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AN ACT relating to special purpose governmental entities. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
Section 1. KRS 65A.110 is amended to read as follows: 3
(1) This section applies to any ad valorem tax or fee levied by a special purpose 4
governmental entity that is not otherwise required by statute or ordinance to be 5
adopted or approved through an official act of an establishing entity. 6
(2) This section does not apply to: 7
(a) An air board established or operating under KRS 183.132 to 183.160; 8
(b) A fire protection district established or operating under KRS Chapter 75; or 9
(c) An ambulance taxing district established or operating under KRS 108.090 to 10
108.180. 11
(3) As used in this section, "compensating tax rate" has the same meaning as in KRS 12
132.010 and applies to all special purpose governmental entities with the authority 13
to levy ad valorem taxes, regardless of whether the special purpose governmental 14
entity is subject to KRS 132.023 or any other provision of the Kentucky Revised 15
Statutes that requires advertisement or allows for voter recall. 16
(4) (a) Notwithstanding any other provision of the Kentucky Revised Statutes, any 17
special purpose governmental entity, other than the special purpose 18
governmental entities described in subsection (2) of this section, proposing to 19
levy: 20
1. An ad valorem tax rate for the upcoming year that is projected to 21
generate more revenue than would be generated by the levy of the 22
compensating tax rate; or 23
2. An ad valorem tax for the first time; 24
shall submit in writing the proposed rate to the establishing entity. If the 25
establishing entity includes more than one (1) city or county, or if there is no 26
establishing entity, the rate shall be submitted to the governing body of the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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city or county in which the largest number of citizens served by the special 1
purpose governmental entity reside. If the special purpose governmental entity 2
serves only the residents of a city, the notice shall be provided to the 3
governing body of that city. The rate shall be submitted no later than seven (7) 4
days after the adoption of the ordinance, order, resolution, or motion to levy a 5
tax rate that exceeds the compensating tax rate, or to levy a new ad valorem 6
tax. 7
(b) The governing body of the city or county to which the rate was submitted shall 8
have thirty (30) days from the date of submission to: 9
1. Approve or fail to act on the proposed rate, in which case the proposed 10
rate may be implemented by the special purpose governmental entity 11
after all other statutory requirements for levying the rate are met; 12
2. a. Approve a rate that is less than the proposed rate but greater than 13
the compensating tax rate when the special purpose governmental 14
entity is proposing the levy of a rate that is projected to generate 15
more revenue than would be generated by the levy of the 16
compensating tax rate; or 17
b. Approve a rate that is less than the proposed rate when the special 18
purpose governmental entity is proposing the levy of an ad 19
valorem tax for the first time. 20
If the governing body approves a rate under subdivision a. or b. of this 21
subparagraph, the approved amount of the rate may be implemented by 22
the special purpose governmental entity after all other statutory 23
requirements for levying the rate are met; or 24
3. Disapprove the entire proposed rate by a majority vote of the governing 25
body, in which case subdivisions a. and b. of this subparagraph shall 26
apply: 27 UNOFFICIAL COPY 22 RS HB 504/GA
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a. If the special purpose governmental entity levied an ad valorem tax 1
during the current year, the special purpose governmental entity 2
may levy a rate for the upcoming year that does not exceed the 3
compensating tax rate; and 4
b. If the special purpose governmental entity is proposing an initial 5
levy, the levy shall not be imposed, and the special purpose 6
governmental entity shall wait at least one (1) year before 7
proposing another ad valorem tax levy. 8
(c) Upon request of a special purpose governmental entity, the DLG shall 9
calculate rates on behalf of the special purpose governmental entity. 10
(5) (a) Notwithstanding any other provision of the Kentucky Revised Statutes, any 11
special purpose governmental entity, other than the special purpose 12
governmental entities described in subsection (2) of this section, proposing the 13
imposition of a new fee, or a fee which is expected to produce increased 14
revenue as compared to revenue generated during the prior fiscal year, and 15
that is not subject to an approval process for the proposed fee under another 16
provision of the Kentucky Revised Statutes or administrative regulations 17
promulgated pursuant thereto, shall submit the proposed fee to the 18
establishing entity. If the establishing entity includes more than one (1) city or 19
county, or if there is no establishing entity, the fee shall be submitted to the 20
governing body of the city or county in which the largest number of citizens 21
served by the special purpose governmental entity reside, except as provided 22
in subsection (6) of this section. If the special purpose governmental entity 23
serves only the residents of a city, the notice shall be provided to the 24
governing body of that city. The proposed fee shall be submitted to the 25
relevant city or county no later than forty-five (45) days prior to the scheduled 26
implementation of the fee. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(b) The governing body of the city or county shall have thirty (30) days from the 1
date of submission to: 2
1. Approve or fail to act on the proposed fee, in which case the proposed 3
fee may be implemented by the special purpose governmental entity 4
after all other statutory requirements for levying the fee are met; 5
2. Approve a fee in an amount less than the amount of the proposed fee, in 6
which case the approved fee amount may be implemented by the special 7
purpose governmental entity after all other statutory requirements for 8
levying the fee are met; or 9
3. Disapprove the entire proposed fee by a majority vote of the governing 10
body, in which case subdivisions a. and b. of this subparagraph shall 11
apply: 12
a. If a proposed increase of an existing fee is disapproved, any fee 13
then in existence shall remain unchanged, and the special purpose 14
governmental entity shall not seek to increase the fee again for at 15
