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KY

Kentucky 2026 Regular Session

House Standing Committee on Economic Development & Workforce Investment (3-19-26)

Economic Development & Workforce Investment

Transcript Highlights:
  • Seeing none, call the roll.
  • call the roll. call the roll. >> Representative<00:28:54.880> Bowling.
  • <00:31:07.640> It's<00:31:08.160> um called a scuff fund.
  • It's um called a scuff fund.
  • All right, Sammy, please call the roll. All right, Sammy, please call the roll.
KY

Kentucky 2026 Regular Session

House Standing Committee on Local Government. (2-24-26)

Local Government

Transcript Highlights:
  • The fifth meeting of the House Standing Committee on Local Government is now called to order.
  • Will the committee assistant please call the roll?
  • Will the committee assistant please call the roll?
  • Will the committee assistant please call the roll?
  • Will the committee assistant please call the roll?
Summary: The House Standing Committee on Local Government met with a quorum present and briefly introduced a guest before taking up two bills. House Bill 246, as amended by House Committee Substitute 1, would require animal control officers to complete training on recognizing child abuse and neglect. The sponsor and a young advocate testified that animal control officers often encounter warning signs in homes, cited data linking animal abuse and child abuse, and said the training would be free, brief, and housed by Prevent Child Abuse Kentucky. The committee substitute was explained as addressing local government liability concerns by allowing counties to opt out, tying the bill to existing reporting statutes, and clarifying that the training creates no investigative duty. Members asked about whether the training was one-time, how opt-outs would be tracked, and whether the information would be public; the sponsor and witness said participation would be tracked and the training/evaluation would be available through the organization. The committee approved HB 246 with favorable expression to pass on the House floor. The committee then considered House Bill 613, which would give Chapter 75 fire districts a process to seek a tax increase above the current 10-cent cap through public hearings and voter recall, while preserving local control. The sponsor and fire service representatives said the bill responds to modern fire district costs, including higher equipment prices, staffing shortages, declining volunteer numbers, and the shift to all-hazards service. They emphasized that any increase would be subject to notice, public comment, and a voter recall mechanism, and said the cap would remain in place unless the district used the new process. Members questioned the fiscal impact language, the meaning of the cap, and whether the bill effectively removed the cap; the sponsor clarified that the cap stays but districts could go up to two cents above it through the process, with voters able to recall the increase. One member passed on the vote due to concern about the indeterminable fiscal impact, but the committee still reported HB 613 favorably to the House floor. The meeting then adjourned.
KY

Kentucky 2026 Regular Session

House Standing Committee on Economic Development & Workforce Investment (2-12-26)

