Transcript Highlights:

• And um the meeting is adjourned.
• And um the the meeting is adjourned.<01:21:05.920> Thank<01:21:06.080> you<01:21:06.239
• > so<01:21:06.400> much<01:21:06.560> for<01:21:06.719> being adjourned.
• Thank you so much for being adjourned. Thank you so much for being here. Thank<01:21:12.960> you.

Keywords: 0:00:04 Call to Order 0:00:50 Dept for Public Advocacy 0:51:31 Life Learning Center 1:21:06 Adjournment, 958, all

Summary: The Budget Review Subcommittee on Justice and Judiciary heard testimony from the Department of Public Advocacy (DPA) on attorney compensation and alternatives to incarceration. Because the committee lacked a quorum, the chair skipped formal roll call and minutes approval, then invited DPA Public Advocate Damon Preston, Deputy Public Advocate Melanie Lowe, and alternative sentencing worker Cena/Tina Mills to present. Preston said DPA is fully state-funded, has 698 funded positions, and was near full staffing with 673 filled positions and 42 new law graduates expected to join in August. He argued that DPA’s resources lag behind those of prosecutors, noting that local prosecutorial offices receive substantially more total funding and have additional revenue sources beyond the state budget. Preston focused on salary disparities and turnover. He said DPA trial-office attorneys total about $26 million in salaries, compared with about $41.9 million for prosecutors on publicly listed state funding, and estimated that more than 100 additional prosecutors are paid through other sources, bringing total prosecutor compensation to a little over $50 million versus DPA’s $26 million. He said starting DPA attorney pay is $58,200, experienced attorney pay averages about $73,000, and that these levels are too low given law school debt and the state’s constitutional obligation to provide defense counsel. He also said DPA attorney turnover is about 20%, median service time before separation was 15 months in 2024, and exit interviews often cite salary as the main reason for leaving. He gave examples of former DPA attorneys moving to prosecutor offices for raises ranging from 12% to 50%. Committee members asked about how often defendants are represented by private counsel versus DPA and how that affects workload. Preston said a 2017 study found about 50% of misdemeanor cases and about 75% of circuit court cases were handled by DPA, with DPA handling most of the most labor-intensive cases. He said DPA will step aside when a defendant hires private counsel or is found ineligible, and he acknowledged the system historically erred by denying counsel in some cases, though he said the current concern is whether DPA is now appointed too broadly. Members requested updated trend data on appointments over the past decade. Preston also described DPA’s pay scale and said the agency’s compensation structure makes retention difficult. Mills then described DPA’s alternative sentencing worker program, which she said has operated for about 20 years and has received national recognition. She shared a case example involving a client named Patrick, who faced a prison sentence on a possession charge and was referred to a horse-based treatment and certification program in Shelbyville. She said the client wanted treatment and a fresh start, a bed became available, and she and the client’s attorney presented an alternative sentencing plan to the court. The presentation was interrupted briefly by a technical issue, but the testimony continued.

Transcript Highlights:

• So with that, we stand adjourned.
• ><01:17:14.400> that,<01:17:14.640> we<01:17:14.880> stand<01:17:15.120> adjourned
• <01:17:15.679> Oh, So with that, we stand adjourned.
• Oh, So with that, we stand adjourned.

Keywords: Meeting Start 00:00:15 Roll Call 00:00:45 Discussion of Pro-Growth Housing Policies 00:02:33 Adjournment 01:17:15, 958, all

Summary: The Housing Task Force 2.0 reconvened with several new members and heard a presentation from Kentucky Housing Corporation Executive Director Winston Miller and Deputy Executive Director Wendy Smith. They framed the task force’s work as a practical effort to address Kentucky’s housing shortage, update members on the current housing landscape, summarize existing state and federal resources, and suggest areas for the task force to focus on over the coming year. KHC said its 2024 housing supply gap analysis found Kentucky is short about 206,000 housing units, split roughly evenly between rental and homeownership, and projected the gap could grow to 287,000 units by 2029 if current trends continue. They emphasized that every county in Kentucky needs more housing, that the 2008 housing crisis and loss of construction capacity remain major causes of the shortage, and that current pressures include high interest rates, rising insurance and tax costs, construction cost inflation, and housing prices and rents growing faster than incomes. KHC also said homelessness has risen in Kentucky, with point-in-time counts showing double-digit increases in recent years. The presenters reviewed existing resources, including federal programs, the Kentucky Affordable Housing Trust Fund, the rural housing trust fund, KHC mortgage and down payment assistance programs, and the state mortgage interest deduction. They said these resources are important but insufficient to close the gap, and noted that a proposed federal FY2026 budget would cut HUD programs by 44%, potentially removing about $286 million from Kentucky housing resources, though no action has been taken yet. They urged the task force to consider stronger, more flexible tools such as a revolving loan fund, a state affordable housing tax credit, and economic development and employer-assisted housing incentives, and pointed to Indiana’s housing infrastructure and regional development funds as examples. No votes or formal actions were taken in the portion provided.

