2013 Interim LEGISLATIVE Volume 26, No. 8 November 2013 * Read on-line at www.lrc.ky.gov/legislation.htm* RECORD Number of KY ENERGY STAR not certain how much schools have grown tobacco money it will receive in 2014 from 12 to 233 by Rebecca Hanchett by Rebecca Hanchett LRC Public Information LRC Public Information Kentucky could lose half, all, or none of its tobacco settlement payment next year due to a Sept. 11 Over the past six years, the number of ENER- ruling that found the state “nondiligent” in upholding a law requiring escrow payments by nonparticipat- GY STAR certified schools in Kentucky has grown ing cigarette manufacturers. from 12 to 233 under the direction of the Kentucky The decision, handed down against Kentucky and five other states by an arbitration panel, leaves School Energy Managers Project and others, a Kentucky uncertain about just how much tobacco settlement money it will receive in calendar year state legislative subcommittee was told on Nov. 2014, Governor’s Office of Agricultural Policy Executive Director Roger Thomas told the Interim Joint 15. Committee on Agriculture on Nov. 13. Kentucky had anticipated receiving approximately $90 million, Kentucky with agriculture getting half of whatever dollars are received per a formula under state law. School Boards Kentucky has appealed the decision. Association School “It’s pure speculation at this point…” said Thomas. “It all depends on these various state MSA Energy Managers courts and what their rulings are on motions to vacate.” He went on to say that, “It could be $45 million, Director Ron Will- it could be $5 million, it just depends on the actions of the state MSA courts…” hite explained to the There is even a possibility that Kentucky’s payment will not be reduced, pending court actions, or, Kentucky General depending on how many states are ultimately ruled nondiligent, “…it could be that the entire payment Assembly’s Special to a state—whether it’s Kentucky or any other state—if they were the only state to be found nondiligent, Subcommittee on they could have their entire payment withheld,” Thomas told the committee. Energy that most, Since tobacco settlement payments fund Kentucky’s popular Agricultural Development Fund, if not all, of the Thomas told the committee a reduction would “have a very dramatic effect” on state agricultural pro- increase has occurred Sen. Katie Stine grams. Still, he emphasized that it is too early to say exactly what the Sept. decision will mean for 2014 since the and the rest of the next budget cycle. General Assembly’s passage of “(But) it’s easy to see we have our challenges before us,” he said. school energy efficiency legislation in 2008 and According to the arbitration panel, Kentucky, Missouri, Maryland, New Mexico, Pennsylvania and 2010. ENERGY STAR is a voluntary federal pro- Continued on page 2 gram that helps individuals and organizations—in- cluding schools—conserve energy and save costs. House Majority Floor Leader Rocky Adkins, D-Sandy Hook, was glad to hear about Pension issues persist, state lawmakers told the increase by Rebecca Hanchett Sen. Chris in Kentucky schools LRC Public Information McDaniel, R- receiving the special Latonia, A prohibition against “pension spiking” designation. makes a point approved by state lawmakers with the passage of “That’s pretty during the Nov. Senate Bill 2 during the General Assembly’s 2013 amazing, to be very 20 meeting honest with you. Regular Session drew questions from a state legis- in Frankfort. That’s pretty amaz- lative committee on Nov. 20. ing,” said Adkins, The prohibition was mentioned in a presen- tation to the Interim Joint Committee on State who sponsored the Rep. Rocky Adkins 2008 legislation. The Government by Kentucky Retirement Systems 2010 legislation was sponsored by Senate Presi- Executive Director William Thielen, who said the The pension spiking prohibition, explained dent Pro-Tem Katie Stine, R-Southgate. policy change will take effect on Jan. 1, 2014, as Thielen, says the actuarial cost to the retirement The 2008 law requires local school boards to will implementation of a hybrid cash balance plan system created by annual salary increases greater for new state hires. All policies will be implement- than 10 percent during a retiree’s last five years ed by KRS. Continued on page 2 Continued on page 3

THE KENTUCKY GENERAL ASSEMBLY 1 Tobacco, to reduce payments to states “if they Rep. Tom McKee, D-Cynthiana, 2014 LRC from page 1 (the PMs) lose market share to their offered some praise of his own. nonparticipating colleagues because “It was an honor for me to work Publications Indiana did not adequately enforce of the multistate settlement’s obli- with you and many other legislators collections from nonparticipating gations.” States considered diligent to help develop these programs,” Price List manufacturers, or NPMs, who did not in collecting NPM payments were McKee said to Thomas, who is a for- sign onto a 1998 multi-billion-dollar shielded from reductions, while those mer member of the Kentucky House master tobacco settlement agreement found nondiligent will likely have of Representatives. between the four largest tobacco com- their tobacco settlement payments “I think if you travel the state, Daily Record Pickup.....$165 panies (at that time) and 46 states. reduced. if you go out on the rural roads of NPMs are expected by law to make Although Kentucky feels “like Kentucky, you’re going to see fence Daily Record Mailed .....$165 (plus escrow payments. we were diligent in our enforcement,” that wouldn’t be there; you’re going postage) The participating manufac- says Thomas, the arbitration panel to see cattle handling facilities that turers—which lost market share in judged otherwise, he said. wouldn’t be there (with the ADF),” 2003—blamed the loss on inadequate Friday Record Mailed ....$38.50 (plus Appreciation for the impact the said McKee. postage) enforcement of NPMs, according to a Kentucky Agricultural Development The committee also received Nov. 7 article on the issue on the web Fund has had on the state’s farms was testimony from Kentucky Agricul- site Law360. Participating manufac- Individual Record Pickup ...$2.75 voiced by Committee Co-Chair Sen. ture Commissioner James Comer, turers felt sales by nonparticipating , R-Shelbyville. as well as subcommittee reports on companies had increased more than Individual Record Mailed ..$2.75 (plus “Without that foresight by those rural issues and horse farming from they should have because Kentucky postage) and the other alleged “nondiligent” of you who sat here and (developed) Subcommittee on Rural Issues Co- HB 611… I don’t think our agricul- Chair Sen. Stan Humphries, R-Cadiz, states did not adequately enforce Bills ture in this state would be nearly as and Subcommittee on Horse Farm- collections from the NPMs. Complete Set of Bills and Resolutions far along as it is,” he said. HB 611, ing Co-Chair Rep. Susan Westrom, To shield themselves financially, (Pick-up) passed by the 2000 Kentucky General D-Lexington. the participating manufacturers in- $630.00 voked what is called an “NPM adjust- Assembly, determined how agricul- Representatives from Kentucky ture would benefit from Kentucky’s Farm Bureau were also expected to ment” under law and withheld money Individual Bills from the settlement agreement. The $3 billion share of the 1998 tobacco testify, as were officials from AT&T Per Page ...$.05 adjustment, says the Law360 article, settlement. who were scheduled to speak on tele- allows participating manufacturers Fellow Committee Co-Chair communications and modernization. Amendments Energy, Per Page....$.05 from page 1 Roll Call Votes Rep. Leslie $.15 (per page) participate in the Kentucky Energy Combs, Efficiency Program, which provides D-Pikeville, at left, Publications information about potential energy talks with Rep. Fitz 1-10 copies .... Free (plus postage, if savings; the 2010 law “highly” en- Steele, D-Hazard, mailed) courages schools to meet, or exceed, at the Nov. 15 Copies over 10 .... ($1.00 per copy, efficient school design standards, and meeting. plus to consider building to “net zero” standards—where a building produces postage if mailed) as much (or more) energy as it con- sumes in a year. Administrative Regulations Grant County Schools Energy Bound Volumes.... $170.00 Manager Jon Nipple explained that Administrative Register....$96.00 most energy use at schools is from Volumes and Register .... $250.00 heating and cooling (50 percent) and lighting (25 percent). Geothermal en- Acts of the General Assembly ergy, carbon dioxide sensors that help lawmakers. “…(A building automa- $37,200. (on CD...$10) control when air is heated or cooled, tion system) is a timer, in a way, of The state currently has three net Regular Sessions ... Priced after and LED lighting are all considered conditioning just when you’re in the zero schools: Richardsville Elemen- printing best practices for school energy building.” tary, Turkey Foot Middle School in Special Sessions .... Priced after savings and are used by many energy Schools like Richardsville Ele- Kenton County, and Locust Trace printing efficient schools today, Nipple told mentary in Warren County that have AgriScience Farm in Fayette County. the subcommittee. Automated web- achieved the net zero standard can Richardsville Elementary was the first Journals based systems that control energy use reap considerable savings, according net zero school built in the U.S., said House and Senate Complete Set, when schools are unoccupied are also to Kentucky Department for Ener- Guess. House Set, Senate Set...all priced helpful, considering that schools are gy Development and Independence Other testimony received at the only used by students and teachers 1/4 after printing Efficiency and Conservation Director meeting included a report from the to 1/3 of the time, Nipple said. Greg Guess. Guess said Richardsville state’s Center for Applied Energy “What we can’t afford to do is (All prices subject to 6% Kentucky Elementary had no energy bill in Research Director Rodney Andrews we can’t afford to condition build- sales tax, and subject to change) 2012, instead receiving a check from on carbon capture and utilizations ings when nobody’s there,” he told its energy provider (TVA) for over research and development.

2 2013 Interim LEGISLATIVE RECORD Pensions, from page 1 Water issues reviewed of KRS-covered employment is the responsibility of their last KRS-par- by state lawmakers ticipating employer. Implementing by Rebecca Hanchett springs as a water source. the provision, said Thielen, “has been LRC Public Information “So many times, I think, we take particularly problematic for our staff. some of the basic essentials that so “We’re having to design various Over $850 million was appro- many of us have for granted,” said features of our technology system to priated by the Kentucky General Interim Joint Committee on Natural deal with that, but we will complete Assembly between 2000 and 2010 for Resource and Environment Co-Chair that as well to the extent necessary as water projects in the Commonwealth, Sen. , R-Berea. “Ken- of Jan. 1,” he said. “There are some a water association official told state tucky has always had issues with issues related to the pension-spik- lawmakers on Nov. 7. water (so) throughout the interim we ing provision you may be asked to “We would not be able to ac- think of opportunities to talk about consider during the upcoming session Above: Committee Co-Chair Sen. Joe Bowen, complish what we have and be able to crucial issues for Kentucky, and water in 2014.” R-Owensboro, fields questions at the Nov. 20 serve the unserved, and underserved, Senate Majority Floor Leader is one of them, so we wanted (this meeting. Center: Committee Co-Chair Rep. Brent people if it had not been for your , R-Georgetown, who update).” input as the sponsored 2013 SB 2, said he doesn’t Yonts, D-Greenville, asks a question. Bottom: Larimore was one of several General foresee any change to the policy. Senate Majority Floor Leader Damon Thayer, who testified before the committee on “I don’t foresee any roll-back of Assembly,” water and wastewater issues facing R-Georgetown, asks a question of the panel. any of the provisions of SB 2 occur- Kentucky Kentucky. Also testifying were repre- ring in 2014, (or) until the bill goes Rural Kentucky is served sentatives from Kentucky American Water into effect for a while and we see by over 410 Water, which mostly covers the Lex- how it works,” said Thayer. Association ington-Fayette County area, Louis- Thielen said KRS will likely rec- Executive public water ville Water Company, the Kentucky ommend legislation to clear up some director systems in the Municipal Utility Association, the “ambiguities” in the legislation, but Gary Lar- Commonwealth, Public Service Commission, Ken- that KRS itself “has no plans to try to imore told tucky Infrastructure Authority, and do anything to that provision.” the Inter- according to the Kentucky Division of Water. Of the approximately 80 public im Joint Larimore. During testimony from Kentucky pension Committee American Water’s Cheryl Norton, plans on Natural Sen. Chris Girdler, R-Somerset, asked nationwide, Resources if she is aware of water systems being Of approximately Thielen and Envi- part of public/private partnerships. said Ken- 80 public pension ronment. tucky ranks Norton said yes—specifically in plans nationwide, Much of the funding to expand in the mid- Florida, where American Water (her safe drinking water to rural areas Thielen said Ken- dle in terms parent company) entered into a pub- tucky ranks in the of assumed has come from coal severance and lic/private partnership to help with rate of tobacco settlement dollars, he said. a desalination project in the Tampa middle in terms investment Kentucky also receives considerable area. of assumed rate of return. He funding from the federal govern- Projects with private support investment return. said the ment—especially the USDA, which received positive feedback from Rep. average Larimore said is “primarily the fund- Stan Lee, R-Lexington. assumed rate ing agency for rural water utilities in “I think it’s worth noting that of return among the plans is around 8 Kentucky.” in this time of tight money and tight percent; Kentucky’s is 7.75 percent. Kentucky is served by over 410 taxes…when private industry can step KRS’s Kentucky Employee Re- public water systems in the Common- forward…we ought to be going that tirement System for non-hazardous wealth, according to Larimore. Ken- way,” Lee said. employees (the largest of the KRS tucky’s five largest systems, including Commenting on the use of coal systems) was only 27.3 percent fund- Kentucky American Water (which severance dollars to pay the cost of ed as of June 2012. Total unfunded serves half a million people) and Lou- many water projects in the state, Rep. liability for all KRS pension funds, isville Water Company (which serves Fitz Steele, D-Hazard, cautioned which exclude teachers, was $13.8 around 850,000 people), serve most officials at the meeting that the next billion last year, according to the sys- of the state with water from surface tem’s 2012 actuarial valuation. state budget cycle will be rough for water sources like rivers, reservoirs, The committee also received programs that have traditionally re- and lakes, based on data from the an in-depth report on the Kentucky million in fiscal year 2015, Harbin lied on those dollars. “When it comes Teachers’ Retirement System from said—to help meet KTRS’ actuarial Southern Regional Water Program. up $200 million to $300 million or KTRS Executive Secretary Gary Har- needs. Another 1.53 million Kentuckians more short because there’s no coal bin, who said that system’s unfunded Harbin said KTRS’ current $12 use mostly groundwater as their water severance money there, there are liability is growing and must be ad- billion unfunded liability will grow to source, according to the state Divi- going to be a lot of programs getting dressed—to the tune of $386 million $23 billion “if a funding plan is not sion of Water, while around 415,950 cut. It’s coming—within two months in fiscal year 2014 and over $400 put in place.” Kentuckians use private wells or it’s here…” said Steele.

THE KENTUCKY GENERAL ASSEMBLY 3 2014 Regular Session Calendar

4 2013 Interim LEGISLATIVE RECORD 2013 House of Representatives

Julie Raque Adams C.B. Embry, Jr. Stan Lee Sal Santoro 213 S. Lyndon Ln. PO 1215 Morgantown 42261 PO Box 2090 Lexington 40588 596 Walterlot Ct. Florence 41042 KENTUCKY Louisville 40222 Work 270-526-6237 Home 859-252-2202 Home 859-371-8840 Home 502-744-9264 Home 270-791-1879 FAX 859-259-2927 FAX 859-371-4060 Brian Linder Joseph M. Fischer 16 Ridgeview Circle Dry Ridge 41035 Jonathan Shell Rocky Adkins 126 Dixie Place Fort Thomas 41075 502-564-8100 PO Box 138 Lancaster 40444 PO Box 688 Sandy Hook 41171 Work 513-794-6442 Work 859-792-4161 Work 606-928-0407 Home 859-781-6965 Mary Lou Marzian Home 606-738-4242 2007 Tyler Ln. Louisville 40205 John Short FAX 606-929-5913 Home 502-451-5032 PO Box 1133 Hindman 41822 General Kelly Flood Donna Mayfield Work 606-785-9018 Lynn Bechler 121 Arcadia Park Lexington 40503 2059 Elkin Station Rd. 2359 Brown Mines Road Home 859-221-3107 Winchester 40391 Arnold Simpson 112 W. 11th Street Covington 41011 Marion 42064 Home 859-745-5941 Home 270-988-4171 David Floyd Work 859-261-6577 Assembly 102 Maywood Ave. Bardstown 40004 Home 859-581-6521 Tom McKee Johnny Bell Home 502-350-0986 1053 Cook Road Cynthiana 41031 Home FAX 859-261-6582 108 North Green St. Glasgow 42141 Home 859-234-5879 Work 270-651-7005 Jim Glenn FAX 859-234-3332 PO Box 21562 Owensboro 42304 Kevin Sinnette Home 270-590-0110 Senate Home 270-686-8760 PO Box 1358 Ashland 41105 David Meade Home 606-324-5711 PO Box 121 Stanford 40484 Robert Benvenuti III Jim Gooch Jr. Home FAX 606-329-1430 Walter Blevins, Jr. Gerald A. Neal 502-564-8100 115 Hill N Dale Morehead 40351 Suite 1250 Meidinger Twr 2384 Abbeywood Rd Lexington 40515 714 North Broadway B2 Work 606-743-1200 462 S. 4th Street Home 859-421-1464 Providence 42450 Rita Smart Home 606-743-1212 Louisville 40202 Work 270-635-7855 Reginald Meeks 419 W. Main Street Richmond 40475 Kevin D. Bratcher Home 270-667-7327 FAX 606-743-1214 Work 502-584-8500 10215 Landwood Drive PO Box 757 Louisville 40201 Home 859-623-7876 FAX 270-667-5111 Home 502-776-1222 Louisville 40291 Work 502-741-7464 Joe Bowen FAX 502-584-1119 Home 502-231-3311 Diane St. Onge 2031 Fieldcrest Drive Owensboro 42301 Derrick Graham PO Box 17351 Lakeside Park 41017 Room 329F Capitol Annex Frankfort 40601 Home 270-685-1859 R.J. Palmer II Michael Meredith 502-564-8100 1391 McClure Road Winchester 40391 Regina Bunch Home 502-223-1769 PO Box 292 Brownsville 42210 Home 859-737-2945 179 Mountain St. Williamsburg 40769 Jeff Greer Work 270-597-6049 Home 606-549-3439 PO Box 1007 Brandenburg 40108 John Will Stacy 409 W. Maple Nicholasville 40356 PO Box 135 West Liberty 41472 Home 270-422-5100 Home/FAX 859-885-0606 Charles Miller Home/FAX 606-743-1516 731 Thomas Rd. Elizabethtown 42701 Tom Burch Home FAX 270-422-5100 3608 Gateview Circle Louisville 40272 Jared Carpenter Home 270-765-4565 4012 Lambert Ave. Home 502-937-7788 Louisville 40218 Fitz Steele PO Box 100 Berea 40403 176 Woodland Ave. Hazard 41701 Home 502-454-4002 Keith Hall Home 859-623-7199 213 E. Fourth Frankfort 40601 Terry Mills Home/FAX 606-439-0556 Jerry P. Rhoads 502-564-8100 695 McElroy Pike Lebanon 40033 Julian M. Carroll 9 East Center Street Denver Butler PO Box 9041 Louisville 40209 Home 270-692-2757 Jim Stewart III Room 229 Capitol Annex Madisonville 42431 Mike Harmon 545 KY 223 Flat Lick 40935 Work 502-817-3044 Frankfort 40601 Home 270-825-2949 633 N. 3rd St. Danville 40422 Brad Montell Home 606-542-5210 502-564-8100 Home 859-238-7792 543 Main Street Shelbyville 40065 Dorsey Ridley Dwight D. Butler Work 502-633-7017 Perry B. Clark 4030 Hidden Creek Richard Heath Home 502-633-7533 Wilson Stone PO Box 9 Harned 40144 1481 Jefferson School Road 5716 New Cut Road Louisville 40214 Henderson 42420 438 Millers Chapel Rd. Home 270-756-0100 Tim Moore Scottsville 42164 Home 502-366-1247 Home 270-826-5402 Mayfield 42066 Home 270-705-7539 417 Bates Rd. Elizabethtown 42701 Home 270-622-5054 Work 270-869-0505 Home 270-769-5878 Julie Denton Work FAX 270-869-0340 John Carney Work 270-247-2210 1708 Golden Leaf Way 341 Pembroke Way Work FAX 270-247-2304 Rick G. Nelson Greg Stumbo Louisville 40245 Campbellsville 42718 117 Gumwood Rd. Middlesboro 40965 PO Box 1473 108 Kassidy Drive Albert Robinson Home 270-465-5400 Prestonsburg 41653 502-564-8100 1249 S. Main London 40741 Richard Henderson Home/FAX 606-248-8828 Home 606-886-9953 Work 502-584-8500 120 Dove Trace Drive Mt. Sterling 40353 Carroll Gibson Home 606-878-6877 Larry Clark Home 859-585-0886 David Osborne PO Box 506 Leitchfield 42755 5913 Whispering Hills Blvd. PO Box 8 Prospect 40059 Tommy Thompson Home 270-230-5866 Louisville 40219 Toby Herald Work 502-645-2186 PO Box 458 Owensboro 42302 Home 502-968-3546 PO Box 1602 Beattyville 41311 Home 502-228-3201 Home 270-926-9736 Chris Girdler 2147 Natches Trace Union 41091 Home 606-464-8510 Sannie Overly Work 270-926-1740 PO Box 395 Somerset 42502 502-564-8100 Hubert Collins 340 Main Street Paris 40361 FAX 270-685-3242 502-564-8100 72 Collins Dr. Wittensville 41274 Jeff Hoover Home 859-987-9879 John Tilley Dan “Malano” Seum Home 606-297-3152 PO Box 985 Jamestown 42629 126 Moreland Dr Hopkinsville 42240 David P. Givens 1107 Holly Ave. Fairdale 40118 Work 270-343-5588 Home 270-881-4717 PO Box 12 Greensburg 42743 Darryl T. Owens Home 502-749-2859 Leslie Combs Home 270-343-2264 1018 S. 4th St., Ste. 100 Louisville 40203 502-564-8100 245 E. Cedar Drive Pikeville 41501 Home 502-584-6341 Tommy Turner Home 606-444-6672 Dennis Horlander 175 Clifty Grove Church Road Sara Beth Gregory 1806 Farnsley Rd., Ste. 6 Shively 40216 Somerset 42501 PO Box 1835 Monticello 42633 Brandon Smith Ruth Ann Palumbo Work 502-447-9000 10 Deepwood Dr. Lexington 40505 Home 606-274-5175 Home 606-348-9767 P.O. Box 846 Hazard 41702 Tim Couch Home 502-447-2498 Home 859-299-2597 FAX 606-348-3459 Home 606-436-4526 PO Box 710 Hyden 41749 Ken Upchurch FAX 606-436-4526 Home/FAX 606-672-8998 PO Box 969 Monticello 42633 Kenny Imes Tanya Pullin Home 606-340-8490 Katie Stine Will Coursey 4064 US 641 N Murray 42071 1026 Johnson Lane South Shore 41175 502-564-8100 Work 606-932-2505 2521 Ransdell Ave. Louisville 40204 21 Fairway Drive Southgate 41071 285 Oak Level Elva Road Ben Waide Home 859-781-5311 Symsonia 42082 100 YMCA Dr., Ste. 5 Home 502-452-9130 Joni L. Jenkins Ryan Quarles Home 270-851-4433 PO Box 1001 Georgetown 40324 Madisonville 42431 II Work 270-252-1278 2010 O’Brien Ct. Shively 40216 Work 270-824-9227 Ernie Harris Home 502-447-4324 502-564-8100 PO Box 1073 Crestwood 40014 207 Main Street Manchester 40962 Work FAX 270-824-9206 Home 502-241-8307 Work 606-598-2322 Jesse Crenshaw Marie Rader Home 606-598-8575 121 Constitution Lexington 40507 James Kay II PO Box 323 McKee 40447 David Watkins FAX 606-598-2357 Work 859-259-1402 PO Box 1536 Versailles 40383 Work 606-287-3300 5600 Timberlane Dr. Henderson 42420 502-564-8100 344 N. Spalding Home 859-252-6967 Home 606-287-7303 Home 270-826-0952 Lebanon 40033 Damon Thayer FAX 859-259-1441 FAX 606-287-3300 FAX 270-826-3338 Home 270-692-6945 102 Grayson Way Georgetown 40324 502-564-8100 Ron Crimm Dennis Keene Rick Rand Gerald Watkins 1040 Johns Hill Road Wilder 41076 FAX 502-868-6086 PO Box 43244 Louisville 40253 PO Box 273 Bedford 40006 Room 332A Frankfort 40601 Paul Hornback Work 502-400-3838 Home 859-441-5894 Work 502-255-3286 502-564-8100 6102 Cropper Rd. Shelbyville 40065 Home 502-245-8905 Home 502-255-3392 502-564-8100 849 Crestwood Dr. Prestonsburg 41653 Thomas Kerr FAX 502-255-9911 Jim Wayne Robert R. Damron 5415 Old Taylor Mill Rd. Taylor Mill 41015 1280 Royal Ave. Louisville 40204 Home 606-889-6568 231 Fairway West Nicholasville 40356 Stan Humphries Work 859-431-2222 Jody Richards Work 502-451-8262 763 Sinking Fork Rd.. Cadiz 42211 Home 859-887-1744 Robin L. Webb Home 859-356-1344 817 Culpeper St. Bowling Green 42103 Home 270-522-0195 FAX 859-431-3463 Home 270-842-6731 404 W. Main Street Grayson 41143 Jim DeCesare Russell Webber Ray S. Jones II Home 606-474-5380 PO Box 122 Rockfield 42274 Kim King Steve Riggs PO Box 6605 Shepherdsville 40165 PO Drawer 3850 Pikeville 41502 Home 270-792-5779 250 Bright Leaf Drive Harrodsburg 40330 PO Box 24586 Louisville 40224 Home 502-543-8209 Work 606-432-5777 Home FAX 888-275-1182 Home 859-734-2173 502-564-8100 FAX 606-432-5154 700 S. Main PO Box 1107 Work 270-792-5779 FAX 502-564-6543 Susan Westrom Hopkinsville 42241-1107 Tom Riner PO Box 22778 Lexington 40522 502-564-8100 Mike Denham Martha Jane King 1143 E. Broadway Louisville 40204 Work 859-266-7581 306 Old Hill City Road Maysville 41056 3274 Gondola Dr. Lexington 40513 Work 270-885-7671 633 Little Cliff Estates Lewisburg 42256 Home 502-584-3639 Home 859-223-3274 Mike Wilson Home 606-759-5167 Home 270-657-2707 Addia Wuchner 631 Washington Avenue FAX 270-657-2755 PO Box 911 Burlington 41005 Bowling Green 42103 Bob M. DeWeese Bart Rowland Bob Leeper 6206 Glenhill Rd. Louisville 40222 Work 859-525-6698 502-564-8100 Adam Koenig PO Box 336 229 South Friendship Paducah 42003 Home 502-426-5565 No. 12 170 Harrington Ct. Erlanger 41018 Tompkinsville 42167 Work 270-554-9637 Home 859-653-5312 502-564-8100 Brent Yonts Home 270-554-2771 232 Norman Circle Greenville 42345 * Members of the Jeffery Donohue FAX 270-554-5337 PO Box 509 Fairdale 40118 Work 270-338-0816 Kentucky General Assembly Jimmie Lee Steven Rudy Work 502-439-6175 Home 270-338-6790 may also be contacted by calling 901 Dogwood Drive Elizabethtown 42701 3430 Blueridge Dr. W. Paducah 42086 Christian McDaniel Work 270-765-6222 Home 270-744-8137 FAX 270-338-1639 PO Box 15231 Latonia 41015 502-564-8100. Myron Dossett Jill York 491 E. Nashville St. Pembroke 42266 Home 270-737-8889 502-564-8100 FAX 270-765-2312 PO Box 591 Grayson 41143 Morgan McGarvey Home 270-475-9503 Work 606-474-7263 2250 Winston Ave. Work FAX 606-474-7638 Louisville 40205 Home 502-589-2780

* Members of the Kentucky General Assembly may also be contacted by calling 502-564-8100.

THE KENTUCKY GENERAL ASSEMBLY 5 Committee Meetings

KAR 12:020 (Examination); 201 KAR Legislative Research for noise abatement), BR 222 (relating 12:040 (Apprentices; ratio to operators); Commission to tolls), and BR 292 (relating to tax 201 KAR 12:045 (Apprentice, nail Minutes of the 541st Meeting credits for hiring legally blind or severely technician, esthetician, and instructor’s November 6, 2013 disabled individuals) to Appropriations licensing); 201 KAR 12:050 (Reciprocity Call to Order and Roll Call and Revenue; BR 174 (relating to school for valid licensee); 201 KAR 12:060 The 541st meeting of the Legislative funding) to Education; BR 129 (relating (Inspections); 201 KAR 12:065 (New, Index Research Commission was held on to eminent domain), BR 198 (relating relocated and change of owner salons); Wednesday, November 6, 2013, at 1:30 to eminent domain and declaring an 201 KAR 12:082 (School’s course A PM, in Room 125 of the Capitol Annex. emergency), BR 230 (relating to cable of instruction); 201 KAR 12:083 Agriculture, 11, 12, 13 Senator Robert Stivers II, Chair, called the television), BR 250 (relating to the Public (Educational requirements); 201 KAR Appropriations and Revenue, 13, 14, 15, Service Commission) to Energy; BR 45 12:088 (Esthetic course of instruction); 201 16 meeting to order, and the secretary called the roll. (relating to school notification of persons KAR 12:100 (Sanitation standards); 201 C Present were: authorized to contact or remove a child) KAR 12:101 (Equipment sanitation); 201 Capital Planning Advisory Board, 39 Members: Senator Robert Stivers II, to Health and Welfare; BR 11 (relating KAR 12:120 (School faculty); 201 KAR Capital Projects and Bond Oversight, 40 Co-Chair; Representative Greg Stumbo, to domestic violence), BR 44 (relating 12:125 (Schools’ student administrative Co-Chair; Senators R.J. Palmer II, Jerry to foreign law), BR 194 (joint resolution regulations); 201 KAR 12:150 (School E directing the Kentucky Law Enforcement records); 201 KAR 12:176 ( Repeal of Economic Development and Tourism, P. Rhoads, Dan “Malano” Seum, Brandon 17, 29 Smith, Katie Stine, Damon Thayer, and Council to study current and needed post- 201 KAR 12:175, 201 KAR 12:200, and Education, 18, 20, 21, 23 Johnny Ray Turner; Representatives traumatic stress disorder training, policies, 201 KAR 12:210); 201 KAR 12:180 Education Assessment and Accountability Rocky Adkins, John Carney, Larry Clark, and resources for peace officers), BR 211 (Hearing procedures); 201 KAR 12:190 Review Subcommittee, 43 Bob M. DeWeese, Sannie Overly, and (proposing an amendment to Section 145 (Investigations and complaints); 201 Elections, Constitutional Amendments, of the Constitution of Kentucky relating KAR 12:260 (License fees, examination and Intergovernmental Affairs Task Tommy Thompson. Force, 37 Guests: Lyle Hanna and Linda Haft, to persons entitled to vote) to Judiciary; fees, renewal fees, restoration fees and Energy, 24 Hanna Resources Group; Brian Weberg BR 155 (relating to electrical inspections) miscellaneous fees); 201 KAR 12:270 and Karl Kurtz, National Conference of to Licensing and Occupations; BR 46 (Threading practice); 201 KAR 30:040 G State Legislatures. (proposing an amendment to Section 42 (Standards of practice); 811 KAR 1:215 Government Contract Review Commit- of the Constitution of Kentucky relating (Kentucky Standardbred Development tee, 44 LRC Staff: Marcia Seiler and Christy Glass. to compensation for members of the Fund and Kentucky Standardbred H There being a quorum present, General Assembly), BR 189 (relating Breeders’ Incentive Fund); and 811 KAR Health and Welfare, 24 President Robert Stivers called for a to commercial vehicle enforcement 1:220 (Harness racing at county fairs) motion to approve the minutes of the officers), and BR 219 (relating to anti- to Licensing and Occupations; 301 J bullying), to State Government; BR 217 KAR 1:132 (Sale of live bait); 301 KAR Judiciary, 28 October 2, 2013, meeting; accept and refer as indicated items A. through E. (relating to disabled parking placards) to 1:152 (Asian Carp and Scaled Rough L under Staff and Committee Reports; refer Transportation. Fish Harvest Program); 301 KAR 2:049 Labor and Industry, 29 prefiled bills as indicated and approve Referral of the administrative (Small game and furbearer hunting and Legislative Research Commission, 6 items B. through J. under New Business; regulations to the following committees trapping on public areas); 301 KAR 2:225 Licensing and Occupations, 30 for secondary review pursuant to KRS & E (Dove, wood duck, teal, and other Local Government, 31 and accept and refer as indicated items 1. through 33. under Communications. A 13A.290(6) and 158.6471(6): 13 KAR migratory game bird hunting); 405 KAR M motion was made by Representative Clark 1:020 (Private college licensing); 16 KAR 8:010 (General provisions for permits); Military and Overseas Voting Assistance and seconded by Representative Stumbo. 3:080 (Career and technical education 405 KAR 10:001 & E (Definitions for Task Force, 47 A roll call vote was taken, and the motion school principals); and 16 KAR 9:080 405 KAR Chapter 10); 405 KAR 10:015 (University-based alternative certification (General bonding provisions); 405 KAR N passed unanimously. The following items Natural Resources and Environment, 33 were approved, accepted, or referred. program) to Education; 201 KAR 6:020 10:070 & E (Kentucky reclamation The minutes of the October 2, 2013, (Other requirements for licensure); 201 guaranty fund); 405 KAR 10:080 & E P meeting were approved. KAR 6:030 (Temporary permits); 201 (Full-cost bonding); 405 KAR 10:090 Prefiled Bills, 54 Staff and Committee Reports KAR 6:040 (Renewal, reinstatement, & E (Production fees); and 405 KAR Program Review and Investigations Com- and reactivation of license); 201 KAR 10:201E. (Repeal of 405 KAR 10:200) to mittee, 48 Information requests for October 2013. 6:050 (Licensure by endorsement); 201 Natural Resources and Environment; S Committee Activity Reports for KAR 6:060 (Fees); 201 KAR 6:070 and 601 KAR 9:200 (Registration and State Government, 34, 36 October 2013. (Continuing education requirements); 201 titling of rebuilt or salvage motor vehicle) Report of the Administrative KAR 6:080 (Code of ethics); 201 KAR to Transportation. T 6:090 (Complaint process); 900 KAR From Senator Paul Hornback and Tobacco Settlement Agreement Fund Regulation Review Subcommittee Oversight Committee, 53 meeting of October 8, 2013. 10:010 & E (Exchange participation Representative Tom McKee, Co-Chairs Transportation, 37 Committee review of administrative requirements and certification of qualified of the Interim Joint Committee on regulations by the Interim Joint Committee health plans and qualified dental plans); Agriculture: Memorandum requesting U 900 KAR 10:020 & E (Kentucky Health authorization and approval of the Unified Juvenile Code Task Force, 50, 52 on Local Government during its meetings of September 25 and October 23, 2013. Benefit Exchange Small Business Health following subcommittee membership V Committee review of administrative Options Program); 900 KAR 10:050 & reassignments: Rep. James Kay, Rep. Veterans, Military Affairs, and Public Pro- regulations by the Interim Joint Committee E (Individual Agent or Business Entity Lynn Bechler, and Rep. Derrick Graham tection, 39 on Health and Welfare during its meeting Participation with the Kentucky Health from the Rural Issues Subcommittee to of October 16, 2013. Benefit Exchange); and 906 KAR 1:190 the Horse Farming Subcommittee, and New Business (Kentucky Applicant Registry and Rep. Richard Heath, Rep. Jonathon Shell, Referral of prefiled bills to the Employment Screening Program) to and Rep. John Short from the Horse following committees: BR 43 (relating Health and Welfare; 501 KAR 6:110 Farming Subcommittee to the Rural Issues to legislative procedures for state fiscal (Roederer Correctional Complex) and 503 Subcommittee. measures), BR 152 (relating to tax credits KAR 1:180 (Firearms qualification for From Senate President Robert Stivers certified peace officers) to Judiciary; 201 and House Speaker Gregory D. Stumbo:

6 2013 Interim LEGISLATIVE RECORD Memorandum authorizing and appointing Report for the second quarter of 2013. Tonini: Strategic Plan FY 2014-2018. Ms. Haft said HRG is thorough and Representative Fitz Steele to the Interim From the Kentucky Personnel From the Energy and Environment would ask to see as many documents Joint Committee on Appropriations and Cabinet: FY 13 Annual Report. Cabinet: FY 13 Annual Report from the as possible within the organization. Revenue and as Co-Chair (and member) From the Public Protection Cabinet, Center for Renewable Energy Research This would include randomly selected of the Budget Review Subcommittee on Department of Insurance: FY 13 Kentucky and Environmental Stewardship. employee files, policies and procedures, Economic Development and Tourism, Long-Term Care Partnership Program From the Cabinet for Economic employee handbooks, and those kinds Natural Resources and Environmental Annual Report. Development: FY 13 Annual Report of things. HRG would spend three to Protection of the Interim Joint Committee From the Department of Health of the Kentucky Cabinet for Economic four days on site talking to selected on Appropriations and Revenue. and Family Services, Department for Development, Office of Entrepreneurship. individuals, and would prepare a summary From Senate President Robert Stivers Community Based Services: FY 12 Elder From the Cabinet for Economic statement. HRG would highlight priorities and House Speaker Gregory D. Stumbo: Abuse Annual Report. Development: FY 13 Annual Report of the that need to be worked on soon, and then Memorandum removing of Senator Julie From the Cabinet for Health and Bluegrass State Skills Corporation. would focus on other items needing to be Denton as a member of the Interim Joint Family Services: FY 13 Report of the From the Cabinet for Economic updated. Committee on Economic Development Operations and Activities of the Cabinet Development: Incentives for Energy Ms. Haft directed members to a page and Tourism and its subcommittee and for Health and Family Services Related Independence Act Annual Report, October on the handout that had a sampling of the the Interim Joint Committee on Labor and to Health Data Collection for Hospital 2013. things HRG would review and discussed Industry, and appointing Senator Carroll Inpatient Discharge and Outpatient From the Cabinet for Economic several priority items. Gibson to the Interim Joint Committee on Services. Development: FY 13 Annual Report of the Mr. Hanna said HRG was prepared Economic Development and Tourism and From the Kentucky Department of Kentucky Investment Fund Act (KIFA). to begin immediately, but would probably its subcommittee and the Interim Joint Fish and Wildlife Resources: The Status From the Cabinet for Economic not be able to finish before session. At Committee on Labor and Industry. of Hunting Land Access in Kentucky. Development: FY 13 Annual Report of the the end of the evaluation, LRC would be From Senator Joe Bowen and From the Education and Workforce Kentucky Enterprise Initiative Act. given a score card indicating things to be Representative Steve Riggs, Co-Chairs Development Cabinet: Unemployment From the Cabinet for Health and done, things that ought to be done, and of the Interim Joint Committee on Local Insurance Report for the third quarter of Family Services: 2012 Kentucky Colon then other things that would make LRC Government: Memorandum requesting 2013. Cancer Screen Advisory Committee more efficient and effective. He said HRG approval to meet on November 20, rather From the Personnel Cabinet: Annual Report. could complete the study for $15,000. than the regularly scheduled meeting date Personnel Cabinet Quarterly Report as of From the Auditor of Public Mr. Hanna directed the Commission of November 28. There are no apparent September 30, 2013. Accounts: Examination of Certain to page nine of the handout and discussed conflicts From the Personnel Cabinet: 2013 Policies, Procedures, Controls, and some things that need to be changed. He From Senate President Robert Annual Report from the Group Health Financial Activity of the Martin County said a compensation study had not been Stivers and House Speaker Gregory D. Insurance Board. School District. done in many years, job descriptions Stumbo: Memorandum authorizing and From Kentucky Employers’ Mutual From the University of Kentucky, needed to be updated, and basic appointing membership to the Public Insurance Authority: Statement of Assets, College of Agriculture: Kentucky Tobacco management training was needed for Pension Oversight Board. Liabilities, and Policyholder Equity; Research and Development Center, EEOC and Kentucky regulations. From Senator Whitney Westerfield Statement of Income; and State of Quarterly Report for the period July 1 Mr. Hanna discussed the Fair Labor and Representative John Tilley, Co- Solvency as of June 30, 2013. through September 30, 2013. Standards Act. He also said HRG was Chairs of the Juvenile Code Task Force: From Kentucky Employers’ Mutual The next order of business was qualified to recruit and would help find a Memorandum requesting approval to Insurance Authority: 2014 Annual Budget. discussion of a performance audit of the new director. meet outside the interim on December 11. From the University of Kentucky: LRC. It was previously agreed by the Mr. Hanna asked the Commission There are no apparent conflicts. FY 13 Kentucky Interagency Groundwater President and Speaker that there would how it envisioned LRC’s future. He From Senator Bob Leeper Monitoring Network Annual Report. be a presentations NCSL and Hanna thought the members should be proud of and Representative Rick Rand, Co- From the Labor Cabinet, Division of Resources Group. The presentations LRC and want it to attract great people. Chairs of the Interim Joint Committee Workers’ Compensation Funds: Report for were made to allow members to hear the Senator Stivers asked if anyone had on Appropriations and Revenue: Kentucky Coal Workers’ Pneumoconiosis proposals, discuss them, and come back questions and recognized Representative Memorandum requesting approval to Fund, Quarter Ending September 30, for a decision at the December meeting. Stumbo. meet outside the interim on December 19. 2013. Senator Stivers advised the Representative Stumbo said that he There are no apparent conflicts. From Kentucky Higher Education Commission that the Council on State assumed these types of studies are labor From Senator Julie Denton and Assistance Authority: FY 13 Annual of Governments had been contacted but intensive, and he hoped HRG would Representative Tom Burch, Co-Chairs of Actuarial Valuation of the Prepaid Tuition opted not to submit a proposal. schedule time with employees. He said the Interim Joint Committee on Health Trust Fund for Kentucky’s Affordable Hanna Resource Group this could be difficult during a session, and Welfare: Memorandum requesting Prepaid Tuition. representatives made the first which might make some staff unavailable. approval to meet outside the interim on From the Cabinet for presentation. Lyle Hanna, president of Representative Stumbo expressed his December 18. There are no apparent Economic Development, Office of the Hanna Resource Group (HRG), gave appreciation to Mr. Hanna. conflicts. Commercialization and Innovation, and a background of his company. Hanna Senator Thayer pointed out that LRC Communications the Kentucky Science and Technology Resource Group is based in Lexington, is not covered by the Fair Labor Standards From the Office of the Attorney Corporation: FY 13 Annual Report of the Kentucky, and does human resource Act. Mr. Hanna said he was aware there General: Constitutional Challenge Report Kentucky New Energy Ventures Fund. and organizational-related work around were some things that would not apply. for the month August 2013. From the Auditor of Public Accounts: Kentucky and throughout the United Senator Thayer said that it would not need From the Finance and Administration FYS 12-13 Report of the Audit of the States. He introduced Linda Haft. to be a part of a study. Cabinet: Monthly Investment Income Kentucky Lottery Corporation. Ms. Haft said she is Director of Senator Stivers asked if there were Report for the month of September 2013: From the Auditor of Public Accounts: Human Capital Services and has been any more questions. Seeing none, he From the Cabinet for Economic FY 13 Report of the Audit of the Kentucky with HRG since the beginning of this year. thanked Mr. Hanna and Ms. Haft for their Development, Office of Compliance and River Authority. Mr. Hanna said he would start presentation, and he asked the NCSL Administrative Services: Loan data sheets From the Auditor of Public the study by identifying risks and then representatives proceed. for each loan approved as of the quarter Accounts: FYS 12-13 Report of the Audit reducing them. HRG would perform Brian Weberg, Director of the ending September 30, 2013. of the Examination of the Lease Law an HR assessment, which takes six to Legislative Management Program at the From the Cabinet for Health and Compliance. eight weeks. He knew LRC had a sexual National Conference of State Legislatures Family Services: Report of the Department From the Public Protection Cabinet, harassment challenge, compensation and (NCSL), and Karl Kurtz, Director of the for Community Based Services Tuition Department of Insurance: October 2013 classification issues, and some role clarity, Trust for Representative Democracy at Waiver Program for Youth for the Biennial Report on Impact of Mental particularly around the partisan and non- NCSL, testified. Mr. Weberg said this reporting period September 2012-August Health Parity on Health Insurance Cost in partisan employees. HRG knows that the is his 41st year working in the area of 2013. Kentucky. policies and procedures have not been strengthening and improving legislatures From the Cabinet for Health and From the Department of Military updated in many years, and that there are around the country and different parts of Family Services: SWIFT Adoption Teams Affairs, Adjutant General Edward W. lots of holes. the world, and he said he looked forward

THE KENTUCKY GENERAL ASSEMBLY 7 to an opportunity to work with LRC to LRC’s employees, so that here is equal an analysis that would compare the best LRC had to accept the entire proposal. Mr. improve an already strong legislative staff pay for equal value; and to build a system choice of the various ways that things are Weberg said that was not the case. He said organization. that promotes competitiveness with this handled in other states. She asked if that this was a draft and standard procedure Mr. Weberg said he and Mr. Kurtz particular market place. During this was included in one of these items. to begin the conversation. The end result were at LRC a few weeks prior and spoke process, LRC would analyze job content Mr. Weberg said that could be done. might be slightly different than the with many staff and legislators. Based on and ask all employees complete a detailed He said NCSL has a set of benchmarks original proposal. The document was for those conversations and their experience, survey describing their jobs. NCSL would and best practices and could provide LRC the basis of discussion to give LRC some they developed a menu of ideas about how follow the survey with interviews of staff with those, and then LRC could make its ideas of the scope of NCSL’s skills, and NCSL might be able to assist LRC. in the kinds of positions that are unique own judgments. Senator Stine asked about where it thinks LRC needs to be headed. He said NCSL is about strong and specialized. NCSL would compare that cost, and Mr. Weberg said there might NCSL would listen to and be responsive legislatures and knows that strong staff data with other state legislatures about not be any cost associated with that. to what LRC wants. means strong legislatures. Mr. Weberg those kinds of job titles. Senator Stine then asked, Senator Thayer stated that he has a said the first part of the proposal was a Mr. Weberg discussed the cost to theoretically, for NCSL to do an in-depth lot of confidence in NCSL. What he likes performance audit or performance review LRC. The budget was in the handout, and study and compare that to what is done about NCSL is its legislative experience; of the legislative staff of LRC. The map he it indicated that NCSL would essentially elsewhere. Mr. Weberg said that, if NCSL there will not be a learning curve in handed out indicated the states in which split the costs with LRC. The performance does a performance review, it will select understanding how LRC operates. He NCSL had performed similar projects. The review is about an $82,000 project, of a group of state legislatures, which will said both presentations were good, and second part would be NCSL’s assistance which LRC would pay $46,000. NCSL present a fair amount of comparative data. he hopes everyone will take the time to with hiring and recruitment for a new was asking LRC to pay half of the salaries Representative Thompson asked Mr. review them. He said there are problems director. The last part would involved of NCSL staff involved with the study, and Weberg and Mr. Kurtz if they personally at LRC that need to be corrected, and compensation and classification. Members all of the staff travel. The formula was the would be involved in the study. Mr. having an outside, nonpartisan expert that have indicated that that is an area where same for the other two options and is the Weberg said they would be the lead staff has experience dealing with legislative LRC probably needs some assistance to standard way NCSL gives estimates for its on the project and they would have two or bodies in other states over the last several develop a more structured compensation studies. LRC’s dues to NCSL explain why three other senior staff from NCSL assist decades would benefit LRC. and classification system. NCSL has done NCSL absorbs one half of the cost. them. Representative Stumbo asked how those kinds of projects in about eighteen Mr. Weberg said that NCSL is right Representative Thompson asked many audits NCSL has conducted in the (18) states, and has returned many times for this undertaking because it knows if the other members of the team only past ten (10) years. Mr. Weberg said, to update those states. legislatures. NCSL can mobilize a lot of concentrate on these types of audits and recognizing that there was a lull during the Mr. Weberg said NCSL would comparative data and a network of experts perform this kind of work or whether recession, NCSL has completed ten (10) spend a week with LRC interviewing around the country to help work through they have other duties within NCSL. Mr. to fifteen (15) in the last decade. broad cross-section of staff and members these projects. NCSL has been doing this Weberg stated that they all have other Representative Stumbo said the to get opinions about what needs to be for decades. duties but are all very experienced staff. Tennessee study was many years ago. done and get an idea of the strengths and Senator Stivers thanked NCSL for its Natalie O’Donnell Wood is one of the Mr. Weberg concurred, and said the most opportunities among staff operations. In presentation and asked for questions. senior staff with NCSL’s ethics center, recent was the South Dakota study. He addition to those structured interviews, Representative Clark asked if NCSL and she trains throughout the country. said there were compensation studies in NCSL would also survey all legislators to could share which states NCSL had Todd Haggerty is a member of the fiscal Connecticut, but most of them happened get opinions about service. NCSL would worked with that are similar to Kentucky. affairs project, and is a specialist in budget prior to the recession. survey all staff to get their opinions on Mr. Weberg said Tennessee and Arkansas and budget staff and fiscal operations. Mr. Senator Stivers asked if NCSL various issues. have very similar staff structures, and to Kurtz said this team would assist with expected a problem getting data from NCSL would then look at the some degree, Florida. LRC had performed part one or the performance review. The other states. Mr. Weberg said there would documentation, personnel manuals, a recent study in South Dakota, which is salary and classification project might be a not be a problem because NCSL has management practices, compensation much smaller but has a very centralized, different team of people, based on what is developed tremendous contacts in all state practices and measure them against nonpartisan structure. Maine is a good learned in part one and the availability of legislatures. benchmarks in the field. Based on that example and might be the closest to LRC staff. He Mr. Weberg would be involved in Sen. Rhoads asked if the total cost assessment, NCSL would develop because of its nonpartisan staff and small that, but they might not be the lead staff in would be the combination of the three. Mr. recommendations. Mr. Weberg stressed caucus staff. the salary and classification. Weberg said this was correct. that throughout this process, NCSL Representative Adkins asked about Representative Overly stated that Senator Stivers thanked NCSL and would consult with leadership and senior the time period was to finish the Maine she would like to have a little more called for the next order of business, staff and constantly provide updates on study. Mr. Weberg said he thought it was clarification of the performance review. which was legislative districts and the progress. about six months. She understands NCSL wants to interview constituent services. He asked Ms. Seiler Mr. Weberg said the second piece of Representative Adkins asked about members and staff, and presumably tell to explain the concerns and problems the proposal would be to assist LRC in the Tennessee. Mr. Weberg said he did not them how LRC performs. She said she that have been brought to her attention recruitment and hiring process for a new participate in that study, but he thought it does not have a problem with that aspect concerning the districts and constituent Executive Director. was a four to five month project. of LRC, and that LRC has exceptional services and the maps. Mr. Kurtz directed the members to Senator Stivers asked about the cost. staff, both partisan and nonpartisan, Senator Stivers welcomed Ms. Seiler page seven of the proposal to a description He said he understands that whatever the staffing committees and suites. She said to her first LRC meeting, and expressed of services that NCSL would provide at cost is, because of LRC’s membership she does not want to pay up to $100,000 his appreciation to her stepping up to take no cost, as part of LRC’s membership with NCSL, that would be borne equally for information that she feels LRC has a the position as the interim LRC Director. in NCSL. NCSL would help write a job between the two groups. He wanted to good handle on. She feels LRC’s problem Ms. Seiler stated that the maps description for a new Executive Director clarify that option one did not include that is that it has a human resources system issue is one of the issues that was being or edit and review a draft that LRC might which is option two, and option two did not that is antiquated and broken. She would discussed before she started twenty-four prepare, and then help market the position. include what is option three. Mr. Weberg like to make sure that state resources are (24) days ago. The issue relates to the NCSL staff travel to Kentucky would be said that Senator Stivers was correct. The spent on the real problem. She asked if she new redistricting maps and how those the only extra cost associated with this. options are three distinct and separate was misunderstanding. maps will be utilized within the LRC Mr. Weberg said the final piece of undertakings. He said the cumulative Mr. Weberg said he did not think she for different services that LRC provides. the proposal is the compensation and cost to LRC of all three options is about was misunderstanding. The interviews LRC staff needs to update the website classification option. This would be a $90,000. are performed to make sure the study is and print a booklet of legislators with very intensive study conducted at LRC Mr. Kurtz said that part two of the on target and hitting the most important district numbers, so she needs direction to help develop a more structured pay director selection could actually go on issues. Using that information, NCSL can from the Commission on those maps and plan. Although it is intensive, he believes simultaneously with part one, and could focus on issues like human resources. whether to use the new maps or old ones. it is very beneficial to any organization. be absorbed into most of it. He said there Senator Thayer followed up on She stressed that there are many different Mr. Weberg said NCSL would be look might be a small additional cost, if any. Representative Overly’s question and services within LRC that are impacted by for two things: to create a system that Senator Stine asked if there was asked Mr. Weberg to clarify the menu in the use of these maps. promotes internal equity among all of an option where NCSL could simply do the presentation document. He asked if Representative Clark said he thinks

8 2013 Interim LEGISLATIVE RECORD the simplest way is to put the maps as they of Fayette County that would have two were elected to, and nobody can take that special district, and that is the fallacy of were 2002, and the proposed maps for Senators and parts of Fayette County away. He said he did not want to be accused the court decision. 2014. that would have no Senator. He said they of violating an ethical standard that they Representative Stumbo gave the Senator Thayer said he thinks using should use the new maps, and thus nobody are not meaning to violate. He agrees with scenario of Representative Collins. He the old maps, which have been ruled would be lacking of representation. the suggestion that Representative Clark said Representative Collins represents unconstitutional by courts, would be Senator Stivers mentioned that there made to administratively put up the two Martin County, and the calls that come in confusing to the 4.3 million people who was an Attorney General’s Opinion to maps. He does not see anything wrong have his name on them for that district. If live in Kentucky and are represented that same effect that stated, in 1982, the with that because this is what the district Representative Hall, who will take Martin by the one hundred thirty-eight (138) people would be of the new district in is now. This is the district that will be County under the new plan, would like members of the legislature. He said there which he or she is placed following the selecting its Representatives and Senators to see those green slips, Representative are two special elections in December that effective date of the redistricting act. This in the next election cycle. Stumbo does not have a problem with him are going to be conducted under the new was issued by then-Attorney General and Senator Thayer asked what would that. His judgment is that Representative lines. He said they should have begun now Governor Steve Beshear. Senator happen if, in the hypothetical case of Hall would decide whether he should dealing with constituent communications Stivers said he thinks that has been the law Representative Shell, he were appointed call those people back to tell them he under the new maps after Governor and the consideration of the courts. This to a state job, and the seat were vacant. will be running in their districts and Beshear signed the new law on the last interpretation would prevent problems There would be a special election held would like to help them. The question is day of the special session. that could occur in December of this year, where his House district was moved to in whether he does that under state time or Senator Thayer moved that LRC when there will be people who would Louisville. So, there would be a special personal time. He must decide, if he gets conform all internal functions, including be basically taken away or taken out of election in Jefferson County for a new correspondence from all the teachers in the legislative district maps, to the recently having any representation or having duel Representative, and those people who Martin County, whether he responds to enacted redistricting legislation and representation. elected Representative Shell would then them. If it is something that is coming up provide legislators with green slips and all Senator Thayer responded by saying be unrepresented until January of 2015. in this session, he will have to use his own other constituent communications from that the Senate did not move any numbers Senator Thayer said he was sticking by his judgment. their new legislative districts as passed around, so this is not as much of an issue motion, but they could make it voluntary during the special session in August. as it is in the House. He said, for example, if someone wanted to continue to receive Representative Stumbo says he has Senator Seum seconded the motion. Representative Jonathon Shell lives in the green slips from the district they were no problem with that type of thing, and Representative Stumbo asked Central Kentucky, but his district number elected. He said they can request that they he trusts that the legislators can share that Senator Thayer to offer an explanation has been moved to Jefferson County. get every green slip statewide if they want. information and decide whether they want of what a constituent is under Senator Representative Shell has told him that he He thinks for the sake of the people of to use their private cell phone or their state Thayer’s motion. He asked if that was the is working to serve those constituents in Kentucky, and legislators’ ability to serve phone to return those calls, but he thinks person who voted for him or had the chance Jefferson County, and he probably would them, that LRC should make available to they are going down a slippery slope to vote for him, or one of his opponents, like those green slips, but he is not going the members the green slips in constituent when they say, “this is your new district or whether it was someone else. Senator to run in that district. Senator Thayer said communications from the districts that even though you have not been elected Thayer stated that a constituent would be his guess is that Representative Shell is were voted on by this body and signed to it.” Keith Hall was never elected by someone who lives in the districts that going to file to run in the district in which into law by the Governor in August. the people in Martin County to represent were passed by the General Assembly in he resides, which is a different number. Senator Smith said the 84th District them, but Representative Stumbo said August. He said Representative Shell would not was Perry and Leslie County when he he does not mind Representative Hall Representative Stumbo said the bill be doing anything to further his political was elected. In 2001, a year later, he was seeing what their concerns are. He can that passed used the words, “shall be career, but he is serving the constituents redistricted. He picked up Perry, Leslie, decide how he wants to address that. effective for all elections held after the that the House map adopted by the General and Harlan counties, and there was no Representative Hall may want to work date of the enactment of this Act.” He Assembly requires him to do. Senator issue of any trouble at that time. All with Representative Collins. There may expressed concern that Senator Thayer Thayer said he does not see any problem of his green slips came to him from the be an easy administrative fix, rather than is really asking the LRC to perhaps spending state resources in making people of Harlan County. A lot of people saying “these are the new districts.” He use state funds to reach out to potential sure they are in contact that with the do not understand it, but they know when said his fear in saying that is that it sounds constituents who would reside in a district constituents that this General Assembly legislators or staff do not return their like an official act, and it invites a court in the next election cycle. He said they all voted in a nearly unanimous manner back phone calls. He said that any cost for green challenge by somebody who wants to say know that they can communicate with the in August. He thinks it is confusing to the slips is minimal because of the importance that Representative Adkins does not live constituents who elected them. constituents who legislators represent to of the calls. People should be able to in a district that is a newly created district do anything different. contact their legislators. When he learned and that there must be a special election. Representative Stumbo asked Representative Stumbo addressed about his new district, he started receiving This would result in a return to court and Senator Thayer if is proper to reach out Senator Thayer saying the case of the green slips and began scheduling the spending of state money and wasting to people who did not elect legislators Anggelis v. Land, Ky. 371 SW2d 857, meetings in the new territory. With this state resources. in their prior election. He said this is decided by the court in 1963, is exactly new transition, he is losing Harlan County Representative Clark suggested to all confusing, and he thinks a lot of the on this point. He said it involved a change picking up new counties, but he is working Senator Thayer that, instead of making a confusion is about the so called green of the geographic boundaries to the 12th with the member who has picked up that decision today, there could be a motion slips that legislators get. He said that the Senatorial district. The court said it clearly county to make sure that they know what that the President of the Senate and the administrative way is to allow legislators established that an elected official cannot he was working on. He is helping that Speaker of the House meet with the Interim to contact the people who voted for them, be legislated out of office, even though member meet the key players. The only LRC Director to address each situation but he thinks there might be a problem by virtue of the change in a congressional thing that matters is that the green slips get and bring it back to the Commission for with potential constituents. He said he district line, he no longer resides in the answered. Senator Smith added that the the December meeting for action at that believes that, because this is political in district. He said the General Assembly can members have always worked together on time. He said he is concerned about taking nature, they are prohibited from spending put him in a number, if it chooses, but he these transitions, and he suspects that 95 any kind of vote when the issue is still in state money to advance a legislator’s is still elected to the term by the people percent of them would continue to do that. court. political ambitions for the next office. who elected him. He is not against being Representative Stumbo said Senator Rhoads agreed and said he Senator Stivers responded by able to administratively solve whatever the court did not declare the districts was getting ready to make that suggestion, saying he thinks legislators’ districts are the problem might be. He said they all unconstitutional. If it did, it would have because they are dealing with different defined more by the district number, and agree that they need to be in touch with thrown out the elections and would have administrative issues--phone calls and as they have seen in the past, such as constituents, but Jonathan Shell does not ordered new ones. The court indicated how they interpret Attorney General with the districts of Senator Mongiardo represent the people in that district number, that, going forward, there could not be new Opinions and court decisions--and he and Representative Ackerson, who were he represents the people who voted him elections in old districts, which stopped would not want them to guess how this moved to districts and counties. If these into office. Representative Stumbo said short of saying that the whole process was should be resolved at this time. He said elections go forward, and he believes they that whoever wins the next election will unconstitutional. Representative Stumbo there is something to be said on both will in December, under Representative represent those people in the new districts, agreed that Senator Thayer was right sides, and he believes they are dealing Stumbo’s scenario, there would be parts but the old districts are the districts they in that there could be a situation with a with essentially an administrative issue

