2019

December

PUBLISHED BY LEGISLATIVE RESEARCH COMMISSION Volume 32, No. 9 LEGISLATURE.KY.GOV/LEGISLATION/PAGES/DEFAULT.ASPX Pension proposals made Lawmakers by state oversight board look at regulating by Rebecca Hanchett to a “liability-based model” was another LRC Public Information recommendation approved today. DuPlessis said the change would incentivize agencies to keep car-sharing FRANKFORT—A proposal that the 2020 employees in the pension systems by assigning General Assembly consider adding the State each entity their actual pension liability. Treasurer to its Public Pension Oversight Board DuPlessis has pre-filed legislation for the apps was one of 10 recommendations approved on 2020 Regular Session that he says could bring Dec. 16 by the board. some of those changes about. by Jim Hannah Current board membership includes “What you’ll see, I hope, is (some) agencies LRC Public Information representatives of the Governor, State Auditor, which would be your rape crisis centers, your and Attorney General but none from the spousal abuse centers—they’re about a 31 FRANKFORT – The debate on how to State Treasurer’s office despite that agency’s percent of pay, is what they’re actually liability regulate the nation’s burgeoning car-sharing involvement with the public pensions systems, is. So when we have them at 49 percent, that’s economy has reached the Kentucky General said Sen. Jimmy Higdon, R-Lebanon, one of the higher than their actual liability is. And they’re Assembly. board’s co-chairs. about to move to 93 (percent),” he said. “So this Officials from the nation’s largest “The Treasurer is also involved in the is a fair way to assess liability to those who really car-rental company, a major auto insurer retirement systems, so (it’s) a recommendation own it.” and a popular car-sharing upstart converged that the Treasurer also be added,” Higdon said. Other recommendations approved by the on the Capitol on Dec. 17. They appeared Another recommendation approved by board today involve: improving the pension before the Interim Joint Committee on the board would add state legislators as non- systems’ ability to absorb “large shocks” caused Banking and Insurance to ask for legislation voting members to the boards of the Kentucky perhaps by investment or assumption changes; regulating computer applications that allow Retirement Systems and the state Teachers’ payment of KRS retiree costs affecting individuals people to rent their cars to strangers. Retirement System. Doing so, said Higdon, with service in multiple state retirement systems; The question that remained after the would help educate legislators about the state’s examination of the level of retiree health and meeting was which industry’s priorities complex pension issues. pension fund requests for TRS; and funding of would be represented in the proposed leg- “We need all 138 members to understand the actuarially-required contribution (ARC) of islation. Turo, the car-sharing upstart, and (pensions), but if we can have several that really all state-funded pension systems by the General Allstate, owner of the car-sharing service get a deep dive into pensions, the better off the Assembly, among others. Avail, proposed legislation that addressed General Assembly will be when it comes to The PPOB tabled a few proposed insurance coverage and consumer protec- pension issues,” he said. recommendations, including a proposal by Rep. tions. Enterprise Holdings, owner of three Moving the state pension systems away from Joe Graviss, D-Versailles, to consider removing rent-a-car brands, expressed concern the what fellow board co-chair Rep. Jim DuPlessis, R-Elizabethtown, called a “percent-pay model” Continued on page 2 Continued on page 2

THE KENTUCKY GENERAL ASSEMBLY 1 Apps, from page 1 proposed legislation didn’t ensure car-sharing platforms follow the same regulatory rules and pay the same taxes as traditional car rental companies. “Peer-to-peer car sharing has been an in- novation that requires some regulatory over- sight,” said lobbyist Chris Nolan, who testified on behalf of the two ride-sharing platforms. “It deals with the sharing economy. As the sharing economy grows around the country, we have yet another industry that requires attention from state regulators.” Maryland, Colorado and Indiana have all passed car-sharing legislation in recent months, he said. Dustin Brighton, of Turo, testified that the California-based company has registered more than 850 people willing to "share" their vehicle and another 34,000 willing to drive those vehi- cles -- just in Kentucky. “We are not a rental-car company,” Brigh- ton said. “Turo itself is a platform connecting those who own cars with those who wish to use a car. We do not own inventory. We don’t buy cars, and we certainly don’t see ourselves doing that in the future.” He said Turo partnered with Liberty Mu- tual Insurance to ensure everyone using the platform has proper insurance. Allstate's Lisa Pierce testified that the busi- Sen. Reginald Thomas, D-Lexington, questions those testifying about company ride-sharing apps at the Dec. 17 Interim Joint Committee on Banking and Insurance meeting. ness model of Avail differed from Turo. Avail just targets areas with a high concentration of people such as airports and apartment complex- es. She said the company is considering expand- ing to military bases and universities. a 12-point inspection process to be allowed on do those things too,” Rowland said. The Enterprise official, Luis Rizo, testified the Turo platform. Sen. Rick Girdler, R-Somerset, asked about that while these peer-to-peer companies are Committee co-chair Rep. , auto insurance minimum coverage require- providing a similar service to traditional rent- R-Tompkinsville, helped develop the model leg- ments for ride-sharing platforms. Nolan said al-car companies, they are not currently collect- islation and added that it would address mainte- the proposed legislation would ensure state ing any taxes or paying any fees to the airports. nance and recalls. minimums were met, but Pierce added that “Peer-to-peer rentals can increase the “Those were some concerns Enterprise ride-share apps now commonly provide up to amount of time and number of vehicles on the wanted in the bill because they are required to $1 million in coverage. road,” he said. “The renters of these private vehicles, therefore, should also contribute to the road fund the same as if they were renting a vehicle from an incumbent rental car company. “Additionally, peer-to-peer companies that Pensions, gain access to the vehicles from the owners that put their cars on the platform have paid no tax, from page 1 yet they are profiting from that transaction.” At the hearing, Sen. Reginald Thomas, pension legislation enacted with the passage of proposals will be heard at a future meeting, said D-Lexington, asked about the maintenance 2018 Senate Bill 151 from Kentucky’s statutes. DuPlessis. requirements of vehicles on the car-sharing The legislation was declared unconstitutional by All approved recommendations will be platforms. Brighton said vehicles have to pass the Kentucky Supreme Court late last year. Those included in the board’s 2019 annual report.

2 2019 Interim LEGISLATIVE RECORD Eating-disorder treatment studied by panel by Jim Hannah Interim Joint LRC Public Information Committee on Health, Welfare, and Family FRANKFORT – Medical personnel placed Services Co-Chair Meredith Cahill in an isolation room of a hos- Sen. Ralph Alvarado, R-Winchester, pital psychiatric ward at the age of 14. They comments at the left food at her door. They limited access to her committee’s Dec. 9 mother and father. And they told her they would meeting in Frankfort. let her out if she would just stop crying – and eat something. What led them to place this child in that iso- lation room back in 2010? A diagnosis of anorex- ia nervosa. Cahill recounted the harrowing experience while testifying to the lack of eating disorder treatment options before the Dec. 9 meeting of the Interim Joint Committee on Health, Wel- fare & Family Services. She urged lawmakers to establish a statewide eating disorder council charged with overseeing a prevention campaign, from her eyes. “Due to the long leave of ab- ment.” identifying additional treatment options and ad- sence, I was forced to repeat my freshman year But Cahill considers herself “one of the lucky vocating for more medical insurers to cover the of high school, and I quickly realized I had no ones.” She is alive. treatments. real friends left. Remarking on the bravery Cahill exhibited Public health expert Nicholas Peiper joined This would start a cycle of out-of-state treat- in telling her very personal journey, Senate Ma- Cahill to testify that there are nearly 30,000 boys ment in Arizona, Indiana, Wisconsin, Missouri jority Caucus Chair Julie Raque Adams, R-Louis- and girls living in Kentucky with an eating disor- and Oklahoma followed by relapses back in Ken- ville, said she stood ready to help Cahill meet her der – and only one eating disorder facility in the tucky. goal of establishing that eating disorder council. entire state. “I was just existing as an empty shell and go- “When we hear really stark realities like The director of that facility, University of ing through the motions of life without the prop- that," Adams said, "a lot of us open our eyes and Louisville Assistant Professor Cheri Levinson, er care I needed to make something of myself,” open our ears more than we do with some of the testified that it opened in 2017, but said plans Cahill said. “I remember so many nights hoping other things." to offer inpatient care were stymied by Kentuck- I wouldn’t wake up the next morning so I could Rep. , R-Bowling Green, said ians’ the lack of insurance coverage for eating escape the mental and physical prison I lived in.” creating the council should be the minimum disorders. Treatment costs average $20,000 per Cahill eventually graduated high school and policymakers do. “We have to stop sending our month, Levinson said. Yet, the only psychiatric enrolled at U of L. Her eating disorder didn't go children out of state,” he said. illnesses that kill more people is opioid use dis- away, however, and she ended up out of state Committee Co-chair Sen. Ralph Alvarado, orders. again. R-Winchester, said creating an environment to That lack of inpatient care meant Cahill was When she returned home, things had finally attract doctors to Kentucky was a major chal- let out of the psychiatric ward in 2010 – weigh- changed. Levinson’s facility had opened, and it lenge in addressing the lack of eating disorder ing less than when she was admitted – only to offered Cahill intensive outpatient treatment that treatment options across the state. be sent out of state to another facility. Nearly a was covered by her insurance. Prompted by the statement, Rep. Mary Lou decade later, countless Kentucky youths are still “Having specialized treatment here in Ken- Marzian, D-Louisville, suggested expanding the being sent out of state to receive inpatient care. tucky has not only kept me healthy, but it has scope of practice to include nurse practitioners, “Before I knew it, I was flying out to Arizona allowed me to accept a spot in an accelerated psychologist and dieticians in treating eating dis- for my first round of residential treatment,” Ca- master’s program, partake in research opportu- orders. hill said while recounting the experience to law- nities ... and, most importantly, begin to cultivate Rep. Danny Bentley, R-Russell, then suggest- makers. “This consisted of my parents dropping strong friendships for the first time since I was ed exploring eating disorder treatment through me off with a group of strangers and then leaving 13 years old,” she said. telehealth, the provision of healthcare remotely me there for the next ... three months at only 14 Cahill has been at home for more than 1 ½ utilizing telecommunications technology such as years old.” years for the first time since 2010. webcams. She said when she returned home, she strug- “I have lived in Louisville most of my life, Prompted by a question from Rep. Josie Ray- gled to find a qualified eating disorder specialist, yet, it is almost like I’m a transplant that has just mond, D-Louisville, Levinson said prevention who accepted her parent’s insurance, to help her moved to the city for the first time,” she said. “It measures might just be one of the most effective transition back into her first year of high school. makes sense because in the past nine years I have avenues for policymakers to explore. “If we are “When it was time to go back to Kentucky, had to leave Kentucky four times ... for almost able to prevent any of these cases, we are saving I was terrified,” Cahill said while wiping tears two-years combined to receive lifesaving treat- money, suffering, and lives,” she said.

THE KENTUCKY GENERAL ASSEMBLY 3 2020 Regular Session Calendar

4 2019 Interim LEGISLATIVE RECORD 2019 General Senate Assembly

Julie Raque Adams (36) Jimmy Higdon (14) Brandon Smith (30) 213 S Lyndon Lane 344 N Spalding 124 Craig Street Louisville, KY 40222 Lebanon, KY 40033 Hazard, KY 41702 (LRC) 502-564-8100 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 270-692-6945 (Home) 606-436-4526 Ralph Alvarado (28) Paul Hornback (20) (Home FAX) 606-436-4526 3250 McClure Road 6102 Cropper Rd Robert Stivers II (25) Winchester, KY 40391 Shelbyville, KY 40065 207 Main St (LRC) 502-564-8100 (LRC) 502-564-8100 Manchester, KY 40962 Tom Buford (22) Stan Humphries (1) (LRC) 502-564-8100 409 W Maple St 763 Sinking Fork Rd (Home) 606-598-8575 Nicholasville, KY 40356 Cadiz, KY 42211 (Work) 606-598-2322 (LRC) 502-564-8100 (LRC) 502-564-8100 (Work FAX) 606-598-2357 (LRC FAX) 502-564-2466 (Home) 270-522-0195 Damon Thayer (17) (Home) 859-885-0606 Alice Forgy Kerr (12) 702 Capital Ave. (Home FAX) 859-885-0606 3274 Gondola Dr Annex Room 242 Jared Carpenter (34) Lexington, KY 40513 Frankfort, KY 40601 PO Box 100 (LRC) 502-564-8100 (LRC) 502-564-8100 Berea, KY 40403 (Home) 859-223-3274 (LRC) 502-564-8100 Christian McDaniel (23) Reginald Thomas (13) Danny Carroll (2) PO Box 15231 702 Capital Ave. 220 Cimarron Way Latonia, KY 41015 Annex Room 255 Paducah, KY 42001 (LRC) 502-564-8100 Frankfort, KY 40601 (LRC) 502-564-8100 Morgan McGarvey (19) (LRC) 502-564-8100 (Home) 270-703-8025 2250 Winston Ave (LRC FAX) 502-564-0777 Julian M. Carroll (7) Louisville, KY 40205 Johnny Ray Turner (29) 702 Capital Ave (LRC) 502-564-8100 849 Crestwood Dr Annex Room 255 (Home) 502-589-2780 Prestonsburg, KY 41653 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 Stephen Meredith (5) (Home) 606-889-6568 1424 Byrtle Grove Rd Robin L. Webb (18) Matt Castlen (8) Leitchfield, KY 42754 102 S Hord St 702 Capital Ave (LRC) 502-564-8100 Grayson, KY 41143 Annex Room 255 (LRC) 502-564-8100 Frankfort, KY 40601 Robby Mills (4) (Home) 606-474-5380 (LRC) 502-564-8100 702 Capital Avenue Stephen West (27) Annex Room 255 202 Vimont Ln Perry B. Clark (37) Frankfort, KY 40601 Paris, KY 40361 5716 New Cut Rd (LRC/Home) 502-564-8100 (LRC) 502-564-8100 Louisville, KY 40214 Whitney Westerfield (3) (LRC) 502-564-8100 Gerald A. Neal (33) 700 South Main Street 462 S 4th St PO Box 1107 C.B. Embry Jr. (6) Meidinger Twr, Ste. 1250 Hopkinsville, KY 42241 PO Box 1215 Louisville, KY 40202 (LRC) 502-564-8100 Morgantown, KY 42261 (LRC) 502-564-8100 (Work) 270-885-7671 (LRC) 502-564-8100 (Home) 502-776-1222 (Home) 270-526-6237 (Work) 502-584-8500 Phillip Wheeler (31) (Work FAX) 502-584-1119 702 Capital Ave. Rick Girdler (15) Dennis Parrett (10) Annex Room 255 702 Capital Ave 731 Thomas Rd Frankfort, KY 40601 Annex Room 209 Elizabethtown, KY 42701 (LRC) 502-564-8100 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 270-765-4565 Mike Wilson (32) David P. Givens (9) Albert Robinson (21) 702 Capital Ave. PO Box 12 1249 S Main St Annex Room 242 Greensburg, KY 42743 London, KY 40741 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (LRC) 502-564-8100 Denise Harper Angel (35) John Schickel (11) Max Wise (16) 2521 Ransdell Ave PO Box 991 702 Capital Ave. Louisville, KY 40204 Union, KY 41091 Annex Room 229 (LRC) 502-564-8100 (LRC) 502-564-8100 Frankfort, KY 40601 (Home) 502-452-9130 Wil Schroder (24) (LRC) 502-564-8100 Ernie Harris (26) 702 Capital Ave PO Box 1073 Annex Room 209 * Members of the Kentucky General Assembly may also be Crestwood, KY 40014 Frankfort, KY 40601 contacted by calling 502-564-8100. (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 502-241-8307

THE KENTUCKY GENERAL ASSEMBLY 5 2019 Kentucky General Assembly House

Kim Banta (63) (30) (46) 702 Capital Ave 4012 Lambert Ave 8406 Cloverport Dr Annex Room 329I Louisville, KY 40218 Louisville, KY 40228 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 LRC: 502-564-8100 ext. 705 (Home) 502-454-4002 McKenzie Cantrell (38) Jim Glenn (13) (4) 702 Capital Avenue 702 Capital Ave. 2359 Brown Mines Rd Annex Room 424A Annex Room 462A Marion, KY 42064 Frankfort, KY 40601 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 270-988-4171 John Bam Carney (51) (Home) 270-686-8760 PO Box 4064 Campbellsville, KY 42719 Danny Bentley (98) (LRC) 502-564-8100 (89) 2163 E Highway 30 702 Capital Avenue (Home) 270-403-7980 East Bernstadt, KY 40729 Annex Room 367C (LRC) 502-564-8100 Frankfort KY 40601 (37) (LRC FAX) 502-564-5640 (LRC) 502-564-8100 PO Box 509 (Home) 606-305-1321 Fairdale, KY 40118 Jr. (12) John Blanton (92) (LRC) 502-564-8100 714 N Broadway B2 702 Capital Avenue (Work) 502-439-6175 Providence, KY 42450 Annex Room 329H (9) (LRC) 502-564-8100 Frankfort, KY 40601 491 E Nashville St (Home) 270-667-7327 (LRC) 502-564-8100 Pembroke, KY 42266 (Work FAX) 270-667-5111 (LRC) 502-564-8100 Derrick Graham (57) Tina Bojanowski (32) (Home) 270-475-9503 157 Bellemeade Dr 702 Capital Ave. Jim DuPlessis (25) Frankfort, KY 40601 Annex Room 451E 702 Capital Ave (LRC) 502-564-8100 Frankfort, KY 40601 Annex Room 376 (Home) 502-223-1769 (LRC) 502-564-8100 Frankfort, KY 40601 Joe Graviss (56) (LRC) 502-564-8100 Charles Booker (43) 702 Capital Ave. 702 Capital Ave. Larry Elkins (5) Annex Room 429J Annex Room 424C 702 Capital Ave. Frankfort, KY 40601 Frankfort, KY 40601 Annex Room 405D (LRC) 502-564-8100 (LRC) 502-564-8100 Frankfort, KY 40601 (Work) 859-433-4392 (LRC) 502-564-8100 David Hale (74) Adam Bowling (87) 11 Hales Ln PO Box 2928 Daniel Elliott (54) Wellington, KY 40387 Middlesboro, KY 40965 PO Box 2082 (LRC) 502-564-8100 (LRC) 502-564-8100 Danville, KY 40423 (Home) 606-768-3474 (LRC) 502-564-8100 Chris Harris (93) (Home) 859-332-4204 719 Forest Hills Rd Terri Branham Clark (100) Joseph M. Fischer (68) Forest Hills, KY 41527 702 Capital Ave. 126 Dixie Place (LRC) 502-564-8100 Annex Room 429B Ft Thomas, KY 41075 (Home) 606-237-0055 Frankfort, KY 40601 (LRC) 502-564-8100 Mark Hart (78) (LRC) 502-564-8100 (Home) 859-781-6965 202 W 4th St (Home) 606-232-0357 (Work) 513-794-6442 Falmouth, KY 41040 (75) (LRC) 502-564-8100 Kevin D. Bratcher (29) 121 Arcadia Park (Home) 859-654-4278 10215 Landwood Dr Lexington, KY 40503 (94) Louisville, KY 40291 (LRC) 502-564-8100 20 Ohio St (LRC) 502-564-8100 (Home) 859-221-3107 Whitesburg, KY 41858 (Home) 502-231-3311 (LRC) 502-564-8100 Deanna Frazier (81) (2) R. Travis Brenda (71) 702 Capital Ave. 438 Millers Chapel Rd 702 Capital Ave. Annex Room 405C Mayfield, KY 42066 Annex Room 316E Frankfort, KY 40601 (LRC) 502-564-8100 Frankfort, KY 40601 (LRC) 502-564-8100 (Home) 270-705-7539 (LRC) 502-564-8100 (Work) 270-247-2210 (6) (Work FAX) 270-247-2304 (3) 702 Capital Ave. (18) 375 Stonegate Drive Annex Room 413E 702 Capital Ave Paducah, KY 42003 Frankfort, KY 40601 Annex Room 351D (LRC) 502-564-8100 (LRC) 502-564-8100 Frankfort, KY 40601 (Home) 270-331-0648 LRC: 502-564-8100 ext. 702 (Home FAX) 270-443-4526 (84) 277 Right Branch Spencer Kathy Hinkle (96) George Brown Jr. (77) Chavies, KY 41727 702 Capital Ave. 424 E Fourth Street (LRC) 502-564-8100 Annex Room 424B Lexington, KY 40508 (Home) 606-233-5660 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 859-312-7513

6 2019 Interim LEGISLATIVE RECORD 2019 Kentucky General Assembly

Jeff Hoover (83) (34) (76) PO Box 985 2007 Tyler Ln 10 Deepwood Dr Jamestown, KY 42629 Louisville, KY 40205 Lexington, KY 40505 (LRC) 502-564-8100 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 270-343-2264 (Home) 502-451-5032 (Home) 859-299-2597 (Work) 270-343-5588 C. Ed Massey (66) (16) 702 Capital Ave. PO Box 397 Cluster Howard (91) Annex Room 352B Elkton, KY 42220 476 Kings Ridge Frankfort, KY 40601 (LRC) 502-564-8100 Jackson, KY 41339 (LRC) 502-564-8100 (Home) 270-265-3163 (LRC) 502-564-8100 (Home FAX) 270-265-3164 (Home) 606-568-7660 Bobby McCool (97) (62) 702 Capital Ave. 702 Capital Ave Regina Huff (82) Annex Room 413C Annex Room 351 179 Mountain St Frankfort, KY 40601 Frankfort, KY 40601 Williamsburg, KY 40769- (LRC) 502-564-8100 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 606-549-3439 Chad McCoy (50) Melinda Gibbons Prunty (15) 702 Capital Avenue PO Box 411 Thomas Huff (49) Annex Room 370 Greenville, KY 42345 PO Box 1331 Frankfort, KY 40601 (LRC) 502-564-8100 Shepherdsville, KY 41065 (LRC) 502-564-8100 (LRC) 502-564-8100 (80) (47) PO Box 273 PO Box 121 Bedford, KY 40006 Joni L. Jenkins (44) Stanford, KY 40484 (LRC) 502-564-8100 2010 O’Brien Ct (LRC) 502-564-8100 (Home) 502-255-3392 Shively, KY 40216 (42) (Work) 502-255-3286 (LRC) 502-564-8100 PO Box 757 (Work FAX) 502-255-9911 (Home) 502-447-4324 Louisville, KY 40201 (55) (LRC) 502-564-8100 (31) 250 Bright Leaf Dr (Work) 502-741-7464 702 Capital Ave. Harrodsburg, KY 40330 Michael Meredith (19) Annex Room 451B (LRC) 502-564-8100 PO Box 292 Frankfort, KY 40601 (Home) 859-734-2173 Brownsville, KY 42210 (LRC) 502-564-8100 Matthew Koch (72) (LRC) 502-564-8100 702 Capital Ave. (Work) 270-597-6049 (24) Annex Room 329E Russ A. Meyer (39) 113 N Walters Ave Frankfort, KY 40601 106 Lone Oak Drive P.O. Box 8 (LRC) 502-564-8100 Nicholasville, KY 40356 Hodgenville, KY 42748 (69) (LRC) 502-564-8100 (LRC) 502-564-8100 170 Herrington Ct #12 Suzanne Miles (7) (Work) 270-358-0868 Erlanger, KY 41018 PO Box 21592 (23) (LRC) 502-564-8100 Owensboro, KY 42304 189 Blue Sky Dr (Home) 859-653-5312 (LRC) 502-564-8100 Glasgow, KY 42141 (LRC) 502-564-8100 (40) Charles Miller (28) (Home) 270-646-6821 702 Capital Ave. 3608 Gateview Cir Rob Rothenburger (58) Annex Room 429E Louisville, KY 40272 811 Stapleton Rd Frankfort, KY 40601 (LRC) 502-564-8100 Shelbyville, KY 40065 (LRC) 502-564-8100 (Home) 502-937-7788 (LRC) 502-564-8100 (Home) 502-633-5832 (45) Jerry T. Miller (36) PO Box 2090 PO Box 36 Bart Rowland (21) Lexington, KY 40588 Eastwood, KY 40018 PO Box 336 (LRC) 502-564-8100 (LRC) 502-564-8100 Tompkinsville, KY 42167 (Home) 859-252-2202 (LRC) 502-564-8100 (Home FAX) 859-259-2927 (20) Derek Lewis (90) 702 Capital Ave. (1) 702 Capital Ave. Annex Room 429A 350 Peppers Mill Drive Annex Room 413D Frankfort, KY 40601 Paducah, KY 42001 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (LRC) 502-564-8100 (Work) 270-462-3156 (Home) 606-594-0061 (64) (Home FAX) 606-672-5526 PO Box 143 (60) Independence, KY 41051 12094 Jockey Club Dr (14) (LRC) 502-564-8100 Union, KY 41091 PO Box 454 (LRC) 502-564-8100 Hartford, KY 42347 (33) (Home) 859-371-8840 (LRC) 502-564-8100 702 Capital Avenue (Home FAX) 859-371-4060 Annex Room 416C Dean Schamore (10) (61) Frankfort, KY 40601 120 Ball Park Rd 702 Capital Ave. (LRC) 502-564-8100 Hardinsburg, KY 40143 Annex Room 413G (LRC) 502-564-8100 Frankfort, KY 40601 (59) (41) (LRC) 502-564-8100 PO Box 8 702 Capital Ave Prospect, KY 40059 Annex Room 432C (LRC) 502-564-8100 Frankfort, KY 40601 (Work) 502-645-2186 (LRC) 502-564-8100 THE KENTUCKY GENERAL ASSEMBLY 7

2019 Kentucky LRC General Assembly Publications 2020 Price List Steve Sheldon (17) (26) 702 Capital Ave PO Box 6605 Annex Room 351B Shepherdsville, KY 40165 Daily Record Pick up: $165 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 502-543-8209 Daily Record Mailed: $165 (plus John Sims Jr (70) (79) postage) 3177 Maysville Rd PO Box 22778 Flemingsburg, KY 41041 Lexington, KY 40522 Friday Record Mailed: $38.50 (plus (LRC) 502-564-8100 (LRC) 502-564-8100 (Home) 606-748-1839 (Work) 859-266-7581 postage) (48) Buddy Wheatley (65) Individual Record Pick up: $2.75 702 Capital Ave 702 Capital Avenue Annex Room 432A Annex Room 462A Individual Record Mailed: $2.75 (plus Frankfort, KY 40601 Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 postage) (11) Cherlynn Stevenson (88) 702 Capital Avenue 702 Capital Ave Annex Room 451A Annex Room 424G Frankfort, KY 40601 Bills Frankfort, KY 40601 (LRC) 502-564-8100 (LRC) 502-564-8100 (Work) 270-831-1087 Complete Set of Bills and Resolutions III (86) (35) (Pick up): $630 545 KY 223 702 Capital Avenue Flat Lick, KY 40935 Annex Room 424D Individual Bills Per Page: $.05 (LRC) 502-564-8100 Frankfort, KY 40601 (Home) 606-542-5210 (LRC) 502-564-8100 Amendments Per Page: $.05 (22) (Home) 502-599-7289 1481 Jefferson School Road Les Yates (73) Roll Call Votes: $.15 Per Page Scottsville, KY 42164 702 Capital Avenue (LRC) 502-564-8100 Annex Room 351C (Home) 270-622-5054 Frankfort, KY 40601 (LRC) 502-564-8100 Publications Ashley Tackett Laferty (95) 702 Capital Ave 1-10 copies: Free to general public; Annex Room 432F Frankfort, KY 40601 * Members of the Kentucky General Assembly may also be larger numbers of free copies are (LRC) 502-564-8100 contacted by calling 502-564-8100. available to schools and state agencies (27) 702 Capital Ave (Copies over preapproved limits require Annex Room 351D Frankfort, KY 40601 agency approval) (LRC) 502-564-8100 Walker Thomas (8) 2620 Cox Mill Road Hopkinsville, KY 42240 Administrative Regulations (LRC) 502-564-8100 (Home) 270-889-8091 Administrative Register (monthly): (Home FAX) 270-885-5335 James Tipton (53) $120.00 8151 Little Mount Rd Taylorsville, KY 40071 (LRC) 502-564-8100 Acts of the General Assembly (2018) Regular Session: $80.00 (2 Volumes) Tommy Turner (85) 175 Clifty Grove Church Special Sessions: Priced after printing Somerset, KY 42501 (LRC) 502-564-8100 (Home) 606-274-5175 (52) Journals PO Box 969 House and Senate Complete Set, House Monticello, KY 42633 (LRC) 502-564-8100 Set, Senate Set: Priced after printing (Home) 606-340-8490

(All prices subject to 6% Kentucky sales tax within Kentucky, and subject to change)

8 2019 Interim LEGISLATIVE RECORD Committee Meetings

INTERIM JOINT COMMITTEE ON KCMA’s second goal is to expand the economic impact of Kentucky defense-related industry. Since VETERANS, MILITARY AFFAIRS, fiscal year 2008, the impact has increased by 42.7 Index AND PUBLIC PROTECTION percent to $17 billion, while the average state has A Minutes of the 3rd Meeting dropped approximately 5.4 percent over the same Administrative Regulation Review Subcommittee, of the 2019 Interim time period. There is also potential for another $2 38 November 22, 2019 Agriculture, 32 billion of growth over the next two years. Call to Order and Roll Call KCMA’s third goal is to create and implement a Alzheimer’s and Dementia Workforce Assessment The 3rd meeting of the Interim Joint Committee Task Force, 54 model for transitioning service members, veterans, Appropriations and Revenue, 12, 15, 22, 25, 28 on Veterans, Military Affairs, and Public Protection and spouses. To support and train veterans, they aim Area Development District Working Group, 34 was held on Friday, November 22, 2019, at 1:00 PM, to form partnerships with several entities including in Room 154 of the Capitol Annex. Senator Albert Kentucky Workforce Matters Task Force, Kentucky B Robinson, Chair, called the meeting to order, and the Works Collective, and several others. A grant of Banking and Insurance, 10 secretary called the roll. $1.5 million was also earned to help veterans pay for Present were: C childcare, fees, and equipment necessary. Capital Projects and Bond Oversight, 50 Members: Senator Albert Robinson, Co-Chair; Establishing Kentucky as the most military Representative Walker Thomas, Co-Chair; Senators friendly state and growing the veterans population E Julian M. Carroll, C.B. Embry Jr., Denise Harper is the fourth goal of KCMA. To achieve this, active Economic Development and Workforce Invest- Angel, Ernie Harris, Jimmy Higdon, Dennis Parrett, cooperation with the Kentucky General Assembly ment, 25 Wil Schroder, Brandon Smith, Whitney Westerfield, is vital. Since 2000, 18 Senate bills and 99 House Mike Wilson; Representatives John Blanton, Myron G bills have been passed on issues such as education, Government Contract Review Committee, 52 Dossett, Jim DuPlessis, Mark Hart, Matthew Koch, licensing, economic development, taxes, and family Scott Lewis, Rob Rothenburger, Dean Schamore, support. These bills have taken Kentucky from J Attica Scott, Susan Westrom, Buddy Wheatley, Lisa ranking in the 20s to ranking in the top five of Judiciary, 27 Willner, and Les Yates. military friendly states. KCMA will continue to work Guests: Brigadier General Steve Bullard, on other initiatives such as easing license restrictions, H Executive Director, Kentucky Commission on Health, Welfare, and Family Services, 17 tax exemptions, and supporting the Bluegrass Station Military Affairs, Zach Morgan, Executive Assistant, to entice and maintain veterans in Kentucky. L Kentucky Commission on Military Affairs; John The final goal is to communicate strategically Licensing, Occupations, and Administrative Reg- Holiday, Executive Director, Kentucky Office of and gain advocacy by commission membership and ulations, 20 Homeland Security, Mike Sunseri, Deputy Executive support through military installations, state and federal Local Government, 29 Director, Kentucky Office of Homeland Security; agencies, defense industry, Chamber of Commerce, General Benjamin Adams, Commissioner, Kentucky and Association of Defense Communities. Teamwork M Department of Veterans Affairs, Dean Stoops, Deputy between the legislature, Kentucky Department of Medicaid Oversight and Advisory Committee, Commissioner, Kentucky Department of Veterans 32, 43, 51 Veterans and Military Affairs, and the Joint Executive Affairs; Lyle Hanna, Chairman, Kentucky Habitat Council of Veterans Organizations is also important. Mileage Based Transportation Funding Task for Humanity Board of Directors, Heath Duncan, Force, 17 In response to Representative DuPlessis’ question, Executive Director, Habitat for Humanity of Hopkins General Bullard explained that if acquired, the N Co, Greg Dike, Executive Director, Cave Run Area new C-130Js will be located in Louisville at the Air Natural Resources and Energy, 32 Habitat for Humanity. National Guard base. LRC Staff: Jessica Zeh, Jonathan Philpot, and P In response to Representative Dossett’s question, Elizabeth Hardy General Bullard explained there is someone in charge 2020 Prefiled Bills, 56 After the pledge of allegiance and roll call was Program Review and Investigations Committee, 44 of transitioning programs at Fort Campbell, and they Public Assistance Reform Task Force, 47 taken, Co-chair Robinson introduced the new Co- are advocating strongly for those programs. Public Pension Oversight Board, 35, 47 chair, Representative Thomas, before promptly Co-chair Robinson stated that he supports any Public Water and Wastewater System Infrastruc- handing the meeting over to Co-chair Thomas. military legislation that comes through committee ture Task Force, 34 Approval of October Minutes and added that some of legislation needs to be S Senator Westerfield moved to approve the October filed early so that it has a chance to go through the State Government, 13 minutes. The motion was seconded by Senator Wilson legislative process. T and the minutes were approved. Kentucky Office of Homeland Security Tobacco Settlement Agreement Fund Oversight Kentucky Commission on Military Affairs John Holiday, Executive Director of the Kentucky Committee, 42, 54 Executive Director of Kentucky Commission on Office of Homeland Security (KOHS) stated that Tourism, Small Business, and Information Tech- Military Affairs (KCMA), Brigadier General (R.) Steve Kentucky is safer than it was in 2015, but stressed that nology, 24 Bullard discussed KCMA’s goals. The first goal is to work will always need to be done for evolving threats Transportation, 16 protect and grow military installations and activities and problems. Since he was appointed as executive V and advocate for future missions including acquiring director, each employee has a specific and important Veterans, Military Affairs, and Public Protection, 9 C-130Js for the Kentucky Air National Guard. There role as well as job tasks that are vital to the KOHS is regular contact between KCMA and the Kentucky mission. Politics are no longer involved in the office Congressional Delegation. so over 99 percent of state counties received resources THE KENTUCKY GENERAL ASSEMBLY 9 from the KOHS, the other 1 percent did not apply for In response to Representative Schamore’ s The meeting adjourned at 2:57 PM. them. Accomplishments that have been made over question, General Adams clarified that it is the state the years include developing one of the best cyber who certifies a Service Disabled Veteran-Owned INTERIM JOINT COMMITTEE ON security working groups in the country. The School Small Business and said it is required to show Safe Initiative was also designed and enforced in the proof of twelve months’ worth of income which BANKING AND INSURANCE state. However, he explained that there is more that makes it harder for veterans to receive certification. Minutes of the 4th Meeting needs to be done to protect students. Deputy Commissioner Dean Stoops added that duel of the 2019 Interim November 20, 2019 Mike Sunseri, Deputy Executive Director of the certification on a federal and state level is required. KOHS and administrator of the 911 Services Board Representative Blanton commented that a law has Call to Order and Roll Call talked about what is best for the 911 system as a whole been passed recently regarding occupational licensing The 4th meeting of the Interim Joint Committee and why the system follows the law. For example, after leaving the military but suggested finding a way on Banking and Insurance was held on Wednesday, KRS requires all 911 Board’s administrative funds to to get the message to veterans. General Adams agreed November 20, 2019, at 10:00 AM, in Room 149 of the be audited twice a year. When KOHS took over in and said that he is going to work with KCMA to Capitol Annex. Representative Bart Rowland, Chair, 2017, it was discovered the board was 4 years behind achieve that. called the meeting to order, and the secretary called on audits. This was remedied by performing a 4 year In response to Senator Higdon’s question, General the roll. audit, which revealed that in 2015 more than $250,000 Adams said he believes there is more positive than Present were: had been wrongly diverted from a fund committed to negative comments about passing legislation to Members: Senator Jared Carpenter, Co-Chair; 911 call centers. The money was quickly replaced. designate the Honor and Remember flag as the state’s Representative Bart Rowland, Co-Chair; Senators He was also excited to report that the 911 Services emblem. Julie Raque Adams, Tom Buford, Rick Girdler, Board earned a $2.3 million Next Generation 911 Senator Parrett commented that he supports Christian McDaniel, Morgan McGarvey, Dennis federal grant. Next Generation 911 is an IP based funding of the Homeless Veterans Program and the Parrett, and Brandon Smith; Representatives Terri interoperable network that will allow people to call, Indigent Veteran Burial Program. Branham Clark, Joseph M. Fischer, Deanna Frazier, text, send pictures and video to the call centers versus Responding to Representative Rothenburger, Jim Gooch Jr., Kathy Hinkle, Adam Koenig, Stan Lee, the copper based technology counties currently have. General Adams explained that a nurse call center Michael Meredith, Sal Santoro, Wilson Stone, and Co-chair Robinson commented on what a great would allow nurses and other staff to talk within Ken Upchurch. job he think John Holiday has done and hopes that he the building as well as allowing staff to react to Guests: Patrick O’Connor, Deputy Commissioner will continue to be director for many years. emergencies more efficiently. of Policy, Kentucky Department of Insurance (KDOI); Representative Dossett offered his thanks to John Mark Treesh, Executive Director, Insurance Institute Holiday for his impact he has on local communities Co-chair Robinson thanked General Adams for of Kentucky (IIK); Lisa Pierce, Regional Counsel, including Christian county. his dedication to veterans including before he became Allstate Insurance, and IIK Board Chair; Lindsey In response to Senator Harris’ question, KOHS commissioner of the KDVA. McCutchan, Senior Director, State Government do not have a Sensitive Compartmented Information Kentucky Habitat for Humanity Inc. State Office Relations, Nationwide Insurance, and IIK Board Facility but instead have a Secure Working Executive Director of Habitat for Humanity of Member; Greg Mitchell, Insurance Industry Group Environment since confidentiality only goes as high Hopkins County, Heath Duncan, expressed there are Chair and Bill Repasky, Member, Frost Brown Todd; as secrets within the office. many veterans that still need affordable housing in and Adam Koehler, Co-Founder, CryptoProperties. Senator Higdon thanked Director Holiday for his the Commonwealth. He reported that in his district LRC Staff: Jessica Sharpe, Breanna Miller, and administration of grants. they have recently finished three veteran projects in Dawn Johnson. Kentucky Department of Veterans Affairs Hancock County, Madisonville, and Morton’s Gap Approval of Minutes General (R.) Ben Adams, Commissioner of the which provided disabled veterans with housing. A motion by Representative Santoro and second Kentucky Department of Veterans Affairs (KDVA), Soon, his sector will merge with Christian county by Representative Gooch to approve the minutes of spoke about budget requests. There is high turnover as well as moving into Webster County so there will the October 2, 2019, meeting carried by voice vote. of nursing staff, because the current salary is not be a 3-county affiliate and hope to reach out to more Kentucky Department of Insurance 2019 Year competitive. The department also wishes to hire 20 veterans. End Review additional field benefits representatives, because they Greg Dike, Executive Director of Cave Run Patrick O’Connor, Deputy Commissioner of could bring in at least 6,600 more veterans. Funding Area Habitat for Humanity, first mentioned that Policy, KDOI said the purpose of the agency is to veteran programs such as Homeless Veterans southeastern Kentucky is impoverished and rural in promote sound, competitive insurance markets, Program, Veterans Service Organizations Burial many areas, which contributes to many veterans who public protection through effective enforcement Honor Guard Program, and Indigent Veteran Burial are often neglected. Because of this, a new program and regulations, and public empowerment through Program are also necessary. Additionally, they would was started called The Appalachian Veterans Project. outreach and education. Most importantly, the KDOI also like to provide field representatives with vehicles This organization is managed by veterans and has regulates and attempts to maintain the financial and increase Veterans Center salaries. made a difference with being able to reach out to solvency of insurance companies so they can continue General Adams discussed KDVA’s legislative more people. to pay claims. Deputy Commissioner O’Connor said priorities. He believes that tax exemptions of military Lyle Hanna, Chairman of Kentucky Habitat for the insurance industry is an economic driver and source of employment for the state. Kentucky ranks retired pay and survivor benefits from state income Humanity Board of Directors, closed by saying they th tax will attract people from other states along with are always working with Federal Home Loan Bank, 27 in the country by insurance premium volume at exempting Veteran Service Organizations’ property the Home Depot Foundation, and other organizations approximately $29 billion. tax. Additionally, they want clarification on eligibility like that to further help the struggling veterans in Discussing highlights from the past year, Deputy for special military license plates and military license Kentucky. They will continue to try to bring in money Commissioner O’Connor said the agency has built on plates for spouses. The department wants to amend and attention to this issue. the opportunities provided by Chairman Rowland’s KRS 132.810 to broaden the homestead exemption National Guard Association of Kentucky: House Bill 386. KDOI has been involved in conferences to include widowed spouses of disabled veterans and Patrick Henry Award with a number of interested parties to discuss the KRS 40.317 which would remove the requirement Co-chair Robinson and Senator Embry were Innovation Application process established by that for the Kentucky Department of Veterans Affairs both rewarded with the Patrick Henry Award for the bill. Although no applications have been submitted to have no less than five Veteran Benefits Regional dedication to veterans in the commonwealth. yet, the bill has generated a tremendous amount of Administrators as well as amend the definition of discussion and provided the impetus for Kentuckians veteran-owned business. to take advantage of new products and opportunities. He explained the new health insurance options

10 2019 Interim LEGISLATIVE RECORD offered by Kentucky’s two marketplace insurers, reviews all insurance product filings, of which there some have a significant problem with “rogue towers.” noting that CareSource lowered rates while Anthem’s are a substantial number, and they are responsible Most often, fee transparency is a problem as well as rates increased slightly. There is renewed interest in for No Fault rejections submitted under Subtitle adjuster access to towed vehicles. He said Indiana has alternative risk management opportunities, which is 39 of KRS Chapter 304. Over 7,000 rejections were passed a bill similar to the model act that has been a probably due in large part to last year’s association processed in the last year. The IPRD also regulates success. health plan bill sponsored by Representative Adam the surplus lines market. The surplus lines regulation Mr. Treesh explained that in May 2018 the Bowling. Deputy Commissioner O’Connor also said process is now electronic to improve efficiency American Law Institute (ALI) approved its that telematics will be used into the foreseeable future for both reporting and payment. For the first two Restatement of the Law of Liability Insurance, which to provide new opportunities for consumers, which quarters of 2019, IPRD collected over $3 million in was controversial. The restatement was seen as bring up issues in terms of what data can be used to surplus lines taxes. The Division of Insurance Fraud deviating from settled insurance law in a majority of determine insurance rates. Division has 15 fraud investigators throughout the jurisdictions. A number of states have addressed this KDOI’s Division of Fraud held an event on state. In 2019, the division received 1,400 referrals and several others are considering action. NCOIL Insurance Fraud Day, November 12, which was highly resulting in 155 open cases, 75 felony convictions, and passed a model law, sponsored by Representative attended. over $300,000 in restitution. Over the last four years, Joe Fischer, in July 2019. Representative Fischer Deputy Commissioner O’Connor said he was the fraud investigation unit has been responsible for said he currently has a bill in progress that is based proud of the agency’s work on grants, especially almost $10 million in restitution—a record for the on the model law. Traditionally, the interpretation for preventative health care services. Preventative Division. of insurance contracts has been reserved to state services under the Affordable Care Act are provided Deputy Commissioner O’Connor outlined other legislators and judicial branches of government. without cost sharing and extend well beyond KDOI resources, including the agency’s work with Academic treatises, like restatements, have been given standard vaccinations and physicals. These services local government officials to notify insurers of the respectful due deference, but they have never been are underutilized; however, after careful review of Local Government Premium Tax (LGPT) rates, a traditionally allowed to be an actual restatement of preventative care providers, leftover grant money was substantial source of revenue for local governments. the law in any state. The ALI treatise does depart from repurposed to take preventative care to the next level. The agency has worked diligently with all local Kentucky law on a number of contract interpretation Insurers and medical providers, groups typically at governments through the LGPT Advisory Council to issues. Mr. Treesh said the IIK would like to go odds, met to address the issue. A grant extension has address issues as they arise. He said the Administrative on record as supporting Representative Fischer’s been requested to inform the public of the benefits Services and Legal Services Divisions are also valuable legislation and will advocate on its behalf. available and how they can improve their health resources, as well as the KDOI website. Another area of interest to the IIK is depreciation status. Chairman Rowland thanked Deputy of labor with actual cash value property claims, Deputy Commissioner O’Connor said the agency’s Commissioner O’Connor for being an invaluable which primarily involves homeowners insurance. The red tape initiative continues to reduce, repeal, and source of knowledge, information, and assistance to question, which was addressed in the federal court amend regulations. the committee. case of State Farm v. Hicks, is whether labor should Deputy Commissioner O’Connor provided a Insurance Institute of Kentucky 2020 Legislative be included in depreciation calculations. The court KDOI division update. The Agent Licensing Division Agenda interpreted 806 KAR 12:095, a Kentucky insurance has administered over 9,000 examinations through Mark Treesh, Executive Director of IIK; Lisa Pierce, regulation. Holding the regulation to be ambiguous, November 2019. There are over 400,000 insurer Regional Counsel, Allstate Insurance and IIK Board the court construed the regulation in favor of appointments and over 144,000 insurance agents Chair; and Lindsey McCutchan, Senior Director, policyholders, which meant that labor would not be licensed to do business in Kentucky. The division State Government Relations, Nationwide Insurance depreciated even though premiums had been based continues to administer examinations, handle and IIK Board Member introduced themselves. Mr. on that expectation. IIK is looking at what language license renewals, and review and approve continuing Treesh said the IIK is the state trade organization may be necessary to address the issue. The Kentucky education to ensure agents are informed of the latest for property and casualty and life insurers. The IIK Department of Insurance is watching a federal case products and continue to serve their clients. The is not involved with health insurance. They advocate in Ohio before taking action. This issue could be Consumer Protection Division (CPD), with 14 staff on behalf of IIK members and insurance consumers. addressed statutorily by allowing insurers to use members, received over 8,900 phone calls in the first Mr. Treesh said that any comments by Ms. Pierce and depreciation of labor to determine actual cash value 10 months of 2019. The majority of calls dealt with Mr. McCutchan will be on behalf of IIK. Mr. Treesh if it is stated in the policy. property and casualty insurance issues. Through said the legislative issues addressed are those that Mr. Treesh explained that due to the growing November 20, CPD received over 2,700 complaints. are ready for public presentation but others may be problem of distracted drivers and the impact on CPD has recovered almost $5 million for consumers brought forth during the legislative session. claims, IIK members support banning the use of and entities. The Market Conduct Division is the Two issues are National Council of Insurance hand-held cell phones and other devices. There are law enforcement of insurers. They perform detailed Legislators (NCOIL) model acts. NCOIL passed a currently two prefiled bills, BR 166, sponsored by exams of insurance companies’ claims processes to Model Towing Act, which came after a bill sponsored Representative James Tipton, and BR 212, sponsored ensure claims are being processed correctly. There by Senator Carpenter in 2015, to address some by Representative Regina Huff that address the issue. are 46 ongoing corrective action plans. The agency issues in the towing industry. The issues include: rate IIK supports the concept of legislation addressing the has recovered approximately $163,000 in civil variances if insurance is involved, lack of transparency, issue and is not advocating for any particular piece of penalties and approximately $37,000 in restitution restrictions on insurer access to vehicles, excessive legislation. to consumers. Examination costs can be expensive gate fees, and high storage fees. Key provisions of the Blockchain Technology in the Banking and due to the use of contract examiners, who are subject model act require tow truck operators to document Insurance Industries matter experts, but all costs are billed back to the vehicle damage prior to the vehicle being removed by Greg Mitchell, Insurance Industry Group Chair, company. The mission of the Financial Standards the tow truck, provide rate information to consumers Frost Brown Todd said the presentation would Division (FSD) is to maintain and ensure the financial before a vehicle is towed, require invoicing within 24 include a description of the high level concept of solvency of insurance companies. The FSD licenses hours of request from an insurance company, require blockchain technology, its application, and potential insurance companies and oversees their financial release of vehicles to the responsible insurance uses in the insurance and financial services industries. statuses. There are over 1,600 licensed insurers in company upon payment of all costs incurred against Adam Koehler, Co-Founder of CryptoProperties Kentucky and 52 captive insurers. Over the past the vehicle that is towed and stored, and require described blockchain technology as a ledger of year, FSD has received and approved 21 foreign and towing or storage companies to return calls within transactions. The most well-known application of three domestic company certificates of authority. 24 hours. Mr. McCutchan said towing issues vary by blockchain is Bitcoin; however, cryptocurrency and The Insurance Product Regulation Division (IPRD) state. Some states consider these fraud matters and blockchain are not the same thing. Blockchain is the

THE KENTUCKY GENERAL ASSEMBLY 11 underlying technology that has a lot of applications in under the Kentucky Money Transmitter Act, KRS Ch. Phillip Pratt, Wilson Stone, and Nancy Tate. many different industries. One benefit of blockchain 286.11, that excludes virtual currencies, noting that Guests: Beau Barnes, Deputy Executive Secretary is that it is decentralized. There is no central authority several states are moving in that direction. and General Counsel, Teachers’ Retirement System overseeing blockchain. Its members control the Mr. Koehler said he is in the business of start-ups (TRS); Andrew Powell, Henderson County Property blockchain and have full transparency of what is on and is involved in start-up communities. He spoke Valuation Administrator (PVA); and, Cindy it. This type of technology works best in applications on Cintrifuse and their start-up space. He noted the Martin, Boone County PVA and Chair, PVA Budget such as supply chain and logistics. Blockchain top technology in their strategic plan is blockchain Committee. is distributed ledger technology using advanced because they understand blockchain is a game LRC Staff: Chuck Truesdell, Emma Mills, Liz cryptography techniques to secure the blockchain changer and is the direction the start-up community Columbia, Nick Peak, and Spring Emerson. and ensure it is immutable. It creates a secure is headed. Focusing on blockchain and supply chain Approval of Minutes ledger of information and prevents unauthorized can be of tremendous value to the region. It develops Chair Mills called for a motion to approve the modification, addition, or removal of data. There a brand. Supply chain logistics employs everyone. He minutes of the October 1, 2019 meeting. Motion must be a consensus of a majority of members on a noted that certain areas of Kentucky are strategically was made by Representative Koenig, seconded by blockchain to update a blockchain ledger. It is only located and are within a day’s drive from 40 percent Representative Hart, and the minutes were approved updated; it cannot be changed. The advantages of of the United States population. Many companies without objection. this technology are data security and a clear audit want to bring jobs to the area promoting blockchain Retired Teachers’ Health Insurance trail. Blockchain technology removes the need for technology. Mr. Koehler said financial services is Mr. Barnes provided a brief overview of retired trust between third party organizations, allowing another key area to focus on. Ohio and Wyoming are teachers’ health insurance within the Teachers’ collaboration between competitors. There is an ability moving ahead in blockchain technology. Mr. Koehler Retirement System. to create a more secure, efficient, cost-effective, and said Kentucky should move forward and create a In response to questions from Representative consumer-friendly experience. brand for technology in Kentucky. Blockchain is on Miller regarding the cost of retired teachers’ health Mr. Mitchell discussed practical applications the cutting edge. insurance, Mr. Barnes said one reason for the increase within the insurance industry. He said insurance is Senator Smith said Kentucky is farther along in in the funding ratio from 36 percent to 46 percent was simply a contract. In using blockchain technology, blockchain than most people realize. The Natural due to proactive cost-controlling measures. There insurance companies and the distribution channel Resources Committee has been talking about are twenty-five years remaining on the amortization can design an insurance contract that can be blockchain technology and its use in energy and schedule for the unfunded liability of pensions, executed without “friction,” with the ability to trace security since this spring. Senator Smith said there which increased for the third consecutive year. The transactions. All parties to the contract will have is a bill being drafted, but it is on hold until after funded ratio from fiscal year 2018 to fiscal year 2019 the same information. It can be used in adjudicating today’s testimony. He suggested committee members went from 57.7 percent to 58.1 percent. The ten-year claims. Referring to previous testimony about may want to cosponsor the bill. It will create a task projection is looking better than previously expected. claims audits, Mr. Mitchell said blockchain will be force for Kentucky to become a leader in how we Mr. Barnes explained that the drop in the TRS budget cost-effective because it enables claims to be paid secure access for different utilities and different request from $79 million to $73 million in the first faster and reduces mistakes made during the claims investments, whether it is insurance or banking. He year, and from $86 million to $81 million in the process. Blockchain will allow one system of record said this technology is not new, it has existed since second year, is without the non-single subsidy, based for everyone involved and will allow everyone to have 1991, but it took Bitcoin to show how effective it is. It on the 2018 evaluation. access to the same information. brings clarity and a degree of security to the internet In response to questions from Representative Mr. Mitchell spoke about smart contracts through that has not been available until now. Senator Smith Meredith regarding the genetic testing, Mr. Barnes blockchain technology. Distributed ledgers will commended the presenters for their work. said there are many possibilities for various tests, enable simple contracts to automatically execute There being no further business, the meeting such as predispositions to addictions or breast when specified conditions are met and will enable full adjourned at 11:15 AM. cancer, even though this program only tests for drug transparency. A smart contract is a pre-programmed compatibility in patients. Mr. Barnes will provide contract containing rules and conditions of the INTERIM JOINT COMMITTEE contact information for the testing company to the agreement by all counterparties, which is then committee at a later date. translated into code. If an event within the contract ON APPROPRIATIONS AND In response to a question from Representative occurs, the code automatically executes. Once REVENUE Meredith, Mr. Barnes said investment adjustments are executed, the terms of the contract will automatically Budget Review Subcommittee on General made as necessary whenever the market fluctuates. transfer the value to the relevant parties, followed Government, In response to a question from Co-Chair Stewart by the settlement and the transfer of the value to Finance, Personnel, and Public Retirement regarding the differences in the TRS and the Kentucky counterparties, which is recorded on the blockchain. Minutes of the 4th Meeting Employees’ Retirement System (KERS), Mr. Barnes Bill Repasky, Member, Frost Brown Todd said that of the 2019 Interim said retired teachers pay a portion of their health now is the time to promote blockchain technology. Its November 19, 2019 insurance premiums, whereas KERS pays that on use in the industry will be transformative. Mr. Repasky Call to Order and Roll Call behalf of retired state employees. recommended forming a study group or task force to The fourth meeting of the Budget Review In response to a question from Representative provide data and information, and establish guidelines Subcommittee on General Government, Finance, Tate, Mr. Barnes said statute gives the TRS Board for this growing technology. He said many Kentucky Personnel, and Public Retirement of the Interim Joint the authority to make changes to the health benefit businesses are already involved in blockchain Committee on Appropriations and Revenue was held coverage provided to teacher retirees. technology. Logistics and insurance are prime on Tuesday, November 19, 2019, at 8:00 AM, in Room In response to a question from Chair Mills, Mr. examples. He recommended identifying businesses in 131 of the Capitol Annex. Senator Robby Mills, Chair, Barnes said from 2005 to 2010, a portion of the the state who use blockchain technology to determine called the meeting to order, and the secretary called pension contribution was reallocated to fund medical what can be done to encourage its growth in the state. the roll. insurance and had been repaid with interest. The Mr. Repasky suggested legislatively recognizing and Present were: Commonwealth issued a bond in the amount of $467 defining what blockchain technology and smart Members: Senator Robby Mills, Co-Chair; million in August 2010, with $2 million of that being contracts are as other states have done. He said Representative Jim Stewart III, Co-Chair; Senators used for the cost of the bond. Therefore, $465 million property interests should be protected for innovative Dennis Parrett and Phillip Wheeler; Representatives was used to repay the pension fund in full. companies who want to bring jobs to Kentucky. He Kevin D. Bratcher, Mark Hart, Adam Koenig, Michael Property Valuation Administrators (PVAs) also recommended adopting a definition of money Meredith, Suzanne Miles, Jerry T. Miller, Patti Minter, Mr. Powell and Ms. Martin provided an overview

12 2019 Interim LEGISLATIVE RECORD of budgetary issues of the PVAs. invited to speak to the committee. He will assume copy of the proposed bill with the secretary-elect and In response to questions from Representative office in January 2020. receive his input before it is filed for the 2020 session. Meredith, Mr. Powell said a statewide mapping Mr. Adams discussed his background and Mr. Adams agreed that providing for a free ID needs initiative has been discussed, is still in its infancy, and qualifications. He said that Secretary of State Allison to be included in the legislation in order to be judged cost estimates will be provided at a later date. Lundergan Grimes and her staff have been gracious constitutional if challenged in court. He said it is also In response to questions from Representative and helpful to him and his transition team. His the humane thing to do. Stone, Ms. Martin said there are 634 PVA employees transition team includes Democrats and progressives, Senator Thayer said he could support a across the state that are reallocated by formula and he welcomes their perspective. constitutional amendment to restore the voting rights based on parcels, which is determined by the PVA Mr. Adams stated that his conservative campaign of felons if it requires a reasonable crime-free waiting Association. platform had three main focuses—addressing period before rights are restored. It should also only In response to a question from Representative the turmoil within the office of Secretary of State, be available for certain types of crimes. Hart, Ms. Martin said the requested $16.2 million cleaning the voter rolls by removing the names of Representative Miller suggested that the ability would restore PVA funding back to 2009 levels. Mr. the deceased and nonresidents, and enacting a law to to vote early should be expanded to make voting Powell added that they are working toward being the require a photo ID for voting in Kentucky elections. easier for persons who have a conflict with their work most productive with the least amount of burden. The neighboring states of Indiana, Tennessee and schedule, such as first responders, medical personnel, In response to questions from Co-Chair Stewart Virginia, and some other states, require a photo ID. and airline pilots. Mr. Adams said he agrees with that regarding the gap in health insurance coverage due to His goal is to quietly do his job in a professional but does not support unlimited early voting. Some different swearing-in dates for different officials, Ms. manner, restore confidence in the office and the states that have unlimited early voting have found Martin said PVAs are sworn in on the first Monday elections process, and reassure all parties that he will that it has not met expectations. in December and their health insurance starts on be fair and cognizant of their concerns. He wants to Representative DuPlessis inquired about plans February 1, while county officials are sworn in on rebuild the relationship of his office with the State to purge the voter rolls, which is a priority for him. January 1. Board of Elections and to work with local officials, Mr. Adams said it is a matter of law, and he intends Chair Mills thanked all the PVAs that were in especially county clerks. He will demand integrity to do it. This function was last performed during attendance. There being no further business before from his staff and will assess whether structural the tenure of Secretary of State Trey Grayson. To the subcommittee, the meeting was adjourned at changes are needed. comply with the federal consent decree will probably 9:25AM. Mr. Adams said he wants to make it easy to vote. require negotiations with Judicial Watch, the U. S. A recent MIT study of all 50 states looked at the wait Department of Justice, and other involved parties. INTERIM JOINT COMMITTEE ON time at polling sites and found a significant rise in His goal is to clean the voter rolls prior to the 2020 waiting times for Kentucky voters between 2014 and primary elections but, more likely, this will not be STATE GOVERNMENT 2018. It also found that wait time is longer nationwide completed until the November general election. Minutes of the 5th Meeting for people in poor neighborhoods. He intends to Senator Alvarado said he has heard concerns of the 2019 Interim research whether that is a problem in Kentucky that about the potential for tampering in the new November 21, 2019 needs to be remedied. He fully supports restoration of electronic voting systems and the lack of an audit Call to Order and Roll Call voting rights to convicted felons who have paid their system for transfer of data. Mr. Adams said he has The fifth meeting of the Interim Joint Committee debt and believes this should be done by passage of been contacted by election officials and others who on State Government was held on Thursday, a constitutional amendment rather than executive are concerned that the systems lack an adequate chain November 21, 2019, at 10:00 AM, in Room 154 of order. Kentucky is under a court order to clean the of custody. This is an issue that he wants to assess the Capitol Annex. Representative Kevin D. Bratcher, voter rolls, and federal and state law require this to and which may require a fix, either administratively Chair, called the meeting to order, and the secretary be done on a regular basis. It is also his goal to have a or by statute. Senator Alvarado also spoke about the called the roll. photo ID requirement implemented in 2020. potential need for legislation to allow early voting for Present were: Representative Bratcher voiced approval for persons defined as essential medical personnel. Members: Senator Wil Schroder, Co-Chair; requiring photo ID. He said the right to vote is sacred, Senator Thayer said he wants to make voting easier Representatives Jerry T. Miller, Co-Chair, and Kevin and he hopes that the political parties and everyone but opposes unlimited early voting because it is ripe D. Bratcher, Co-Chair; Senators Ralph Alvarado, in Kentucky will be able to work together and have for fraud and unfair to campaigns that are designed Denise Harper Angel, Christian McDaniel, Morgan confidence in the government. to peak on election day. He asked Mr. Adams his McGarvey, Robby Mills, Albert Robinson, Damon Senator Thayer congratulated Mr. Adams on his opinion about expanding voting hours or having polls Thayer, and Johnny Ray Turner; Representatives Tina election and said he looks forward to working with open from 7:00 a.m. until 7:00 p.m. Mr. Adams said Bojanowski, Tom Burch, McKenzie Cantrell, Jeffery him. He asked about the timeline for cleaning the there is a crisis in recruitment of enough poll workers. Donohue, Jim DuPlessis, Larry Elkins, Joseph M. voter rolls and complying with the federal consent He supports expanding the hours but also would like Fischer, Kelly Flood, Joe Graviss, Richard Heath, Scott decree. Mr. Adams said Kentucky law prohibits to make it easier for poll workers, perhaps by dividing Lewis, Mary Lou Marzian, Reginald Meeks, Jason purging the voter rolls within 90 days of an election. the 14-hour shifts into two 7-hour shifts. He would Nemes, Jason Petrie, Attica Scott, Steve Sheldon, Ken He believes it is reasonable that the voter rolls can be also welcome feedback from legislators regarding Upchurch, and Les Yates. cleaned prior to the November 2020 general election, changing the law to facilitate voting by mail. He said Guests: Michael Adams, Secretary of State-Elect; but, if possible, he would like to have it done in time it would be easy to address the long wait times for John Steffen, Registry of Election Finance; Don for the 2020 primary elections. early voting in Jefferson County by amending the Blevins, Fayette County Clerk; Gabrielle Summe, Senator Thayer said he is happy that voter ID is statutes to allow early voting in the satellite county Kenton County Clerk; and Eric Lycan and Joanna a legislative priority of the secretary-elect. In states clerk offices in addition to the county clerk’s central Decker, LRC staff. where a voter ID law has been upheld, a key component office. He intends to offer other suggestions for the LRC Staff: Roberta Kiser, Alisha Miller, Michael with respect to constitutionality is the requirement General Assembly’s consideration to make the voting Callan, Daniel Carter, Kevin Devlin, Karen Powell, for government to cover the cost of the ID for those process easier. and Peggy Sciantarelli. who cannot afford it. He and Senator Mills have been Senator Thayer said that any plans to expand Approval of Minutes working on a voter ID bill that will include that cost voting hours should be done in conjunction with the The minutes of the October 3, 2019, meeting directive. They will also work with Senator McDaniel input of county clerks and that any changes to early were approved without objection, upon motion by to have funding included in the budget. The estimated or absentee voting should be viewed with caution. Representative Heath. cost is $250,000-$300,000 annually. Senator Thayer He asked Mr. Adams to review changes that have Welcome of Secretary of State-Elect said he and Senator Mills are prepared to share a been made to voting laws over the past few years to Michael Adams, Secretary of State-Elect, was THE KENTUCKY GENERAL ASSEMBLY 13 determine whether they are working and whether it after the first of next year. Her concern is whether Legislation Relating to Election Contest Boards they are susceptible to fraud or cheating. Mr. Adams all the data would have to be retyped. Mr. Steffen LRC staff guest speakers were Eric Lycan, General replied that vote fraud is real and needs to be taken said that electronic filing will be allowed only on the Counsel for House Majority Leadership, and Joanna seriously. new system. Candidates will be able to use the same Decker, General Counsel and Senior Policy Adviser Representative Bratcher thanked Mr. Adams for vendor and may export data into the Registry’s system for the House Democratic Caucus. Ms. Decker his attendance and issued him an open invitation if they choose to do so, but it may be a two-step testified on behalf of Representative Rocky Adkins, to address the committee regarding his concerns or process. Senator Harper Angel said she has always House Minority Floor Leader. legislative proposals. filed electronically and is glad to hear that the data Ms. Decker said that Representative Adkins would Registry of Election Finance – Update and can be exported. like to express his strong support for the General Legislative Agenda Responding to Representative Flood, Mr. Steffen Assembly to pass legislation to address issues relating Guest speaker was John Steffen, Executive Director said that electronic filing involves no fees. The KERF to close elections. He believes the draft legislation has of the Registry of Election Finance. Mr. Steffen said 001 form filed with the secretary of state will have to potential to resolve problems relating to provisions the Registry is continuing to implement the changes be on paper, but he advised committee members to in current law that provide for a recanvass but not a enacted in Senate Bill 4 (2019 RS). They do not have register in the new system now in order to address recount in certain elections. a legislative proposal for the 2020 regular session but any potential problems that might occur. Mr. Lycan, who spoke on behalf of Speaker might have some “cleanup” legislative proposals in There were no further questions, andOsborne, said that the bill is bipartisan. It is 2021, which is not an election year. Representative Bratcher thanked Mr. Steffen for his sponsored both by House Speaker David Osborne Mr. Steffen said that Senate Bill 4 requires testimony. and House Minority Leader Adkins to try to remedy mandatory electronic filing of campaign finance KY County Clerk’s Association – Update and problems that became apparent after a 2018 House reports, and development of the electronic filing Legislative Agenda for 2020 district election. It does so primarily by separating the system is a work in progress. Shortly before the Guest speakers were Don Blevins, Jr., Fayette mechanisms for a regular recount from an election November election, part of the system became live County Clerk, and Gabrielle Summe, Kenton County contest that may allege irregularities or voter fraud. to enable candidates for the 2020 primary election to Clerk and immediate past president of the Kentucky It provides for an automatic recount if an election is file a KREF 001 form. Legislators file this form with County Clerk’s Association (KCCA). Mr. Blevins is within half a percentage point or less. The automatic the secretary of state, and other candidates file it with also co-chair of the KCCA elections committee. He recount removes discretion and politics from the county clerks. Creating an account in the new system said the committee has created a list of practical and process. The recount is done at the county level by is fairly painless, and Registry staff will gladly lend noncontroversial ideas for legislative proposals and election professionals and would be paid for by the assistance. The process works, and approximately has been working with Representative Bratcher to state rather than by the candidates. The current system 50 accounts have been created thus far. Electronic sponsor a bill for the 2020 regular session. favors the wealthy candidate who can afford to pay filing will be required for the first time in the primary Mr. Blevins said that recruiting and retaining for a recount. The bill provides for election security election cycle. election officers has become problematic for county and a chain of custody for the ballots and the voting Mr. Steffen said the annual report filing deadline clerks. KCCA is suggesting minor changes that machines, which is not addressed in current election is approaching soon. The report will still be filed on should improve the ability to recruit poll workers. contest statutes. The bill will help restore confidence paper but must be filed electronically in 2020. The first Currently, if someone changes party affiliation, they in the integrity of elections. electronic filing requirement for anyone is the 30-day must sit out a full year in order to serve as an election Representative Bratcher said it alarms him that pre-primary election filing, which will be due in April. officer. KCCA proposes that someone may serve as an an election might have to be decided by the General That part of the system should be operable after the election officer if the change in party occurs before Assembly. It is his understanding that the proposed first of the year, and it can be used as a tool for storing December 31 of the prior year. Currently, precincts legislation will provide a process that should prevent an individual’s campaign finance records. The phone are required to have two election officers from each that from happening. Mr. Lycan said the bill provides app is not available yet, but the electronic filing system of the two major political parties. KCCA proposes that an appeal of a recount would be directed to the can be accessed through the Registry’s website. The allowing registered independents to also serve, but House or Senate chamber, but, in practicality, very process is expected to be smoother by mobile phone still require that the two crucial judge positions few contests would be filed for a recount after an than via computer desktop. He concluded his update include both a democrat and a republican. automatic recount has taken place. Election problems by stating that the Registry appreciates the significant Mr. Blevins said that most counties have separate related to other than ballot counting would still be improvements and changes that have been made to voting equipment and officers for each individual referred to the chamber. campaign finance laws in recent legislative sessions. precinct. In voting locations that serve more than Representative Graviss asked whether a statute Representative Bratcher asked whether there is one precinct, it would make sense and save a lot of or regulation will provide for transparency in the a contingency plan to address problems that might money to consolidate by using fewer sets of machines process—who pays the cost of a recount, where occur with the new system. Mr. Steffen said there and requiring fewer sets of officers. This can be done the money comes from, and the amount allowed were a few minor glitches when the system initially legally now, but KCCA would like to have enabling from different sources. Mr. Lycan said there would went live, but after multiple tests and retests, he is legislation to specifically authorize it in statute. be transparency, and he believes existing statutes confident the system will be ready and operable Fayette County recently purchased new machines, in would address those issues. The bill specifically according to schedule. He is pleased with Kentucky preparation for implementing paper ballots next year. allows political parties, political groups, or political Interactive’s work on the system, their resources, and By consolidating machine use, Fayette County was organizations, as defined in statute, to post a bond their response time when needed. able to purchase fewer machines and saved more than and pay for recounts, but it must be reported. The Representative Burch said he and his campaign $1 million. automatic recount would be paid for by the state, treasurer have tried but been unable to access the Mr. Blevins said that KCCA has other proposals and an optional recount would be paid for by the system. Mr. Steffen said he will be glad to work relating to absentee voting, duplication of paperwork candidate. with Representative Burch and that assistance for in candidate filing, and other minor changes. A bill Responding to questions from Representative candidates is available at the Registry office. He should be available for review in the near future. Burch, Mr. Lycan discussed the process outlined in the explained that registration is a two-step process and Senator McDaniel said he looks forward to proposed legislation. Ms. Decker stated that Section that candidates should have their treasurer available working with Mr. Blevins, Ms. Summe, and KCCA, 153 of the Kentucky Constitution gives the General at the time they register. and he expressed appreciation for their work and Assembly power to decide a contested election and Representative Bojanowski asked whether their bipartisan commitment to fairness in elections. that, in the event of a lawsuit, the courts would likely someone who currently uses a system that is capable There was no further discussion, and Representative pay close attention to Section 153. of filing electronically will be able to continue using Bratcher thanked the speakers. Responding to Representative Miller, Mr. Lycan

