access to child care and remove barriers, and recommendations for improvements to the program.<br />

HB 723<br />

GOVERNMENT RESOURCES ACCELERATING NEEDED TRANSFORMATION<br />

(GRANT) PROGRAM<br />

Sponsor: Representative Richard Heath (R–Mayfield)<br />

HB 723 creates a new Subchapter 14 of KRS Chapter 154 and new sections of Subchapter 14 to<br />

establish the Government Resources Accelerating Needed Transformation (GRANT) Program of <strong>2024</strong><br />

intended exclusively for federal grants identified or administered by the United States Department of<br />

Housing and Urban Development, the Delta Regional Authority, or the federal agencies that comprise<br />

the Interagency Working Group on Coal and Power Plant Communities and Economic Revitalization<br />

established by Presidential Executive Order 14008, issued on January 27, 2021.<br />

The program is established under the Cabinet for Economic Development which shall determine the<br />

terms, conditions, and requirements for obligating match funds awarded from the Government Resources<br />

Accelerating Needed Transformation Program fund to selected eligible grant recipients and sunset on<br />

December 31, 2026, unless authorized by the General Assembly to continue its work for a specified period<br />

of time.<br />

The Kentucky Council of Area Development Districts and local area development districts shall<br />

assist eligible grant recipients in identifying available federal grant opportunities and preparing grant<br />

applications for submission to the Resources Accelerating Needed Transformation Program. Nothing shall<br />

prevent any public agency or nonprofit entity from assisting eligible grant recipients.<br />

“Eligible project” means a project that: 1) benefits the public or substantially benefits the public; 2)<br />

satisfies evaluation criteria for location on publicly owned property, property to be acquired, or on private<br />

property for a public purpose; and 3) requires local matching funds based on the county population<br />

ranking.<br />

“County population ranking” means the score of each county determined by the cabinet. “Eligible<br />

grant recipient” means a grant applicant that is a county or city governing body or nonprofit charitable<br />

organization engaged in public benefit improvements.<br />

The cabinet shall develop a scoring system for the project proposed by each match applicant based<br />

on the total projected return on investment and the relative positive impact in the community.<br />

KLC UPDATE


21<br />

To participate in the Government Resources Accelerating Needed Transformation Program of<br />

<strong>2024</strong>, grant applicants may submit either a standardized or a regional application to the cabinet for<br />

consideration by the commission. As part of the preliminary evaluation, the cabinet shall consider the<br />

following: 1) applicant’s eligibility when evaluated against the requirements of the federal grant; and 2)<br />

application completeness when evaluated against the requirements of the federal grant. The cabinet shall<br />

provide a final decision of approval or denial on the application within 21 calendar days of receipt.<br />

The cabinet shall identify and certify the areas for grant funding designated by the United States<br />

Department of Housing and Urban Development, Delta Regional Authority, or Interagency Working Group<br />

as a priority for obligation of match funds and evaluate each applicant’s eligible project according to<br />

specified criteria for the purpose of compiling a recommendation and score for the eligible project.<br />

On or before May 1, <strong>2024</strong>, and not later than May 1 every two years thereafter, the cabinet shall<br />

determine a county population ranking for each county by adding the following two factors: 1) the<br />

population density ranking; and 2) the 10-year percentage change in population ranking.<br />

“Population density” means: 1) the number of persons per square mile of a county determined<br />

by using the population estimate from the most recent available 5-year American Community Survey as<br />

published by the United States Census Bureau; 2) is calculated by dividing the total county population by<br />

the square miles in the county; and 3) is used to rank each county in descending order, with the county<br />

having the largest population density receiving a rank of 1 and the county with the smallest population<br />

density receiving a rank of 120.<br />

“Ten-year percentage change in population” means the percentage change in population within a<br />

county determined by comparing the population estimate from the most recent available 5-year American<br />

Community Survey as published by the United States Census Bureau to the same survey 10 years prior to<br />

the most recent available survey and used to rank each county in descending order, with the county having<br />

the largest positive percentage change in population receiving a rank of 1 and the county with the largest<br />

negative percentage change receiving a rank of 120.<br />

The required local match for each county shall be as follows: 1) eligible projects in counties where<br />

the county population ranking is greater than or equal to 193 shall provide a minimum amount of local<br />

matching funds equal to 1 percent of the state match; 2) eligible projects in counties where the county<br />

population ranking is less than 193 but greater than or equal to 145 shall provide a minimum amount of<br />

local matching funds equal to 2 percent of the state match; 3) eligible projects in counties where the<br />

county population ranking is less than 145 but greater than or equal to 97 shall provide a minimum amount<br />

of local matching funds equal to 3 percent of the state match; 4) eligible projects in counties where the<br />

county population ranking is less than 97 but greater than or equal to 49 shall provide a minimum amount<br />

of local matching funds equal to 4 percent of the project cost; and 5) eligible projects in counties where<br />

the county population ranking is less than 49 shall provide a minimum amount of local matching funds<br />

equal to 5 percent of the state match.<br />

For selected eligible grant recipients that are involved in a regional project, the cabinet may pool<br />

the potential allocation of funds available for each county represented by the eligible grant recipients for<br />

the grant amount awarded. A county that is an eligible grant recipient involved in a regional project shall<br />

provide that county’s local matching funds based on the county population ranking. Each county’s local<br />

matching funds may be pooled.<br />

Beginning no later than November 1, <strong>2024</strong>, and annually thereafter until the authorized<br />

appropriation is spent or returned, the cabinet shall compile and submit a report for each application<br />

approved by the GRANT Commission for the Government Resources Accelerating Needed Transformation<br />

Program of <strong>2024</strong>. The report shall be electronically delivered to the <strong>Legislative</strong> Research Commission and<br />

the Interim Joint Committee on Appropriations and Revenue and contain the following information: 1) the<br />

name of the applicant, a description of the eligible project, and the location of each proposed project for<br />

which an application was approved; 2) the date the application was approved by the Kentucky Economic<br />

Development Finance Authority; 3) the amount of funding authorized for each project approved; 4) the<br />

total amount of funding disbursed for each project approved; and 5) the round of funding for which each<br />

project received approval.<br />

The Government Resources Accelerating Needed Transformation Program of <strong>2024</strong> shall begin April<br />

15, <strong>2024</strong>. The cabinet shall begin accepting applications for the program on May 15, <strong>2024</strong>.<br />

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There is established in the State Treasury a trust and agency account to be known as the<br />

Government Resources Accelerating Needed Transformation Program of <strong>2024</strong> fund administered and<br />

maintained by the Cabinet for Economic Development. Amounts deposited in the fund shall be used for<br />

awarding matching funds to applicants of the Government Resources Accelerating Needed Transformation<br />

Program of <strong>2024</strong> upon notification of award of the federal grant requiring matching funds. Up to 20<br />

percent of the amounts deposited in the fund shall be used for match awards for nonprofit charitable<br />

organizations and up to 80 percent for match awards to city or county governing bodies.<br />

$200 million is appropriated by the <strong>2024</strong> General Assembly for the Government Resources<br />

Accelerating Needed Transformation Program to help cover local funding matches for communities and<br />

nonprofits seeking federal grants. An emergency is declared. HB 723 became law on April 12, <strong>2024</strong>, when<br />

delivered to the Secretary of State.<br />

SB 125<br />

OFF-HIGHWAY VEHICLE PILOT PROGRAM<br />

Sponsor: Senator Phillip Wheeler (R–Pikeville)<br />

SB 125 amends KRS 189.281 to extend the time for local governments located within the boundaries<br />

of the Kentucky Mountain Regional Recreation Authority, or other regional authority, to start an offhighway<br />

vehicle pilot program from the scheduled July 1, <strong>2024</strong>, sunset date to July 1, 2027. The bill also<br />

expands the definition of “local government” to include any local government that operates a public offhighway<br />

vehicle trail system.<br />

SJR 176<br />

WORKFORCE ATTRACTION AND RETENTION TASK FORCE<br />

Sponsor: Senator Max Wise (R–Campbellsville)<br />

SJR 176 is a Senate joint resolution establishing a Workforce Attraction and Retention Task Force to<br />

study how Kentucky can attract and retain skilled workers to address workforce shortages throughout the<br />

state and develop legislative recommendations and policy options on how to:<br />

1) Create a marketing program for Kentucky to attract and retain skilled and talented workers;<br />

2) Study how other states and local and regional communities in Kentucky are marketing their<br />

strengths and job opportunities to address workforce needs, including consultation with Kentucky’s leaders<br />

in economic development, tourism, education, and labor; and<br />

3) Develop recommendations for the General Assembly to create a grant fund program for a<br />

statewide talent marketing campaign and a local or regional talent marketing partnership campaign.<br />

The Cabinet for Economic Development shall hire a consulting and strategic firm to likewise<br />

evaluate and develop legislative recommendations and policy options on creating a marketing program for<br />

Kentucky to attract and retain skilled and talented workers and provide a report to the task force no later<br />

than November 1, <strong>2024</strong>.<br />

The task force shall be composed of 12 members consisting of the chairs of the House and Senate<br />

Standing Committee on Economic Development, Tourism, and Labor who will act as co-chairs; five<br />

additional members of the Senate, three to be appointed by the President of the Senate, and two to be<br />

appointed by the Minority Floor Leader of the Senate; and five additional members of the House, three to<br />

be appointed by the Speaker and two to be appointed by the Minority Floor Leader of the House.<br />

No later than December 1, <strong>2024</strong>, the task force shall submit a report to the <strong>Legislative</strong> Research<br />

Commission for referral to the appropriate committee or committees. The report shall detail all task force<br />

meeting activity and provide recommendations for the creation of the Workforce Attraction and Retention<br />

Grant Program to be attached to the Cabinet for Economic Development. Recommendations shall include<br />

the staffing needs for the program and compliance requirements. An emergency is declared. The Act took<br />

effect on April 18, <strong>2024</strong> when delivered to the Secretary of State.<br />

KLC UPDATE


8. EMERGENCY MEDICAL SERVICES<br />

23<br />

HB 57<br />

CLASSIFICATION<br />

Sponsor: Representative Chris Freeland (R–Benton)<br />

HB 57 amends KRS 311A.030 to remove the classifications of ground ambulance providers, mobile<br />

integrated healthcare programs, medical first response providers, and air ambulance providers as licensed<br />

by the Kentucky Board of Emergency Medical Services to provide flexibility in credentialing emergency<br />

medical services providers.<br />

KRS 311A.142 is amended to permit any emergency medical responder, emergency medical<br />

technician, advanced emergency medical technician, or paramedic that is currently certified or licensed<br />

and in good standing with another state to be eligible for reciprocity at the same certification or licensure<br />

level, rather than only with a state contiguous to Kentucky as currently provided.<br />

An emergency is declared. The Act became law on April 4, <strong>2024</strong> when signed by the Governor.<br />

HB 272<br />

ABANDONED INFANTS<br />

Sponsor: Representative Nancy Tate (R–Brandenburg)<br />

HB 272 amends KRS 405.075 relating to placement of newborn infants inside a safety device at a<br />

participating continuously staffed ground ambulance provider, police station, fire station, or hospital. The<br />

statute is amended to provide an exception to the staffing requirement in relation to licensed emergency<br />

medical services providers when all licensed emergency medical services providers are temporarily off-site<br />

providing emergency medical services.<br />

KRS 156.095 is amended to require every public school in Kentucky to prominently display the Safe<br />

Haven Baby Boxes Crisis Line number administered by the Safe Haven Baby Boxes national organization or<br />

any equivalent successor entity.<br />

HB 484<br />

EMERGENCY MEDICAL SERVICES EDUCATION GRANT PROGRAM<br />

Sponsor: Representative Deanna Frazier Gordon (R–Richmond)<br />

HB 484 creates a new section of KRS Chapter 311A to establish the emergency medical services<br />

education grant program under the Kentucky Board of Emergency Medical Services to increase the<br />

number of persons seeking paramedic initial certification, provide more facilities for certification, and<br />

encourage those persons to be employed by ground ambulance providers located in Kentucky.<br />