Economic Development & Workforce Investment

Transcript Highlights:
  • I'd like to call this meeting to order.
  • If not, Sammy, please call the roll. possible. I want to take a moment since possible.
  • If not, Sammy, please call the Okay. If not, Sammy, please call the role.
  • Uh, Sammy, please call the roll. Representative Bowling — yes. Representative Callaway — yes.
  • Please call the role. All right. Please call the role.
Summary: The House Standing Committee on Economic Development and Workforce Investment met for its first meeting, reviewed housekeeping procedures, and established a quorum. The committee first considered House Bill 577, relating to economic development. The bill sponsor and a representative from Blue North said it would modernize Kentucky’s economic development statutes to better support startups and high-growth companies, rename the innovation center program as the Kentucky Entrepreneurship and Innovation Hub program, clarify statutory definitions, expand the Kentucky Enterprise Fund, allow certain out-of-state companies to qualify if they commit to becoming Kentucky-based within 180 days, and broaden the angel investment program to include pass-through entities. The committee approved HB 577 with a favorable expression. The committee then took up House Bill 392, relating to local public agency transactions, and adopted a committee substitute negotiated with stakeholders including the Kentucky Press Association and the Kentucky Association of General Contractors. The sponsor said the substitute removed the original bill’s best value and reciprocal bidder provisions, lowered the small purchase threshold from $60,000 to $50,000, and would increase that threshold by $10,000 every five years to account for inflation. It would also allow local governments to use certain state contracts with price ranges, permit independent evaluation of some small non-evaluative equipment, and exempt law enforcement vehicles and related equipment from procurement code requirements. HB 392, as amended by committee substitute, passed with a favorable expression. House Concurrent Resolution 16 was then heard. The sponsor, who had co-chaired the Air Mobility and Aviation Economic Development Task Force, said the task force held six meetings and heard from airports, aviation and education stakeholders, logistics companies, and others. She said the group found there was no real strategic plan for advanced air mobility and recommended that state agencies study infrastructure needs and that the General Assembly develop a strategic plan and legislation for AAM vehicles. Members discussed airport and drone-related issues, and the resolution passed with a favorable expression. Finally, House Bill 593, relating to data centers, was announced but passed over for a later hearing, and the committee adjourned.
KY
Transcript Highlights:
  • Uh, the second area that we are focused on is integrated, we call it crisis to care, integrated EMS and
  • it<00:05:14.400> crisis<00:05:14.800> to<00:05:15.039> care integrated we call
  • We call it rapid response to recovery.
  • We call it rooted in health. And the last one really begins to look at chronic disease.
  • called uh OKRs objective<00:15:56.880> and<00:15:57.120> key<00:15:57.360> results<
Summary: The committee first approved the minutes, then heard a lengthy presentation from the Department for Public Health on Kentucky’s rural health transformation plan and related budget questions. Commissioner John Langfeld said the state received a $212.9 million federal award, one of the larger awards nationally, and outlined five focus areas: maternal and infant health, integrated EMS/trauma response, behavioral health and substance use disorder, oral health, and chronic disease prevention with an emphasis on obesity and diabetes. He stressed that the effort is intended to be integrated, data-driven, and sustainable, and that the federal funds cannot be used for new construction, clinician salaries, research and development, EHR replacement, or to pay for currently billable services. He also said the program carries accountability requirements and that funds can be clawed back if milestones are not met. Members pressed for clarification on duplication with other budget requests, sustainability after the five-year funding period, and how success would be measured. Langfeld said he was not aware of any duplicate funding with the department’s additional budget requests and said the rural health funds were separate from those requests. He also said the program will be tracked through specific metrics and timelines, using both execution measures and outcome measures such as readmissions, with more rapid-cycle feedback to allow course correction. Representative Fleming raised concerns about possible overlap with navigator funding and asked for more detail on the budget breakdown; Langfeld said a detailed line-item budget had been prepared but was still awaiting final CMS approval before release, and that he would explore sharing more information once restrictions were lifted. The committee then heard from the Kentucky State Public Health Laboratory about a request for a new central lab expansion. The presenter described the current 35-year-old facility as outdated and constrained by aging infrastructure, obsolete equipment, deferred maintenance, and inadequate space, and said the lab performs critical work with no in-state alternative for many services, including newborn screening, select-agent and biosafety level 3 testing, animal necropsy for rabies, genetic sequencing, environmental and food safety testing, and response to emerging infectious diseases. The project is already in design phase C, expected to finish in mid-April, with construction funding sought at roughly $276 million on top of about $35 million already approved for design. Members asked about long-term operating costs, backup arrangements, and whether the current facility would remain in use; the presenter said the current lab would continue to be used by the department while other divisions move into vacated space, and that the lab has mutual-aid agreements with the Southeast Consortium and universities for contingency support. Finally, the Department for Community Based Services began its budget presentation on SNAP and relative caregiver issues. Commissioner Lisa Dennis and budget director Misty Sammons identified the governor’s recommended budget items tied to new federal requirements under HR1, including changes affecting payment error rates. The discussion was just beginning when the transcript ended.
KY

Kentucky 2026 Regular Session

House Standing Committee on Local Government. (2-3-26)