least one (1) year from the date of the submission of the 16
disapproved fee increase; and 17
b. If a proposed initial fee is disapproved, the special purpose 18
governmental entity shall not seek to impose the fee again for at 19
least one (1) year from the date of the submission of the 20
disapproved initial fee. 21
(6) The requirements established by subsection (5) of this section shall not apply to the 22
following provisions of this subsection: 23
(a) Rental fees; 24
(b) Fees established by contractual arrangement; 25
(c) Admission fees; 26
(d) Fees or charges to recover costs incurred by a special purpose governmental 27 UNOFFICIAL COPY 22 RS HB 504/GA
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entity for the connection, restoration, relocation, or discontinuation of any 1
service requested by any person; 2
(e) Any penalty, interest, sanction, or other fee or charge imposed by a special 3
purpose governmental entity for a failure to pay a charge or fee, or for the 4
violation or breach of or failure to pay or perform as agreed pursuant to a 5
contractual agreement or as reflected in a published schedule; 6
(f) Amounts charged to customers or contractual partners for nonessential 7
services provided on a voluntary basis; 8
(g) Fees or charges authorized under federal law that pursuant to federal law may 9
not be regulated by the Commonwealth or local governments within the 10
Commonwealth; 11
(h) Purchased water or sewage treatment adjustments, as authorized by KRS 12
278.015, made by a special purpose governmental entity as a direct result of a 13
rate increase by its wholesale water supplier or wholesale sewage treatment 14
provider; 15
(i) Any new fee or fee increase for which a special purpose governmental entity 16
must obtain prior approval from the Public Service Commission pursuant to 17
KRS Chapter 278; 18
(j) Other charges or fees imposed by a special purpose governmental entity for 19
the provision of any service that is also available on the open market; or 20
(k) Fees or charges imposed by municipal utilities for the provision of power, 21
water, wastewater, natural gas, or telecommunications services, unless 22
submission is otherwise required by statute or an ordinance adopted by the 23
establishing entity. 24
(7) (a) Subsections (4) and (5) of this section shall not be interpreted as transferring 25
any tax-levying or fee-levying authority granted to a special purpose 26
governmental entity under any other provision of the Kentucky Revised 27 UNOFFICIAL COPY 22 RS HB 504/GA
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Statutes to cities and counties charged with reviewing tax and fee increases 1
under this section. 2
(b) This section shall not be interpreted to grant tax-levying or fee-levying 3
authority on behalf of special purpose governmental entities to any city or 4
county reviewing tax rates or fees proposed by a special purpose governmental 5
entity and subject to review under this section. 6
(8) This section shall apply independently of and in addition to any other statutory 7
requirements and provisions relating to the levy of ad valorem taxes or fees by 8
special purpose governmental entities, other than the special purpose governmental 9
entities described in subsection (2) of this section, including statutory rate limits, 10
public hearing requirements, and recall provisions, and shall not be interpreted to 11
circumvent, supplant, or otherwise replace those requirements and provisions. 12
(9) The provisions of this section shall not be interpreted as limiting the ability of any 13
city, county, or other establishing entity to impose reporting or submission 14
requirements that are more stringent than those established in this section. 15
(10) (a) If a special purpose governmental entity has implemented or increased a tax 16
rate without seeking and receiving the approvals necessary under this 17
section, or has implemented a tax or rate at an amount other than as 18
designated by the establishing entity or appropriate governing body under 19
this section, then persons who have paid those taxes on or after January 1, 20
2021, are entitled to a refund of the following amounts: 21
1. The entire amount paid under an ad valorem tax enacted for the first 22
time; 23
2. That portion of the ad valorem tax paid in excess of the compensating 24
tax rate; or 25
3. That portion of the ad valorem tax paid in excess of the amount 26
approved by the establishing entity or appropriate governing body. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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The refund shall be awarded and distributed under KRS 134.590. 1
(b) If a special purpose governmental entity has implemented or increased a fee 2
without seeking and receiving the approvals necessary under this section or 3
implemented a fee at an amount other than as designated by the 4
establishing entity or appropriate governing body under this section, then 5
persons who have paid the fee on or after January 1, 2021, are entitled to a 6
refund of the following amounts: 7
1. The entire fee enacted for the first time; 8
2. That portion of a fee that is increased and which produces increased 9
revenue as compared to revenue generated during the prior fiscal 10
year; or 11
3. That portion of the fee in excess of the amount approved by the 12
establishing entity or appropriate governing body 13
No refund shall be made unless each fee payer individually applies to the 14
special purpose governmental entity within two (2) years from the date 15
payment was made. If the amount of fees due is in litigation, the fee payer 16
shall individually apply for refund within two (2) years from the date the 17
amount due is finally determined. Each claim or application for a refund 18
shall be in writing and state the specific grounds upon which it is based. No 19
refund shall be made until the refund is approved by resolution by the 20
establishing entity or the governing body. 21
Section 2. KRS 39F.160 is amended to read as follows: 22
(1) A rescue squad taxing district may be created by the fiscal court pursuant to KRS 23
65.182 or 65.188. 24
(2) The ad valorem tax that may be imposed for the maintenance and operation of the 25
district shall not exceed ten cents ($0.10) for each one hundred dollars ($100) of the 26
assessed valuation of all property in the district. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(3) Upon the creation of a district, the district so established shall be a taxing district 1
within the meaning of Section 157 of the Constitution of Kentucky. 2
(4) The district ad valorem taxes shall be collected by the sheriff in the same manner as 3