The program consists of 3 components: 1) student tuition support; 2) agency support; and 3)<br />

emergency medical services training or educational institution support.<br />

The student tuition support component shall be used for the training and education of individuals<br />

seeking initial paramedic certification who are employed by a ground ambulance provider. The tuition<br />

support shall be paid periodically to the emergency medical services training or educational institution in<br />

which the person is enrolled seeking paramedic certification.<br />

The agency support component shall be used to reimburse ground ambulance providers the wages<br />

paid to an employee while the employee seeks initial paramedic certification.<br />

The emergency medical services training or educational institution support component shall be<br />

used to provide funding to existing and start-up emergency medical services training or educational<br />

institutions that are certified, or seeking certification by the board, and that offer or will offer initial<br />

education courses for emergency medical technician, advanced emergency medical technician, and<br />

paramedic programs.<br />

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The Board of Emergency Medical Services shall, at a minimum, promulgate administrative<br />

regulations to include priority consideration for geographic areas that are underserved in terms of<br />

paramedic coverage, including those with lower populations and higher emergency medical response<br />

times, and for agencies that do not meet national standards of minimum staffing levels or response times<br />

for the dispatch of emergency medical care.<br />

There is established in the State Treasury a trust and agency account to be known as the<br />

emergency medical services education grant fund administered by the Kentucky Board of Emergency<br />

Medical Services. The fund shall consist of state appropriations, contributions, donations, and gifts.<br />

Amounts deposited in the fund shall be used for the purposes outlined in the Act.<br />

HB 528<br />

911 SERVICES<br />

Sponsor: Representative Mark Hart (R–Falmouth)<br />

HB 528, a KLC initiative, amends KRS 65.7631 to extend the 5 percent (5%) apportioned amount<br />

of total monthly revenues deposited into the commercial mobile radio service (CMRS) fund for assisting<br />

with the adoption and operation of next generation 911 initiatives to July 1, 2025 from July 1, <strong>2024</strong> with a<br />

reduction in the rate to two and one-half percent (2.5%) on and after July 1, 2025 instead of the previously<br />

determined date of July 1, <strong>2024</strong>.<br />

Also extended is the seven and one-half (7.5%) rate of total monthly revenues deposited into the<br />

CMRS fund for grants, matching money, or funds relating to 911 services to July 1, 2025 from July 1, <strong>2024</strong>,<br />

with a 10 percent (10%) rate after that date. When the balance of money in the account and not obligated<br />

for permitted uses exceeds three million dollars ($3,000,000), instead of the previously determined<br />

two million dollars ($2,000,000), in any fiscal year, the excess amount shall be allocated to public safety<br />

answering points (PSAPs) eligible to receive disbursements from the CMRS fund upon request for<br />

permitted uses.<br />

KLC Executive Director/<br />

CEO J.D. Chaney and Rep.<br />

Mark Hart testify before<br />

the Senate Veterans<br />

Military Affairs and Public<br />

Protections Committee for<br />

passage of House Bill 528<br />

as amended in the Senate<br />

committee.<br />

HB 782<br />

TELECOMMUNICATORS<br />

Sponsor: Representative Scott Lewis (R–Hartford)<br />

HB 728, a KLC initiative, creates a new section of KRS 15.530 to 15.590 to establish the Public Safety<br />

Telecommunicator Work Group to meet and submit to the Kentucky Law Enforcement Council within one<br />

year of the effective date of the Act a training format for a public safety telecommunicator academy that<br />

incorporates in-person and online training consisting of at least 160 hours. The format shall be developed<br />

and unanimously agreed upon by the work group and approved by the Kentucky Law Enforcement<br />

Council. The work group shall cease to exist after submission to the council unless the council directs it be<br />

continued. The work group shall consist of at least one member each of the Department of Criminal Justice<br />

Training, Kentucky Chapter of the National Emergency Number Association, and the Association of Public<br />

Safety Communications Officials.<br />

KLC UPDATE


25<br />

Rep. Scott Lewis and KLC<br />

Public Affairs Director<br />

Bryanna L. Carroll testify<br />

before the Senate Veterans<br />

Military Affairs and Public<br />

Protection Committee in<br />

favor of House Bill 782.<br />

Upon approval, the Kentucky Law Enforcement Council shall implement the new training format<br />

beginning July 1, 2026. Part-time telecommunicators hired prior to July 1, 2026, shall successfully complete<br />

the 40-hour online course. All part-time telecommunicators hired after July 1, 2026, shall successfully<br />

complete the public safety telecommunicator academy.<br />

KRS 15.540 is amended to add additional requirements for certification by the Kentucky Law<br />

Enforcement Council as a telecommunicator. An agency seeking to hire a telecommunicator must submit<br />

and certify to the Law Enforcement Council all required information regarding the applicant within 120<br />

days after the hire date instead of prior to employment as a telecommunicator. An agency that provides<br />

Criminal Justice Information Service (CJIS) data using a CJIS terminal after the effective date of the Act<br />

must certify completion by the applicant of the CJIS online training program before the applicant can<br />

deliver CJIS data to law enforcement agencies. CJIS is the FBI division responsible for the collection<br />

and dissemination of relevant criminal justice information to law enforcement, criminal justice, civilian,<br />

academic, employment, and licensing agencies.<br />

An agency that does not have a CJIS terminal but receives CJIS data shall complete the CJIS<br />

security and privacy training before the applicant can deliver CJIS data to law enforcement.<br />

If a telecommunicator’s only function is as a call-taker at an agency that has a CJIS terminal, the<br />

telecommunicator shall not be required to complete the CJIS online program but shall complete the CJIS<br />

security and privacy training.<br />

KRS 15.530 is amended to define “public safety communicator” or “telecommunicator” to mean any<br />

public employee, sworn or civilian, who functions as a public safety dispatcher, 911 telecommunicator, or 911<br />

call taker, whose duties and responsibilities include the: 1) answering, receiving, transferring, or dispatching<br />

functions related to 911 calls, as the primary or secondary public safety answering point or emergency<br />

communication center; 2) dispatching law enforcement officers, fire rescue services, emergency medical<br />

services, emergency management, and other public safety services to the scene of an emergency; or 3)<br />

providing real-time information from federal, state, and local crime databases.<br />

KRS 15.560 is amended to require all public safety telecommunicators not previously certified<br />

as a telecommunicator by the Kentucky Law Enforcement Council to complete the public safety<br />

telecommunicator academy within 12 months from the date of hire. All telecommunicators shall additionally<br />

complete each calendar year an in-service training course consisting of 8 hours, appropriate to their job<br />

assignment and responsibility, at a school certified or recognized by the Kentucky Law Enforcement<br />

Council. Provisions of HB 782 unrelated to establishment of the Public Safety Telecommunicator Academy<br />

take effect July 1, 2026.<br />

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9. FIRE DEPARTMENTS & FIREFIGHTERS<br />

HB 43<br />

FIRE PROTECTION<br />

Sponsor: Representative John Hodgson (R-Fisherville)<br />

HB 43 creates a new section of KRS 75.100 to 75.260 to require a fire protection district, volunteer<br />

fire department district, or subdistrict when making a change to fire protection services involving<br />

communications, firefighting resources such as firehouses, vehicles, equipment, personnel, training, and<br />

resource distribution, or water supply under its control that will likely downgrade fire service ratings<br />

to host a public hearing and provide notice of the hearing. Notice must include: 1) the name of the fire<br />

protection district, volunteer fire department district, or subdistrict of either district; 2) a description of<br />

the proposed action; 3) wording to the effect that the action, if undertaken, could increase fire protection<br />

insurance premiums for the members of the district or subdistrict; and 4) the time, date, and location of<br />

the public hearing.<br />

Distribution of the notice by the board of the fire district or subdistrict must include the following<br />

elected officials having constituents in territory contained within the district or subdistrict: Kentucky State<br />

Representatives and Senators; county judges/executives and members of the fiscal court; mayors and<br />

members of city legislative bodies; and the executive head and legislative body members of any merged<br />

government organized under KRS Chapters 67, 67A, or 67C.<br />

Rep. John Hodgson testifies<br />

in favor of House Bill 43.<br />

HB 323<br />

CANCER DETECTION IN FIREFIGHTERS<br />

Sponsor: Representative Deanna Frazier Gordon (R–Richmond)<br />

HB 323 amends KRS 95A.262 to permit the Kentucky Fire Commission to establish, if funds are<br />

available, a program to reimburse firefighters for out-of-pocket expenses for cancer screenings. The<br />

commission may promulgate administrative regulations to: 1) establish a periodic cap and maximum<br />

on reimbursement to a firefighter seeking reimbursement; 2) establish which cancer screening tests<br />

approved by the U.S. Food and Drug Administration for cancer detection in humans may be eligible<br />

for reimbursement; 3) determine eligibility requirements for participants, which in the discretion of the<br />

commission may also include retired firefighters; and 4) establish any other policy to effect the purposes<br />

of the program.<br />

KLC UPDATE


10. FISCAL MATTERS<br />

27<br />

HB 1<br />

APPROPRIATIONS TO GOVERNMENT AGENCIES FROM STATE “RAINY DAY<br />

FUND”<br />

Sponsor: Representative Jason Petrie (R–Elkton)<br />

HB 1 is a companion to HB 6, the state biennial budget. The bill appropriates $2.7 billion in funds<br />

from the Budget Reserve Trust Fund Account (Rainy Day Fund) for one-time investments in public safety,<br />

infrastructure, economic development, and paying down the state’s pension liabilities. Appropriations<br />

include:<br />

• $125 million to the Kenton County Fiscal Court to plan, design, and construct a Commonwealth<br />

Center for Biomedical Excellence in the City of Covington in partnership with Northern Kentucky<br />

University and the University of Kentucky.<br />

• $200 million for the Government Resources Accelerating Needed Transformation Program to<br />

help cover local funding matches for communities and nonprofits seeking federal grants.<br />

• $70 million to the Cabinet for Economic Development to support development projects in<br />

accordance with the Kentucky Product Development Initiative.<br />

• $50 million to Warren and Hardin Counties for water and sewer infrastructure improvements to<br />

support electric vehicle battery production facilities under construction in both counties.<br />

• $100 million to the Cabinet for Economic Development to support approved mega-development<br />

TIF projects of at least $10 million.<br />

• $10 million to the Lexington-Fayette Urban County Government to support Lexington’s<br />

Transformational Housing Affordability Partnership.<br />

• $100 million to Louisville Metro Government for downtown revitalization projects.<br />

• $230 million to help fund three state pension obligations — state police, Kentucky Teachers’<br />

Retirement System, and state employees.<br />

• $100 million to the Kentucky Public Pensions Authority to be applied to the unfunded pension<br />

liability of the Kentucky Employees Retirement System Nonhazardous pension fund.<br />

• $40 million to the University of Kentucky’s Center for Applied Energy Research for<br />

administration and support of the Kentucky Nuclear Energy Development Authority.<br />

State.<br />

An emergency is declared. HB 1 became law on April 12, <strong>2024</strong> when delivered to the Secretary of<br />

KLC.ORG


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HB 6<br />

STATE/EXECUTIVE BRANCH BUDGET<br />

Sponsor: Representative Jason Petrie (R–Elkton)<br />

HB 6 is the state biennial budget passed by the General Assembly totaling more than $100 billion<br />

for fiscal years <strong>2024</strong>-2026. Appropriations impacting cities include:<br />

‣ $1.87 billion to support the Broadband Equity Access and Deployment program grant.<br />

‣ $1.8 million to support the Kentucky Mountain Regional Recreation Authority.<br />