Local Government

Transcript Highlights:
  • Call the second meeting of the House Standing Committee on Local Government to order.
  • Will the committee assistant please call the roll?
  • Just to— >> Speaker: It says basically, call on me. That's what that is.
  • Seeing none, will the clerk please call the roll?
  • please call roll? please call roll? >> Representative<00:06:48.080> Balman.
Summary: The House Standing Committee on Local Government met with a quorum present, heard introductions, and then considered two bills. House Bill 333, sponsored by Representative Pollock, would allow faith-based organizations to develop small-scale affordable housing projects of up to 24 units on property owned before January 1, 2026, and to operate modest homeless shelters, including cooling or warming centers, in commercial, business, or industrial zones if health and safety requirements are met. Pollock said the bill is intended to help address homelessness and housing affordability while preserving building, fire, health, and reporting standards. Representative Stalker supported the measure and asked about its effect on the tax base, and Representative Fleming asked a clarifying question about the bill number. The committee voted 16-0 to give HB 333 favorable expression. The committee then took up House Bill 432, sponsored by Vice Chair Neighbors, which updates Kentucky local purchasing laws. A committee substitute was adopted first, then Neighbors explained that the bill clarifies when local public agencies may use non-competitive negotiations, such as in emergencies, with single-source providers, licensed professionals, perishable foods, replacement parts, and certain insurance products, while still requiring written justification. The bill also keeps the $40,000 advertised-bid threshold and adds clearer exceptions, including used vehicles or equipment purchased at no more than 75% of MSRP, to give local governments more flexibility and stretch taxpayer dollars. Representative Roarx explained the difference between the original bill and the substitute regarding how the 75% value is measured. The committee voted 17-0 to report HB 432 favorably as amended. Before adjournment, the chair welcomed constituents in the audience and congratulated Representative Roarx on becoming ranking member. The meeting then adjourned.
KY
Transcript Highlights:
  • Ma'am, clerk, if you want to go ahead and call the roll, please. >> Senator Chambers Armstrong, Senator
  • We're going to call Ryan up from the KPPPA to comment on any comments they might have on it or for any
  • We're going to call um Ryan the systems.
  • So it's for any employees who receive what we call an across-the-board raise during that period.
  • So it's for any employees who receive what we call an across-the-board raise during that period.
Summary: The committee first took up Representative John Blanton’s bill on pension spiking and Kentucky Public Pension Authority administration. Blanton said the measure would make a prior court-related pension-spiking fix retroactive to July 1, 2022, so employees who retired between that date and the court ruling would be treated the same as those covered by the earlier legislation. KPPPA staff said they did not think the bill would go beyond the Court of Appeals ruling, but noted it could prompt requests from people who retired before July 1, 2022. Members asked about how many retirees might be affected, whether the language was narrow enough, and whether the bill could open the door to additional claims; Blanton estimated roughly 1,000 retirees would need review, with fewer actually impacted. No vote was taken on the bill in the excerpt. The committee then heard Senator Matt Nunn and Scott County Schools Superintendent Billy Parker present a proposal allowing school districts to offer teachers and other employees a voluntary payout for unused sick days. Supporters said the idea could improve attendance, reduce substitute costs and classroom disruptions, help retain younger teachers, and potentially lower long-term retirement-related costs because the payout would not count toward pension compensation. They emphasized the program would be optional for districts and employees, would require teachers to keep at least 15 sick days in reserve, and would be district-funded rather than a state cost. Members raised questions about budget impact, tax treatment, pension effects, and whether the incentive would actually change behavior; the bill sponsor and witnesses said the payout would be taxed like other compensation and would not affect TRS or CERS benefits. One member requested reporting on how the program would be used, and the sponsor said he would be open to adding that. The sponsor also noted a later committee-substitute change would allow use of accumulated sick leave for observance of religious holidays not otherwise on the school calendar, with a personal statement from the employee.