county ad valorem taxes. The sheriff shall be entitled to a fee of four percent (4%) 4
of the amount of the tax collected for the district. 5
(5) The affairs of the district shall be controlled by a board of directors appointed by the 6
county judge/executive, the mayor of an urban-county, or the chief executive of 7
another local government with the approval of the legislative body of that 8
jurisdiction. 9
(a) If the district consists of one (1) county, three (3) directors shall be appointed; 10
(b) If the district consists of two (2) counties, the county judge/executive of the 11
county having the greater portion of the population of the district shall appoint 12
two (2) directors and the county judge/executive of the other county shall 13
appoint the third director; 14
(c) If the district consists of more than two (2) counties, the county 15
judge/executive of the county having the greatest portion of the population of 16
the district shall appoint two (2) directors and the county judge/executive of 17
the remaining counties comprising the district shall each appoint one (1) 18
director; 19
(d) The legislative body of each city that contains a population equal to or greater 20
than three thousand (3,000) based upon the most recent federal decennial 21
census shall appoint one (1) additional director. If there is not a city within the 22
district that contains a population equal to or greater than three thousand 23
(3,000), then the city with the greatest population based upon the most recent 24
federal decennial census shall appoint one (1) additional director. 25
(6) The board of directors shall be appointed within thirty (30) days after the 26
establishment of the district. Each board member shall reside within the county or 27 UNOFFICIAL COPY 22 RS HB 504/GA
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city for which appointed. Directors shall be appointed for terms of two (2) years 1
each, except that initially the appointing authority shall appoint a minority of the 2
board members for one (1) year terms. Subsequent terms shall all be for two (2) 3
years. Any vacancies shall be filled by the appointing authority for the unexpired 4
term. 5
(7) A majority of the membership of the board shall constitute a quorum. 6
(8) A member of the board of directors may be removed from office as provided by 7
KRS 65.007. 8
(9) The board of directors shall provide rescue service to inhabitants of the district and 9
may: 10
(a) Purchase vehicles and all other necessary equipment and employ trained 11
personnel who meet all federal and state requirements; 12
(b) Adopt rules and regulations necessary to effectively and efficiently provide 13
rescue service for the district. Rules and regulations shall be consistent with 14
the provisions of this chapter; 15
(c) Employ persons to administer the daily operations of the rescue service; 16
(d) Compensate employees of the district at a rate determined by the board; 17
(e) Apply for and receive available funds from the state and federal government 18
for the purpose of maintaining or improving the rescue service of the district; 19
and 20
(f) Acquire by bequest, gift, grant, or purchase any real or personal property 21
necessary to provide rescue service. 22
(10) A district shall be eligible for grants pursuant to KRS 39F.130 and workers' 23
compensation coverage pursuant to KRS 39F.170. 24
(11) Tax revenues of a rescue squad taxing district shall be used only for rescue services 25
as described in this chapter. Tax revenues of a rescue squad taxing district shall be 26
distributed among all rescue squads in the district in proportion to the percentage of 27 UNOFFICIAL COPY 22 RS HB 504/GA
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the district's population served by each squad. 1
(12) The board of directors shall comply with the provisions of KRS Chapter 2
65A[65A.010 to 65A.090]. 3
Section 3. KRS 65.005 is amended to read as follows: 4
(1) The provisions of this section shall apply prior to July 1, 2014. On and after July 1, 5
2014, the provisions of this section shall no longer apply; instead the provisions of 6
KRS Chapter 65A[65A.010 to 65A.090] shall apply. Special districts shall 7
cooperate with the Department for Local Government and the Auditor of Public 8
Accounts to ensure an orderly transition from the reporting requirements of this 9
section to the reporting requirements of KRS Chapter 65A[65A.010 to 65A.090]. 10
Notwithstanding the dates established by this subsection, the provisions of this 11
section and KRS Chapter 65A[65A.010 to 65A.090] shall be administered such that 12
the registration required by KRS 65A.090(1) occurs as required by that subsection, 13
and there is no gap in reporting by entities subject to this section and KRS 65A.010 14
to 65A.090 as the transition occurs. 15
(2) (a) "Special district" means any agency, authority, or political subdivision of the 16
state which exercises less than statewide jurisdiction and which is organized 17
for the purpose of performing governmental or other prescribed functions 18
within limited boundaries. It includes all political subdivisions of the state 19
except a city, a county, or a school district. 20
(b) "Governing body" means the body possessing legislative authority in a city, 21
county, or special district. 22
(3) No special district shall be legally created without sending notification of its 23
existence in writing to the clerk of the county within the jurisdiction of which its 24
principal office shall be located. This requirement for notification is in addition to 25
all other provisions of existing law providing for the creation of special districts. 26
The notification shall contain the names and addresses of the members of the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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governing body of the district, the name and address of its chief executive officer, a 1
specific reference to the statute or statutes under which it was created, and a brief 2
description of its service area and activities. The clerk shall record the original and 3
forward a copy of the notification to the state local finance officer and the state local 4
debt officer, Department for Local Government. The clerk shall be paid a fee of two 5
dollars ($2) by the district for recording and mailing the notification. 6
(4) The governing body of any existing special district shall submit notification as 7
required in subsection (3) of this section within thirty (30) days after June 16, 1966, 8
and the governing body of a newly created special district shall submit the required 9
notification at or before its first meeting. 10