‣ $16.1 million to support the Kentucky Urban Search and Rescue Program.<br />

‣ $15 million for grants to law enforcement and first responders for the purchase of body armor<br />

through the Attorney General’s office.<br />

‣ Increases the training incentive payment for law enforcement to $4,429 in the first fiscal year and<br />

$4,562 in the second fiscal year along with increases in the administrative fee reimbursement<br />

provided to local governments. Also includes payment for part-time participants for the first time at<br />

$2,215 in the first fiscal year and $2,281 in the second fiscal year.<br />

‣ Increases the training incentive payment for firefighters to $4,429 in the first fiscal year and $4,562<br />

in the second fiscal year along with increases in the administrative fee reimbursement provided to<br />

local governments. Also includes an increase in the aid provided to volunteer fire departments to<br />

$15,000.<br />

‣ $7.8 million to the KY Fire Commission for construction of a Fire Academy Dormitory.<br />

‣ $5 million to complete the statewide deployment of Next Generation 911 services.<br />

‣ $34.5 million to the Kentucky Department of Education to assist local school districts in funding<br />

salaries for School Resource Officers by allowing reimbursement of up to $20,000 for each campus.<br />

‣ Funding for the Wastewater Revolving Loan Program and Drinking Water Revolving Loan Program.<br />

‣ $50 million for the construction of the Western Kentucky Department of Criminal Justice Training<br />

Center in Madisonville (a KLC initiative).<br />

House Appropriations and Revenue Committee Chairman Rep. Jason Petrie (left with<br />

glasses) files House Bill 6 with the House Clerk. Photo courtesy of LRC.<br />

KLC UPDATE


29<br />

HB 8<br />

TAX INCREMENT FINANCING<br />

Sponsor: Representative Jason Petrie (R–Elkton)<br />

HB 8 amends several statutes related to state taxes and fees, including language needed to address<br />

reductions in the state income tax rate in 2022 that can affect state participation receipts for investment<br />

in previously constructed local tax increment financing projects. KRS 154.30-010 is amended to extend a<br />

temporary fix set to expire at the end of <strong>2024</strong> for cities with a tax increment financing agreement in place<br />

before Jan. 1, 2023, to ensure that those cities do not experience a shortfall in state income tax increments<br />

due to the reduction in the state income tax rate. The language provides that the calculation shall use a<br />

modified new revenues formula to calculate the state payment for income tax increments that would make<br />

the revenues equal to an amount that would have been received if the income tax rate remained at 5%. The<br />

provision is set to expire at the end of 2026.<br />

Senate Appropriations<br />

and Revenue Committee<br />

Chairman Chris McDaniel<br />

meets with members<br />

of the media after his<br />

committee voted on three<br />

budget related bills. Photo<br />

courtesy of LRC.<br />

HB 752<br />

DISASTER RECOVERY<br />

Sponsor: Representative Jason Petrie (R–Elkton)<br />

HB 752 appropriates Restricted Funds from the East Kentucky State Aid Funding for Emergencies<br />

(EKSAFE) fund established in KRS 39A.303 and Restricted Funds from the West Kentucky State Aid<br />

Funding for Emergencies (WKSAFE) fund established in KRS 39A.305.<br />

From the EKSAFE fund, $11,000,000 is appropriated in fiscal year <strong>2024</strong>-2025 to the Breathitt<br />

County school district for strained fiscal liquidity related to the impact of the Presidential Declaration of<br />

a Major Disaster, designated FEMA-4663-DR. From the WKSAFE fund, $54,331,000 is appropriated in<br />

fiscal year <strong>2024</strong>-2025 to the Department for Local Government for strained fiscal liquidity in: 1) the City<br />

of Mayfield, in the amount of $48,231,000 for the electric and water systems, fire station #1, police station,<br />

and city hall; and 2) Graves County, in the amount of $6,100,000 for the administrative building.<br />

If a recipient of moneys from the EKSAFE or WKSAFE fund subsequently receives moneys from any<br />

other source, the recipient shall reimburse the Commonwealth for the amount of the moneys received from<br />

the EKSAFE or WKSAFE fund. All moneys reimbursed to the Commonwealth shall be deposited into the<br />

Budget Reserve Trust Fund account established in KRS 48.705 within 30 days. The moneys appropriated<br />

shall not lapse and shall carry forward until June 30, 2026. If the moneys are not encumbered by June 30,<br />

2026, the moneys shall be returned to the Commonwealth and deposited into the Budget Reserve Trust<br />

Fund account established in KRS 48.705 within 30 days.<br />

KLC.ORG


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11. LAW ENFORCEMENT<br />

HB 456<br />

COUNTY SHERIFF’S OFFICE AND COUNTY POLICE FORCE<br />

Sponsor: Representative Samara Heavrin (R–Leitchfield)<br />

HB 456 amends KRS 337.285 to add sheriff’s offices and county police forces to the local<br />

government agencies eligible for an exception to overtime compensation. A sheriff’s office or county police<br />

force would not need to pay an officer who works 80 hours or less in a work period of 14 consecutive days<br />

at 1.5 times the hourly wage. The legislation automatically applies if the sheriff’s office or county police<br />

force does not have a collective bargaining unit. If there is a collective bargaining unit, there must be<br />

agreement between parties for the exemption to apply.<br />

An emergency is declared. The Act became law on March 5, <strong>2024</strong>, when signed by the Governor.<br />

HB 482<br />

KENTUCKY LAW ENFORCEMENT COUNCIL<br />

Sponsor: Representative Stephanie Dietz (R–Edgewood)<br />

HB 482 amends KRS 15.315 to add the chief of police of the Owensboro Police Department<br />

and the director of the Northern Kentucky Police and Sheriff’s Training Center to the Kentucky Law<br />

Enforcement Council as ex officio members with voting rights. Each ex officio member may designate in<br />

writing a person to represent him or her to vote on his or her behalf. Any designee of the chief of police<br />

of the Owensboro Police Department and the director of the Northern Kentucky Police and Sheriff’s<br />

Training Center shall be the head of the agency’s training division or the agency’s deputy chief or deputy<br />

commissioner.<br />

HB 551<br />

COLD CASES<br />

Sponsor: Representative Keturah Herron (D–Louisville)<br />

HB 551 creates a new section of KRS Chapter 65 to allow law enforcement agencies to contract<br />

with retired peace officers to assist with homicide cold cases. “Law enforcement agency” is defined to<br />

mean any police department of a local government or sheriff’s department.<br />

Any law enforcement agency may contract with a retired peace officer when: 1) new information<br />

concerning a cold case involving a homicide is brought to the attention of the law enforcement agency;<br />

or 2) the law enforcement agency wishes to conduct a review of its cold cases involving a homicide and a<br />

retired peace officer could provide unique expertise or knowledge that would aid in solving a cold case.<br />

A retired peace officer contracted by a law enforcement agency shall not be considered a peace<br />

officer for purposes of the contracted work and shall not exercise peace officer powers. Any compensation<br />

received by a retired peace officer for contracted work shall not be considered creditable compensation by<br />

any state retirement system in which the retired peace officer participates.<br />

SB 162<br />

VEHICLE ACCIDENT REPORTS<br />

Sponsor: Senator Robby Mils (R–Henderson)<br />

SB 162 amends KRS 189.635 to permit a law enforcement agency to retain a copy of vehicle<br />

accident reports that the agency is required to submit to the Department of Kentucky State Police after<br />

investigation of an accident. Reports retained by a law enforcement agency shall not be considered open<br />

records under KRS 61.870 to 761.884 and shall remain confidential except as permitted by law.<br />

KLC UPDATE


12. LOCAL GOV. ADMINISTRATION<br />

31<br />

HB 18<br />

RIGHTS OF OWNERS OF RENTAL PROPERTY<br />

Sponsor: Representative Ryan Dotson (R–Winchester)<br />

HB 18 creates a new section of KRS Chapter 65 to restrict local governments from enacting local<br />

ordinances banning landlords from discriminating against people who use federal housing vouchers. A<br />

local government shall not adopt or enforce an ordinance or regulation that prohibits any owner, lessee,<br />

sublessee, assignee, managing agent, or other person having the authority to lease, sublease, or rent a<br />

housing accommodation from refusing to lease or rent the housing accommodation to any person when<br />

the person’s lawful source of income to pay rent includes funding from a federal housing assistance<br />

program.<br />

HB 18 additionally creates a new section of KRS Chapter 65 to prohibit a local government, special<br />

district, or other provider of any emergency response service to submit any demand for payment or<br />

require an owner of property occupied by an individual other than the owner to pay any emergency<br />

response fee that arises out of the actions of another over which the owner has no control.<br />

A new section of KRS 383 is created to restrict local governments from adopting or enforcing any<br />

ordinance relating to landlord or tenant laws that is in conflict with any law of the Commonwealth.<br />

State.<br />

An emergency is declared. HB 18 became law on March 6, <strong>2024</strong>, when delivered to the Secretary of<br />

Rep. Ryan Dotson presents KLC<br />

opposed House Bill 18 on the House<br />

floor. Photo courtesy of LRC.<br />

HB 248<br />

REINSTATEMENT OF POLICE AND FIRE DEPARTMENT EMPLOYEES IN AN<br />

URBAN-COUNTY GOVERNMENT<br />

Sponsor: Representative Killian Timoney (R–Nicholasville)<br />

HB 248 amends KRS 95.440 to increase the time period in which former members of the police<br />

or fire department in an urban-county government are eligible for reinstatement. The statute permits any<br />

person who has successfully completed his or her probationary period and subsequently ceased working<br />

for the police or fire department in an urban-county government for reasons other than dismissal to be<br />

restored to the position, rank, and pay he or she formerly held, or to an equivalent or lower position, rank,<br />

or pay than that which he or she formerly held, for a period of one year following separation from the<br />

police or fire department with the approval of the appointing authority. The statute is amended to delete<br />

the one-year requirement for reinstatement, permitting reinstatement of a qualified former member of the<br />

police or fire department at any time with the approval of the appointing authority.<br />

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HB 320<br />

CIVIL PROCEDURE<br />

Sponsor: Representative Daniel Elliott (R–Danville)<br />

HB 320 amends several statutes relating to court procedures in civil cases. A new section of KRS<br />

Chapter 413 is created to require the following actions to be commenced within 3 years after the cause of<br />

action accrued: 1) an action against an employer for wrongful discharge in violation of public policy; and 2)<br />

an action for a violation of KRS 344.030 to 344.110 or 344.372 for unlawful discrimination.<br />

KRS 337.385 is amended to increase the limitation period from two years to three years after a<br />

cause of action accrues for wage and hour violations in any court or administrative action under any<br />

provision of the chapter not otherwise subject to an express period of limitation.<br />

KRS 454.210 is amended to expand personal jurisdiction of Kentucky courts over nonresidents in<br />

civil cases.<br />

HB 472<br />

RESIDENTIAL PLANNED COMMUNITIES<br />

Sponsor: Representative Chris Freeland (R–Benton)<br />

HB 472, a KLC initiative, creates a new section of KRS Chapter 381 to provide, if a planned<br />

community, whether active or inactive, fails to maintain any infrastructure, common area, storm water<br />

detention or retention area, or other facility that it is legally obligated to maintain, any city in which the<br />

planned community is located may petition the Circuit Court of the jurisdiction in which the city lies for the<br />

appointment of a receiver to manage the affairs of the homeowners’ association.<br />

“Planned community” is defined to mean a group of residential dwellings, excluding condominiums,<br />

composed of individual lots for which a deed, common plan, or other legal document requires that: 1) all<br />

owners within the group become members of a homeowners’ association; 2) owners, or the homeowners’<br />

association, hold or lease property or facilities for the benefit of all owners within the group; or 3) owners<br />

support by membership fees property or facilities for all owners within the group to use.<br />

The city shall serve notice of the filing of the petition on the governing authority of the planned<br />

community and each owner within the planned community. If the petition by a city for the appointment of<br />

a receiver is successful, the city seeking the appointment of a receiver shall be entitled to reimbursement<br />

of all costs, fees, and reasonable attorney’s fees, as approved by the court.<br />