14 2019 Interim LEGISLATIVE RECORD confirmed that the proposed legislation does not Representative DuPlessis suggested that the proposed states, like Kentucky, have two and four-year terms, apply to primary elections. bill could allow candidates to solicit additional funds but he would be interested to have information about Representative Petrie said that the question is from donors who had given the maximum allowed, the length of terms in other states. Representative when, not whether, there might be another contested Mr. Lycan said that would be a good solution. It Heath said that is a good question and that he also election. He expressed appreciation for the bill and has been done for recanvasses and recounts at the would like to have that information. He said it varies for efforts to establish a bipartisan process to address federal level, even without statutory change, but, from state to state and that in Georgia both the House future close elections. in his opinion, would require a statutory change in and Senate have only two-year terms. Representative Nemes clarified that in the District Kentucky. Representative DuPlessis said he believes the bill 13 House election, Representative D. J. Johnson, in Senator Thayer said he wants assurance that the has merit and that he will support it. order to avoid a lawsuit, decided not to proceed with bill would not cede power from the legislature to the Representative Bratcher announced that the the election contest after the recount produced a tie courts to decide an election contest. Mr. Lycan said it committee would meet again on Monday, December vote. Regarding the legislation under discussion, he absolutely would not; any appeal on a recount would 16, at approximately 3:00 p.m., upon adjournment of said he is concerned about requiring a recount to be go to the legislative chamber in an election contest the meeting of the Public Pension Oversight Board. automatic and suggested that it should be discretionary and not the courts. In his opinion, the courts do not Business concluded, and the meeting was adjourned instead. He questioned whether an automatic recount have the power to intervene. at 11:45 A.M. would be in the best interest of the state, considering Discussion concluded. Representative Bratcher the length of time it would require. He said that if a thanked the speakers. INTERIM JOINT COMMITTEE ON recount had been requested in the recent governor’s Proposed Constitutional Amendment Relating race, the vote might not yet be final. Mr. Lycan said to Terms of Office of Members of the General APPROPRIATIONS AND REVENUE that Representative Nemes’ concern is understandable Assembly. Budget Review Subcommittee on but that in close races the voters deserve assurance Representative Heath discussed his draft Transportation that their vote has counted. Under the proposed bill, legislation proposing to amend Sections 30 and 31 Minutes of the 6th Meeting he believes the recount in the governor’s race would of the Constitution of Kentucky relating to terms of of the 2019 Interim November 19, 2019 have been timely completed. If that is not the case, he members of the Kentucky House of Representatives. acknowledged that Representative Nemes has made It has not been prefiled, and he provided copies to the Call to Order and Roll Call an excellent point that needs to be addressed. He said committee. It would provide that members could be The sixth meeting of the Budget Review that the time concern would probably only apply to elected to four-year terms instead of two-year terms. Subcommittee on Transportation of the Interim Joint the office of governor because he/she assumes office If enacted, the question would appear on the ballot Committee on Appropriations and Revenue was soon after an election. He noted that House Bill 522 for the 2020 general election. If the constitutional held on Tuesday, November 19, 2019, at 10:00 AM, (debated but not passed in the 2019 RS) originally amendment were to be approved, at the general in Room 131 of the Capitol Annex. Senator Jimmy allowed the losing candidate to waive the right to an election in November 2022, and every four years Higdon, Chair, called the meeting to order, and the automatic recount. The House committee removed thereafter, candidates in even-numbered House secretary called the roll. that provision because of concern about assuring a districts would be elected to four-year terms. At the Present were: correct vote count. Representative Nemes said that if general election in November 2024, and every four Members: Senator Jimmy Higdon, Co-Chair; the proposed legislation was the law today, he is not years thereafter, candidates in odd-numbered House Representative Sal Santoro, Co-Chair; Senator Dennis sure that Governor-elect Beshear would be sworn districts would be elected to four-year terms. Parrett; Representatives Chris Fugate, Thomas Huff, in on December 10. He suggested eliminating the Representative Heath said he prefers that the Phillip Pratt, Bart Rowland, John Sims Jr, and Ken requirement for a recanvass if the legislation is going legislation be considered as a stand-alone bill, Upchurch. to require an automatic recount in a governors’ race. with no amendments. The ballot language has not Guests: Gary Valentine, Executive Advisor That would provide additional time to complete the been determined. He is proposing the bill for three for Project Development, Office of State Highway recount. He also said he is not sure he will be able to reasons—to address voter confusion, voter fatigue, Engineer, KYTC; Paul Mooney, Deputy Secretary, support the bill. and legislators’ use of their time. All city, county, and KYTC; and, Matt Henderson, Commissioner, Responding to questions from Representative statewide elections are for four-year terms, whereas Department of Vehicle Regulation, KYTC. Fischer, Mr. Lycan said that HB 522 also applied House members only have two-year terms. To be LRC Staff: Justin Perry, Jenny Bannister, and to gubernatorial elections. Under current law an re-elected, they must constantly raise campaign Spring Emerson. election for governor can be contested, but there is no money, revisiting the same donors. As citizen Design/Build Process provision for a recount. A .5% vote margin is probably legislators, most House members have jobs and Mr. Valentine provided a brief overview of the the most common standard nationwide for requiring business responsibilities at home, in addition to their Design/Build Process within the Office of State an automatic recount. The proposed draft legislation legislative responsibilities, and a significant amount Highway Engineer. would allow a candidate to bypass a recount when of their time is needed for campaigning. He also said In response to a question from Chair Higdon, Mr. contesting an election. The cost of the recount in he has consulted with Senator Stephen Meredith, Valentine said right-of-way easements can be dealt the District 13 election contest was approximately who proposed legislation in the past to change Senate with while using the Design/Build Process, but it can $10,000. Mr. Lycan agreed when Representative terms from four to six years. create more risk. Fischer suggested that the cost of a statewide recount Representative Donohue said he believes House In response to a question from Chair Higdon in all House districts might be as much as $1 million members should have four-year terms but be limited regarding cost reduction, Mr. Valentine said costs (100 districts x $10,000). to two successive terms; likewise, Senate terms should this year have been more than initial field estimates Representative DuPlessis said a candidate be for six years and limited to two successive terms. indicated, due to labor market issues and demands on contesting a close election would likely have received After serving two terms, House and Senate members materials, especially in northern Kentucky. substantial campaign donations from supporters, and should be allowed to run for election in the other Co-Chair Santoro commented that the Design/ he does not think the cost should be shifted to the chamber. Representative Heath said he has heard that Build Process is great and will work well. He thanked taxpayers. Mr. Lycan pointed out that candidates have proposal from others, but he is not a proponent of the KYTC for a great job. the right to put an unlimited amount of their own term limits. He said that 60 new members joined the funds into their campaign account. He also referred House during the last two years, and he is concerned Approval of Minutes to a 2015 Republican gubernatorial primary when a about the lack of institutional knowledge in the House Chair Higdon called for a motion to approve the candidate lost by an 83 vote margin and had already when terms last for only two years. minutes of the September 10, 2019 and October 1, received the legal maximum in donations. When Senator Schroder said he thinks the majority of 2019 meetings. Motion was made by Representative Fugate, seconded by Co-Chair Santoro, and the THE KENTUCKY GENERAL ASSEMBLY 15 minutes were approved without objection. Fugazzi, and Christina Williams Commissioner Henderson stated that is still being Update on Real ID Rollout REAL ID discussed. Commissioner Henderson believes Commissioner Henderson provided a brief update Matt Henderson, Commissioner, Department of the new incoming administration will make that of the ConfIDent Real ID program. Vehicle Regulation, Kentucky Transportation Cabinet determination. Senator Meredith encouraged the Chair Higdon commented that a plan should be in (KYTC) updated the Committee on the Cabinet’s new statewide approach rather than the regionalization place to educate the citizens on the different types of approach to issuing REAL ID-compliant licenses and approach. credentials and which type is needed. ID cards, which will eliminate involvement of the In response to a question asked by Representative In response to a question from Representative Circuit Clerks and issue these documents through Chris Harris concerning the cost to open regional Upchurch regarding online renewals on smart regional Cabinet offices. The KYTC opened a regional facilities and the ongoing cost to keep them open, devices, Mr. Henderson said there are Mobile ID pilot office concept location at their main office for Franklin Commissioner Henderson stated that KYTC has programs being used in Georgia and Kansas. County residents in September, 2019. He added that made a preliminary estimate. He stated that if a In response to a question from Co-Chair Santoro, there was expanded REAL ID access to Anderson planned system of 28 fully staffed facilities is realized, Mr. Henderson said the response team would work County residents on October 8, 2019, and there is there would be an approximate annual cost of $16 extended hours when it becomes necessary. expected expansion to Scott County residents which million. He added that currently the cost of the In response to questions from Chair Higdon, Mr. will eventually expand to surrounding counties. REAL ID license helps fund such costs. He added the Henderson said a temporary 30-day ID is issued Commissioner Henderson stated that as of entire project could be funded through the revenue and can be used until the permanent credential is November 1, more than 3,500 Kentuckians have generated by the issuance of the REAL ID credential. received after approximately ten days. The public is applied for REAL ID compliant credentials. The In response to a question asked by Representative being educated on what documents are needed when Cabinet has worked with its 3rd party vendor, Maria Sorolis, Commissioner Henderson stated applying for the Real ID. IDEMIA Security Company to fix previous issuance he could not provide an estimate of the maximum In response to a question from Representative speed issues. Currently transaction times average distance that citizens will have to travel to obtain Huff, Mr. Henderson said citizens can apply for the eight to 10 minutes. Mr. Henderson stated the list REAL IDs from regional centers. One region has Real ID in any of the regional offices, but legislative of acceptable documentation has expanded for been tracked, and he believes it will be a little over an remedies will be necessary, since law currently states Kentuckians applying for a first time REAL ID hour to arrive at a regional issuance center. The long that IDs must be acquired in the county of residence. compliant credential. term goal is to have more regional centers. He also In response to a question from Representative In moving forward, KYTC has staffed regional stated 2017 HB 410 (the original enabling legislation) Rowland, Mr. Henderson said the Real ID will be offices to ensure citizens across the state have the moved license reissuance from four years to eight required for travelers age 18 or older, even if they were opportunity to obtain a REAL ID compliant credential years. Commissioner Henderson stated other states TSA pre-checked. before the October 2020 federal enforcement date. have options where the credential can be renewed Adjournment To accelerate the process and minimize expenses, online, which is something Kentucky may consider. Chair Higdon thanked subcommittee staff for the Cabinet focused on identifying existing state Senator Jimmy Higdon reiterated education their hard work during the 2019 Interim. There being buildings rather than pursuing new construction. is needed for citizens to understand that a REAL no further business before the subcommittee, the Also, using KYTC field offices that were already ID is not necessary unless air travel is possible, or meeting was adjourned at 10:56 AM. staffed was prioritized. Other considerations included visitation to a federal location or military location drive times, capacity, parking, and accessibility. that identification is required to enter. INTERIM JOINT COMMITTEE ON A map was provided to the Committee of the In response to a question asked by Chairman Kentucky Transportation Cabinet Highway Districts Ernie Harris concerning the expanded acceptable TRANSPORTATION to showcase district locations of citizens being able proof credentials, Commissioner Henderson did Minutes of the 5th Meeting to obtain their REAL ID compliant licenses. Those reiterate that there are federally mandated options of the 2019 Interim cities include Paducah, Madisonville, Bowling Green, for proof of identity; however more forms of address November 18, 2019 Elizabethtown, Louisville, Covington, Lexington, identification are acceptable. Call to Order and Roll Call Somerset, Flemingsburg, Jackson, Manchester, and In response to a question asked by Chairman The 5th meeting of the Interim Joint Committee on Pikeville. Commissioner Henderson stated that Harris, Commissioner Henderson stated a temporary Transportation was held on Monday, November 18, hired and trained staff are being utilized to serve at REAL ID credential will be given to you at the time 2019, at 3:00 PM, in Room 149 of the Capitol Annex. these regional locations. The necessity remains for the credential is applied for. That temporary ID will be Senator Ernie Harris, Chair, called the meeting to legislative action to formalize the issuance transition valid for 30 days and will then trigger production of a order, and the secretary called the roll. Minutes of from Circuit Court Clerks to KYTC. card from the manufacturing location. The REAL ID the Committee’s September 30, 2019 meeting were In response to a question asked by Senator C.B. card should be received in the mail within 10 days of approved. Embry concerning the expansion of identification the initial office visit. He also reiterated for commercial Present were: needed to obtain a REAL ID, Commissioner flight use, TSA has stated that a temporary card with Members: Senator Ernie Harris, Co-Chair; Henderson stated the easiest way to obtain the list of your original non-compliant license stapled to it will Representative Ken Upchurch, Co-Chair; Senators acceptable identification is to visit www.drive.ky.gov. be acceptable until your REAL ID card is received. Ralph Alvarado, Perry B. Clark, C.B. Embry Jr., Senator Stephen Meredith stated his concern and With no other business to come before the Jimmy Higdon, Paul Hornback, Stephen Meredith, surprise that only 27% nationwide have complied Committee, Chairman Harris adjourned the Gerald A. Neal, Albert Robinson, Brandon Smith, with REAL ID considering the deadline is fast Committee at 3:35 P.M. Johnny Ray Turner, and Mike Wilson; Representatives approaching. In response to Senator Meredith, Terri Branham Clark, Randy Bridges, Chris Fugate, Commissioner Henderson stated that other states Al Gentry, Robert Goforth, David Hale, Chris have had the same or similar issues that Kentucky has Harris, Kathy Hinkle, Thomas Huff, Derek Lewis, with getting REAL ID implemented and to have their Savannah Maddox, Bobby McCool, Russ A. Meyer, citizens compliant. The REAL ID law was passed 15 Charles Miller, Sal Santoro, Maria Sorolis, Cherlynn years ago, and there have been extensive issues being Stevenson, Jim Stewart III, Ashley Tackett Laferty, able to implement it nationwide. and Walker Thomas. In response to a second question by Senator Guests: Matt Henderson, Commissioner, Meredith concerning if a Kentucky resident must Department of Vehicle Regulation, Kentucky apply for a REAL ID in their designated region, or Transportation Cabinet (KYTC) if they are able to obtain it anywhere in the state, LRC Staff: John Snyder, Brandon White, Dana

16 2019 Interim LEGISLATIVE RECORD MILEAGE BASED Assembly explore an electric vehicle fee at the time of Deputy Executive Director, Nathan Goldman, registration, and upon annual renewal to ensure that General Counsel, Kentucky Board of Nursing; TRANSPORTATION FUNDING operators of these vehicles pay for use of roadways. Morgan Ransdell, Staff Attorney Supervisor, Ann TASK FORCE A motion was made by Co-Chair Ken Upchurch Tino, Nursing Investigator/Supervisor, Sue Thomas- Minutes of the 4th Meeting to adopt the draft memorandum of findings and the Cox, Nurse Service Administrator, April Thomas, of the 2019 Interim recommendation of the final report of the Task Force. Health Program Administrator, Kentucky Board of November 18, 2019 Representative Sal Santoro seconded the motion, Nursing; and Jeff Wafford, Public Affairs Manager, Call to Order and Roll Call which was adopted by voice vote with no objection. United Parcel Service. The 4th meeting of the Mileage Based With no further business to come before the Task LRC Staff: DeeAnn Wenk, CSA, Ben Payne, Chris Transportation Funding Task Force was held on Force, Chairman Higdon adjourned the meeting at Joffrion, Dana Simmons, Becky Lancaster, and Sean Monday, November 18, 2019, at 1:30 PM, in Room 1:40 P.M. Meloney. 149 of the Capitol Annex. Senator Jimmy Higdon, Approval of the Minutes Chair, called the meeting to order, and the secretary INTERIM JOINT COMMITTEE ON A motion to approve the minutes of the September called the roll. The minutes from the Committee’s 30, 2019 meeting was made by Senator Buford, September 30, 2019 meeting were approved. HEALTH, WELFARE, AND FAMILY seconded by Senator Alvarado, and approved by voice Present were: SERVICES vote. Members: Senator Jimmy Higdon, Co-Chair; Minutes of the 7th Meeting Biologistics in Kentucky Representative Ken Upchurch, Co-Chair; Senator of the 2019 Interim Kyle Keeney, President, Chief Executive Albert Robinson; Representatives Terri Branham November 18, 2019 Officer, Kentucky Life Science Council, Clark and Sal Santoro; Jim Oliver, and Jason Siwula. Call to Order and Roll Call stated that America’s biopharmaceutical Guests: The 7th meeting of the Interim Joint Committee companies are creating innovative new LRC Staff: John Snyder, Brandon White, Dana on Health, Welfare, and Family Services was held on treatments to combat the diseases that impact Fugazzi, and Christina Williams Monday, November 18, 2019, at 1:00 PM, in Room many Kentucky families. There are more than 250 Informational Item 154 of the Capitol Annex. Representative Kimberly biotechnology health care products and vaccines John Snyder, Transportation, Committee Staff Poore Moser, Chair, called the meeting to order, and available to patients, many for previously untreatable Administrator, Legislative Research Commission, the secretary called the roll. diseases. Biopharmaceutical companies are working summarized a memorandum from the LRC Present were: with the Kentucky healthcare system to find cures Economist’s Office in response to questions from a Members: Senator Ralph Alvarado, Co-Chair; for the hardest to treat conditions. There are 886 Task Force member regarding the extent inflation Representative Kimberly Poore Moser, Co-Chair; clinical trials with over 15,000 participants and has affected transportation funding, and the impact Senators Julie Raque Adams, Tom Buford, Danny approximately $113 million invested. In Kentucky of fuel efficiency on taxable gallons sold and fuel tax Carroll, Julian M. Carroll, Denise Harper Angel, the biopharmaceutical economic impact consists of receipts. Alice Forgy Kerr, Stephen Meredith, and Max Wise; approximately 14,030 jobs at 1,212 companies with The memo stated that while the National Highway Representatives Danny Bentley, Tina Bojanowski, an average salary of $72,151. Kentucky receives $188 Cost Construction Index increased 94.7% from 2003 Adam Bowling, George Brown Jr, Tom Burch, Deanna million a year in National Institutes of Health (NIH) to 2019, Kentucky’s Road Fund receipts increased by Frazier, Robert Goforth, Joni L. Jenkins, Scott Lewis, funding and $169 million in venture funding that only 39.4%. In order for the 2019 Road Fund to have Mary Lou Marzian, Melinda Gibbons Prunty, Josie results in $4.9 billion in economic output. Kentucky the same purchasing power as in 2003, it would need Raymond, Steve Riley, Steve Sheldon, Nancy Tate, is the hub for packaging and distributing medications to have an additional $620 million. As for the effect Russell Webber, and Lisa Willner. to patients across America and the globe. Without the of fuel efficiency, if the fuel efficiency of all motor Guests: Kyle Keeney, President, Chief Executive biologistics ecosystem in Kentucky, patients would vehicles was the same in 2019 as in 1996, Kentucky Officer, Kentucky Life Science Council; Warren not receive their medications when and where they fuel tax receipts would be $54.9 million higher (7.1%), Olson, Director, Supply Chain Solutions Louisville need them. There are 7,475 jobs in Kentucky that based on the current 24.6 CPG rate. Campus, United Parcel Service; Adam W. are related to bioscience distribution. There are 720 Review and Approval of Draft Memo of Task Bibelhauser, PMP, Director, Louisville Distribution physical locations that are involved in bioscience Force Findings Center Amgen; Kate Shanks, Vice President, Public distribution. Chairman Higdon directed the members to Affairs, Kentucky Chamber of Commerce; Van The largest bioscience related distribution the draft memo summarizing the Task Force’s Ingram, Executive Director, Office of Drug Control employer in Kentucky is United Parcel Service (UPS). findings and recommendations. He stated that he Policy, Justice and Public Safety Cabinet; Michael Warren Olson, Director, Supply Chain Solutions does not believe Kentucky is headed towards a true Rodman, Executive Director, Kentucky Board of Louisville Campus, United Parcel Service, stated mileage based system. As evident in Oregon and Medical Licensure; Leanne Diakov, General Counsel, that UPS has a large campus in Louisville with over Utah, a mileage based system requires a third party Kentucky Board of Medical Licensure; Dr. Doug 1.7 million square feet of healthcare-compliant administrator. Chairman Higdon observed that Oyler, PharmD, Director, Office of Opioid Safety, warehouse space, including temperature and with expenses over 40% of revenue in other states, University of Kentucky HealthCare; Kim Gaedeke, humidity controlled options. In Louisville, UPS has the third party administrator seems to be benefiting Chief Deputy Director, Michigan Department of approximately 1,000 employees trained in healthcare the most from the mileage based system, therefore Licensing and Regulatory Affairs; Marcella Wright, logistics. In 2020, UPS is opening a new 450,000 the findings suggest a mileage based system would Deputy Executive Director, Office of Application square foot building that will create more than 200 not be beneficial to Kentucky. He added there is no Technology Services, Office of the Secretary, Cabinet new jobs. UPS distributes pharmaceuticals, vaccines, need for Kentucky to be on the forefront of a mileage for Health and Family Services; Steve Davis, Inspector medical devices, biopharma, medical equipment, and based transportation funding system. Creating a road General, Kim Lee, Pharmacist Consultant, Office animal health products. UPS is less than three miles usage charge system (RUC) is beyond the current of the Inspector General, Cabinet for Health and from Worldport, UPS’s automated, international capability of Kentucky. Chairman Higdon also added Family Services; Dr. Dan Danhauer, Chief Medical all-points air hub. Louisville has strong interstate the use of GPS tracking to enable this system to work Information Officer, Owensboro Health; Ron Hatfield; road access, with two-thirds of the United States is not looked upon favorably. Therefore, it is not the Jim Acquisto, Senior Vice President, Public Affairs, population within a one day drive. UPS has over Task Force’s recommendation that Kentucky follow Appriss; Jan Bright, Nurse Service Administrator, 75,000 square feet of coolers and 10,000 square feet of a mileage based transportation funding system Henrietta Bada, MD, MPH, Contractor Supervisor, freezers that are used for storage. UPS has expertise in currently. Chairman Higdon identified the one Assistant Director, Department for Public Health; people, processes, and technology with focus on the recommendation in the draft memo, that the General Jessica Estes, Executive Director, Pamela Hagan, needs of healthcare manufacturers.

THE KENTUCKY GENERAL ASSEMBLY 17 Mr. Olson stated that UPS has donated $4 million shipments. has five fulltime investigators with each covering a each year to Louisville area charities. UPS has 21,000 In response to questions and comments from separate area of the state. The KBML investigators employees in Kentucky and has invested $2.4 billion Representative Brown, Mr. Olson stated that UPS meet with state and local law enforcement agencies local capital project over the last two decades. UPS has operations all across the state. UPS is centralized to coordinate and discuss how to handle cases. Mr. employees, families and friends have donated 18.7 in Louisville due to the proximity to the airport and Rodman explained the various steps that are involved million volunteer hours to various charities. UPS is world port facility. UPS has large sortation facilities with a KBML investigation. Since 2012, the KBML environmentally responsibility having invested $1 and large freight facilities throughout the state. Mr. board has initiated 412 investigations involving billion in alternative fuel and an advanced technology Keeney stated that largest National Institutes of allegations of inappropriate prescribing. The fleet. UPS has planted more than 12.5 million trees Health (NIH) recipient of federal money for research numbers of prescriptions and the number of KBML with a goal of planting 15 million by 2020. grants regarding the biopharmaceutical in the state is investigations have gone down. Adam W. Bibelhauser, PMP, Director, Louisville the University of Kentucky. Ms. Diakov stated that in regards to the Distribution Center Amgen, stated that the Amgen Diversion and Prescribing of Controlled investigations and actions involving prescribing Louisville Distribution Center (LDC) has been Substances controlled substances, the disciplinary options operating since 1992 and has a total square footage of Van Ingram, Executive Director, Office of Drug available range from an admonishment to revocation 125,000 and 12 acres of available land. Over the past Control Policy, Justice and Public Safety Cabinet, of license. Typically the KBML board prefers to take four years Amgen has invested $25 million to achieve stated that from 2017 to 2018 Kentucky had a 15 a remedial action rather than a punitive action. The business priorities including a secondary packaging percent reduction in drug overdose deaths. From remedial action could be on online course or an and a tornado shelter. The majority of Amgen’s 2015 to 2018, there were 800,000 fewer prescriptions additional continuing medical education (CME) products are manufactured in Puerto Rico and come for opioids. There are 1,240 waivered physicians in class. If there is a question of clinical judgement or to the LDC for commercial and sample distribution. Kentucky that can prescribe buprenorphine but most reasoning, a physician could be required to do more The LDC manages multiple transportation carriers. are treating five or fewer patients. Buprenorphine is the such as a clinical skills assessment. Mr. Rodman gave The Amgen design allows for multiple packaging number one diverted drug according law enforcement an overview of KBML’s individual action totals from activities. Amgen distributes many different product across the state. Gabapentin is another diversion 2012 to present. brands. Amgen had six new product launches in the drug on the rise. He stated that the prescribing of Jessica Estes, Executive Director, Kentucky previous year and is growing its volume and staff psychostimulant drugs is also rising at an alarming Board of Nursing, stated that the Kentucky Board accordingly. The LDC is engaged with the community rate. The Kentucky Injury Prevention and Research of Nursing (KBN) is governed under KRS Chapter through the University of Louisville, American Heart Center issued a list of the counties with the highest 314 and 201 KAR Chapter 20. The KBN licenses and Association, Kentucky Chamber of Commerce, risk score for overdoses. The Kentucky State Police regulates approximately 90,000 nurses and manages Greater Louisville Incorporated, Where Opportunity data shows that from 2017 to 2019, heroin possession the data base for the certified nursing assistant (CNA) Knox, and Louisville Metro Parks. citations are down 15 percent, trafficking citations are program which includes 60,000 people. At the end Kate Shanks, Vice President, Public Affairs, down 12 percent, and deaths due to heroine are down of the fiscal year (FY) 2018-2019, there were 7,500 Kentucky Chamber of Commerce, stated that 54 percent. Fentanyl trafficking arrests have gone up advanced practice registered nurses (APRNs). There logistics has become one of Kentucky’s signature 73 percent in Kentucky. Methamphetamine use has are four categories of APRNs: nurse practitioners industries. Kentucky is within a day’s drive of 65 also increased 11 percent. He stated that transitional (APRN-NP), certified nurse midwives (APRN- percent of the United States population. The logistics housing and employment supports are just as CNM), certified registered nurse anesthetist (APRN- industries consists of approximately 490 facilities important as treatment for people in early recovery. CRNA), and clinical nurse specialist (APRN CNS). that employ over 64,000 people. Kentuckians are Michael Rodman, Executive Director, Kentucky All APRNs hold a masters or doctoral degree and delivering important medications to the world Board of Medical Licensure, stated that in 2015, national certifications. APRNs may only prescribe a thanks to the continued growth of the biologistics the Kentucky Board of Medical Licensure (KBML) controlled substance as defined and limited in KRS industry. Companies come to Kentucky because while completing regulations on prescribing 314.011 (8), 314.042, and 201 KAR 20:059. The total there is access to world markets. The Chamber of controlled substances and Kentucky All Schedule number of APRNs in Kentucky have continued to Commerce advocates on behalf of businesses in the Prescription Electronic Reporting (KASPER), rise each year. She stated that not all APRNs prescribe Commonwealth. The Chamber of Commerce will be developed regulations regarding buprenorphine for controlled substances. working on infrastructure issues that are important diversion. KBML has seen a steady stream of cases Ms. Estes gave a summary of the KBN’s to the logistics such as the network of roads, air, river involving buprenorphine due to lack of education investigation procedure. She stated that the different ports, and railroads. verses criminal activity. Leanne Diakov, General types of discipline for APRNs are immediate In response to questions and comments from Counsel, Kentucky Board of Medical Licensure, temporary suspension, unsubstantiated, letter of Representative Moser, Mr. Olson stated that since stated that the buprenorphine regulation was concern, consent decree, reprimand, limitation starting at UPS he has seen the advent of serialization created with the mindset that many physicians were probation, and suspension. In regards to regarding to minimize the impact of counterfeit drugs. He has prescribing buprenorphine but did not have guidance controlled substances there were a total of 57 APRN seen a shift towards more personalized medicine, on how to prescribe buprenorphine correctly. The disciplinary actions given in 2018 that included four more biopharmaceuticals that require special buprenorphine regulation has come under scrutiny suspensions, five license limitations or probations, handling, and more frozen or refrigerated shipments. because providers want to start buprenorphine nine reprimands, 24 consent decrees, three letters Mr. Bibelhauser stated that he has seen a change treatments in other environments than originally of concern, two immediate temporary suspensions, in the differences between the logistics of moving envisioned. KBML has been working to amend the and 10 unsubstantiated cases. The KBN’s partial year healthcare products versus other industries. In regulation to include other treatment environments data for 2019 shows that there has been 59 discipline the healthcare environment things are much more and protocols. actions taken. controlled, regulated, and focused on patients and Mr. Rodman stated that KBML is an independent Doug Oyler, PharmD, Director, Office of Opioid quality. He stated that with the world is becoming agency, self-funded, that was created by the General Safety, University of Kentucky HealthCare, stated more consumer focused, the challenge for many Assembly through the Medical Practice Act in KRS that 36 out of the 120 Kentucky counties rank in the organizations is to balance quality, regulations, safety, Chapter 311. KBML is made up of 12 physicians and 90th percentile or higher nationally for individuals and what the market requests. 3 consumers appointed by the governor except for the per capita living in poverty. 32 out of the 120 In response to questions and comments from representatives from the medical schools. The two Kentucky counties rank in the 90th percentile or Senator Danny Carroll, Mr. Bibelhauser stated that major functions of KBML are licensure and discipline. higher nationally for opioid prescriptions per capita. Amgen uses UPS for all of its air shipments. Amgen All decisions regarding licensure and investigations Nearly three out of four heroin users started with uses other local carrier companies for ground are made by the KBML board members. KBML prescription opioids. The University of Kentucky

18 2019 Interim LEGISLATIVE RECORD HealthCare has three campuses in Lexington, not an easy drug to obtain for a patient. There are prescription drug monitoring program (PDMP). Kentucky with 1,086 licensed beds. The University of many requirements for the patients to receive the first KASPER tracks Schedule II–V controlled substance Kentucky HealthCare is moving towards a new way prescription of buprenorphine. prescriptions dispensed within the state as reported of thinking about prescribing opioids. He stated that Prescription Drug Monitoring Analytics by pharmacies and other dispensers. KASPER treatment should now start with nonsteroidal anti- Kim Gaedeke, Chief Deputy Director, Michigan provides a tool to help address the misuse, abuse, and inflammatory drugs (NSAIDs), acetaminophen, and Department of Licensing and Regulatory Affairs diversion of controlled pharmaceutical substances. non-pharmacological pain management then move (LARA), stated that the Michigan Automated There are over 11 million controlled substance to symptom-driven adjuvants and if pain persists Prescription System (MAPS) was established in prescriptions reported to the system each year. There resort to short-acting or intravenous opioids. He 2015 within the Bureau of Professional Licensing. were more than 12.5 million reports or data requests stated that the patients would then be weaned in the The Bureau of Professional Licensing licenses and processed in 2018. Dispensers have one business day reverse order. The longer a patient is exposed to the regulates over 758,000 individuals that include 10 to report information to KASPER. KASPER reports opioids the higher the risk for developing a substance occupational licensing and regulation boards and 27 are available to authorized individuals 24 hours a use disorder. health professional licensing and regulation boards. day and typically within seconds via web access. The Dr. Oyler stated that within University of The boards are advisory and determine sanctions. KASPER technology center can be modified by the Kentucky HealthCare more than 70 percent of The MAPS System contains over 100 million records KASPER team quickly and within existing budget in patients leave without an opioid. The University and the data is maintained for five years. Prescribers most cases to incorporate new initiatives, legislative of Kentucky HealthCare has eliminated the use who dispense, pharmacies, and veterinarians are changes, and new technology. Mr. Davis reviewed a of extended release products from acute pain required to report dispensed controlled substance list of new initiatives that are in process at this time. management. The University of Kentucky HealthCare schedules two to five. She stated that there has been Mr. Davis stated the most significant benefit has added leadership for system-wide expansion. The a decline in the total number of controlled substance of KASPER is that it is free of cost to prescribers, University of Kentucky HealthCare program changes prescriptions and opioid prescriptions dispensed in dispensers, researchers, health systems, and law have resulted in a 57 percent deduction in patients the last three years. Ms. Gaedeke gave an overview of enforcement. KASPER issues death notification receiving high-risk regimens. On average there have the timeline regarding the MAPS history. letters, supplies drug conviction information, flags been 1,300 opioid prescriptions avoided annually and Ms. Gaedeke highlighted the MAPS replacement non-fatal drug overdoses, implemented prescriber 250,000 fewer opioid pills dispensed. The daily opioid project goals. The MAPS replaced with new report cards, helps to prepare for pain clinic closings, dose per patients has decreased across the institution system software with Appriss Health’s prescription and assists in research collaborations. KASPER is from approximately 30 per day to 28 per day. The monitoring program (PMP) AWARxE. The MAPS undergoing a modernization to develop an entire new number of patients receiving high dose regimens has replacement project started in October 2016 and system and is completely federally funded by a grant. also decreased. The number of individuals that are was completed on time and under budget. All users Dr. Connie White, Senior Deputy Commissioner, reporting no pain have gone up six to eight percent. of the old system and new users required to register Department for Public Health, Cabinet for Health The number of individuals that are reporting severe with MAPS through the PMP AWARxE software. and Family Services, stated that members were given pain has decreased from approximately six to eight She stated that LARA will continue to seek feedback list of organizations that belong to the Displaced percent. The opioid initiation at the patient’s hospital from stakeholders. The project also incorporated Opioid Patient Workgroup. The workgroup can discharge was at 18 percent in July of 2016 and is at NarxCare that allows the provider to see the data in receive information quickly as to how many patients approximately seven percent in September of 2019. different ways. She shared an example of the MAPS and which counties will be affected by a closure. He stated that the goal isn’t to minimize or eliminate NarxCare report and described the information that Dr. Dan Danhauer, Chief Medical Information opioids but to ensure that a patient’s pain is treated can be obtained from the report. She stated that there Officer, Owensboro Health, stated that Owensboro adequately and responsibly with minimal risk. is a resources tab that the prescribers and dispensers Health covers most of Western Kentucky. Owensboro In response to questions and comments from can use with care notes that are provided by the Health is on an Epic system and within one month Representative Goforth, Mr. Rodman stated that by prescribers. She stated that MAPS was appropriated of signing the contracts there was a live pilot of the federal law to prescribe Suboxone a provider must $2.47 million to fund the project. The new MAPS system. There were four groups integrated together complete an eight hour online course. Regulations time to query reports is less than one second. She gave that included Owensboro Health, Epic, KASPER, could be changed to increase the training to minimize a summary of the MAPS replacement project lessons and RxCheck. A PDMP report previously took 5 to errors when prescribing Suboxone. Dr. Estes stated learned regarding enhancements and integrations. She 10 minutes for every single request. The RxCheck that KBN cases have increased because of how KBN provided a list of MAPS projects and enhancements PDMP hub enables states to securely and efficiently has decided to handle investigations. When any that have been completed or are in process. There share PDMP data. He stated that KASPER works and complaint comes in or an investigation is started are over 53,000 healthcare professionals that are is considered a premier system. the KBN reviews the member’s data regarding their integrated into the MAPS project. The future goals of Marcella Wright, Deputy Executive Director, controlled substance prescribing. Mr. Rodman stated MAPS is sustainability, strength, ongoing innovation, Office of Application and Technology Services that it is rare that KBML receives a complaint from a focus on data analytics, and transformation into a (OATS), Office of the Secretary, Cabinet for Health a family member that a provider is over prescribing clinical tool for health professionals. and Family Services, stated that OATS has reviewed medication. Most of KBML’s cases come from data Legislative Hearing on Maternal and Child the Appriss system multiple times. In regards to analysis through KASPER or law enforcement. Health Services Title V Block Grant technology, the OATS will periodically look to see In response to questions and comments from A motion to accept the block grant was made by if there is more functionality in another system. In Representative Bentley, Dr. Estes stated that KBN Representative Bowling, seconded by Representative 2018, the OATS met with Appriss to acknowledge can send data to the committee members regarding Bentley, and accepted by voice vote. there would be a comparison of KASPER and RN complaints. Mr. Ingram stated that there has Legislative Hearing on the Preventive Health Appriss. It was determined that Kentucky should stay been a Vivitrol program within the Department of and Health Services Block Grant with KASPER. The OATS uses some products from Corrections since 2016. The challenge has been to A motion to accept the block grant was made by Appriss that are integrated with KASPER. KASPER keeping individuals engaged in the program. Mr. Representative Bowling, seconded by Senator Danny also integrates with RxCheck. She stated that the Ingram stated that the controlled substance that Carroll, and accepted by voice vote. OATS contacted other states and asked questions is most prescribed is also the controlled substance Kentucky All Schedule Prescription Electronic about Appriss. The details of the questions and that is being diverted. The increase in prescribing Reporting (KASPER) Update answers were provided in the packet given to the controlled substances has been with buprenorphine Steve Davis, Inspector General, Office of the committee members. She stated that there are many and gabapentin. Dr. Estes stated that in regards to Inspector General (OIG), Cabinet for Health and similarities between Appriss and KASPER. The OATS the regulations that surround buprenorphine, it is Family Services, stated that KASPER is Kentucky’s reviewed functionality, technology, and costs. She

THE KENTUCKY GENERAL ASSEMBLY 19 stated that KASPER was found to be the best system Kentucky Distillers’ Association (Senate Bill 85); allow private barrel selection retail for the Commonwealth. Eric Gregory, President, Kentucky Distillers’ sales to go through distillery gift shops; wholesaler Dr. White stated that Kentucky Poison Control Association (KDA), said the industry has had a pass-through reform that allows distillers to pay has a dedicated opioid crisis hotline, 1-800-854-6813, successful year. He thanked the committee members their own taxes on gift shop sales; exclusive distillery for anyone with an opioid crisis or related questions. for being strong advocates and looking to the future. bottlings (2019 Regular Session House Bill 200); In response to comments and questions from He is preparing for a productive 2020 Session of the minimum standards of production; and allowing Senator Danny Carroll, Mr. Davis stated that Appriss General Assembly. Bryan Alvey, Senior Director, package beer sales at distillery gift shops. is a Kentucky corporation and the OIG’s supports Governmental and External Affairs, discussed the Mr. Alvey encouraged the members to review the its endeavors. KASPER is able to provide many 2020 legislative priorities. distilled spirits industry impact on local communities peripheral benefits at no cost to the system. The Mr. Alvey said the distillers are comprised of 40 and jobs broken down by county and region in the reports generated, the integration, customer support distilleries across the state, and the industry continues handout. He thanked the committee for the legislative and services provided by KASPER do not have a to grow. There are now two barrels of bourbon for support that has helped transform the signature cost associated. He stated that there are many things every person living in Kentucky, and 9.1 million industry in the last five years. He noted there are that KASPER can do that Appriss cannot because barrels under roof. It is the first year that two million 1,835 distillers now in all 50 states. He encouraged the KASPER is a state system. Appriss has a different barrels have been produced in one year. members to remain engaged as more help is needed business model. Dr. Danhauer stated that Owensboro Mr. Alvey noted that Kentucky sourced grains aid to keep Kentucky competitive. Kentucky cannot Health’s vendor quote was going to be $50,000 a year family farmers. KDA distillers bought more than nine afford to lose its historic distilling monopoly. with Appriss. The Owensboro Health system could million bushels of corn and other grains in 2017 from Responding to Representative Wheatley, Mr. Alvey not absorb the cost of Appriss. The KASPER system Kentucky farmers. They also provide a boost for local said he will have to get the specific numbers required costs $3,100 with full integration and has no ongoing schools and the economy. Distillers paid a record $23 to fund the ignition interlock device legislation, costs. million in barrel taxes in 2018. The revenue from Senate Bill 85, passed in the 2019 Regular Session of Adjournment these taxes funds local schools, libraries, and public the General Assembly. He said the funding is needed There being no further business, the meeting was safety. The tax-assessed value of aging barrels is $3 in order to run the program component through the adjourned at 3:26 PM. billion, and the value has more than tripled in the transportation cabinet. He will get a proposal ready last ten years. The economic impact is an $8.6 billion on the exact monetary amounts needed for this piece signature industry that provides over 20,100 jobs. It of the legislation. Mr. Gregory said the software that INTERIM JOINT COMMITTEE ON provides a $1 billion payroll, with over $2.3 billion in caught over 1,000 fake identification cards was for a capital investment completed or planned by 2022. one-year period. LICENSING, OCCUPATIONS, AND Mr. Alvey said KDA guaranteed the Kentucky Kentucky Athletic Trainers’ Society ADMINISTRATIVE REGULATIONS General Assembly that it would promote Kentucky Scott Helton, MBA, LAT, ATC, President, Minutes of the 5th Meeting bourbon in a safe and socially responsible manner. Kentucky Athletic Trainers’ Society, of the 2019 Interim The KDA and Safe Ride Kentucky coalition partners has over 25 years’ experience working as an November 20, 2019 have delivered more than 8,000 sober rides during athletic trainer in Northern Kentucky as the Director Call to Order and Roll Call major holidays. State-of-the-art Intellicheck AgelD of Sports Medicine and Athletic Training Services The 5th meeting of the Interim Joint Committee software has caught more than 1,000 fake IDs at at St. Elizabeth Healthcare. His testimony today is on Licensing, Occupations, and Administrative distilleries. Environmental safety and sustainability reflective of his role at the Kentucky Athletic Trainers’ Regulations was held on Wednesday, November 20, are top priorities. Society, and not indicative of his position at St. 2019, at 3:00 PM, in Room 154 of the Capitol Annex. Distilled spirits is the highest taxed industry in Elizabeth Healthcare. He said athletic trainers work Senator John Schickel, Chair, called the meeting to Kentucky; 34.4 cents of every $1.00 output goes to very closely with physicians, occupational therapists, order, and the secretary called the roll. taxes, more than all other 536 Kentucky industries. and physical therapists. Physicians are the primary Present were: There are seven different taxes on every bottle of supervisor of athletic trainers, and he does not see Members: Senator John Schickel, Co-Chair; spirits in Kentucky. These include: aging barrel local this changing in the future. Representative Adam Koenig, Co-Chair; Senators tax, aging barrel state tax, case tax, state excise tax, Mr. Helton said athletic trainers are seeking Tom Buford, Julian M. Carroll, Denise Harper Angel, federal excise tax, state wholesale tax, and state sales changes in their practice based on their education Jimmy Higdon, Paul Hornback, Christian McDaniel, tax. Mr. Alvey said 60 percent of every bottle of spirits and training. The definition of athlete has been used and Reginald Thomas; Representatives Tom Burch, Al in Kentucky goes to taxes and generates $190 million in the strictest sense for years, while athletic trainers Gentry, Thomas Huff, Matthew Koch, Chad McCoy, in local and state tax revenue, adding $625 million in have evolved in scope. Athletic trainers are seeking Jerry T. Miller, Ruth Ann Palumbo, Phillip Pratt, Sal federal taxes. to treat more physically active individuals that can Santoro, and Buddy Wheatley. Mr. Alvey discussed the escalating tariffs and trade benefit from their services as duly qualified, licensed, Guests: Julie Campbell, Kentucky Board of wars causing significant impacts. He said overall and appropriately supervised healthcare providers. Cosmetology; Alan Hensley, Tom Veit, and Carson export growth has slowed to five percent this year Extending their services outside of tradition is scary Kerr, Board of Real Estate Appraisers; H.E. Corder II, compared to a 25 percent average in previous years. to some folks and is meeting resistance. Kentucky Real Estate Authority; Brian Houillion and European Union exports have plummeted nearly 40 Mr. Helton emphasized that athletic trainers are Isaac VanHoose, Board of Massage Therapy; Adam percent to negative numbers compared to previous recognized health care providers. They are educated Haley, Kentucky Academy of Physician Assistants; year. He stressed that there are no winners in trade with a minimum of a Bachelor’s Degree by accredited Scott Helton and Johanna Hock, Kentucky Athletic wars. educational programs, nationally certified by an Trainers’ Society; Dr. Avery Schroyer, Physical Mr. Alvey said over 1.4 million visitors visited independent board of certification, licensed by the Therapist in Lexington, Dr. Camille Skubik-Peplaski, the Kentucky Bourbon Trail in 2018. There is every Kentucky Board of Medical Licensure, and required Occupational Therapist, Eastern Kentucky University; expectation that the record-breaking growth will to report approved continuing education credits to Bryan Alvey and Eric Gregory, Kentucky Distillers’ continue. maintain both certification and licensure. Athletic Association. The 2020 legislative priorities were outlined for trainers are supervised by medical doctors who LRC Staff: Tom Hewlett, Bryce Amburgey, Jasmine the committee. They include: supporting parity in any are duly licensed to practice in Kentucky, and do Williams, Melissa McQueen, and Lisa W. Moore. shipping legislation; ad valorem tax relief; production not practice autonomously. The updated practice Minutes equipment tax fix; local option precinct elections act is very consistent with what other states have The minutes from the October 2nd, 2019, meeting for distillers; funding for ignition interlock device successfully implemented with no known negative were approved without objection. legislation passed in the 2019 legislation session impact to patient care or health care payment models.

20 2019 Interim LEGISLATIVE RECORD Dr. Johanna Hock, Assistant Professor, University be proposed to safeguard the public and KAPA generated from license/renewal fees and fines. The of Kentucky, College of Health Sciences, said she believes the definition of athlete should remain as lack of funding negatively impacts the Memorandum supports the proposed changes to broaden the scope it currently is. There are concerns about the lack of of Agreement (MOA) in place with the Department of athletic trainers and increase the patient population supervision criteria with temporary licensing as it of Professional Licensing. This could also leave the they are allowed to treat. relates to physically active individuals. KPTA has no department with budgetary issues of its own, up to Mr. Helton said the ability to assist with the issues or concerns with their continuing education and including default, potentially impacting other management of prescription and over-the-counter requirements or the requirements for the board. DPL boards. medications is imperative for athletic trainers Camille Skubik-Peplaski, PhD, President, Kentucky Isaac VanHoose, Commissioner, Department of to practice evidence-based medicine and gold Occupational Therapy Association, said they have Professional Licensing (DPL), said the DPL is funded standard practices. He said they are not trying to been working with the athletic trainers on the current solely through restricted funds from the boards it be pharmacists, but believes common sense should legislation and they continue to have concerns with serves. Each biennium, licensing boards enter into be incorporated when dealing with dispensing the language that moves away from treating athletes a MOA with the department for administrative prescription medications. Modifications to allow who are otherwise healthy individuals to treating services. The cost of these services is determined athletic trainers to perform approved invasive individuals regardless of their health status. She said through a formula based on the number of annual procedures with supervising physicians is necessary as an educator, and with a representative of the KPTA, licenses, annual revenue, projected staff time, or a to provide evidence-based and, potentially, lifesaving they met with several athletic training educators and percentage of a full-time employee’s time that is spent care. Allowing athletic trainers to utilize education reviewed curriculum. It was determined that many for that board. and training to care for employment injuries under of the curriculums are not in depth enough to treat Mr. VanHoose said the department charges only the supervision of physicians, occupational therapists, individuals that are not athletes. what is needed to cover its operational costs for the physical therapists, or chiropractors is consistent with Dr. Skubik-Peplaski said the athletic trainers were biennium. However, as department costs increase, so practices in bordering states. Finally, the ability to provided with language that other states have used does the amount charged to boards. The DPL provides seek reimbursement for athletic training services is that will give them more flexibility in who they treat, cost savings to boards that cannot afford to hire full- imperative for those serving in this role and for those but is still consistent with their educational training. time personnel and pay operating expenses as well as who employ athletic trainers. She is supportive of the standardized form, which boards that do not need a full-time employee. Savings Responding to Senator Hornback, Mr. Helton said is a form of supervision for their athletic trainers. are realized through lower licensing fees for licensees. athletic trainers are seeking to expand their scope As a member of the licensing board, their current Mr. VanHoose said the board’s current MOA to treat physically active individuals and broaden practice act does not give a lot of specifics on how with the department is for $127,300 in each year of the definition of athlete. This would include citizens things will be regulated regarding supervision and the biennium (fiscal year 2019 and fiscal year 2020). of the general population that are not affiliated with this regulation which protects the consumer and the The MOA does not include other expenses such as sports athletic teams. practitioner. She is supportive of their ability to bill investigative services, legal services, and per diem Responding to Representative Burch, Dr. Hock for their services for athletes. for travel for board members. While the board has said she is not comparing the athletic trainers program Mr. Helton disagrees that their educational taken recent emergency measures to cut costs, these to occupational or physical therapy programs. She standards and training disqualifies them from expenses still accounted for roughly $25,000 in fiscal did say that the educational standards that have been treating physically active individuals, including those year 2019. The cost of administrative services provided determined by the EKU accrediting body ensure that with diabetes, sickle cell anemia, or amputees. He said by the department is expected to increase roughly 15 students in the athletic trainer program meet a broad many athletic trainers have dealt with these health percent due to increases in personnel costs (ARC will range of patient populations to discuss conditions issues and this is their main disagreement. Chairman increase from 83.43 percent to 89.37 percent in next that would be commonly seen in athletic training Schickel encouraged the two groups to work together biennium) and the increase in rent resulting from clinical practices. She said the autonomy is in place to iron out their differences and seek a common the move to the new office building. They anticipated to build the program to meet those standards as it resolution. asking $146,395 each year of upcoming biennium. relates to evidence-based practice and the practice of Kentucky Board of Cosmetology Responding to a question from Chairman Schickel, athletic trainers. She noted occupational and physical Julie Campbell, Director, Board of Cosmetology, Dr. Houillion said he did not know why the fees were therapists have different accreditation standards. said they have proposed legislation to address the set in statute rather than regulation. He noted the fee Responding to a question from Senator Higdon, committee’s concern in regards to home bound structure was set in 2003 and has not been amended Mr. Helton said these changes will not allow Medicaid individual care, as well as event permits and since. Chairman Schickel would prefer the fees to be to be billed for athletic trainer services. Medicaid was creating a defined pathway to event permitting for set in regulation, and not in statute. not billed in the past nor will it be in the future. things such as wedding venues, theaters, etc., for Responding to a question from Co-Chairman Responding to a question from Representative professional services outside of a salon environment. Koenig, Dr. Houillion said there are currently 2,200 Miller, Mr. Helton said theoretically this proposed Senator Schickel said they are addressing the issue of licensees in massage therapy. legislation would allow athletic trainers to open homebound residents who need cosmetology services Dr. Houillion said the preferred method up an office, but he noted they cannot practice and the bill will hopefully advance during the 2020 would to amend statute to allow for the board to autonomously. Services provided by athletic trainers Regular Session of the General Assembly. Responding set fees in regulation. Proposed language could would still have to have physician referral and have to a question from Representative Miller, dry bars and be: The board shall promulgate administrative physician guidance and oversight. blow drying services would not be affected by the new regulations establishing a reasonable schedule of Response to Kentucky Athletic Trainers’ Society legislation as the new language deals with individuals fees and charges for the issuance and restoration Avery Schroyer, Secretary, Kentucky Physical providing medical releases in the home, and not of licenses and certifications and for the renewal of Therapy Association, said they are in favor of the services provided in a licensed facility. licenses and certifications issued under this chapter. athletic trainers being able to bill the athlete directly Board of Massage Therapy Currently, other boards operate under a similar for their services of athletic training. They also favor Dr. Brian Houillion, Chair, Kentucky Board statute, including: cosmetology; respiratory therapy; being able to care for a traumatic or acute injury to of Licensure for Massage Therapy, is requesting a chiropractic examiners; and interpreters for the deaf the athlete, such as the use of an epi pen, providing a statutory change to amend the fee structure that has or hard of hearing. saline wash, or checking a rectal core temperature as not been amended since the creation of the Board in Dr. Houillion said a secondary approach would needed. However, the KPTA is against any measure 2003. Currently, the Board does not generate enough be to remove the $50 application fee that is currently beyond those specific services as their education does revenue to cover its operational costs and must credited to the initial license fee for successful not support more invasive type of procedures. amend its fee structure to fulfill its statutory duties. applicants. Increase the limit on initial license fee from Mr. Schroyer said regulations would need to They are funded solely through restricted funds $125 to $250 to adequately cover initial processing of

THE KENTUCKY GENERAL ASSEMBLY 21 applications and first biennium licensing period. The Noncompliant statutes could jeopardize Kentucky’s Kentucky Communications Network Authority; initial fee of $150 will be increased incrementally over AMC program, bringing the appraisal and lending Steve Murphy, Chief Financial Officer Kentucky time. Increasing the limit on biennial renewal fee industries to a grinding halt in Kentucky. Communications Network Authority; Robin Kinney, from $100 to $200 will generate the revenue needed Kentucky Academy of Physician Assistants Associate Commissioner, Office of Finance and to sufficiently fund operating without creating a Adam Haley, Director of Public Policy, Kentucky Operations; Charles Harman, Director, Division of substantial burden on licensees. The initial fee of $150 Academy of Physician Assistants (KAPA), and Budgets and Financial Management; and Chay Ritter, will be increased incrementally over time. Andrew Rutherford, Vice President, KAPA, spoke Branch Manager, Funding and Reporting Branch. Dr. Houillion said the secondary proposal is about physician assistant prescriptive authority. LRC Staff: Jennifer Hays, Cynthia Brown, Kevin estimated to generate roughly $60,000 of additional KAPA has brought this bill before many entities Branscum, Morgan King, and Chase O’Dell revenue and bring the board’s annual revenue to previously and has amended the language in the Approval of Minutes approximately $200,000 for the next four fiscal years. proposed legislation to satisfy public concerns. A motion was made by Representative Fischer, The additional revenue generated through periodic Mr. Rutherford said physician assistants have over seconded by Senator Parrett, to approve the minutes fee increases should be sufficient to cover the board’s 2,000 clinical hours prior to graduation. KAPA does of the October 1 meeting. The minutes were approved costs for the next 20 years. believe in the strength of a physician led healthcare by voice vote. Board of Real Estate Appraisers team, but identifies three benefits in removing the University of Louisville Takeover of Jewish Tom Veit, Executive Assistant, said the Kentucky red tape and allowing them to write prescription: 1) Hospital and Other Healthcare Networks Real Estate Appraisers Board respectfully requests ensures patients have the best care and allows rural Neeli Bendapudi, President, University of for legislative action to amend its statutes for the patients to avoid travel to receive the care they need; 2) Louisville; Dan Durbin, CFO, University of Louisville; following purposes: red tape reduction and cleanup, allows full transparency and will benefit the KASPER Tom Miller, CEO, University of Louisville Health; and compliance with appraisal subcommittee program and the use of controlled medications in and Andrew McNeil, State Director, Americans recommendations and other federal requirements. identifying problematic providers; and 3) makes for Prosperity (AFP) discussed the University of Mr. Veit said the red tape reduction will provide it easier for employers, such as hospitals, to hire Louisville’s takeover of Jewish Hospital and other a more specific definition of a “federally related physician assistants. healthcare networks. transaction.” It eliminates the non-federal license Chairman Schickel announced the committee President Bendapudi testified that on November and subsequent requirements, and clarifies language will have a special approved meeting on Monday, 1, the University of Louisville acquired the Louisville- relating to the executive director’s “veto” authority December 16th, 2019, at 10:00 a.m. in Room 149 of area assets of KentuckyOne Health, including facilities for administrative regulations relating to appraisal the Capitol Annex. in Shelbyville and Bullitt County. This brought the management companies. Subsequently, this cleans up Adjournment total assets acquired by the university to five hospitals, House Bill 443 that created the Kentucky Real Estate With no further questions from the committee four outpatient centers, and a couple of garages, with Authority. members, the meeting adjourned at 4:00 p.m. a significant medical staff. Mr. Veit said it will also place a statute of President Bendapudi reviewed the history and limitations (the licensee record retention policy reasoning behind the university’s acquisition. The contained in the Uniform Standards of Professional INTERIM JOINT COMMITTEE university’s decision was whether to let Jewish Appraisal Practice (USP) on filing complaints with Hospital close, or to step-up and be a part of the the board and removes the word “permanent” from ON APPROPRIATIONS AND solution. The university believes that acquiring the the descriptor of a licensee’s file. Presently, there is REVENUE assets is in the best interest of the university, the city, no statute of limitations, and the board has received Minutes of the 6th Meeting and the entire commonwealth. President Bendapudi complaints that were based on conduct that occurred of the 2019 Interim added that the closure of Jewish Hospital would have decades ago. This ensures that the licensee is still in November 19, 2019 been catastrophic. Greater Louisville Inc. (GLI), the possession of the case file and records with which to Call to Order and Roll Call chamber of commerce for Louisville, has unanimously defend him or herself against a complaint. The new The 6th meeting of the Interim Joint Committee resolved to support the University of Louisville in statute of limitations is five years after the preparation on Appropriations and Revenue was held on Tuesday, seeking a loan from the state. President Bendapudi of the appraisal or appraisal review assignment, or November 19, 2019, at 1:00 PM, in Room 149 of the expressed her gratitude towards the members of the at least two years after the final disposition of any Capitol Annex. Senator Christian McDaniel, Chair, General Assembly. judicial proceeding in which the appraiser provided called the meeting to order, and the secretary called Dan Durbin testified that allowing Jewish Hospital testimony related to the assignment, whichever the roll. to close would have resulted in a negative $51 million expires last. Currently, a licensee has a permanent Present were: fiscal impact annually to the university and its health discipline file. This requires the board to maintain Members: Senator Christian McDaniel, Co-Chair; system and health sciences center. hard copies of all licensee records for purposes of Representative Steven Rudy, Co-Chair; Senators Tom In response to a question from Senator McDaniel, records retention requirements. Buford, Matt Castlen, Rick Girdler, David P. Givens, Mr. Durbin stated that an Academic Affiliation Mr. Veit said the red tape reduction would also Morgan McGarvey, Stephen Meredith, Gerald A. Agreement (AAA) is an agreement between a hospital reduce the licensing and renewal fee for licensed or Neal, Dennis Parrett, Robin L. Webb, Stephen West, and a medical school or health sciences center that certified real property appraisers and eliminates the and Phillip Wheeler; Representatives Lynn Bechler, agrees to pay for faculty compensation, faculty requirement that the board provide licensees with the Danny Bentley, Myron Dossett, Joseph M. Fischer, services, faculty supervision of other physicians, and current edition of the USPAP. It also adds three new Kelly Flood, Mark Hart, Angie Hatton, Russ A. mission support. fees. Meyer, Jason Nemes, Ruth Ann Palumbo, Melinda Mr. Durbin stated that the assets in total lose Finally, the proposed legislation will make Gibbons Prunty, Brandon Reed, Steve Riley, Rob money, thereby requiring capital investments to amendments to comply with recommendations Rothenburger, Sal Santoro, John Sims Jr, Wilson help bring the assets to where they should be. Under made by the Appraisal Subcommittee of the Federal Stone, and Susan Westrom. university management, the Jewish hospital will Financial Institutions Examination Council, which Guests: Neeli Bendapudi, President, University qualify for enhanced Medicaid reimbursement, also conducts compliance reviews on state appraisal of Louisville; Dan Durbin, CFO, University of known as IGT. This will bring in $33 million a year. programs. This will bring Kentucky’s appraisal Louisville; Tom Miller, CEO, University of Louisville Based on previous experience, the university believes management company regulatory scheme into Health; Andrew McNeil, State Director, Americans that it will be able to manage the revenue cycle better, compliance with federal law. It is important because for Prosperity; Bernard “Deck” Decker, Interim producing an additional $15 million per year. The Kentucky’s next compliance review will include, for Executive Director, Kentucky Communications university also believes that $30 million worth of the first time, review of the AMC regulatory structure. Network Authority; Doug Hendrix, General Counsel, synergies can be realized due to the hospital being

22 2019 Interim LEGISLATIVE RECORD brought into the University of Louisville Health those funds cannot be used elsewhere. Mr. McNeil FY 2019-2020. The major new expenses fall under system. Mr. Durbin stated that all these factors stated that it was hard for him to believe that there contractual obligations. Contractual obligations will combined will produce a positive eight million dollars is not a private sector solution to the university’s cost $13 million annually during the biennium. Debt to the bottom line in the third year of operation. financial need. Mr. McNeil continued to say that service is over a third of KCNA’s total expenses. In response to a question from Senator McDaniel, there is no reason for state government to intervene, In response to a question from Senator McDaniel, Mr. Durbin stated that in the third-year operations subsidize a low interest loan, and take on the risk Mr. Murphy confirmed that there were not any will stabilize and an $8 million positive impact will for the deal. Mr. McNeil also said that the deal has savings or revenues factored into the budget numbers be realized. In response to another question, he stated several troubling characteristics that are similar to the presented. In regards to wholesalers, Mr. Decker stated that the university is anticipating needing to make Kentucky Wired deal. that until the wholesaler pays off their investment, the $30 million worth of capital investments each of the AFP’s recommendation is to provide the University revenue earned will not be coming back to the state. first two years after acquisition. In the third year, the of Louisville with support to pursue private sector He continued to say that revenue will come to the university is anticipating making $20 million worth financial support for the deal. state in 2025. In response to further questioning, Mr. of capital investments. In response to a question from Representative Murphy testified that the availability payments will Mr. Durbin testified that Jewish hospital has a total Rothenburger, Mr. Durbin testified that at this point, last until 2045. payroll of $103 million. The hospital employs 1,472 the enhanced Medicaid reimbursement would only In response to a question from Senator Castlen, full-time Kentuckians. The state payroll tax from be applicable to the downtown Jewish hospital. In Mr. Decker stated that there were gaps with the those employees totals $10.2 million per year. Jewish response to another question, Mr. Durbin said that Kentucky Wired project, and that KCNA would be hospital sees about 35,000 patients per year through there is a potential for the other outlying hospitals spending money with other providers to close the the emergency room. to eventually receive the enhanced Medicaid ring of service until KCNA could close the gaps with Tom Miller testified that there was no ability for reimbursement. their own construction. Senator Castlen expressed his the patients of Jewish hospital to be taken care of at Senator Buford stated that the $50 million concern with operations underperforming. another downtown Louisville facility if the hospital requested by the University of Louisville would have In response to a question from Representative closed. Jewish hospital provided approximately $41 to come out of the General Fund. In response to a Bechler, Mr. Decker stated that KCNA is charging million to the University of Louisville school of question from Senator Buford, President Bendapudi agencies to use the Kentucky Wired network. In medicine this past year. said that the state will receive back $25 million of the response to another question, Mr. Decker said that President Bendapudi stated that if Jewish hospital $50 million it advances to the University of Louisville. KCNA charges agencies the price they were paying closed, it would jeopardize the university’s R1 Mr. Durbin stated that the payback would occur for services in 2015. He continued to say that internet Research University status. For the University of over 20 years. In response to another question from rates have gone down 40% in Kentucky. In response Louisville, acquisition of the Jewish hospital assets Senator Buford, President Bendapudi stated that the to another question, Mr. Decker said that agencies will give the university an integrated health system, university cannot leave or renegotiate the deal. would be paying KCNA instead of commercial forge a path to expansion of the teaching and research Representative Nemes stated that the Kentucky enterprises. In response to further questioning, Mr. mission, and it will allow the university to grow and Wired situation is very different from the university’s Decker testified that the Department for Community have a stable financial future. takeover of Jewish hospital. Representative Nemes Based Services office that will soon switch to Kentucky Senator Meredith stated that the university did continued to say that the patients served by Jewish Wired will be paying more for services than it was not address the change in the payer mix at Jewish hospital are among the least wealthy. In response to previously. He continued to say that agencies will be hospital. He continued to say that the majority of jobs a question from Representative Nemes, President receiving better service. Representative Bechler stated lost from a Jewish hospital closure could be absorbed Bendapudi stated that there are no beds available for that some cities are contracting with other people within the medical community. Senator Meredith the people currently served by Jewish hospital. and putting in their own fiber; adding that Kentucky said that he believes the university is underestimating In response to a question from Senator McGarvey, Wired is a boondoggle. the amount of capital investment that will be needed; Mr. Miller stated that the university will determine Senator McDaniel stated that this year, the state adding that he doesn’t see any job creation resulting over the next year whether the capital payments will is appropriating KCNA $35 million. He continued from the takeover. President Bendapudi disagreed increase the life expectancy of Jewish hospital. Senator to say that under the budget request proposed, the with Senator Meredith in regards to the absorption McGarvey questioned whether the University of number would increase to $50 million. In response of lost jobs. Concerning payer mix, President Louisville may need increased bond capacity to either to a question from Senator McDaniel, Mr. Decker Bendapudi stated that the university has added over renovate Jewish hospital or to build a bed tower at the said that he saw nothing that could ease the impact 80 primary care physicians to the network, which university. of the budgetary request made by KCNA in the next will improve the payer mix as references are made. Kentucky Wired Progress and Expected Budget two years. He continued to state that he believed Senator Meredith discussed the importance of rural Requests KCNA could refinance its debt down the road. Mr. hospitals to their communities. Mr. Miller explained Bernard “Deck” Decker, Interim Executive Murphy added that once the network is completed why Jewish hospital received a bad rating from the Director, Kentucky Communications Network and running, he believes that KCNA could refinance Leapfrog group. Authority; Doug Hendrix, General Counsel, at a lower rate. He continued to say that the rest of In response to a question from Senator Wheeler, Kentucky Communications Network Authority; the expenses are contractual, so there is little wiggle President Bendapudi stated that none of the and Steve Murphy, Chief Financial Officer Kentucky room. university’s investment is going towards payouts for Communications Network Authority, discussed Senator Buford thanked the presenters for their the former executives of Jewish hospital. Kentucky Wired’s progress and expected budget efforts. In response to a question from Representative requests. Kentucky Department of Education – Reed, Toni Ganzel, the Dean of the School of Medicine, “Deck” Decker testified that rings 1A and 1B are lit. Anticipated Pupil Growth and Expected Average testified that the university has a regional campus in Ring two is done with construction and the Kentucky Daily Attendance for the Upcoming Budget Madisonville, stating that the outcomes have been Communications Network Authority (KCNA) is Biennium shown to be successful in returning students to be working on lighting it. Ring three is expected to be Robin Kinney, Associate Commissioner, Office of physicians in their communities. The university also completed by December. Ring four is expected to be Finance and Operations; Charles Harman, Director, has clinical outreach programs throughout the state. completed by fall of 2020. The Commonwealth data Division of Budgets and Financial Management; and The university receives patients from throughout the center and the alternate data center are both up and Chay Ritter, Branch Manager, Funding and Reporting state for the clinical programs. running on Kentucky wired. Branch, discussed anticipated pupil growth and Andrew McNeil testified that once funds are Steve Murphy stated that the KCNA budget request expected average daily attendance for the upcoming appropriated for a loan to the University of Louisville, for Fiscal Year (FY) 2021-2022 is an increase from budget biennium.

THE KENTUCKY GENERAL ASSEMBLY 23 Chay Ritter testified that the Average Aggregate INTERIM JOINT COMMITTEE ON Falls State Resort Park, Dale Hollow State Resort Daily Attendance (AADA) is a huge driver of funding, Park, Carter Caves States Resort Park, and Kingdom responsible for $2.3 billion in funding in FY 2020. The TOURISM, SMALL BUSINESS, AND Come State Park. AADA in Kentucky peaked in 2015 at almost 600,000; INFORMATION TECHNOLOGY Responding to questions from Co-Chair Danny since then it has slowly declined. The AADA is Minutes of the 6th Meeting Carroll, Mr. Decker confirmed that the wholesaler the projected to continue to decline in the next few years. of the 2019 Interim state has contracted with will recoup their investment Mr. Ritter said that in 2002, 247,000 students November 21, 2019 first. It is projected that the state will begin to generate were on free lunch. The number of students on free Call to Order and Roll Call revenue in 2025. However, savings will be made as lunch has steadily increased over 18 years. KDE is The 6th meeting of the Interim Joint Committee soon as service to state sites begins. Wholesale revenue predicting that number will increase slightly over the on Tourism, Small Business, and Information is projected to be positive by 2035. The wholesaler is next couple of years. Over 100,000 students have been Technology was held on Thursday, November 21, only contracted for the state parks at this point in added to free lunch since 2002. Free lunch generates 2019, at 3:00 PM, in Room 154 of the Capitol Annex. time but will have to bid on the contract with any $600 per student for the school districts. In 2022, 64 Representative Phillip Pratt, Chair, called the meeting school system. Mr. Decker said the total cost for the percent of the AADA will be comprised of students to order, and the secretary called the roll. KentuckyWired project is currently estimated at $1.3 receiving free lunch. Present were: billion. He said that the project will generate revenue Mr. Ritter testified that KDE predicts that in the Members: Senator Danny Carroll, Co-Chair; from private providers in the most remote parts of next couple of years, over 100,000 Kentucky students Representatives Phillip Pratt, Co-Chair, and Tommy the state that will use KentuckyWired’s resources. will be considered exceptional children. The most Turner, Co-Chair; Senators Denise Harper Angel, Mr. Hayden added that the agreement that KCNA severe category for exceptional children generates Ernie Harris, Jimmy Higdon, Wil Schroder, Reginald established with the CRD gives the Commonwealth over $9,000 per student, with the moderate category Thomas, Mike Wilson, and Max Wise; Representatives full right and use of all facilities and assets within the generating over $4,000 per student. Lynn Bechler, Terri Branham Clark, George Brown CRD ownership and the state will be leasing it on a Mr. Ritter stated that property assessments have Jr, Jeffery Donohue, Chris Freeland, Robert Goforth, pass through basis. increased in value from $200 billion in 2002, to Jim Gooch Jr., David Hale, Richard Heath, Kim King, Addressing questions from Representative Lynn nearly double that in 2022. He added however that Adam Koenig, Bobby McCool, Michael Meredith, Bechler, Mr. Decker said the planned budget request assessments vary between districts. Charles Miller, Ruth Ann Palumbo, Josie Raymond, during the 2020 Regular Session for the 2020 to 2021 The base of the Support Education Excellence in Brandon Reed, Steve Sheldon, Maria Sorolis, budget year will be $49 million and $50 million for the Kentucky (SEEK) formula totals roughly two billion Cherlynn Stevenson, Ashley Tackett Laferty, Nancy 2021 to 2022 budget year which is an additional $13 dollars. The biggest component of the formula is the Tate, and Les Yates. million for each year compared to the current budget. AADA. In addition, 14.7 percent of the formula goes Guests: Deck Decker, Interim Executive Director, A refresh of the system and equipment will be needed towards exceptional children, with 7.3 percent going Kentucky Communications Network Authority; in approximately six years and negotiations are towards at risk students. Mike Haydon, Chief Operating Officer, Kentucky currently being made for the total cost. The original Charles Harman testified that in the current SEEK Communications Network Authority; Beth Davisson, estimated cost was $40 million for each refresh which formula, kindergarten is funded for half-days. KDE Executive Director, The Workforce Center, Kentucky is not included in the planned budget. Mr. Decker said is requesting funding for full-day kindergarten for Chamber of Commerce; and Travis Burton, Director KCNA is not working with any private companies, every school district in the state. of Political Affairs, Kentucky Chamber of Commerce. retailers, or individuals. The wholesaler will be selling In response to a question from Representative LRC Staff: Andrew Manno, Chip Smith, Janie the KentuckyWired service to local internet service Rudy, Mr. Harman stated that every district completes Boyd, and Sasche Allen. providers, and then those service providers will be the National Board Certified Salary Supplement Approval of Minutes dealing with private companies or individuals. payment. He added that KDE supplies around 60 A motion to approve the minutes of the October Replying to Representative Michael Meredith, percent of the payment. 3, 2019 meeting was made by Representative Ruth Mr. Decker said after consulting with the wholesale Senator Givens encouraged presenters to start Ann Palumbo, seconded by Senator Mike Wilson, provider, he believes that revenue will be generated graphs at zero, stating that it portrays information in and approved by voice vote. in a short amount of time, especially in the rural and a better fashion. Introductions remote areas. He recommended that the wholesaler Representative Stone stated that there is basically Co-Chair Phillip Pratt introduced small business and contractors give a briefing to the committee on full-time kindergarten in Kentucky, but that the state owners Nathan and Josh Randall. Their business the progress of the KentuckyWired project. only funds half-time kindergarten. In response to a Central Screen Printing & Embroidery is located in Representative Robert Goforth commented that question from Representative Stone, Mr. Ritter stated Central City, Kentucky and has over 50 employees. the KentuckyWired project will put some of his that the second month growth data compares current KentuckyWired Update constituents that are small business owners out of year data to the prior year. Rings 1A and 1B of the Commonwealth’s fiber business since they have already built their own lines Correspondence Received optic cable network KentuckyWired have been lit, for broadband. Senator McDaniel reviewed the correspondence construction has been completed on Ring 2, and by Answering a question from Representative received from Jenny Bannister, Deputy Director, the close of 2019 Rings 3 and 5 will be completed. That Bobby McCool, Mr. Hayden said that KCNA has Office of Budget Review (LRC). will cover all of the state except portions of Western already established agreements with companies to List of Reports Received Since October 2019 Kentucky. The projected completion date for Ring 4 is lease existing fiber lines. Existing customers of these Senator McDaniel reviewed the list of reports October 2020. The Kentucky State Parks that will be companies will see no increase in their costs. received since October 2019. using KentuckyWired broadband will include Natural Responding to Representative Steve Sheldon, Mr. Adjournment Bridge State Resort Park, Kentucky Dam Village State Hayden said that the original design and concept has With no further business before the committee, Resort Park, General Butler State Resort Park, Jenny not changed as the main objective was to provide the meeting was adjourned. Wiley State Resort Park, Kenlake State Resort Park, broadband to state offices and facilities. Some of the Pine Mountain State Resort Park, Kentucky Horse additional $8 million will try to fill in some of the Park, and Kentucky Venues. General Butler will be the gaps that were left out of the original plans. first park to go live. The Kentucky Communications Addressing Representative Terri Branham Clark, Network Authority (KCNA) is currently working with Mr. Decker clarified that KCNA’s original intentions the Center for Rural Development (CRD) to obtain an were to offer broadband to state government offices additional $8 million to make the broadband available and facilities. The wholesaler of KCNA will need to at Lake Cumberland State Resort Park, Cumberland bid on contracts with school systems in order for