KY
Transcript Highlights:
  • All right, we're going to go ahead and call this meeting to order, and I'll ask Madam Secretary if she
  • could please call roll.
Summary: The meeting opened with roll call, a quorum was confirmed, and the minutes were approved. The committee then heard testimony on Senate Bill 9, which concerns TRS sick leave audit requirements and process. Auditor Allison Ball’s staff said the audit is an information-gathering review of how teacher sick leave is accumulated, current balances, how many employers use the sick leave function, and the policies and procedures governing sick leave. Members discussed how unused sick leave affects retirement calculations, the distinction between the state’s financial responsibility and school districts’ responsibility, and whether the audit would also examine related leave categories such as personal leave, annual leave, and leave of absence. Committee members emphasized that Senate Bill 9 was intended to add accountability and standardize reporting, including preventing annual leave from being rolled into sick leave. Several members asked for clarification on how sick leave is factored into retirement benefits. Witnesses and members explained that, under the system described, accumulated sick leave can be converted into retirement credit based on a teacher’s daily rate and then multiplied by a percentage, with the school district often bearing the cost. Members also noted nuances in the law, including different accumulation limits by hire date and tier, and that the audit may help the public better understand why some educators retire relatively young. The auditor’s office said it is still early in the process, has met with TRS leadership, and will report back once the audit progresses. The committee also asked whether maternity leave would be included; the auditor’s office said it was not specifically mandated but could be examined if the body requests it. The committee then received an overview of Senate Bill 10 from KPA representatives Ryan Barrow and Rebecca Atkins. They explained that the bill enhances retiree health insurance benefits for certain CRS members who are non-Medicare participants and meet specified career thresholds, with different rules for hazardous and non-hazardous service. They described the benefit as $40 per month per year of service for non-hazardous service and $50 per month per year for hazardous service, both inflated annually, and clarified that these amounts are not cumulative with prior benefit formulas. Members asked about the interaction between the new amounts and existing benefits, and the presenters explained that the bill also changes current employee health insurance contribution rates effective July 1, 2026, with different impacts by tier and hazardous status. The committee discussed the need for clear communication to affected employees and reviewed example calculations showing how the new contribution structure would work.
KY
Transcript Highlights:
  • The second meeting of the Interim Joint Committee on Local Government is called to order.
  • Will the committee assistant please call the roll?
  • Uh this development what I call IDs.
  • Many states have legalized what's called missing middle housing.
  • And and called missing middle housing.
Summary: The committee approved the minutes from its June 4, 2025 meeting and then heard a series of presentations focused largely on housing and land-use policy. Senator Robbie Mills and Representative Josh Bray discussed two 2025 housing measures: Senate Bill 50, which would create residential infrastructure development districts to help local governments finance infrastructure for new housing developments through special assessments and local debt, and House Bill 7, which would let local governments identify development areas and rebate new property tax revenue to developers as an incentive for housing growth. They said Kentucky faces a statewide housing shortage of roughly 210,000 units, projected to grow if building patterns do not change, and argued that regulatory relief and financing tools are needed to increase supply. Representative Rebecca Rymer presented House Bill 371, which would require local permitting when an industry’s residual waste landfill is located in a different county from the industry itself. She said current law lets such landfills bypass local review, leaving host counties with no say despite road impacts and other local burdens. She said the bill would preserve the existing exemption when the landfill and industry are co-located, and noted support from KLC and KO. Representative Steve Doan also described House Bill 806, a statewide backyard chicken bill that would allow domesticated hens, prohibit roosters, set a minimum of six hens that local governments could not go below, and preserve local authority over setbacks, sanitation, maintenance standards, and egg sales. He said it would override