The receiver appointed shall have all the authority granted to the governing authority of the<br />

planned community by its governing documents, including the ability to impose and collect fees as<br />

authorized by, and in conformance with, its governing documents, and to contract for the ongoing<br />

renovation, maintenance, and upkeep of the legally obligated infrastructure, common areas, storm water<br />

detention or retention areas, or other facilities. The receiver shall be entitled to recover reasonable costs<br />

and fees for services as approved by the court.<br />

If any city is required to expend funds to repair, renovate, maintain, or correct code violations of<br />

the infrastructure, common areas, storm water detention or retention areas, or other facilities for which the<br />

homeowners’ association is legally responsible, the city may seek reimbursement for those costs from the<br />

receiver.<br />

HB 528<br />

CITY ALCOHOLIC BEVERAGE CONTROL ADMINISTRATORS<br />

Sponsor: Representative Mark Hart (R–Falmouth)<br />

HB 528, a KLC initiative, amends KRS 241.170 regarding the powers and duties of city alcoholic<br />

beverage control administrators to clarify that administrators and the administrator’s investigators in all<br />

cities have the same police powers as permitted for administrators in counties, urban-county governments,<br />

and consolidated local governments to inspect any premises where alcoholic beverages are manufactured,<br />

KLC UPDATE


33<br />

sold, stored, or otherwise trafficked in, without first obtaining a search warrant.<br />

HB 388<br />

CONSOLIDATED LOCAL GOVERNMENT<br />

Sponsor: Representative Jason Nemes (R–Middletown)<br />

HB 388 amends several statutes relating to consolidated local governments. Louisville Metro is the<br />

only consolidated local government in Kentucky. KRS 67C.147 is amended relating to urban service tax<br />

districts in a consolidated local government. The amendment requires the consolidated local government<br />

to reimburse fire districts operating under KRS Chapter 75 that make emergency medical runs within the<br />

area of the urban service tax district. No later than July 1, 2025, the consolidated local government shall,<br />

by agreement or contract, reimburse a fire district operating under KRS Chapter 75 for expenses related<br />

to each emergency medical response made by the fire district into the area of the urban service tax<br />

district when the fire district is authorized by agreement to provide emergency services responses within<br />

that area. A fire district so responding shall receive from the consolidated local government $300 for<br />

responding and transporting a patient and $150 for responding when no patient is transported.<br />

KRS 67C.111 is amended to prohibit a city in a county containing a consolidated local government<br />

from annexing manufacturing areas primarily for the purpose of obtaining occupational license tax revenue<br />

unless each owner of record within the area to be annexed gives prior consent in writing to the annexation.<br />

‘Manufacturing area’ means an area containing land, buildings, or structures, or parts thereof, used for or in<br />

support of the manufacturing or assembling of products.<br />

A new section of KRS Chapter 67C is created to require the appointing authority in a consolidated<br />

local government, in appointing members to local boards, commissions, committees, and other<br />

administrative bodies, to make a conscientious effort to select, from among the most qualified persons,<br />

those persons whose appointment would ensure that the membership of the board, commission,<br />

committee, or other administrative body accurately reflects the geographic population of the area<br />

represented as determined pursuant to the most recent federal decennial census unless the law regulating<br />

such appointment requires otherwise.<br />

Rep. Jason Nemes (left) , City of Douglass<br />

Hills Mayor Bonnie Jung, And Sen. Julie<br />

Raque Adams present House Bill 388.<br />

KRS 67C.103 is amended to make the election of the mayor and council members in a consolidated<br />

local government nonpartisan effective January 1, 2025.<br />

KRS 177.360 is amended regarding the allocation of Municipal Road Aid funds by a consolidated<br />

local government to require the consolidated local government to establish procedures to identify project<br />

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needs in unincorporated areas that prioritize consideration of population growth, population density, and<br />

economic development potential.<br />

A noncodified section is created to require a consolidated local government to establish, support,<br />

and maintain through December 31, <strong>2024</strong>, a Property Valuation Review Commission to review appropriate<br />

records to ensure that the property valuation administrator of the county assesses property within<br />

the county consistently, and that property types or classifications are assessed uniformly within the<br />

boundaries of the consolidated local government for all taxable property assessed as of January 1, 2023.<br />

The commission shall identify the various property types or classifications that exist within the boundaries<br />

of the county and review sufficient sample properties to determine consistency and uniformity. The<br />

commission shall be composed of 7 members appointed by the mayor, including one member representing<br />

the Jefferson County League of Cities, and make a report of its findings no later than December 31, <strong>2024</strong>,<br />

after which the commission shall be dissolved. The provision is subject to an emergency clause and<br />

became effective on April 12, <strong>2024</strong>, when delivered to the secretary of State.<br />

An additional noncodified section is created to prohibit a consolidated local government from<br />

revising its Land Development Code after the 2025 legislative session, including any change to increase the<br />

allowable density of residential units per acre or any other unit describing land size in any zoning district<br />

classification after the effective date of the Act and prior to April 15, 2025. The provision is subject to an<br />

emergency clause and became effective on April 12, <strong>2024</strong>, when delivered to the Secretary of State.<br />

HB 492<br />

LOCAL GOVERNMENT ACCESS TO FEDERAL TAX INFORMATION<br />

Sponsor: Representative Matt Lockett (R–Nicholasville)<br />

HB 492 creates a new section of KRS Chapter 65 to require each employee of a qualified local<br />

government, including contract staff, who has access to or use of federal tax information directly<br />

sourced from the Internal Revenue Service under 26 U.S.C. sec. 6103 to submit to a criminal background<br />

investigation by means of a fingerprint check by the Department of Kentucky State Police and the Federal<br />

Bureau of Investigation.<br />

“Qualified local government” means a local government that meets the requirements for access<br />

to federal tax information as described in 26 U.S.C. sec. 6103 relating to confidentiality and disclosure<br />

of returns and return information applicable to local governments with a population of at least 250,000<br />

residents.<br />

Any fee charged by the Department of Kentucky State Police shall be an amount no greater than<br />

the actual cost of processing the request and conducting the background check. The department shall<br />

promulgate administrative regulations to implement provisions of the Act.<br />

Louisville’s Revenue Commission is the only qualified local government in Kentucky that meets the<br />

population requirement for access to federal tax information.<br />

KLC UPDATE


13. NUCLEAR ENERGY<br />

35<br />

SB 198<br />

NUCLEAR ENERGY DEVELOPMENT<br />

Sponsor: Senator Danny Carroll (R–Benton)<br />

SB 198 creates new sections of KRS Chapter 164 to establish the Kentucky Nuclear Energy<br />

Development Authority attached to the University of Kentucky Center for Applied Energy Research<br />

for administrative purposes. The mission of the authority shall be to serve as the nonregulatory state<br />

government agency on nuclear energy issues and development in Kentucky and to support and facilitate<br />

the development of nuclear energy resources across the state in a collaborative manner that: 1) enhances<br />

the state’s economy; 2) offers energy production and economic development opportunities that are<br />

safe; 3) protects the environment; 4) supports community voices, especially in historically impacted or<br />

underrepresented areas; 5) increases energy education; and 6) prepares a future workforce.<br />

The Kentucky Nuclear Energy Development Authority shall be governed by an advisory board<br />

consisting of 22 voting members and 8 nonvoting members, including 7 state government voting members<br />

or their designees as follows: 1) director of the University of Kentucky Center for Applied Energy Research<br />

who shall serve as chair; 2) secretary of the Energy and Environment Cabinet; 3) secretary of the Cabinet<br />

for Economic Development; 4) chair of the Public Service Commission; 5) president of the Council on<br />

Postsecondary Education; 6) secretary of the Education and Labor Cabinet; and 7) director of the Division of<br />

Emergency Management.<br />

Voting members also include: 1) a representative from each of the 4 investor-owned electric utilities<br />

operating in Kentucky, designated by the president of each investor-owned electric utility, unless two or<br />

more of the investor-owned electric utilities are operated under common ownership, in which case only<br />

one representative shall be designated for the commonly owned utilities; 2) 3 representatives of electric<br />

cooperatives designated by the chief operating officer of the Kentucky Association of Electric Cooperatives,<br />

one of whom shall represent distribution cooperatives and two who shall represent each of the generation<br />

and transmission electric cooperatives operating in Kentucky, unless they are operated under common<br />

ownership, in which case only one representative shall be designated; 3) representative of the Tennessee<br />

Valley Authority designated by its chief nuclear officer; 4) representative of municipal utilities designated by<br />

the executive director of the Kentucky League of Cities; 5) representative of nuclear site remediation services<br />

designated by the director of business services for the Four Rivers Nuclear Partnership; 6) representative for<br />

environmental interests designated by the executive director of the Kentucky Conservation Committee; 7)<br />

representative of manufacturers designated by the president of the Kentucky Association of Manufacturers;<br />

8) representative for commercial interests, designated by the president of the Kentucky Chamber of<br />

Commerce; 9) mayor of a city, designated by the executive director of the Kentucky League of Cities who<br />

lives in an “energy community” as that term is used in the Inflation Reduction Act of 2022, Pub. L. No. 117-169,<br />

and as it is defined in the latest guidance by the Internal Revenue Service; and 10) county judge/executive,<br />

designated by the executive director of the Kentucky Association of Counties who lives in an ‘energy<br />

community’ as that term is used in the Inflation Reduction Act of 2022 and as defined in the latest guidance<br />

by the Internal Revenue Service.<br />

The 8 nonvoting members on the advisory board shall consist of: 1) the president of the Nuclear<br />

Energy Institute, or designee; 2) a representative from a national nuclear educational nonprofit organization<br />

designated by the chair and confirmed by a majority of the voting members; 3) a representative from a<br />

United States Department of Energy National Laboratory with expertise in nuclear energy policy issues<br />

designated by the chair and confirmed by a majority of the voting members; 4) a representative from a<br />

nongovernmental nuclear policy advocacy organization designated by the chair and confirmed by a majority<br />

of the voting members; 5) two members of the Senate who shall serve as ex officio members designated<br />

by the President of the Senate; and 6) two members of the House of Representatives who shall serve as ex<br />

officio members designated by the Speaker of the House.<br />

State government members and members of the General Assembly shall serve on the advisory board<br />

during the terms of their appointed or elected positions. After the initial staggered appointments of 2 to 3<br />

years, all other members of the advisory board shall serve terms of 4 years. The advisory board shall hire a<br />

director.<br />

The authority, with the approval of the advisory board, shall: 1) propose and adopt bylaws for the<br />

management and operation of the authority; 2) develop and adopt a strategic plan for carrying out the<br />

purposes of the authority; 3) create and update at least once every 2 years a nuclear energy economic<br />

impact analysis for the Commonwealth; 4) employ necessary staff to carry out the functions of the authority;<br />

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and 5) by December 1, 2025, and each December 1 thereafter, submit a report to the Governor and the<br />

<strong>Legislative</strong> Research Commission for referral to the Interim Joint Committees on Natural Resources and<br />

Energy, Appropriations and Revenue, and Economic Development and Workforce Investment providing a<br />

summary of the authority’s activities and achievements since its last report and offering recommendations<br />

for the support and expansion of the nuclear energy ecosystem in the Commonwealth.<br />

A new section of KRS Chapter 164 is created to require the Kentucky Nuclear Energy Development<br />

Authority, with the approval of its advisory board, to develop and adopt criteria for awarding a nuclearready<br />

community designation to demonstrate a community’s readiness to welcome nuclear energy-related<br />

development. The criteria to attain the designation shall include but not be limited to: 1) the holding of<br />

local public educational meetings to educate the community on advanced nuclear energy technologies,<br />

the nuclear ecosystem, and the role that nuclear energy-related development could play in the community;<br />