24 2019 Interim LEGISLATIVE RECORD KentuckyWired to be used for any schools. All 120 Chamber is supportive of improving early education In response to a question from Representative counties will have access to the KentuckyWired and increasing access to child care for parents who are Rowland, Mr. Hall said the cap on the incentive is not network in some way but private service providers working or participating in workforce training. It is the issue. He went on to say that to be impactful the will need to take advantage of the network for the also imperative to ensure that child care facilities have credit must be refundable or transferable. most remote and rural portions of the state for it to quality workers and learning environments. In response to a question from Chair Bechler, be available. Addressing Senator Reginald Thomas, Ms. Mr. Hall said that for a company to monetize on Davisson agreed that the opioid epidemic is a major an incentive it must have tax liability in the state of Replying to Co-Chair Danny Carroll, Mr. Decker workforce issue and the Chamber, in partnership with Kentucky. He added that Kentucky is the only state confirmed that the private sector providers were its members, has formed an opioid response business that has a non-transferable and non-refundable tax always intended to be responsible for getting the program. Mr. Burton added that employers have credit. broadband services to individuals and not KCNA. been working the Chamber on programs for those in In response to a question from Representative Senator Reginald Thomas expressed his optimism recovery who are reentering the workforce and how Branham Clark, Mr. Hall said that the impact study for the program and said better access to high speed to obtain needed credentials for employment. should be completed by January. He said that once broadband is very much needed across the state. Replying to Representative Maria Sorolis, Ms. the impact study is completed, it will be sent to all Legislative Priorities for Small Business: Davisson said that the Chamber’s Workforce Center legislators. Kentucky Chamber of Commerce has made great strides with the TPM system in In response to a question from Representative The Kentucky Chamber of Commerce’s legislative conjunction with the U.S. Chamber of Commerce Yates, Mr. Hall said the change to the film tax credit agenda includes several priorities pertaining to the Foundation, the Education and Workforce Cabinet, in 2018 was a statutory change made by the General state’s workforce which include strengthening the local workforce boards, and the community college Assembly. adult education system, promoting wellness and system. Tennessee, Michigan, and California have also In response to a question from Representative prevention, combating the drug epidemic, reforming been successful with their similar programs. Metrics Bechler, Mr. Hall said that Kentucky has two film the tax code, modernizing the unemployment system, that are used to gage the success of a program such studios. One of the studios is in Springfield and one and investing in the state’s infrastructure. as the TPM system are workforce participation rates, is in Horse Cave. He added that there are soundstages The Kentucky Chamber of Commerce’s supply and demand of the workforce, and salaries of in both Louisville and Lexington. Mr. Hall said that Workforce Center employees. Kentucky did not lose any film studios. He added that The Chamber’s Workforce Center creates and Representative George Brown Jr. made comments the impact study report will make it possible to see maintains workforce programs that are geared toward about retraining those individuals who have been the potential net effect of having a stable tax incentive engaging the state’s workforce. About 84 percent of incarcerated and ensuring they have they have the program. Kentucky employers cannot find qualified workers necessary skills to gain employment. In response to a question from Senator Clark, Mr. and 81 percent projected moderate to high growth There being no further business, the meeting Hall said that students are leaving to take jobs in other for their organizations in the next three to five years. adjourned at 4:39 p.m. states where the film industry is doing well. Conversely, since 2015 the state has seen 47,645 new In response to a question from Chair Bechler, jobs, $17.3 billion in new business development, Mr. Hall said that he would share the map depicting and 991 new or expanded facilities. A lack of skilled the types of film incentives by state with committee workers to fill high skill positions has become a INTERIM JOINT COMMITTEE ON members. national trend. In response to a question from Chair Bechler, In an effort to improve the state’s workforce, the APPROPRIATIONS AND REVENUE Mr. Hall said that Indiana and West Virginia are the Chamber’s Workforce Center is partnering with Budget Review Subcommittee on Economic only two surrounding states that do not have film the Kentucky Equine Education Project to launch Development, Tourism, and Environmental incentives. a Talent Pipeline Management (TPM) initiative Protection There being no further business to come before aimed at building a talent supply chain throughout Minutes of the 5th Meeting the subcommittee, the meeting was adjourned at 9:58 the Commonwealth. This initiative is a partnership of the 2019 Interim a.m. November 19, 2019 with the U.S. Chamber of Commerce Foundation. Call to Order and Roll Call The Chamber’s Workforce Center will also work INTERIM JOINT COMMITTEE ON closely with Education and Workforce Cabinet. The fifth meeting of the Budget Review The TPM system will utilize supply chain logistics Subcommittee on Economic Development, Tourism, ECONOMIC DEVELOPMENT AND and apply them to the workforce by organizing and Environmental Protection of the Interim Joint WORKFORCE INVESTMENT employer collaborative, engaging in demand Committee on Appropriations and Revenue was Minutes of the 6th Meeting planning, communicating competency and credential held on Tuesday, November 19, 2019, at 9:00 AM, in of the 2019 Interim requirements, analyzing talent flows, building Room 154 of the Capitol Annex. Representative Lynn November 21, 2019 talent supply chains, and continuously striving for Bechler, Chair, called the meeting to order, and the Call to Order and Roll Call improvement. The TPM will also use regional and secretary called the roll. The 6th meeting of the Interim Joint Committee on sector driven categories to better supply employers Present were: Economic Development and Workforce Investment with the needed skilled workforce. Members: Representative Lynn Bechler, Co- was held on Thursday, November 21, 2019, at 1:00 PM, Responding to a question from Representative Chair; Senators Perry B. Clark, Morgan McGarvey; in Room 154 of the Capitol Annex. Representative Josie Raymond, Ms. Davisson said that wages Representatives Terri Branham Clark, David Hale, Russell Webber, Chair, called the meeting to order, and benefits play a major role in the workforce, Savannah Maddox, Bart Rowland, and Les Yates. and the secretary called the roll. but if employers are going to pay higher wages Guests: Jay T. Hall, Acting Commissioner, Present were: with better benefits, then they should be doing Department of Tourism, Tourism, Arts and Heritage Members: Senator Danny Carroll, Co-Chair; so for employees that are meeting their demands. Cabinet. Representative Russell Webber, Co-Chair; Senators Additionally, employers should be engaged early LRC Staff: Sara Rome and Amie Elam. Perry B. Clark, Rick Girdler, Denise Harper on in the educational process than when someone Tourism, Arts and Heritage Cabinet Angel, Ernie Harris, Jimmy Higdon, Alice Forgy has completed a post-secondary degree program to Jay T. Hall, Acting Commissioner, Department of Kerr, Wil Schroder, Mike Wilson, and Max Wise; ensure that a qualified and experienced workforce is Tourism spoke to the committee about film industry Representatives Lynn Bechler, John Blanton, Charles being built that meets employer demands. In response tax credits. His presentation focused on historical Booker, Adam Bowling, R. Travis Brenda, McKenzie to a follow up question, Mr. Burton said that the data, job creation, and the potential benefits of film Cantrell, Daniel Elliott, Chris Freeland, Al Gentry, tax credits. THE KENTUCKY GENERAL ASSEMBLY 25 Kathy Hinkle, Thomas Huff, Savannah Maddox, Jason Telephonic conferencing and communication via billion in wages. The Morehead State University Space Petrie, Ashley Tackett Laferty, and Buddy Wheatley. email will also be highly encouraged. Science Center explores the space side of aerospace, Guests: Lisabeth T. Hughes, Deputy Chief Justice, Responding to a question from Co-Chair Russell performing research specifically focused on nano Supreme Court of Kentucky; Janet Jakubowicz, Webber, Deputy Chief Justice Hughes confirmed that satellite technology. The Space Center has become Partner, Bingham Greenebaum Doll LLP; Dr. the circuit court judges from divisions four and ten internationally recognized as a center for excellence Benjamin Malphrus, Professor of Space Science and that have been assigned to the business court cases in small satellite technologies and space mission Executive Director, Space Science Center, Morehead will continue to preside over criminal and civil cases operations. Morehead State University is home of the State University; and Stewart Ditto II, Former in addition to the business court docket cases but will inventor of the CubeSat satellite and currently has Executive Director, Kentucky Aerospace Industry have their civil dockets reduced. Answering another seven contracts with NASA. Consortium. question, she said that she expects for the program to Morehead State University works to ensure the LRC Staff: Andrew Manno, Chip Smith, Janie be adopted in other areas of the state over time and aerospace workforce pipeline is in place by offering Boyd, and Sasche Allen. hopes that there will eventually be regional business space related degree and academic programs such Approval of Minutes courts available to claimants of all counties. Bachelor and Masters programs in Space Systems A motion to approve the minutes of the October Addressing a question from Representative Jason Engineering, Bachelor of Science in Physics Areas 3, 2019 meeting was made by Representative Jason Petrie, Deputy Chief Justice Hughes explained that Astrophysics, and the only Aerospace Engineering Petrie, seconded by Senator Max Wise, and approved due to how the pilot program has been structured, CIP Code degree program in the state. The University’s by voice vote. the anticipated cost will virtually be zero. Although academic programs provide undergraduate Business Court Docket Pilot Project there have been existing judicial funds used, there research experiences, instrumentation experience, Jefferson County will be implementing a business have not been any additional funds requested or used. engineering design, observational astrophysics court which is a designated section of trial courts After Representative Petrie expressed concerns about research, project management experience, and that handles complex commercial or business business courts being available to the entire state, systems level engineering experience. Students also litigation cases. Business courts typically focus on Deputy Chief Justice Hughes said that after the pilot develop skillsets in space systems development intra-company and inter-company disputes. The program in Jefferson County starts in January 2020, operations, mechanical systems design, and space implementation of business courts have become a then it can be better gaged on how to move forward mission architecture and operations. The B.S. in Space national trend and have been adopted in 24 other states. to make it available and cost effective to claimants and Science, which is transitioning to Space Systems Pilot programs are currently underway in Arizona, businesses across the state and not in just certain areas. Engineering, degree program has had nearly a 100 California, Indiana, Tennessee, and Wisconsin, She said that the regional approach may be a better percent job placement rate and is one of only five but Jefferson County’s pilot project is mostly being option because some areas of the Commonwealth do similar undergraduate programs in the country. The mirrored after Tennessee’s program. Goals of the not have a high volume of civil cases that would be M.S. in Space Systems Engineering was established in business court docket pilot project include improving eligible for business court. 2014, is the first engineering program in the eastern access to justice for all litigants, improving timeliness Replying to Representative McKenzie Cantrell, part of the state, and has approximately a 100 percent for all cases, improving consistency of results in the Deputy Chief Justice stated that although there job placement rate. Graduates of these programs are complex commercial cases, making the state a more are specialized courts on the district and circuit court employed by Rjant Corporation, Space Dynamics attractive forum for doing business, improving use level such as family, veteran, and drug courts, she Laboratory, Honeywell, Aerotek, NASA Johnson of alternate dispute resolutions, and improving the does not anticipate that any other divisions will come Space Center, and Air Force Institute of Technology, public’s perception of the court system. The proposal to fruition within the judicial system. Responding to among others. to bring business courts to the state was studied by another question, Ms. Jakubowicz that the business One of the areas that the Science Center specializes and recommended to the Supreme Court by the Civil court rules have a lot of similarities with federal rules in is creating nano satellite technologies. Projections Justice Reform Commission and was authorized that allow telephonic conferencing to be used for case show that by 2020 an estimated 500 nano or micro in April 2019. The Supreme Court also authorized management and scheduling purposes. She said that satellites will be launched in to space. Constellations the creation of the Business Court Docket Advisory she thinks when the benefits of teleconferencing are of small satellites are used for data transfer, financial Committee and designated divisions four and ten of realized once the pilot project is underway, then all transactions, homeland defense, tactical security, Jefferson Circuit Court for the business court docket. areas of the state judicial system may adopt rules GPS, navigation, earth remote sensing, and inventory Assignment to the Jefferson County Business allowing more telephonic communication. from space. The small satellite market is forecasted Court Docket will include disputes such as breach of Answering a question from Representative Lynn to exceed $30 billion in the coming years but also contract claim involving a business entity, purchase Bechler, Deputy Chief Justice Hughes explained requires a different operational model than large or sale of all or part of a business entity, business tort that from an economic development standpoint, monolithic geostationary constellations. Through claims, commercial real estate, business class actions the implementation of business court will make the partnerships with the government, other universities, not brought by consumers, and environmental state more attractive to businesses and will be taken and the private sector, the Science Center has disputes arising between business entities. There into consideration when businesses are considering launched six satellites and has numerous contracts will exclusions to the business court docket such Kentucky as a potential location. Ms. Jakubowicz with NASA. In 2020 in partnership with the Busek as sales or construction of a residence, employee added that businesses consider many different factors Company, NASA Goddard Spacecraft Center, and and employer disputes, insurance coverage relating in terms of economic expansion and location, and a NASA Jet Propulsion Laboratory, The Morehead to a personal injury dispute, and eminent domain state’s court system is one of those factors. Business State University Space Center will be launching the disputes. In addition, only cases with proper venue courts within the judicial system can be used as a Lunar IceCube on the Artemis 1. The Lunar IceCube, in Jefferson County filed after January 1, 2020 and marketing tool in the promotion of Kentucky. winner of NASA’s NEXTStep Contract, is a 6u small those specifically listed in the inclusion section of Morehead State University’s Space Science satellite whose mission is to prospect for water in ice, the business court rules will be eligible. Attorneys Center liquid, and vapor forms and other lunar volatiles. will have the opportunity to move for or dispute Aerospace exports are the state’s top manufactured Representative Kathy Hinkle thanked Dr. assignment to the business court docket. Judges will export and have increased by 183 percent in the past five Malphrus for all of his work and said the Science also have the opportunity to remove or refer cases to years. According to the U.S. Census Bureau, Kentucky Center has created new opportunities in the aerospace business courts. Parties will be required to participate ranked second in the country in international exports industry. in early scheduling and case management conferences of aerospace products and parts in 2018, valued at Responding to Co-Chair Danny Carroll, Dr. that address issues such as scope of discovery; $12.56 billion and expected to be $14 billion by the Malphrus said that although there is a workshop that electronically stored information; expert witnesses; end of 2019. The aerospace industry supports close Morehead State University offers female junior high confidentiality and protective orders; and mediation. to 21,000 jobs across the Commonwealth and $1.46 school students, there is not enough outreach done to

26 2019 Interim LEGISLATIVE RECORD middle and high school students due to a shortage of D. Bratcher, McKenzie Cantrell, Daniel Elliott, Angie familiar with is traumatic and should be considered instructors and staff which limits what the University Hatton, Joni L. Jenkins, Stan Lee, Savannah Maddox, abuse. De facto custodians should be granted the can provide on the front end of the talent pipeline for Chad McCoy, Reginald Meeks, Jason Nemes, Brandon same visitation schedule as the biological parents the aerospace industry. There are a significant number Reed, and Maria Sorolis. had, rather than minimal grandparent visitation. Ms. of jobs in the industry that go unfilled each year across Guests: Rob Hudson, Frost Brown Todd; Charlie Campbell stated that the court should consider the the country due to a lack of well qualified and trained Vance, CEO, Erigo Employer Solutions; Karen child’s adjustment and continuing proximity to his individuals. However, the Commonwealth is poised Campbell; Amanda Parker, Senior Director and or her home, school, and community when making for growth in the aerospace industry due to the state’s CFO, AHA Foundation; Senator Morgan McGarvey; custody changes. She advocated for a statute that manufacturing hubs, adding centers for distribution Senator Paul Hornback; Whitney Austin, Executive allows a court to revoke parental rights if the court and logistics, and specialized programs being added Director, Whitney/Strong Foundation; Kirsten finds that a child has been abused, neglected, or to state colleges and universities. Russell, Victim; Jeremy Mull, Prosecuting Attorney, diagnosed with neonatal abstinence syndrome at birth. Addressing Representative Ashley Tackett Laferty, Clark County Indiana; Jen Pauliukonis, State Affairs Ms. Campbell noted that they were never informed Dr. Malphrus confirmed that the Science Center Director, Coalition to Stop Gun Violence; Connie about the right to file for parental abandonment. Had does work with Big Sandy Community Technical Coartney, Moms Demand Action; and Art Thomm, they known this, she said they could have adopted her College and the East Kentucky Science Center National Rifle Association. granddaughter. Ms. Campbell stated that a time limit and Planetarium to some extent. Morehead State LRC Staff: Katie Comstock, Alice Lyon, Dale needs to be in place in regards to when a child with a University has an articulation agreement with all Hardy, Randall Roof, Raleigh Dixon, and Yvonne custodial family cannot be removed. schools in the Kentucky Community and Technical Beghtol. In response to Senator Wheeler, Ms. Campbell College System. Approval of the Minutes testified that the court did rule that the Campbells Kentucky’s Growing Opportunity in Aerospace Senator Schickel made a motion to approve the were de facto custodians, and yet the judge ruled in In the 2015 Regular Session House Joint Resolution October 4, 2019 minutes, seconded by Representative favor of the biological parents. 100 was passed that directed the Transportation Reed, and passed by voice vote. Cabinet, Cabinet for Economic Development, Smokers as a Protected Class In response to Chairman Petrie, Ms. Campbell and Commission on Military Affairs to study the Senator Schickel explained that his proposed confirmed that more weight should be given to a economic impact of the aviation and aerospace legislation would remove smokers as a protected class. grandparent or custodial figure if the child has been industry across the state which led to the creation Rob Hudson, an attorney with Frost Brown with them for an extended period of time. of the Kentucky Aerospace Industry Consortium Todd, stated that removing smokers as a protected Female Genital Mutilation (KAIC). The goals of KAIC included the unification class would make Kentucky more competitive while Amanda Parker, Senior Director and CFO with and promotion of the industry; harnessing the helping employees. Mr. Hudson highlighted that Ohio the AHA Foundation, advised that female genital business development through industry certifications employers have the right to choose who they want mutilation (FGM) is a form of child abuse used to and improved cybersecurity; and encouraging as employees, including non-smokers. This creates control the sexuality of females and has no health research and education. The Consortium encouraged a competitive advantage in the Ohio labor market, benefits. Internationally, FGM is considered a human collaboration among industry partners, promoted whereas Kentucky employers do not have the right to rights violation. Ms. Parker reviewed the immediate the industry both within and outside the state, and choose a healthier workforce. If an employer has the complications, long term consequences, and risks to worked closely with those in the education system to ability to choose a smoke-free workforce, it can have babies of mothers who have undergone FGM. Some ensure there is an industry driven workforce in the a positive influence on the workforce by encouraging communities that practice FGM also consider it aerospace cluster. KAIC found that the aerospace individuals to make healthier choices. physically more appealing and more hygienic. This industry has seen tremendous growth with over 600 Charlie Vance, CEO of Erigo Employer Solutions, practice is perpetuated by mothers who believe this is aerospace related companies across the state and that stated that an Ohio State University study found that it in the best interest of their daughters, and ensures their is partially due to a migration of the industry to the costs employers approximately $6,000 more per year to marriageability. Ms. Parker noted that the Centers for Midwest. Unfortunately, 18 months after its creation employ a smoker versus a non-smoker, due to the cost Disease Control and Prevention estimates that half a KAIC was absorbed by the Kentucky Association of of healthcare and loss of productivity. The proposed million girls is the United States are at risk or have Manufacturers because of a lack of funding but will legislation would allow employers to determine if undergone FGM surgery. In addition, the Population continue to advocate for the industry. that is a burden they are willing to accept. Mr. Vance Reference Bureau estimates that 1,845 women and There being no further business, the meeting noted that the Foundation for a Healthy Kentucky girls are at risk or have undergone FGM in Kentucky. adjourned at 2:50 p.m. ranks Kentucky 49th in adult smoking, 44th across A federal law was passed in 1996 banning FGM, but the nation in heart disease, and worst in the nation a federal judge found the law unconstitutional and for cancer deaths. The foundation attributes this to stated FGM is for the states to regulate, not Congress. INTERIM JOINT COMMITTEE ON tobacco use. Mr. Vance stated that employers already Thirty-five states currently have laws banning FGM. take on a huge financial responsibility in hiring and Ms. Parker advised that Senator Adams’ bill draft JUDICIARY should be allowed to choose whether or not to take would ban FGM and make it a class B felony; would Minutes of the 6th Meeting on the additional financial burden of hiring a smoker. ban the taking of a girl across state lines for the of the 2019 Interim Smoking is a behavioral choice, whereas gender, race, procedure; would provide education, outreach, and November 22, 2019 and other classifications are not. training; would revoke medical licensing if convicted Call to Order and Roll Call Grandparent Custody of FGM; would provide civil action for survivors up The 6th meeting of the Interim Joint Committee Karen Campbell, a grandparent, testified that her to ten years past their 18th birthday; and would define on Judiciary was held on Friday, November 22, 2019, granddaughter was born with neonatal abstinence FGM as child abuse. at 10:00 AM, in Room 154 of the Capitol Annex. syndrome and that she and her husband assumed Jenny, a victim of FGM, added that the estimated Senator Whitney Westerfield, Chair, called the custody. After having custody for seven years, the number of girls at risk in the United States did not meeting to order, and the secretary called the roll. Family Court judge awarded full and permanent include her or other Caucasian or Christian girls that Present were: custody to the biological parents. The Campbells are have undergone FGM. Jenny wants a law banning Members: Senator Whitney Westerfield, Co- now labeled as de facto custodians, and beginning next FGM to serve as a deterrent rather than punishment. Chair; Representative Jason Petrie, Co-Chair; Senators month are allowed only set visitation. Ms. Campbell She stated that if Kentucky does not ban FGM, it will Danny Carroll, Gerald A. Neal, John Schickel, stated that there are no laws protecting grandparents allow people to transport girls here for the procedure Wil Schroder, Stephen West, and Phillip Wheeler; who stand in and raise their grandchildren. She said to be performed. Jenny was five years old and has Representatives John Blanton, Charles Booker, Kevin that forcing a child to stay in a home they are not memory of the procedure, which caused long-term

THE KENTUCKY GENERAL ASSEMBLY 27 effects such as post-traumatic stress disorder, trust a gun owner, she believes it is her responsibility to time. In regards to the time period before returning issues, school issues regarding bathroom breaks, and speak out in favor of reasonable solutions that seek firearms, Senator McGarvey stated that the judge having to have C-section childbirths. She stated that to balance public safety with the right to bear arms. would have discretion on how long, but it would be having a law would not only inform the medical and An ERPO would provide intervention that is not no longer than one year. law enforcement professions of the practice of FGM, available today, offers bipartisan support, is effective In response to Representative Booker, Senator but would inform and encourage victims to reach out in reducing suicides and averting mass violence, is McGarvey stated that they are considering best for help. In addition, it would give mothers who do gun owner centric, and mirrors Domestic Violence practices in determining who can request the not want their daughters to undergo FGM grounds to Orders and Emergency Protection Orders. order and at this point they are only including law stand on against family members who still believe in Jen Pauliukonis, State Affairs Director of the enforcement and immediate family members. This the practice. Coalition to Stop Gun Violence, stated that the rate of statute would not address how many times a petition In response to Senator Schroder, Ms. Parker gun violence in Kentucky is 1.3 times higher than the can be made because an action that is dismissed stated that specific legislation is necessary because national average, and gave statistics on the increased without prejudice by a court can be refiled. communities that believe in the practice of FGM do number of suicides in rural Kentucky, of which In response to Representative Maddox, Senator not consider it assault, and the lesser forms of FGM the majority were committed using firearms. She McGarvey stated that abuse of alcohol has been may not fall under the definition of assault. highlighted studies that recommended preventing removed from the legislation. The current proposal In response to Senator Wheeler, Ms. Parker access to firearms as a way to save lives. ERPOs offer reads that a court may consider “relevant evidence”. confirmed that the half a million females estimated a temporary solution to those suffering from a crisis, Representative Maddox added that this legislation at risk in the United States is based on immigration allowing time for family and the individual to get the violates the Constitutional rights of due process and rates from countries that practice FGM, but does not help needed. Ms. Pauliukonis reported that, as has the presumption of innocence. include those communities in the United States that in other states, this law could potentially affect the Connie Coartney, Kentucky State Volunteer also believe in the practice. So the number at risk is number of mass shootings, suicides, and homicides Chapter Lead of Moms Demand Action for Gun actually higher. in Kentucky. Sense in America, gave statistics on deaths and Extreme Risk Protection Orders In response to Representative Maddox, Senator suicides by firearms. Ms. Coartney added that ERPOs Senator Hornback stated that his reason for Hornback wants safeguards upfront to protect the provide law enforcement and family members a tool supporting Extreme Risk Protection Order (ERPO) individual’s rights, including who can request an to intervene in a crisis situation. legislation is based on changes in society. ERPO and offering some type of court counsel. Art Thomm with the National Rifle Association Senator McGarvey stated that 17 states have In response to Senator Carroll, Senator McGarvey stated that IPOs and EPOs are already in place to already adopted ERPO legislation. The purpose is to stated that an adverse aspect of the 72-hour remove firearms from those deemed dangerous to protect individuals from harm as well as protecting hold period is that there is no mental evaluation themselves or others. Mr. Thomm added that an their 2nd Amendment rights, by giving them a completed afterwards to determine if the individual individual may have to spend a large sum of money temporary “timeout”. ERPOs have been most effective should or should not have a firearm. In regards to and take time off work to defend themselves against in suicide prevention. The proposed bill would limit the procedure for an ERPO, an approved individual charges. those who could make the request, and would require would present to the court evidence of an imminent Adjournment a court hearing to determine if the individual should and substantial danger, the judge would determine There being no further business the meeting have longer-term firearm restrictions. whether the burden of proof is met and may sign an adjourned at 12:15 PM. Kirsten Russell, a gun violence victim, testified ERPO, then the individual would be denied access to that her brother killed their mother by shooting her their firearms for up to 14 days, when they then come INTERIM JOINT COMMITTEE ON multiple times and then shot and killed himself. before the court to determine whether a longer-term Family members recognized that he had changed firearm restriction is appropriate. Even if the person APPROPRIATIONS AND REVENUE since returning from the Navy. He was not able to is found to be an immediate danger to themselves or Budget Review Subcommittee on Education hold a job and constantly worried that people were to others, they can petition the courts to have their Minutes of the 5th Meeting following him. Attempts of family intervention and a firearms returned after the person has stabilized. of the 2019 Interim November 19, 2019 mental inquest warrant were denied. Because he had Senator Hornback added that it is not always a mental no criminal record he was able to purchase firearms. illness, but may be a temporary mental life crisis that Call to Order and Roll Call Ms. Russell stated than an ERPO could have changed the person is experiencing. Senator McGarvey added The 5th meeting of the Budget Review this outcome. that mental health professionals have asked not to be Subcommittee on Education of the Interim Joint Jeremy Mull, Prosecuting Attorney for Clark on the list of those who can petition for an ERPO. Ms. Committee on Appropriations and Revenue was County Indiana, testified that Indiana has had a Pauliukonis stated that only 4% of all interpersonal held on Tuesday, November 19, 2019, at 10:00 AM, dangerous persons firearm law (referred to as the violence is actually committed by someone with a in Room 154 of the Capitol Annex. Senator Alice Jake Laird Law) since 2005, which passed 48 to 1 in serious mental illness. A temporary life crisis issue can Forgy Kerr, Chair, called the meeting to order, and the the Indiana Senate and 91 to 0 in the Indiana House. be related to financial, relationship, and employment, secretary called the roll. Some of the similarities between the Indiana law and not necessarily a mental health issue. Present were: and legislation being considered in Kentucky are In response to Senator Schroder, Mr. Mull Members: Senator Alice Forgy Kerr, Co-Chair; that a police officer has to make a probable cause explained Indiana’s ERPO process. In regards to Representative Steve Riley, Co-Chair; Senators C.B. determination (similar to an arrest), the prosecutor penalties for making false accusations, Mr. Mull Embry Jr., Christian McDaniel, Johnny Ray Turner, has to file an action, and a judge has to make a stated that a police officer makes the determination as and Mike Wilson; Representatives Tina Bojanowski, finding of clear and convincing evidence that the to whether or not to proceed with the seizure of guns Randy Bridges, David Hale, Cluster Howard, C. Ed person is dangerous. Mr. Mull stated that he uses based on their evaluation of the individual. However, Massey, Bobby McCool, and Attica Scott. the law regularly but not frequently. While one can the false informing statue that criminalizes making Guests: Ryan Hale, Advanced Placement never know exactly what the law may prevent from false reports or information to police officers in Instructor, Western Hills High School; Stacy Bassett, happening, Mr. Mull stated he is confident that the Indiana would apply if necessary. Senator McGarvey Senior Director of State Government Relations, law has saved many lives in Indiana. added that Kentucky’s statute that criminalizes the College Board; Brian Gupton, Chief Executive Officer, Whitney Austin, Executive Director of Whitney/ filing of a false report is a Class A misdemeanor. Dataseam; Dr. John O. Trent, Deputy Director of Strong, testified to the mass shooting at her place of In response to Representative Hatton, Senator Basic Translation Research, James Graham Brown employment in Cincinnati, Ohio, where she was shot McGarvey confirmed that there has been no official Cancer Center, University of Louisville; Charles 12 times by a co-worker. Ms. Austin stated that, as input from the Fraternal Order of Police at this David (CD) Morton, Superintendent, Harlan Independents Schools; Eric Kennedy, Director of

28 2019 Interim LEGISLATIVE RECORD Advocacy, Kentucky School Boards Association; In response to a question from Senator Turner, Mr. for FY 19, well below peer groups which had returns Dr. Rhonda Caldwell, Executive Director, Kentucky Gupton said the grant for Dataseam was awarded in of 6.4-6.8 percent. CERS is largest system in KRS, 64 Association of School Administrators; Dr. Jim Flynn, 2005 and the General Assembly made the legislative percent of the membership. CERS is growing while Executive Director, Kentucky Association of School appropriation in 2006. membership in KERS shrinks. CERS is also most of Superintendents. There being no further business to come before the assets KRS manages, which is 73 percent. That LRC Staff: Chuck Truesdell, Nick Peak, and Amie the subcommittee, the meeting was adjourned at is uneven representation for CERS. CERS is only 35 Elam. 12:07 p.m. percent of the KRS Board of Trustees, 11 percent School Safety of the investment committee and 17 percent of its Representatives from the Kentucky School Boards actuarial subcommittee. Association (KSBA), the Kentucky Association of INTERIM JOINT COMMITTEE ON Another top priority is modernization of the road School Administrators (KASA), and the Kentucky funding formula. The condition of the roads says a lot Association of School Superintendents (KASS), spoke LOCAL GOVERNMENT about the Commonwealth. Cities maintain more than to the committee regarding school safety issues and Minutes of the 6th Meeting 10,000 miles of public roads. Costs for municipalities 2019 Regular Session Senate Bill 1. of the 2019 Interim have increased 17 percent in the past nine years, November 21, 2019 In response to a question from Senator McDaniel, while state and federal funding dropped 21 percent. Mr. Kennedy said that SEEK would likely be the most Call to Order and Roll Call Modernization also includes updating the state’s effective way to fund school safety initiatives. He added The sixth meeting of the Interim Joint Committee motor fuels tax, which has not changed since 2015. that the SEEK program would be able to account for on Local Government was held on Thursday, Twenty-two other states have increased the tax since all of the differences among school districts. Mr. November 21, 2019, at 8:00 AM, in Room 149 of the that time, including Indiana, Tennessee and Ohio. Kennedy said that KSBA will provide the committee Capitol Annex. Senator Wil Schroder, Chair, called The Road Fund is allocated by the “formula of fifths” with specifics regarding the best and most effective the meeting to order, and the secretary called the roll. that was established in 1948. The state’s population ways to fund the implementation of Senate Bill 1. Mr. Present were: has shifted. Counties must not be harmed. An Kennedy stated that he would provide the committee Members: Senator Wil Schroder, Co-Chair; agreement to modernize the formula equally splits with actual personnel costs rather than the mandated Representative Michael Meredith, Co-Chair; Senators new revenue above $825 million to ensure counties costs that were shown on the slides. Dr. Flynn said Ralph Alvarado, Denise Harper Angel, Christian are held harmless. Cities and counties would each get that any position that requires a certification will be a McDaniel, Morgan McGarvey, Robby Mills, Albert 13 percent of motor fuels taxes collected above the part of the Teachers’ Retirement System. Robinson, Damon Thayer, and Johnny Ray Turner; $825 million mark. In response to a question from Representative Representatives Danny Bentley, George Brown Jr, Revenue diversification is also a top priority for Scott, Mr. Kennedy said that School Resource Jeffery Donohue, Larry Elkins, Joe Graviss, Cluster cities, equalization and modernization of funding Officer (SRO) training falls under the Department of Howard, Kim King, Adam Koenig, Russ A. Meyer, options. That includes opposing any effort to Criminal Justice Training. He said that Commissioner Jerry T. Miller, Rob Rothenburger, John Sims Jr, and centralize tax collection. Diversifying income options Alex Payne would have information relating to SRO Ashley Tackett Laferty. for cities empowers local governments to find the training. Guests: Bill Dieruf, City of Jeffersontown Mayor; funding sources that best fit their community. Let In response to a question from Representative Troy Rudder, City of London Mayor; J.D. Chaney, Bert local elected officials and their constituents decide Scott, Dr. Flynn said that he would have to research May, Michele Hill, and Bryanna Carroll, Kentucky where money should go. Currently the restaurant restorative justice practices in Kentucky to provide a League of Cities; Gary Moore, Boone County Judge/ tax is only allowed to be collected in former fourth better answer to the committee. Executive; Reagan Taylor, Madison County Judge/ and fifth class cities. Under the proposal, cities that In response to a question from Representative Executive; Phil Sammons, Boyle County Magistrate; collect the restaurant tax revenue would not collect a Bojanowski, Mr. Kennedy said that as of the 2019 Amy Milliken, Warren County Attorney; Elbert net profits or gross receipts tax. Mayor Rudder’s City Regular Session there were a few schools in Kentucky Bennett, Caldwell County Magistrate; Kevin Corman, of London collects restaurant taxes. that did not have a designated school counselor. Mr. Jessamine County Sheriff; Jim Henderson and Shellie Mayor Troy Rudder, City of London and KLC Kennedy said that reimbursements for SROs would Hampton, Kentucky Association of Counties; Ron First Vice-President, told the Committee that the depend on the provisions the General Assembly puts Wolf, Associated General Contractors of Kentucky; restaurant tax works well for the City of London and in the budget bill. and Sara Beth Gregory, Auditor of Public Accounts has allowed the city to build parks for the people and In response to a question from Representative Office. invest in the future. It brings in around $3 million. Massey, Mr. Kennedy said that Senate Bill 1 requires LRC Staff: Mark Mitchell, John Ryan, Joe He did not know of any city that would not benefit districts to submit a report that will allow for better Pinczewski-Lee, and Cheryl Walters. from a restaurant tax. It changed the whole direction information gathering regarding the implementation Approval of Minutes of the city. and progress of school safety measures. Upon the motion of Senator McDaniel, seconded Mayor Dieruf stated that as the state looks to move Advanced Placement by Representative Sims, the minutes of the October 3, more into consumption-based taxation, KLC is asking Advanced Placement (AP) Instructor, Ryan 2019 meeting were approved. the legislature to include the option of a local sales Hale, and Stacy Bassett, Senior Director of State Kentucky League of Cities (KLC) Legislative tax in order to allow the citizens of the cities control Government Relations, College Board, addressed the Platform for the Upcoming 2020 Session of the their destinies. The question is asked: if a particular committee regarding AP instruction and exams in General Assembly tax is passed, will another be offset? This is possible Kentucky high schools. Mayor Bill Dieruf, City of Jeffersontown and in Jeffersontown, but other cities are different. Each Dataseam KLC President, told the Committee that cities are needs the tools to provide the services its residents Representatives from Dataseam, Harlan County the economic engines of the state—where the jobs require. Schools, and the James Graham Brown Cancer Center are, where people live and where the state is seeing Kentucky is one of only 12 states that does not updated the committee on the accomplishments of the most growth. Kentucky cities’ growth since 2010 allow one or more local governments to collect that the Dataseam project. represents 81 percent of the state’s entire population funding. It is also important that the legislature In response to a question from Representative growth. protect the ability of taxpayers to credit occupational Massey, Mr. Gupton said that 46 districts are The top focus for cities is separate governance of taxes owed to a city against any county tax owed. This participating in Dataseam. He said that roughly 20 of CERS that is free from political influence. In the past ensures taxes are not stacked on citizens and that they those districts are part of a limited expansion of the 20 years, employer contribution rates have doubled. do not pay for duplicate services. Removing the credit program. Since the CERS contribution phase-in bill of 2008, would result in millions of dollars of higher taxes for cities and counties have worked to find the money. a quarter million Kentuckians. That resulted in CERS getting a return of 5.8 percent THE KENTUCKY GENERAL ASSEMBLY 29 Mayor Rudder told the Committee that one of combat the state’s substance abuse epidemic. separated from the other systems. the top issues on KLC’s agenda this year is reflective Additionally, cities are asking for the same option In response to a question from Representative of a growing problem in cities of all sizes, which is given to private employers to prohibit an employee Donohue, Mayor Dieruf stated that the difference the increased number of blighted, deteriorated and from carrying a weapon during his or her official between the League’s proposal for the option of a vacant properties. Dealing with these eyesores is often duties. local sales tax and LIFT is that KLC is simplifying it a challenging and an expensive endeavor. Cities need The League seeks to limit the policing powers to have the ability to put it on the ballot to change the new tools to deal with enforcement and rehabilitation. of untrained constables for citizens’ safety, and is Kentucky Constitution to allow a local government to Not dealing with the problem brings down property looking for help in cleaning up legacy police and fire pass a local sales tax. values in the community, decreases quality of life for pension plans. In response to a question from Senator Mills, Mr. neighbors, and poses a safety and crime risk. KLC is seeking legislation that allows Chaney stated that the current regulations relating One solution KLC is proposing requires the municipalities to enter into contracts with private to swimming pools apply to splash parks and pads legislature’s help--legislation that allows for a ambulance services for periods longer than a year, and those regulations are not conducive to operating conservatorship to rehabilitate these types of areas. and is looking for changes to the way the state splash parks and pads. The court-appointed conservator would be required certifies paramedics and EMTs to improve the hiring In response to a question from Representative to have experience in the rehabilitation of buildings of qualified candidates to ensure that public safety Howard, Mr. Chaney stated that cities and counties and would have to be able to provide financing for services are available when needed. are working together on the issue of consumer-based the project. This solution would apply to properties Most local officials serve in a part-time capacity. restaurant revenue. It is not a formal ad hoc group, that had been vacant for at least a year with no They serve out of sense of duty to the community, but it is better than one. pending foreclosure and no effort to market it within often while also working in a full-time job. If that In response to a question from Representative the previous 60 days. Properties would have to be career happens to be with an employer who is also Meyer, Mr. Chaney said it is the League’s proposal to out of compliance with local codes and be unfit for in one of the state’s pension systems, an elected city allow all cities to collect a restaurant tax, and if so, occupancy. These are structures that are a danger to leader cannot retire from that career without also that tax would be lieu of net profits and gross receipts the community’s health, safety, and economic welfare. leaving their elected office. KLC is seeking legislation taxes on the restaurants. London has dealt with 120 of those types of properties to fix this issue. In response to a question from Representative in the past five years. City leaders are seeking a change in how Sims, Mr. Chaney said that the law does not allow Also on KLC’s agenda is a proposal to modernize annexation filings are made with the Secretary of county governments to collect restaurant taxes. The communication and save taxpayer money. Kentucky State, which is to allow electronic filings which will League would not be for stacking the restaurant taxes cities spend an estimated $1.4 million a year on state- improve efficiency. if counties were allowed to do so. mandated publication costs. A Pew study found KLC is also seeking legislation to streamline the Senator Schroder commented that it makes sense only 20 percent of adults report going to their local Interlocal Cooperation Act, so the process is easier to have regulations in place for splash parks and pads. newspaper for information, compared to 90 percent to execute in order to encourage cooperation among Regarding open records, Senator Schroder stated who use the internet. Putting notices, bid solicitations local governments. that it might be helpful to see what other states are and other important documents on a website makes Cities are facing new challenges with defunct doing on how to address the request numbers, them free for people to access, instead of requiring homeowner associations and planned-unit especially out of state requests. them to buy a newspaper. It also makes the documents documents that do not cover maintenance of common Representative Meredith commented that available for a longer time. This issue was addressed areas. The League is seeing issues with splash parks Kentucky is one of only 17 states that allows in temporary legislation passed in 2018, but only and pads that have pointed out the need to define laws occupational taxes to be collected. Kentucky is one of impacted 135 cities. It expires next year. KLC is asking and regulations that cover these locations. the five states that are most reliant on occupational the legislature to allow cities to use technology to KLC is looking forward to working with the taxes. In moving forward, cities need to mirror what better communicate with their constituents. legislature on these top issues. is being done at the state level. KLC is looking to expand upon the passage of 2019 In response to a question from Representative Kentucky Association of Counties (KACo) SB 29. SB 29 allowed cities with a population of less Miller, Mr. J.D. Chaney, Deputy Executive Director Legislative Platform for the Upcoming 2020 Session than 20,000 to impose a regulatory license fee to help of KLC, stated that Senator Mills has filed a bill that of the General Assembly offset the cost of additional policing and regulation would allow for a conservatorship. The court would Boone County Judge/Executive Gary Moore, and that comes with alcohol sales. Cities are asking the appoint someone to rehabilitate the property, bring it KACo President, noted the constituency of KACo’s legislature to even the playing field and make that up to code, and then sell the property and recover the membership and told the Committee that KACo’s option available to all municipalities. costs for rehabilitation. members were engaged in all 15 area development Cities are seeing some unintended consequences Representative Miller commented that it was districts by KACo representatives, and were polled with changes made to the open records law in the ridiculous to require publication of notices in the during KACo’s annual conference last month, where 2019 Regular Session. 2019 SB 230 allowed requests newspaper, and it is time to let cities publish on the more than two-thirds of attendees representing 106 to be emailed, but cities have found that is creating internet. counties provided responses. Counties feel that a problem for clerks who are overwhelmed with In response to a question from Representative their hands are tied when it comes to generating inquiries. Kentucky cities receive around 4,500 open Graviss, Mr. Chaney replied that the conservatorship the revenue needed to perform all the statutory and records requests a year and spend more than 750,000 would apply to counties as well as cities. The local constitutional duties required of them. hours of city staff time each year trying to answer government would file a petition in the courts for the Based on that feedback, KACo identified its them. An amendment to last year’s law can address conservatorship or to contract with someone to act as top three priorities for 2020. The top priority was the numerous out-of-state requests and correct conservator and the courts would appoint someone transportation funding, which is one of the state’s attempts to circumvent the discovery process in to conserve it. priorities as well. Counties have made great strides in civil litigations. Additionally, an amendment to the In response to another question from its economic development efforts and know how vital open meetings law can help cities protect sensitive Representative Graviss, Mr. Chaney said the good roads are to job creation. information and protect public finances, especially conservatorship would not affect planning and In KACo’s 2019 poll, a majority of the members when dealing with the purchase and sale of property zoning. stated that more than 40 percent of county roads are and job evaluations. In response to a final question from Representative in need of moderate to significant repair and a quarter KLC continues to support legislation that enhances Graviss, Mayor Dieruf said that regarding the CERS of the members said that more than 60 percent of economic development in Kentucky’s cities, and is separation proposal, both the money in the system their roads need repair. ready to work with the legislature on measures that and the decision-making by the board would be Counties own half of all the roads and 34 percent

30 2019 Interim LEGISLATIVE RECORD of all the bridges in the state. Many fiscal courts have The per diem rate has not been adjusted for 13 In response to another question from Senator had to extend the time between road and bridge years and is paid to the county only after an inmate Schroder, Judge Moore stated that Amazon is building maintenance due to increased costs and decreased has been sentenced in a felony case which is often many roads on airport property themselves. The area County Road Aid. In 2018, counties, excluding two years or longer. Counties bear the entire cost for is looking at tens of millions of dollars of needs for Jefferson and Fayette counties, spent almost $60 housing misdemeanants. roads which was discussed between local and state million out of their general fund dollars on roads and As inmates await trial, the county pays every government to provide the infrastructure to bring bridges. This is over and above what counties received penny of that person’s stay, regardless of whether the jobs into the Commonwealth. There have been from their portion of the motor fuels tax, which has they are arrested for a felony or misdemeanor. But positive discussions with the Transportation Cabinet. decreased or remained flat in recent years. Some they are not arrested because they broke a county law. Representative Sims commented that as a former roads in Crittenden County have had to be graveled They are there because they broke a state or federal county magistrate he appreciates KLC and KACo because of falling road money aid allocations where law. Counties should be reimbursed for those costs. supporting a gas tax. they had been chipped and sealed earlier. Counties have no control over this process, but just Senator McDaniel commented that the gas tax More revenue is needed to improve state roads bear the financial burden. This is not a desirable is not the only way Kentucky finds revenue for its which in turn helps both cities and counties. model from a business perspective. road fund. Examining expenditures would be better Representative Sal Santoro has filed legislation KACo supports the following solutions: increase accomplished by viewing expenditures by lane mile for the last two sessions that would address critically the state per diem rate; pursue criminal justice or by population. It is important to remember that the needed revenues for state projects and maintenance, reform, including pre-trial release; broaden and fund road fund is the highest level it has ever been. as well as county roads and bridges. KACo supported substance abuse treatment; and reimburse credit for In response to a question from Senator McDaniel, both of those bills. KACo was a founding member of time served. Judge Moore stated that KACo was not prepared at the Kentucky Infrastructure Coalition (KIC), a broad Judge Moore noted that incarcerated individuals this time to say whether or not it supports counties group of stakeholders who have pledged their support lose Medicaid and Medicare and other federal benefits taking over the libraries and absorbing the revenues for the measure, and which is prepared to do it again. during incarceration and noted that there could be into the county budget, but some counties do want to An overwhelming majority, 93 percent, of those constitutional issues associated with that suspension do that or something similar. polled support a gas tax increase, with nearly half during incarceration prior to conviction. The National Senator McDaniel noted that regarding the supporting at least a 10-cent increase. KACo members Association of Counties and the National Association requirements of housing of prisoners in consideration have the legislature’s back. of Sheriffs are working together to address this issue of limited county resources, that there are three KACo’s next priority is jails. In the poll, more than in Congress. options: counties continuing to house prisoners in half said that jail costs are putting the most pressure Judge Moore stated that KACo’s final priority the same manner as is presently done; delegate the on county budgets. is tax reform. The tax system at the state level is law making ability relative to misdemeanor crimes to Madison County Judge/Executive Reagan Taylor antiquated and makes Kentucky less competitive with county control; or shut down county jails. and KACo President-Elect, told the Committee surrounding states. Each time revenue options for In response to a question from Representative that Kentucky has an incarceration problem being local governments are explored, counties are told to Graviss, Judge Moore stated that he individually driven by addiction and a mental health crisis. In the wait for comprehensive tax reform. If that happens, recommends expanding consumption based taxes 1950’s there were 330 mental health beds per 100,000 counties ask for a seat at the table. rather than using income taxes at the state level as a population in America. By the early 2000’s, it had Eighty of the counties depend on income or form of revenue. dropped to only 29 beds per 100,000 population. occupational taxes for the majority of their revenues. Senator Alvardo commented that he was glad Counties are not equipped to handle this. County jails KACo supports local sales tax authority and to hear that KACo is supporting county control of were intended to be temporary holding facilities but understands that it would replace other revenues SPGEs, and looking forward to working with them. have evolved into mini state penitentiaries without presently available to counties. KACo believes that Regarding the road formula, Senator Thayer the resources to provide comprehensive rehabilitation this could take some of the burden off of residents commented that KACo should be careful with the of inmates. and access moneys from outside their jurisdictions. urban-rural divide. The jail crisis across Kentucky is no secret. It is KACo’s members also support the restaurant tax In response to a question from Senator Thayer, something every county faces whether it operates being offered to counties as well as cities. Judge Moore stated that KACo agrees with KLC its own jail or partners with neighboring counties Unfunded mandates are never a good thing. One regarding the $825 million cap and subsequent to house its inmates. Each county is financially example is what occurred with the 2018 revenue bill, redistribution of funds to cities and counties in the responsible for its own incarcerated population. The when a county’s portion of audit costs were increased road formula. state also faces corrections-related challenges. from fifty to seventy-five percent, shifting costs from Senator Thayer commented that he was glad that In researching Madison County’s jail crisis, it the executive branch budget to counties. If counties KACo changed its position regarding SPGE taxation has been found that arresting and incarcerating are were consulted, they would have recommended the issues. not working. In Madison County, 85 percent of the use of state authorized private auditors as they can Representative Meredith thanked KLC and KACo individuals are arrested on drug-related crimes at an perform the audits in an economical and efficient for working together on the road formula. He liked 80 percent recidivism rate. This is consistent across manner. The audits would have remained subject to that the two groups are working together and being the Commonwealth. State Auditor review under that recommendation. proactive. Incarcerated population growth has far outpaced Additionally, counties could have still used the State Representative Meredith commented that there Kentucky’s actual population growth. As counties’ Auditor to perform their audits if they preferred. needs to be cooperation from the Judicial Branch incarcerated population continues to rise, so does the Control over Special Purpose Governmental regarding the jail issue. financial obligation of counties. Prior to sentencing, Entities’ (SPGEs) tax rates by elected officials has There being no further business, the meeting was the cost to house and care for inmates can be as high been a concern for some legislators, so KACo polled adjourned at 9:40 a.m. as $75 a day. its members. KACo’s members’ opinions have shifted Once that individual is sentenced and has become from opposition to being more supportive of that a state inmate, the state only reimburses the county option for counties. Counties are willing to partner $31.34 a day per inmate. It has become a financial and work with the legislature. burden. And when the jail is overcrowded, as is the In response to a question from Senator Schroder, case in Madison County, overflow inmates are forced Judge Moore replied that KIC stands for Kentucky to be housed in other counties’ jails, sometimes at a Infrastructure Coalition, which is made up of 40 cost more than double the state reimbursement rate. member groups.

THE KENTUCKY GENERAL ASSEMBLY 31 INTERIM JOINT COMMITTEE ON adjourned. question about whether REEs are considered a national security issue, Dr. Groppo said that securing AGRICULTURE a domestic source for REEs is important to national Subcommittee on Rural Issues INTERIM JOINT COMMITTEE security. The United States Department of Energy Minutes of the 1st Meeting ON NATURAL RESOURCES AND has lead the charge for REEs, because it is needed for of the 2019 Interim November 18, 2019 ENERGY building certain kinds of weaponry. Minutes of the 6th Meeting Continuing, Dr. Groppo stated that e-waste can Call to Order and Roll Call of the 2019 Interim be used as a resource for REEs, and items of interest The 1st meeting of the Subcommittee on Rural November 19, 2019 in that resource stream include hard drives, printed Issues of the Interim Joint Committee on Agriculture Call to Order and Roll Call circuit boards, and electric vehicle batteries. The was held on Monday, November 18, 2019, at 8:30 The 6th meeting of the Interim Joint Committee on REEs derived from these resources are needed to AM, in Room 131 of the Capitol Annex. Senator Stan Natural Resources and Energy was held on Tuesday, build the wind turbines and can also be used in other Humphries, Chair, called the meeting to order, and November 19, 2019, at 3:00 PM, in Room 154 of the applications such as weapons. the secretary called the roll. Capitol Annex. Senator Brandon Smith, Chair, called The University of Kentucky is developing a Present were: the meeting to order, and the secretary called the roll. research program to use byproducts from e-waste. Members: Senator Stan Humphries, Co- Present were: The research program is a joint project between Chair; Representative Walker Thomas, Co-Chair; Members: Senator Brandon Smith, Co-Chair; the UK College of Engineering and the Center for Representatives Larry Elkins, Mark Hart, Richard Representative Jim Gooch Jr., Co-Chair; Senators Applied Energy Research. The advantages of using Heath, Kim King, John Sims Jr, and Nancy Tate. Matt Castlen, C.B. Embry Jr., Paul Hornback, Robby the REEs from e-waste is that (1) the REEs are of a Guests: Erran F. Persley, Commissioner, Mills, John Schickel, Reginald Thomas, Johnny Ray high grade, (2) other metals can be recovered, and Department for Business Development, Cabinet for Turner, Robin L. Webb, Whitney Westerfield, and (3) there is already an existing infrastructure for Economic Development. Phillip Wheeler; Representatives John Blanton, the collection and separation of those wastes in the LRC Staff: Nathan Smith, Kelly Ludwig, and Charles Booker, Adam Bowling, Terri Branham Clark, recycling stream. Rachel Hartley. R. Travis Brenda, Randy Bridges, Jim DuPlessis, Currently there is no technology for the separation Economic Development Projects in Rural Daniel Elliott, Chris Fugate, Angie Hatton, Derek of REEs from e-waste, so that waste tends to be Kentucky Lewis, Suzanne Miles, Melinda Gibbons Prunty, Josie exported or stored in a warehouse in the United States. Senator Humphries stated Ebonite in Hopkinsville Raymond, and Cherlynn Stevenson. Dr. Groppo believes there is a significant economic moved manufacturing production to Mexico and Guests: Dr. Jack Groppo, Professor of Mining opportunity in developing this technology. Dean Foods filed for bankruptcy. Engineering, Center for Applied Energy Research, In response to a question from Senator Wheeler, Erran F. Persley stated during the Bevin University of Kentucky. Dr. Groppo stated China only wants to sell finished administration there were 59,000 new jobs added, LRC Staff: Stefan Kasacavage, Janine Coy-Geeslin, products, not REE. The Department of Defense is $22 billion in investments announced, and more than Tanya Monsanto, and Rachel Hartley. concerned because of national security. 1,200 new projects. Most of the investments are from In response to a question from Representative companies in Kentucky and are in rural areas. Recovery of Rare Earth Elements from Blanton, Dr. Groppo stated companies in the United Mr. Persley provided a brief overview of small Byproduct Sources States that claim to have this technology have not business and entrepreneurship development Jack Groppo stated that rare earth elements been able to adequately demonstrate it yet. programs including: the Small Business Tax Credit, (REE) are actually very common; however, they Representative DuPlessis commented that the Small Business Credit Initiative, Selling Farmer Tax are rarely found in high concentrations. REE are United States should do smelting and fabrication Credit, State Trade Expansion Program, and Regional utilized in magnetics, phosphors, metal alloys, rather than send those jobs to China. Innovation for Startups and Entrepreneurs Hubs. catalysts, ceramics, glass, and defense. One important Dr. Groppo responded that there are three The Cabinet for Economic Development (CED) downstream market for REEs is magnets used in operating smelters in the United States, but they need utilizes a regional approach, because the workforce in larger wind turbines that can be used for electricity a sulfuric acid plant nearby during the process. Kentucky is willing to commute to work outside of generation. There being no further business, the meeting was the county in which they reside. By using a regional There are no wind turbines in Kentucky that adjourned. approach, CED is able to better convince foreign are utility scale because there is no reliable wind investors to use the regional workforce. potential; however, wind turbines are the fastest There are 84 counties in Kentucky that have growing application for renewable electric generation MEDICAID OVERSIGHT AND Opportunity Zones that are low-income and in the United States. There are now 12 megawatt ADVISORY COMMITTEE undeveloped areas. There are tax incentives to attract wind turbines commercially available, which is more Minutes of the 6th Meeting investment in these zones. than double the size of wind turbines a year ago. The of the 2019 Interim The Product Development Initiative is an increase in size is due to using magnets manufactured November 18, 2019 investment program with an objective to promote with REE. Call to Order and Roll Call corporate investment and job growth. Qualified The United States does not have mineable The 6th meeting of the Medicaid Oversight and applicants will receive monetary assistance to create sources of REEs so research has been focused on Advisory Committee was held on Monday, November more competitive sites and buildings. The two-year developing technologies to separate REEs from 18, 2019, at 10:00 AM, in Room 171 of the Capitol budget is $6 million and applicants can be awarded alternative resource streams. Resource streams for Annex. Representative Daniel Elliott, Chair, called up to $500,000 for property improvements. REEs include: coal preparation refuse and middlings, the meeting to order, and the secretary called the roll. Mr. Persley provided a brief overview of the coal combustion fly ash, acid mine drainage, and Present were: CED budget requests including: funding for 16 electronic scrap and electronic waste or e-waste. Of Members: Senator Stephen Meredith, Co-Chair; vacant positions plus two additional new positions, those, e-waste is the richest source for REEs. Coal Representative Daniel Elliott, Co-Chair; Senators marketing funds, additional funds needed for cabinet seams contain about 140 parts per million (ppm) of Ralph Alvarado, and Danny Carroll; Representatives programs, and funding for the Rural Jobs Act. REE whereas e-waste has about 300 to 500 ppm of Melinda Gibbons Prunty, Steve Sheldon, and Lisa Representative Thomas provided an update on the REE. Willner. Ebonite closure in Hopkinsville. There were 171 jobs In response to a question about the source of REEs Guests: Nancy Galvagni, President, Kentucky lost, but job fairs are providing opportunities for the in China, Dr. Groppo said that the REEs there are Hospital Association; Charles Lovell, Chief Executive unemployed. mined from mineral sands. In response to another Officer, Barbourville Appalachian Regional There being no further business, the meeting was Healthcare; Allison Adams, President, Kentucky

32 2019 Interim LEGISLATIVE RECORD Health Departments Association; Dana Nickles, and legislators to procure supplemental payments. their goal to realign state resources with the mandates Executive Director, Kentucky Health Departments She also made suggestions about additional actions and good policy. Association; Scott Lockard, Public Health Director, that could be taken to help rural hospitals. Allison Adams, President, Kentucky Health Kentucky River District Health Department; Larry Charles Lovell, Chief Executive Officer,Departments Association, reviewed the Public A. Hadley, Executive Director, Kentucky Board of Barbourville Appalachian Regional Healthcare, Health Transformation for Kentucky hospitals. Pharmacy. reiterated that payment cuts have caused a financial The goal is to prevent disease, promote wellness, LRC Staff: DeeAnn Wenk, Lead Staff, Chris stress for rural hospitals. Rural hospitals see more and protect people’s health, which requires the Joffrion, Dana Simmons, Yvonne Beghtol. patients who are covered under Medicaid and individual health departments to work together for Approval of Minutes Medicare than do urban hospitals. Knox County a comprehensive public health system. The Kentucky A motion to approve the October 7, 2019 meeting has an unemployment rate of 7.9 percent, and a 47 Health Department Association (KHDA) is focused minutes was made by Chairman Meredith, seconded percent rate of children in poverty, which is double on pulling resources together to produce better health by Senator Alvarado, and approved by voice vote. the national level. Many in rural areas do not have outcomes for all Kentuckians, as well as utilizing funds Status of Rural Hospitals standard transportation, therefore the closing of local to be more productive. An ideal health department Nancy Galvagni, President, Kentucky Hospital hospitals would increase health issues due to not needs to fund the system as a whole and not just Association, began by stating that hospitals not having access to facilities. When rural hospitals close, the individual programs. The KHDA wants to focus only provide care but also improve the economy by towns struggle to stay open. resources on socioeconomic factors to encourage the providing jobs. Rural hospitals make up 56 percent In response to Senator Meredith, Mr. Lovell public to make healthy choices. Ms. Adams reviewed of Kentucky hospitals, with 21 out of the 68 rural confirmed that the Affordable Care Act mandating the High Impact in 5 Years program (HI-5). hospitals being independently owned. One financial Electronic Medical Recording (EMR) created issues Scott Lockard, Public Health Director, Kentucky pressure for rural hospitals is that 42 percent of the for physicians due to requiring more of their time and River District Health Department, reviewed the rural population is covered by Medicaid and Medicare, funding to be spent on computers and not having as average life expectancy for the Eastern Kentucky which pay below actual hospital cost. Rural hospitals much time to see patients, which increases the loss in population. Mr. Lockard stated that Medicaid makes serve fewer patients covered by commercial insurance care and payments. In response to Senator Meredith’s up half of the budget for the Appalachian Regional and more Medicare and Medicaid patients than urban comment on recruiting health care practitioners Hospitals in his community through service fees hospitals. Kentucky hospitals treat a more vulnerable to come to rural communities, Mr. Lovell noted of $2.6 million. Having the ability to use resources patient population than other states due to higher that Barbourville implemented a program allowing most efficiently for each individual community is poverty levels and lower life expectancy in Kentucky, students from nearby medical schools to participate helpful. This requires that the agencies communicate, as well as having a prevalence of Medicare patients in rotations with physicians in an effort to encourage coordinate, and collaborate. Mr. Lockard mentioned with multiple chronic conditions. Ms. Galvagni stated them to remain and work in the community. that three out of the seven counties in his area have no that more than 104 rural hospitals across the country In response to Senator Alvarado, Ms. Galvagni private home health providers because they cannot have closed since 2010. A study from Navigant noted that the KHA has a small insurance program make a profit. Funding the preventative services will Consulting indicates 24.6 percent of Kentucky rural to cover liability issues. Ms. Galvagni would like to have a greater effect than payment services. hospitals may close unless their financial situations review ideas from surrounding states and have more In response to Chairman Meredith, Ms. Adams improve. The University of North Carolina SHEPS conversations with legislators regarding tort reform. stated that the KHDA is willing and ready to work Center analysis shows eight Kentucky rural hospitals Mr. Lovell stated that having an unhealthy population with anyone to increase the health of Kentucky’s are at a high risk of closing, and a 2015 Financial requires more tests to be run to cover liability issues. population. Strength Index (FSI) report from the Kentucky Mr. Lovell added that having to go to trial to defend In response to Representative Willner, Mr. Auditor’s Office ranked Kentucky’s rural hospitals yourself from liability claims is costly. Lockard stated that making these shifts of investing below the national average. The 2018 FSI study shows In response to Representative Prunty, Ms. Galvagni in public health requires getting everyone on board those same hospitals have continued to deteriorate explained that preserving Medicaid expansion would and coordinating these efforts. Ms. Adams added financially, with two closing. Ms. Galvagni reviewed ensure at least a percentage of payment, whereas that reducing current legislation and getting a more the association between a poor economy, shrinking having patients without coverage could result in zero centralized public health law will be necessary to get population, and loss of jobs with the closing of payment. all entities working together. Ms. Adams stated that hospitals. Ms. Galvagni stated that cuts in government In response to Representative Sheldon, Ms. duplication of some services is sometimes mandatory payments have impacted financial pressures on all Galvagni explained that while payments under to receive the funding, when that money could be hospitals, not just those in rural areas. The 2018 FSI the 340B program helps to keep some of the rural used elsewhere to provide better service. study shows 32 out of 66 rural hospitals, and only hospitals open, it is also being used to provide clinics In response to Senator Alvarado, Ms. Adams stated seven out of 38 urban hospitals ranked as having and free medication to low income patients. the KHDA operates under a merit system, which adds “poor” financial strength. The Kentucky Hospital In response to Chairman Elliott, Ms. Galvagni a layer of oversight for local health departments that Association has identified 28 hospitals as “vulnerable” clarified that of the $4.7 billion paid in hospital wages, may need to be reviewed. Mr. Lockard added that financially. The National Bureau of Economic $3.2 billion pays employee wages in urban hospitals, the Kentucky River District Health Department was Research provided a report showing the negative and only $1.5 billion pays employee wages in rural slated for state takeover but a surplus was posted last implications of hospital closures for communities. hospitals. Ms. Galvagni stated she would have to get year due to some drastic changes. Ms. Galvagni reiterated that Medicare pays only 90 back with Chairman Elliott in response to the affects In response to Representative Prunty, Ms. percent of the actual cost for hospital services and the the Affidavit of Merit toward Tort Reform has on the Adams stated that the KHDA does partner with the current Medicare for all proposals would cut another medical industry. Foundation for a Healthy Kentucky. Ms. Adams also $614,000,000 from hospital funding. The Medicare In response to Chairman Meredith, Ms. Galvagni clarified that the pricing strategies for alcohol listed Disproportionate Share Hospital (DSH) payments advised that the KHA has spoken with consultants under the HI-5 presentation refers to making the do not take into consideration the cuts under the working with hospitals and nursing homes regarding healthy choice the easier and less costly choice. Affordable Care Act which will increase the loss in the intergovernmental transfers and believes that Prescription Recycling/The Legend Drug funding. Medicaid pays 81 percent of the actual cost bringing more federal money to Kentucky would be Repository Program for hospital services. Ms. Galvagni mentioned that beneficial. Larry A. Hadley, Executive Director, Kentucky the 2018 passing of HB 289 and the 2019 passing of Kentucky Health Departments Association Board of Pharmacy, gave an overview on the Legend HB 320 have helped to improve payments to hospitals Dana Nickles, Executive Director, Kentucky Health Drug Repository Program. and the Kentucky Hospital Association continues to Departments Association, reviewed the makeup of In response to Chairman Meredith, Mr. Hadley work with the Cabinet for Health and Family Services the Kentucky Health Departments Association and stated that the complexity of the program and issues

THE KENTUCKY GENERAL ASSEMBLY 33 of higher priority have prevented the program statistics, income statistics, and geographical notes held on Thursday, November 14, 2019, at 1:00 PM, in from being implemented, in spite of the savings the related to how ADDs exist today were found. Ms. Hays Room 129 of the Capitol Annex. Representative Jim program would ensure. Mr. Hadley estimates at least received comments that suggested ADD boundaries Gooch Jr., Chair, called the meeting to order, and the six months for completion and agreed to come before should be looked at again based on population secretary called the roll. the committee after Session 2020 with an update. statistics. She added that geography, the number of Present were: In response to Senator Alvarado, Mr. Hadley governmental units within an ADD, and the land Members: Senator Phillip Wheeler, Co- stated that the Board of Pharmacy has been working mass and square miles within an ADD should also Chair; Representative Jim Gooch Jr., Co-Chair; on finalizing the program since 2005, and will contact be considered in determining boundaries. Ms. Hays Representative Ashley Tackett Laferty; Michael states that have already implemented the program to said that reducing the number of ADDs may create Burress, David Farrar, Mike Gardner, Peter help get Kentucky’s program launched. savings. Goodmann, Orbrey Gritton, John Holiday, Gary In response to Senator Carroll, Mr. Hadley stated Ms. Hays stated that information was received Larimore, Donna McNeil, and Brian Traugott. that Kentucky has not filled any prescriptions under from representatives of the ADDs on board members LRC Staff: Stefan Kasacavage, Janine Coy-Geeslin, the Drug Repository Program due to not having who have more or less than three years of tenure. Tanya Monsanto, and Susan Spoonamore, Committee regulations in place. There are three districts that have a majority of Assistant. In response to Representative Sheldon, Mr. members with less than three years of tenure. There The October 23, 2019, minutes were approved, by Hadley confirmed that regulations are earmarked for was no recommendation made related to tenure. voice vote, upon motion made by Mr. Traugott and those in need of prescription drugs who are in the Ms. Hays pointed out that the special purpose seconded by Senator Wheeler. lower income, therefore having a positive impact on governmental entity (SPGE) reports that are required Proposed Recommendations Medicaid and charitable pharmacies. under KRS 65A.020 are filed by many types of The task force reviewed, amended, and approved In response to Senator Carroll, Mr. Hadley stated entities. The categories of revenues and expenditures the following final recommendations to be submitted that the Board of Pharmacy is willing to continue are standardized. Many of the categories do not apply to the LRC: with the program unless it is envisioned to be under to the ADDs. However, it was pointed out that these Continue the work of the Public Water and Medicaid or another agency. reports are good for the public to use to understand Wastewater System Infrastructure Task Force by In response to Representative Prunty, Mr. Hadley the activities that ADDs have. reauthorizing the task force to meet during the 2020 agrees that including the Humira drug would be a Ms. Hays stated that there are no standards set Interim, or by establishing a workgroup attached to great benefit to patients. for the reports that are required to be filed with the the Energy and Environment Cabinet, or by doing In response to Chairman Meredith, Mr. Hadley Legislative Research Commission (LRC) under KRS both. Any workgroup attached to the cabinet should agreed to come before the committee after Session 147A.115. Because of this, important information is consist of technical experts, industry professionals, 2020 with an update. sometimes missing from the reports. Several changes public policy makers, and representatives from Adjournment may be needed to standardize these reports. During stakeholder groups, including but not limited to the There being no further business, the meeting testimony this interim, the ADDs pointed out that groups represented on this task force. The workgroup adjourned at 10:50 AM. they were moving towards all ADDs reporting on a would report regularly to the General Assembly and governmental reporting basis. Statutory changes may continue to meet on an ongoing basis in the coming be required to standardize these reports. months and years to develop consensus strategies to AREA DEVELOPMENT DISTRICT Ms. Hays testified that the financial reporting address the numerous financial, technical, planning, that is currently required will not conclude whether and managerial challenges faced by water and WORKING GROUP monies are used appropriately. Because of this, there wastewater utilities throughout the Commonwealth. Minutes of the 6th Meeting may need to be a requirement for a management or Establish a new or recapitalize an existing water of the 2019 Interim performance-type audit to be performed. and wastewater infrastructure fund to leverage federal November 15, 2019 Ms. Hays said that the report recommends grants and loans, assist challenged utilities with Call to Order and Roll Call codifying in statute the formula used for Joint infrastructure planning and asset management, and The 6th meeting of the Area Development District Funding Administration (JFA) distributions. make direct loans and grants to water and wastewater Working Group was held on Friday, November Representative Miles made a motion, seconded utilities. 15, 2019, at 10:00 AM, in Room 149 of the Capitol by Senator Smith, to approve the Report of the Area Propose that certain state loans or grants to Annex. Senator Christian McDaniel, Chair, called the Development District Working Group. The report public water or wastewater utilities be conditioned meeting to order, and the secretary called the roll. was approved with 6 yes votes and 0 no votes. on reasonable technical, financial, and managerial Present were: Representative Westrom said that she appreciated performance benchmarks as established by the Members: Senator Christian McDaniel, Co-Chair; the staff of the working group. appropriate state entity. Representative Suzanne Miles, Co-Chair; Senators Senator McDaniel echoed Representative Require the development by the appropriate Dennis Parrett and Brandon Smith; Representatives Westrom’s comments. state entity of best management practices for public Jim DuPlessis and Susan Westrom. Representative Miles thanked the staff, ADD water and wastewater systems that could be used as Guests: representatives, and the various agencies that standards for the operation and maintenance of those LRC Staff: Mark Mitchell, Jennifer Hays, and provided information. systems. Best management practices may relate to Chase O’Dell With no further business before the working asset management, water loss, revenue requirements, Approval of Minutes group, the meeting was adjourned. financial assistance compliance, staff adequacy and A motion was made, and seconded, to approve the training, and maintaining adequate asset management minutes of the October 30 meeting. The minutes were PUBLIC WATER AND and capital expenditure plans, among other things. adopted by voice vote. Require the appropriate state entity to establish Discussion of the DRAFT Report of the Area WASTEWATER SYSTEM a uniform evaluation process to identify challenged Development District Working Group INFRASTRUCTURE TASK FORCE public water and wastewater utilities that lack Jennifer Hays stated that the findings of the report Minutes of the 5th Meeting technical, managerial, or financial capacity. Once were comprised of staff observations, comments from of the 2019 Interim identified, the state entity would develop an action outside parties, and information that Ms. Hays had November 14, 2019 plan with a challenged utility, and provide for the received from members of the working group. Call to Order and Roll Call technical, financial, and training assistance that it will Ms. Hays testified that staff found no concrete The 5th meeting of the Public Water and need to implement the plan. reasoning for the number of Area Development Wastewater System Infrastructure Task Force was Establish initial and continuing training Districts (ADDs) and their boundaries. Population

34 2019 Interim LEGISLATIVE RECORD requirements for all water and wastewater board of Operations and General Counsel, Teachers’ his office had been given unredacted versions of the members, commissioners, and decision makers to be Retirement System; Chris Biddle, Executive Director, contracts that were requested. administered and enforced by the appropriate state or Kentucky Public Employees’ Deferred Compensation Mr. Harmon provided a couple of examples of state-authorized entity. Authority; and Joe Bowen, former Senator of the redacted information that is not proprietary, but has Require annual financial audits and reporting, Kentucky General Assembly. been redacted from contracts posted on the KRS regular rate reviews, and establish regular rate LRC Staff: Brad Gross, Jennifer Black Hans, Bo website. adjustment criteria for all public water and wastewater Cracraft, and Angela Rhodes. In response to a question from Senator Higdon utilities. Approval of Minutes regarding the items redacted, Mr. Harmon stated, Study the adoption of a Tennessee-based model Sharon Mattingly moved that the minutes of the in his opinion, some of the items redacted was that would authorize a new or existing state entity August 26, 2019 meeting be approved. Representative proprietary, but that there were several items, like or entities to have jurisdiction over all of Kentucky’s Miller seconded the motion, and the minutes were those shown in his presentation, which should not water and wastewater utilities to ensure their financial approved without objection. have been redacted. and operational capacities and establish parameters Examination of Certain Policies, Procedures, In response to a question from Representative for accountability, including oversight of annual Controls, and Transparency Compliance Activities Miller regarding contracts signed after the passage of utility financial, operations, and water loss audits. of Retirement Systems in Kentucky SB 2, Mr. Harmon stated his office were provided some The entity or entities would be authorized to propose Mike Harmon, Auditor of Public Accounts, contracts signed after SB 2, but not all the contracts measures to bring any noncompliant utility back into began by noting that his office had recently had been posted online, and those online were still financial and operational compliance. completed and released on August 28, 2019, a special redacted by the investment managers instead of KRS Study the regionalized pooling of resources and examination related to the transparency of all three as required. professional services, and hiring and qualification state-administered retirement systems: Kentucky Mr. Harmon noted another finding not directly criteria for those services, for challenged water and Retirement Systems (KRS), Teachers’ Retirement related to SB 2 compliance: the failure of KRS staff to wastewater utilities to more efficiently manage their System (TRS), and Judicial Form Retirement System meet annually with investment managers as required facilities and meet auditing and reporting standards. (JFRS). He noted that with passage of SB 2 in 2017, by their investment policy. He noted that given staff Recommendations A through E, were adopted, by a high level of interest from the Public Pension shortages, the systems had waived the requirement voice vote, upon motion made by Mr. Goodmann and Oversight Board (PPOB), as well as members of the in some cases. Mr. Harmon also called attention to seconded by Senator Wheeler. public, has been focused on whether the retirement the number of investment managers used by KRS, Mr. Goodmann moved to adopt Recommendation systems were in compliance. which totaled 110 as of June 2018, compared to only F. Seconded by Senator Wheeler. Upon roll call vote, Mr. Harmon outlined the scope of the audit, 41 investment managers for TRS and one for JFRS. SB motion passed with 10 yes votes, 2 no votes, and 0 which primarily focused on evaluating the systems 2 did not limit the number of managers, but having so pass votes. compliance with the increased transparency many may impact KRS’s ability to properly manage its Senator Wheeler moved to adopt Recommendation requirements of SB 2. The audit also reviewed a investments and contracts. G. Seconded by Mr. Gritton. Upon roll call vote, couple other special topics, such as delinquent With regards to TRS, Mr. Harmon noted the motion passed with 10 yes votes, 2 no votes, and 0 employer balances and benefit payments to deceased system has a process in place to redact confidential pass votes. individuals. The audit reviewed the period between and proprietary contract information but that Senator Wheeler moved to adopt Recommendation July 1, 2017, and June 30, 2018, with additional data some redactions have been made without a request H. Seconded by Mr. Traugott. Upon roll call vote, supplied through August 2019. from the investment manager over concern the motion passed with 11 yes votes, 1 no votes, and 0 Mr. Harmon stated that KRS and TRS had failed information would compromise the system’s ability to pass votes. to comply with the basic requirement to post all competitively invest. Mr. Goodmann moved to adopt Recommendation contracts, with both systems failing to post more In response to a question from Senator Higdon I. Seconded by Senator Wheeler. Upon roll call vote, than 80 percent of contracts on their websites. SB regarding the requirements for KRS and TRS, Mr. motion passed with 12 yes votes, 0 no votes and 0 pass 2 required the posting of all contracts, and applied Harmon confirmed the statutory requirements for votes. equally to contracts signed before its passage in 2017. both systems are the same, although neither system Meeting adjourned. During the audit, his office also discovered that both is in compliance. In response to a follow up question systems had contracts that referred to side letters regarding compliance with just contracts signed post- PUBLIC PENSION OVERSIGHT that contain additional provisions of the contractual SB 2, Mr. Harmon stated there was no exception and agreement, but none of those side letters were posted thus his office had considered all contracts. BOARD on the system’s websites as required. Mr. Harmon continued with his findings, and Minutes of the 7th Meeting With regards to contracts posted online, KRS had stated that TRS was not reporting carried interest as of the 2019 Interim abdicated its responsibility under the Open Records required by SB 2, while KRS was reporting carried September 23, 2019 Act by delegating the redactions of confidential and interest accurately and reflecting it as a line item on Call to Order and Roll Call proprietary information to external investment financial statements. TRS argues that carried interest The 7th meeting of the Public Pension Oversight managers. He referred to KRS 61.645(20), which states information is proprietary and exempted from Board was held on Monday, September 23, 2019, at that “the systems shall separate the excepted material disclosure. 1:00 PM, in Room 154 of the Capitol Annex. Senator by removal, segregation, or redaction, and make the Jimmy Higdon, Chair, called the meeting to order, nonexcepted material available for examination.” KRS In response to a question from Senator Higdon and the secretary called the roll. had not required any justification or documentation regarding a description of carried interest, Mr. Present were: to support the requested redactions, nor had the Harmon explained that carried interest is the Members: Senator Jimmy Higdon, Co-Chair; system made any redactions themselves. The system amount of a private equity or hedge fund’s profits Senators Christian McDaniel, Dennis Parrett, and has argued that their process is correct, based on that the general partner or investment manager Mike Wilson; Representatives Jerry T. Miller, Russell an Opinion of the Attorney General issued in 2016, receives as compensation. In response to a follow Webber, and J. Michael Brown, John Chilton, Mike but he noted that SB 2, which amended the law, was up question regarding if other states were reporting Harmon, James M. “Mac” Jefferson, and Sharon passed in 2017. carried interest, Mr. Harmon stated that many states Mattingly. In response to a question from Senator Higdon are reporting carried interest in a manner that is Guests: Mike Harmon, Auditor, Tiffany regarding whether the Auditor had been provided consistent with SB 2 requirements. Welch, Audit Manager of Public Accounts; David access to fully unredacted versions of the contracts In response to a question from Representative Eager, Executive Director, Kentucky Retirement as required by SB 2, Mr. Harmon confirmed that Miller regarding whether or not the plans had Systems; Beau Barnes, Deputy Executive Secretary THE KENTUCKY GENERAL ASSEMBLY 35 common investment managers, Mr. Harmon stated intent of SB 2 was to give legislators and the public the Contract Review Committee had access to all the his office would have to report back. opportunity to look inside the systems, see what was systems’ contracts. In response to a question from Senator Higdon transpiring, and how money was being invested. He Senator Higdon commented that several issues regarding if the carried interest information was stated that the systems were gravely challenged with were resolved for TRS and KRS with the passage of provided to during the Audit, Mr. Harmon stated their level of funding, but it was hard for a legislator to HB 489 during the 2019 Regular Session. However, as that his office was given access to the carried interest make any recommendations or promulgate any type to the other issues that systems are expressing concern information. In response to a follow up with regards of corrective action without the opportunity to look about, the PPOB has not heard from the systems until to whether disclosure would put the system at a inside to see what was going on. the auditor’s report was issued. If there are matters competitive disadvantage, Mr. Harmon responded Response to Auditor’s Report – KRS & TRS that require legislative intervention, the systems need that he did not believe releasing carried interest David Eager, KRS, in his opening remarks to bring these concerns to the attention of the PPOB. information would result in unfair competitive thanked the committee for the opportunity to testify In response to a question from Representative advantage. and stated that he had some real concerns about Miller regarding the different approaches to redacting Mr. Harmon provided a summary of findings the audit. KRS staff had worked extremely hard to by TRS and KRS, Mr. Robben responded that he agreed for each of the systems. With regards to KRS, he become more transparent and build confidence with with the Auditor that items were likely redacted that pointed out a few additional findings, which included the General Assembly. He referenced materials KRS did not necessarily need to be, but his lack of legal KRS staff’s inability to recalculate one investment makes available online, which includes a list of every expertise limited his ability to make such decisions. In manager’s fee, delinquent employer balances, and investment manager, assets under management, as addition, KRS as a whole, does not have legal staff with benefit payments to deceased individuals during the well as fees paid. All board meetings are live-streamed a level of expertise to discuss and challenge redaction most recent fiscal year. to the public. items with each of their managers. Lastly, he noted In response to a question from Senator Higdon Mr. Eager identified three primary findings that the access available to legislators, the Auditor, and regarding fee caps utilized by TRS, Mr. Harmon KRS wanted to address: (1) the posting of all investment other decision makers and expressed that managers explained that TRS contracts included language manager contracts, (2) the redaction process, and are not as concerned with the public having access, that would allow TRS to postpone or withhold the (3) adherence to the CFA Code of Conduct. First, but rather their competitors. payment of fees if a limit or cap was reached during with regards to the posting of contracts, he stated In response to a follow up question from the fiscal year. He noted that KRS did not include this there are two time periods, before and after SB 2 that Representative Miller regarding the TRS redaction kind of fee monitoring in its contracts. must be considered. He referenced KRS 446.080, process, Mr. Barnes stated that with regards to the Mr. Harmon continued his summary of audit which states that statutes are not retroactive unless publicly-traded investment managers, TRS staff is findings and pointed out one finding with regards to otherwise specified. He stated that all 13 contracts handling the redaction process. As it relates to private JFRS, which was a small amount of benefit payments signed since the passage of SB 2 have posted online, equity contracts and general partnerships, TRS is made subsequent to death of a retiree. JFRS had while 41 contracts that were signed pre-SB 2 are also working with those managers, but the final redacted chosen not to seek recovery of the overpayment. online even though KRS believes they are under no version is handled by staff. obligation to do so. Mr. Eager stated that all contracts Senator Higdon reiterated that an unredacted In closing, Mr. Harmon noted that the full audit not posted were in place prior to June 17, 2017, and are version of every contract was available for review by report included recommendations for each finding primarily private equity and alternative investments the Government Contract Review Committee and to improve internal controls and oversight, as well as that account for only 12 percent of the plans’ total the Auditor. In response to a question from Senator overall transparency and accountability. Additionally, assets. Mr. Eager identified existing confidentiality Higdon regarding other access, Mr. Barnes stated that he recommended that the PPOB work with clauses as the primary reason these contracts were not the Executive Branch and Legislative Branch also has stakeholders to develop an enforcement mechanism posted, but also noted that liquidating these illiquid the opportunity to seek unredacted versions, subject for full compliance with transparency requirements. investments was a very costly alternative when all of to a nondisclosure agreement. In response to questions from Mr. Chilton them will mature over time. In response to a question from Senator Higdon regarding the noncodified language included in In response to a question from Senator Higdon regarding if the system had lost investment the bill, Mr. Harmon responded that SB 2 did regarding if contracts were made available to the opportunities due to the required transparency laws, include noncodified provisions primarily related to Government Contract Review Committee, Mr. Eager Mr. Eager stated that KRS has had two investment procurement that specifically applied to contracts confirmed that all contracts not posted are made managers decide to no longer do business with KRS, executed or renewed after July 1, 2017. available unredacted to the committee. while Mr. Robben noted that a handful of managers In response to a question from Representative In response to a question from Senator Higdon in have declined opportunities after reviewing the plan’s Miller about the audit’s recommendation regarding regards to the length of the investment period, Mr. gating process and requirements. contract disclosure, Mr. Harmon stated that the audit Robben stated that the vast majority of unposted Mr. Eager continued to discuss KRS’s redaction recommended that, as to the posting requirement, the contracts are private equity investments, which process and referred to an opinion from the Attorney General Assembly should prohibit the systems from typically last from 9 to 15 years. In response to a General from 2016, which stated “Since investment entering into any future contracts with managers that follow up question regarding length of contracts, services are the essence of [an investment manager’s] would not fully comply with SB 2. In response to a Mr. Robben stated that there could be one or two business, conducted in a competitive field, there is no follow up question, Mr. Harmon stated that neither contracts that are in real return that may not have a reason to doubt that such information is generally KRS nor TRS were in complete compliance even with stated termination date, while Mr. Eager added that recognized as confidential or proprietary. Nonetheless, contracts completed since passage of SB 2. traditional public equity and fixed income manager we do not find justification for KRS to withhold the In response to a question from Senator Higdon agreements typically have an exit clause with a 30 to partnership agreements in their entirety.” Mr. Eager regarding if all contracts had gone before contract 90 day notice. commented that KRS agreed with that opinion. review, Mr. Harmon stated that his office did not Secondly, Mr. Eager discussed the audit findings Lastly, Mr. Eager discussed issues KRS had with review that matter. In response to a follow up related to contract redactions and stated that KRS adhering to the CFA Code of Conduct, which was question regarding the term of the contracts, Mr. should not be in primary control of that process. He included in the original SB 2. He noted that most of Harmon stated that most contracts would have referenced KRS 61.878(1) and indicated that KRS KRS’s managers do not belong to the CFA Institute renewal provisions and, once a contract is renewed, should not be put in the untenable legal position and, therefore, refused to abide by its code of conduct compliance should be carried out. determining what is confidential or proprietary and and code of ethics. In addition, the CFA Institute Senator Higdon asked former Senator Joe Bowen, what is not on behalf of a manager. He emphasized did not have punitive powers and does not conduct as the sponsor of SB 2, to provide testimony regarding the legal concern of having KRS staff control the on-site audits. Mr. Eager highlighted HB 489, which his intent for the legislation. Mr. Bowen stated that the process. Again, he noted the Auditor and Government removed the language and allows KRS to operate in