outright local bans but not HOA restrictions, and cited a current Northern Kentucky dispute and ADA litigation as reasons for the proposal. The committee then heard a broader discussion on housing and land use from Charlie Gardner of the Mercatus Center and Nolan Gray of California YIMBY and the Bluegrass Institute. They outlined categories of land-use regulation, described the recent growth of state-level housing reforms nationwide, and cited examples such as ADU legalization, smaller lot sizes, reduced parking minimums, streamlined permitting, and single-stair or other building-code reforms. They argued that housing shortages are a statewide concern, that localities often have incentives to block growth, and that state intervention can reduce costs and uncertainty without compromising health and safety. Members asked about the housing shortage estimate, the effect of red tape on safety and local authority, and how state reforms could be phased in; the presenters said reforms often include lead time, can be targeted to larger jurisdictions, and should focus on reducing time and cost while maintaining basic standards.
KY
Transcript Highlights:
  • Sasha, call the roll. Representative Bing here. Representative Callaway here.
  • <00:14:46.680> The they filmed an old movie called The they filmed an old movie called The
  • Seeing none, the clerk will call the roll. Representative Bowling, yes.
  • <00:36:20.359> the<00:36:20.480> RO see you n Sasha call the RO see you n Sasha call
  • Sasha, call the roll. Better before due process is provided.
Summary: The committee first took up Senate Bill 1, which would create a Kentucky Film Office and a Kentucky Film Leadership Council to promote film production in the state. Sponsors said the bill is intended to expand Kentucky’s use of film tax incentives, improve marketing and infrastructure, and attract productions that could generate jobs, tourism, and broader economic development. They noted a committee substitute made two changes: adding a salary cap for the film office executive director and correcting a date. Members asked about whether the office should instead be housed in the Economic Development Cabinet, how Kentucky’s refundable credit compares with Georgia’s transferable credits, the bill’s obscenity language, the size of the current incentive cap, and whether there should be reporting on the program’s results. Supporters cited a University of Louisville study estimating about $200 million in industry revenue in 2022 and argued the state is not fully using existing credits; an outside witness, Andrew McNeel, opposed the bill, calling the incentives subsidies, warning that Georgia’s uncapped program could lead to pressure to raise Kentucky’s cap, and arguing the bill could subsidize films with little lasting local benefit. After debate, the committee adopted the substitute and passed Senate Bill 1 as amended by House Committee Substitute 1 with an expression of opinion that it should pass. Several members explained their votes, including concerns about transparency, local hiring, and the need for further review. The committee then moved on to Senate Bill 76, which would raise the threshold for a retainage/escrow requirement in certain real estate improvement contracts from $500,000 to $2 million. The sponsor said the change is meant to reflect construction cost inflation since the statute was enacted in 1990. The transcript indicates a motion and second were made, but the discussion was cut off before any final action on the bill is shown. Finally, the committee heard Senate Bill 162, a simplified bill on unemployment insurance fraud. The sponsor said it would require suspected fraud to be referred to the appropriate state or federal law enforcement authorities, including the Justice and Public Safety Cabinet, county or Commonwealth’s attorneys, and, where applicable, the U.S. Department of Justice, to create a clearer process and accountability. The transcript ends during the presentation, before any vote or committee action on SB 162 is recorded.
KY
Transcript Highlights:
  • <00:09:41.000> the secretary please call the secretary please call the rooll<00:09:43.600>
  • in a second Madame secretary please call in a second Madame secretary please call the<00:14:02.920
  • prohibiting the cost if we need to call prohibiting the cost if we need to call at<00:14:21.160>
  • Seeing no other questions, Madam Secretary, please call the roll.
  • Seeing no other questions, Madam Secretary, please call the roll.