Section 4. KRS 65.065 is amended to read as follows: 11
(1) The provisions of this section shall apply for fiscal periods ending prior to July 1, 12
2014. For fiscal periods beginning on or after July 1, 2014, the provisions of this 13
section shall no longer apply; instead, the provisions of KRS Chapter 65A[65A.010 14
to 65A.090] shall apply. Districts shall cooperate with the Department for Local 15
Government and the Auditor of Public Accounts to ensure an orderly transition 16
from the reporting requirements of this section to the reporting requirements of 17
KRS Chapter 65A[65A.010 to 65A.090]. Notwithstanding the dates established by 18
this subsection, the provisions of this section and KRS Chapter 65A[65A.010 to 19
65A.090] shall be administered such that the registration required by KRS 20
65A.090(1) occurs as required by that subsection, and there is no gap in reporting 21
by entities subject to this section and KRS Chapter 65A[65A.010 to 65A.090] as 22
the transition occurs. 23
(2) The governing body of each district shall annually prepare a budget and, as 24
appropriate, shall classify budget units in the same fashion as county budgets are 25
classified in accordance with KRS 68.240(2) to (5). The state local finance officer 26
shall prepare standard budget forms for district use and shall furnish them to county 27 UNOFFICIAL COPY 22 RS HB 504/GA
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clerks for distribution to district officers. No moneys shall be expended from any 1
funds or any sources, except in accordance with the budget which has been filed 2
with the fiscal court to be available for public inspection. No budget of a district 3
shall become effective until filed with the fiscal court of the county in which the 4
district is located for submission to the Department for Local Government. For 5
those districts with multicounty jurisdictions, the district shall file a copy with each 6
of the fiscal courts within the jurisdiction of the district for their review. If the 7
budget is not filed with the fiscal court at least thirty (30) days prior to the start of 8
the district fiscal year, the fiscal court shall immediately notify the county attorney. 9
The county attorney shall then notify the governing board of the special district of 10
the noncompliance and then proceed with any steps necessary to prevent the 11
expenditure of funds by the special district until the district is in compliance. 12
(3) The governing body of each district which for the year in question receives from all 13
sources or expends for all purposes less than seven hundred fifty thousand dollars 14
($750,000) shall annually prepare a financial statement, except that once every four 15
(4) years the district's governing body shall provide for the performance of an audit 16
as provided in subsection (5) of this section. 17
(4) The governing body of each district which for the year in question receives from all 18
sources or expends for all purposes seven hundred fifty thousand dollars ($750,000) 19
or more shall provide for the performance of an annual audit as provided in 20
subsection (5) of this section. 21
(5) To provide for the performance of an audit, the governing body of a district shall 22
employ an independent certified public accountant or contract with the Auditor of 23
Public Accounts to perform an audit of the funds in the district budget. The audit 24
shall conform to: 25
(a) Generally accepted governmental auditing standards, which means those 26
standards for audits of governmental organizations, programs, activities, and 27 UNOFFICIAL COPY 22 RS HB 504/GA
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functions issued by the Comptroller General of the United States; and 1
(b) Additional procedures and reporting requirements as may be required by the 2
Auditor of Public Accounts. A unit of government furnishing funds directly to 3
a district may require additional audits at its own expense. Upon request, the 4
State Auditor of Public Accounts may review the final report and all related 5
work papers and documents of the independent certified public accountant 6
relating to the audit. If a district is required by law to audit its funds more 7
often than is required by this section, it shall perform those audits and may 8
submit them in lieu of the requirements of this section, if the audits meet the 9
requirements of this subsection. 10
(6) The provisions of subsection (3) of this section shall not apply to any district that is 11
required by law to annually submit a financial report to an agency of state 12
government. The districts shall annually submit a copy of their financial report to 13
the county judge/executive and to the state local finance officer and once every four 14
(4) years provide for the performance of an audit as provided in subsection (5) of 15
this section. 16
(7) Any resident of the district may bring an action in the Circuit Court to enforce the 17
provisions of this section. The Circuit Court shall hear the action and, on a finding 18
that the governing body of the district has violated the provisions of this section, 19
shall order the district to comply with the provisions. The Circuit Court, in its 20
discretion, may allow the prevailing party, other than the district, a reasonable 21
attorney's fee and court costs, to be paid from the district's treasury. 22
Section 5. KRS 65.070 is amended to read as follows: 23
(1) The provisions of this section shall apply for fiscal periods ending prior to July 1, 24
2014. For fiscal periods beginning on and after July 1, 2014, the provisions of this 25
section shall no longer apply; instead, the provisions of KRS Chapter 65A[65A.010 26
to 65A.090] shall apply. Districts shall cooperate with the Department for Local 27 UNOFFICIAL COPY 22 RS HB 504/GA
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Government and the Auditor of Public Accounts to ensure an orderly transition 1
from the reporting requirements of this section to the reporting requirements of 2
KRS Chapter 65A[65A.010 to 65A.090]. Notwithstanding the dates established by 3
this subsection, the provisions of this section and KRS Chapter 65A[65A.010 to 4
65A.090] shall be administered such that the registration required by KRS 5
65A.090(1) occurs as required by that subsection, and there is no gap in reporting 6
by entities subject to this section and KRS Chapter 65A[65A.010 to 65A.090] as 7
the transition occurs. 8
(2) Within sixty (60) days following the close of the fiscal year, the district shall: 9
(a) File with the county clerk of each county with territory in the district a 10
certification showing any of the following information that has changed since 11