36 2019 Interim LEGISLATIVE RECORD compliance with current law. regarding who had access to unredacted contracts, KRS staff had performed a similar calculation and Senator Higdon commented that HB 489 was a Mr. Barnes stated that all contracts are available stated that if KRS had received the full ARC for all model piece of legislation, chiefly with regards to how unredacted for review by the Government Contract periods and invested that money, the KERS would be the legislative process is supposed to work with the Review Committee, the Auditor, and other Executive about 32 percent funded. systems and legislators collaborating to find solutions Branch offices. Mr. Jefferson commented that in the investment to issues. He stated there needs to be additional Mr. Barnes continued and referenced contracts that community today, carried interest is considered a discussions before the next session so some of the were online, but redacted, and the auditor’s finding fee. In response to a question from Mr. Jefferson audit findings can be discussed and solutions can be that staff was redacting language above and beyond regarding carried interest, Mr. Barnes confirmed addressed. what the underlying manager requested. The finding TRS is not reporting their carried interest in their In response to questions from Mr. Jefferson with was accurate, and staff had redacted any information Comprehensive Annual Financial Report. In regards to posting carried interest, Mr. Robben stated that was deemed proprietary or compromised their response to a follow up question regarding whether or that KRS started posting carried interest on their ability to invest, which includes the method by which not the law explicitly states carried interest should be website because they felt like it was the right thing to TRS calculates fees. reported, Mr. Barnes referenced the notwithstanding do. Additionally, Mr. Barnes discussed the audit language in subsection 5 of KRS 161.250, which states Mr. Eager concluded his presentation by stating finding related to the system not disclosing contact TRS does not have to disclose information that is that several of the audit recommendations were information for fund of fund managers as required by proprietary or, if disclosed, would compromise their in process or staff was developing procedures to SB 2. TRS does disclose the fund of fund managers, ability to invest. In response to a follow up question implement. Mr. Robben also addressed the audit but stated that the managers did not want competitors regarding if TRS reconciles the carried interest finding related to KRS monitoring investment to know the underlying funds or investment strategy, calculations, Mr. Barnes stated that a reconciliation managers. He clarified that the current investment so, staff did not report that information. He referenced process is performed quarterly. policy requires annual onsite visits, which is not the statutory protection language again as staff’s Representative Miller expressed a desire for staff possible with a staff of four and 110 managers, 15 of reasoning for not reporting. to work on providing a report on these issues so that which are located overseas. He stated that staff does Next, Mr. Barnes began to address the audit reports the PPOB can consider them for their annual list of monitor and meet with managers, generally quarterly, finding with regards to TRS not reporting carried recommendations to the General Assembly approved via telephone or conference, and that the board was interest. Mr. Barnes provided a short description of each December. For example, what changes need to in the process of making changes to the investment what carried interest was and provided a scenario that be made regarding carried interest so all the state’s policy to conform to industry practices. served as an example. TRS does not consider carried plans can report and treat these fees exactly the same In response to a question from Senator Higdon, interest a fee, because TRS, never had a right to the way. He asked staff to look at other states and plans, Mr. Eager stated that KRS is in the process of sending percentage of profit assigned to the general partner. such as CalPERS, Wisconsin, South Dakota, and out demand letters to the delinquent agencies. Again, he invoked statutory protection language as Tennessee and see how they are treating and handling Mr. Barnes opened his presentation by stating the reason for not reporting. carried interest. that while TRS respectfully disagreed with the Senator Higdon commented that the intent of SB In response to a question from Senator Higdon, audit findings, TRS did appreciate their work and 2 was to have each of the systems all reporting on a Mr. Barnes stated that before reporting, TRS looks at commended staff. Mr. Barnes noted two primary similar basis and that he would like to see the systems state laws, administrative regulations, and strategies findings that he planned to address, which included work together, along with legislators, so that the for implementing investment policy, which is transparency of investment contracts and reporting Auditor’s next report shows full compliance. approved by the board. TRS also looks at SB 2 for of carried interest. In response to a question from Senator Higdon transparency requirements, and written policy. First, Mr. Barnes discussed the audit finding related regarding if TRS had lost investment operations, Mr. Kentucky Public Employees’ Deferred to greater transparency of investment contracts and Barnes stated that TRS had four investment managers Compensation Authority Update on Auto stated that TRS did believe in transparency and that decided to decline opportunities due to SB 2, Enrollment operates in such a manner. A list of every investment however with the passage of HB 489, TRS was able to Chris Biddle, Executive Director, began his manager could be found in the systems financial reconnect with two of those managers. presentation by stating that the Kentucky Deferred report, along with the amount of each investment and In response to a question from Senator Higdon Compensation (KDC) Authority is the official quarterly performance reports. Every dollar that is regarding some fee cap language included in TRS supplemental retirement program servicing paid out of the TRS trust funds in the form of fees are contracts, Mr. Barnes stated that fees are limited to an employees of the Commonwealth, public education, reported in their financial statements. amount based on a percentage, for example, of assets and local programs and is authorized by KRS Mr. Barnes then referenced legislation passed under management. He stated that if TRS receives 18A.230-18A.350. He noted that KDC is self-funded, during the 2008 session that increased reporting bills that may perhaps exceed the agreed upon limit, receives no general fund revenue, and costs nothing requirements and noted that statutory language was they can withhold payments until they are sure they for employers. KDC operates like a non-profit and is added to protect TRS from having to disclose anything can come in line with what the actual fees agree to funded by participant fees, which are waived during a deemed proprietary, which is the same exception and not get over billed for a particular investment. participant’s first year and are capped at a maximum exemption provided by the Kentucky Open Records In response to a follow up question regarding if of $237 per year, which is generally reached when an Act under which every other state agency operates. TRS and KRS had common investments and reporting account reaches $125,000. KDC is administered under These protections are still in place and do not require of fees, Mr. Barnes stated that he believes they may the direction of a seven member Board of Trustees TRS to disclose anything that would compromise have one common investment. He stated that TRS and an Executive Director that meets quarterly. their ability to invest. does not report this investment as the manager has KDC has been in existence since 1975, when it Mr. Barnes pointed out that the majority of informed them it is proprietary. began offering a 457(b) plan and introduced a 401(k) contracts that are not posted online are related Senator Higdon noted much of the public and IRA plan in 1986. He reviewed the maximum to general partnership contracts. He agreed that, perception regarding plan underfunding had been amounts a participant could defer for each of the technically speaking, the Auditor’s report that 81 directed at the General Assembly and lack of funding. plans along with the tax treatment. Currently, percent of the system’s contracts were missing from He referenced a study provided by actuary Flick approximately 75,000 members are participating, the the website was correct, but stated those contracts only Fornia that reported underfunding had accounted for assets under management total just over $3 billion, represented 11 percent of assets under management. about 20 percent and asked Mr. Barnes to comment. and the average account balance is $39,900. He noted If TRS were to post all contracts, they would expose Mr. Barnes stated that the report had been conducted that Nationwide Retirement Solutions provides $20 billion of assets to litigation risk. some time ago and he could not remember the recordkeeping, marketing, and communications In response to a question from Senator Higdon timeframe nor the other factors. Mr. Eager stated that services for KDC, and they are supported by a KDC

THE KENTUCKY GENERAL ASSEMBLY 37 administrative staff of 16. ADMINISTRATIVE REGULATION council. Mr. Biddle discussed the various investment In response to a question by Co-Chair Hale, Mr. options provided and noted that participants elect REVIEW SUBCOMMITTEE Powell stated that this administrative regulation Minutes of the November Meeting their own investments from a list approved by the allowed the council to better protect students November 12, 2019 Board. Currently, KDC offers over 20 investment Call to Order and Roll Call and consumers by ensuring that institutions kept options and participants can invest by self-selection, electronic records, which were more secure and The November meeting of the Administrative target retirement date funds, or managed account searchable. Electronic records were also advantageous Regulation Review Subcommittee was held on services. He provided a chart of the investment if an institution closed or needed to transfer data. Tuesday, November 12, 2019, at 10:00 AM, in Room options across each of the three structures. A motion was made and seconded to approve the 149 of the Capitol Annex. Representative David Hale, Mr. Biddle discussed recent initiatives of KDC and following amendments: to amend the STATUTORY Chair, called the meeting to order, and the secretary referenced an effort to coordinate with the Kentucky AUTHORITY paragraph to comply with the drafting called the roll. Personnel Cabinet in 2016 to provide benefits to requirements of KRS Chapter 13A. Without objection, Present were: employees as one total benefits package. He noted and with agreement of the agency, the amendments Members: Senator Stephen West, Co-Chair; that working in concert with other personnel agencies were approved. Representative David Hale, Co-Chair; Senators Julie to utilize shared information, message coordination, AUDITOR OF PUBLIC ACCOUNTS: Audits Raque Adams, Perry B. Clark, and Alice Forgy Kerr; and unity of purpose had increased awareness and 45 KAR 1:050. Audits of fiscal courts. Andrew Representatives Deanna Frazier, and Tommy Turner. participation. English, general counsel, and Farah Petter, assistant Guests: Sarah Levy, Travis Powell, Council on Next, Mr. Biddle explained the auto-enroll state auditor, represented the auditor. Postsecondary Education; Andrew English, Farah program. In 2019, legislation was passed to A motion was made and seconded to approve the Petter, Auditor of Public Accounts, Scott Aubrey, automatically enroll all new state employees hired following amendments: to amend Section 2 to comply Division of Real Property; Joe Donohue, Board of after July 1, 2019, into the KDC 401(k) plan. The with the drafting requirements of KRS Chapter 13A. Accountancy, Lois Ann Disponett, Marc Manley, based deferral is $15 per pay or $30 per month and Without objection, and with agreement of the agency, Real Estate Commission; Bryan Morrow, Board of the funds for the first 90 days are held in a fixed the amendments were approved. Licensed Professional Counselors; Chris Garland, contract fund, while assets of any future contributions FINANCE AND ADMINISTRATION Rich Storm, Karen Waldrop, Department of Fish and are invested into the Vanguard Target Retirement CABINET: Office of the Secretary: Property Wildlife Resources; Lesly Davis, Michael Mullins, Fund most appropriate to a participant’s age after 200 KAR 6:015. Real property inventories. Scott Office of Administrative Hearings; Peter Goodmann, the initial 90 day period. Mr. Biddle outlined the Aubrey, division director, represented the office. Tony Hatton, Department of Environmental rights provided to new employees, which included A motion was made and seconded to approve the Protection; Doug Back, Matt Henderson, Jon Johnson, contributing more than the initial $30 per month, following amendments: to amend the RELATES TO Larisa Plecha, Bryan Prater, Department of Vehicle designating beneficiaries, and the option to terminate and NECESSITY, FUNCTION, AND CONFORMITY Regulation; Tony Cotto, Lee Webb, Department of contributions at any time. Mr. Biddle noted all new paragraphs to comply with the drafting requirements Insurance; Stephanie Brammer-Barnes, Steve Davis, enrollees had 90 days to remain in the plan or opt out. of KRS Chapter 13A. Without objection, and with Office Inspector General; Jonathan Scott, Department The auto-enrollment options include claiming a agreement of the agency, the amendments were for Medicaid Services; Laura Begin, Rachael Ratliff, retirement savings contribution credit, a choice of approved. Department for Community Based Services; Michael investment options the KDC plan offers, being able BOARDS AND COMMISSIONS: Board of Jarrell, Cindy Seip, Betsy Johnson, Bruce Linder, to change their investment options any time, and Accountancy Chris McCuthion, Chris McCreary, Heidi Schissler, choosing a ProAccount, which is a managed account 201 KAR 1:100. Continuing professional and Tim Veno. service. education requirements. Joe Donohue, board counsel, LRC Staff: Sarah Amburgey, Stacy Auterson, Mr. Biddle stated that their average enrollment represented the board. Emily Caudill, Betsy Cupp, Ange Darnell, Emily goal per month is around 500. In September 2019 A motion was made and seconded to approve Harkenrider, Karen Howard, and Carrie Klaber. there were 431 participants auto enrolled. With over the following amendments: to amend Sections 1, 2, The Administrative Regulation Review 1,000 auto enrollments since July 2019, there have 5, and 8 to comply with the drafting and formatting Subcommittee met on Tuesday, November 12, been only six participants that have filled out the form requirements of KRS Chapter 13A. Without objection, 2019, and submits this report: to opt out. and with agreement of the agency, the amendments Pursuant to KRS 13A.335(2), the subcommittee In response to questions from Senator Higdon, were approved. reconsidered the following administrative Mr. Biddle stated in regards to their returns, within 201 KAR 1:190. Examination sections, regulation, which was found deficient at the October the 90 day period, the fixed contract was about 2.32 applications, and procedures. 8 meeting of the subcommittee, and approved a percent. In regards to year-to-date average earnings, A motion was made and seconded to approve the motion that the administrative regulation was not Mr. Biddle stated in general the assets continue to following amendments: to amend Sections 3 through deficient. trend upward. 12 to comply with the drafting and formatting TRANSPORTATION CABINET: Department In response to a question from Mr. Jefferson, Mr. requirements of KRS Chapter 13A. Without objection, of Vehicle Regulation: Division of Driver Licensing: Biddle stated that the construction of the investment and with agreement of the agency, the amendments Driver Improvement process that KDC provides for their participants were approved. 601 KAR 13:100. Medical standards for operators starts with the Board of Trustees and an investment Real Estate Authority: Real Estate Commission of motor vehicles. Please see this administrative subcommittee that meets quarterly along with 201 KAR 11:002. Repeal of 201 KAR 011:030, 201 regulation in the next section of these minutes for outside consulting. Mr. Biddle stated that there is also KAR 011:045, 201 KAR 011:062, 201 KAR 011:090, discussion and action information. an annual due diligence that KDC executes with their 201 KAR 011:095, 201 KAR 011:100, 201 KAR Compiler’s Note: Pursuant to KRS 13A.335(3)(c), record keeper along with the fixed contract fund. 011:110, 201 KAR 011:115, 201 KAR 011:135, 201 Section 13, which reflected the finding of deficiency, In response to a question from Senator Higdon, KAR 011:145, 201 KAR 011:147, 201 KAR 011:175, was deleted from this administrative regulation. Mr. Biddle stated that KDC services are also available 201 KAR 011:180, 201 KAR 011:195, 201 KAR Administrative Regulations Reviewed by the to the school districts and county employees, but with 011:215, 201 KAR 011:225, 201 KAR 011:230, 201 Subcommittee: less participation. KAR 011:232, 201 KAR 011:235, 201 KAR 011:240, COUNCIL ON POSTSECONDARY With no further business, the meeting was 201 KAR 011:245, 201 KAR 011:250, 201 KAR EDUCATION: Nonpublic Colleges adjourned. 011:300, 201 KAR 011:350, 201 KAR 011:400, 201 13 KAR 1:020. Private College licensing. Sarah KAR 011:410, 201 KAR 011:440, 201 KAR 011:450, Levy, executive director, and Travis Powell, vice and 201 KAR 011:460. Lois Ann Disponett, chair; president and general counsel, represented the

38 2019 Interim LEGISLATIVE RECORD Marc Manley, acting general counsel; and Tony Cotto, 11. 201 KAR 29:015. Fees. Tony Cotto, executive executive advisor, represented the commission. A motion was made and seconded to approve advisor, represented the board. Michael Jarrell, owner and broker, First Nations the following amendments: (1) to amend the Board of Licensed Professional Counselors Realty, appeared in opposition to 201 KAR 11:011 NECESSITY, FUNCTION, AND CONFORMITY 201 KAR 36:060. Qualifying experience under and 11:105. paragraph and Section 1 to comply with the drafting supervision. Bryan Morrow, attorney, represented the In response to a question by Co-Chair Hale, Mr. and formatting requirements of KRS Chapter 13A. board. Cotto stated that the commission had engaged with Without objection, and with agreement of the agency, A motion was made and seconded to approve the stakeholders extensively over the last year to develop the amendments were approved. following amendments: to amend the STATUTORY this administrative regulation package. Multiple 201 KAR 11:105. Advertising. AUTHORITY and NECESSITY, FUNCTION, AND public hearings were held, and the commission made A motion was made and seconded to approve the CONFORMITY paragraphs and Section 3 to comply amendments and compromises based on most of the following amendments: to amend the NECESSITY, with the drafting requirements of KRS Chapter 13A. public comments. FUNCTION, AND CONFORMITY paragraph Without objection, and with agreement of the agency, Mr. Jarrell requested further amendments to and Sections 1 through 6 and 8 to comply with the the amendments were approved. 201 KAR 11:011 and 11:105, related to issues of drafting and formatting requirements of KRS Chapter TOURISM, ARTS, AND HERITAGE CABINET: communications and technology. Government 13A. Without objection, and with agreement of the Department of Fish and Wildlife Resources: Game oversight was not keeping track with technological agency, the amendments were approved. 301 KAR 2:049. Small game and furbearer hunting changes, which created opportunities for 201 KAR 11:121. Standards of professional and trapping on public areas. Chris Garland, Wildlife misrepresentation, especially pertaining to conduct. Division Director; Rich Storm, commissioner; and advertising. Technologies such as email and Facebook A motion was made and seconded to approve Karen Waldrop, deputy commissioner, represented posed challenges that were not sufficiently addressed the following amendments: to amend the RELATES the department. by this administrative regulation package. Mr. Jarrell TO; STATUTORY AUTHORITY; and NECESSITY, Co-Chair Hale thanked Ms. Waldrop, upon her strongly disagreed that, as established in 201 KAR FUNCTION, AND CONFORMITY paragraphs and departure from the department, for her twenty (20) 11:011, private communications should be exempt Sections 1 through 11 to comply with the drafting years of public service. from licensee identification until a relationship for and formatting requirements of KRS Chapter 13A. Representative Turner stated that it was an honor real estate services was clearly established. It was a bad Without objection, and with agreement of the agency, to have worked with Ms. Waldrop. Her work was precedent for real estate licensees to be allowed to not the amendments were approved. appreciated. disclose identification via regular mail and email. 201 201 KAR 11:170. Education provider requirements. Ms. Waldrop thanked the subcommittee and KAR 11:105 established the One-click requirement A motion was made and seconded to approve the staff for the years of assistance with the department’s for licensee identification, which required a licensed following amendments: to amend the STATUTORY administrative regulations. realtor to self-identify within one (1) click of a Web AUTHORITY and NECESSITY FUNCTION and 301 KAR 2:090. Means by which migratory game site advertisement. Internet advertisements were CONFORMITY paragraphs and Sections 1 through birds may be taken. generated from individualized algorithms; therefore, a 7, 9 through 12, and 16 to comply with the drafting A motion was made and seconded to approve the consistent One-click requirement seemed ineffective. and formatting requirements of KRS Chapter 13A. following amendments: to amend Sections 2 and 4 to Licensee identification should be on every page of Without objection, and with agreement of the agency, comply with the drafting and formatting requirements real estate advertisement or materials. the amendments were approved. of KRS Chapter 13A. Without objection, and with In response to a question by Co-Chair Hale, Mr. 201 KAR 11:190. Consumer and administrative agreement of the agency, the amendments were Cotto stated that the One-click requirement ensured complaints; discipline; administrative hearings. approved. that licensee identification was within one (1) A motion was made and seconded to approve the ENERGY AND ENVIRONMENT CABINET: click of a Web site advertisement. The commission following amendments: to amend the NECESSITY, Office of the Secretary: Administration believed that the One-click requirement was the FUNCTION, AND CONFORMITY paragraph and 400 KAR 1:110. Administrative hearings relating most comprehensive way to promote licensee Sections 1 through 4 and 6 through 9 to comply with to matters brought under KRS Chapter 350 or KRS identification because the agency did not have the drafting and formatting requirements of KRS 351.310 through 351.357. Lesly Davis, executive authority over the platforms themselves. Mr. Manley Chapter 13A. Without objection, and with agreement director, Office of Administrative Hearings, and stated that the licensee identification exemption for of the agency, the amendments were approved. Michael Mullins, regulation coordinator, represented private communication only applied if confidential 201 KAR 11:210. Licensing, education, and testing the office. information had not been shared with the licensee. requirements. A motion was made and seconded to approve Additionally, advertisements were not exempt; A motion was made and seconded to approve the the following amendments: to amend the RELATES therefore, unsolicited emails should not be a major following amendments: to amend the NECESSITY, TO and STATUTORY AUTHORITY paragraphs concern. Because it was not possible to anticipate FUNCTION, AND CONFORMITY paragraph; and Sections 1, 5, 7, 8, and 11 to comply with the technological changes, the general One-click Sections 1 through 4 and 6 through 15; and material drafting requirements of KRS Chapter 13A. Without requirement was the most comprehensive way to incorporated by reference to comply with the drafting objection, and with agreement of the agency, the promote licensee identification. and formatting requirements of KRS Chapter 13A. amendments were approved. In response to questions by Co-Chair West, Mr. Without objection, and with agreement of the agency, Department for Environmental Protection: Manley stated that a licensee would be required to self- the amendments were approved. Division of Water: Water Wells identify in an advertisement or in communication, 201 KAR 11:220. Errors and omissions insurance 401 KAR 6:001 & E. Definitions for 401 KAR such as mail or email, if real estate advertisement requirements. Chapter 006. Peter Goodmann, division director, and takes place or if confidential information regarding A motion was made and seconded to approve the Tony Hatton, commissioner, represented the division. real estate is included. following amendments: to amend the STATUTORY In response to a question by Co-Chair West, Mr. A motion was made and seconded to approve the AUTHORITY and NECESSITY, FUNCTION, AND Hatton stated that 401 KAR 6:001, 6:211, 6:310, 6:320, following amendments: to amend the STATUTORY CONFORMITY paragraphs and Sections 1 through and 6:350 primarily affected drilling companies with AUTHORITY and NECESSITY, FUNCTION, AND 3 and 5 to comply with the drafting and formatting multiple drill rigs. Previously, a certified well driller CONFORMITY paragraphs to comply with the requirements of KRS Chapter 13A. Without objection, was required to be on-site during well installation. This drafting requirements of KRS Chapter 13A. Without and with agreement of the agency, the amendments package of administrative regulations, in accordance objection, and with agreement of the agency, the were approved. with Senate Bill 32 from the 2019 Regular Session amendments were approved. 201 KAR 11:461. Repeal of 201 KAR 011:420. of the General Assembly, established a certified well 201 KAR 11:011. Definitions for 201 KAR Chapter Board of Respiratory Care driller’s assistant, who may supervise well installation.

THE KENTUCKY GENERAL ASSEMBLY 39 401 KAR 6:211. Repeal of 401 KAR 006:200. all members present voted in support of lifting the 806 KAR 7:031. Repeal of 806 KAR 007:030. Tony 401 KAR 6:310 & E. Water supply well construction finding of deficiency. Without objection, the motion Cotto, executive advisor, and Lee Webb, director, practices and standards. was approved. represented the department. 401 KAR 6:320 & E. Certification of water well In response to a question by Co-Chair Hale, Ms. Agents, Consultants, Solicitors, and Adjusters drillers and water well driller assistants. Seip stated that she had an incomplete homonymous 806 KAR 9:020. False or deceptive names, titles, 401 KAR 6:350 & E. Monitoring well construction hemianopia and had demonstrated that she was a prohibited. practices ad standards. safe driver. She had obtained a judge-ordered driver’s A motion was made and seconded to approve the Water Quality Standards license. The department chose not to further amend following amendments: to amend the RELATES TO 401 KAR 10:001. Definitions for 401 KAR Chapter this administrative regulation. Ms. Seip stated that paragraph and Section 1 to comply with the drafting 010. her counsel indicated that it was required for the requirements of KRS Chapter 13A. Without objection, 401 KAR 10:026. Designation of uses of surface department to submit the amended version of this and with agreement of the agency, the amendments waters. administrative regulation, including time for public were approved. 401 KAR 10:029. General provisions. response. For over sixteen (16) years the department 806 KAR 9:025. Agent licensing process. 401 KAR 10:030. Antidegradation policy denied numerous requests by Ms. Seip for a road A motion was made and seconded to approve implementation methodology. assessment, despite the fact that KRS 186.570 the following amendments: to amend the RELATES A motion was made and seconded to approve the required the Medical Review Board to provide TO and STATUTORY AUTHORITY paragraphs; following amendments: to amend Section 1 to comply technical assistance in the evaluation of a person’s Sections 1, 5 through 7, and 9; and material with the drafting requirements of KRS Chapter 13A. ability to drive safely. Ms. Seip stated that she was incorporated by reference to comply with the drafting Without objection, and with agreement of the agency, automatically excluded from a road assessment requirements of KRS Chapter 13A. Without objection, the amendments were approved. due to failure to meet visual standards. Ms. Seip and with agreement of the agency, the amendments 401 KAR 10:031. Surface water standards. had taken and passed two (2) road assessments, for were approved. A motion was made and seconded to approve the a total of approximately five (5) hours of testing; 806 KAR 9:030. Adjuster licensing restrictions. following amendment: to amend Section 6 to correct however, the department continued to deny her a A motion was made and seconded to approve the a unit of measurement. Without objection, and driver’s license. Subsequently as a result of litigation, following amendments: to amend the RELATES TO with agreement of the agency, the amendment was she obtained a judge-ordered driver’s license. Ms. paragraph and Sections 1 through 3 to comply with approved. Seip stated that her counsel indicated that failure to the drafting and formatting requirements of KRS TRANSPORTATION CABINET: Department include individualized opportunities for assessment Chapter 13A. Without objection, and with agreement of Vehicle Regulation: Division of Driver Licensing: opened this administrative regulation to litigation for of the agency, the amendments were approved. Driver Improvement violating the Americans with Disabilities Act. 806 KAR 9:061. Repeal of 806 KAR 009:060. 601 KAR 13:090. Medical Review Board; basis In response to questions by Co-Chair West, Mr. 806 KAR 9:110. Agent’s rights after contract for examination, evaluation, tests. Doug Back, MD Henderson stated that the department had not termination. (Ophthalmology) and member, Medical Review made further amendments to this administrative A motion was made and seconded to approve the Board; Matt Henderson, commissioner; Larisa Plecha, regulation since the October 8 meeting of the following amendments: to amend the NECESSITY, staff attorney; and Bryan Prater, MD (Ophthalmology) subcommittee. Ms. Seip was given the opportunity FUNCTION, AND CONFORMITY paragraph and member, Medical Review Board, represented the for a driving evaluation. The field of vision standard to comply with the drafting requirements of KRS department. Cindy Seip, Franklin County resident, required at least a thirty-five (35) degree visual field Chapter 13A; and (2) to delete Section 3. Without appeared in opposition to 601 KAR 13:100. in each eye. That standard remained unchanged in objection, and with agreement of the agency, the At the October 8 meeting of the Administrative this version of this administrative regulation. The amendments were approved. Regulation Review Subcommittee, a motion was made authorizing statutes and administrative regulations 806 KAR 9:190. Disclosure requirements for and seconded to approve the following amendments: established clear standards that prohibited issuing a financial institutions authorized to engage in to amend the RELATES TO; STATUTORY driver’s license to applicants who did not meet those insurance agency activities. AUTHORITY; and NECESSITY, FUNCTION, AND standards. It was therefore possible to pass a road A motion was made and seconded to approve the CONFORMITY paragraphs and Sections 1 through assessment without meeting the required standards, following amendments: to amend the RELATES TO 3 to comply with the drafting requirements of KRS which led to Ms. Seip’s judge-ordered driver’s license. and NECESSITY, FUNCTION, AND CONFORMITY Chapter 13A. Without objection, and with agreement The department was prohibited from itself issuing paragraphs and Sections 1 and 2 to comply with the of the agency, the amendments were approved. a driver’s license to a person who did not meet the drafting and formatting requirements of KRS Chapter 601 KAR 13:100. Medical standards for operators required visual field standards. It was accurate 13A. Without objection, and with agreement of the of motor vehicles. that the judge’s determination in Ms. Seip’s case agency, the amendments were approved. In response to a question by Co-Chair West, Mr. was inconsistent with the authorizing statutes and 806 KAR 9:200. Volume of insurance agent Henderson stated that this administrative regulation administrative regulations regarding the visual field exchange of business. was deferred from the October 8 meeting of the standards. A motion was made and seconded to approve the subcommittee. After that meeting, the department met At the October 8 meeting of the Administrative following amendments: to amend the RELATES TO with individual members to clarify the department’s Regulation Review Subcommittee, a motion was paragraph, and Sections 2 and 4 to comply with the rationale for the requirements in this administrative made and seconded to approve the following drafting requirements of KRS Chapter 13A. Without regulation. The department’s amendment did not amendments: (1) to amend the RELATES TO objection, and with agreement of the agency, the make substantive changes to visual standards from paragraph and Sections 1 and 3 through 11 to comply amendments were approved. the currently effective version of this administrative with the drafting requirements of KRS Chapter 13A; 806 KAR 9:221. Repeal of 806 KAR 009:001, 806 regulation. Certain diagnoses, such as hemianopia, and (2) to amend Section 11 to clarify that the visual KAR 009:070, and 806 KAR 009:220. did not preclude an applicant from testing for a acuity standard includes 20/61 “or worse.” Without A motion was made and seconded to approve the driver’s license. Each individual had the opportunity objection, and with agreement of the agency, the following amendments: to amend the STATUTORY for driving evaluations, clinical examinations, and amendments were approved. AUTHORITY and NECESSITY, FUNCTION, AND other testing opportunities, including appeals in Compiler’s Note: Pursuant to KRS 13A.335(3)(c), CONFORMITY paragraphs to comply with the accordance with KRS Chapter 13B. Section 13, which reflected the finding of deficiency, drafting requirements of KRS Chapter 13A. Without Senator Kerr made a motion, seconded by was deleted from this administrative regulation. objection, and with agreement of the agency, the Senator Clark, to lift the finding of deficiency on PUBLIC PROTECTION CABINET: amendments were approved. this administrative regulation. On a roll call vote, Department of Insurance: Investments 806 KAR 9:310. Life settlement licenses.

40 2019 Interim LEGISLATIVE RECORD A motion was made and seconded to approve the Schissler stated that the fee to conduct a background Department for Medicaid Services: Division of following amendments: (1) to amend the NECESSITY, check pertaining to the Child Abuse and Neglect Policy and Operations: Behavioral Health FUNCTION, AND CONFORMITY paragraph Central Registry was ten (10) dollars. There was 907 KAR 15:005 & E. Definitions for 907 KAR and Sections 1 through 4 and 6 to comply with the no expected additional cost to search for certain Chapter 015. Jonathan Scott, regulatory and legislative drafting requirements of KRS Chapter 13A; and (2) misdemeanors because a felony check was already advisor, represented the division. to amend Section 1 to cross reference 806 KAR 9:025 required. A motion was made and seconded to approve that incorporates by reference the NAIC Individual In response to a question by Co-Chair Hale, Mr. the following amendments: to amend Section 1 to: Insurance Producer license application and the Davis stated that the reason for not including these (1) comply with the drafting requirements of KRS Uniform Application for Business Entity Insurance background checks was to keep requirements as Chapter 13A; and (2) establish a six (6) month grace License. Without objection, and with agreement of commensurate as possible between home health period for registered behavior technicians to complete the agency, the amendments were approved. providers and private duty nurses. While the cost the required training program, assessment, and 806 KAR 9:321. Repeal of 806 KAR 009:320. for the background check was nominal, it was an examination. Without objection, and with agreement 806 KAR 9:341. Repeal of 806 KAR 009:341. additional burden not currently required for home of the agency, the amendments were approved. 806 KAR 9:350. Recognition of financial planning health providers. Ms. Brammer – Barnes stated 907 KAR 15:010 & E. Coverage provisions and certification and designation for receipt of fees and that there was already a requirement for a criminal requirements regarding behavioral health services commissions. records check upon initial employment, and there was provided by individual approved behavioral health A motion was made and seconded to approve the nothing that prohibited a provider from disqualifying practitioners, behavioral health provider groups, and following amendments: to amend the RELATES TO an applicant for employment based on any criminal behavioral health multi-specialty groups. paragraph and Section 1 to comply with the drafting violations. Nursing licensure requirements already A motion was made and seconded to approve the requirements of KRS Chapter 13A. Without objection, included fingerprint-supported state and FBI following amendments: (1) to amend the RELATES and with agreement of the agency, the amendments background checks. TO paragraph and Section 3 to comply with the were approved. In response to a question by Senator Raque Adams, drafting requirements of KRS Chapter 13A; (2) Surplus Lines Mr. Davis stated that the division was not opposed to to amend Section 3 to: (a) establish a new service 806 KAR 10:061. Repeal of 806 KAR 010:060. the additional background checks, but was interested category of Applied Behavior Analysis (ABA); and (b) Insurance Contract in maintaining commensurate requirements for add registered behavior technicians to ABA support 806 KAR 14:061. Repeal of 806 KAR 014:060. both home health providers and private duty nurses. services and remove them from comprehensive CABINET FOR HEALTH AND FAMILY Usually, a guardian remained present during private community support services; and (3) to amend SERVICES: Office of Inspector General: Division duty nursing care of a child. Senator Raque Adams Section 4 to clarify terminology used for laboratory of Healthcare: Health Services and Facilities stated that the additional cost in this case seemed to services. Without objection, and with agreement of 902 KAR 20:370. Operations and services; private be worth the protection and this check was required the agency, the amendments were approved. duty nursing agencies. Stephanie Brammer – Barnes, for public school employees, in which case the fee was 907 KAR 15:015 & E. Reimbursement provisions regulation coordinator, and Steve Davis, inspector paid by the applicant. Co-Chair West stated that the and requirements for behavioral health services general, represented the division. Heidi Schissler, legal additional cost seemed to be worth the protection provided by individual approved behavioral health director, Kentucky Protection and Advocacy appeared to children, but the amendment should clarify if the practitioners, behavioral health provider groups or in opposition to this administrative regulation. background check was an initial pre-employment behavioral health multi-specialty groups. In response to a question by Co-Chair West, Mr. check or an annual check. Ms. Schissler stated that A motion was made and seconded to approve the Davis stated that the four (4) hour limit for private sometimes child abuse and neglect were not treated following amendments: to amend Section 5 to comply duty nursing stemmed from a legacy concern about as criminal violations and might not appear in some with the drafting requirements of KRS Chapter 13A. encroachment into the home health jurisdiction by background checks. Mr. Davis stated that it was a pre- Without objection, and with agreement of the agency, private duty nurses. Currently, home health and private employment, not an annual check. the amendments were approved. duty nursing were separate and different services; In response to questions by Co-Chairs Hale and 907 KAR 15:020 & E. Coverage provisions therefore, concerns about encroachment were no West, Mr. Davis stated that the division would agree and requirement regarding services provided by longer salient. Removing the four (4) hour limit would to an oral amendment to include requirements for behavioral health services organizations for mental correct gaps in coverage that were occurring. Home a background check through the Child Abuse and health treatment. health agencies were required to obtain a Certificate Neglect Central Registry, as established in 922 KAR A motion was made and seconded to approve the of Need. Private duty nursing was certified through a 1:470, and to include relevant misdemeanors. It was following amendments: (1) to amend the RELATES nonsubstantive review process. There were currently important that the misdemeanors be only relevant TO paragraph and Section 3 to comply with the only twelve (12) certified private duty nursing ones in order to avoid excluding well-qualified drafting requirements of KRS Chapter 13A; (2) to providers, due in some instances to the four (4) hour employees, because many people had misdemeanors amend Section 2 to allow a one-time extension for limit. There were also gaps in coverage due to lack of that were unrelated to potential service. Ms. Schissler obtaining accreditation; and (3) to amend Section emergency service providers. The Energy Employees’ stated that Kentucky Protection and Advocacy was 3 to: (a) establish a new service category of Applied Occupation Illness Compensation Act established a concerned about misdemeanors related to abuse, Behavior Analysis (ABA); (b) add registered behavior federal payment source for specific types of employee neglect, or exploitation of a child. technicians to ABA support services and remove them illnesses, such as illnesses related to gaseous diffusion A motion was made and seconded to approve from comprehensive community support services; operations. There were jurisdictional encroachment the following amendments: to amend Section 4 to: and (c) clarify when laboratory services will be issues pertaining to these providers. (1) require a background check through the Child reimbursable. Without objection, and with agreement In response to questions by Co-Chair Hale, Abuse and Neglect Central Registry, as established of the agency, the amendments were approved. Ms. Schissler stated that Kentucky Protection and in 922 KAR 1:470; (2) comply with the formatting 907 KAR 15:022 & E. Coverage provisions Advocacy supported removing the four (4) hour requirements of KRS Chapter 13A; and (3) include and requirements regarding services provided by limit. Ms. Schissler requested that, for the protection relevant misdemeanors as part of the background behavioral health services organizations for substance of patients, the division amend this administrative check for working with children. Without objection, use disorder treatment and co-occurring disorders. regulation to add background check requirements and with agreement of the agency, the amendments A motion was made and seconded to approve for private duty nurses, including the Child Abuse were approved. the following amendments: (1) to amend the and Neglect Central Registry and certain, relevant 902 KAR 20:430 & E. Facilities specifications, RELATES TO paragraph to comply with the drafting misdemeanors. operation and services; behavioral health services requirements of KRS Chapter 13A; (2) to amend In response to questions by Co-Chair West, Ms. organizations for mental health treatment. Section 2 to allow a one-time extension for obtaining

THE KENTUCKY GENERAL ASSEMBLY 41 accreditation; and (3) to amend Section 3 to: (a) 805 KAR 1:120. Operating or deepening existing Diversification through Entrepreneurship in require residential treatment providers to establish wells and drilling deeper than the permitted depth. Agribusiness, and Large/Food Animal Veterinary a contractual relationship with a narcotic treatment 805 KAR 1:140. Directional and horizontal wells. Incentive Program (LFAVIP). program that dispenses methadone if a recipient’s Division of Oil and Gas In response to a question from Senator Parrett, Mr. choice of medication assisted treatment is methadone; 805 KAR 1:170. Content of the operations and Beeler stated there should be stipulations to be eligible (b) clarify terminology used for laboratory services; reclamation plan. to receive funds through LFAVIP. There should be no and (c) allow temporarily certified alcohol and 805 KAR 1:180. Production reporting. tobacco settlements funds granted to veterinarians drug counselors in narcotic treatment programs to 805 KAR 1:190. Gathering lines. who only treat small animals such as dogs and cats. practice for three (3) years instead of two (2). Without 805 KAR 1:200. General information associated There have been more than 900 loans approved objection, and with agreement of the agency, the with oil and gas permits. for approximately $133 million since the tobacco amendments were approved. Sanctions and Penalties settlement fund was created. Based on an evaluation 907 KAR 15:025 & E. Reimbursement provisions 805 KAR 9:011. Repeal of 805 KAR Chapter 009. by the University of Kentucky, 79 percent of lenders and requirements regarding behavioral health services CABINET FOR HEALTH AND FAMILY would not have funded projects without the provided by behavioral health services organizations. SERVICES: Office of Inspector General: Division participation of the Kentucky Agricultural Finance A motion was made and seconded to approve of Healthcare: Health Services and Facilities Corporation. the following amendments: to amend Sections 2 and 902 KAR 20:036. Operation and services; personal Bill McCloskey described the Agricultural 6 to comply with the drafting requirements of KRS care homes. Stephanie Brammer – Barnes, regulation Development Board’s projects for October under Chapter 13A. Without objection, and with agreement coordinator, and Steve Davis, inspector general, the program. Mr. McCloskey highlighted programs of the agency, the amendments were approved. represented the division. including the County Agricultural Investment Department for Community Based Services: In response to a question by Co-Chair Hale, Mr. Program (CAIP) and the On-Farm Energy Program. Division of Protection and Permanency: Child Davis stated that the division requested to defer The projects discussed included: Welfare consideration of this administrative regulation to the Brangers Angus Farm was approved for up 922 KAR 1:320 & E. Service appeals. Laura Begin, December meeting of the subcommittee. A motion to $10,000 in state funds to install a water regulation coordinator, and Rachael Ratliff, legislative was made and seconded to approve the deferral harvesting system as part of a compost liaison, represented the division. request. Without objection, and with the agreement bedded pack barn. The following administrative regulations were of the agency, this administrative regulation was Bagdad Roller Mills was approved for up to deferred or removed from the November 12, 2019, deferred. $200,000 in multiple county funds to expand subcommittee agenda: Department for Community Based Services: its grain storage and handling equipment. STATE BOARD OF ELECTIONS: Forms and Child Welfare Berea College, Grow Appalachia was approved Procedures 922 KAR 1:330 & E. Child protective services. for up to $274,695 in state and multiple 31 KAR 4:120. Additional and emergency precinct The subcommittee adjourned at 11:50 a.m. The county funds to expand the Eastern officers. next meeting of the subcommittee is tentatively Kentucky Direct Integrated Grower Support BOARDS AND COMMISSIONS: Board of scheduled for December 16, 2019, at 1 p.m. Program to offer on-farm consultations and Pharmacy production planning. 201 KAR 2:095. Pharmacist interns. TOBACCO SETTLEMENT The Kentucky Center for Agriculture and Real Estate Appraisers Rural Development was approved for up 201 KAR 30:130. Education provider, instructor, AGREEMENT FUND OVERSIGHT to $900,000 in state funds over two years and course. COMMITTEE to deliver technical assistance and provide TOURISM, ARTS, AND HERITAGE CABINET: Minutes of the 8th Meeting educational opportunities to agricultural Department of Fish and Wildlife Resources: Game of the 2019 Interim and rural businesses. 301 KAR 2:185. Hunter education. November 6, 2019 The City of Hazard was approved for up to JUSTICE AND PUBLIC SAFETY CABINET: Call to Order and Roll Call $99,500 in state funds and $500 in Perry Asset Forfeiture The 8th meeting of the Tobacco Settlement County funds for the construction of a 500 KAR 9:011. Repeal of 500 KAR 009:010, Agreement Fund Oversight Committee was held on farmers market pavilion. 500 KAR 009:020, 500 KAR 009:030, and 500 KAR Wednesday, November 6, 2019, at 1:00 PM, in Room Division of Conservation 009:040. 154 of the Capitol Annex. Senator C.B. Embry Jr., Paulette Akers stated the state cost share program Motorcycle Safety Education Commission Chair, called the meeting to order, and the secretary was established in 1994 and started receiving tobacco 500 KAR 15:010 & E. Motorcycle safety education called the roll. settlement funds in 2000. The funds provide financial program. Present were: assistance to farmers at a 75 percent reimbursement TRANSPORTATION CABINET: Department Members: Senator C.B. Embry Jr., Co-Chair; rate with the assistance of local conservation districts. of Vehicle Regulation: Division of Driver Licensing: Representative Myron Dossett, Co-Chair; Senator There are funds that are returned every year due to Administration Dennis Parrett; Representatives Kim King, Phillip canceled projects or an overestimation of cost. These 601 KAR 2:030E. Ignition interlock. Pratt, Rick Rand, Brandon Reed, and Dean Schamore. funds are appropriated in the next fiscal year. The last ENERGY AND ENVIRONMENT CABINET: Guests: Warren Beeler, Executive Director, biennial budget appropriated $2.5 million. Department for Natural Resources: Division of Oil Governor’s Office of Agricultural Policy (GOAP); Bill The Division of Conservation is currently drafting and Gas McCloskey, Deputy Executive Director, GOAP; and a regulation revision that will change the funding cap 805 KAR 1:001. Definitions for 805 KAR Chapter Paulette Akers, Director, Division of Conservation, of $7,500 to $20,000. The funding cap has not been 001. Department for Natural Resources, Energy and revised since 1994 and 50 percent of projects are 805 KAR 1:020. Protection of fresh water zones. Environment Cabinet. impacted by the current funding cap. 805 KAR 1:030. Well location and as-drilled LRC Staff: Stefan Kasacavage, Nathan Smith, and There being no further business, the meeting was location plat, preparation, form and contents. Rachel Hartley. adjourned. 805 KAR 1:050. Bonds, requirements, cancellation. Governor’s Office of Agricultural Policy Report 805 KAR 1:060. Plugging wells. Warren Beeler provided a brief overview of the 805 KAR 1:080. Gas storage reservoirs; drilling, Kentucky Agricultural Finance Corporation loan plugging in vicinity. programs including: Agricultural Infrastructure, 805 KAR 1:110. Underground injection control. Agricultural Processing, Beginning Farmer,

42 2019 Interim LEGISLATIVE RECORD MEDICAID OVERSIGHT AND being the most common traumatic injury. The data trauma system and hospitals across the state would reflected that trauma is seasonal as the high volume benefit from a cap on Medicaid transport, a review of ADVISORY COMMITTEE of trauma registry entries happen in the spring and surprise billing for trauma cases and a review of cost Minutes October 7, 2019 summer months. 17 percent of all trauma entries are for the air transportation system. medically classified as severe. 75 percent of trauma Call to Order and Roll Call cases in the registry were admitted into the operating Maternal Health and Wellness for New Mothers The 5th meeting of the Medicaid Oversight and room, and 13.7 percent were severe enough to and Their Children Advisory Committee was held on Monday, October need to be transferred to another hospital. The data Carol Steckel, Commissioner, Department for 7, 2019, at 10:00 AM, in Room 171 of the Capitol reflected that 38.24 percent of cases were covered by Medicaid Services, Cabinet for Health and Family Annex. Representative Daniel Elliott, Chair, called commercial insurance, 26.95 percent were covered by Services stated that the state is working diligently to the meeting to order, and the secretary called the roll. Medicare, 25.85 percent were covered by Medicaid, ensure that resources are maximized for Medicaid Present were: and 6.4 percent were either self-pay or uninsured. beneficiaries, even if that means using multiple Members: Senator Stephen Meredith, Co-Chair; Mr. Bartlett stated that the short term goal of the agencies. Commissioner Steckel stated that there were Representative Daniel Elliott, Co-Chair; Senators Kentucky Trauma Care System is to secure funding 56,000 live births in Kentucky in 2018, 46 percent Ralph Alvarado, Danny Carroll, and Jimmy Higdon; to support the growth and operation of the system. were paid for by Medicaid which is lower than the Representatives Jim Gooch Jr., Melinda Gibbons Through legislation, several sources of funding could national average of 55 percent. In Kentucky, in 2018, Prunty, and Steve Sheldon. be found in measures like Georgia’s Super Speeder there were 27,542 Medicaid covered babies and Guests: Dr. Julia F. Costich, JD, PhD, Professor Law, enhanced distracted driving fines, and having 24,839 covered mothers. of Health Management and Policy, University of a trauma registry add-on to the Kentucky motor Dr. Judy Theriot, Medical Director, Department Kentucky College of Public Health; Dick Barlett, vehicle registration forms. The funding would help for Medicaid Services, Cabinet for Health and Family Trauma and Emergency Preparedness Coordinator, with employing a full-time program manager, a full Services, stated that Kentucky leads the country with Kentucky Hospital Association; Carol Steckel, time trauma educator, adding software support for 35 percent caesarean section births compared to the Commissioner, Department for Medicaid Services, the registry, increasing basic operating costs, and national average of 32 percent. Kentucky’s pre-term Cabinet for Health and Family Services; Dr. Judy facilitating more educational programming. birth rate is 11 percent which is 3 percent higher than Theriot, Medical Director, Department for Medicaid Dr. Costich stated that the registry currently the national average. Dr. Theriot stated that Kentucky Services, Cabinet for Health and Family Services; receives funds from a National Highway Traffic is second in the nation behind West Virginia in the Emily Ferrell, Epidemiologist, Department of Public Safety Administration grant which covers annual percentage of pregnant mothers who smoke. Health, Cabinet for Health and Family Services. compilation and analysis of the registry’s data. Annual Dr. Theriot stated that 700 women die each year LRC Staff: DeeAnn Wenk, Lead Staff, Chris data shows that there are very few trauma deaths in and 60 percent of those deaths are preventable. Joffrion, Hillary McGoodwin, Dana Simmons. Kentucky due to the rising number of hospitals that Pregnancy related mortality is based on the time Approval of Minutes can accommodate trauma cases. However, the data while the mother is pregnant, the few weeks after, and A motion to approve the September 9, 2019 does not reflect the cases of motor vehicle deaths in up until a year post-partum. Kentucky is thirteenth meeting minutes was made by Senator Alvarado and rural areas that never make it to the hospital to be in the nation for maternal deaths with 22.9 percent seconded by Representative Sheldon, and approved captured in the registry. A comprehensive approach per 100,000 compared to the national average of 17.2 by a voice vote. to preventing trauma in rural areas and expanding per 100,000. This number is up significantly from 25 Kentucky Trauma Care Systems rescue and trauma resources in rural Kentucky is years ago when the national average was 12 percent. Dick Barlett, Trauma and Emergency Preparedness imperative to preventing deaths. Mothers today have a greater chance of dying from Coordinator, Kentucky Hospital Association stated In response to questions and comments from childbirth related causes than their own mothers, 25 the movement to create a statewide trauma care Senator Meredith, Mr. Bartlett stated that by years prior. system was originally led by Dr. Paul Kearney, trauma investing in the trauma system, the state would see Dr. Theriot stated that infant mortality rate surgeon at the University of Kentucky and Dr. Mary savings through the stabilization of patients in their in Kentucky is 6.8 per thousand births and most Fallat, a pediatric trauma surgeon at Kosair Children’s communities. Also communities could, with the causes of infant deaths are preventable. Infant death Hospital in 2007. The goal was to create a voluntary help of the Kentucky Hospital Association invest in causes range from sudden infant death syndrome, governing body that oversaw trauma certifications adequate ground transport so air transportation is not which often occurs due to co-sleeping or not using throughout the state to increase the trauma care the main transportation method for trauma cases. Mr. age appropriate bedding, birth defects that are often capacity in rural regions throughout the state. In Bartlett stated that air transportation costs the state caused during gestation through substance use and 2008, KRS 211.499- 211.486 was enacted to create $20,000-$40,000 per event, and is often not a medical smoking, complications from pre-term births, and the Kentucky Trauma Advisory Committee which necessity but merely the only means of transportation accidents/injury. Educating new and expecting developed criteria for in-state verification of Level II- available. Senator Meredith stated that he would like mothers is the key to preventing many maternal and IV trauma centers. There was no provision for state to see a graph of the future savings in proportion with infant deaths. The Department for Medicaid Services funding. the investments. (DMS) is working with the Department of Public Mr. Bartlett stated that the long range goals for the In response to questions and comments from Health and Managed Care Organizations (MCO) to Kentucky Trauma System are to decrease the death Representative Sheldon, Mr. Bartlett stated he would educate mothers and families. rate from injury, decrease morbidity and disability, meet with Representative Sheldon and Representative Dr. Theriot stated that the state is emphasizing the and decrease the overall healthcare impact trauma Tipton to discuss their proposed distracted driving “Healthy Babies are Worth the Wait” initiative which has on the Commonwealth. Mr. Bartlett stated that bill, 20RS BR 156, to see if the trauma system can be advocates for mothers to not elect to give birth before since 2008, Kentucky has 22 trauma centers with two a designated recipient of revenue from the proposed 39 weeks. Most Medicaid mothers are covered by a to three regional hospitals in central Kentucky that bill. MCO which means they receive case management are in the process of receiving Level III designation In response to questions and comments from and resources that meet with the mothers pre-birth and four hospitals across the state working on Level Representative Prunty, Mr. Barlett stated that in and up to twelve months post-partum. The MCOs IV designations. Mr. Bartlett added that Pikeville western Kentucky, Bowling Green is working towards support the “Healthy Babies are Worth the Wait” Medical Center is currently working on developing a a Level III designation since Vanderbilt is just down initiative, because if a recipient was to elect to give pediatric trauma center. the road as a Level I trauma center. Mr. Bartlett stated birth, prior to being 39 weeks pregnant and without that in Paducah, the struggle has been with the buy-in medical necessity, the MCO would not get paid. Mr. Bartlett stated that there are 13,000 trauma from the medical team for the on-call hours needed Together with the MCOs and doctors, the state is records in the registry with men making up 60 to qualify for trauma status. Mr. Barlett stated that the trying to incentivize pre-birth and post-partum percent of the entries and isolated hip fractures THE KENTUCKY GENERAL ASSEMBLY 43 doctor’s visits and using this time to educate the doctor’s visits and if it is, it is on a case by case basis. network. mothers on safe sleeping, healthy habits, as well as The state created the nonprofit KentuckyWired informing mothers of their option to receive long Adjournment Infrastructure Company, referred to as Project acting reversible contraception (LARC). Only 62 There being no further business, the meeting was Company in the report. Its main purpose was to percent of Medicaid mothers attended their post- adjourned at 11:30AM. borrow using less expensive tax-exempt bonds. With partum doctor’s visits. Only 42 percent of Medicaid the state’s approval, Macquarie transferred to Project mothers who gave birth to drug exposed babies attend PROGRAM REVIEW AND Company its responsibilities under the original their follow-up visits. contract for building and operating the network. Dr. Theriot stated that the Centers for Disease INVESTIGATIONS COMMITTEE Macquarie created the KentuckyWired Operations Control reported that ensuring healthy intervals Minutes Company, referred to as Operations Company in November 22, 2019 between births increases the likelihood of a healthy the report. Project Company assigned Operations child and lowers the rate of maternal deaths. In 2018, Call to Order and Roll Call Company almost all its responsibilities. the LARC was given to only 4.2 percent of mothers The Program Review and Investigations Supervening events are situations in which the between the ages of 15 to 44 years of age. Dr. Theriot Committee met on Friday, November 22, 2019, at contractor claims compensation for extra costs or attributed this to the low attendance percentage for 8:00 AM, in Room 131 of the Capitol Annex. Senator delays. Supervening event costs eventually exceeded post-partum doctor visits where those options can Danny Carroll, Chair, called the meeting to order, and $191 million but were negotiated down to $101 be addressed. Commissioner Steckel stated that the secretary called the roll. million in a 2018 settlement. in the 2020 contract for MCOs, there will be strict Present were: A wholesaler, OpenFiber, was created to market accountability and outcomes measures for healthy Members: Senator Danny Carroll, Co-Chair; and lease the extra fiber built into the KentuckyWired mothers, incentivizing providers to utilize available Representative Rob Rothenburger, Co-Chair; Senators network. programming. Tom Buford, Perry B. Clark, Reginald Thomas, Mr. Knowles explained that the executive and Emily Ferrell, Epidemiologist, Department of Stephen West, and Phillip Wheeler; Representatives legislative branches exercise oversight of capital Public Health (DPH), Cabinet for Health and Family Lynn Bechler, Al Gentry, Adam Koenig, Ruth Ann projects. The secretary’s office in FAC may authorize Services, stated that the cabinet utilizes several Palumbo, Steve Riley, and Walker Thomas. deviations from policies and procedures, which in-home services to new mothers and families. Guests: Deck G. Decker, Interim Chief Executive was done for several aspects of the KentuckyWired The HANDS program is a home visiting program Officer, Kentucky Communications Network procurement and contract negotiations. It was available to women and families during pregnancy Authority; Lonnie Lawson, President and John unusual for a construction project to be handled by and through early childhood. HANDS provides Gillum, corporate attorney, Center for Rural the Office of Procurement Services, for a contract to nurses, social workers and community health Development; Andrew McNeill, State Director, be revised so much, and for the cabinet’s buyer not workers to help prepare families for the challenges of Americans for Prosperity. to be aware of all contract changes. Some related parenthood while also connecting them to resources. LRC Staff: Greg Hager, Committee Staff contracts were not entered into the accounting Ms. Ferrell stated that the First Steps program is also Administrator; Greg Daly; system until 2019. Two agreements that might have a service that the state brings to new families to help Christopher T. Hall; Van Knowles; Catherine required legislative review were not presented to the aid the healthy development of their infants and to Moran; Jean Ann Myatt; Jeremy Skinner; William Government Contract Review Committee, and six help identify any conditions and developmental Spears; Shane Stevens; Joel Thomas; and Christy construction contracts had not been entered into the barriers the children have while connecting them Young, Committee Assistant. state accounting system as of October. with additional resources. Minutes for October 4, 2019 Mr. Knowles said that legislative oversight of Upon motion by Representative Palumbo and capital projects is primarily the responsibility of the Ms. Ferrell stated that under the Department for second by Representative Riley, minutes for the Capital Projects and Bond Oversight Committee. Public Health, a multi-disciplinary maternal morality October 4, 2019 meeting were approved by voice vote He explained the process by which the committee review committee has been established. Additionally, without objection. considers project debt and other actions for approval DPH has several maternal health based review boards: Staff Report:Procurement And Financing Of or disapproval, subject to an agency head’s decision the Public Health Child Fatality Program, Sudden KentuckyWired to proceed despite lack of approval. The committee Infant Death Syndrome Fatality review program, and Mr. Thomas gave a brief description of the also determines whether the project complies with the Neo-Natal Abstinence Syndrome review. These KentuckyWired project, including the role of applicable statutes and may request a court injunction review boards will aggregate topic issued data that broadband in economic development, the timeline to stop a project for noncompliance, the only sure way will be used to develop a standardized method of care and organizational structure of the project, financing, for the legislature to stop a project during a legislative for hospitals and agencies. and potential wholesale revenue. The Center for Rural interim. Both the bond sale and transfer of proceeds In response to questions and comments from Development (CRD) began working on the idea for for KentuckyWired were submitted to the committee. Senator Meredith, Dr. Theriot stated that pre- a regional middle mile network in eastern Kentucky In each case, the meeting that month was canceled natal compliance is an issue that can be helped by that eventually became the statewide KentuckyWired for lack of a quorum, and the FAC secretary decided cooperation and involvement from the MCOs and by project. to proceed. The committee had no knowledge of offering incentives for the patient. Dr. Theriot stated The state contracted with Columbiastatutory violations for which to request an injunction, that since the percentage of mothers who attend their Telecommunications Corporation as a consultant so the project went forward. post-partum visits is low, it would be very useful to on KentuckyWired in 2014. The Finance and P3s often reduce risks to the government, but educate mothers during the pre-natal visits about the Administration Cabinet (FAC) issued a request for in this case availability payments and negotiations benefits of LARC, all the preventable causes of infant proposals (RFP) for a public-private partnership (P3) shifted risk to the state as a way to lower financing and death, and the resources they have available to them. and awarded the contract to Macquarie Infrastructure construction costs. These risks added construction In response to questions and comments from Developments in December 2014. Significantly cost in the form of supervening event claims primarily Representative Prunty, Dr. Theriot stated that the fear revised contracts replaced the original contract in for pole attachments, easements, and highway rights- physicians have of getting sued may contribute to the September 2015. The state was obligated to make of-way. volume of doctor’s consenting to pre-term, C-section availability payments starting when the first network Before September 2015, there were three births but that she does not have the data on hand to sections became operational. The design included six milestones at which the state could have terminated support that claim. Commissioner Steckel stated that interconnected rings. In August 2015, the Kentucky the contract for less than $7 million, but after that the since transportation is a Medicaid covered expense, Communications Network Authority (KCNA) was cost could have exceeded $300 million. that should not be a barrier to mothers attending their established within the Governor’s Office. KCNA Mr. Skinner noted that the state’s primary financial is responsible for oversight of the KentuckyWired

44 2019 Interim LEGISLATIVE RECORD obligation in the contract is to make availability increases only 1 percent annually, the funding gap the outstanding senior debt, the fair market value payments to Project Company. The state intended to would grow by nearly $150 million to $713 million. of both the subordinate debt and any outstanding fund the availability payments by diverting funds state KDE officials have stated that they would ownership interest in the Operations Company, and agencies were already spending on internet service, consider a bid from KCNA on a future RFP for K-12 any employee payments and contractor breakage so availability payments would have to match the broadband services if KentuckyWired is operational fees. The most significant cost would be paying the internet spending of the government sites connecting and has demonstrated adequate reliability. KCNA outstanding senior debt. KCNA indicated that just to the network. Agencies that were expected to officials have said that they do not plan to bid on paying the outstanding principal and interest accrued connect to the KentuckyWired network included future K-12 RFPs, deferring that responsibility to through the termination date would not satisfy the Kentucky Department of Education’s (KDE’s) the wholesaler OpenFiber. KCNA officials also said creditors who anticipate a return on their investment K-12 network, state agencies, higher education, and that in the absence of a direct bid, OpenFiber could at least through the call date, which is the date on the judicial branch. The redirected net spending of explore leasing fiber infrastructure to other entities which bonds can be redeemed prior to maturity. It these sites was expected to be approximately $2.4 that might want to bid for the K-12 service. Because might be necessary for the state to pay bondholders at million per month, matching the baseline maximum OpenFiber would keep a share of revenue, such a least a portion of the interest anticipated through the availability payment. Mr. Skinner described how the plan would almost certainly bring in less money than July 2025 call date. state cut project costs to facilitate this matching. a direct contract between KCNA and KDE. Another If the project were to be terminated as of January Availability payments were scheduled to start with vendor might have a better proposal and win the 1, 2020, the remaining balance on the senior debt the completion of the first ring and the subsequent contract, leaving the state with no K-12 spending to would total $288 million. The interest payments from migration of sites to the network. Payments would apply toward KentuckyWired. then until the call date of July 1, 2025 would be nearly increase as additional sites were connected to the The expected funding gap could be reduced by $75 million for a total of $363 million. It is unclear network. Completion of network construction wholesale revenue, but projections of the state’s whether the full interest through the call date or a was originally scheduled to be August 2018, at potential revenue are highly speculative. A portion of partial payment would be necessary to satisfy lenders. which point the state would make the full baseline the state’s wholesale revenue share might go to CRD. The other components of a termination payment are maximum availability payment less any performance A 2015 agreement with CRD stated that in exchange difficult to determine as they would be based largely deductions. for $23.5 million in grant funding, CRD would receive on the timing of the termination. Other likely costs Supervening events caused delays that were a significant share of the state’s wholesale revenue. are related to the termination of other agreements deemed to be the state’s responsibility. The project This agreement was replaced by a new agreement in such as wholesaler agreements with OpenFiber and agreement specifies that in the event of delays due to August 2019. CRD will now provide an additional $20 the CRD lease agreement. Other possible costs, such supervening events, the state has to pay the availability million in grant funding, increasing the total grant as litigation, could be significant. payments as if the project were on schedule. In the funding to $43.6 million, in exchange for ownership In response to questions from Senator Carroll, 3-year period ending in May 2019, the state paid of a section of the network for which the state will Mr. Knowles said although the initial request in the nearly $70 million in availability payments despite pay an annual rent of $2 million for 30 years. The budget was for $100 million, the General Assembly there being no contributing funds from state sites agreement would allow the state to pay for certain only authorized $70 million: $20 million federal connected to the network. expenses not covered by the availability payments funding, $30 million state bonds, $20 million third- Funding shortfalls are expected due to the prior to CRD receiving a share of wholesale revenue. party financing. availability payments exceeding network spending Once the required expenses were paid by the state, Senator Carroll asked why the Macquarie bid and due to expenses that are not covered by the CRD will receive 25 percent of the remaining portion was $274.8 million but the bond issue was $311.4 availability payments. The largest funding gap is the of the state’s share of wholesale revenue generated million. Mr. Skinner said that there are additional lack of K-12 spending. E-rate is a federal program from the I-75 corridor. costs beyond construction such as interest expense that provides schools with rebates of up to 90 Funding shortfalls that could exceed $400 million and operating costs. percent of the cost of broadband services. Federal are also anticipated due to costs not covered by Senator Carroll asked whether staff found any rules for E-rate eligibility require that services be the availability payments. These include KCNA documentation of what the overall projected cost procured through a competitive solicitation. Basing operating expenses, bonds to finance the supervening would be and whether there was a thorough vetting the project’s affordability model on the assumption events settlement, and system refreshes. For system of the project. Mr. Knowles said that the biggest that KentuckyWired would automatically win refreshes, the state is required to update and replace issue was the lack of K-12 funding. At the time, such a solicitation was questionable. In 2015, after aging equipment and software prior to years 11 and the documentation indicates that decision makers determining that the KentuckyWired contract was 21 of the project. thought that the funding and the project would work not eligible for E-rate, an RFP was issued to replace Program Review staff estimated that expenses out. the KIH3 contract, which is the state’s existing internet could be mitigated by an estimated $643 million in In response to a question from Senator Carroll, service contract that included K-12. KCNA was in the state agency spending and approximately $340 million Mr. Knowles said that the contract includes internet process of preparing a proposal for submission when in wholesale revenue. The OpenFiber wholesale model connections to state agencies. AT&T, the existing provider, filed a protest. FAC predicted that the state’s share of revenue would be In response to a question from Senator Carroll, Mr. canceled the solicitation in November 2015 without approximately $1.1 billion from FY 2018 to FY 2047. Skinner said that the assumption for KentuckyWired providing a reason. Staff adjusted the model so that the state’s share starts wholesale revenue was that both the customer base The availability payments are subject to annual in FY 2022 and ends September 2045, which resulted and price would increase. increases of approximately 2.5 percent, which means in a state share of $682 million. A KCNA official has Senator Thomas asked whether additional that the state’s funding plan assumed that internet stated that half the projected wholesale revenue would appropriations are needed, how firm the October 2020 spending of education and state government sites be a more conservative expectation. Given this, staff completion date is, and whether there are additional would also increase 2.5 percent annually. Based estimated the state’s share of wholesale revenue to potential revenue sources. Mr. Knowles said that the on available data, the market price for broadband be $341.2 million. Based on these assumptions, the report focuses on what happened in 2014 and 2015 services has increased at less than this rate. estimated total deficit for the project is $641.3 million. and the consequences. KCNA is better able to answer The state’s expected availability payment obligation Early termination of a P3 contract is complex. The these questions. over the contract term is approximately $1.2 billion. state would be required to make a termination payment Representative Thomas, the current House co- Program Review staff estimated that state agency to Project Company in the event of a termination chair of the Capital Projects and Bond Oversight spending over the term will be $643.4 million, so the of the KentuckyWired project. In a termination Committee, said that he is troubled that meetings funding gap is estimated to be $564 million over the for convenience, the state would be obligated, at a of the committee were canceled in 2015, so that full contract term. If state agency broadband spending minimum, to make a termination payment equal to the KentuckyWired bonds were not reviewed. The

THE KENTUCKY GENERAL ASSEMBLY 45 committee’s has no other recourse if nothing illegal is to obtain better service, the question is whether the $23.5 million. If the state wishes, $43.6 million is found regarding a bond issue. General Assembly considers it worthwhile to pay for now available. Given how the revenue would be used, In response to questions from Senator Carroll, this. there was not great concern about how the agreement Mr. Knowles confirmed that five committee Senator Carroll said that the wholesaler will have would be perceived outside the region. CRD is taking meetings were canceled, including the two related to the opportunity to bid for the K-12 contract. There a risk in supplying the federal funds. The main KentuckyWired. The procurement irregularities were will be competition from private entities in parts of concern for a long time has been that the middle approved by the secretary or deputy secretary of FAC, the state, which will reduce prices. mile would not be built. Federal grant funding has which is acceptable according to statute. In response In response to questions from Senator Carroll, not been transferred to the state yet. Grant guidelines to a question from Representative Rothenburger, Mr. Mr. Knowles said that Stephanie Williams, Assistant require that CRD own the rings funded through the Knowles said that staff found no documentation for Director of Procurement Services, was the buyer. It is grants. Once the funds are transferred, CRD is on why the normal policies and procedures were not fair to say that she was not pleased not to have been the hook for the funds, which will fully cover the followed. involved more. cost of Ring 2. It will not cover the cost of Ring 1B In response to questions from Representative In response to a question from Representative because construction had proceeded too far when the Rothenburger, Mr. Knowles said that the buyer is Bechler, Mr. Knowles said that the six contracts were additional funding was obtained. the designated person in the Office of Procurement not included in the accounting system as of a month In response to questions from Senator Carroll Services for overseeing the RFP process and contract ago. Mr. Decker said that they are in the system. Mr. about the new agreement, Mr. Lawson said it is a negotiations. Staff found no documentation for why Knowles said that they were included as attachments cleaner document because it is an actual lease of the buyer was not involved in the usual way. Staff to the KentuckyWired contract in the submission of assets. Revenue will be less than it potentially would have not been able to determine whether this violates documents in February but were not in the system have been under the previous agreement. CRD has no statute. He said that he is unaware whether anyone is separately. liability for the project other than the grant funding. looking into this, but it is on the list of what Program In response to questions from Representative In response to questions from Senator Carroll Review staff could review further. Representative Bechler, Mr. Skinner said that the $641 million deficit about connections to the middle mile in eastern Rothenburger said that he is concerned that so many shown in the report is mostly for the period through Kentucky, Mr. Lawson said that there many providers meetings of the Capital Projects and Bond Oversight 2045, but some settlement bonds are for beyond this willing to build out the last mile with assistance. Fiber Committee were missed because of a lack of quorum date. Senior debt totals $363 million, including $75 to all homes is not realistic, but wireless providers are and that special meetings were not called. million in estimated expected interest. Representative willing to step in. In response to a question from Representative Bechler proposed that if the project were terminated, In response to questions from Senator Carroll Rothenburger, Mr. Knowles said that staff found no then the savings would be $288 million ($641 about costs, Mr. Lawson said that no one understood documentation for why it took so long for contracts to million minus $263 million) minus any extra the bottom line costs of pole agreements, easements, be recorded in the accounting system. More than 300 costs. Mr. Skinner said that other costs, including rights of way, and make ready construction. He said documents were sent to the Office of Procurement potential litigation, cannot be estimated at this point. that he is unaware of any consultants who were Services in February 2019 at the office’s request for Representative Bechler said that it seems unlikely that brought in regarding these issues. everything related to KentuckyWired. Representative the unknown costs would eat up the $288 million in In response to a request, Mr. Lawson said the Rothenburger said that he will not be satisfied until savings. This further affirms his belief that the cost 2014 feasibility study referenced earlier would be answers are provided regarding the lack of oversight to taxpayers would be less if the agreement were sent to committee staff. In response to questions and transparency. terminated immediately. from Representative Rothenburger, Mr. Lawson Senator Carroll said that the committee has a long- Senator Buford said that this is a good lesson said that CRD and the state are not counting the range plan to get testimony from decision makers regarding P3s. If this is such a good idea, the private same wholesale revenue from the I-75 corridor in who were involved in the process. sector would have done it already. This will be a good their projections. It is still a goal to do the last mile In response to questions from Senator West, Mr. system if it is ever completed. The system will likely in eastern Kentucky with high speed internet in Knowles said that the recent agreement with CRD has be obsolete by the time the bonds are paid off. At this every county. CRD will use other funding to provide not gone through the Government Contract Review point, the issue is mitigating losses. He said that the “meet-me” points to reduce the cost of the last mile. Committee. Mr. Skinner said that part of the impetus key questions are what the original estimated cost was, Companies and local governments will be eligible for the new agreement is that the original agreement what the current cost is, and what the appropriations to apply for grants through CRD to offset costs. with CRD did not cap wholesale revenue that would go request will be for next year. The state will be responsible for maintenance of the to CRD, which could have been hundreds of millions Mr. Lawson said that the project originated with middle mile. CRD was not involved in any of the of dollars. The new agreement lowers the percentage an idea he proposed to the CRD Board in 2012. The original negotiations that resulted in changes in the of revenue from the I-75 corridor that goes to CRD goal was to build a middle mile network in eastern KentuckyWired contract. from 50 to 25 and also deducts specified expenses Kentucky. The center worked with US Representative In response to questions from Senator Carroll, Mr. before CRD gets a share of revenue. Mr. Knowles said Hal Rogers, Governor Steven Beshear, Senator Stivers, Skinner said that too much information is unknown that the state auditor’s office and Program Review and Representative Stumbo. Governor Beshear for payments to CRD to be included in the projected staff had raised questions about whether the original wanted to take the project statewide. The center has costs in the report. Mr. Lawson said the projected agreement was done properly. continued to look for funding to build out in eastern lack of wholesale revenue for 5 years will affect CRD, In response to questions from Senator West, Kentucky. but overall the wholesale revenue will allow CRD to Mr. Knowles said that the six outside construction Senator Carroll asked for information about proceed with its plans. Mr. Daly said that CRD will be contracts have been posted on the KCNA website but the original agreement. Mr. Lawson said that there paid $2 million per year in lease payments. Once I-75 are not in the accounting system. The contracts were was a feasibility study in 2014. The goal was to have corridor revenue reaches a threshold, then CRD gets signed at the secretary level. a hotel access point near Cincinnati with a spine a share. Mr. Lawson said that the cost of supervening In response to questions from Senator West, Mr. down I-75 and connected rings. Because the center events and other costs are deducted first. Skinner said that the estimate in the report of $634 was contributing federal funds, a revenue share was In response to a question from Senator West, Mr. million in projected state agency spending for internet negotiated for the I-75 spine and the eastern Kentucky Lawson said that Ring 2 in eastern Kentucky is one of service does not include K-12 education revenue. At rings. The goal was to generate revenue that could be the more difficult rings to construct. the time of contract closing, the state broadband cost used for last-mile construction for communities in Senator Carroll said that the need for this project is was assumed to keep increasing over time. In reality, eastern Kentucky that could not get access otherwise. understood; the issues are the cost and how decisions broadband costs are not necessarily increasing. Mr. In response to further questions from Senator Carroll, have been made. Knowles said there is an opportunity for state agencies Mr. Lawson said that the original contribution was Mr. McNeill said that the takeaway is that there is

