Keywords: 958, all

Summary: The subcommittee met on October 14, approved the minutes, and then took up a large group of staff-suggested amendments to multiple regulations. Those staff amendments were approved without objection and were described as technical changes needed to comply with KRS Chapter 13A and other governing law. The committee then moved out of order to consider Kentucky Board of Medical Licensure regulation 2011 KAR 9:270, which governs buprenorphine prescribing and related standards. Board representatives said the regulation has been updated over time since 2015 and that the current amendments are intended to streamline the rule, remove outdated federal references such as the X-waiver, narrow education requirements to addiction-related topics, and create exceptions for settings like emergency rooms and certain pain treatment situations. The agency amendment would also allow buprenorphine monoproduct for up to 30 days when a patient is transitioning from a full opioid agonist, and would add physicians certified in addiction medicine as eligible specialty consultants. Board officials said the regulation was developed through a two-year process with a work group, informal outreach to medical organizations, and multiple comment periods, and they argued the rule is working because overdose deaths have declined and provider numbers have increased. Several witnesses and committee members raised concerns that the regulation remains too restrictive. Senator Rocky Adams noted that major medical organizations had said the proposed language could restrict access and worsen overdose risk, and he questioned whether the committee was being asked to choose between conflicting expert views. Opponents, including a medical student, a recovery advocate, and Dr. Colleen Ryan of the Kentucky Society of Addiction Medicine, argued the rule is outdated, creates unnecessary barriers to buprenorphine treatment, and should be repealed or substantially revised to align with federal guidance and evidence-based care. They said rigid requirements can discourage treatment and that addiction should be treated like other chronic illnesses. No final vote on the medical licensure regulation is reflected in the transcript excerpt, and the discussion ended with the chair preparing to hear from additional opponents.

Keywords: 958, all

Summary: The commission first returned from executive session and reported that no action was taken. It then approved a motion finding there was no reason to believe the respondent in case 25 LAC1 had committed or was about to commit a violation of the code, and dismissed the complaint under KRS 6.86(1)(b)3. Members next reviewed and approved the September financial report, which staff said was based on state accounting data and showed the commission within year-to-date budget parameters. Staff also reported that all required forms for the recent reporting period had been filed and that there were no outstanding forms. The main substantive discussion concerned a proposed one-year, $6,000 contract with Tyler Technology/Kentucky Interactive to add an online payment portal for the commission’s re-registration process. Staff said the system would let employers pay registration fees online using an employer ID, reduce manual handling of 3,000 to 3,500 forms and hundreds of credit card payments, and improve security by keeping credit card information out of commission staff hands. Members asked about user fees and procurement concerns; staff explained that users would still pay the existing credit card processing fee, that an e-check option would also be available, and that the $6,000 cost was viewed as below the de minimis threshold. The commission approved the contract. In other updates, staff said informal opinions were included in the materials and remained confidential, reported on a presentation to the UK Martin School, noted that the regular session calendar would likely require meetings to shift during the legislative session, and said the commission’s statutory recommendations had been received by LRC and referred to a state government committee. The meeting then moved into executive session to discuss a personnel matter.

Keywords: Meeting Start 00:00:00 Call to Order and Roll Call 00:00:15 Department of Insurance Update 00:01:39 Department of Financial Institutions Update 00:37:07 Insurance Industry Update 00:54:50 Credit Union Industry Update 01:10:53, 958, all