Keywords: Call to Order and Roll Call: 0:00 Bills for Consideration: 26RS HB 94 – 2:40 26RS HB 307 – 15:00 Adjournment: 20:15, 958, all

Summary: The House Standing Committee on Postsecondary Education met with a quorum, welcomed new member Representative Beverly Chester-Burton, and recognized interns in attendance. The committee then took up House Bill 94, which would require the Council on Postsecondary Education to host an online transfer portal for students, require annual university updates to transfer data, and convene academic officers to study and report on streamlining high-demand pathways such as teaching and nursing. Representative Vanessa Grossl said the bill was revised in response to prior concerns and emphasized that the goal was to improve transparency, reduce time to degree, and lower student debt. Travis Powell of CPE supported the measure, saying the portal and study would improve transparency and help identify barriers to transfer. The committee adopted the committee substitute for House Bill 94 and then passed the bill out favorably by roll call vote, sending it to the House floor. The committee also reconsidered House Bill 307, dealing with proactive postsecondary admissions, after earlier discussion and additional meetings. Chair James Tipton explained that the new substitute made several changes, including addressing a FERPA concern by having KDE share student information directly with universities, limiting social security number use to the last four digits plus date of birth, and adding provisions for KIA to include a link or QR code to the common online application in KEYS scholarship notifications. Members adopted House Committee Substitute 3 for House Bill 307, with Representative Stalker noting support for the social security number change. The committee then passed House Bill 307 as amended with a favorable recommendation to the House floor. No other substantive actions were taken.

Transcript Highlights:

• So we appreciate the audience for being here and, uh, thank you so much, and we stand adjourned.

Keywords: Call to Order: 00;15 Approval of Minutes: 01:22 Update on Generator replacement: 01:52 Update on Sheriff Fees: 13:28 Adjournment: 25:22, 958, all

Summary: The committee met for its fourth budget subreview session focused on personnel, public retirements, and finance. Members approved the minutes from the prior meeting and then heard from Finance Cabinet staff on two main items: a $7.5 million request related to generator systems and a sheriff’s fees budget request. The generator request was described as a preventive, life-cycle replacement and capacity-enhancement effort for 26 generators serving Frankfort-area state buildings, intended to protect continuity of government and expand beyond basic emergency power to support continuity of services. Members asked detailed questions about how many generators would be replaced, the cost per unit, the scope of the study, and whether the work could be phased. Staff said the $7.5 million would cover a full evaluation and any resulting engineering/replacement work, but the exact number of replacements was not yet known. They estimated the initial study would cost about $500,000 to $750,000, would take six to nine months once funded, and would produce building-by-building recommendations. Staff also said typical generator life cycles vary widely, often around 15 to 20 years but sometimes longer depending on run hours and usage. The committee then reviewed sheriff’s fees, with the Division of Local Government explaining that the state reimburses counties for several statutory sheriff-related costs, especially court security, which accounts for more than 90% of the claims. Staff said the current budget base is about $20 million, while actual spending has been running above $23 million, leading to a $3.5 million growth request to align the base with projected spending and reduce the need for non-general fund expenditure (NGE) adjustments. Members asked about claim volume, county participation, reimbursement controls, and whether the request reflected growth or underfunding; staff said all 120 counties submit claims, volumes have been fairly steady, and reimbursements are governed by statute and signed monthly certifications. No votes were taken on the requests, and the meeting adjourned after questions concluded.

Transcript Highlights:

• Um, I suppose with no further business, I'll entertain a motion to adjourn. >> So move. >> We are adjourned
• >> We<00:17:23.360> are<00:17:23.520> adjourned. [clears throat]

Keywords: Meeting Start: 00:02 Attendance Roll Call: 00:06 SB 10 (Sen. McDaniel): 00:56 SB 51 (Sen. Nemes): 08:30 Adjournment: 17:23, 958, all

Summary: The Senate State and Local Government Committee met and first considered Senate Bill 10, a proposed constitutional amendment to restrict the governor’s pardon power during the 60 days before a gubernatorial election and until a new governor is sworn in, effectively limiting pardons for 90 days in a four-year term. Sponsor Senator McDaniel argued the measure was a response to abuses of the pardon power and said it would force accountability before voters. Senator Herron raised a concern about a possible chilling effect on pardons but supported the bill after asking about the historical example cited. The committee voted unanimously 11-0 to pass the bill with favorable expression. The committee then took up Senate Bill 51, which would freeze property tax assessment increases for homeowners age 65 and older who reside in their homes, with the assessment resuming if the home is sold, vacated, or the owner moves to a nursing home or with family. Senator Neis described the bill as relief for seniors on fixed incomes facing rising property taxes, and he walked through the fiscal impact as a budgeted-revenue issue rather than an actual loss of current revenue. Several members spoke in support, saying constituents frequently raise concerns about being priced out of their homes and that the bill would help seniors remain in their communities. During the roll call on SB 51, Senator Chambers Armstrong said he wished the bill were means-tested but supported it because of its importance to low-income seniors; Senator Bledsoe also explained his support, citing senior homeowners in Fayette County; and Senator McDaniel said it complemented broader housing efforts and should go to the people for a vote. The committee reported SB 51 with favorable expression, then adjourned.