46 2019 Interim LEGISLATIVE RECORD a $500 million to $700 million funding gap. Requests will mean that the state will have to start investing Present were: for general fund appropriations will be substantial. more money in child welfare services Members: Senator Jimmy Higdon, Co-Chair; This will be looked upon in the future as a debacle, Senator Westerfield made a motion to amend Representative Jim DuPlessis, Co-Chair; Senators to which the Steve Beshear administration and CRD recommendation number four by inserting, “, Christian McDaniel, Dennis Parrett, Wil Schroder, contributed. CRD has not contributed any of its own update, or identify” after the word “develop” in the and Mike Wilson; Representatives Joe Graviss, Jerry funds. The state provided $10 million in matching for first sentence of recommendation number four; to T. Miller, Phillip Pratt, Russell Webber, and Buddy CRD to get the federal grants. These grants in turn gave delete the word “assessment” in the first sentence of Wheatley; J. Michael Brown, John Chilton, Timothy CRD leverage to get a lease agreement under which recommendation number four; and to insert “where Fyffe, Mike Harmon, and James M. “Mac” Jefferson. it will receive at least $60 million in payments over appropriate refer applicants for assessment” at the end Guests: David Eager, Executive Director, 30 years. CRD owns the eastern Kentucky fiber but of the last sentence of recommendation number four. Kentucky Retirement Systems and Danny White, the state is responsible for maintenance and refreshes. The motion was seconded by Elizabeth Caywood and GRS Retirement Consulting via Phone Conference; Under the original memorandum of agreement, CRD approved by voice vote. Beau Barnes, Deputy Executive Secretary and would have not received any revenue for years. Senator Wise made a motion to accept the draft General Counsel, Teachers’ Retirement System; and Mr. Decker suggested that the committee call memorandum as amended. The motion was seconded Donna Early, Executive Director, Stephen LeLaurin, Mary Lassiter [former Secretary of the Governor’s by Senator Westerfield. After a roll call vote of 8 yes Investment Committee, and A.C. Donahue, Board Executive Cabinet] to testify. votes, 0 no votes, and 0 pass votes, the amended Trustee, Kentucky Judicial Form Retirement System. Senator Carroll said that this project will be a memorandum was approved by the task force. LRC Staff: Brad Gross, Jennifer Black Hans, Bo tremendous cost to the state. The best that can be done Public Comments Cracraft, and Angela Rhodes. is to ensure transparency given the poor decisions Julianne Vantland, a SNAP recipient, stated that Approval of Minutes that have been made. she feared that the work requirements would place an Representative Miller moved that the minutes The meeting adjourned at 10:08 AM. undue stress on her family as she is a stay at home of the October 28, 2019 meeting be approved. mother whose spouse is a full-time doctoral degree Representative Pratt seconded the motion, and the PUBLIC ASSISTANCE REFORM student. Ms. Vantland stated that she would not be minutes were approved without objection. able to raise her children, meet the work requirements, Senator Higdon announced that during the TASK FORCE but she cannot afford to lose her benefits. December 16, 2019 Public Pension Oversight Board Minutes of the 5th Meeting Closing Remarks (PPOB) meeting, recommendations for legislation of the 2019 Interim Senator Humphries stated that there is more will be considered. November 18, 2019 to learn on this topic, and he appreciates the open Actuarial/Financial Update – Kentucky Call to Order and Roll Call minded approach of the Task Force this interim. Retirement Systems The 5th meeting of the Public Assistance Reform Senator Humphries stated that to find a solution for David Eager, Executive Director, Kentucky Task Force was held on Monday, November 18, 2019, the issue at hand is not a simple, easy process, but Retirement Systems (KRS), began with opening at 3:00 PM, in Room 129 of the Capitol Annex. the recommendations will reflect that this Task Force remarks regarding the recently completed valuation. Senator Stan Humphries, Chair, called the meeting to tried to avoid collateral damage by not making hasty He noted that the economic and demographic order, and the secretary called the roll. recommendations. assumption changes were the primary driver of the Present were: more than $2 billion increase in unfunded liability Members: Senator Stan Humphries, Co-Chair; Representative Meade stated that the in the current valuation and the more than $7 billion Representative David Meade, Co-Chair; Senators recommendations show that our work on this topic increase in unfunded liability since 2017 for the KRS Whitney Westerfield and Max Wise; Representatives is far from over and echoing the statements from pension funds collectively. He stated that most of the Nima Kulkarni and Russell Webber; Elizabeth Senator Humphries, the more education and data plans’ funding status had declined due to the changes. Caywood, , and Bill Wagner. we can have on this issue, the better we can address However, the increased funding received had placed Guests: Julianne Vantland, Drew Vantland, and the problems, with the least amount of unintended each plan on a road to improvement. Erin Kidder. consequences. Representative Meade stated that LRC Staff: Chris Joffrion, Sean Meloney, and the goal of this Task Force is to help those return to In response to a question from Senator Higdon Christy Young. work who are making a choice not to work despite in regards to the frequency of experience studies and Approval of Minutes being able-bodied. In the process, we do not wish to future assumption changes, Mr. Eager stated that A motion to approve the minutes from the adversely affect those to whom that does not apply. assumptions were examined annually and, if a change October 30, 2019 meeting was made by Senator Wise, Representative Meade stated that the task force will was warranted, it would be done more frequently. He seconded by Bill Wagner, and approved by voice vote. continue to address this subject in a loving, kind, and also stated that experience studies might occur every caring manner as we seek solutions. four years rather than five. Discussion and Approval of the Task Force Adjournment Next, Mr. Eager made several general comments Findings and Recommendations There being no further business, the meeting was about the valuation results. First, he emphasized Elizabeth Caywood made a motion to amend adjourned at 4:00 PM. the importance of maintaining or increasing the finding number one by replacing references to contribution efforts for the Kentucky Employees Kentucky Transitional Assistance Programs (K-TAP) PUBLIC PENSION OVERSIGHT Retirement System (KERS) non-hazardous pension with Transitional Assistance Nutrition Fund (TANF). fund, which had liabilities of just over $16 billion and The motion was seconded by Bill Wagner and BOARD a funding status of 13.4 percent. Secondly, he noted approved by a voice vote. Minutes of the 9th Meeting the valuation included all new assumptions that had of the 2019 Interim been adopted by the board in April of 2019. Third, November 25, 2019 Ms. Caywood made a motion to amend finding he discussed investment experience, which ranged number one by adding: “These percentages do not Call to Order and Roll Call from 5.0 to 5.8 percent, and resulted in modest include funding for supportive services” at the end The 9th meeting of the Public Pension Oversight negative experience relative to assumptions. Fourth, of the second paragraph of finding number one. The Board was held on Monday, November 25, 2019, at he discussed changes in active membership and motion was seconded by Bill Wagner and approved 1:00 PM, in Room 154 of the Capitol Annex. Senator payroll, pointing out the KERS nonhazardous and by voice vote. Jimmy Higdon, Chair, called the meeting to order, State Police Retirement System plans continued to Ms. Caywood commented in relation to and the secretary called the roll. deal with a trend of decreased payroll. He stated the recommendation number one that federal Title IV-E County Employees Retirement System (CERS) non- funds for foster care are going down each year which THE KENTUCKY GENERAL ASSEMBLY 47 hazardous and hazardous payroll had grown by 2.2 changes that would change future outcomes. Senator amortization period and if there was a way to smooth and 4.8 percent, respectively. Higdon commented that the chairs would discuss the it out, Mr. White stated that at current funding levels potential request at a later time. the current contribution rate policy needed to be In response to questions from Senator Higdon Senator McDaniel requested that KRS provide the continued, but that as the plans get closer to the end regarding a group of KERS non-hazardous members data underlying the historical trends on membership of the window, there could be some restructuring who were transferred to the hazardous plan, Mr. count and the benefit distribution that Mr. Eager had to smooth out or minimize the cliff in contribution Eager stated that approximately 500 employees were just reviewed. rates. He referenced moving to a layered amortization transferred. In response to a follow-up question In response to a question from Mr. Chilton approach, which would spread the debt out across regarding how the existing liability would be paid regarding how the funding ratio of 13.4 percent for multiple maturities. down, Danny White, GRS Retirement Consulting KERS non-hazardous was impacted by the budget In response to a question from Representative (GRS), stated that the liability and assets remained surplus allocation, Mr. Eager stated that the funded Graviss regarding whether KRS was recommending in the KERS non-hazardous plan, thus the remaining ratio would have been approximately 13.0 or 13.1 a fixed allocation method for the other systems, Mr. employers will have to pay a higher rate to cover percent without the budget surplus allocation. Eager stated they were only recommending for KERS the unfunded liability left behind. Senator Higdon Mr. Eager continued by providing several slides nonhazardous at this point. expressed concern with this practice, given the that provided 30-year projected liabilities, funding difference in contribution rates and the fact that ratio, and contribution information for the pension Representative Miller expressed some concern an employer was moving employees’ benefits at the and insurance funds of each system. He pointed out with slowing down or adjusting assumptions that expense of other employers. that each of the plans would require 24 additional might impact the amortization policy. He referenced Mr. Eager continued by providing a summary of years of higher contributions to pay off the unfunded how recent payroll growth had not met historical liability experience during the year for the pension liability, but in 2044, the total contributions would assumptions for several plans and was the cause for and insurance funds. On the pension side, the drop significantly to just the normal cost. the current need for additional contributions. previously referenced changes in assumptions, most Senator Higdon commented on the projected Senator McDaniel commented on the General notably mortality rates, had resulted in an increase unfunded liabilities of the CERS plans as compared Assembly’s decision to reset the closed 30-year of $1.8 billion across all plans. In addition to the to KERS, pointing out the CERS plans were projected amortization period in 2013 and noted how many of assumption changes, an additional $354 million was to see a slight increase over the next couple of years the assumptions had changed since that decision was added due to performance relative to all assumptions. while the KERS plans would decline. In response made. He pointed out that changes to payroll growth, On the insurance side, Mr. Eager pointed out that a to the comment, Mr. Eager stated the difference investment return, and mortality assumptions had spike in Medicare premiums, which grew 13 percent, was primarily due to CERS phasing into a full ARC significantly impacted rates and requested that KRS was an additional factor. payment while the KERS plans moved to the full rate look into how rates would be impacted if the 30-year In response to a question from Senator Higdon, in FY 2019. amortization period was reset on July 1, 2020 or July clarifying how much of the change in liability was Mr. Eager discussed a few comments from 1, 2021. due to actual losses versus actuarial changes, Mr. the actuary. First, it is imperative the State and Representative Miller commented that he would White stated the $1.8 billion was due to updated participating employers in the systems contribute also like to discuss a stacked amortization period in demographic assumptions, while the additional $354 the actuarially determined contribution in each regards to the assumption changes. Mr. White stated million was due to actual liability being higher than future year to improve the system’s financial security. that amortization changes would require a statutory what was expected, based on assumptions from the Secondly, GRS also recommended that KRS work change. 2018 valuation. He referenced members retiring with the General Assembly for an alternative method In response to a question from Representative earlier than expected and individual salary increases to collect the amortization cost from participating Wheatley regarding assumption changes and what as two items that impacted liability changes. employers that is not payroll based. steps could be taken to lessen the volatility on Mr. Eager presented a slide showing the employer Mr. Eager discussed a few legislative contribution rates, Mr. Eager stated the plan was to contribution rates for the pension and insurance plans recommendations or proposals KRS has for the make more frequent reviews of assumptions so that of each system as calculated in the 2018 and 2019 2020 Regular Session. The first and strongest any changes are smaller. He stated KRS had waited valuations, compared to the FY 2020 budgeted rate. recommendation from KRS staff is to adopt a fixed until the changes needed were significant, which In addition, he reviewed a similar slide comparing the allocation funding model, which would allocate resulted in such a sharp increase to the employer unfunded liability for each system in 2019 compared contributions that are based on each employer’s actual contribution levels to 2018. He pointed out the total unfunded liability share of the total unfunded liability. A drawback to the across all plans was $28.93 billion, with KERS and proposal is that some employers will see rates go up, Mr. Chilton commented that moving to a fixed CERS nonhazardous representing $16.0 and $8.3 while others will drop, so there are definite losers that allocation method would remove the issue of billion respectively. might require some additional financial assistance in payroll growth or decline from the equation. In Mr. Eager provided the historical trends of each the form of subsidies. addition, under this proposed method, the amount system as it related to active members, covered In response to a question from Senator Higdon of liabilities assigned to each employer is the actual payroll, retired membership and total benefits regarding if the recommendation was being made for liability associated with their specific active, inactive, paid. He pointed out the continued decline of both all agencies or just quasi-governmental employers, and retired employees. So, an agency that has high membership and payroll for the KERS nonhazardous Mr. Eager stated that it would be for all agencies and turnover or employees with shorter tenures will plan, while noting the active to retiree ratio of both that even state agencies had been reducing payroll not be paying other agencies’ unfunded liabilities. KERS and CERS continued to decline. and headcount. So, moving away from payroll would Mr. Chilton stated he believes these items should In response to a question from Representative remove the incentive for decline. Mr. Eager noted be pursued for the reason of eliminating the payroll Graviss regarding a projection of when the retired that all state agencies would be grouped together and estimate from the formula. membership would peak in the future, Mr. Eager and pay the same rate, while each quasi-governmental Senator Higdon referenced employers that had Mr. White stated that was attainable, but not on hand. employer would have a separate contribution rate. aggressively cut payroll, while also receiving subsidies Representative Graviss requested the information be Representative DuPlessis commented that he to assist with the added contributions. He commented made available for the December 2019 PPOB meeting. is currently working on a bill regarding the fixed some had taken advantage of the situation and any In response, Representative DuPlessis expressed allocation funding for quasi-governmental agencies. changes should also prevent employers continuing to some concern with having GRS spend the time and In response to a question from Representative do so. money to provide projections given, what he believed DuPlessis regarding the significant drop in Mr. Eager continued with KRS staff’s legislative legislators were actively working together to make contribution rates projected at the end of the recommendations. A second recommendation would

48 2019 Interim LEGISLATIVE RECORD revise reciprocity with regards to health insurance Miller regarding what recovery income represented in that TRS did not have language statutorily with regards coverage for retired members that have time in both the retiree health fund, Mr. Barnes stated the income to an ARC. Senator Wilson noted that statutorily, TRS Teachers’ Retirement System (TRS) and KRS. Their represented things like rebates from pharmaceutical has a fixed rate that currently is below the amount recommendation was to require members to choose companies and subsidies from the federal government calculated by actuaries and currently being paid by coverage from the system in which they had the that is collected to help pay the costs of medical the General Assembly. He commented that he did not most service. Third, KRS recommended language be insurance. hear TRS requesting legislative changes with regards added to provide a penalty under KRS 61.685 for the Mr. Barnes discussed the actuarial valuations to that language. commission of a fraud against KRS to obtain benefits for the pension and health funds for the FY 2018 Mr. Barnes continued his presentation with a few or assist anyone to do the same. Fourth, staff was compared to FY 2019. He pointed out the funding comments regarding their actuarial valuations. He asking that SB 2 be amended to exempt the posting ratio of the pension fund had increased for the third noted that TRS had received 100 percent of actuarially of all investment contracts that were signed prior to consecutive year to 58.1 percent. On the insurance determined employer contribution, that their annuity the enactment of SB 2. In closing, Mr. Eager outlined side, he noted the plan has grown from 3 percent in trust increased by $390 million, and that negative a few technical and conforming items that would be 2010 to 46 percent as of June 30, 2019. cash flow improved for 2019 as percentage of assets to included in a KRS housekeeping request. In response to a question from Mr. Jefferson (3.48) percent from (3.63) percent. In response to a comment from Representative regarding the pension plan’s negative cash flow, and In response to a question from Senator Higdon Graviss regarding if additional language was needed what legislative proposals, if any, TRS had to address, regarding what percent of contributions the insurance for the disclosure of carried interest, Mr. Eager stated Mr. Barnes stated negative cash flow is not necessarily fund received, Mr. Barnes stated the contribution the that KRS does disclose their carried interest. a bad thing, especially for mature plans like TRS. General Assembly made towards the insurance fund Senator Higdon commented that the Auditor’s However, Mr. Barnes stated that TRS was proposing was premium costs for new retirees under the age of report pointed out three deficiencies between the $110 million of additional funding above the ARC, 65, on or after July 1, 2010. In FY 2019 the cost was systems: disclosure of investment contracts entered which he stated would lead TRS out of negative cash approximately $60 million and the General Assembly into before and after SB 2, KRS redactions, and the flow in about three years. appropriated the full amount. Mr. Barnes also stated lack of transparency on carried interest by the TRS. In response to a follow up question from Senator that active teachers and school districts are also Mr. Harmon confirmed these deficiencies. Higdon regarding an additional $110 million budget making contributions of 3 percent annually. In response to a question from Representative request, Mr. Barnes stated that TRS’ budget request Mr. Barnes continued with a discussion of actuarial DuPlessis, Mr. Eager stated that the Kentucky will be the standard ARC, which totals approximately gains and losses during the most recent fiscal year, by Association of Counties, Kentucky League of $1.3 billion, but they have added an additional $110 source. During the year, the plan had slight actuarial Cities, and Kentucky School Boards Association are million to address cash flow. losses from investment returns, while individual scheduled to present at the December 5, 2019 KRS In response to a question from Mr. Chilton teacher salary increases were less than expected and Board meeting and then KRS will decide what their regarding how the plan can reach full funding while resulted in an actuarial gain. He stated that since 2015, view is regarding the CERS separation. negatively cash flowing, Mr. Barnes stated that total each year’s gains or losses are separately amortized Mr. Eager continued with cash flow and appreciation of assets help offset any negative cash over 20-year periods. investments. He discussed the cash flow trends for flow. He stated that as the state continues to pay the In response to a question from Senator Higdon the pension and insurance funds. He discussed full employer contribution along with investment regarding an actuarial loss on new entrants, Mr. contributions, which included, total cash inflows, return will result in a fully funded plan. Barnes stated that is the result of the actuary’s method total cash outflows, and net cash flow for KERS and In response to a follow up question from of counting new members and represents a small CERS for pension and insurance. Mr. Eager discussed Representative DuPlessis regarding cash flow and group of new members who started mid-year during the investment performance by reviewing the 1-, 3-, what could be done to make it more manageable, Mr. the prior fiscal year. and 5- year returns for all plans for the pension and Barnes stated that the important statistic for the PPOB In response to questions from Senator McDaniel insurance funds. to be thinking about in regard to negative cash flow regarding payroll growth and average retirements, Mr. In response to a question from Senator Higdon, is what percentage of assets is under management. Barnes stated that payroll growth is mostly inflation Mr. Eager stated the investment performance for the Any level above five percent tends to be problematic. and TRS’ payroll growth is currently 3.5 percent. 30-year is 9.02 percent, the 20-year is 5.77 percent, Outside of additional cash, Mr. Barnes stated only Mr. Barnes stated that there are approximately and the 10-year is 7.78 percent. cutting benefits could help and that is limited due 3,000 teachers retiring per year. Senator McDaniel Actuarial/Financial Update – Teachers’ to the inviolable contract and those items exempted commented on how state mandated raises could Retirement System from the contract, like cutting sick time payment potentially have measurable impact on long term Beau Barnes, TRS, started his presentation with impacts on pensions, do not necessarily have large liabilities, especially for teachers who reach 30 years a discussion of recent investment performance. He savings. and received a higher benefit factor discussed the most recent quarter, 1-, 3-, 5-, 10-, Representative Miller commented that while he In response to a request from Representative and 20-year retirement annuity trust returns ending did agree with Mr. Barnes that cutting sick time was Webber for the data underlying the actuarial gains September 30, 2019. not a game changer, he stated the TRS board could and losses, Mr. Barnes stated that he could provide In response to a question from Senator Higdon, address some of their cash flow issues by just using data. Mr. Barnes stated that their payroll growth for the more accurate assumptions. Using a more accurate In response to a question from Mr. Chilton with past 1-year period was close to 3 percent and the payroll growth and investment return assumption regards to asset smoothing, Mr. Barnes stated only assumption was at 3.5 percent. would result in more cash through contributions, the investment returns were smoothed. In a response Mr. Barnes continued his review of recent TRS instead of the board making this separate request in to a follow up question, Mr. Barnes stated that their investment performance, pointing out that above addition to the ARC. actuarial reports were placed on their website upon average performance from 2008 to 2019, when In response to a question from Representative approval by the Board. compared to the average pension plan, had resulted Graviss regarding if TRS provided actuarial Mr. Barnes concluded his presentation by noting in an additional $3 billion in returns. projections, Mr. Barnes stated that TRS does provide that TRS would be having an experience study Mr. Barnes discussed the cash flow update for the projections in their annual valuations. Representative performed in 2020 for the 5-year period ending pension and health funds for the first quarter of FY Graviss stated that he felt like having TRS provide June 30, 2020. Lastly, he stated that TRS will have 2020 as compared to FY 2019. He pointed out cash projections would help validate some of the their legislative recommendations to the PPOB by inflows, cash outflows, and the total net plan assets information being shared. December 6th. across both periods. In response to a question from Senator Wilson In response to questions from Senator Schroder In response to a question from Representative regarding TRS’ statutory language, Mr. Barnes agreed regarding the amortization period, Mr. Barnes stated

THE KENTUCKY GENERAL ASSEMBLY 49 the period was initially set as 30 years. The legacy stating that it is imperative that the actuarial required space costing $626,587 annually. The space will UAL is the majority of payment and currently sits at contribution be met. house around 250 people, about half of which will be 25 years remaining. Annual gains and losses will be With no further business, the meeting was temporary, to implement UK’s replacement electronic added and amortized over 20 years, but TRS expects adjourned. health records system. them to be incremental. Representative Rudy moved to approve the new In response to questions from Representative CAPITAL PROJECTS AND BOND lease, seconded by Representative Thomas, and Graviss regarding disclosing carried interest, Mr. approved by unanimous roll call vote. Barnes stated TRS has not disclosed because of its OVERSIGHT COMMITTEE University of Louisville proprietary nature, and it could compromise their Minutes Mr. Spoelker submitted a new lease for the November 14, 2019 ability to invest. Mr. Barnes stated that TRS does University of Louisville (UofL) Athletic Association believe it can be reported at asset class level and hopes Call to Order and Roll Call for office space and vehicle storage. The 21,000 square that could be a resolution. The Capital Projects and Bond Oversight feet UofL Foundation building will provide space for In response to a follow up question from Committee meeting was held on Thursday, the men’s and women’s golf programs, equipment, Representative DuPlessis regarding how other November 14, 2019, at 1:00 PM, in Room 169 of the central receiving, transportation, pep band, and cheer pension systems, in and out of the Commonwealth, Capitol Annex. Senator Rick Girdler, Chair, called the and dance squads. The term is five years with two, are reporting carried interest without investor meeting to order, and the secretary called the roll. five year renewable options. The annual cost for the problems, Mr. Barnes stated that TRS’ general partners Present were: first five years is around $112,000, which includes the considered carried interest proprietary and did not Members: Senator Rick Girdler, Co-Chair; build-out, declining to around $63,000 after the first want their competitors knowing how much profit is Representative Walker Thomas, Co-Chair; Senator renewal. made in their investments. In response to a question Christian McDaniel; Representatives Steven Rudy, Representative Thomas moved to approve the new regarding how TRS’ investment peer rankings have and Steve Sheldon. lease, seconded by Representative Rudy, and approved dropped over the 1-year period, Mr. Barnes stated Guests: Elizabeth Baker, Planning Director, by unanimous roll call vote. the drop is reflective of the current markets, which University of Kentucky; Jeff Spoelker, Associate Report from the Finance and Administration did not favor the value-oriented style of TRS external Athletic Director for Finance, University of Louisville Cabinet managers. Athletics; Janice Tomes, Deputy State Budget Ms. Tomes submitted a $20,062,400 federal Senator Higdon made a follow up comment Director; Scott Brinkman, Secretary of the Governor’s funds appropriation increase for the Kentucky with regards to the earlier discussion on insurance Executive Cabinet; Doug Hendrix, General Counsel, Communications Network Authority (KCNA), Next contributions. He noted actuaries had determined Kentucky Communications Network Authority; Generation Information Highway project, bringing the fund received approximately 239 percent of the Mike Hayden, Chief Operating Officer, Kentucky the total project scope to $454,462,400, including the calculated ARC. Communications Network Authority; Scott Aubrey, $43.5 million revised federal funds appropriation. The Actuarial/Financial Update – Judicial Form Director, Division of Real Properties, Department 2014-2016 biennial budget bill included $20 million Retirement System for Facilities and Support Services; Linda Bridwell, in federal funds and the Secretary of the Finance and Donna Early, Executive Director, Stephen Deputy Executive Director, Kentucky Infrastructure Administration Cabinet proceeded with a $3.5 million LeLaurin, Investment Committee, and A.C. Donahue, Authority; and Ryan Barrow, Executive Director, federal funds appropriation increase in September Board Trustee, Kentucky Judicial Form Retirement Office of Financial Management. 2015. The Appalachian Regional Commission (ARC) System (JFRS), started their presentation with a LRC Staff: Katherine Halloran, Committee Staff granted the federal funds through the Center for review of investment performance for the quarter, Administrator; Julia Wang, Legislative Analyst; and Rural Development (CRD) in Somerset, Kentucky. and 1-, 3-, 5-, 10-, and 20-year periods for each of the Jenny Wells Lathrem, Committee Assistant. In response to Representative Sheldon, Secretary plans. Ms. Early noted that JFRS outperformed their Approval of Minutes (October 15, 2019) Brinkman said there are five separate ARC grants. The benchmark. Representative Rudy moved to approve the minutes first three totaled approximately $27.5 million, which Ms. Early discussed the cash flow update for the of the October 15, 2019 meeting. Representative will be deposited into the project fund for middle- Judicial Retirement Plan and Legislators’ Retirement Sheldon seconded the motion, and the committee mile network construction costs. The other two Plan for FY 2020 as compared to FY 2019. She pointed approved the minutes by voice vote. grants are $8 million each, one for last-mile service to out cash inflows, cash outflows, and the total net plan Information Items four state parks that were not on the original site list assets across both periods. Ms. Halloran referenced three information (Carter Caves, Cumberland Falls, Dale Hollow, and Ms. Early discussed the funding data for the 2020- items. Pursuant to KRS 45.760(5), the University of Lake Cumberland) and the other, in tandem with the 2022 biennium that is required under KRS 21.525 Kentucky (UK) reported two medical equipment wholesaler, for last-mile service to local governments and KRS 21.540(1) for the judicial and legislator purchases totaling $840,000, an ambulance for UK within the ARC region, which includes 54 counties. plans. She noted that the actuarial assumptions are Chandler and a robotic surgical system for UK Good Secretary Brinkman spoke with the Secretary of extremely reasonable. Samaritan. the Kentucky Tourism, Arts and Heritage Cabinet Ms. Early discussed JFRS’ legislative agenda for Pursuant to KRS 45.812(1), the Hart and Menifee and the Commissioner of Parks about broadband the 2020 regular session. She stated that it is very school districts reported upcoming bond issues to enhancing the consumer experience and driving important to continue to maintain a status of being finance new projects for which no tax increases were room nights for state parks as well as creating a actuarially sound. She stated their actuary had raised necessary. revenue stream to defray costs of using the $8 million. a concern with regards to how the plan’s unfunded Pursuant to KRS 65.4931(3) and Section 8.22 Revenue streams from local governments for use and lability is amortized, which has led to a proposal to of the Series 2017 Loan Agreement, the Louisville possible purchase of the equipment and use of the amend KRS 21.525 and the current process. Mr. Arena Authority reported its operations and financial fiber will defray the cost of using the other $8 million. LeLaurin added the change was important due to the condition. KCNA expects the arrangements to either be revenue fact that the current process will never lead to the Senator Girdler congratulated Representative neutral or profitable. unfunded principal being paid off. Thomas on his chairmanship of the House Veterans, Secretary Brinkman said that the wholesaler Military Affairs, and Public Protection Committee agreement with OpenFiber Kentucky involved the Representative Miller commented that and acknowledged John Paul Alexander’s, House use of half of the strands, available to the private Representative Tipton is working on an amendment Communications Specialist, birthday. sector as well as local governments. The second $8 that would affect the JFRS plan and urged them to Lease Report from Postsecondary Institutions million will used in combination with wholesaler contact him. University of Kentucky funds in fronting the capital costs to provide last-mile Ms. Early concluded with the legislative agenda Ms. Baker submitted a new lease for UK Healthcare service to those entities, with KCNA and OpenFiber Information Technology; 32,550 square feet of office

50 2019 Interim LEGISLATIVE RECORD recouping the costs through private sector and local include additional electrical outlets, exterior water was taxable due to the 2017 Tax Cuts and Jobs Act. governmental payments. The other half of the strands spigot, and insulated area for water pumper vehicle Series C, reported separately as it was a tax-exempt will be used by state agencies. storage. The lower of two bids for each improvement forward delivery closing next year, refunded debt for In response to Senator McDaniel, Mr. Hayden said was selected and the $21,828 total will be amortized around $1.7 million, or 2.6 percent, net present value that KCNA is submitting documentation, including through the June 30, 2022 lease expiration. savings. Although the Series C transaction involved information to support USDA’s requirement for Report from the Office of Financial Management the commonwealth’s payment of a slight premium, completion certification of the ARC middle-mile Kentucky Infrastructure Authority all of OFM’s financial models showed savings, even construction, for receipt of the federal funds. Representative Thomas moved to roll the Clean if interest rates were to decline further. OFM last In response to Senator McDaniel, Secretary Water State Revolving Fund (Fund A) loans into one executed a forward delivery transaction ten years ago. Brinkman said that CRD owns all of Ring 2 and the roll call vote, seconded by Representative Rudy, and School District Bond Issues with School bottom of Ring 1B and that KCNA’s lease with CRD approved by voice vote. Facilities Construction Commission Debt Service replaces the 2015 Memorandum of Agreement. The Ms. Bridwell submitted two Kentucky Participation 2015 MOA allowed CRD to receive all of the net Infrastructure Authority (KIA) loan requests. The Senator McDaniel moved to roll the ten school revenues from Eastern Kentucky; which includes Metropolitan Sewer District (MSD), Jefferson district bond issues into one roll call vote, seconded Rings 1B, 2, and 5, and half of the I-75 spine. That County, requested to assume eight Oldham County by Representative Sheldon, and approved by voice arrangement was problematic because revenues were Environmental Authority (OCEA) loans, executed vote. not capped. Therefore, CRD and the commonwealth between 2010 and 2018, with a $19,492,651 principal Mr. Barrow submitted four school district entered into a lease in which the commonwealth balance. The OCEA, created by ordinance on bond issues with School Facilities Construction would pay 4.5 percent of the $43.5 million CRD grant September 21, 2010, serves all of Oldham County Commission (SFCC) debt service participation award per year, consistent with borrowing costs, plus except the cities of LaGrange and Crestwood and for new projects in the Campbell County, Clinton the greater of $40,000 or twenty-five percent of the net operates through Veolia North America. Approval County, Greenup County, and Marion County school wholesaler revenues received by KCNA. The greater of of the loan assumptions is required before MSD can districts with a total anticipated issuance of just over $40,000 or twenty-five percent of the net wholesaler assume OCEA’s assets, which include its wastewater $7 million and 33.53 percent SFCC participation. No revenues was in lieu of CPI rental increases and the collection and treatment system, and obligations. tax increases were necessary to finance these projects. fifty percent of net revenues along the I-75 spine. Per MSD and OCEA’s interlocal agreement, OCEA Mr. Barrow also submitted six current refunding In response to Representative Rudy, Mr. Hayden customers will keep their current rates, $79.12 per bond issues for the Barbourville Independent (Knox said that Rings 1A and 1B were lit, Ring 2 was within month for 4,000 gallons, until the existing contract County), Carlisle County, Crittenden County, Martin four weeks of being lit, and Rings 3, 4, and 5 were with Veolia expires. In August 2022, OCEA customers’ County, Pike County, and Raceland Independent scheduled to be lit by February 2020 and that last- monthly bills will be reduced by approximately (Greenup County) school districts with about the mile service to state parks was incremental to the $10. Going forward, MSD will raise existing OCEA same total anticipated issuance, just under $7 million, project and would not interfere with the completion customer rates at a maximum of five percent per year with two-thirds of the debt SFCC supported. of Rings 3, 4, and 5. until those rates equalize with MSD’s other customers, Senator McDaniel moved to approve the school In response to Senator McDaniel, Mr. Hayden said whose monthly bill is currently $49 for 4,000 gallons bond issues, seconded by Representative Sheldon, that last-mile construction to state parks was initially [with 6.9 percent usual annual rate increases]. and approved by unanimous roll call vote. planned and then set-aside due to financials as some The City of Mount Sterling, Montgomery Senator Girdler announced the next meeting would of the parks were ten to twelve miles away from the County, requested a $525,000 Fund A Planning and be Tuesday, December 17, 2019 with Representative current backbone. Design Loan for the Wastewater Treatment Plant Thomas as chair. Due to the policy shift of using funds for last- Capacity Upgrade project. The project will increase With there being no further business the meeting mile construction and wishing for input from the Hinkston Creek Wastewater Treatment Plant’s adjourned at 1:50 p.m. additional stakeholders, Senator McDaniel moved to current capacity from three to six million gallons defer action on the appropriation increase until the per day. The plant is in excess of its organic loading MEDICAID OVERSIGHT AND following month. capacity and at 79 percent of its hydraulic capacity. In response to Representatives Rudy and Sheldon The construction period will be from October 2020 ADVISORY COMMITTEE and Senator Girdler, Secretary Brinkman said that the to October 2021. For 4,000 gallons, effective July 1, Minutes of the Meeting committee’s deferral of action may impact last-mile 2019, inside and outside city sewer rates are $26.15 of the 2019 Interim December 9, 2019 construction federal funds receipts but would not and $29.59 and inside and outside city water rates impact the lease as it was already signed for receipt of are $24.91 and $27.82. The term is five years at a 2.5 Call to Order and Roll Call middle-mile construction federal funds. percent interest rate. The meeting of the Medicaid Oversight and Representative Rudy seconded Senator McDaniel’s Representative Sheldon moved to approve the Advisory Committee was held on Monday, December motion to defer action on the appropriation increase Fund A loans, seconded by Senator McDaniel, and 9, 2019, at 10:00 AM, in Room 171 of the Capitol until the following month. approved by unanimous roll call vote. Annex. Senator Stephen Meredith, Chair, called the With four yes votes and one no vote, the motion Office of Financial Management meeting to order, and the secretary called the roll. failed. Previous Debt Issue Present were: Lease Report from the Finance and Mr. Barrow reported the State Property and Members: Senator Stephen Meredith, Co-Chair; Administration Cabinet Buildings Commission (SPBC) Revenue and Revenue Representative Daniel Elliott, Co-Chair; Senators Mr. Aubrey submitted one lease renewal under the Refunding Bonds, Project No. 122 debt issue. Series Ralph Alvarado, Danny Carroll, Jimmy Higdon, and same terms and conditions for the Cabinet for Health A financed $175 million of new projects authorized Morgan McGarvey; Representatives Jim Gooch Jr., and Family Services in Lincoln County; $13.89 per in various appropriations bills; Series B current Melinda Gibbons Prunty, Steve Sheldon, and Lisa square foot through June 30, 2028. refunded, closing within ninety days of the prior Willner. Representative Thomas moved to approve the debt’s earliest redemption date, debt for around Guests: Representative Danny Bentley lease renewal, seconded by Representative Sheldon, $520,000, or 18 percent, net present value savings; Representative Adam Bowling; Representative Joni and approved by unanimous roll call vote. and Series D advance refunded debt for around $10.3 Jenkins; Representative Stan Lee; Representative Kim Mr. Aubrey reported a lease modification, million, or 11.3 percent, net present value savings. Moser; Bill Marshall, Jiseki Health; Alison Moore, improvements and the addition of one year to the lease The savings percentages were high since interest Jiseki Health; Tushar Vasisht, CEO Jiseki Health; term, under $50,000 for the Energy and Environment rates are historically low, even though the Series D Sonny Patel, Chief Business Development Officer, Cabinet in Franklin County. The improvements Jiseski Health; Chandra Nagaraja, Chief Technology

THE KENTUCKY GENERAL ASSEMBLY 51 Officer, Jiseki Health; Secretary Adam Meier, Cabinet were in the spread projections and that the report A motion was made by Senator Meredith to for Health and Family Services; Jonathan Scott, over-estimated the cost savings. Secretary Meier consider as reviewed the Personal Service Contract Department for Medicaid Services, Cabinet for Health stated that the carve-out portion of the pharmacy Amendment List, with exception of those items and Family Services; Angela Parker, Director Division benefit program, which was the section of the report selected for further review by members of the of Program Quality and Outcomes, Department for modeled after West Virginia’s program, was expedited committee. Representative Hart seconded the motion, Medicaid Services, Cabinet for Health and Family by request of the Cabinet. which passed without objection. Services. Managed Care Organization (MCO) Contracts LRC Staff: Chris Joffrion, Becky Lancaster, Hillary Secretary Meier stated the five managed care A motion was made by Senator Meredith to McGoodwin, Dana Simmons, and DeeAnn Wenk. contracts Governor Bevin awarded on November 27, consider as reviewed the Memoranda of Agreement Approval of Minutes 2019 were not done in haste and that the legislature List, with exception of those items selected for further A motion to approve the November 18, 2019 can only advise the Cabinet on what contracts should review by members of the committee. Representative meeting minutes was made by Senator Alvarado and be awarded. Secretary Meier stated that the contracts Hart seconded the motion, which passed without seconded by Representative Sheldon, and approved will begin July 1, 2020. objection. by a voice vote. In response to questions and comments from A motion was made by Senator Meredith to Telehealth Platform for the Medicaid Expansion Senator Meredith, Secretary Meier stated that the consider as reviewed the Memoranda of Agreement Population reason for awarding some contracts and not others Amendment List, with exception of those items Bill Marshall, Account Manager, Jiseki Health, is not something that is mandated to be discussed selected for further review by members of the presented on a possible whole healthcare delivery with the state legislature and such discussion, prior committee. Representative Hart seconded the motion, system for Medicaid recipients. Joined over to the awarding of the contracts, would have been in which passed without objection. teleconference, Tushar Vasisht, CEO, Jiseki Health violation of the request for proposal (RFP) portion of stated that Jiseki’s product of Wi-Fi and phone based the process. healthcare would have a projected 30 percent savings In response to questions and comments from to the state’s Medicaid budget. If the recipient has a Senator McGarvey, Secretary Meier stated that THE FOLLOWING PERSONAL SERVICE phone, they will get care and unlike discipline specific the decision to award the contracts was not secret, CONTRACTS WERE REVIEWED WITHOUT telehealth, Jiseki’s product will be a one stop shop for intentionally confidential, or rushed. Secretary Meier OBJECTION: all care needs. The Jiseki product will have connections reiterated that discussion of proposed contracts to general practitioners, specialists for issues like would be in violation of the RFP process. DEPARTMENT OF HIGHWAYS psychiatry, endocrinology, and help for chronic In response to questions and comments from Aecom Technical Services, Inc., 2000000830; HDR illnesses that are often prevalent in the Medicaid Senator Carroll, Secretary Meier stated that the limit Engineering, Inc., 2000000832; Palmer Engineering population. The whole health approach saves the state for the number of MCO contracts is five and federal County, 2000000836; Bacon Farmer Workman money by reducing the need for multiple healthcare law states no less than three no more than five MCO Engineering & Testing, Inc., 2000000838; QK4, Inc., telehealth platforms. contracts should awarded. 2000000839; WSP USA, Inc., 2000000983. In response to questions from Representative Adjournment Gibbons-Prunty, Mr. Vasisht stated that the mention There being no further business, the meeting was DEPARTMENT OF INSURANCE of gambling companies in the PowerPoint was a adjourned at 12:00 pm. Renee Hanshaw Consulting, LLC, 2000000987. reference to corporate partners who help make EASTERN KENTUCKY UNIVERSITY the platform accessible. They were not mentioned GOVERNMENT CONTRACT English, Lucas, Priest & Owsley, 20-289. to imply that there is a gaming component to their product. REVIEW COMMITTEE ECON DEV - OFFICE OF THE SECRETARY In response to questions from Senator Higdon, Committee Minutes December 9, 2019 The Pace Group, Inc., 2000000828. Mr. Vasisht stated that the 80 million dollars savings mentioned in the presentation is the estimated dollar Call to Order and Roll Call EDUCATION - OFFICE OF THE SECRETARY amount of the 30 percent cost savings. Mr. Vasisht The Government Contract Review Committee McBrayer, McGinnis, Leslie & Kirkland-Frankfort, stated that he would be happy to provide Senator met on Monday, December 9, 2019, at 10:00 AM, PLLC, 2000001047. Higdon and other members of the committee with in Room 131 of the Capitol Annex. Representative more detailed cost-savings analysis. Stan Lee, Chair, called the meeting to order, and the KENTUCKY RETIREMENT SYSTEMS In response to questions and comments from secretary called the roll. Hirschler Fleischer, A Professional Corporation, Senator Alvarado, Mr. Marshall stated that a patient’s Present were: 1900004776. provider preference will be included and that Jiseki’s Members: Senator Stephen Meredith, Co-Chair; Representative Stan Lee, Co-Chair; Senator Paul KENTUCKY STATE POLICE delivery system is a collaborative approach to care Robert Morris, 2000000899. versus an insurance direct care system. Hornback; Representatives Charles Booker, Chris Discussion on Pharmacy Benefits Fugate, and Mark Hart. KY HOUSING CORPORATION Adam Meier, Secretary, Cabinet for Health and Guests: Joan Graham and Amy Monroe. Cavanaugh MacDonald Consulting, LLC, 2020- Family Services stated that the previously released LRC Staff: Kim Eisner, Jarrod Schmidt, and Kim 36. pharmacy benefit report has been rescinded due to Smith. errors in the fiscal analysis. The error miscalculated A motion was made by Representative Fugate to MURRAY STATE UNIVERSITY the projected savings of a of the pharmacy benefit approve Minutes of the November 2019, meeting of Academic Partnerships, LLC, 019-20. carve-out to the state. the committee. Representative Booker seconded the motion, which passed without objection. NORTHERN KENTUCKY UNIVERSITY Ayers, Saint, Gross, Inc., 2020-109. In response to questions and comments from A motion was made by Senator Meredith to Senator Meredith, Secretary Meier stated that consider as reviewed the Personal Service Contract UNIVERSITY OF KENTUCKY everyone makes mistakes and the company who List, with exception of those items selected for further Ekhoff, Ochenkoski, Polk Architects, A201150; oversaw the fiscal report made a mistake. review by members of the committee. Representative Isaacson Miller, Inc., K20-139; Smith Management In response to questions and comments from Hart seconded the motion, which passed without Group, K20-140. Representative Sheldon, Jonathan Scott, Department objection. for Medicaid Services, stated that some of the errors

52 2019 Interim LEGISLATIVE RECORD UNIVERSITY OF LOUISVILLE BEHAVIORAL HEALTH, DEVELOPMENTAL & KENTUCKY STATE FAIR BOARD Korn Ferry, 20-047. INTELLECTUAL DISABILITIES Louisville Jefferson County Metro Government, Mountain Comprehensive Care Center, 2000000725. WESTERN KENTUCKY UNIVERSITY 2000000903. Gensler Architecture, Design & Planning, 181927. DEPARTMENT FOR COMMUNITY BASED SERVICES THE FOLLOWING MEMORANDA Family Scholar House, Inc., 2000000528. OF AGREEMENT AMENDMENTS WERE THE FOLLOWING PERSONAL SERVICE REVIEWED WITHOUT OBJECTION: AMENDMENTS WERE REVIEWED WITHOUT DEPARTMENT FOR LOCAL GOVERNMENT OBJECTION: City of Mount Sterling, 2000000578; Campbell ADMINISTRATIVE OFFICE OF THE COURTS County Fiscal Court, 2000000694; City of Paducah, Morehead State University, 1700001015. BOARD OF ELECTIONS 2000000728; City of Beattyville, 2000000840; McBrayer McGinnis Leslie & Kirkland, PLLC, City of Booneville, 2000000845; City of Stanton, BEHAVIORAL HEALTH, DEVELOPMENTAL & 1900002068. 2000000869; Wolfe County Fiscal Court, 2000000888; INTELLECTUAL DISABILITIES McCreary County Industrial Development Chrysalis House, Inc., 1900003003; Green River DEPARTMENT OF CORRECTIONS Regional MHMR Board, Inc., 1900004141; Western KPMG, LLP, 1900002851. Authority, 2000001009; Union County Fiscal Court, 2000001015; Monticello-Wayne County Industrial Kentucky Regional Mental Health & Retardation DEPARTMENT OF HIGHWAYS Development Authority, 2000001017; City of Advisory Board, 1900004144; Pathways, Inc., Florence & Hutcheson, 1100003026; ICA Hopkinsville, 2000001019; Menifee County Fiscal 1900004169; Communicare, Inc., 1900004178; Engineering, Inc. f/k/a Florence & Hutcheson, Court, 2000001037. Centerstone of Kentucky, Inc., 1900004187; Inc., 1400000810; Palmer Engineering Company, Mountain Comprehensive Care Center, 1900004217; 1400003301; URS Corporation, 1600000934; DEPARTMENT FOR PUBLIC HEALTH Lake Cumberland Mental Health Mental Retardation QK4, Inc., 1700002590; Strand Associates, Inc., Lewis County Primary Care Center, Inc., Board, 1900004222; Bluegrassorg, 1900004235; 1800000402; Strand Associates, Inc., 1800000409; 2000000257. Kentucky River Community Care, Inc., 1900004241. Strand Associates, Inc., 1800000638; Palmer DEPARTMENT FOR WORKFORCE CHFS - DEPARTMENT FOR AGING AND Engineering County, 1800002021; Michael Baker INVESTMENT INDEPENDENT LIVING International, Inc., 1800002105; Vaughn & Melton Bracken County Board of Education, 2000000763; Multi, 1900000633; Multi, 1900000816; Multi, Consulting Engineers, Inc., 1800002226; QK4, Inc., Breathitt County Board of Education, 2000000764; 1900000876. 1800002274; Corradino Group, 1900002032; Michael Caldwell County Board of Education, 2000000766; Baker International, Inc., 1900003824; Vaughn & Calloway County Board of Education, 2000000767; DEPARTMENT FOR COMMUNITY BASED Melton Consulting Engineers, Inc., 1900005012. Christian County Board of Education, 2000000769; SERVICES Dawson Springs Board of Education, 2000000771; Louisville Jefferson County Metro Government, FACILITIES & SUPPORT SERVICES 1800001665. Kohrs Lonnemann Heil Engineers, PSC, Fairview Independent School District, 2000000772; 1600000312; Ensafe, Inc., 1600002252; Stantec Fulton County Board of Education, 2000000776; DEPARTMENT FOR LOCAL GOVERNMENT Consulting Services, Inc., 1700001105; Staggs and Fulton Independent Board of Education, Perry County Fiscal Court, 1900003310; The Fisher Consulting Engineers, Inc., 1700002742; 2000000777; Hopkins County Board of Education, Appalachian Wildlife Foundation, Inc., 1900003822; Redwing Ecological Services, Inc., 1800002056; Omni 2000000786; Johnson County Board of Education, Ohio County Fiscal Court, 2000000336. Architects, 1900003527. 2000000788; Owensboro Independent School District, 2000000795; Paducah Independent School DEPARTMENT FOR PUBLIC HEALTH TOURISM - OFFICE OF THE SECRETARY District, 2000000797; Robertson County Board of University of Kentucky Research Foundation, Lofthouse Enterprises, 2000000492. Education, 2000000799; Washington County Board 1800001731; University of Kentucky Research of Education, 2000000804. Foundation, 1900003156; Multi, 1900004001. TRANSPORTATION - OFFICE OF THE SECRETARY DEPARTMENT OF AGRICULTURE DEPARTMENT FOR WORKFORCE Legacy Title Company, LLC, 1900004054. Kentucky 4-H Foundation, 2000000734; Kentucky INVESTMENT FFA Foundation, 2000000735. Connected Nation, Inc., 2000000299. UNIVERSITY OF KENTUCKY THP Limited, Inc., A181150; JRA Architects, DEPARTMENT OF CORRECTIONS DEPARTMENT OF AGRICULTURE A191080; CMTA, Inc., A191150; Apax Software, Kentucky Administrative Office of the Courts, Multi, 1900003211. K20-127. 2000000456; Grant County Fiscal Court, 2000000586. DEPARTMENT OF EDUCATION UNIVERSITY OF LOUISVILLE DEPARTMENT OF EDUCATION Utah State University, 1900003851; Estill County Walker Parking Consultants, 19-072. Ashland Board of Education, 2000000706; Board of Education, 1900004158; Jefferson County Montgomery County Board of Education, Board of Education, 2000000302. 2000000848; Jefferson County Board of Education, 2000000889; Jefferson County Board of Education, TRANSPORTATION - OFFICE OF THE THE FOLLOWING MEMORANDA OF 2000000891; Jefferson County Board of Education, SECRETARY AGREEMENTS WERE REVIEWED WITHOUT 2000000892; University of Kentucky Research University of Kentucky Research Foundation, OBJECTION: Foundation, 2000000893; Fayette County Board of 1800001354-1. Education, 2000000996. ADMINISTRATIVE OFFICE OF THE COURTS Morehead State University, 2000001059; Morehead DEPARTMENT OF JUVENILE JUSTICE State University, 2000001060; Morehead State Foothills Academy, Inc., 1900003311; Ramey DISCUSSION ON MANAGED CARE University, 2000001061; Morehead State University, Estep Homes, Inc., 2000000660. ORGANIZATION CONTRACTS (MCO’s): 2000001063. DEPARTMENT OF MILITARY AFFAIRS Joan Graham, Executive Director, Office of Boyd County Fiscal Court, 2000000542. Procurement, Finance and Administration Cabinet THE KENTUCKY GENERAL ASSEMBLY 53 and Amy Monroe, Division Director, Office of LRC Staff: Dana L. Simmons, Lead Staff, Chris Ms. Romelfanger gave an overview of legislation Procurement, Finance and Administration Cabinet Joffrion, and Becky Lancaster. that has been introduced at the federal level regarding were present to testify regarding five (5) Manage Approval of Minutes the Centers for Medicare & Medicaid Services (CMS) Care Organization (MCO) Contracts: Molina A motion to approve the minutes of the October policy to prevent facilities from engaging in certified Healthcare of Kentucky, MA 758-2000000190; 24, 2019 meeting was made by Senator Mills, seconded nursing assistant (CNA) training within the facility United Healthcare of Kentucky, Ltd, d/b/a/ United by Mary Romelfanger, and approved by voice vote. if the facility has received penalties. She stated that Healthcare Community Plan of Kentucky, MA 758- Discussion and Approval of the Draft the Kentucky Nurses Association and the Kentucky 2000000191; WellCare Health Insurance of Kentucky, Memorandum for the Task Force Findings and Nurses Foundation appreciated the opportunity to be Inc. MA 758- 2000000192; Aetna Better Health of Strategies represented and participate in the task force. Kentucky, Assignee for Coventry Health and Life, MA Senator Reginald Thomas stated that there are In response to questions and comments from 758-2000000193; Humana Health Plan, Inc. MA 758- many budget issues that need to be addressed in Representative Willner, Senator Mills stated that to 2000000194. Senator Meredith stated that since the Kentucky. In reviewing the draft memorandum continue the task force a resolution would need to Kentucky Medicaid Programs inception in 1965 until for the Task Force Findings and Strategies, Senator be passed in the 2020 Regular Session and leadership 2001 it was administered by a single entity. In 2011, Thomas is in favor of finding one, strategy one, on would have to appoint members. with the introduction of the managed care model, page two; however, the state is already providing Mary Romelfanger made a motion to accept the Medicaid program has been administered by as significant funding to the University of Kentucky the draft memorandum for the Task Force Findings many as six managed care organizations; even though Sanders-Brown Center on Aging. He believes the and Strategies as amended, and it was seconded by the Centers for Medicare and Medicaid Services only state is best served with funding going to the center Mackenzie Longoria. After a roll call vote of 12 yes requires a minimum of two organizations. The present and not a separate entity. votes, 0 no votes, and 0 pass votes, the amended arrangement of contracting with five managed care memorandum was approved by the task force. organizations to administer the Medicaid program Mary Romelfanger stated that she is in favor of Adjournment has compromised the commonwealth’s ability to take funding so that emerging technologies that help There being no further business, the meeting was advantage of economies of scale and negotiate more caregivers in the home will be able to be tracked. adjourned at 1:46 PM. favorable rates; and thereby reduce the administration Steve Davis stated that finding three, on page two, cost of the program. Contracting with five managed adequately states what the Office of the Inspector care organizations has also created unnecessary General believes is needed for Alzheimer’s and TOBACCO SETTLEMENT and excessive bureaucracy and increased cost for all dementia patients. He stated that finding four, on page organizations contracting with the commonwealth three, reflects the tiered congregate living scenario, AGREEMENT FUND OVERSIGHT to provide health care services to Medicaid and he concurs with the recommendations. He stated COMMITTEE recipients. These excessive costs are compromising that he concurs with the recommendations in finding Minutes of the 9th Meeting the financial position of healthcare providers and six, on page four. of the 2019 Interim their ability to provide needed medical services with a Mackenzie Longoria made a motion to remove December 4, 2019 disproportionate and prejudicial burden being placed “focus solely” from the draft memorandum on page Call to Order and Roll Call on healthcare providers in rural communities. A five, line 14, and to insert “incorporate”. The motion The 9th meeting of the Tobacco Settlement motion was made by Senator Meredith to add the five was seconded by Senator Thomas and approved by Agreement Fund Oversight Committee was held on (5) contracts to agenda. Representative Hart seconded voice vote. Wednesday, December 4, 2019, at 10:00 AM, in Room the motion, which passed. A motion was made by Representative Lisa Willner made a motion 129 of the Capitol Annex. Representative Myron Senator Meredith to disapprove the contracts. Senator to add “resources” after “Association” to the draft Dossett, Chair, called the meeting to order, and the Hornback seconded the motion, which passed. memorandum on page eight, line 26. The motion secretary called the roll. was seconded by Senator Mills and approved by voice Present were: There being no further business, the meeting vote. Members: Senator C.B. Embry Jr., Co-Chair; adjourned at 10:28 AM. Denise Wells made a motion to remove “ex- Representative Myron Dossett, Co-Chair; Senators offenders” from the draft memorandum on page Paul Hornback, and Robin L. Webb; Representatives eight, line three. The motion was seconded by Ms. Kim King, Phillip Pratt, and Brandon Reed. ALZHEIMER’S AND DEMENTIA Romelfanger and approved by voice vote. Guests: Warren Beeler, Executive Director, WORKFORCE ASSESSMENT TASK Mr. Upchurch commented on the status of 1915(c) Governor’s Office of Agricultural Policy (GOAP); waivers that are not being used because people are Bill McCloskey, Deputy Executive Director, GOAP; FORCE not informed about the services that are available to Van Ingram, Executive Director, Kentucky Office of Minutes of the 7th Meeting them if they meet qualifications. He supports using Drug Control Policy (KODCP); Heather Wainscott, of the 2019 Interim “required” in finding 21, strategy four. Branch Manager, KODCP; Amy Andrews, Program November 19, 2019 Ms. Longoria made a motion to remove finding Manager, Kentucky Agency for Substance Abuse Call to Order and Roll Call 21, strategy four on page nine. After comments from Policy, KODCP. The 7th meeting of the Alzheimer’s and Dementia Mr. Upchurch, Ms. Longoria withdrew the motion. LRC Staff: Nathan Smith, Kelly Ludwig, and Workforce Assessment Task Force was held on Representative Willner made a motion to remove Rachel Hartley. Tuesday, November 19, 2019, at 1:00 PM, in Room “should” and to insert “shall” on page nine, line eight. Governor’s Office of Agricultural Policy Report 131 of the Capitol Annex. Representative Deanna The motion was seconded by Ms. Longoria and Senator Hornback stated the tobacco receiving Frazier, Chair, called the meeting to order, and the approved by voice vote. stations opened December 3, 2019, and full loads of secretary called the roll. Senator Thomas made a motion to remove strategy tobacco were rejected. Philip Morris has told farmers Present were: four of finding 21, on page nine and to insert “of the crop insurance would cover costs, but Senator Members: Senator Robby Mills, Co-Chair; the utility and economic viability” to page nine, line Hornback stated the crop insurance will not be Representative Deanna Frazier, Co-Chair; Senator eight. The motion was seconded by Mr. Upchurch enough and the farmers could go bankrupt. Reginald Thomas; Representative Lisa Willner; Bill and approved by voice vote. In response to a question from Representative Cooper, Steven Davis, Mackenzie Longoria, Devon Ms. Longoria commented on additional King, Senator Hornback stated businesses will McFadden, Andrea Renfrow, Mary Romelfanger, recommendations for changes that she submitted to import tobacco, because it is cheaper than growing Kelly Upchurch, and Denise Wells. the task force by email. There was not a motion to domestically. Guests: Representatives George Brown and Joe amend the draft memorandum. In response to a question from Representative Graviss.

54 2019 Interim LEGISLATIVE RECORD Pratt, Mr. Beeler stated the rejected tobacco was (KHC). KY-ASAP supported the Oxford House with dried more than it cured making the tobacco yellow. $100,000 from the tobacco settlement. There are Senator Hornback stated the purchasers determine if approximately 70 houses managed by KHC. the quality of the tobacco is acceptable. The contracts KODCP has partnered with the Kentucky are subjective, and the farmer has no recourse. Chamber of Commerce to assist companies in Warren Beeler provided a brief overview of the end changing their policies so they are able to hire an of year changes to the County Agricultural Investment individual in recovery. Program (CAIP), and the approved guideline changes Heather Wainscott stated there will be a local for the Agricultural Finance Corporation. board in Elliott County in 2020. Once Elliott County Bill McCloskey described the Agricultural receives its designation, Kentucky will have a local Development Board’s projects for October under board in all Kentucky counties. the program. Mr. McCloskey highlighted programs KY-ASAP is marketing against electronic cigarettes including CAIP, Deceased Farm Animal Removal, and vaping. The Bullitt County School District is the Next Generation Farmer, Shared-Use Equipment first in Kentucky to file a lawsuit against Juul. Program, and Youth Agriculture Incentive Program. Amy Andrews stated the largest expenditure in Requested program amendments included: 2019 is to the local boards, because local boards will Adair County Cattlemen’s Association know how to best spend the money received. The requested an additional $10,500 in Adair local boards received $3.8 million. The second biggest County funds for CAIP. The board expenditure was $650,000 to the Eastern Kentucky recommended approval, which would bring Concentrated Recovery Program. the program total to $197,500. In response to a question from Representative Garrard County Farm Bureau requested King, Mr. Ingram stated Narcan does work for an additional $20,863 in Garrard County canines. funds for CAIP. The board recommended In response to a question from Senator Webb, Mr. approval, which would bring the program Ingram stated the data showing the outcome of the total to $255,403. money spent is being prepared. The projects discussed included: In response to a question from Representative The University of Kentucky Research Reed, Mr. Ingram stated police chiefs and sheriffs Foundation was approved for up to $200,000 apply for Narcan. There is $300,000 set aside from the in state and multiple county funds to develop tobacco settlement for law enforcement and the other a web-based mobile application software for funds are federal. Kentucky beef producers. In response to a question from Representative The Kentucky Sheep and GoatDossett, Mr. Ingram stated the jails in Kentucky are Development Office was approved for up overcrowded, and it is crucial to identify substance to $183,475 in state funds over two years abuse problems before criminal activity arises. for the creation of an online comprehensive There being no further business, the meeting was educational program and Kentucky Natural adjourned. Fiber Center in Millersburg. The World Heritage Animal Genomic Resources was denied $1,651,032 in state funds to build a training and conservation center in Mt. Sterling. The board denied the request due to limited producer impact. Senator Hornback stated the University of Kentucky has invested billions of dollars in upgrades to the campus; however, there have been no dollars going to the College of Agriculture, Food, and Environment. Agriculture is the number one industry in Kentucky and enrollment increases every year. Kentucky Office of Drug Control Policy Van Ingram provided some good news for the committee including: from 2017 to 2018 the United States had a 5 percent decrease in overdose deaths and Kentucky had a 15 percent decrease over the same period. Waiting lists for residential treatment have been eliminated. The Kentucky Agency for Substance Abuse Policy (KY-ASAP) has local boards in 119 counties. Kentucky already has the infrastructure with local boards to utilize the Helping to End Addiction Long- Term (HEAL) grant for which the University of Kentucky has applied. Transitional housing is important for recovery from addiction. The Oxford House is a national program and is supported through a revolving loan fund managed by the Kentucky Housing Corporation

THE KENTUCKY GENERAL ASSEMBLY 55 2020 Prefiled Bills

BR3 - Representative Rob Wiederstein of KRS Chapter 6 to establish bill filing limitations add issues that a practitioner is required to discuss (11/7/2019) for regular sessions and allow exemptions; amend with a patient prior to prescribing or dispensing various KRS statutes for technical corrections and a controlled substance to a patient; amend KRS AN ACT relating to government data by conforming changes. 205.529, 218A.205, and 304.17A-165 to delete providing for the adoption of an open data standard to (Prefiled by the sponsor(s).) reference to Schedule III controlled substances allow for centralization of government data sets at a containing hydrocodone. uniquely identified uniform Web site resource locator BR6 - Representative Diane St. Onge (Prefiled by the sponsor(s).) address. (4/18/2019) Create new sections of KRS Chapter BR9 - Representative Danny Bentley 42 to define “agency strategic data architecture plan,” AN ACT relating to cruelty to equines. (10/24/2019) “application programming interface,” “data,” “data Create a new section of KRS portal,” “data set,” “machine-readable,” “metadata,” Chapter 525 to prohibit cruelty to equines, including AN ACT relating to prescription drugs. “open operating standard,” “public data set,” “state situations involving abuse or neglect; make cruelty Amend KRS 304.17A-164 to define agency,” “technical data standard,” and “voluntary to equines a Class D felony and provide for the “financial assistance” and “generic alternative;” and consensus standards body”; create an open operating termination of ownership; list exceptions; establish a to require an insurer to apply financial assistance standard for the Commonwealth of Kentucky; short title of “Klaire’s Law.” received by an insured toward any cost sharing owed require public data sets available on the Internet to (Prefiled by the sponsor(s).) by the insured with certain exceptions; EFFECTIVE be accessible through a single, Web-based data portal January 1, 2021. with external search capabilities maintained by the BR7 - Representative Danny Bentley (Prefiled by the sponsor(s).) Commonwealth Office of Technology; establish (6/4/2019) requirements for operation of the data portal; BR23 - Representative Charles Booker establish standards for prioritizing of data sets; to AN ACT relating to voluntary non-opioid (5/3/2019) create the data working group and establish its duties directives. and functions; require the Auditor of Public Accounts Create a new section of KRS AN ACT proposing an amendment to to examine and verify compliance with the provisions Chapter 218A to define terms and to establish a Section 145 of the Constitution of Kentucky relating of the Act; establish the Kentucky Data Governance voluntary non-opioid directive form to inform to persons entitled to vote. and Management Advisory Board; amend KRS practitioners that an opioid drug shall not be Propose to amend Section 145 of 12.050 to include agency data officers; amend KRS prescribed, ordered, or administered to a patient who the Constitution of Kentucky to restore voting rights 42.732 to provide that the Kentucky Information has filed the form with the Cabinet for Health and to persons convicted of felonies upon completion of Technology Advisory Council shall advise the data Family Services; amend KRS 218A.172 to require their sentence; submit to the voters for ratification or working group on inclusion of data sets to be included a practitioner to determine if a patient has filed a rejection. in the open data portal; amend KRS 42.726 require voluntary non-opioid directive and to provide the (Prefiled by the sponsor(s).) the Commonwealth Office of Technology to develop, patient with a copy of the form prior to prescribing implement, and manage the sharing of data and data an opioid drug; amend KRS 218A.202 to establish BR27 - Representative Attica Scott set development by all state agencies; establish a that the electronic monitoring system established in (5/10/2019) short title. this section shall permit the cabinet to report and (Prefiled by the sponsor(s).) document receipt of a voluntary non-opioid directive AN ACT relating to historical instruction. and to permit a practitioner to determine if a patient Create a new section of KRS BR4 - Representative Rob Wiederstein has filed a voluntary non-opioid directive. Chapter 158 to require African history instruction (9/25/2019) (Prefiled by the sponsor(s).) in certain middle and high school world history and civilization courses; require Native American history AN ACT relating to legislative accountability BR8 - Representative Danny Bentley instruction in certain middle and high school United by providing for the expanded use of cost estimates, a (10/24/2019) States history courses; require the Kentucky Board of regulatory impact assessment of pending legislation, Education to promulgate administrative regulations and the limitation of bill introductions during a AN ACT relating to controlled substances. establishing academic standards for the required regular session. Create a new section of KRS historical instructions; require local school boards Create new sections of KRS Chapter 218A to require a practitioner to offer a to adopt curricula for required instruction; require Chapter 6 to define “fiscal note,” “machine-readable,” prescription for naloxone hydrochloride or another the Department of Education to collaborate with and “regulatory burden”; establish requirements drug approved by the Food and Drug Administration the Kentucky African American Heritage and the for fiscal notes; allow the waiver of the fiscal note for the complete or partial reversal of opioid Kentucky Native American Heritage Commission requirements; establish responsibilities of the depression when prescribing an opioid drug and to to develop recommended curricula and instruction Legislative Research Commission in regard to fiscal provide education on overdose prevention and on guidelines for the required historical instruction, notes; allow for the validity of any measure duly use of an opioid depression reversal drug; amend elective high school course offerings in African passed by the legislature even if fiscal note or bill KRS 218A.172 to delete reference to Schedule III history and Native American history, and relevant limit requirements are not met; create a new section controlled substances containing hydrocodone and to professional development materials.