Summary: The committee met with a quorum, approved the September 16 minutes, and then received an update from Insurance Commissioner Sharon Clark and staff on the Department of Insurance. Clark reviewed department activity, including growth in premium volume and licensing, consumer complaints and recoveries, and a rise in fraud referrals. She said the department has 66 open fraud cases and described common schemes such as staged auto accidents, inflated repair or cleanup charges, and roofing scams. She also said the department’s investigators often prepare strong cases but face reluctance from local prosecutors, especially in Fayette and Jefferson counties, to pursue them. Clark reported favorable workers’ compensation news, saying rates will decrease 9.7% next year for the 20th straight year. She contrasted that with a difficult property insurance market driven by storms, reinsurance costs, inflation, labor shortages, and litigation, but said Kentucky’s market remains relatively stable, citing the Kentucky Fair Plan’s small number of policies. She then warned of significant 2026 health insurance premium increases on the exchange: 16.1% for Molina, 23% for Anthem, and 37% for WCare, after CareSource withdrew. She said the rates were reviewed by actuaries and found fair, but that the biggest pressure point is the scheduled expiration of enhanced premium tax credits, which she said could leave about 90% of exchange enrollees facing a compounded increase. Members questioned Clark about fraud prosecution, the number of people in commercial versus public coverage, and the impact of expiring subsidies. Clark said the prosecution issue is mainly with Commonwealth attorneys and that rural counties are more cooperative than urban ones. She also said the health market is individually rated and that older enrollees would be hit harder, while the loss of tax credits could push some people out of the marketplace. One member asked about the attorney general’s recent opinion on SB 188, the PBM bill; staff said attorneys were still reviewing it. Clark closed by noting that Kentucky’s fraud and towing/storage legislation has become a model for other states.

Keywords: 958, all

Summary: The committee first approved the September 19 meeting minutes and then took up a deferred University of Kentucky personal services contract amendment for guardianship services. UK officials explained that the contract covers court-appointed guardians for patients who cannot make medical decisions and are not eligible for state guardianship, with the work funded by UK Medical Center agency dollars rather than the general fund. Members questioned the large increase in the not-to-exceed amount, the number of cases, the hourly billing structure, and whether there are safeguards to prevent unnecessary costs or reimbursement issues if a patient later has resources. UK said the increase reflects shifting work from a prior firm, anticipated new cases, a move from a monthly fee to hourly billing, and the need for a second firm because one prior attorney died and another firm has had difficulty appearing in court promptly. The committee ultimately approved the contract, while Senator Thomas said he would vote aye but urged future review of attorney fee limits and broader guardianship statutes, which he described as outdated and inconsistent. The committee then deferred three Office of Energy Policy memorandum of agreement items to the November 2025 meeting without objection. After that, it approved the remaining agenda items, including the contract lists and deferred items not separately selected for review. The final major item was a University of Kentucky personal services contract related to fundraising and philanthropic outreach. UK representatives said the contract supports marketing and donor engagement efforts to grow the university’s endowment pipeline and philanthropic support. The transcript cuts off before the committee finished its questions or took final action on that item.

Keywords: Call to Order and Roll Call- 00:00:01 SERVS Informational Update- 00:01:22 Child Removal and Reunification Update: Department for Community Based Services Financials- 00:03:00 Small Business Sales Tax Websites: Department of Revenue-00:28:05 Senior Citizen Meal Programs: Department for Aging and Independent Living-00:35:50 Adjournment-01:41:57, 958, all

Summary: The committee first approved the minutes from the September 11 meeting by motion and voice vote. It then received a brief update on the statewide emergency responder voice system, but no presenter was present. The chair said he expected a more substantive update in November and warned that if there is not real progress on acquiring needed private properties, the committee may consider further action, including possibly freezing funding. The main discussion centered on the Department for Community Based Services’ child removal and reunification work and its structured decision-making tools. Commissioner Lisa Dennis and General Counsel Wesley Duke explained that the intake, safety, and risk assessment tools are being used at very high rates and that the department is still implementing and evaluating the system. Dennis said the tools are meant to inform, not replace, professional judgment; when staff disagree with a recommendation, the worker and first-line supervisor consult and decide together. Members questioned whether the system favors keeping children in the home, whether the department has studied safety outcomes for in-home cases versus removals, and whether foster home shortages affect removal decisions. Dennis said child safety remains the top priority, that the practice has not changed, and that the department would provide additional data on outcomes later. Members also asked about permanency timelines and delays in termination of parental rights cases; Dennis said federal timelines are difficult to meet because of family progress, substance use recovery, and court delays, and she confirmed foster parent shortages were not the reason for those delays. The committee then heard a presentation from the Department of Revenue on the new My Taxes portal. Staff said the portal, launched in March, replaced DOR’s portion of the old Kentucky One Stop Business Portal and now allows businesses to file and pay multiple taxes, update account information, and receive official notices. They reported the system is available 24/7 except for scheduled maintenance every other Thursday evening, has maintained over 99% availability since launch, and now has a dedicated contact center with 50 agents plus a public help line and email. In response to questions, the department said early downtime was caused by unexpectedly high traffic, but server capacity was increased and in the last three months there had been only one day of unexpected downtime.