Transcript Highlights:

• The House shall stand adjourned until 4 p.m. Monday, January 12, 2026.
• Without objection, the House will stand adjourned until 4 p.m.
• > House<00:23:27.200> of resolution adjourning the House of resolution adjourning the House
• shall stand adjourned until 400 p. p.m. shall stand adjourned until 400 p. p.m.
• Monday, January adjourned until 4 p.m.

Keywords: Video Starts 00:00 Convene 06:52 Motions, Petitions, and Communications 11:30 Introduction of New Bills and Resolutions 12:27 Adjournment 23:47, 958, all

Summary: The House convened with prayer and the Pledge of Allegiance, established a quorum with 86 members present, and approved the journal from January 8, 2026. Members also agreed without objection to excuse absent members and to suspend rules allowing co-sponsorships and vote modifications to be filed with the clerk. Under announcements and introductions, a motion was granted to withdraw House Bill 177. The House then received a large slate of new bills and resolutions, including measures on foreign transactions, cultured meat products, disabled veterans’ homestead exemptions, veteran entrepreneurs, plastic waste, legislative term limits, students, county law libraries, elections, special purpose governmental entities, vehicle wheels, delinquent tax liens, tenant screening, psychotropic drugs, peace officers, KEES scholarships for students attending non-certified schools, machine gun conversion devices, contractors, teacher retirement service credit, diaper access programs, and appropriations for the Transportation Cabinet and state government generally. Resolutions were also introduced recognizing Kentucky Mentorship Month, Hindu holidays and the resilience of the Hindu people, and honoring victims of UPS Airlines Flight 2976 and first responders. No bills were debated or voted on beyond the procedural actions noted. The session concluded with no committee business or floor amendments needed, and the House adjourned without objection until 4:00 p.m. on Monday, January 12, 2026.

Transcript Highlights:

• The House of Representatives citation of adjournment.
• The House of Representatives of the Commonwealth of Kentucky does hereby adjourn this legislative day
• Speaker, I move you, sir, that the House shall stand adjourned until 9:00 a.m.
• Friday, January 9, 2026. >> That objection, the House will stand adjourned until 9:00 a.m.
• <00:24:15.440> Friday, adjourned until 9:00 a.m. Friday, adjourned until 9:00 a.m.

Keywords: Video Starts 00:00 Convene 06:39 Motions, Petitions, and Communications 13:20 Introductions of New Bills and Resolutions 17:05 Adjournment 23:56, 958, all

Summary: The Kentucky House convened, heard the invocation and Pledge of Allegiance, established a quorum with 95 members present, excused absent members, suspended rules to allow co-sponsorships and vote modifications, and approved the journal from January 7, 2026. No committee reports, second readings, or floor amendments were needed during the session. The House adopted House Citation No. 3, adjourning in loving memory and honor of Gary Bennett Shell, the father of Agriculture Commissioner Jonathan Shell and a former member’s colleague. Members offered remarks about his illness, his impact on his community and family, and requested a moment of silence. The chamber also heard a brief announcement about the KPA Big Boy Breakfast scheduled for the next morning. A long list of new bills and resolutions was introduced, covering topics including medical debt reporting, protection of minors on digital platforms, property tax exemptions and constitutional amendments, veterans benefits, emergency management services, student loan repayment and apprenticeship tax credits, abandoned property, residency definitions for postsecondary education, animal services tax exemptions, high school graduation requirements, Ten Commandments displays in public schools, animal control officers, disabled veterans benefits, hospital police departments, involuntary commitment, school lunches, hazardous duty and line-of-duty disability benefits, reading and language arts instruction, criminal procedure, education accountability, milk transportation, citizenship requirements for elected officials, student support personnel, school psychologist licensure compact, aircraft sales tax exemptions, glucagon, theft by deception, insurance regulatory authorizations, healthcare workforce credentials, welcome centers and rest areas, flags of remembrance, wages, affordable housing, legislative ethics, barbering, veterans’ benefits protections, KEES scholarships for non-certified schools, chickens on residential property, school nutrition, hospital price transparency, mental health and substance use coverage, food donation, vehicle lights, and several memorial bridge designations and an aviation economic development task force. The House then adjourned until 9:00 a.m. Friday, January 9, 2026.

Transcript Highlights:

• There being no further items on the agenda, we do now stand adjourned.
• further items on the agenda, we do now further items on the agenda, we do now stand<00:50:37.400> adjourned

Keywords: 00:01 Call to Order and Roll Call 01:22 Overview/Impact of Executive Order 47:02 General Funds in Road Plan 50:37 Adjournment, 958, all