56 2019 Interim LEGISLATIVE RECORD (Prefiled by the sponsor(s).) offense of intimidation of a sports official as a Class (Prefiled by the sponsor(s).) A misdemeanor; state that the restrictions of KRS BR31 - Representative Derek Lewis 6.945(1) do not apply. BR49 - Representative Rob Wiederstein (7/2/2019) (Prefiled by the sponsor(s).) (10/31/2019)

AN ACT relating to teachers and making an BR45 - Representative Jason Nemes AN ACT relating to elimination of the appropriation therefor. (6/19/2019) certificate of need and declaring an emergency. Create a new section of KRS Amend KRS 13B.020 to delete Chapter 164 to define terms; establish a student loan AN ACT relating to fire districts. reference to certificate of need hearings; amend forgiveness program for STEM teachers employed at Amend KRS 75.040 to deem KRS 194A.010 to delete reference to the certificate a public school district within a federally designated that emergency ambulance service provided by a of need and the state health plan; amend KRS promise zone; authorize the Kentucky Higher fire protection district, volunteer fire department 194A.030 to delete reference to the certificate of Education Assistance Authority to promulgate district, or subdistrict, is the primary emergency need; amend KRS 211.192 to correct a statutory administrative regulations to administer the program; ambulance service within the district or subdistrict citation; amend KRS 205.634 to delete requirement create the STEM teacher promise zone scholarship in the boundaries of the county containing the for certificate of need; amend KRS 216.361 to delete fund; APPROPRIATION. largest population within the district boundaries; requirement for certificate of need; amend KRS (Prefiled by the sponsor(s).) add a method for boards of trustees to declare that 216.380 to delete requirement for certificate of need the district or subdistrict is not the primary provider and reference to the state health plan; amend KRS BR32 - Representative Jerry Miller of emergency ambulance service within the district; 216.560 to correct a statutory citation; amend KRS (8/21/2019) declare status for secondary providers of emergency 216.885 to delete requirement for certificate of ambulance service; require that the additional tax need; amend KRS 216B.015 to delete and correct AN ACT relating to the taxation of tobacco moneys allowed for being a primary provider are definitions relating to certificate of need; amend products. no longer allowable; and require local governments KRS 216B.020 to delete exemptions to the certificate Amend KRS 138.130 to define providing secondary emergency ambulance service of need; amend KRS 216B.042 to delete reference terms; amend KRS 138.140 to impose an excise tax within the district or subdistrict within the boundaries to the certificate of need; amend KRS 216B.0445 on vapor products; amend KRS 138.143 to impose a of the county containing the largest population within to delete the requirement for a certificate of need; floor stock tax; EFFECTIVE 11:59 p.m. on June 31, the district boundaries to credit the amount of taxes amend KRS 216B.065 to delete the requirement for 2020. paid by taxpayers of the district or subdistrict for a certificate of need; amend KRS 216B.066 to delete (Prefiled by the sponsor(s).) emergency ambulance service to the taxes owed to the requirement for a certificate of need; amend KRS the local government by the taxpayer. 216B.115 to delete reference to the certificate of BR36 - Representative John Sims Jr (Prefiled by the sponsor(s).) need; amend KRS 216B.131 to delete reference to the (7/12/2019) certificate of need; amend KRS 216B.185 to correct BR47 - Representative Les Yates a statutory citation; amend KRS 216B.250 to change AN ACT relating to an increase in tax rates. (9/12/2019) Human Resources to Health and Family Services; Amend KRS 139.200 to provide amend KRS 216B.300 to correct a statutory citation; for a sales and use tax rate of eight percent (8%) on AN ACT relating to vacancies in elective amend KRS 216B.332 to delete exemption from or after January 1, 2021; amend KRS 139.230 and office. certificate of need; amend KRS 216B.455 to delete 139.310 to conform; amend KRS 139.471 to provide Amend KRS 83A.165, 118.115, the requirement for a certificate of need; amend KRS a six percent (6%) sales tax rate on property purchased 118.165, 118.365, 118.375, and 118A.100 to extend 216B.457 to delete the requirement for a certificate for use in the performance of a lump sum, fixed by ten calendar days the deadline for filing nomination of need; amend KRS 216B.990 to delete penalty fee contract, sales made under a fixed fee contract, papers to fill an unexpired term if the vacancy occurs for not obtaining a certificate of need; amend KRS or sales made under a fixed price contract, if the five calendar days or less before the prescribed 218A.175 to correct a statutory reference; amend contracts were executed on or before July 10, 2019; deadline; amend KRS 118.225 to conform; amend KRS 304.17-312, 304.17-313, 304.17-317, 304.18- amend 138.460 to provide for a motor vehicle usage KRS 132.380 to require an examination whenever 035, 304.18-037, 304.32-156, 304.32-280, 304.38- tax rate of eight percent (8%) on vehicles purchased there is a vacancy in the office of property valuation 210, and 311.760 to replace the Kentucky Health on or after January 1, 2021; amend KRS 138.463 to administrator and to direct that the certificates of any Facilities and Health Services Certificate of Need provide for an eight percent (8%) U-Drive-It tax rate examination shall remain valid for four years. and Licensure Board with the Cabinet for Health and for rental and leasehold contracts entered into after (Prefiled by the sponsor(s).) Family Services; amend KRS 304.17A-147 to correct January 1, 2021; amend KRS 139.260 and 139.470 to a statutory reference; amend KRS 304.17A-1473 to conform. BR48 - Representative Rob Wiederstein correct a statutory reference; amend KRS 304.38- (Prefiled by the sponsor(s).) (11/4/2019) 020 to delete reference to the certificate of need; amend KRS 304.38-040 to delete required evidence BR37 - Representative Randy Bridges, Representative AN ACT relating to physician employment of a certificate of need; amend KRS 304.38-090 and Brandon Reed contracts. KRS 304.38-130 to replace the Kentucky Certificate (10/1/2019) Create a new section of KRS of Need and Licensure Board with the Cabinet for 311.530 to 311.620 to make non-compete provisions Health and Family Services; amend KRS 311.377 AN ACT relating to crimes against sports in physician and osteopath employment contracts void to delete references to the certificate of need; amend officials. and unenforceable, except in limited circumstances KRS 314.027 to delete reference to the certificate of Amend KRS 518.090 to make when the contract is for the sale of a practice or for need; amend KRS 347.040 to delete reference to the assault of a sports official a Class D felony; create employment as a faculty member at a medical school. state health plan; repeal KRS 211.9523, 216B.010, a new section of KRS Chapter 518 to establish the 216B.035, 216B.040, 216B.061, 216B.0615, THE KENTUCKY GENERAL ASSEMBLY 57 216B.062, 216B.085, 216B.086, 216B.090, proposed nonprofit healthcare conversion transaction; becoming registered and set forth actions that may 216B.095, 216B.125, 216B.130, 216B.180, and specify what the Attorney General must consider be taken by the Labor Cabinet against any person 216B.182; EMERGENCY. in determining whether to approve or disapprove a in violation; amend KRS 336.990 to provide a civil (Prefiled by the sponsor(s).) proposed nonprofit healthcare conversion transaction penalty; amend the definition of “premium” in KRS including a requirement that the Attorney General 342.0011 to include co-employment relationships BR50 - Representative Rob Wiederstein consult with and receive expert advice; require the with a professional employer organization; amend (10/31/2019) Attorney General to also determine the impact of the KRS 342.990 to delete references to KRS 342.615; proposed nonprofit healthcare conversion transaction repeal KRS 342.615; state that the provisions of this AN ACT relating to health care to provide on the affected community; allow the Attorney Act are severable. for an all-payer claims database and making an General to request additional information necessary (Prefiled by the sponsor(s).) appropriation therefor. to complete a review of the proposed nonprofit Create a new section of Subtitle healthcare conversion transaction; authorize the BR76 - Representative Rob Wiederstein 17A of KRS Chapter 304 to require the commissioner Attorney General to contract with additional counsel (10/1/2019) of the Department of Insurance to establish an in order to assist in the review of the proposed advisory committee to make recommendations nonprofit healthcare conversion transaction; specify AN ACT relating to evidence-based regarding the creation of a Kentucky all-payer claims that the Attorney General is entitled to reimbursement budget allocations by providing for the formation database; establish the Kentucky all-payer claims from the nonprofit healthcare entity for certain costs of the Office for Program Evaluation and Quality database fund; APPROPRIATION. related to review of the proposed transaction; prescribe Assurance within the Office of State Budget Director, (Prefiled by the sponsor(s).) parameters for public review of documents related the establishment of an evidence-based program to the proposed healthcare conversion transaction; inventory, the regular evaluation of state programs, BR61 - Representative Attica Scott, Representative prescribe penalties for a violation of this Act by a the elimination of ineffective state programs, and the Mary Lou Marzian, Representative Charles Booker, nonprofit healthcare entity; specify the applicability creation of an evaluation officer position within state Representative Joe Graviss, Representative Kathy of this Act to current law; specify the parameters of agencies. Hinkle, Representative Nima Kulkarni this Act; provide that this Act may be cited as the Amend KRS 11.068 to abolish the (7/9/2019) Kentucky Nonprofit Healthcare Conversion Act; Governor’s Office for Policy Research and to create amend KRS 386B.4-130 to conform; EMERGENCY. the Governor’s Office for Program Evaluation and AN ACT relating to public charter schools. (Prefiled by the sponsor(s).) Quality Assurance within the Office of State Budget Amend KRS 156.095 and KRS Director; create new sections in KRS Chapter 11 to 158.4416 to remove references to public charter BR72 - Representative Melinda Prunty define terms, require an inventory of evidence-based schools; repeal KRS 160.1590, 160.1591, 160.1592, (9/10/2019) programs, create the evidence building workgroup, 160.1593, 160.1594, 160.1595, 160.1596, 160.1597, require reporting by the program agencies, and lapse 160.1598, 160.1599, and 161.141. AN ACT relating to the recognition and state funding for any program if the program agency (Prefiled by the sponsor(s).) registration of professional employer organizations. does not comply with the reporting requirements; Create new sections of KRS amend KRS 48.110 and 48.180 to conform. BR63 - Representative Susan Westrom Chapter 336 to declare that professional employer (Prefiled by the sponsor(s).) (12/11/2019) organizations provide a valuable service to commerce and should be properly recognized and regulated; BR78 - Representative Rob Wiederstein AN ACT relating to the reporting of child define “client,” “co-employer,” “co-employment (10/28/2019) abuse. relationship,” “covered employee,” “professional Amend KRS 620.030, relating to employer organization group,” “person,” AN ACT proposing an amendment to the requirement to report child abuse, to limit the “professional employer agreement,” “professional Section 32 of the Constitution of Kentucky relating clergy-penitent exemption; amend KRS 620.050, employer organization,” “professional employer to terms of members of the General Assembly. relating to the reporting of child abuse, to limit the services,” “registrant,” and “temporary help service”; Propose to amend Section 32 of the clergy-penitent exemption. indicate that covered employees shall be deemed Constitution of Kentucky to prevent Senators from (Prefiled by the sponsor(s).) employees of the client for purposes of determining serving more than three consecutive terms of office, tax credits or economic incentives; require a person not including partial terms of two years or less, and BR66 - Representative Rob Wiederstein providing professional employer services to be to prevent members of the House of Representatives (10/30/2019) registered and to set forth the registration requirements; from serving more than six consecutive terms of require professional employer organizations to pay office, not including partial terms of two years or AN ACT relating to community healthcare a registration fee; require a professional employer less, beginning with those elected in November 2022; foundations by providing for the approval organization to either maintain positive working allow legislators to resume service in the house from and oversight of not-for-profit hospital, health capital or provide a bond, letter of credit, or security; which they were term-limited after two or more years maintenance organization, and healthcare insurer set forth the rights and responsibilities of parties to have elapsed; provide ballot language; submit to conversions, and declaring an emergency. a co-employment agreement; set forth the health voters for ratification or rejection. Create new sections of KRS insurance obligations of professional employer (Prefiled by the sponsor(s).) Chapter 367 to provide definitions concerning organizations; set forth the workers’ compensation nonprofit healthcare conversion transactions; provide requirements of professional employer organizations BR79 - Representative Attica Scott notification requirements; require the Attorney and the client; set forth the unemployment insurance (5/23/2019) General to notify a nonprofit healthcare entity obligations of the professional employer organization regarding the status of a decision; require that the and the client; prohibit a person from knowingly AN ACT relating to the investigation of a Attorney General to hold public meetings related to the providing professional employer services without shooting or deadly incident by a law enforcement

58 2019 Interim LEGISLATIVE RECORD officer. related to casino gaming that require licensure and therefor. Create new sections of KRS establish criteria for occupational licensing; permit Create new sections of KRS Chapter 15A to provide definitions and establish the corporation to initiate disciplinary action against Chapter 205 to define terms; establish the Medicaid an Officer Shooting Review Board to investigate applicants and license holders; establish an appeal ground ambulance service provider assessment; any shooting of an individual by a law enforcement process; create new sections of KRS Chapter 138 require ground ambulance service providers to pay officer or officers or any deadly incident involving to establish wagering and admissions taxes to be a Medicaid ambulance service provider assessment law enforcement; set requirements for board remitted by gaming licensees and full and limited quarterly; authorize the Cabinet for Health and members; provide duties of the board; specify casinos; create new sections of KRS Chapter 154A to Family Services to promulgate administrative requirements related to investigatory work performed establish the casino gaming revenue distribution trust regulations necessary to implement the Medicaid by the Kentucky State Police Critical Incident fund and limit that money to the benefit of the state ground ambulance service provider assessment; Response Team on behalf of the board; establish retirement systems for the first ten years; establish create the ambulance service assessment revenue investigatory procedures and protocols; provide the regional tourism and infrastructure development fund; APPROPRIATION. requirements for submission of the board’s report fund and provide criteria for projects seeking money (Prefiled by the sponsor(s).) to the Commonwealth’s attorney of the jurisdiction from the fund; waive 15 U.S.C. secs. 1172, 1173, and in which the shooting or deadly incident took place 1174 for devices authorized by this Act; require the BR85 - Representative C. Ed Massey or to the Attorney General; provide requirements corporation to promulgate administrative regulations (6/18/2019) for independent investigation of any shooting of an to define and limit games and devices permitted for individual by a law enforcement officer or officers or gaming in casinos; provide guidelines for exclusion AN ACT relating to the Honor and any deadly incident involving law enforcement. or ejection of certain persons; define “cheat” and Remember flag. (Prefiled by the sponsor(s).) provide penalties for those who cheat at casino games; Create a new section of KRS amend KRS 243.500 to exempt limited or full casino Chapter 2 to designate the Honor and Remember BR80 - Representative Dennis Keene gaming; amend KRS 525.090 to exempt persons flag as the state’s emblem of the service and sacrifice (5/8/2019) engaged in casino gaming; amend KRS 528.010 to of the brave men and women of the United States exempt gambling activity and devices licensed under Armed Forces who have given their lives in the line AN ACT relating to the expansion of gaming KRS Chapter 154A; amend KRS 528.020 to conform; of duty; specify locations, dates, and circumstances and making an appropriation therefor. amend KRS 528.070 to exempt activity licensed under which the flag may be displayed. Create a new section of KRS under KRS Chapter 154A; amend KRS 528.080 to (Prefiled by the sponsor(s).) Chapter 154A to state the findings of the General exempt those with the appropriate license required Assembly; amend KRS 154A.010 to define, under KRS Chapter 154A; amend KRS 528.100 BR86 - Representative C. Ed Massey “authorizing location,” “casino,” “county,” to exempt limited or full casino gaming licensed (11/13/2019) “county legislative body,” “department,” “full under KRS Chapter 154A; APPROPRIATION; casino gaming,” “gaming licensee,” “gross gaming EFFECTIVE DATE DELAYED. AN ACT relating to hearing officers. revenue,” “handle,” “licensee,” “limited casino (Prefiled by the sponsor(s).) Amend KRS 311.591 to require gaming,” and “principal”; amend KRS 154A.030 to the executive director of the Kentucky Board of expand the Lottery Corporation board membership BR82 - Representative Rob Rothenburger, Medical Licensure to request a hearing officer for and duties; amend KRS 154A.040 to include casino Representative Mark Hart administrative hearings relating to discipline of licensees; amend 154A.063 to remove prohibition (6/10/2019) physicians or doctors of osteopathic medicine; require against casino gaming; create new sections of KRS the hearing officer to be randomly selected by the Chapter 154A to require a local option election in AN ACT relating to tuition benefits and Attorney General or his or her designee from a pool of any precinct wanting to host a casino; describe the making an appropriation therefor. qualified hearing officers; require the hearing officer duties of the county clerk and sheriff in a casino Amend KRS 164.2841, relating to to have at least five years of experience in the practice gaming local option election; state requirements college tuition benefits for spouses and children of of law; require the hearing officer to be familiar with for local option elections held on a day other than specified emergency response personnel and public the law relating to licensure, qualifications, and a regular election day; require the corporation to employees who have died in the course of their duties credentials of physicians or doctors of osteopathic advertise an invitation to bid for casinos; require the to specify that the beneficiary is eligible for up to medicine and other qualifications as determined corporation to evaluate all proposals for full casinos; a maximum of 128 credit hours of undergraduate by the board; allow the Attorney General or his or establish initial licensing fees for full casinos at instruction; amend KRS 164.2842, relating to college her designee to contract with private attorneys if $50 million with an initial licensing period of ten tuition benefits for spouses and children of specified there are no qualified hearing officers in the pool years and annual renewal thereafter at $6 million emergency response personnel and public employees who meet the qualifications of this section; require per year; permit limited casino gaming at horse who have been totally and permanently disabled in the the hearing officer to issue recommendations to the racing tracks licensed under KRS Chapter 230; course of their duties to specify that the beneficiary is board; require the board to consider hearing officer establish requirements for limited casinos; establish eligible for up to a maximum of 128 credit hours of recommendations and issue a final order relating to requirements for any track holding a limited casino undergraduate instruction. the discipline of a physician or doctor of osteopathic license; establish requirements for principals of any (Prefiled by the sponsor(s).) medicine; eliminate all references to the hearing corporation granted a casino license; create license panel; prohibit a hearing officer from revoking application requirements for casino, manufacturer’s, BR83 - Representative Rob Rothenburger, any licenses or placing any licensees on probation; or supplier’s licenses; prohibit anyone not licensed Representative Mark Hart amend KRS 161.790 to ensure that hearing officers from selling, leasing, or otherwise furnishing (5/9/2019) in teacher tribunals are randomly selected; amend gaming supplies; prohibit anyone under the age KRS 311.550, KRS 311.565, KRS 311.572 & KRS of 21 from participating in casino gaming; require AN ACT relating to ground ambulance 311.594 to conform. the Lottery Corporation to determine occupations service providers and making an appropriation (Prefiled by the sponsor(s).) THE KENTUCKY GENERAL ASSEMBLY 59 BR113 - Representative Jason Nemes BR87 - Representative C. Ed Massey BR98 - Senator Ralph Alvarado (6/6/2019) (11/12/2019) (12/4/2019) AN ACT relating to call centers. AN ACT relating to school construction. AN ACT relating to insurance policy Create a new section of KRS Amend KRS 162.065 to require the renewals. Chapter 337 to require an employer intending to Kentucky Board of Education to include “construction Amend KRS 304.20-035 to require relocate a call center from Kentucky to a foreign management-at-risk” as a project delivery method property and casualty insurers to notify insureds country to notify the secretary of the Labor Cabinet option for school construction projects. of changes in the terms and conditions offered in a at least 120 days prior to such relocation; require the (Prefiled by the sponsor(s).) renewal policy. secretary to compile a list of employers that have (Prefiled by the sponsor(s).) relocated a call center to a foreign country; amend BR88 - Representative Attica Scott, Representative KRS 337.990 to create a civil penalty of not more Rob Wiederstein BR102 - Representative R. Travis Brenda than $1,000 for each violation; provide short title. (12/6/2019) (9/12/2019) (Prefiled by the sponsor(s).)

AN ACT relating to maternal health. AN ACT relating to the taxation of certain BR117 - Senator C.B. Embry Jr. Amend KRS 211.680 to expand services. (8/20/2019) the scope of the legislative intent and findings; Amend KRS 139.200 to exclude amend KRS 211.684 and KRS 211.686 to require mowing, fence cleaning, and other pasture AN ACT relating to the taxation of pension the existence of the state and local child and maternal maintenance services performed on agricultural or income. fatality review teams; create new sections of KRS horticultural land for a farmer or retired farmer from Amend KRS 141.019 to increase Chapter 211 to require licensed health facilities under landscaping services; EFFECTIVE August 1, 2020. the pension income exclusion from $31,110 to KRS Chapter 216B to provide each patient with (Prefiled by the sponsor(s).) $41,110. written information regarding the patient’s rights; (Prefiled by the sponsor(s).) define terms; require health facilities licensed under BR105 - Representative Danny Bentley KRS 216B to implement an evidence-based implicit (6/4/2019) BR118 - Senator C.B. Embry Jr. bias program for all health providers involved in (9/5/2019) the perinatal care of patients within those facilities; AN ACT relating to prescription insulin. require the Department for Public Health to track Amend KRS 304-17A.148 to cap AN ACT relating to solid waste. data on maternal death and severe morbidity; require the cost sharing requirements for prescription insulin Amend KRS 224.40-310 to modify Medicaid reimbursement for the services of a at $100 per 30 day supply; EFFECTIVE January 1, the definition of “waste disposal facility” to specify qualified doula and require a report to be submitted to 2021. that all residual landfills are included in the process the Legislative Research Commission annually. (Prefiled by the sponsor(s).) of local determination and remove the exception for (Prefiled by the sponsor(s).) private facilities that dispose of waste on their own BR107 - Representative Attica Scott private property; amend KRS 224.40-315 to remove BR94 - Senator John Schickel (7/11/2019) the exception for private facilities that dispose of (6/4/2019) their own waste on their own property from the AN ACT relating to an exemption of requirements to obtain approval from local governing AN ACT relating to criminal damage to feminine hygiene products from sales and use body when a municipal solid waste disposal facility rental property. taxation. seeks to expand or construct a facility. Create a new section of KRS Amend KRS 139.010 to define (Prefiled by the sponsor(s).) Chapter 512 to specify that a tenant who, having no feminine hygiene products; amend KRS 139.480 to right to do so or any reasonable ground to believe that exempt from sales and use tax the sale or purchase of BR119 - Senator C.B. Embry Jr. he or she has such right, intentionally or wantonly feminine hygiene products; apply to sales or purchases (8/20/2019) defaces, destroys, or damages residential rental made after August 1, 2020, but before August 1, property is to be charged with violating KRS 512.020, 2024; require Department of Revenue to report to AN ACT relating to road safety. 512.030, or 512.040 as appropriate. the Interim Joint Committee on Appropriations and Amend KRS 512.070 to include, (Prefiled by the sponsor(s).) Revenue the amount of exemptions claimed. as criminal littering, permitting unsafe amounts of (Prefiled by the sponsor(s).) leaves or mowed grass to remain on a highway. BR97 - Representative Susan Westrom (Prefiled by the sponsor(s).) (11/18/2019) BR109 - Representative Regina Huff (9/25/2019) BR120 - Representative Steve Riley, Representative AN ACT relating to interpersonal protective Jason Nemes, Representative Rob Wiederstein, orders. Direct the Transportation Cabinet Representative Lisa Willner Amend KRS 456.030 to provide to designate mile-point 22 on Interstate 75, in (7/9/2019) that a mental health professional or clergy person Whitley County as the “Veterans Suicide Memorial who provides pastoral care and who is a victim of Mile”; erect the appropriate signage denoting this AN ACT relating to corporal punishment in stalking or assault by a patient may petition for an designation. schools. interpersonal protective order; and amend KRS (Prefiled by the sponsor(s).) Create a new section of KRS 456.010 to include definitions to clarify. 158.440 to 158.449 to define “corporal punishment”; (Prefiled by the sponsor(s).) prohibit a person employed by a school district from

60 2019 Interim LEGISLATIVE RECORD using corporal physical discipline; amend KRS behavior to include notification procedures for BR136 - Representative Robert Goforth, 158.444 to remove corporal punishment as a form of parents in situations of alleged bullying; require Representative Joe Graviss, Representative Jason discipline in a school; amend KRS 503.110 to remove the school district’s code of acceptable behavior to Nemes, Representative Steve Sheldon, Representative the exception that permitted the use of physical force include procedures for restoring a student’s sense of Jim Stewart III by a teacher against a minor. safety. (8/1/2019) (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) AN ACT relating to school bus safety and BR121 - Representative Steve Riley BR127 - Representative making an appropriation therefor. (7/19/2019) (7/9/2019) Create a new section of KRS Chapter 160 to define “owner,” “recorded images,” AN ACT relating to long-term care AN ACT proposing an amendment to “school bus stop arm camera,” and “third party administrators. Section 170 of the Constitution of Kentucky relating designee”; create a new section of KRS Chapter 160 Amend KRS 216A.070 to extend to exemptions from taxation. to require each local school district to install and temporary permits from a period not to exceed 6 Propose to amend Section 170 maintain school bus stop arm cameras on daily route months to 9 months. of the Constitution of Kentucky to exempt certain school buses by August 1, 2023; allow districts to (Prefiled by the sponsor(s).) veterans’ organizations from property taxation; contract for purchase and maintenance of cameras; provide ballot question with proposed amendment; allow districts to contract for the processing of an BR124 - Representative Regina Huff submit to voters for ratification or rejection. alleged violation of KRS 189.370(1); require school (9/25/2019) (Prefiled by the sponsor(s).) districts to establish procedures or contract with a third-party designee prior to utilizing school bus AN ACT relating to bus safety. BR132 - Senator Reginald Thomas stop arm cameras; provide an emergency exception Amend KRS 186.560 to allow the (8/20/2019) to the stop arm requirement; permit school districts Transportation Cabinet to revoke the license of any with a population density equal to or less than 100% operator of a motor vehicle for a period of 90 days, AN ACT relating to wages. of the state average to apply for special permission upon receiving record of his or her conviction of Amend KRS 337.010 to increase to suspend the stop arm requirement for up to five illegally passing a school or church bus as outlined in the applicable threshold of employees of retail years; establish requirements for school districts KRS 189.370; amend KRS 189.370 to conform. stores and service industries from $95,000 to granted special permission to suspend the stop (Prefiled by the sponsor(s).) $500,000 average annual gross volume of sales for arm requirement; require the Kentucky Board of the employer; amend KRS 337.275 to raise the state Education to promulgate administrative regulations; BR125 - Representative Michael Lee Meredith, minimum wage to $8.20 per hour on July 1, 2020, create a new section of KRS Chapter 160 to establish Representative Patti Minter, Representative Tim $9.15 per hour on July 1, 2021, $10.10 per hour on annual on-site compliance inspections for school Moore, Representative Jason Petrie, Representative July 1, 2022, $11 per hour on July 1, 2023, $12.05 per districts and penalties for noncompliance; create a Phillip Pratt, Representative Melinda Prunty, hour on July 1, 2024, $13.10 per hour on July 1, 2025, new section of KRS Chapter 174 to define “’owner,” Representative Brandon Reed, Representative Steve $13.95 per hour on July 1, 2026, and $15 per hour on “school bus stop arm camera”, and “third-party Riley, Representative Bart Rowland, Representative July 1, 2027, and to raise the state minimum wage for designee”; require the Transportation Cabinet or Steve Sheldon, Representative Wilson Stone, tipped employees to $2.13 per hour on the effective third-party designee to review images for violations Representative Walker Wood Thomas, Representative date of the Act, $3.05 per hour on July 1, 2021, $3.95 of KRS 189.370(1) recorded by school bus stop arm Ken Upchurch per hour on July 1, 2022, and $4.90 per hour on July cameras after July 1, 2021, and issue civil citations (7/9/2019) 1, 2023; include anti-preemption language permitting for violations; establish civil penalties for a violation local governments to establish minimum wage of KRS 189.370 recorded by a school bus stop arm AN ACT relating to the Bowling Green ordinances in excess of the state minimum wage. camera after July 1, 2021; require the Transportation Veterans Center, making an appropriation therefor, (Prefiled by the sponsor(s).) Cabinet to adopt a uniform civil citation form and and declaring an emergency. establish the form’s minimum contents; establish Appropriate to the Department of BR133 - Representative Regina Huff notification requirements; require a recipient ofa Veterans’ Affairs $2,500,000 from the General Fund in (6/12/2019) uniform civil citation to pay civil penalty or submit fiscal year 2019-2020 for design and preconstruction proof of a criminal citation or appeal the uniform costs for the Bowling Green Veterans Center; AN ACT relating to road safety. civil citation to the Transportation Cabinet within stipulate that appropriations in this Act shall be paid Amend KRS 512.070 to include, 30 days; grant the Transportation Cabinet appellate from the General Fund Surplus Account or the Budget as criminal littering, permitting unsafe amounts of powers and authority; establish potential defenses Reserve Trust Fund Account; APPROPRIATION; mowed grass to remain on a highway. the Transportation Cabinet may consider for uniform EMERGENCY. (Prefiled by the sponsor(s).) civil citations; allow for suspension of registration (Prefiled by the sponsor(s).) for failure to pay a fine, require third- party designee BR135 - Representative Cherlynn Stevenson to notify the Transportation Cabinet of the need BR126 - Representative Josie Raymond (11/18/2019) to release a suspension within 1 business day of (7/22/2019) payment; appropriate 80 percent of funds collected AN ACT relating to cruelty to animals. by the Transportation Cabinet for a uniform civil AN ACT relating to bullying. Amend KRS 525.130 to require citation to the school district; allow a third-party Amend KRS 158.148 to include forfeiture of animals subjected to cruelty, and make designee to keep up to 80 percent of funds but no incidents that occur at non-school-sponsored events technical changes. more than $160 per civil penalty collected by a or through the use of technology in the definition of (Prefiled by the sponsor(s).) third party designee; appropriate 10 percent of all bullying; require a school district’s code of acceptable funds collected from a uniform civil citation to the THE KENTUCKY GENERAL ASSEMBLY 61 Kentucky Department of Education; appropriate 10 BR143 - Representative Lynn Bechler BR155 - Representative Dean Schamore percent of all funds collected from a uniform civil (9/9/2019) (12/11/2019) citation to the Transportation Cabinet; appropriate any remaining funds collected by a third party AN ACT relating to child abuse and AN ACT proposing an amendment to designee to the local school district; provide that a declaring an emergency. Sections 30, 31, and 32 of the Constitution of uniform civil citation shall not result in points against Amend KRS 500.050 to remove Kentucky relating to terms of members of the General a driving record; require the Transportation Cabinet the five-year statute of limitations for misdemeanor Assembly. to promulgate administrative regulations necessary sex offenses against minors and allow prosecution Propose to amend Sections 30 and to effectuate the purpose of administering stop arm to be commenced at any time; amend KRS 413.249 31 of the Constitution of Kentucky to elect Senators camera use, enforcement, and calibration; amend KRS to remove the ten-year statute of limitations for civil for terms of six years beginning in November, 2022, 189.990 to appropriate 80 percent of funds collected actions arising from childhood sexual assault or abuse for even-numbered Senatorial districts and beginning from criminal fines levied by law enforcement for and allow a suit to be commenced at any time; amend in November, 2024, for odd-numbered Senatorial violation of KRS 189.370 to the local school district, KRS 620.030, relating to the requirement to report districts, and Representatives for terms of four years 10 percent to the Kentucky Department of Education, child abuse, to limit the clergy-penitent exemption beginning in November, 2022; propose to amend and 10 percent to local law enforcement. and make any person who intentionally fails to report Section 32 of the Constitution of Kentucky to prevent (Prefiled by the sponsor(s).) guilty of a Class D felony; amend KRS 620.050, Senators from serving more than two consecutive relating to the reporting of child abuse, to limit the six-year terms of office, and prevent Representatives BR137 - Representative Kim King clergy-penitent exemption; provide for severability; from serving more than three consecutive four-year (11/26/2019) EMERGENCY. terms of office, beginning with those elected in (Prefiled by the sponsor(s).) November 2022; allow legislators to resume service AN ACT proposing an amendment to in the chamber from which they were term-limited Section 42 of the Constitution of Kentucky relating to BR151 - Representative Rob Rothenburger after a full term of office has elapsed; provide ballot compensation for members of the General Assembly. (11/18/2019) language; submit to voters for ratification or rejection. Propose to amend Section 42 of the (Prefiled by the sponsor(s).) Constitution of Kentucky to prohibit members of the AN ACT relating to emergency medical General Assembly from receiving legislative pay for service fees and declaring an emergency. BR160 - Representative Kevin Bratcher, a special session that has been called by the Governor Create a new section of KRS Representative Joe Graviss because the General Assembly adjourned without Chapter 67 to allow a fiscal court to levy a fee on (7/11/2019) passing a state budget; ballot language; submit to the certain units for the provision of emergency medical voters for ratification or rejection. services; define units subject to fee; require fee to AN ACT relating to state symbols. (Prefiled by the sponsor(s).) be placed on tax bill; allow collection by sheriff Create a new section of KRS in the same manner as for property taxes; allow Chapter 2 to name and designate as the official pets BR139 - Representative Kim King sheriff to receive up to 4.25% fee for collection; of Kentucky domestic cats and dogs that reside in or (6/14/2019) define “residential,” “commercial,” “charitable,” have been adopted from Kentucky animal shelters or and “educational” units; allow levy on occupied or rescue organizations. AN ACT relating to assistance dogs. unoccupied units or both, occupation determined at (Prefiled by the sponsor(s).) Amend KRS 258.500 to prohibit time of initial levy and July 1 thereafter; require fee the misrepresentation of assistance dogs; allow increases to be imposed by ordinance; require fees BR173 - Representative Cherlynn Stevenson peace officers to investigate; amend KRS 258.991 to collected to be placed in separate fund, used only for (11/18/2019) conform and to remove outdated references. provision of emergency medical services; specify (Prefiled by the sponsor(s).) that fees are not to be in lieu of any taxes or fees AN ACT relating to the safety of canines established for the provision of emergency medical and felines. BR140 - Senator John Schickel services; EMERGENCY. Create a new section of KRS (11/21/2019) (Prefiled by the sponsor(s).) Chapter 411 to provide civil immunity for damaging a vehicle if a person enters the vehicle with the Adjourn in honor and loving BR154 - Representative Dean Schamore reasonable, good-faith belief that a dog or cat is in memory of Joy Lee Brady Meiman. (12/11/2019) immediate danger of death if not removed. (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) AN ACT relating to the recall of elected BR141 - Senator Ralph Alvarado officials. BR174 - Representative Cherlynn Stevenson (12/3/2019) Create a new section of KRS (11/18/2019) Chapter 63 establishing a procedure for the recall of AN ACT relating to absentee voting. any elected sheriff, jailer, constable, or peace officer; AN ACT relating to the reporting of animal Amend KRS 117.085 to include amend KRS 63.990 to include a criminal penalty for abuse. essential service personnel as an eligible class of giving money or anything of value in exchange for a Amend KRS 321.185 to specify persons who may request and cast an in-person or signature on a petition. that a veterinarian shall not be subject to discipline mail-in absentee ballot; define “essential service (Prefiled by the sponsor(s).) when acting in good faith to report, provide personnel”; make technical corrections. information about, or testify on a suspected animal (Prefiled by the sponsor(s).) abuse violation prohibited by KRS 525.125, 525.130, 525.135, or 525.137. (Prefiled by the sponsor(s).)

62 2019 Interim LEGISLATIVE RECORD relating to preexisting condition exclusions; repeal BR184 - Senator Jimmy Higdon, Senator Ernie BR176 - Senator Danny Carroll and reenact KRS 304.17A-230 to define “preexisting Harris, Senator Robert Stivers II (7/22/2019) condition exclusion”; prohibit health benefit plans in (11/5/2019) any market from imposing any preexisting condition AN ACT relating to road safety. exclusion; amend KRS 304.17A-155, 304.17A- AN ACT relating to transportation and Amend KRS 512.070 to include, 250, 304.17A-430, 304.17A-706, 304.17B-001, making an appropriation therefor. as criminal littering, permitting unsafe amounts of 304.17B-019, and 304.18-114 to conform; provide Create new sections of KRS Chapter mowed grass to remain on a highway. that provisions of Act apply to all health benefit 174 to establish the Kentucky Transportations Board; (Prefiled by the sponsor(s).) plans issued or renewed on or after January 1, 2021; set forth membership, appointment, qualifications, EFFECTIVE January 1, 2021. and duties; outline board duties in relation to BR178 - Representative Attica Scott (Prefiled by the sponsor(s).) nomination and employment of the Transportation (9/11/2019) Cabinet secretary; require the board to establish a BR181 - Representative Brandon Reed, statewide prioritization process for the use of funds AN ACT relating to taxation. Representative Bart Rowland, Representative Danny apportioned pursuant to 23 U.S.C. sec. 104, with Amend KRS 139.010 to define Bentley, Representative John Blanton, Representative some exceptions; identify 5 factors that form the “diapers”; amend KRS 139.480 to exempt from sales Randy Bridges, Representative John Bam Carney, basis for the objective scoring: congestion mitigation, and use tax the sale or purchase of diapers, breast Representative Larry Elkins, Representative Daniel economic development, accessibility. safety, and pumps, and certain baby products; provide that the Elliott, Representative Chris Freeland, Representative asset management; allow the board to weight factors exemptions apply to sales or purchases made after Robert Goforth, Representative Mark Hart, differently in each highway district; require the board August 1, 2020, but before August 1, 2024; require Representative Regina Huff, Representative Thomas to develop the biennial highway construction plan the Department of Revenue to report to the Interim Huff, Representative Stan Lee, Representative Derek and six-year road plan; require advanced publication Joint Committee on Appropriations and Revenue the Lewis, Representative C. Ed Massey, Representative of recommended projects for the biennial highway amount of exemptions claimed. Bobby McCool, Representative David Meade , construction plan and six-year road plan scored (Prefiled by the sponsor(s).) Representative Michael Lee Meredith, Representative under the objective system, along with data regarding Phillip Pratt, Representative Steve Riley, the scoring process; require advanced publication BR179 - Representative Jerry Miller Representative Dean Schamore, Representative Steve of bridge and pavement maintenance projects (9/9/2019) Sheldon, Representative John Sims Jr, Representative recommended for inclusion in the biennial highway Tommy Turner, Representative Ken Upchurch, construction plan and six-year road plan; amend KRS AN ACT relating to the promotion of living Representative Russell Webber 176.430 to require the board to develop the biennial donor human organ and bone marrow donation. (7/1/2019) highway construction plan and six-year road plan; Create a new section of KRS require the Department of Highways to notify the Chapter 18A to allow full-time employees of AN ACT relating to time. General Assembly, through the LRC, of any projects the Commonwealth of Kentucky a paid leave of Create a new section of KRS in the biennial highway construction plan which the absence of 240 hours for donating a human organ Chapter 2 to adopt year-round daylight saving department will not undertake in the year prescribed and 40 hours for donating bone marrow and to set time in the state of Kentucky if authorized by the in the plan; amend KRS 48.110 to require the board requirements for the paid leave of absence; amend United States Congress; EFFECTIVE upon the first to approve the biennial highway construction plan KRS 141.010 to define “human organ” and “qualified Sunday of November following passage of enabling and six-year road plan before the Governor can organ donation expenses”; amend KRS 18A.025 and legislation by Congress. submit the plan to the General Assembly; amend 18A.110 to conform; amend KRS 141.019 to allow (Prefiled by the sponsor(s).) KRS 176.050 to require the Department of Highways a tax deduction in an amount equal to the qualified to issue an annual list of bridge and pavement organ donation expenses incurred by a taxpayer up to BR182 - Senator Danny Carroll improvement needs, prioritized by safety and state of $10,000 and require reporting by the Department of (8/20/2019) disrepair, from which the board will select projects Revenue; amend KRS 131.190 to allow the Kentucky for inclusion in the biennial highway construction Department of Revenue to report organ donation AN ACT relating to assisted-living plan and six-year road plan; amend KRS 45.247 to tax deduction data to the Legislative Research communities. require that at the end of each fiscal year, any moneys Commission. Create a new section of KRS in the highway construction contingency account in (Prefiled by the sponsor(s).) 194A.700 to 194A.729 to prohibit certification or excess of 10% of the amount appropriated to that fund certification renewal of an assisted-living community for that fiscal year will lapse to the state construction BR180 - Representative Patti Minter if it is owned, managed, or operated by any person account; amend KRS 174.020 to attach the Kentucky (7/3/2019) convicted of certain crimes or listed on an abuse list; Transportation Board to the Transportation Cabinet exempt owner of an assisted-living facility certified Office of the Secretary for administrative purposes; AN ACT relating to mandatory benefits for as of July 1, 2020; amend KRS 194A.700 to amend set forth staggered terms for initial appointments to health benefit plans. definitions; amend KRS 194A.707 to make changes the board. Amend KRS 304.17A-200 to to the appeals and renewal processes; amend KRS (Prefiled by the sponsor(s).) extend health-status eligibility rules to individual and 194A.717 to prohibit on-site staff person from employer-organized association markets; authorize being shared with another level of care; amend KRS BR185 - Representative Steve Sheldon insurance commissioner to designate additional 194A.723 to permit the cabinet to initiate injunctive (12/13/2019) health status-related factors; prohibit adjustment of relief in Circuit Court. premium or contribution amounts for group health (Prefiled by the sponsor(s).) AN ACT relating to exemptions from fees benefit plans on the basis of genetic information; for operator’s licenses and personal identification amend KRS 304.17A-220 to remove requirements THE KENTUCKY GENERAL ASSEMBLY 63 cards. the Arts Education Equity Act. amend KRS 186.452, 186.454, and 189.2327 to Amend KRS. 186.531 to waive (Prefiled by the sponsor(s).) conform; repeal KRS 189.294. fees for vehicle operator’s licenses, identification (Prefiled by the sponsor(s).) cards, and other forms of travel identification for BR204 - Representative Jim Gooch Jr. certain disabled veterans. (8/29/2019) BR214 - Senator John Schickel (Prefiled by the sponsor(s).) (11/21/2019) AN ACT relating to key infrastructure asset. BR187 - Representative Charles Booker Amend KRS 511.100 to change Honor Pat Rosel upon his (7/22/2019) the definition of “key infrastructure assets” to specify retirement as baseball coach at Ryle High School. that natural gas or petroleum pipelines are the type (Prefiled by the sponsor(s).) AN ACT relating to carrying concealed of pipelines covered in the definition and include weapons. other types of infrastructure assets; amend KRS BR215 - Representative Regina Huff Repeal KRS 237.109, which 512.020 to include tampering with, impeding, or (8/5/2019) provides authorization to carry concealed deadly inhibiting operations of a key infrastructure asset in weapons without a license; amend KRS 527.020 and the offense of criminal mischief in the first degree; AN ACT relating to the taxation of pension 237.115 to conform. create a new section of KRS 411 that a civil action income, making an appropriation therefor, and (Prefiled by the sponsor(s).) may be maintained against a person that compensates declaring an emergency. or remunerates a person to violate KRS 512.020 and Amend KRS 141.019 to increase BR197 - Representative Regina Huff the compensated person is convicted of criminal the pension income exclusion from $31,110 to (12/2/2019) mischief in the first degree. $41,110; apply retroactively for taxable years (Prefiled by the sponsor(s).) beginning on or after January 1, 2018; require the AN ACT relating to the reporting of statistics Department of Revenue to automatically issue involving domestic violence. BR205 - Senator C.B. Embry Jr. refunds; APPROPRIATION; EMERGENCY. Amend KRS 17.153 on annual (8/20/2019) (Prefiled by the sponsor(s).) crime reporting to require the State Police to collect certain statistics on homicides when domestic AN ACT relating to veterinarians. BR218 - Representative Danny Bentley, violence is a circumstance of the offense. Creates a new section of KRS Representative Steve Sheldon (Prefiled by the sponsor(s).) Chapter 321 to require that a veterinarian report (11/20/2019) abuse and to allow immunity for a good faith report; BR198 - Senator John Schickel amends KRS 321.185 to allow veterinarians to AN ACT relating to qualified mental health (11/21/2019) release information in order to report abuse. professionals. (Prefiled by the sponsor(s).) Amend KRS 202A.011 to expand Honor Lisa Raterman upon the the definition of qualified mental health professional occasion of her retirement. BR206 - Senator C.B. Embry Jr. to include a licensed pharmacist who is board certified (Prefiled by the sponsor(s).) (8/20/2019) as a psychiatric pharmacist. (Prefiled by the sponsor(s).) BR203 - Representative Mark Hart AN ACT relating to solid waste. (8/20/2019) Amend KRS KRS 68.178 to BR221 - Senator Phillip Wheeler delete incidental or residual waste facilities from the (10/7/2019) AN ACT relating to arts education. exclusion in the description of waste management Create a new section of KRS facilities; allow fiscal courts to license solid waste AN ACT relating to prescription insulin. Chapter 158 to require schools to offer all students landfills and residual landfills and assess increased Amend KRS 304.17A-148 to cap instruction in the visual and performing arts, submit fees for accepting wastes outside of the waste the cost-sharing requirements for prescription insulin an annual report to the Department of Education, planning area; amend KRS 224.40-315 to delete the at $100 per 30-day supply; create a new section and implement school policies regarding visual and exclusions from the definition of “municipal solid of KRS Chapter 315 to require pharmaceutical performing arts instruction; require the Department waste disposal facility.” manufacturers and wholesale distributors to rebate of Education to develop visual and performing arts (Prefiled by the sponsor(s).) individuals for a portion of their out-of-pocket program standards, guidelines on model programs, expenses paid for prescription insulin; EFFECTIVE and strategies and initiatives for meeting the BR212 - Representative Regina Huff January 1, 2021. requirements of the section; require the Department (10/2/2019) (Prefiled by the sponsor(s).) of Education to provide resources, assessment tools, and a reporting checklist to schools; require the AN ACT relating to operating a motor BR222 - Senator Phillip Wheeler Department of Education to report to the Interim Joint vehicle. (12/5/2019) Committee on Education by December 1, 2021, on Amend KRS 189.292 to provide the status of schools meeting the requirements of this that no person shall use a personal communication AN ACT relating to insulin assistance and section; amend KRS 158.6453 to require the school device or stand-alone electronic device while making an appropriation therefor. profile report to be included in the school report card operating a motor vehicle; set forth exceptions; Create new sections of KRS and require the visual and performing arts program provide that persons under the age of 18 shall not Chapter 315 to define terms; establish the insulin data to be included in the school profile report; amend use a personal communications device while driving, assistance program; establish the process by which KRS 160.345 and 158.153 to conform; cite the Act as except for emergencies; amend KRS 189.990 to set individuals may qualify for the program; establish forth penalties for the violation of KRS 189.292; the process by which pharmacies may voluntarily

64 2019 Interim LEGISLATIVE RECORD participate in the program; establish an insulin product “principal,” “professional sports contest,” “sports with the Kentucky Gaming Commission; amend fee; establish reporting requirements; establish the wager,” and “sports wagering”; create the Kentucky KRS 154A.420 to include sports wagering and insulin assistance fund; authorize the Kentucky Gaming Commission; establish membership to be permit the Lottery Corporation to require a retailer Board of Pharmacy to promulgate administrative appointed by the Governor with the advice and to establish separate sports wagering electronic funds regulations necessary to carry out the provisions of consent of the Senate; establish the commission’s transfer accounts; amend KRS 154A.430, 154A.440, this Act; APPROPRIATION. responsibilities and authority; require the Governor 154A.600, and 154A.650 to include sports wagering; (Prefiled by the sponsor(s).) to appoint an executive director and establish the amend KRS 230.225 to permit the Kentucky Horse executive director’s responsibilities; require the Racing Commission to oversee sports wagering at BR224 - Representative James Tipton commission to promulgate administrative regulations licensed racing associations; amend KRS 230.370 (11/12/2019) relating to sports wagering conducted by the to require administrative regulations relating to Kentucky Lottery Corporation, racing associations sports wagering to be developed in consultation with AN ACT relating to dually employed licensed under KRS Chapter 230, and other the Kentucky Gaming Commission; amend KRS retirement system members. locations; establish licensing fees; prohibit persons 243.500 to exempt the conduct of sports wagering Amend KRS 61.545 to provide from wagering on an event in which they are a licensed or permitted under KRS Chapter 239; amend that if a member is working in a regular full- participant; establish the sports wagering distribution KRS 12.020 to administratively attach the Kentucky time hazardous duty position that participates in trust fund and the uses of the fund; establish penalties Gaming Commission to the Public Protection the Kentucky Employees Retirement System or for tampering with the outcome of a sporting event Cabinet. the County Employees Retirement System and is and wagering on a sporting event by a participant; (Prefiled by the sponsor(s).) simultaneously employed in a nonhazardous position create a new section of KRS Chapter 138 to impose that is not considered regular full-time, the member an excise tax on sports wagering at 25 percent of BR237 - Representative Kathy Hinkle, shall participate solely as a hazardous duty member net sports wagering receipts; amend KRS 138.1817 Representative Rocky Adkins, Representative and shall not participate under the nonhazardous to permit the Department of Revenue to work with Charles Booker, Representative Jeffery Donohue, position unless he or she makes an election within the commission to restrict licensure in the event Representative Derrick Graham, Representative Joe 30 days of taking employment in the nonhazardous that sports wagering taxes are not paid; amend KRS Graviss, Representative Chris Harris, Representative position; amend KRS 61.680 to conform; specify 154A.010 to revise the definition of “amateur sports , Representative Nima Kulkarni, that provisions shall only apply to prospective contest,” and to define “collegiate sports contest,” Representative Maria Sorolis, Representative nonhazardous employment occurring on or after the “professional sports contest,” “sports wager,” and Cherlynn Stevenson, Representative Buddy effective date of the Act. “sports wagering”; amend KRS 154A.030 to conform Wheatley, Representative Rob Wiederstein (Prefiled by the sponsor(s).) and to prohibit the director or family member from (8/21/2019) being a part owner of a professional team or a board BR231 - Representative Attica Scott member of a college or university that engages in AN ACT relating to wages. (7/26/2019) collegiate sports upon which sports wagers may Amend KRS 337.010 to increase be placed; amend KRS 154A.050 to include sports the applicable threshold of employees of retail AN ACT relating to discriminatory practices wagering; amend KRS 154A.060 to include sports stores and service industries from $95,000 to against a person. wagering and to include contracts for the purchase $500,000 average annual gross volume of sales for Amend KRS 344.010 to provide of goods and services necessary for sports wagering; the employer; amend KRS 337.275 to raise the state definitions of “protective hairstyle” and “race” that require monthly and annual reports to be submitted minimum wage to $8.20 per hour on July 1, 2020, include traits historically associated with race. to the Kentucky Gaming Commission; amend KRS $9.15 per hour on July 1, 2021, $10.10 per hour on (Prefiled by the sponsor(s).) 154A.063 to permit sports wagering on collegiate and July 1, 2022, $11 per hour on July 1, 2023, $12.05 per professional sports contests; amend KRS 154A.065 to hour on July 1, 2024, $13.10 per hour on July 1, 2025, BR233 - Representative Attica Scott prohibit accepting sports wagers on the outcomes of $13.95 per hour on July 1, 2026, and $15 per hour on (8/20/2019) contests involving horses; amend KRS 154A.070 to July 1, 2027, and to raise the state minimum wage for include sports wagering and require contracts to be in tipped employees to $2.13 per hour on the effective AN ACT relating to cosmetic services. accord with administrative regulations of the Lottery date of the Act, $3.05 per hour on July 1, 2021, $3.95 Amend KRS 317A.155 to permit Corporation and the Kentucky Gaming Commission; per hour on July 1, 2022, and $4.90 per hour on July a cosmetologist, esthetician, or nail technician to amend KRS 154A.090 to stipulate that sports 1, 2023; include anti-preemption language permitting operate outside of a licensed establishment for wagering retailers aggrieved by a decision of the board local governments to establish minimum wage persons with physical mobility limitations, as attested may appeal to the Kentucky Gaming Commission; ordinances in excess of the state minimum wage. by a physician in writing, or for persons residing in amend KRS 154A.110 to include sports wagering; (Prefiled by the sponsor(s).) a long-term care nursing facility or assisted living stipulate that unclaimed sports wagering prize facility. money be added to the sports wagering distribution BR239 - Representative Lynn Bechler (Prefiled by the sponsor(s).) trust fund; to prohibit sports wagers from being (12/9/2019) accepted from members or coaches of professional BR236 - Senator Julian Carroll or collegiate team; amend 154A.120 to include sports AN ACT prohibiting the payment of public (8/20/2019) wagering; amend KRS 154A.130 to specify net agency funds to any entity that performs, induces, sports wagering receipts collected by lottery to be refers for, or counsels in favor of abortions. AN ACT relating to sports wagering and used for expenses and moneys in excess of expenses Amend KRS 311.715 to provide making an appropriation therefor. shall be dedicated to the sports wagering distribution that public agency funds shall not be paid to any Establish KRS Chapter 239 and trust fund; amend KRS 154A.400 to include sports entity, organization, or individual that performs, create new sections to define “amateur athletics,” wagering and stipulate the criteria for selecting sports induces, refers for, or counsels in favor of abortions; “collegiate sports contest,” “commission,” wagering retailers shall be developed in consultation establish exceptions. THE KENTUCKY GENERAL ASSEMBLY 65 (Prefiled by the sponsor(s).) BR258 - Representative Derek Lewis BR247 - Representative Matthew Koch (9/10/2019) BR240 - Representative Lynn Bechler, Representative (8/16/2019) Brandon Reed, Representative Danny Bentley, AN ACT relating to hunting coyotes. Representative Myron Dossett, Representative AN ACT relating to property taxes for Amend KRS 150.360 to require Joseph Fischer, Representative Chris Fugate, veteran service organizations. the administrative regulations promulgated by the Representative Robert Goforth, Representative Create a new section in KRS Department of Fish and Wildlife Resources relating David Hale, Representative Richard Heath, Chapter 132 to exempt veteran service organizations to the hunting of coyotes at night to: require hunters Representative Thomas Huff, Representative Kim from ad valorem taxation if over fifty percent of the to carry a hunting license, unless license-exempt, King, Representative Bobby McCool, Representative organization’s annual net income is expended on allow the use of electronic or mouth calls and decoys, Steve Sheldon, Representative Walker Wood Thomas, behalf of veterans and other charitable causes; amend specify which weapons may be used, prohibit hunting Representative Tommy Turner, Representative Ken KRS 132.010 to define veteran service organization; of coyotes at night on wildlife management areas Upchurch, Representative Les Yates apply to property assessed on or after January 1, or during any deer gun or muzzle loading season, (9/10/2019) 2021. prohibit hunting coyotes at any time from a road or (Prefiled by the sponsor(s).) motor vehicle; prohibit hunting coyotes at night using AN ACT relating to compliance with state white light, and place no bag limit on coyotes; and and federal law. BR251 - Representative Walker Wood Thomas amend KRS 150.395 to allow the hunting of coyotes Amend KRS 65.133 to require (11/12/2019) at night using only non-white light. local law enforcement agencies and Kentucky State (Prefiled by the sponsor(s).) Police to enforce immigration laws; create a new AN ACT relating to an exemption of income section of KRS Chapter 65 to define terms, including taxation for military pensions. BR263 - Representative Bobby McCool “sanctuary” and “sanctuary policy”; prohibit local Amend KRS 141.019 to exclude (8/21/2019) governments from adopting sanctuary policies; United States military retirees’ pension income from establish hearing procedures for determination of income taxation for taxable years beginning on or AN ACT relating to wage theft. sanctuary status; provide for the withholding of state after January 1, 2020, and before January 1, 2024; Create a new section of Chapter 514 funding from sanctuaries; create new sections of KRS require reporting by the Department of Revenue; to create the offense of theft of wages and establish Chapter 164 to prohibit postsecondary educational amend KRS 131.190 to conform. penalties; define employer and employee; amend institutions from enrolling employing or contracting (Prefiled by the sponsor(s).) KRS 336.080 to indicate the secretary may enter with illegal aliens; require postsecondary educational places of employment without unreasonable delay to institutions to keep records of immigration status; BR252 - Representative Walker Wood Thomas inspect a place of employment; amend KRS 337.020 provide for the withholding of state funding from (9/17/2019) to allow the commissioner to charge and collect past postsecondary educational institutions that enroll, due wages; amend KRS 337.070 to require certain employ, or contract with illegal aliens; limit who may AN ACT relating to the Kentucky employers to include rate of pay, the number of hours be considered a Kentucky resident for in-state tuition Community and Technical College System, worked, and the total amount of gross pay earned purposes; EFFECTIVE in part January 1, 2021. making an appropriation therefor, and declaring an on wage statements provided to employees; amend (Prefiled by the sponsor(s).) emergency. KRS 337.320 to require employers to keep record for Create a new section of KRS three years of the name, address, and occupation of BR241 - Representative Joseph Fischer Chapter 164 to establish the Kentucky Community each employee, the rate of pay and amount paid to (10/4/2019) and Technical College endowment match fund; each employee, a list of personnel policies provided transfer $3 million annually to the fund from general to the employees, and a copy of the wage statement AN ACT proposing an amendment to the fund; authorize promulgation of administrative provided to each employee; create a new section of Constitution of Kentucky relating to abortion. regulations. Chapter 337 to require employers to provide to an Propose to create a new section of (Prefiled by the sponsor(s).) employee a written notice at the time of hire that the Constitution of Kentucky to state that Kentucky’s sets forth the rate and method of pay, the employees Constitution does not secure or protect a right to BR257 - Senator Danny Carroll employment status, accruals of time, deductions that abortion or funding of abortion. (8/20/2019) may be made from pay, and the name and address (Prefiled by the sponsor(s).) of the employer, and require the employer to keep a AN ACT relating to employees of quasi- copy of the notice signed by the employee; amend BR246 - Representative Jim Glenn governmental agencies. KRS 337.990 to include a civil penalty for failure to (12/6/2019) Create a new section of KRS provide the written notice to employee and maintain Chapter 18A to allow state hiring preference for a copy of the signed notice. AN ACT relating to an exemption of income employees of quasi-governmental agencies ceasing (Prefiled by the sponsor(s).) for centenarians. participation in the Kentucky Retirement Systems; Amend KRS 141.019 to exclude require an employing state agency offer an interview BR269 - Representative Kimberly Moser from state income tax all income of any resident to all finalist entitled to preference unless five or more (12/2/2019) centenarian; require reporting by the Department of of the finalists are entitled to preference; require that Revenue; amend KRS 131.190 to conform; amend if more than five finalists are entitled to preference, AN ACT relating to public health, making an KRS 68.180, 68.197, 91.200, and 92.300 to exclude the employing state agency shall offer an interview to appropriation therefor, and declaring an emergency. all income of any centenarian from occupational no fewer than five. Create new sections of KRS license fees or taxes. (Prefiled by the sponsor(s).) 211.180 to 211.190 to establish definitions; establish (Prefiled by the sponsor(s).) the amount of funds to be allocated to and used

66 2019 Interim LEGISLATIVE RECORD by local health departments in Kentucky for be separate from other store and only carry cannabis, BR273 - Representative Tom Burch employment, services, and programs; amend KRS cannabis products, and cannabis accessories; create (11/18/2019) 194A.050, 211.180, 211.357, 211.976, 217.125, and requirements for child-proof packaging and labeling; 217.811 to establish new requirements of allowable establish procedures for license denial and a hearing AN ACT relating to voter registration. fees; APPROPRIATION; EMERGENCY. in accordance with KRS Chapter 13B; establish Amend KRS 116.045 to permit (Prefiled by the sponsor(s).) payments in lieu of suspension for licensees and a process of voter preregistration for persons at direct the funds to the permanent pension fund and the minimum age of 16 years; require the State BR270 - Senator Johnny Ray Turner the agency’s revolving trust and agency account; Board of Elections to promulgate administrative (8/15/2019) establish minimum age of twenty-one to use or buy regulations to provide for preregistration and cannabis and create status offense for minors under subsequent registration confirmation; amend KRS AN ACT relating to mining permits and eighteen; ban smoking cannabis in public; and 116.046 to direct schools and the county clerk to making an appropriation therefor. require signs in retail locations regarding minors and inform students and school personnel, not less than Create a new section of KRS the US Surgeon General’s statement on cannabis; once each school year, about the availability of Chapter 350 to require the Energy and Environment create new sections of KRS Chapter 138 to define preregistration and registration forms; direct the Cabinet to notify the Department of Workplace “cannabis”, “cannabis administrator”, and “cannabis State Board of Education to implement programs Standards of any applicant or permittee that may be product”; set wholesale tax rates and payment of public education, not less than once during each subject to the performance bonding requirements of schedules for cannabis cultivator and processor school year, regarding elections, voting procedures, KRS 337.200; create a new section of KRS Chapter licensees, allow local governments to impose up to and election fraud, which shall include sophomores; 337 to require the commissioner of the Department a 5% regulatory license fee on cannabis licensees in direct school districts to submit an annual report to the of Workplace Standards to notify the Energy and their territory; establish conditions for tax liability; Legislative Research Commission regarding student Environment Cabinet of any employer engaged impose civil penalties for tax violations; create a new voter preregistration and registration; amend KRS in the severance, preparation, or transportation of section of KRS Chapter 245 to set conditions for the 116.055 for technical corrections to conform; amend minerals that is not compliant with the performance cannabis tax rates effective July 1, 2026 and beyond; KRS 116.0455 to provide that each application for a bonding requirements of KRS 337.200; amend KRS amend KRS 2.015 to exempt cannabis from age of motor vehicle driver’s license shall be a simultaneous 350.085 to prohibit the approval of mining permit majority; amend KRS 42.205 to include licensing application for voter preregistration and registration applications for applicants that are not compliant and permit fees, payments in lieu of suspension, and unless declined by the applicant. with the requirements of KRS 337.200; amend KRS moneys from wholesale taxes to go to the permanent (Prefiled by the sponsor(s).) 350.130 to make compliance with the requirements pension fund and to be distributed quarterly to KERS of KRS 337.200 a condition of a mining permit nonhazardous and TRS funds; amend KRS 241.020 to BR274 - Senator Stephen Meredith issued under KRS Chapter 350 or the administrative include a Division of Cannabis in the Department of (12/9/2019) regulations promulgated thereunder; amend KRS Alcoholic Beverage Control; amend KRS 241.030 to 337.200 to remove references to liquidated damages add administrator of the Division of Cannabis; amend AN ACT proposing to amend Sections 30 and attorneys’ fees as provided by law; amend KRS KRS 241.060 to add supervision of the cultivation, and 31 of the Constitution of Kentucky relating to 337.994 to require that all penalties collected for processing, testing, and trafficking of cannabis to the elections of members of the General Assembly. violations of KRS 337.200 be paid to employees board’s duties; amend KRS 241.090 to add cannabis Propose to amend Sections 30 and injured by the employer’s failure to post the to search provisions; amend KRS 243.025 to direct 31 of the Constitution of Kentucky to increase the performance bond; APPROPRIATION. application fees for cannabis licenses into the agency number of years in a term for a Senator from four to (Prefiled by the sponsor(s).) revolving trust account; amend KRS 218A.1421 to six years and to increase the number of years in a term exempt cannabis licenses from trafficking statute; for a Representative from two to four years beginning BR272 - Representative Cluster Howard amend KRS 218A.1422 to exempt one ounce of with the regular election in November 2022; provide (12/9/2019) marijuana from possession statute; amend KRS ballot language; submit to the voters for ratification 218A.1423 to permit cannabis cultivator licensees or rejection. AN ACT relating to the regulation of and home grower permits to cultivate under their (Prefiled by the sponsor(s).) cannabis and making an appropriation therefor. license or permit; amend KRS 218A.500 to exclude Establish KRS Chapter 245 and cannabis accessories from drug paraphernalia; create BR275 - Senator Stephen Meredith create a section to define terms such as “cannabis a new section of KRS Chapter 431 to create process (8/20/2019) accessory”, “cannabis product”, “immature cannabis for expungement of marijuana misdemeanor charges plant”, “indoor cultivator”, “mature cannabis plant”, and to waive fees; amend KRS 431.079 to exclude AN ACT relating to Medicaid payments. and “outdoor cultivator”; create new sections of KRS need for certification of eligibility for expungement; Amend KRS 304.17A-527 to Chapter 245 to require cannabis to be tracked from amend KRS 131.1815 to include cannabis licensees require Medicaid managed care organizations to seed to consumer; establish license types, application in delinquent taxpayer statute; amend KRS 600.020 provide all payment schedules utilized to reimburse fees, and license fees, and to direct license fees to include cannabis offenses in the definition of health care providers with whom they have to the permanent pension fund; define sizes for status offense; amend KRS 12.020 to create Division maintained a contractual relationship for the previous cultivator license types; specify allowed transactions of Cannabis within the Department of Alcoholic three months to the Medicaid Oversight and Advisory for each license type; set parameters for the home Beverage Control. Committee on a quarterly basis for the committee’s grower permit; require the board to promulgate an (Prefiled by the sponsor(s).) review; create a new section of KRS Chapter 205 administrative regulation for license applications; to require that services provided in rural counties set license length at one year and allow the board be reimbursed at least at the median amount paid to establish renewal system; limit cannabis retail to an urban health care provider within the nearest locations to one for every two thousand three hundred metropolitan statistical area; establish a penalty that persons per county; require cannabis retail stores to goes to the underpaid provider. . THE KENTUCKY GENERAL ASSEMBLY 67 (Prefiled by the sponsor(s).) spirit of Kentucky. (12/12/2019) (Prefiled by the sponsor(s).) BR278 - Senator Stephen Meredith AN ACT relating to retirement costs for (8/20/2019) BR285 - Representative Jim DuPlessis Kentucky Retirement Systems employers, declaring (9/6/2019) an emergency, and making an appropriation therefor. AN ACT relating to Medicaid managed care Repeal, reenact, and amend KRS contracts. Urge Congress to require car manufacturers 61.565 to change the Kentucky Employees Retirement Create a new section of KRS to install safety features to help prevent children from System’s nonhazardous employer contribution Chapter 205 to limit the number of managed being left in hot cars. payable on or after July 1, 2020, from a percentage care organization (MCO) contracts to operate the (Prefiled by the sponsor(s).) of pay for both the normal cost contribution and the Medicaid program to three. actuarially accrued liability contribution to a normal (Prefiled by the sponsor(s).) BR288 - Representative Regina Huff cost that is a percent of pay and an actuarially accrued (9/25/2019) liability contribution that is a set dollar amount; provide BR279 - Senator Stephen Meredith that the set dollar amount for the actuarially accrued (12/9/2019) AN ACT relating to veterinarians. liability contribution for KERS nonhazardous funds Create a new section of KRS shall be allocated to each individual employer based AN ACT proposing to amend Sections 70, Chapter 321 to require that a veterinarian report upon the employer’s percent share of the liability as 72, 73, 74, 84, 85, 86, 87, 90, 91, and 95 and repeal suspected animal abuse to an animal control officer; of the June 30, 2019 actuarial valuation and shall be Section 82 of the Constitution of Kentucky relating to amend KRS 321.185 to allow veterinarians to report paid by employers in equal installments monthly; abolishing the Office of the Lieutenant Governor. suspected animal abuse. provide criteria for when adjustments to the dollar Propose to amend various sections (Prefiled by the sponsor(s).) value and percent share may occur; make technical, of the Constitution of Kentucky to abolish the clerical, and conforming amendments and to conform Office of the Lieutenant Governor beginning with BR290 - Representative David Osborne to a recent court decision; create a new section of the gubernatorial election in November 2023; to (11/15/2019) KRS Chapter 42 to establish the Kentucky retirement establish the President of the Senate as first in line contribution assistance fund; provide that the purpose for gubernatorial succession, or the Senate Minority AN ACT establishing the Direct Health Care of the fund shall be to assist health departments, Floor Leader if the Governor is of the same political Services and Research Facilities Operations Loan, community mental health centers, and certain other party as that of the minority political party in the making an appropriation therefor, and declaring an quasi-governmental employers in the ; establish the Speaker of the House as the emergency. Employees Retirement System with financial second in line for gubernatorial succession, or the Appropriate to the Cabinet for assistance in paying employer contribution rates House of Representatives’ Minority Floor Leader Economic Development General Fund moneys to the system; specify that funds shall be disbursed if the Governor is of the same political party as in the amount of $50,000,000 in fiscal year 2019- by the state budget director and provide criteria for that of the minority political party in the House of 2020 for the establishment and implementation disbursement; amend KRS 61.510 to confirm to a Representatives; eliminate the Attorney General’s and of the Direct Health Care Services and Research recent court decision as it relates to a definition used the Auditor of Public Accounts’ constitutional duties Facilities Operations Loan; set out parameters for the for purposes of KRS 61.565; provide that Kentucky regarding gubernatorial line of succession; repeal Direct Health Care Services and Research Facilities Retirement Systems shall amend the 2019 actuarial Section 82 of the Constitution of Kentucky relating Operations Loan; direct the University of Louisville valuation in accordance with the amendments to KRS to succession of Lieutenant Governor; provide ballot to provide an annual report detailing the status of any 61.565 in this Act and provide updated employer language; submit to the voters for ratification or loan agreement granted under the Direct Health Care contributions to the Governor and General Assembly; rejection. Services and Research Facilities Operations Loan for APPROPRIATION; EMERGENCY. (Prefiled by the sponsor(s).) as long as the loan is in effect; stipulate that authorized (Prefiled by the sponsor(s).) appropriations shall be paid from the General Fund BR282 - Senator Gerald Neal Surplus Account or the Budget Reserve Trust Fund BR297 - Senator John Schickel (12/12/2019) Account; APPROPRIATION; EMERGENCY. (8/20/2019) (Prefiled by the sponsor(s).) AN ACT relating to firearm storage. Proclaim September 2020 as Create a new section of KRS BR291 - Representative C. Ed Massey Prostate Cancer Awareness Month in Kentucky. Chapter 527 to make it a crime to unlawfully store a (11/15/2019) (Prefiled by the sponsor(s).) firearm; establish elements of the crime for recklessly allowing access to an unsecured firearm by a minor; AN ACT relating to First Responder BR300 - Representative Rob Wiederstein establish the crime as a Class B misdemeanor unless Recognition Day. (10/14/2019) a physical injury results, in which case it is a Class A Create a new section of KRS misdemeanor. Chapter 2 to designate the first Saturday of October AN ACT relating to adopting the most cost- (Prefiled by the sponsor(s).) of each year as “First Responder Recognition Day”; effective alternative in administrative regulations require the Governor to proclaim the date each year having a major economic impact on the Kentucky BR284 - Representative Jim Glenn and require state flags to be lowered on state public economy. (12/6/2019) buildings from sun-up to sun-down on that day. Create new sections of KRS (Prefiled by the sponsor(s).) Chapter 13A to establish requirements and procedures AN ACT relating to the state spirit. for an administrative regulation that constitutes Create a new section of KRS BR292 - Representative Jim DuPlessis, a major economic action; create the Regulatory Chapter 2 to designate bourbon as the official state Representative Steve Sheldon Economic Analysis Advisory Group to consult

68 2019 Interim LEGISLATIVE RECORD on these regulations; set the group’s membership, meeting that the preliminary inquiry fails to state a BR316 - Representative McKenzie Cantrell powers, and duties; require a promulgating agency to claim of an ethics violation; allow complaints to be (11/21/2019) provide listed documents to the group and the public filed against former legislators, former legislative at least 60 days before filing the regulation; direct agents, and former employers of legislative AN ACT relating to employment schedules. an agency to conduct and publish a detailed analysis agents for extended periods if they are related to Create new sections of KRS of any major economic action regulation, including discrimination, harassment, or sexual harassment; Chapter 337 requiring employers to give employees a cost-benefit analysis; establish filing requirements amend KRS 6.701 to include legislative branch a good-faith schedule of hours to be worked, to have for these regulations; require an agency to publicly employees in mandatory ethics education already a voluntary standby list of employees who wish to provide a framework for assessing the regulation; required for legislators; amend KRS 6.711 to remove work additional hours, to post weekly schedules at designate a short title of the “Kentucky Administrative the requirement that orientation courses be designed least 7 days in advance, and to provide certain rest Regulation Accountability Act of 2020”; amend KRS to receive continuing legal education ethics credit; periods for employees from being scheduled; allow 13A.010 to define a major economic action; amend amend KRS 6.716 to require the Legislative Ethics employees to identify time limitations for scheduling KRS 13A.030 to add a defective major economic Commission to administer a current issues seminar work hours; require compensation for employer action to the list of reasons a subcommittee may for legislative branch employees in addition to the changes to the schedule; set forth unlawful practices; find a regulation deficient; amend KRS 13A.3104 to existing requirement for legislators and to reduce the amend KRS 337.990 to establish a penalty for establish certification letter procedures for a major length of the current issues seminar for legislators violations. economic action regulation; stagger the initial terms from three to two hours; amend KRS 7.101 to require (Prefiled by the sponsor(s).) of the appointed members of the advisory group. the Legislative Research Commission to coordinate (Prefiled by the sponsor(s).) the development and presentation of a training course BR317 - Representative McKenzie Cantrell regarding workplace harassment for legislators with (11/21/2019) BR306 - Senator Reginald Thomas the assistance of the Legislative Ethics Commission. (12/11/2019) (Prefiled by the sponsor(s).) AN ACT relating to leave from employment for crime victims. AN ACT relating to health care services BR313 - Representative Kimberly Moser Amend KRS 337.415, relating to received at no-cost or reduced-cost health facilities (12/11/2019) court-ordered appearances by employees, to prohibit by persons covered under a health insurance policy. employers from discharging or retaliating against an Create a new section of Subtitle AN ACT relating to mental health first aid employee who is a crime victim when the employee 17A of KRS Chapter 304 to require health insurance training and making an appropriation therefor. takes leave to attend proceedings associated with policies not exempt from state regulation under Create a new section of KRS a crime; require an employee to give an employer federal law to apply the fair market value of covered Chapter 210 to establish the Kentucky Mental Health reasonable notice to take leave when practicable; health care services received by a covered person First Aid Training Program or similar program to be provide guidelines for use of paid leave; require the at a no-cost or reduced-cost health facility to any administered by the Cabinet for Health and Family employer to maintain confidentiality of records and deductible or out-of-pocket maximum owed by the Services, subject to appropriation by the General communication with employee crime victim; create a covered person under the policy; create a new section Assembly or funding from other sources; list penalty for failing to maintain confidentiality; define of Subtitle 17C of KRS Chapter 304 to apply those objectives of the training program; direct how grants terms. provisions to limited health service benefit plans, are to be awarded; require the cabinet to promulgate (Prefiled by the sponsor(s).) including limited health service contracts defined administrative regulations to implement the program; in KRS 304.38A-010; amend KRS 18A.225 to create the Kentucky Mental Health First Aid Training BR319 - Representative McKenzie Cantrell require the state employee health plan to comply; fund; require moneys from the fund to be used for the (11/21/2019) EFFECTIVE January 1, 2021. training program. (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) AN ACT relating to earned paid sick leave. Create a new section of KRS BR310 - Representative Kimberly Moser BR315 - Senator Stephen Meredith Chapter 337 to require employers to provide earned (12/12/2019) (8/20/2019) paid sick leave to employees; provide that employees earn paid sick leave upon the date of hire and can use AN ACT relating to legislative ethics. AN ACT relating to copayments by medical the leave after being employed for 90 days; set forth Create new sections of KRS 6.601 assistance recipients. allowable uses of earned paid sick time; designate to 6.849 to make it ethical misconduct for a legislator, Amend KRS 205.6312 to prohibit how notice of need to use sick time is provided by legislative agent, or director of the Legislative the cabinet or a managed care organization contracted employees; amend KRS 337.990 to establish penalty Research Commission to intentionally engage in to provide services from instituting copayments, cost for employers that fail to follow paid sick leave discrimination, harassment, or sexual harassment; sharing, or similar charges to be paid by any medical requirements. define “discrimination,” “harassment,” and “sexual assistance recipients, their spouses, or parents, for (Prefiled by the sponsor(s).) harassment”; declare that if a provision of KRS 6.601 any assistance provided pursuant KRS Chapter to 6.849 is designated a misdemeanor or felony, an 205, federal law, or any federal Medicaid waiver; BR320 - Representative Josie Raymond alleged violation of the provision may be adjudicated amend KRS 205.6485 to prohibit copayments to be (12/13/2019) by the Legislative Ethics Commission as ethical charged in the Kentucky Children’s Health Insurance misconduct; amend KRS 6.686 to allow dismissal Program. AN ACT relating to employment provisions of complaints by the Legislative Ethics Commission (Prefiled by the sponsor(s).) for employees on parental leave. based upon an affirmative vote of at least 5 members Create a new section of KRS at a regularly scheduled meeting or, upon written Chapter 337 to require employers with 50 or more or oral notification by the chair, a teleconference THE KENTUCKY GENERAL ASSEMBLY 69 employees to provide twelve weeks of paid parental failing to meet job and wage requirements. KRS 395.250 to require an estate’s inventory to list leave for an employee who has been employed for (Prefiled by the sponsor(s).) each firearm; amend KRS 403.735 to require judges, at least one year; allow an employee to waive the when issuing an order of protection, to consider paid parental leave; provide for the promulgation of BR328 - Representative Jeffery Donohue whether a person against whom the order is entered administrative regulations. (11/19/2019) should be prohibited from possessing an firearm; (Prefiled by the sponsor(s).) amend KRS 504.030 to require judges in criminal AN ACT relating to railroads. cases where a person is found not guilty by reason of BR323 - Representative Nima Kulkarni Create a new section of KRS insanity to demand the surrender of the defendant’s (10/30/2019) Chapter 277 to require two-person crews on trains or firearms; amend KRS 237.104 to conform; amend light engines used in connection with the movement KRS 506.080 to specify that the offense of facilitation AN ACT relating to prevailing wage. of freight; establish civil penalties for failure to have includes assistance in providing firearms; amend Create a prevailing wage law for all a two-person crew. KRS 508.020 to include physical injury to a minor by public works projects; amend KRS 12.020, 99.480, (Prefiled by the sponsor(s).) virtue of the intentional discharge of a firearm within 227.487, 336.015, 337.010, and 337.990 to conform. the offense of assault in the second degree; create a (Prefiled by the sponsor(s).) BR334 - Representative Josie Raymond new section of KRS Chapter 527 to create the offense (8/23/2019) of criminal purchase or disposal of a weapon; amend BR324 - Representative Jeffery Donohue KRS 527.040 to require that the sentence for a felon (11/19/2019) AN ACT relating to full-day kindergarten. in possession of a firearm be served subsequent to Amend KRS 158.060 to remove any other felony sentence; amend KRS 527.070 to AN ACT relating to public procurement. language that allows for half-day kindergarten include postsecondary education facilities within Create new sections of KRS programs; amend KRS 157.320, 157.360, and the existing ban on firearms in schools; amend KRS Chapter 45A to set forth findings of the General 158.030 to conform. 532.030 to require the judge pronouncing a defendant Assembly and establish a policy of the Commonwealth (Prefiled by the sponsor(s).) guilty but mentally ill to demand the surrender of of Kentucky to promote the Kentucky and United the person’s firearms; create a new section of KRS States economies by requiring a preference for iron, BR337 - Representative George Brown Jr Chapter 237 to require the State Police to promulgate steel, and manufactured goods produced in Kentucky (11/21/2019) administrative regulations relating to the licensing of and the United States; define “manufactured in persons to possess handguns and assault weapons, Kentucky,” “manufactured in the United States,” AN ACT proposing an amendment to the registration of handguns and assault weapons, and “United States”; require preference for iron, Section 145 of the Constitution of Kentucky relating and the logging of firearms and ammunition sales steel, and manufactured goods made in Kentucky to persons entitled to vote. effective January 1, 2021; amend KRS 532.025 to in construction and maintenance contracts and Propose to amend Section 145 conform; amend KRS 237.115 to conform; repeal subcontracts; provide for a waiver of the Kentucky of the Constitution of Kentucky to restructure the KRS 65.870; EMERGENCY; some provisions preference requirement; require preference for iron, voting restrictions relating to felons and persons with EFFECTIVE January 1, 2021. steel, and manufactured goods made in the United mental disabilities; ballot language; submit to voters (Prefiled by the sponsor(s).) States if the Kentucky waiver is granted; provide for for ratification or rejection. a waiver of the United States preference requirement; (Prefiled by the sponsor(s).) BR343 - Representative George Brown Jr establish a short title of “Kentucky Buy American (8/27/2019) Act”; amend KRS 45A.343, 45A.352, 65.027, BR339 - Representative George Brown Jr 162.070, 164A.575, 176.080, and 424.260 to require (8/27/2019) AN ACT relating to criminal histories of job compliance. applicants. (Prefiled by the sponsor(s).) AN ACT relating to the rural hospital tax Create a new section of KRS credit. Chapter 344 to prohibit employers from considering BR325 - Representative Jeffery Donohue Create a new section of KRS or requiring disclosure of prior criminal history (11/19/2019) Chapter 141 to establish the rural hospital organization as part of the initial job application; title the Act donation tax credit; amend KRS 141.0205 to order “Ban the Box - The Criminal Record Employment AN ACT relating to economic development the new tax credit; amend KRS 131.190 to allow Discrimination Act.” incentives. reporting by the Department of Revenue. (Prefiled by the sponsor(s).) Amend KRS 154.32.010 to define (Prefiled by the sponsor(s).) “weekly minimum wage”; amend KRS 154.32-020 BR351 - Representative Rob Wiederstein, to require an approved company to pay all new full- BR342 - Representative George Brown Jr Representative Attica Scott time employees whose jobs were created as a result (9/4/2019) (12/9/2019) of the economic development project no less than the minimum weekly wage and provide employee AN ACT relating to firearms and declaring AN ACT relating to solitary confinement of benefits for those jobs equal to at least 15% of the an emergency. juveniles. minimum weekly wage established by the agreement; Create new sections of KRS Chapter Create a new section of KRS amend KRS 154.32-030 to delete all provisions that 237 to specify definitions for “assault weapons,” Chapter 15A to limit use of solitary confinement for allow the approved company to receive full incentives “large-capacity ammunition-feeding devices,” and juveniles and require reporting of data on its use. if 90% of the job and wage requirements are met upon “ammunition sellers”; require background checks (Prefiled by the sponsor(s).) activation or annual review; amend KRS 154.32-040 for private firearms sales; require reporting to law to delete a provision that would allow the approved enforcement of firearm and ammunition thefts and company to receive a reduction in tax incentives for losses; require the safe storage of firearms; amend