Keywords: Meeting Start 00:00:00 Attendance Roll Call 00:00:09 Approval of Minutes 00:00:48 KOAP Report 00:01:09 Update from CHFS 00:20:27, 958, all

Summary: The meeting opened with a quorum, approval of the September 18, 2025 minutes, and a staff update on recent tobacco settlement-funded agriculture activities. The agriculture side highlighted Commissioner Shell’s outreach, including school visits, farm visits, and speaking engagements in Kentucky and a trip to Tennessee to discuss program models. A representative also described a national conference in Iowa, where Kentucky’s agriculture finance program was praised as a $180 million loan program built with tobacco settlement funds. The board noted September approvals totaling $950,000 for the agriculture development board and $3.3 million for the finance corporation, along with staff activity such as site visits, program closures, and project reports. The board also announced that the KKMP report covering 2015-2022 would be distributed and that the annual report, marking the program’s 25th anniversary, was being prepared. The board then reviewed two featured projects. The Organic Association of Kentucky requested $425,000 for organic producer support, but the board approved only one year of funding at $29,000, with members noting concern about recurring applicants and the need to evaluate long-term funding. The second project, by Joseph Dale Bentley in Lewis County, sought $51,300 to expand a small ruminant facility for goat production and export. Members were particularly interested because the project was already operating and creating market opportunities for Kentucky goat producers; the board approved half the project cost to help expand infrastructure and potentially allow quarantining on site. The cabinet then presented its annual update on tobacco settlement fund use in public health. Julie Brooks, Sarah Johnson, and Andrea Day reported on the HANS home visitation program, tobacco prevention and cessation efforts, lung cancer screening, and early childhood oral health. HANS served more families in FY25, rising from 6,293 to 6,715, and increased services from 139,943 to over 143,000. Tobacco prevention and cessation programs continued to support Quit Now Kentucky and My Life, My Quit, though officials noted federal uncertainty and the loss of federal tobacco control infrastructure. They also reported a slight decline in student outreach and cessation requests, but continued demand from schools and communities for vaping and nicotine prevention support. Lung cancer screening expanded to 55 screens, with Kentucky cited as a model for other states due to improved incidence, survival, and early detection rates. Early oral health efforts continued through local health departments, with more trainings for public health nurses, continued varnish kits, and expanded support for dental graduates and hygiene teams.

Keywords: 958, all

Summary: The committee met with a quorum, approved the prior meeting minutes, and then heard testimony on the use of artificial intelligence in therapy and mental health settings. Representative Lisa Willner and Brenda Rosen of NASW Kentucky argued for “guard rails” on AI chatbots so they cannot present themselves as licensed therapists or replace school counselors, psychologists, or social workers. They said AI can support licensed professionals, but warned that chatbots cannot reliably recognize nonverbal cues, escalate crises, or provide accountable care, and they cited examples of harmful chatbot interactions, including a suicide case and a chatbot telling a user to “Please die.” The witnesses also raised concerns about data privacy, commercialization of sensitive mental health conversations, and the use of personal clinical content to train AI models. They said minors should require parental consent and suggested transparency about how a chatbot is trained and who created it. They distinguished between unvetted consumer chatbots and AI tools that have been scientifically validated or approved as digital therapeutics, noting that some evidence-based tools may be useful for specific conditions such as depression, anxiety, or eating disorders. Committee members asked whether regulation should be handled by the legislature or by professional boards, and whether a multi-state model would be preferable to 50 different state approaches. The witnesses generally favored expert-led standards and said a board or panel of experts could review and approve mental health chatbots, but members cautioned that boards can become too restrictive and that legislation should preserve flexibility and avoid discouraging children from seeking help. The discussion ended with a request for the witnesses to restate their proposed policy ideas, including privacy protections, bans on commercialization, limits on training AI with clinical content, transparency requirements, and informed consent.