Summary: The Budget Review Subcommittee on Transportation met for its first meeting and received an overview from Transportation Cabinet officials on the governor’s executive order responding to high gas prices. Deputy Secretary Mike Hancock and budget director Shawn McKiernan explained that the order declared a state of emergency, reduced the state motor fuels tax by 10 cents per gallon, froze the tax rate for FY27, and urged Congress to suspend the federal gas tax. They said the emergency regulation would remain in effect until the war in Iran ends or Kentucky gas prices fall below $3 per gallon, and that any transportation budget shortfalls could be covered by the state budget reserve trust fund if requested later by the governor. McKiernan estimated the 10-cent reduction would reduce the road fund by about $26.8 million per month, with roughly 44% flowing to county road aid, rural secondary, and municipal road aid. He said the immediate impact to counties and cities would be about $11.8 million for one month, while the cabinet would see about $15 million per month less available for its own use. He also said the freeze on the FY27 motor fuels tax rate would prevent a scheduled increase and, compared with the budget assumption, would produce about $42 million in net additional revenue, split between local governments and the cabinet. He added that if the reduction lasted through December, the major transportation programs could be down about 16.9% from budgeted levels. Members focused on the effect on local governments, the road fund, and the cabinet’s cash management process. Several senators and representatives criticized the executive order as short-sighted or political, while others emphasized the need for a long-term solution to transportation funding. Questions were raised about how make-whole payments to counties and cities would be handled, how the cabinet manages cash flow, and whether the state should continue relying on general fund transfers to support the road plan. Cabinet officials said they would work with lawmakers, explained that project authorizations are managed based on cash flow and seasonal spending patterns, and noted that construction and maintenance costs have risen sharply, making revenue adequacy a continuing concern.

Transcript Highlights:

• I have one more announcement before we adjourn.
• So seeing no further business to come before this committee, we are adjourned.
• 58.559> um<00:57:59.559> I<00:57:59.760> have One more announcement before we adjourn
• So seeing no further business to come before this committee, we are adjourned.
• thank you so committee we are adjourned thank you so much

Keywords: 00:00 Call to Order/Roll Call 00:16 Consideration of Referred Administrative Regulations 25:49 Discussion of Hospital Rate Improvement Plan 58:50 Adjournment, 958, all

Summary: The committee began by reviewing a large slate of administrative regulations and explaining that it does not approve regulations but can find them deficient and send them back for further work. Members then asked questions on several items, including EMS reciprocity, dental hygienist licensure, and interpreter licensure. The EMS board explained that reciprocity would extend to applicants from any state, not just contiguous states, because the underlying statute had been amended. On the dental regulation, staff said the changes mainly clarified licensure requirements, reinstatement fees, and that dental hygienists administering local anesthetic must do so under direct dentist supervision. The most extended discussion involved the Board of Interpreters for the Deaf and Hard of Hearing. The board chair said the main concern was that the EIPA is an educational specialty assessment, not a nationally recognized certification, yet the regulation would allow it to support full licensure. Members discussed whether that could let educational interpreters work outside their intended scope and whether a separate educational license or statutory change would be more appropriate. The board said it did not think the regulation could be fixed further at this point and suggested a statute could create a narrower educational interpreter license. After discussion, the committee voted to defer both related interpreter regulations, 201 KAR 39:030 and the companion regulation, for further work. The committee then took up two community mental health regulations, 907 KAR 1:044 and 907 KAR 5:005, which had been found deficient in Administrative Regulations. Department for Medicaid Services staff said the rules would expand and rename the mental health associate role as a behavioral health associate, making the role available in many more facilities, but would also require additional coursework or progress toward licensure. Some members and providers raised access-to-care concerns, especially for rural areas and unlicensed staff already working in the field. Staff said the proposal had been revised through work with CMHCs and licensing boards, but the committee ultimately voted to defer both regulations as well. After finishing the regulation review, the committee heard a presentation from the Kentucky Hospital Association on the ATRIP hospital rate improvement program. Hospital representatives said ATRIP is a Medicaid state-directed payment program funded through a provider tax and federal matching dollars, allowing hospitals to receive payments tied to quality measures. They reported improvements including lower Medicaid readmissions, high sepsis screening rates, reduced infections and opioid prescribing, expanded postpartum depression and suicide screening, and training for more than 1,000 people. They said the program has helped hospitals invest in staffing and quality improvement and warned that without it, many hospitals would face severe financial strain.

Keywords: Meeting Start 00:00:12 Roll Call 00:00:25 SB 9 Discussion 00:02:05 SB 9 Vote 00:21:50 Adjournment 00:26:14, 958, all

Transcript Highlights:

• Do I have a motion and second for adjournment? >> Motion. >> Second. We are adjourned.

Keywords: Meeting Start 00:00:03 Roll Call 00:00:10 HB 448 Discussion 00:02:32 HB 448 Vote 05:05:56 Adjournment 00:07:17, 958, all

Summary: The House Standing Committee on Local Government convened with a quorum present and announced that its next meeting would likely be moved from the usual Tuesday morning time to Tuesday at 1:00 p.m. because of President’s Day. Although two bills were listed, House Bill 495 was not heard at the sponsor’s request, leaving House Bill 448 as the only measure considered. Representative Hampton presented House Bill 448, which would align Kentucky law with federal background check requirements for people seeking federal employment or federal contract work. Testimony from Hampton and supporting witnesses explained that the bill would allow Kentucky criminal history information, including some juvenile records when relevant, to be shared with federal agencies for background checks, and that the information would remain with the federal agency. Representative Works asked about the inclusion of juvenile records and safeguards on their use; the sponsor responded that the records can be relevant when an applicant’s juvenile case history overlaps with the background check and that the information would not be shared beyond the federal agency. The chair noted the bill was similar to a measure that passed the House the previous year by a wide margin. With no one signed up to speak for or against the bill, the committee voted on House Bill 448 and reported it favorably for passage on the House floor. The roll call showed support from most members present, with a few passes and absences. The committee then adjourned.