2) the availability of sites within the community that have been recognized by the Cabinet for Economic<br />

Development as being suitable for nuclear energy-related projects; and 3) the adoption of resolutions from<br />

the county and all cities in the county or a successful county ballot initiative declaring the community’s<br />

readiness for nuclear energy-related projects to be developed and sited there.<br />

Communities may voluntarily apply to the Kentucky Nuclear Energy Development Authority for a<br />

nuclear-ready community designation in the form and manner as the authority may require, and the authority<br />

shall evaluate the application and award the designation based on the established criteria.<br />

A new section of Subchapter 12 of KRS Chapter 154 is created to direct the Cabinet for Economic<br />

Development to create and implement a financial assistance program for the development and location of<br />

nuclear energy-related projects to support the entire nuclear energy ecosystem in the state, including utility<br />

and private sector economic development activities. The cabinet, in consultation with the Kentucky Nuclear<br />

Energy Development Authority, shall verify and process eligible financial assistance requests for nuclear<br />

energy-related projects under the grant program.<br />

The legislation additionally includes 3 noncodified sections:<br />

The Kentucky Nuclear Energy Development Authority shall conduct a study to identify the workforce<br />

and educational needs to develop and support the nuclear ecosystem in Kentucky and submit the findings of<br />

the study to the Governor and to the <strong>Legislative</strong> Research Commission on or before December 1, <strong>2024</strong>.<br />

The Kentucky Nuclear Energy Development Authority shall contract for services to produce a site<br />

suitability study to identify the best potential locations for nuclear reactors and other facilities related to the<br />

nuclear ecosystem in the Commonwealth and submit the findings of the study to the Governor and to the<br />

<strong>Legislative</strong> Research Commission on or before December 1, 2025.<br />

The Kentucky Nuclear Energy Development Authority shall contract for services to develop and<br />

implement an education and marketing plan to educate the public on modern nuclear energy technology<br />

and to provide information on the potential benefits of nuclear power generation and other applications of<br />

nuclear energy technologies.<br />

SJR 140<br />

PUBLIC SERVICE COMMISSION<br />

Sponsor: Senator Danny Carroll (R-Benton)<br />

SJR 140 is a joint resolution directing the Public Service Commission to make all staffing,<br />

organizational, and administrative preparations necessary to be ready to discharge its regulatory duties<br />

relating to applications for the siting and construction of nuclear energy facilities in Kentucky, including<br />

but not limited to: 1) conducting a survey of nuclear regulatory staff in other states to determine their pay,<br />

experience, and qualifications so that the commission can make informed decisions on the recruitment and<br />

hiring of its own nuclear regulatory staff; 2) contracting with personnel with expertise in nuclear regulatory<br />

matters to be available immediately to assist with the administration of nuclear siting or construction<br />

applications should they be filed with the commission; 3) providing for the training of existing commission<br />

staff on nuclear siting and construction issues; 4) amending administrative regulations promulgated by<br />

the commission to require that electric utilities consider the costs and benefits of all generation resources,<br />

including but not limited to nuclear power generation resources, when determining how to meet future<br />

demand as part of the triennial integrated resource plans that they are required to file with the commission;<br />

and 5) reviewing, in consultation with experts in state nuclear regulatory matters, and amending, if necessary,<br />

all other administrative regulations promulgated by the commission to ensure that they do not contain any<br />

provisions that would impede the commission from effectively regulating nuclear facilities or obstruct the<br />

development of nuclear resources in the state.<br />

KLC UPDATE


14. PLANNING & ZONING<br />

37<br />

HB 443<br />

LAND USE<br />

Sponsor: Representative Steven Rudy (R–Paducah)<br />

HB 443 creates a new section of KRS Chapter 100 to require that local ordinances, rules, and<br />

regulations governing subdivision plats and development plans be set in the form of objective standards<br />

and applied ministerially, with exceptions.<br />

Ordinances, rules, and regulations governing development plans may allow for discretion to be<br />

applied by the approving authority in circumstances where: 1) an applicant seeks a deviation from the<br />

established objective standards; or 2) the approving authority determines, based on substantial evidence,<br />

that a strict ministerial application of the established objective standards would pose a specific threat to<br />

public health, safety, or welfare in the affected area.<br />

The Act takes effect on July 1, 2025.<br />

House Floor Leader Steven Rudy smirks at<br />

the camera as a House Committee approves<br />

House Bill 443 before he can testify.<br />

HB 581<br />

RETAIL FILLING STATIONS<br />

Sponsor: Representative Ken Upchurch (R–Monticello)<br />

HB 581 creates a new section of KRS Chapter 100 to prohibit local governments from using the<br />

zoning process or adopting or enforcing any measure that prohibits or limits the ability of a retail filling<br />

station from locating in areas in which similar businesses that serve the public may locate, could be<br />

reasonably construed to discriminate against the use or location of a retail filling station, or treats retail<br />

filling stations differently than electric vehicle charging stations.<br />

“Retail filling station” means any place accessible to general public vehicular traffic where gasoline<br />

or special fuel is or may be placed into the fuel supply tank of a licensed motor vehicle. “Electric vehicle<br />

charging station” means any place accessible to general public vehicular traffic where electric power may<br />

be used to charge a battery or other storage device of a licensed electric vehicle.<br />

Local governments are not prohibited from subjecting retail filling stations to restrictions similar<br />

to those applicable to other businesses that: 1) provide siting requirements, including siting requirements<br />

involving certain geographic areas; 2) do not effectively prohibit the operation of a retail filling station; and<br />

3) are not preempted by state or federal law.<br />

Rep. Ken Upchurch testifies before a local<br />

government committee on House Bill 581.<br />

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HB 11<br />

15. PUBLIC HEALTH<br />

NICOTINE PRODUCTS<br />

Sponsor: Representative Rebecca Raymer (R–Morgantown)<br />

HB 11 creates new sections of KRS 438.305 to 438.340 to regulate what types of vapor products<br />

can be sold in Kentucky with the goal to curb youth vaping. The bill requires Kentucky businesses to<br />

acknowledge when filing business-related documents with the Secretary of State’s office if the business<br />

sells authorized vapor products at retail. The Secretary of State shall create a list of retailers that sell<br />

authorized vapor products and provide the list to the Department of Alcoholic Beverage Control and the<br />

Department of Revenue on a monthly basis.<br />

The Department of Alcoholic Beverage Control regulates the sale of tobacco and vapor products<br />

to determine if authorized tobacco and vapor products are sold. Based on information gathered by the<br />

department, the department shall create and maintain a tobacco product noncompliance database and<br />

reporting system to identify retailers that have violated provisions of HB 11 by selling an authorized vapor<br />

or tobacco product to a minor or an unauthorized vapor product to anyone. A wholesaler shall not sell<br />

authorized vapor products to a retailer until the wholesaler verifies that the retailer is not in the tobacco<br />

product noncompliance database and reporting system.<br />

A retailer that sells an authorized vapor or tobacco product to a minor shall be subject to a fine of<br />

not less than $100 or more than $500 for the first citation issued; $1,000 for a second citation; and $5,000<br />

for a third or subsequent citation. For a fourth or subsequent citation issued for a violation within a twoyear<br />

period, a retailer shall lose the ability to lawfully sell vapor products for one year.<br />

A retailer that sells an unauthorized vapor product to anyone shall be subject to a fine of $1,000 for<br />

the first citation and $5,000 for a second or subsequent citation. For a third or subsequent citation issued<br />

for a violation within a two-year period, a retailer shall lose the ability to lawfully sell vapor products for<br />

one year.<br />

A retailer in the tobacco noncompliance database and reporting system that sells vapor products<br />

that are unauthorized vapor products shall be subject to a fine of $10,000 per unlawful transaction.<br />

All certified peace officers with general law enforcement authority and investigators of the<br />

Department of Alcoholic Beverage Control may issue a citation for a violation of the Act. A citation shall<br />

not be issued to a minor, and a minor shall not be arrested in connection with a retailer’s violation of<br />

the Act. All citations issued shall be reported to and enforced by the Department of Alcoholic Beverage<br />

Control. Multiple violations found during one visit shall be reported on a single citation and considered to<br />

be one violation for purposes of the penalties set forth in the Act.<br />

The Act takes effect January 1, 2025.<br />

HB 109<br />

SWIMMING POOLS<br />

Sponsor: Representative Kevin Jackson (R–Bowling Green)<br />

HB 109, a KLC initiative, creates a new section of KRS Chapter 211 to require the Cabinet for Health<br />

and Family Services to establish a system for classification of swimming pools into either Class A or Class<br />

B. “Class A” means any pool or bathing facility intended for or used by the general public for recreational<br />

use. “Class B” means any pool not open to the general public, but open to limited groups and their invited<br />

guests, including but not limited to health or athletic clubs, country clubs, or residential communities.<br />

Lifeguards shall be required at all Class A and Class B pools if the pool facility meets at least one<br />

of the following criteria: 1) allows persons 17 years of age or younger to enter the pool facility enclosure<br />

without a responsible adult 18 years or older; 2) contains features such as induced waves or slides that are<br />

available for use; or 3) contains an entry into the pool available for use from a height above the deck from<br />

a diving board, platform, climbing wall, or other similar feature. If a Class A or Class B pool meets any of<br />

the criteria, it shall provide one lifeguard for each one to 100 bathers.<br />

Lifeguards shall be required at all Class A pools that do not meet any of the criteria if the pool<br />

facility has: 1) 2000 square feet or greater of water surface area in which case it shall provide one lifeguard<br />

for each 2000 square feet or major fraction more than half thereof; or 2) 100 or more bathers, in which<br />

case it shall provide one lifeguard for each 100 or more bathers.<br />

KLC UPDATE


39<br />

At a pool where the use is intended for aquatic events, swimming practice, or swimming<br />

competition, the swimming coach or instructor that provides instruction during the program may count as<br />

a lifeguard, provided the coach or instructor can supervise the entire group.<br />

Notwithstanding classification of swimming pools into either Class A or Class B, the Cabinet for<br />

Health and Family Services may allow Class A and Class B pools to submit an alternative lifeguard staffing<br />

plan that has been certified by a third-party compliance specialist that is recognized by the Cabinet for<br />

Health and Family Services.<br />

All Class A and Class B pools shall be equipped with an emergency shut-off switch to disconnect<br />

power to pool recirculation, chemical feed, and electrical devices engaged with the water circulation<br />

system, which is located at a place quickly accessible to lifeguards and other pool staff, but secure from<br />

the public.<br />

Any pool located on the same plat as a single-family residence and not used in connection with a<br />

home occupation or business shall be exempted from the provisions of the Act.<br />

The Cabinet for Health and Family Services shall promulgate administrative regulations to<br />

implement provisions of the Act.<br />

An emergency is declared. HB 109 became law on April 9, <strong>2024</strong>, when it became law without the<br />

Governor’s signature.<br />

HB 293<br />

KRATOM<br />

Sponsor: Representative Kimberly Moser (R–Taylor Mill)<br />

HB 293 creates new sections of KRS Chapter 217 to establish the Department for Public Health<br />

as the state agency responsible for regulating kratom. Kratom is defined to mean any part of the plant<br />

Mitragyna speciosa.<br />

A kratom processor or kratom retailor shall not distribute, dispense, sell, or make available for<br />

sale any kratom extract or kratom product to an individual who is under 21 years-of-age or prepare,<br />

manufacture, distribute, dispense, sell, or make available for sale any kratom extract or kratom product<br />

that is adulterated with a dangerous nonkratom substance or contains a poisonous or otherwise harmful<br />

nonkratom ingredient, including but not limited to any controlled substance.<br />