Keywords: Meeting Start 00:00:00 Discussion of the KentuckyWired Network 00:00:55 Discussion of the Water Resource Information System 00:35.40 Discussion of Geographic Information Systems 00:52:30 Discussion of Committee Report to LRC 01:15:05, 958, all

Summary: The Information Technology Oversight Committee met with a quorum, approved the prior meeting minutes, and then heard a presentation from Leadcore representatives Jimmy Bird, Mike Murray, and Rebecca Moss on the Kentucky Wired network. Leadcore described its role as the design-builder and service provider under the KCNA contract, saying the network was built with roughly 13,200 feet of fiber, mostly aerial, and that the use of non-armored cable was a Kentucky-side decision made to reduce cost. They also said aerial construction and non-armored cable increase maintenance challenges, including storm damage and squirrel-related damage, and reported FY25 service activity of 104 break-fix events, 30 maintenance replacements, 64 storm-damage events, and nearly 13,000 feet of fiber replaced to date. Committee members questioned whether the original project anticipated this level of replacement and whether any forecast existed for maintenance under non-armored cable. Leadcore said it did not do a formal forecast and could not say whether the replacement rate was above or below norms, though it acknowledged the decision not to use armored cable came from the Kentucky side of the contract. Members also asked about whether replacements caused network degradation; Leadcore said it tries to replace cable at existing splice points to avoid degradation and, where needed, uses armored cable for replacement sections going forward. The committee then explored Leadcore’s relationship with Excel and KCNA. Leadcore said it has a service-level agreement for KCNA-related fibers but not for dark fibers used by Excel, and that Kentucky Wired fibers get priority on service requests. It said outages are reported through a 1-800 number and that it was not aware of any access problems to the huts. On the tech refresh, Leadcore said its understanding is that maintaining the network is its responsibility, but the technology refresh is not; it said only a very limited amount of refresh has occurred and that this did not match the original contract intent. Leadcore also said it had not been asked to defer maintenance. The chair closed by saying the testimony would inform a committee report and that he intended to recommend clawing back or withholding some previously authorized Kentucky Wired and refresh funding until an audit is complete, with the committee to vote on a report later.

Keywords: Meeting Start 00:00:00 Attendance Roll Call 00:00:01 Approval of Minutes 00:01:40 2026-2032 Statewide Capital Improvements Plan 00:02:15, 958, all

Summary: The meeting opened with a quorum, prayer, and the Pledge of Allegiance, followed by approval of the prior meeting minutes. The board then reviewed the 2026–2032 statewide capital improvement plan, including project recommendations across maintenance, renovation, IT, and new construction categories. Staff explained that 15 projects were selected in each category and described how the board’s tiebreaker process was used to finalize the recommendations. Members asked about the asset preservation pool, specifically whether institutions receive a blanket appropriation or must identify projects. Staff explained that the Council on Postsecondary Education serves as the gatekeeper after appropriation, reviewing institution-submitted uses to ensure they meet criteria for maintaining and improving existing facilities rather than new construction. Staff also outlined revisions to the draft plan, including updated summary data, revised wording for clarity, an updated maintenance pool policy recommendation based on Pew research, and a change to cross-reference major state-funded construction project status information rather than listing it directly. During discussion, one member praised the work on the plan and commented on the budget reserve trust fund, noting disagreement with Pew’s suggestion that the process should be in statute because Kentucky has long used the budget bill to govern deposits and uses. The board then moved to final action and unanimously adopted the draft 2026–2032 statewide capital improvement plan, with authority for staff to make final technical and editorial revisions and insert the comprehensive project list before publication. The chair thanked members for their work, noting it was the final meeting of the year, and the meeting adjourned.