the last filing by the district: 12
1. The name of the district; 13
2. A map or general description of its service area; 14
3. The statutory authority under which it was created; and 15
4. The names, addresses, and the date of expiration of the terms of office of 16
the members of its governing body and chief executive officer; 17
(b) Submit for review a copy of the summary financial statement with the fiscal 18
court of each county with territory in the district; and 19
(c) Publish, in lieu of the provisions of KRS 424.220, but in compliance with 20
other applicable provisions of KRS Chapter 424, the names and addresses of 21
the members of its governing body and chief executive officer, and either a 22
summary financial statement, which includes the location of supporting 23
documents, or the location of district financial records which may be 24
examined by the public. 25
(3) The district shall submit for review a copy of the audit with the fiscal court of each 26
county with territory in the district. The submission shall be made within thirty (30) 27 UNOFFICIAL COPY 22 RS HB 504/GA
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days of the district's receipt of the completed audit. 1
(4) The Department for Local Government shall prepare and furnish to county clerks 2
standard reporting forms which districts may use to comply with the provisions of 3
this section. 4
(5) Any resident of the district may bring an action in the Circuit Court to enforce the 5
provisions of this section. The Circuit Court shall hear the action and, on a finding 6
that the governing body of the district has violated the provisions of this section, 7
shall order the district to comply with its provisions. The Circuit Court, in its 8
discretion, may allow the prevailing party, other than the district, a reasonable 9
attorney's fee and court costs, to be paid from the district's treasury. 10
Section 6. KRS 65.181 is amended to read as follows: 11
The board of any taxing district established pursuant to KRS 65.180 to 65.192 shall 12
comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 13
Section 7. KRS 65.352 is amended to read as follows: 14
Any board formed and operating under KRS 65.350 to 65.375 shall comply with the 15
provisions of KRS Chapter 65A[65A.010 to 65A.090]. 16
Section 8. KRS 65.530 is amended to read as follows: 17
(1) The purposes of the authority shall be to establish, maintain, operate, and expand 18
necessary and proper riverport and river navigation facilities, and to acquire and 19
develop property, or rights therein within the economic environs, the home county, 20
or any county adjacent thereto, of the riverport or proposed riverport to attract 21
directly or indirectly river-oriented industry. It shall have the duty and such powers 22
as may be necessary or desirable to promote and develop navigation, river 23
transportation, riverports, and riverport facilities, and to attract industrial or 24
commercial operations to the property held as industrial parks. 25
(2) The authority may establish and fix reasonable rates, charges, and fees for the use of 26
the riverport facilities which shall be published in a manner available to the general 27 UNOFFICIAL COPY 22 RS HB 504/GA
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public in the county in which the riverport is located. In fixing rates, charges, or fees 1
the authority may take into consideration, among other factors, the total capital 2
investment of the authority, the revenue needed properly to maintain such facilities, 3
the revenue needed properly to expand the riverport and its facilities, the portion of 4
the facilities utilized by the licensee or contracting party and its customers, and the 5
volume and type of business conducted. Any party aggrieved by the rates, charges, 6
or fees may appeal from the action of the authority to the Circuit Court of the 7
county within which the authority operates, within ninety (90) days from the date 8
that the authority finally publishes the rates, charges, or fees and gives notice of 9
same to the contracting party or licensee. The Circuit Court may hear evidence and 10
determine whether or not the rates, charges, or fees are, or are not, reasonable in 11
amount. Appeal from the judgment of the Circuit Court may be prosecuted as any 12
other civil appeal. 13
(3) The authority shall also have power, from time to time, to fix rates, charges, or fees 14
by contract, or by publishing general rates, charges, or fees for commercial vendors, 15
concessionaires, or other persons for the use or occupancy of riverport facilities 16
under the terms and conditions it deems to be in the best interest of maintaining, 17
operating, or expanding necessary riverport facilities, and the public use thereof. 18
(4) The authority may acquire by contract, lease, purchase, option, gift, condemnation, 19
or otherwise any real or personal property, or rights therein, necessary or suitable 20
for establishing, developing, operating, or expanding riverports, riverport facilities, 21
water navigation facilities, including spoilage areas for the disposal of materials 22
dredged from river bottoms in an effort to improve the navigability of rivers, reserve 23
storage areas and reserves of bulk materials utilized by the authority or any person 24
acting as the authority's agent or licensee, and industrial parks or sites within the 25
economic environs of the riverport or proposed riverport. The authority may erect, 26
equip, operate, and maintain on the property buildings and equipment necessary and 27 UNOFFICIAL COPY 22 RS HB 504/GA
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proper for riverport and water navigation facilities. The authority may dispose of 1
any real or personal property, or rights therein, which in the opinion of the authority 2
is not needed for use as riverport or water navigation facilities, or use as industrial 3
parks or sites. The authority may lease, sell, convey, or assign its interest in land 4
owned, optioned, or otherwise held by it to any person for the purpose of 5
constructing and/or operating any industrial or commercial facility or for the 6
purpose of acting as the authority's agent or licensee in effectively carrying out any 7
of its powers and duties. 8
(5) With the consent of the legislative body of the governmental unit in which the 9
property to be condemned is located, the authority may by resolution, reciting that 10
the property cannot be acquired by purchase or agreement and is needed for 11
riverport, water navigation, or industrial purposes in accordance with the powers set 12
forth in subsection (4) of this section, direct the condemnation of any property. The 13