House Health Services Chair<br />

Kim Moser and Ashland Police<br />

Chief Todd Kelley testify<br />

before the House Health<br />

Services Committee in favor of<br />

House Bill 293.<br />

KLC.ORG


40<br />

All kratom extracts and kratom products sold or otherwise distributed in the Commonwealth<br />

shall be accompanied by a clear label that provides adequate information for safe and effective use by<br />

consumers that includes but is not limited to: 1) a list of the ingredients used in the manufacturing of the<br />

kratom extract or kratom product; 2) the amount of mitragynine and 7-hydroxymitragynine contained in<br />

the kratom extract or kratom product; 3) the recommended serving size of the kratom extract or kratom<br />

product; 4) the number of servings per container of the kratom extract or kratom product; 5) the name<br />

and principle street address of the vendor or person responsible for distributing the kratom extract or<br />

kratom product; 6) any precautionary statements as to the safety and effectiveness of the kratom extract<br />

or kratom product; and 7) a disclaimer that the kratom extract or kratom product is not intended to<br />

diagnose, treat, cure, or prevent any medical condition or disease.<br />

A kratom processor or kratom retailer who violates provisions of the Act or any administrative<br />

regulation promulgated thereunder shall be subject to a civil penalty of not more than $500 for a first<br />

offense and not more than $1,000 for a second or subsequent offense.<br />

If at any time on or after the effective date of the Act, the federal government or any department<br />

or agency thereof, including but not limited to the federal Drug Enforcement Agency or Food and Drug<br />

Administration, regulates kratom, kratom extracts, kratom products, any other derivative of the plant<br />

Mitragyna speciosa, kratom processors, or kratom retailers, those federal regulations shall supersede and<br />

take precedence over any provision of the Act and any administrative regulation promulgated thereunder<br />

to the contrary.<br />

HB 583<br />

ENVIRONMENTAL EMERGENCIES<br />

Sponsor: Representative William Lawrence (R–Maysville)<br />

HB 583, a KLC initiative, amends KRS 224.1-401 to correct an oversight in entities required to be<br />

notified by the Energy and Environment Cabinet within seven (7) days of declaring an environmental<br />

emergency that requires implementation of a contingency plan. In addition to other entities the cabinet is<br />

required to notify during the declaration of emergency, the cabinet must additionally notify the mayor of<br />

a city or chief executive officer of a consolidated local government serving a jurisdiction within which an<br />

environmental emergency exists.<br />

Rep. William Lawrence<br />

testifies before the<br />

House Natural Resources<br />

Committee for passage of<br />

House Bill 583.<br />

KLC UPDATE


41<br />

SB 71<br />

MENTAL HEALTH EVALUATORS<br />

Sponsor: Senator Phillip Wheeler (R–Pikeville)<br />

SB 71 amends KRS 202A.011 and 202A.041 to address a hardship for police under current law that<br />

requires a law enforcement officer to be present with an individual for a mental health evaluation until a<br />

facility agrees to admit the individual.<br />

KRS 202A.041 requires any peace officer who has reasonable grounds to believe that an individual<br />

is mentally ill and presents a danger or threat of danger to self or others if not restrained to take the<br />

individual into custody and transport the individual without unnecessary delay to a hospital or psychiatric<br />

facility designated by the Cabinet for Health and Family Services for the purpose of an evaluation to be<br />

conducted by a qualified mental health professional. Generally, the individual is held locally where a peace<br />

officer must wait for completion of an evaluation that may not be readily available for completion by a<br />

qualified mental health professional. If the individual is determined to present a danger or threat of danger<br />

to self or others, the peace officer is required to transport the individual to a psychiatric hospital or other<br />

facility for admission.<br />

KRS 202A.041 is amended to no longer require a peace officer to take an individual believed to be<br />

mentally ill who presents a danger or threat of danger to self or others into custody and transport them,<br />

but to make it discretionary whether a police officer takes an individual into custody and transports them<br />

to a hospital or psychiatric facility. The statute is additionally amended to permit an evaluation to be<br />

completed by a contract mental health evaluator rather than by a qualified mental health professional.<br />

KRS 202A.011 is amended to define a “contract mental health evaluator” to mean a qualified mental<br />

health professional who is employed by or under contract with a community mental health center, crisis<br />

stabilization unit, mental institution, or any other facility designated by the secretary of the cabinet to<br />

provide mental health evaluations to determine whether an individual meets the criteria for involuntary<br />

hospitalization.<br />

KRS 202A.041 is additionally amended to require state compensation to be reduced by 5 percent<br />

for every 10 minutes a peace officer is required to maintain custody of an individual for more than 3 hours<br />

after requesting an evaluation by a contract mental health evaluator designated by the cabinet to conduct<br />

evaluations prior to admission to a hospital or psychiatric facility.<br />

Rep. Shane Baker speaks on<br />

the House Floor in favor of<br />

Senate Bill 71.<br />

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16. RETIREMENT SYSTEMS<br />

HB 99<br />

KENTUCKY PUBLIC PENSIONS AUTHORITY<br />

Sponsor: Representative DJ Johnson (R-Owensboro)<br />

HB 99 amends various sections of KRS Chapters 16, 61, and 78 to make technical and housekeeping<br />

changes relating to the Kentucky Public Pensions Authority’s administration of the systems governed by<br />

the board of trustees of the Kentucky Retirement Systems and the County Employees Retirement System.<br />

Rep. D.J. Johnson delivers his testimony seeking passage of House Bill 99.<br />

KLC UPDATE


17. SCHOOL SAFETY<br />

43<br />

SB 2<br />

STUDENT SAFETY<br />

Sponsor: Senator Max Wise (R-Campbellsville)<br />

SB 2 amends provisions of the School Safety and Resiliency Act passed in 2019 as SB 1 to further<br />

strengthen security and mental health measures in schools. A new section of KRS Chapter 158 is created to<br />

establish a framework for employment of guardians as a voluntary option for schools to address a shortage<br />

of school resource officers. “Guardian” means an employee of a local board of education who is employed<br />

for the purpose of providing school safety and security to students and staff on a school site. A person<br />

providing services as a guardian may only include honorably discharged veterans, retired Kentucky state<br />

troopers, retired special and sworn law enforcement officers, and former federal law enforcement officers.<br />

A guardian certified by the Center for School Safety as having met all requirements of the Act is deemed to<br />

be an authorized individual and may carry a weapon on school property.<br />

Local boards of education may employ as many guardians as the board considers necessary for<br />

the safety and security of its schools. Prior to hiring a guardian, the local board of education shall require<br />

the applicant to provide certification from the Center for School Safety that he or she meets all of the<br />

following minimum requirements: 1) is a citizen of the United States and the Commonwealth of Kentucky;<br />

2) has received a high school diploma or a high school equivalency diploma; 3) is currently licensed under<br />

KRS 237.110 to carry a concealed weapon; 4) has completed and passed background checks as required<br />

pursuant to KRS 160.380(6)(a); 5) has not been convicted of any felony or misdemeanor under KRS<br />

Chapter 510 (sexual offenses) or had any such offense expunged; 6) has passed a medical examination<br />

to determine if he or she can perform the duties of a guardian; and 7) has passed a drug screening test<br />

administered or approved by the Kentucky Law Enforcement Council.<br />

Additional minimum requirements:<br />

The local board of education shall additionally require the applicant to provide certification from the<br />

Center for School Safety that he or she has: 1) passed a background investigation, psychological screening,<br />

and polygraph examination administered by the Kentucky Law Enforcement Council to determine the<br />

person’s suitability for the position of guardian; 2) passed the Active Shooter Response, Enhanced<br />

Handgun Performance, and Patrol Rifle courses provided by the Department of Criminal Justice Training;<br />

3) passed the marksmanship qualification requirement for a retired peace officer as specified in KRS<br />

237.140; and 4) been honorably discharged from the Armed Forces of the United States within the 5 years<br />

immediately preceding an initial contract to be a guardian as evidenced by a Department of Defense form<br />

DD 214, or is a retired Kentucky state trooper, retired special or sworn law enforcement officer, or former<br />

federal law enforcement officer.<br />

Each agency that previously employed a retired Kentucky state trooper, retired special law<br />

enforcement officer, or sworn law enforcement officer shall provide to the retired individual proof of<br />

prior employment in a prompt and efficient manner, without charge to the individual. An applicant may<br />

additionally be required to meet any other requirements imposed by the local board of education which<br />

may include, but are not limited to, a written preemployment examination.<br />

A local board of education that employs a guardian shall collaborate with the local police<br />

department, local sheriff, area post of the Department of Kentucky State Police, and the state school<br />

security marshal in order to adopt policies regarding: 1) the job description of the guardian, including, but<br />

not limited to, the scope of duties, responsibilities, and direct supervisor of the guardian; 2) the uniform to<br />

be worn by the guardian that would best suit the needs of the schools while also allowing outside agencies<br />

to easily identify guardians; 3) the procedures, processes, and chain of command to be used during an<br />

emergency in which law enforcement agencies are called to the school; and 4) the type of firearm and<br />

ammunition to be used by the guardian.<br />

Beginning with the 2025-2026 school year, a local board of education that has met all requirements<br />

may employ one or more guardians to provide additional school safety and security measures within the<br />

district. Participation by a local board of education in the use of a guardian is voluntary and subject to<br />

the availability of local school district funds. The use of guardians shall not be used to replace a certified<br />

school resource officer, but only to provide temporary safety and security resources until a certified school<br />

resource officer is available.<br />

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KRS 158.442 is amended to require the Center for School Safety to, if funds are available, employ an<br />

individual whose job responsibilities include oversight of the guardian program, including but not limited<br />

to: 1) providing certification to local boards of education that applicants for the position of guardian meet<br />

all minimum requirements; and 2) creation of a model policy to be used by local boards of education when<br />

adopting policies relating to collaboration with other law enforcement agencies.<br />

KRS 158.4416 is amended to expand mental health measures to include integration of school<br />

psychologists, social workers, community-based mental health services providers hired by school districts,<br />

and school resource officers into existing trauma-informed teams within schools. The trauma-informed<br />

team shall: 1) provide assistance to school personnel to enable them to support students whose learning,<br />

behavior, and relationships have been impacted by trauma; 2) identify ways to recognize and respond to<br />

mental health issues in all students; and 3) identify ways to build resiliency and wellness in all students.<br />

The trauma-informed approach plan shall be reviewed and updated annually, incorporated into<br />

the annual comprehensive district improvement plan required by 703 KAR 5:225, and submitted to the<br />

Department of Education. The department shall annually provide a summary of the trauma-informed<br />

approach strategies being used in districts to the board and the <strong>Legislative</strong> Research Commission for<br />

referral to the Interim Joint Committee on Education.<br />

KRS 58.4451 is amended to require the Office of Homeland Security to maintain and update the<br />

anonymous reporting tool available in each school district that allows students, parents, and community<br />

members to anonymously supply information concerning unsafe, potentially harmful, dangerous, violent,<br />

or criminal activities, or the threat of these activities, to appropriate public safety agencies and school<br />

officials.<br />

A new section of KRS Chapter 158 is created to establish a School Mapping Data Program<br />

administered by the Center for School Safety. “School mapping data” means mapping information<br />

provided in an electronic or digital format to assist first responders in responding to emergencies at<br />

schools. The School Mapping Data Program shall establish a single verified source of mapping data for<br />

each participating school campus in the state that is standardized, accurate, and accessible to public<br />

safety agencies to ensure efficient response to any emergency on a school campus.<br />

The Center for School Safety shall provide the mapping data developed by the program to the state<br />

security marshal, participating schools, participating districts, and local law enforcement and public safety<br />

agencies for use in response to emergencies and for conducting required drills.<br />

The data shall be compatible with software platforms used by local, county, state, and federal public<br />

safety agencies that provide emergency services to the specific school for which the data is provided<br />

without requiring the agencies to purchase additional software or requiring a fee to view or access the<br />

data. The school mapping data shall be excluded from the application of KRS 61.870 to 61.884, Open<br />