Keywords: Meeting Start: 00:00:00 Roll Call: 00:00:08 Agency Updates: 00:01:27 Truancy: 00:01:43, 958, all

Summary: The Juvenile Justice Oversight Council met on October 8, 2025, approved the minutes from the August 29 meeting, and then focused its agenda on truancy and chronic absenteeism. Chad Butler, director of pupil personnel for Meade County and president of the Kentucky Department of Pupil Personnel directors, said chronic absenteeism remains a major problem statewide, citing recent Kentucky rates around 28% to 30% and noting that schools are trying to identify best practices to get students back in class. He said causes appear to include post-COVID social-emotional distress and confusion about when students should stay home, and he described a local effort to use a Healthy Kids Clinic model to keep some students in school when possible. In response to questions, he said chronic absenteeism has only been tracked seriously in the last two to three years and that House Bill 611 appears to have increased the number of youth entering the court system for habitual truancy; AOC said it would provide county-by-county data and outcomes later in the meeting. The council then heard from John Tyson of Alabama, a former Mobile district attorney, who described the Helping Families Initiative as a school-community partnership designed to address truancy and related behavior issues without arrest. Tyson said Alabama defines chronic absence as missing 10% of the school year and emphasized that the program is preventive rather than punitive, using warning letters, family engagement, assessments, individualized intervention plans, and referrals to community services. He said the program has operated since 2003, now includes 20 district attorneys and 44 school systems, and served more than 95,000 students, 73,000 families, and 162,000 parents in the most recent year. Tyson reported that in Mobile County the program was associated with a 3.15% attendance improvement in 2023-24 and a 4% reduction in the issue in 2024-25, along with a 50% reduction in truancy and 58% reduction in chronic absenteeism, and he said the program produced a large return on investment. Tyson also stressed that student absenteeism wastes tax dollars and that better attendance improves educational outcomes and community safety. He described the program’s use of a case-management database, real-time data tracking, and more than 1,000 referral agencies, and said the model is intended to be replicated statewide. He closed with examples of students whose attendance and family circumstances required coordinated support rather than punishment, including a teen mother and a disruptive child, to illustrate his view that schools, courts, and social services should work together to address underlying needs and keep children in school.

Keywords: 958, all

Summary: The interim task force on disaster prevention and resiliency met for its fourth meeting and focused heavily on insurance markets, affordability, and mitigation. Cochairs noted they are working toward recommendations for a later fall meeting. The main presentation came from David Snyder of the American Property Casualty Insurance Association, who said the insurance industry sees itself as part of the problem and part of the solution because it ultimately pays for losses created by natural conditions, development choices, and construction practices. Snyder described rising losses from natural catastrophes, inflation-driven increases in rebuilding and repair costs, more development in disaster-prone areas, wildfire exposure, severe convective storms, hail, and roof damage. He argued that Kentucky should avoid the mistakes he attributed to California, where regulatory responses contributed to a strained insurance market and greater reliance on the FAIR Plan. He said Kentucky’s private market appears to be functioning better, with relatively few FAIR Plan policies, and urged lawmakers to preserve that market through risk-based rates and policies that do not worsen availability. He recommended a broad mitigation strategy involving stronger building codes, land-use decisions, stormwater infrastructure, public access to risk data, and incentives for resilient construction. He highlighted programs such as the Insurance Institute for Business and Home Safety, fortified-home standards, wildfire-prepared community practices, and examples from Alabama, Louisiana, and Florida showing that mitigation can produce quick returns and insurance discounts. He also suggested catastrophe savings accounts, flexible coverage options, and a whole-of-government approach that includes the insurance department, building-code agencies, first responders, FEMA, NFIP, and NOAA. In questions, a legislator asked about the prognosis if carriers continue exiting markets and if nothing is done to address affordability and accessibility. Snyder said he could not predict market exits but stressed that regulators should monitor the market closely, use available data, and focus on loss prevention and mitigation. He said insurers want to do business in Kentucky and that the long-term solution is coordinated action among public and private stakeholders to reduce risk and keep coverage available.