THE KENTUCKY GENERAL ASSEMBLY 9 that can be resolved between the leaders. an electoral process, then individuals slip that they would want to request. by Senator Smith, but under the Speaker’s He said they do not need to make this hard have problems, but he does not think it Agreeing with Senator Thayer, she feels interpretation, nobody should write their judgment on which interpretation is right is necessary to seek another Attorney Representative Clark’s suggestion is a new constituents. He does not think that or wrong, and that they are just trying to General’s opinion because that would good one, and that is that the President is necessarily accurate since there is an work out some administrative issues and require the asking for a new Attorney and the Speaker sit down with the Interim Attorney General’s Opinion that says serve their constituents. He knows those General’s Opinion if someone does not Director and work through this very differently. He does not think another constituents who are in their old districts like a previous opinion. He said the simple administrative issue, and that they motion is necessary because they already are going to continue to think they are Attorney General opinion already says not take action that could be deemed to have the authority to discuss the issue with still being represented by that Senator or the new districts are the places that are of have legal implication, particularly where the Interim Director. that House member, so it is confusing. He the effective date of the Redistricting Act. they have House districts that now have Representative Adkins asked if he is thinks Representative Clark’s suggestion He thus believes Senator Thayer’s motion overlap. correct that, if he wants to call the Director is a good one, and he hopes they proceed is appropriate, that they conform to that Representative Overly said it is clear of LRC and ask her to send him green that way. which is contained within the Anggelis they are in a year of flux, and it happens slips from whatever county it may be, Senator Thayer says he is afraid case, and the Opinion from the then- every ten 10 years, and it will all be that those green slips would come to his they are trying to re-create the wheel. Attorney General, and that is what they resolved by next year, but she also thinks office. He said a lot of times people call He has been informed that what was have done through redistricting. He said he they can work together to get through the and ask that messages go to all members. proposed in his motion was the way LRC has not been here as long as some others, next few months on something as simple He said he has received these kinds of has always done it. Every ten years, after but he has experienced similar issues as green slip distribution. communications for 26 years. He further redistricting, green slips and constituent after redistricting, and the interpretation Senator Stine said she also thinks stated that if he asks for green slips from communications are made available to from Anggelis and the Attorney General that makes great sense, and this vote is some other county, he assumes that he the members of the General Assembly. opinion stops any confusion there may be. exactly that, a clarification to make it clear would received them. He said what has been occurring lately is Senator Thayer said he has been to LRC staff what they are supposed to that some House members have not been here almost 11 years, and he has do. She said that is their job as legislators Anita Muckelroy said that LRC allowed to received green slips from the received green slips from people outside to advise LRC staff, and she called the would forward a member any green slips. constituents in their new districts, and of his district because they may have question. She said that most of the time the green this has been occurring at the direction of contacted him because he is a member Senator Stivers called for the matter slips are intended for specific legislators. House leadership. Senator Thayer said that of a regional caucus. Everyone in the before the Commission, the motion by Representative Adkins said that it has never been done before, and he does Northern Kentucky Caucus might receive Senator Thayer and second. On roll call, seems that any problem has been solved. not understand why it is difficult to just a green slip. Or, he may get a green slip the motion failed. He said that that the easiest fix is for give the green slips and communications because he is a member of the Licensing Senator Palmer moved that they individual legislators to specify the to the members in the districts that were and Occupations Committee, so he direct the LRC Director to send the counties and green slips that they want. signed into law in August. may get green slips from Paducah and appropriate green slips to the appropriate Anita Muckelroy said the problem Representative Stumbo that House Hopkinsville. He has at times responded legislators and that they resolve the map that could arise is that, if a legislator leadership never told anyone not to give to theme, and nobody told him that wrong. issue by giving the President and the wants all green slips from Lewis County, the green slips to someone who wanted He said he thinks members may contact Speaker the ability to decide how they are the person who represents Lewis County them. He said he assumes that if somebody anybody in Kentucky, and that it is just going to move forward with it. He said he might not receive them or might duplicate wants the green slips from Martin County, a matter of fairness that members of the cannot believe they have spent 45 minutes efforts. that person is entitled to them. He said that House who have not had access to their talking about it. Representative Adkins said that if his point is that, if Martin County teachers new constituents should in fact have that Senator Thayer said he thinks that they requested that they wanted the green or state employees send a big petition, access. Senator Thayer said that Senator was the motion he made. slips, then he would assume that they and it goes to Hubie Collins and Keith Palmer should have access to the 40,000 Senator Palmer responded that he would get the green slips. He said it is Hall, there may be concern about the people in Fayette County who are now in likes to have a little exercise and walk important to him because, for instance, he expenditure of state funds to communicate his district. He also thinks Senator Rhoads up and down the steps, but he is going to is losing Lawrence County, but he wants with people who are really not constituents should have the green slips and constituent have to have more than the time between to continue to get green slips so he can of Keith Hall. It may be that, if he wants communications from people who live in 1:00 and 1:30 to decide the conflicts communicate with those constituents. He to communicate with them, he must go to Butler County. He said this is the right between the President and the Speaker. wants to do this because he was elected his campaign fund and write them a letter thing to do. He said he is not a lawyer He said he is happy to do it, and he likes to represent them through next year. If saying, “I’ve looked at your concerns. and has not read all of the Supreme Court to be involved in it, but they are going the legislator that is taking Lawrence I’ve worked with Representative Collins, cases, but just as a matter of fairness, and to have to have more time to fix some County also would like to have them, that and I’m going to vote….” Representative the right thing to do, he thinks this is what of these problems. He said it seems like legislator should be entitled to them. Stumbo said that is the whole issue for their constituents would want them to do. a very simple administrative fix, but he Senator Thayer told Representative them. He said he has never seen it done Representative Overly said she trusts his colleague, who is an attorney, Overly that she is right. He said he has that way. He said he does not know the will not weigh in with yet another who says that this may have unintended heard from numerous members of the administrative procedure, but he has never legal opinion, but in listening to the consequences. He moved that they direct House Minority that they have been seen it done where state resources are used conversation back and forth, she believes Marcia Seiler to send the green slips to the refused access to green slips from their as campaign funds. He said if that was the there is a misunderstanding about what appropriate legislator under the districts new districts that were passed and signed case, then if he wanted to run for another instructions have been given to LRC to as passed in August and leave the website into law by the Governor in August. He statewide office, he could get all of the distribute green slips. She said what she as is, until the Speaker and the President said he has heard it multiple times, and green slips from all of the communications hears Senator Thayer saying is that he determine a solution to that issue. that is what he is trying to do—to make and then respond through LRC to all of has heard that the House has told LRC Representative Clark said he thinks sure that immediately, all 138 members the constituents who wrote everybody. staff not to distribute green slips in some what Senator Palmer is saying is that the of this General Assembly have access to manner, and she would say that that is only green slips he would get would be the constituents in the districts that were Senator Stivers said that, if it is a not accurate from the conversation that is from his new district. He said he lost 9,000 passed and signed by law by the Governor legislator’s intent to run for a statewide going on where she is. She said nobody voters that he goes to church with, sees at in August. He said if she wants green slips office, or to run in something else, he is saying that those instructions have the store, and they are going ask why he from her constituents in her district that thinks it is inappropriate to use state been given. She said, like Representative did not get back with them. He said the elected her in the last election, then she funds for that purpose. He said they have Clark, she is concerned that if they make a motion should be to allow the President can ask for them. He said he thought that set a new tone in reaching out. However, decision or take a vote, that it could have and the Speaker to work with the Interim was the motion that he had made that was Governor Beshear actually wrote the legal implications. She thinks the agency Director to solve it, and then come back to previously defeated. Attorney General opinion on this issue, is involved in enough litigation without the full LRC leadership. He said Senator Senator Stivers specifically asked and he cites the Anggelis case, which says inviting more, and if this is simply a Palmer’s motion is limiting them to what Anita Muckelroy what questions and the answer to the question is, “legislators matter of an administrative clarification, they can do. problems have been caused by the lack basically represent all of the people of that Senator Thayer has already stated Senator Stivers said they now have a of official direction. Anita Muckelroy the state.” If it is under the auspices of that any member is entitled to any green motion from Senator Palmer and a second stated that she has not been given official

10 2013 Interim LEGISLATIVE RECORD direction, and she was not aware of any tell people who their legislator is. He said process staff who know how the agency points between the House and Senate problems from a lack of official direction. staff needs some additional direction from runs during session. She will be getting Farm Bill is the federal nutrition benefits Marcia Seiler said the problem is leadership on how to proceed. up to speed on that process herself and and assistance. The Senate version more about going forward and preparation Senator Stivers said that the Speaker identifying additional staffing needs or proposes reducing the Supplemental for session work. She was told to use mentioned that this will all catch up next training for those people. She thanked the Nutrition Assistance Program (SNAP) by the old maps for the House and the new year, but Senator Stivers says that is not Commission for having faith in her that $4 billion over 10 years while the House maps for the Senate. The issue is how this really accurate. He said Senator Smith she could do the job, and she was looking proposes nearly $40 billion in reductions would impact various services. She said will be elected—or whoever his opponent forward to working with the members. over the same time period. SNAP is a the members have devoted a lot of time may be—to represent Magoffin County. There being no further business, the program that offers nutrition assistance talking about the green slips, but there are Senator Stivers said he himself was meeting was adjourned. to millions of eligible, low-income multiple services that the agency provides elected last year to represent Magoffin individuals and families and provides involving the maps they use, and she is County, and he will not seek reelection for Interim Joint Committee on economic benefits to communities. Mr. concerned with all of these services. three more years, so under that scenario, Agriculture Cain said that other issues related to the She said issue involves the road he would still be representing Magoffin Minutes of the 5th Meeting Farm Bill concerns whether payments on plan, the green slips, and the website County, as well as Senator Smith. He said of the 2013 Interim acres under commodity title will be linked where LRC indicates a member’s district that is part of the information problem that October 9, 2013 to base acres as proposed by the Senate or and county. All of these areas fall under is created. He asked Mr. Jenkins if that Call to Order and Roll Call planted acres as proposed by the House. the issue being discussed. Other related is what he is talking about. Mr. Jenkins The 5th meeting of the Interim Joint Also affected is the dairy industry. The services include the printout of the replied that he was correct. He further Committee on Agriculture was held on lapse of the Farm Bill has resulted in the booklet with members’ names, districts, stated that LRC’s GIS employees are able Wednesday, October 9, 2013, at 1:00 expiration of dairy safety net programs and counties they represent. These are the to tell people, based on whichever maps PM, in Room 171 of the Capitol Annex. under the Milk Income Loss Contract types of things that staff must get ready are used, the names of their legislators. Representative Tom McKee, Chair, called (MILC). for session. She said the green slips are Senator Stivers asked for any further the meeting to order, and the secretary In response to Representative just one of the multiple LRC services questions or discussions, and mentioned called the roll. McKee, Mr. Cain said that if nothing is impacted by the decision of which maps that there is a motion on the table, Present were: done by Congress by January 1, 2014, the to use. She understands that they can put seconded by Senator Smith. Members: Senator Paul Hornback, price of a gallon of milk could eventually all four maps online, the new and the old Representative Stumbo said that Co-Chair; Representative Tom McKee, rise to $5 or $6 a gallon. for both the House and the Senate, but the he does not know of anyone who had Co-Chair; Senators David P. Givens, Sara Senator Hornback expressed concern problem is which ones to use to connect to instructed anyone not to give green slips. Beth Gregory, Stan Humphries, Dennis over the shutdown by saying that farmers the services that LRC provides. He asked Ms. Seiler if she was told this. Parrett, Dorsey Ridley, Kathy W. Stein, cannot get their Farm Service Agency Ms. Seiler stated that, whether Ms. Seiler said that that was not the issue Damon Thayer, Robin L. Webb, and (FSA) checks endorsed as is required by it is something the members want to that came to her. She said the issue that Whitney Westerfield; Representatives Jim FSA. discuss further or want to vote on, she came to her was which maps to use for DeCesare, Mike Denham, Myron Dossett, Representative McKee noted that needs specific direction. LRC needs to these various services that LRC provides. C.B. Embry Jr., Derrick Graham, Richard the European Union (EU) voted to restrict start printing booklets and updating the The green slips are just one of those Heath, James Kay, Martha Jane King, some additives to cigarettes. He said website. services. Michael Meredith, Terry Mills, David the EU will gradually ban menthol in Senator Smith said he would gladly, Representative Stumbo said he Osborne, Tom Riner, Bart Rowland, cigarettes. as a gesture of good faith, give anyone his recognizes that the House and Senate are Steven Rudy, Jonathan Shell, John Short, In response to Representative green slips. different because the Senate’s terms are Wilson Stone, and Susan Westrom. Graham, Mr. Cain elaborated on the Senator Thayer mentioned that staggered. He thinks it might be, given Guests: Joe Cain, Director, National Senate’s proposal to reduce SNAP by $4 Deputy Director Jenkins had given him the discussion, that they could get some Affairs and Political Education, Kentucky billion over 10 years and the House nearly useful information, and if it is appropriate, direction for the next meeting, rather than Farm Bureau; Dr. Robert Stout, Kentucky $40 billion over the same time period. he requested that Senator Stivers would continue the debate. State Veterinarian, Carla Baumann, Board Report and Update on the Status call on Mr. Jenkins to talk about the Senator Stivers agreed that it would Member, Community Farm Alliance and of the On-Farm Livestock and Poultry technology involved in getting ready for be appropriate, and he asked Senator Martin Richards, Executive Director, Care Standards the next session. Palmer to withdraw his motion. Senator Community Farm Alliance. Dr. Robert Stout, Kentucky State Robert Jenkins said, because Senator Palmer withdrew the motion. LRC Staff: Tanya Monsanto, Lowell Veterinarian, gave a brief overview and Thayer was asking about the other Senator Stivers said the next order of Atchley, Kelly Ludwig, and Susan summary of the Kentucky Livestock services that would potentially be affected business was an update from the Interim Spoonamore, Committee Assistant. Care Standards Commission. He stated besides green slips, the services include Director, Marcia Seiler. The September 6, 2013, minutes that the mission of the Commission was things such as “Who’s My Legislator,” Marcia Seiler introduced herself and were approved, without objection, to establish, maintain, or revise standards which is tied into data that is pulled out gave a brief history of her background with by voice vote, upon motion made by governing the care and well-being of of a database linked to certain counties. LRC, where she has worked 15 years. She Representative Graham and seconded by on-farm livestock and poultry. The Mr. Jenkins said if someone calls LRC the has been the Director of OEA for ten of Representative Mills. commission presented its report to the day before the next election and asks for those years, and an investigator for OEA The report of the Subcommittee State Board of Agriculture (SBA) and the the name of their legislators, staff would before that. Before coming to LRC, she on Rural Issues was approved, without SBA voted to accept the report on March then need to ask that person which maps was at the Department of Education. objection, by voice vote. 26, 2013. Administrative regulations the person was talking about, the 2002 or Ms. Seiler said she was working The report of the Subcommittee on were filed with the Legislative Research the 2013 maps. He said after the special with great staff to update her, and she has Horse Farming was approved, without Commission in August 2013, and a public elections in December, LRC would be taken every opportunity to meet with all objection, by voice vote. hearing was held in September 2013. overlaying maps from the new election, LRC staff and managers, including CSAs Farm Bill Update In response to Representative the 2013 maps, onto the 2002 maps. He and others. Ms. Seiler said she has made Joe Cain, Director, National Affairs McKee, Dr. Stout said that had said the data from these different sources it clear that she has open door policy, and and Political Education, Kentucky Farm similar regulations. does not really mix. People would she appreciates staff coming to talk to her Bureau, said that Congress still had not In response to Senator Humphries, potentially be represented by multiple about anything. She said her main goal reached an agreement on a new Farm Bill Dr. Stout said that he agreed that the legislators. LRC staff needs to be able to in the next two months is to get ready for but an agreement could be in the works. diagnostic labs in the state are important, tell people who their legislators are. the 2014 session. She is working with He said serious action on the Farm Bill and that the Breathitt Diagnostic Lab in Mr. Jenkins said that, when legislators staff to make sure that staffing needs are may not come until December, depending Hopkinsville needed to be updated. That ask for information by district on the road met, working on hiring and training good on the progress of a Continuing Resolution part of the area in Western Kentucky is plans, LRC needs to know whether to use session staff, and making sure everyone is (CR). He said that not having a CR has heavily populated with poultry farms. the 2002 or 2013 maps. He said he does working together to get everything ready caused the Department of In response to Representative Short, not know of a way to plug in the data for for session. Agriculture (USDA) to close all its offices Dr. Stout stated that there has been one the two special elections in December, She said in the next two weeks she and no services were available. positive test in the last three years related overlay that into the 2002 maps, and then would be holding a roundtable with key Mr. Cain said that one of the sticking to coggins. He also said that he was aware

THE KENTUCKY GENERAL ASSEMBLY 11 of problems of horses being turned away Westrom. about the North American Thoroughbred can be attributed to the horse industry. from trail rides because the owners did not Legislative Guests: Senator Jimmy foal crop, of which Kentucky plays a Representative Smart emphasized the bring a certificate showing that the horses Higdon, Senator John Schickel and prominent part. He further discussed importance of tourism spending. had been immunized. He said he would Representative Leslie Combs. Keeneland sales results, attendance at Mr. Johnsen discussed three tax discuss with his staff other options instead Guests: Roger Thomas, Executive race meets, and Keeneland’s place in the equity issues that will be brought to of turning away the animals. Director, Governor’s Office of Agricultural industry as a whole. the General Assembly: eliminating the In response to Senator Givens, Policy; Commissioner James R. Comer, Responding to Co-Chair Gregory, sales tax on equine feed, supplies, and Dr. Stout said that some of the issues Kentucky Department of Agriculture; Mr. Gabbert said that Keeneland has equipment; repealing the 3.5 percent that were presented during the public Mark Haney, President, Kentucky Farm rebounded in Thoroughbred sales. Sales retroactive tax on live-racing wagers; and comment period were tail-docking and Bureau; Hood Harris, State President, figures in 2013 are expected to surpass the lowering the tax on simulcast wagers from sow gestation stalls. AT&T, and Brad McLean, Director of $500 million mark. Industry insiders are 3 percent to 2 percent. In response to Representative Government Affairs, AT&T. seeing more demand for Thoroughbreds. Mr. Heleringer, a former member of McKee, Dr. Stout stated that no penalties LRC Staff: Tanya Monsanto, The strength of the weanling market the General Assembly, introduced himself. were associated with the new regulations. Lowell Atchley, Kelly Ludwig, and Susan represents the future of the industry. He discussed his background in horse Food Policy Discussion and Spoonamore, Committee Assistant. Responding to Co-Chair Westrom, racing and his experience as a member of Announcement Upon motion made by Representative Mr. Gabbert indicated Keeneland the legislature. Ms. Carla Baumann, Board Member, Richard Henderson and seconded by decreased its purses somewhat during the Senator Parrett indicated he agreed and Martin Richards, Executive Director, Senator Whitney Westerfield the October recession. Purses are set prior to a meet with the sales tax exemption for horse Community Farm Alliance, spoke about 9, 2013 minutes were approved, without based on what Keeneland feels should feed, supplies, and equipment. CFA’s initiative to address local food objection, by voice vote. be offered in races. Purses are not at the Responding to Senator Parrett, Mr. system needs and developing sustainable Upon motion made by Representative levels of states like Florida or New York Johnsen cited Thoroughbred racing data solutions. Mr. Martin told the members Mike Denham and seconded by because of gaming revenues; nevertheless, that shows purses in Kentucky averaged that CFA had received a $25,000 grant Representative Richard Henderson the Keeneland is in the top tier. The race over $300,000 on race days in 2012; from the National Institute for Food and report of the Subcommittee on Horse course offers the largest daily payout of however, purse averages in some states Agriculture to develop a state-wide food Farming, and the report on Rural Issues tracks in the state. are higher. He mentioned New York in policy framework via a Kentucky Food were approved, without objection, by Regarding the extra race days particular. Policy Network. voice vote. that became available this year, Mr. Responding to Representative Tamara Sandberg, Executive Legislative Issues for 2014 Session Gabbert said to Co-Chair Westrom that Graham, Mr. Johnsen said the elimination Director, Kentucky Association of Food Mr. Roger Thomas, Executive Keeneland considered the opportunity to of the sales tax on horse farm production Banks, gave a brief update on the income Director, Governor’s Office of Agricultural offer additional race days, but decided to goods would cost the state an estimated $6 tax check off. Ms. Sandberg said that Policy, maintain its usual race calendar. Churchill to $12 million, depending on what a bill beginning January 1, 2013, any taxpayer Downs took the extra days. would encompass. who is entitled to an income tax refund Interim Joint Committee on Responding to Senator Parrett about According to Mr. Johnsen, in may designate an amount to be paid to Agriculture the future of horse racing, Mr. Gabbert response to Representative Graham, the the Farms to Food Banks Trust Fund. She Subcommittee on Horse Farming indicated that “under the current landscape retroactive tax on live-racing wagers also said that the association is always Minutes of the 2nd Meeting with no incentives or changes” perhaps a usually is not applied because a daily searching for funds in order to purchase of the 2013 Interim rocky road is ahead, with some smaller average handle threshold must be reached, surplus foods. November 13, 2013 horse farms going out of business and the which generally serves as a disincentive In response to Representative Call to Order and Roll Call larger farms faring better. The same could for the industry to improve its business. Graham, Mr. Sandberg stated that there The 2nd meeting of the Subcommittee be said for the tracks that have struggled. Responding to Representative is limited money available to purchase on Horse Farming of the Interim Joint Kentucky is still the best state for breeding Graham, Mr. Johnsen said KEEP would surplus foods. Many times the association Committee on Agriculture was held and raising racehorses. not want to lower the tax on simulcast is unable to purchase more food from on Wednesday, November 13, 2013, at In a response to Representative wagers to 1.5 percent, rather than 2 farmers. 10:00 AM, in Room 129 of the Capitol Overly, Mr. Gabbert said Keeneland percent, in order to preserve funds for the The meeting adjourned at 2:30 p.m. Annex. Representative Susan Westrom, continues to look for proactive legislation. Kentucky Thoroughbred Development Chair, called the meeting to order, and the A gaming bill will be unveiled in January Fund. Interim Joint Committee on secretary called the roll. that will reflect changes from earlier bills. Representative Graham emphasized Agriculture Present were: He said the industry continues to work the importance of maintaining contact Minutes of the 6th Meeting Members: Senator Sara Beth Gregory, with the Horse Racing Commission in with KEEP and Keeneland. Mr. Johnsen of the 2013 Interim Co-Chair; Representative Susan Westrom, making changes at the regulatory level. in turn mentioned the success of Franklin November 13, 2013 Co-Chair; Senators Paul Hornback and Kentucky Equine Education County horsemen Fred Bradley and his Call to Order and Roll Call Dennis Parrett; Representatives Lynn Project son, Buff Bradley. The 6th meeting of the Interim Joint Bechler, Derrick Graham, Martha Jane Mr. Jack Smith, Kentucky Equine Commenting on the sales tax Committee on Agriculture was held on King, Tom McKee, Michael Meredith, Education Project (KEEP) Grassroots proposal, Representative Stone mentioned Wednesday, November 13, 2013, at 1:00 David Osborne, Sannie Overly, Tom Committee chair, Mr. Corey Johnsen, his experience in seeing horse farm owners PM, in Room 149 of the Capitol Annex. Riner, Rita Smart, and Wilson Stone. KEEP Board chair, and Mr. Bob having to pay the sales tax on supplies for Senator Paul Hornback, Chair, called the Guests: Vince Gabbert, Keeneland Heleringer, the new Executive Director of their farms. meeting to order, and the secretary called Vice President and Chief Operating the organization discussed KEEP. Discussing the vibrancy of the horse the roll. Officer; Corey Johnsen, Jack Smith, Mr. Smith discussed KEEP’s industry, Mr. Johnsen observed there Present were: and Bob Heleringer, Kentucky Equine outreach through its Grassroots should be no reason the state could return Members: Senator Paul Hornback, Education Project; and Rusty Ford, Office Committee. KEEP has contacts in every to the 10,000 foal production level. He Co-Chair; Representative Tom McKee, of the Kentucky State Veterinarian. county and contributes funds to local said Kentucky is the best state in which to Co-Chair; Senators Carroll Gibson, LRC Staff: Lowell Atchley, Stefan equine events, such as horse shows. raise race horses. David P. Givens, Sara Beth Gregory, Stan Kasacavage, and Kelly Blevins. Mr. Johnsen gave statistical overview Responding to Representative Humphries, Dennis Parrett, Dorsey Ridley Minutes of the October 9 meeting of Thoroughbred racing. In 2000, only two Bechler, Mr. Johnsen described how the and Whitney Westerfield; Representatives were approved, without objection, by states funded purses with casino money, retroactive tax on live-racing wagers Lynn Bechler, Jim DeCesare, Mike voice vote upon motion by Representative but since that time, a number of states works and how tracks sometimes have to Denham, Myron Dossett, C.B. Embry Jr., Graham and second by Representative bolster their horse racing with gambling deal with the live handle threshold. Derrick Graham, Richard Heath, Richard Stone. revenues. According to Co-Chair Westrom, Henderson, Kim King, Martha Jane King, Keeneland Association He discussed the recent University legislators outside central Kentucky may Michael Meredith, Terry Mills, David Mr. Vince Gabbert, Vice President of Kentucky equine survey that showed not often see the importance of the racing Osborne, Ryan Quarles, Tom Riner, and Chief Operations Officer, Keeneland the industry has lost jobs, but still has industry to the state. Representative Steven Rudy, Jonathan Shell, John Short, Race Course, spoke about Keeneland Race a $3 billion impact in the state. Also, Meredith said that many legislators in Rita Smart, Tommy Turner, and Susan Course, located in Lexington. He talked about 14,600 tourism jobs in the state other parts of the state are aware of the

12 2013 Interim LEGISLATIVE RECORD issues. He plans to file a bill to eliminate the Cardiology Department, University Kentucky were designated as regional began as an effort to keep patients and the sales tax on equine feed, supplies, and of Kentucky, and Mark Birdwhistell, training centers. The program connects family close to home. Appalachian equipment. Executive Vice President, University of with more than 200 sites and has the Regional Healthcare needed a partner to Office of the State Veterinarian Kentucky. ability to connect with every public help in expanding services and assist with Mr. Rusty Ford, Equine Director, LRC Staff: Tanya Monsanto, Stefan school in Kentucky. The program allows doctor and staff coverage and decided to Office of the State Veterinarian, discussed Kasacavage, Kelly Ludwig, and Susan rural patients the opportunity to remain partner with the University of Kentucky. the regulatory duties and service- Spoonamore, Committee Assistant. in their home area and at local hospitals Dr. Smyth stated Kentucky has higher oriented functions of the Office of State Impact of the Kentucky Proud while receiving care from specialists in heart disease and heart attack rates than Veterinarian (OSV). State personnel at Program on Rural Kentucky Louisville or Lexington. most other states. Some patients are times are involved in issues at all hours of Ms. Kristen Branscum, Executive denied coverage if they do not use in-state the day. Director of Marketing, Kentucky The TeleHealth program’s services and specialists. The partnership Mr. Ford discussed the viral disease Department of Agriculture, discussed the technology allows a specialist to be at a improves the quality of care that a patient surveillance that his office undertakes. impact of the Kentucky Proud Program patient’s bedside in a remote area within receives. Doctors participating in the The office has tracked cases of the West on rural Kentucky. Ms. Branscum stated 15 minutes. TeleHealth eliminates travel partnership are considered University of Nile Virus this summer, plus outbreaks of Kentucky Proud is the state’s official time for the patient and specialist, and Kentucky staff. Doctors are able to interact Eastern Equine Encephalitis, which has marketing brand for agricultural products the patient receives care more quickly with University of Kentucky doctors on a not occurred in several years. One reason grown, raised, processed, or manufactured with this method of treatment. TeleHealth daily basis, utilize university seminars, there has been an increase in the West Nile in Kentucky. The program’s name has allows rural patients easier access to more participate in educational discussions Virus is that horse owners have failed to been changed to “Kentucky Proud Keeps doctors and specialists, resulting in better about certain cases or patients, and vaccinate their stock. OSV will publicize Kentucky Growing.” outcomes and healthier Kentuckians. access additional training and educational the importance of horse owners having Ms. Branscum stated that Kentucky Prior to the program, counties without opportunities. Many rural doctors utilize their mounts vaccinated. Proud products are now offered through a neurologist had to be transferred to TeleHealth to take advantage of the Mr. Ford talked about the work of the Kentucky State Parks at the Capitol another hospital. As a result of TeleHealth educational opportunities. the Equine Health and Welfare Council. Annex Cafeteria on Wednesdays. The and TeleMedicine, only 10 percent of Mr. Birdwhistell also stated the One of the goals of the council is to Homegrown by Heroes program, which the cases are sent to other hospitals. This expansion allows all doctors to be in one offer a voluntary certification of equine was launched in January 2013, provides keeps patients in the local community system. All patient files are in one system retirement and rescue facilities. One consumers another venue to purchase local and local hospital, thereby decreasing so that all doctors can access patient facility has been certified--the Kentucky farm products from veteran farmers. The transportation costs and additional costs files more quickly to see what tests and Equine Humane Center in Nicholasville. Udderly Kentucky program is an effort to for patients’ families. examinations have been conducted by Co-Chair Westrom lauded the keep Kentucky dairy farmers in business. In response to Representative another doctor. Patients receive better care effort and talked about the importance of Udderly Kentucky milk is purchased from Denham, Dr. Remmel stated the biggest because of the partnership. Local doctors certifying those facilities. Kentucky dairy farmers and processed challenge to collaboration is the lack of can access patient files to see what care Representative McKee, who serves by Prairie Farms, a Kentucky milk resources. Dr. Remmel said the focus has been done by university specialists on the council representing the General processor, and can be found in Wal-Mart is on sharing resources and building and perform follow up care in the patient’s Assembly, discussed the activities of stores in southeastern Kentucky. A seven collaboration and relationships among local community. the council. He thanked Mr. Ford for his cent premium goes into a fund and is healthcare officials. In response to Representative leadership in chairing the council. distributed to Kentucky dairy farmers In response to Senator Humphries, Denham, Dr. Smyth said there is a need Documents distributed during the each quarter. Approximately 105 dairy Mr. Bickel stated a request must be made to educate Kentuckians--especially subcommittee meeting are available with farmers participate, and has each received to the TeleHealth Board to be approved as children--about the risks of heart disease meeting materials in the LRC Library. The $10,000 to $20,000 in premiums so far for a TeleHealth member. A facility must have and heart attack. There is a need to teach meeting ended at noon. 2013. proper equipment to be approved. Mr. children CPR and the importance of living In response to Representative Bickel stated that there is staff to assist a healthy lifestyle. Additional funds are Interim Joint Committee on Denham, Ms. Branscum stated that a list hospitals with determining the type of needed for research and education. Dr. Agriculture of Homegrown Heroes is on the Kentucky equipment needed in order to participate Smyth indicated the partnership is trying Subcommittee on Rural Issues Department of Agriculture’s website. in TeleHealth and TeleMedicine. There to implement a standard of care across the Minutes of the 1st Meeting In response to Representative Mills, are no fees required for membership. Commonwealth. of the 2013 Interim Ms. Branscum stated that she would The Trover facility in Madisonville is The meeting adjourned at 12:00 p.m. October 9, 2013 provide him a list of Udderly Kentucky a major educational partner, providing Call to Order and Roll Call milk producers in his district. Madisonville doctors, patients, and Interim Joint Committee The 1st meeting of the Subcommittee In response to Senator Givens’ students with educational seminars and on Appropriations and on Rural Issues of the Interim Joint question dealing with price differentials, trainings. Revenue Committee on Agriculture was held on Ms. Branscum said that the department Minutes of the 5th Meeting Wednesday, October 9, 2013, at 10:00 remains transparent and nonexclusive. In response to Senator Givens, of the 2013 Interim AM, in Room 131 of the Capitol Annex. The department does not have a revenue Mr. Bickel and Dr. Remmel stated it is October 24, 2013 Representative Mike Denham, Chair, stream to maintain the program. It uses a doctor’s decision whether to utilize Call to Order and Roll Call called the meeting to order, and the Kentucky Proud funds obtained from the technology to make a patient diagnosis. The 5th meeting of the Interim secretary called the roll. Agriculture Development Board and uses Currently, the technology is primarily Joint Committee on Appropriations and Present were: existing staff to assist with the Udderly used to follow up and monitor a patient’s Revenue was held on Thursday, October Members: Senator Stan Humphries, Kentucky milk program. case. 24, 2013, at 1:00 PM, in Room 154 of Co-Chair; Representative Mike Denham, TeleHealth and TeleMedicine and University of Kentucky Healthcare the Capitol Annex. Senator Bob Leeper, Co-Chair; Senators David P. Givens, the Impact on Rural Kentucky and Appalachian Regional Healthcare, Chair, called the meeting to order, and the and Paul Hornback; Representatives Mr. Timothy Bickel, TeleHealth Heart Center Partnership in eastern secretary called the roll. C.B. Embry Jr., Derrick Graham, James Director, Kentucky TeleHealth Network, Kentucky Present were: Kay, Tom McKee, Terry Mills, and Bart , and Dr. Kerri Mr. Joe Grossman, President and Members: Senator Bob Leeper, Rowland. Remmel, Chair of Neurology, University CEO, Appalachian Regional Healthcare, Co-Chair; Representative Rick Rand, Guests: Kristen Branscum, Kentucky of Louisville, discussed the TeleHealth Dr. Susan Smyth, Chair of the Cardiology Co-Chair; Senators Walter Blevins Jr., Department of Agriculture; Timothy and TeleMedicine program and its impact Department and Director of the Gill Tom Buford, David P. Givens, Sara Beth Bickel, TeleHealth Director, University on rural Kentucky. Mr. Bickel stated the Heart Institute, University of Kentucky, Gregory, Denise Harper Angel, Ernie of Louisville Physicians, Kentucky University of Louisville and University and Mr. Mark Birdwhistell, Executive Harris, Stan Humphries, Ray S. Jones II, TeleHealth Network; Dr. Kerri Remmel, of Kentucky were designated primary Vice President, University of Kentucky Alice Forgy Kerr, Christian McDaniel, Chair of the Neurology Department, TeleHealth Centers when the TeleHealth discussed the University of Kentucky Gerald A. Neal, and Robin L. Webb; University of Louisville; Joe Grossman, Network was established. St. Claire Healthcare and Appalachian Regional Representatives John Carney, Leslie President and CEO, Appalachian Regional Hospital in Morehead, Kentucky and Healthcare, Heart Center Partnership. Combs, Jesse Crenshaw, Ron Crimm, Healthcare; Dr. Susan Smyth, Chair of Baptist Health Hospital in Madisonville, Mr. Grossman stated the partnership

THE KENTUCKY GENERAL ASSEMBLY 13 Robert R. Damron, Mike Denham, Bob by PricewaterhouseCoopers LLP, the census. In point of sale distribution, In response to a question from M. DeWeese, Myron Dossett, Kelly national average costs for collecting the revenue goes back to the jurisdiction Representative York, Dr. Kelly said that Flood, Martha Jane King, Jimmie Lee, tax is about 3 percent for all retailers. where the transaction took place. Stacked typically an enacted 1 percent local sales Reginald Meeks, Marie Rader, Jody Local option sales tax distribution is the most common form. tax would be dedicated for a specific set of Richards, Steven Rudy, Sal Santoro, Mayor Greg Fischer of Louisville, Dr. Kelly discussed the potential projects, not one single project. Arnold Simpson, Rita Smart, Fitz Steele, Mayor Gale Cherry of Princeton, and economic impacts of local options sales Real property escheat pilot project Jim Wayne, Susan Westrom, Addia Mr. Monty Boyd, President and CEO of taxes. She briefly discussed Kentucky’s Mr. Todd Hollenbach, Kentucky Wuchner, and Jill York. Whayne Supply Company discussed local membership in the Streamlined Sales State Treasurer, discussed the real property Guests: Todd Hollenbach, Kentucky option sales tax. Mayor Fischer discussed and Use Tax Agreement and its effects escheat pilot project. Mr. Hollenbach stated State Treasurer; Jane C. Driskell, State the need for new revenue streams for on the state’s ability to implement and that the project was to help jurisdictions Budget Director; Tod Griffin, President, localities and compared Kentucky sales collect local option sales tax. She stated deal with abandoned property. There have Kentucky Retail Federation; Robert tax rates to those of surrounding states. He that sales taxes tend to be regressive, but been 300 properties identified, within Cleveland, President, Woodford Feed stated that there is broad based support for when food, prescription drugs and utilities 99 percent certainty, where the previous Company; Steve Caudill, Owner, Caudill/ introducing language for a constitutional are exempted, the regressive effect is owners are now deceased and no heir is Wright Enterprises; James Neumann, amendment allowing local option sales mitigated. She discussed the effect of a known. These properties have started the Vice President, ValuMarkets, Inc.; Mayor tax, including endorsements from the higher local sales tax rate on higher cost process of reverting ownership back to the Greg Fischer; Mayor Gale Cherry; Monty Kentucky League of Cities, the Kentucky purchases, stating some may seek out jurisdiction and allowing the jurisdiction L. Boyd, President and CEO, Whayne Association of Counties, and the Kentucky lower tax rates across county or state to sell that property. Only a few properties Supply Company; Dr. Janet Kelly, Association for Economic Development, borders. have completed the process. Profits from executive director, Urban Studies Institute, among others. He said that a February Mr. Richard Dobson, executive the sale of the properties have been University of Louisville; Richard Dobson, 2013 poll indicates that 72 percent of director of the Office of Sales and Excise minimal, being eroded by fees, back taxes, Executive Director, Office of Sales and voters support the option to vote on a local Taxes, discussed local option sales taxes and liens. Local governments receive any Excise Taxes, Department of Revenue. sales tax constitutional amendment. as addressed by the Streamlined Sales and profits first, with residuals reverting to the LRC Staff: Pam Thomas, John Scott, Mayor Fischer provided examples of Use Tax Agreement (SST). He provided commonwealth. Charlotte Quarles, Eric Kennedy, Jennifer possible annual tax revenues which could a brief overview of the SST project, Ms. Jane Driskell, State Budget Hays, and Sheri Mahan. be generated if an optional local sales stating that Kentucky is a full member Director, discussed the anticipated Senator McDaniel moved to approve tax was approved. He stated that these state. Kentucky has received $107.0 revenue from the program which was the minutes from the previous meeting revenues could be used for infrastructure million in payments from SST vendors included in the 2012 – 2014 biennial as written. The motion was seconded by improvements, and that in Louisville since entering the agreement in October budget. Estimated revenues of $7 million Representative Lee. The minutes were alone $60 million is needed to bring 2005. Cumulative collections for all SST in FY 13 and $10 million in FY 14 were approved by voice vote. bridges, sidewalks, signs and roads up member states from 2005 through 2012 budgeted. These revenues have not been Sales and use tax vendor to minimum standards. Mayor Cherry are $1.3 billion. In FY13, SST filers realized. compensation provided examples of how local option sent more than $20.7 million in sales tax Being no further business, the Mr. Tod Griffin, President of the sales tax revenues could help with needed revenue to the state. meeting was adjourned at 3:15 p.m. Kentucky Retail Federation, Mr. Robert improvements in Princeton. Mr. Dobson discussed the SST Cleveland, President of the Woodford Mr. Boyd discussed how adopting agreement requirements for local sales tax. Interim Joint Committee Feed Company, Mr. Steve Caudill, a local option sales tax could address Local sales tax must be administered at the on Appropriations and Owner of Caudill/Wright Enterprises, infrastructure needs which, in turn, would state level. Registration, filing of returns, Revenue and Mr. James Neumann, Vice President improve his company’s competitiveness collection and distribution of tax revenues Budget Review Subcommittee on of ValuMarkets, Inc. discussed sales and and have a positive effect in yearly and audits would all be handled by the General Government, Finance, use tax vendor compensation. Mr. Griffin company earnings. state if Kentucky is to stay in compliance and Public Protection discussed 13 RS HB 440 which amended Dr. Janet Kelly, executive director with the agreement. To meet the terms Minutes of the 2nd Meeting the amount of vendor compensation that of the Urban Studies Institute at the of the SST agreement, the local tax base of the 2013 Interim a retailer could retain for collecting and University of Louisville discussed local must be identical to state tax base, only October 24, 2013 remitting the sales and use tax on a timely option sales tax, providing a national one local sales and use tax rate is allowed Call to Order and Roll Call basis. Prior to the law change, the retailer overview. She said that 37 states have per local jurisdiction, and the local tax The second meeting of the Budget could deduct from the amount of sales and some voluntary tax sharing arrangements rate must be identical from jurisdiction to Review Subcommittee on General use tax due on each return 1.75 percent of with their local governments. Thirty-two jurisdiction. He discussed various types of Government, Finance, and Public the first $1,000 of tax due and 1 percent of of these arrangements take the form of sourcing, including destination based and Protection of the Interim Joint Committee the tax due in excess of $1,000. The total general retail sales tax, and 23 states have origin based sourcing. on Appropriations and Revenue was held compensation could not exceed $1,500 per local option sales taxes structured similarly In response to a question from on Thursday, October 24, 2013, at 10:00 reporting period. After the passage of 13 to that proposed by Mayor Fischer. The Senator Webb, Dr. Kelly stated that local AM, in Room 129 of the Capitol Annex. RS HB 440, retailers can now deduct from most common rate is 1 percent. In most option sales taxes could be kept in place Senator Christian McDaniel, Chair, called the amount of sales and use tax due on cases, local option sales tax revenues can to pay for maintenance of projects. There the meeting to order, and the secretary each return 1.75 percent of the first $1,000 be used for general or specific purpose, is no requirement to sunset the tax after a called the roll. of tax due and 1.5 percent of the tax due in and most require majority approval by set period of time, unless the referendum Present were: excess of $1,000. The total compensation referendum. language states it specifically. Members: Senator Christian cannot exceed $50 per reporting period. She provided further details on other In response to a question from McDaniel, Co-Chair; Senator David Mr. Cleveland, Mr. Caudill, and state’s local option sales taxes, stating Senator Buford, Mayor Fischer said that P. Givens; Representatives Dwight D. Mr. Neumann expressed concerns that most jurisdictions have exemptions it is not expected that localities within Butler, Mike Denham, Adam Koenig, with the lowering of the cap on vendor and caps, such as limitations on big ticket multiple jurisdictions would not be able Tom McKee, Brad Montell, Steve Riggs, compensation from $1,500 to $50 per items like vehicles. Typically, the same to stack multiple sales taxes. Some sort of Tom Riner, and Wilson Stone. reporting period. They felt that the state agency that collects the state sales cap would be in place. Guests: Adam Edelen, State information shared with some legislators tax also collects the local sales tax, which In response to a question from Auditor; Sean Riley, Chief Deputy regarding the impact of the change did minimizes administrative costs to the Senator Givens, Dr. Kelly said most large Attorney General, Office of the Attorney not accurately reflect the widespread local jurisdictions. retailers can identify sales by geographic General; Larry Clarke, Budget Director, impact of the lowering of the cap to $50. Dr. Kelly discussed the different location allowing the Department of Office of the Attorney General; Todd The gentlemen stated that the lowering methods used to distribute local option Revenue to allocated local sales tax to Hollenbach, State Treasurer, Office of of the cap negatively impacts small to sales tax. There are typically three the appropriate jurisdiction. Mr. Dobson the Treasurer; Lindsay Hughes Thurston, medium size businesses not just big box methods used: stacked, split, and point of stated that the department does not Assistant Secretary of State, Office of retailers. A retailer that has annual taxable sale. Stacked distribution adds the county currently separate sales tax receipts by the Secretary of the State; James Comer, sales of more than $635,000 will see a and city rate to the state sales tax rate. Split county or jurisdiction. Large retailers Agriculture Commissioner, Department reduction in the amount of compensation. is distributed by formula based typically combine all sales tax receipts into one of Agriculture; and Steve Kelly, Executive In addition, according to a study done on population, adjusted with each national payment to the state. Director, Office of Strategic Planning

14 2013 Interim LEGISLATIVE RECORD and Administration, Department of Master Settlement Agreement, Mr. Riley Commissioner Comer and Mr. Kelly on Thursday, October 24, 2013, at 10:00 Agriculture. said that Kentucky is deemed nondiligent discussed the Department of Agriculture. AM, in Room 149 of the Capitol Annex. LRC Staff: Frank Willey, Linda in enforcement of tobacco laws in 2003. In response to Representative Representative Kelly Flood, Chair, called Ellis, Katherine Halloran, Jennifer Rowe, The Office of the Attorney General Denham concerning county fairs, the meeting to order, and the secretary and Benjamin Thompson. is exploring legal options. Mr. Riley Commissioner Comer stated that last called the roll. Kentucky Auditor of Public anticipates that if the decision is upheld, year Kentucky spent $500,000 on county Present were: Accounts Status next spring’s escrow payment would be fairs. Mr. Kelly said that $500,000 would Members: Senator Stan Humphries, Mr. Edelen discussed the Auditor of reduced by an estimated $30-40 million. be requested in each year of the next Co-Chair; Senators Johnny Ray Turner, Public Accounts Office. In response to a question from biennium for the capital expenditure and Mike Wilson; Representatives Derrick In response to questions from Representative Montell concerning projects for county fairs. Mr. Kelly said $4 Graham, Reginald Meeks, Jody Richards, Representative Stone concerning the restricted funds, Mr. Clarke noted million would be needed to accommodate and Rita Smart. difference between the audits performed that all funding for the Office of the all county fair funding requests. Guests: Dr. Stu Silberman, Member, by his office and the audits performed by Attorney General must be appropriated In response to a question from Kentucky Education Action Team; a Certified Public Accountant (CPA) firm, by the legislature. The Attorney General Chair McDaniel concerning county fairs, Thomas O. Zawacki, Secretary, Education Mr. Edelen noted that his staff searches requested about $6.5 million in restricted Mr. Kelly said that the Department of and Workforce Development Cabinet; for public corruption whereas a CPA firm funds along with $10.2 million in general Agriculture uses general fund money to Ali Crowley Wright, Teacher, Lafayette wants to just make sure that budget is funds during the last biennium. support county fairs. High School; Hiren Desai, Associate balanced, which tends to allow funds to In response to a question from In response to a question from Commissioner, Kentucky Department of slip through the cracks. Representative Stone concerning Representative McKee concerning funding Education. In response to questions from resources and Kentucky’s nondiligent for Farms for Food banks, Commissioner LRC Staff: Tom Willis, Perry Papka, Representative Riggs concerning whether status, Mr. Riley said that there have Comer stated that serious consideration and Amie Elam. his office performs any oversight on CPA been sufficient resources available during would be given to requesting additional Kentucky Education Action Team firms, Mr. Edelen confirmed that the Public litigation. funding for the Farms for Food banks Dr. Stu Silberman testified on Auditor’s Office oversees CPAs in cases In response to a question from Senator program. investing in Kentucky’s schools. Ali where audits have been contracted out Givens concerning the 2003 Tobacco In response to questions from Crowley Wright, math teacher at Lafayette to those firms from the Public Auditor’s Master Settlement Agreement, Mr. Riley Representative Montell concerning ride High School, gave a classroom teacher’s office. confirmed that previously it was believed inspectors and livestock inspectors, perspective on the impact of budget cuts. In response to questions from that the ruling would set precedence for Commissioner Comer said that all ride In response to a question by Representative Denham concerning following years. Mr. Riley stated that inspectors are certified. The livestock Representative Horlander, Dr. Silberman auditing city governments and retaining the end decision was convoluted enough inspectors had previously been said that Fayette County and Jefferson staff, Mr. Edelen stated that his office that no one was comfortable assuming underutilized but now are being used in County have roughly the same school tax would need between 45 and 50 more that the judgment would be repeated for areas that previously had not been their rates. auditors to oversee Kentucky’s cities subsequent years. responsibility. Mr. Kelly stated that two In response to a question by along with the 600 statutorily required Status entry-level inspectors have been added to Representative Richards, Ms. Wright said audits currently performed. Mr. Edelen Treasurer Hollenbach discussed the the ride inspector staff since last biennium. that some teachers are able to get online added that he would need about $300,000 Office of the Treasurer. In response to questions from resources but many students still do not more in the first year of the biennium to In response to questions from Representative Riggs concerning have access to computers at home so it is retain talented workers, because CPA Chair McDaniel concerning annual lease fees, Commissioner Comer said that not feasible to have all textbooks online. firms are able to pay much more. payments and office space, Treasurer Department of Agriculture fees for In math, it is much more difficult for some In response to questions from Hollenbach stated that payments for performing inspections are minimal, in students to learn online. Representative Senator Givens concerning abusers of the building in which the Office of the some cases nonexistent. Richards stated that he would like to see public funds, Mr. Edelen noted that with Treasurer is housed are about $150,000 In response to a question from all fifth and sixth graders be provided a a lack of oversight people tend to feel as per year. Treasurer Hollenbach said that Representative Stone concerning scale computer or tablet device. if they can get away with abusing public his office would be agreeable to moving inspections, Commissioner Comer stated Representative Carney expressed funds and there is a responsibility to its offices to the Capitol Annex. that there are over two million scales and concern regarding textbook funding and punish those who do so. In response to questions from scanners in the state. Over 99 percent of about certain subject areas being taught Office of the Attorney General Representative Stone concerning them have been inspected. through the use of online textbooks. Status technological updates, Treasurer Senator Givens commended In response to a question by Mr. Riley discussed the Office of the Hollenbach said that telephone and Commissioner Comer on the job he is Representative Rudy, Dr. Silberman said Attorney General. computer systems need updates in the near doing and complimented the job inspectors the textbook industry is moving very In response to questions from Chair future. Treasurer Hollenbach stated that do around the state. quickly, and almost all information is McDaniel concerning restricted funds, Mr. the encryption software update the Office Chair McDaniel called for a motion already available online. Riley stated that the Office of the Attorney of the Treasurer needs will be needed by to approve the minutes of the last meeting, General cannot access restricted funds many agencies in state government. which was held on September 26, 2013. In response to a question by without appropriation from the General Representative Riner complemented The motion was made by Representative Representative Horlander, Ms. Wright Assembly. Treasurer Hollenbach on his actions to Stone and seconded by Representative stated some schools use a credit-recovery In response to questions from save funds in the Office of the Treasurer. Montell. online system to help graduate students Representative Denham concerning Secretary of State Status There being no further business who are significantly behind. The students funding and what was being done Ms. Thurston discussed the Office of before the subcommittee, the meeting was receive credits for basic classes online. concerning increased heroin use in-state, the Secretary of State. adjourned at 11:49 AM. Some high schools are also using online Mr. Riley said that he was not prepared In response to a question from Chair courses from universities. to give an exact number for increased McDaniel concerning the budget request, Interim Joint Committee In response to a question by funding but that the Office of the Attorney Ms. Thurston stated that the Office of the on Appropriations and Representative Graham, Mr. Desai said General gives a large return on investment. Secretary of State would be requesting Revenue the Department of Education receives Mr. Riley stated that the Attorney General about the same amount of funding as last Budget Review Subcommittee on about $30 million in technology funding is working closely with law enforcement biennium. Postsecondary Education and will need $20.3 million per year in to determine how to keep heroin out of the In response to a question from Minutes of the 4th Meeting additional funding to fulfill education hands of drug users. Representative Riner concerning witness of the 2013 Interim technology needs. Existing funds are In response to a question from protection, Ms. Thurston said that there is October 24, 2013 being used to upgrade bandwidth, which Representative McKee concerning no legislation accounting for shielding the Call to Order and Roll Call is the number one concern for classroom personnel, Mr. Riley said there have been addresses of those in witness protection The 4th meeting of the Budget teachers. no reductions in staff in the last year. programs. Review Subcommittee on Postsecondary In response to a question by Senator In response to a question from Kentucky Department of Education of the Interim Joint Committee Wilson, Dr. Silberman suggested that Senator Givens concerning the Tobacco Agriculture Status on Appropriations and Revenue was held Kentucky needs to evaluate the SEEK

THE KENTUCKY GENERAL ASSEMBLY 15 formula that is based on average daily High School; Hiren Desai, Associate In response to a question by Representative Collins, Mr. Pritchett said attendance. Commissioner, Kentucky Department of Representative Miller, Dr. Silberman said some projects had been completed, and In response to a question by Education. KEAT is hosting an Education Summit others are currently under construction. Representative Smart, Dr. Silberman LRC Staff: Tom Willis, Perry Papka, on November 21, where gaming, tax He said there is approximately $12 million stated that the approximate administrative and Amie Elam. reform, and other funding options will be annually coming into Kentucky from cost is 5.2 percent. Representative Smart Kentucky Education Action Team discussed. foreign watercraft, with $2 million going suggested that information regarding Dr. Stu Silberman testified on Education and Workforce to the state and $10 million going back to administrative costs be passed on to investing in Kentucky’s schools. Ali Development the counties that are adjoining Kentucky members of the legislature. Crowley Wright, math teacher at Lafayette Secretary Thomas Zawacki testified waters. In response to a question by High School, gave a classroom teacher’s on the Kentucky Education and Workforce Louisville-Southern Indiana Ohio Representative Richards, Dr. Silberman perspective on the impact of budget cuts. Development Cabinet and initiatives and River Bridges (LSIORB) agreed to provide the committee with In response to a question by budget concerns for the next biennium. Representative Jim Wayne information regarding how Kentucky Representative Horlander, Dr. Silberman In response to a question by provided a brief overview of pre-filed compares to other states on per pupil said that Fayette County and Jefferson Representative Meeks, Secretary Zawacki legislation relating to tolls on the bridges. expenditures. County have roughly the same school tax stated that staff from the Education and Representative Jenkins stressed the rates. Workforce Development Cabinet will importance of considering low-income In response to a question by In response to a question by schedule a time in the near future to citizens and the additional money that Representative Miller, Dr. Silberman said Representative Richards, Ms. Wright said discuss employment concerns from his would be required for them to cross the KEAT is hosting an Education Summit that some teachers are able to get online constituents. bridges to get to work each day. The on November 21, where gaming, tax resources but many students still do not Representative Miller stated that the estimation of $500 per year would be a reform, and other funding options will be have access to computers at home so it is legislature needs to take a stronger look at hardship for many. discussed. not feasible to have all textbooks online. school safety funding. In response to questions from Education and Workforce In math, it is much more difficult for some There being no further business Representative Collins, Representative Development students to learn online. Representative before the committee, the meeting was Wayne said the low-income citizens that Secretary Thomas Zawacki testified Richards stated that he would like to see adjourned at 11:20 a.m. qualify for the federal Earned Income Tax on the Kentucky Education and Workforce all fifth and sixth graders be provided a Credit would be affected by the proposed Development Cabinet and initiatives and computer or tablet device. Interim Joint Committee legislation. He said the $1.9 million budget concerns for the next biennium. Representative Carney expressed on Appropriations and comes from the Transportation Cabinet In response to a question by concern regarding textbook funding and Revenue budget, and only includes the LSIORB. Representative Meeks, Secretary Zawacki about certain subject areas being taught Budget Review Subcommittee on The proposed legislation would address stated that staff from the Education and through the use of online textbooks. Transportation the needs of all Kentuckians along the Workforce Development Cabinet will In response to a question by Minutes of the 4th Meeting Ohio River and include other bridges that schedule a time in the near future to Representative Rudy, Dr. Silberman said of the 2013 Interim may be tolled in the future. discuss employment concerns from his the textbook industry is moving very October 24, 2013 In response to a question from Chair constituents. quickly, and almost all information is Call to Order and Roll Call Combs, Representative Wayne said the Representative Miller stated that the already available online. The fourth meeting of the Budget $1.9 million was calculated based on legislature needs to take a stronger look at Review Subcommittee on Transportation 3,800 full-time workers that qualify for the school safety funding. In response to a question by of the Interim Joint Committee on Earned Income Tax Credit, and estimating There being no further business Representative Horlander, Ms. Wright Appropriations and Revenue was held only about one-third would apply for the before the committee, the meeting was stated some schools use a credit-recovery on Thursday, October 24, 2013, at 10:00 credit. adjourned at 11:20 a.m. online system to help graduate students AM, in Room 131 of the Capitol Annex. In response to questions from who are significantly behind. The students Representative Leslie Combs, Chair, Representative Collins, Representative Interim Joint Committee receive credits for basic classes online. called the meeting to order, and the Wayne said that based on proposed toll on Appropriations and Some high schools are also using online secretary called the roll. rates of $1.00 each way, calculated at 50 courses from universities. Present were: weeks per year for $10 per week in toll Revenue In response to a question by charges, the estimate was $500 per year. Budget Review Subcommittee on Members: Representative Leslie Representative Graham, Mr. Desai said Combs, Co-Chair; Senators Ernie Harris The rate would increase with inflation. Primary and Secondary Education the Department of Education receives It would be a credit, so if the individual Minutes of the 3rd Meeting and Paul Hornback; Representatives about $30 million in technology funding Hubert Collins, Jim Gooch Jr., John Short, does not owe any taxes, he or she would of the 2013 Interim and will need $20.3 million per year in get credit for that amount, or if they only October 24, 2013 and Jim Stewart III. additional funding to fulfill education Guests: Greg Pritchett, Chairman, worked six months of the year, he or she Call to Order and Roll Call technology needs. Existing funds are would get half the amount credited. The 3rd meeting of the Budget Kentucky Water Transportation Advisory being used to upgrade bandwidth, which Board (KWTAB); Greg Curlin, Chairman, In response to a question from Review Subcommittee on Primary and is the number one concern for classroom Senator Hornback regarding independent Secondary Education of the Interim Kentucky Association of Riverports, teachers. and Director, Hickman-Fulman County contractors using their own vehicles, Joint Committee on Appropriations and In response to a question by Senator Representative Wayne said the credit Revenue was held on Thursday, October Riverport Authority; Representatives Jim Wilson, Dr. Silberman suggested that Wayne and Joni Jenkins; Louisville City would only apply to employees who work 24, 2013, at 10:00 AM, in Room 149 of Kentucky needs to evaluate the SEEK for a company in Indiana, but the idea the Capitol Annex. Representative Kelly Councilman David James; and, Secretary formula that is based on average daily Mike Hancock, Transportation Cabinet. should be considered if the contractors are Flood, Chair, called the meeting to order, attendance. of applicable income level. and the secretary called the roll. LRC Staff: Chuck Truesdell, In response to a question by Jennifer Anglin, and Spring Emerson. In response to comments from Present were: Representative Smart, Dr. Silberman Senator Harris regarding local trucking Members: Senator Stan Humphries, Representative Collins congratulated stated that the approximate administrative Transportation Cabinet Secretary Mike businesses in other states getting a 25 Co-Chair; Representative Kelly Flood, cost is 5.2 percent. Representative Smart percent break on all tolls, Representative Co-Chair; Senators Johnny Ray Turner, Hancock for recently being elected as suggested that information regarding president of the American Association Wayne said that needs to be considered. and Mike Wilson; Representatives John administrative costs be passed on to In response to a question from Carney, Will Coursey, Jeffery Donohue, of State Highway and Transportation members of the legislature. Officials (AASHTO). Representative Collins, Representative Derrick Graham, Dennis Horlander, Rick In response to a question by Wayne said the proposed legislation G. Nelson, and Steven Rudy. Kentucky Water Transportation Representative Richards, Dr. Silberman Advisory Board (KWTAB) relates only to the Louisville-Southern Guests: Dr. Stu Silberman, Member, agreed to provide the committee with Ohio River Bridges. Representative Kentucky Education Action Team; Mr. Pritchett and Mr. Curlin provided information regarding how Kentucky an update on progress and activities of the Collins said if the Mountain Parkway Thomas O. Zawacki, Secretary, Education compares to other states on per pupil could be finished, people would be and Workforce Development Cabinet; KWTAB and public riverport investments. expenditures. In response to questions from willing to pay tolls. Chair Combs agreed. Ali Crowley Wright, Teacher, Lafayette Representative Gooch commented that the

16 2013 Interim LEGISLATIVE RECORD Owensboro area had the last two toll roads Community and Technical College; employs 7,000 team members. In 2014, Lead the Way, and the STEM initiative for in Kentucky, and the tolls were removed Dr. Michael McCall, President/Chief TMMK will reach the milestone of support for careers in science, technology, during the Fletcher Administration. Executive Officer, Kentucky Community producing 10 million vehicles. Toyota’s engineering, and mathematics. The AMT Secretary Hancock said that the and Technical College System; Hollie North American production facilities program was implemented in 2010. The amount provided to the Transit Authority Spade, Chief of Staff, Kentucky Cabinet exported 125,000 locally assembled program offers an associate degree in of River City (TARC) was $20 million, for Economic Development; John Cooper, vehicles in 2012 to 21 countries. applied science and on-site training in with $10 million being provided by Capital Link, Connections; Jeremy Gillis, Mr. Menke said team members the technical aspects of a manufacturing Kentucky and $10 million provided by Advanced Manufacturing Technician at TMMK reside in 72 of Kentucky’s position, as well as floor experience Indiana. Program (AMT) Student; and Sarah counties, and 80 percent live within an and core exercises within the plant. Senator Harris said that, on the way Jenkins, AMT Student. 80 mile radius of the plant. The top five The classroom aspect of the program to Frankfort, he sat in bumper-to-bumper LRC Staff: John Buckner, Lou counties of residence for team members utilizes a new-model classroom which traffic for five miles. There was a lighted DiBiase, and Dawn Johnson. include Scott (2,202 team members), looks and feels like a factory setting. sign one mile before the road repair stating Approval of Minutes Fayette (1,404), Harrison (356), Jefferson The AMT program partners with the the left lane was closed one mile ahead. A motion by Senator Parrett and (245), and Grant (240). Bluegrass Manufacturing Development He suggested that a similar sign be placed second by Senator Wilson to approve the Lexus Project Announcement– Collaborative made up of 16 member about a half-mile before the previous exit, minutes of the July 15 and September 30 Overview, Wage Assessments, Local companies, 11 of which sponsor current so that locals could exit off the interstate meetings carried by voice vote. Co-Chair Infrastructure Improvement, and students in the program. at that point. Secretary Hancock said that Kerr expressed thanks to the officials of Workforce Development Mr. Menke introduced two AMT was a good suggestion and would be Toyota Motor Manufacturing, Kentucky, Mr. Price testified about the Lexus students, Jeramy Gillis and Sarah Jenkins implemented. Inc. (TMMK) and Scott County for ES 350 Incentive Project at TMMK. to give insight to the benefits of the In response to a question from hosting the Interim Joint Committees on The Lexus RX and ES models that program. Mr. Gillis was homeschooled Senator Hornback regarding commercial Labor and Industry and the Interim Joint are produced in North America (in in Georgetown and learned about the trucks getting a frequent use pass, Committee on Economic Development Canada and Kentucky) represent nearly program through his home school group. Secretary Hancock said the tolling policy and Tourism. Senator Damon Thayer 60 percent of total annual sales. The He stated the benefit of training on-site has not yet been established, but the extended appreciation to the corporation project will produce 50,000 units per with the opportunity to obtain a career cabinet is working with Indiana on those for its continued support and positive year for the North American market, position at the completion of the program issues. economic impact on Scott County and the add two production shifts at TMMK, as the reason he made the decision to apply There being no further business Commonwealth. and create 750 team member positions. for AMT. Ms. Jenkins is a 2012 graduate before the subcommittee, the meeting was Mike Price, Vice President of The investment is $531 million. Hollie from Harrison County, who participated in adjourned at 10:53 AM. Administration, TMMK, gave an Spade, Chief of Staff for the Secretary, Project Lead the Way classes at her high overview of the structure of Toyota’s Cabinet for Economic Development, school. Ms. Jenkins said after comparing Interim Joint Committee on partnership with North America, the said that in 2007, the Kentucky Jobs the costs of college to the cost and Economic Development and Lexus incentive project at TMMK, the Retention Act was implemented to beneficial training of the AMT program, workforce development needs of the meet the needs of the larger automotive she chose AMT for the opportunity to Tourism industry. Existing incentives from this be debt-free and prepared for a position Minutes of the 4th Meeting Advanced Manufacturing Technician Program (AMT), and the transportation program may be utilized for the current upon graduation. Representative McKee, of the 2013 Interim Lexus project at TMMK. As the project Ms. Jenkins’ district representative, October 17, 2013 and infrastructure needs of the plant. develops, modifications may be made to commended her for her scholastic efforts Call to Order and Roll Call Toyota Overview the investment. The Kentucky Economic and recognized his constituent, Dennis The 4th meeting of the Interim Joint Kim Menke, Manager of External Development Finance Authority awarded Parker, also in attendance, as a key Committee on Economic Development Affairs and Government Relations, Toyota $146.5 million over ten years to the individual involved in the development and Tourism was held on Thursday, Motor Engineering and Manufacturing project. and research of the AMT program. Mr. October 17, 2013, at 11:00 AM, in the North America, Inc. (TEMA), informed Ms. Spade discussed the importance Parker has been integral in transferring the North American Production Support the committee of Toyota’s national and of the infrastructural needs pertaining to program to Toyota’s other facilities. Mr. Center at Toyota Motor Manufacturing, regional operations in North America. Interstate 75 and the interchange at Cherry Menke invited the members and guests to Kentucky, Inc., Georgetown, Kentucky. Toyota’s headquarters for manufacturing Blossom Way and Champion Way during tour the AMT classroom at the conclusion The meeting was a joint meeting with is based in Erlanger, Kentucky, at TEMA. the expansion of the Lexus Project at of the meeting. the Interim Joint Committee on Labor Vehicle development, engineering design, TMMK. Oversight will be brought to the Dr. McCall, President/Chief and Industry. Senator Alice Forgy Kerr, an advanced research is conducted at attention of the legislature in the 2014 Executive, KCTCS, continued the Chair, called the meeting to order, and the facilities in Erlanger and Ann Arbor, General Assembly. A skilled workforce discussion explaining the bigger picture secretary called the roll. Michigan. Regional operations include is important to the project. To build the of KCTCS involvement. KCTCS seeks Present were: TEMA, TMMK, Toyota Motor Sales, Inc. “talent pipeline,” the cabinet has partnered to provide, through 16 colleges and 70 Members: Senator Alice Forgy in Blue Ash, Ohio, and North American with the Bluegrass Community and locations throughout the Commonwealth, Kerr, Co-Chair; Senators Julian M. Parts Operations in Hebron, Kentucky. Technical College (BCTC) and developed the workforce training needs of businesses Carroll, Denise Harper Angel, Ernie Fourteen manufacturing facilities exist the AMT program at TMMK. and industries, and individuals who want Harris, Dennis Parrett, and Mike Wilson; across North America, producing 12 KCTCS/BCTC Advanced to enhance their employability and quality Representatives Lynn Bechler, Leslie models. Manufacturing Technician Program of life. A results-oriented training provider, Combs, Mike Denham, Jeffery Donohue, Mr. Menke said the total economic Mr. Price commented on the growing KCTCS provides workforce solutions Myron Dossett, Jeff Greer, Mike Harmon, investment that Toyota has made in need for highly skilled workers in specific to more than 5,000 Kentucky companies Richard Heath, Richard Henderson, its North American operations is $27 trades skill positions, particularly within annually, primarily in the manufacturing Dennis Horlander, Thomas Kerr, Adam billion, and employing over 39,000 team the automotive industry. A work-ready sector. The Kentucky Center of Excellence Koenig, Brian Linder, Tom McKee, Terry members. About 1.8 million vehicles are workforce is needed to fill hundreds of open in Automotive Manufacturing led to a Mills, David Osborne, Ruth Ann Palumbo, produced, and local purchasing equals positions. In partnership with KCTCS and $5.5 million National Science Foundation John Short, Arnold Simpson, John Will $26 billion. In the past 24 months, more BCTC, the AMT program seeks to address grant which created the Automotive Stacy, Fitz Steele, Wilson Stone, Russell than $2.1 billion has been invested in the issues facing TMMK specifically. Manufacturing Technical Education Webber, and Jill York. North American manufacturing and 4,000 These issues include the retirement Collaborative (AMTEC). AMTEC has Guests: Mike Price, Vice President jobs have been created. Approximately “bubble,” the negative perception of collaborated with 35 community colleges of Administration, Toyota Motor 600 suppliers operate in North America industrial jobs, and the national problem in 12 states. Through the development of Manufacturing, Kentucky, Inc. (TMMK); (100 in Kentucky). The supply base adds of approximately 600,000 unfilled skilled national standards, a workforce of multi- Kim Menke, Manager of External Affairs nearly 48,600 jobs to the automotive positions. Toyota’s campaign to change skilled technicians for the automotive and Government Relations, Toyota Motor industry. TMMK operates as one of the the perception and value of jobs in sector is being trained. Their partnership Engineering and Manufacturing North largest plants in the world on 1300 acres manufacturing includes partnerships with with Toyota began in 2003. In 2006, the America, Inc. (TEMA); Dr. Augusta and 7.5 million square feet. A $6 billion the Foundation for Kentucky Industry’s Advanced Manufacturing Technician Julian, President/CEO, Bluegrass investment, the production capacity reaches 500,000 vehicles annually and “Dream It! Do It!” campaign, Project Program was appropriated $1.5 million to

THE KENTUCKY GENERAL ASSEMBLY 17 acquire property and to design a facility. said her goal is to pursue an engineering Minutes believes there should be a consequence for Dr. McCall expressed to the committees degree. However, she enjoys the variety of Upon motion by Representative stealing from children. In Mason County the importance of the expansion of the work in machine maintenance. Mr. Gillis Collins, seconded by Representative there was a superintendent who engaged facilities and the funding that will be agreed and commended the multi-skilled Richards, the minutes were approved by in $200,000 worth of questionable needed in 2014. In 2011, the National training opportunities at AMT such as voice vote. expenditures and personal benefits, along Governor’s Association selected AMTEC hydraulics training, electrical, mechanical, Reports from Subcommittees with a lack of proper board oversight. as the best practices model for the nation. welding, crane work, and injection Senator Kerr reported that the Mr. Edelen said one of the common Dr. Julian, President/CEO, BCTC, molding. Mr. Menke added that BCTC Subcommittee on Postsecondary themes his office has found during described the expansion plan for the AMT and the University of Kentucky partner in Education met to learn about the findings the examinations is a lack of proper program. Sixty-three students are enrolled a pathway where AMT graduates can earn and recommendations of the Rural balance between school boards and at AMT, and 29 students have graduated. a bachelors degree in engineering. Access Work Group. Representative superintendents. Every high performance The expansion would provide for 1,200 In conclusion, Co-Chair Kerr Stone reported that the Subcommittee school district in Kentucky has an students, 12 full-time faculty, and 20 part- announced that the next meeting of the on Elementary and Secondary Education appropriate balance between the school time faculty on 20 acres of land that the Interim Joint Committee on Labor and heard presentations from ACT about board and the superintendent role. Mr. Scott County Fiscal Court and the City Industry will be Thursday, November 21, changes to college readiness benchmarks Edelen said there needs to be an increased of Georgetown has acquired. Dr. Julian at 10:00 in the Capitol Annex. The next assessments. Also, The Kentucky Center level of financial literacy for those who stated 100 percent of AMT’s students meeting of the Interim Joint Committee for Education and Workforce Statistics serve on school boards in Kentucky. who took Toyota’s general assessment test on Economic Development and Tourism provided information about data reports Mr. Edelen said there is no need for passed. Less than 50 percent of the general will be Thursday, November 21, at 1:00 available from the center. A complete any public administrator to be getting public pass Toyota’s test for employment in the University of Kentucky Student set of minutes for each subcommittee benefits that are not in their contract. readiness. Center Ballroom. is located in the Legislative Research The Auditor’s Office have worked very Mr. Cooper, Capital Link, The committee members will tour Commission (LRC) library. closely with the Kentucky School Board Connections, spoke to the committee the AMT classroom upon adjournment. School District Examinations Association and the organization that about the need for infrastructure changes There being no further business, the Adam Edelen, Auditor of Public represents superintendents to make sure to support the Lexus Project expansion. meeting adjourned. Accounts said his office has conducted 14 that the benefits the superintendents get Nearly 10,000 people, not including those special examinations of school districts are specified in the contract. School boards driving trucks transporting parts, travel Interim Joint Committee on in the past year. The school districts also need to closely monitor expense the facility on a daily basis. The proposed Education were Kenton County, Breathitt County, reimbursements for travel and credit cards I-75 Interstate Interchange Project Minutes of the 4th Meeting Mason County, Dayton Independent, used by superintendents and supporting would connect Cherry Blossom Way of the 2013 Interim Webster County, Pike County, Ashland documentation. and Champion Way, creating a safe and October 14, 2013 Independent, Carroll County, Metcalfe Mr. Edelen said there is a constant line functional route for business at TMMK. Call to Order and Roll Call County, Fayette County, Menifee County, of communication between his office and Mr. Price asked that the General Assembly The 4th meeting of the Interim Letcher County, Montgomery County, and the Kentucky Department of Education authorize funding for the interchange Joint Committee on Education was held Martin County. Also, there is an ongoing (KDE). Mr. Edelen recommended last project and the expansion of the AMT on Monday, October 14, 2013, at 1:00 investigation of Jefferson County Public year that KDE begin requiring school program. PM, in Room 154 of the Capitol Annex. Schools. This is the first meaningful boards to submit superintendent contracts Co-Chair Kerr thanked the speakers Representative Derrick Graham, Co- attempt to conduct a fiscal audit of and benefits to KDE so they can be for their presentation and commented Chair, called the meeting to order, and the Kentucky school districts. Mr. Edelen said placed on a website for the public to see on how the presented information is an secretary called the roll. the examinations his office has performed and access. Currently there are more example of the best model of education, Present were: do not paint a picture of extensive abuses than 170 superintendent contracts that economic development, and labor and Members: Senator Mike Wilson, Co- by central office staff of these school are available online for the public to see. industry partnering for success in the Chair; Representative Derrick Graham, districts. Most school districts are doing Mr. Edelen also supports Commissioner Commonwealth. Senator Carroll spoke Co-Chair; Senators Walter Blevins Jr., a wonderful job in very difficult financial Terry Holliday’s request for additional about the value of the investment made in Joe Bowen, Jared Carpenter, David P. times. training for school board members. This 1978, when Kentucky sought partnership Givens, Denise Harper Angel, Alice Forgy The Auditor’s Office is charged to additional training is strongly supported with Japan by opening an office in Tokyo. Kerr, Gerald A. Neal, and Katie Stine; perform 600 statutorily required audits a by the superintendents and the School Ms. Spade, in response to Senator Carroll, Representatives John Carney, Hubert year. His office does not have the funds Board Association. Mr. Edelen also stated that there are 154 Japanese owned Collins, Leslie Combs, Jim DeCesare, to conduct random investigations. Mr. supports Commissioner Holliday’s call businesses in Kentucky with 37,000 Jeffery Donohue, C.B. Embry Jr., Jim Edelen said the main purpose of the audit, for improved superintendent evaluation employees. Glenn, Richard Heath, Joni L. Jenkins, is to ensure limited resources are making processes. After 2013 there should Senator Wilson and Representatives James Kay, Brian Linder, Donna Mayfield, their way to classrooms rather than to no longer be any oral evaluations in Denham, Linder, and McKee commented Reginald Meeks, Charles Miller, Rick central offices. Kentucky. Superintendent evaluations on the great need for skilled employees G. Nelson, Ruth Ann Palumbo, Jody Mr. Edelen said examinations are should be written and made available to across the nation and commended the Richards, Tom Riner, Bart Rowland, Rita prompted by concerns and allegations that the public as required by KRS 156.557. AMT program for providing the training Smart, Wilson Stone, Addia Wuchner, and come from citizens, legislators, public Mr. Edelen said Jefferson County and education needed to meet the needs of Jill York. officials, and school board members. Public Schools (JCPS) is the second America’s workforce. Guests: Wayne Young, Kentucky Preliminary complaints come through largest individual government in the state In response to questions from Association of School Administrators, a tips hotline and a website set up by with a $1.2 billion budget. There are more Representative Bechler, Mr. Menke said Clyde Caudill, Jefferson County public the Auditor’s Office. The Auditor’s than 100,000 students with 62 percent the AMT program is targeted towards Schools, and Kentucky Association of Office has facilitated conversations with of them on free and reduced lunch and skilled trade jobs including tool and School Administrators, Robert Rodosky, organizations that represent school board 10,000 of those students are homeless at die and skilled maintenance positions, Jefferson County Public Schools, Jimmy members, teachers and administrators. some point during the school year. which represent the largest need for Alan, Education Professional Standards The office has disseminated best practice Representative James Kay noted that trained workers in the industry. Dr. Board, LaTonya Bell, Kentucky recommendations on transparency and the Kentucky constitution provides for a Julian responded machinist, tool and Department of Education, Erin Klarer, fiscal accountability. strong Auditors position in Kentucky’s die, and welding training are in high Kentucky Higher Education Assistance Mr. Edelen said Mason County government to review how taxpayers’ demand at BCTC. Mr. Menke said the Authority and Kentucky Higher Education Public Schools and Dayton Independent dollars are spent. program has partnered with the Society of Student Loan Corporation, and Pastor Schools had the worse two examinations In response to Representative James Manufacturing Engineers in its outreach Jerry Stephenson, Black Alliance for out of the 14. In the Dayton Independent Kay’s questions regarding responses training within high schools, specifically Education Options. School district the former superintendent from school districts under examination in robotics programming. LRC Staff: Kenneth Warlick, Jo enriched himself with $224,000 during and the cost of examinations, Mr. Edelen Co-Chair Kerr asked Mr. Gillis Carole Ellis, Ben Boggs, Janet Stevens, his tenure there. The Auditor’s Office said in most cases the response has been and Ms. Jenkins to explain their goals and Daniel Clark. has referred the case to law enforcement extremely positive and a number of after finishing the program. Ms. Jenkins Approval of September 9, 2013, agencies because the Auditor’s Office districts are trying to do the right thing.