70 2019 Interim LEGISLATIVE RECORD BR354 - Representative Jeffery Donohue “secretary,” and “wager”; establish requirements (12/2/2019) BR357 - Representative Jeffery Donohue for registration as a fantasy contest operator; require (9/9/2019) the cabinet to promulgate administrative regulations AN ACT relating to firearms and making an for the operation of fantasy contests; establish appropriation therefor. AN ACT relating to education. the wagering administration fund and direct the Amend KRS 527.010 to define Amend KRS 158.785, relating to uses of that fund; establish the Kentucky problem “assault weapons” and “large-capacity ammunition- the management of local school districts, to include gambling assistance account and direct the uses feeding devices”; create a new section of KRS criteria to review when completing a management of that account; require an annual audit of fantasy Chapter 527 to criminalize possession and transfer of audit; require the chief state school officer to provide contest registrants; establish requirements for fantasy large-capacity ammunition-feeding devices; create a a local district with written deficiencies found through contest procedures; amend KRS 230.210 to define new section of KRS Chapter 527 to criminalize the the management audit and corrective actions and a “professional sports venue” and “sports wagering”; possession of unregistered assault weapons and to time frame for completion in order to exit assistance; create new sections of KRS Chapter 230 to require require the owners of registered assault weapons to specify that a district can only be a “state managed the racing commission to institute a system of sports store the weapons in a manner which renders them district” after at least two years of unsuccessful wagering at tracks and other specified locations; inoperable to unauthorized users; create a new section assistance, criminal malfeasance, or insolvency; limit the types of events upon which wagers may be of KRS Chapter 237 to establish the assault weapons restrict the chief state school officer’s authority placed; amend KRS 230.215 to declare the intent to registration program and a weapons buyback program during state management to only those specific items allow citizens to enjoy sports wagering and allow under the Department of Kentucky State Police and found through the management audit; amend KRS the racing commission to promulgate administrative to authorize a fee and trust account and make an 156.029 to require the Kentucky Board of Education regulations prescribing conditions under which sports appropriation; amend KRS 16.220 and 237.104 to to include two at-large members who are current or wagering is to be conducted; amend KRS 230.225, exempt weapons from the buyback program from retired elementary or secondary teachers; amend 230.240, and 230.260 to include sports wagering; prohibitions on the destruction of certain weapons. KRS 156.040 to clarify that a state board member create a new section of KRS Chapter 230 to establish (Prefiled by the sponsor(s).) cannot hold any elective federal, state, county, or city sports wagering licensure requirements; amend office. KRS 230.320 to conform; amend KRS 230.361 BR355 - Representative Jeffery Donohue (Prefiled by the sponsor(s).) to include sports wagering; amend KRS 230.3615 (9/9/2019) to conform; create a new section of KRS Chapter BR358 - Representative Terri Branham Clark 138 to define “adjusted gross income” and impose AN ACT relating to tax credits for airport (12/13/2019) a tax on sports wagering; amend KRS 230.362, noise mitigation. 230.363, 230.364, 230.365, 230.366, 230.369, Create a new section of KRS AN ACT relating to assault on a service 230.371, 230.372, 230.373, 230.374, and 230.750 Chapter 141 to establish a refundable income animal. to conform; create a new section of KRS Chapter tax credit for the costs of mitigating noise from Amend KRS 525.200 to include 230 to prohibit participants from wagering on events a commercial airport for taxable years beginning assistance animals in the definition of “service in which they participate and to prohibit tampering on or after January 1, 2020, but before January 1, animals” that are covered by assault on a service with the outcome of a sporting event; amend KRS 2024; amend KRS 131.190 to conform; amend KRS animal in the first degree. 230.990 to provide penalties for participants who 141.0205 to order the credit. (Prefiled by the sponsor(s).) wager on sporting events or tamper with the outcome (Prefiled by the sponsor(s).) of a sporting event; amend KRS Chapter 154A.010 BR361 - Representative Rob Wiederstein to define “net poker revenue,” “online poker,” and BR356 - Representative Jeffery Donohue (12/9/2019) “rake”; amend KRS 154A.050 and 154A.060 to (9/9/2019) include conducting online poker games; amend KRS AN ACT relating to low-volume surgery 154A.063 to delete restriction on playing cards and AN ACT relating to the sale or transfer of requirements. where winners are based on the outcome of a sports historic places. Create a new section of KRS contest; amend KRS 154A.070 to include online Amend KRS 171.382 to require the Chapter 216B to establish a low-volume surgery poker; amend 154A.110 to prohibit anyone under Finance and Administration Cabinet to give notice requirement and registry for hospitals and surgeons 18 from placing a wager through an online poker to the Kentucky Heritage Council 90 days prior to in the Commonwealth. game; amend KRS 154A.120 to include online the transfer or sale of a property nominated by the (Prefiled by the sponsor(s).) poker; amend KRS 154A.130 to exempt online Kentucky Historic Preservation Review Board to be poker; create new sections of KRS Chapter 154A listed on the National Register of Historic Places; BR364 - Representative Adam Koenig to require licensure for online poker games; require require the Kentucky Heritage Council to consult with (12/5/2019) the Lottery Corporation to promulgate requirements the Finance and Administration Cabinet regarding in conformance with federal law for providers the property’s historic, cultural, and archeological AN ACT relating to wagering and making through administrative regulations; establish resources; require the Kentucky Heritage Council an appropriation therefor. licensing fees; impose a gaming fee on providers; to make a written recommendation to the Finance Establish KRS Chapter 239 and establish the Kentucky Lottery Corporation online and Administration Cabinet on whether the property create new sections to define “adjusted gross revenue,” poker account and provide for the uses of the funds should have a preservation easement; if a preservation “beginner,” “cabinet, “confidential information,” deposited therein; amend KRS 154A.600 to include easement is recommended, no sale or transfer of the “entry fee,” “fantasy contest,” “fantasy contest online poker; amend KRS 243.500 to exempt sports property shall take place until the easement is listed operator,” “fantasy contest participant”, “highly wagering and online poker; amend KRS 525.090 on the deed; amend KRS 82.660 to update council experienced player,” “immediate family,” “location to exempt sports wagering; amend KRS 528.010 to name. percentage,” “person,” “principal stockholder,” exempt fantasy contests, sports wagering, and online (Prefiled by the sponsor(s).) “registered fantasy contest operator,” “script,” poker and the devices used in the conduct of those THE KENTUCKY GENERAL ASSEMBLY 71 forms of wagering; amend KRS 528.020, 528.070, initiatives; to establish technical requirements for after January 1, 2020, and before January 1, 2024; and KRS 528.080 to exempt fantasy contests, sports cannabis businesses; to establish limits on the THC require reporting by the Department of Revenue; wagering, and online poker; create a noncodified content of medicinal marijuana that can be produced amend KRS 131.190 to conform. section to assert that the provisions of the Act are or sold in the state; to establish requirements for (Prefiled by the sponsor(s).) severable. cannabis cultivators, including cultivation square (Prefiled by the sponsor(s).) footage limits; to establish requirements for cannabis BR368 - Senator Danny Carroll dispensaries; to establish requirements for safety (12/9/2019) BR366 - Representative Jason Nemes compliance facilities; to establish requirements for (11/1/2019) cannabis processors; to establish procedures for AN ACT relating to reporting dependency, the department to inspect cannabis businesses; to neglect, or abuse. AN ACT relating to medicinal marijuana establish procedures for the suspension or revocation Amend KRS 620.030 to establish and making an appropriation therefor. of a cannabis business license; to exempt certain that an investigation of child dependency, neglect, or Create various new sections of records and information from the disclosure under abuse shall not be conducted by school personnel or KRS Chapter 218A to define terms; to exempt the Kentucky Open Records Act; to require the other persons before a report is made; amend KRS the medicinal marijuana program from existing department to develop, maintain, and operate 620.029 to conform; and amend KRS 620.040 to provisions in Kentucky law to the contrary; to electronic systems for monitoring the medicinal conform and to establish that no investigation of child require the Department for Alcoholic Beverage marijuana program; to require the department to dependency, neglect, or abuse shall be conducted by and Cannabis Control to implement and regulate promulgate administrative regulations necessary school personnel or other persons before the report is the medicinal marijuana program in Kentucky; to implement the medicinal marijuana program; to made. to establish the Division of Medicinal Marijuana establish that nothing in the bill requires government (Prefiled by the sponsor(s).) within the Department of Alcoholic Beverage and programs or private insurers to reimburse for the cost Cannabis Control; to establish restrictions on the of use; to establish the medicinal marijuana trust BR370 - Representative John Blanton possession of medicinal marijuana by qualifying fund; to establish the local medicinal marijuana trust (12/13/2019) patients, visiting patients, and designated caregivers; fund; and to establish procedures for the distribution to establish certain protections for cardholders; to of local cannabis trust fund moneys; create a new AN ACT relating to law enforcement establish professional protections for practitioners; to section of KRS Chapter 138 to establish an excise officers. provide for the authorizing of practitioners by state tax of 12% for cultivators and processors for selling Create a new section of KRS licensing boards to issue written certifications for the to dispensaries; to require that 80% of the revenue Chapter 411 relating to qualified and complete use medicinal marijuana; to establish professional from the excise taxes be deposited into the medicinal immunity from civil liability for a law enforcement protections for attorneys; to prohibit the possession marijuana trust fund; to require that 20% of the officer’s operation of a vehicle when responding to an and use of medicinal marijuana on a school bus, on revenue from the excise taxes be deposited into the emergency or pursuing a suspect. the grounds of any preschool or primary or secondary local medicinal marijuana trust fund; amend KRS (Prefiled by the sponsor(s).) school, in a correctional facility, any property of 342.815 to establish that the Employer’s Mutual the federal government, or while operating a motor Insurance Authority shall not be required to provide BR371 - Representative Rob Wiederstein vehicle; to prohibit smoking of medicinal marijuana; coverage to an employer if doing so would subject (10/21/2019) to permit an employer to restrict the possession and the authority to a violation of state or federal law; use of medicinal marijuana by an employee; to require amend KRS 139.470 to exempt the sale of medical Direct the Finance and the department to implement and operate a registry marijuana from the state sales tax; amend KRS Administration Cabinet to create the Evidence-Based identification card program; to establish requirements 218A.010, 218A.1421, 218A.1422, 218A.1423, and Policymaking Task Force to study how state agencies for registry identification cards; to establish registry 218A.500 to conform; amend KRS 12.020 to change collect and share data; APPROPRIATION. identification card fees; to require the department the name of the Department of Alcoholic Beverage (Prefiled by the sponsor(s).) to operate a provisional licensure receipt system; to Control to the Department of Alcoholic Beverage establish the application requirements for a registry and Cannabis Control and to create the Division BR372 - Representative R. Travis Brenda identification card; to establish when the department of Medicinal Marijuana; and amend KRS 12.252, (12/12/2019) may deny an application for a registry identification 15.300, 15.380, 15.398, 15A.340, 15.420, 61.592, card; to establish certain responsibilities for 62.160, 131.1815, 211.285, 241.010, 241.015, AN ACT relating to involuntary termination cardholders; to establish when a registry identification 241.030, 243.025, 243.0307, 243.038, 243.090, of parental rights. card may be revoked; to establish various cannabis 243.360, 438.310, 438.311, 438.313, 438.315, Amend KRS 625.060 to specify business licensure categories; to establish tiering 438.317, 438,320, 438.325, 438.330, 438.337, and the rights of a foster parent related to involuntary of cannabis business licenses; to require certain 438.340 to conform; EFFECTIVE January 1, 2021; termination of parental rights cases. information be included in an application for a APPROPRIATION. (Prefiled by the sponsor(s).) cannabis business license; to establish when the (Prefiled by the sponsor(s).) department may deny an application for a cannabis BR377 - Representative Walker Wood Thomas, business license; to prohibit a practitioner from being BR367 - Representative C. Ed Massey Representative Lisa Willner a board member or principal officer of a cannabis (11/13/2019) (11/18/2019) business; to prohibit cross-ownership of certain classes of cannabis businesses; to establish rules AN ACT relating to an exemption from AN ACT relating to the psychology for local sales, including establishing the process income taxation for military pensions. interjurisdictional compact. by which a local legislative body may prohibit the Amend KRS 141.019 to exclude Create a new section of KRS operation of cannabis businesses within its territory United States military retirees’ pension income from Chapter 319 to enact and enter into the Psychology and the process for local ordinances and ballot income taxation for taxable years beginning on or Interjurisdictional Compact with all other jurisdictions

72 2019 Interim LEGISLATIVE RECORD that legally join the compact; declare the purpose of BR391 - Representative C. Ed Massey for an annual increment for state employees with the the compact; define terms; allow a psychologist to (11/13/2019) annual increment being the average of the consumer hold one or more compact state licenses at a time; price index for the two calendar years prior to the recognize the right of a psychologist licensed in AN ACT relating to high school students biennium. the compact to practice telepsychology in other pursuing military careers. (Prefiled by the sponsor(s).) compact states the psychologist is not licensed; Create a new section of KRS establish conditions under which a psychologist Chapter 158 requiring schools to offer the Armed BR411 - Representative Mark Hart licensed to practice in compact state can practice Services Vocational Aptitude Battery (ASVAB) test (12/12/2019) telepsychology; establish the conditions under which annually to students in grades 10 through 12, offer a psychologist licensed to practice in a compact counseling based on the ASVAB test results, and AN ACT relating to individuals with state may be granted a Temporary Authorization allow up to four excused absences to meet with a intellectual and developmental disabilities. to Practice; authorize a home state to take adverse recruiter of the Armed Forces of the United States or Create a new section of KRS action against a psychologist’s licensed issued by the Kentucky National Guard; amend KRS 159.035 to 210.005 to 210.366 to establish the rights of Home State; allow a receiving state to take adverse allow excused absences for students who meet with individuals with intellectual disabilities; cite as the action on a psychologist’s Authority to Practice a military recruiter, receive ASVAB counseling, or Frank Huffman Act. Interjurisdictional Telepsychology within that pursue enlistment. (Prefiled by the sponsor(s).) receiving state; authorize a compact state’s ability (Prefiled by the sponsor(s).) to issue subpoenas for hearings and investigation as BR412 - Senator Dennis Parrett well as cease and desist and injunctive relief orders BR394 - Senator Reginald Thomas (9/19/2019) to revoke a psychologist’s authority to practice (12/11/2019) interjurisdictional telepsychology and temporary AN ACT relating to veteran-owned nonprofit authorization to practice; establish the Psychology AN ACT relating to direct care staff training businesses. Interjurisdictional Compact Commission; require the in dementia care. Amend KRS 14A.1-070 to add commission to provide for and maintain a Coordinated Create a new section of KRS a nonprofit business which is at least 51 percent Licensure Information System (Coordinated Chapter 216 to require direct care staff and managers unconditionally controlled by a veteran to the Database) and reporting system containing licensure to receive training in dementia care. definition of “veteran-owned business”; amend KRS and disciplinary action information on psychologists (Prefiled by the sponsor(s).) 14A.2-060 and KRS 14A.2-165 to conform. participating in the compact; provide immunity for (Prefiled by the sponsor(s).) members, officers, executive director, employees, BR403 - Representative Brandon Reed and representatives of the commission who act in (9/18/2019) BR413 - Representative Angie Hatton accordance with the provisions of the compact; (11/26/2019) authorize the commission to establish rulemaking AN ACT relating to farmer suicide procedures; authorize the executive, judicial, and prevention and awareness. AN ACT relating to information technology. legislative branches of state government to enforce Create a new section of KRS Amend KRS 154.15-010 to the provisions of the compact; affirm that rules Chapter 2 to designate the Wednesday of National create a definition for paid prioritization; create a promulgated will have standing as statutory law; Farm Safety Week, which is the third week of new section of Subchapter 15 of KRS Chapter 154 require provisions of the compact to become effective September, as “Farmer Suicide Prevention Day”. to require KentuckyWired contracts between the on the date the compact is enacted into law. (Prefiled by the sponsor(s).) Kentucky Communications Network Authority and (Prefiled by the sponsor(s).) public or private Internet service providers contain BR407 - Representative Attica Scott certain provisions to ensure open and fair access to BR379 - Representative Phillip Pratt (9/13/2019) the network by customers. (11/21/2019) (Prefiled by the sponsor(s).) AN ACT relating to providing free feminine AN ACT relating to the transfer of county hygiene products for women public postsecondary BR414 - Representative Angie Hatton jail inmates. students. (11/26/2019) Amend KRS 441.520 to require Create a new section of KRS a judicial removal order cite danger for order of Chapter 164 to require each public postsecondary AN ACT relating to workers’ compensation. removal, establish incarceration rates and medical education institution to provide free feminine hygiene Amend KRS 342.315 to eliminate costs, impose geographic limits for removal, place products to women students; require the governing the requirement that physicians contracting with liability for transfers upon the Administrative Office boards of each public postsecondary education the commissioner to perform evaluations in of the Courts, require that in all other removal orders institution to adopt policies for the distribution of free occupational disease claims be “B” readers who the judge shall receive the written agreement of the feminine hygiene products; define feminine hygiene are licensed in Kentucky and are board-certified originating and receiving jailer, establish the details products. pulmonary specialists; amend KRS 342.316 to allow of written agreement, establish criteria for cost and (Prefiled by the sponsor(s).) the commissioner to select a physician or medical transportation, and require judge to review removal facility for referral in occupational disease claims orders every 90 days for safety and security of BR409 - Representative Joe Graviss and eliminate the requirement that such physicians inmates. (10/24/2019) be “B” readers who are licensed in Kentucky and are (Prefiled by the sponsor(s).) board-certified pulmonary specialists; amend KRS AN ACT relating to state employee 342.794 to delete the definition of “board-certified compensation. pulmonary specialist” and eliminate the requirement Amend KRS 18A.355 to provide that physicians on the list of qualified “B” readers THE KENTUCKY GENERAL ASSEMBLY 73 maintained by the commissioner include only those districts and KRS 173.730, relating to the boards of Attorney General, or any state constitutional officer licensed in Kentucky and board-certified pulmonary library districts formed by petition; establish that the to bring an action for enforcement through injunctive specialists. terms of appointed board members expire upon the action. (Prefiled by the sponsor(s).) election and qualification of elected board members; (Prefiled by the sponsor(s).) EFFECTIVE JANUARY 1, 2022 BR415 - Representative Angie Hatton (Prefiled by the sponsor(s).) BR431 - Representative Maria Sorolis (11/26/2019) (10/31/2019) BR423 - Senator Stephen Meredith AN ACT relating to utility rates. (10/1/2019) AN ACT relating to voting. Amend KRS 278.030 to include Create a new section of KRS rate affordability when determining fair, just and AN ACT relating to the disposition of Chapter 117 to allow in-person early voting between reasonable utility rates; allow the Public Service human remains. 9 a.m. and 4 p.m. on the three Saturdays preceding Commission to review the affordability of a utility’s Amend KRS 367.93117 to allow a any primary, regular election, or special election; rate if the utility has not requested a rate adjustment court-appointed guardian or conservator to determine amend KRS 117.087, 117.165, 117.235, 117.995, and in five years; allow the commission to order a rate the disposition of remains after death if other 118.035 to conform. increase to prevent significant increases in a single alternatives have been exhausted; permit cremation (Prefiled by the sponsor(s).) period; require fair, just, and reasonable rates to under specified circumstances. balance the intrests of the utility, its investors, and the (Prefiled by the sponsor(s).) BR432 - Representative Maria Sorolis ratepayer. (10/31/2019) (Prefiled by the sponsor(s).) BR425 - Senator Ralph Alvarado (12/12/2019) AN ACT relating to elections. BR418 - Representative Joseph Fischer Create a new section of KRS (12/9/2019) AN ACT relating to cost sharing under a Chapter 117 to provide for the establishment of health benefit plan. designated voting locations by the county board of AN ACT relating to the interpretation of Create a new section of Subtitle 17A elections in counties with a population of 90,000 or state insurance laws and declaring an emergency. of KRS Chapter 304 to require payments made by or more. Create a new section of Subtitle 1 on behalf of an insured for health care services, and (Prefiled by the sponsor(s).) of KRS Chapter 304 to provide that a statement of the usual and customary rate of health care services law in the American Law Institute’s Restatement received at a no or reduced cost health care facility, BR433 - Senator Ralph Alvarado of the Law, Liability Insurance does not constitute to apply toward any cost-sharing requirements under (12/12/2019) the law or public policy of the Commonwealth a health benefit plan; define terms; Create anew when in conflict with listed authority; amend KRS section of Subtitle 17A of KRS Chapter 304 to require AN ACT relating to non-compete 304.1-120 to apply Section 1 of the Act to the listed the commissioner to promulgate administrative agreements with health-care providers. organizations; provide short title; EMERGENCY. regulations; require the department to publish charge Create a new section of KRS (Prefiled by the sponsor(s).) information. EFFECTIVE, January 1, 2021. Chapter 372 to prohibit non-compete agreements for (Prefiled by the sponsor(s).) certain health-care providers. BR421 - Representative Larry Elkins (Prefiled by the sponsor(s).) (12/6/2019) BR430 - Senator Danny Carroll (12/9/2019) BR435 - Senator Denise Harper Angel AN ACT relating to the election of board (10/23/2019) members of library districts. AN ACT relating to the enforcement of Create a new section of KRS sanctuary policies. AN ACT relating to student health and 173.450 to 173.650 to provide for the election of Create a new section of KRS safety. board members to public library districts; amend Chapter 61 to prevent law enforcement agencies, Create a new section of KRS KRS 173.480 to remove references to appointment law enforcement officials or employees of a law Chapter 158 to require any student identification and integrate election protocols; create a new section enforcement agency, or public agencies, or public badge issued to a public middle or high school student of KRS 173.710 to 800 to provide for the election of officials or employees of a public agency to enact, to contain the contact information for national crisis board members to public library districts formed by adopt, or otherwise enforce any sanctuary policy and hotlines specializing in domestic violence, sexual petition; amend KRS 173.725 to remove references require law enforcement officials, representatives, assault, and suicide; apply the requirement to public to appointment and integrate election protocols; agents, and employees of law enforcement charter schools; require the Cabinet for Health and amend KRS 173.650 to specify that the certification agencies, public officials, representatives, agents, Family Services to publish recommendations for at of election results other than for the election of and employees of public agencies to use their best least one national crisis hotline in each specialized library board members are certified by the county efforts, considering available resources to support area; create a new section of KRS Chapter 164 judge/executive in each county; amend KRS 118.305 the enforcement of federal immigration law, exempt to require any student identification badge issued to allow candidates for library boards to be placed on school districts, district boards of education, and by a public or private postsecondary institution the ballot; amend KRS 118.315 to include candidates public charter school, and employees and contractors or other institution that offers a postsecondary for library boards within nomination protocols for from the provisions of the section; create a new section degree, certificate, or license to contain the contact election; amend KRS 118.365 to allow candidates of KRS Chapter 61 to provide that any sanctuary information for national crisis hotlines specializing in for library boards to be integrated with the petition policy adopted prior to or after the effective date of domestic assault, sexual assault, and suicide. of nomination process for elections; repeal KRS the Act in violation of Section 1 of the Act is invalid, (Prefiled by the sponsor(s).) 173.490, relating to the boards of public library void, and unenforceable, and allow the Governor,

74 2019 Interim LEGISLATIVE RECORD BR436 - Representative John Sims Jr salary or wages, relies on previous salary when setting to conform; amend KRS 161.630 to expand the (11/18/2019) a new salary, or refuses to hire if an applicant does qualifying events for which a retiree may elect to not provide previous salary, except to allow a request change his or her beneficiary and optional payment AN ACT relating to employment-related for information voluntarily provided in response to plan to include a birth or adoption of a child in drug screens. an offer of employment; allow previous salary to be addition to marriage, remarriage, and the death Create a new section of KRS considered when required by law, when discovered of a beneficiary, require that the election be made Chapter 344 to prohibit employment discrimination while looking at other nonsalary information, and within 120 days of the qualifying event on a form based on a positive drug screen for cannabidiol or for public employee positions; require notice to be prescribed by the Teachers’ Retirement System, and tetrahydrocannabinol. posted for employees; amend KRS 337.990 to assess make technical corrections; amend KRS 161.480 to (Prefiled by the sponsor(s).) a civil penalty for a violation. conform. (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) BR439 - Senator Reginald Thomas (12/12/2019) BR457 - Representative Attica Scott BR467 - Representative Joe Graviss (12/11/2019) (12/12/2019) AN ACT relating to voting. Create a new section of KRS AN ACT relating to creative arts therapies. Directs the Secretary of Personnel Chapter 117 to allow in-person early voting between Amend KRS 309.130 and 309.131 to remove the midpoint pay restrictions for the 9 a.m. and 4 p.m. on the three Saturdays preceding to change the name of the Kentucky Board of nursing staff of veterans centers operated by the any primary, regular election, or special election; Licensure for Professional Art Therapists to the Office of Kentucky Veterans Centers. amend KRS 117.087, 117.165, 117.235, 117.995, and Kentucky Board of Creative Arts Therapies; increase (Prefiled by the sponsor(s).) 118.035 to conform. the board membership to six members; require three (Prefiled by the sponsor(s).) of the board members to be licensed professional BR468 - Representative Jerry Miller art therapists; require two members of the board (10/21/2019) BR440 - Senator Reginald Thomas to be a registered drama therapist, board-certified (12/12/2019) dance/movement therapist, or board-certified music AN ACT relating to vapor products. therapist; require professional drama therapists, Amend KRS 438.305 to define AN ACT relating to elections. dance/movement therapists, or music therapists to “vapor product enhanced cartridge”; create a new Create a new section of KRS be appointed from lists of names submitted by the section of KRS 438.305 to 438.340 to require a Chapter 117 to provide for the establishment of corresponding disciplines’ associations. retailer or manufacturer of a vapor product enhanced designated voting locations by the county board of (Prefiled by the sponsor(s).) cartridge to register and pay a $700 annual fee; elections in counties with a population of 90,000 or prohibit sales of vapor product enhanced cartridge more. BR461 - Representative James Tipton other than through in-person purchase; prohibit sales (Prefiled by the sponsor(s).) (12/9/2019) to anyone under 18, require age verification through an electronic third-party source. BR450 - Representative Attica Scott, Representative AN ACT relating to state employee (Prefiled by the sponsor(s).) Charles Booker compensation. (9/25/2019) Amend KRS 18A.355 to provide BR474 - Senator Ralph Alvarado for an annual cost of living adjustment for state (12/4/2019) AN ACT relating to gang violence. employees with the cost of living adjustment being Amend KRS 506.120 to remove the average of the consumer price index for the two Declare October 5, 2020, to be language related to “criminal gang syndicate;” repeal calendar years prior to the biennium and not less than Ostomy Awareness Day. KRS 506.135 relating to definitions, KRS 506.140 zero; and amend KRS 18A.110 to conform. (Prefiled by the sponsor(s).) relating to criminal gang recruitment, KRS 506.150 (Prefiled by the sponsor(s).) relating to criminal gang activity or recruitment, BR475 - Representative Cherlynn Stevenson 506.160, relating to minimum service of sentence BR463 - Representative Buddy Wheatley (12/13/2019) for defendant acting as a member of a criminal gang, (11/18/2019) KRS 506.170 relating to enhancement of penalty AN ACT relating to surprise billing. for conviction for criminal gang-related felonies, AN ACT relating to changing beneficiaries Amend KRS 304.17A-005 to KRS 506.180 relating to cause of action by victim of after retirement in state-administered retirement define “balance billing,” “cost sharing,” and other criminal gang incident, and KRS 506.190 relating to systems. terms; create new sections of Subtitle 17A of KRS criminal gang-related property subject to forfeiture; Amend KRS 61.542 to allow a Chapter 304 to require the insurance commissioner amend KRS 532.080 to conform. retiree who experiences a qualifying event, including or a designated nonprofit organization to establish (Prefiled by the sponsor(s).) marriage, remarriage, the birth or adoption of a child, and maintain a database of billed health care services or the death of a designated beneficiary, to elect to charges collected from insurers; define “unanticipated BR456 - Representative Susan Westrom change his or her beneficiary and optional payment out-of-network care,” “covered person” and “usual (11/18/2019) plan provided the election is made within 120 days and customary rate”; require an insurer to reimburse of the qualifying event on a form prescribed by the for unanticipated out-of-network care at the lower AN ACT relating to wages for employment. Kentucky Retirement Systems and provide that of the billed amount or the usual and customary rate Create a new section of KRS in the case of a divorce, annulment, or dissolution less any cost sharing owed by the covered person; Chapter 337 to make it a discriminatory employment of marriage, the retiree’s estate shall become the prohibit balance billing from a provider who has been action if an employer asks questions about previous beneficiary; amend KRS 61.590, 61.615, and 61.630 reimbursed as required; allow a provider to bill for THE KENTUCKY GENERAL ASSEMBLY 75 any applicable cost-sharing requirements owed by BR492 - Senator Julie Adams under which the use of state resources for nonpublic the covered person; amend KRS18A.225, 304.17A- (11/8/2019) purposes took place; amend KRS 11A.010 to define 0954, 304.17A-096, 304.17A-500, 304.17A-580, “nonpublic purpose” and “state resources”; amend 304.17A-649, 304.17B-001, 304.17B-015, 304.17B- AN ACT relating to trapping furbearers. KRS 11A.990 to require the withholding of the 033, 304.17C-010, 304.18-114, 304.38A-010, and Amend KRS 150.400 to prohibit salary of any statewide elected official who does not 304.39-241 to conform; repeal KRS 304.17A-640; the use of commercially manufactured, spring-loaded comply with legal requirements related to the filing EFFECTIVE January 1, 2021. traps for the purposes of taking furbearers. of a statement of use of state resources. (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).)

BR480 - Representative R. Travis Brenda BR494 - Senator Danny Carroll BR801 - Representative Derrick Graham (11/27/2019) (11/18/2019) (11/19/2019)

AN ACT related to animal-drawn vehicles AN ACT relating to the Workers’ AN ACT relating to campaign finance. and making an appropriation therefor. Compensation Funding Commission. Amend KRS 118.125 to require Create a new section of KRS Amend KRS 12.020, 336.020, a candidate for constitutional statewide office who Chapter 189 to prohibit animal-drawn vehicles and 342.1243 to remove the Division of Workers’ files a notification and declaration for elective office, from being drawn by an animal wearing shoes that Compensation Funds; amend KRS 342.120 and including slates of candidates for Governor and will damage the highway; amend KRS 189.990 to 342.265 to replace the Division of Workers’ Lieutenant Governor, to submit a copy of his or her establish a penalty of $25 for the first offense and $50 Compensation Funds with the Kentucky Workers’ previous five years of federal income tax returns for subsequent offenses; forward money from fines to Compensation Funding Commission; amend KRS with the Registry of Election Finance; provide for the road fund; allow for prepayment of fine; exempt 342.1223 to allow the commission to administer the written consent for public disclosure of the federal from court costs; APPROPRIATION. fund; amend KRS 342.232 to replace the director of income tax returns; require that the federal income (Prefiled by the sponsor(s).) the Division of Workers’ Compensation Funds and to tax returns shall be made available on the registry’s make reports annual; amend KRS 342.760 to move the Web site when appropriate redaction of personal BR482 - Representative Regina Huff uninsured employers’ fund to the Kentucky Workers’ information occurs and not later than seven days (10/4/2019) Compensation Funding Commission; replace the after submission to the registry; require fines to be secretary of the Labor Cabinet with the board of levied against a constitutional candidate or slate of Declare May 2020 to be Ehlers- directors of the commission; remove the Labor candidates if the filing of federal tax returns does Danlos Syndrome Awareness Month. Cabinet from this section; amend KRS 342.765 to not timely occur; require the registry to retain the (Prefiled by the sponsor(s).) replace the secretary with board of directors; replace submitted tax returns for a time certain; and permit the reference to the Interim Joint Committee on Labor the registry to promulgate administrative regulations BR485 - Representative C. Ed Massey and Industry with the Interim Joint Committee on under KRS Chapter 13A to implement and enforce; (11/15/2019) Economic Development and Workforce Investment; amend KRS 118.367 to require an independent, amend KRS 393.082 to replace the Labor Cabinet political organization, or group candidate for AN ACT relating to causes of actions for with the Kentucky Workers’ Compensation Funding constitutional statewide office who files a statement- building code violations. Commission; amend KRS 342.0015 to conform. of-candidacy form for elective office, including slates Amend KRS 198B.130 to allow (Prefiled by the sponsor(s).) of candidates for Governor and Lieutenant Governor, a court award under KRS Chapter 198B or the to submit a copy of his or her previous five years of Uniform Building Code to include attorney’s fees if a BR499 - Representative Angie Hatton federal income tax returns with the registry; provide certificate of occupancy has not been issued. (11/19/2019) for written consent for public disclosure of the (Prefiled by the sponsor(s).) federal income tax returns; require that the federal AN ACT relating to executive branch ethics. income tax returns shall be made available on the BR486 - Representative Attica Scott Create a new section of KRS registry’s Web site when appropriate redaction of (10/23/2019) Chapter 11A to require statewide elected officials personal information occurs and not later than seven to file a statement of use of state resources with the days after submission to the registry; require fines to Urge the Kentucky Department of Executive Branch Ethics Commission when state be levied against a constitutional candidate or slate Education to create a task force to consider ways to resources are used for nonpublic purposes and the of candidates if the filing of federal tax returns does improve diversity in STEAM education. value of that use of state resources exceeds $250; not timely occur; require the registry to retain the (Prefiled by the sponsor(s).) require that the statement of use of state resources be submitted tax returns for a time certain; and permit filed within 30 days of an event where state resources the registry to promulgate administrative regulations BR488 - Senator Danny Carroll were used for nonpublic purposes; require that within under KRS Chapter 13A to implement and enforce. (12/9/2019) ten days of submission of a statement of use of state (Prefiled by the sponsor(s).) resources, the Executive Branch Ethics Commission AN ACT relating to child-care centers in shall determine whether the submission complies BR803 - Representative Joni Jenkins Kentucky. with legal requirements; require statement of use of (11/19/2019) Create a new section of KRS state resources to be filed on a form prescribed by 199.896 to 199.8996 to establish operational the Executive Branch Ethics Commission; require AN ACT relating to campaign finance. standards for child-care centers in Kentucky. statements of use of state resources to include the Amend KRS 121.150 to require (Prefiled by the sponsor(s).) name, title, and business address of the statewide that all personal loans made by candidates for all elected official using state resources for nonpublic constitutional state officers, including the Governor purposes and a detailed description of the events and Lieutenant Governor, to their campaigns be

76 2019 Interim LEGISLATIVE RECORD repaid by their campaign committees within one employees regarding patient safety culture and under; establish minimum requirements for dental year if the candidates are elected beginning with practices with the results to be publicly reported on services provided to all age groups; require coverage the regular election in November 2019; amend KRS a Web site maintained by the Cabinet for Health and of nonemergency medically necessary transportation 121.180 to provide for filing a report verifying Family Services. for eligible recipients. repayment of personal loans to candidates for all Create a new section of KRS (Prefiled by the sponsor(s).) constitutional state officers, including Governor and 216.2920 to 216.2929 to require all hospitals to Lieutenant Governor, by December 31 in the year annually survey employees on patient safety culture; BR835 - Representative Nima Kulkarni following their election; amend KRS 23A.070 to require the Cabinet for Health and Family Services to (10/30/2019) conform. design, collect, analyze, and publish survey data; list (Prefiled by the sponsor(s).) requirements for the survey design; list requirements AN ACT relating to firearms possession. for the survey content; require the survey design to Amend KRS 527.010 to define BR808 - Representative Thomas Huff, Representative be completed by October 30, 2020, and the survey “domestic abuse offense,” “domestic violence Kevin Bratcher, Representative Jason Nemes, results to be made available by June 30 each year protective order,” and “physical force”; create a new Representative Russell Webber beginning with June 30, 2021, on the cabinet’s Web section of KRS Chapter 527 to create the crimes (10/10/2019) site and reported to the Interim Joint Committee on of possession of a firearm by a convicted domestic Health, Welfare, and Family Services; permit the abuser and possession of a firearm by the subject of Direct the Energy and Environment cabinet to promulgate administrative regulations to a domestic violence protective order; create a new Cabinet and the Louisville Metro Air Pollution implement the survey requirements. section of KRS Chapter 527 to require the surrender Control District to determine the environmental (Prefiled by the sponsor(s).) of firearms by people subject to protective orders or benefits, related costs, and potential alternatives convicted of specified crimes; amend KRS 403.740 to the federal reformulated gasoline requirements BR827 - Representative Derek Lewis and 456.060 to require courts to inform the subject currently imposed in Jefferson County and partial (11/12/2019) of a domestic violence order or an interpersonal areas in Bullitt and Oldham Counties. protective order of the firearm possession prohibition. (Prefiled by the sponsor(s).) AN ACT establishing a tax credit for (Prefiled by the sponsor(s).) employers that make payments on refinanced loans BR813 - Representative Rob Wiederstein issued by the Kentucky Higher Education Student BR843 - Representative McKenzie Cantrell (12/9/2019) Loan Corporation to employees. (12/12/2019) Create a new section of KRS A CONCURRENT RESOLUTION to create Chapter 141 to allow an income tax credit for certain AN ACT relating to uninsured motorist a task force on neonatal intensive care units. employers that make payments on refinanced loans coverage. Create the Using the Neonatal issued by the Kentucky Higher Education Student Amend KRS 304.20-020 to add Intensive Care Unit Wisely Task Force to study and Loan Corporation to certain employees; amend KRS property damage in limits set forth in KRS 304.39-110 make recommendations related to the utilization, 141.0205 to order the new tax credit; amend KRS as part of the minimum coverage required under the effectiveness, and cost of Kentucky’s Neonatal 131.190 to require reporting by the Department of section for insureds who are legally entitled to recover Intensive Care Units; outline task force membership; Revenue to the Legislative Research Commission. damages from owners or operators of uninsured motor require the task force to meet at least three times (Prefiled by the sponsor(s).) vehicles; make technical amendments; EFFECTIVE during the 2020 interim and to submit findings January 1, 2021. and recommendations to the Legislative Research BR832 - Representative James Tipton (Prefiled by the sponsor(s).) Commission by December 1, 2020. (11/12/2019) (Prefiled by the sponsor(s).) BR844 - Representative Bobby McCool AN ACT relating to the Kentucky tuition (11/1/2019) BR817 - Representative Regina Huff, Representative grant program. Deanna Frazier Amend KRS 164.785 to delete AN ACT relating to birth certificates for (11/5/2019) the requirement that postsecondary institutions stillborn children. participating in the Kentucky Tuition Grant be Amend KRS 213.096 to permit AN ACT relating to high school graduation accredited by the Southern Association of Colleges either parent to file an application for a certificate of requirements. and Schools or be reviewed and approved by the birth resulting in stillbirth for any fetal death reported; Create a new section of KRS Chapter Council on Postsecondary Education based on the require the state registrar to issue a certificate of 158 to require completion of the Free Application for same criteria; amend KRS 164.740 to update the birth resulting in stillbirth upon completion of an Federal Student Aid form as a high school graduation definition of regional accrediting association. application; require the certificate of birth resulting in requirement; provide waiver options for meeting the (Prefiled by the sponsor(s).) stillbirth to clearly indicate that it is not proof of a live requirement; require local boards of education to birth and that it does not replace the requirement to develop policies and procedures to assist students in BR833 - Representative Nima Kulkarni file a report of fetal death; require that the certificate completing the requirement. (11/19/2019) of birth resulting in stillbirth not be a proof of a live (Prefiled by the sponsor(s).) birth for tax purposes. AN ACT relating to required Medicaid (Prefiled by the sponsor(s).) BR819 - Representative Rob Wiederstein coverage of services. (10/29/2019) Amend KRS 205.560 to require that dental and optometric services provided to AN ACT relating to patient safety by eligible recipients ages 21 and over be the same requiring Kentucky hospitals to annually survey as those provided to eligible children ages 21 and THE KENTUCKY GENERAL ASSEMBLY 77 BR853 - Representative Maria Sorolis of the Constitution of Kentucky to allow persons BR885 - Senator Tom Buford (10/31/2019) convicted of a felony, other than felonies designated (12/9/2019) by the General Assembly, the right to vote; submit to AN ACT relating to elections. the voters for ratification or rejection. Direct the Cabinet for Health Amend KRS 116.025 to provide (Prefiled by the sponsor(s).) and Family Services to create a task force to study that a voter shall be a resident of the state and prescription drug transparency and affordability. precinct on or before the day of an election; amend BR865 - Representative Steve Sheldon (Prefiled by the sponsor(s).) KRS 116.045 to provide that a person who has (12/5/2019) not registered to vote prior to the time that the BR886 - Representative Danny Bentley registration books are closed, and who possesses AN ACT relating to physician assistants. (11/20/2019) all other qualifications for voter registration, may Amend KRS 311.842 to require the register at the person’s precinct of residence on the Kentucky Board of Medical Licensure to promulgate Proclaim April 26, 2020, to be day of the election, shall not be permitted to change administrative regulations relating the prescribing of Diabetic Ketoacidosis Awareness Day. party affiliation, and shall be permitted to vote in that controlled substances by physician assistants; amend (Prefiled by the sponsor(s).) election; provide for confirmation of identity and KRS 311.844 to establish continuing education affidavit; amend KRS 116.0452 to provide for time requirements for physician assistants who are BR897 - Senator Tom Buford of receipt of precinct voter registration; provide that authorized to prescribe controlled substances; amend (11/19/2019) county clerk shall provide the State Board of Elections KRS 311.850 to permit the board to take action with a report of the number of voters registering to against the license of a physician’s assistant for certain AN ACT relating to local option elections. vote at the precincts on election day; amend KRS sexual offenses, for being unable to practice medicine Amend KRS 242.020 to allow a 117.225 to provide that if the person is not listed due to physical or mental illness, or for engaging in countywide wet or dry local option election based on the precinct roster, that the person be given the dishonorable, unethical, or unprofessional conduct; on a petition signed by at least 500 qualified voters opportunity to register and vote at the precinct on the amend KRS 311.854 to permit the executive director in a county with a population of less than 100,000 day of an election; amend KRS 117.365 to provide of the board to temporarily approve an application residents; exempt cities or moist territories within the that applications for voter registration at the precinct for licensure and to require the board to review and county from the effect of the election. shall be presented to the grand jury and retained by approve or deny the application; 311.856 to conform; (Prefiled by the sponsor(s).) the county clerk. amend 311.858 to establish the process by which a (Prefiled by the sponsor(s).) physician assistant can apply for authorization to BR898 - Representative Steve Riley prescribe and administer controlled substances and to (11/18/2019) BR854 - Representative Maria Sorolis establish limitations on prescriptions for controlled (10/31/2019) substances issued by a physician assistant; create a AN ACT relating to the Asset Resolution new section of KRS 311.840 to 311.862 to permit a Corporation. AN ACT relating to voter registration. hearing or inquiry panel to order a physician assistant Amend KRS 164A.055 to redefine Amend KRS 116.0455 to provide to undergo a physical or mental examination; create “board”; establish the Asset Resolution Corporation that each application for a motor vehicle driver’s a new section of KRS 311.840 to 311.862 to permit a as an independent de jure municipal corporation and license shall be a simultaneous application for voter hearing or inquiry panel to order a physician assistant political subdivision; authorize the retention and registration unless declined by the applicant; amend to complete a clinical competency examination or compensation of employees; empower the corporation KRS 116.048 to provide that each application filed clinical skills assessment; amend KRS 311.616 to to serve and support schools or students concerning through a designated voter registration agency shall expand the impaired physicians program to include student finances, postsecondary education, and be a simultaneous application for voter registration physician assistants; amend KRS 311.617 to expand workforce development. unless declined by the applicant. the Kentucky Physicians Health Foundation to (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) include physician assistants; amend KRS 311.619 to provide confidentiality to physician assistants BR901 - Representative Nima Kulkarni BR856 - Representative McKenzie Cantrell participating in the impaired physician and physician (12/5/2019) (12/12/2019) assistants program; and amend KRS 218A.010 to amend the definition of practitioner. AN ACT relating to legal actions concerning AN ACT relating to preserving families that (Prefiled by the sponsor(s).) the exercise of a person’s constitutional rights. include a parent who is blind. Create new sections of KRS Create new sections of KRS BR873 - Representative Russell Webber Chapter 454 to provide definitions and establish Chapter 405 relating to parents or prospective parents (12/9/2019) procedures for dismissing legal actions filed in with blindness; define terms; establish rights of response to a party’s exercise of free speech, right parents or prospective parents with blindness. AN ACT proposing an amendment to to petition, or right to association; allow for an (Prefiled by the sponsor(s).) Section 70 of the Constitution of Kentucky relating immediate appeal as a matter of right; allow for costs to the election of Governor and Lieutenant Governor. to be awarded to petitioning party if dismissal is BR859 - Senator Gerald Neal Propose to amend Section 70 of granted; allow for costs to be awarded to responding (11/6/2019) the Kentucky Constitution to require a Governor to party if the motion was found to be frivolous or filed name his or her Lieutenant Governor within 30 days solely for the purpose of unnecessary delay; provide AN ACT proposing an amendment to of receiving the nomination for Governor. that this Act may be cited as the Kentucky Public Section 145 of the Constitution of Kentucky relating (Prefiled by the sponsor(s).) Participation Act. to persons entitled to vote. (Prefiled by the sponsor(s).) Propose to amend Section 145

78 2019 Interim LEGISLATIVE RECORD BR903 - Representative Cluster Howard forth the functions of the commission. facilities and vehicles and allocate the profits of the (12/11/2019) (Prefiled by the sponsor(s).) program to the maintenance account within the road fund. AN ACT proposing an amendment to BR910 - Senator Ralph Alvarado (Prefiled by the sponsor(s).) Section 32 of the Constitution of Kentucky relating (12/12/2019) to terms of members of the General Assembly. BR936 - Representative Susan Westrom, Propose to amend Section 32 of the AN ACT relating to sheltered employment. Representative Terri Branham Clark Constitution of Kentucky to prevent Senators from Amend KRS 337.010 to redefine (12/5/2019) serving more than four terms of office, not including “employee” to include workers in sheltered partial terms of two years or less, and to prevent workshops whose employment begins on or after AN ACT relating to the certification of sober members of the House of Representatives from January 1, 2024; amend KRS 337.295 to require living homes and declaring an emergency. serving more than six terms of office, not including new administrative regulations concerning sheltered Create a new section of KRS partial terms of two years or less, beginning with those workshops and sheltered workshop employment; Chapter 210 to define “sober living homes”; elected in November 2022; provide ballot language; amend KRS 205.5605 to exclude referrals to sheltered require the Cabinet for Health and Family Services submit to voters for ratification or rejection. employment from the definition of “covered services to provide access to a certification program for (Prefiled by the sponsor(s).) and supports” as of January 1, 2024. sober living homes; require the cabinet to develop (Prefiled by the sponsor(s).) and make available on its Web site a directory of BR906 - Senator Ralph Alvarado certified sober living homes; permit the cabinet to (12/4/2019) BR917 - Senator Alice Kerr promulgate administrative regulations; require the (11/19/2019) cabinet to report on progress by December 1, 2020; AN ACT proposing an amendment to EMERGENCY. Section 54 of the Constitution of Kentucky. AN ACT relating to coverage for medically (Prefiled by the sponsor(s).) Propose an amendment to Section necessary fertility preservation services. 54 of the Constitution of Kentucky to allow the Create a new section of Subtitle BR947 - Senator Brandon Smith General Assembly the power to limit noneconomic 17A of KRS Chapter 304 to establish that any health (12/11/2019) damages for injuries resulting in death or for injuries benefit plan issued or renewed in the Commonwealth to persons or property, and the power to provide that provides coverage for hospital, medical, or AN ACT relating to blockchain technology. statutes of limitation; provide for submission to the surgical expenses, shall include coverage for standard Create a new section of KRS voters. fertility preservation services when a necessary Chapter 42 to create a six-member Blockchain (Prefiled by the sponsor(s).) medical treatment may directly or indirectly cause Technology Working Group; attach the working group iatrogenic infertility to an insured; establish language to the Commonwealth Office of Technology; require BR907 - Senator Ralph Alvarado to specify that fertility preservation coverage is not the working group to examine the applicability of (12/11/2019) required to be provided or included in any employer- blockchain technology for various utility sectors and sponsored health benefit plan offered by an employer report to the Governor and the LRC by December 1 AN ACT relating to special purpose to its employees if the employer is a religious of each year. governmental entities. organization; EFFECTIVE January 1, 2021. (Prefiled by the sponsor(s).) Create a new section of KRS (Prefiled by the sponsor(s).) Chapter 65A to require proposed increases in ad BR957 - Senator Ralph Alvarado valorem taxes and certain fees and the levy of new ad BR925 - Representative Buddy Wheatley (12/4/2019) valorem taxes or fees by special purpose governmental (12/11/2019) entities to be submitted to the legislative body of Adjourn in honor and loving the county or city in which the special purpose AN ACT relating to flavored vapor products. memory of Dr. Robert Couch. governmental entity is located for review; amend Amend KRS 438.305 to include (Prefiled by the sponsor(s).) various sections of the Kentucky Revised Statutes to definitions for “flavored vapor product” and conform; repeal KRS 65A.100; EFFECTIVE January “characterizing flavor”; create a new section of BR965 - Representative Chris Freeland 1, 2021. KRS 438.305 to 438.340 to ban the sale, purchase, (12/13/2019) (Prefiled by the sponsor(s).) and distribution of flavored vapor products in the Commonwealth including online transactions; AN ACT relating to public records and BR909 - Senator Ralph Alvarado establish the fines for violations. declaring an emergency. (12/4/2019) (Prefiled by the sponsor(s).) Amend KRS 61.878 to exclude from the Open Records Act gruesome photographs or AN ACT relating to the Solemn Covenant BR931 - Representative Thomas Huff videos of persons prepared, owned, used, possessed, of the States to Award Prizes for Curing Diseases (12/11/2019) or retained by public agencies. Interstate Compact. (Prefiled by the sponsor(s).) Create a new section of KRS AN ACT relating to the sponsorship of Chapter 214 to enact and enter into the Solemn Transportation Cabinet facilities and vehicles and BR967 - Senator Ralph Alvarado Covenant of the States to Award Prizes for making an appropriation therefor. (12/12/2019) Curing Diseases Interstate Compact with all other Create a new section of KRS jurisdictions that legally join in the compact; declare Chapter 174 to direct the Transportation Cabinet to AN ACT relating to the sale of tobacco, the purpose of the compact; define terms; establish implement a commercial sponsorship program for alternative nicotine, and vapor products. the Solemn Covenant of States Commission and set Amend KRS 438.305 to change the THE KENTUCKY GENERAL ASSEMBLY 79 definition of “proof of age”; amend KRS 438.310 to penalty for failure to provide insurance to employee requirement of appointment; outline permissible prohibit the sale of tobacco, alternative nicotine, or from first day of employment. appointments; provide that appointment to a vapor products to persons under the age of 21; amend (Prefiled by the sponsor(s).) deceased appointee is ineffective and appointment KRS 438.311 to make it unlawful for persons under 21 to an impermissible appointee is ineffective; require to buy tobacco, alternative nicotine, or vapor products; BR996 - Representative C. Ed Massey a powerholder’s intent to be carried out in cases of establish a fine of not less than $50 nor more than (12/12/2019) selective allocation; establish the procedure for $500 for a person over the age of 18 who violates the disposition of property ineffectively appointed; age restrictions for purchasing or receiving tobacco, AN ACT relating to felony mediation. provide for the disposition of unappointed property alternative nicotine, or vapor products; remove status Create a new section of KRS under released or unexercised general power; provide offense designation for violations by persons under Chapter 421 to allow victims of felonies to request for the disposition of unappointed property under 18; remove jurisdiction of the juvenile section of the felony mediation; require the Chief Justice to released or unexercised nongeneral power; provide District Court for violations by persons under 18; maintain a list of felony mediators. for the disposition of unappointed property if partial remove references to arrest and court appearances by (Prefiled by the sponsor(s).) appointment is to the taker in default; provide for persons under 18; amend KRS 438.313 to prohibit the disposition of property appointed to the taker in the wholesale, retail, or manufacturer distribution BR997 - Representative C. Ed Massey default; allow a powerholder to revoke or amend of tobacco or vapor products to persons under 21; (12/11/2019) an exercise; allow a powerholder to disclaim a remove references to arrest and court appearances for power of appointment or contract to appoint or not persons under 18; amend KRS 438.315 to raise the AN ACT relating to theft. appoint any property subject to the power; allow a minimum age for vending machine sales of tobacco, Amend KRS 514.030 to raise the powerholder to release a power of appointment; state alternative nicotine, or vapor products to 21; remove threshold level of property value for a Class D felony the method in which a powerholder may release references to arrest and court appearances for persons for theft by unlawful taking or disposition from $500 a power of appointment; allow a powerholder under 18; amend KRS 438.325 to establish 21 as to $1,500. to revoke or amend a release of power; allow a the age limit regarding tobacco, alternative nicotine, (Prefiled by the sponsor(s).) powerholder of a presently exercisable power of or vapor product retail notifications; amend KRS appointment and a not presently exercisable power 438.330 to set tobacco, alternative nicotine, and vapor BR999 - Representative Mary Lou Marzian of appointment to contract; establish a remedy for a product enforcement standards so that they relate to (12/5/2019) powerholder’s breach of a contract to appoint or not persons under the age of 21; amend KRS 438.350 to appoint appointive property; outline the rights of a regarding possession of tobacco, alternative nicotine, AN ACT relating to plastic waste. powerholder’s creditors in appointive property; state or vapor products by a person under age 21; amend Amend KRS 224.50-545 to when appointive property is subject to a claim when KRS 600.020 to remove tobacco offenses from the establish definitions; prohibit the intentional release the power is general; state when appointive property definition of “status offense action”; amend 610.010 of more than 25 plastic balloons; establish a ban on is subject to a claim when the power is nongeneral; to remove tobacco related offenses as provided in plastic, single-use carryout bags by July 1, 2025; require uniformity of interpretation and application KRS 438.305 to 438.340 from the jurisdiction of the establish a ban the provision of single-use plastic with regard to other states that have enacted this Act; juvenile section of the District Court; amend 630.020 straws and Styrofoam food and beverage containers specify how the enactment of this Act affects existing to remove tobacco related offenses as provided in by retail food and beverage establishments by July powers of appointment; provide that KRS Chapter KRS 438.305 to 438.340 from the jurisdiction of the 1, 2023; establish civil penalty of $100 per day for 390 may be known as the Kentucky Uniform Powers juvenile section of the District Court; amend 630.120 violation of bans. of Appointment Act; amend KRS 381.225 to provide to remove the reference to child tobacco offenses (Prefiled by the sponsor(s).) that a new perpetuities period may be started when under KRS 438.305 to 438.340; EFFECTIVE a power of appointment is exercised, if the person January 1, 2021. BR1001 - Representative C. Ed Massey exercising the power so provides; amend KRS (Prefiled by the sponsor(s).) (12/11/2019) 381.226 to exclude any interest in property created by the exercise of a special power of appointment BR976 - Representative Chris Freeland AN ACT relating to powers of appointment. granted by an instrument that was irrevocable (12/9/2019) Establish KRS Chapter 390 on September 25, 1985, from being construed as and create new sections thereof to define various requiring the interests to vest within the period AN ACT relating to Kentucky Educational terms; specify the governing law over a power of specified in KRS 381.224, 381.225, and 381.226; Excellence Scholarships. appointment; state that common law supplements repeal KRS 386.095, 394.060, and 394.070, which Amend KRS 164.7879 to allow this chapter; outline the creation of a power of relate to exercise and release of powers. a student who attends an out of state high school appointment; prohibit the transfer of a power of (Prefiled by the sponsor(s).) or Department of Defense school due to a parent’s appointment; specify general presumptions upon a military transfer to earn a KEES award. power of appointment’s creation; make an exception BR1002 - Representative C. Ed Massey (Prefiled by the sponsor(s).) to the general presumption about a power of (12/11/2019) appointment; define “adverse party”; allow a donor BR983 - Representative Cherlynn Stevenson to revoke or amend a power of appointment in AN ACT relating to property and trusts. (12/13/2019) certain instances; state when a power of appointment Create new sections of KRS may be exercised; provide that a residuary clause Chapter 386 to establish the Kentucky Community AN ACT relating to health care insurance manifests a powerholder’s intent to exercise a power Property Trust Act; set requirements for creation of waiting periods. of appointment; state that a blanket-exercise clause community property trusts by spouses; amend KRS Create a new section of Chapter extends to a power acquired by the powerholder 141.019, relating to individual income tax, to provide 337 to eliminate health insurance waiting periods after executing the instrument containing the that adjusted gross income does not include a change for new employees; amend KRS 337.900 to add a clause; require substantial compliance with a formal in the cost basis of the surviving spouse’s share of

80 2019 Interim LEGISLATIVE RECORD property owned by a Kentucky community property of teacher-directed activities to be completed during trust occurring for federal income tax purposes; BR1008 - Representative Al Gentry nonteaching time. amend KRS 386.175 to provide that a second trust (12/13/2019) (Prefiled by the sponsor(s).) may be created from an original trust whose terms have been modified; create a new section of KRS AN ACT proposing an amendment to BR1025 - Representative Kathy Hinkle Chapter 396 to provide that creditor claims are barred Section 226 of the Constitution of Kentucky relating (12/12/2019) if not presented within 6 months after the appointment to casino gaming. of a personal representative or if not presented within Propose to amend Section 226 AN ACT relating to boards of education. 60 days of a personal representative giving actual of the Constitution of Kentucky to authorize the Amend KRS 160.280 to require notice to the creditor; amend KRS 396.011 to require General Assembly to define, permit, and regulate local school board members to be offered health creditor claims to be brought within the earlier of 8 casino gaming; require that proceeds be used to pay insurance at the same rates offered to district months after the decedent’s death or the established for oversight of casino gaming; mandate that 100 employees. time periods. percent of proceeds in excess of oversight costs go (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) to specified retirement systems prior to July 1, 2040; allow the General Assembly to allocate all proceeds BR1038 - Representative Myron Dossett BR1003 - Representative C. Ed Massey in excess of oversight costs after July 1, 2040; submit (12/9/2019) (12/11/2019) to voters. (Prefiled by the sponsor(s).) AN ACT relating to school building projects. AN ACT relating to Uniform Fiduciary Amend KRS 162.070 to increase Access to Digital Assets Act. BR1010 - Representative Rob Wiederstein the minimum amount for advertising and bidding Establish KRS Chapter 395A (12/5/2019) school building projects from $7,500 to $30,000. and create new sections thereof to enact the (Prefiled by the sponsor(s).) Revised Uniform Fiduciary Access to Digital Urge the United States Congress to Assets Act to establish a framework for the enact the Lower Health Care Costs Act. BR1042 - Representative David Meade management and disposition of digital assets upon (Prefiled by the sponsor(s).) (12/12/2019) death or incapacitation; define terms; set forth the applicability of the chapter to fiduciaries, personal BR1011 - Representative Danny Bentley AN ACT relating to involuntary termination representatives, conservators, and trustees, and (12/11/2019) of parental rights. provide that the chapter does not apply to a digital Amend KRS 625.060 and 625.070 asset of an employer that is used by an employee Urge federal policymakers to to specify the rights of a foster parent related to in the ordinary course of business; prioritize user expedite research regarding the safety and efficacy of involuntary termination of parental rights cases. directions regarding disclosure over certain terms- the use of marijuana for medical purposes. (Prefiled by the sponsor(s).) of-service agreements; provide that the Act does not (Prefiled by the sponsor(s).) impair custodian and user access to records under BRs by Sponsor terms-of-service agreements; establish procedures for BR1020 - Representative David Hale disclosing digital assets; enumerate documentation (12/5/2019) * - denotes primary sponsorship of BRs required for a personal representative to gain access to content of electronic communications; enumerate AN ACT relating to student privacy and Senate documentation required to access digital assets declaring a emergency. other than the content of a decedent’s electronic Create new sections of KRS Adams, Julie Raque communications; enumerate documentation required Chapter 158 to ensure that student privacy exists BR492* for a person with power of attorney to gain access to in school restrooms, locker rooms, and showers; Alvarado, Ralph the content of electronic communications of principal; require students born male to use only those facilities BR98*, 141*, 425*, 433*, 474*, 906*, 907*, 909*, enumerate documentation required to access designated to be used by males and students born 910*, 957*, 967* digital assets other than the content of a principal’s female to use only those facilities designated to be Buford, Tom electronic communications; authorize disclosure to used by females; require schools to provide the best BR885*, 897* trustees who are original users of a trust’s digital available accommodation to students who assert that Carroll, Danny assets; enumerate documentation required for content their gender is different from their biological sex; BR176*, 182*, 257*, 368*, 430*, 488*, 494* disclosure to a trustee; enumerate documentation identify consequences for using facilities designated Carroll, Julian M. required for disclosure of a trust’s digital assets other for the opposite biological sex; identify the Act as the BR236* than content; enumerate documentation required for Kentucky Student Privacy Act; EMERGENCY. Embry Jr., C.B. a conservator to gain access to a protected person’s (Prefiled by the sponsor(s).) BR117*, 118*, 119*, 205*, 206* digital assets; apply fiduciary duties and authority to Harper Angel, Denise BR435* digital assets; provide compliance guidelines for the BR1024 - Representative Kathy Hinkle custodians of digital records; require that the chapter (12/12/2019) Harris, Ernie be applied to promote uniformity among the states; BR184 establish conformity with federal requirements AN ACT relating to nonteaching time for Higdon, Jimmy related to electronic signatures and records; provide teachers. BR184* that the chapter may be cited as the Revised Uniform Amend KRS 158.060 to require Kerr, Alice Forgy Fiduciary Access to Digital Assets Act (2015). teachers to be provided a minimum of 120 minutes BR917* (Prefiled by the sponsor(s).) per week for nonteaching activities; specify types Meredith, Stephen THE KENTUCKY GENERAL ASSEMBLY 81 BR274*, 275*, 278*, 279*, 315*, 423* Fugate, Chris Miller, Jerry T. Neal, Gerald A. BR240 BR32*, 179*, 468* BR282*, 859* Gentry, Al Minter, Patti Parrett, Dennis BR1008* BR125, 180* BR412* Glenn, Jim Moore, Tim Schickel, John BR246*, 284* BR125 BR94*, 140*, 198*, 214*, 297* Goforth, Robert Moser, Kimberly Poore Smith, Brandon BR136*, 181, 240 BR269*, 310*, 313* BR947* Gooch Jr., Jim Nemes, Jason Stivers II, Robert BR204* BR45*, 113*, 120, 136, 366*, 808 BR184 Graham, Derrick Osborne, David Thomas, Reginald BR237, 801* BR290* BR132*, 306*, 394*, 439*, 440* Graviss, Joe Petrie, Jason Turner, Johnny Ray BR61, 136, 160*, 237, 409*, 467* BR125 BR270* Hale, David Pratt, Phillip Wheeler, Phillip BR240, 1020* BR125, 181, 379* BR221*, 222* Harris, Chris Prunty, Melinda Gibbons House BR237 BR72*, 125 Adkins, Rocky Hart, Mark Raymond, Josie BR237 BR82*, 83*, 181, 203*, 411* BR126*, 320*, 334* Bechler, Lynn Hatton, Angie Reed, Brandon BR143*, 239*, 240* BR413*, 414*, 415*, 499* BR37, 125, 181*, 240*, 403* Bentley, Danny Heath, Richard Riley, Steve BR7*, 8*, 9*, 105*, 181, 218*, 240, 886*, 1011* BR240 BR120*, 121*, 125, 181, 898* Blanton, John Hinkle, Kathy Rothenburger, Rob BR181, 370* BR61, 237*, 1024*, 1025* BR82*, 83*, 151* Booker, Charles Howard, Cluster Rowland, Bart BR23*, 61, 187*, 237, 450 BR272*, 903* BR125, 181* Branham Clark, Terri Huff, Regina Schamore, Dean BR358*, 936* BR109*, 124*, 133*, 181, 197*, 212*, 215*, 288*, BR154*, 155*, 181 Bratcher, Kevin D. 482*, 817* Scott, Attica BR127*, 160*, 808 Huff, Thomas BR27*, 61*, 79*, 88*, 107*, 178*, 231*, 233*, Brenda, R. Travis BR181, 240, 808*, 931* 351, 407*, 450*, 457*, 486* BR102*, 372*, 480* Jenkins, Joni L. Sheldon, Steve Bridges, Randy BR237, 803* BR125, 136, 181, 185*, 218*, 240, 292, 865* BR37*, 181 Keene, Dennis Sims Jr, John Brown Jr, George BR80* BR36*, 181, 436* BR337*, 339*, 342*, 343* King, Kim Sorolis, Maria Burch, Tom BR137*, 139*, 240 BR237, 431*, 432*, 853*, 854* BR273* Koch, Matthew St. Onge, Diane Cantrell, McKenzie BR247* BR6* BR316*, 317*, 319*, 843*, 856* Koenig, Adam Stevenson, Cherlynn Carney, John Bam BR364* BR135*, 173*, 174*, 237, 475*, 983* BR181 Kulkarni, Nima Stewart III, Jim Donohue, Jeffery BR61, 237, 323*, 833*, 835*, 901* BR136 BR237, 324*, 325*, 328*, 354*, 355*, 356*, 357* Lee, Stan Stone, Wilson Dossett, Myron BR181 BR125 BR240, 1038* Lewis, Derek Thomas, Walker DuPlessis, Jim BR31*, 181, 258*, 827* BR125, 240, 251*, 252*, 377* BR285*, 292* Marzian, Mary Lou Tipton, James Elkins, Larry BR61*, 999* BR224*, 461*, 832* BR181, 421* Massey, C. Ed Turner, Tommy Elliott, Daniel BR85*, 86*, 87*, 181, 291*, 367*, 391*, 485*, BR181, 240 BR181 996*, 997*, 1001*, 1002*, 1003* Upchurch, Ken Fischer, Joseph M. McCool, Bobby BR125, 181, 240 BR240, 241*, 418* BR181, 240, 263*, 844* Webber, Russell Frazier, Deanna Meade , David BR181, 808, 873* BR817* BR181, 1042* Westrom, Susan Freeland, Chris Meredith, Michael BR63*, 97*, 456*, 936* BR181, 965*, 976* BR125*, 181 Wheatley, Buddy BR237, 463*, 925*

82 2019 Interim LEGISLATIVE RECORD Wiederstein, Rob Counties with Cities of the First Class Hospitals and Nursing Homes BR3*, 4*, 48*, 49*, 50*, 66*, 76*, 78*, 88, 120, Counties, Charter Housing, Building, and Construction 237, 300*, 351*, 361*, 371*, 813*, 819*, 1010* Counties, Urban Hunting and Fishing Willner, Lisa County Clerks I BR120, 377* County Judges/Executive Immigration Yates, Les Courts Information Technology BR47*, 240 Courts, Circuit Inspections Courts, District Insurance Courts, Fiscal Insurance, Health Index Headings Crime Victims Insurance, Motor Vehicle Crimes and Punishments Interstate Cooperation A Administrative Regulations and Proceedings Criminal Procedure J Advertising D Jails and Jailers Advisory Boards, Commissions, and Committees Data Processing L Aeronautics and Aviation Deaths Labor and Industry Aged Persons and Aging Deeds and Conveyances Landlord and Tenant Agriculture Disabilities and the Disabled Legislative Research Commission Alcoholic Beverages Diseases Libraries Alcoholism Distilled Spirits Licensing Amusements and Recreation Dogs Lieutenant Governor Animals, Livestock, and Poultry Domestic Relations Loans and Credit Appropriations Driver Licensing Local Government Athletics Drugs and Medicines Local Mandate Attorney General E Lottery Attorney, Commonwealth’s Economic Development M Attorneys Education, Elementary and Secondary Malt Beverages Auditor of Public Accounts Education, Finance Medicaid Education, Higher Memorials B Banks and Financial Institutions Education, Vocational Men Barbers and Cosmetologists Effective Dates, Delayed Mental Disability Blind or Deaf Persons Effective Dates, Emergency Mental Health Boards and Commissions Elections and Voting Military Affairs and Civil Defense Budget and Financial Administration Embalmers and Funeral Directors Minerals and Mining Emergency Medical Services Motor Vehicles C Campaign Finance Energy N Cannabis Environment and Conservation Noise Control Capital Construction Ethics Notices Cemeteries and Burials F Nurses Charitable Organizations and Institutions Federal Laws and Regulations O Children and Minors Fees Occupational Safety and Health Circuit Clerks Fiduciaries Occupations and Professions Cities Financial Responsibility Oil and Natural Gas Civil Actions Fire Prevention P Civil Procedure Firearms and Weapons Parental Rights Civil Rights Firefighters and Fire Departments Parks and Shrines Claims Fiscal Note Peace Officers and Law Enforcement Clergy Fish and Wildlife Personnel and Employment Coal Fuel Pharmacists Commendations and Recognitions G Physicians and Practitioners Commerce Gambling Police, City and County Compacts, Interstate General Assembly Police, State Consolidated Local Governments Governor Pollution Constables Guardians Property Constitution, Ky. H Property Valuation Administrators Constitution, U.S. Health and Medical Services Public Assistance Consumer Affairs Highways, Streets, and Bridges Public Authorities Contracts Historical Affairs Public Buildings and Grounds Cooperatives Holidays Public Health Corporations Homeland Security Public Medical Assistance Corrections and Correctional Facilities, State Honorary Highway Designations Public Officers and Employees Counties Horses and Horse Racing Public Protection THE KENTUCKY GENERAL ASSEMBLY 83 Public Records and Reports W Solitary confinement of juveniles, limitations on - Public Safety Wages and Hours BR351 Public Salaries Waste Management State Public Utilities Wills and Estates Board of Elections, prescribe forms - BR432; Public Works Wines and Wineries BR440 Purchasing Women Board of Elections, voter preregistration, minimum R Workers’ Compensation age of 16 - BR273 Race Relations Workforce Police, assault weapon registration, program for - Racing BR354 Railroads BR Index Police, firearm registration and sales - BR342 Religion STEM teacher promise zone loan forgiveness, Reports Mandated administration of - BR31 Administrative Regulations and Proceedings Reproductive Issues Alcoholic Beverage and Cannabis Control, medicinal Transportation Research and Methods marijuana program - BR366 Cabinet, school bus stop arm camera violation, Retirement and Pensions Board administrative proceedings - BR136 Retroactive Legislation of Education, academic standards for African and Cabinet, school bus stop arm camera violation, S Native American instruction - BR27 defenses to civil penalty - BR136 Safety of Education, school bus stop arm cameras, Cabinet, school bus stop arm cameras, regulations Sales regulations for requirement and inspections - for enforcement and proceedings - BR136 Science and Technology BR136 Voluntary Secretary of State Cabinet non-opioid directive, Cabinet for Health and Family Sewer Systems for Health and Family Services, Medicaid ambulance Services, administrative regulations - BR7 Sheriffs service provider assessment - BR83 non-opioid directive, licensing boards, Short Titles and Popular Names for Health and Family Services, patient safety administrative regulations for - BR7 Small Business culture survey - BR819 Special Districts Cannabis Licensees, agency to promulgate regulations Advertising Special Purpose Governmental Entities for - BR272 Balloon releases, ban of use of - BR999 State Agencies Department State Employees of Fish and Wildlife Resources, hunting coyotes at Advisory Boards, Commissions, and Committees State Symbols and Emblems night - BR258 Blockchain Technology Working Group, creation of Studies Directed of Insurance, collection of billed health care service - BR947 Substance Abuse charges - BR425 Kentucky all-payer claim database advisory Surface Mining of Insurance, commissioner, database of billed committee, establishing - BR50 T health care services - BR475 Regulatory Economic Analysis Task Forces, Executive Branch Forms, State Board of Elections to provide - BR154 Advisory Group, creation of - BR300 Task Forces, Legislative Branch KCTCS, endowment match fund, administration of Taxation - BR252 Aeronautics and Aviation Taxation, Income--Corporate Kentucky Noise mitigation, income tax credit for - BR355 Taxation, Income--Individual Board of Education, allowing construction Taxation, Inheritance and Estate management-at-risk option - BR87 Aged Persons and Aging Taxation, Property Board of Medical Licensure, due process procedures Assisted-living communities, certification - BR182 Taxation, Sales and Use - BR86 Dementia care training, direct care staff and managers Teachers Board of Medical Licensure, prescribing controlled - BR394 Technology substances, physician assistants - BR865 Income tax, exemption for centenarians - BR246 Telecommunications Board of Pharmacy, insulin assistance program - License tax, exemption for centenarians - BR246 Time BR222 Tobacco Major economic action regulations, procedures for Agriculture Trade Practices and Retailing - BR300 Animal-drawn vehicle, animal shoes, prohibition - Traffic Safety Maternal mortality, Cabinet for Health and Family BR480 Transportation Services, data - BR88 Commissioner, candidate for office, submission of Treasurer Paid parental leave for employees, employers with federal income tax returns, requirement of - BR801 U fifty or more employees - BR320 Commissioner of Agriculture, statement of use of Unemployment Compensation Patient safety culture survey, hospitals to conduct - state resources for nonpublic purposes, requiring Uniform Laws BR819 - BR499 United States Psychology Interjurisdictional Compact - BR377 Commissioner, successful candidate, repayment Universities and Colleges Sanctuary deadline for personal loans made to campaign - V cities, determination of, establishment of hearing BR803 Vaping procedures - BR240 Farmer Suicide Prevention Day, designating - BR403 Veterans postsecondary institution, determination of, hearing Medical marijuana, safety and efficacy research, Veterinarians procedures - BR240 advocating for - BR1011 Tax, sales and use, pasture, agricultural, and horticulture