Keywords: 958, all

Summary: The Medicaid Oversight Advisory Board first approved the September 24 minutes and then heard a presentation from four certified community behavioral health clinic providers: Pathways, NorthKey, Seven Counties Services, and NewVista. The presenters explained the difference between traditional community mental health centers and CCBHCs, describing CCBHCs as an enhanced model that integrates behavioral health, primary care, wraparound services, and crisis response. They reviewed the federal history of the model, Kentucky’s entry into the Medicaid demonstration in 2022, and the scheduled end of the enhanced federal match on December 31, 2027. They also emphasized required services such as 24-hour mobile crisis, care coordination, and services for veterans, and described care coordination as a key feature that helps patients follow up after hospital or emergency discharge, manage medications, and connect to transportation and other supports. The presenters gave examples of improved outcomes, including a patient who was able to remain living independently because of coordinated home-based and telehealth support, and they argued that CCBHCs are helping Kentucky build a more responsive crisis system through 988, mobile crisis teams, and crisis stabilization units. They said the model is data-driven, uses performance metrics, and has led to stronger collaboration among community partners. One speaker said more than 100 agencies participated in a Jefferson County community health needs assessment and continued meeting afterward to reduce redundancies and barriers to care. They also said crisis call hub compliance and mobile crisis outreach compliance improved significantly over the past year. Members asked about how navigators and connectors fit into the model, how CCBHCs work with managed care organizations, and how the program could expand statewide. The presenters said navigators are not built into the CCBHC model but may be used through referrals, while the CCBHCs continue to bill MCOs the same way and receive a Medicaid wrap payment for the enhanced rate. They said the goal would be for all community mental health centers to become CCBHCs, but that a state plan amendment would be needed and could not be limited only to CMHCs if submitted to CMS. They estimated about $28 million would be needed statewide to continue the program in the next biennium, combining the loss of enhanced federal match and the state share of enhanced service costs. The board also discussed transportation, with one presenter explaining that their program arranges Medicaid transportation for eligible appointments, and members raised concerns about mental inquest warrant transport and whether sheriffs should remain involved. No votes were taken on the CCBHC or transportation items during the discussion.

Keywords: 958, all

Summary: The Legislative Research Commission was called to order, a roll call established a quorum, and the commission approved a motion to adopt the June 18, 2025 minutes with specified exceptions, approve new business items A through K, and accept and refer communications items 1 through 52. The motion was seconded, a roll call vote was taken, and it passed unanimously among those present. During new business, a member provided a brief update on planning for the upcoming SLC conference in Lexington, noting that the schedule is still preliminary and that contracts are being signed. The member said the host committee is still raising funds, with about $2.25 million remaining to be raised by next summer, and thanked President Stivers and Speaker Osborne for their efforts. No questions were raised about the conference update, no additional new business or communications were offered, and the commission then moved to adjourn. The meeting adjourned without objection after a second was noted on the motion to adjourn.

