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AN ACT relating to government contract review and declaring an emergency. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 45A.705 is repealed, reenacted, and amended to read as 3
follows: 4
(1) There is hereby created a permanent committee of the Legislative Research 5
Commission to be known as the Government Contract Review Committee. The 6
committee shall be composed of eight (8) members appointed as follows: three (3) 7
members of the Senate appointed by the President of the Senate; one (1) member of 8
the minority party in the Senate appointed by the Minority Floor Leader in the 9
Senate; three (3) members of the House of Representatives appointed by the 10
Speaker of the House of Representatives; and one (1) member of the minority party 11
in the House of Representatives appointed by the Minority Floor Leader in the 12
House of Representatives. Members shall serve for terms of two (2) years, and the 13
members appointed from each chamber shall elect one (1) member from their 14
chamber to serve as co-chair. Any vacancy that may occur in the membership of the 15
committee shall be filled by the appointing authority who made the original 16
appointment. 17
(2) On an alternating basis, each co-chair shall have the first option to set the monthly 18
meeting date. A monthly meeting may be canceled by agreement of both co-chairs. 19
The co-chairs shall have joint responsibilities for committee meeting agendas and 20
presiding at committee meetings. A majority of the entire membership of the 21
Government Contract Review Committee shall constitute a quorum, and all actions 22
of the committee shall be by vote of a majority of its entire membership. The 23
members of the committee shall be compensated for attending meetings, as 24
provided in KRS 7.090(3). 25
(3) Any professional, clerical, or other employees required by the committee shall be 26
provided in accordance with the provisions of KRS 7.090(4) and (5). 27 UNOFFICIAL COPY 22 RS BR 263
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(4) All proposed personal service contracts, tax incentive agreements, and memoranda 1
of agreement received by the Legislative Research Commission shall be submitted 2
to the committee to: 3
(a) Examine the stated need for the service or benefit to the Commonwealth of 4
the motion picture or entertainment production; 5
(b) Examine whether the service could or should be performed by state personnel, 6
for personal service contracts and memoranda of agreement; 7
(c) Examine the amount and duration of the contract or agreement; and 8
(d) Examine the appropriateness of any exchange of resources or responsibilities. 9
(5) If the committee determines that the contract service or agreement, other than an 10
emergency contract approved by the secretary of the Finance and Administration 11
Cabinet or his or her designee, is not needed or inappropriate, the motion picture or 12
entertainment production is not beneficial or is inappropriate, the service could or 13
should be performed by state personnel, the amount or duration is excessive, or the 14
exchange of resources or responsibilities are inappropriate, the committee shall 15
attach a written notation of the reasons for its disapproval or objection to the 16
personal service contract, tax incentive agreement, or memorandum of agreement 17
and shall return the personal service contract, tax incentive agreement, or 18
memorandum of agreement to the secretary of the Finance and Administration 19
Cabinet or his or her designee. The committee shall act on a personal service 20
contract, tax incentive agreement, or memorandum of agreement submitted to the 21
Legislative Research Commission within forty-five (45) days of the date received. 22
(6) Upon receipt of the committee's disapproval or objection to a personal service 23
contract, tax incentive agreement, or memorandum of agreement, the secretary of 24
the Finance and Administration Cabinet or his or her designee shall determine 25
whether the personal service contract, tax incentive agreement, or memorandum of 26
agreement shall: 27 UNOFFICIAL COPY 22 RS BR 263
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(a) Be revised to comply with the objections of the committee; 1
(b) Be canceled and, if applicable, payment allowed for services rendered under 2
the contract or amendment; or 3
(c) Be appealed within ten (10) days to the State Treasurer, who shall make a 4
final determination within ten (10) days of receipt of the appeal of whether the 5
personal service contract, tax incentive agreement, or memorandum of 6
agreement shall: 7
1. Be revised to comply with the objection of the committee; 8
2. Be canceled and, if applicable, payment allowed for services already 9
rendered under the contract or amendment; or 10
3. Remain effective as originally submitted. 11
(7) Contracting bodies shall make annual reports to the committee not later than 12
December 1 of each year. The committee shall establish reporting procedures for 13
contracting bodies related to personal service contracts, tax incentive agreements, 14
and memoranda of agreement submitted by the secretary of the Finance and 15
Administration Cabinet or his or her designee. 16
(8) (a) Notwithstanding any statute, administrative regulation, or common law to 17
the contrary, and except as provided in this subsection, appropriations from 18
the general fund, any restricted fund, the road fund, or any federal funds, 19
whether for employee time or any other purpose, shall not be expended by 20
an elected statewide constitutional officer, except the Attorney General, nor 21
by any other state official, employee, or agency, in support of a challenge to 22
the constitutionality of this section, whether supporting in the role of 23
plaintiff, petitioner, party, intervening party, attorney, amicus curiae, or any 24
other capacity. 25
(b) If the constitutionality of paragraph (a) of this subsection is challenged 26
through litigation, the Attorney General shall be the sole named respondent 27 UNOFFICIAL COPY 22 RS BR 263
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for the Commonwealth of Kentucky in such litigation and shall consult with 1
the Legislative Research Commission regarding defense of such litigation. 2
(c) Notwithstanding the applicable provisions of KRS Chapter 452, such an 3
action may be brought only in the county of residence of the vendor who 4
was awarded the contract that has been found deficient. 5
Section 2. If any provision of this Act or the application thereof to any person or 6
circumstance is held invalid, the invalidity shall not affect other provisions or 7
applications of the Act that can be given effect without the invalid provision or 8
application, and to this end the provisions of this Act are severable. 9
Section 3. Whereas the Government Contract Review Committee is a statutory 10
committee meeting monthly and disposing instruments brought before it at those 11
meetings, and it is imperative to ensure that the mechanisms envisioned by the Kentucky 12
General Assembly are effectual, an emergency is declared to exist, and this Act takes 13
effect upon its passage and approval by the Governor or upon its otherwise becoming a 14
law. 15