Transcript Highlights:

• So with that, we will adjourn for today, and we will see you back July 16th. Thank you very much.

Keywords: Meeting Start - 00:00 Roll Call – 00:34 KY Chamber of Commerce KY Business Perspectives – 01:50 COT Update on SB4 – 27:16 Adjournment – 48:18, 958, all

Summary: The 2025 Artificial Intelligence Task Force met for its first meeting of the year and heard updates on federal AI policy, state implementation of Senate Bill 4, and the business community’s perspective on AI regulation. Co-chairs noted that federal legislation could affect the task force’s work later in the year, but said Kentucky still has significant issues to study, including energy, land use, education, social media, and children’s engagement with AI. The task force had quorum and no votes were taken. Kate Shanks of the Kentucky Chamber said the business community supports continued discussion but favors a federal approach over a patchwork of state laws. She described the Trump administration’s new AI executive order as emphasizing innovation over regulation, noted the pending federal AI action plan, and discussed congressional action including the Take It Down Act and industry-specific changes to existing laws. She warned that state-by-state AI rules could increase costs and burden businesses, and said the Chamber would prefer incremental, flexible policy that avoids conflict with existing law and limits private rights of action. Members asked about uniform model legislation, education uses of AI, and civil liability; Shanks said a model approach could help avoid fragmentation and that liability should generally be handled through consumer-protection-style enforcement rather than broad litigation. The Commonwealth Office of Technology then reported on implementation of SB 4, saying it has worked with industry, agencies, other states, and vendors to build an AI policy framework now in final review. Officials said an AI Governance Committee has been established and will meet in July, and a draft RFP is being prepared to meet the bill’s tracking and documentation requirements. They said no major implementation challenges have been identified so far, but the impact of pending federal rules remains uncertain. Members also discussed the need to educate students and teachers about AI, with one member emphasizing that schools should teach both how to use AI and how to think critically about information online.

Transcript Highlights:

• There being no other business before us, motion for adjournment. We have a second.
• We are adjourned. motion we have a motion we have a second<00:30:45.519> all<00:30:45.720>
• <00:30:58.080> we<00:30:58.159> have before us motion for adjournment we have before
• us motion for adjournment we have a<00:30:58.360> second<00:30:59.240> all<00:30:59.399
• 59.760> very<00:31:00.000> good<00:31:00.159> we<00:31:00.279> are We are adjourned

Keywords: 00:25 Call to Order/Roll Call 01:36 Discussion of 25RS SB 153 23:11 Roll Call Vote on 25RS SB 153 30:56 Adjournment, 958, all

Summary: The House Standing Committee on Health Services met on March 14, 2025, and took up a committee substitute for Senate Bill 153. The substitute deleted the original bill language and replaced it with provisions from Senate Bill 14, aimed at prohibiting pharmaceutical manufacturers from discriminating against 340B covered entities and adding reporting requirements for those entities. The sponsor explained that the protections would sunset after one year, allowing lawmakers to review data by July 1, 2026, and that Kentucky would continue to follow any future federal changes to the 340B program. Members asked several questions about the scope of the reporting, including what “total operating cost” means, how duplicate discounts are prevented, whether the reporting applies only to hospitals and not federally qualified health centers, and who would receive the data. The sponsor said the reporting is intended to help the Cabinet for Health and Family Services and the Office of Health Data Analytics at LRC assess how the program is working, including charity care and community benefits, while preserving protections for rural hospitals and allowing them to continue using contract pharmacies. A representative from LRC confirmed the data would come to the General Assembly through the Office of Health Data Analytics. The committee expressed mixed views about the balance between transparency and potential burdens on hospitals, especially rural facilities. Several members said they were supportive but had reservations about the reporting requirements and the sunset structure, while others noted concerns about unintended consequences and the possibility of changes on the House floor. The committee ultimately adopted the committee substitute, approved a title amendment, and reported Senate Bill 153 with House Committee Substitute 2 favorably. The meeting then adjourned.

Transcript Highlights:

• 42.800> seeing<00:12:43.160> none<00:12:43.480> we<00:12:43.600> are Adjourning

Keywords: Meeting Start: 00:00 Attendance Roll Call: 00:08 Senate Bill 79 (Sen. McDaniel): 00:48 Senate Bill 67 (Sen. Nemes): 08:09 Adjournment: 12:43, 958, all

Summary: The Senate State and Local Government Committee met and first took up Senate Bill 79, sponsored by Senator McDaniel, with testimony from McDaniel and Deputy Secretary Robert Long of the Personnel Cabinet. They described the bill as a cleanup measure for personnel law that would, among other things, add interns to the definition of employee while excluding them from full-time employee status, remove the Personnel Cabinet secretary as an ex officio member of the KERS Board, clarify personnel board membership and grievance rights, limit appeals of satisfactory-or-above evaluations, address layoffs and reemployment rights, allow leave donation in certain resignations or retirements, restrict remote work from outside Kentucky without approval, permit deductions for unreturned state equipment, and make DJJ facility supervisors non-merit positions. The committee voted on SB 79 and passed it with favorable expression. The committee then heard Senate Bill 67, presented by Chair Nemes, an elder property tax bill. The bill would freeze the assessed value of a primary residence for homeowners age 65 or older until the property is no longer their primary residence, while still taxing at the current rate. Nemes said the measure was intended to help seniors on fixed incomes and noted a fiscal analysis showing little to no direct revenue loss, though it could reduce projected budgeted growth in property tax revenue. Committee discussion noted a local impact and a statewide budget impact estimate of about $4 million for the first two fiscal years. SB 67 also passed with favorable expression, and the committee adjourned.