18 2013 Interim LEGISLATIVE RECORD Mr. Edelen said the examinations cost his is connected with KDE’s Jumpstart In response to Senator ’s for each student to be successful. office a lot more than the Auditor’s Office Program and the University of Kentucky’s questions regarding financial literacy Dr. Rodosky said JCPS outperformed charges the school districts. The cost of agricultural cooperative extension office. courses being utilized in schools and adult their annual improvement goal set by the 14 examinations have been anywhere In March of 2012 the Bell-Whitley financial literacy programs, Mr. Cornelius KDE. Over 75 JCPS schools also met their from $3,500 to $25,000. County Community Action Agency along said the resources are available in most annual improvement goals set by KDE Representative Rita Smart stated with Representative Nelson met with schools but is not being utilized. Mr. while 13 of JCPS’s 18 priority schools met that out-of-pocket student expenditures is Commissioner Holiday and suggested Cornelius said there are resources all over their targets. Also JCPS’s percentage of one of the most frequent complaints she that there be a pilot project with financial the state for adult financial literacy. college-and career-ready students is 51.2 receives as a Representative. literacy in Bell County. Representative Joni Jenkins’ said percent which is more than a 19 percent In response to Representative Ruth Mr. Cornelius said he wants young people going into college do not increase since the 2010-11 school year. Ann Palumbo’s question regarding the addition of mandatory financial understand the importance of going Brent McKim, President, Jefferson examples of his examination findings, literacy courses in Kentucky’s high to class and learning when receiving County Teacher Association (JCTA), Mr. Edelen said he is just getting started school curriculum for a half credit and a financial aid. said JCTA is offering the staff of priority and would focus on the largest areas of mandatory graduation requirement. Last Senator Joe Bowen thanked Mr. schools options to extend the school days public investment which is education and year in Kentucky, 4,088 students out of Cornelius for an informative presentation and allow the staff of these schools to Medicaid. 652,317 students enrolled in high school and is happy to see this initiative turned determine how best to use the additional In response to Senator Mike Wilson’s classes took a financial literacy elective over to the educational community instead time. JCTA also recommends making question regarding the percentage of course. of a government agency. teaching more attractive at priority schools finances going to actual school instruction Mr. Cornelius spoke about the Jefferson County Public Schools by enhancing paying working conditions. of students, Mr. Edelen said he does not financial literacy and KEES results of Perspective on Charter Schools Mr. McKim said Jefferson County have any preliminary numbers at this time. the pilot program with KDE. He said Robert Rodosky, Director, Executive should be cautious of charter schools. In response to Representative the purpose of the pilot is to test the Director, JCPS, Accountability, Research, In education, Kentucky is advancing Reginald Meeks’ question regarding impact of the High School Financial and Planning Division, said there is more quickly than surrounding states benchmarks and factors used for Planning Program (HSFPP) and student’s no conclusive evidence that charter that have charter schools. According to examining JCPS, Mr. Edelen said JCPS knowledge of the KEES program using schools will significantly impact student Education Week, the states that have does have a special set of circumstances a pre-test and post-test model. The achievement. According to CREDO the most charter schools were also most and the benchmarks used for JCPS need to evaluation was a 24 question pre-test and (2013) only 25 percent of charter schools likely to be found in the poor performing be national. JCPS needs to be compared to a 27 question post-test selected from the are doing significantly better in reading group. Also, in Wisconsin, the public districts around the country like Nashville, national Jumpstart Coalition Survey. than public schools while only 29 percent schools outperformed the charter schools Tennessee and Charlotte, North Carolina Mr. Cornelius said the evaluation is doing significantly better in math. Dr. significantly. Mr. McKim said charter that are similar in size. sampled twelfth grade students from three Rodosky said the National Assessment of schools do not tend to select students who In response to Representative Addia different Bell County high schools and Educational Progress (NAEP) provides show poor performance and they tend to Wuchner’s question regarding clarity on the names of students were anonymously strong comparative data about schools practice exiting students that show poor the ratio of instructional dollars to other coded by the classroom teachers to across the nation. In-depth analyses of performance. expenses, Mr. Edelen said he is hopeful protect their identities. There was usable NAEP show there are few differences In response to Senator David that there will be increased clarity for data collected from 111 participants. between charter and public schools in Givens’ questions regarding disparity better decision making. Mr. Cornelius stated that 63.9 percent of academic performance, with a slight edge in CREDO’s charter school statistics, In response to Representative students had improved financial literacy to public schools. Dr. Rodosky said JCPS’s CREDO Jody Richards’ questions regarding how scores after participating in the HSFPP Dr. Rodosky said in 2010 there statistics on charter schools examines the districts were chosen for examinations and with 26.1 percent having lower literacy was a study done at the University of achievement of charter schools compared policy and financial recommendations, scores and 9.9 percent staying the same. Minnesota that looked at the most cost to the achievement of public schools in Mr. Edelen said his office received tips Mr. Cornelius said the difference in effective research on reforming schools general. Senator Givens stated that we all that come from all manner of places that the schools performance may result in and raising student achievement. Out of share the common goal of what is best for can lead to district audits. His focus is on who taught the HSFPP curriculum. The the 22 approaches that were examined, the students, but disputes JCPS’s statistics how taxpayer resources are expended. evaluator’s hypothesis is that teachers the least cost effective approach was on charter schools. Dr. Rodowsky agreed Representative Jill York’s stated she with previous personal finance experience charter schools. Also, there was a study with Senator Givens on wanting what is is impressed with Mr. Edelen’s exploration yield greater improvements in students’ done by Columbia University in 2011 that best for students across the state. Also, of the out-of-pocket money teachers and financial literacy scores. questioned the fiscal impact of charter he wants to make sure Jefferson County administrators expend. Mr. Cornelius said in Kentucky, schools and the idea of separate operating has the most effective programs in term In response to Representative HSFPP is supplemented with information systems from public schools. of how tax dollars are spent. According Derrick Graham’s questions regarding regarding KEES. There were twelfth Dr. Rodosky said Harvard University to the statistics he has, charter schools are supportive legislation needed, Mr. Edelen grade students that were asked questions studied characteristics of highly effective not a cost effective approach. said there is not a failure of existing law regarding the specifics of the KEES charter schools and found that most Senator David Givens stated and the problems usually occur with an program. At the beginning of the study shared the same characteristics. Those that he welcomes the chance to work inappropriate unbalance between the fewer than half of the students knew characteristics are, use of data to guide with Mr. McKim on writing a piece of school board and the superintendent. “KEES” by the full title and less than instruction, frequent teacher feedback, charter school legislation that has cost Also, there is a lack of transparency and a third of students knew the minimum increased instructional time, high dosage effectiveness written in the bill and would accountability in the financial operations. GPA required for KEES eligibility. Also, tutoring, and high expectation. All of have no filtering of students after three or Mr. Edelen said in some districts there less than a quarter of students knew these characteristics and highly effective four years. is confusion on who the board attorney the minimum ACT score required for practices are found in JCPS’s Strategic Representative Derrick Graham works for. In Mr. Edelen’s view, the eligibility. Mr. Cornelius said there was Plan Vision 2015. stated that a lot of what is in the charter board attorney does not work for the improvement in the KEES knowledge Dr. Rodosky said JCPS was school initiative is also in the schools of superintendent but the board. after HSFPP. There was a 48.6 percent fortunate enough to become a district of innovation. Financial Literacy improvement in the KEES score, 33 innovation which was created by 2012 Representative Jim DeCesare stated Norman Cornelius, Housing Director, percent showed no change and 18.3 House Bill 37. Each district of innovation that he is for both, charter schools and Bell-Whitley County Community Action percent of students displayed a decrease has four different strategies. Innovation traditional public schools and thinks there Agency said one of his jobs as a financial in the test scores. strategy one creates equal access to highly are a lot of successes in public, private, counselor is to help people become Representative Jim Glenn said he effective innovation through professional and charter schools. Also, parents should financially stable. The most common has been working on financial literacy collaboration. Innovation strategy two have the option on where to send their problem that he saw is grant money that since he became a state legislator. He has extends learning opportunities so students children, and the money should follow the has been misused or credit card misuse for been teaching finance for twenty years at may learn anywhere they have access to children wherever they go. young people just out of high school. the community college level and stated instructional materials. Innovation strategy Representative Derrick Graham Mr. Cornelius said the Bell-Whitley financial literacy is an important concept three creates schools of innovation and stated that as public servants one of the first County Community Action Agency and life skill. strategy four creates a system of support priorities should be providing resources to

THE KENTUCKY GENERAL ASSEMBLY 19 make sure our kids get the best possible Harper Angel, Jimmy Higdon, and Stan the WKU Board of Regents expanded the campus testing centers, and serves a large education. By creating separate school Humphries; Representatives John Carney, honors program to a fully independent population of adult learners. systems there will be money taken away Leslie Combs, Jim DeCesare, Jeffery Honors College. The goal to increase Responding to a question from from public schools. Donohue, C.B. Embry Jr., Richard Heath, the Honors College enrollment to 1,200 Senator Wilson regarding how the Representative Jeffery Donohue Joni L. Jenkins, James Kay, Mary Lou students by 2012 has been achieved. SKyTeach program is impacting the stated Kentucky has a responsibility to Marzian, Charles Miller, Jody Richards, Students in the WKU Honors College College of Education at WKU, President teach all students and give all children Tom Riner, Bart Rowland, Wilson Stone, experience an intimate, highly selective Ransdell said it has strengthened the same opportunity. Charter schools Addia Wuchner, and Jill York. learning environment similar to that collaboration between the College of pick the students they want to have. We Guests: Clyde Caudill, Kentucky of a small private college, but with the Education and the College of Science and should concentrate our efforts improving Association of School Administrators resources and benefits of a state university. Engineering. the system we have in place. and Jefferson County Public Schools; Honors College students gain experience Responding to a question from Representative Ruth Ann Palumbo Tracy Herman, Kentucky Department through service, applied research, and Representative Miller, President Ransdell stated the public high school that she of Education; Karen Timmel, Office of study abroad and they live and learn said WKU changed its requirement from graduated from had not been doing well Education Accountability; Don Butler, together in housing dedicated for Honors a master’s degree to a Doctor of Nurse and became a school of innovation. Council for Community Education, and students. Practice (DNP) degree to comply with Now the schools test scores have really Erik Jarboe, LearNet. President Ransdell said that, in 2008, licensure requirements of the Nursing improved because of House Bill 37. LRC Staff: Kenneth Warlick, Daniel WKU established the Office of Scholar Standards Board. The DNP is a terminal Senator Mike Wilson stated he Clark, and Lisa Moore. Development (OSD) to help students professional degree that focuses on the proposed a bill last year to have public Chairman Wilson thanked the staff develop the vision, experience, and skills clinical aspects of nursing rather than the charter schools. He said the Gatton and students of Moss Middle School for to be independent, engaged scholars. OSD academic research and prepares registered Academy is a perfect example of a charter the informative and enlightening tour of encourages research and creative activities nurses to become nurse practitioners. school in Bowling Green, Kentucky. the school. while assisting students seeking the top There are 90 students enrolled in the DNP Responding to Senator Mike Approval of October 14, 2013, national and international scholarships. program. Wilson’s question regarding the cost Minutes President Ransdell said college Representative Graham commended effectiveness of JCPS, Dr. Rodosky Representative DeCesare moved to students encounter a number of changes Representative Richards for the vision said one measures cost effectiveness by approve the minutes, which was seconded when they begin their college career. He behind the Gatton Academy. He said focusing on achievement and the money by Senator Higdon. The minutes were said students may be living away from the Gatton Academy’s awards and one allocates for achievement. approved by voice vote. home for the first time, meeting new recognitions include: being ranked the Representative Addia Wuchner Welcome and Western Kentucky people from many different cultures, top high school in America by Newsweek stated she is a supporter of the public University Update and looking for ways to get involved in in 2012; being named to the Washington schools system and appreciates the open Gary Ransdell, President, Western their new surroundings. WKU focuses Post’s “Public Elite” high schools list in dialogue that was brought before the Kentucky University (WKU), welcomed on enhancing the student experience by 2009, 2010, 2011, and 2012; and being committee. She also commended Houston members and said raising the academic promoting a pleasant campus life, health named an Intel School of Distinction Barber and Fern Creek High School on performance of the student body, and wellness, leadership and volunteerism, Finalist in 2012 for excellence in science. their 38 percent increase in test scores. providing a unique learning environment diversity, student support services, and Representative Richards asked the Representative Reginald Meeks for students, and preparing students to campus safety and communication. committee for support to expand the stated the numbers that Dr. Rodosky compete for national and international President Ransdell said WKU is at Gatton Academy enrollment. President provides are always consistent and scholarship and research awards are keys the cutting edge of sustainability efforts Ransdell said $2.8 was appropriated in accurate and explained in a practical way to achieving the academic transformation among college campuses across the the base budget that funds the operating for everyone to understand. that was envisioned in 1997. He said that nation. WKU has not increased its budget costs of the program for 120 students who In response to representative The Center for Gifted Studies, The Gatton for utilities operations for five years. are admitted through a highly competitive Reginald Meeks question regarding the Academy, and The Honors College are A key difference in WKU today is the enrollment process. There is a plan to various strategies JCPS has used over three programs unique to WKU that are increased level of philanthropic support expand the program to 200 students, but the years, Dr. Rodosky said the use of transforming the academic reputation of among alumni, friends, faculty, staff, and this will require additional beds. He is data around benchmark and formative the college. corporate partners. Prior to 1997 only working with Kentucky Department of assessment have been strategies that President Ransdell said the WKU about $3 million was raised annually. Education (KDE) Commissioner Terry worked well for JCPS over the years. Center for Gifted Studies has provided Today annual giving is at $17.9 million, Holliday and Governor Steve Beshear to Representative Joni Jenkins thanked educational experiences beyond the and the University’s endowment increased obtain funding through KDE. the presenters for their presentation and traditional classroom for gifted and from $19.3 million in 1997 to $111.8 Responding to Representative stated that legislators should support more talented students, support for their million in 2012. As WKU’s enrollment Combs, President Ransdell said Northern innovative strategies to help students be families, and rigorous training and has increased, state funds per student have Kentucky University (NKU) is the other successful. professional development for educators decreased. He will work with the Council university that is losing funding per With no further business before the for more than 30 years. The Center has on Postsecondary Education (CPE) to student as it increases in size. committee, the meeting adjourned at 3:35 become one of the preeminent advocates address the issue in the 2014 Regular Gatton Academy Update p.m. for gifted education in the United States, Session of the General Assembly. Chairman Wilson thanked Julia and Center Director Julia Roberts is highly President Ransdell said The Division Roberts, Executive Director, Gatton Interim Joint Committee on regarded as a national and international of Extended Learning & Outreach Academy, for hosting the committee Education expert on gifted education. (DELO) was created in 2003 to provide members to lunch with the Gatton Minutes of the 5th Meeting President Ransdell said, in 2006, the customized learning opportunities to meet Academy students. of the 2013 Interim Kentucky General Assembly approved specific needs. DELO is the outreach arm Dr. Tim Gott, Director, said students November 4, 2013 funding to establish the Gatton Academy of the University, offering both credit from 107 of Kentucky’s 120 counties have Call to Order and Roll Call of Mathematics and Science in Kentucky and non-credit classes to students of all attended the Academy in its first five years, The fifth meeting of the Interim on the WKU campus. The Gatton ages. DELO also works with businesses and 267 students have graduated from Joint Committee on Education was held Academy is an independent residential and organizations to provide customized the Academy. The average ACT score of on Monday, November 4, 2013, at 1:00 high school for Kentucky’s exceptional training, plan special events, and develop incoming high school juniors selected for PM, in the Feix Room at the Augensteen high school juniors and seniors who have degree programs that meet specific needs. the Academy’s Class of 2014 was 30.02 Alumni Hall at Western Kentucky demonstrated interest in pursuing careers Distance learning is an exciting and compared to the statewide average of University. Senator Mike Wilson, Co- in Science, Technology, Engineering, and rapidly growing method of connecting 19.6. In 2012, graduating seniors of the Chair, called the meeting to order, and the Math (STEM). The first class of Gatton students to higher education. The benefits Gatton Academy outperformed their high secretary called the roll. students arrived at WKU in 2007. Gatton to students are numerous, including school peers for the fifth consecutive year Present were: students take classes with WKU Honors flexible locations and flexible schedules. on the ACT, posting an average score of Members: Senator Mike Wilson, Co- students and participate in research, public Distance Learning encompasses online 32 out of 36. Chair; Representative Derrick Graham, service, and study abroad programs. student support Independent Learning Dr. Gott said over 90 percent of the Co-Chair; Senators Joe Bowen, Denise President Ransdell said that, in 2007, classes, faculty support services, and the students complete an applied research

20 2013 Interim LEGISLATIVE RECORD project, although it is not a requirement. covered, and students pay the remainder. Green in a case study on its website. The priority on building strong relationships For the 2011 and 2012 classes, 75 percent The trip planned for Italy will be $3,750, chamber of commerce is working on a with students, preparing students for st of the students participated in travel which that leaves a $2,400 balance. If manual on how to replicate the program. the 21 century, helping students take experiences to various parts of the globe financially unable to pay, students apply She noted $618,000 has been invested in more responsibility with their learning, during their two years at the Gatton for scholarships. The Leader In Me program to date. and helping staff to continue growing as Academy. Students typically pay for two- Responding to a question from Responding to Representative professionals each year. thirds of the study abroad trip. Representative Stone regarding the DeCesare regarding long-term plans of Mr. Clayton said Warren County Dr. Roberts noted that 100 percent number of Gatton Academy students implementing the program in high schools, Schools focuses on what is best for of Gatton Academy students matriculate receiving free and reduced lunch, Dr. Gott Mr. Nolan Marx, Senior Client Partner, the students by ensuring learning for to a four-year college or university. She said about fifteen percent would qualify. FranklinCovey, said FranklinCovey is all students and providing multiple said 62 percent of graduates enter into a Responding to Representative Stone developing the content for high school opportunities for students. Warren County STEM field of study and over 10 students regarding the number of college credit teachers to incorporate in their instruction. focuses on the instructional capacity of its are in medical school at the University of hours earned per student, Dr. Roberts said Mr. Tinius said buy-in from the staff and teachers and the leadership capacity of the Kentucky or the University of Louisville. the minimum is 60 college credit hours, students is critical for the program to be leadership group. About 31 percent of graduates enroll into but many students typically get two-thirds successful, and if teenagers have been Mr. Clayton said Warren County postsecondary education at WKU. Gatton of a college degree while attending the exposed to the program at earlier ages, it is the most diverse school district in students account for enrollment in over 70 Gatton Academy. is easier for them to grasp the concepts. Kentucky serving over 14,000 children th universities across the United States. The Leader In Me Program One high school in Bowling Green from pre-school to 12 grade and Responding to Senator Wilson’s Joe Tinius, Superintendent, Bowling Independent has completed the vision providing services to children who speak question regarding admission to the Green Independent Schools, said The portion of the training. more than 40 languages from across the Gatton Academy, Dr. Roberts said the Leader In Me initiative is applying the Representative Wuchner said she is world. The school district serves nearly process is very similar to applying to a concepts of the book The 7 Habits of impressed with the program and would 1.5 million lunches each year, and has 182 college. Gatton Academy applicants are Effective People by Stephen R. Covey, like to see it implemented in Boone buses that travel 13,210 miles per day. high school sophomores who will have to students. Children learn best at early County. Warren County serves 20 percent completed Geometry, Algebra I, and ages and the program teaches children a Mr. Tinius gave an update on the of Kentucky’s refugee students and Algebra II by the end of their sophomore strong work ethic as early as five or six Bowling Green Independent school serves a 47.9 percent student population year. Students are selected based on: years of age. All children can choose to be district. The district is comprised of whom qualify for free and reduced SAT or ACT scores; academic grades a leader or a follower, and this program approximately 4,000 students. He said 56 lunch. The district provides state-of-the- from ninth and tenth grades; interest teaches children to be responsible and percent of the students qualify for free and art technology available to all students, in advanced careers in STEM; student lead themselves. The skills children learn reduced lunch, 40 percent are minorities, including ActiveBoard technology in responses to application essay questions; in the Leader In Me Program will benefit and 14 percent speak English as a Second every classroom. interviews by Academy staff members; them for the rest of their lives. Language. Among these students, 26 Warren County is home to the and recommendations from teachers Rob Clayton, Superintendent, Warren different languages are spoken. Schools nation’s first Net Zero School, Richardson and other individuals who can attest to County Schools, said his school district with the highest percentages of students in Elementary, which is capable of operating a student’s need and preparedness for is in the third year of implementation of poverty also have the highest percentages virtually without cost producing more the program. The application process The Leader In Me program. He would of children speaking English as a Second clean energy with solar panels than it is competitive, with about 20 percent of like to see the program replicated in all Language. The school district places a consumes in purchased energy. The applicants being accepted. schools. The program contains values huge emphasis on the arts, as well as district has managed to offset nearly $6 Responding to a question from that the community wants to see taught academic success. million in energy costs through its energy Senator Bowen regarding how many to students. Bowling Green business and Mr. Tinius said The School Report conservation policy since 2003, which is students complete the program, Dr. Roberts industry have supported the program Card and the District Report Card indicate equal to saving more than 123 teaching said most finish, but not all. Dr. Gott said by donating $1.3 million to the school that the schools and the district performed positions. the Gatton Academy has experienced a 20 districts to help cover costs. very well on achievement growth scores. Mr. Clayton said the General percent student dropout rate over the last Tonya Matthews, Vice President The growth score is determined by the Assembly should be creative in providing several years. The program loses three to Partnership Services, Bowling Green number of students who show typical or the funding that school districts need. Cuts four students each semester largely due to Area Chamber of Commerce, shared a higher rates of growth in relation to peers. to elementary education hurt the students, academic stress and lack of work ethic. story with the committee about how The This means that interventions are having and districts are being asked to do more The school does not lose students for Leader In Me program changed the life a positive impact on student achievement. with less. financial reasons. The General Assembly of a student. Over 11,000 businesses have The district will continue to assess students Representative Richards commended makes it possible to provide room, board, indicated they need people who will work quarterly with assessments aligned to both school districts and the Gatton and tuition for the students. in a team, show up on time, and have the standards and to provide immediate Academy. Responding to Senator Bowen necessary skills to be productive workers. small group intense intervention for With no further business before the regarding transportation issues, Dr. Gott Ms. Matthews said by 2017, Bowling those students who are not performing at committee, the meeting adjourned at 3:15 said many students who live in the same Green, Kentucky, may be the first city in benchmark. PM CT. area of the state carpool for home visits. the nation to have the K-12 Leader In Me Bowling Green Junior High and Donors help families who cannot afford program in place. She said $1.6 million Bowling Green High School students Interim Joint Committee on textbooks. Money has never been an issue will build “light house” teams within performed above the state average on Education that kept a student from attending the each school to sustain the program. The College and Career Readiness on the Subcommittee on Elementary and program if selected. city is $370,000 short of meeting that Education Performance Analysis System Secondary Education Responding to questions from amount. She asked legislators for help in (EPAS) assessment system. More students Minutes of the 2nd Meeting Representative Graham regarding why spreading the story of what is happening are taking Advanced Placement classes. of the 2013 Interim some counties have not contributed in Bowling Green. She has received calls This means that efforts to engage students October 14, 2013 students to the Gatton Academy and from Pennsylvania and New York wanting and to provide students with more rigorous Call to Order and Roll Call covering the cost of students traveling to know about the program. learning tasks are significantly impacting The second meeting of the abroad, Dr. Gott said a few counties, Responding to a question from student achievement. Subcommittee on Elementary and such as Casey, are not strong enough Senator Wilson, Mr. Tinius said there Mr. Tinius said new buildings Secondary Education of the Interim academically to have a student accepted are fewer disciplinary actions and constructed in the district are energy Joint Committee on Education was held into the program. He also said that staff referrals of discipline actions since the efficient. The elementary school on Monday, October 14, 2013, at 10:00 traveled to Morgan County, Floyd County, implementation of The Leader In Me constructed in 2009 was the first to have AM, in Room 129 of the Capitol Annex. and Wolfe County high schools to speak program. Mr. Clayton agreed. solar tubes, which brings in direct sunlight Representative Wilson Stone, Co-Chair, with students to raise awareness about the Responding to Senator Wilson, and reduces the amount of electricity used called the meeting to order, and the program in those areas. Ms. Matthews said the program can be in the building. secretary called the roll. Dr. Gott said $1,350 of the $2,100 in easily replicated in other communities. Mr. Tinius said that the Bowling Present were: expenses for the Costa Rica trip abroad are FranklinCovey will feature Bowling Green Independent school district places Members: Representative Wilson

THE KENTUCKY GENERAL ASSEMBLY 21 Stone, Co-Chair; Senators David P. Givens Ms. Hendrix said the college by ACT, but defined by postsecondary & Workforce Statistics: An Education and Denise Harper Angel; Representatives readiness standards are descriptions of the success. He noted postsecondary Data Resource for Legislators John Carney, Hubert Collins, Jeffery essential skills and knowledge students education data guided ACT to change the Dr. Kate Shirley Akers, Deputy Donohue, James Kay, and Jill York. need to become ready for college and benchmarks to ensure student success of Executive Director, Kentucky Center for Guests: Ms. Sue Cain, Council career. They are derived and validated by obtaining a passing grade or higher in a Education & Workforce Statistics, said on Postsecondary Education; Clyde ACT’s exclusive “National Curriculum credit-bearing college course. the Center is attached to the Education Caudill, Jefferson County Public Schools Survey.” These standards: 1) help interpret Mr. Morris said ACT Aspire provides and Workforce Development Cabinet and Kentucky Association of School what the scores earned on ACT Explore®, a forecast trajectory of future preparedness and funded through federal grants and Administrators; Marty White, Kentucky ACT Plan®, and the ACT® mean; 2) to guide instruction or corrective a recurring state budget appropriation. Association of School Superintendents; identify the knowledge and skills students interventions at the classroom level. It was created in December 2012 by Wayne Young, Kentucky Association of are likely to demonstrate at various score ACT Aspire and the college readiness Executive Order and ratified into law in School Administrators; and Erik Jarboe, levels on each academic test; 3) are a assessment, the ACT®, are aligned by a the 2013 legislative session. LEARNet. direct link between what students have vertical readiness scale, which provides Dr. Akers said the Center builds upon LRC Staff: Jo Carole Ellis, Janet learned and what they are ready to learn a uniquely informed advanced view of the work of the P-20 Data Collaborative Stevens, and Lisa Moore. next; and 4) are aligned with the Common student preparedness from third grade and its executive director is Dr. Charles Approval of the September 9, Core State Standards. through college application. McGrew. The Center is governed by a board 2013, minutes Ms. Hendrix discussed recent and Responding to Representative that includes the Kentucky Department of With no quorum present, the minutes upcoming changes in the ACT program. Carney’s question regarding the cost of Education (KDE) Commissioner Terry were not approved. Beginning with 2013 graduates, ACT the assessments, Mr. Morris said it is very Holliday, the Council on Postsecondary Measuring College and Career updated college readiness benchmarks and difficult to negotiate prices on a national Education (CPE) President Robert King, Readiness: ACT Benchmark Changes, revised its aggregate reporting. College level. He said an advantage of ACT the Educational Professional Standards Impact on Kentucky Student Data, and readiness standards will be reformatted programs and services is that the data is Board (EPSB) Executive Director Robert Upcoming Program Changes and new ACT Aspire assessments will be transferable across states. He noted there Brown, the Executive Director of the Mary Hendrix, Senior Account launched in the spring of 2014. An online would a set cost for all states for ACT Kentucky Higher Education Assistance Manager, Client Relations, ACT, Inc., ACT assessment will be added in the Aspire unless a state requests customized Authority (KHEAA) Carl Rollins, and said ACT is a private, not-for-profit spring of 2015. Detailed graphs and fast reporting. The price for ACT Aspire is Education and Workforce Development organization established to assist people facts for the Kentucky ACT graduating $11.70 for computer-based testing and a Cabinet Secretary Thomas Zawacki, achieve education and workplace success. class of 2013 is included in the meeting $7.00 paper and pencil surcharge. These Chairman of the Board. ACT serves people in elementary folder located in the Legislative Research prices are for commitments through Dr. Akers said the Center has and secondary schools, colleges, Commission (LRC) library. December 31, 2013, and will double as of the authority to collect education and professional associations, businesses, and Responding to Representative January 1, 2014. workforce data from KDE, CPE, EPSB, government agencies, both nationally and Carney’s question, Ms. Hendrix said Responding to a question from and the Education and Workforce internationally. she did not foresee an increase in the Representative York regarding the criteria Development Cabinet. This data is entered Responding to Representative Stone number of students receiving ACT- for a student to receive an extended-time into the Kentucky Longitudinal Data regarding what other states use in lieu of approved extended-time accommodations accommodation while taking the ACT, System (KLDS) in order to generate timely ACT, Ms. Hendrix said states not using the because the way a student qualifies Ms. Hendrix said the student must have a reports about student performance through ACT are probably using state- developed for an accommodation is unchanged. diagnosed disability that typically includes employment, and help guide decision programs. She does not know of any other Representative Carney said an increased a physician’s statement. It is customary makers in improving the Kentucky’s states that have adopted a competitor’s number of students are qualifying for the student to have an Individualized education systems and training programs test as a statewide assessment. for programs that allow them the use Education Plan (IEP) that has qualified per KRS 151B.132. Ms. Hendrix said ACT’s College accommodations and this should be the student for extended-time on other Dr. Akers said the system will link and Career Readiness System is a suite of monitored in the future. assessments as well. She emphasized high school and college data together to integrated, curriculum-based assessments Jim Morris, Regional Sales Director- that ACT wants to give students the time understand how high school experiences designed to measure student progress Midwest, ACT Aspire, LLC, said seven needed to show their abilities, but in an affect college going and success. It will over time, and aligned with standards percent of Kentucky students receive the appropriate manner. allow Kentucky to provide better data and benchmarks. The system encourages extended-time accommodation. He said Responding to Representative York about college preparation to high schools student academic and education planning the percentage of students receiving the regarding benchmarks for success for as well as to colleges in order to improve through early identification of education accommodation is unlikely to change students completing their first college alignment. and career goals. The ACT®, ACT because ACT has a strict process in place degree, Ms. Hendrix said she will provide Dr. Akers said the Early Childhood Plan®, and ACT Explore® are the major for a student to qualify for extended-time. the committee members numerous Profile report will be provided every spring components of the system. Mr. Morris said the result of ACT’s research data indicating the benchmarks and provides kindergarten screening data Ms. Hendrix said college readiness is discussions with states and assessment recommended for student success and for participating counties and the state. the acquisition of the knowledge and skills system expertise is ACT Aspire, which retention in postsecondary education. It also includes aggregate data such as a student needs to enroll in and succeed will replace the PLAN and EXPLORE Responding to Representative participation in publicly funded preschool, in credit-bearing, first-year courses at tests. ACT Aspire is a new, computer- Stone’s question regarding linking head start, and childcare. She noted a postsecondary institution without the based longitudinal assessment system ACT scores with student postsecondary the demographic data links preschools need for remediation. This ACT empirical that connects student growth and progress education success, Ms. Hendrix said ACT and early childhood information to definition of college and career readiness from elementary grades through high tracks data annually through a national kindergarten and elementary school was adopted by the Common Core State school in the context of college and career clearinghouse. ACT also provides training performance to ensure that all of Standards Initiative and continues to readiness. It continues ACT’s mission on ACT scores and student performance, Kentucky’s children enter schools with be cited in discussions surrounding the of helping students stay on target to but she does not know which schools use the skills they need to be successful. Common Core. reach their full potential throughout their the scores to identify students that may Dr. Akers discussed graphs the Ms. Hendrix said college readiness educational journeys. need remediation. Center has produced that link ACT scores benchmarks are derived scores on each Mr. Morris said ACT Aspire will go Responding to Representative Kay’s with free and reduced lunch eligibility and ACT subject area test that indicate the beyond the Common Core State Standards question regarding ACT score trends for ACT and Grade Point Average (GPA) for level of achievement required for students in English, language arts, and math, and minority, low-income, and students whose all high school graduates. Representative to have a 50 percent chance of obtaining measure readiness in other areas such as parents have lower levels of educational Stone noted the correlation between the a B or higher and a 75 percent chance of science and career. He noted enhanced attainment, Ms. Hendrix said ACT breaks GPAs and the ACT scores on the graph obtaining a C or higher in corresponding scoring and on-line reporting capabilities out the reports by race and ethnicity, in the meeting handout. He noted that credit-bearing, first-year college courses. will allow for faster turnaround time and but does not break them out by income. legislation may be needed to address She said ACT continually updates its reporting to support classroom instruction. However, ACT collects the self-reported counties that have a 14.7 percent college research through students’ actual college Mr. Morris said the college readiness income and uses the data and analysis in going rate, compared to the statewide performances to confirm or adjust the benchmarks on the ACT®, ACT Plan®, its research. average of 60.2 percent as shown in benchmarks. and ACT Explore®, were not determined Kentucky Center for Education another graph. Copies of the graphs are

22 2013 Interim LEGISLATIVE RECORD located in the meeting folder in the LRC whether Kentucky should consider the there is satellite or extended campuses In response to Representative C.B. library. establishment of a new public university throughout the eastern part of the state and Embry’s questions regarding needs- Representative Carney noted that in eastern Kentucky. through most of the rural regions. based scholarships and changing the GPA inflation is occurring in Kentucky Pam Miller, Chair, Kentucky Council Ms. Nimocks said the Rural Access culture of low-income families to value and the issue should be addressed. He on Postsecondary Education and also Work Group’s fifth area of concern was education, Mr. King said it would not be suggested examining possible changes chair of the Rural Access Work Group, adult-friendly degree programs. The work easy an challenge. He said building local in the Kentucky Educational Excellence said life can be tough in the rural areas of group’s recommendations are to create partnerships with local elected officials, Scholarship (KEES) program to address Kentucky. The educational achievement a new online delivery system for adults, business leaders, churches, and other inflation of student GPAs. levels need to be raised in order for those provide online advising and support, community organizations would help Dr. Akers said teacher preparation areas to have and create jobs. A lot of and study pricing of online courses. The focus the culture on the importance of programs can benefit from the data by the rural areas lack access to universities sixth and final area of concern is high- education. understanding how well their graduates and the internet, which can make it hard speed internet access. The work group’s Senator Alice Forgy Kerr stated are impacting student learning in the for people to reach certain levels of recommendations are to promote the that peers have more influence on young classroom and adapting their programs educational achievement to help them development of E-Learning Centers, and children in rural areas and could help accordingly. She also said linking succeed. Ms. Miller said the Rural Access expand affordable broadband access. change the culture more so than college education and employment records in the Work Group consisted of 30 participants Mr. King said the Kentucky General coaches. future will allow Kentucky to know if from all over the state. The work group Assembly has directed CPE to begin the Representative Rita Smart stated she its graduates are entering the workforce met for six months and heard from a process of developing a program targeted is concerned about the focus on jobs in and earning a reasonable wage, how variety of groups. When considering at working adults meeting all of the rural counties and keeping people at those well colleges are meeting the needs of the direction of future action, the Rural criteria of the recommendations for the jobs. Kentucky’s industries, and what the return Access Work Group emphasized building Rural Access Groups fifth area of concern. Mr. King said there needs to be a on investment is for Kentucky’s education on what already exists. The group formed In response to Representative Jim change in the way young people think and training programs. over 30 draft recommendations that were Glenn’s question regarding broadband about their future. Give young people the Representative Collins noted that eventually narrowed to 19. in public libraries across the state, Ms. tools and motivation to understand that the number of students receiving free and Lee Nimocks, Chief of Staff, Nimocks said most public libraries have they do not have to work for someone else reduced lunch will increase significantly as Kentucky Council on Postsecondary access to broadband but the issue is if and they can create their own business and high unemployment and industry closings Education, said low education levels in the facility can stay open after hours for hire people to work for them. Mr. King continue to affect certain counties. He regions and communities affects poverty people to use computers. stated that CPE held a Trustee Conference said vocational programs need to be levels, health, employment, life expectancy In response to Senator Alice Forgy that discussed good ideas about implemented in these areas of the state. and out-migration. Ms. Nimocks said Kerr’s question regarding legislation entrepreneurialship and how campuses With no further business before that after many conversations the Rural that deals with the Rural Access Work can incorporate entrepreneurialship into the committee, the meeting adjourned at Access Work Group focused on six policy Groups findings, Ms. Miller said some of any major. 11:25 AM. areas; college affordability, readiness the recommendations require legislation Representative Jody Richards said and outreach, workforce alignment, but many of the recommendations will roads and transportation can be a factor Interim Joint Committee on partnerships between Kentucky’s two be carried out by the CPE. Mr. King said in education attainment levels and jobs. Education and four year institutions, addressing the creating the scholarship sources through Where you find good roads, you usually needs of adult learners, and high speed Subcommittee on Postsecondary the coal severance money would provide find good jobs and schools. internet access. Education significant help for the rural areas. Senator David Givens said a lot of Ms. Nimocks said college Minutes of the 2nd Meeting Senator Alice Forgy Kerr noted from rural areas are sending students to college, affordability was the top concern for of the 2013 Interim a chart in the presentation that Logan but those graduates are not going back October 14, 2013 the Work Group. The recommendations County is underachieving in regards to home and that this issue can create some of to address college affordability were Call to Order and Roll Call the citizens from the age 25 to 44 having the problems we are seeing with the rural more financial aid, rural scholarships for The second meeting of the an associate degree. Representative Jody areas not having citizens with associate coal counties, employer-funded tuition Subcommittee on Postsecondary Richards added he was surprised by those degrees or higher. He said broadband reimbursement, and state tax incentives Education of the Interim Joint Committee statistics. access and utilization of broadband is and credits. The second area of concern is on Education was held on Monday, Senator Alice Forgy Kerr said vital in rural Kentucky. He stated there is college readiness and outreach. The work October 14, 2013, at 10:00 AM, in Room Midway College has an application for broadband access in certain areas that is group’s recommendations for this area 131 of the Capitol Annex. Senator Alice smart phones that allow students to take not being utilized. The private sector can include more AP classes through distance Forgy Kerr, Co-Chair, called the meeting online courses through internet access and do great things with broadband, especially education, dual credit arrangements to order, and the secretary called the roll. Midway College’s phone application. when there is profit involved. Senator between high school vocational education Present were: In response to Representative Jody Givens also stated that teachers can have and Kentucky Community and Technical Members: Senator Alice Forgy Richards’ questions regarding persistent the most influence on children and can College System (KCTCS), public Kerr, Co-Chair; Senator Katie Stine; poverty in the Appalachia region, Ms. help change the culture of education in the awareness campaign, and a College Representatives Leslie Combs, C.B. Nimocks said when it comes to college rural areas. Coaches Program. The Kentucky College Embry Jr., Jim Glenn, Richard Heath, affordability, there are challenges in Representative Leslie Combs said Coaches Program allows recent college Jody Richards, Rita Smart, and Addia Kentucky due to the economic standing of she enjoyed being on the Rural Access graduates to go into rural high schools Wuchner. the citizens in rural Kentucky. Mr. King Work Group and thought a lot good to work with students and their families. Legislative Guest: Senator David said CPE is focusing some of its efforts information was reviewed. She said the The third area of concern is education and Givens. on the notion of entrepreneurialship and education process is not teaching children workforce alignment. The work group’s Guests: Erin Klarer, Kentucky encouraging people to create their own how to think and how to create their own recommendations for this area are regional Higher Education Assistance Authority jobs and employ other people. destinies and these should be emphasized attainment targets, incentives for “work and Kentucky Higher Education Student Representative Jody Richards in schools. A lot of children in her area are ready” communities, and entrepreneurial Loan Corporation and Erik Jarboe, stated that area six of the Rural Access going to college and graduating but not certificates and small business support. LearNet. Work Group which is high speed internet coming back nor receiving a degree. This The fourth area of concern is KCTCS and LRC Staff: Ben Boggs, Kenneth access, should be moved to area one. He is happening all across the state, especially regional university campus partnerships. Warlick, and Daniel Clark. stated that internet access should be a top rural areas. She wants to find a financial The work group recommends more joint The Findings and priority. way to educate closer to home those who enrollment, advising, and more complete Recommendations of the Rural Access Aaron Thompson, Vice are leaving to pursue a college education. programs, expanded offerings at regional Work Group President, Academic Affairs, Council Senator Katie Stine said she supports campuses, and local coaching and support Robert King, President, Kentucky on Postsecondary Education, said using the coal severance tax money for online students. Council on Postsecondary Education according to the statistics provided in for scholarships but worries about how In response to Representative Jim (CPE), said the Rural Access Work the presentation, the urban areas of the much longer the coal industry’s source Glenn’s question regarding location of Group was created during the General Appalachia region is where most of the of revenue may be relied upon for those satellite campuses, Ms. Nimocks said Assembly’s last budget cycle to see success in college readiness occurs. funds.

THE KENTUCKY GENERAL ASSEMBLY 23 In response to Senator Katie Stine’s Network; Greg Guess, Director, Division account for 13.6 percent of the state’s homes. Most are found in rural areas question regarding scholarships for health of Efficiency and Conservation, Energy overall residential stock. The homes tend where families are near or below the care provider education, Ms. Nimocks and Environment Cabinet and Lisa to be highly energy inefficient resulting poverty level. Some of the households fall said there is a very successful Osteopathic Haislip, Program Manager, Residential in high energy costs, nearly twice as through the cracks of federal programs Scholarship Program that uses the Energy Efficiency, Tennessee Valley much per square foot as site-built homes. and are trapped in a cycle of very high University of Pikeville as a strong partner Authority. Manufactured homes built prior to 1976 energy bills. She said that manufactured for developing doctors in Kentucky. LRC Staff: D. Todd Littlefield, Stefan are so energy inefficient that most cannot housing accounted for 12.9 percent of Carl Rollins, CEO, Kentucky Higher Kasacavage, and Susan Spoonamore, be economically retrofitted with energy Kentucky’s housing with an estimated Education Student Loan Corporation Committee Assistant. saving upgrades. 85,000 built before 1976 when the HUD (KHESLC) said KHESLC has the Sorghum as an Energy Crop Mr. Scott Drake, Manager of code was enacted. Kentucky families can Osteopathic Medicine Scholarship that is Michael Montross, Ph.D. P.E., Corporate Technical Services, East pay between $200 and $400 for summer funded by coal severance money and the Food and Biosystems and Agricultural Kentucky Power Cooperative (EKPC) bills and $400 to $600 for winter bills. She amount of the scholarship is the difference Engineering, University of Kentucky stated that there are 16 owner-member also stated it was not uncommon to see between the cost of the University of explained that growing sweet sorghum cooperatives that provide electric service homeowners spending half their monthly Pikeville and the average cost of the requires less water and less nitrogen to nearly 400,000 residential homes in income on utilities. University of Kentucky (UK) and the compared to corn. Sweet sorghum Kentucky. Of those homes, approximately In closing, Ms. Epperson said that the University of Louisville. Also, there is produces sugar that is directly convertible 75,000 are manufactured homes. He Kentucky Housing Corporation (KHC) a partnership between the University of to ethanol. Mr. Montross said that sweet explained that the cooperatives employ administers a mobile home replacement Morehead and UK’s college of medicine sorghum has several positive attributes as expert energy advisors to provide in-home program. Only 7 other states have such to train doctors in the eastern part of the a feedstock for ethanol production, but the efficiency audits free to members. He also a program. KHC created a pilot program state. main hurdles are transportation, limited noted that 81 percent of the manufactured for a rebate to incentivize and subsidize In response to Senator Katie Stine’s storage and a short processing season. homes in the cooperatives have electric twenty new ENERGY STAR certified question regarding more physicians in In response to questions from resistance heating compared to more manufactured homes. She said that urban areas than rural areas, Mr. King said Senator Harris, Mr. Townsend said that energy-efficient heat pumps. replacing pre-HUD code mobile homes the University of Pikeville’s Osteopathic there are approximately 3,000 acres of Mr. Drake said that there are rebate with ENERGY STAR homes in Kentucky College recruits from Appalachia. sweet sorghum being grown in Kentucky. programs, approved by the Public Service would save households an average of Pikeville encourages the recruits and Sweet sorghum primarily produces sugar Commission, such as heat pump retrofits. $1,800 per year in energy costs, reduce graduates to stay and serve in that region. for syrup. The stalks are being used by The cooperative pays a rebate from $500 greenhouse gas emissions, and improve Another thing to consider in rural areas Mohawk manufacturing to make carpet. to $1,000 based on the energy efficiency of home affordability, easing the financial is finding financial incentives to help Mr. Townsend, Townsend Sorghum the new heat pump. He noted that the rebate burden for families struggling to meet students minimize their debt. Mill, stated that sweet sorghum is not for Touchstone Energy Manufactured their needs. Representative Addia Wuchner said native to the United States. It was brought Homes, available since 2005, ended in In response to Chairman Henderson’s the further the children are disconnected in by the U.S. government for use as a 2013 due to low participation rates. The questions, Mr. Drake said that a magazine from their home communities by going sweetener. EKPC cooperatives are looking at all is sent out to members of the cooperative to college, the more unlikely it is for the In response to Representative possible options to help with high energy with information about energy audits. He children to return home. Coursey, Mr. Townsend said that Coca- costs. The EKPC is exploring the idea of said that there have been 2,000 in-home Representative Leslie Combs said Cola uses sugar as a component in making applying insulating foam underneath the audits and approximately 1,000 phone the premise behind starting to Osteopathic its water bottle. It may not be using manufactured homes with a follow-up due audits. School in the rural area and at Pikeville sorghum sugar, but sugar is sugar. in a year. In response to Senator Webb, Ms. University was to train the students there In response to Representative Ms. Lisa Haislip, Program Manager, Epperson said that federal funding is and keep them there in the community. Riner, Mr. Townsend stated that black Residential Energy Efficiency, Tennessee limited for building ENERGY STAR With no further business before strap molasses is different in that it is a Valley Authority (TVA), stated that TVA manufactured homes. A state policy the committee, the meeting adjourned at byproduct left over after granulated sugar has a Heat Pump Program for qualified focusing on energy upgrades would be 11:47 a.m. is made from sugar cane. manufactured homes no more than 10 years helpful. Mr. Greg Guess, Director, Division old and that are located in the TVA service In response to questions from Special Subcommittee on of Efficiency and Conservation, Energy area. A $500 incentive is paid directly to Chairman Henderson and Senator Webb, the participating heating ventilation and Energy and Environment Cabinet, stated that the Ms. Epperson said that LIHEAP is not a air condition (HVAC) wholesalers who solution. It does not make sense to use its Minutes of the 4th Meeting Department for Energy Development and Independence (DEDI) entered into a pass that on to the customer. weatherization program to weatherize pre- of the 2013 Interim She also explained the ENERGY October 18, 2013 federally funded cooperative agreement 1976 manufactured homes. STAR pilot program for manufactured Senator Webb said she was Call to Order and Roll Call with the U.S. Department of Energy homes. The program encourages concerned about spending dollars year The 4th meeting of the Special (DOE) to develop policy and program the production of ENERGY STAR after year on homes that cannot be made Subcommittee on Energy was held on recommendations to increase energy manufactured homes for TVA residents. energy efficient. Friday, October 18, 2013, at 10:00 AM, efficiency in Kentucky’s electricity sector The program is administered by Systems In response to Representative in Room 131 of the Capitol Annex. by one percent annually. The initiative Building Research Alliance (SBRA) and Yonts, Ms. Epperson said Next Step, Representative Richard Henderson, is a part of the Governor’s goal for incentives are paid to the manufactured which derives its money from nonprofit Chair, called the meeting to order, and the energy efficiency by 2025. The project is home producers. She said that $1,500 is housing organizations, will help between secretary called the roll. entitled Stimulating Energy Efficiency in paid to SBRA and $1,450 is passed onto 80 and 100 low-income families find Present were: Kentucky (SEE KY). the manufactured homes producer. quality affordable homes, transform Members: Representative Richard Mr. Guess said the recommendations Ms. Haislip stated that the two manufactured homes to energy efficient or Henderson, Co-Chair; Senators Ernie were used to develop Kentucky’s Action programs have seen a growth of 87 percent help with utility bills. Harris, Bob Leeper, Dorsey Ridley, Plan for energy efficiency. The Plan from last year. The meeting was adjourned at 11:45 Brandon Smith, and Robin L. Webb; includes six actions that pertain to all Ms. Stacy Epperson, President/CEO, p.m. Representatives Dwight D. Butler, Will sectors, another four that apply specifically Next Step Network, explained that Next Coursey, Jim Gooch Jr., Keith Hall, Sannie to the federal government, and another 16 Step is a national network of nonprofit Overly, Tom Riner, John Short, Kevin that benefit the residential, commercial, or Interim Joint Committee on housing organizations helping low- Sinnette, Fitz Steele, and Brent Yonts. industrial sector. Health and Welfare income families find quality affordable Guests: Michael Montross Ph.D. Mr. Guess said that one of the Minutes of the Fifth Meeting homes. The mission is to put sustainable P.E., Food and Bioprocess Engineering, recurring residential needs identified of the 2013 Interim homeownership within reach for everyone, University of Kentucky; Danny Townsend, by industry advocates, low-income October 16, 2013 while transforming the manufactured Townsend Sorghum Mill; Scott Drake, housing agencies, and utilities is the need Call to Order and Roll Call house industry. She said there are more Manager of Corporate Technical Services, to address energy costs in inefficient The fifth meeting of the Interim Joint than 2 million families, nationwide, East Kentucky Power Cooperative; Stacy manufactured housing units, particularly Committee on Health and Welfare was living in old, energy inefficient mobile Epperson, President/CEO, Next Step in eastern Kentucky. Manufactured homes

24 2013 Interim LEGISLATIVE RECORD held on Wednesday, October 16, 2013, Consideration of Referred Family Services Plans used in First Commissioner, Department for Public at 1:00 p.m., in Room 129 of the Capitol Administrative Regulations Steps, and assistive technology; 902 Health, Cabinet for Health and Family Annex. Representative Tom Burch, Co- The following administrative KAR 30:150 – establishes the provider Services, stated that there are 507 KHIE Chair, called the meeting to order at 1:05 regulations were available for qualifications for participation in First live connections in hospitals, physician p.m., and the secretary called the roll. consideration: 201 KAR 9:016 – Steps, Kentucky’s Early Intervention offices, and laboratories. KHIE provides Present were: establishes the requirements governing the Program; 902 KAR 30:160 – establishes a common, secure electronic information Members: Senator Julie Denton, Co- use of amphetamine and amphetamine-like the provisions of covered services under infrastructure that meets national standards Chair; Representative Tom Burch, Co- anorectic controlled substances; 201 KAR First Steps, Kentucky’s Early Intervention to ensure interoperability across various Chair; Senators Joe Bowen, Tom Buford, 17:012 – establishes criteria for licensure Program; 902 KAR 30:180 – establishes health systems. KHIE affords healthcare Julian M. Carroll, Perry B. Clark, David P. for speech-language pathologists; 201 the procedural safeguards for facilities providers the functionality to support Givens, Denise Harper Angel, Alice Forgy KAR 17:030 – establishes the required participating in First Steps, Kentucky’s preventive health and disease management Kerr, and Katie Stine; Representatives fees and the requirements for inactive Early Intervention Program; 902 KAR through alters, messaging, and other tools. , Robert Benvenuti status for a speech-language pathologist, 30:200 – establishes the provisions The Veterans Administration was one of III, Bob M. DeWeese, Joni L. Jenkins, speech-language pathology assistant, or relating to early intervention services for the first to use electronic health records. Mary Lou Marzian, Tim Moore, Darryl audiologist; 201 KAR 17:034 – establishes which payment shall be made on behalf Dr. John Langefeld, Chief Medical T. Owens, Ruth Ann Palumbo, David criteria for licensure for speech-language of eligible recipients; 921 KAR 2:040 Officer, Department for Medicaid Watkins, Russell Webber, Susan Westrom, pathology assistants; 201 KAR 17:036 – establishes the procedures used to Services, Cabinet for Health and Family and Addia Wuchner. – establishes requirements for licensure determine initial and continuing eligibility Services, stated that health information Guests: Polly Mullins-Bentley, RN, for an audiologist; 902 KAR 18:011 – for assistance under the Kentucky technology can improve a patient’s RHIT, State Health I.T. Coordinator, establishes definitions for the definitions Transitional Assistance Program experience of care, increase the overall Acting Executive Director, Governor’s for the Kentucky Special Supplemental (K-TAP) and the State Supplementation health of populations, address behavioral Office of Electronic Health Information, Nutrition Program for Women, Infants, Program (SSP); 921 KAR 2:046 – risk factors, focus on preventive care, Cabinet for Health and Family Services; and Children (WIC) found in 902 KAR establishes the conditions under which and lower the total cost of care while Dr. John Langefeld, Chief Medical Officer, Chapter 18; 902 KAR 18:021 – establishes an application is denied or assistance is improving quality resulting in reduced Department for Medicaid Services, the application and participation process decreased or discontinued and advance monthly expenditures for Medicare, Cabinet for Health and Family Services; for participants of the Kentucky Special notice requirements; 921 KAR 2:050 – Medicaid, and CHIP beneficiaries. Dr. Stephanie Mayfield, Commissioner, Supplemental Nutrition Program for establishes the time and manner of State Dr. Allen Brenzel, Clinical Director, Department for Public Health, Cabinet Women, Infants, and Children (WIC); Supplementation Program (SSP) payments Deputy Commissioner, Department for for Health and Family Services; Dr. 902 KAR 18:031 – establishes the and Mental Illness or Mental Retardation Behavioral Health, Developmental and Allen Brenzel, Clinical Director, sanction schedule for participant abuse (MIMR) Supplement Program payments; Intellectual Disabilities, Cabinet for Deputy Commissioner, Department of the Kentucky Special Supplemental and 922 KAR 1:450 – establishes a Health and Family Services, stated that for Behavioral Health, Developmental Nutrition Program for Women, Infants, procedure for administrative hearings and people with mental illness die earlier than and Intellectual Disabilities, Cabinet and Children (WIC); 902 KAR 18:040 criteria pertaining to the release of foster the general population and have more co- for Health and Family Services; – establishes the fair hearing procedures or adoption status information. A motion occurring health conditions. Sixty-eight Karen Chrisman, staff attorney for the for participants for the Kentucky Special to accept the referred administrative percent of adults with a mental illness have Governor’s Office of Health Information Supplemental Nutrition Program for regulations was made by Representative one or more chronic physical conditions. Exchange; Elizabeth Whitehouse, Deputy Women, Infants, and Children (WIC); Owens, seconded by Representative Approximately one in five adults Executive Director, Governor’s Office of 902 KAR 18:050 – establishes the vendor Marzian, and accepted by voice vote. with mental illness has a co-occurring Early Childhood; Brigitte Blom Ramsey, authorization criteria for the Kentucky Update on the Kentucky Health substance use disorder. The current system Kentucky Early Childhood Advisory Special Supplemental Nutrition Program Information Exchange leads to lack of coordination of physical Council and United Way of Greater for Women, Infants, and Children (WIC); Polly Mullins-Bentley, RN, RHIT, and behavioral health care. Behavioral /Northern Kentucky; Larry 902 KAR 18:061 – establishes the vendor State Health I.T. Coordinator, Acting health providers were left out of federal Coffee, DDS, Founder and CEO, Dental violations and sanctions for the Kentucky Executive Director, Governor’s Office of incentives to build electronic health Lifeline Network; Stewart Perry, State Special Supplemental Nutrition Program Electronic Health Information, Cabinet records. Confidentiality requirements Advocacy Volunteer Chair, American for Women, Infants, and Children (WIC); for Health and Family Services, stated represent challenges especially around Diabetes Association; Pam Hagan, APRN/ 902 KAR 18:071 – establishes procedures that in 2005, Senate Bill 2 created a secure substance abuse treatment. The solution Practice & Education Consultant, Paula for Kentucky Special Supplemental interoperable statewide electronic health lies in integrated care, coordination of Schenk, Executive Director, and Nathan Nutrition Program for Women, network, established the Kentucky eHealth mental health, substance abuse, and Goldman, General Counsel, Kentucky Infants, and Children (WIC) vendor Network Board (KeHN), and appointed primary care services. Integrated care Board of Nursing; Tamara Sandberg, disqualification including the participant the Health Information Exchange produces the best outcomes and is the Executive Director, Kentucky Association access determination and civil money committee. In 2007, the cabinet received most effective approach to caring for of Food Banks; Paula Goff, Julie Brooks, penalty; 902 KAR 18:081 – establishes a $4.9 million Medicaid Transformation people with complex healthcare needs. and Fran Hawkins, Department for Public the local agency’s and vendor’s rights Grant that provided funds to build the Patient-centered medical homes require Health, Cabinet for Health and Family to a hearing in regards to the Kentucky technical infrastructure for the KHIE. In data systems integration. Services; Gary Miles, Feeding America, Special Supplemental Nutrition Program 2009, the Cabinet for Health and Family In response to questions by Kentucky Heartland; Marty White, for Women, Infants, and Children (WIC); Services received $9.75 million in ARRA/ Representative Moore, Dr. Langefeld Capital Link Consultants; Bob Babbage 902 KAR 18:090 – establishes the high HITECH funding that provided Kentucky stated that data that flows through the representing the American Diabetes risk criteria for contracted retailers with the advantage in progressing towards KHIE comes from Medicaid recipients, Association; Lori Bradley, mother; the Kentucky Special Supplemental statewide health information exchange. electronic health records from participating Michael Rodman, Kentucky Board of Nutrition Program for Women, Infants, Fifty-six states and territories were providers, and laboratory data. The data Medical Licensure; Joel Griffith, Prevent and Children (WIC); 902 KAR 30:001 – awarded $548 million in federal funds for is kept within the Cabinet for Health Child Abuse Kentucky; Priscilla Black, establishes the definitions for 902 KAR a state health information exchange (HIE) and Family Services. Ms. Bentley stated Legislative Research Commissioner; Chapter 30 pertaining to First Steps, cooperative agreement. The purpose of the that the KHIE is a query-based federated Sarah S. Nicholson, Kentucky Hospital Kentucky’s Early Intervention Program; agreement was to rapidly build capacity model and there is no data repository. Association; and David Adams, KCJ. 902 KAR 30:110 – establishes the point of for exchange of health information across KHIE has a participation agreement with LRC Staff: DeeAnn Wenk, Ben entry and service coordination provisions the health care system both within and every participating provider. Provider data Payne, Jonathan Scott, Sarah Kidder, Gina pertaining to First Steps, Kentucky’s Early across states. In August 2009, Governor is HIPAA compliant. The participation Rigsby, and Wesley Whistle. Intervention Program; 902 KAR 30:120 Beshear issued an executive order agreement states the information is for Minutes – establishes the evaluation, eligibility, establishing the Governor’s Office of treatment, payment, and operation under A motion to approve the minutes of and redetermination of eligibility Electronic Health Information within the HIPAA. Karen Chrisman, staff attorney the September 18, 2013 meeting was made requirements for First Steps, Kentucky’s Cabinet for Health and Family Services for the Governor’s Office of Health by Representative Marzian, seconded by Early Intervention Program; 902 KAR to oversee the advancement of health Information Exchange, stated the only Representative Watkins, and approved by 30:130 – establishes the requirements information exchange in Kentucky. people who are provisioned into the voice vote. for assessment, the Individualized Dr. Stephanie Mayfield, HIE are healthcare providers or state