procedure for condemnation shall conform to the procedure set out in the Eminent 14
Domain Act of Kentucky. 15
(6) The authority may apply for, receive authorization for, establish, and operate a 16
foreign trade zone, as permitted by 19 U.S.C. sec. 81, provided approval is obtained 17
from the Cabinet for Economic Development. 18
(7) The authority shall comply with the provisions of KRS Chapter 65A[65A.010 to 19
65A.090]. 20
Section 9. KRS 65.661 is amended to read as follows: 21
Any emergency services board established pursuant to KRS 65.660 to 65.679 shall 22
comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 23
Section 10. KRS 65.8925 is amended to read as follows: 24
(1) By January 1, 2012, the commissioners of a regional wastewater commission 25
established under the provisions of KRS 65.8901 to 65.8923 shall provide public 26
access to records relating to expenditures of the commission through display of the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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records on a Web site. 1
(2) The Web site shall be in a searchable format and shall provide financial information 2
about expenditures not exempt under the provisions of state or federal law, 3
including: 4
(a) The payee name; 5
(b) The category or type of expenditure; 6
(c) A description of the reason for the expenditure, if available; 7
(d) The expenditure amount; 8
(e) An electronic link to documents relating to the expenditure, if the documents 9
are available electronically; 10
(f) The budget adopted by the commission and subsequent amendments to that 11
budget; 12
(g) The completed annual audit results; and 13
(h) Any other information deemed relevant by the commission. 14
(3) Information on the Web site shall be updated at least on a monthly basis and shall 15
be maintained on the Web site for at least three (3) years. 16
(4) (a) The regional wastewater commission shall register with the Department for 17
Local Government as required by KRS 65A.090. 18
(b) For fiscal periods beginning on and after July 1, 2014, the provisions of KRS 19
Chapter 65A[65A.010 to 65A.090] shall apply to regional wastewater 20
commissions. Commissioners shall work with the Department for Local 21
Government to provide the information required by this section through the 22
registry established by KRS 65A.020. 23
Section 11. KRS 65.905 is amended to read as follows: 24
(1) Except as otherwise provided in subsection (2) of this section, each local 25
government shall annually, after the close of the fiscal year, complete a uniform 26
financial information report. The report shall be submitted to the Department for 27 UNOFFICIAL COPY 22 RS HB 504/GA
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Local Government by May 1 immediately following the close of the fiscal year. The 1
Department for Local Government shall immediately send the compiled data from 2
the uniform financial information report to the Legislative Research Commission in 3
accordance with KRS 65.925 to be used for the purposes of KRS 6.955 to 6.975. 4
(2) The final quarterly report filed by a county within fifteen (15) days after the end of 5
the last quarter of the fiscal year, in accordance with KRS 68.360(2), shall be 6
deemed the uniform financial information report for that county for purposes of 7
compliance with KRS 65.900 to 65.925. 8
(3) (a) 1. Each city may have the uniform financial information report completed 9
by its selected auditor as part of the terms and conditions of the written 10
agreement between the city and the auditor in accordance with KRS 11
91A.040. 12
2. Each county may have the uniform financial information report 13
completed by its auditor selected in accordance with KRS 43.070 or 14
64.810. 15
[3. For fiscal periods ending prior to July 1, 2014, each special district may 16
have the uniform financial information report completed by its auditor 17
selected in accordance with KRS 65.065. For fiscal periods beginning on 18
and after July 1, 2014, the provisions of this section shall no longer 19
apply to special districts. Instead, the provisions of KRS 65A.010 to 20
65A.090 shall apply. Notwithstanding the dates established by this 21
subparagraph, the provisions of this section and KRS 65A.010 to 22
65A.090 shall be administered such that the registration required by 23
KRS 65A.090(1) occurs as required by that subsection, and there is no 24
gap in reporting by entities subject to this section and KRS 65A.010 to 25
65A.090 as the transition occurs.] 26
(b) If a city does not use the auditor to complete the uniform financial information 27 UNOFFICIAL COPY 22 RS HB 504/GA
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report, it shall by order designate an elected or nonelected official to be 1
responsible for annually completing the report and submitting it to the 2
Department for Local Government. 3
(c) If a local government has any agency, board, or commission that receives any 4
funding from the local government, but conducts its operations on an 5
autonomous or semi-autonomous basis, the local government shall note on the 6
uniform financial information report the name of the agency, board, or 7
commission; the mailing address of the agency, board, or commission; and the 8
dollar amount annually appropriated by the local government to the agency, 9
board, or commission. 10
(4) The Department for Local Government shall by administrative regulation prescribe 11
the format of the uniform financial information report, and shall attempt to 12
coordinate and combine efforts with the United States Bureau of the Census in the 13
development of the format of the uniform financial information report so that a 14
single report will meet the needs of both agencies and fulfill the requirements of 15
KRS 65.900 to 65.925. Regardless of any agreement between the Department for 16
Local Government and the United States Bureau of the Census, the Department for 17
Local Government shall maintain responsibility for assuring that a uniform financial 18
information report is distributed to each local government as soon as practicable 19
after the close of each fiscal year, but in no event later than one hundred twenty 20
(120) days prior to the required submission date of May 1. 21
(5) The Department for Local Government shall use the uniform financial information 22
report to replace as many financial information forms as possible that local 23
governments are currently required to complete and submit to that office for use by 24
either the state or federal governments, by consolidating the required information 25
into the uniform report. 26