Transcript Highlights:

• I was hoping that before we adjourn I might be able to cast an aye vote on Senate Bill 126.
• um hoping that yes SRA Adams I was um hoping that before<00:20:54.880> we<00:20:55.039> adjourn
• might<00:20:55.840> be<00:20:56.000> able<00:20:56.200> to before we adjourn
• I might be able to before we adjourn I might be able to cast<00:20:56.679> an<00:20:56.919>
• We are adjourned. adjourned<00:21:20.919> okay<00:21:21.039> I'll<00:21:21.200> need

Keywords: Meeting Start: 00:00 Attendance Roll Call: 00:00 Senate Bill 126 (Sen. McDaniel): 01:21 Senate Bill 37 (Sen. Elkins): 12:23 Adjournment: 21:06, 958, all

Summary: The committee met with a quorum and took up two bills. Senate Bill 126, sponsored by Senator McDaniel, proposed a constitutional amendment to limit the governor’s pardon power during the final 60 days before a gubernatorial election and through the transition period, with the stated goal of giving voters more time to learn about executive clemency decisions. McDaniel said the measure was intended to increase accountability and noted it would need approval by both chambers and then placement on the 2026 ballot. Senator Haron raised concerns about whether the proposal could chill pardons and asked about the timing; McDaniel responded that 60 days was chosen because of early voting and the need for public notice. The committee adopted a substitute and then passed the bill with a favorable expression; several members voted aye, Senator Haron passed, and Senator Adams later asked to be recorded as voting aye before adjournment. The committee then considered Senate Bill 37, sponsored by Senator Elkins, which would amend Kentucky law on indigent burials to allow cremation as an option instead of requiring burial, and would require consultation with the county coroner before a decision is made. Elkins described it as a local control measure and said he was working with Rabbi Litman on a possible accommodation for Jewish indigent decedents, since the Jewish community strongly prefers burial and has offered to assume costs in those cases. Questions focused on how long officials must make a bona fide effort to notify a spouse or next of kin and whether the bill would affect current practices; Elkins said it would not change existing policy on that point and suggested a possible floor amendment for additional issues. Rabbi Litman testified in support, explaining the religious importance of burial and the community’s concern about cremation. The committee substitute was adopted, and the bill passed with a favorable expression, though Senator Herron and Senator Tichenor expressed reservations and voted no or passed, citing constituent concerns and the possibility that family members may later seek a burial place to visit.

Transcript Highlights:

• The meeting is adjourned. Yes, sir. Thank you. Well, we got everything done.

Keywords: 00:32 Call to Order and Roll Call 02:30 Road Fund Report 17:22 Approval of Minutes 18:07 High Growth Counties Projects 56:00 Adjournment, 958, all

Summary: The Budget Review Subcommittee for Transportation met without a quorum at first, then later approved the July 15 minutes by voice vote after quorum was reached. The committee heard an update from the Transportation Cabinet on the road fund for FY 2024-25. Cabinet staff reported road fund revenue came in $38.5 million above the enacted estimate, with motor vehicle usage tax receipts setting an all-time high for the fifth straight year. Motor fuels tax revenue was below estimate and down from the prior year, while overall road fund collections totaled $1.86 billion, essentially flat year over year. Staff said the road fund ended FY25 with a $61.6 million surplus, which under the budget bill must be appropriated to state construction. Members discussed the gas tax formula, with Senator Higdon arguing it no longer works well because revenues fall when fuel prices fall, and the chair noting the committee may need to revisit the formula. The committee then received an update on High Growth County projects in the 2024 highway plan. KYTC said $16 million in HGC authorizations had been made, nine projects already had construction funds authorized or were otherwise underway, 12 more were scheduled to be let by the end of 2025 with estimated construction costs above $250 million, and one additional project was expected to be awarded through alternative delivery. The cabinet said it anticipated authorizing the full $450 million appropriated by the General Assembly. Members praised the effort and emphasized the need to get projects to market before the next budget cycle. Jason Sala of KYTC also explained why transportation projects take time, citing planning, design, right-of-way acquisition, and utility relocation as major steps that can delay delivery. He said these processes are complex and require coordination with property owners, utilities, consultants, contractors, and local governments. Eric Pelfrey then briefed the committee on professional and personal service contracts, saying they are used to expand cabinet capacity for design, inspections, right-of-way appraisal, safety, and related work. He reported that authorizations and payments for these contracts have trended upward over the past decade, and that the number of contracts has also increased. In response to questions, Pelfrey said design-build can speed some projects by overlapping steps, but it does not eliminate right-of-way or utility work when those are required; he said KYTC has been using alternative delivery more often, but project complexity still limits how quickly work can move.