THE KENTUCKY GENERAL ASSEMBLY 25 employees provisioned for a specific use. patient. Cincinnati/Northern Kentucky, stated that department, and neighborhood programs. In response to questions by Senator In response to a question by a $45 million grant application, Race to In early spring 2012, the Governor’s Carroll, Dr. Brenzel stated that there is a Representative Adams, Ms. Bentley the Top Early Learning Challenge was Office of Early Childhood requested that lot of duplication of tests and medications stated that Kentucky’s health information submitted and accepted. Early childhood all community early childhood councils because doctors do not have access to all of exchange is in the top five percent of investments pay dividends for the life of to conduct a needs assessment to find out a patient’s records since not all providers states with an exchange. KHIE is a the child. Each dollar invested returns what children were and were not accessing participate in KHIE. It could be detrimental comprehensive system that has the $60 to $300 over a child’s lifetime. The programs within each county. There is a if behavioral health information is not capability to track health trends. KHIE has Perry Preschool Project, and Abecedarian community early childhood council in 109 included in the KHIE. Dr. Mayfield stated begun work with West Virginia, Indiana, Project reports that children that were of the 120 counties. that it costs her laboratory approximately and Missouri on interstate interoperability, enrolled in a quality early childhood Representative Wuchner stated that $6,000 per year in maintenance costs to and hope to begin work with Tennessee education program earn $2,000 more per Boone County received the first early participate in KHIE. If a average size, and Virginia soon. month than peers, more likely to graduate childhood learning grant for $3.25 million. single practice provider who does not In response to questions by high school, more likely to own a home, In response to questions by Senator have electronic health records, it could Representative DeWeese, Ms. Bentley less likely to repeat grades, less likely to Givens, Ms. Whitehouse stated that costs between $3,000 to $5,000 to install stated that all acute care hospitals have need special education, and less likely screening is a communication tool but the electronic records, and the monthly signed participation agreements and 65 to be incarcerated. C.A. Nelson from does not say that one center is preparing maintenance fee for a basic system could percent are on line and technical teams Neurons to Neighborhoods, 2000 reports children better than another center. Ms. cost between $1,000 to $3,000. Senator are working to get the remainder on that 85 percent of brain development Ramsey stated she wants to ensure that the Carroll suggested that all doctors should line. Ninety percent of qualified health occurs before age five. Kentucky Invests quality of programs is as high as possible be mandated to participate in the KHIE in care clinics have signed participation in Developing Success (KEIS) created the and that public dollars are used on quality order to be able to have access to all of a agreements and approximately 70 percent Early Childhood Development Authority. services to take children where they patient’s medical information at all times. are on line. Eighty percent of rural health In 2000, twenty-five percent of need to go for success. Private childcare In response to questions by clinics are on line. Providers can connect tobacco settlement funds were committed providers can receive state subsidies for Representative Wuchner, Ms. Bentley to KHIE to get information from other to early childhood through the KIDS children who qualify for services. The stated that when a provider receives providers instead of having to connect NOW programs. The tobacco settlement quality rating system is voluntary. federal incentive dollars, it has adopted an to all providers for the information. funds have decreased from $28.8 million In response to a question by electronic medical record and is pursuing Dr. Brenzel stated that only two of the in 2000 to $21.1 million in 2013 which Representative Jenkins, Ms. Ramsey meaningful use of electronic technology fourteen regional mental health center means a 27 percent decrease in program stated that the goal is for early childhood to improve patient care. To date in boards contribute information to KHIE. funding. KIDS NOW programs include councils to find partners to help ensure Kentucky Medicaid and Medicare receive Behavioral health providers were not vision screening, reach out and read, access and support to families. approximately $3 million incentive incentivized initially to use electronic universal children’s immunizations, Donated Dental Services dollars. Medicare incentives come health records. KEIS/First Steps, folic acid program, Larry Coffee, DDS, Founder and straight from the Centers for Medicare In response to questions by Senator Healthy Start Program, hearing screening, CEO, Dental Lifeline Network, stated and Medicaid Services (CMS) and go Givens, Ms. Bentley stated that patients early childhood oral health, substance that Donated Dental Services (DDS) is an directly to providers. Medicaid receives own their own health data. Ms. Chrisman abuse treatment program, early childhood efficient, cost effective, and accountable approximately $140 million pass-through stated that according to HIPAA, patients’ scholarship program, early childhood community-based and person-centered incentive dollars from CMS that goes to medical records are providers’ business mental health, child care program, approach to advancing the health and providers. KHIE is interfaced with EPIC, records of patients’ visits, and patients have Healthy Access Nurturing Development well-being of needy disabled, elderly, Meditech, and CPSI and work with over the right to access their medical record. Services (HANDS) Program, and child and medically-compromised individuals 80 electronic medical record vendors. The medical record is not for a patient’s advocacy centers. In 2011, The Early by providing comprehensive pro bono Warnings are included in KHIE that use but a record for the provider to help Childhood Advisory Council was created dental care through a network of volunteer deters a provider from accessing medical provide medical treatment. Under HIPAA, to promote program accountability and dentists and laboratories. An investment information on someone who is not the a provider is allowed to use the medical provide guidance that affects Kentucky of $70,000 by the Commonwealth to provider’s patient. Dr. Mayfield stated that information for treatment, operations, and children and families. The school mobilize approximately 275 volunteer providers will have to submit the patient payment. The Notice of Privacy a patient readiness definition that was created dentists and 25 laboratories will return quality reporting systems and meaningful receives in a provider’s office tells what by the Governor’s Task Force on Early up to $550,000 in comprehensive pro use data electronically in order to get will be done with a patient’s medical Childhood Development and Education bono therapies for approximately 250 advanced reimbursement. Dr. Brenzel information. Under HIPAA, a patient has means that each child enters school individuals annually. The investment stated that the goal is to have patient the right to request that information be ready to engage in and benefit from early will yield additional healthcare savings portals to allow patients access to their restricted from disclosure, but a provider learning experiences that best promote since priority is given to people whose own medical records to correct any wrong does not have to honor the restriction. It is the child’s success and ability to be ready dental condition, in combination with data or update personal information if a HIPAA violation for a provider to query to grown, learn, and succeed. Kentucky other diseases, create risk of costly necessary. information from KHIE for someone who screens kindergarteners to make informed complications. The people DDS serve In response to questions by is not a patient, and a provider can lose decisions about early childhood systems, have health problems, developmental Representative Benvenuti, Ms. Bentley his license. An administrative regulation identify statewide and local challenges, disabilities, serious and persistent mental stated that KHIE has the ability to audit accepts the participation agreement as the mobilize communities, communicate illnesses, functional limitations related providers. A patient is able to ask who only way a provider can become part of results, demonstrate return on investment, to advanced age, physical and or sensory has accessed his or her medical records the KHIE. In the participation agreement, and encourage continuous improvement. impairments, and some veterans unable from KHIE, but is encouraged to ask the Medicaid providers are specifically The five domains of school readiness to obtain dental care through the Veterans provider first. The cabinet is a government limited even farther than treatment, are general knowledge and mathematics, Administration. entity and maintains all government- payment, and operations in the way they health and physical well-being, approaches Volunteer dentists fully donate their required levels for security. The Health can use the KHIE. KHIE can only be used to learning, language and communication services, including the use of their offices Insurance Portability and Accountability for care coordination to provide care for a development, and social and emotional and supplies. General practitioners, Act of 1996 (HIPAA) has exceptions for Medicaid patient. development. Quality is very important specialists, and laboratories participate law enforcement to access a person’s In response to a question by in day care centers. A goal is to increase so patients receive comprehensive and medical records, but in Kentucky, the Representative Burch, Ms. Bentley stated participation in the STARS program. sustainable care rather than limited information would have to come directly that dentists are included in the incentives Representative Benvenuti and treatment. Many patients will be treated from the provider not KHIE. KHIE has and will be a part of KHIE. Representative Palumbo stated that by specialists in addition to a general never received a subpoena for someone’s Early Childhood Advisory Council Kentucky’s focus should be on kids dentist. Implants, gold casting alloys, and medical information. Elizabeth Whitehouse, Deputy instead of entitlement programs. other specialized materials are donated by In response to a question by Executive Director, Governor’s Office of In response to a question by manufacturers as needed. The social work Representative Marzian, Dr. Brenzel Early Childhood; Brigitte Blom Ramsey, Senator Bowen, Ms. Ramsey stated that coordinator is responsible for distributing stated that there are many unnecessary Kentucky Early Childhood Advisory information is distributed at grocery materials about DDS to individuals duplicative tests performed on the same Council and United Way of Greater stores, libraries, pediatrician offices, health requesting assistance, determining general

26 2013 Interim LEGISLATIVE RECORD eligibility of applicants, arranging referrals that the emergency administrative In response to questions by evaluation of all resources and to prepare to volunteers, involve laboratories as regulation will have only language that Representative Owens, Ms. Schenk a program that will sufficiently train and needed, and assuring that the needs of applies to a school setting. The plan is stated that the KBN is in the process verify the competence of the unlicensed patients and volunteers are resolved to promulgate a separate administrative of developing a training curriculum person to perform the injections in a throughout the course of treatment. regulation addressing only the delegation for school personnel who volunteer school setting so the child is safe. Approximately 120,000 individuals of administration of insulin and glucagon to administer injectable insulin and In response to questions by throughout the country have received in a school setting and the modules and glucagon to students in a school setting. Representative Watkins, Ms. Schenk stated over $250 million of comprehensive training for the school personnel. The The American Diabetes Association that Representative Jimmie Lee offered treatment from 15,200 dentists and 3,300 emergency administrative regulation will training module is being considered the amendment at the ARRS meeting, and laboratories. Dental Lifeline Network, be identical to the ordinary administrative by the KBN in the development of the the staff and board vice president agreed a charitable affiliate of the American regulation. training curriculum modules. There some to the amendment, but it was not reviewed Dental Association, began DDS as a small Bob Babbage representing the specific things that the content experts by the entire board until the August board pilot in the late 1980s. Most activity is American Diabetes Association stated may want to include that would enhance meeting. The board did not object to the concentrated in 41 state-specific programs that the KBN has a responsibility not the information in the training curriculum. amendment. Representative Lee stated that with some of them be supported by state only to nurses but legislators. The KBN The KBN Practice Committee would the KBN has to approve any amendment governments. has known for three years that the insulin want assurance that the unlicensed person to an administrative regulation, and the Discussion of 201 KAR 20:400 administrative regulations needed to performing the act is safe and competent amendment did not include the curriculum Paula Schenk, Executive Director, be reviewed. If the board develops a at calculating carbohydrates and to training. The training curriculum could Kentucky Board of Nursing, stated that on curriculum that exceeds the one used in administer medication. Mr. Perry stated have been included in the administrative July 13, 201 KAR 20:400 was amended 22 states that use the American Diabetes the training modules that exist were done regulation by reference, but the board did at the Administrative Regulations Review Association training and preparation by the American Diabetes Association in not elect to put the training curriculum in Subcommittee (ARRS). At the August module, it becomes very difficult to conjunction with the national diabetes by reference. 21, 2013 Kentucky Board of Nursing volunteer, qualify, and participate. education project. In response to questions by (KBN) regular meeting, the amendments Lori Bradley, parent, stated that her In response to a question by Senator Representative Wuchner, Ms. Schenk to administrative regulation were son Brandon has been diagnosed with Denton, Mr. Perry stated that he did not stated that the draft would be sent to all reviewed and the board directed that it be Type 1 diabetes, and if his blood sugar know of any other states that do not use the interested people before the December withdrawn for consideration at the August levels drop he needs an insulin injection American Diabetes Association training meeting for review to make comments 21, 2013 Interim Joint Committee on immediately. High or low blood sugar module curriculum, but he would check and suggestions. Health and Welfare meeting. One reason levels are unpredictable, and there needs to and let her know. Ms. Schenk stated that Kentucky’s Food Banks for withdrawal by the board was that a be someone available all day at the schools the KBN takes its responsibility to ensure Tamara Sandberg, Executive school personnel training course should to help give injections when necessary to that the delegation of the administration Director, Kentucky Association of be developed and integrated into the control the levels. She questioned what of insulin to children by school personnel Food Banks, stated that there is more administrative regulation before it goes would happen to kids who do not or will who do not have the nursing knowledge than enough food in America to feed into effect. The initial filing of 902 KAR not give themselves a shot when needed and judgment. The board does not intend every man, woman, and child, yet in 20:400 only referenced the development and there is no one available to help. to create unnecessary impediments or Kentucky approximately 750,000 people of a course which would have to be Children living with Type 1 diabetes barriers. face hunger. Hunger, which was once completed later. The board directed that often times feel different enough without In response to questions by considered a problem for very low-wage the nursing delegation of administration having to force them to stand out even Representative Westrom, Mr. Perry stated earners, is now a problem for people from of insulin in a school setting be placed in more than necessary. Parents risk their that in 2013, the KBN and the American all walks of life. Many people live one a separate regulation and that a panel of jobs when they have to leave work to go Diabetes Association negotiated an paycheck away from financial disaster. experts be convened to identify content to the school to help their child manage administrative regulation instead of trying An unexpected illness, injury, car repair, and development modules of the training diabetes or give a shot that could have to get a law passed regarding a training or life change can put a self-sufficient curriculum for the administration of been handled by any other individual that module curriculum. No information person at risk of hunger. Children who insulin and glucagon to students in a was trained and willing. The safety of the was provided by the KBN as to why the experience hunger face significant stress school setting. The group of experts have children is a priority. Volunteers must be administrative regulation was pulled at the and challenges that can have a lasting met and are in the process of writing the trained to assist kids with Type 1 diabetes August 21, 2013 meeting of the Interim effect on their physical, cognitive, and instructional modules to be included management during the day. Joint Committee on Health and Welfare. behavioral development. Child who in the training program. In addition, In response to a question by Ms. Schenk stated that. On August 21, experience hunger come to school ill- the board directed that a workgroup of Representative Adams, Stewart Perry, 2013, the KBN meeting occurred at the prepared to learn, are more likely to have stakeholders and interested parties be State Advocacy Volunteer Chair, same time as the interim joint committee; trouble focusing in class, and may struggle convened to review the draft curriculum. American Diabetes Association, stated therefore, did not have time to contact with complex social interactions and adapt The workgroup will serve in an advisory that there is no liability for school districts, anyone about its decision to withdraw less effectively to environmental stress. capacity and provide the working because the statutes already cover liability. the administrative regulation. The board The elderly face a number of medical and recommendations to the KBN Practice Mr. Babbage stated that there were no approved 201 KAR 20:40 at its June mobility challenges that put them at greater Committee. On November 14, 2013 the objections to the amended administrative meeting and it went through the public risk of hunger. The senior population may KBN Practice Committee will convene regulation at the July ARRS meeting. comment period and was scheduled to be require different interventions that take to review the draft recommendation. The Representative Benvenuti stated heard at the July 13, 2013 ARRS meeting into account health status, medication goal is to have this work completed and that private schools do not always have where it was amended. Since the board needs, transportation, physical limitations, presented to the board for approval at budgets for a school nurse, and proper did not meet again until August 21, 2013, and dietary restrictions. Seniors living its December 13, 2013 regular meeting. training is needed for volunteers as soon there was no time for the board to consider on fixed incomes often have to choose If approved by the Governor, the KBN as possible. the amendment. The board expressed between covering the cost of life-saving will file the emergency and ordinary In response to a question by its belief that the training program for medications and buying the food they administrative regulations with the Representative Wuchner, Mr. Perry stated school personnel should be developed need to stay healthy. It will cost the Legislative Research Commission. that if a public school receives federal and incorporated into the administrative Commonwealth more in the long-term to This would allow the schools the spring dollars, Section 504 of the American regulation as opposed to its original continue to allow so many of its citizens and summer of 2014 to implement and Disabilities Act applies to a child in school. filing where it was only mentioned that go to bed hungry each night. conduct the training in preparation for the Most children with diabetes file a 504 plan the board would develop a course. The The Kentucky Association of Food new school year. The board’s mission is to with the school that is developed with the board felt that it would be better in terms Banks is comprised of seven Feeding protect the public and hope the regulation doctor, nurses, and educators that the child of quality to have the components of the America food bans that serve all 120 will provide the needed protection and sees and helps identify who and when a training curriculum outlined and in the counties in Kentucky in partnership assistance for the children of Kentucky child can be helped. Currently Kentucky administrative regulation rather than with over 1,000 local charitable feeding who live with diabetes. has a rule on the books that only a medical waiting for it to be developed after the organizations. The association and its In response to questions by professional can administer insulin in a administrative regulation went into effect. partners secure and provide food for Representative Lee, Ms. Schenk stated school setting. The board wants to be thorough in its families struggling with hunger, educate

THE KENTUCKY GENERAL ASSEMBLY 27 the public about the problem of hunger, The trust fund was established to award prosecutorial bar hears most frequently If a person is ruled incompetent to stand and advocate for legislation that protects grants to nonprofit organizations for the that judges should be able to order parents trial but not incompetent enough to be people from going hungry. A food purpose of purchasing surplus agricultural to participate in counseling. Mr. Foster committed, the person re-enters the bank is a distribution center and a food commodities or culls at production cost stated that treatment is more effective if communities and is likely to reoffend. pantry is a local agency. Partners across and distributing it to hungry Kentuckians schools and families are involved with Mitchel Denham presented the manufacturing, retail, growing, and through feeding programs. Forty-one children. Office of the Attorney General’s (AG) shipping industries donate food such as percent of Kentuckians earn too much Juvenile court jurisdiction. The state main prosecutorial issue: opioid abuse and fresh produce, meat, grains, and dairy as money to qualify for food assistance. should examine whether status offenses diversion. Previous legislation reduced well as frozen and canned foods, grocery In response to a question by Senator and mandatory treatment orders should be prescription pill deaths and abuse, but this items for people struggling to put food Clark, Ms. Sandberg stated that the food heard in juvenile court. decrease was being countered by growing on the table. We all have a role to play in banks need $500,000 yearly to operate. Complicated internal structure. heroin use. Mr. Denham mentioned three making sure every family has enough to Adjournment The juvenile support system needs to be ways in which opioid abuse can be better eat. Approximately 52.9 million pounds of There being no further business, the restricted to save money, which is the addressed. The first is a deterrent-effect, food and grocery products are distributed meeting was adjourned at 4:13 p.m. biggest issue priority. Mr. Foster suggested achieved by prosecuting a drug trafficker through agencies, mobile pantries, the combining agencies like the Department for a heroin user’s death. The second tool BackPack Program, Kids Café programs, Interim Joint Committee on of Juvenile Justice (DJJ) and Department is public awareness, facilitated through the Summer Food Program, and the Judiciary for Community Based Services (DCBS) as legislation, existing agencies, public School Based Pantry Program. Less than Minutes of the 4th Meeting a way to cut costs and increase efficiency. service announcements, and reward one percent of donated produce came of the 2013 Interim DUI. The prosecutorial bar feels that systems like scholarships. Finally, the from Kentucky farms. November 1, 2013 the current driving under the influence AG believes in the need for increased According to the Feeding America’s Call to Order and Roll Call system is flawed due to the refusal law treatment availability. This includes Hunger’s New Staple data, food pantries The 4th meeting of the Interim Joint for breathalyzer testing. According to Mr. proactive treatment services, such as have gone from being a temporary source Committee on Judiciary was held on Foster, there should be greater penalties encouraging Medicaid to cover substance for emergency food assistance to a regular Friday, November 1, 2013, at 10:00 AM, in for refusals in order to make prosecution abuse treatment. These services also source of food for hungry families. The Room 171 of the Capitol Annex. Senator more successful. save money, as exemplified by Recovery Beef Counts KY program was established Whitney Westerfield, Chair, called the Representative Yonts inquired Kentucky centers, which return $3.50 and endorsed by the Kentucky Beef meeting to order, and the secretary called of Mr. Foster’s opinion as to the for every dollar invested. Treatment Council to provide a consistent supply of the roll. legality of status offenses, to which availability also includes a focus on nutrient-rich beef for people facing hunger Present were: Mr. Foster replied that he felt they were prevention, which would reduce fiscal and in Kentucky. Participating farmers donate Members: Senator Whitney unconstitutional. Representative Yonts societal costs. proceeds from the sale of beef animal to Westerfield, Co-Chair; Representative asked about changing the blood alcohol As the AG is working with Senator the Beef Counts KY program. Proceeds John Tilley, Co-Chair; Senators Perry content threshold to .05, and Mr. Foster Stine on heroin use legislation, Senator from the sale of one animal should provide B. Clark, Carroll Gibson, Sara Beth said that the county attorneys believe the Stine emphasized a need for a three- 1,600 services of high-quality nutrient- Gregory, Ray S. Jones II, Dan “Malano” current laws are sufficient for prosecuting pronged approach to abuse, including rich beef protein. Every year the United Seum, Katie Stine, and Robin L. Webb; impaired drivers, but that they would treatment, education, and intervention. States wastes more than six billion pounds Representatives Johnny Bell, Robert support appropriate judicial adjustments Chairman Tilley observed that heroin of fresh, healthy fruits and vegetables. Benvenuti III, Jesse Crenshaw, Joseph M. to prevent impaired drivers being on the abuse is market-driven, with price being Families with limited resources are often Fischer, Kelly Flood, Mary Lou Marzian, road. a key factor in its availability and use. He forced to purchase low-cost foods that are Darryl T. Owens, Ryan Quarles, Tom Chris Cohron presented the commented that recent legislative efforts loaded with calories, but have little to no Riner, Ken Upchurch, and Brent Yonts. Commonwealth Attorneys’ most pressing have begun to have positive impacts on nutritional value in order to stretch the Guests: Marty White, KASS; Sandra prosecutorial issues. the state’s recidivism rate. grocery budgets further. For low-income Williams DNA sampling. In regards to DNA Defense Bar Issues families in impoverished communities, LRC Staff: Jon Grate, Matt sampling upon arrest, the association Speaking for the defense bar, Ernie there are few options for health food Trebelhorn, Alice Lyon, Chandani Jones, believes that it has the possibility of Lewis of the Kentucky Association of purchases. Studies have shown that when Natalie Burikhanov, Dallas Hurley, and solving and preventing crimes, and making Criminal Defense Lawyers (KACDL) and food is scarce, a person’s body adapts Nicole Straus. prosecution more effective. Safeguards Ed Monahan of the Department of Public by retaining more weight. Parents and The minutes of the June 7, September can be put in place to protect from any Advocacy (DPA) discussed issues faced caregivers with small children are often 6, and October 4, 2013 meetings were negative consequences of DNA sampling, by defense lawyers in Kentucky’s courts. victims of this type of weight gain in order approved without objection. and it has been ruled constitutional by the Ernie Lewis emphasized the need for their children to have enough to eat. Prosecutorial Bar Issues United States Supreme Court in Maryland for the state to spend more wisely on In 2009, legislation was enacted Speaking for the prosecutorial v. King. the justice system. Kentucky has 20,000 to create a Farms to Food Banks grant bar, Christian County Attorney Mike Synthetic drugs and heroin. Even people incarcerated at a cost of nearly program within the Kentucky Department Foster, Chris Cohron of the Kentucky though the recent synthetic drug bill $500 million per year. With these numbers of Agriculture. Currently, there has been Commonwealth Attorneys Association, reduced overall use, synthetic drugs are increasing, it is an unsustainable model. no funding for the grant program, but the Mitchel Denham of the Office of the still being targeted toward juveniles and Despite the high incarceration rate, the Kentucky Association of Food Banks has Attorney General, and Boone County ex-offenders. It is often called “probation crime rate has remained stagnant since implemented the program using other Attorney Robert Neace testified about weed” because users believe it will not be the 1970s. Mr. Lewis spoke about two funds. Starting in 2014, individuals can concerns of Kentucky’s prosecutors. caught or punished in drug court. Heroin specific recommendations from KACDL donate a portion of their tax refund to Mike Foster discussed six use is also increasing, as prescription to help alleviate this financial and societal the Farms to Food Banks Trust Fund prosecutorial issues concerning juvenile opioids become less available. burden. The first was to reclassify administered by the Kentucky Department court and law. “One-size-fits-none” system. The nonviolent crimes to misdemeanors and to of Agriculture. Thirty-eight other states A defendant’s capacity. If a juvenile penalty structure allows equal penalties reclassify misdemeanors to violations. Not provide support for food banks from the lacks capacity, the case is dismissed and for unequal offenses, which ultimately only would this change save significant General Fund. A well-fed population will no further action is taken. Mr. Foster affects high recidivism rates in the state. resources, but it would also address save the Commonwealth more in the long argued that the state has an obligation to Budget. Because the procedural inmate overcrowding. Secondly, KACDL run through reduced healthcare costs, act in the best interest of the child, which process is evolving in court, it requires advocates for felony expungement increased educational performance, and would include helping the child transition financial investment to maintain and the restoration of voting rights for enhanced worker productivity. towards obtaining competency. prosecutorial effectiveness. convicted felons. Because Kentucky has In response to questions by Risk assessments. By including DUI. Mr. Cohron stated that the such a high rate of incarceration, the state Representative Burch, Ms. Sandberg stated earlier assessments after adjudication, the five-year DUI look-back period should be has a high number of disenfranchised that starting in 2014 individuals can donate state would be able to more immediately longer to address the issue of dangerous voters. KACDL believes that this denies a portion of their tax refund to the Farms provide effective services or adjust a repeat offenders. convicted felons their dignity and to Food Banks Trust Fund administered by juvenile’s risk level. Competency. Mr. Cohron stated that it can have detrimental effects on the Kentucky Department of Agriculture. Parent involvement in treatment. The that incompetency is a recurring issue. communities. Mr. Lewis said that the state should pass a felony expungement law for

28 2013 Interim LEGISLATIVE RECORD nonviolent offenders who committed their statutes to ensure Kentucky’s most costly to questions from the committee. The Interim Joint Committee on crimes in the distant past and that the state punishments are used to protect public law states that any arrest where there was Economic Development and should restore voting rights to nonviolent safety. The broad applicability of these not a conviction or incarceration can be convicted felons through a constitutional Tourism statutes catches too many people in an expunged after a year. However, certain Minutes of the 4th Meeting amendment. expensive net of prolonged incarceration. felonies are not eligible for expungement, of the 2013 Interim Mr. Lewis also discussed the KACDL Mr. Monahan suggested four ways such as sex offenses. There are two ways October 17, 2013 position on heroin use legislation. While that counties and the state can save money in which a felony can be expunged: lower- Call to Order and Roll Call the organization recognizes that heroin from new or amended legislation. level felonies can be taken off the public The 4th meeting of the Interim Joint abuse is a pressing problem in Kentucky, Create Class D felony expungement record, while higher-level felonies remain Committee on Labor and Industry was KACDL is against charging for restoration of voting rights for ex-felons. but are marked as expunged. held on Thursday, October 17, 2013, selling heroin without proof of knowledge Mr. Monahan commented that 2013 Responding to a question from at 1:00 PM, in the North American of possible death or contact with decedent. HB 47 and HB 70 would have allowed Chairman Westerfield, Representative Production Support Center at Toyota According to Mr. Lewis, the death would class D felony expungements and would McMillin acknowledged that expungement Motor Manufacturing, Kentucky, Inc. This have to be assumed to be a “foreseeable make 94,645 Kentuckians eligible for cannot protect from a felony record was a joint meeting with the Interim Joint event” caused by trafficking. Additionally, expungement. Furthermore, because remaining as an electronic footprint, but Committee on Economic Development KACDL was wary of 2013 SB 6, which expungement would promote employment the law does state that this information and Tourism. Senator Alice Forgy Kerr, would have made trafficking cocaine, and reduce recidivism, it could provide cannot be used to discriminate against the Chair, called the meeting to order, and the heroin, and methamphetamine above additional funding to the General Fund and former felon in employment situations. secretary called the roll. certain quantities, which they deemed too allow people to reenter the workforce. Mr. In response to Chairman Westerfield, Present were: low, a Class B felony. Monahan stated that with the possibility Representative McMillin explained that Members: Senator Alice Forgy Kerr, Ed Monahan presented nine ways to for employment, the probability of new there were many groups who supported Co-Chair; Representative Rick G. Nelson, maintain public safety and reduce costs arrests for offenders would decline and the bill, including the Indianapolis Co-Chair; Senators Julian M. Carroll, for counties and states for 2014. These eventually become as low as that of the Chamber of Commerce, who felt that Denise Harper Angel, Ernie Harris, Dennis solutions, addressing the defense bar general population (4-8 years). this bill helped combat unemployment. Parrett, and Mike Wilson; Representatives issues, were split into three categories: Limit capital prosecutions. Mr. Following a question from Representative Lynn Bechler, Will Coursey, Jeffery saving counties money, saving state Monahan claimed that there is a 60 Benvenuti, Representative McMillin Donohue, C.B. Embry Jr., Richard money, and saving money for both the percent error rate in capital prosecutions stated that the bill grants immunity from Henderson, Dennis Horlander, Joni L. state and counties. in Kentucky. However, by limiting capital liability for businesses and organizations Jenkins, Thomas Kerr, Adam Koenig, Mr. Monahan presented two possible prosecutions, the margin of error would who hire an expunged felon. Responding Mary Lou Marzian, Charles Miller, Terry ways to save counties money. decrease. He suggested reducing capital to a question from Senator Seum, Mills, Tanya Pullin, Tom Riner, Jim Create a “clear and convincing” punishment sentencing options, statutorily Representative McMillin explained that Stewart III, and Brent Yonts. standard for pretrial release decisions authorizing a judge to eliminate death as prosecutors have access to expunged Guests: Mike Price, Vice President for those that seem unlikely to repeat. Mr. a possible punishment when appropriate, felonies in the case of repeat offenders. of Administration, Toyota Motor Monahan suggested that the state write and requiring timely, complete open file Furthermore, if convicted again, the felon Manufacturing, Kentucky, Inc. (TMMK); the goals of HB 462 related to pretrial discovery. returns to their pre-expungement status. Kim Menke, Manager of External Affairs release into law. As it stands, HB 463 has Reform juvenile justice. Mr. Responding to a question and Government Relations, Toyota Motor saved counties $40 million in jail costs, Monahan suggested seven ways in which from Senator Seum, Representative Engineering and Manufacturing North but the pretrial release rates are declining the juvenile justice system could be McMillin explained that applications America, Inc. (TEMA); Dr. Augusta to below the pre-HB 463 level, as already improved: replace status offenders with for opportunities such as universities Julian, President/CEO, Bluegrass evidenced by three-month data from this Child in Need Services model, no longer and jobs can only inquire about felony Community and Technical College; fiscal year. allow prosecution of a child ten years old convictions that have not been expunged. Dr. Michael McCall, President/Chief Reclassify minor misdemeanors to or younger, using detention of a child as Representative McMillin stated that it is Executive Officer, Kentucky Community violations. Mr. Monahan stated that this a last resort, increase opportunities for important to allow felons to return to their and Technical College System; Hollie solution has been supported across party diversion, expand judicial discretion to pre-offense status, agreeing with Senator Spade, Chief of Staff, Kentucky Cabinet lines and by various agencies. This can be allow case-specific and child-specific Webb that expungements are important for Economic Development; John Cooper, achieved by passing 2013 HB 395, which outcomes, define the role of school for parental rights by allowing expunged Capital Link, Connections; Jeremy Gillis, would reduce jail costs, reduce court resource officers, and enhance protections felons to participate in their children’s Advanced Manufacturing Technician times, and increase the General Fund for children and parents of children who lives in a more involved capacity Program (AMT) Student; and Sarah revenue from fines. are questioned. while also encouraging rehabilitation Jenkins, AMT Student. Mr. Monahan also presented three Expand DPA alternative sentencing and integration into communities. LRC Staff: Carla Montgomery, Matt ways to save the state money. social worker program. Mr. Monahan Representative McMillin, responding Ross, Adanna Hydes, and Betsy Nickens. Create a “gross misdemeanor” stated that this was the DPA’s highest to questions from Representative Yonts, The first order of business was classification for low-level felons. Under recommendation because it was less stated that expungement requires a the approval of meeting minutes from this classification, gross misdemeanors costly and a more beneficial response to statutory amendment and that it works September 10, 2013. The minutes were would include a penalty range from recidivism rates. A University of Kentucky like a gubernatorial pardon but does not approved by voice vote. Co-Chair Kerr six months to two years, circuit court study found that for every dollar spent on replace it. expressed appreciation to the officials of prosecution, the possibility to house state the DPA alternative sentencing, the state An audience member, Sandra Toyota Motor Manufacturing, Kentucky, prisoners in county jail, a conviction saved $4.47 to $6.80. Williams, spoke about felony Inc. (TMMK) and Scott County for hosting that would not lead to felony penalties, Responding to a question from expungements. Ms. Williams shared a the Interim Joint Committees on Labor and automatic or presumptive probation for Senator Seum, Mr. Monahan stated that personal story about how her niece’s Industry and the Interim Joint Committee a two year period, and the possibility for the figures measuring crime rate were felony conviction negatively impacted on Economic Development and Tourism. expungement. Benefits of creating this compiled by the FBI and Kentucky State her life. Because felony convictions are Senator Thayer extended appreciation to classification would include reduction Police through a uniform method. part of someone’s permanent record, it the corporation for its continued support in prison population and assistance with Indiana’s Expungement decreases life opportunities that, in turn, and positive economic impact on Scott reentry and reformation. Experience can lead to repeat offenses. County and the Commonwealth. Presumed parole for all eligible low- Indiana Representative Jud McMillin Update on the Activities of the Mike Price, Vice President of risk offenders. Mr. Monahan stated that of House District 68 presented testimony Unified Juvenile Code Task Force Administration, TMMK, gave an 2013 SB 82 supports a more expansive of Indiana’s new comprehensive Because of limited time, Chairman overview of the structure of Toyota’s parole policy. Only 72.56 percent of low- expungement law. Until last session, Westerfield moved the task force report to partnership with North America, the risk inmates received parole from Fiscal Indiana only had limited expungement the next meeting of the Committee. Lexus incentive project at TMMK, the Year 12-13, and as of September 2013, statutes; now, it has some of the most The meeting adjourned at 12:13 PM. workforce development needs of the only 59.47 percent of low-risk inmates expansive. Representative McMillin Advanced Manufacturing Technician had received parole. provided a brief overview of the law, Interim Joint Committee Program (AMT), and the transportation Amend violent offender and PFO which he supplemented with responses on Labor and Industry and and infrastructure needs of the plant.

THE KENTUCKY GENERAL ASSEMBLY 29 Toyota Overview develops, modifications may be made to commended her for her scholastic efforts for their presentation and commented Kim Menke, Manager of External the investment. The Kentucky Economic and recognized his constituent, Dennis on how the presented information is an Affairs and Government Relations, Toyota Development Finance Authority awarded Parker, also in attendance, as a key example of the best model of education, Motor Engineering and Manufacturing $146.5 million over ten years to the individual involved in the development economic development, and labor and North America, Inc. (TEMA), informed project. and research of the AMT program. Mr. industry partnering for success in the the committee of Toyota’s national and Ms. Spade discussed the importance Parker has been integral in transferring the Commonwealth. Senator Carroll spoke regional operations in North America. of the infrastructural needs pertaining to program to Toyota’s other facilities. Mr. about the value of the investment made in Toyota’s headquarters for manufacturing Interstate 75 and the interchange at Cherry Menke invited the members and guests to 1978, when Kentucky sought partnership is based in Erlanger, Kentucky, at TEMA. Blossom Way and Champion Way during tour the AMT classroom at the conclusion with Japan by opening an office in Tokyo. Vehicle development, engineering design, the expansion of the Lexus Project at of the meeting. Ms. Spade, in response to Senator Carroll, an advanced research is conducted at TMMK. Oversight will be brought to the Dr. McCall, President/Chief stated that there are 154 Japanese owned facilities in Erlanger and Ann Arbor, attention of the legislature in the 2014 Executive, KCTCS, continued the businesses in Kentucky with 37,000 Michigan. Regional operations include General Assembly. A skilled workforce discussion explaining the bigger picture employees. TEMA, TMMK, Toyota Motor Sales, Inc. is important to the project. To build the of KCTCS involvement. KCTCS seeks Senator Wilson and Representatives in Blue Ash, Ohio, and North American “talent pipeline,” the cabinet has partnered to provide, through 16 colleges and 70 Denham, Linder, and McKee commented Parts Operations in Hebron, Kentucky. with the Bluegrass Community and locations throughout the Commonwealth, on the great need for skilled employees Fourteen manufacturing facilities exist Technical College (BCTC) and developed the workforce training needs of businesses across the nation and commended the across North America, producing 12 the AMT program at TMMK. and industries, and individuals who want AMT program for providing the training models. KCTCS/BCTC Advanced to enhance their employability and quality and education needed to meet the needs of Mr. Menke said the total economic Manufacturing Technician Program of life. A results-oriented training provider, America’s workforce. investment that Toyota has made in Mr. Price commented on the growing KCTCS provides workforce solutions In response to questions from its North American operations is $27 need for highly skilled workers in specific to more than 5,000 Kentucky companies Representative Bechler, Mr. Menke said billion, and employing over 39,000 team trades skill positions, particularly within annually, primarily in the manufacturing the AMT program is targeted towards members. About 1.8 million vehicles are the automotive industry. A work-ready sector. The Kentucky Center of Excellence skilled trade jobs including tool and produced, and local purchasing equals workforce is needed to fill hundreds of open in Automotive Manufacturing led to a die and skilled maintenance positions, $26 billion. In the past 24 months, more positions. In partnership with KCTCS and $5.5 million National Science Foundation which represent the largest need for than $2.1 billion has been invested in BCTC, the AMT program seeks to address grant which created the Automotive trained workers in the industry. Dr. North American manufacturing and 4,000 the issues facing TMMK specifically. Manufacturing Technical Education Julian responded machinist, tool and jobs have been created. Approximately These issues include the retirement Collaborative (AMTEC). AMTEC has die, and welding training are in high 600 suppliers operate in North America “bubble,” the negative perception of collaborated with 35 community colleges demand at BCTC. Mr. Menke said the (100 in Kentucky). The supply base adds industrial jobs, and the national problem in 12 states. Through the development of program has partnered with the Society of nearly 48,600 jobs to the automotive of approximately 600,000 unfilled skilled national standards, a workforce of multi- Manufacturing Engineers in its outreach industry. TMMK operates as one of the positions. Toyota’s campaign to change skilled technicians for the automotive training within high schools, specifically largest plants in the world on 1300 acres the perception and value of jobs in sector is being trained. Their partnership in robotics programming. and 7.5 million square feet. A $6 billion manufacturing includes partnerships with with Toyota began in 2003. In 2006, the Co-Chair Kerr asked Mr. Gillis investment, the production capacity the Foundation for Kentucky Industry’s Advanced Manufacturing Technician and Ms. Jenkins to explain their goals reaches 500,000 vehicles annually and “Dream It! Do It!” campaign, Project Program was appropriated $1.5 million to after finishing the program. Ms. Jenkins employs 7,000 team members. In 2014, Lead the Way, and the STEM initiative for acquire property and to design a facility. said her goal is to pursue an engineering TMMK will reach the milestone of support for careers in science, technology, Dr. McCall expressed to the committees degree. However, she enjoys the variety of producing 10 million vehicles. Toyota’s engineering, and mathematics. The AMT the importance of the expansion of the work in machine maintenance. Mr. Gillis North American production facilities program was implemented in 2010. The facilities and the funding that will be agreed and commended the multi-skilled exported 125,000 locally assembled program offers an associate degree in needed in 2014. In 2011, the National training opportunities at AMT such as vehicles in 2012 to 21 countries. applied science and on-site training in Governor’s Association selected AMTEC hydraulics training, electrical, mechanical, Mr. Menke said team members the technical aspects of a manufacturing as the best practices model for the nation. welding, crane work, and injection at TMMK reside in 72 of Kentucky’s position, as well as floor experience Dr. Julian, President/CEO, BCTC, molding. Mr. Menke added that BCTC counties, and 80 percent live within an and core exercises within the plant. described the expansion plan for the AMT and the University of Kentucky partner in 80 mile radius of the plant. The top five The classroom aspect of the program program. Sixty-three students are enrolled a pathway where AMT graduates can earn counties of residence for team members utilizes a new-model classroom which at AMT, and 29 students have graduated. a bachelors degree in engineering. include Scott (2,202 team members), looks and feels like a factory setting. The expansion would provide for 1,200 In conclusion, Co-Chair Kerr Fayette (1,404), Harrison (356), Jefferson The AMT program partners with the students, 12 full-time faculty, and 20 part- announced that the next meeting of the (245), and Grant (240). Bluegrass Manufacturing Development time faculty on 20 acres of land that the Interim Joint Committee on Labor and Lexus Project Announcement– Collaborative made up of 16 member Scott County Fiscal Court and the City Industry will be Thursday, November 21, Overview, Wage Assessments, Local companies, 11 of which sponsor current of Georgetown has acquired. Dr. Julian at 10:00 in the Capitol Annex. The next Infrastructure Improvement, and students in the program. stated 100 percent of AMT’s students meeting of the Interim Joint Committee Workforce Development Mr. Menke introduced two AMT who took Toyota’s general assessment test on Economic Development and Tourism Mr. Price testified about the Lexus students, Jeramy Gillis and Sarah Jenkins passed. Less than 50 percent of the general will be Thursday, November 21, at 1:00 ES 350 Incentive Project at TMMK. to give insight to the benefits of the public pass Toyota’s test for employment in the University of Kentucky Student The Lexus RX and ES models that program. Mr. Gillis was homeschooled readiness. Center Ballroom. are produced in North America (in in Georgetown and learned about the Mr. Cooper, Capital Link, The committee members will tour Canada and Kentucky) represent nearly program through his home school group. Connections, spoke to the committee the AMT classroom upon adjournment. 60 percent of total annual sales. The He stated the benefit of training on-site about the need for infrastructure changes There being no further business, the project will produce 50,000 units per with the opportunity to obtain a career to support the Lexus Project expansion. meeting adjourned. year for the North American market, position at the completion of the program Nearly 10,000 people, not including those add two production shifts at TMMK, as the reason he made the decision to apply driving trucks transporting parts, travel Interim Joint Committee on and create 750 team member positions. for AMT. Ms. Jenkins is a 2012 graduate the facility on a daily basis. The proposed Licensing and Occupations The investment is $531 million. Hollie from Harrison County, who participated in I-75 Interstate Interchange Project Minutes of the 5th Meeting Spade, Chief of Staff for the Secretary, Project Lead the Way classes at her high would connect Cherry Blossom Way of the 2013 Interim Cabinet for Economic Development, school. Ms. Jenkins said after comparing and Champion Way, creating a safe and November 8, 2013 said that in 2007, the Kentucky Jobs the costs of college to the cost and functional route for business at TMMK. Call to Order and Roll Call Retention Act was implemented to beneficial training of the AMT program, Mr. Price asked that the General Assembly The 5th meeting of the Interim Joint meet the needs of the larger automotive she chose AMT for the opportunity to authorize funding for the interchange Committee on Licensing and Occupations industry. Existing incentives from this be debt-free and prepared for a position project and the expansion of the AMT was held on Friday, November 8, 2013, program may be utilized for the current upon graduation. Representative McKee, program. at 10:00 AM, at the Anheuser-Busch Lexus project at TMMK. As the project Ms. Jenkins’ district representative, Co-Chair Kerr thanked the speakers Distributor Warehouse, 4400 Produce

30 2013 Interim LEGISLATIVE RECORD Road, Louisville KY. Representative growth rate in the United States for cider Acupuncture certified to licensed. For acupuncturists Dennis Keene, Chair, called the meeting has reached 69 percent. Sales of cider track Bob Rowland, representing the from out of state to have reciprocity, they to order, and the secretary called the roll. nationally with beer. It is packaged and Kentucky State Acupuncture Association, would have to meet the requirements for Present were: sold with the same appearance as beer--in said that 44 states have a practice act Kentucky certification or licensure. Members: Senator John Schickel, Co- six pack bottles. Cider is also sold in bars for acupuncturists. Kentucky is the Advanced Practice Registered Chair; Representative Dennis Keene, Co- on tap like Sam Adams or Bud Light. only one of these states that regulates Nurses Chair; Senators Tom Buford, Julie Denton, Consumers view cider as a parallel acupuncture as a certified profession. Nancy Swikert, representing the Jimmy Higdon, Christian McDaniel, to beer. National brewers have also begun A change in Kentucky statutes, from Kentucky Medical Association (KMA), Morgan McGarvey, Dan “Malano” Seum, producing ciders, not only because cider certified to licensed, would bring said that after months of meetings and Damon Thayer; Representatives is a growing category, but because it Kentucky acupuncturists into conformity the KMA and the coalition of nurse Tom Burch, Denver Butler, Larry Clark, shares the same attributes as beer. The with the other 43 states. Most Kentucky practitioners (APRNs) have reached an Jeffery Donohue, Dennis Horlander, Joni Federal Alcohol Act views cider over acupuncturists practice in urban areas agreement. This agreement improves L. Jenkins, Charles Miller, Brad Montell, seven percent as a wine. The FAA defines that border Indiana, Illinois, and Ohio. In access to health care in Kentucky David Osborne, Darryl T. Owens, Sal wine as containing not less than seven these states, acupuncturists advertise as while maintaining the Collaborative Santoro, Arnold Simpson, Diane St. Onge, and not more than 24 percent alcohol. licensed, putting Kentucky practitioners at Agreement for the Advanced Practice Ken Upchurch, and Susan Westrom. The federal permit for wholesalers is not a competitive disadvantage. There will not Registered Nurse’s Prescriptive Authority Guests: Mike Peters, Anheuser- required for ciders under seven percent, be a change in the fee structure or any of for Nonscheduled Legend Drugs, also Busch Branch Manager; Jennifer Doering, but in Kentucky there must be a wholesale the regulations or qualifications to become known at the CAPA-NS. There will be a General Manager, Charles Seligman license to cover hard liquor and wine to an acupuncturist. There is no difference in joint committee from both boards, three Distributing Company, Daniel Harrison, sell cider. The industry is asking that cider reimbursement from insurance companies APRNs appointed by the board of nursing Country Boy Brewing; Martha Graziano, under seven percent, or weak cider, be for a licensed practitioner or a certified and three physicians appointed by the C.A., Bob Rowland, Impact Government treated like malt beverages. Wholesalers acupuncturist. Acupuncture is not covered KMA to make recommendations to their Relations; Nancy Swikert, M.D., and retailers with malt beverage licenses by Medicare or Medicaid. boards regarding the CAPA-NS. APRNs, Kentucky Academy of Family Physicians should be able to sell weak cider just like Martha Graziano, C.A., President after meeting specified requirements, may and Kentucky Medical Association, Sheila beer. Changing this language to allow of the Kentucky State Acupuncture opt to practice without the CAPA-NS. Schuster, Ph.D., Kentucky Coalition of cider sales by beer licensees will generate Association, said acupuncture is a highly Sheila Schuster, Kentucky Coalition Nurse Practitioners and Nurse Midwives. more revenue for the general fund. effective form of medical treatment. of Nurse Practitioners and Nurse LRC Staff: Tom Hewlett, Bryce Daniel Harrison, co-founder of There are different styles of treatment Midwives, said the coalition reached an Amburgey, Michel Sanderson, and Susan Country Boy Brewing in Lexington, with a high success rate. Acupuncture agreement with the Kentucky Medical Cunningham Kentucky, said the company started on is a non-invasive method to deal with Association (KMA). The compromise Approval of minutes February 10, 2012. It has grown 300 pain. Additionally, it has been used for preserves legislative intent. If an APRN is A motion to approve the minutes percent since that date, and in the next drug detoxification, smoking cessation, suddenly without a physician to sign the from the October 11, 2013 meeting was four months expects to double in size and other addictive substances. Research collaborative agreement, there will be a made by Senator Schickel and seconded again. The production of cider is identical also supports acupunctures effectiveness joint committee to refer to a physician. In by Senator Buford. The motion carried by in production to beer. Therefore, there in migraine relief. The World Health this situation, the APRN can still prescribe voice vote. would be no new or extra equipment for Organization has recognized acupuncture without a CAPA-NS for 30 days; after a Welcome from Anheuser-Busch Country Boy Brewing to purchase or as an effective modality for 44 conditions. physician has been recommended, the Mike Peters, Director of Sales and install to produce cider. Small Kentucky Gen Care in Louisville has on-staff APRN has 30 days to work out the new Marketing, welcomed the committee to the brewers would like to have the opportunity acupuncturists working with physicians. CAPA-NS. Additionally, language in the distributor warehouse. Anheuser-Busch to make a 100 percent Kentucky grown Training for acupuncturists is a 2006 legislation regarding the CAPA- came to Louisville in 1978 with four produce. Kentucky cider could have four year program. Continuing education CS (controlled substances) was added to percent of the market share, eight route locally sourced, locally produced 100 is required for clean needle technique current language to strengthen the CAPA- trucks, and thirty-five employees. Today percent apple cider. and HIV training. On January 16, 2014, NS. This adds more reporting with the Anheuser-Busch has 59 percent of the In response to a question from the association will be in the Capitol to new legislation. With this compromise, market share, selling 5.3 million cases per Senator Buford, Ms. Doering said weak offer free demonstrations of acupuncture the people of Kentucky will have access year with 40 route trucks, 168 employees, cider is sold only at retail licensees that therapy for anyone who would like to to safe, quality health care closer to home. and 1,896 retail accounts. Anheuser- have a wholesale license that covers learn more about the treatment. Representative Keene commended Busch is proud to support the community, hard liquor and wine. The legislation In response to a question from all parties for coming together on the and alcohol responsibility is its biggest the industry is asking for would broaden Representative Clark, Mr. Rowland said issue. effort. Its employees pledge every year distribution to people who have a malt that Kentucky’s education requirements In response to a question from not to drink and drive. The company has beverage license. meet or exceed national standards. At Senator McDaniel, Ms. Schuster said a designated driver program, which is In response to a question from the time that the bill was originally filed, all APRNs will have a CAPA-NS for an alert cab program for employees who Representative Clark, Ms. Doering said the grandfather clause was necessary; four years. At the end of four years, if feel they have become impaired so that the industry supports the change and that however, that provision has now sunset, the APRN chooses to practice without they will have a safe ride home. There the tax revenue would be the same as beer. and there are no practitioners who will the CAPA-NS, the APRN must notify is also an environmental program with a Senator Higdon commented that be unable to practice if the provision is the Board of Nursing about prescribing goal to reduce energy use by two percent during the last meeting he had discussed removed from the current legislation. without the CAPA-NS. The Kentucky a year. Community event sponsorship and a “catch all” bill that included cider In response to a question from Board of Nursing and the Kentucky Board charities are supported. Mr. Peters said language. Senator McDaniel, Ms. Graziano said of Medical Licensure will form a joint there will be a tour of the facility after the In response to a question from acupuncturists were given one year to pass committee to supply physician names to meeting. Senator Seum, Ms. Doering said there is a written test and become certified. By APRNs who are unable to find a physician. In response to a question from no alcohol content limit in malt beverages. 2007, everyone will have met the 1,800 There being no further business to Representative Horlander, Mr. Peters said Most ciders are in the five percent range. hours of training and will be certified. come before the committee the meeting the industry in the state of Kentucky is In response to a question from was adjourned at 12:05 PM. down this year. He said sales fluctuate for Representative Montell, Mr. Harrison Senator Buford said the cutoff date a number of reasons. said his brewery in Lexington produces for the grandfather clause has sunset. Interim Joint Committee on Cider anything from three percent alcohol up to In response to a question from Local Government Jennifer Doering, General Manager 12 percent. However, most packaged malt Senator Denton, Ms. Graziano said the Minutes of the 3rd Meeting of Charles Seligman Distributing beverages are going to fall in the range location of a practitioner’s office is not of the 2013 Interim Company said that cider is a fermented of five to seven percent. Cider would be addressed. October 23, 2013 alcoholic beverage made from fruit juice. capped at 6.9 percent. In response to a question from Call to Order and Roll Call Typically, apples are used, but pears can Senator Buford commented that, Representative St. Onge, Ms. Graziano The third meeting of the Interim be used. Cider ranges in alcohol content depending on the Appeals Court ruling, said there would be no difference in Joint Committee on Local Government from 1.2 to 8.5 percent by volume. The this legislation may not be necessary. education requirements by changing from was held on Wednesday, October 23,

THE KENTUCKY GENERAL ASSEMBLY 31 2013, at 10:00 AM, in Room 171 of the audited. General Assembly decides to put a better to come into financial distress, DLG Capitol Annex. Representative Steve The Auditor’s Office has seen an system of oversight in place, and assigns can perform a financial analysis for that Riggs, Chair, called the meeting to order, increase in complaints to audit cities. that oversight to the auditor’s office, then county. The State Local Debt Officer, and the secretary called the roll. There are increased financial strains on there should be sufficient funds to execute which is currently the commissioner of the Present were: cities due to declining revenue and pension that duty. Department, approves debt of $500,000 or Members: Senator Joe Bowen, Co- costs, as well as a significant loss of coal Representative Linder said that he more. There is a hearing and an approval Chair; Representative Steve Riggs, Co- severance funds. There is also a lack of did not think the Auditor came necessarily or disapproval process. Chair; Senators Walter Blevins Jr., Ernie control and oversight by city councils. A to request more funds, but that the idea Mr. Glenn Oldham, DLG’s Branch Harris, Christian McDaniel, Morgan lack of training can contribute to this. The came from the course of the conversation. Manager for Cities and Special Districts, McGarvey, Gerald A. Neal, R.J. Palmer Auditor conducts many different types of He urged caution that any additional said that DLG receives city audits and II, Albert Robinson, and Damon Thayer; audits. oversight be carefully crafted so that uniform financial information reports Representatives Julie Raque Adams, In response to a question from it is not used in the future for political and compiles them into a useful database Ron Crimm, Mike Denham, Richard Representative, Auditor Edelen said that purposes. to share with the Legislative Research Henderson, Adam Koenig, Stan Lee, Brian his office does not have an instrument to Senator Thayer stated that citizens Commission, the U.S. Census Bureau, and Linder, Tom McKee, Michael Meredith, track the financial condition of cities. of cities have recourse, in that if they are the Kentucky League of Cities. DLG does Jody Richards, Arnold Simpson, Rita Representative Simpson said he is not pleased with how their government is not have the authority to review the audits, Smart, and Jim Wayne. surprised that no one scrutinizes the local being run, they can vote new leaders in. but simply houses them and passes them Guests: Michael Davis, Department smaller pension plans for outstanding Representative Riggs commented on to interstate parties. Also, DLG does of Housing, Buildings and Construction; obligations and proper funding. He that while local officials can be voted out not receive city budgets. Adam Edelen, Libby Carlin, and Tom suggested that the committee look into of office, they still should be penalized In response to a question from Bennett, State Auditor of Public Accounts; that. when warranted. Representative Riggs, Mr. Oldham said Russell Salsman, Darren Sammons, In response to a question from Regarding the problems with city that cities only notify DLG of debt they Robert Brown, and Glenn Oldham, Senator Bowen, Auditor Edelen stated malfeasance and things of that nature, take on. DLG is just the repository for Department for Local Government; that his office is at capacity and would Representative Meredith commented special district audits. Mayor Tom Bozarth, City of Midway; need more resources if it were to take on that cities’ audits must be submitted to In response to a question from Jonathan Steiner, J.D. Chaney, Bert May, more audit responsibilities. the Department for Local Government Senator Robinson, Mr. Oldham noted and Bryanna Carroll, Kentucky League In response to a question from (DLG). If DLG is doing its job, then those that Section 158 limits a county’s debt of Cities; Erik Jarboe, LearNet; Ron Representative Riggs, Auditor Edelen said problems will be found any way. There capacity to two percent of the value of the Wolf, Associated General Contractors of counties should be audited every year. His needs to be a push to get that to happen taxable property within the county. The Kentucky; Shelley Hampton, Kentucky office should not retreat from that level of more. department notes the figures and takes that Association of Counties; Bryan Alvey, scrutiny. Senator McGarvey commented that into account when approving debt. Kentucky Farm Bureau; Mayor Susan Representative Smart cited concerns it is important to recognize the Auditor’s In response to a question from Barto, City of Lyndon; and Sara McGown, for her city in her experience and role is only activated when there is Representative McKee, Mr. Oldham Louisville Metro Government commented that financial oversight is wrongdoing. The Auditor also has an indicated that it is possible for counties to LRC Staff: Mark Mitchell, Joe needed for cities. enforcement mechanism that can uncover turn in projects in pieces to avoid having Pinczewski-Lee, John Ryan, Jessica Representative Wayne commented complex scenarios. hearings for debt issuances that amount to Causey, Mike Clark, Brian Traugott, that it might be helpful for the committee Auditor Edelen said the statutes $500,000 or more. The hearing process is Vaughn Murphy, Scott Kimmich, and to work with the Auditor’s Office in relating to auditing and oversight should for the benefit of the county. Cheryl Walters. crafting legislation for this session to be tight. Representative Smart commented Approval of Minutes address the small pension plans in cities Senator Palmer stated that it is that perhaps DLG should be required to Upon the motion of Representative and quasi-governmental agencies. Auditor important to remember that there is a receive city budgets. Also, more training Crimm, seconded by Senator Thayer, Edelen said he welcomes that opportunity different way of monitoring city and is needed for local officials regarding the minutes of the September 25, 2013 and welcomes reviewing improvements in county governments. The Auditor has finances. meeting were approved. the auditing process for cities. the responsibility for auditing county In response to a question from Consideration of Referred In response to a question from governments every year. He does not have Representative Simpson, Mr. Brown Administrative Regulations Senator Robinson, Auditor Edelen said that responsibility for city government. answered that DLG is not the repository The committee considered referred that his office does not find any problems DLG is not the Auditor’s Office. It is a for independent pension plans. Administrative Regulations 815 KAR with the majority of counties. Senator place where that information is housed, Representative Simpson commented that 4:030 & E, which establishes the licensure Robinson commented that perhaps the but DLG does not actually conduct the someone should look at where the pension requirements for elevator contractors, and counties that comply do not need to be audit. DLG’s responsibility is to make plans go for review. Representative Riggs 815 KAR 4:040 & E, which establishes audited every year. The auditor expressed sure that cities and counties are operating asked staff to check into Representative the licensure requirements for elevator concerns that having the option to choose correctly, but not to get into the numbers as Simpson’s concerns. mechanics and procedures for license who to audit could itself be subject to the Auditor would do. It is the legislature’s In response to a question from renewal. Representative Riggs stated abuse if that process itself were not decision and responsibility to decide if Representative Meredith, Mr. Oldham that a written report of the review will be checked. city governments should have the same said DLG is statutorily required to house submitted to the LRC. Representative Crimm suggested oversight as counties, which is currently the city audits even if it cannot review State Level monitoring of City and the possibility of the auditor reviewing not the case. them. Staff time would be required if DLG County Financial Conditions completed city audits for red flags. Mr. Russell Salsman, Chief of Staff were tasked with reviewing, notifying, Representative Riggs said that, in Senator Thayer commented that for DLG, said DLG’s responsibilities over and passing on problematic city audits to consideration of several local governments special districts and cities undergo audits cities and counties are different. A county the Auditor. across the country being in fiscal distress and report to the Department for Local is a constitutionally established political In response to a question from and in some instances declaring bankruptcy, Government. If a there is a red flag, it is subdivision of the state. The role of state Representative Lee, Mr. Oldham clarified the committee should evaluate whether assumed that it is sent to the Auditor’s government with respect to counties is the city auditing process and the uniform the statutes are comprehensive enough in Office for review. much stronger that it is with cities. financial information process, and noted their requirements for monitoring local In response to a question from Mr. Robert Brown, DLG’s State that around 300 cities would file an annual government financial conditions. Representative Lee, the Auditor stated that Local Finance Officer and Branch Manager audit with the department. Representative Auditor of Public Accounts Adam if it is determined that the Auditor’s Office of Counties, stated that DLG has the Lee indicated that the officials of cities Edelen said that his office conducts must audit each city every year, then an power to approve or disapprove all county would have copies of the audits conducted county audits or allows counties to hire increase in resources would be required. A budgets, with the exception of Lexington- for their cities and should act on the out their audits. The Auditor audits the better system of insuring that the required Fayette Urban County Government and recommendations therein. majority of sheriffs and clerks. His office audits for local governments are being Louisville Metro Government. His staff City Reclassification does not have the statutory authority to conducted is warranted. Without a system has to approve a balanced budget of each Representative Riggs said he is require audits of cities. However, if there of oversight, as was the case for special county. Each county is required to submit sponsoring a bill during the 2014 Session is a complaint made, then cities can be districts, laws do not get enforced. If the four quarterly reports. If a county seems that would change the way cities are