Section 12. KRS 65A.020 is amended to read as follows: 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(1) The DLG shall: 1
(a) On or before March 1, 2014, make the necessary reporting and certification 2
forms, online reporting portal, and online central registry available for 3
reporting by special purpose governmental entities. The portal and registry 4
shall serve as a unified location for the reporting of and access to 5
administrative and financial information by special purpose governmental 6
entities; and 7
(b) On or before October 1, 2014, make available online public access to 8
administrative and financial information reported by special purpose 9
governmental entities. 10
(2) (a) For each fiscal period beginning on or after July 1, 2014, all special purpose 11
governmental entities shall annually submit to the DLG the information 12
required by this section. The information shall be submitted in accordance 13
with this section, at the time, and in the form and format required by the DLG. 14
The information submitted shall include at a minimum the following: 15
1. Administrative information: 16
a. The name, address, and, if applicable, the term and appointing 17
authority for each board member of the governing body of the 18
entity; 19
b. The fiscal year of the entity; 20
c. The Kentucky Revised Statute and, if applicable, the local 21
government ordinance and interlocal agreement under which the 22
entity was established; the date of establishment; the establishing 23
entity; and the statute or statutes, local government ordinance, or 24
interlocal agreement under which the entity operates, if different 25
from the statute or statutes, ordinance, or agreement under which it 26
was established; 27 UNOFFICIAL COPY 22 RS HB 504/GA
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d. The mailing address and telephone number and, if applicable, the 1
Web site uniform resource locator (URL) of the entity; 2
e. The operational boundaries and service area of the entity and the 3
services provided by the entity; 4
f. i. A listing of all the most significant taxes or fees imposed and 5
collected by the entity, including the rates or amounts 6
charged for the reporting period and the statutory or other 7
source of authority for the levy of the tax or fee. 8
ii. As used in this subdivision, "most significant taxes or fees" 9
means the five (5) taxes or fees levied by the entity that 10
produce the most tax and fee revenue for the entity, provided 11
that if the top five (5) revenue-producing taxes and fees do 12
not produce at least eighty-five percent (85%) of all tax and 13
fee revenues received by the entity, additional taxes and fees 14
shall be listed until the taxes and fees listed produce at least 15
eighty-five percent (85%) of all tax and fee revenues of the 16
entity. If an entity levies fewer than five (5) taxes and fees, 17
the entity shall list all taxes and fees levied; 18
g. The primary contact for the entity for purposes of communication 19
from the DLG; 20
h. The code of ethics that applies to the entity, and whether the entity 21
has adopted additional ethics provisions; 22
i. A listing of all federal, state, and local governmental entities that 23
have oversight authority over the special purpose governmental 24
entity or to which the special purpose governmental entity submits 25
reports, data, or information; and 26
j. Any other related administrative information required by the DLG; 27 UNOFFICIAL COPY 22 RS HB 504/GA
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and 1
2. Financial information: 2
a. i. The most recent adopted budget of the entity for the 3
upcoming fiscal year; 4
ii. After the close of each fiscal year, a comparison of the 5
budget to actual revenues and expenditures for each fiscal 6
year, including any amendments made throughout the fiscal 7
year to the budget originally submitted; 8
iii. Completed audits or attestation engagements as provided in 9
KRS 65A.030; and 10
iv. Other financial oversight reports or information required by 11
the DLG. 12
b. In lieu of the submissions required by subdivision a.i., ii., and iv. 13
of this subparagraph: 14
i. A federally regulated municipal utility shall submit, after the 15
close of each fiscal year, the monthly balance, revenue, and 16
expense report required by the federal regulator, which 17
constitutes year-end data; and 18
ii. A public utility established pursuant to KRS 96.740 that is 19
not a federally regulated municipal utility shall submit after 20
the close of each fiscal year a report that includes the same 21
information, in the same format as is required for federally 22
regulated municipal utilities under subpart i. of this 23
subdivision. 24
(b) The provisions of KRS 65A.040 shall apply when a special purpose 25
governmental entity fails to submit the information required by this section in 26
a timely manner, or submits information that does not comply with the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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requirements and standards established by this section and the DLG. To 1
facilitate the enforcement of these provisions, the DLG shall establish and 2
maintain an online list of due dates for the filing of reports, audit 3
certifications, and information for each special purpose governmental entity. 4
(c) The provisions of this subsection shall be in addition to, and shall not supplant 5
or replace any reporting or filing requirements established by other provisions 6
of the Kentucky Revised Statutes. 7
(3) (a) The DLG shall, by administrative regulation adopted pursuant to KRS Chapter 8
13A, develop standard forms, protocols, timeframes, and due dates for the 9
submission of information by special purpose governmental entities. All 10
information shall be submitted electronically; however, the DLG may allow 11
submission by alternative means, with the understanding that the DLG shall 12
be responsible for converting the information to a format that will make it 13
accessible through the registry. 14
(b) In an effort to reduce duplicative submissions to different governmental 15
entities and agencies, during the development of the forms, protocols, 16
timeframes, and due dates, the DLG shall consult with other governmental 17
entities and agencies that may use the information submitted by special 18
purpose governmental entities, and may include the information those 19
agencies and entities need to the extent possible. 20
(c) As an alternative to completing and submitting any standard form developed 21
by the DLG for the reporting of financial information, federally regulated 22
municipal utilities and public utilities established pursuant to KRS 96.740 that 23