Transcript Highlights:

• Before we adjourn, I want the members to note that the next scheduled meeting is Tuesday, July 15th,
• Now the next item, I guess, is adjournment. Do I have a motion, Mr. Chairman?
• Uh, do I have a motion for adjournment? So moved. This is adjourned. Thank you all. Good job.
• Uh do I have a motion for adjournment? adjournment? adjournment? So<00:51:45.280> moved.
• This is This is adjourned. So moved. This is This is adjourned.

Keywords: 00:05 Call to Order and Roll Call 01:55 Bridge Improvement Program 18:56 County Priority Projects Program 38:10 Transportation Alternative Program 51:47 Adjournment, 958, all

Summary: The committee met for the first interim meeting of the 2025 Budget Review Committee on Transportation and heard from Bobby Jo Lewis, commissioner of Rural and Municipal Aid at the Kentucky Transportation Cabinet. She reviewed the new County City Bridge Improvement Program, created in the 2024 regular session, reporting that phases one and two are complete, 45 bridges have been funded so far, and about $18.45 million has been authorized. She said roughly $6.549 million remains for phase three in the current fiscal year, with about $26.445 million in bridge applications still pending. For fiscal year 2026, the program will again have $25 million and will use four application phases. She also described a training resource, Local Bridges 101, and said a new executive advisor, Greg Meredith, has been brought in to help with the bridge program. Members asked how rollover applications would be handled, whether they would be re-evaluated with new applications, how the program would account for bridge longevity and load posting, and how isolated communities would be prioritized. Lewis said applicants not funded in FY25 would be contacted and could choose to roll their applications into FY26, and all applications would be evaluated together at the end of each phase. She said preservation projects are assessed for how much they extend a bridge’s life, and isolated community access bridges or closed bridges with no detour access receive priority. She also said the department aims for equitable distribution across regions and plans to produce a map showing where funds have been awarded. Lewis then turned to the County Priority Projects Program and the Local Assistance Road Program established in House Bill 546 and related resolutions. She said the application cycle opened June 1 and closes October 1, with 106 memoranda of agreement being prepared for awards in House Joint Resolution 46. She described updated application and reporting forms, a scoring matrix, and a County City Pavement Evaluation Manual used to rate projects based on preservation of assets, average daily traffic, recent improvements, safety, cost, and district priority. She said projects must be rehabilitation projects designed to restore the original condition of the road, cannot exceed $500,000, and must use local match percentages tied to the economic development grant program formula. She also reported on funding status for prior road projects, including completed, partially completed, pending, and underrun amounts that may be reauthorized. Committee members asked about photo documentation, online access to project materials, how to measure whether projects truly restore roads to original condition, and what happens when project costs exceed estimates. Lewis said the department is still working on how best to store and share the large volume of photos, and that projects are certified through district offices and local sign-off after completion. She said overages are the responsibility of the applicant because the state does not have additional money beyond the awarded amount. No formal votes were taken during the discussion.

Transcript Highlights:

• Meeting adjourned. next Wednesday February 26th and we next Wednesday February 26th and we thank<00:35
• :35:26.800> for<00:35:27.000> coming<00:35:27.839> meeting<00:35:28.240> adjourned

Keywords: 00:00 Call to Order and Roll Call 00:37 KY Horse Racing and Gaming Corp. 08:32 Cabinet for Health and Family Services 35:28 Adjournment, 958, all

Summary: The subcommittee heard an update from the Kentucky Horse Racing and Gaming Corporation on sports wagering revenue allocations and problem gaming funding. KHRGC reported that in fiscal year 2024, about $34.4 million was deposited to the pension fund and about $931,000 to the problem gaming assistance fund; fiscal year 2025 to date, the totals were about $18.5 million and $556,000, respectively, bringing all-time problem gaming funding to about $1.48 million. Members also discussed wagering volume, with KHRGC stating Kentucky had about $3.5 billion in wagers from September 2023 through December 2024 and about $1.4 billion in fiscal year 2025 to date. KHRGC explained that it tracks the funds sent to CHFS and the self-exclusion list, but does not track the number of people seeking help or the outcomes of those calls. The Division of Mental Health then described how the problem gambling assistance account is used. Patty Clark and Sarah Cooper said the fund supports education, counseling, public awareness, counselor certification, and treatment-related costs, with $50,000 reserved for administrative expenses. They said the department has spent the last 18 months establishing criteria, funding standards, performance measures, monitoring, and application procedures, and that it issued notices of funding opportunity in October. They reported about 1.49 million in the fund through the end of January, with awards including support for the Kentucky Council on Problem Gambling conference, a public awareness campaign by Project Ricochet, and a youth-focused campaign by Shaunie Transformation Youth Coalition. Testimony also focused on the scope of problem gambling in Kentucky and how the helpline works. The department said fewer than 10 clinicians in Kentucky are specifically certified in problem gambling, though all addiction clinicians can provide services, and estimated about 165,000 adults show problem gambling behaviors, with 47,000 to 64,000 potentially meeting criteria for a gambling disorder. They said helpline calls rose to about 3,240 in 2024, but only about 25% were from people seeking help, with most callers seeking information about online wagering. Members asked about anonymity, follow-up, co-occurring alcohol or drug issues, and whether the fund should reimburse Medicaid or directly cover treatment costs. The presenters said calls are anonymous, outcomes are not tracked unless callers follow up, and the program is currently focused on building provider capacity and targeted outreach rather than direct reimbursement or a statewide campaign.