32 2013 Interim LEGISLATIVE RECORD reclassified. Cities are currently classified Mayor Tom Bozarth, President of the to support legislation that addresses the Water; Mr. Jim Brammell, Louisville by population, and the General Assembly Kentucky League of Cities (KLC), told destructive impact that addiction has on Water Company; Mr. Gary Larimore, must reclassify them by passing a bill. the committee that KLC’s 2014 legislative the quality of life in the communities Rural Water Association; Ms. Annette The proposed system would use the city’s agenda is as follows: (1) city revenue through the examination of criminal DuPont-Ewing, Kentucky Municipal governance model to be the classification diversification. KLC will seek to expand penalties and opportunities for treatment Utility Association; Mr. Jeff Derouen, system: Alderman Form (Louisville the authority to impose a restaurant tax to and rehabilitation for those that become Mr. Gerry Wuetcher, and Stephanie Metro still uses the powers assigned to all cities, with adjustments to net profits addicted; and (10) protect home rule and Bell, Public Service Commission; Mr. this class); City Manager form (20 cities); and gross receipts taxes on restaurants city budgets. City leaders will vigorously Peter Goodman and Ms. Julie Roney, and Mayor-Council and Commission in return. The League will support an oppose any legislation that attempts to Energy and Environment Cabinet; Mr. form (398 cities). Class changes would amendment to the Kentucky Constitution preempt local home rule authority or John Covington, Kentucky Infrastructure be a change in the government form. To to permit cities to ask voters to decide impose unfunded costs on city taxpayers. Authority; Mr. Sean Byrne and Mr. Jason change the government form, the city on a temporary local sales tax; (2) 911 Senator Thayer commented that he Young, Century Aluminum. must have a public vote. The General funding. KLC will seek to increase the was glad that KLC was making prevailing LRC Staff: Tanya Monsanto, Stefan Assembly would no longer have to vote current commercial mobile radio services wage one of its legislative priorities. He Kasacavage, Lowell Atchley, and Kelly on reclassifications. The proposal does (CMRS) fees, require prepaid providers supports a complete repeal of the law. Blevins. not seek to make substantive changes to to remit the CMRS fee that postpaid Local option sales tax projects would be A quorum was present. After a hot-button issues, but some blending or mobile subscribers are required to pay subject to the prevailing wage law. motion and a second, the minutes from the unifying of city powers may make the each month, support the repeal of the cost In response to a question from October 3, 2013 meeting were approved. system more efficient. recovery statutes that require taxpayers to Senator Thayer, Mayor Bozarth said KLC Status of Water Issues in the Kentucky League of Cities’ pay for the costs of wireless providers for has not addressed the “right to work law” Commonwealth: Water Utilities Legislative Platform for the Upcoming carrying 911 calls, continue to oppose any because it has not seen legislation relating Gary Larimore, executive director 2014 Session of the General Assembly measure that removes the ability of local to it. Senator Thayer said he would like to of the Kentucky Rural Water Association, Mr. J.D. Chaney, KLC’s Chief governments to impose local fees for the see KLC take a position on the “right to gave an overview of the water and Governmental Affairs Officer, said that operation of 911 services, and oppose work law.” wastewater industry in Kentucky and cities are formed by the citizens of the city. any proposal that would reduce the Representative Wayne said that the the progress in delivering those services Their auditing and budgeting procedures total amount of state-generated revenue local option sales tax is a regressive tax across the Commonwealth. Mr. Larimore are public. Audits are performed every from the wireless fees; and (3) city that burdens lower income people. Local listed several reasons why Kentucky has year except for cities of the sixth class. classification reform. The League will governments have not taken advantage been successful in improving its delivery Cities have to publish components of seek to create a new classification system of property taxes, which are progressive of water service, including favorable those audits in the newspaper for the based upon the form of government. taxes. Sales tax revenues are eroding. climate and geography, significant federal citizens to be able to look and analyze the The proposal would result in a reduction Regarding prevailing wages, any removal laws such as the Safe Drinking Water audits, and the Auditor’s opinion letter in the number of city classes and would of these laws will affect the pay for the Act and the Clean Water Act, reasonable is part of that publication. It comes at a largely eliminate arbitrary and illogical working people. Right to work laws can state regulation, federal funding via the significant expense and it is transparency distinctions between classes. also affect the ability of these people United States Department of Agriculture that cities have traditionally supported and Mr. Jonathan Steiner, Executive to organize and consolidate their social (USDA), state funding and planning, and embraced, with the budget process as well. Director and CEO of KLC, continued power. consolidation of water associations. As cities adopt a budget, the budget has to with the League’s legislative agenda: (4) Senator Thayer said that he wanted Annette DuPont-Ewing, executive be published in the form of an ordinance. road aid formula modernization. KLC to create well-paying jobs for the people director for the Kentucky Municipal The distinctions, as to any inadequacies in supports restructuring of road funding Representative Wayne mentioned. Utility Association, described municipal the city auditing or the budgeting process, formulas for a fair allocation to local Kentucky should have an environment utilities in the Commonwealth and the probably have a good historical basis that governments with higher traffic areas, that is inviting for employers to locate role those utilities play in delivering traces the differences between cities and and thus more frequent needs for repair in. States with right to work laws are services to the public and generating counties. City leadership is responsible to and maintenance; (5) police officer recovering financially faster than those economic development opportunities for the people. personnel issues. KLC will continue without. local government. Kentucky’s municipal In response to a question from to strongly oppose any legislation that There being no further business, the utilities provide water, waste water, Representative Simpson, Mr. Chaney said expands the Police Officer Bill of Rights meeting was adjourned at 12:25 p.m. natural gas, and telecommunications to he did not know how many pension plans to make its provisions applicable to all areas that would otherwise be unserved are out there, but that actuarial analyses internal matters. Depending upon whether Interim Joint Committee because of smaller populations. Municipal are required. There is no central repository the Supreme Court renders a decision in on Natural Resources and utilities are governed by utility boards for those plan reports. the pending litigation, KLC may seek Environment or legislative bodies which require Senator McDaniel said he will legislation that clarifies the language and Minutes of the 5th Meeting reinvestment by the utility to continually introduce a bill in the 2014 session that will eliminates contradictions in a number of of the 2013 Interim upgrade aging infrastructure. Ms. involve pension repeal for those convicted police personnel statutes; (6) retirement November 7, 2013 DuPont-Ewing stressed the significance or resigning due to breaches of public anti-spiking legislation. KLC will seek to Call to Order and Roll Call of municipal utilities in being engines trust. The bill will also add increased clarify the meaning and application of the The 5th meeting of the Interim for economic growth in the state. Rates, ability for judges, when those crimes are anti-spiking provisions to ensure it does Joint Committee on Natural Resources capacity, and service are what industries committed, to actually call back pension not apply cumulatively and also provide and Environment was held on Thursday, look for when determining where to locate employee pension contributions from for additional needed exemptions for November 7, 2013, at 1:00 PM, in Room or to expand. employees who have committed financial increases that occur for other legitimate 149 of the Capitol Annex. Senator Jared After a question regarding why there crimes. He hoped that KLC would support reasons rather than abuse; (7) prevailing Carpenter, Chair, called the meeting to is little service offered in certain areas of that legislation. wage. KLC will seek to either repeal order, and the secretary called the roll. the state, particularly in Eastern Kentucky Representative Linder commented the existing state prevailing wage law Present were: and the problems in finding money for that the legislature has to be careful as it or make significant amendments to the Members: Senator Jared Carpenter, Black Mountain after reductions in coal proceeds down the road of centralizing statutes to raise the threshold or manner Co-Chair; Representative Jim Gooch Jr., severance, Ms. DuPont-Ewing said she some power on investigations because, of calculating the rates; (8) newspaper Co-Chair; Senators Joe Bowen, Chris could provide a hard copy of a map that in his opinion, it could be welded as a publication reforms. Cities will work Girdler, John Schickel, Brandon Smith, shows service across the state. Both water political hammer, and he could see future with the Kentucky Press Association to Johnny Ray Turner, Robin L. Webb, and and wastewater utilities are hampered by opponents running on investigations. modernize the laws related to newspaper Whitney Westerfield; Representatives Tim geography in terms of rolling out service, Even though nothing is found, the word publications by incorporating online Couch, Keith Hall, Stan Lee, Reginald which is the case in Eastern Kentucky. “investigation” puts a cloud over someone. resources and other mediums to provide Meeks, Marie Rader, John Short, John Also, there is still significant investment Representative Riggs stated that citizens more access to information about Will Stacy, Fitz Steele, and Jim Stewart needed in these areas. Mr. Larimore when malfeasance is discovered, people the operation of their city government III. responded that money for water line are walking away with no penalty or in a more cost-efficient manner; (9) Guests: Ms. Cheryl Norton and expansions and service has traditionally lawsuit. They should be penalized. drug abuse. The League will continue Ms. Susan Lancho, Kentucky American come from tobacco settlement dollars and

THE KENTUCKY GENERAL ASSEMBLY 33 coal severance. Company, described the water company line for a customer that can be moved by John Covington, Kentucky In response to a question about the from a historical perspective as the oldest the water company, Mr. Derouen said Infrastructure Authority, discussed the water quality of Kentucky’s lakes due to in Kentucky. Established by charter in that he did not understand the question. methods for planning and development algae overgrowth, Mr. Larimore responded 1854, Louisville Water Company serves The PSC addresses how far a line can be of drinking and wastewater infrastructure. that Kentucky’s public water supplies 850,000 people in the Louisville Metro extended with no cost. Directing a utility Mr. Covington described the loan facilities draw from Kentucky lakes and rivers. area and in surrounding counties. Water to make an extension is not dependent on in KIA that are used to fund infrastructure Ms. DuPont-Ewing added that municipal is sourced from the Ohio River, and the a particular footage. The PSC looks at the development and tools on the website that water utilities are held to strict standards average daily load is 121 million gallon cost of the line and makes a determination assist in proper planning of infrastructure and the Kentucky Division of Water has of water per day. The company also on whether a certificate of public needs. been concern about algae blooms. The provides public fire protection. The annual convenience and necessity is required. Jason Young, plant manager of division can add to the discussion about operations and maintenance budget There also is a regulation that certain sized Sebree Plant, and Sean Byrne, plant the health of the lakes. for Louisville Water Company is $68 lines cannot be more than 250 ft in length. manager of the Hawesville facility, Cheryl Norton, President of million dollars and another $75 million There is no PSC statute or policy that discussed the economic impact of the Kentucky American Water Company, is in the capital budget. Capital budget is prohibits a water utility from making an primary aluminum industry and research described the company as the largest used for reinvestment in infrastructure. extension. The only time there is a need to performed by Dr. Paul Coomes. He gave privately-owned water utility in the state. It Louisville Water Company’s average get PSC approval is when the construction statistics showing how important the has grown from a Lexington area provider annual investment in mains and large will materially affect the finances of the aluminum is to the United States and to a regional water provider that services transmission lines is $7 million. Louisville water utility. Normally that financial the Kentucky economy, and discussed 124,000 customers and 10 counties. The Water Company has direct customers as benchmark is $500,000. the agreement for purchase power at the rates and service of Kentucky American well as wholesale water service. Water Peter Goodman, Acting director of Hawesville plant and the hope to extend Water Company is governed by the quality and regionalization are two very the Kentucky Division of Water, and Julie the same treatment to the Sebree smelter. regulation of the Kentucky Public Service important topics for Louisville Water Roney oversees the Safe Drinking Water In response to a comment by a Commission. The biggest challenge for Company. program, discussed the regulation of water legislator that Kentucky is a leading water utilities and Kentucky American In response to a question about Lake in terms of its drinking water quality. producer of aluminum in the country and a in particular, is infrastructure investment. Dreamland and the problem of straight They discussed the number and location question about the agreement between Big Other challenges include affordable rates pipes moving untreated sewage into the of public drinking water systems and Rivers and Century, Mr. Young responded and finding new entrants to the workforce lake and about infrastructure collapse in differentiated them by those that produce that at Hawesville in September that the after older employees retire. Utilities need older parts of Louisville, Mr. Brammell and those that treat water. The Division of plant did not lose money. October was to provide quality water service that is stated that Louisville Water Company’s Water also regulates the quality of bottle different due to the transmission and reliable and affordable. It is important for pipes are a closed system. Questions water systems. The majority of the state severe spikes in purchase power prices. public health, economic development and about sewage would go to Louisville is supplied by surface water rather than A consultant hired by Century stated that overall quality of life. Kentucky American Metropolitan Sewer District. Infrastructure ground water. Only 23 percent of the lines were taken down by Big Rivers to do Utility encourages public-private is prioritized by the company and $7 systems serve populations greater than 10 maintenance and then after an unplanned partnerships to solve some of these issues. million is dedicated to pipe evaluation thousand; therefore, Kentucky is a small outage those lines were left down and this In response to a question on how and replacement. No area is ignored, but system state. Kentucky is relatively well- caused a dramatic increase the purchase to sustain quality, reliable service in higher priority areas which have a history served because 95 percent of the state has power costs. In October, Century had a Kentucky, Ms. Norton said investment of being the worst performers in terms of safe public drinking water. Infrastructure massive loss. There is live line maintenance and flexibility in looking at retirements are breaks will be addressed first. Older areas continues to be a serious need in the state. not being performed per se on major lines important. Affordability is also a big issue of Louisville, particularly the central Based on a drinking water survey required that caused the transmission issue and the in the United States. Communities are business district, do have some planned by the United States Environmental Midwest Independent System Operators having trouble affording to run systems infrastructure improvements. Protection Agency, Kentucky’s needs $6.2 (MISO) to curtail by 30 megawatts and because public funding and grants may In response to a question about the billion dollars for infrastructure over the drove a price spike in the system. not be available in the future. health of the aquifer under the city of next 20 years. Mr. Young then stated there are In response to a question about Louisville, Mr. Brammell said that it has In response to a question about how a instances where Big Rivers identified whether public-private partnerships work, been studied, and pump tests show that the beauty shop qualifies as a public drinking live line maintenance on 36 lines wholly- unbundled services, and whether there aquifer is recharged at a sufficient level to water system and the problems with Lake owned by Big Rivers over 116 events. will be more partnerships in the future, serve the Prospect plant’s needs. Dreamland, Ms. Roney said that a beauty Mr. Young further described events Ms. Norton said yes. There are numerous Status of Water Issues in the salon becomes a drinking water system surrounding the outage at the Coleman examples across the nation and between Commonwealth: Water Regulation if the shop has a well. Mr. Goodman plant and requests to not take a line down Kentucky American Water Company and Jeff Derouen, executive director of said that there have been concerns about which went unreported to MISO causing smaller public utilities. Kentucky has the Kentucky Public Service Commission, dumping at Lake Dreamland. The lake has an unprecedented spike in prices of several been expanding service by rolling out discussed state regulation of water service reached its lifespan. hundred thousand dollars. Mr. Young lines but that infrastructure is difficult to provides. The PSC regulates investor- In response to a question about asked the committee to request that the continue without investment. Ms. Norton owned, water associations and water the decline in public water systems, Mr. PSC review this data and whether actions continued that service can be unbundled districts, and municipals with respect to Goodman said that the drinking water by Big Rivers were punitive toward so that one aspect is provided through a wholesale service contract furnished to system must meet specific rules about Century Aluminum. Mr. Young indicated public private partnership such as billing a regulated utility. In 1936 municipals quality and these systems will seek to he would make the data available to the or sewage treatment plant operation. were removed from the PSC jurisdiction. reduce costs by tapping onto the public committee. In response to a question about The PSC authority derives from statues, system. Regionalization becomes a One legislator responded that the whether meters are read electronically, regulations and court decisions. He sensible financial decision. committee needs to hear from Big Rivers Ms. Norton said yes. Almost all meters described the functions of the PSC with In response to a question about a and asked that the PSC review whether the are radio reads. Another legislator asked respect to general rate making, alternative new rule that will impact gasoline retailers PSC approved the agreement or just the for an update on the Owen County rate filing, and rate adjustments tied to Bruce Scott, Commissioner for the rates. Another legislator remarked upon pipeline project. Ms. Norton responded construction projects and the wholesale Department of Environmental Protection, the importance of coal to the aluminum by explaining that Kentucky-American rates and purchase water adjustments. Energy and Environment Cabinet said industry, asked that all the members Water Company built a plant on the Owen- The PSC regulates supply, reliability, that a regulation requires tanks to have receive a copy of the documents regarding Franklin County line and then ran 30 miles adequacy and customer service, Certificate protection and controls. At least 300 the live line maintenance, and said the of pipeline to Lexington. This project has of public convenience and necessity for tanks at 15 facilities have to switch the members need to discuss this with the allowed Kentucky American to draw from construction projects and removal of tank control, but some have not replaced Kentucky Public Service Commission. various pools during low water events and water districts. Most small utilities use the the control and those facilities are out of After a motion and a second the provide water to central Kentucky. alternative rate filing while larger ones use compliance. The regulation is federal, committee adjourned at 3:20 PM (EST). Mr. James Brammell, President and the general rate making. and it is not known whether Kentucky’s CEO of Louisville Water Company, and In response to a question about interpretation is more onerous than the Interim Joint Committee on Amber Halloran, CFO Louisville Water whether it is law or regulation to add water interpretation in other states. State Government

34 2013 Interim LEGISLATIVE RECORD Minutes of the 4th Meeting issues are addressed, the customer base said increased efficiency of operation and The need to focus on maintenance of the 2013 Interim will continue to erode, thus affecting the a change in culture have been achieved and related health and safety issues October 23, 2013 future of the parks. The department has since development of the 2010 Kentucky has limited the ability to address other Call to Order and Roll Call developed a strategy for the future that State Park Operations Strategic Plan, areas. The department needs assistance The fourth meeting of the Interim will help manage some of the challenges. but outside forces continue to affect the in pursuing public-private partnerships Joint Committee on State Government was General Fund receipts from FY 2004 ability to maintain and grow. To decrease and continuing efforts to streamline held on Wednesday, October 23, 2013, at through FY 2013 have remained relatively expenditures over the last several years, operations. The ability to partner with the 12:00 Noon (CDT) in the picnic pavilion flat—in the $28-$30 million range. Two the department transferred three parks private sector can be cumbersome. For at Lake Malone State Park, Belton, KY. supplemental $5 million appropriations in to the Constitution Square, Ben Hawes, example, when someone offered to donate Representative Brent Yonts, Chair, called 2008 and 2010 were quickly absorbed. In and Benham-Lynch local governments, free mowing at one of the smaller parks the meeting to order, and the secretary addition, receipts have diminished from repurposed four golf courses, and reduced in return for harvesting some of the hay, it called the roll. a high of over $55 million in 2007 to a full-time staff by 23 percent from 1,071 in took two months to complete the required Present were: low of $48 million in 2012. Contributing 2007 to 814 in 2013. Request for Proposals (RFP) process. Members: Representative Brent factors were a downturn in the economy, A number of years ago, week hours Kentucky has a wonderful park system Yonts, Co-Chair; Senator Stan Humphries; a change in visitor vacation patterns, for parks field staff were reduced from with valuable and faithful employees and Representatives Dwight Butler, Will declining guest services, and a reduction 40 hours to 37.5 hours. Because of the customers. It is important to preserve the Coursey, Derrick Graham, Mike Harmon, in government sector conference and seasonal nature of park operations, the natural and historic sites so that they will Kenny Imes, James Kay, Martha Jane meeting business. Personnel costs have department has been given authority to be available to all Kentuckians and attract King, Mary Lou Marzian, David Meade, escalated despite a significant reduction reduce field staff during the off season visitors from around the nation. The state Brad Montell, Tom Riner, Bart Rowland, in full-time staff and cuts in the number based on business needs. Weekly hours park system plays a significant role in the Steven Rudy, and Ken Upchurch. of hours worked by field staff. Retirement for workers have been cut by as much economy for rural communities. Investing Guests: Elaine Walker, Kentucky and health insurance costs peaked in FY as 20 percent during the winter months, in the parks is good business sense. The Department of Parks; Molly Caldwell, 2011, though personnel had decreased. going from 37.5 to 30 hours. This has economic impact from state parks was Kentucky State Parks Foundation; Joseph Today, those costs alone are almost $12 hurt morale and diminished the level of more than $840 million in 2011. House; Bobby Allen; Melody Vaught; and million. In addition, from 2000 to 2007, services. The department has advised Representative Yonts thanked Ms. Donald Phelps. at the same time that revenue and receipts staff that they will remain at 37.5 hours Wells and other employees who were LRC Staff: Judy Fritz, Brad Gross, were shrinking, the department was during the winter season, with the goal of present for their service. He pointed out Greg Woosley, and Peggy Sciantarelli. dealing with a dramatic increase in new maintaining that as the new normal. The that underfunding of the parks have led Approval of Minutes construction: six 18-hole golf courses; impact of this measure has dramatically to the closing of area businesses. He Due to lack of a quorum, approval of one 9-hole golf course; expansion of one improved morale of field staff. also emphasized the valuable role of the minutes of the September 25 meeting 9-hole course to 18 holes; four pro shops; The department is endeavoring to partnerships. was deferred until the November meeting. three conference centers; two meeting develop more public-private partnerships. Representative Montell asked Subcommittee Report facilities; two campground grocery stores; There is an agreement with Golf Now about potential opportunities for future The subcommittee report of the and one visitor center. No added funding to provide tee time reservations at the public-private partnerships to maintain Task Force on Elections, Constitutional was received for maintenance. Costs golf courses, along with promoting and and operate the lodges and golf courses. Amendments and Intergovernmental associated with one 18-hole golf course, marketing the courses. The Kentucky Commissioner Walker said the cost Affairs was deferred until the November under a five to seven year replacement State Parks Foundation is a key partner. to operate one of the golf courses is meeting. schedule, average $2.5-$3 million. The department is also working closely $330,000 each year. Two of the 16 courses The Kentucky State Parks System Operating and maintenance funds for these with Friends groups, which are concerned are close to breaking even. The 9-hole Representative Yonts said the new structures have been reduced from citizens who work together to support course at Rough River recently closed meeting is being held at Lake Malone to $11 million in FY 2000 to approximately their local parks. because it was not profitable. The private draw attention to the plight of the state $5 million in the current biennium. During strong economic times Lake sector is not interested in park operations parks—particularly the small parks— The department has been unable Malone State Park had as many as nine that are not profitable. An optimal way to hear concerns of local citizens, and to meet the standard life cycle for full-time employees. Staffing this year is to structure private sector involvement provide an opportunity for committee replacement of most infrastructure. Repair equivalent to 4.5 full-time staff, prior to would be to provide land at no cost for members to experience the beauty of dollars have been stretched to a level Labor Day, including two maintenance the private sector to build, operate, and Lake Malone. In response to a letter he that can lead to complete breakdown of people, a part-time boat ramp attendant, maintain a facility, with a percent of received from Jo Ann Griffin relating boilers, chillers, and wastewater treatment one campground attendant, and an interim profits returned to the parks system. In to conditions at Lake Malone, he said plants. The department cannot meet the park manager. Volunteers have also been other words, the focus should be to stop that he, Representative King, and other industry standard that typically requires utilized to care for the campground area at looking to the private sector to take over legislators have begun to focus on the replacement of in-room amenities, Lake Malone and other park campgrounds. existing facilities and to instead ask what funding needs of the parks system. Lake furnishings and linens every five to seven Four areas at Lake Malone have been the private sector would like to create. The Malone formerly had 27 employees but years. designated wildlife management areas. RFP for a canopy/zip line tour left open now has only a part-time manager and Technology challenges are This reduces mowing and enhances the choice of park in which to locate it. two part-time contract laborers, who have dramatically impacting services. Critical wildlife habitat and growth of native One response was received to the RFP, done a tremendous job. software, particularly in the resort parks, is grasses and wildflowers. At Lake Malone and the department believes the canopy The first guest speaker was so outdated that the department is facing a 2012 was a difficult transitional year, but tour will generate a revenue stream. Department of Parks Commissioner Elaine cost of about $150,000 simply to upgrade many improvements have been made in Representative Riner asked about Walker. (Subsequent to the meeting, she basic hardware until a new system can 2013. innovative strategies employed by other provided paper copies of her presentation be created. It requires 11-13 clicks to Commissioner Walker recognized in states. Commissioner Walker said she is for distribution to the entire committee.) make a reservation on the department’s the audience Teresa Wells, the interim Park a member of the National Association of Commissioner Walker said the web site; the industry standard is three to Manager, and thanked her and other park State Park Directors. There is a constant parks are an economic driver in the state, five clicks. Park reservations cannot be staff for doing a great job. She said gas flow of information, and the members particularly in distressed areas. The goal booked through programs like Travelocity tanks at the boat ramp have opened for the work with their partners to learn best of the parks continues to be to provide and Expedia. To address these problems first time in three years. The campground business practices. Kentucky is unique all citizens access to some of the most requires a new, multi-faceted property was 100 percent booked on its improved in that few other state park systems have beautiful land in the Commonwealth. management system, upgrading of 13 camp sites at least three-quarters of the as many resort parks and golf courses. The Department of Parks has been and parks telephone systems, installation of season. This occupancy was aided greatly Representative Riner said Kentucky continues to be in serious financial wireless in many facilities, and upgrades by the Friends Group. Lake Malone, like might be able to offer things that other trouble. Escalating personnel and business in the point-of-sales systems at a projected other recreation parks, is generally open states do not. He suggested that a shooting costs and an eroding customer base have cost of about $4 million. April 1 through October 31 with limited range centered around the traditional brought the situation to the critical stage. Commissioner Walker commended seasonal operations. Kentucky long rifle might attract visitors. There have been numerous attempts to both central office and park staff as being Commissioner Walker said the Commissioner Walker said the parks are reverse this course, but until revenue among the finest in state government. She parks need an increased revenue stream. expanding their archery and shooting

THE KENTUCKY GENERAL ASSEMBLY 35 ranges wherever possible. She will soon Commissioner Walker said, technically, The third invited speaker was Joseph abandoned. An area that was formerly be conducting a planning session with those receipts go into the total parks House, a resident of Greenville, Kentucky, well kept and used for picnics was turned staff and park managers to hear their ideas. budget, but they are used to support the who owns a construction company and into a wildlife area, security lights were Responding to questions from operation of those specific parks. is employed as a registered nurse at the removed, and it was closed at night time, Representative Graham, Commissioner Senator Humphries said he has heard hospital in Madisonville, Kentucky. bringing many complaints from citizens. Walker said she does not have total park visitors comment that they expected a Mr. House said he is a regular visitor of A former club house that had a grocery knowledge of the new constructions more manicured appearance. He also asked Kentucky state parks. He complimented store, a park office, and living quarters for mentioned earlier because they were about the need to address health and safety the beauty of Kentucky Dam Village State the superintendent developed structural initiated prior to her tenure, but most were issues at the parks. Commissioner Walker Park and food at the lodge restaurant but problems and was torn down but was not projects requested by the legislature. The said the necessity to use maintenance pool said there was a shortage of dining room rebuilt as promised. The beach area no department did not necessarily receive dollars for upkeep of boilers, chillers and personnel, who he learned were day longer has lifeguards, a nurse’s station, or additional funds for their operation and wastewater treatment limits the ability to laborers not employed by the state. During first aid station. Trash frequently builds maintenance. The 23 percent cut in full- meet the industry standard for upgrading his visit to Rough River State Park, the up. The lake once had two pontoon boats, time staff included both field and central furnishings. Maintenance needs though dining room was well staffed. Citing his eight paddleboats and 10 fishing boats. office staff. The Frankfort office has have benefited from the assistance of experience as a businessman, he suggested One pontoon was damaged by a falling several vacancies, but existing staff have community volunteers. that the department outsource unprofitable tree, and the other boats were transferred worked hard to cover those additional Representative Meade asked about operations to the private sector. Lifts to other parks. The boat dock can sell responsibilities. The department has a technology needs and the inability to should be installed at the Lake Malone gas and fishing supplies; however, it has little over 800 full-time staff. A few resort coordinate with online travel booking and other park marinas so that disabled a sign on the door with a number to call parks continue 7-day operations and may agencies. Commissioner Walker said the visitors are able to enter and exit the boats. if gas is needed, and the office is often supplement with temporary staffing. The department plans to issue an RFP next The cabins at Kentucky Dam Village left unattended. The campground facility goal is to maintain a staffing level for week for a property management system. would benefit from refurbishing; however, is frequently not occupied, and there is parks to continue operating during reduced The goal is to work with companies who he was pleased that he was able to often no cell phone service. In the 1970s winter hours, supplemented as necessary would provide hardware and software to negotiate his room rate there. Muhlenberg the state condemned 25 acres above during the off season. Volunteer support enable the parks to improve booking and County has a federally funded Job Corps the boat and beach house area and paid from communities is key to the success of electronic communication, in return for a program that might be an option to assist $104,000 for the property. The land was the parks system. Representative Graham set fee or percentage of transaction. If this with maintenance at Lake Malone and never developed and has been essentially said the state parks are a treasure of the is not successful, the department will be save money for the Commonwealth. The abandoned. Another 50 acre tract that was Commonwealth, and he commended requesting additional funds to upgrade its legislature and citizens of Kentucky must formerly leased to farmers and brought Commissioner Walker and all parks staff. 20-year-old technology system. work together to promote ways to preserve in annual revenue of about $2,000 has Responding to questions from Representative Yonts asked about the parks and make them profitable. become unusable. Without success, Representative Rudy regarding the golf status of the parks relative to the 2008 Representative Yonts recalled a past RFP various groups have asked that this tract courses, Commissioner Walker said budget. Commissioner Walker said the for building cabins at Lake Malone that be used for horse or RV trails. none are operating in the black, although department was much better off in 2008 received no response. He emphasized the The land for Lake Malone State one could be considered profitable if and would clearly benefit from additional importance of structuring an RFP so that it Park was donated, but the park is being calculated on a seasonal basis. This is revenue. Representative Yonts expressed will attract private sector bidders. allowed to fade away. Because the Parks not unusual, however; none of Bowling appreciation for the presentation and for Representative King, who has lived Department has failed in its mission, Green’s three golf courses operated in the the good work the department is doing in at Lake Malone since 1962, said it has a a nearby golf course, housing project, black during her tenure as mayor. The two spite of a limited revenue stream. unique history. The residents understand country store, and RV park have failed. courses that are close to being profitable The next guest speaker was Molly that the relationship with the state has The park has been dying, and that has are at Dale Hollow and My Old Kentucky Caldwell, President, Kentucky State Parks changed over the years. A pivotal time affected profits not only for the park but Home State Parks. Where allowed by local Foundation. She said she was hired in was during a previous administration also for the surrounding community that ordinance, the sale of alcoholic beverages June 2013 and has so far met with park when funding was cut, the marina was has devoted many years to keeping it alive. is proving beneficial, particularly at Jenny managers, visitors and Friends groups closed, and the Department of Fish and Mr. Higgins closed by saying he believes Wiley. Currently three resort parks and at 30 parks. A bequest from a northern Wildlife Resources began assessing fees that, with help, the park can become the two recreation parks are allowed to sell Kentucky fan of Kentucky state parks at the park. She understands the funding thriving park it once was. alcohol; two additional parks are under helped create the Foundation in 2006. problem and said that she and the other Three other local citizens spoke and consideration. Since that time there has not been any local residents are ready and willing to urged support of Lake Malone State Park: When Representative Upchurch large fundraising effort. The mission is to work with the department for the benefit Bobby Allen, pastor at Belton Beechmont asked about the financial status of the protect, promote, enhance and advocate of Lake Malone. General Baptist Church, Beechmont, parks and golf courses and the future for the natural, historical and cultural Citizen Testimony Kentucky; Melody Vaught, Belton, outlook, Commissioner Walker said resources of Kentucky’s state parks and Representative Yonts read a prepared Kentucky; and Donald Phelps, a Friends the department’s budget appropriation historic sites. She is working to promote statement from Kenny Higgins, a resident of the Park member. was about $28 million, with revenue partnerships with corporate and individual of Greenville who was invited to testify Mr. Phelps said the group has estimated at approximately $48 million. investors. Her task would not be possible but could not be present. In his statement, attempted to get the Department of Though striving to stay within budget, without help from local supporters. The Mr. Higgins said he was an employee of Parks to have tornado-damaged timber the department currently is somewhat Foundation is promoting awareness and Lake Malone State Park for 35 years and harvested; the only response has been, over budget. The golf courses cost a little is sponsoring an October 24 event at served as superintendent from 1977 until “We are working on it.” Representative more than $2 million to operate; specific Keeneland. The Foundation works with retiring in 2006. At its highest level of Yonts asked Commissioner Walker data is available for each course. One 18- the Friends groups and accepts grants on employment during his tenure the park whether an RFP can be issued for this hole course runs a deficit of $200,000- a quarterly basis. At this time $350,000 in had as many as 27 employees, including purpose. She apologized for the delay and $300,000. The department is still in the applications has been received, and nearly lifeguards and boat dock employees. Since said the department is now in the process process of financing some of the golf $200,000 of that money has been funded. 2004 the park has lost approximately 20 of resolving that issue. courses and cannot close them. Nine- The Foundation also has a goal to help employees and now has only a part-time Adjournment hole courses were closed at Kenlake and Friends groups attain 501(c)(3) status. assistant manager and two temporary Representative Yonts announced that Rough River. The department is looking This status is currently being sought by contract laborers. For the first time in members who wish may take a riding tour at repurposing the Rough River location, the Friends of Lake Malone, and they are history there is no full-time park manager of the park on a low-level trailer, courtesy which has promising potential. Possibly a working closely with the Lake Barkley or full-time water/sewer operator. Because of Darrin Benton, a Muhlenberg County partnership with the private sector can be Friends group. Responding to a question there is no ranger there are fewer visitors magistrate. With business concluded, the developed to generate revenue at the golf from Representative Yonts, Ms. Caldwell to the campgrounds. A wildflower trail meeting adjourned at 2:38 p.m. courses. said that a group of committed volunteers created by the donation and work of retired Senator Humphries said, in his may apply for grant funding from the school teachers and community leaders is Interim Joint Committee on opinion, the parks that sell alcohol Foundation without having 501(c)(3) now overgrown and has been designated State Government should retain revenue from those sales. status. a wildlife area, effectively being

36 2013 Interim LEGISLATIVE RECORD Task Force on Elections, an executive pardon. A plurality of states are an effective means of preventing voter written testimony, a copy of which was Constitutional has some form of automatic restoration impersonation and various other forms distributed to the members at the meeting Amendments, and of voting rights after the completion of a of vote fraud, and are thus a means of and can be found in the Legislative criminal sentence. Approximately one in protecting the integrity of the ballot and Research Commission library. Intergovernmental Affairs ten African-Americans are unable to vote the vote itself. Voting fraud exists and has The business concluded, and the Minutes of the 3rd Meeting because of a felony and limited restoration a long history. He provided examples from meeting was adjourned at 3:00 p.m. of the 2013 Interim policies. This number could rise as high as court opinions, Congressional reports, and October 22, 2013 three in ten in the near future if laws are other historical accounts of fraud that has Call to Order and Roll Call Interim Joint Committee on not amended to restore voting rights. occurred nationally and in Kentucky. Mr. Transportation The 3rd meeting of the Task Ms. Perez stated that studies show von Spakovsky gave the members details Force on Elections, Constitutional Minutes of the 5th Meeting that recidivism rates are lower in felon of a grand jury report that documented a of the 2013 Interim Amendments, and Intergovernmental populations that have had their rights 14 year scheme to commit voting fraud Affairs of the Interim Joint Committee on November 5, 2013 to vote restored. Voting is a pro-social that involved both voter impersonation Call to Order and Roll Call State Government was held on Tuesday, act. The processes of observing time and ballots cast by fake voters. Kentucky October 22, 2013, at 1:00 PM, in Room The 5th meeting of the Interim Joint periods, waiting in lines, casting a ballot, is part of an interstate registration system Committee on Transportation was held 171 of the Capitol Annex. Senator Joe and engaging in the elections process to that shows more than 14,000 registered Bowen, Chair, called the meeting to order, on Tuesday, November 5, 2013, at 9:00 achieve a result are law abiding exercises Kentucky voters are registered to vote in AM, at the National Corvette Museum in and the secretary called the roll. that are positive for a convicted felon other states. Present were: Bowling Green, Kentucky. Representative rejoining society. Children largely learn Mr. von Spakovsky gave overview Hubert Collins, Chair, called the meeting Members: Senator Joe Bowen, Co- to vote and participate in elections from of the recent trend of states adopting photo Chair; Representative Darryl T. Owens, to order, and the secretary called the roll. their parents, and thus non-voting felons identification requirements for voters A quorum was present, and the October 1, Co-Chair; Senators Walter Blevins Jr., cannot pass along these lessons so that and the legal challenges to several state Ernie Harris, Christian McDaniel, Morgan 2013 meeting minutes were approved. large numbers of children never have laws. He stated that no facial challenge Present were: McGarvey, Gerald A. Neal, R.J. Palmer role models to emulate. The issue is not to any recent photo identification law II, Albert Robinson, and Damon Thayer; Members: Senator Ernie Harris, Co- a partisan issue since politicians of both has been successful. The challenges have Chair; Representative Hubert Collins, Co- Representatives Kevin D. Bratcher, parties have supported the restoration of largely failed because plaintiffs’ claims Joseph M. Fischer, Derrick Graham, Mike Chair; Senators Jimmy Higdon, Ray S. voting rights. that the laws result in discriminatory Jones II, Bob Leeper, Morgan McGarvey, Harmon, Mary Lou Marzian, and Bart Several local advocates testified and disenfranchisement have not been Rowland. Dorsey Ridley, Albert Robinson, John discussed the impact of the permanent supported by election data. For example, Schickel, Johnny Ray Turner, and Guests: Myrna Perez, Director, loss of voting rights for felons and the data produced in litigation in Indiana and Voting Rights and Elections Project, Whitney Westerfield; Representatives merits of restoring voting rights for these Georgia have indicated the laws do not Denver Butler, Leslie Combs, Tim Couch, and Deputy Director, Democracy citizens. Raoul Cunningham said that suppress voter registration or turnout, with Program, Brennan Center for Justice– Will Coursey, Jim DeCesare, Keith Hall, one in 17 Kentuckians, and nearly one several instances of higher rates occurring Kenny Imes, Jimmie Lee, Charles Miller, New York University School of Law; in five African-American Kentuckians, after the laws were passed. There have Raoul Cunningham, President, NAACP- Terry Mills, Tanya Pullin, Steve Riggs, are denied the right to vote because of a not been any successful “as applied” John Short, Jim Stewart III, and Addia Louisville Branch; Rev. Dean Bucalos, felony. More than 128,000 felons have challenges because plaintiffs have not been Kentucky Council of Churches, and Tayna Wuchner. completed sentences but cannot vote, able to produce any witnesses who could Guests: Mike Hancock, Secretary, Fogle, Kentucky Restoration of Voting which is a population greater than all but not get a required photo identification and Rights Coalition; Hans von Spakovsky, Kentucky Transportation Cabinet; Nora three Kentucky counties. Reverend Dean vote. Every state that has passed a photo Roper, Assistant Manager, GM Corvette Manager, Election Law Reform Initiative– Bucalos stated that restoring the right to ID law has provided for a free form of The Heritage Foundation, and James Plant; Eric Henning, Regional Director, vote allows these persons to participate, identification. The United States is the State Government Relations, General Lewis, Leslie County Clerk, and Elections helps restore their dignity, and brings them only civilized, developed democracy that Committee Chair, Kentucky County Motors. into society by treating them the same as does not require photo identification to LRC Staff: John Snyder, Brandon Clerk’s Association. others in at least one respect. Tayna Fogle vote. Mexico, with a larger population in LRC Staff: Judy Fritz, Karen Powell, White, and Christina Williams. testified that, although she and others have poverty than the United States, requires a Welcome and Opening Remarks Greg Woosley, Kevin Devlin, and Terisa been convicted of a felony, they are back photo ID with a thumbprint. Roland. Chairman Collins welcomed in the community after their sentences are James Lewis, Leslie County Clerk members and guests to the committee and Approval of Minutes served and want to contribute. and Elections Chair of the Kentucky The minutes of the September 24, congratulated Mike Hancock, Secretary of Several members posed questions County Clerk’s Association, stated that the Kentucky Transportation Cabinet, on 2013 meeting were approved without and voiced their opinions and concerns. he supports additional voter identification objection, upon motion by Representative his recent election as the President of the A primary concern was that the task force requirements to assist poll workers American Association of State Highway Owens and second by Representative had not heard from the law enforcement statewide in confirming a voter’s identity. Rowland. Transportation Officials. Chairman community on the issue, and it was His association has not taken a formal Collins also introduced James Scott with The meeting was chaired by both suggested that members of the community position on the issue or conducted a poll Senator Joe Bowen and Representative Scotty’s Contracting & Stone LLC; Mac be asked to provide input. Other members of the clerks to gauge support, but the Yowell, former State Highway Engineer Darryl Owens. expressed their opinions that the pre- clerks have generally had a concern about Restoration of Voting Rights and the Director of Public Works of filed bills should get fair consideration in the part of the current law that permits use Warren County; Juva Barber, the new The task force discussed the both chambers during the 2014 Regular of a credit card as an acceptable form of restoration of voting rights for certain President of the Kentuckians for Better Session. identification for a voter. He felt confident Transportation; and Former State Senator convicted felons. Senator Gerald Neal Ms. Perez gave a PowerPoint that a majority of the clerks would likely gave an overview of two pre-filed bills Richie Sanders. presentation to accompany her testimony, be in favor of a stricter law because they Representative DeCesare thanked for the 2014 Regular Session. Both a paper copy of which was distributed want the public to feel secure in the votes bills propose amending the Kentucky Wendell Strode and all of the staff from to the members at the meeting and is they cast, and because the clerks want to the National Corvette Museum for its Constitution to automatically restore available in the Legislative Research ensure there is as little opportunity for voting rights to convicted felons, but that hospitality. He also recognized Bruce Commission library. voter fraud as possible. Wilkerson, Mayor of Bowling Green; the proposed amendment would not apply Voter Identification Requirements Several members voiced their to all felonies. Voting rights would be Mike Reynolds, former State Senator; and The task force also discussed voter opinions and concerns on the issue, with Greg Meredith, District Engineer. restored only after a convicted felon has identification requirements. Hans von a primary concern that there was little successfully completed all penalties. Presentation by GM covering its Spakovsky of The Heritage Foundation evidence of impersonation fraud that Activities in Kentucky Myrna Perez, Brennan Center for advocated for Kentucky to adopt a stricter would be prevented by a stricter voter Justice at New York University School of Nora Roper, Assistant Manager, GM law that would require government- identification requirement, a requirement Corvette Plant and Eric Henning, Regional Law, stated that approximately 5.85 million issued photo identification to vote. Mr. that could also create barriers for some felons cannot vote nationwide. Kentucky Director, State Government Relations, von Spakovsky stated that government citizens to vote. General Motors, began a presentation on is one of only three states that completely issued photo identification requirements Mr. von Spakovsky submitted bars voting for convicted felons, absent General Motor’s activities in Kentucky.

THE KENTUCKY GENERAL ASSEMBLY 37 Andrea Hales, GM Plant Communications being landfill free. The plant has received In response to a question asked by billion in 2014 to $0.2 billion in 2015. The Manager, was also introduced. the energy star challenge for the industry, Chairman Collins, Ms. Roper stated the fund will rebound in 2016 to $31.4 billion Ms. Roper stated the GM Corvette which means it has improved the use of approximate base price for a new C7 and then increases to $36 or $37 billion Plant has recently invested $131 million to the energy it uses, reducing the energy Corvette is $52,000 and $57,000 for the by 2023. upgrade the Bowling Green plant location usage by 10 percent within the past 5 convertible model. That price is without The plan that Secretary Hancock and retool the facility to produce the new years. The plant has a wildlife habitat that any extras or add-ons. plans to submit in the 2014 session of the C7 model Corvette. The last C6 model, consists of 75 acres, and it is the largest General Assembly will be built around the previous version of the Corvette, was within any GM sites. The wildlife habitat Representative Lee reflected on the assumption that Congress will act built on February 28, 2013. The number contains walking paths and picnic tables selling a few Corvettes when he was an providing the funds necessary to keep of C6 Corvettes that were built is 215,213. and is open to the public. automobile salesman. He stated Corvettes the program at about $40 billion a year The GM Corvette Assembly plant Representative Coursey introduced and their relationship with Kentucky have nationally. He stated that action may or has approximately 1 million square feet his special guest in the audience, Jim been a huge success story. As a former may not happen and there is no guarantee and has one production shift that is 8 hours Lafever, Chief District Engineer the automobile salesman, he sold Corvettes that the action will occur before 2015. per day, Monday through Friday. The Kentucky Highway Department, who is with pride. Secretary Hancock warned that the production volume is 17.2 units per hour, now Kentucky’s Operation Manager for Discussion of the Future of the Highway Program may have to be slowed which translates to 137 Corvettes that are the Infrastructure Corporation of America. Federal Aid Highway Program in 2014, depending on how likely it assembled on an 8 hour shift. The plant Mike Hancock, Secretary, Kentucky appears that Congress will provide those employs approximately 1,000 employees, Senator Jones expressed his Transportation Cabinet, began a discussion funds, so as not to incur huge bills in 2015 including 700 hourly employees, 110 excitement to be in Bowling Green and on the future of the Federal Aid Highway and have no way to pay them. salaried employees, and over 200 stated he is a longtime fan of the Corvette, Program. Secretary Hancock recognized If the Federal Highway Trust Fund contract and temporary employees. owning two Corvettes himself. He stated Steve Waddell, State Highway Engineer Program drops to $0.2 billion in 2015, The construction of the new seventh the Corvette C7 is a remarkable car and a who was in the audience, as well as Chuck there will be no federal highway program generation Corvette, or C7, brought forth significant step forward over the C6. The Wolfe, Public Information Officer, and authorizations in 2015. The projects in the need for additional permanent General C7, by all accounts, is truly a revolutionary Greg Meredith, District Engineer. the pipeline will continue to move at the Motors and UAW employees. Twenty- vehicle, particularly at the price point of Secretary Hancock stated that the pace Congress helps move them, but there four employees were added, some being the car. Senator Jones stated he believed Federal Highway Trust Fund has a long- could conceivably be no Federal Highway transferred from other parts of the U.S. In that the C7 could be the Motortrend term structural imbalance. Secretary Trust Fund Program in 2015. 2012, the GM Corvette Assembly Plant’s 2014 Car of the Year, and if so, it would Hancock stated Chairman Combs of Congress has a history of addressing wages to employees totaled $53 million. be appropriate to publicly recognize that the Budget Review Subcommittee this problem, and the Highway Trust Constructing the new C7 included honor. Senator Jones stated the celebration on Transportation just returned from Fund has received multiple General Fund the need for additional buildings that were of the C7 is not just about the car, but Washington D.C. where she has been transfers over the past few years. In 2008, added to the plant. An extension of the about the union auto workers and all of informed of many of these issues as well. $8 billion was received, in 2009, $7 billion building for pre-treatment of the frames the people involved with building the car, was received, and in 2010, $19.5 billion was added as well as a new body shop. The showing what a competent qualified union Secretary Hancock stated people are was received. MAP-21 has provided body shop construction cost approximately workforce can do. He indicated the C7 driving less and the purchasing power approximately $20 billion in funds. $52 million of $131 million. The trim area will help GM with its turnaround, which of the Highway Trust Fund is declining Secretary Hancock referred to a of the plant was rearranged and now work will bring attention to Kentucky. He stated at increasing rates. Also, alternative fuel chart in his presentation that refers to stations are much more organized. a start up of a motor sports club is possible sources are creating some issues that the buying power of the Highway Trust in Western Kentucky due to the amount of reduce revenues to the Trust Fund. Fund dollar. With the assumption that the The C7 was revealed on January 13, Corvettes, and that would also bring a lot Congress has demonstrated over buying power in 1993 was at 100 percent, 2013 and the Stingray name was brought of attention to Kentucky. Senator Jones the past few years an appetite for by 2012, 37 percent of that purchasing back for the C7 model as well. After its congratulated the GM Corvette Assembly Transportation which is a positive power will be lost, and by 2023, more than reveal, C7 was one of the top 5 trending Plant on its accomplishments. thing. Referring to the first chart of the half of that purchasing power will be lost search topics on Google. At the North Representative DeCesare agreed presentation, the chart indicated what will under the current scenarios. American International Auto Show the with erecting a sign if the C7 was named become a fiscal reality if Congress does Secretary Hancock referred to Corvette Stingray had close to 75 minutes the Motortrend 2014 car of the year. He not act. In relation to Transportation over another chart that demonstrated that the of media coverage at the show. The only also mentioned that the Corvette has been the last four or five years, Congress has Highway Transfer Fund will outpace other automobile that came close to named the official sports car of Kentucky. pushed the envelope and is living beyond receipts by $15 billion or more per year. that amount of media coverage was the Representative DeCesare thanked its means, in the Federal Highway Trust The Highway Trust Fund, as currently Cadillac ELR, which had approximately Ms. Roper and Mr. Henning and stated Fund by supplementing the Trust Fund operated, is not sustainable. Congress 10 minutes of coverage. The new Corvette a few short years ago there were some with General Fund revenue to the tune will have to evaluate realistically and has been on the cover of several magazines questions and issues surrounding the of approximately $40 billion. While holistically the way Transportation is including, Road and Track and Car and plant and it is refreshing to have the plant this is not necessarily a bad thing for funded in America. Driver. go from a few hundred employees to Transportation, it does put the nation in The last chart that Secretary Hancock approximately 1,000 employees over the a precarious position. Without further presented established that Kentucky is not In January 2013, General Motors past few years. The capital improvements congressional action to infuse additional alone in potential funding shortfalls in announced that the performance build that have been made and the way the General Fund dollars in the fund, FY transportation. Kentucky was anticipated center, where engines are built, will be employees have been involved in 2015, which begins next October, could at having approximately a $647 million coming to the Bowling Green Assembly the community are also refreshing. be a very difficult year for the Federal program, and it will actually have a $3 plant. The production of those engines Representative DeCesare stated he Highway Trust Fund. Secretary Hancock million program in FY 2015, without will start in the first quarter of 2014. appreciates not only the automobile that wanted the Committee to be aware of the congressional action, an estimated The C7, 2014 Corvette is the most the plant provides, but the jobs that are upcoming situation and consequences program reduction by 99.5 percent. powerful standard model ever, with an provided and the way the plant contributes Kentucky could be facing if Congress In response to a question asked by estimated 455 horsepower and 460 pound to the community of Bowling Green, does not act. As the six year highway Chairman Harris, Secretary Hancock feet of torque. It is capable of accelerating Warren County, and Kentucky. plan is built, and as the 2014 session of stated the assumption that the states will from 0 to 60 MPH in 3.8 seconds and In response to a question asked by the General Assembly gets underway, it receive $40 billion in funding is due to achieves more than one G in the cornering Chairman Harris, Ms. Roper stated 1981 is imperative that the potential severity what Congress has done since 2008 each grip. It is also the most fuel efficient was the year that Corvette production was of non-action by Congress is understood. year that it has been confronted with this Corvette ever, with an EPA highway rating at its lowest and also the same year that The chart provided illustrated that situation. Congress has funded an amount of 29 MPG and a city rating of 17 MPG. Corvette came to Kentucky. Chairman Congress has funded the Federal Highway of money necessary to bring the amount to The C7 is the most fuel efficient car in the Harris stated he is thankful that the Trust Fund for distribution for the states the states back to about $40 billion a year, market for over 400 horsepower. decision to continue Corvette production at about $40 billion annually back to which is where it has been since 2005. He The plant is environmentally friendly was made. 2009. In 2015, without additional action, believes Congress will continue to provide and would like to continue to work towards that highways component drops from $40 at that level, but there is no guarantee. He

38 2013 Interim LEGISLATIVE RECORD reiterated that 2015 would essentially be a sale because it believes this will increase retailers such as Wal-Mart, Target, and general fund dollars make up the balance catch up year. Then, when the money does 911 fee collections while ensuring that Best Buy, 20 percent are wireless retail and is the largest source of funds spent on start coming in there will be the ability to prepaid consumers who benefit from the stores, and the rest are locally owned 911 services. Cell phone providers and authorize funds again for Transportation. 911 system also contribute. small businesses. users are not paying their fair share for 911 Chairman Collins thanked members According to the National Emergency Virginia Gray, representing TW services. There are 3.6 million cell phones and guests in attendance and adjourned Number Association, an estimated 240 Telecom, made a statement in that TW in Kentucky compared to 1.8 million the meeting at 10:05 am. million calls are made to 911 in the U.S. Telecom is in favor of everyone paying the wireline phones. Cell phones account for each year. In the Commonwealth, wireless same amount for 911 services, including about 70 percent of all 911 calls made Interim Joint Committee on subscribers represent 91 percent of the prepaid and post wireless users as well as in Kentucky but contribute less than 20 Veterans, Military Affairs, population, or 4 million subscribers. One wireline (landline) users. percent of the cost. The discrepancy in the in four of those subscribers are prepaid Tyler Campbell, legislative liaison law which permits prepaid cell phones to and Public Protection for KACO, and Judge Rob Rothenburg, pay less than other cell phones has cost the Minutes of the 4th Meeting wireless users, and the Commonwealth is not collecting the 911 fee from all prepaid Shelby County Judge Executive, testified CMRS fun and estimated $13.5 million of the 2013 Interim about concerns regarding the costs to since mid 2006. In 2008, the CMRS Board October 10, 2013 wireless consumers. counties for providing 911 operations. sued two providers of prepaid services, Call to Order and Roll Call Prepaid wireless service allows customers to pay in advance for a fixed Mr. Campbell stated that many states Trac Fone and Virgin Mobile, to collect The 4th meeting of the Interim are moving towards other ways to on unremitted fees and has won both cases Joint Committee on Veterans, Military number of minutes or a fixed time period of use of unlimited minutes. Since increase fees to help 911 service. Judge with combined judgments of $6 million. Affairs, and Public Protection was held Rothenburg, who also serves as the The Virgin Mobile case is under appeal. on Thursday, October 10, 2013, at 1:00 customers pay in advance there is no need for the customer to sign a contract. When 911 Director in Shelby County, stated Local governments are not in shape PM, in Room 154 of the Capitol Annex. that the county lost $140,000 from to answer the call for help alone. Current Senator Jimmy Higdon, Chair, called the a prepaid customer’s minutes or units are exhausted, the customer can go to a retail people switching from landlines, which estimates show that providing 911 services meeting to order, and the secretary called included a fee for 911 services, to prepaid at the local level statewide costs over $150 the roll. store and purchase a recharge card with a fixed number of minutes, go to a wireless wireless service. Several counties have million annually statewide. $52 million Present were: collaborated to find ways to share in the comes from local and state 911 fees and Members: Senator Jimmy Higdon, provider’s retail store and purchase a recharge card, or recharge minutes by technology because there are no funds to the balance comes from local general Co-Chair; Representative Tanya Pullin, improve equipment needed to maintain funds. The General Assembly previously Co-Chair; Senators Perry B. Clark, going directly to the prepaid wireless provider’s website. About 70 percent of pace with 911 technology. passed legislation which directed a Carroll Gibson, Ernie Harris, Christian Jan Gould, Government Relations, comprehensive study to evaluate 911 McDaniel, Dennis Parrett, Jerry P. all prepaid wireless transactions occur in these third party retail locations. Kentucky Retail Federation, testified in revenues and expenditures and a report Rhoads, Albert Robinson, Kathy W. Stein, opposition of wireless providers collecting is due before the next legislative session. Whitney Westerfield, and Mike Wilson; Traditional postpaid wireless service is sold directly by the wireless service fees for 911 services at point-of-sale. Mr. Mr. Barrows’ PowerPoint and materials Representatives Robert Benvenuti III, Gould stated that CMRS collects from 30 are a part of the official record in the Tom Burch, Denver Butler, Dwight D. provider, or its agent, to the consumer. Consumers must pay their bill monthly, entities. If fees are collected from retailers Legislative Research Library. Butler, Larry Clark, Tim Couch, Will through point-of-sale, it would become In response to a question from Coursey, David Floyd, Martha Jane including taxes and fees, in order to receive service. Under federal and Kentucky law, thousands of entities. This could be costly Chairman Higdon, Mr. Barrows stated King, David Meade, Terry Mills, Rick and require an entirely new system to that the Judgment related to the litigation G. Nelson, Tom Riner, Rita Smart, and the wireless provider must receive and record the address for each user. This manage. He added that point-of-sale will for Track Fone is $5.2 million and about Russell Webber. be costly for the retail community. Another $800,000 for Virgin Mobil. Guests: Bethanne Cooley, Director, provides the wireless provider an address for billing and collecting the fee from the big concern is that third party providers Other Business States Legislative Affairs, CTIA – allow consumers to get additional minutes Co-Chair Pullin asked staff to The Wireless Association; Jan Gould, user, which the provider then remits to the proper 911 agency. through multiple sites on the internet and send a memo relaying the committee’s Government Affairs, Kentucky Retail evade the fees for 911 services altogether, condolences to Carlos Pugh for the loss Federation; Joe Barrows, Executive In 2007, the wireless industry recognized that the growth in popularity of which would allow consumers to access of his wife, Alma Pugh, on September Director, Commercial Mobile Radio 911 services without any obligation to pay 13, 2013. Chairman Higdon and the Services Board; Virginia Gray, TW prepaid wireless required a new urgency to develop a workable methodology to for it. Point-of-sale fee collection would committee members agreed and expressed Telecom; Rob Rothenburger, Shelby likely drive more consumers to these their deepest sympathy. County Judge Executive and 911 Service collect 911 fees for prepaid wireless. This resulted in model legislation that online sites that subvert all fee collection. There being no further business, the Director; and Tyler Campbell, Legislative In response to a question from meeting adjourned. Liaison, Kentucky Association of was presented to the National Conference of State Legislatures (NCSL) for Senator Westerfield, Mr. Gould stated Counties (KACO). that there are approximately 3,000 small LRC Staff: Erica Warren, Kristopher consideration and was endorsed by the Capital Planning Advisory NCSL in July 2009. grocers in Kentucky who could be affected Board Shera, Nick Kilby, and Rhonda Schierer. by the point-of-sale. Minutes There are key reasons to support Minutes of the 5th Meeting the point-of-sale collection for prepaid Joe Barrows, Executive Director of of the 2013 Calendar Senator Wilson moved to adopt the the Commercial Mobile Radio Services September 12, 2013, meeting minutes. wireless consumers. The prepaid point September 24, 2013 of sale methodology is based on actual Board, gave a PowerPoint presentation Call to Order and Roll Call Representative Nelson seconded the and spoke in support of all cell phones motion, and the minutes were adopted. sales, is transparent and equitable for all The 5th meeting of the Capital wireless consumers, it accurately sources supporting the 911 services. Mr. Barrows Planning Advisory Board was held on Prepaid Cell Phone Fees for 911 stated that the 911 service in Kentucky Emergency Services the transaction to the state, and is a more Tuesday, September 24, 2013, at 3:00 efficient collection method. It will provide has increased the number of calls that are PM, in Room 169 of the Capitol Annex. Bethanne Cooley, Director, States made to increasingly outdated equipment Legislative Affairs, testified on behalf stable and predictable revenues to support Representative Terry Mills, Chair, called the 911 system in Kentucky that exceed that are manned by overworked staff in the meeting to order, and the secretary of CTIA-The Wireless Association, an environment of stagnant or shrinking the trade association for the wireless what is being remitted under current law. called the roll. The model piggybacks on the existing 911 revenues. All but 10 counties impose Present were: communications industry. She discussed a fee ranging from 32 cents to $4.50 per the issue of fair and equitable funding sales and use tax collection system to Members: Senator Stan Humphries, minimize additional costs to retailers. month on wireline services for cable and Co-Chair; Representative Terry Mills, of 911 systems. This model has been landlines. State fees on cell phones are endorsed by the National Conference of In response to a question from Co-Chair; Senator Whitney Westerfield, Senator Westerfield, Ms. Cooley stated 70 cents per month except for pre-paid Representative Tom Riner, Charles Byers, State Legislatures and has passed in 32 services which pay 38 cents, based on an states, the District of Columbia, and the that wireless providers are retailers. The John Hicks, Sherron Jackson, Mary largest providers nationally are Wal-Mart, inadequate formula put in statute that does Lassiter, James W. Link, Mark Overstreet, Virgin Islands. Proposals are pending not equate the 70 cent amount associated in other states. The wireless industry Target, and Best Buy. and Katie Shepherd. In response to a question from with cell phones bought under contract. LRC Staff: Shawn Bowen, Josh strongly encourages the enactment of These funds are collected and distributed collection of the 911 fee at the point-of- Senator Wilson, Ms. Cooley stated that Nacey, and Jennifer Luttrell. 70 percent of cell phone providers are the by the CMRS Board to local call centers Approval of Minutes and service providers. Local government