Summary: The Senate Standing Committee on State and Local Government first considered HJR 15, a resolution to return a Ten Commandments monument to the new state Capitol grounds. Representative Shane Baker described the monument’s history, its removal to storage in the 1980s, and a prior 2000 effort that was blocked by the courts. He argued recent Supreme Court decisions, including Van Orden and Kennedy, support a history-and-tradition approach and said the resolution would direct the Historic Properties Advisory Commission to retrieve and reinstall the monument in Monument Park. Senator Herron raised concerns about religious neutrality and whether other faiths would also be represented at the Capitol. Baker and Chair Petrie responded that the resolution was limited to restoring a specific historical monument and did not bar future proposals for other displays. Senator Armstrong voted no, saying the legal landscape remained uncertain and the state could face costly litigation. The committee approved HJR 15 on an 8-1 vote. The committee then took up House Bill 6, which would limit administrative agencies from issuing regulations with an economic impact of more than $500,000 over two years, with exceptions for imminent public health or safety threats, protection of federal or state funds, and compliance with certain court orders. Representative Wade Williams said the bill would rein in costly agency rulemaking and cited LRC data showing only about a dozen regulations in 2024 would have met the threshold, with roughly six after closer review. Senator Chambers Armstrong expressed concern that the bill could tie the government’s hands in emergencies, but the bill passed 8-1. Finally, the committee considered House Bill 73, which had a committee substitute. Representatives Johnson and Tipton explained that one part would add We Lead CS to the list of educational service providers allowed to administer their own retirement program participation, and the other would require the Teachers’ Retirement System actuary to provide additional information on each employer’s share of unfunded liability. The committee approved HB 73 unanimously, 10-0, and then adjourned.
KY
Transcript Highlights:
  • <00:01:05.799> Senate<00:01:06.159> Bill and call Senate Bill and call Senate Bill
  • This time we'll call a roll.
  • The clerk called the roll.
  • during the roll call.
  • Secretary, please call the roll. Roll call: Senator Carol, aye. Senator Janine. Senator Nemes, aye.
Summary: The committee first heard Senate Bill 75, sponsored by Senator Reed, which would lower Kentucky’s concealed carry age from 21 to 18. The bill’s supporters, including Taylor McKe of the NRA, argued that 18- to 20-year-olds are legal adults who should have equal Second Amendment rights, noting they can vote, serve in the military, and otherwise be treated as adults. Supporters also cited court decisions and historical arguments, while opponents, including Kathy Hobart and Chuck Eddie, warned that the bill would increase gun violence and put more guns in the hands of young people without adequate training. Senator Carol said he opposed the bill because the brain is not fully mature until about age 25 and called the measure irresponsible; Senator Denine said he would pass the bill but wanted training requirements added; Senator Thomas also opposed it on public safety grounds; and Senator Wheeler supported it as a parity and self-defense measure for law-abiding young adults. After debate, the committee voted on SB 75 and reported it favorably with the expression of opinion that it should pass. The roll call reflected a mix of support and opposition, with several members explaining their votes. Supporters emphasized self-defense, constitutional rights, and consistency with adult responsibilities, while opponents focused on youth violence, public safety, and the lack of a training requirement. The committee then took up Senate Concurrent Resolution 89, sponsored by Senator Jimmy Higdon, which would direct the establishment of a Kentucky Restoration of Voting Rights Task Force. Higdon described it as a typical interim work group and said it would include five House and five Senate members. Discussion broadened to expungement and restoration issues, including marijuana-related convictions and other records that members said should be reviewed in light of changing laws. Chair Storm noted he had filed a separate expungement task force resolution and suggested the measures could be coordinated. The resolution was moved, seconded, and the roll was called, with Senator Thomas later explaining support for treating older marijuana convictions more equitably in light of current law.
KY
Transcript Highlights:
  • It is 12:01, and I will call this second meeting of the House Standing Committee on Banking and Insurance
  • Secretary, please call the roll. Representative Bray. Representative Camuel.
  • the opportunity to go first so that they're not having to hang around on the bills that are being called
  • Secretary, would you please call the roll? Representative Bauman? Representative Bray?
  • Next bill will be called on the agenda: Representative Pollock, House Bill 415.