Records Act.<br />

Senator Max Wise<br />

(R-Campbellsville) discusses<br />

bills brought to the Senate<br />

Education Committee.<br />

Photo courtesy of LRC.<br />

KLC UPDATE


18. SUBSTANCE ABUSE<br />

45<br />

HB 462<br />

RECOVERY RESIDENCES<br />

Sponsor: Representative Steve Bratcher (R–Elizabethtown)<br />

HB 462 amends and extends provisions of HB 248 passed by the General Assembly in 2023<br />

regarding certification of recovery residences. KRS 222.502 is amended to extend the deadline requiring<br />

unlicensed recovery residences to cease operation effective July 1, <strong>2024</strong>. A recovery residence that<br />

provides on-site clinical services or access to on-site clinical services operating without certification from<br />

a certifying organization on June 30, <strong>2024</strong>, shall be permitted to continue operating after July 1, <strong>2024</strong>, but<br />

shall be required to provide proof of certification by a certifying organization to the Cabinet for Health and<br />

Family Services no later than December 31, <strong>2024</strong>.<br />

KRS 222.504 is amended to authorize the Cabinet for Health and Family Services and local<br />

governments to impose civil fines on uncertified recovery residences. Any certified recovery residence or<br />

other person operating a recovery residence who: 1) knowingly fails to submit any report, data, or other<br />

information as may be required by the cabinet through the promulgation of an administrative regulation<br />

or by a local government through the enactment of a local ordinance; 2) submits fraudulent reports, data,<br />

or information; or 3) knowingly establishes, maintains, or operates an uncertified recovery residence in<br />

violation of the Act may be subject to civil fines established by the cabinet through the promulgation of an<br />

administrative regulation or by a local government through the enactment of a local ordinance.<br />

KRS 222.506 is amended to provide limited exceptions to the requirement that a recovery residence<br />

not directly provide on-site medical or clinical services. The provision of on-site medical or clinical services<br />

by a licensed medical or behavioral health provider may be permitted if the recovery residence: 1) does not<br />

receive payment from the licensed provider; 2) makes on-site clinical services available from an outside<br />

service provider, but each resident may utilize the clinical service provider of his or her choosing; or 3)<br />

is operated by or is a direct subsidiary of a licensed provider and the services are provided as part of a<br />

continuum of care that can be shown by the recovery residence operator to include step-down facilities<br />

with resident-driven length of stay.<br />

SB 71<br />

SUBSTANCE USE TREATMENT PROGRAMS<br />

Sponsor: Senator Phillip Wheeler (R–Pikeville)<br />

SB 71 creates new sections of KRS Chapter 222 regarding substance use treatment programs.<br />

Any substance use treatment program that is authorized or regulated under KRS Chapter 222 or holds<br />

a chemical dependency treatment services license under KRS 222.231 issued in accordance with KRS<br />

216B.042, or a recovery residence as defined in KRS 222.500, must comply with procedures concerning<br />

residents who wish to voluntarily leave the program. For any resident who wishes to voluntarily leave<br />

the program, the facility must either: 1) obtain agreement from a family member, guardian, or emergency<br />

contact of the resident to personally transport the resident within 24 hours; or 2) make transportation<br />

services available.<br />

Transportation services may include providing the resident access to: 1) a ride-sharing service and<br />

purchase of a one-way service to a specific address in the resident’s hometown of record or to the city hall<br />

in the resident’s hometown of record; 2) public transportation, including but not limited to transporting<br />

the resident to the nearest commercial bus station and purchase of a ticket to the resident’s hometown<br />

of record; or 3) other transportation to a safe place as determined by the facility to be therapeutically<br />

appropriate. The described facilities and law enforcement officers shall transport residents voluntarily<br />

leaving the facility only to public transportation locations, a location to meet the driver of a ride-sharing<br />

service, or other safe place as determined by the facility to be therapeutically appropriate.<br />

If a resident required by court order to attend a treatment facility leaves the facility prior to court<br />

approval or prior to completing the conditions of the court order, the treatment facility shall notify the<br />

court, Commonwealth’s or county attorney, local law enforcement, and the emergency contact or courtdesignated<br />

worker of the resident’s exit if permitted by applicable state and federal patient privacy laws.<br />

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A probation officer or peace officer, acting on information provided by a treatment facility who<br />

observes the resident violate the terms of his or her probation, conditional discharge, or release, or violate<br />

the terms of any court order may arrest the resident without a warrant and incarcerate the resident until<br />

the judge who made the initial court order holds a hearing on the resident’s violation of the order.<br />

SB 71 additionally outlines restrictions on substance use treatment programs regarding recruitment<br />

of out-of-state residents. Any substance use treatment program that is authorized or regulated under KRS<br />

Chapter 211 or holds a chemical dependency treatment services license under KRS 222.231 that was issued<br />

in accordance with KRS 216B.042, or a recovery residence as defined in KRS 222.500, shall, to the extent<br />

allowed by federal law, not: 1) knowingly recruit into their facility any out-of-state resident if the out-ofstate<br />

resident is enrolled in Medicaid or with the purpose of enrolling the out-of-state resident in Medicaid<br />

in this state; and 2) submit to the Department for Medicaid Services a recipient’s proof of Kentucky<br />

residency when submitting an initial request for Medicaid reimbursement if the facility is aware that the<br />

recipient resided in another state within the past month.<br />

Any facility that knowingly violates the restrictions shall be fined $20,000 for each offense and not<br />

less than $500 for each day an out-of-state resident received Medicaid services in Kentucky.<br />

Sen. Phillip Wheeler delivers impassioned<br />

testimony before the Senate. Photo<br />

courtesy of LRC.<br />

KLC UPDATE


19. TAXATION<br />

47<br />

HB 147<br />

PROPERTY RATE TAX LEVIES<br />

Sponsor: Representative Ken Fleming (R-Louisville)<br />

HB 147 amends KRS 132.017 to define “next regular election” as it pertains to placing on the ballot<br />

the question whether a local property tax rate shall be levied, to mean the regular election that occurs<br />

immediately after all statutory requirements for levying a property tax rate have been met, regardless of<br />

whether the election occurs in the same or a subsequent calendar year as the levy of the property tax rate.<br />

SB 58<br />

RECALL PETITIONS<br />

Sponsor: Senator Gary Boswell (R-Owensboro)<br />

SB 58 amends KRS 132.017 relating to requirements and procedures for filing a recall petition<br />

proposing to contest a property tax levy by a local government which exceeds the compensating tax rate<br />

of 4%. The bill makes the following changes to the recall petition process described in KRS 132.017:<br />

• The number of registered voters within the area where the tax levy would be imposed required<br />

to file an affidavit with the county clerk to protest the passage of the tax levy is reduced from<br />

five to three.<br />

• Each sheet of the petition is allowed to include the names of voters in any of the affected voting<br />

precincts.<br />

• The requirement for petition signees to put their social security number or the name and<br />

number of their designated voting precinct on the petition is eliminated. A requirement to<br />

include birth month and birth year is added.<br />

HB 492<br />

ANNEXATION INTO THIRD COUNTY<br />

Sponsor: Representative Matt Lockett (R–Nicholasville)<br />

HB 492 amends KRS 68.197 to require if a city annexes territory pursuant to KRS 81A.415, and both<br />

the city and the county in which the territory annexed is contained levied a license fee prior to the time of<br />

annexation: 1) the county license fee shall no longer apply in the area annexed by the city if the city license<br />

fee is equal to or greater than the license fee rate imposed by the county at the time of the annexation; and<br />

2) if the city license fee is less than the license fee imposed by the county at the time of the annexation,<br />

only the portion of the county license fee that exceeds the city license fee rate shall remain in effect in the<br />

annexed area.<br />

If occupational license tax revenue from a territory that has been annexed by a city does not<br />

continue to be the same amount as prior to annexation, the city shall annually pay an amount to the<br />

county that guarantees that the county shall receive at least the same dollar amount of revenue that was<br />

generated by the county license fee in the territory in the tax year immediately preceding the annexation.<br />

After the tax year in which the annexation occurs, if the revenues generated by the city license fee<br />

for the territory decrease below the amount of revenue generated by the county license fee at the time of<br />

the annexation, then the revenue received by the county from the city shall be reduced proportionately.<br />

KLC.ORG


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20. TRANSPORTATION<br />

HB 7<br />

AUTONOMOUS VEHICLES<br />

Sponsor: Representative Josh Bray (R–Mount Vernon)<br />

HB 7 creates new sections of KRS Chapter 186 to permit a person to operate a fully autonomous<br />

vehicle on the highways of this state without a human driver provided that the automated driving system is<br />

engaged and the vehicle meets the following conditions:<br />

• If a failure of the automated driving system occurs that renders that system unable to perform<br />

the entire dynamic driving task relevant to its intended operational design domain, the fully<br />

autonomous vehicle will achieve a minimal risk condition;<br />

• The fully autonomous vehicle is capable of operating in compliance with the applicable traffic<br />

and motor vehicle safety laws and regulations of this state when reasonable to do so, unless an<br />

exemption has been granted by the Transportation Cabinet; and<br />

• When required by federal law, the vehicle bears the required manufacturer’s certification label<br />

indicating that at the time of its manufacture it has been certified to be in compliance with all<br />

applicable federal motor vehicle safety standards, including any exemptions granted by the<br />

National Highway Traffic Safety Administration.<br />

From the effective date of the Act until July 31, 2026, a fully autonomous vehicle for which the<br />

declared gross weight of the vehicle and any towed unit is more than 62,000 pounds shall have a human<br />

driver with the appropriate credentials to operate the vehicle present in the vehicle to monitor the<br />

performance of the vehicle and intervene if necessary. Nothing prohibits or restricts a human driver from<br />

operating a fully autonomous vehicle equipped with controls that allow for the human driver to control all<br />

or part of the dynamic driving task.<br />

A fully autonomous vehicle shall be properly titled and registered in accordance with KRS Chapters<br />

186 and 186A. If a fully autonomous vehicle is titled and registered in this state, the vehicle shall be<br />

identified on the title and registration as a fully autonomous vehicle. Unless otherwise provided in KRS<br />

Chapter 186, KRS Chapter 189, or KRS Chapter 281, the Transportation Cabinet is the sole and exclusive<br />

state agency that may implement provisions of the Act.<br />

The provisions of HB 7 are intended to be a comprehensive scheme of legislation governing the<br />

operational and performance standards of fully autonomous vehicles. No public agency shall prohibit<br />

the operation of fully autonomous vehicles or automated driving systems or impose any rule, regulation,<br />

or ordinance in conflict with the Act or that otherwise differentiates the treatment of fully autonomous<br />

vehicles from non-autonomous vehicles.<br />

Nothing shall be interpreted or construed to prohibit a city, county, consolidated local government,<br />

or urban-county government from exercising the powers and authorities provided by law to govern<br />

the public streets and roadways within their respective jurisdictions, provided that any action does not<br />

impose additional requirements in conflict with the Act or otherwise differentiate the treatment of fully<br />

autonomous vehicles from nonautonomous vehicles.<br />

KLC UPDATE


49<br />

SB 107<br />

TOWING COMPANIES<br />

Sponsor: Senator Jimmy Higdon (R–Lebanon)<br />

SB 107 amends KRS 281.926 relating to rate sheets required to be maintained by towing companies.<br />

In addition to maintaining a rate sheet at its place of business, a towing company must provide a current<br />

rate sheet to the nearest Department of Kentucky State Police post and any law enforcement agency in its<br />

service area.<br />

If a towing company fails to comply with the requirement to provide a current rate sheet, the<br />

Department of Kentucky State Police and any local law enforcement agency in the company’s service area<br />

shall remove the towing company from its wrecker log for a period of 6 months for the first violation and<br />

one year for any subsequent violation.<br />

SB 215<br />

EMISSION CONTROL<br />

Sponsor: Senator Jared Carpenter (R–Berea)<br />

SB 215 creates a new Subchapter 20 of KRS Chapter 224 to prohibit an agency, department, air<br />

pollution control district, or political subdivision of the Commonwealth, including the Transportation<br />