THE KENTUCKY GENERAL ASSEMBLY 39 A motion to approve the minutes Adjournment the Asset/Liability Commission, which the competitively awarded nine percent of the September 5, 2013, meeting was Chairman Mills said that the next detailed activity in the state’s debt and tax credits and noncompetitive four made by John Hicks, seconded by Senator meeting would be in May or June of 2014. investment portfolios. percent tax credits were independent of Westerfield, and approved by voice vote. With there being no further business, The second information item was each other and were evaluated separately Information Item a motion to adjourn the meeting was a special investigative report on the for financial feasibility. Mr. Hawes said it Chairman Mills said that there was made. The motion was seconded, and the Frontgate Apartments project, which was is financially possible to proceed with the one information item in the members’ meeting was adjourned at 3:20 PM. prepared by Mr. Cecil Dunn, Attorney, four percent tax credit project. materials. Follow-up correspondence McBrayer, McGinnis, Leslie, & Kirkland, Ms. Beran said it would be premature was submitted by Mr. James Fowler, PLLC, and presented to the Kentucky for KHC to make a final judgment on the Capital Projects and Bond project. KHC is a quasi-state agency and Chief Information Officer for the Oversight Committee Housing Corporation’s (KHC) Board of Commonwealth Office of Technology, Directors on October 2, 2013. does not have the same sovereign immunity Minutes Issuance of conduit revenue bonds protections as the state. Therefore, they in response to questions raised at the October 15, 2013 September 5 meeting regarding certain for the multifamily housing project was are conscious of possible litigation and Call to Order and Roll Call information technology projects. No approved by the KHC Board of Directors, are not taking action that may put them in The Capital Projects and Bond action required. the State Property and Buildings that situation until more facts are known. Oversight Committee meeting was held 2014-2020 Statewide Capital Commission, and the Capital Projects and It was the recommendation of outside on Tuesday, October 15, 2013, at 1:00 Improvements Plan Bond Oversight Committee in late 2012. counsel and the board to address the issue p.m., in Room 169 of the Capitol Annex. Chairman Mills thanked the board The bonds have not been issued because if and when it became germane. Senator Chris Girdler, Chair, called the members for their attendance and of ongoing litigation. Ms. Beran said KHC is evaluating meeting to order, and the secretary called participation in the capital planning In addition to the proceeds from whether to continue offering the set- the roll. process over the last five months. He tax-exempt bonds, funding for the project aside point process and, if so, they will Present were: then thanked staff for their work and included a combination of competitively implement new procedures to raise the Members: Senators Julian Carroll, the various state agencies that provided awarded nine percent low income housing standards for the certification. Chris Girdler, Bob Leeper, and Christian specialized reports to the board this year. tax credits and noncompetitive four In response to questions from Senator McDaniel; Representatives Robert Senator Humphries thanked the percent tax credits. The nine percent McDaniel, Mr. Hawes said KHC resources Damron, Steven Rudy, Kevin Sinnette, members for participating in the process credits were awarded to Overlook are allocated on a competitive basis. and Jim Wayne. and selecting the most needed projects for Development LLC (Overlook), which is The developer was seeking resources to Guests Testifying Before the the state. affiliated with the developer of the project, construct multifamily housing for low- and Committee: Mr. Luke Morgan, Attorney, Chairman Mills said he asked staff LDG Development LLC (LDG). moderate-income households. The tax- McBrayer, McGinnis, Leslie, & Kirkland, to compare the 2012-2018 Capital Plan According to the report, Overlook exempt bond portion of the project is still PLLC; Ms. Lisa Beran, General Counsel, to the 2014-2020 Capital Plan. Across the gained a competitive advantage by being pending based on the unresolved litigation Kentucky Housing Corporation; Mr. board, the agencies requested about nine certified as a Female Owned Business and once the litigation is resolved, the Andrew Hawes, Senior Director of percent less in this plan than the last plan, Enterprise (FBE) by the Louisville developer will have the option to move Multifamily Production, Kentucky which reflects a plan for a more efficient Metro Government Human Relations forward by coming back to KHC. Housing Corporation; Mr. Michael Gross, government. Commission. Overlook no longer has that Mr. Morgan said complaints were Project Manager, Overlook Development Final Action – Approval of Draft certification, but the company was awarded brought to the committee approximately LLC; Mr. Bob Wiseman, Vice President Statewide Plan the nine percent tax credit portion of the one year ago and, prior to that, persons for Facilities Management, University of The one item of business was Frontgate Apartments project because of who live in the area of the proposed Kentucky; Mr. Mitchell Payne, Associate approval of the 2014-2020 Statewide the advantage. The company also failed project brought concerns to KHC, local Vice President for Business Affairs, Capital Improvements Plan. The policy to acknowledge its affiliation with LDG in municipal leaders, and the Finance and University of Louisville; Mr. Scott recommendations were reviewed at applications with KHC and when seeking Administration Cabinet. KHC contacted Aubrey, Director, Real Properties, Finance the board’s September 5 meeting, and the FBE certification and are in violation his firm in June 2013, to review the and Administration Cabinet; Mr. Steven included funding for the Budget Reserve of the Qualified Allocation Plan (QAP). complaints. Collins, Director of Bluegrass Station, Trust Fund that represents 5 percent of The KHC Board of Directors voted Mr. Michael Gross, Project Manager, Department of Military Affairs; Mr. John General Fund revenues; adequate funding to revoke the nine percent tax credits from Overlook Development LLC, said Ms. Hicks, Deputy State Budget Director; for state agency maintenance pools; the project, which eliminated 32 units Lisa Dischinger signed the application Mr. John Covington, Executive Director, adequate funding for the backlog of reserved for low-income households. The for the FBE as a 51 percent member of Kentucky Infrastructure Authority; Mr. information technology capital projects; board has not taken any action regarding Overlook. Ryan Barrow, Executive Director, Office and endorsement of the Council on the bond deal or the noncompetitive four In response to a question from of Financial Management; and Mr. David Postsecondary Education’s multi-biennia percent tax credits that are associated with Chairman Girdler, Mr. Gross said Talley, Deputy Executive Director, Budget approach for financing capital needs the issuance of bonds. Overlook does not have employees, but and Fiscal Management, Kentucky of the postsecondary institutions. The In response to questions from he works as project manager on Overlook Transportation Cabinet. state-funded project recommendations Representative Wayne, Mr. Luke Morgan, developments. Overlook was originally LRC Staff: Kristi Culpepper, Josh were selected by members, and included Attorney, McBrayer, McGinnis, Leslie, certified as a FBE in 2008 and recertified Nacey, and Angela Offerman. projects in the categories of maintenance & Kirkland, PLLC, said the investigation in 2010. The certification expired at the Approval of Minutes and renovation, information technology, involved reviewing current circumstances end of 2012. At the time of application, Representative Rudy moved to and new construction. As in the past, both and a legal determination was not Overlook was in good standing with KHC approve the minutes of the September 17, the policy and project recommendations presented to the board as to whether fraud and the Louisville Metro Government 2013, meeting. The motion was seconded address the high priority the board places was committed. However, the board acted Human Relations Commission. During by Representative Wayne and approved on maintenance of existing facilities. upon the findings of the investigation, that period, Overlook has done five by voice vote. There was a motion made by Mr. which show the requirements of the QAP tax credit developments for KHC and Correspondence Item Jackson, seconded by Senator Humphries, were not met. there was never an issue with any of the Kristi Culpepper, Committee and adopted by roll call vote to approve Ms. Lisa Beran, General Counsel, developments. Staff Administrator, presented one the draft 2014-2020 Statewide Capital KHC, said the board has not finally Mr. Gross said the Frontgate correspondence item for members to Improvements Plan and the state-funded approved the four percent noncompetitive Apartments development had opposition review. The University of Louisville project recommendations. The motion tax credits or the issuance of the bonds from the neighborhood because they did submitted a letter notifying the committee included an authorization for staff to make for the project. There is pending litigation not want affordable housing built in the that the university will proceed with the necessary editing changes in finalizing in Louisville regarding zoning. KHC and neighborhood. projects that the committee did not take the plan for publication. outside counsel are taking a wait- and see- At the time of certification renewal, action on in August because the meeting Several members expressed approach and are not expecting the project the Louisville Metro Government was cancelled. appreciation to the Capital Planning to come back before the board any time Human Relations Commission asked Information Items Advisory Board staff for their guidance soon. Ms. Dischinger to wait on renewing Ms. Culpepper said there were three and extensive effort in the capital planning Mr. Andrew Hawes, Senior Director the certification until the new online information items for review. The first process. of Multifamily Production, KHC, said both application was activated. item was the Semi-Annual Report of

40 2013 Interim LEGISLATIVE RECORD In response to questions from Senator among any members of the development. requesting authorization for an additional Representative Wayne, Mr. Aubrey McDaniel, Mr. Gross said Overlook did not Overlook responded affirmatively and $202,000,000 as part of the biennial 2014- said the facility is used for food storage reapply for the FBE certification because explained the ownership of the companies 2016 capital budget request. No action for the US Department of Agriculture they were asked to wait for the revised involved in the project. Mr. Morgan said was required. commodities program. online application and they were told by Ms. Dischinger and Overlook were put out The third item was an update The second item was for a lease KHC the development could proceed front of the project in order to get the tax reporting a project scope increase of modification and amortization of leasehold without the certification. The project credits as a result of the FBE certification, $607,600,000 to accommodate the improvements for the Department of has incurred design, engineering, and when LDG was actually responsible for planning and design of the Fit-up of the Military Affairs in Fayette County. The legal fees and has not been able to move the project. Clinical Decision Unit of the Patient amortization of leasehold improvements forward. Overlook will make the decision In response to a question from Care Facility project. Additionally, the was at the request of the tenant and to move forward with the development Senator Carroll, representatives from the university reported the consolidation of the included voice, data, and electrical outlets based on a financial analysis. Attorney General’s office told Mr. Morgan 2012-2014 authorization of $50,000,000 and tile in office areas. Mr. Gross said Ms. Dischinger that they have notified the Louisville into the current total consolidated scope Estimates were obtained for the owns 51 percent of Overlook and is a Metro Police Department. of $700,000,000 to streamline project improvements and included $81,450 FBE regardless of certification status. Mr. Gross said the section of the accounting and reporting. No action was for voice, data, and electrical outlets Legal staff reviewed the application QAP, referred to by Mr. Morgan, deals required. from Brooks Electric Company; $7,431 and consulted with the Louisville with the developer cap, which limits the The fourth item was a report of the for tile in the office areas from Majors Metro Government Human Relations maximum credit a developer may receive. consolidation of authorizations for the Floor Covering; $2,500 to remove and Commission before certification. In the application, Overlook did not Renovate Academic Facility University reinstall ceiling tiles from K & B Drywall; Chairman Girdler said that due to disclose an affiliation with LDG because Lofts Facility project by merging and $1,500 from Contract Decorating the change in the scope of the project, the LDG did not submit an application in that $7,000,000 of authorization from the for touch-up painting. $92,881 will be project will need to come back before the round. Additionally, the QAP does not Repair, Upgrade, or Improve Building amortized through the current lease committee for approval. contain a requirement that a FBE must be Mechanical Systems capital project with term, which expires 177 months from the In response to questions from kept for an identified period of time. the Renovate Academic Facility project effective date of the lease. Senator Carroll, Mr. Gross said the In response to a question from for a total combined scope of $15,000,000 In response to a question from Louisville Metro Government Human Senator McDaniel, Mr. Morgan said KHC which will be paid from university Senator McDaniel, Mr. Steven Collins, Relations Commission did not take was his client. restricted funds. No action was required. Director of Bluegrass Station, said the action to revoke the FBE certification. Senator McDaniel said the Project Report from University of project was a design/build under the built- Upon the application for recertification, responsibility of the committee is the Louisville (UL) to-suit statutes and the tenant did not the commission requested additional issuance of bonds and not making Mr. Mitchell Payne, Associate know how many voice and data outlets information from Ms. Dischinger. Ms. decisions regarding project conflicts or Vice President for Business Affairs, would be needed at the beginning of the Dischinger met with a representative issues. UL, reported a $900,000 scope increase project. In order to meet the occupancy from the commission to review the Ms. Culpepper said the tax-exempt for the Expand Ulmer Stadium project. date, overtime will be necessary and will information. The representative requested bond issue, four percent tax credits, and The increase was the result of higher result in $13,140 in overtime expenses, Ms. Dischinger wait until the new online nine percent tax credits are all funding than expected construction costs and which will be reimbursed by the tenant. application was available. sources for the project. A combined the expansion of the project scope. The In response to a question from Mr. Gross said the new application project was brought to the committee. It project will be paid from private funds, Representative Wayne, Mr. Collins said was available in August 2013. The has been the tradition of the committee once raised. the space is leased by Consequence certification expired at the end of 2012, that when a project scope changes, the In response to a question from Management and used for military teams but they had assurances from KHC staff project is brought back to the committee. Senator McDaniel, Mr. Payne said that that are first responders to a terrorist event. that as long as they were in good standing, Chairman Girdler said because the he will research the status of a previously Senator Carroll made a motion the project could proceed. scope of the project has changed, a letter approved bond issue for a student center to approve the lease modification. Mr. Hawes said KHC responded to will be sent to KHC requesting that if project and will provide a report to the The motion was seconded by Senator Mr. Bingham that the expiration of the the project moves forward, it will be committee. No action was required. McDaniel and approved by roll call vote. certification would not jeopardize the resubmitted to the committee for approval. Senator Carroll made a motion to The third item was for a lease project. Senator McDaniel made a motion approve the scope increase. The motion modification and amortization of leasehold Senator Carroll asked Mr. Morgan that the project be resubmitted to the was seconded by Senator McDaniel and improvements for the Cabinet for if evidence suggested a violation or if committee as it relates only to the issuance approved by roll call vote. Health and Family Services in Jefferson fraudulent representation existed. Mr. of bonds. The motion was seconded by Lease Reports from the Finance County. The amortization of leasehold Morgan said Ms. Dischinger told KHC Senator Leeper and approved by roll call and Administration Cabinet improvements included the installation board members she had not been involved vote. Mr. Scott Aubrey, Director, Real of conduit and electrical grounding to in the operations of Overlook for some The third information item included Properties, Finance and Administration support the installation of a metro data time and that Frontgate was her first quarterly reports on capital projects from Cabinet, presented four items. The first line. project after an extended absence. Ms. the Administrative Office of the Courts, item was for a lease modification and Two estimates were obtained Dischinger stated in the 2008, 2010, and the Commonwealth Office of Technology, amortization of leasehold improvements for the improvements and the cabinet 2013, FBE applications that Overlook the Finance and Administration Cabinet, for the Department of Agriculture in recommended the acceptance of the lowest was a business to develop affordable and the universities that manage their own Jefferson County. The amortization bid of $1,550 from John Waters Inc. The rental housing and was not an affiliate or capital construction projects. of leasehold improvements included cost will be amortized through the term of subsidiary of any other company related Project Reports from University of painting of walls, addition of light the lease, which will expire June 30, 2016. to the development of affordable rental Kentucky (UK) fixtures, installation of bollards to protect No action was required. housing. According to Mr. Morgan, Mr. Bob Wiseman, Vice President a generator, and the installation of wall/ The fourth item included a quarterly Ms. Carolyn Miller-Cooper, Executive for Facilities Management, UK, corner guards in the food distribution lease modification report of state leases Director of the commission contacted Ms. presented four items. The first item warehouse. with square footage for the period of Dischinger to ask about the discrepancy was the notification of the selection of Two estimates were obtained for April through June 2013. No action was and to ask for clarification. Ms. Dischinger construction management-at-risk delivery the improvements and the department required. th responded that she selected the wrong box method for the Fit-up 8 Floor and recommended the acceptance of the lowest Project Reports from the Finance on the form. Ms. Miller-Cooper said that it Pharmacy project; Construct Academic bid of $13,439 ($893 from RKR Electrical and Administration Cabinet was Ms. Dischinger’s idea not to resubmit Science Building project; Renovate/ Contractors for lighting and $12,546 from Mr. John Hicks, Deputy State Budget the application in 2013. Mr. Morgan said Expand Commonwealth Stadium project; Charles Strange Construction LLC for all Director, presented seven new unbudgeted that Ms. Dischinger does nothing for the and Renovate/Expand Gatton Building other items.) The application of interest capital projects; one scope increase; company and has had no communication project. No action was required. was negotiated down from six percent to one emergency repair, maintenance, or with KHC. The second item was an update on the five percent per year and will expire on replacement project; and a report of a pool Mr. Morgan said the KHC application UK student housing project, which has a June 30, 2018. project in excess of $600,000. asked if an identity of interest exists project scope of $277,000,000. UK will be In response to a question from The first unbudgeted capital project

THE KENTUCKY GENERAL ASSEMBLY 41 request was from the Secretary of State motion was seconded by Representative loan for the City of London for benefit of was Ross, Sinclaire & Associates with an for the approval of the Enhance Statewide Damron and approved by roll call vote. the London Utility Commission in Laurel interest rate of 3.84 percent and a final Election Administration and Online Ballot The eighth item presented was a County. The request was for a $3,765,250 maturity date of April 1, 2033. Delivery System project. The project request from Morehead State University loan for the Downtown Sewer Rehab The second report was for the appropriation was $1,500,000 and was (MoSU) for a $48,000 (5.6 percent) project, which involves the rehabilitation Turnpike Authority of Kentucky 100 percent federally funded. scope increase for the Construct Student of the current sewer system, which was Economic Development Road Revenue Senator McDaniel made a motion to Intramural Soccer Field project. The constructed in the 1920s and 1960s. Due Bonds (Revitalization Projects) 2013, approve the capital project. The motion final cost of the project, after receiving to the age and material deterioration of Series A. Proceeds from the issue will was seconded by Representative Wayne competitive bids for the artificial turf, was the existing infrastructure, the system is permanently finance highway projects and approved by roll call vote. $898,000. unable to support the utility’s sewer needs approved within the Six-Year Highway The MoSU Foundation secured for the downtown area. The loan will have Plan. The $187,625,000 bond issue was The second project presented was a $458,000 in private donations. The a 20-year term, an interest rate of 0.75 sold on September 12, 2013 and closed on request from the Department of Military university certified those private funds are percent, and a debt service payment of October 2, 2013. It was a negotiated sale Affairs for the Controlled Humidity Solar in-hand to cover more than 51 percent of $189,556. with Goldman Sachs with an interest rate project at the Wendell H. Ford Regional the revised project scope. Senator Carroll made a motion to of 4.118 percent and a final maturity date Training Center (WHFRTC) to install a Senator Carroll made a motion to approve the Fund A loans. The motion of July 1, 2033. grid-tied photovoltaic solar panel to power approve the scope increase contingent was seconded by Representative Wayne The third report was a status update five controlled humidity warehouses. The upon approval of the MoSU Board of and approved by roll call vote. on the financing plan for the Louisville- project appropriation was $760,000 and Regents. The motion was seconded by The fourth request was for a Fund F Southern Indiana Ohio River Bridges was 100 percent federally funded. Representative Wayne and approved by loan for the City of Williamstown in Grant Project. The project was previously The third project presented was a roll call vote. County. The request was for a $2,000,000 reported to the committee in April 2013, request from the Department of Military The ninth item was an emergency loan for Phase I of a two-phase sewer and a revised financing plan was reported Affairs for the Construct Security Storage repair, maintenance, or replacement project, which will construct two new in September 2013. Mr. Barrow said Building project at WHFRTC. The project project, Rebuild Morgan County Nursery sludge lagoons to handle water treatment the federal government shutdown was appropriation was $760,000 and was 100 project, from the Department of Natural backwash solids. The loan will have a 20- affecting the TIFIA component of the percent federally funded. Resources. Several buildings and major year term, an interest rate of 1.75 percent, financing and may affect the plan, as The fourth project presented was a items of equipment were destroyed and and a debt service payment of $111,556. presented. request from the Department of Military a large amount of seedling inventory was The average bill is estimated to be $23.42, The new bonds are the Kentucky Affairs for the Construct Front Access lost during a tornado on March 2, 2012. which will be an increase of $268,400 in Public Transportation Infrastructure Control Point Boone National Guard The $2,131,600 project will be funded revenue. Authority (KPTIA) First Tier Toll project. The project appropriation was from the Fire and Tornado Fund. No The fifth request was for a Fund Revenue Bonds, Series 2013, (Downtown $818,880 and was 100 percent federally action was required. F loan for the Garrison Quincy KY-O- Crossing Segment) and the Subordinate funded. The tenth item was a report for a Heights Water District in Lewis County. Toll Revenue Bonds Anticipation Notes, The fifth project presented was a pool project in excess of $600,000 for The request was for a $831,000 loan to Series 2013, (Downtown Crossing request from the Department of Military the Department of Corrections Kentucky construct a 250 gallon per minute well to Segment). Affairs for the Construct Rear Access State Reformatory Kitchen and Dorm 9 replace a well that was not performing, Mr. Barrow said that the bond Control Point Boone National Guard Roof Replacement project. The project refurbish another well, and replace two anticipation notes will provide interim project. The project appropriation was will be funded with $1,400,900 from the pressure filters with new vertical filters. funding for the transaction to lower the $760,000 and was 100 percent federally 2012-2014 Maintenance Pool. The project The loan will have a 20-year term, an cost of capital. This will fund the Kennedy funded. will replace roofs that are over 25 years interest rate of 0.75 percent, and a debt Interchange, the Downtown Bridge, Representative Rudy made a motion old, in extremely poor condition, and serve payment of $35,175. The district and the Kentucky portion of the Indiana to approve the Department of Military leaking badly. No action was required. requested approval from the Public Service Downtown Approach. Affairs capital projects. The motion was Kentucky Infrastructure Commission (PSC) for a 45 percent rate Mr. Barrow said they are anticipating seconded by Senator Leeper and approved Authority (KIA) Loans increase, which will be implemented over investment grade ratings from Moody’s by roll call vote with one “no” vote. Mr. John Covington, Executive three years. and Fitch. It will be a negotiated The sixth project presented was a Director, KIA, presented five loan and In response to a question from transaction with Citigroup; Peck, request from the Transportation Cabinet one grant request. The first request was Senator Carroll, Mr. Covington said the Shaffer and Williams LLP will serve for the Capital City Airport Apron for a Fund A loan for the Grant County approval by the PSC for the rate increase as bond counsel; and Public Financial Replacement project, which will remove Sanitary Sewer District in Grant County. is a condition of the loan. Management, Inc., as financial advisor. and replace 1,425 square feet (sq ft) of The request was for a $1,211,449 loan for Senator Carroll made a motion to The proposed date of sale is November concrete and repair 600 sq ft of cracks in the Bullock Pen Lake Sewer Extension approve the Fund F loans, subject to 21, 2013 and the closing on December the existing concrete. The project scope project that will extend an existing sewer PSC approval for the rate increase of the 5, 2013. The estimated amount of bonds was $1,323,600 and was 90 percent system to serve 53 new customers and Garrison Quincy KY-O-Heights Water are approximately $300,000,000 and are federally funded and 10 percent funded will eliminate septic tanks and possible District project. The motion was seconded interest bearing capital appreciation bonds with restricted funds. straight pipes that are in the Bullock Pen by Representative Wayne and approved (CABs) and convertible CABs. Representative Wayne made a watershed, which is the sole source of by roll call vote with one “pass” vote. In response to questions from Senator motion to approve the capital project. The water for the Bullock Pen Water Treatment Mr. Covington reported an McDaniel, Mr. Barrow said the CABs are motion was seconded by Representative Plant. The loan will have a 20-year term, Infrastructure for Economic Development 40-year bonds and carry a higher interest Damron and approved by roll call vote. an interest rate of three percent, and an Fund (Coal) Grant for the Henderson rate to allow for the mitigation of toll The seventh project presented was estimate annual debt service payment of County Fiscal Court for water and sewer revenues at the front-end of the project. As a request from the Cabinet for Health $83,413. extensions or repairs for $1,000,000. revenues grow, the debt service is adjusted and Family Services for the Eligibility The second request was for a Fund A to the revenue trend. Systems Integration Services project. The loan for the City of Frankfort in Franklin Follow-up Reports from the Office Mr. Barrow said toll revenues are project will replace the obsolete Kentucky County. The request was for a $4,905,000 of Financial Management projected over time to be commensurate Automated Management and Eligibility loan for the Kentucky Avenue Interceptor Mr. Ryan Barrow, Executive with inflation, which accounts for the System (KAMES), which was first put into Renovation project, which involves the Director, Office of Financial Management, higher yield because of the expected place in 1993 and will integrate eligibility construction of 4,300 feet of interceptor presented two follow-up reports and one increases in tolls. The projected toll processing for several programs. piping for the city’s sanitary sewer system status update on previously approved bond increase is 2.5 percent annually. The $80,000,000 information as well as rehabilitating 5,000 feet of issues. The first report was for Morehead In response to questions from technology capital project was 82.5 existing piping. The loan will have a 20- State University General Receipts Bonds Representative Wayne, Mr. David Talley, percent federally funded and 17.5 percent year term, an interest rate of 1.75 percent, 2013, Series A. The $9,475,000 bond Deputy Executive Director, Budget funded with restricted funds. and an estimate annual debt service issue was sold on September 10, 2013 and Fiscal Management, Kentucky Representative Wayne made a payment of $301,538. and closed on September 24, 2013. It Transportation Cabinet, said the tolling motion to approve the capital project. The The third request was for a Fund A was a competitive sale and the purchaser authority is comprised of six members

42 2013 Interim LEGISLATIVE RECORD from Kentucky and Indiana and, to Management was selected through the Office of Education Accountability 35th in per-pupil revenues, but states do his knowledge, there are no minority cabinet’s procurement process and was (OEA), said every two years, OEA not always define and measure things members. The make-up of the authority bid competitively from a Request for produces the state rankings compendium the same way. Kentucky’s revenues was set in the bi-state development Proposal. OFM was on the evaluation which compares Kentucky’s education are understated, and Kentucky omits at agreement between Kentucky and Indiana. committee that reviewed the bids and indicators to those of the nation and least two types of funds when reporting made the selection. The contract was for selected peer states. This report is a revenues to the United States Department Mr. Talley said the Kentucky Public two-years and includes two, two-year companion to the Kentucky district data of Education. The first is activity funds, Transportation Infrastructure Authority extensions. Mr. Talley will provide the profiles report, which was presented in which are collected to support such appointed Secretary Mike Hancock, contract amount to the committee. September. activities as sports teams, bands, and Transportation Cabinet; Secretary Lori New School Bond Issues with Ms. Landy said ranks in the student government. In 2010, these Flanery, Finance and Administration School Facilities Construction compendium are based on all 50 states funds totaled about $184 million. The Cabinet; and Ms. Dana Mayton, Deputy Commission (SFCC) Debt Service and the District of Columbia, but to make second type of funds omitted is payments Attorney General to the tolling authority Participation the compendium easier to use, the tables from the School Facilities Construction to represent all drivers. Mr. Barrow reported five school in the handouts focus on the Southern Commission (SFCC), which totaled about Mr. Barrow said the environmental bond issues with SFCC debt service Regional Education Board (SREB) states $102 million. The KDE hopes to correct justice study is not complete. According participation with a total par amount and other states that border Kentucky. She the omission of SFCC funds by the time to Representative Wayne, Secretary of $12,400,000. The state portion of said national averages are also reported. data are reported for 2013. Even if activity Hancock said any proposal to alleviate or the annual debt service payment was Ms. Landy said many rankings in the and SFCC funds were included in the remove the burden on the working poor $386,498 and the local contribution was compendium are based on data reported by revenues, it is estimated that Kentucky commuting to Indiana was ruled out. $581,993. The bond issues did not involve all states to the United States Department would still be below the national average, Mr. Talley said the toll rate resolution, tax increases. of Education. To ensure comparability, just not as far below. It is also unknown which contains the toll rate covenants, New School Bond Issues with 100 states are given guidelines on defining what other states might be doing to over- allows for additional environmental Percent Locally Funded Debt Service and reporting data, but the Kentucky state or under-state their numbers. justice considerations later in the process. Participation Department of Education (KDE) does not Ms. Landy concluded that the However, it recognizes any environmental Two local school bond issues have follow the guidelines in at least a couple compendium is meant to give policymakers justice mitigation efforts must take into been reported to the committee. The bond of areas. a quick reference tool for comparing account the toll rate covenants. issues are 100 percent locally funded Ms. Landy said Kentucky continues Kentucky’s education indicators to those Mr. Barrow said it was not his and do not involve tax increases. Both to have more children living in poverty of the nation and selected peer states. OEA understanding that the consideration bond issues will finance improvements to than most other states. The economic welcomes feedback on the compendium of lower toll rates was dismissed by the existing facilities. downturn has made income-related format and content. tolling authority and the Transportation With there being no further business, measures worse throughout the country. Responding to a question from Cabinet, but the environmental justice the meeting adjourned at 3:02 p.m. Kentucky’s ranking relative to other states Representative Jenkins regarding student rates may be implemented at a later date. has not changed much because the whole IEPs, Ms. Landy said the numbers being Mr. Barrow said the financing Education Assessment and country is affected; however, Kentucky’s reported in the handouts are the number plan was revised when the GARVEE Accountability Review child poverty rate rose from 16 percent in of students who have IEPs. She will transactions were approved. The Subcommittee 1999 to 27 percent in 2011. investigate to see if the there is a problem GARVEEs were brought forward for Minutes of the Meeting Ms. Landy said Kentucky’s in Kentucky with students being placed various financial reasons, as well as the October 21, 2013 percentage of students with Individual on waiting lists to receive an IEP. Ms. amount of the time required to negotiate Call to Order and Roll Call Education Plans (IEPs) is higher than Marcia Seiler, Acting Director of the the TIFIA loan. The TIFIA loan could The meeting of the Education the national percentage. Differences Legislative Research Commission (LRC), be delayed as a result of the federal Assessment and Accountability Review among states reflect not only a different and OEA Director, said the full report of government shutdown. Subcommittee was held on Monday, prevalence of disabilities but also different the compendium contains data points that Mr. Barrow said the delay of the October 21, 2013, at 10:00 AM, in Room policies and identification practices. show how IEP information was collected. TIFIA loan is due to the revision of the 129 of the Capitol Annex. Representative For this reason, Kentucky’s disability Responding to questions from federal loan application and incomplete Rita Smart, Co-Chair, called the meeting identification process should continue to Representative Graham, Ms. Seiler said regulations. The process first involves to order, and the secretary called the roll. be monitored. an Admission and Release Committee submitting a letter of intent and the Present were: Ms. Landy said Advanced Placement (ARC) determines student needs and data application process comes at the end of the Members: Senator Mike Wilson, (AP) exams allow students in grades 10 are reported to the federal government. transaction. The application was submitted Co-Chair; Representative Rita Smart, through 12 to study college-level material Ms. Landy said if Kentucky reported in October 2013. The acceptance of the Co-Chair; Senator Gerald A. Neal; and then demonstrate what they have the school activity and SFCC funding as application started a 90-day timeframe Representatives Joni L. Jenkins and Mary learned. Most colleges and universities per-pupil revenue it might only change its in which the TIFIA must be approved. Lou Marzian. consider AP exam results when deciding ranking by one spot. She said there may Kentucky will be one of the first entities Legislative Guest: Representative which students to admit. Students passing be other things not identified that are not to go through the new process. Derrick Graham. AP exams may also earn college credits being counted in the revenue. Each state’s Mr. Talley said he is intent on having Guests: Erin Klarer, Kentucky Higher or be allowed to enroll in higher-level Department of Education determines the financing plan executed as soon as Education Assistance Authority; Clyde college courses. what to include, while following general possible to ensure the cabinet is not subject Caudill, Jefferson County Public Schools Ms. Landy said initiatives like guidelines from the federal government. to interest rate risk longer than necessary, and Kentucky Association of School Advance Kentucky provide considerable Responding to a question from but factors remain outside of their control. Administrators; Marti White, Kentucky support and incentives to boost the number Senator Wilson regarding reporting Mr. Barrow said it is an evolving Association of School Superintendents; of AP exams students attempt and pass. data after 2011, Ms. Landy said the process where the financing plan was and Wayne Young, Kentucky Association Kentucky continues to have increases in United States Department of Education’s revised to bring the GARVEEs forward to of School Administrators. the percentages of students attempting and timetable is followed in order to compare allow construction with no interruption. LRC Staff: Janet Stevens, Jo Carole passing AP exams. Students attempting all states on the same measures. She will The timing of the TIFIA loan will be prior Ellis, and Lisa Moore. exams more than doubled, from 13 percent find out the current funding per pupil and to the exhausting of the GARVEEs funds. Approval of Minutes, September in 2002 to 28 percent in 2011. Similarly, inform committee members. Ms. Seiler In response to questions from 12, 2013 Meeting the percentage of students passing exams said much of the information will be Representative Damron, Mr. Barrow Representative Marzian moved to doubled. included in the district profiles report due said Public Financial Management was approve the minutes, and Senator Wilson Ms. Landy said Kentucky’s average any time. selected over the Office of Financial seconded the motion. The minutes were district size is larger than the national Representative Smart said her Management (OFM) as financial advisor approved by voice vote. average, but the average school is smaller. constituents continue experiencing because of the scope of the project, staff Office of Education Accountability Kentucky’s smaller school size is probably problems with the managed care constraints, and the need for outside Study Report – Compendium of State due to being in a rural area relative to companies not approving services given expertise. Education Rankings 2013 other states. by providers of special needs students. Mr. Talley said Public Financial Brenda Landy, Research Analyst, Ms. Landy said Kentucky ranked She is working with the cabinet to get

THE KENTUCKY GENERAL ASSEMBLY 43 some of the issues resolved. performance-based approaches to time- Representative Smart regarding GED and data, including overlays of maps; (2) Office of Education Accountability based approaches. The report describes at-risk students, or dropouts, Ms. Landy education revenues and spending and Study Report – Performance Based what such an evaluation would entail. said KDE is working on updating the staffing trends over last 10 years; and (3) Credits Ms. Landy said there are a number coding system to capture this information. college and career readiness. Ms. Landy said policymakers express of benefits mentioned in the literature and She said the OEA did not study the change Adjournment concern that traditional classrooms do not by the Kentucky students, teachers, and in the dropout rate in depth, but will get With no further business before meet the needs of all students. Students administrators who were interviewed. this information. the committee, the meeting adjourned at do not all learn at the same pace and Some say that students allowed to move Responding to Representative Smart 11:15 a.m. this philosophy is the basic idea behind at their own pace are more engaged and regarding implementation of the study performance-based credit. Performance productive. Faster students do not have to recommendations, Ms. Seiler said the Government Contract based-credit allows more time to students wait for others to catch up, and do not have KDE was fine with moving forward with Review Committee who need it and lets faster learners move to hear repeated explanations of concepts the recommendations. Committee Minutes ahead as soon as they become proficient. they already understand. This can also Responding to a question from October 8, 2013 In Kentucky, districts were given the free up more time for teachers to help Representative Graham, Ms. Landy said Call to Order and Roll Call option to award performance-based struggling students. She said parents can more students are using performance- The Government Contract Review credit seven years ago. OEA investigated get involved by watching pre-recorded based credits for credit than just wanting to Committee met on Tuesday, October 8, how widespread it is used, and how it is lessons with their children and helping take a course early to get ahead. Ms. Seiler 2013, at 10:00 AM, in Room 131 of the implemented. with homework. noted that recordkeeping is inconsistent Capitol Annex. Representative Dennis Ms. Landy said there were some Ms. Landy said self-paced learning across districts. She said Infinite Campus Horlander, Chair, called the meeting to major findings: (1) performance-based is sometimes used for what is called credit is a wonderful tool for collection and order, and the secretary called the roll. credit takes many forms and may be recovery, to prevent dropouts. When comparison of data, but it is only as useful Present were: used for many different goals; (2) some students fall behind in credits because of as the data input. Members: Senator Sara Beth policy issues need further examination, failing grades or other circumstances, they Responding to a question from Gregory, Co-Chair; Representative such as the impact of special attendance can be tempted to drop out. If allowed to Representative Smart regarding the Dennis Horlander, Co-Chair; Senators on the rules regarding allocations of state make up those credits at their own pace, impact on attendance for funding Paul Hornback and Christian McDaniel; funds to districts; (3) Kentucky’s student they can catch up faster than in traditional purposes due to a lack of coding, Ms. Representatives Jesse Crenshaw, Brad information system is not fully capturing courses, and be more likely to stay in Landy said dual credit courses are now Montell, and Brent Yonts. how performance-based credit is being school. taught in high schools versus students Guests: Stephen Castle, Janice implemented around the state; (4) based Ms. Landy said when students leaving the building making attendance Stanley, Melissa Harrod, Jeff Mosley, on the data, it appears to be rarely used can complete high school graduation easier to track. Ms. Seiler said this goes Roger Thomas, Shannon Morgan, Keith compared to traditional ways of awarding requirements more quickly, they can get back to the recommendation of needing Stephens, Vince DiNoto, Joanna Lynch, credit; (5) like any change, performance- an earlier start on earning postsecondary more consistent definitions and rules and Steve Mason, Gary Meiseles, Susan based credit seems to have both benefits credits or getting work experience with ensuring everyone understands them. Speckert, Dr. Mary Speckert, Dr. Mary and challenges; and (6) it will be difficult internships or other work-based learning. Responding to a question from Scollay, Mark Guilfoil, Rebecca Goodwin, to confirm all of the actual benefits and Ms. Landy said the report contains Senator Neal, Ms. Landy said the written Kevin Damron, Bill Harris, Kenneth challenges until better data is collected. two recommendations: (1) to ensure data standards are not always followed. Troske, Paul Royce, Brad Learn, Gilda Ms. Landy noted any change, even correct implementation and monitoring She said there is not a complete system of Hill, Judy Solomon, Donna Tackett, Tom helpful ones, to a large and complex of outcomes, the KDE and the Kentucky validation. It is an enormous system with Stratton, Benjy Kinman, Harry Carver, system like education is bound to Board of Education (KBE) should provide millions of records and tens of thousands Darren Sammons, Russ Salsman, Bill cause headaches, and implementing clear definitions and implementation rules of data points, and KDE has insufficient Bell, Peggy Stratton, Rick Washabaugh, performance-based credit is no exception. for performance-based credit. They should funds to set up a complete auditing and Steve Kull. Monitoring performance-based credit is consider the impact on funding and other system, which requires personnel and LRC Staff: Kim Eisner, Charles difficult because not everyone understands factors, and should distribute information updated technology. Booker, and Becky Brooker. how to define it and accurately record data. widely within KDE and to all districts Kevin Brown, General Counsel, A motion was made by Representative Ms. Landy said the student and schools; and (2) while the student KDE, said KDE is working with Infinite Yonts to approve Minutes of the September information system is not well-suited information system contains an indicator Campus to work out the issues. He noted 2013 meeting of the committee. Senator to tracking self-paced student progress. for performance-based credit, OEA data input is the biggest problem and Hornback seconded the motion, which Teachers can enter grades into the system found inconsistent use of this indicator there is a need for additional funding for passed without objection. only for a pre-established time span. In a and related data points about attendance, training. He said Infinite Campus is a work SEPTEMBER 2013 DEFERRED self-paced course, some students might teaching methods, and instructional in progress and any change made costs the LIST be behind or ahead of that time span and settings. Therefore, KDE should provide school districts additional money. CORRECTIONS, DEPARTMENT teachers have to use file folders and paper more guidance to ensure that the data have Responding to Representative OF grade books instead of the electronic a uniform meaning across districts. She Graham, Mr. Brown said KDE has a Diamond Drugs Incorporated grade book. said this would be a necessary step before multi-year contract with Infinite Campus d/b/a Diamond Pharmacy Services, Ms. Landy said in traditional anything definitive could be said about the and is not sure of the exact end date. He 1400000050. Stephen Castle, Janice courses, teachers create documents to set impact of performance-based credit. noted the software and hardware costs are Stanley, and Melissa Harrod discussed expectations and manage time, but they do Responding to a question from significant and continual with the system. the contract with the committee. A motion not necessarily share these with students Senator Wilson regarding restrictions Representative Marzian motioned to was made by Senator Gregory to consider and do not have to prepare in detail far in on performance-based credits counting accept the “Performance Based Credits” the contract as reviewed. Representative advance. However, students working at towards a diploma, Ms. Landy said the report and Senator Neal seconded the Montell seconded the motion, which their own pace need detailed written and regulation has very few restrictions, but motion. Motion approved by voice vote. passed without objection. pre-recorded instructions prepared as far does require that districts have detailed Representative Marzian motioned NORTHERN KENTUCKY in advance as the fastest student in the policies in place. She said most students to accept the “Compendium of State UNIVERSITY: class. only take a few performance-based credit Education Rankings 2013” report and Richard Fleischman & Partners Ms. Landy said not all teachers are courses at a time. Senator Wilson seconded the motion. Architects, 2014-646. A motion was made comfortable with performance-based Responding to Senator Wilson about Motion approved by voice vote. by Representative Yonts to consider the courses, and not all students can handle alternate funding for students seeking Assessment Results of Kentucky’s contract as reviewed. Senator Gregory more responsibility for their own learning. performance-based credit, Ms. Landy Priority Schools seconded the motion, which passed This is not surprising as there are no one- said the KBE has discussed this and made Representative Smart delayed the without objection. size-fits all approaches to teaching and changes to the attendance regulation. She KDE report until the November meeting. A motion was made by Representative learning. said it is always a good idea to see how Other Business Yonts to consider as reviewed, the Personal Ms. Landy said the report mentions things are working and if they need to be Representative Smart gave OEA Service Contract List, with exception of there are no robust scientific evaluations fine tuned. three suggestions for the 2014 study those items selected for further review comparing the effectiveness of Responding to questions from agenda topics: (1) an atlas of education by members of the committee. Senator

44 2013 Interim LEGISLATIVE RECORD Gregory seconded the motion, which Incorporated, 1400000389; J M Staggs & Fisher Consulting 1400000397; Purchase Area Development passed without objection. Crawford & Associations Incorporated, Engineers Incorporated, 121410; Multi, District, 1400000399; Bluegrass Area A motion was made by 1400000398; Strand Associates 131418. Development District, 1400000401; Representative Yonts to consider as Incorporated, 1400000472; GRW Buffalo Trace Area Development District, reviewed, the Personal Service Contract Engineers Incorporated, 1400000506. THE FOLLOWING 1400000404; Cumberland Valley Area Amendment List, with exception of UNIVERSITY OF KENTUCKY: MEMORANDA OF AGREEMENTS Development District, 1400000405; those items selected for further review Peck, Shaffer & Williams, LLP, 14- WERE REVIEWED WITHOUT Pennyrile Area Development District, by members of the committee. Senator 129; CMTA Incorporated, A141100; Dr. OBJECTION: 1400000409; Whitley County Fiscal Gregory seconded the motion, which Danny Corales, K14-128. BOARD OF LICENSURE FOR Court, 1400000410; Northern Kentucky passed without objection. UNIVERSITY OF LOUISVILLE: PRIVATE INVESTIGATORS: Area Development District, 1400000411; A motion was made by R. G. Vanderweil Engineers, LLP, Occupations and Professions, Lincoln Trail Area Development District, Representative Yonts to consider as 14-030. 1400000161. 1400000412; Lake Cumberland Area, reviewed, the Memoranda of Agreement WESTERN KENTUCKY COMMISSION FOR CHILDREN 1400000413; Kentuckiana Regional List, with exception of those items selected UNIVERSITY: WITH SPECIAL HEALTH CARE Planning & Development Agency, for further review by members of the Multi, 131420; Freedom Sports & NEEDS: 1400000414; Gateway Area Development committee. Senator Gregory seconded the Entertainment, LLC d/b/a PMI College, University of Kentucky Research District, 1400000415; City of Vicco, motion, which passed without objection. 131425. Foundation, 1400000156. 1400000420; City of Mortons Gap P A, A motion was made by THE FOLLOWING PERSONAL CORRECTIONS, DEPARTMENT 1400000421; Perry County Fiscal Court, Representative Yonts to consider as SERVICE AMENDMENTS OF: 1400000423; Perry County Fiscal Court, reviewed, the Memoranda of Agreement WERE REVIEWED WITHOUT Seven Counties Services 1400000424; Perry County Fiscal Court, Amendment List, with exception of OBJECTION: Incorporated, 1400000272; Seven 1400000425; Letcher County Fiscal those items selected for further review DEPARTMENT FOR Counties Services Incorporated, Court, 1400000427; Letcher County Fiscal by members of the committee. Senator ENVIRONMENTAL PROTECTION: 1400000311. Court, 1400000438; Kentucky River Area Gregory seconded the motion, which Tetra Tech Incorporated, DEPARTMENT FOR Development District, 1400000454; City passed without objection. C-05120724-1. BEHAVIORAL HEALTH, of Munfordville, 1400000487. THE FOLLOWING PERSONAL FINANCE AND DEVELOPMENTAL AND POST SECONDARY EDUCATION, SERVICE CONTRACTS ADMINISTRATION CABINET: INTELLECTUAL DISABILITIES: COUNCIL ON: WERE REVIEWED WITHOUT Multi, 1200003660. UK Healthcare, 1300002455. ACT, Inc., 1400000036; OBJECTION: FINANCE AND DEPARTMENT FOR Collaborative for Teaching and Learning, CORRECTIONS, DEPARTMENT ADMINISTRATION CABINET - ENVIRONMENTAL PROTECTION: 1400000386. OF: DIVISION OF ENGINEERING: Lexington Fayette Urban County, THE FOLLOWING Maddox & Associates, 1400000349; Facility Commissioning Group, 1400000015; UK Research Foundation, MEMORANDA OF AGREEMENT Glenn Stuart Minor, 1400000473. 0900011688; Godsey Associates 1400000341. AMENDMENTS WERE REVIEWED DENTISTRY, BOARD OF: Architects Incorporated, 1000000518; EDUCATION, DEPARTMENT OF: WITHOUT OBJECTION: George Ted Georgacopoulos, URS Corporation, 1100000073; URS McCreary County Board of ADMINISTRATIVE OFFICE OF 1400000491. Corporation, 1100002668; THP Limited Education, 1300003071; Jefferson THE COURTS: DEPARTMENT FOR Incorporated, 1300000504; Barnette County Board of Education, 1300003146; Morehead State University, BEHAVIORAL HEALTH, Bagley Architects, C-06012536. Department for Medicaid Services, 1300001757. DEVELOPMENTAL AND KENTUCKY STATE 1400000085; Jefferson County Board of AGRICULTURE, DEPARTMENT INTELLECTUAL DISABILITIES: UNIVERSITY: Education, 1400000105; NKU Research OF: Staff Easy, LLC, 1400000185. Willar White-Parson, 14-09. Foundation, 1400000141; Kentucky Multi, 1300001593; Multi, EDUCATION PROFESSIONAL NORTHERN KENTUCKY Educational Development Corporation, 1300001595. STANDARDS BOARD: UNIVERSITY: 1400000153; NKU Research Foundation, DEPARTMENT FOR Panorama Education, Inc., Multi, 2014-563-1. 1400000169; West Kentucky Education COMMUNITY BASED SERVICES: 1400000351. POST SECONDARY EDUCATION, Cooperative, 1400000184; Morehead Community Action of Southern EDUCATIONAL TELEVISION, COUNCIL ON: State University, 1400000204; Kentucky Kentucky Incorporated, 1200002113. KENTUCKY: TPR Education, LLC d/b/a the Association of School Administrators, DEPARTMENT FOR FAMILY Mary Henson, 1400000382. Princeton Review, 1300000501; CBW 1400000247; Department of Corrections, RESOURCE CENTERS & VOLUNTEER FINANCE AND Associates, 1300000989. 1400000278; NKU Research Foundation, SERVICES: ADMINISTRATION CABINET - TRANSPORTATION CABINET: 1400000309; University of Kentucky Kentucky Domestic Violence DIVISION OF ENGINEERING: American Engineers Incorporated, Research Foundation, 1400000329; Floyd Association, 1200003629; Homeless Paladin Incorporated, 1400000380. 0700004074; Ica Engineering Incorporated County Board of Education, 1400000448; and Housing, 1200003665; Green River KY HORSE RACING f/k/a Florence & Hutcheson Incorporated, Hardin County Board of Education, Area Development District, 1200003670; AUTHORITY: 1000002221; Corradino Group, 1400000451; University of Kentucky Barren County Board of Education, Kentucky Equine Research, Inc., 1100000499; Parsons Brinckerhoff, Research Foundation, 1400000467; 1300000226; Project Unite, 1300000230; 1400000457. Inc., 1100000527; Arnold Consulting University of Kentucky Research Ohio Valley Education Coop, 1300000240. OFFICE OF THE GOVERNOR, Engineering, 1200000346; Palmer Foundation, 1400000509. DEPARTMENT FOR NATURAL DEPARTMENT FOR LOCAL Engineering Company, 1200000457; INFRASTRUCTURE RESOURCES: GOVERNMENT: URS Corporation, 1200000467; ICA AUTHORITY: Finance and Administration Cabinet, University of Kentucky Research Engineering Incorporated f/k/a Florence Bluegrass Area Development 1300001343. Foundation, 1400000339. & Hutcheson Incorporated, 1200000514; District, 1400000290. DEPARTMENT FOR PUBLIC PUBLIC ADVOCACY, Vaughn & Melton Consulting Engineers MILITARY AFFAIRS, HEALTH: DEPARTMENT FOR: (Kentucky), Inc., 1200001015; J. M. DEPARTMENT OF: Lincoln Trail Area Development George Burgess, 1400000498. Crawford & Associates, Incorporated, Multi, 1200003959; Multi, District, 1200001908; Greater Louisville STATE POLICE, DEPARTMENT 1300001870; Palmer Engineering 1400000335. Medical Society, 1200001952; University OF: Company, 1400000343; Presnell OFFICE OF THE GOVERNOR, of Kentucky Research Foundation, Kentucky Auctioneers Associates Associates Incorporated, C-02061099-3; T DEPARTMENT FOR LOCAL 1200002194; U of L Research Foundation, Incorporated, 1400000354. H E Engineers Incorporated, C-06133540; GOVERNMENT: 1200002276; DMA Kentucky Community TRANSPORTATION CABINET: HNTB Corporation, C-99005232-8. Madisonville Community Crisis Board, 1200002380; University Intequal-Duncan Appraisal, VETERANS AFFAIRS, College, 1400000284; Martin County of Kentucky Research Foundation, 1400000357; Berkley Appraisal DEPARTMENT OF: Fiscal Court, 1400000315; Johnson 1300001977. Company, 1400000358; American Multi, 1200003001. County Fiscal Court, 1400000316; EDUCATION, DEPARTMENT OF: Engineers Incorporated, 1400000378; WESTERN KENTUCKY City of Pikeville, 1400000352; Barren Eastern Kentucky University, HMB Professional Engineers UNIVERSITY: River Area Development District, 1200002904; University of Louisville

THE KENTUCKY GENERAL ASSEMBLY 45 Research Foundation, 1200002905; Frost Brown Todd, LLC, by Senator McDaniel to consider the Kentucky Center for the Arts, Murray State University, 1300000517; 1400000376. Jeff Mosley discussed the contract as reviewed. Representative 1400000355. Harry Carver, Darren NKU Research Foundation, 1300000577; contract with the committee. A motion was Yonts seconded the motion, which passed Sammons, and Russ Salsman discussed Northern Kentucky University Research made by Senator McDaniel to consider without objection. the contracts with the committee. A motion Foundation, 1300000581; Kentucky the contract as reviewed. Representative THE FOLLOWING PERSONAL was made by Representative Crenshaw Science and Technology Corporation, Yonts seconded the motion, which passed SERVICE CONTRACTS to consider the contracts as reviewed. 1300000875; Corbin Independent Board with Senator Gregory and Representative AMENDMENTS WERE SELECTED Senator McDaniel seconded the motion, of Education, 1300001756; Washington Montell electing to abstain (PASS). FOR FURTHER REVIEW: which passed without objection. County Board of Education, 1300002530; GOVERNORS OFFICE OF DEPARTMENT FOR PUBLIC TRANSPORTATION CABINET Kentucky Educational Development AGRICULTURAL POLICY HEALTH Kentucky Association of Chiefs Corporation, 1300002549; Leslie County Goldberg Simpson, LLC, Kentucky Hospital Research & of Police, 1400000119; Kentucky Board of Education, 1300002569; 1400000430. Roger Thomas and Shannon Education Foundation, 1200002794. Association of Chiefs of Police, Montgomery County Board of Education, Morgan discussed the contract with Paul Royce and Brad Learn discussed the 1400000124; Kentucky Association 1300002714. the committee. A motion was made by contract with the committee. A motion of Chiefs of Police, 1400000129; MILITARY AFFAIRS, Representative Yonts to consider the was made by Senator Gregory to consider Kentucky Association of Chiefs of DEPARTMENT OF: contract as reviewed. Representative the contract as reviewed. Representative Police, 1400000132; Kosair Children’s Multi, 1000000949; Multi, Horlander seconded the motion, which Yonts seconded the motion, which passed Hospital, 1400000244. Bill Bell and 1100001405; Multi, 1200000537. passed without objection. without objection. Peggy Stratton discussed the contracts OFFICE OF THE GOVERNOR, KENTUCKY COMMUNITY & VETERANS AFFAIRS, with the committee. A motion was made DEPARTMENT FOR LOCAL TECHNICAL COLLEGE SYSTEM DEPARTMENT OF by Senator McDaniel to consider the GOVERNMENT: Washington State University, 566; Premier Integrity Solutions, contracts as reviewed. Representative City of Wickliffe, 1000003937; Southwestern College, 567; Northern 1200003718. Gilda Hill and Judy Solomon Yonts seconded the motion, which passed Breathitt County Fiscal Court, Virginia Community College, 570; discussed the contract with the committee. without objection. 1000003995; Wolfe County Fiscal Court, Davidson County Community College, A motion was made by Senator McDaniel THE FOLLOWING 1200000597; Knott County Fiscal Court, 573. Keith Stephens, Vince DiNoto, and to consider the contract as reviewed. MEMORANDA OF AGREEMENTS 1300000722; Floyd County Fiscal Court, Joanna Lynch discussed the contracts Representative Yonts seconded the AMENDMENTS WERE SELECTED 1300000730; Muhlenberg County Fiscal with the committee. A motion was made motion, which passed without objection. FOR FURTHER REVIEW: Court, 1300000801; City of Barbourville, by Representative Montell to consider THE FOLLOWING EDUCATION, DEPARTMENT OF 1300001105; City of Barbourville, the contracts as reviewed. Representative MEMORANDUM OF AGREEMENT Jenkins Independent Board of 1300001274; Breathitt County Fiscal Crenshaw seconded the motion, which WAS SELECTED FOR FURTHER Education, 1300000113; Wayne County Court, 1300001544; City of Barbourville, passed without objection. REVIEW: Board of Education, 1300000121; 1300001664; Ohio County Fiscal Court, KENTUCKY STATE UNIVERSITY CORRECTIONS, DEPARTMENT Lighthouse Promise Incorporated, 1300001883; Lawrence County Fiscal Fox Lawson & Associates, a Division OF 1300000145; Lincoln County Board Court, 1300002062. of Gallagher Benefit Services, and 14-12. KentuckianaWorks, 1400000246. of Education, 1300000146; Livingston THE FOLLOWING PERSONAL Steve Mason and Gary Meiseles discussed Steven Castle, Janice Stanley, and County Board of Education, 1300000147; SERVICE CONTRACTS WERE the contract with the committee. A motion Melissa Harrod discussed the contract Treasurer Newport In Board of Education, SELECTED FOR FURTHER was made by Senator McDaniel to consider with the committee. A motion was made 1300000158; Owen County Board of REVIEW: the contract as reviewed. Representative by Representative Yonts to consider the Education, 1300000160; Owensboro CORRECTIONS, DEPARTMENT Yonts seconded the motion, which passed contract as reviewed. Senator Gregory Independent Board of Education, OF without objection. seconded the motion, which passed 1300000161; Somerset Independent Center for Effective Public Policy, KY HORSE RACING AUTHORITY without objection. Somerset School District, 1300000173; 1400000292. Stephen Castle, Janice HFL Sport Science Incorporated, EDUCATION, DEPARTMENT OF Taylor County Board of Education, Stanley, and Melissa Harrod discussed 1300002915. Susan Speckert, Dr. Mary Advanced – Kentucky, 1400000331. 1300000175; Wolfe County Board of the contract with the committee. A motion Scollay, and Mark Guilfoil discussed the Donna Tackett and Tom Stratton discussed Education, 1300000178. Donna Tackett was made by Representative Montell contract with the committee. A motion was the contract with the committee. A motion and Tom Stratton discussed the contract to consider the contract as reviewed. made by Representative Yonts to consider was made by Representative Yonts to with the committee. A motion was made Representative Yonts seconded the the contract as reviewed. Representative consider the contract as reviewed. Senator by Representative Yonts to consider the motion, which passed without objection. Montell seconded the motion, which Gregory seconded the motion, which contract as reviewed. Representative CORRECTIONS, DEPARTMENT passed without objection. passed without objection. Crenshaw seconded the motion, which OF TRANSPORTATION CABINET FISH & WILDLIFE, DEPARTMENT passed without objection. Big Brothers Big Sisters of Daryle M. Ronning PSC, OF Kentuckiana Incorporated, 1400000408. 1400000295; Embry Merritt Shaffar Eastern Kentucky University, THE FOLLOWING Stephen Castle, Janice Stanley, and Womack, PLLC, 1400000296; Fogle 1400000281. Benjy Kinman discussed the MEMORANDA OF AGREEMENTS Melissa Harrod discussed the contract Keller Purdy PLLC, 1400000297; contract with the committee. A motion was FOR $50,000 AND UNDER LIST with the committee. A motion was made Hazelrigg and Cox, 1400000299; Kerrick made by Representative Yonts to consider SELECTED FOR FURTHER by Representative Yonts to consider the Stivers Coyle, PLC, 1400000300; the contract as reviewed. Representative REVIEW: contract as reviewed. Representative Logan & Gaines, PLLC, 1400000301; Crenshaw seconded the motion, which DEPARTMENT FOR NATURAL Horlander seconded the motion, which McMurry and Livingston, 1400000302; passed with Senator McDaniel voting NO RESOURCES passed without objection. Reynolds Johnston Hinton and Pepper, and Representative Montell electing to City of Covington, 1400000345; CORRECTIONS, DEPARTMENT 1400000304; Tooms & Dunaway, PLLC, abstain (PASS). City of London, 1400000392; Pennyrile OF 1400000305; Wallace Boggs, PLLC, OFFICE OF THE GOVERNOR, R C & D, 1400000402. Rick Washabaugh The Kentucky Foundation for 1400000306; Walther, Roark & Gay, DEPARTMENT FOR LOCAL and Steve Kull discussed the contracts Women Inc., 1400000434. Stephen PLC, 1400000307. Rebecca Goodwin and GOVERNMENT with the committee. A motion was made Castle, Janice Stanley, and Melissa Harrod Kevin Damron discussed the contracts Hopkins County Fiscal Court, by Representative Crenshaw to consider discussed the contract with the committee. with the committee. A motion was made 1400000312. Harry Carver, Darren the contracts as reviewed. Representative A motion was made by Representative by Senator McDaniel to consider the Sammons, and Russ Salsman discussed Yonts seconded the motion, which passed Yonts to consider the contract as reviewed. contract as reviewed. Representative the contracts with the committee. A motion with Senator McDaniel electing to abstain Representative Horlander seconded the Yonts seconded the motion, which passed was made by Representative Crenshaw (PASS). motion, which passed with Senators without objection. to consider the contracts as reviewed. EXEMPTION REQUEST Gregory, Hornback and McDaniel voting UNIVERSITY OF KENTUCKY Senator McDaniel seconded the motion, ENERGY AND ENVIRONMENT NO, and Representative Montell voting Academic Leadership Associates, which passed without objection. CABINET NO. LLC, K12-127. Bill Harris and Kenneth OFFICE OF THE GOVERNOR, The Energy and Environment FINANCE AND Troske discussed the contract with DEPARTMENT FOR LOCAL Cabinet requested an exemption from ADMINISTRATION CABINET the committee. A motion was made GOVERNMENT the two year contracting restrictions

46 2013 Interim LEGISLATIVE RECORD and an exemption from the committee’s for personnel to meet. FedEx delivery is possible to Kandahar, is preferred because standard mail is routine approval review process for State Command Sergeant Major Afghanistan, but getting mail into the field unreliable. Division of Abandoned Mine Lands Thomas E. Chumley, Jr., Headquarters is a challenge. Generally speaking, Mail Ms. Thurston described the Waterline Memoranda of Agreements Kentucky National Guard, explained that often takes approximately nine days to get Uniformed and Overseas Citizens and will provide the committee with having the time to negotiate the absentee to the members serving in Afghanistan, Absentee Voting Act (UOCAVA), enacted quarterly reports. A motion was made by ballot process, especially given the slow but the time is even longer for soldiers in by Congress in 1986, which guarantees that Representative Yonts to grant the request moving nature of mail overseas, is one of the field command positions. uniformed service and overseas citizens to December 31, 2014. Representative more serious issues for military personnel In response to Lindsay Thurston’s can register to vote and vote by absentee Crenshaw seconded the motion, which attempting to cast a ballot. Personnel question on CAC cards, Col. Kratzer ballot in federal elections. She explained passed without objection. frequently change field locations, which explained that the military uses the CAC that the Military and Overseas Voter With no further business before can interfere with the success of sending card for everything they do electronically. Empowerment (MOVE) Act, enacted the committee, the meeting adjourned at or receiving mail. A Voting Assistance The cards are the only means for military by Congress in 2009, requires states to 11:42 AM. Officer (VAO) is assigned to each unit to personnel to access a computer. Col. transmit a validly requested absentee ensure that the deploying soldiers have Kratzer further noted that the cards are ballot to a UOCAVA voter no later than Military and Overseas Voting all the necessary materials for requesting uniquely assigned to each soldier and 45 days before a federal election. The Assistance Task Force and casting ballots and they are reminded contain their signatures, and the cards MOVE Act also requires states to make voter registration and absentee ballot Minutes of the 1st Meeting of upcoming elections. However, each could be used as a means to allow secure applications available electronically. of the 2013 Interim individual soldier is required to reach access, with a signature, related to voting. October 8, 2013 out to the county clerk’s office for an The CAC card will work anywhere Ms. Thurston described the military and overseas voting procedures in Call to Order and Roll Call absentee ballot and to follow through on in the field that soldiers have internet Kentucky. A covered voter must complete The first meeting of the Military and the procedures required to vote, including connectivity. Even advance units often an absentee ballot application by either Overseas Voting Assistance Task Force mailing the voted ballot. have sufficient connectivity for limited using the state application or the federal was held on Tuesday, October 8, 2013, Lt. Colonel Dallas F. Kratzer, computer access. post card application. A covered voter may at 10:30 AM, in Room 171 of the Capitol Military Personnel Manpower Officer, Keith Cain expressed his concern mail, email, or fax the application, which Annex. Senator Joe Bowen, Chair, called Headquarters Kentucky National Guard, over Col. Kratzer’s statistic that only must be received by the close of business the meeting to order, and the secretary explained that the biggest challenge facing 50-60 percent of his military personnel seven days before the election. After a called the roll. the military is forwarding of mail. Military were able to successfully vote. About 50- county clerk reviews and approves the Present were: Senator Joe Bowen, personnel move around frequently, and 60 percent of the 39 soldiers in his unit application, the blank ballot is then faxed, Co-chair, Representative Darryl Owens, getting mail to follow them as they move voted successfully, but this voting rate is emailed, or mailed to the voter. Senate Bill Co-chair, Senator Jimmy Higdon, Keith around the country, or overseas, is very unacceptable for military personnel. 1 requires that this be done at least 45 days Cain, Bobbie Holsclaw, and Lindsay difficult. Approximately 50-60 percent of Senator Bowen asked if the issues in advance of all elections. After the voter Thurston. his deployment team was able to execute with mail were primarily with mail receives the ballot, the voter marks his or Due to the United States Government an absentee ballot in the last election coming in to, versus going out from, her selections and returns the it by mail, shutdown and related work furloughs, cycle. While the military is adamant that overseas personnel. Col. Chumley gave which must be received by the close of task force member Col. Charles T. Jones the deployed soldiers have the ability to an example of his deployment to Africa polls on election day. sent Maj. James Harvey to attend in his vote, the largest issue impeding successful during Hurricane Sandy, when all mail Ms. Thurston gave statistics related absence. voting by overseas military personnel is was diverted to Chicago and resulted in to military and overseas ballots in past Members: Senator Joe Bowen, Co- the forwarding of mail to their current additional delays receiving mail. Often election cycles. In the 2008 general Chair; Representative Darryl T. Owens, locations in a timely manner. mail may be sent and postmarked on time election, 6,565 military and overseas Co-Chair; Senator Jimmy Higdon, In response to a question from by a soldier, but the time that it takes to absentee ballots were issued, with 5,236 Representative Tanya Pullin; Keith Cain, Representative Owens regarding reach a county clerk is the main concern. returned. In the 2010 general election, James Fowler, Bobbie Holsclaw, Charles standard mail voting versus electronic Current Absentee Voting 1,452 absentee ballots were issued, and T. Jones, and Lindsay Thurston. vote submission, Col. Bullard stated that Procedures and SB 1 Changes 1,138 were returned, with 82 of those Guests: Alison Lundergan Grimes, having an electronic voting process would Alison Lundergan Grimes, Secretary unable to be counted. In the 2012 general Kentucky Secretary of State. eliminate the time constraints of standard of State of Kentucky, spoke briefly on the election, 4,608 absentee ballots were LRC Staff: Greg Woosley, Kristopher mail. In a follow-up question regarding goals of her office and efforts to ensure issued, and 3,601 were returned. Of those, Shera, and Ashlee McDonald. the notice personnel get on deployment that men and women who serve Kentucky 301 were unable to be counted. Military Perspectives on Overseas and voting procedures, Col. Bullard are able to vote during deployment. She Voting explained that VAO will begin talking to is confident that the bipartisan work will Ms. Thurston stated that by enacting Several military personnel testified the deploying soldiers as soon as possible be a step in the right direction. Bill 1, the General Assembly about their experiences with overseas after notice of deployment to ensure is the recipient of a $2.2 million dollar adopted the Uniform Military and voting. Colonel Steven P. Bullard, Chief that they are as prepared as possible for grant from the Federal Voting Assistance Overseas Voters Act (UMOVA), which of Staff, Air and Deputy Director Joint upcoming elections. Program to help implement 2013 Regular has been adopted by 14 states. The bill Staff, Headquarters Kentucky National In response to a question from Senator Session Senate Bill 1. The grant is the requires the Secretary of State to create an Guard, stated that he has been deployed Higdon, Col. Chumley stated that other largest that has ever been awarded by the electronic transmission system by which a four times during an election. In his four states’ VAOs are able to assist their units to program. covered voter may apply for and receive deployments, he has voted successfully request and receive ballots electronically, Lindsay Hughes Thurston, Assistant voter registration materials and military three times and failed to have a ballot and even vote electronically in some Secretary of State of Kentucky, testified overseas ballots. The bill allows military returned by the deadline in the fourth cases, while Kentucky soldiers are largely about the absentee ballot procedures and overseas voters to register to vote or election. It is essential for military required to use the standard mail method. applicable to military and overseas update their voter registration information personnel to be prepared to navigate Kentucky soldiers are already equipped voters and the changes established by electronically. It extends UOCAVA the absentee ballot process before with Common Access Cards (CAC card) Senate Bill 1. She said that Kentucky has protections to members of the Kentucky deployment; however, this is difficult for that allow them to have digital/electronic more than 65,000 active-duty military National Guard. most personnel because most of the pre- signatures, and they are used to doing any personnel, including reserve members and deployment period is spent on preparing number of tasks electronically with these those serving in the Kentucky National In a response to a question from for other matters related to deployment. cards. Training the soldiers to use the Guard. There are two military bases, Fort Senator Bowen, Ms. Thurston explained In this regard, any means of assisting cards to help facilitate voting would not Campbell and Fort Knox. that in the 2012 election, out of the 301 the military personnel once deployed be an issue. Ms. Thurston described a trip military and overseas ballots that were increases the likelihood that ballots Responding to a question from Ms. Secretary Grimes took in September, returned, 121 were not counted because can be cast successfully. Mail service Holsclaw’s, Col. Bullard explained that 2012, to the Middle East, during which she they arrived after the 6:00 p.m. deadline. overseas can be very unpredictable, and a soldier’s location largely determines toured the mail facilities serving military Out of the 301 uncounted votes, 191 were because mail is often delayed, the time whether he or she is able to send or personnel. Mail service was treated with from military personnel and 110 were from constraints for casting ballots are difficult receive mail via Federal Express very high regard, but military personnel (FedEx) or United Parcel Service (UPS). reported that electronic communication overseas civilians. Senate Bill 1 requires