Summary: The committee first took up House Bill 423, a prior authorization reform measure sponsored by Representative Kim Moser. A committee substitute was adopted to clarify that the bill’s prior authorization exemption program does not apply to Medicaid. Supporters, including the Kentucky Medical Association, said the bill would reduce red tape, improve transparency, and let providers spend more time on patient care. The bill would create a framework for insurers to establish a gold carding or waiver program for certain health services, exclude prescription drugs, prohibit retrospective reviews based solely on an exemption, and require annual reporting by the Department of Insurance and the Department for Medicaid Services. After questions about how exemptions would work and whether the bill addressed repeat prior authorizations, the committee voted to pass HB 423 with favorable expression. The committee then considered House Bill 415, sponsored by Representative Pollock and supported by AFLAC representatives. The bill was described as clarifying that health insurance coverage mandates are generally intended to apply only to primary major medical policies. With no substantive opposition or questions, the committee voted to pass HB 415 with favorable expression. Finally, the committee heard House Bill 390 from Chair Meredith, presented with support from multiple insurance industry representatives and the Department of Insurance. The bill would move motor vehicle insurance verification data from the old system to the CAVIS database and shorten the reporting turnaround from 30 days to a ceiling of seven days, with the possibility of a shorter period by regulation. After brief discussion and no objections, the committee voted to pass HB 390 with favorable expression. The committee also heard House Bill 3 for discussion only, sponsored by Representative Neighbors and supported by the Kentucky Pharmacists Association. The bill would require Kentucky Medicaid to reimburse pharmacists for covered clinical services they already provide, aligning Medicaid with existing commercial insurance policy. Supporters argued it would improve access, especially in underserved areas, and could reduce emergency room use and improve outcomes; the bill was not voted on during this meeting.
KY
Transcript Highlights:
  • We'll call the House Standing Committee on Appropriations and Revenue meeting number two, Tuesday, February
  • Please call the roll. Representative Fanta presiding. Representative B. Janowski?
  • of session the revenue bill uh<00:07:30.720> which<00:07:30.919> we<00:07:31.680> call
  • <00:07:31.960> it<00:07:32.680> and uh which we call it and uh which we call it and
  • I would call it the claims bill. The General Assembly has to approve the payment of those claims.
Summary: The committee first took up House Bill 2, which would address the taxation of currency and bullion and was presented as a response to last session’s dispute over whether a line-item veto could be applied to a revenue measure. The sponsor said the bill, as amended by Committee Substitute 2, was largely technical but also made the tax exemption retroactive to August 1, 2024 while making the $1,000-per-day penalty prospective only. Members asked about fiscal impact, possible legal liability for executive branch officials, and whether the issue should instead be resolved by the courts. The sponsor argued the Constitution limits the governor’s line-item veto power to appropriations, not revenue bills, and said the bill would create a judicial remedy and refund process if the executive branch continued collecting the tax. The committee approved the committee substitute and then passed House Bill 2 by a vote of 19-1, with two members passing; the bill was reported favorably to the floor. During discussion, Representative Bojanowski voted no, saying he could not support removing taxes on gold bars while parents pay taxes on diapers. Representative Gentry passed, saying he supported the original intent but was not yet convinced and wanted more time to review the issue. The sponsor also clarified that any liability would be joint and several and could involve executive officials or their budgets if the tax collection continued despite the exemption. The committee then heard a discussion-only presentation on the Kentucky Exposition Center Redevelopment Plan Phase 2. Facility representatives described Phase 1 and the planned Phase 2 expansion, saying the center had record attendance and needed more space to remain competitive and meet client demand. They said Phase 1 was about 20% complete, with completion now expected in October 2026 and an opening target of December 31, 2026 after a short testing period. Phase 2 would follow, including demolition of the West Wing, utility work, and improvements to food service and circulation areas. They said the project would be funded without federal dollars and estimated that, once complete, it could generate about $683 million in annual economic impact, $302 million in state sales tax, and 850,000 room nights in Jefferson County.