84 2019 Interim LEGISLATIVE RECORD land maintenance services, exemption of - BR102 Evidence-based decisions - BR76 Regulatory Economic Analysis Advisory Group, Finance and Administration Cabinet, reimburse non- membership on - BR300 Alcoholic Beverages govermental employee on policymaking task force Statement of use of state resources for nonpublic Beverage straws, Styrofoam, and plastic carryout - BR371 purposes, requiring - BR499 bags, ban of - BR999 Fines for animal-drawn vehicle with animal shoes, to Successful candidate, repayment deadline for Countywide local option election, petition road fund - BR480 personal loans made to campaign - BR803 requirements relating to - BR897 Insulin assistance program, insulin assistance fund Spirit of Kentucky, designate bourbon - BR284 - BR222 Attorney, Commonwealth’s KCTCS, endowment match fund, $3 million annually Shooting of an individual by a law enforcement Alcoholism - BR252 officer or deadly incident, investigation of - BR79 Kentucky Mental Health First Aid Training Program, Kentucky creating - BR313 all-payer claim database fund, establishing - BR50 Attorneys Sober living homes, certification - BR936 Mental Health First Aid Training fund, creating - Kentucky Gaming Commission, BR313 Commonwealth Attorney’s Association Amusements and Recreation Retirement Systems, liability-based contributions member appointment to - BR236 Casino for KERS employers - BR292 gaming, constitutional amendment, authority for - Local health departments, funding, establish - BR269 Auditor of Public Accounts BR1008 Medicinal Candidate for elective office, submission of federal gaming, licensing for - BR80 marijuana program, local medicinal marijuana trust income tax returns, requirement of - BR801 Fantasy contests, provisions for - BR364 fund - BR366 Constitutional amendment, relinquishment of, duties Online poker, provisions for - BR364 marijuana program, medicinal marijuana trust fund pertaining to, gubernatorial succession - BR279 Sports - BR366 Examination, compliance with the Kentucky Open wagering, licensing of - BR236 Mining performance bonds, distribution of funds Data Standards and Portal Act - BR3 wagering, provisions for - BR364 from penalties - BR270 Statement of use of state resources for nonpublic Passing purposes, requiring - BR499 Animals, Livestock, and Poultry stopped school bus, cited by police, criminal citation Successful candidate, repayment deadline for Abuse of animals, reporting by veterinarian - BR205; funds - BR136 personal loans made to campaign - BR803 BR288 stopped school bus, recorded by camera, civil Animal cruelty, forfeiture of abused animal, requiring penalty funds - BR136 Banks and Financial Institutions - BR135 Pension income exclusion, retroactively raise - Community Property Trust Act, creation of - BR1002 Animal-drawn vehicle, animal shoes, prohibition - BR215 Creditor’s claim, time period for - BR1002 BR480 Sponsorships of facilities and vehicles, utilization of Assault on a service animal, first degree, inclusion of maintenance account within the road fund - BR931 Barbers and Cosmetologists assistance animals - BR358 STEM teacher promise zone Cosmetologists, practice outside of Assistance dogs, prohibiting misrepresentation of - scholarship fund, creation of - BR31 licensed establishments - BR233 BR139 Commercially manufactured, spring-loaded traps, Athletics Blind or Deaf Persons furbearers, prohibit use of - BR492 Assualt of intimidation of a sports official, penalties Parents or prospective parents with Coyotes, hunting at night, requirements - BR258 for - BR37 blindness, rights established - BR856 Cruelty to equines, prohibition of - BR6 Fantasy contests, provisions for - BR364 Danger of death, dog or cat, removal from vehicle, Public charter schools, repeal - BR61 Boards and Commissions civil immunity - BR173 Sports wagering, provisions for - BR364 Alcoholic Beverage Control Board, adding Cannabis Shelter pets, official pets of Kentucky, name and Wagering on athletic contests, licensing of - BR236 Administrator to - BR272 designate - BR160 Board Veterinarians, animal cruelty, allow reports of - BR174 Attorney General of Education, academic standards for African and Ability to seek injunctive relief in matters relating to Native American instruction - BR27 Appropriations sanctuary policies - BR430 of Education, eligibility and membership - BR357 Ambulance service assessment revenue fund, create Candidate for elective office, submission of federal Commonwealth of Kentucky Data Governance and - BR83 income tax returns, requirement of - BR801 Management Advisory Board, creation of - BR3 Assault weapons, buyback program - BR354 Constitutional amendment, relinquishment of, duties Data working group, creation of - BR3 Bowling Green Veterans Center, design and pertaining to, gubernatorial succession - BR279 Kentucky preconstruction - BR125 Hearing Board of Creative Arts Therapies, membership Cabinet for Health and Family Services, funding, officers, Kentucky Board of Medical Licensure, composition of - BR457 establish - BR269 disciplinary hearings - BR86 board of Licensure for Professional Art Therapists, Cannabis revenue, KERS nonhazardous and TRS officers, pool, creation and maintenance of - BR86 name change - BR457 pensions, funding for - BR272 Kentucky Gaming Commission, appointment to - Gaming Commission, creation of - BR236 Constitutional amendment, General Assembly, BR236 Transportation Board, establishment, membership, budget special session, compensation suspended Nonprofit healthcare conversion transactions, powers, and duties - BR184 - BR137 requirements for - BR66 Local school board members, insurance rates - Direct Health Care Services and Research Facilities Officer Shooting Review Board, establishment of- BR1025 Operations Loan - BR290 BR79 THE KENTUCKY GENERAL ASSEMBLY 85 Officer Shooting Review Board, establishment of- schools to offer test, grades 10 to 12 - BR391 Law enforcement officers, disabled or killed, tuition BR79 Baby products and diapers, exemption of sales and benefits for spouse or children - BR82 Recommended Biennial Highway Construction Plan, use tax - BR178 License tax, exemption for centenarians - BR246 Kentucky Transportation Board approval - BR184 Bullying, Minimum wage, authority to establish - BR132; State assistance and state management, Board of definition - BR126 BR237 Education, process for - BR357 notification of allegations of bullying, parents to Sanctuary policies, prohibitions relative thereto - State, Elections, promulgate administrative receive - BR126 BR430 regulations for, voter preregistration - BR273 Certificate of stillbirth resulting in death, issue, upon Special purpose governmental entities, review of fee request of parent - BR844 and tax increases, requiring - BR907 Budget and Financial Administration Child Support enforcement of federal immigration Abortion services, government payments to entities abuse, reporting of - BR63; BR143 law, requirements relative thereto - BR430 referring for/counseling in favor of, prohibition - dependency, neglect, or abuse, required reporting of BR239 - BR368 Civil Actions Bowling Green Veterans Center, design and Child-care center standards, establishing - BR488 Building code, violations of - BR485 preconstruction - BR125 Corporal physical discipline, use of, prohibiting - Community Property Trust Act, creation of - BR1002 Candidates for elective office, federal income tax BR120 Creditor’s claim, time period for - BR1002 returns, requirement of, fees collected - BR801 Excused school absences, up to four days when Criminal Constitutional amendment, General Assembly, consulting with military recruiters - BR391 gangs, activities, offense, and penalties relating to budget special session, compensation suspended - Historical instruction, African and Native American - BR450 BR137 history, requirements for - BR27 mischief in the first degree, personal or real property Direct Health Care Services and Research Facilities Kindergarten, full day of attendance for - BR334 damages, recovery of - BR204 Operations Loan - BR290 Maternal mortality and morbidity, prevention of - Exercise of Constitutional rights, dismissal of legal Evidence-based decisions - BR76 BR88 actions against - BR901 Fiscal note requirements, establishment of - BR4 Neonatal Intensive Care Unit, task force, creation of Immunity, vehicle damage, removal of dog or cat in Major economic action regulations, procedures for - BR813 danger of death - BR173 - BR300 Parental rights, involuntary termination of, foster Nonprofit healthcare conversion transactions, Recommended Six-Year Road Plan, Kentucky parent involvement, establishing - BR372; BR1042 requirements for - BR66 Transportation Board approval - BR184 Parents or prospective parents with blindness, rights Recovery for injuries or death, limitations, proposing established - BR856 constitutional amendment - BR906 Campaign Finance Persons eligible for, voter preregistration, minimum Revised Uniform Fiduciary Access to Digital Assets Candidates for elective office, submission of federal age of 16 - BR273 Act, adoption of - BR1003 income tax returns, requirement of - BR801 Solitary confinement of juveniles, limitations on - Statute of limitations, childhood sexual abuse - Personal loans, successful candidates for BR351 BR143 constitutional officers, deadline - BR803 Statute of limitations, childhood sexual abuse, Trust, amendment of instrument creating - BR1002 criminal and civil actions - BR143 Cannabis STEAM education, taskforce to improve diversity in Civil Procedure CBD oil, THC, drug testing, employment - BR486 Criminal gangs, activities, offense, and penalties discrimination, prohibiting - BR436 Student identification badges required to contain relating to - BR450 Licenses, creation and regulation of - BR272 national crisis hotline numbers - BR435 Exercise of Constitutional rights, dismissal of legal Medicinal marijuana program, establishment - Tobacco-related offenses, minors, remove status actions against - BR901 BR366 offense designation - BR967 Hair texture and hairstyle, expanding the definition of Vapor product enhanced cartridge, inclusion of - BR468 Unlawful storage of a firearm, prohibition of - BR282 race to include - BR231 Immunity from civil liability, law enforcement Capital Construction Circuit Clerks officers - BR370 Bowling Green Veterans Center, Driver license application, automatic voter Immunity, vehicle damage, removal of dog or cat in design and preconstruction - BR125 preregistration and registration, option to decline danger of death - BR173 - BR273 Mental health professional and clergy, authority to Cemeteries and Burials Driver’s license application, automatic voter petition for a protective order - BR97 Disposition of remains, guardian to determine - BR423 registration, option to decline, provide for - BR854 Nonprofit healthcare conversion transactions, requirements for - BR66 Charitable Organizations and Institutions Cities Recovery for injuries or death, limitations, proposing KCTCS, endowment match - BR252 Abortion services, government payments to entities constitutional amendment - BR906 Nonprofit healthcare conversion referring for/counseling in favor of, prohibition - Revised Uniform Fiduciary Access to Digital Assets transactions, requirements for - BR66 BR239 Act, adoption of - BR1003 Emergency medical services personnel, disabled or Trust instruments, time period related Children and Minors killed, tuition benefits for spouse and children - to power of appointment - BR1001 Abortion, constitutional amendment, no protected BR82 right - BR241 Fire districts and subdistricts, emergency ambulance Civil Rights ASVAB, service, provision of - BR45 Employment discrimination, requirement of criminal school counseling based on results and included in Firefighters, disabled or killed, tuition benefits for history on job applications, prohibition - BR343 individualized learning plans - BR391 spouse and children - BR82 Hair texture and hairstyle, expanding the

86 2019 Interim LEGISLATIVE RECORD definition of race to include - BR231 amendment - BR274 Judicial removal orders, jailers responsibilities - Assembly, terms of members, limit - BR155 BR379 Claims Assembly, terms of members, limiting - BR78; Law enforcement officers, disabled or killed, tuition Building code, violations of - BR485 BR903 benefits for spouse or children - BR82 Recovery for injuries or death, limitations, Governor, election of, when Lieutenant Governor Library districts, election of board members - BR421 proposing constitutional amendment - BR906 designated - BR873 Minimum wage, authority to establish - BR132; Property tax, exemption, veterans’ service BR237 Clergy organizations, proposed amendment - BR127 Population of 90,000 or more, designation of Child abuse, reporting of - BR63; BR143 Recovery for injuries or death, limitation proposing countywide voting locations - BR432; BR440 Mental health professional and clergy, authority amendment - BR906 Sanctuary policies, prohibitions relative thereto - to petition for a protective order - BR97 Restoration of voting rights and prohibitions, BR430 amendment to - BR337 Special purpose governmental entities, review of fee Coal Voting and tax increases, requiring - BR907 Workers’ compensation, evaluations rights for felons, constitutional amendment to Support enforcement of federal immigration for occupational disease - BR414 provide - BR859 law, requirements relative thereto - BR430 rights, prohibitions relating to - BR23 Commendations and Recognitions Counties with Cities of the First Class Diabetic Ketoacidosis Awareness Day, April 26, 2020 Constitution, U.S. Reformulated gasoline requirements, study of - BR808 - BR886 Exercise of Constitutional rights, dismissal Raterman, Lisa, honoring - BR198 of legal actions against - BR901 Counties, Charter Roesel, Pat, honoring - BR214 Fire districts and subdistricts, emergency ambulance Consumer Affairs service, provision of - BR45 Commerce Plastic convenience items, prohibition of, Sanctuary policies, prohibitions relative thereto - Beverage straws, Styrofoam, and plastic carryout delayed implementation dates for - BR999 BR430 bags, ban of, delayed dates for - BR999 Support enforcement of federal immigration Non-compete agreements, enforceability regarding Contracts law, requirements relative thereto - BR430 health-care providers - BR433 Non-compete Tobacco, alternative nicotine, and vapor products, agreements, enforceability regarding health-care Counties, Urban raise minimum purchase age to 21 - BR967 providers - BR433 Fire districts and subdistricts, emergency ambulance clauses for physicians and osteopaths, void - BR48 service, provision of - BR45 Compacts, Interstate Property and casualty insurance renewals, notification Sanctuary policies, prohibitions relative thereto - Psychology Interjurisdictional Compact - BR377 of changes - BR98 BR430 Solemn Covenant of the States to Award Prizes for Smart contracts, blockchain Support enforcement of federal immigration Curing Diseases Interstate Compact, enacting - BR909 technology, definition of - BR947 law, requirements relative thereto - BR430

Consolidated Local Governments Cooperatives County Clerks Fire districts and subdistricts, emergency ambulance Utility rates, affordability, Public Service Commission Automatic service, provision of - BR45 review and adjustment, authority for - BR415 voter preregistration and registration, required Sanctuary policies, prohibitions relative thereto - information from circuit clerks - BR273 BR430 Corporations voter registration, required information from circuit Support enforcement of federal immigration Asset Resolution Corporation, clerks and certain state agencies - BR854 law, requirements relative thereto - BR430 organization and powers of - BR898 Ballot access, constitutional amendment, General Constables Corrections and Correctional Facilities, State Assembly, compensation suspended - BR137 Recall, procedure for - BR154 Solitary confinement of juveniles, access, Restoration of voting rights and prohibitions limitations on - BR351 relating,constitutional amendment for - BR337 Constitution, Ky. Constitutional Abolishment of Office of Lieutenant Governor, line Counties amendment, abolishing Office of Lieutenant of succession, proposed amendment - BR279 Abortion services, government payments to entities Governor, succession, ballot access - BR279 Amendment, abortion, no protected right - BR241 referring for/counseling in favor of, prohibition - amendment, General Assembly, terms of members, Casino gaming, amendment, authority for - BR1008 BR239 extension of, access to ballot - BR274 Exercise of Constitutional rights, dismissal of legal County waste planning areas, residual landfills, County board of elections, counties of 90,000 or more actions against - BR901 licensing for - BR206 population, provide designated voting location - General Emergency medical services personnel, disabled or BR432; BR440 Assembly, budget special session, compensation killed, tuition benefits for spouse or children - BR82 Duties, recall of certain elected officials - BR154 suspended - BR137 Exemption for centenarians - BR246 Early voting, omnibus bill - BR431; BR439 Assembly, gubernatorial line of succession, proposed Fee for emergency services authorized - BR151 Elections, board members of library districts - BR421 amendment - BR279 Fire districts and subdistricts, emergency ambulance Fee for emergency services placed upon property tax Assembly, terms of members - BR155 service, provision of - BR45 bill, authorization - BR151 Assembly, terms of members, extension of, proposed Firefighters, disabled or killed, tuition benefits for Mail-in and in-person absentee ballots, persons spouse or children - BR82 entitled to, expansion of - BR141 THE KENTUCKY GENERAL ASSEMBLY 87 Provide voter preregistration forms to secondary Crime Victims Class A misdemeanor - BR37 schools officials, assistance with, processing of - Child Marijuana, decriminalization of less than one ounce BR273 abuse, reporting of - BR63; BR143 of - BR272 Same-day voter registration on election day, report of dependency, neglect, or abuse, required reporting of Passing stopped school bus, cited by police, criminal registrations to State Board of Elections - BR853 - BR368 citation funds - BR136 Criminal gangs, activities, offense, and penalties Residential rental property, criminal mischief, penalty County Judges/Executive relating to - BR450 - BR94 Appointments, vacancies, library Felony mediation, allow victim to request - BR996 Restoration of voting rights and prohibitions relating, district board members - BR421 Homicide, domestic violence, annual reporting - constitution amendment for - BR337 BR197 Solitary confinement of juveniles, limitations on - Courts Leave from employment for court appearances, BR351 Ability to seek injunctive relief in matters relating to requirements for the employer and employee - Statute of limitations, childhood sexual abuse, support of federal immigration law - BR430 BR317 criminal and civil actions - BR143 Child dependency, neglect, or abuse, required Mental health professional and clergy, authority to Tampering with the outcome of a sporting event, reporting of - BR368 petition for a protective order - BR97 penalty for - BR236 Criminal gangs, activities, offense, and penalties Photographs or videos of persons, exemption of - Theft relating to - BR450 BR965 by unlawful taking, felony threshold, raising of - Domestic Statute of limitations, childhood sexual BR997 abuse convictions, firearms surrender, procedures abuse, criminal and civil actions - BR143 of wages, creation of offense - BR263 - BR835 Tobacco-related offenses, minors, remove status violence orders, firearms surrender, procedures - Crimes and Punishments offense designation - BR967 BR835 Animal cruelty, forfeiture of abused animal, requiring Trespass upon key infrastructure assets - BR204 Exercise of Constitutional rights, dismissal of legal - BR135 Unlawful storage of a firearm, prohibition of - BR282 actions against - BR901 Assault Voting rights, prohibitions relating to - BR23 Flavored vapor products, prohibiting - BR925 of a sports official, increase penalty, Class D felony Immunity from civil liability, law enforcement - BR37 Criminal Procedure officers - BR370 on a service animal, first degree, inclusion of Animal cruelty, forfeiture of abused animal, requiring Injunctive relief in matters relating to support of assistance animals - BR358 - BR135 federal immigration law, Governor’s powers - Assistance dogs, prohibiting misrepresentation of - Assault of a sports official, increase penalty, Class D BR430 BR139 felony - BR37 Judicial removal orders, procedures for - BR379 Assisted-living communities, certification prohibited Criminal gangs, activities, offense, and penalties Marijuana, - BR182 relating to - BR450 decriminalization of less than one ounce of - BR272 Child Felony mediation, allow victim to request - BR996 expungement of misdemeanor convictions for - abuse, reporting of - BR63; BR143 Firearms, comprehensive regulation of - BR342 BR272 dependency, neglect, or abuse, required reporting of Intimidation of a sports official, establish offense, Mental health professional and clergy, authority to - BR368 Class A misdemeanor - BR37 petition for a protective order - BR97 Class A misdemeanor, money or other thing of value Judicial removal orders, procedures for - BR379 Nonprofit healthcare conversion transactions, in exchange for signature - BR154 Officer Shooting Review Board, establishment of- requirements for - BR66 Corporal physical discipline of minor by teacher, use BR79 Parental rights, involuntary termination of, foster of, prohibiting - BR120 Solitary confinement of juveniles, limitations on - parent involvement, establishing - BR372; BR1042 Criminal BR351 Recovery for injuries or death, limitations, proposing gangs, activities, offense, and penalties relating to Theft by unlawful taking, felony threshold, raising of constitutional amendment - BR906 - BR450 - BR997 Revised Uniform Fiduciary Access to mischief in the first degree - BR204 Veterinarians, animal cruelty, allow reports of - BR174 Digital Assets Act, adoption of - BR1003 Cruelty to equines, prohibition of - BR6 Deadly weapons, concealed carry without license, Data Processing Courts, Circuit repeal - BR187 Data, creation of open data portal - BR3 Assisted-living communities, initiate injunctive relief Domestic Homicide, domestic violence, annual reporting - BR197 - BR182 abuse convictions, firearms surrender, procedures Felony mediation, allow victim to request - BR996 - BR835 Deaths Student privacy rights, claims filed against - BR1020 violence, firearms possession, create crime - BR835 Certificate of stillbirth resulting in death, issue, upon Evidence-based decisions - BR76 request of parent - BR844 Courts, District Felons’ voting rights, constitutional amendment to Disposition of remains, guardian to determine - Tobacco-related offenses, minors, provide - BR859 BR423 remove jurisdiction - BR967 Felony mediation, allow victim to request - BR996 Maternal mortality and morbidity, prevention of - BR88 Firearms, Courts, Fiscal ammunition capacity, regulation of - BR354 Deeds and Conveyances Waste management facilities, licensing for - BR206 assault weapons, possession of - BR354 Preservation easement, Kentucky Heritage Council, comprehensive regulation of - BR342 recommendation before sale or transfer - BR356 Immigration laws, enforcement of, requiring - BR240 Intimidation of a sports official, establish offense,

88 2019 Interim LEGISLATIVE RECORD Disabilities and the Disabled - BR835 Education, Elementary and Secondary Assisted-living communities, certification - BR182 violence orders, firearms surrender, procedures - Arts instruction, requiring schools to offer - BR203 Individuals with intellectual disabilities, rights of, BR835 ASVAB, establishment - BR411 Homicide, domestic violence, annual reporting - BR197 school counseling based on results and included in Medicinal marijuana program, establishment - individualized learning plans - BR391 BR366 Driver Licensing schools to offer test, grades 10 to 12 - BR391 Persons with mobility limitations, providing cosmetic Application, automatic voter preregistration and Bullying, services for - BR233 registration, option to decline - BR273 notification of allegations to parents, code of Sheltered workshop employment, employee, Personal communication device, use by driver, acceptable behavior to include - BR126 covered services and supports, redefining - BR910 prohibiting - BR212 restoration of a sense of safety for victims, code of School or church bus, illegal passing of, 90 acceptable behavior to include - BR126 Diseases day operator’s license revocation - BR124 Child dependency, neglect, or abuse, required Coverage for standard fertility preservation services, reporting of - BR368 provision of - BR917 Drugs and Medicines Corporal physical discipline, use of, prohibiting - Dementia care training, direct care staff and managers CBD oil, THC, drug testing, employment BR120 - BR394 discrimination, prohibiting - BR436 Evidence-based decisions for truancy - BR76 Diabetes, Controlled Excused absences, up to four days when consulting insulin assistance program, establishing - BR222 substances, physician assistants, prescriptive with military recruiters - BR391 prescription insulin drug, cost sharing, capped - authority - BR865 FAFSA completion, require for high school BR221 substances, risks, benefits, limitations, practitioner graduation - BR817 prescription insulin drugs, cost sharing, rebate discussion with patient - BR8 Full-time teachers, required nonteaching time - established - BR221 Insulin, insulin assistance program, establishing - BR1024 Diabetic Ketoacidosis Awareness Day, April 26, 2020 BR222 Historical instruction, African and Native American - BR886 Lower Health Care Costs Act, urging enactment of history requirements for - BR27 Ehlers-Danlos Syndome Awareness Month, declaring - BR1010 KEES scholarship, base amount for military transfer - BR482 Medicaid managed care contract, limiting - BR278 students - BR976 Medical marijuana, safety and efficacy research, Medical marijuana, safety and efficacy research, Kindergarten, full day of instruction for - BR334 advocating for - BR1011 advocating for - BR1011 Local school board members, insurance rates - Medicinal marijuana program, establishment - Medicinal marijuana program, establishment - BR1025 BR366 BR366 Passing stopped school bus, recorded by camera, Ostomy Awareness Day, declaring - BR474 Opioid depression reversal drug, requiring establishing civil penalties for - BR136 Prostate Cancer Awareness, September 2020 prescription of - BR8 Public charter schools, repeal - BR61 recognizing - BR297 Prescription School Solemn Covenant of the States to Award Prizes for insulin drugs, cost sharing, capped - BR105; BR221 building project bidding, minimum amount for, Curing Diseases Interstate Compact, enacting - BR909 insulin drugs, cost sharing, rebate established - increasing - BR1038 BR221 bus, illegal passing of, 90 day operator’s license Distilled Spirits Sober living homes, certification - BR936 revocation - BR124 Beverage straws, Styrofoam, and plastic carryout Task force, prescription transparency and bus stop arm cameras, requirement - BR136 bags, ban of - BR999 affordability, establish - BR885 construction, allowing construction management-at- Countywide local option election, petition Voluntary non-opioid directive, creation - BR7 risk option - BR87 requirements relating to - BR897 report card, adding school profile report to - BR203 Economic Development State assistance and state management, process for Dogs Cannabis business, creation of licensing system for - BR357 Abuse of animals, reporting by veterinarian - BR205; - BR272 STEAM education, taskforce to improve diversity in BR288 Commercial sponsorships of facilities and vehicles, - BR486 Animal cruelty, forfeiture of abused animal, requiring implementation of - BR931 Student - BR135 Direct Health Care Services and Research Facilities identification badges required to contain national Assault on a service animal, first degree, inclusion of Operations Loan - BR290 crisis hotline numbers - BR435 assistance animals - BR358 Incentives, effect of professional employer privacy, ensuring - BR1020 Assistance dogs, prohibiting misrepresentation of - organization - BR72 Voter registration and curriculum, BR139 KBI program, minimum weekly wage, requiring - annual requirement, programs relating, Danger of death, removal from vehicle, civil BR325 include sophomores, report - BR273 immunity - BR173 Kentucky Workers’ Compensation Funding Shelter pets, official pets of Kentucky, name and Commission - BR494 Education, Finance designate - BR160 KentuckyWired contracts, prohibition of paid Asset Resolution Corporation, organization and Veterinarians, animal cruelty, allow reports of - BR174 prioritization - BR413 powers of - BR898 Promise zone, STEM teacher, FAFSA completion, require for high school Domestic Relations loan forgiveness for - BR31 graduation - BR817 Domestic Income tax, qualified employer loan payment credit, abuse convictions, firearms surrender, procedures creation of - BR827

THE KENTUCKY GENERAL ASSEMBLY 89 KCTCS, endowment match - BR252 January 1, 2021 - BR366 extension of - BR274 KEES scholarship, base amount for military transfer No-cost or reduced-cost health facilities, cost-sharing amendment, restoration of voting rights and students - BR976 for services at - BR306 prohibitions, proposal - BR337 Kentucky Tuition Grant, institutional eligibility - Prescription Countywide local option election, petition BR832 drug insurance coverage, cost-sharing requirements, requirements relating to - BR897 KHEAA, promise zone, STEM teacher loan January 1, 2021 - BR9 Designation of countywide voting locations, counties forgiveness program, creation of - BR31 insulin drugs, cost sharing, January 1, 2021 - with population of 90,000 or more - BR432; BR440 Sanctuary postsecondary institution, state funding, BR105; BR221 Driver license application, automatic voter withholding of - BR240 Sales and use tax, farm land maintenance services, preregistration and registration, option to decline University of Louisville, Direct Health Care Services exemption of, August 1, 2020 - BR102 - BR273 and Research Facilities Operations Loan - BR290 Tax and fee increases, review of, January 1, 2020 - Early voting, omnibus bill - BR431; BR439 BR907 Felons’ voting rights, constitutional amendment to Education, Higher Tax, sales and use, effective January 1, 2021 - BR36 provide - BR859 Asset Resolution Corporation, powers of - BR898 Tobacco products tax, vapor products - BR32 General Contracts, Kentucky Buy American Act, compliance Unanticipated out-of-network care, reimbursement Assembly, terms of members - BR155 with - BR324 and billing, January 1, 2021 - BR475 Assembly, terms of members, limit - BR155 Emergency medical services personnel, disabled or Uninsured motorist coverage, property damage, Assembly, terms of members, limiting - BR78; killed, tuition benefits for spouse or children - BR82 January 1, 2021 - BR843 BR903 Feminine hygiene products, free to students - BR407 Year-round daylight saving time, upon Governor, election of, when Lieutenant Governor KCTCS, endowment match - BR252 passage of legislation by Congress - BR181 designated - BR873 Kentucky Tuition Grant, institutional eligibility - Library districts, election of board members - BR421 BR832 Effective Dates, Emergency Mail-in and in-person absentee ballots, persons Law enforcement officers, disabled or killed, tuition Bowling Green Veterans Center, design and entitled to, expansion of - BR141 benefits for spouse or children - BR82 preconstruction - BR125 Persons eligible for, voter preregistraton, minimum Medical schools, faculty contracts, physician non- Certificate of need, elimination of - BR49 age of 16 - BR273 compete clauses, exceptions - BR48 Child abuse, reporting of - BR143 Same-day voter registration on election day - BR853 Sanctuary Direct Health Care Services and Research Facilities Successful candidates for Governor/Lt. Governor, policies, prohibitions relative thereto - BR430 Operations Loan - BR290 repayment of personal loans - BR803 postsecondary institution, state funding, withholding Fee for emergency services authorized - BR151 Vacancies in elective office, extension of filing of - BR240 Firearms, comprehensive regulation of - BR342 deadline to fill, limited circumstance - BR47 Student identification badges required to contain Insurance, restatement, application of - BR418 Voter registration, automatic with driver’s license national crisis hotline numbers - BR435 KCTCS, endowment match fund, creation of - application and other designated applications - Support enforcement of federal immigration law, BR252 BR854 requirements relative thereto - BR430 Local health departments, funding, establish - BR269 Voting rights, prohibitions relating to - BR23 University of Louisville, Direct Health Care Services Nonprofit healthcare conversion transactions, and Research Facilities Operations Loan - BR290 requirements for - BR66 Embalmers and Funeral Directors Pension income exclusion, retroactively raise - Disposition of remains, guardian to determine - BR423 Education, Vocational BR215 Student identification badges required to contain Photographs or videos of persons, exemption of - Emergency Medical Services national crisis hotline numbers - BR435 BR965 Certificate of need, elimination of - BR49 Retirement, KERS employer rates - BR292 Emergency medical services personnel, disabled or Effective Dates, Delayed Sober living homes, certification - BR936 killed, tuition benefits for spouse or children - BR82 calculation of cost sharing contribution, January 1, State assistance and state management, process for Fee for emergency services authorized - BR151 2021. - BR425 - BR357 Fire districts and subdistricts, emergency ambulance Call center relocations, January 1, 2021 - BR113 Statute of limitations, childhood sexual abuse, service, provision of - BR45 Constitutional amendment, passage of - BR80 criminal and civil actions - BR143 Medicaid ambulance service Coverage Student privacy, ensuring - BR1020 provider assessment, create - BR83 for preexisting conditions, January 1, 2021 - BR180 for standard fertility preservation services, January Elections and Voting Energy 1, 2021 - BR917 Candidate filing deadline, extension of, limited Criminal mischief in the first degree - BR204 Educational institutuion, employment of illegal circumstance - BR47 Trespass upon key infrastructure assets - BR204 aliens, January 1, 2021 - BR240 Candidates for elective office, submission of federal Firearms, registration, licensing, and logging of, income tax returns, requirement of - BR801 Environment and Conservation January 1, 2021 - BR342 Casino gaming, local option elections for - BR80 Blockchain Technology Working Group, members Increase purchase age for tobacco, nicotine Certain elected officials, recall of - BR154 and purpose - BR947 alternative, and vapor products, January 1, 2021 - Constitutional Municipal solid waste disposal facility, residual BR967 amendment, abolishment of Office of Lieutenant landfills, definitions of - BR206 Insurance eligibility and premium requirements, Governor, line of succession - BR279 Plastic convenience items, prohibition of, delayed January 1, 2021 - BR180 amendment, General Assembly, budget special implementation dates for - BR999 Library districts, election of board members - BR421 session, compensation suspended - BR137 Preservation easement, historic places, Medicinal marijuana program, portions to begin amendment, General Assembly, terms of members, recommendation before sale or transfer - BR356

90 2019 Interim LEGISLATIVE RECORD Reformulated gasoline requirements, determination Firefighters and Fire Departments to seek injunctive relief in matters relating to support of benefits of - BR808 Disabled or killed, tuition benefits for spouse or of federal immigration law - BR430 Waste disposal facility, local determination, children - BR82 Candidate for elective office, submission of federal private facilities, requirement for - BR118 Fire districts and subdistricts, emergency ambulance income tax returns, requirement of - BR801 service, provision of - BR45 Constitutional amendment, abolishment of Office of Firefighters, disabled or killed, tuition benefits for Lieutenant Governor, line of succession - BR279 Ethics Legislative branch, discrimination and harassment spouse or children - BR82 Election, Lieutenant Governor designation - BR873 complaints - BR310 First Responder Recognition First Responder Recognition Day, designation of - Statewide elected officials, statement of use of state Day, designation of - BR291 BR291 resources for nonpublic purposes, requiring - BR499 Statement of use of state resources for nonpublic Fiscal Note purposes, requiring - BR499 Baby products and diapers, exemption of - BR178 Successful candidate, repayment deadline for Federal Laws and Regulations Clean Air Act, reformulated gasoline requirements, KCTCS, endowment match fund, creation of - personal loans made to campaign - BR803 executive branch study of - BR808 BR252 Daylight saving time, year-round, authorizing - Pension income exclusion, retroactively raise - Guardians BR181 BR215 Disposition of remains, guardian to determine - Immigration laws, enforcement of, requiring - BR240 Sales and use tax, feminine hygiene BR423 Lower Health Care Costs Act, urging enactment of products, exemption of - BR107 Revised Uniform Fiduciary Access to - BR1010 Digital Assets Act, adoption of - BR1003 Medicinal marijuana program, establishment - BR366 Fish and Wildlife Commercially manufactured, spring-loaded traps, Health and Medical Services furbearers, prohibit use of - BR492 Abortion services, government payments to entities Fees Assault weapons, registration of - BR354 Coyotes, hunting at night, requirements - BR258 referring for/counseling in favor of, prohibition - Cannabis licensees, creation of - BR272 BR239 Casino gaming, licensing fees for - BR80 Fuel Assisted-living communities, certification - BR182 Fees for motor vehicle operator’s licenses and Reformulated gasoline requirements, Bowling Green Veterans Center, design and identification cards, waiver for disabled veterans - determination of benefits of - BR808 preconstruction - BR125 BR185 Certificate Medicaid ambulance service provider assessment, Gambling of need, elimination of - BR49 create - BR83 Casino of stillbirth resulting in death, issue, upon request of Sports wagering, licensing of - BR236 gaming, constitutional amendment, authority for - parent - BR844 Vapor product enhanced cartridge retailer or BR1008 Child-care center standards, establishing - BR488 manufacturer, registration fee for - BR468 gaming, licensing for - BR80 Controlled Fantasy contests, provisions for - BR364 substances, physician assistants, prescriptive Online poker, provisions for - BR364 authority - BR865 Fiduciaries Revised Uniform Fiduciary Access to Sports substances, risks, benefits, limitations, practitioner Digital Assets Act, adoption of - BR1003 wagering, authorization for - BR236 discussion with patient - BR8 wagering, provisions for - BR364 Coverage for standard fertility preservation services, provision of - BR917 Financial Responsibility Wage performance bonds for employers engaged General Assembly Diabetic Ketoacidosis Awareness Day, April 26, 2020 in mining, notification of compliance - BR270 Casino gaming, constitutional amendment, authority - BR886 to establish - BR1008 Employment contracts, physician non-compete Constitutional clauses, void - BR48 Fire Prevention Fire districts and subdistricts, emergency amendment, budget special session, compensation Feminine hygiene products, free to public ambulance service, provision of - BR45 suspended - BR137 postsecondary students - BR407 amendment, gubernatorial line of succession - Hospitals and surgeons, create low-volume BR279 requirement - BR361 Firearms and Weapons Deadly weapons, concealed carry without license, amendment, terms of members, extension of - Inspection fees, public health, allow - BR269 repeal - BR187 BR274 insurance, calculation of cost sharing contribution - Domestic Ethical misconduct, prohibited behavior, complaint BR425 abuse convictions, firearms surrender, procedures procedures - BR310 Kentucky Mental Health First Aid Training Program, - BR835 Fiscal note requirements, establishment of - BR4 creating - BR313 violence orders, firearms surrender, procedures - Introduction of bills, limitation of - BR4 Living organ donation, promotion of - BR179 BR835 Terms Local health departments, funding, establish - BR269 Firearms, of members, extension and limit - BR155 Long-term care administrators, temporary permit, ammunition capacity, regulation of - BR354 of members, limit - BR78; BR903 extension - BR121 assault weapons, possession of - BR354 Lower Health Care Costs Act, urging enactment of comprehensive regulation of - BR342 Governor - BR1010 Unlawful storage of a firearm, prohibition of - BR282 Ability Maternal mortality and morbidity, prevention of - to seek injunctive relief in matters relating to BR88 sanctuary policies - BR430 Medicaid, copayments, prohibiting - BR315 THE KENTUCKY GENERAL ASSEMBLY 91 Medicaid Homeland Security Insurance managed care contract, limiting - BR278 Blockchain Technology Working Group, Property and casualty insurance renewals, notification payments, reporting and reimbursing - BR275 members and purpose - BR947 of changes - BR98 Medical marijuana, safety and efficacy research, Restatement, application of - BR418 advocating for - BR1011 Honorary Highway Designations Medicinal marijuana program, establishment - Veterans Suicide Memorial Mile, Insurance, Health BR366 Interstate 75, Whitley County - BR109 calculation of cost sharing contribution. - BR425 Neonatal Intensive Care Unit, task force, creation of Certificate of need, elimination of - BR49 - BR813 Horses and Horse Racing Cost-sharing requirements, calculation of - BR9 Nonprofit healthcare conversion transactions, Cruelty to equines, prohibition of - BR6 Coverage for standard fertility preservation services, requirements for - BR66 Limited casino gaming, tracks authorized for - BR80 provision of - BR917 Ostomy Awareness Day, declaring - BR474 Veterinarians, animal cruelty, allow reports of - BR174 Coverage, penalties, new employee - BR983 Patient safety culture survey, hospitals to conduct - Health BR819 Hospitals and Nursing Homes status-related factors, insurance premium Prescription insulin drugs, cost sharing, capped - Assisted-living communities, certification - BR182 requirements - BR180 BR221 Certificate of need, elimination of - BR49 status-related factors prohibited, insurance eligibility Prostate Cancer Awareness, September 2020 Hospitals and surgeons, create low-volume - BR180 recognizing - BR297 requirement - BR361 Kentucky all-payer claim database, establishing - Psychiatric pharmacist as a qualified mental health Long-term care administrators, temporary permit, BR50 professional, establishing - BR218 extension - BR121 Local school board members, insurance rates - Psychology Interjurisdictional Compact - BR377 Lower Health Care Costs Act, urging enactment of BR1025 Required coverage of services, Medicaid - BR833 - BR1010 Lower Health Care Costs Act, urging enactment of Solemn Covenant of the States to Award Prizes for Maternal mortality and morbidity, prevention of - - BR1010 Curing Diseases Interstate Compact, enacting - BR909 BR88 Medicaid payments, reporting and reimbursing - Medicaid payments, reporting and reimbursing - BR275 Highways, Streets, and Bridges BR275 No-cost or reduced-cost health facilities, cost-sharing Animal-drawn vehicle, animal shoes, prohibition - Neonatal Intensive Care Unit, task force, creation of for services at - BR306 BR480 - BR813 Preexisting conditions, insurance coverage, requiring Commercial sponsorships of facilities and vehicles, Nonprofit healthcare conversion transactions, - BR180 implementation of - BR931 requirements for - BR66 Prescription Contracts, Kentucky Buy American Act, compliance Nursing homes, providing cosmetic services in - drug coverage, cost-sharing requirements for - BR9 with - BR324 BR233 insulin drugs, cost sharing, capped - BR105; BR221 Criminal Patient safety culture survey, hospitals to conduct - Unanticipated out-of-network care, littering, unsafe amounts of leaves or mowed grass BR819 minimum reimbursement for - BR475 left on highway - BR119 Veterans center nursing staff, midpoint littering, unsafe amounts of mowed grass left on salary restriction, removal of - BR467 Insurance, Motor Vehicle highway - BR133; BR176 Uninsured motorist coverage, property Instruction in African and Native American history Housing, Building, and Construction damage, requirement for - BR843 - BR27 Building code, violations of - BR485 Quantitative highway project evaluation system, Interstate Cooperation establishment - BR184 Hunting and Fishing Psychology Interjurisdictional Compact - BR377 Recommended Commercially manufactured, spring-loaded traps, Biennial Highway Construction Plan, Kentucky furbearers, prohibit use of - BR492 Jails and Jailers Transportation Board approval - BR184 Coyotes, hunting at night, requirements - BR258 Judicial removal orders, procedures for - BR379 Six-Year Road Plan, Kentucky Transportation Board Recall, procedure for - BR154 approval - BR184 Immigration Residential rental property, criminal mischief, penalty School or church bus, illegal passing of, 90 Immigration laws, enforcement of, requiring - BR240 - BR94 day operator’s license revocation - BR124 Sanctuary policies by local governments and public Sanctuary policies, prohibitions relative thereto - institutions of higher education, prohibition - BR430 BR430 Historical Affairs Support enforcement of federal immigration Preservation easement, historic places, Information Technology law, requirements relative thereto - BR430 recommendation before sale or transfer - BR356 Data, creation of open data portal - BR3 KentuckyWired contracts, prohibition Labor and Industry Holidays of paid prioritization - BR413 Call center relocations to a foreign country, notice to Ehlers-Danlos Syndome Awareness Month, declaring Labor Cabinet - BR113 - BR482 Inspections CBD oil, THC, drug testing, employment First Responder Recognition Day, designation of - Inspection fees, public health, allow - BR269 discrimination, prohibiting - BR436 BR291 School bus stop arm cameras, Department Crime victims leave from employment - BR317 Ostomy Awareness Day, declaring - BR474 of Education, inspection of - BR136 Earned paid sick leave provided by employers, requirement for - BR319 Employment discrimination, requirement of criminal

92 2019 Interim LEGISLATIVE RECORD history on job applications, prohibition - BR343 line of succession - BR279 BR83 Evidence-based decisions for gainful employment - Election, designation by Governor - BR873 managed care contract, limiting - BR278 BR76 Statement of use of state resources for nonpublic payments, reporting and reimbursing - BR275 Health-care providers, enforceability of non-compete purposes, requiring - BR499 Required coverage of services, Medicaid - BR833 agreements - BR433 Successful candidate, repayment deadline for Paid parental leave for employees, employers with personal loans made to campaign - BR803 Memorials fifty or more employees - BR320 Couch, Dr. Robert, memorializing - BR957 Prevailing wage, public works, creating - BR323 Loans and Credit Meiman, Joy Lee Brady, memorializing - BR140 Professional employer organizations, regulation of Direct Health Care Services and Research - BR72 Facilities Operations Loan - BR290 Men Schedules for employees - BR316 Paid parental leave for employees, employers with State minimum wage, increase - BR132; BR237 Local Government fifty or more employees - BR320 Unlawful employment practice, inquiry about Cannabis licensees, setting regulatory license fee for Prostate Cancer Awareness, September previous salary - BR456 - BR272 2020 recognizing - BR297 Wages, recordkeeping and reporting of - BR263 Contracts, Kentucky Buy American Act, compliance Workers’ compensation, evaluations with - BR324 Mental Disability for occupational disease - BR414 Fee for emergency services authorized - BR151 Constitutional amendment, restoration of voting Fire districts and subdistricts, emergency ambulance rights, proposal - BR337 Landlord and Tenant service, provision of - BR45 Individuals with intellectual disabilities, Residential rental property, criminal Firearms, comprehensive regulation of - BR342 rights of, establishment - BR411 mischief, penalty - BR94 Firefighters, disabled or killed, tuition benefits for spouse or children - BR82 Mental Health Legislative Research Commission Honor and Remember flag, emblem of remembrance, Certificate of need, elimination of - BR49 Fiscal note requirements, establishment of - BR4 designation of - BR85 Constitutional amendment, restoration of voting Legislative Ethics Commission, discrimination and Judicial removal orders, procedures for - BR379 rights, proposal - BR337 harassment complaints, review - BR310 Law enforcement officers, disabled or killed, tuition Farmer Suicide Prevention Day, designating - BR403 Major economic action regulations, legislative benefits for spouse and children - BR82 Individuals with intellectual disabilities, rights of, procedures for - BR300 Library districts, election of board members - BR421 establishment - BR411 Neonatal Intensive Care Unit, task force, creation of License tax, exemption for centenarians - BR246 Kentucky Mental Health First Aid Training Program, - BR813 Minimum wage, authority to establish - BR132; creating - BR313 Reports received, voter preregistration and BR237 National suicide hotline number, student identification registration, school districts - BR273 Sanctuary policies, prohibitions relative thereto - badges required to contain - BR435 BR430 Psychiatric pharmacist as a qualified mental health Libraries Special purpose governmental entities, review of professional, establishing - BR218 Districts, election of board members - BR421 fee and tax increases by city or county, requiring Sober living homes, certification - BR936 - BR907 Licensing Support enforcement of federal immigration law, Military Affairs and Civil Defense Cannabis Licensees, creation and regulation of - requirements relative thereto - BR430 ASVAB, schools to offer test, grades 10 to 12 - BR272 Waste disposal facility, local BR391 Casino gaming, licensing for - BR80 government determination, private Honor and Remember flag, emblem of remembrance, Deadly weapons, concealed carry without license, facilities, requirement for - BR118 designation of - BR85 repeal - BR187 KEES scholarship, base amount for military transfer Fantasy contests, licensing of - BR364 Local Mandate students - BR976 Fees for motor vehicle operator’s licenses and Immigration laws, enforcement of, requiring - BR240 Military pensions, income tax identification cards, waiver for disabled veterans - deduction for - BR251; BR367 BR185 Lottery Fiscal court, waste management facilities, licensing Casino gaming, oversight of - BR80 Minerals and Mining for - BR206 Online poker, regulation by Kentucky Lottery Mining permits, conditions for approval, compliance Kentucky Board of Creative Arts Therapies, Corporation - BR364 with wage performance bond requirements - BR270 membership composition of - BR457 Sports wagering, inclusion of - BR236 Medicinal marijuana program, establishment - Motor Vehicles BR366 Malt Beverages Damage, civil immunity, removal of dog or cat - Online poker, licensing of - BR364 Countywide local option election, petition BR173 Psychology Interjurisdictional Compact - BR377 requirements relating to - BR897 Personal communication device, use by driver, Sports wagering, licensing of - BR236; BR364 prohibiting - BR212 “Veteran-owned business,” amend definition of - BR412 Medicaid Safety features for prevention of hot car deaths, Copayments, prohibiting - BR315 installation of - BR285 Lieutenant Governor Maternal mortality and morbidity, prevention of - School or church bus, illegal passing of, 90 Candidate for elective office, submission of federal BR88 day operator’s license revocation - BR124 income tax returns, requirement of - BR801 Medicaid Constitutional amendment, abolishment of office, ambulance service provider assessment, create - THE KENTUCKY GENERAL ASSEMBLY 93 Noise Control health professional, establishing - BR218 Airport noise mitigation, income tax credit for - BR355 Peace Officers and Law Enforcement Assistance dogs, misrepresentation, allowing Physicians and Practitioners Notices investigation of - BR139 Certificate of need, elimination of - BR49 Historic sites and places, Kentucky Heritage Council, Elected, procedure for recall - BR154 Controlled substances, risks, benefits, limitations, notice to before sale or transfer - BR356 Firearms discussion with patient - BR8 Wage performance bonds for employers engaged surrender, domestic abuse convictions, procedures Dementia care training, direct care staff and managers in mining, notification of compliance - BR270 - BR835 - BR394 surrender, domestic violence orders, procedures - Employment contracts, non-compete clauses, void Nurses BR835 - BR48 Controlled substances, risks, benefits, limitations, First Responder Recognition Day, designation of - Hospitals and surgeons, create low-volume discussion with patient - BR8 BR291 requirement - BR361 Dementia care training, direct care staff and managers Flavored vapor products, prohibiting - BR925 Kentucky Board of Medical Licensure, hearing - BR394 Immigration laws, enforcement of, requiring - BR240 procedures, hearing officer role in - BR86 Lower Health Care Costs Act, urging enactment of Immunity from civil liability, law enforcement Lower Health Care Costs Act, urging enactment of - BR1010 officers - BR370 - BR1010 Non-compete agreements, enforceability regarding Residential rental property, criminal mischief, penalty Maternal mortality and morbidity, prevention of - nurse practitioners - BR433 - BR94 BR88 Opioid depression reversal drug, requiring Sanctuary policies, prohibitions relative thereto - Medicaid prescription of - BR8 BR430 managed care contract, limiting - BR278 Patient safety culture survey, hospitals to conduct - Shooting of an individual by a law enforcement payments, reporting and reimbursing - BR275 BR819 officer or deadly incident, investigation of - BR79 Medicinal marijuana program, establishment - Veterans center nursing staff, midpoint Support enforcement of federal immigration BR366 salary restriction, removal of - BR467 law, requirements relative thereto - BR430 Non-compete agreements, enforceability regarding physicians - BR433 Occupational Safety and Health Personnel and Employment Occupational diseases, physicians eligible to perform Schedules for employees - BR316 Call center relocations to a foreign country, notice to evaluations in workers’ compensation - BR414 Labor Cabinet - BR113 Opioid depression reversal drug, requiring Occupations and Professions CBD oil, THC, drug testing, employment prescription of - BR8 Casino occupations, licensing for - BR80 discrimination, prohibiting - BR436 Patient safety culture survey, hospitals to conduct - Cosmetologists, providing services outside of Crime victims leave from employment - BR317 BR819 licensed establishment - BR233 Earned paid sick leave provided by employers, Physician assistants, controlled substances, Creative arts therapists, board membership requirement for - BR319 prescriptive authority - BR865 composition of - BR457 Employment discrimination, requirement of criminal Required coverage of services, Medicaid - BR833 Essential service personnel, mail-in and in-person history on job applications, prohibition - BR343 Unanticipated out-of-network care, balancing billing, absentee ballots, persons entitled to - BR141 Health-care providers, enforceability of non-compete prohibition against - BR475 Estheticians, practice outside of licensed agreements - BR433 Voluntary non-opioid directive, creation - BR7 establishments - BR233 Interview preference for employees of quasi- Medicinal marijuana program, establishment - governmental agencies, establishing - BR257 Police, City and County BR366 Paid parental leave for employees, employers with Disabled or killed, tuition benefits for spouse and Nail technician, practice outside of licensed fifty or more employees - BR320 children - BR82 establishments - BR233 Physicians, employment contracts, non-compete First Responder Recognition Day, designation of - Physician assistants, controlled substances, clauses, void - BR48 BR291 prescriptive authority - BR865 Professional employer organizations, regulation of Immigration laws, enforcement of, requiring - BR240 Psychology Interjurisdictional Compact - BR377 - BR72 Marijuana, decriminalization of less than one ounce Schedules for employees - BR316 of - BR272 Oil and Natural Gas State minimum wage, increase - BR132; BR237 Personal communication device, use by driver, Criminal mischief in the first degree - BR204 Unlawful employment practice, inquiry about prohibiting - BR212 Trespass upon key infrastructure assets - BR204 previous salary - BR456 Sanctuary policies, prohibitions relative thereto - Wages, recordkeeping and reporting of - BR263 BR430 Parental Rights Shooting of an individual by a law enforcement Paid parental leave for employees, employers with Pharmacists officer or deadly incident, investigation of - BR79 fifty or more employees - BR320 Controlled substances, risks, benefits, limitations, Support enforcement of federal immigration Parental rights, involuntary termination of, foster discussion with patient - BR8 law, requirements relative thereto - BR430 parent involvement, establishing - BR372; BR1042 Insulin assistance program, establishing - BR222 Parents or prospective parents with Lower Health Care Costs Act, urging enactment of Police, State blindness, rights established - BR856 - BR1010 Annual crime report, homicide, domestic violence - Medicaid managed care contract, limiting - BR278 BR197 Parks and Shrines Prescription drug coverage, cost-sharing requirements Disabled or killed, tuition benefits for spouse and Historic sites and places, Kentucky Heritage for - BR9 children - BR82 Council, notice to before sale or transfer - BR356 Psychiatric pharmacist as a qualified mental Firearms,

94 2019 Interim LEGISLATIVE RECORD assault weapon registration - BR354 of stillbirth resulting in death, issue, upon request of comprehensive regulation of - BR342 parent - BR844 Public Protection First Responder Recognition Day, designation of - Child-care center standards, establishing - BR488 Blockchain Technology Working Group, critical BR291 Diabetic Ketoacidosis Awareness Day, April 26, 2020 infrastructure, application for - BR947 Immigration laws, enforcement of, requiring - BR240 - BR886 Building code, violations of - BR485 Marijuana, decriminalization of less than one ounce Flavored vapor products, prohibiting - BR925 of - BR272 Hospitals and surgeons, create low-volume Public Records and Reports Personal communication device, use by driver, requirement - BR361 Open data portal, creation of - BR3 prohibiting - BR212 Individuals with intellectual disabilities, rights of, Photographs or videos of persons, exemption of - Shooting of an individual by a law enforcement establishment - BR411 BR965 officer or deadly incident, investigation of - BR79 Inspection fees, public health, allow - BR269 Shooting of an individual by a law enforcement Kentucky Mental Health First Aid Training Program, officer or deadly incident, investigation of - BR79 Pollution creating - BR313 Plastic convenience items, prohibition of, delayed Living organ donation, promotion of - BR179 Public Safety implementation dates for - BR999 Local health departments, funding, establish - BR269 Fire districts and subdistricts, emergency ambulance Waste Lower Health Care Costs Act, urging enactment of service, provision of - BR45 disposal facility, local determination, private - BR1010 Patient safety culture survey, hospitals to conduct - facilities, requirement for - BR118 Maternal mortality and morbidity, prevention of - BR819 management facilities, local determination, BR88 School bus stop arm cameras, requiring - BR136 environmental control, fees used for - BR206 Medicinal marijuana program, establishment - Shooting of an individual by a law enforcement BR366 officer or deadly incident, investigation of - BR79 Property Neonatal Intensive Care Unit, task force, creation of Theft by unlawful taking, felony threshold, raising of Community Property Trust Act, creation of - BR1002 - BR813 - BR997 Firearms, No-cost or reduced-cost health facilities, cost-sharing Unlawful storage of a firearm, prohibition of - BR282 surrender, domestic abuse offenses - BR835 for services at - BR306 surrender, domestic violence orders - BR835 Patient safety culture survey, hospitals to conduct - Public Salaries Kentucky Uniform Powers of Appointment Act - BR819 State BR1001 Prostate Cancer Awareness, September 2020 employees, annual cost of living adjustment, Preservation easement, historic places, recognizing - BR297 consumer price index, use of - BR461 recommendation before sale or transfer - BR356 Required coverage of services, Medicaid - BR833 employees, annual increment, consumer Residential rental, criminal mischief, penalty - BR94 Sober living homes, certification - BR936 price index, use of - BR409 Special powers of appointment, exclusion from Tobacco, alternative nicotine, and vapor products, vesting period - BR1001 raise minimum purchase age to 21 - BR967 Public Utilities Theft by unlawful taking, felony Vapor product enhanced cartridge, sales of - BR468 Blockchain Technology Working Group, critical threshold, raising of - BR997 infrastructure, application for - BR947 Public Medical Assistance Criminal mischief in the first degree - BR204 Property Valuation Administrators Copayments, prohibiting - BR315 KentuckyWired contracts, prohibition of paid Vacancy in office, administration of Maternal mortality and morbidity, prevention of - prioritization - BR413 examination required before filled - BR47 BR88 Trespass upon key infrastructure assets - BR204 Medicaid managed care contract, limiting - BR278 Utility rates, affordability, Public Service Commission Public Assistance Required coverage of services, Medicaid - BR833 review and adjustment, authority for - BR415 Voter registration, automatic with application for certain benefits - BR854 Public Officers and Employees Public Works Immigration laws, enforcement of, requiring - BR240 Blockchain Technology Working Group, critical Public Authorities Library districts, election of board members - BR421 infrastructure, application for - BR947 Sanctuary policies, prohibitions relative thereto - Quasi-governmental agencies, establishing interview Contracts, Kentucky Buy American Act, compliance BR430 preference - BR257 with - BR324 Support enforcement of federal immigration Retirement, impact of part-time nonhazardous Prevailing wage, creating - BR323 law, requirements relative thereto - BR430 employment on full-time hazardous member’s retirement - BR224 Purchasing Public Buildings and Grounds Sanctuary policies, prohibitions relative thereto - Public contracts, Kentucky Buy American Act, Commercial sponsorships of facilities and vehicles, BR430 compliance with - BR324 implementation of - BR931 State School building project bidding, minimum Contracts, Kentucky Buy American Act, compliance employees, annual cost of living adjustment, amount for, increasing - BR1038 with - BR324 consumer price index, use of - BR461 Preservation easement, Kentucky Heritage Council, employees, annual increment, consumer price index, Race Relations recommendation before sale or transfer - BR356 use of - BR409 Hair texture and hairstyle, expanding the Support enforcement of federal immigration law, definition of race to include - BR231 Public Health requirements relative thereto - BR430 Certificate Task force on prescription transparency Racing of need, elimination of - BR49 and affordability, establish - BR885 Sports wagering, licensing of - BR236 THE KENTUCKY GENERAL ASSEMBLY 95 Retirement Systems, post-retirement change of purposes, requiring - BR499 Railroads beneficiary and option, qualifying events for - Successful candidate, repayment deadline for Civil penalties, violation of two-person train crew BR463 personal loans made to campaign - BR803 requirement - BR328 Military pensions, income tax deduction for - BR251; “Veteran-owned business,” amend definition of - Train crews, two-person requirement - BR328 BR367 BR412 Pension income exclusion, retroactively raise - Voter preregistration, minimum age Religion BR215 of 16, persons eligible - BR273 Coverage for standard fertility preservation Teachers’ Retirement System services, provision of - BR917 pension fund, funding for - BR272 Sewer Systems Blockchain Technology Working Group, critical Reports Mandated Retroactive Legislation infrastructure, application for - BR947 Blockchain Technology Working Group, annual Marijuana convictions, expungement petitions for report from - BR947 misdemeanor - BR272 Sheriffs Cabinet for Health and Family Services, sober living November 2019 elections, repayment deadline for Fee for emergency services, collection fee authorized homes, certification - BR936 personal loans - BR803 - BR151 Department Pension income exclusion, raise for tax years Firearms of revenue expenditure report, baby products and beginning on or after January 1, 2018 - BR215 surrender, domestic abuse convictions, procedures diapers - BR178 Revised Uniform Fiduciary Access to - BR835 of Revenue, expenditure report, feminine hygiene Digital Assets Act, adoption of - BR1003 surrender, domestic violence orders, procedures - products - BR107 BR835 Kentucky Department of Education, arts instruction, Safety Immigration laws, enforcement of, requiring - BR240 report on - BR203 Bullying, restoration of a sense of safety for victims, Judicial removal orders, duties under - BR379 Maternal mortality, Cabinet for Health and Family code of acceptable behavior to include - BR126 Recall, procedure for - BR154 Services, data - BR88 Commercially manufactured, spring-loaded traps, Sanctuary policies, prohibitions relative thereto - Medicaid payments, reporting - BR275 furbearers, prohibit use of - BR492 BR430 Dog or cat in vehicle, removal, civil immunity - Shooting of an individual by a law enforcement Reproductive Issues BR173 officer or deadly incident, investigation of - BR79 Abortion, constitutional amendment, no protected School bus stop arm cameras, requiring - BR136 Support enforcement of federal immigration right - BR241 Sober living homes, certification - BR936 law, requirements relative thereto - BR430 Abortion services, government payments to entities referring for/counseling in favor of, prohibition - Sales Short Titles and Popular Names BR239 Balloon releases, beverage straws and plastic carryout Arts Education Equity Act - BR203 Coverage for standard fertility preservation services, bags, prohibition of - BR999 Ban the Box-The Criminal Record Employment provision of - BR917 Flavored vapor products, prohibiting - BR925 Discrimination Act - BR343 Feminine hygiene products, free to public Tobacco, alternative nicotine, and vapor products, Community Property Trust Act - BR1002 postsecondary students - BR407 raise minimum purchase age to 21 - BR967 Follow My Doctor Act - BR48 Paid parental leave for employees, employers with Vapor product enhanced cartridge, sales of - BR468 Frank Huffman Act, individuals with intellectual fifty or more employees - BR320 disabilities - BR411 Sales and use tax, feminine hygiene Science and Technology Kentucky products, exemption of - BR107 Blockchain Technology Working Group, members Administrative Regulation Accountability Act of and chair of - BR947 2020 - BR300 Research and Methods STEM teacher, promise zone, Buy American Act - BR324 Medical marijuana, safety and efficacy research, loan forgiveness for - BR31 Open Data Standards and Portal Act - BR3 advocating for - BR1011 Public Participation Act - BR901 Patient safety culture survey, Secretary of State Uniform Powers of Appointment Act - BR1001 hospitals to conduct - BR819 Candidate for elective office, submission of federal Klaire’s Law - BR6 income tax returns, requirement of - BR801 Model Act Concerning Interpretation of Kentucky Retirement and Pensions Constitutional amendment, General Assembly, Insurance Laws - BR418 Casino compensation suspended, provide ballot language Save Kentucky Call Center Jobs Act of 2020 - BR113 gaming, allocation of net proceeds - BR1008 - BR137 The Bailey Holt-Preston Cope gaming, revenue generated by - BR80 Early voting, omnibus bill - BR431; BR439 Victims Privacy Act - BR965 Gaming tax, funding from - BR364 General Assembly, terms of members, extension of, Impact of part-time nonhazardous employment on provide ballot language - BR274 Small Business full-time hazardous member’s retirement - BR224 Gubernatorial line of succession, abolishing, Office Balloon releases, beverage straws and plastic carryout Individual income tax, pension income exclusion - of Lieutenant Governor, ballot language - BR279 bags, prohibition of - BR999 BR117 Mail-in and in-person absentee ballots, persons Vapor product enhanced cartridge retailer or Kentucky entitled to, expansion of - BR141 manufacturer, registration fee for - BR468 Employees Retirement Systems nonhazardous Restoration of voting rights and prohibitions relating, “Veteran-owned business,” amend definition of - BR412 pension fund, funding for - BR272 ballot language, constituional proposal - BR337 Retirement Systems, liability-based contributions Same-day voter registration on election day - BR853 Special Districts for KERS employers - BR292 Statement of use of state resources for nonpublic Ambulance districts, emergency medical services

96 2019 Interim LEGISLATIVE RECORD personnel, disabled or killed, tuition benefits - and Research Facilities Operations Loan - BR290 Cabinet, commercial sponsorships of facilities and BR82 Energy and Environment Cabinet, reformulated gas, vehicles - BR931 Chapter 75 fire, emergency medical services study of - BR808 Cabinet, school bus stop arm cameras - BR136 personnel, disabled or killed, tuition benefits - Evidence-Based Policymaking Task Force, establish Secretary, dismissal, Kentucky Transportation BR82 in Finance and Administration Cabinet - BR371 Board role - BR184 Fire districts and subdistricts, emergency ambulance Honor and Remember flag, emblem of remembrance, Secretary, nomination procedures, Kentucky service, provision of - BR45 designation of - BR85 Transportation Board role - BR184 Library districts, election of board members - BR421 Inspection fees, public health, allow - BR269 Veterans center nursing staff, midpoint Sanctuary policies, prohibitions relative thereto - Interview preference, employees of quasi- salary restriction, removal of - BR467 BR430 governmental agencies, establishing - BR257 Special purpose governmental entities, review of fee Kentucky State Employees and tax increases, requiring - BR907 Board of Education, hearing officers, random Annual Support enforcement of federal immigration selection of - BR86 cost of living adjustment, consumer price index, use law, requirements relative thereto - BR430 Board of Medical Licensure, hearing officers, of - BR461 provided by Attorney General - BR86 increment, consumer price index, use of - BR409 Special Purpose Governmental Entities Board of Medical Licensure, hearing officers, Human organ donation, paid leave of absence Fire districts and subdistricts, emergency ambulance qualifications - BR86 established - BR179 service, provision of - BR45 Communications Network Authority, Interview preference, quasi-governmental agencies, Tax and fee increases, review of - BR907 KentuckyWired contracts - BR413 establishing - BR257 Department of Education, arts instruction, providing Kentucky Retirement Systems, post-retirement State Agencies resources and guidance for - BR203 change of beneficiary and option, qualifying events Automatic voter registration, automatic with Department of Education, arts instruction, report on for - BR463 application at certain designated agencies - BR854 - BR203 Local health departments, funding, establish - BR269 Board of Education, school bus stop arm camera Department of Education, STEAM education, urge No-cost or reduced-cost health facilities, cost-sharing requirement, promulgate regulations for - BR136 task force to improve diversity in - BR486 for services at - BR306 Cabinet Retirement Systems, liability-based contributions Sanctuary policies, prohibitions relative thereto - for Health and Family Services, certificate of for KERS employers - BR292 BR430 stillbirth resulting in death, issue - BR844 Retirement Systems, part-time nonhazardous State employee health plan, unanticipated out-of- for Health and Family Services, funding, establish employment, full-time hazardous members - network care, minimum reimbursement for - BR475 - BR269 BR224 Support enforcement of federal immigration for Health and Family Services, national crisis Local health departments, funding, establish - BR269 law, requirements relative thereto - BR430 hotline numbers, recommendation - BR435 Major economic action regulations, procedures for for Health and Family Services, patient safety - BR300 State Symbols and Emblems culture survey - BR819 Open data portal, creation of - BR3 Honor and Remember flag, emblem of remembrance, Contracts, Kentucky Buy American Act, compliance Parental rights, involuntary termination of, foster designation of - BR85 with - BR324 parent involvement, establishing - BR372; BR1042 Shelter pets, official pets of Kentucky, name and Council on Postsecondary Education, Kentucky Registry designate - BR160 Tuition Grant, deletion of review process for - of Election Finance, custodian of record, collection Spirit of Kentucky, designate bourbon - BR284 BR832 of fees remitted to State Treasurer - BR801 Department of Election Finance, form for filing personal loan Studies Directed for Libraries and Archives, library districts, election repayment report - BR803 Clean Air Act, reformulated gasoline requirements, of board members - BR421 Sanctuary policies, prohibitions relative thereto - executive branch study of - BR808 of Alcoholic Beverage Control, flavored vapor BR430 Neonatal Intensive Care Unit, task force, creation of products, prohibiting - BR925 Sober living homes, certification, Cabinet for Health - BR813 of Education, develop elective course offerings in and Family Services - BR936 Prescription drug transparency and affordability, African and Native American history - BR27 State study of - BR885 of Education, recommend curricula for African and Board of Elections, approval of countywide voting State agencies, data collection, protection, sharing, Native American instruction - BR27 locations - BR432; BR440 and cost-benefit analysis, study of - BR371 of Education, school bus stop arm cameras, annual Board of Elections, forms provided by - BR154 inspection of - BR136 Board of Elections, same-day voter registration on Substance Abuse of Insurance, collection of billed health care service election day, reports received - BR853 CBD oil, THC, drug testing, employment charges - BR425 Board of Elections, voter preregistration of persons discrimination, prohibiting - BR436 of Insurance, commissioner, database of billed at minimum of 16 years of age - BR273 Kentucky Mental Health First Aid Training Program, health care service charges - BR475 Police, firearm registration and sales, administrative creating - BR313 of Revenue, administration of PVA examination - regulations - BR342 Medicinal marijuana program, establishment - BR47 Support enforcement of federal immigration law, BR366 of Veterans’ Affairs, Bowling Green Veterans Center requirements relative thereto - BR430 Sober living homes, certification - BR936 - BR125 Task force on prescription transparency and Voluntary non-opioid directive, creation - BR7 Early voting, application form, signature roster - affordability, establish - BR885 BR431; BR439 Transportation Surface Mining Economic Development, Direct Health Care Services Mining permits, conditions for approval, compliance THE KENTUCKY GENERAL ASSEMBLY 97 with wage performance bond requirements - BR270 Technology Taxation, Income--Corporate Blockchain Technology Working Group, creation of Task Forces, Executive Branch Airport noise mitigation, income tax credit for - - BR947 Evidence-Based Policymaking Task Force, establish BR355 Data, creation of open data portal - BR3 - BR371 KBI program, minimum weekly wage, requiring - KentuckyWired contracts, prohibition Prescription drug transparency and BR325 of paid prioritization - BR413 affordability, study of - BR885 Qualified employer loan payment credit, creation of - BR827 Telecommunications Task Forces, Legislative Branch Rural hospital organization donation tax credit - BR339 Blockchain Technology Working Group, application Neonatal Intensive Care Unit, of - BR947 task force, creation of - BR813 Taxation, Income--Individual Call center relocations to a foreign country, notice to Airport noise mitigation, income tax credit for - Labor Cabinet - BR113 Taxation BR355 Criminal mischief in the first degree - BR204 Airport noise mitigation, income tax credit for - Community Property Trust Act, creation of - BR1002 KentuckyWired contracts, prohibition of paid BR355 Exemption for centenarians - BR246 prioritization - BR413 Cannabis, set rates for - BR272 Human organ donation, income tax deduction Trespass upon key infrastructure assets - BR204 Casinos, established - BR179 admissions tax on - BR80 KBI program, minimum weekly wage, requiring - Time gaming tax on - BR80 BR325 Daylight saving time, year-round, authorizing - BR181 Community Property Trust Act, creation of - BR1002 Military pensions, income tax deduction for - BR251; Fire districts and subdistricts, emergency ambulance BR367 Tobacco service, provision of - BR45 Pension Tobacco, alternative nicotine, and vapor products, Human organ donation, income tax deduction income exclusion - BR117 raise minimum purchase age to 21 - BR967 established - BR179 income exclusion, retroactively raise - BR215 Tobacco products tax, vapor products - BR32 Income Qualified employer loan payment credit, creation of tax, exemption for centenarians - BR246 - BR827 Trade Practices and Retailing tax, qualified employer loan payment credit, creation Rural hospital organization donation tax credit - BR339 Balloon releases, beverage straws and plastic carryout of - BR827 bags, prohibition of - BR999 Individual Taxation, Inheritance and Estate Medicinal marijuana program, establishment - income, pension income exclusion - BR117 Community Property Trust Act, creation of - BR1002 BR366 income tax, deduction for military pensions - BR367 Revised Uniform Fiduciary Access to Vapor product enhanced cartridge, sales of - BR468 Individual, military pensions, income tax deduction Digital Assets Act, adoption of - BR1003 for - BR251 Traffic Safety KBI program, minimum weekly wage, requiring - Taxation, Property Criminal BR325 Fee for emergency services authorized - BR151 littering, unsafe amounts of leaves or mowed grass License tax, exemption for centenarians - BR246 Fire districts and subdistricts, emergency ambulance left on highway - BR119 Medicinal marijuana program, establishment - service, provision of - BR45 littering, unsafe amounts of mowed grass left on BR366 Special purpose governmental entities, review of fee highway - BR133; BR176 Pension income exclusion, retroactively raise - and tax increases, requiring - BR907 Motor vehicle safety features for prevention of hot BR215 Veteran service organization, exemption - BR247 car deaths, installation of - BR285 Property Veterans’ service organizations, exemption, Passing stopped school bus, recorded by camera, tax exemption, veterans’ service organizations, proposed constitutional amendment - BR127 establishing civil penalties for - BR136 proposed constitutional amendment - BR127 Personal communication device, use by driver, tax, veteran service organization, exemption - Taxation, Sales and Use prohibiting - BR212 BR247 Baby products and diapers, exemption of - BR178 School Rural hospital organization donation tax credit - Feminine hygiene products, exemption of - BR107 bus, illegal passing of, 90 day operator’s license BR339 Increase to eight percent (8%) - BR36 revocation - BR124 Sales Pasture, agricultural, and horticultural land bus stop arm cameras, enforcement - BR136 and use, pasture, agricultural, and horticultural land maintenance services, exemption of - BR102 bus stop arm cameras, requiring - BR136 maintenance services, exemption of - BR102 and use tax, baby products and diapers, exemption Teachers Transportation of - BR178 Arts instruction, requiring schools to offer - BR203 Animal-drawn vehicle, animal shoes, prohibition - and use tax, feminine hygiene products, exemption Hearing officers, random selection of - BR86 BR480 of - BR107 Nonteaching time, required - BR1024 Commercial sponsorships of facilities and vehicles, and use tax, increase to eight percent (8%) - BR36 Privacy of students, ensuring - BR1020 implementation of - BR931 Special purpose governmental entities, review of fee Public charter schools, repeal - BR61 Criminal and ad valorem tax increases, requiring - BR907 STEM teacher, promise zone, loan forginveness for littering, unsafe amounts of leaves or mowed grass Sports wagering, excise tax on - BR236 - BR31 left on highway - BR119 Tobacco products tax, vapor products - BR32 Teachers’ Retirement System, post-retirement change littering, unsafe amounts of mowed grass left on Wagering, taxation on - BR364 of beneficiary and option, qualifying events for - BR463 highway - BR133; BR176 Driver license application, automatic voter

98 2019 Interim LEGISLATIVE RECORD preregistration and registration, option to decline postsecondary institution, state funding, withholding - BR273 of - BR240 Waste Management Fees for motor vehicle operator’s licenses and Student identification badges required to contain Municipal solid waste disposal facility, waste identification cards, waiver for disabled veterans - national crisis hotline numbers - BR435 management facilities, definitions of - BR206 BR185 Support enforcement of federal immigration law, Plastic convenience items, prohibition of, delayed Kentucky Transportation Board, establishment, requirements relative thereto - BR430 implementation dates for - BR999 membership, powers, and duties - BR184 University of Louisville, Direct Health Care Services Waste disposal facility, local determination, Motor vehicle safety features for prevention of hot and Research Facilities Operations Loan - BR290 private facilities, requirement for - BR118 car deaths, installation of - BR285 Passing stopped school bus, recorded by camera, Vaping Wills and Estates establishing civil penalties for - BR136 Flavored vapor products, prohibiting - BR925 Community Property Trust Act, creation of - BR1002 Personal communication device, use by driver, Tobacco, alternative nicotine, and vapor products, Creditor’s claim, time period for - BR1002 prohibiting - BR212 raise minimum purchase age to 21 - BR967 Revised Uniform Fiduciary Access to Digital Assets Recommended Vapor product enhanced cartridge, sales of - BR468 Act, adoption of - BR1003 Biennial Highway Construction Plan, Kentucky Special powers of appointment, exclusion from Transportation Board approval - BR184 Veterans vesting period - BR1001 Six-Year Road Plan, Kentucky Transportation Board Bowling Green Veterans Center, design and Trust, amendment of instrument creating - BR1002 approval - BR184 preconstruction - BR125 Trust instrument, time period related Required coverage of nonemergency services, Fees for motor vehicle operator’s licenses and to power of appointment - BR1001 Medicaid - BR833 identification cards, waiver for disabled veterans - School BR185 Wines and Wineries bus stop arm cameras - BR136 Honor and Remember flag, emblem of remembrance, Countywide local option election, petition or church bus, illegal passing of, 90 day operator’s designation of - BR85 requirements relating to - BR897 license revocation - BR124 Property tax, exemption, veterans’ service Train crews, two-person requirement, organization, proposed constitutional amendment Women penalties for violation - BR328 - BR127 Abortion, constitutional amendment, no protected Veteran service organization, property tax exemption right - BR241 Treasurer - BR247 Abortion services, government payments to entities Candidate for elective office, submission of federal “Veteran-owned business,” amend definition of - referring for/counseling in favor of, prohibition - income tax returns, requirement of - BR801 BR412 BR239 Candidates for elective office, federal income tax Veterans Feminine hygiene products, free to public returns, requirement of, fees collected - BR801 center nursing staff, midpoint salary restriction, postsecondary students - BR407 Statement of use of state resources for nonpublic removal of - BR467 Maternal mortality and morbidity, prevention of - purposes, requiring - BR499 Suicide Memorial Mile, Interstate BR88 Successful candidate, repayment deadline for 75, Whitley County - BR109 Paid parental leave for employees, employers with personal loans made to campaign - BR803 fifty or more employees - BR320 Veterinarians Sales and use tax, feminine hygiene Unemployment Compensation Abuse of animals, reporting by veterinarian - BR205; products, exemption of - BR107 Wages, payment of by professional BR288 employer organizations - BR72 Veterinarians, animal cruelty, allow reports of - BR174 Workers’ Compensation Coverage, requirements for professional employer Uniform Laws Wages and Hours organizations - BR72 Kentucky Uniform Powers of Appointment Act - Earned paid sick leave provided by employers, Division of Workers’ Compensation Funds, removal BR1001 requirement for - BR319 of - BR494 Revised Uniform Fiduciary Access to Failure to post wage performance bond, penalties, Occupational diseases, physicians Digital Assets Act, adoption of - BR1003 distribution to employees - BR270 eligible to perform evaluations - BR414 New employee, health insurance coverage, penalties United States - BR983 Workforce Congress, year-round daylight Paid parental leave for employees, employers with Call center relocations to a foreign country, notice to saving time, authorizing - BR181 fifty or more employees - BR320 Labor Cabinet - BR113 Prevailing wage for public works, creating - BR323 CBD oil, THC, drug testing, employment Universities and Colleges Sheltered workshop employment, employee, discrimination, prohibiting - BR436 Feminine hygiene products, free to students - BR407 redefining - BR910 Dementia care training, direct care staff and managers Immigration laws, enforcement of, requiring - BR240 State minimum wage, increase - BR132; BR237 - BR394 KCTCS, endowment match - BR252 Unlawful employment practice, inquiry about Division of Workers’ Compensation Funds, removal Kentucky Tuition Grant, institutional eligibility - previous salary - BR456 of - BR494 BR832 Wage performance bonds for employers engaged in Employer-employee, health insurance, penalties, new Sanctuary mining, notification of compliance - BR270 employee - BR983 policies, prohibitions relative thereto - BR430 Wages, recordkeeping and reporting of - BR263 Schedules for employees - BR316 postsecondary institution, determination of, hearing procedure - BR240 THE KENTUCKY GENERAL ASSEMBLY 99 2019 Interim LEGISLATIVE Robert Stivers David Osborne SENATE PRESIDENT SPEAKER OF THE HOUSE RECORD David P. Givens David Meade Published monthly by the Jay D. Hartz PRESIDENT PRO TEMPORE SPEAKER PRO TEMPORE Legislative Research Com- Director Damon Thayer John Bam Carney mission, the Interim Record Legislative Research MAJORITY FLOOR LEADER MAJORITY FLOOR LEADER is designed to inform the Commission Morgan McGarvey Joni L. Jenkins MINORITY FLOOR LEADER MINORITY FLOOR LEADER citizens of Kentucky of the Carla Montgomery between-sessions work of the Deputy Director for Julie Raque Adams Suzanne Miles General Assembly. Committee and Staff MAJORITY CAUCUS CHAIR MAJORITY CAUCUS CHAIR Paper subscriptions are free Coordination Johnny Ray Turner Derrick Graham upon request. Contact the LRC MINORITY CAUCUS CHAIR MINORITY CAUCUS CHAIR Public Information Office, Rob Weber Mike Wilson Chad McCoy Public Information MAJORITY WHIP MAJORITY WHIP Capitol Annex, Frankfort KY, Officer 40601 at 502-564-8100, ext. 307 Dennis Parrett Angie Hatton to subscribe. Joe Cox MINORITY WHIP MINORITY WHIP Publications and Printing TheInterim Record can also Officer The Kentucky Legislative Research Commission is a 16-member committee of the majority and minority leadership of be read online at legislature. Rebecca Mullins the Kentucky Senate and House of Representatives. Under Chapter 7 of the Kentucky Revised Statutes, the LRC constitutes ky.gov/Legislation/Pages/de- Hanchett the administrative office for the General Assembly. Its director serves as chief administrative officer of the Legislature when fault.aspx. 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100 2019 Interim LEGISLATIVE RECORD