THE KENTUCKY GENERAL ASSEMBLY 47 that any ballot received prior to the 6:00 With no further business to come support for such a rate-setting process. the time. She can provide a copy of the p.m. deadline will be counted, regardless before the meeting, the meeting adjourned Recommendation 2.2 is that CHFS should relevant regulations for personal care of the date of postmark or even if it has at 11:45 a.m. propose a method for setting the personal homes and nursing facilities. no postmark. The electronic transmission needs allowance for state supplementation Senator McDaniel welcomed system will ease the complications of Program Review and recipients based on a periodic assessment Representative Horlander, co-chair of the ballots arriving on time to military and Investigations Committee of personal expenses. Ms. Jurek said that Government Contract Review Committee, overseas voters. Minutes adjusting personal needs allowances each to the meeting. Trends in Absentee Voting in November 14, 2013 year to meet inflation through August Approve minutes for September Other States and Technology Call to Order and Roll Call 2013 would have cost $822,600 per year. 12, 2013 Lori Steele, Founder, Chairman and The Program Review and Thereafter, every $5 increase would cost Upon motion made by Representative CEO of Everyone Counts, Inc., explained Investigations Committee met on $160,000 per year. Recommendation 3.4 Combs and a second by Senator Ridley, the benefits of using a start of the art Thursday, November 14, 2013, at 10:00 is that CHFS should develop a proposal the minutes of the September 12, 2013, electronic system for ballot delivery AM, in Room 131 of the Capitol Annex. to ensure community mental health meeting were approved by voice vote, and return. The first electronic ballot Senator Christian McDaniel, Chair, called centers demonstrate that their clients in without objection. election was held in 1997. In 2003, the the meeting to order, and the secretary personal care homes who have mental Upon motion to nominate by first government-wide electronic election called the roll. illness or intellectual or developmental Representative Combs and second by was held. In 2007, Everyone Counts gave Present were: disabilities achieve increased integration Representative Rand, Representative Australia the ability to allow all military Members: Senator Christian into the community and engage in more King was nominated for the position of serving overseas to utilize online voting. McDaniel, Co-Chair; Senators Tom independent activities. Recommendation House Co-chair. In modern electronic voting systems, Buford, Perry B. Clark, Julie Denton, 3.6 is that CHFS should develop a Upon motion that nominations cease a voter may use a computer, tablet, or Ernie Harris, Jimmy Higdon, Dorsey proposal to identify and assess personal by Representative Simpson and second smartphone to access a ballot regardless of Ridley, and Dan “Malano” Seum; care home applicants and current residents by Representative Combs, Representative location. These systems are not untested Representatives Dwight D. Butler, Leslie who might qualify for one of the relevant King was elected House Co-chair by or unproven, but are simply not regularly Combs, Jim DeCesare, Martha Jane King, Medicaid waiver programs or the new acclamation, without objection. deployed in the elections process in the Terry Mills, Ruth Ann Palumbo, Rick Medicaid program for people with severe Staff Report: Personal Service United States. Statistics have shown Rand, and Arnold Simpson. and persistent mental illness and to divert Contracting in Kentucky that voter turnout and participation rates Legislative Guest: Representative anyone qualifying for those programs from Van Knowles, Joel Thomas, William are higher when electronic delivery and Dennis Horlander. a personal care home. The cabinet also Spears, and Jessica Sapp presented the return are utilized together, rather than Guests: Beth Jurek, Director; Jackie should explore ways to assess all personal report Personal Service Contracting in separately. Utah and Arizona are moving Watkins, Assistant Director; Office of care home applicants and residents for Kentucky. forward with electronic return of ballots Policy and Budget, Cabinet for Health and appropriateness. Recommendations 3.4 Mr. Knowles said that general in the 2014 election, and Everyone Counts Family Services; Don Speer, Executive and 3.6 are being addressed through the information was obtained about all will soon be launching the first CAC card Director, Office of Procurement Services, cabinet’s interim service agreement with agencies that are within the purview of authentication process for an undisclosed Finance and Administration Cabinet; Protection and Advocacy. Under the the Finance and Administration Cabinet state. Alice Wilson, Executive Director; agreement, the cabinet will implement (FAC) and that use the statewide electronic Dan Nolan, Vice President of Peggy Stratton, Director; Mike Hill, measures to provide up to 600 individuals accounting system. Agencies such as the Strategic Planning and Government Director; Todd Shipp, Special Assistant; access to community-based supported court system, the retirement systems, and Relations with SOE Software, stated that Transportation Cabinet; Charles Harman, housing and community-based mental LRC were outside the scope of the study. much of SOE Software’s focus has been Director, Division of Budget and Financial health services over 3 years. The cabinet Architectural and engineering contracts on assisting local election officials to Management, Department of Education; has pledged $7 million in fiscal year 2014 were excluded from the report. Staff better communicate with voters through David Wicker, Counsel, Department of and $6 million in FY 2015. The agreement obtained more detailed information from election night return systems. SOE has Fish and Wildlife. with Protection and Advocacy requires a few selected agencies. branched out into modern electronic LRC Staff: Greg Hager, Committee the cabinet to implement procedures for A personal service contract (PSC) voting systems. The goal of online voting Staff Administrator; Chris Hall; Colleen ensuring that individuals residing in or is an agreement between a state agency and ballot casting software is to minimize Kennedy; Van Knowles; Lora Littleton; at risk of entry into a personal care home and a private entity to provide services human errors, post office delays, and fraud. Jean Ann Myatt; William Spears; Joel will be accurately and fully informed in requiring professional skill or professional Alaska has utilized electronic balloting Thomas; Stephanie Love, Jessica Sapp, writing about community based options. judgment. The memorandum of agreement for all voters, with on-screen marking of Graduate Fellows; Kate Talley, Committee Senator Higdon asked for clarification is a contract between a state agency and ballots possible, including safeguards to Assistant. that the agreement does not include a 5 another governmental body or nonprofit prevent inadvertent over/under voting. Senator McDaniel welcomed Rep. percent increase in the supplement or an organization. Electronic ballot systems are available King as a member of the committee. increased personal allowance. Ms. Jurek According to the Kentucky Model that provide a paper trail, that are secure, Response to recommendations in said that this was correct. These were Procurement Code in KRS Chapter 45A, and that are a scalable solution to a state’s 2012 committee report Personal Care not among the concerns expressed by contracts should be solicited through elections needs. Homes in Kentucky. Protection and Advocacy. a competitive process whenever In response to a question by Ms. Jurek summarized the written Senator Higdon said that there are bad feasible, the secretary of the Finance Senator Bowen, Ms. Steele stated that response of the Cabinet for Health and good personal care homes. Overall, and Administration Cabinet is the chief approximately 12 states are using voting and Family Services (CHFS) to four personal care homes are doing a good job purchasing officer of the Commonwealth, systems developed by Everyone Counts. recommendations in the committee’s 2012 diverting mentally ill. More funding is and the Government Contract Review Eight states are using SOE Software’s report Personal Care Homes in Kentucky. needed. He noted his disappointment that Committee (GCRC) oversees personal systems. Recommendation 2.1 is that CHFS this was not included in the agreement service contracts and memoranda of Responding to a question by should propose a state supplementation with Protection and Advocacy. Ms. Jurek agreement. Representative Owens, Ms. Steele rate-setting process that would involve a replied that Protection and Advocacy is All appropriated funds pass through explained that in 2012, every state had periodic financial audit of personal care focused on community-based treatment. eMARS, the statewide electronic electronic transmission of ballots in homes accepting state supplementation In response to questions from Senator accounting system. The system also some way, including fax and electronic recipients. Ms. Jurek said that such a rate McDaniel, Ms. Jurek said the Medicaid contains electronic procurement mail. However, the return of ballots was setting process may exceed the authority expansion will result in additional federal documents like requests for proposals, primarily done by standard mail in a of the Department for Community Based funding for the cabinet. The cabinet is proposal evaluations, contracts and majority of states. Services (DCBS) as administrator of the working to refine the estimate of the amendments, payments, and vendor In response to Ms. Thurston, Mr. state supplementation program. If DCBS replacement of state funds with federal performance evaluations. Nolan explained that Alaska took small increased the benefit to state supplement funds. At the end of fiscal year 2013, steps to introduce the electronic voting recipients in personal care homes by 5 Rep. Horlander asked about the 684 PSCs were open within the scope system, beginning first with UOCAVA percent, the additional cost would be requirements for medical staff at personal of the study. Spending on the Passport voters. After its success, the state made the $2 million in General Funds per year. care homes. Ms. Jurek said that they are Medicaid contracts was typically around system available to all voters. There would also be new costs for staff required to have a nurse on site part of $800 million per year. In fiscal years

48 2013 Interim LEGISLATIVE RECORD 2010 to 2013, other PSCs in eMARS evaluation documents varied in the level of kept only in agency hard copy files. invoices. As soon as feasible, the cabinet typically showed amounts spent of around information on evaluators and evaluation Recommendation 3.2 is that FAC should should modify the statewide accounting $205 million. The amounts reported methods. Of the 67 contracts reviewed, promulgate polices that require agencies to system so that invoiced service dates are are incomplete, with over $54 million 21 did not indicate who conducted the use contract commodity lines to document required on all payment lines and that the unrecorded in eMARS each of the past evaluation. Recommendation 2.5 is that work assignments and to attach copies of invoices dates must be entered manually. two fiscal years. FAC should ensure that agencies use the signed work agreement for each task. During the review of randomly During fiscal years 2010 to 2013, committees in the evaluation process; that Multivendor price contracts are selected contracts, Program Review staff GCRC voted to disapprove six PSCs from the evaluation process be documented in required to list the vendors assigned to the found that about 30 percent of invoices agencies within the scope of this study. writing with full explanations of criteria contract but contracts vary in the location, were not submitted on the statutory form. Of those, three were overridden by the and scoring, along with individual accuracy, and contents of their vendor Invoices typically lacked information on secretary of FAC and two were canceled evaluator information; and that a lists. If the vendor list does not include vendor staff, with about a fourth providing by the agency after disapproval. One was determination and findings be attached to vendor codes, agency staff must attempt vendor staff information and about a completed and closed prior to disapproval. the contract document. to determine the correct code needed for fourth providing vendor staff charges. Ms. Sapp said that in determining In some cases, PSCs did not undergo payments. The manual entry of vendor Recommendation 3.6 is that FAC should what type of contract to use, agencies are review by GCRC until after work was codes on multivendor payments opens ensure that agencies require vendors to told to consider a state agency, university, started. Recommendation 2.6 is that FAC the possibility of paying an incorrect use the statutory form when submitting or nonprofit organization before soliciting should implement a policy to ensure that vendor. Multivendor contracts displayed invoices and that they reject invoices that PSCs. FAC interprets the statute to include all PSCS are entered timely in the system. deficiencies in validating that the vendors do not include all required information. out-of-state agencies and non-profits as In eMARS, the proof of necessity paid were the vendors on the contract. Program Review staff asked the eligible for memoranda of agreement. is a section in the contract document. Program Review staff discovered 270 seven reviewed agencies to provide However, the cabinet has indicated that the Description of work, contract monitoring payments made to vendors not listed on feedback about the statutory form. preference for memoranda of agreement activities, and justification for the contract an attached vendor list. Recommendation Agency staff found some questions to be is because it is preferable to keep state are often vague and uninformative. The 3.3 is that FAC should promulgate polices useful, but generally they did not perceive dollars within state agencies. The use of instructions are inconspicuous, so it is that standardize the location and contents the benefits of requiring the statutory noncompetitive memoranda of agreement possible that eMARS users are unaware of vendor lists. These lists should contain invoice form. Multiple agencies indicated for out-of-state contracting could result of the type of information that should be the vendor code for each vendor. The that some questions were unneeded or in higher costs than would be achieved included. Recommendation 2.7 is FAC cabinet should require vendor lists to be duplicated information already available by using a competitive personal service should encourage agencies to fill out the updated soon after a vendor is added or to the agency. Some agencies indicated contract process. Recommendation 2.1 is proof of necessity section in eMARS removed and should establish controls to that payments have been delayed that the General Assembly may wish to with greater detail, and demonstrate that ensure each vendor paid was a party to the because of incorrectly completed forms. consider clarifying whether contracts with in-house solutions were examined before contract. Recommendation 3.7 is that GCRC may public entities in other states should be deciding to contract for services. GCRC established an invoice wish to consider revising the invoice form memoranda of agreement or PSCs. Statutes do not clearly state that form for PSC payments on August 10, after receiving additional feedback from a The Model Procurement Code does all contract amendments be filed and 2010. Statute prohibits payment of PSC variety of agencies. not define professional, professional skill, reviewed by the GCRC. Currently, FAC invoices not on the form. Vendors that Only one agency could provide or professional judgment. FAC stated that procedure states that all PSCs as well as work like a typical state employee and completed monitoring documents, there are no specific criteria for determining all amendments be filed and reviewed by are paid through payroll are still required suggesting that most of the agencies if a service requires professional skill the Committee. Recommendation 2.8 is to submit invoices instead of timesheets reviewed did not systematically monitor or judgment. Recommendation 2.2 is that the General Assembly may wish to but Program Review staff found some or evaluate vendor performance during that the General Assembly may wish to consider making that requirement explicit. instances in which these payroll vendors or after the contract term. The few consider defining “professional skill” and were not correctly submitting invoices. It evaluation documents in the statewide “professional judgment” as they apply to Mr. Spears said that contract was not clear that all agencies were aware accounting system strongly suggest that PSCs. balances in the statewide accounting that PSC vendors paid through the state monitoring and evaluation are seldom Mr. Thomas said more than one system do not reliably show the amounts payroll system should submit statutory performed in a formal manner and that fourth of the contracts awarded from spent. Most payments on personal invoices for their time and expenses. past performance is seldom considered in FY 2010 to FY 2013 were competitive service contracts appear to have been Recommendation 3.4 is that FAC should future solicitations. Recommendation 3.8 exemptions, procured as sole source or made properly, but there were some direct all agencies to ensure that PSC is that, when feasible, FAC should require not feasible to bid. Recommendation 2.3 deficiencies in updating balances on the vendors paid through the payroll system agencies to provide written evaluations is that FAC and other contracting agencies correct contract. Incomplete records are submit invoice forms for the services they of vendors’ work during and after the should determine whether a contract is caused by nonreferencing payments that provide. course of a contract. The cabinet should a PSC and whether it should be pursued subtract funds from accounts and may not It also appeared that invoiced consider whether the accounting system’s competitively based solely on statutory create a link with the contract. Hundreds service dates were not being entered performance evaluation documents could criteria. When such a classification would of millions of dollars have been spent properly on some payments for validation be used. The cabinet should provide violate a policy of GCRC, the contracting but not shown on contract balances. For against the contract dates. Contracts guidance for including past vendor agency should seek an exemption from example, the Impact Plus program spent have a service date range to indicate the performance as a criterion for proposals. the committee. $34.7 million in FY 2013 that was not times that services may be provided and Ms. Sapp said that there is confusion Price contracts are PSCs for which shown on the contract balance. In addition, payments have a date range to indicate as to the definition of the term price the work is not specified at the time of some PSCs have exceeded their spending when services were provided. Usually, contract. The Model Procurement Code the award. Multivendor price contracts limits without following the proper payment service dates must fall within does not define the term. FAC has stated have lists of potential vendors that may amendment process. Recommendation the contract service dates to be accepted that it no longer uses the term, but instead be revised throughout the life of the 3.1 is that FAC should promulgate polices but sometimes eMARS will not check the uses “master agreement.” However, a contract. Recommendation 2.4 is that that describe the methods of processing validity of contract service dates. master agreement is a specific type of personal service price contracts should transactions that correctly update balances eMARS will automatically set an document in eMARS and is not used for have a formal policy for continuous and require contract amendments to invoice’s date to the current day if service PSCs that need to be filed with GCRC. advertisement and that agencies maintain increase funds on a contract prior to dates are not entered, causing incorrect Recommendation 4.1 is that the General updated vendor lists. exceeding its limits. FAC and its software information to be recorded. A manual Assembly may wish to consider defining In eMARS, the evaluation process vendor should discuss ways to accurately search of payments found 10 instances of the term “price contract” as used in the is detailed in the EV document. Hard maintain contract balances. this. In a random sample of 538 payments, Model Procurement Code. copy evaluations often contain evaluator For most personal service price 20.1 percent of invoices did not provide Mr. Knowles said a renewed contract, information and a determination and contracts, there is no documentation in service dates. Recommendation 3.5 is that while it requires new signatures, remains findings document summarizing the eMARS describing the specific work FAC should promulgate a policy requiring the same contract except for the extension decision to award to a particular vendor. assignments that agencies negotiate with agencies to pay only invoices for services of time and, typically, the addition of The eMARS EV document rarely contains vendors. The duration, cost, location, performed during valid dates and to enter funds for the new period. In the current meaningful information. Hard copy and other necessary information are the service dates as they appear on the system, once a personal service contract

THE KENTUCKY GENERAL ASSEMBLY 49 is renewed it receives a new identification Knowles said that approval of payments is The department’s invoice forms that were Commissioner of Operations, Kentucky number, creating what appears to be a delegated to the agencies, not through the not in eMARS are related to the Teachers’ Department of Juvenile Justice; Sherri new contract in eMARS and in agency Finance and Administration Cabinet. For Retirement System. These are payroll Smith Jones, Deputy Commissioner procurement files. The electronic system the most part, eMARS includes payments. documents that go to KHRIS, not eMARS. for the Community and Mental Health has no automatic link between the two. In response to questions from In response to questions from Services Division, Kentucky Department Tracking the life cycle of a renewed Senator McDaniel, Mr. Knowles said that Senator McDaniel, Mr. Knowles said that of Juvenile Justice; Rachel Bingham, contract is difficult in both eMARS and eMARS is operated by a vendor. The state Program Review staff would prepare a Administrative Office of the Courts, in the procurement file. There are many has to pay for any changes to the system. written comment on the response to the Juvenile Services; Bobby Lewis, instances of PSCs for which agencies The responsible agency for eMARS is report for the December meeting. Associate Superintendent for Student award successive noncompetitive the Finance and Administration Cabinet’s Senator McDaniel asked Mr. Wicker Services, Hardin County School District; contracts to the same vendor for the same Office of the Controller. to comment on the contract for the Judge Dennis Prater, 36th District Court, scope of work. These contracts are not In response to a question from previous commissioner of the Department Magoffin and Knox Counties; Pamela technically renewals, but they usually Senator McDaniel, Mr. Knowles said of Fish and Wildlife. Lachman, Senior Associate, Research, result in continuous work by the vendor that some of the recommendations in the Mr. Wicker said that the previous Public Safety Performance Project; Judge on the same terms for an extended period report would require action by the General commissioner was hired under a 4-year Steven Teske, Georgia Criminal Justice of time. The electronic system has no Assembly; others could be effected by contract during a transition period, so Reform Commission, Co-Chair, Oversight link between the contracts. This lack of regulatory change. some issues slipped through the cracks. and Implementation Committee; and transparency severely limits auditing and Representative Horlander agreed It was a non-merit position appointed by Representative Dennis Horlander. oversight and raises the risk that a series of with Senator McDaniel’s suggestion the governor. The position is now under a LRC Staff: Matt Trebelhorn, such contracts could continue for extended that the report be sent to members of the personal service contract. Jonathan Scott, Jessica Causey, and Kathy periods without appropriate justification. Government Contract Review Committee, Rep. Simpson said that the Miller. Recommendation 4.2 is that FAC should and that Program Review staff make a representative from the Finance and Approval of Minutes establish a reliable automated method in presentation to that committee. Administration Cabinet had noted A motion was made by Bo Matthews eMARS to trace all PSC procurement Responding to the report, Mr. Speer that it did not agree with four of the and seconded by Steven Gold to approve documents from the beginning through all confirmed that eMARS is under the recommendations. He asked which ones the minutes of meeting 6 of the Unified renewals and vice versa, and any solution purview of the Office of the Controller. and why. Juvenile Code Task Force. The motion should be satisfactory to GCRC. The system was put in place in 2006 Mr. Speer said that Recommendation passed by voice vote. Some agencies use customized and upgraded in 2012. The Finance and 2.1 deals with the definition of a Truancy Panel software or Microsoft Excel workbooks Administration Cabinet agrees in whole memorandum of agreement. The Bobby Lewis, Associate outside eMARS to keep track of document or in part with 15 of 19 recommendations. cabinet does not agree with the report’s Superintendent for Student Services, approvals, amounts, modifications, and In response to a question from interpretation of the relevant statute. He Hardin County School District, spoke on payments. Agency and FAC officials Senator McDaniel, Mr. Speer that there cited the example of an agreement with the Truancy Panel in Hardin County. The agreed that approving draft documents is no disconnect between accounting state of Indiana to build bridges. As with Truancy Panel looks at students and trend in eMARS was cumbersome, and and purchasing steps. Agencies vary in contracts, memoranda of agreement go issues to determine the causes of truancy. external systems were easier to use. size and competence. If eMARS is used before the Government Contract Review Family Resource Coordinators are used in Having all information about approvals, correctly, the connection is there. Committee. a liaison capacity to determine problems modifications, renewals, monitoring, and Senator McDaniel stated that it Senator McDaniel said that the in the home and give personal attention to payments in one system is preferable seems that reporting, tracking, and recommendations with which the cabinet each case. to having parallel systems that do not analysis of contracts are lacking. Mr. disagrees are explained in the written Any absence beyond six days due communicate. Recommendation 4.3 is Speer said that the system does allow for response. Program Review staff should to illness must be verified by a doctor’s that, if feasible, FAC should enhance them. The cabinet will continue to strongly respond at the December meeting. statement in order to be excused. On the eMARS in ways that encourage its use recommend that agencies use the system Sen. Higdon said that the scope of the 6th unexcused absence, a final notice is for tracking draft documents and other to track vendor performance. Senator study was not as broad as he wanted, but generated. High school students receive tracking tasks. McDaniel suggested that consideration be he complimented staff for a good report. either a home or school visit to address Senator Higdon asked why given to evaluating personnel involved in Upon motion by Senator Harris and the truancy. The parent/guardian and contracts with the retirement systems and contracting on how well they do this. second by Rep. Simpson, the report was student must work together to ensure no architectural and engineering contracts In response to questions from Rep. adopted by roll call vote. more unexcused absences. If the student were not included in the study. The King, Mr. Speer said it is not necessarily Senator McDaniel said that given continues to miss, mediation is scheduled request was to review all personal service cumbersome for agencies to use eMARS. the financial and accountability issues at at the courthouse. Mediation is an effort contracts, not just one segment. Mr. Agencies can attach their own Excel stake, the recommendations in the report to help the parent/guardian, along with Knowles replied that excluded contracts documents to eMARS. He agreed that should be given particular attention. the student, understand the importance of were either not in eMARS or under the hard copy evaluations could be attached The meeting adjourned at 11:20 a.m. being present at school. During mediation, purview of the Finance and Administration and that agencies will be encouraged to a contract is signed, and the underlying Cabinet. do so. Task Force on the Unified reasons for truancy are discussed and Ms. Jurek said that the report is Juvenile Code remedied. Mediation is the final step Referring to feedback on the statutory accurate and fair. There are ways in which Minutes of the 7th Meeting before court proceedings. Continued form, Senator McDaniel asked for the Cabinet for Health and Family Services of the 2013 Interim unexcused absences result in a petition examples. Mr. Spears said that feedback needs to improve contract procedures. Ms. October 22, 2013 being filed and a court appearance with did not include specific examples. Watkins said that since seeing the initial Call to Order and Roll Call an attorney present. The ultimate goal Senator McDaniel asked if eMARS draft of the report, a notification has been The 7th meeting of the Task Force of the Truancy Mediation Program is to indicates the closeout amount on a sent to CHFS departments to use the LRC on the Unified Juvenile Code was held on increase attendance, which equates to seat contract. Mr. Spears replied that eMARS invoice form. The cabinet’s Check Writer Tuesday, October 22, 2013, at 1:00 PM, funding. Any attendance gain will result in has estimates, which are not always system does not connect to eMARS. in the Combs Chandler Room, Galt House a savings. reliable due to nonreferencing payments. Ms. Wilson said that the Hotel, Louisville, Ky. Representative John Senator Westerfield asked if In response to questions from Transportation Cabinet does follow Tilley, Chair, called the meeting to order, personal visits are made to the home. Mr. Senator McDaniel, Mr. Spears said that Finance and Administration Cabinet and the secretary called the roll. Lewis replied that the family resource there are about 11 performance evaluation policy. She noted that Program Review Present were: center, Department of Protection and systems in eMARS but no one seems to be staff did look at Transportation’s Members: Senator Whitney Permanency, court designated workers, using them. engineering contracts. The cabinet has a Westerfield, Co-Chair; Representative school principals, social workers, and Senator McDaniel said that there strong internal auditing group that audits John Tilley, Co-Chair; Glenda Edwards, Judge Hall will make visits to the home. seems to be a disconnect between internal contracts. Steven Gold, Teresa James, Lisa P. Jones, Senator Westerfield asked if the mediation purchasing and accounting. Money can be Mr. Harman said that the Department Bo Matthews, Pamela Priddy, and John program had a binding contract or just a spent without the Government Contract of Education uses an Excel spreadsheet Sivley. persuasive effect. Mr. Lewis answered Review Committee knowing it. Mr. for tracking personal service contracts. Guests: Diana McGuire, Deputy that the mediation contract is signed

50 2013 Interim LEGISLATIVE RECORD by parents, and there is a good faith spoke on the Truancy Diversion Program judges should be in place. what happens at the time of commitment. presumption that both parents and schools in Magoffin and Knox counties, started in Status Offenders Committed to She said the judge calls the cabinet, which will uphold their part. 2007. Their program lasts for ten weeks. the Cabinet has no prior contact. DCBS assesses Representative Dennis Horlander Representative Tilley asked if Judge Pamela Lachman, Senior Associate, the needs: residential or structured asked Mr. Lewis about the location and Prater had experienced problems because Research, Public Safety Performance commitment, family issues to be size of the Hardin County school district. of a statewide void of drug treatment beds Project, spoke on Status Offenders addressed, and clinical needs. The cabinet Mr. Lewis said the student population is for juveniles. Judge Prater responded that Committed to the Cabinet. hopes for place-back in 30 days because it 14,500, and it is in close proximity to Ft. there are no resources in his Juvenile Drug Of the 859 Department of Community is cheaper and more effective with a better Knox, causing some military transiency Court for treatment because of budget Based Services (DCBS) youth with status outcome. issues. The Truancy Mediation Program, cuts. charges committed out of home, only 259 Mr. Gold asked Ms. Lachman in close work with the Department Judge Prater said the Truancy are adjudicated status offenders (identified whether juveniles who voluntarily extend of Juvenile Justice (DJJ), serves 13 Diversion Panel intervenes at the by Foster Care Review Board, October their commitments past 18 years old elementary schools, five middle schools, three-absence stage in a pre-complaint 2013). Five percent of all commitments would skew the numbers. Ms. Lachman three high schools, and one alternative conference with the parents to raise to DCBS are adjudicated status offenders, said dollar amount could be skewed by school. awareness. He noted a .5 percent increase other categories are abuse and neglect, that. Commissioner James said it is very In response to a question from Dr. in attendance in 2012, resulting in a child abuse, dependency, and neglect. infrequent that a juvenile would stay past Sivley, Mr. Lewis explained that mental savings of $39,000. This number does not include the 18 years old. health referrals can be made through The three strike approach of the probated population, which requires Mr. Gold asked what could be Comp Care. Practitioners go to the schools Truancy Diversion Panel is: (1) have cabinet involvement but not out of home done about the high rate of recidivism. for assessments. students participate in the ten week placement. Commissioner James said that stabilization Bo Matthews asked whether funding program; (2) make a court appearance Compared to other DCBS of families with early and appropriate pertains to Average Daily Attendance resulting in zero tolerance for truancy; commitments, an adjudicated status intervention would keep juveniles from (ADA) versus Average Daily Membership. and (3) detention. Only four students have offender spends 8.6 months out of home reoffending. She recommended teaching Mr. Lewis said that funding is attached reached the third stage in six years. at an average age of 16.2 years versus parents to nurture their children. to ADA, which focuses on attendance. Judge Prater said that the Truancy 15.7 months out of home, at an average Dr. Sivley wondered if savings While students are compelled to stay Diversion Panel is a tool to help at-risk age of 8.3 years old. The average age at diverted to proven programs would result in school until age 18, he favors putting youth in difficult budget times. commitment for youth released from in cost savings from future incarceration. Performance Based Credits into place for Senator Westerfield asked for a DCBS commitment in 2012 as an Commissioner James said 40 percent of students who could graduate based on clarification of the truancy threshold of adjudicated status offender was one year juveniles in this discussion have prior performance, not attendance. Mr. Lewis six. Judge Prater said the six includes older, at 16.2 years, than youth released DCBS involvement. If the option to also explained the problem of automated both unexcused absences and unexcused from DJJ as adjudicated public offenders. detain is removed, it should be replaced calls to the parents. Frequently automated tardies. Mr. Lewis believes that if a Status offenders’ out of home length of with new programs that keep children in truancy calls do not reach parents due to student can master the material, the stay is shorter than public offenders by communities. disconnected or wrong numbers, and a truancy number should be amended based only 4 months, 8.6 months versus 12.4 When asked by Judge Jones if personal call is encouraged. In response on scholastic standards. months. the Cabinet still wants the juveniles in to a follow up question by Mr. Matthews, Senator Westerfield asked whether There is a significant cost of question, Commissioner James said that Mr. Lewis explained that there is a parallel the truancy threshold of six could be status offenders committed to DCBS. with enough money and support, her staff between truancy mediation and diversion, raised. Mr. Lewis said he hoped that with Adjudicated status admissions to DCBS is in place and prepared. The cabinet does especially in high school. The judge will common sense and work, there would (2012) were 278 youth, with an average not do well with high risk juveniles, but hold meetings once a month with the be leeway in the number, but that not all length of stay of 8.6 months and an with appropriate recourses and sufficient truant students identified by schools. schools were flexible. average annual bed cost of $34,848 funding, it can handle the juveniles within Ms. Bingham said that statewide, Senator Westerfield asked which equaling approximately $6.9 million per provisions of the families. DCBS believes 62 of the 120 Kentucky counties have method of truancy diversion is preferable: year. About $5.9 million is not eligible for high risk juveniles with serious issues truancy diversion programs. court based or school centric. A discussion federal 4-E reimbursement and is paid by should go to DJJ. In response to a question from Mr. followed about the keys to a good program, the state general fund. Mr. Gold commented that DJJ and Gold, Mr. Lewis explained that truancy which includes a good court designated Ms. Priddy asked about recidivism. DCBS need similar delivery systems and mediation is true formal mediation, staffed worker, a good court relationship with In response, Commissioner James, should be combined into one efficient by a trained mediator. Hardin County has schools, and a family resource center. Department for Community Based department of youth service. Ms. Bingham a $5,000 budget for this position. Mr. Lewis said he believed earlier Services, Kentucky Cabinet for Health said that leadership is involved because Ms. Edwards asked if the mediation intervention in truancy is necessary. and Family Services, said many juvenile the system of combined services has been process includes social workers and Comp Typical truant students miss 20 days. offenders are committed multiple times. tried and failed, due to communication Care. Mr. Lewis answered that they have Representative Tilley commented Judge Jones asked whether out of issues causing gaps in the process. input and share information with the goal that the statute for truancy and tardiness home placement is meant foster care Commissioner James said that at the of resolving issues. may need to be rewritten. or treatment. Commissioner James end of the day, it is about having one door, Mr. Gold commented that the Mr. Matthews commented that responded that it usually refers to a way for all families to get what they Truancy Panel seemed like Dependency judicial dockets are too full to see anything residential placement. need before it is too late to help the child. Neglect and Abuse Court and asked if a but excessive and habitual truants. Ms. Edwards asked about 4E waivers Ms. Edwards commented that there court appearance is beneficial. Mr. Lewis Judge Prater said truancy impacts and the cost. Commissioner James said needs to be a better way of assessing said that only students who are adamant school performance, which in turn impacts the cabinet retains legal custody of the services, with a clear gate-keeper. She also about not attending school will end up merit pay and test scores. offenders if they are not eligible and wondered why there cannot be a system in court. Usually the threat of a one to In response to a question by moved to in-home placement. built that does not require DJJ or DCBS. three day detention resolves the issue. Commissioner James, both presenters Commissioner James said that Juvenile Justice Reform in Georgia The binding authority of the court will agreed that the truancy issue could best home is always the first option when Ms. Senator Westerfield introduced Judge sometimes be enough deterrent. A spike be helped by a parenting component. Bingham asked if the case plan for status Steven Teske, Georgia Criminal Justice in student body attendance is usually seen Counseling parents and equipping them offenders is the same as for Dependency, Reform Commission, Co-Chair, Oversight after a detainment. to best meet the needs of their children Neglect and Abuse guidelines at the point and Implementation Committee. Representative Tilley asked how would be beneficial. of commitment. Judge Teske spoke about data-driven many students refuse to attend school. Mr. Matthews made a comment on Senator Westerfield commented policy-making. Research in Georgia has Mr. Lewis answered that one percent of the lag time in reaching truants in a timely on what could be done to improve the shown that placement in Youth Detention truants refuse to attend. In those cases, fashion based on red tape. situation if the $6 million spent on Campuses does not lower the likelihood the parents agree that jail is an appropriate Mr. Gold commented that the juvenile detention could be saved. He of juvenile reoffending and may in fact punishment. solution may be legislative or may be at asked if there are legislative fixes and if increase the likelihood of committing a Judge Dennis Prater, 36th District the ballot box. Sweeping changes could DCBS hand-counting could be corrected. new crime for some offenders. Also, a Court, Magoffin and Knox counties, be made at a state level, or perhaps new Commissioner James spoke about longer length of stay in secure facilities

THE KENTUCKY GENERAL ASSEMBLY 51 does not increase public safety. Targeting (judges, prosecutors, educators) about LRC Staff: Matt Trebelhorn, most effective when focused on specific high risk offenders for correctional abandoning detention of status offenders. Jonathan Scott, Jon Grate, Jessica Causey, characteristics of offenders that contribute interventions maximizes recidivism Judge Teske suggested that looking for Mike Clark, and Kathy Miller. to delinquent and criminal behavior, such reduction. There are a number of community options first would eliminate Approval of Minutes as low self-control and antisocial attitudes. community-based intervention strategies the unknown and long-lasting effects of A motion was made by Mr. Steve In Kentucky, there are limited and program models that have been lifetime stressors, tension and trauma to Gold to approve the minutes from the 7th treatment services in the community proven cost-efficient and are also effective an incarcerated juvenile. He suggested meeting of the Unified Juvenile Code Task for youth, particularly substance abuse to reduce juvenile reoffending. Kentucky move forward carefully, Force. The motion was seconded by Mr. outpatient services. Data showed there is Judge Teske discussed his channeling resources to intensive Bo Matthews and carried by voice vote. not consistent use of program fidelity or recommendations to reduce recidivism evidence-based programs. In agreement Roundtable Discussion outcome measures. and improve community safety. His with Dr. Sivley’s earlier comment, Judge Sonja Hallum, Senior Associate, Research has found that a number first recommendation is to implement a Teske agreed that detention cannot be State Policy, Public Safety Performance of evidence-based, cost-effective performance incentive structure to create taken away without adding programs, Project and Pamela Lachman, Senior community-based programs reduce opportunity to commit monies to reinvest and that the majority of judges in Georgia Associate, Research, Public Safety recidivism more than out of home in communities. Judge Teske’s second worked with the concept. Performance Project moderated a placement. recommendation is to create a two-class Mr. Gold thanked Judge Teske for discussion of Kentucky juvenile justice Status Offenders system within the Designated Felony affecting program changes in Henderson, issue areas. Data findings in Kentucky show that Act that allows for restrictive custody in Kentucky. He also asked if funding for Public Offenders status offenses account for more than half all DF cases while taking into account rural counties would be enough to make Research and data was summarized of referrals to court, but the majority are both offense severity and risk level. The an impact. Judge Teske suggested rural on the topic of juvenile admissions and screened out in the pre-complaint process. third recommendation is to prohibit status counties develop a coalition to apply dispositions in Kentucky. Data showed The majority of status complaints are offenders and some misdemeanants from together as a region for redirected funds. that a quarter of public offense referrals are from schools and alternatives to filing a being committed to secure and residential Judge Teske said that the most from schools and that the majority of court complaint are limited. Truancy Diversion facilities and reinvest the savings into important thing is that redirected funds petitions are low level offenses. There are Programs are only available in half of the the community. This would allow only go to evidence-based practices. The goal different interpretations of the statute on counties in Kentucky. juveniles who are adjudicated for a of juvenile justice reform in Georgia was prosecutors’ authority to not file a charge, felony offense to be committed to state to bring about judicial leadership and and a pre-disposition investigation is not Research findings show that early facilities, unless they met certain criteria. that they should be allowed to decide, done in every case. Data also showed and limited intervention is more effective The fourth recommendation is to require with assistance from local offices of state that the Youth Level of Services (YLS) for low risk, low level juvenile offenders. juvenile courts to collect and track data agencies, how to give direction and create assessment has not been validated by the In Kentucky, status offenders are regarding referrals to the juvenile justice local collaboratives. He believes everyone Department of Juvenile Justice (DJJ) on being held in detention. A significant system in order to give the state the should be involved in the decision making, Kentucky recidivism outcomes and there number of status offenders are also capacity to make more informed, data- which would allow communities to decide are limited disposition alternatives to DJJ. committed to the Cabinet for Health driven decisions that can improve public what the program looks like, assessing Research found that validated risk and Family Services and placed out of safety. The fifth recommendation is that needs and matching to providers. and needs assessment tools should be used the home for more than 8 months on all re-directed funds to the local juvenile Judge Teske said that, depending in disposition and placement decisions to average. Research shows that out of home courts shall be used for evidence-based on how the state system is configured, provide objective guidance. placement does not lower the likelihood programs and practices, using judicial decentralizing around redirected money Data findings on the topic of of juvenile reoffending for most juvenile leadership to decide which programs becomes an incentive to local judges and placements showed that the majority offenders and may increase offending in best serve their local community. The communities. He said if youth are not of youth placed out of home are lower lower risk youth. sixth recommendation is that judges committed, and bed space is cut, the rest level juvenile offenders with little prior Sonja Hallum led a discussion of assess each youth considered for out of will fall into place. adjudication history and that probation Kentucky juvenile justice policy options. th home placement (commitment) using a The 7 meeting of the Unified violations are the leading offense prior to Public Offenders predisposition risk and needs assessment Juvenile Code Task Force was adjourned out of home placement. Proposed policy options for dealing tool. at 3:45. Research found that out of home with referrals of public offenders from Juvenile justice reform in Georgia placement does not lower the likelihood schools were to develop recommendations resulted in significant reduction in average Task Force on the Unified of juvenile reoffending for most juvenile to increase clarity on school responses, daily population and length of stay in Juvenile Code offenders and may increase offending in enhance tracking of school referrals, and Youth Detention Centers, commitments to Minutes of the 8th Meeting lower risk youth. increase the number of diversions allowed the state, and juvenile arrests. There was of the 2013 Interim Kentucky data finds that out of for lower level offenses. The task force an overall increase in graduation rates. November 6, 2013 home length of stay has increased over showed interest in pursuing the school Judge Teske suggested that Kentucky Call to Order and Roll Call the past decade. The difference in out of response options and had no objection to begin juvenile reform with a problem The 8th meeting of the Task Force home length of stay for misdemeanants, enhanced tracking. statement and then match evidence-based on the Unified Juvenile Code was held on violators and felons is less than one month. Discussion of policy options for practices to the children. Wednesday, November 6, 2013, at 1:00 Research has shown that a longer admissions and dispositions of court Representative Tilley addressed PM, in Room 327 of the Capitol. Senator length of stay in out of home placement petitions for low level offenders included the issue that eliminating detention as an Whitney Westerfield, Chair, called the does not increase public safety and that the clarifying prosecutor authority to not option would be considered soft on crime. meeting to order, and the secretary called severity and intensity of responses should file charges where appropriate, creating He wondered what would be tougher on the roll. be proportionate to the seriousness of the disposition alternatives, and increasing crime than improving public safety. Present were: offense and the risk the juvenile offender the use of validated risk and needs Ms. Bingham asked who in Georgia Members: Senator Whitney poses to public safety. assessments prior to disposition. The task housed the data on juvenile crime. Judge Westerfield, Co-Chair; Harry L. Berry, On the topic of supervision, Kentucky force was in agreement with all the policy Teske responded that a central registry was Hasan Davis, Glenda Edwards, Steven data found that the average length of DJJ options. mandated by law and left to the Oversight Gold, Teresa James, Lisa P. Jones, Bo supervision is more than 15 months. A significant number of lower level Committee. Judge Teske said Kentucky Matthews, Mary C. Noble, Pamela Priddy, Commitment to DJJ is for an indefinite offenders are committed to DJJ and placed needs to look at the available systems for and John Sivley. period and can continue until a youth out of home. Policy options for placement the best place to accumulate data, but that Guests: Sonja Hallum, Senior turns 18 and ages out of the system. There of misdemeanants were: prohibiting participation needs to be forced and safe. Associate, State Policy, Public Safety are limited aftercare services for youth commitment for all misdemeanants, Data should target the right information Performance Project; Pamela Lachman, released from out of home placement and reducing the number of misdemeanor for the right people, and a weekly report Senior Associate, Research, Public Safety for community supervision. offenders committed, or prohibiting should be generated to measure every Performance Project. Co-Chairman Research on supervision shows that placement out of the home. The task force recommendation. Representative John Tilley joined the therapeutic programs are more effective at agreed that prohibiting commitment was Senator Westerfield asked how meeting remotely from Washington, D.C. preventing reoffending than those focused not a good option, and that a reduction to address the fears of stakeholders on monitoring alone. Interventions are in the number of juvenile offenders

52 2013 Interim LEGISLATIVE RECORD committed should be the focus. The task force agreed to discuss Agricultural Development Board, and the from people in the area. Senator Webb Policy options for class D felonies options to prohibit CHFS from placing county agricultural development councils. urged creativity to enable applicants to were to create a new class for less serious status offenders outside the home and Mr. Thomas and Mr. Joel Neaveill, apply for the funds. class D offenses, to create a new type of restrict detention and/or commitment. GOAP Chief of Staff, gave a report on the The committee heard from the four disposition for some class D felonies based Other Issues County Agricultural Investment (CAIP) people involved with facets of the tobacco on criteria or to prohibit DJJ from placing Members of the task force raised a and Shared-use Equipment programs settlement program at the local level. The some class D felons out of the home. few issues that had not been discussed. approved for funding during the previous presenters talked about trends in their Consensus among task force members Ms. Edwards asked about children under day’s ADB meeting. counties, popular programs, judging and was to pursue creating a new type of 11 years of age. Justice Noble asked Responding to Senator Parrett’s funding applicants. disposition for some class D felonies. for a discussion of the fiscal impact and question about only 75 counties having During the discussion, Co-Chair The task force was in favor of funding of new programs. Mr. Berry functioning CAIP programs in 2013, Stone mentioned the progress made in developing graduated sanctions in regard asked that the impact on local government Mr. Neaveill explained that some county beef cattle production, which he attributed to probation and supervision violations, be considered. councils may use their funds in other to the tobacco funds. not a prohibition of placement out of the In conclusion, Rep. Tilley agreed endeavors or may be letting their limited Representative McKee talked about home. that a transition plan for implementation funds build up for use in subsequent years. the tobacco settlement legislation in task force members agreed that the of new policy will take everyone’s needs During the discussion, Senator Webb 2000, House Bill 611, and recalled that problem of lower level offenders spending in mind. New policy should best serve the requested a breakdown of counties’ use of those involved had discussed the impact similar amounts of time out of home as children and protect public safety. the local funds. the program would have on county felony offenders should be addressed. Adjournment Panel Discussion agricultural extension agents. He also cited Focus of the attention on the length of stay The 8th meeting of the Unified Next, the committee heard a panel the importance of the county councils and issue will be on reducing time violators Juvenile Code Task Force was adjourned discussion that involved two board pointed out that, in most cases, if a project are placed out of home. at 4:00 P.M. members, Mr. Sam Moore and Mr. Wayne is denied at the board level, it carried a During discussion of supervision Mattingly, who spoke first, and four people low priority from the local level. policy options, the task force agreed that Tobacco Settlement representing facets of the agricultural Responding to Representative rather than an indefinite period, statutory Agreement Fund Oversight development program at the county level: McKee, Ms. Huffman talked the effort to supervision length for commitment Committee Ms. Lindie Huffman, Extension Agent, develop a farmers’ market in Pendleton County that can serve as a source for fresh and probation should be established. Minutes Pendleton County; Mr. Matt Gajdzik, Improvement of community supervision October 30, 2013 Shelby County Council Member; Ms. produce. Co-Chair Hornback asked the panel of juveniles with requirements for Call to Order and Roll Call Lindsay Phillips, Program Administrator, how much tobacco dependency, or an parental involvement should be explored. The meeting of the Tobacco Mason/Bracken Counties, and Ms. Penny involvement in current or past tobacco Enhanced DJJ aftercare options for Settlement Agreement Fund Oversight Warwick, Program Administrator, Warren production, is a factor in judging the merit transition were recommended. Committee was held on Wednesday, County, whose remarks came later. of applications. Ms. Phillips said there It was agreed by the task force that the October 30, 2013, at 9:45 AM (CDT), in Responding to Co-Chair Stone, the are some tobacco dependency questions issue of lack of services in the community Ballroom A and B of the Sloan Convention board members described their viewpoint on the application. According to Senator should be addressed. A decision was made Center, Bowling Green. Representative in considering funding requests. Mr. Moore Hornback, it has been over ten years since by the task force to discuss a reinvestment Wilson Stone, Co-Chair, called the said that he looks at the number of people the state tobacco settlement program program at the next meeting. meeting to order, and the secretary called who could be affected. He mentioned an began. Younger people are beginning to The task force agreed to the concept the roll. early vision of food processing plants farm. Responding to Senator Hornback, of the increased use of evidence-based Present were: that would involve numerous vegetable who asked if the tobacco dependency practices with proven outcomes. Members: Senator Paul Hornback, producers. Mr. Mattingly observed that the criteria would cease to be important, Mr. As a policy option, Sonja Hallum Co-Chair; Representative Wilson Stone, board, in pondering its decisions, relies on Mattingly indicated the board looks at the recommended that an ongoing oversight Co-Chair; Senators Carroll Gibson, Jimmy the recommendations of county councils. funds in terms of economic development committee be established to implement Higdon, Dennis Parrett, Robin L. Webb, Mr. Moore added that applicants should and that tobacco dependency is considered recommendations and review additional and Whitney Westerfield; Representatives have “skin in the game,” paraphrasing a but may not be a driving factor in the issues. The task force was in agreement Tom McKee, and Terry Mills. former Governor. awarding of funds. with this recommendation. Legislative Guests:Representatives Responding to Senator Gibson, Senator Webb pointed out that Status Offenders Jim DeCesare and Richard Heath. Mr. Thomas talked about the future former farmland, which is now lying Policy options in three areas relating Guests: Mr. Roger Thomas and of appropriations for the Agricultural fallow, should be revitalized somehow. to status offenders were discussed: Joel Neaveill, Governor’s Office of Development Fund. He mentioned the system, referrals, and placement. Status Agricultural Policy; Mr. Sam Moore general decline nationwide in smoking Responding to Senator Parrett, offenses account for more than half of and Mr. Wayne Mattingly, Agricultural rates, which would affect future Master Ms. Huffman described the Shared- referrals to court. One option for policy Development Board; Ms. Lindie Huffman, Settlement Agreement (MSA) payments Use Equipment Program in Pendleton change systemically would be to create Extension Agent, Pendleton County; Mr. by tobacco companies. Also, the state County. She also talked about the growing an alternative system for handling status Matt Gajdzik, Shelby County Council could be facing an immediate downturn in awareness of the tobacco settlement offenders outside of the court. The second Member; Ms. Lindsay Phillips, Program MSA payments because of an arbitration program among farm producers in her policy option would be to determine Administrator, Mason/Bracken Counties, panel’s ruling that Kentucky and several area. whether status offenses should remain in and Ms. Penny Warwick, Program other states were lax in enforcing certain Responding to Co-Chair Stone, Family Court jurisdiction or be moved to Administrator, Warren County. provisions of the MSA, according to Mr. Gajdzik described how the county District Court. LRC Staff: Lowell Atchley, Kelly Mr. Thomas, who discussed the ruling council in Shelby County decides funding Ludwig, and Kelly Blevins. at length in the committee’s October 2 applications. All council members are Justice Noble handed out two Minutes of the October 2, 2013 meeting. farm producers. There are times, usually flowcharts detailing an expanded “super meeting were approved, without objection, During the discussion about potential when the county is running short of funds, CDW” program for both status and by voice vote upon motion by Senator declines in tobacco settlement funding, when the council may favor but not grant public offenders. It was decided that these Parrett and second by Senator Hornback. Senator Webb–alluding to the significance funding for some applications. models would be discussed in detail at the Governor’s Office of Agricultural of tobacco production on her region’s Representative Stone pointed out that next meeting. Policy economy prior to the tobacco settlement commodity organizations, Farm Bureau, The majority of referrals are made Appearing in a meeting conducted in the late 1990s–remarked that one of her and others do a good job of publicizing from schools. A recommendation was in conjunction with the 2013 Governor’s concerns is that the northeast part of the the tobacco settlement program. made to enhance the requirements schools Office of Agricultural (GOAP) state may be left out. She urged that the Mr. Thomas mentioned the Kentucky must follow prior to filing a truancy Conference in Bowling Green, Mr. Roger board be mindful of the funds that need Agricultural Finance Corporation, complaint, to expand diversion programs Thomas, GOAP Executive Director, to be returned to those impacted counties. which loans the tobacco settlement and increase assessment training. The discussed the history of the tobacco Mr. Moore responded that the board would funds to farmers and agribusiness focus will be to reduce the number of settlement legislation in 2000 that led welcome project applications from that concerns. He complimented the work of referrals to court. to the establishment of the committee, region and has tried to elicit applications

THE KENTUCKY GENERAL ASSEMBLY 53 extension agents. He commented on the corporation’s efforts to grant funds for projects in eastern Kentucky, mentioning in particular a meat processing facility in Wolfe County. Mr. Neaveill said that the entire 2014 Prefiled Bills tobacco settlement program involves over a thousand people who volunteer their time in all 120 counties. hours of which is under direct supervision BR 11 - Representative John Tilley of a licensed clinical alcohol and drug Documents distributed during the BR 1 - Representative Diane St. Onge, (10/24/13) Representative Brent Yonts (04/11/13) counselor; require a licensed clinical committee meeting are available with alcohol and drug counselor to pass a written AN ACT relating to domestic meeting materials in the LRC Library. The AN ACT relating to drone examination approved by the International violence. meeting adjourned at approximately 11:30 surveillance. Certification Reciprocity Consortium on Amend KRS 403.720, relating to domestic a.m. (CDT). Create a new section of KRS Alcoholism and Drug Abuse; include violence orders, to include dating partners Chapter 500 to define “drone,” “law requirement for three hours of domestic among the class of persons allowed to enforcement agency,” and “prohibited violence training and for an applicant obtain domestic violence protective agency”; prohibit a law enforcement to live or work at least a majority of the orders; amend KRS 403.735 to require the agency from using a drone to gather time in Kentucky; mandate that a licensed court, when a petition involves a minor, evidence or other information; provide clinical alcohol and drug counselor to impose conditions that cause the least exceptions; prohibit use of evidence comply with the requirements for the disruption to education if the parties obtained in violation; provide that the Act training program in suicide assessment, attend the same school system. may be cited as the “Citizens’ Freedom treatment, and management; direct the (Prefiled by the sponsor(s).) from Unwarranted Surveillance Act.” board to promulgate administrative To: Interim Joint Committee on (Prefiled by the sponsor(s).) regulations to define the registration Judiciary To: Interim Joint Committee on process for applicants and for supervisors Judiciary of record; establish supervision required BR 23 - Representative Larry Clark, for a practicing registered alcohol and Representative Jeffery Donohue BR 7 - Representative Jeff Greer drug peer support specialist; establish (07/12/13) (05/15/13) reciprocity; set up revolving fund; amend KRS 309.080 to define “licensed clinical AN ACT relating to reporting on AN ACT relating to confirmation alcohol and drug counselor,” “licensee,” economic incentive programs. of executive appointments. “practice of alcohol and drug counseling,” Create a new section of Amend KRS 304.2-020 to “registered alcohol and drug peer support Subchapter 12 of KRS Chapter 154 delete the requirement for Senate specialist,” and “registrant”; amend KRS to require the cabinet to maintain a confirmation of the Governor’s 309.0813 to conform and to delete the searchable electronic database containing appointment of the commissioner of the requirement for the board to establish an information on the cost and status of Department of Insurance; and amend examination committee to administer and economic incentive programs; specify KRS 342.228 to delete the requirement evaluate the case method presentation and programs and information to be included; for Senate confirmation of the Governor’s oral examination; add the requirement apply to specified programs approved appointment of the commissioner of the for the board to collect and deposit all within last five years; require in addition a Department of Workers’ Claims. fees, fines, and other moneys owed to single annual written report for programs (Prefiled by the sponsor(s).) the board into the State Treasury to the approved in preceding fiscal year; specify To: Interim Joint Committee on credit of a revolving fund; amend KRS programs and information to be included; State Government 309.083 to change the requirements of amend KRS 148.546, 148.8591, 154.12- supervision for a certified alcohol and 100, 154.12-208, 154.12-278, 154.20-150, BR 9 - Representative Joni L. Jenkins drug counselor applicant, permitting 154.27-050, and 154.31-030 to conform. (09/09/13) supervision from a certified alcohol and (Prefiled by the sponsor(s).) drug counselor or licensed clinical alcohol To: Interim Joint Committee on AN ACT relating to alcohol and and drug counselor with at least two years Economic Development and Tourism drug counseling. of post-certification or post-licensure Create new sections of KRS experience; delete the requirement for a BR 38 - Representative Kenny Imes 309.080 to 309.089 to establish the certified alcohol and drug counselor to (11/14/13) requirements for an applicant for pass an oral examination approved by the registration as an alcohol and drug peer board; mandate three hours of domestic AN ACT relating to speed limits. support specialist; mandate that an violence training for a certified alcohol Amend KRS 189.390, relating alcohol and drug peer support specialist and drug counselor; require a certified to speed limits, to increase the maximum complete 500 hours of board-approved alcohol and drug counselor applicant speed limit is 65 MPH on four-lane experience with 25 hours under the direct to live or work at least a majority of the state highways that are not interstates or supervision of a certified or licensed time in Kentucky; mandate that a certified parkways. clinical alcohol and drug counselor with alcohol and drug counselor comply with (Prefiled by the sponsor(s).) at least two years of post-certification the requirements for the training program or post-licensure experience; require an in suicide assessment, treatment, and BR 40 - Representative Hubert Collins alcohol and drug peer support specialist management; amend KRS 309.084 (06/27/13) to pass an examination approved by to grant, upon application within 90 the board; mandate completion of three days from the effective date of this Act, AN ACT relating to driving hours of domestic violence training, licensure as a licensed clinical alcohol and under the influence. specify other hours of training required, drug counselor for a certified alcohol and Amend KRS 189.520, 189A.010, and obligate applicant to live or work at drug counselor with a master’s degree or a 189A.120, and 281A.2102 to move the least a majority of the time in Kentucky; doctoral degree meeting all requirements per se DUI threshold from 0.08 to 0.05. mandate that a registered alcohol and for the clinical designation except for (Prefiled by the sponsor(s).) drug peer support specialist comply with the 60-hour requirement for the master’s To: Interim Joint Committee on the requirements for the training program degree and the examination; amend KRS Judiciary in suicide assessment, treatment, and 194A.540, 210.366, 222.005, 309.0805, management; establish requirements for 309.081, 309.085, 309.086, 309.087, and BR 41 - Representative Kelly Flood an applicant for licensure as a licensed 309.089 to conform. (11/20/13) clinical alcohol and drug counselor with (Prefiled by the sponsor(s).) a 60 hour master’s degree, or a doctoral To: Interim Joint Committee on AN ACT relating to public degree, including completion of 2,000 Licensing and Occupations benefit corporations. hours of board-approved experience, 300 Amend KRS 271B.1-400,

54 2013 Interim LEGISLATIVE RECORD 14A.3-010, 271B.2-020, 271B.6-260, the person against whom enforcement is Encourage the Kentucky High BR 102 - Representative Addia Wuchner, 271B.7-400, 271B.8-300, 271B.13-020, sought. School Athletic Association, local school Representative Denver Butler (08/23/13) and 271B.16-210, and create a new section (Prefiled by the sponsor(s).) districts, and schools to voluntarily of subtitle 11 of KRS Chapter 271B to To: Interim Joint Committee on promote trapshooting as a high school AN ACT relating to weapons. establish public benefit corporations. Judiciary sport. Amend KRS 237.140, relating to (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) concealed carry licenses for retired peace BR 45 - Representative Kim King officers issued in conformity with the BR 42 - Representative Brent Yonts (10/18/13) BR 64 - Representative Fitz Steele, federal Law Enforcement Officers Safety (07/19/13) Representative Leslie Combs (07/11/13) Act to allow the annual license to be AN ACT relating to school extended in yearly increments up to four AN ACT relating to the collection notification of persons authorized to AN ACT relating to coal times before a new license is issued. of delinquent taxes. contact or remove a child. severance revenues and declaring an (Prefiled by the sponsor(s).) Amend KRS 44.030 and 131.560 Create a new section of KRS emergency. To: Interim Joint Committee on to prohibit the offsetting of a person’s Chapter 620 to require the Cabinet Amend various sections in Judiciary financial claim against the state ora for Health and Family Services, if the KRS Chapter 42 to distribute 100% of local government, including claims for cabinet is granted custody of a dependent, coal severance revenues among the coal BR 108 - Representative Larry Clark individual income tax refunds, to satisfy neglected, or abused child, to notify the producing counties on the basis of the tax (11/20/13) a delinquent property tax debt owed to school in which the child is enrolled of collected on coal severed or processed the state or any local government if the persons authorized to contact the child or in each respective county; amend AN ACT proposing an 11-year period established for liens on remove the child from school grounds. KRS 143.090 and 164.7891 to make amendment to Section 226 of the the property on which the tax has become (Prefiled by the sponsor(s).) conforming changes; repeal KRS 42.490; Constitution of Kentucky relating to delinquent has expired; amend KRS To: Interim Joint Committee on EMERGENCY. casino gaming. 134.015 to extinguish the personal debt of Health and Welfare (Prefiled by the sponsor(s).) Propose to amend Section 226 a taxpayer for delinquent property taxes To: Interim Joint Committee on of the Kentucky Constitution to allow upon the expiration of the 11-year period BR 46 - Representative Kim King Appropriations and Revenue the General Assembly to permit casino established for liens on the property on (10/18/13) gaming by general laws that shall also which the taxes have become delinquent; BR 78 - Representative Ron Crimm strictly regulate casino gaming; submit to amend KRS 134.490 to clarify that a AN ACT proposing an (07/19/13) voters. third-party purchaser of a certificate of amendment to Section 42 of the (Prefiled by the sponsor(s).) delinquency may institute an action to Constitution of Kentucky relating to AN ACT relating to the collect on the certificate anytime after the compensation for members of the General promotion of organ and tissue donation. BR 109 - Representative Larry Clark 1-year tolling period but prior to the 11- Assembly. Create a new section of KRS (11/20/13) year period established in KRS 134.546; Propose to amend Section 42 of Chapter 141 to establish the employers’ amend KRS 134.546 to provide that a the Constitution of Kentucky to prohibit organ and bone marrow donation tax AN ACT relating to gaming and certificate of delinquency becomes null members of the General Assembly from credit; amend KRS 141.0205 to provide making an appropriation therefor. and void 11 years from the date when the receiving legislative pay for a special the ordering of the credit; declare short Establish KRS Chapter 239 and taxes became delinquent. session that has been called by the title to be the Living Organ and Bone create new sections thereof to enumerate (Prefiled by the sponsor(s).) Governor because the General Assembly Marrow Donor Assistance Act. legislative findings and declarations; To: Interim Joint Committee on adjourned without passing a state budget; (Prefiled by the sponsor(s).) define terms, to include “adjusted Appropriations and Revenue submit to the voters with ballot question. To: Interim Joint Committee on gaming receipts,” “affiliate,” “applicant,” (Prefiled by the sponsor(s).) Appropriations and Revenue “casino game,” “casino license,” “casino BR 43 - Representative Kim King To: Interim Joint Committee on licensee,” “casino gaming,” “cheat,” (10/18/13) State Government BR 79 - Representative Ron Crimm “commission,” “control,” “county,” (09/16/13) “electronic gaming device,” “gaming AN ACT relating to legislative BR 53 - Representative Terry Mills facility,” “gaming licensee,” “gaming procedures for state fiscal measures. (06/11/13) AN ACT relating to animals. supplies and equipment,” “gross gaming Create a new section of KRS Amend KRS 525.125, 525.130, receipts,” “occupational license,” “racing Chapter 6 to require roll call votes on any AN ACT relating to problem, and 525.135 to forfeit ownership of association casino licensee,” “supplier,” appropriation or revenue-raising measure compulsive, or pathological gambling and animals involved in cruelty and torture and “wager”; create the Kentucky Gaming voted upon in the Senate or House or a making an appropriation therefor. cases and prohibit ownership or possession Commission and establish its membership; committee thereof; require identification Amend KRS 222.005 to define of animals of the same species for two establish the operating procedures for the of appropriation or revenue measures as “pathological gambling” and “problem years. commission; establish the commission’s state fiscal measures by the Director of gambling”; create new sections of KRS (Prefiled by the sponsor(s).) powers and duties, including the authority the Legislative Research Commission, Chapter 222 to establish the Problem To: Interim Joint Committee on to promulgate administrative regulations, or upon a determination by the Senate or and Pathological Gamblers Awareness Judiciary inspect premises, issue subpoenas, House or a committee of either; require and Treatment Program; direct the use administer oaths, initiate disciplinary separate votes for appropriations or of funds and limit annual administrative BR 99 - Representative Lynn Bechler action against applicants and licensees, revenue measures; require committees costs to $200,000; establish the Gamblers (08/20/13) and employ investigators; prohibit to vote on appropriation and revenue Awareness and Treatment Program commissioners from engaging in off-the- measures by roll call votes. Advisory Council; establish the council’s AN ACT relating to motor fuels record communication with applicants; (Prefiled by the sponsor(s).) membership and responsibilities; require taxes. require a continuing study of all aspects To: Interim Joint Committee on the Cabinet for Health and Family Services Amend KRS 138.210 to remove of gaming; require an executive director Appropriations and Revenue to promulgate administrative regulations any adjustment to the “average wholesale to be appointed by the Governor; in collaboration with the council; establish price” without the direct action of the establish casino license and criteria for BR 44 - Representative Kim King a funding and application process, certify General Assembly. casino location; establish requirements (10/18/13) disbursement of funds, and require reports (Prefiled by the sponsor(s).) for casino licensure; specify information annually; assign responsibilities to the To: Interim Joint Committee on to be required on a casino license AN ACT relating to foreign law. director of the Division of Behavioral Appropriations and Revenue application; establish requirements for a Create new sections of KRS Health; amend KRS 222.001 and 222.003 racing association casino license; specify Chapter 454 to establish legislative to conform; APPROPRIATION. BR 100 - Senator John Schickel (09/17/13) information to be required on a racing intent that the rights of an individual association casino license application; afforded under the Constitutions of the (Prefiled by the sponsor(s).) AN ACT relating to naloxone. permit issuance of a temporary racing Commonwealth and the United States To: Interim Joint Committee on Amend KRS 217.186 to allow peace association casino license; require a racing take precedence over the application of Licensing and Occupations officers, firefighter, paramedics, and association with a casino license to hold any foreign law in any judicial or quasi- emergency medical technicians to use as many races as it held in 2014; specify judicial proceeding; define specific terms; BR 54 - Representative Kenny Imes naloxone at the scene of a narcotic drug exceptions to requirement; mandate that strictly construe waivers of constitutional (11/14/13) overdose. collective bargaining agreements in effect rights; provide exceptions for corporate (Prefiled by the sponsor(s).) at racing associations shall also be in effect entities; prohibit choice of venue outside A CONCURRENT To: Interim Joint Committee on at casinos established at racing association of the Commonwealth or United States RESOLUTION encouraging recognition Judiciary casino; require supplier license for persons to preserve the constitutional rights of of trapshooting as a high school sport. manufacturing, designing, assembling,