Keywords: Meeting Start 00:00:00 Call to Order and Roll Call 00:00:28 Kentucky Recovery Vocational: Workforce Reimagined 00:01:31 Update on College Athletics and 25RS SB 3 00:24:39 Goodwill Kentucky Excel Center 01:09:53, 958, all

Summary: The committee first heard a presentation from Kentucky Recovery Vocational Workforce and Re-entry Incorporated, led by Executive Director Jerick D'vor, on its vocational training model for people in recovery and formerly incarcerated individuals. He said the nonprofit operates in Russell Springs and serves students from across Kentucky, offering manufacturing and welding training tied to recovery services through Spark Recovery. D'vor emphasized that the program combines treatment, soft-skills coaching, job placement, and continued support after employment, arguing that training should begin around 90 days into recovery rather than earlier. He reported strong outcomes, including 292 students served, 259 certificates earned, and 250 job placements, with many participants placed in manufacturing jobs and 17 welders trained and placed through the new welding academy. Members praised the program but asked about funding, retention, and employability barriers. D'vor said the pilot was supported by opioid abatement grant funding, and the program now relies mainly on donor contributions and Spark Recovery’s investment in clients, with possible future support from additional opioid abatement funds or 1915(i) mechanisms. He said participants are not charged tuition and that the organization provides soft-skills training and job coaches. In response to questions about long-term outcomes, he said the program does not yet have a full alumni tracking system but is exploring technology options and continues to provide post-employment support for 90 days. After approving the committee minutes, members received an update on college athletics and Senate Bill 3 from University of Louisville Athletic Director Josh Heird and University of Kentucky Athletic Director Mitch Barnhart. They said Kentucky’s NIL framework and reporting requirements are working reasonably well and praised the state for not trying to create a competitive advantage in the evolving college sports environment. Heird reported that 521 student-athletes have signed up for NILGO and about 240 deals have been approved through the system, while noting the need to ensure NIL agreements are legitimate marketplace deals rather than artificial payments. The discussion also touched on the House settlement, the $600 approval threshold, and broader federal changes affecting college athletics.

Keywords: Meeting Start 00:00:00 Call to Order and Roll Call 00:00:13 Kentucky Small Business Update 00:01:50 Kentucky Angel Investment Tax Credit Program Update 00:14:16 State of the Tourism Industry 00:38:03, 958, all

Summary: The meeting began with a quorum call and approval of the August minutes, then moved to an update from the Kentucky Chamber of Commerce on small business conditions. Chamber representatives John Hughes and Amit Patel said Kentucky has benefited from pro-growth policies such as lower income taxes, regulatory modernization, and workforce development, but they emphasized ongoing challenges including workforce shortages, child care access, housing availability, rising insurance costs, and inflation. Patel, speaking as a hotel operator, said recruiting and retaining staff has become difficult and that his company is considering child care stipends and other benefits to help employees. Members asked about child care benefits, community involvement, and health care costs; Patel said the business is discussing additional support for employees and noted that health care costs have tripled over three years. The chamber said it will prioritize child care and housing policy in the upcoming session. The committee then received an update from the Cabinet for Economic Development on the Kentucky Angel Investment Tax Credit program from David Brock of KY Innovation and Matt Wingate. Brock outlined the state’s broader innovation and entrepreneurship programs, including innovation hubs, SBIR/STTR matching funds, the Kentucky Enterprise Fund, SSBCI, and STEP, and said these programs have helped create jobs, raise capital, and support exports. He explained that the angel tax credit is intended to encourage private investment in innovative Kentucky small businesses with high growth potential. The credit is generally 25% of investment in non-enhanced counties and 40% in enhanced counties, with annual and per-investor caps and eligibility rules for both businesses and investors. Brock reported that 317 businesses have been certified, 117 have received at least one investment, 445 investors have made 750 investments, $57.2 million has been invested, $19 million in credits has been awarded, and 373 new jobs have been reported since 2021. Committee members asked about the relationship between the program’s industry verticals and university research, the difference between enhanced and non-enhanced counties, and where investments are occurring geographically. Cabinet staff said the verticals align with the original Innovation Act framework, and that enhanced counties are defined by statute, including distressed and disaster-impacted areas. They said most investments and credits have been in non-enhanced counties, though some examples were cited in Bath County and Auburn. No votes or formal actions were taken during the meeting beyond approval of the minutes.