Cabinet, from adopting or enforcing standards relating to control of emissions from new motor vehicles<br />

that are identical to the standards established by the State of California, pursuant to 42 U.S.C. sec. 7507 of<br />

the Clean Air Act.<br />

KLC Executive Director/CEO J.D. Chaney and Sen. Mike Wilson testify for passage of<br />

Senate Bill 229 before the Senate State and Local Government Committee.<br />

KLC.ORG


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21. UTILITIES<br />

SB 229<br />

MUNICIPAL UTILITIES<br />

Sponsor: Senator Mike Wilson (R–Bowling Green)<br />

SB 229, a KLC initiative, amends:<br />

1) KRS 42.747 to replace the member serving on the Blockchain Technology Working Group<br />

representing the Kentucky Municipal Utilities Association with a member representing municipal<br />

utilities designated by the Kentucky League of Cities;<br />

2) KRS 96.780 to increase the maximum amount a superintendent employed by an electric plant<br />

board contracting with the Tennessee Valley Authority may spend on behalf of the board<br />

without board approval from $20,000 to $40,000 as determined by the board; and<br />

3) KRS 224A.030 to replace the member serving on the Kentucky Infrastructure Authority board<br />

representing the Kentucky Municipal Utilities Association with a member representing a<br />

municipal utility that provides water and wastewater services selected by the Governor from a<br />

list of nominees submitted by the Kentucky League of Cities.<br />

Rep. Josh Bray carries Senate Bill 229 on the<br />

floor of the House.<br />

KLC UPDATE


22. WATER & WASTEWATER<br />

51<br />

HB 40<br />

WATER AND WASTEWATER SYSTEMS<br />

Sponsor: Representative Bobby McCool (R–Van Lear)<br />

HB 40 creates a new section of Subchapter 10 of KRS Chapter 224 to establish a combined<br />

Kentucky Board of Certification of Water and Wastewater System Operators. The board shall recommend<br />

qualified applicants to the Energy and Environment Cabinet for certification and perform other acts as<br />

may be necessary to carry out the purposes of the Act. Members of the board shall be appointed by the<br />

Governor. The board shall consist of 8 members with professional backgrounds as follows:<br />

• One employee of a municipality who holds the position of either city manager, city engineer,<br />

director of public works, or a similar position;<br />

• One member who is a faculty member of a college, university, or professional school whose<br />

major field is related to water treatment, water distribution, or wastewater treatment;<br />

• One ex officio member representing the Energy and Environment Cabinet;<br />

• One member who is an operator of an industrial wastewater system;<br />

• Two members currently employed as operators holding valid water treatment or water<br />

distribution certificates; and<br />

• Two members currently employed as operators holding valid wastewater certificates.<br />

After the expiration of the initial staggered appointments, board members shall serve terms of four<br />

years. All initial appointments shall be made on or before August 1, <strong>2024</strong>.<br />

On or before December 31, <strong>2024</strong>, the board, working in conjunction with the Drinking<br />

Water Advisory Workgroup and the Clean Water Advisory Workgroup, shall submit to the cabinet<br />

recommendations for the establishment of the following voluntary certification programs:<br />

1) A voluntary shared services certification program for supervisors or certified operators working<br />

in, or interested in working in, regionalized systems or plants that serve multiple communities. The<br />

voluntary shared services certifications recommended under the Act shall be classified by the size, type,<br />

and physical characteristics of the systems they supervise, in the same manner as operator certifications;<br />

and<br />

2) A program or strategy for recruiting applicants to work in the operation of systems or plants<br />

who are not currently participating in any apprenticeships or certification programs administered by the<br />

cabinet.<br />

On or before August 1, <strong>2024</strong>, copies of any records, files, or documents associated with the functions<br />

of the Kentucky Board of Certification of Wastewater System Operators and the Kentucky Board of<br />

Certification of Water Treatment and Distribution System Operators shall be transferred to the Kentucky<br />

Board of Certification of Water and Wastewater System Operators.<br />

HB 563<br />

PUBLIC WATER AND WASTEWATER SYSTEMS<br />

Sponsor: Representative Josh Bray (R–Mount Vernon)<br />

HB 563 creates new sections of KRS Chapter 224A to establish the Kentucky Water and<br />

Wastewater Assistance for Troubled or Economically Restrained Systems Program, or the “Kentucky<br />

WWATERS Program,” to be administered by the Kentucky Infrastructure Authority (KIA) under the<br />

direction of its board to provide for an orderly process for eligible public water or wastewater systems to<br />

apply for loans for eligible projects and for those loan applications to be evaluated, scored, and presented<br />

to the General Assembly for consideration for funding.<br />

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“Public water or wastewater system” means any of the following that serve a community: 1) a water<br />

district, water association, or joint water commission formed under KRS Chapter 74; 2) a sewer district or<br />

sanitation district formed under KRS Chapter 67, 76, or 220; 3) a municipal water utility and water works,<br />

sewer utility, sewage system or works, or combined electric and water plant formed under KRS Chapter 96;<br />

and 4) any combination of the listed entities.<br />

To participate in the Kentucky WWATERS Program, a loan applicant shall submit an application to<br />

the KIA board, which shall include a corrective action plan detailing how the requested funds would be<br />

used to address the performance deficiencies that made the applicant eligible for the funding. Funding<br />

applications may be shared with third-party independent consultants, state agencies, or special purpose<br />

governmental entities in reviewing the funding application. Once the application process is complete and<br />

the funding application is ready for review, it shall be made available to the public.<br />

Within 60 days of a funding application being deemed complete, the board shall make<br />

determinations on the eligibility of the proposed project and the applicant and issue a project score for<br />

the application. Within 14 days of issuing a project score, the board shall provide detailed feedback to all<br />

funding applicants.<br />

If a funding applicant is selected as an eligible funding recipient approved under the Kentucky<br />

WWATERS Program, it shall comply with any reporting or other requirements deemed necessary by the<br />

authority to verify that the awarded funding goes toward an eligible project and that the funding recipient<br />

is making improvements on the performance criteria. The eligible funding recipient shall also comply with<br />

any internal management and governance procedures that the authority may impose in order to correct<br />

any performance deficiencies that gave rise to the need for the requested funds.<br />

Two revolving funds are created to implement the legislation. The Kentucky water and wastewater<br />

assistance for troubled or economically restrained systems fund is established in the State Treasury for<br />

administration by the authority for providing funding for both capital and non-capital expenses for eligible<br />

projects. Funding may be awarded in the form of grants, loans, no-interest loans, or forgivable loans as<br />

proposed by the board and determined by the General Assembly.<br />

A second fund known as the emergency Kentucky water and wastewater assistance for troubled<br />

or economically restrained systems fund is also established in the State Treasury for administration by the<br />

authority as a revolving fund dedicated to providing funding for both capital and non-capital expenses<br />

relating solely to restoring or avoiding imminent interruption of utility service provided a public water or<br />

wastewater system after a statewide state of emergency has been declared pursuant to KRS Chapter 39A<br />

or a local state of emergency has been declared for the jurisdiction where the public water or wastewater<br />

system is located pursuant to KRS Chapter 39B.<br />

A new section of KRS Chapter 65 is created to provide when a public water or wastewater system<br />

is sold, the acquiring utility shall have a forbearance period during which the acquiring utility shall: 1) not<br />

be required to pay any of the acquired public water or wastewater system’s fines or penalties imposed<br />

for violations by the Energy and Environment Cabinet or by the Public Service Commission, including any<br />

fines and penalties imposed prior to the effective date of the Act; 2) make all necessary improvements to<br />

the public water or wastewater system and its public works to correct past violations and bring the water<br />

system, wastewater system, or both into compliance with state and federal law; and 3) be given priority for<br />

any eligible financing from the Kentucky Infrastructure Authority to correct all deficiencies in the system<br />

identified in state and federal violations.<br />

After the forbearance period has expired, the cabinet and the commission shall either: 1) waive all<br />

fines and penalties incurred prior to the commencement of the forbearance period if all of the deficiencies<br />

giving rise to the fines and penalties have been resolved and: 1) the deficient public water or wastewater<br />

system is placed under a management and operations agreement with all day-to-day management and<br />

operations handled by a well-operated utility; or 2) the deficient public water or wastewater system is sold<br />

to an acquiring utility.<br />

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KRS 224A.316 is amended to provide a similar forbearance period to projects designed to correct<br />

state or federal deficiencies of a public water or wastewater system that is being sold, but only during the<br />

forbearance period granted to the acquired public water or wastewater system.<br />

An emergency is declared. HB 563 became law on April 12, <strong>2024</strong>, when delivered to the Secretary<br />

of State.<br />

SJR 149<br />

PFAS MANAGEMENT PRACTICES<br />

Sponsor: Senator Brandon Smith (R-Hazard)<br />

SJR 149 is a joint resolution directing the Energy and Environment Cabinet to provide guidance and<br />

consultation on best management practices for perfluoroalkyl and polyfluoroalkyl substances (PFAS) to<br />

entities that discharge directly or indirectly into Kentucky’s waterways.<br />

If requested by an entity discharging pursuant to a Kentucky Pollutant Discharge Elimination<br />

System (KPDES) permit or direct or indirect dischargers to a publicly owned treatment works, the Energy<br />

and Environment Cabinet shall provide guidance to, and consult with, that entity regarding best practices<br />

for the management of materials, including wastewater that contains PFAS.<br />

The consultation and guidance shall include but not be limited to a discussion of: 1) options<br />

available to meet applicable requirements imposed by the United States Environmental Protection Agency,<br />

if any, that are in effect at the time of the consultation and guidance; 2) cost-benefit analysis of available<br />

options; and 3) the availability of funding for the implementation of best practices.<br />

Sen. Brandon Smith comments on<br />

a bill before the Senate Natural<br />

Resources Committee. Photo<br />

courtesy LRC Public Information.<br />

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23. WORKFORCE INSURANCE<br />

HB 401<br />

WORKERS’ COMPENSATION<br />

Sponsor: Representative Michael Pollock (R–Campbellsville)<br />

HB 401 amends KRS 342.0011 and KRS 342.033 to expand the definition of “physician” for purposes<br />

of workers’ compensation proceedings in general and for giving testimony in a workers’ compensation<br />

administrative hearing, currently defined to mean practitioners acting within the scope of their license<br />

issued by the Commonwealth. The definition is expanded to include any physician acting within the scope<br />

of his or her license issued by any state, district, or territory of the United States.<br />

The amendment of KRS 342.033 additionally includes in the definition for purposes of workers’<br />

compensation proceedings any retired physician previously authorized to practice in Kentucky who<br />

surrendered his or her license while in good standing with their respective licensing board and is not<br />

subject to an ongoing investigation for improper practices.<br />

KRS 342.140 is amended to make changes to the way the average weekly wage of an injured<br />

employee is determined for workers’ compensation benefit purposes. If the employee’s wages were paid<br />

by the day, hour, or output of the employee and the employee received unemployment insurance benefits<br />

pursuant to KRS Chapter 341 during the first, second, third, or fourth period of consecutive weeks in the<br />

year immediately preceding the injury, unemployment insurance benefits received would be added to the<br />

employee’s wages earned during the 13-week period and divided by 13, the result most favorable to the<br />

employee.<br />

SB 140<br />

UNEMPLOYMENT INSURANCE BENEFITS<br />

Sponsor: Senator Phillip Wheeler (R–Pikeville)<br />

SB 140 amends KRS 341.413 relating to unemployment insurance claims filed between January<br />

27, 2020, and September 6, 2021. The Secretary of the Education and Labor Cabinet shall waive an<br />

overpayment of benefits if he or she finds the overpayment was made without fault on the part of the<br />

recipient and recovery would be contrary to equity and good conscience.<br />

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KLC.ORG<br />

KLC.ORG

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