THE KENTUCKY GENERAL ASSEMBLY 55 selling, leasing, distributing, installing, or the Kentucky public pension stabilization back window for prior offenses from five otherwise furnishing gaming supplies and fund and specify use of funds; amend AN ACT relating to years to ten years, and to allow forfeiture equipment; grant commission authority to KRS 243.500 and 243.505 to allow dextromethorphan abuse. of motor vehicles used in a DUI if the issue, not issue, renew, suspend, or revoke alcohol sales at a casino; amend KRS Create new sections of KRS operator’s license had been previously a supplier license, or to issue a temporary 525.090 to conform; amend KRS 528.010 Chapter 218A to prohibit any person from suspended; amend KRS 281A.2102 to license; establish requirements for all to exempt licensed casino gaming from possessing one gram or more of pure conform. suppliers; require occupational licensure the definition of “advancing gambling dextromethorphan or dextromethorphan (Prefiled by the sponsor(s).) for select employees of gaming facility activity,” “gambling,” “gambling device,” that has been extracted from solid or To: Interim Joint Committee on and specify requirements for occupational and “profiting from gambling activity”; liquid form; prohibit sale of products Judiciary licensure; grant commission authority amend KRS 528.100 to conform; amend containing dextromethorphan as the only to issue, not issue, renew, suspend, or KRS 15.380, relating to training of active ingredient to individuals younger BR 127 - Representative Mike Harmon revoke an occupational license, or to issue officers, to include Kentucky gaming than 18; require any person selling a (09/27/13) a temporary license; limit the number of commission employees; amend KRS product containing dextromethorphan to issued and effective licenses to 5 racing 12.020 to place the Kentucky gaming require that prospective buyers show a AN ACT relating to elections. association casino licenses and 3 casino commission under the Public Protection photo ID and sign a document stating the Amend KRS 118.127 to permit licenses at any one time; establish a Cabinet for administrative purposes; customer is older than 18 before purchase; a slate of candidates for Governor and competitive selection process for selection amend KRS 372.005 to conform; amend create an affirmative defense for the Lieutenant Governor to appear on the of applicants for casino licenses; establish KRS 68.180, 68.197, 91.200, 92.281, and retailer if a minor utilizes a fraudulent ballot only in the general election, not in initial casino and initial racing association 93.300 to exempt gaming receipts from ID; prohibit individuals younger than 18 the primary; require a party’s nominee for casino license fees of fifty million dollars; local licensing taxes; create a noncodified from misrepresenting their age and from Governor to designate his or her nominee establish fees for license application, section to establish severability; effective utilizing a fraudulent ID to purchase for Lieutenant Governor no later than the license renewal, supplier’s license fees upon certification of election results or obtain dextromethorphan; establish fourth Tuesday following the primary; if and occupational license fees; provide for in November 2014 if a constitutional penalties for violation. this designation is not filed, require the an appeal process; establish requirements amendment is enacted by the General (Prefiled by the sponsor(s).) governing authority of the party to name for gaming licensees including purchase Assembly and approved by the voters To: Interim Joint Committee on the candidate for Lieutenant Governor; of games and supplies, personnel, permitting the General Assembly to Judiciary set forth the oath to be sworn by a slate security, and reporting requirements; authorize casino gaming. of candidates; create a new section of require the commission to establish (Prefiled by the sponsor(s).) BR 121 - Representative Tom Burch KRS Chapter 118 to allow a candidate for minimum standards for gaming licensees (09/12/13) Governor to designate a replacement if the relating to fiscal protection and control, BR 116 - Representative Rick G. Nelson candidate for Lieutenant Governor dies, is financial reporting, and auditing; permit (08/13/13) AN ACT relating to consolidated disqualified, or is disabled; amend KRS exclusion or ejection of certain persons local government funds. 121.015 to redefine “slate of candidates”; and establish conditions for exclusion AN ACT relating to sales and use Create a new section of KRS amend KRS 117.275, 118.025, 118.105, or ejection; exempt casino games or tax holidays and declaring an emergency. Chapter 67C to define “discretionary 118.125, 118.245, 120.055, 120.095, and supplies licensed under provisions of this Create a new section of KRS funds” and to require any discretionary 121.170 to conform; repeal KRS 118.227. Act from 15 U.S.C. sec. 1172; prohibit Chapter 139 to establish a three-day sales fund expenditures to be distinctly (Prefiled by the sponsor(s).) any person under the age of 21 from and use tax holiday the first weekend in specified in the budget ordinance or budget To: Interim Joint Committee on placing a wager at a casino or accessing August each year to exempt clothing, amendment ordinance of the consolidated State Government a casino gaming facility; prohibit cheating school supplies, school art supplies, local government before expenditure. and establish penalties for cheating; computers, and school computer supplies; (Prefiled by the sponsor(s).) BR 129 - Senator Jimmy Higdon establish the Kentucky gaming account EMERGENCY. To: Interim Joint Committee on (10/03/13) and direct all wagering taxes levied by (Prefiled by the sponsor(s).) Local Government this Act to be deposited within; direct To: Interim Joint Committee on AN ACT relating to eminent disbursements from the fund to the Appropriations and Revenue BR 123 - Representative Terry Mills domain. Kentucky compulsive gamblers assistance (09/19/13) Amend KRS 278.502 to allow account, early childhood, primary, BR 117 - Representative Rick G. Nelson eminent domain to be used only in cases secondary, and postsecondary education, (08/08/13) AN ACT relating to injury where the condemnor is a utility regulated the Kentucky public pension stabilization prevention and making an appropriation by the Public Service Commission. fund, host jurisdictions, the Kentucky AN ACT relating to the therefore. (Prefiled by the sponsor(s).) municipal public safety account, the employment of public school teachers. Amend KRS 189.292, prohibiting To: Energy Special Subcommittee Kentucky county public safety account, Amend KRS 160.345 to require texting while driving, to prohibit the and the prevention and treatment of teacher vacancies to be filled by qualified entering of a telephone number or name BR 132 - Senator Jared Carpenter drug and alcohol abuse; retain 25% for teachers certified through a regular into a personal communication device (09/06/13) appropriation by the General Assembly; certification program before considering in order to place a call while driving create the Kentucky municipal public applicants certified through an alternative a vehicle in a highway work zone or AN ACT related to anti-bullying. safety account and specify the distribution certification program. school zone; amend KRS 189.990(30) to Create a new section in KRS of funds from the account; establish the (Prefiled by the sponsor(s).) make technical corrections; increase the Chapter 2 designating October as Anti- Kentucky county public safety account To: Interim Joint Committee on fines for violations of Section 1 of the Bullying Month in Kentucky and a purple and specify the uses of funds dedicated Education Act and KRS 189.294 to $50 for the first and yellow ribbon as the symbol for anti- to it; stipulate that gaming facilities are offense and $100 for subsequent offenses; bullying awareness. permissible uses at racetracks and casino BR 118 - Representative Fitz Steele, direct that 50% of the fines collected for (Prefiled by the sponsor(s).) facilities not located at racetracks shall be Representative Julie Raque Adams violations of these offenses be directed To: Interim Joint Committee on permitted uses in all zones which allow (08/20/13) to the Kentucky Injury Prevention and State Government sports, entertainment, recreation, or retail Research Center at the University of facilities of a similar size; establish a set- AN ACT relating to sales and use Kentucky and appropriate the funds for BR 138 - Representative Wilson Stone aside amount for racing association casino tax holidays and declaring an emergency. the purpose of injury prevention research; (08/23/13) licensees and specify the distribution of Create a new section of KRS APPROPRIATION. the funds for horse industry-related topics; Chapter 139 to establish a three day sales (Prefiled by the sponsor(s).) AN ACT relating to TVA in-lieu- require an annual audit of each racing and use tax holiday the first weekend in To: Interim Joint Committee on of-tax payments, making an appropriation association casino licensee; create a new August each year to exempt clothing, Transportation therefor, and declaring an emergency. section of KRS Chapter 138 to establish school supplies, school art supplies, Amend KRS 96.895 to provide a tax rate of 25% for the first three years computers, and school computer supplies; BR 126 - Representative Mike Harmon that, beginning in fiscal year 2014- of a racing association casino licensee, EMERGENCY. (09/27/13) 2015, a portion of the Tennessee Valley increasing to 30% thereafter; establish a Authority in-lieu-of-tax payment made tax rate of 39.5% for the first three years (Prefiled by the sponsor(s).) AN ACT relating to driving to the Commonwealth and deposited into of a casino gaming facility, increasing to To: Interim Joint Committee on under the influence. the general fund shall be transferred to the 44.5% thereafter; create a new section Appropriations and Revenue Amend various sections in KRS Chapter regional development agency assistance of KRS Chapter 222 to establish the 189A, relating to driving under the fund to be distributed among fiscal court- Kentucky compulsive gamblers assistance BR 119 - Representative Fitz Steele influence, to restructure the existing designated local industrial development fund and specify use of funds; create a new (08/20/13) penalties from a four-tiered structure to authorities for economic development section of KRS Chapter 61 to establish a three-tiered structure; expand the look- and job creation activities; provide that

56 2013 Interim LEGISLATIVE RECORD the transfer will not affect the portion of 1, 2014, to continue, and to specify a legislator, candidate, or campaign all facets of the policies, procedures, and the total TVA payment that is currently requirements for electrical work requiring committee from accepting a campaign culture of all Commission staff, require distributed among local government a permit; reenact and amend KRS contribution from an executive agency certain experience of the outside entity, entities; provide that these transfers will 227.489 to conform; reenact and amend lobbyist, or an employer of a legislative and require the entity to recommend be phased-in over a five-year period, KRS 227.491 to specify recordkeeping agent or executive agency lobbyist during best practice in accordance with the with an amount equal to 50 percent of requirements by inspectors; reenact a regular session of the General Assembly, requirements of this Act; EMERGENCY. the general fund portion of the total TVA and amend KRS 227.492 to conform; except for a special election held during a (Prefiled by the sponsor(s).) annual payment being transferred in fiscal reenact and amend KRS 227.495 to regular session of the General Assembly; To: Interim Joint Committee on year 2018-2019, and each fiscal year give inspectors the authority to pull an amend KRS 6,811 to prohibit a legislative State Government thereafter, not to exceed $6,000,000 each electrical service under certain conditions; agent or employer to give anything of year; APPROPRIATION; EMERGENCY. specify scheduling requirements for value to a legislative candidate, prohibit BR 163 - Senator Robin L. Webb (Prefiled by the sponsor(s).) inspection; provide permit holder appeal a legislative agent from soliciting, (11/07/13) To: Interim Joint Committee on rights; reenact and amend KRS 227.530 to controlling, or delivering a campaign Appropriations and Revenue assign the Electrical Advisory Committee contribution, prohibit an employer of a AN ACT relating to the donation to the Electrical Division and appoint the legislative agent from making a campaign of game meat. BR 140 - Representative Rick G. Nelson commissioner to the committee; amend contribution to a legislator, candidate, Create a new section of KRS (08/28/13) KRS 227A.010 to define “alteration,” campaign committee, or caucus campaign Chapter 217 to define “not-for-profit “commissioner,” “division,” “electrical committee during a regular session of the organization” and “wildlife”; prohibit AN ACT relating to firefighters. inspector,” “electrical system,” and General Assembly, and delete language state and local government entities from Create a new section of KRS “repair”; amend KRS 227A.030 to allowing legislative agents and their restricting the donation of game meat to Chapter 95 establishing a rebuttable conform; amend KRS 227A.050 to employers to purchase food or beverages or from not-for-profit organizations for the presumption that cancer, resulting in either specify use of funds in the trust and for legislators not to exceed $100 (“no purpose of free meal distribution; require temporary or permanent disability or agency account for the administration cup of coffee” rule); amend KRS 6.821 that the game meat be from wildlife death, is an occupational disease for full- and enforcement responsibilities of to conform, and to include the cost of that was taken in the Commonwealth, time firefighters; establish the guidelines the division; amend KRS 227A.130 to advertising during a General Assembly by properly field dressed and processed, and for compensation; establish the types of allow local governments to fix penalties an employer of a legislative agent or their apparently disease-free and unspoiled. carcinogens associated with specific types for violations and to establish fines for affiliates in the employer’s statement filed (Prefiled by the sponsor(s).) of cancers. violation of the chapter; amend KRS with the Legislative Ethics Commission; (Prefiled by the sponsor(s).) 198B.060 to allow local governments to create a new section of KRS Chapter BR 164 - Representative Rick G. Nelson To: Interim Joint Committee on petition for authority to approve electrical 7 to require the Commission, with the (09/19/13) Labor and Industry permits if the provisions of KRS Chapter assistance of the Personnel Cabinet, 227A are met; amend KRS 211.350 and to establish a job classification and AN ACT relating to probation BR 152 - Representative Jim Wayne 227.205 to conform; repeal KRS 132.815, compensation system for non-partisan and parole officers. (09/30/13) 227.450, and 227.500. employees of the Commission by July Amend KRS 439.310 to require (Prefiled by the sponsor(s).) 1, 2014, require non-partisan staff to be that probation and parole officer staffing AN ACT relating to tax credits To: Interim Joint Committee on employed, promoted, disciplined, and levels allow for an active supervision ratio for noise abatement. Licensing and Occupations dismissed in accordance with that system, of no greater than 50 offenders per officer. Create a new section of KRS allow non-partisan staff to appeal to (Prefiled by the sponsor(s).) Chapter 141 to establish a tax credit for BR 158 - Representative Sannie Overly, the Kentucky Personnel Board, require To: Interim Joint Committee on noise insulation installed in a residential Representative Brent Yonts (09/11/13) that each non-partisan employee of Judiciary structure that is located within a the Commission have a personnel file designated airport noise contour; amend AN ACT relating to the that is accessible to the employee, and BR 168 - Representative John Tilley KRS 141.0205 to recognize credits. legislative branch of state government. provide that nothing in this section shall (09/16/13) (Prefiled by the sponsor(s).) Amend KRS 6.611 to implement the grant rights under KRS Chapter 18A to To: Interim Joint Committee on “no cup of coffee” rule for legislators, employees of the Commission; create a AN ACT relating to eminent Appropriations and Revenue limit allowable payments for attendance new section of KRS Chapter 7 to define domain. of individual legislators to events held “sexual harassment” and “workplace Amend KRS 278.502 to BR 155 - Representative Sal Santoro, in-state, define “in-state” and include harassment”, require the Commission condition the exercise of condemnation Representative Larry Clark (10/10/13) administrative regulations and legislative to establish comprehensive policies and authority upon approval of the Public proposals not introduced in the General procedures to maintain a harassment- Service Commission, which may be given AN ACT relating to electrical Assembly to the definition of “legislation”; free workplace, require the Commission only after review of delineated statutory inspections. amend KRS 6.701 to specify that sexual to employ a deputy director for human criteria. Create new sections of KRS and workplace harassment information resources upon recommendation of the (Prefiled by the sponsor(s).) Chapter 227A to specify contents of an is to be part of the legislative ethics director who may only be dismissed by To: Interim Joint Committee on electrical permit and stipulate that applying manual and training program, and specify the Commission, provide for partisan Energy Special Subcommittee for a permit implies consent to an electrical that the training for legislators is to be staff to make complaints under this inspection; require the Department of conducted by an individual chosen by section, require complaints of workplace BR 173 - Representative Jesse Crenshaw Housing, Buildings and Construction to the deputy director of human resources; harassment to be investigated and the (09/26/13) appoint and assign electrical inspectors amend KRS 6.711 to specify that sexual findings and recommendations made to each county; permit the department to and workplace harassment law and policy in a written report to the Commission, AN ACT proposing an allow local governments to administer is to be part of the general curriculum of prohibit the Commission from providing amendment to Section 145 of the inspection program; require certain work the legislative orientation courses, make staff support for a member of the Senate Constitution of Kentucky relating to conducted by an electrical utility on sexual and workplace harassment training or House, or anyone directly employed persons entitled to vote. customer’s property to be performed by mandatory for legislators, specify that by the Senate or the House, who has not Propose to amend Section 145 an electrician or master electrician; repeal the training is to be conducted by a live consented in writing to be bound by the of the Constitution of Kentucky to allow sections of KRS Chapter 227 and reenact presenter, expand the orientation training policies and procedures regarding sexual persons convicted of a non-violent, as new sections of KRS Chapter 227A requirement to five hours, and require that and workplace harassment; amend KRS non-sexual felony the right to vote after with specified changes; reenact and amend two of the five hours of the orientation 7.090 to require employment of personnel expiration of probation, final discharge KRS 227.460 to provide for electrical course is to be devoted to sexual and by the Commission to be in accordance with from parole, or maximum expiration inspections by the department if a city workplace harassment law and policy; the job classification and compensation of sentence; submit to the voters for fails to establish an authorized program; amend KRS 6.716 to include updates on system; amend KRS 18A.030 to require ratification or rejection. reenact and amend KRS 227.480 to allow sexual and workplace harassment in the the secretary of the Personnel Cabinet (Prefiled by the sponsor(s).) permit applications to be submitted the current issues seminar for legislators, and to assist the Commission in establishing To: Interim Joint Committee on following day in emergency situations; specify that one of the three hours of the a job classification and compensation Judiciary exempt homeowners doing work on current issues seminar is to be devoted system; amend KRS 18A.075 to the their own homes; require the department to sexual and workplace harassment require the Kentucky Personnel Board to BR 174 - Senator John Schickel (09/30/13) to promulgate regulations describing training; amend KRS 6.747 to specify assist the Commission in establishing a job circumstances where inspections are that the legislative agent or employer may classification and compensation system; AN ACT relating to school required; reenact and amend KRS not furnish out-of-state transportation require the Commission to contract with funding. 227.487 to allow local programs with a or lodging for a legislator with certain an external entity within 10 days of Amend KRS 157.310 to clarify fee schedule established as of January exceptions; amend KRS 6.767 to prohibit enactment of this legislation to evaluate the intention of the General Assembly that

THE KENTUCKY GENERAL ASSEMBLY 57 no mandate be placed BR 194 - Representative Kevin D. Adjourn in honor and loving service to persons convicted of possessing on the public schools without program Bratcher (10/22/13) memory of Milton J. Roth. certain drugs and paraphernalia; amend funding to carry out the mandate; require (Prefiled by the sponsor(s).) KRS 218A.140 to lower possession of legislation A JOINT RESOLUTION counterfeit substances from a Class D relating to the public schools that includes directing the Kentucky Law Enforcement BR 222 - Representative Jim Wayne felony to a Class A misdemeanor; amend a fiscal note pursuant to KRS 6.955 or Council to study current and needed post- (10/18/13) KRS 218A.1415 to lower possession of a state mandate pursuant to KRS 6.965 traumatic stress disorder training, policies, a controlled substance from a Class D to include provision for funding that is and resources for peace officers. AN ACT relating to tolls. felony to a Class A misdemeanor; amend adequate for compliance with the mandate; Direct the Kentucky Law Create a new section of KRS Chapter KRS 218A.1437 to lower possession of clarify that no school district shall be Enforcement Council to study current 141 and amend KRS 141.0205 to create a methamphetamine precursor from a compelled to comply with mandated and needed post-traumatic stress disorder a refundable income tax credit for eligible Class D felony to a Class A misdemeanor; enactments of the General Assembly that training, policies, and resources for peace persons who pay tolls to commute to work amend KRS 218A.276 to require that do not provide adequate funding; specify officers; require a report to the Legislative across an Ohio River bridge; create a new defendants convicted of possession that this amendment does not relieve Research Commission by November 1, section of KRS Chapter 175B to establish of a counterfeit substance under KRS a school district from the obligation to 2014. an exclusion for tolls for mass transit 218A.140, marijuana pursuant to KRS comply with state or federal laws relating (Prefiled by the sponsor(s).) vehicles operated by a public agency or 218A.1422, synthetic drugs pursuant to to health, safety, or civil rights. To: Interim Joint Committee on a subsidiary of a municipal government; 218A.1430, methamphetamine precursors Judiciary create a new section of KRS Chapter 141 pursuant to 218A.1437, salvia pursuant to (Prefiled by the sponsor(s).) to require a transfer from the road fund KRS 218A.1451, or drug paraphernalia To: Interim Joint Committee on BR 211 - Senator Gerald A. Neal to the general fund for the amount of toll pursuant to KRS 218A.500 complete a Education (10/15/13) credit allowed. drug treatment program; amend KRS (Prefiled by the sponsor(s).) 218A.275 to require that defendants BR 176 - Senator John Schickel (09/30/13) AN ACT proposing an To: Interim Joint Committee on convicted of possession of a controlled amendment to Section 145 of the Appropriations and Revenue substance under various sections of A RESOLUTION adjourning Constitution of Kentucky relating to Chapter 218A complete a drug treatment the Senate in honor of Dr. Julie Metzger persons entitled to vote. BR 230 - Representative Gerald Watkins program. Aubuchon upon being named Kentucky Propose to amend Section 145 (10/10/13) (Prefiled by the sponsor(s).) Optometrist of the Year. of the Constitution of Kentucky to allow Adjourn in honor of Dr. Julie persons convicted of a felony other than AN ACT relating to cable BR 236 - Representative Gerald Watkins Metzger Aubuchon upon being named treason, intentional killing, a sex crime, or television. (11/08/13) Kentucky Optometrist of the Year. bribery the right to vote after expiration of Create a new section of KRS (Prefiled by the sponsor(s).) probation, final discharge from parole, or Chapter 65 to require that any contract AN ACT relating to crimes and maximum expiration of sentence; submit between a local government and a cable punishments. BR 177 - Representative Darryl T. Owens to the voters for ratification or rejection. television service provider include a Amend KRS 532.110 to require (11/19/13) (Prefiled by the sponsor(s).) provision requiring the cable provider to sentences for multiple Class A, B, or C To: Interim Joint Committee on offer access to channels individually. felonies to run consecutively. AN ACT relating to criminal Judiciary (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) records. To: Energy Special Subcommittee Amend KRS 431.076 to expand BR 217 - Representative Terry Mills BR 242 - Representative Gerald Watkins the scope of an expungement motion under (10/23/13) BR 232 - Representative Gerald Watkins (11/08/13) that statute to include felonies referred (11/08/13) to a grand jury where no indictment AN ACT relating to disabled AN ACT relating to booking ensues; amend KRS 431.078 to expand parking placards. AN ACT relating to crimes and photographs. that statute’s expungement process to Amend KRS 189.456 to add punishments. Create a new section of KRS include Class D felonies; create a new advanced practice registered nurse to those Amend KRS 217.181, and 61.870 to 61.884 to prohibit a person section of KRS Chapter 431 to establish who may submit a statement of disability various sections of KRS Chapter 514 to from using a booking photograph for a various protections for persons whose for an accessible parking placard. increase the threshold for felony theft to commercial purpose if that photograph records have been expunged; create a new (Prefiled by the sponsor(s).) $1000. will be posted in a publication or on a section of KRS Chapter 431 to establish To: Interim Joint Committee on (Prefiled by the sponsor(s).) Web site, and the removal of the booking standards for commercial criminal record Transportation photograph requires the payment of a history providers; amend KRS 527.040 to BR 233 - Representative Gerald Watkins fee or other consideration; amend KRS expressly provide that an expunged felony BR 219 - Representative Rita Smart (11/08/13) 61.870 to define “booking photograph”; does not trigger the application of that (10/11/13) amend KRS 61.8745 to include the misuse statute. AN ACT relating to life of booking photographs as a violation. (Prefiled by the sponsor(s).) AN ACT relating to anti- imprisonment for persistent felony (Prefiled by the sponsor(s).) bullying. offenders. BR 184 - Senator John Schickel, Senator Create a new section of KRS Amend KRS 532.080 to increase BR 243 - Representative Gerald Watkins Christian McDaniel (10/08/13) Chapter 2 to designate October as Anti- the sentence to life without the possiblity (11/08/13) Bullying Month in Kentucky; designate of parole for offenders with three or more A RESOLUTION adjourning the a purple and yellow ribbon as the symbol convictions for Class A or B felonies or AN ACT relating to nuclear Senate in honor and loving memory of for anti-bullying awareness. capital offenses. power. Henry Lawson Walker II. (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) Amend KRS 278.600 to define Adjourn in honor and loving To: Interim Joint Committee on “storage” and require that nuclear power memory of Lawson Walker II. State Government BR 234 - Representative Gerald Watkins facilities have a plan for the storage of (Prefiled by the sponsor(s).) (11/08/13) nuclear waste rather than a means for BR 220 - Senator John Schickel (10/14/13) permanent disposal; amend KRS 278.610 BR 189 - Senator Ray S. Jones II AN ACT relating to parole. to delete the requirement that the Public (10/22/13) A RESOLUTION honoring Amend KRS 439.340 to allow Service Commission certify the facility as Mann Elementary School on being the Governor to review parole orders having a means for disposal of high-level AN ACT relating to commercial selected as a 2013 National Blue Ribbon issued by the Parole Board if review is nuclear waste; change all references to the vehicle enforcement officers. School. requested by a victim. disposal of nuclear waste to the storage Amend KRS 16.191 to require Honor Mann Elementary School (Prefiled by the sponsor(s).) of nuclear waste; prohibit construction that Commercial Vehicle Enforcement on being named a 2013 National Blue of low-level waste disposal sites in the Officers are paid equally to Kentucky Ribbon School. BR 235 - Representative Gerald Watkins Commonwealth, except as provided in State Police Officers with the equivalent (Prefiled by the sponsor(s).) (11/08/13) KRS 211.852; require the Public Service rank, grade, and position; provide short Commission to determine whether the title. BR 221 - Senator John Schickel (10/21/13) AN ACT relating to crimes and construction or operation of a nuclear (Prefiled by the sponsor(s).) punishments. power facility, including one constructed To: Interim Joint Committee on A RESOLUTION adjourning the Create a new section of KRS by entities regulated under KRS Chapter State Government Senate in honor and loving memory of Chapter 218A to apply uniform penalty of 96, would create low-level nuclear waste Milton J. Roth. mandatory drug treatment and community or mixed wastes that would be required to

58 2013 Interim LEGISLATIVE RECORD be disposed of in low-level waste disposal Christian McDaniel (11/15/13) BRs by Sponsor sites in the Commonwealth; repeal KRS BR 334 - Representative Dennis Keene * - denotes primary sponsorship of BRs 278.605. A RESOLUTION honoring (11/19/13) (Prefiled by the sponsor(s).) former Kentucky State Senator Joseph Senate Meyer upon his retirement as Secretary AN ACT relating to driving BR 247 - Representative Gerald Watkins of the Education and Workforce under the influence. Carpenter, Jared (11/08/13) Development Cabinet. Amend various sections in KRS BR132* Adjourn in honor of former Chapter 189A relating to DUI to replace Higdon, Jimmy AN ACT relating to the Kentucky State Senator Joseph Meyer the current hardship license system with BR129* disciplining of a child by a parent or legal upon his retirement as Secretary of the an ignition interlock licensing system. Jones II, Ray S. guardian. Education and Workforce Development (Prefiled by the sponsor(s).) BR189*, 250* Create a new section of KRS Cabinet. McDaniel, Christian Chapter 610 give civil and criminal (Prefiled by the sponsor(s).) BR 335 - Representative Dennis Keene BR184, 254 immunity to parents and legal guardians (11/19/13) Neal, Gerald A. who discipline a child. BR 257 - Representative David Floyd, BR211* (Prefiled by the sponsor(s).) Representative Kim King, Representative AN ACT relating to parental Schickel, John Mike Harmon (11/15/13) rights. BR100*, 174* BR 248 - Representative Rick G. Nelson Create a new section of KRS BR176*, 184*, 220*, 221*, 254* (11/22/13) AN ACT relating to eminent 403.270 to 403.350 to provide that a Webb, Robin L. domain and declaring an emergency. person convicted of rape in the first degree BR163* AN ACT relating to the Amend KRS 278.502 to shall have no parental or visitation rights Department of Public Advocacy and limit the scope of the eminent domain with respect to any child born as a result House making an appropriation therefor. authority created by that section; declare of that sexual assault; create a new section Create a new section of KRS amendments retroactive to October 1, of KRS Chapter 405 to conform. Adams, Julie Raque Chapter 31 to establish caseload standards 2013; EMERGENCY. (Prefiled by the sponsor(s).) BR118* for public defenders with a contracting (Prefiled by the sponsor(s).) Bechler, Lynn process established to handle excess BR 355 - Representative Arnold Simpson BR99* caseload; amend KRS 186.574 to establish BR 275 - Representative Jim Gooch Jr. (11/15/13) Benvenuti III, Robert $50 fee to be added to the costs of a county (11/19/13) BR252* attorney traffic safety program to be used AN ACT relating to the angel Bratcher, Kevin D. to support public defender contracting to AN ACT relating to utilities. investor tax credit. BR194* handle excess caseload. Create a new section of KRS Create new sections of BR323* (Prefiled by the sponsor(s).) Chapter 278 to require retail electric Subchapter 20 of KRS Chapter 154 to Burch, Tom suppliers to maintain a 30-day supply of establish the angel investor tax credit BR121* BR 250 - Senator Ray S. Jones II fuel for electricity generation. program for certain investments in small Butler, Denver (10/18/13) (Prefiled by the sponsor(s).) businesses; define terms; state Act’s BR102, 396* title and purposes; list requirements Clark, Larry AN ACT relating to the Public BR 292 - Representative Martha Jane for small businesses and investors to BR23*, 108*, 109*, 155 Service Commission. King (10/28/13) qualify for participation; require the Collins, Hubert Amend KRS 278.050 to increase Kentucky Economic Development BR40* membership of the Public Service AN ACT relating to tax credits Finance Authority (KEDFA) to establish Combs, Leslie Commission (PSC) from three to seven for hiring legally blind or severely the application process; cap the total BR64* commissioners; require an election of the disabled individuals. amount of angel investor and Kentucky Crenshaw, Jesse commissioners in accordance with KRS Create a new section of KRS Investment Fund Act tax credits available BR173* Chapter 118; provide that initial election of Chapter 141 to provide a nonrefundable in all years at $40,000,000; require Crimm, Ron PSC commissioners shall be at the regular income tax credit for tax years beginning KEDFA to maintain a Web site listing all BR78*, 79* election in November 2016; provide that on or after January 1, 2015, for taxpayers businesses and investors certified and all Donohue, Jeffery each member of the commission shall be who contract with a resident nonprofit credits awarded; require small businesses BR23 eligible for membership in the Kentucky organization for services performed to report annually and allow for tax Flood, Kelly Employees Retirement System as set by individuals who are legally blind or credit recapture in certain circumstances; BR41* forth in KRS 61.515 to 61.705; amend severely disabled; amend KRS 141.0205 amend KRS 152.20-255 to provide that Floyd, David KRS 278.060 to change qualifications of to provide the order in which the credit the total amount of tax credits available BR257* the commissioners; amend KRS 278.120, may be claimed. in the Kentucky Investment Fund Act Gooch Jr., Jim 278.702, 11A.010, 11A.040, and 11A.050 (Prefiled by the sponsor(s).) program and the angel investor program BR275* to conform; repeal KRS 278.070. To: Interim Joint Committee on is $40,000,000 in all years; create a new Greer, Jeff (Prefiled by the sponsor(s).) Appropriations and Revenue section of KRS Chapter 141 to establish BR7* To: Energy Special Subcommittee the credit; amend KRS 141.0205 to Harmon, Mike BR 302 - Representative Rick G. Nelson provide the ordering of the credit. BR126*, 127*, 257 BR 252 - Representative Robert Benvenuti (11/15/13) (Prefiled by the sponsor(s).) Imes, Kenny III (11/01/13) BR38* AN ACT relating to school-based BR 396 - Representative Denver Butler BR54* AN ACT relating to the disclosure decision making councils. (11/25/13) Jenkins, Joni L. of public retirement information. Amend KRS 160.345 to require BR9* Amend KRS 61.661, 161.585, the meetings of school-based decision AN ACT relating to automated Keene, Dennis and 21.540 to require the Kentucky making councils and council committees business record falsification devices. BR334*, 335* Retirement Systems, Kentucky Teachers’ to be held at least one hour after the end of Create a new section of KRS King, Kim Retirement System, and the Judicial the school day. Chapter 517 to prohibit the possession of BR43*, 44*, 45*, 46*, 257* Form Retirement System, to disclose (Prefiled by the sponsor(s).) an automated business record falsification King, Martha Jane upon request the names, status, projected device, commonly known as a tax BR292* or actual benefit payments, and other BR 323 - Representative Kevin D. zapper or phantom-ware; provide that Mills, Terry retirement information of each member or Bratcher (11/13/13) possession of such devices is a Class D BR53*, 123*, 217* recipient of a retirement allowance of the felony, and provide for the forfeiture of Nelson, Rick G. systems; require the systems to also make AN ACT relating to the board or such devices and all proceeds associated BR116*, 117*, 140*, 164*, 248*, 302* the information available on a searchable barbering. with the sale or use thereof; amend KRS Overly, Sannie database on the systems’ Web site or on Amend KRS 317.470 to require 139.760 to provide for a ten-year sales BR158* a Web site established by the executive an applicant for administrator of the tax permit revocation whenever any Owens, Darryl T. or judicial branch to provide government Kentucky Board of Barbering be a permit holder uses an automated business BR177* expenditure and salary data to the public. licensed barber after the effective date of record falsification device to violate any Santoro, Sal (Prefiled by the sponsor(s).) this act. provision of the sales tax laws. BR155* (Prefiled by the sponsor(s).) (Prefiled by the sponsor(s).) Simpson, Arnold BR 254 - Senator John Schickel, Senator BR355*

THE KENTUCKY GENERAL ASSEMBLY 59 Smart, Rita Financial Responsibility for - BR9 qualifications for - BR323 BR219* Firearms and Weapons Foreign law, application of, protection of St. Onge, Diane Firefighters and Fire Departments rights - BR44 Budget and Financial Administration BR1* Fish and Wildlife Claims against the state, offsetting thereof Steele, Fitz Foods Aeronautics and Aviation to satisfy certain delinquent tax debts, BR64*, 118*, 119* Fuel Airports, noise levels, tax credit for noise prohibition - BR42 Stone, Wilson Gambling insulation - BR152 Constitutional amendment, General BR138* General Assembly Drone surveillance or use of armed drones Assembly compensation - BR46 Tilley, John Governor by certain entities, prohibition - BR1 Economic incentive programs, reporting BR11*, 168* Guardians on - BR23 Watkins, Gerald Hazardous Materials Alcoholic Beverages Roll call vote, requirement for - BR43 BR230*, 232*, 233*, 234*, 235*, 236*, Health and Medical Services 242*, 243*, 247* Highways, Streets, and Bridges DUI, per se level reduced from 0.08 to Charitable Organizations and Institutions Wayne, Jim Housing, Building, and Construction 0.05 - BR40 Donation of game meat for free meal BR152*, 222* Information Technology Ignition interlocks, usage of - BR334 distribution, prohibit restriction on - Wuchner, Addia Inspections BR163 BR102* Insurance Alcoholism Yonts, Brent Labor and Industry Alcohol and drug counseling practitioners, Children and Minors BR1, 42*, 158 Legislative Research Commission categories of and changing requirements Abused or neglected, custody of, notice to Licensing for - BR9 schools - BR45 Index Headings Lieutenant Governor DUI, Anti-Bullying Month, designation of Local Government penalties imposed - BR126 October as - BR132 Administrative Regulations and Memorials per se level reduced from 0.08 to 0.05 - Casino gaming, prohibited from - BR109 Proceedings Men BR40 Dextromethorphan, possession and retail Aeronautics and Aviation Mental Health Ignition interlocks, usage of - BR334 sale, prohibition - BR119 Alcoholic Beverages Military Affairs and Civil Defense Discipline by parent or legal guardian, Alcoholism Motor Vehicles Amusements and Recreation civil and criminal immunity - BR247 Amusements and Recreation Noise Control Casino Animals, Livestock, and Poultry Nuclear Energy gaming, authorization of - BR109 Circuit Clerks Appropriations Occupational Safety and Health gaming, constitutional amendment Expungement and criminal records; Arbitration Occupations and Professions allowing - BR108 eligibility, process, standards, and Archives and Records Oil and Natural Gas protections - BR177 Attorney, Commonwealth’s Parental Rights Animals, Livestock, and Poultry Attorney, County Peace Officers and Law Enforcement Cruelty to animals, forfeiture and Cities Attorneys Physicians and Practitioners ownership provisions - BR79 Consolidated local governments, Barbers and Cosmetologists Police, City and County Donation of game meat for free meal discretionary funds - BR121 Budget and Financial Administration Police, State distribution, prohibit restriction on - Electrical inspections, program to be Charitable Organizations and Institutions Popular Names and Short Titles BR163 administered by - BR155 Children and Minors Probation and Parole Firefighter, occupational disease, cancer - Circuit Clerks Property Appropriations BR140 Cities Public Advocate Mandates on public schools, financial Mass transportation, publicly owned, Civil Actions Public Health support for - BR174 exclusion from tolls - BR222 Civil Procedure Public Officers and Employees Problem and Pathological Gamblers Civil Rights Public Records and Reports Awareness and Treatment Program, Civil Actions Claims Public Safety establishment of - BR53 Child visitation and parental rights, Coal Public Utilities Roll call vote, requirement for - BR43 rapists, denial of - BR335 Commendations and Recognitions Publications Texting and cell phone use violations, Domestic violence proceedings, extension Commerce Racing fines for injury prevention research, to dating couples - BR11 Communications Religion appropriation of - BR123 Foreign law, application of, protection of Consolidated Local Governments Retirement and Pensions TVA in-lieu-of-tax payments, direction rights - BR44 Constitution, Ky. Retroactive Legislation to economic development activities - Immunity, parents and legal guardians, Consumer Affairs Science and Technology BR138 disciplining children - BR247 Contracts Secretary of State Pipeline construction, limitation on Corporations Sheriffs Arbitration condemnation authority - BR168 Corrections and Correctional Facilities, Small Business Foreign law, application of, protection of State State Agencies rights - BR44 Civil Procedure Counties State Employees Abused or neglected child, custody of, County Clerks Studies Directed Archives and Records notice to schools - BR45 Courts Substance Abuse Booking photograph, use for commercial Child visitation and parental rights, Courts, Circuit Taxation purpose with removal fee, prohibition - rapists, denial of - BR335 Courts, District Taxation, Income--Corporate BR242 Domestic violence proceedings, extension Crime Victims Taxation, Income--Individual to dating couples - BR11 Crimes and Punishments Taxation, Property Attorney, Commonwealth’s Foreign law, application of, protection of Criminal Procedure Taxation, Sales and Use Expungement and criminal records; rights - BR44 Disabilities and the Disabled Taxation, Severance eligibility, process, standards, and Pipeline construction, limitation on Diseases Teachers protections - BR177 condemnation authority - BR168 Domestic Relations Trade Practices and Retailing Drugs and Medicines Traffic Safety Attorney, County Civil Rights Economic Development Transportation Expungement and criminal records; Anti-Bullying Education, Elementary and Secondary Unified Local Governments eligibility, process, standards, and Month, designation of October as - Education, Finance Waste Management protections - BR177 BR132 Effective Dates, Delayed Withdrawn Legislation Public defenders, caseload management Month, October designation of - BR219 Effective Dates, Emergency Women and programmatic support - BR248 Foreign law, application of, protection of Elections and Voting Workers’ Compensation rights - BR44 Electricians Attorneys Emergency Medical Services BR Index Public defenders, caseload management Claims Eminent Domain and Condemnation and programmatic support - BR248 State claims, offsetting thereof to satisfy Energy Administrative Regulations and certain delinquent tax debts, prohibition Environment and Conservation Proceedings Barbers and Cosmetologists - BR42 Ethics Alcohol and drug counseling practitioners, Fees categories of and changing requirements Board of Barbering, administrator, Coal

60 2013 Interim LEGISLATIVE RECORD Severance revenues, distribution - BR64 permit to sign - BR217 per se level reduced from 0.08 to 0.05 - a constitutional amendment - BR109 BR40 Commendations and Recognitions Courts Expungement and criminal records; Effective Dates, Emergency Domestic violence proceedings, extension eligibility, process, standards, and Aubuchon, Dr. Julie Metzger, honoring - to dating couples - BR11 protections - BR177 Coal severance revenues, distribution - BR176 Expungement and criminal records; Felony theft, increase to $1,000 - BR232 BR64 Mann Elementary, National Blue Ribbon eligibility, process, standards, and Ignition interlocks, usage of - BR334 Oil and gas pipelines, condemnation School, honoring - BR220 protections - BR177 Persistent offenders, life without parole - authority relating to - BR257 Meyer, Joseph, honoring - BR254 Possession of controlled substances, BR233 Sales tax holiday - BR116, 118 mandatory drug treatment and Public defenders, caseload management TVA in-lieu-of-tax payments, direction Commerce community service - BR235 and programmatic support - BR248 to economic development activities - Warrantless drone surveillance by certain BR138 Expungement and criminal records; Courts, Circuit entities, use at trial, prohibition - BR1 eligibility, process, standards, and Expungement and criminal records; Elections and Voting protections - BR177 eligibility, process, standards, and Disabilities and the Disabled protections - BR177 Accessible parking placards, application, Constitutional Communications advanced practice registered nurses, amendment, casino gaming - BR108 Cable television providers, access to Courts, District permit to sign - BR217 amendment, General Assembly, channels individually - BR230 Expungement and criminal records; compensation suspended - BR46 Expungement and criminal records; eligibility, process, standards, and Diseases Expungement and criminal records; eligibility, process, standards, and protections - BR177 Alcohol and drug counseling practitioners, eligibility, process, standards, and protections - BR177 categories of and changing requirements protections - BR177 Crime Victims for - BR9 Felons’ voting rights, constitutional Consolidated Local Governments Child visitation and parental rights, Firefighter, occupational disease, cancer - amendment to provide - BR211 rapists, denial of - BR335 BR140 Public Service Commission, election of Discretionary funds - BR121 Expungement and criminal records; commissioners - BR250 Mass transportation, publicly owned, eligibility, process, standards, and Domestic Relations Slate of candidates, designation of exclusion from tolls - BR222 protections - BR177 Domestic violence proceedings, extension Lieutenant Governor candidates after Orders for parole, victim request for to dating couples - BR11 primary - BR127 Constitution, Ky. review by Governor - BR234 Foreign law, application of, protection of Casino gaming, amendment allowing - rights - BR44 Electricians BR108 Crimes and Punishments Drone surveillance or use of armed drones “Cheat,” definition of and penalty for - Drugs and Medicines Electrical inspections, requirements for - by certain entities, prohibition - BR1 BR109 Alcohol and drug counseling practitioners, BR155 Expungement and criminal records; Automated business record falsification categories of and changing requirements eligibility, process, standards, and devices or zappers, possession prohibited for - BR9 Emergency Medical Services protections - BR177 - BR396 Dextromethorphan, possession and retail General Assembly, compensation for Booking photograph, use for commercial sale, prohibition - BR119 Naloxone, possession and use of - BR100 services, suspension of - BR46 purpose with removal fee, prohibition - Naloxone, possession and use of - BR100 Voting rights for felons, constitutional BR242 Possession of controlled substances, Eminent Domain and Condemnation admentment to provide - BR211 Cruelty to animals, forfeiture and mandatory drug treatment - BR235 ownership provisions - BR79 Oil and gas pipelines, condemnation Consumer Affairs DUI, Economic Development authority relating to - BR129; BR257 Expungement and criminal records; penalties imposed - BR126 Angel investor tax credit program, Pipeline construction, limitation on eligibility, process, standards, and per se level reduced from 0.08 to 0.05 - creation of - BR355 condemnation authority - BR168 protections - BR177 BR40 Enhanced incentive counties, angel Expungement and criminal records; investments in - BR355 Energy Contracts eligibility, process, standards, and Kentucky Investment Fund Act, credit Cable television providers, contracts with protections - BR177 cap, amendment of - BR355 Nuclear power facilities, plan for storage local government entities - BR230 Felons’ voting rights, constitutional Reporting, incentive programs - BR23 of spent fuel - BR243 Foreign law, application of, protection of amendment to provide - BR211 TVA in-lieu-of-tax payments, direction Oil and gas pipelines, condemnation rights - BR44 Felony theft, increase to $1,000 - BR232 to economic development activities - authority relating to - BR129; BR257 Ignition interlocks, usage of - BR334 BR138 Pipeline construction, limitation on Corporations Immunity, parents and legal guardians, condemnation authority - BR168 Public benefit corporations, establish - disciplining children - BR247 Education, Elementary and Secondary Public Service Commission, election of BR41 Orders for parole, victim request for commissioners - BR250 Corrections and Correctional Facilities, review by Governor - BR234 Abused or neglected child, custody of, Retail electric suppliers, 30-day supply of State Persistent offenders, life without parole - notice to schools - BR45 fuel required - BR275 Probation and parole officer supervision BR233 Anti-Bullying levels, establishment of maximum Personal communication device use by Month, designation of October as - Environment and Conservation number of supervisees - BR164 minor driver, fines, increase of - BR123 BR132 Possession of controlled substances, Month, October designation of - BR219 Oil and gas pipelines, condemnation Counties mandatory drug treatment and High School Sports, encouragment of authority relating to - BR129; BR257 Coal severance revenues, distribution - community service - BR235 trapshooting - BR54 BR64 Public defenders, caseload management Mandates on public schools, financial Ethics Consolidated local governments, and programmatic support - BR248 support for - BR174 Legislative, discretionary funds - BR121 Rape, child visitation and parental rights, Mann Elementary, National Blue Ribbon “no cup of coffee” rule, establishment of Electrical inspections, program to be denial of - BR335 School, honoring - BR220 - BR158 administered by - BR155 Sentences for multiple Class A, B, or C School-based decision making councils, employers of legislative agents, Firefighter, occupational disease, cancer - felonies to run consecutively - BR236 meetings of - BR302 contributions by, prohibition against - BR140 Texting while driving, fines, increase of - Teachers, hiring of, preference given to BR158 Mass transportation, publicly owned, BR123 regular certification - BR117 out-of-state event, payment for, exclusion from tolls - BR222 prohibition against - BR158 TVA in-lieu-of-tax payments, direction Criminal Procedure Education, Finance Public Service Commission, subject to to economic development activities - Executive Branch Code of Ethics - BR138 Automated business record falsification Mandates on public schools, financial BR250 devices, forfeiture of - BR396 support for - BR174 County Clerks Cruelty to animals, forfeiture and Fees Accessible parking placards, application, ownership provisions - BR79 Effective Dates, Delayed Casino gaming, licensing fees established advanced practice registered nurses, DUI, - BR109 penalties imposed - BR126 Casino gaming, effective upon passage of Public defenders, caseload management

THE KENTUCKY GENERAL ASSEMBLY 61 and programmatic support - BR248 Hazardous Materials Slate of candidates, designation of Firefighter, occupational disease, cancer - Nuclear fuel, spent, plan for storage, low- Lieutenant Governor candidates after BR140 Financial Responsibility level nuclear waste - BR243 primary - BR127 Consolidated local governments, Oil and Natural Gas discretionary funds - BR121 Health and Medical Services Local Government Oil and gas pipelines, condemnation Alcohol and drug counseling practitioners, Cable television providers, contracts or authority relating to - BR129; BR257 Firearms and Weapons categories of and changing requirements franchise agreements with - BR230 Pipeline construction, limitation on for - BR9 Casino gaming, taxation of - BR109 condemnation authority - BR168 Concealed carry license for retired peace Living organ donation, promotion of - Consolidated local governments, officers, yearly extensions of - BR102 BR78 discretionary funds - BR121 Parental Rights Drone surveillance or use of armed drones Naloxone, possession and use of - BR100 Donation of game meat for free meal Foreign law, application of, protection of by certain entities, prohibition - BR1 Problem and Pathological Gamblers distribution, prohibit restriction on - rights - BR44 Awareness and Treatment Program, BR163 Immunity, civil and criminal, disciplining Firefighters and Fire Departments establishment of - BR53 TVA in-lieu-of-tax payments, direction children - BR247 Firefighter, occupational disease, cancer - to economic development activities - Visitation and parental rights, rapists, BR140 Highways, Streets, and Bridges BR138 denial of - BR335 Naloxone, possession and use of - BR100 DUI, penalties imposed - BR126 Memorials Peace Officers and Law Enforcement Fish and Wildlife per se level reduced from 0.08 to 0.05 - Roth, Milton J., memorializing - BR221 Donation of game meat for free meal BR40 Walker, Lawson II, memorializing - Automated business record falsification distribution, prohibit restriction on - Mass transportation, publicly owned, BR184 devices, forfeiture of - BR396 BR163 exclusion from tolls - BR222 Booking photograph, use for commercial Maximum speed limits, four lane non- Men purpose with removal fee, prohibition - Foods interstate highways, 65 MPH - BR38 Domestic violence proceedings, extension BR242 Donation of game meat for free meal Motor fuels taxes, require General to dating couples - BR11 Commercial vehicle enforcement officers distribution, prohibit restriction on - Assembly action for any change to - and Kentucky State Police officers, equal BR163 BR99 Mental Health pay for - BR189 Alcohol and drug counseling practitioners, Concealed carry license for retired peace Fuel Housing, Building, and Construction categories of and changing requirements officers, yearly extensions of - BR102 Nuclear power facilities, certification of a Electrical inspection program, to be for - BR9 Kentucky Law Enforcement Council, plan for storage of waste - BR243 administered by - BR155 Post-traumatic stress disorder in peace study of post-traumatic stress disorder in officers, Kentucky Law Enforcement peace officers - BR194 Gambling Information Technology Council study - BR194 Naloxone, possession and use of - BR100 Casino gaming, authorization for - BR108, Booking photograph, use for commercial Problem and Pathological Gamblers Warrantless drone surveillance or use 109 purpose with removal fee, prohibition - Awareness and Treatment Program, of armed drones by certain entities, Problem and Pathological Gamblers BR242 establishment of - BR53 prohibition - BR1 Awareness and Treatment Program, establishment of - BR53 Inspections Military Affairs and Civil Defense Physicians and Practitioners General Assembly Electrical inspections, conduct of - BR155 Drone surveillance by certain entities; Naloxone, possession and use of - BR100 Campaign contributions, employers of exempt military training, prohibition - legislative agents, contributions from, Insurance BR1 Police, City and County prohibition against - BR158 Commissioners of Insurance and Workers’ Concealed carry license for retired peace Casino gaming, authorization to approve Claims, delete Senate confirmation of Motor Vehicles officers, yearly extensions of - BR102 - BR108 appointment - BR7 Accessible parking placards, application, Kentucky Law Enforcement Council, Constitutional amendment, compensation advanced practice registered nurses, study of post-traumatic stress disorder in suspended - BR46 Labor and Industry permit to sign - BR217 peace officers - BR194 Legislative DUI, Warrantless drone surveillance or use Ethics Commission, sexual and TVA in-lieu-of-tax payments, direction penalties imposed - BR126 of armed drones by certain entities, workplace harassment, training to to economic development activities - per se level reduced from 0.08 to 0.05 - prohibition - BR1 include - BR158 BR138 BR40 ethics, “no cup of coffee” rule - BR158 Ignition interlocks, usage of - BR334 Police, State ethics, out-of-state events, payment for, Legislative Research Commission Maximum speed limits, four lane non- Booking photograph, use for commercial prohibition against - BR158 interstate highways, 65 MPH - BR38 purpose with removal fee, prohibition - Mandates on public schools, financial Deputy director for human resources, Personal communication device use by BR242 support for - BR174 position, establishment of - BR158 minor driver, fines, increase of - BR123 Commercial vehicle enforcement officers, Motor fuels taxes, require General Designation of appropriation or revenue Texting pay equality - BR189 Assembly action for any change to - measure, requirement for - BR43 while driving, exemption to prohibition, Concealed carry license for retired peace BR99 Employees of, comprehensive clarification - BR123 officers, yearly extensions of - BR102 Retirement, require the Legislators’ employment system, establishment of - while driving, fines, increase of - BR123 Kentucky Law Enforcement Council, Retirement Plan to disclose retirement BR158 study of post-traumatic stress disorder in account information - BR252 Employees, harassment-free workplace, Noise Control peace officers - BR194 Roll call vote for appropriation or revenue establishment of - BR158 Airports, noise levels, tax credit for noise Warrantless drone surveillance or use measure, requirement for - BR43 Sexual and workplace harassment, insulation - BR152 of armed drones by certain entities, Senate confirmation, commissioners allegations of, procedures required for - prohibition - BR1 of Insurance and Workers’ Claims BR158 Nuclear Energy appointment, delete requirement - BR7 Nuclear fuel, spent, plan for storage - Popular Names and Short Titles Licensing BR243 Commercial Vehicle Enforcement Officer Governor Alcohol and drug counseling practitioners, Pay Parity Act - BR189 Commissioners of Insurance and Workers’ categories of and changing requirements Occupational Safety and Health Claims, delete Senate confirmation of for - BR9 Firefighter, occupational disease, cancer - Probation and Parole appointment - BR7 Board of Barbering, administrator, BR140 Orders for parole, victim request for Orders for parole, victim request for qualifications for - BR323 review by Governor - BR234 review - BR234 Casino Occupations and Professions Persistent offenders, life without parole - Slate of candidates, designation of gaming, licensing of - BR109 Alcohol and drug counseling practitioners, BR233 Lieutenant Governor candidates after suppliers, licensing of - BR109 categories of and changing requirements Probation and parole officer supervision primary - BR127 Electrical inspectors, certification required for - BR9 levels, establishment of maximum - BR155 Board of Barbering, administrator, number of supervisees - BR164 Guardians Occupational licensing, casino workers - qualifications for - BR323 Immunity, civil and criminal, disciplining BR109 Casino workers, licensing of - BR109 Property children - BR247 Electricians, inspection requirements - Cruelty to animals, forfeiture and Lieutenant Governor BR155 ownership provisions - BR79

62 2013 Interim LEGISLATIVE RECORD Constitutional amendment, General Automated business record falsification School-based decision making councils, Public Advocate Assembly, compensation suspended - devices or zappers, possession prohibited meetings of - BR302 Public defenders, caseload management BR46 - BR396 and programmatic support - BR248 Public benefit corporations, establish - Collection of delinquent taxes through Trade Practices and Retailing BR41 refund offsets, prohibiton in case of Booking photograph, use for commercial Public Health certain tax debts - BR42 purpose with removal fee, prohibition - Alcohol and drug counseling practitioners, Sheriffs Delinquent property tax debts, absolution BR242 categories of and changing requirements Concealed carry license for retired peace of personal liability upon expiration of Dextromethorphan, possession and retail for - BR9 officers, yearly extensions of - BR102 the property lien - BR42 sale, prohibition - BR119 Living organ donation, promotion of - Kentucky Law Enforcement Council, Income tax, community rehabilitation tax Expungement and criminal records; BR78 study of post-traumatic stress disorder in credit - BR292 eligibility, process, standards, and Naloxone, possession and use of - BR100 peace officers - BR194 Motor fuels taxes, require General protections - BR177 Assembly action for any change to - Public Officers and Employees Small Business BR99 Traffic Safety Expungement and criminal records; Angel investments in small businesses, Organ donation, income tax credit DUI, eligibility, process, standards, and tax credit for, creation of - BR355 established for promotion of - BR78 penalties imposed - BR126 protections - BR177 Dextromethorphan, possession and retail Property tax certificates of delinquency, per se level reduced from 0.08 to 0.05 - Retirement, require state retirement sale, prohibition - BR119 nullification after 11-year period - BR42 BR40 systems to disclose retirement account Roll call vote, requirement for - BR43 Ignition interlocks, usage of - BR334 information - BR252 State Agencies Sales and use tax, holiday - BR116, 118 Maximum speed limits, four lane non- Booking photograph, use for commercial TVA in-lieu-of-tax payments, direction interstate highways, 65 MPH - BR38 Public Records and Reports purpose with removal fee, prohibition - to economic development activities - Texting Booking photograph, use for commercial BR242 BR138 and cell phone use violations, fines purpose with removal fee, prohibition - Donation of game meat for free meal Wagering tax, establishment of - BR109 for injury prevention research, BR242 distribution, prohibit restriction on - appropriation of - BR123 Expungement and criminal records; BR163 Taxation, Income--Corporate while driving, exemption to prohibition, eligibility, process, standards, and Economic Development Cabinet, Airports, noise levels, tax credit for noise clarification - BR123 protections - BR177 reporting requirements - BR23 insulation - BR152 Health and Family Services, custody of Automated business record falsification Transportation Public Safety abused or neglected child, notice to devices or zappers, possession prohibited Accessible parking placards, application, Nuclear fuel, spent, plan for storage - schools - BR45 - BR396 advanced practice registered nurses, BR243 Kentucky Community rehabilitation tax credit, tax permit to sign - BR217 Warrantless drone surveillance or use High School Athletic Association, periods after January 1, 2015 - BR292 Funds transfer to general fund for amount of armed drones by certain entities, promotion of trapshooting as a sport - Organ donation, tax credit established for of tolls income tax credit claimed - prohibition - BR1 BR54 promotion of - BR78 BR222 Law Enforcement Council, study of Mass transportation, publicly owned, Public Utilities post-traumatic stress disorder in peace Taxation, Income--Individual exclusion from tolls - BR222 Nuclear fuel, spent, plan for storage - officers - BR194 Airports, noise levels, tax credit for noise Maximum speed limits, four lane non- BR243 State Police, equal pay for Commercial insulation - BR152 interstate highways, 65 MPH - BR38 Public Service Commission, election of vehicle enforcement officers - BR189 Angel investor tax credit program, Motor fuels taxes, require General commissioners - BR250 Personnel creation of - BR355 Assembly action for any change to - Retail electric suppliers, 30-day supply of Board, assistance by, comprehensive Automated business record falsification BR99 fuel required - BR275 personnel system, Legislative Research devices or zappers, possession prohibited Oil and gas pipelines, condemnation Commission - BR158 - BR396 authority relating to - BR129; BR257 Publications Cabinet, assistance by, comprehensive Community rehabilitation tax credit, tax Booking photograph, use for commercial personnel system, Legislative Research periods after January 1, 2015 - BR292 Unified Local Governments purpose with removal fee, prohibition - Commission - BR158 Credit for tolls paid by qualifying Mass transportation, publicly owned, BR242 Public individuals - BR222 exclusion from tolls - BR222 Service Commission, election of Organ donation, tax credit established for Racing commissioners - BR250 promotion of - BR78 Waste Management Racing association casinos, licensing of - Service Commission, review of pipeline Refund offsets, prohibition in case of Nuclear fuel, spent, plan for storage - BR109 condemnation authority requests - certain tax debts - BR42 BR243 BR168 Religion Taxation, Property Withdrawn Legislation Foreign law, application of, protection of State Employees Certificates of delinquency, nullification WITHDRAWN - BR173 rights - BR44 Commercial Vehicle Enforcement after 11-year period - BR42 Officers, pay equality - BR189 Delinquent tax debts, absolution of Women Retirement and Pensions Retirement, require state retirement personal liability upon expiration of the Judicial Form Retirement System, systems to disclose retirement account lien upon the property - BR42 Domestic violence proceedings, extension require disclosure of retirement account information - BR252 TVA in-lieu-of-tax payments, direction to dating couples - BR11 information - BR252 to economic development activities - Foreign law, application of, protection of Kentucky Studies Directed BR138 rights - BR44 public pension stabilization fund, Kentucky Law Enforcement Council, establishment of - BR109 study of post-traumatic stress disorder in Taxation, Sales and Use Workers’ Compensation Retirement Systems, require disclosure peace officers - BR194 Automated business record falsification of retirement account information - devices or zappers, possession prohibited Commissioner of Workers’ Claims, delete BR252 Substance Abuse - BR396 Senate confirmation of appointment - Teachers’ Retirement System, require Alcohol and drug counseling practitioners, Holiday - BR116, 118 BR7 disclosure of retirement account categories of and changing requirements Motor fuels taxes, require General information - BR252 for - BR9 Assembly action for any change to - Dextromethorphan, possession and retail BR99 Retroactive Legislation sale, prohibition - BR119 Oil and gas pipelines, condemnation DUI, penalties imposed - BR126 Taxation, Severance authority relating to - BR257 Possession of controlled substances, Coal severance revenues, distribution - mandatory drug treatment - BR235 BR64 Science and Technology Angel investments in knowledge-based Taxation Teachers businesses, tax credit for, creation of - Airports, noise levels, tax credit for noise Hiring of, preference given to regular BR355 insulation - BR152 certification - BR117 Angel investor tax credit program, Mann Elementary, National Blue Ribbon Secretary of State creation of - BR355 School, honoring - BR220

THE KENTUCKY GENERAL ASSEMBLY 63 Robert Stivers Greg Stumbo The Kentucky Legislative Research Commis- SENATE PRESIDENT HOUSE SPEAKER sion is a 16-member committee of the major- Katie Kratz Stine Larry Clark ity and minority leadership of the Kentucky PRESIDENT PRO TEM SPEAKER PRO TEM Senate and House of Representatives. Under Damon Thayer Rocky Adkins Chapter 7 of the Kentucky Revised Statutes, MAJORITY FLOOR LEADER MAJORITY FLOOR LEADER the LRC constitutes the administrative office for the General Assembly. Its director serves as R.J. Palmer Jeff Hoover MINORITY FLOOR LEADER MINORITY FLOOR LEADER chief administrative officer of the Legislature when it isn’t in session. Dan Seum Sannie Overly MAJORITY CAUCUS CHAIRMAN MAJORITY CAUCUS CHAIRMAN The Commission and its staff, by law and Johnny Ray Turner Bob DeWeese by practice, perform numerous fact-finding MINORITY CAUCUS CHAIRMAN MINORITY CAUCUS CHAIRMAN and service functions for members of the Brandon Smith Tommy Thompson Legislature, employing professional, clerical MAJORITY WHIP MAJORITY WHIP and other employees required when the General Assembly is in session and during Jerry Rhoads John Carney the interim period between sessions. These MINORITY WHIP MINORITY WHIP employees, in turn, assist committees and individual legislators in preparing legislation. 2013 Interim Other services include conducting studies Marcia Seiler, Acting Director and investigations, organizing and staffing LEGISLATIVE Legislative Research Commission committee meetings and public hearings, RECORD maintaining official legislative records and Robert Jenkins other reference materials, providing infor- Deputy Director for Committee mation about the Legislature to the public, Published monthly by the and Staff Coordination compiling and publishing administrative Legislative Research Commission, Rob Weber regulations, administering a legislative intern the Interim RECORD is designed Public Information Officer program, conducting orientation programs to inform the citizens of Kentucky Joe Cox for new legislators, and publishing a daily of the between-sessions work of the Publications and Printing Officer index and summary of legislative actions General Assembly. Rebecca Mullins Hanchett during sessions. Paper subscriptions are free upon Editor, Typography and Design

The LRC is also responsible for statute revi- request. Contact LRC’s Public Mike Sunseri sion, publishing and distributing the Acts Information Office, Capitol Annex, Chief Photographer and Journals following sessions, and for Frankfort, KY 40601, 502-564- Public Information Staff maintaining furnishings, equipment and 8100, ext. 307 to subscribe. Karen Bourne supplies for the Legislature. It also functions The Interim RECORD can also Jeff Fossett as Kentucky’s Commission on Interstate be read on-line at www.lrc.ky.gov/ Cooperation in carrying out the program legislation.htm. If you have a paper Steve Gatewood of the Council of State Governments as it subscription and would like to end Bruce Phillips relates to Kentucky. your subscription and read the Bud Kraft Interim RECORD on-line only, Keith Krey please call 502-564-8100, ext. 307 or Jeanie Mitchell send a request by e-mail to bruce. Scott Payton [email protected]. Amy Rose Karr Stories may be reprinted without permission, although credit is appreciated.

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64 2013 Interim LEGISLATIVE RECORD