Transcript Highlights:

• With that, we're adjourned. other questions or concerns from other questions or concerns from committee
• 01:03:51.680> With<01:03:51.839> that,<01:03:52.000> we're<01:03:52.160> adjourned

Keywords: 0:00:01 Call to Order and Roll Call 0:01:19 NKU Capital Project Update 0:38:57 DJJ High Acuity Services Update 1:03:53 Adjournment, 958, all

Summary: The interim Budget Review Subcommittee for Justice and Judiciary received an update on Northern Kentucky University’s capital project to house the Northern Kentucky Medical Examiner’s Office and the Northern Kentucky Crime Lab in the former Highland Heights Civic Center building on NKU’s campus. NKU and Justice Cabinet staff described the project timeline: the building was identified in late 2022, lease terms were agreed to in early 2023, a pre-construction evaluation agreement was executed in May 2023, the General Assembly authorized $21 million in April 2024, and the lease and construction agreement were finalized in spring 2026. The project is now being prepared for bid, with construction expected to start in August and occupancy targeted for January 2028. About $1 million has been spent so far on design and related investigations. Testimony emphasized that the vacant building was structurally sound but required major upgrades, including HVAC, plumbing, electrical, roof, windows, a generator, specialized mechanical systems, security, and geothermal work to meet the needs of two separate operations sharing one facility. NKU said it is contributing $3.7 million to the project. Committee members asked about the condition of the building, the urgency of the project, and why the process took so long. Justice Cabinet and real properties officials said the medical examiner’s office had been shut down since roughly late 2017 or 2018, that the state had first sought funding in the 2022 budget for staffing, a lease, and equipment, and that it took time to find a suitable leased location because the facility has highly specialized requirements. Members also asked about operating costs, annual lease costs, and the impact of the office’s absence on families and counties in Northern Kentucky. Officials said the lease cost is based on NKU’s expected maintenance-related expenses, while utilities and staffing are covered through the Office of the State Medical Examiner or Kentucky State Police, with seven medical examiner positions funded in House Bill 500 and two additional KSP positions requested for the crime lab. They explained that, until the new facility opens, bodies from Northern Kentucky are generally transported to Louisville for autopsy, with transportation costs borne by the coroner’s office. No votes were taken, but the committee requested follow-up information, including lease cost numbers and additional details on facility usage and timing.

Transcript Highlights:

• And if there's no other comments or anything need to be made, we will adjourn this meeting.
• And if there's no other comments or anything need to be made, we will adjourn this meeting.

Keywords: 00:01 Call to Order and Roll Call 01:32 Approval of Minutes 01:46 Public Protection Cabinet 19:05 Tourism, Arts and Heritage Cabinet 33:14 Adjournment, 958, all

Summary: The Budget Subcommittee met without a quorum at first, then approved the minutes once a quorum was reached. The first presentation was from the Department of Housing, Buildings, and Construction within the Public Protection Cabinet. Commissioner Max Fuller and Deputy Commissioner David Moore reviewed the department’s licensing structure, noting about 50 license types and roughly 42,000 active licenses, with most tied to plumbing, HVAC, and electrical work. They compared Kentucky’s fees and requirements with neighboring states and said Kentucky is generally in line or slightly below surrounding states when local and contractor licensing requirements elsewhere are considered. The department also described staffing and inspection pressures. Officials said boiler inspections have a measurable backlog, with about 18% of state-jurisdiction boilers and pressure vessels past due statewide and a higher percentage in Jefferson County. They said building code plan review turnaround has risen from about 30 days to roughly 33–35 days, and that some areas are struggling to maintain same-day plumbing inspections and three-day HVAC inspections. Members asked whether the agency could handle increased housing construction, especially in rural areas; the department said it had requested additional plumbing staff and a plan reviewer, particularly for the Bowling Green/Warren County area, and noted that electrical inspectors are stretched across the state and are also pulled into disaster response work. The committee then heard from Kentucky Venues and the Kentucky State Fair Board on the Kentucky Exposition Center renovation and related operations. David Beck, board chairman David Williams, CFO Tony Shrek, and others said the project is progressing ahead of schedule, with keys to the new building expected in December and the facility already booked for future events. They reported strong tourism and economic impact, including record activity at the Exposition Center and downtown convention center, and said the Farm Machinery Show and other events continue to drive demand. Members asked about budget status, and the presenters said inflation, delayed access to funds due to the RFP/design process, and added costs have left them short of money to finish all planned work. They identified phase three funding needs, including food and beverage service improvements and completion of Freedom Hall seating, and said they are considering bringing food and beverage operations back under their control to improve efficiency and revenue. The meeting ended with no formal votes on the presentations and an announcement that the committee would meet again the following Tuesday.