are not federally regulated municipal utilities may elect to satisfy the reporting 24
requirements established by subsection (2)(a)2. of this section for the public 25
power components of their operations by reporting the financial information 26
related to their electric system accounts in accordance with the Federal Energy 27 UNOFFICIAL COPY 22 RS HB 504/GA
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Regulatory Commission's Uniform System of Accounts. 1
(4) (a) Beginning October 1, 2014, all information submitted by special purpose 2
governmental entities under this section shall be publicly available through the 3
registry. The registry shall be updated at least monthly, but may be updated 4
more frequently at the discretion of the DLG. The registry shall include a 5
notation indicating the date of the most recent update. 6
(b) The registry shall be in a searchable format and shall, at a minimum, allow a 7
search by county, by special purpose governmental entity name, and by type of 8
entity. 9
(c) To the extent possible, the registry shall be linked to or accessed through the 10
Web site established pursuant to KRS 42.032 to provide public access to 11
expenditure records of the executive branch of state government. 12
(5) (a) To offset the costs incurred by the DLG in maintaining and administering the 13
registry, the costs incurred in providing education for the governing bodies 14
and employees of special purpose governmental entities as required by KRS 15
65A.060, and the costs incurred by the DLG and the Auditor of Public 16
Accounts in responding to and acting upon noncompliant special purpose 17
governmental entities under KRS 65A.040, excluding costs associated with 18
conducting audits or special examinations, each special purpose governmental 19
entity shall pay a registration fee to the DLG on an annual basis at the time of 20
registration under this section. 21
(b) The initial annual fee shall be as follows: 22
1. For special purpose governmental entities with annual revenue from all 23
sources of less than one hundred thousand dollars ($100,000), twenty-24
five dollars ($25); 25
2. For special purpose governmental entities with annual revenues from all 26
sources of at least one hundred thousand dollars ($100,000) but less than 27 UNOFFICIAL COPY 22 RS HB 504/GA
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five hundred thousand dollars ($500,000), two hundred fifty dollars 1
($250); and 2
3. For special purpose governmental entities with annual revenues of five 3
hundred thousand dollars ($500,000) or greater, five hundred dollars 4
($500). 5
(c) If the costs of administering and maintaining the registry, providing education, 6
and enforcing compliance change over time, the fee and tiered structure 7
established by paragraph (b) of this subsection may be adjusted one (1) time 8
by the DLG through the promulgation of an administrative regulation under 9
KRS Chapter 13A. The rate, if adjusted, shall be set at a level no greater than 10
a level that is expected to generate sufficient revenue to offset the actual cost 11
of maintaining and administering the registry, providing education for the 12
governing bodies and employees of special purpose governmental entities, and 13
enforcing compliance. 14
(d) The portion of the registration fee attributable to expenses incurred by the 15
Auditor of Public Accounts for duties and services other than conducting 16
audits or special examinations shall be collected by the DLG and transferred 17
to the Auditor of Public Accounts on a quarterly basis. Prior to the transfer of 18
funds, the Auditor of Public Accounts shall submit an invoice detailing the 19
actual costs incurred, which shall be the amount transferred; however, the 20
amount transferred to the Auditor of Public Accounts under the initial fee 21
established by paragraph (b) of this section shall not exceed the annual 22
amount agreed to between the DLG and the Auditor of Public Accounts. 23
(e) 1. In determining the annual fee due from a special purpose governmental 24
entity, the DLG may exclude revenues received by the special purpose 25
governmental entity if: 26
a. The revenues constitute nonrecurring, nonoperating grants for the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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purpose of capital asset acquisition, capital construction, disaster 1
recovery efforts, or other one (1) time purposes as determined by 2
the DLG; and 3
b. The special purpose governmental entity requests, in writing to the 4
DLG and for each fiscal year it receives the revenue in question, 5
that the revenues in question not be included in determining its 6
annual revenues. 7
2. In determining the annual fee due from a special purpose governmental 8
entity that is a public use airport operating under KRS 183.132 to 9
183.160, the DLG may exclude revenues received by that public use 10
airport if the revenues constitute nonoperating or recurring grants for the 11
purpose of capital asset acquisition, capital construction, disaster 12
recovery efforts, or other one (1) time purposes as determined by the 13
DLG. 14
3. Any receipts excluded under this paragraph shall still be reported as 15
required under subsection (2)(a)2. of this section. 16
(6) [By October 1, 2014, and ]On or before [each ]October 1 of each year[thereafter], 17
the DLG shall file an annual report with the Legislative Research Commission 18
detailing the compliance of special purpose governmental entities with the 19
provisions of this chapter[KRS 65A.010 to 65A.090]. The Legislative Research 20
Commission shall refer the report to the Interim Joint Committee on Local 21
Government for review. 22
Section 13. KRS 65A.030 is amended to read as follows: 23
(1) For fiscal periods beginning on or after July 1, 2014, requirements relating to audits 24
and financial statements of special purpose governmental entities are as follows: 25
(a) Every special purpose governmental entity with the higher of annual receipts 26
from all sources or annual expenditures of less than one hundred thousand 27 UNOFFICIAL COPY 22 RS HB 504/GA
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dollars ($100,000) shall: 1
1. Annually prepare a financial statement; and 2
2. Once every four (4) years, contract for the application of an attestation 3
engagement as determined by the DLG, as provided in subsection (2) of 4
this section; 5
(b) Every special purpose governmental entity with the higher of annual receipts 6
from all sources or annual expenditures equal to or greater than one hundred 7
thousand dollars ($100,000) but less than five hundred thousand dollars 8
($500,000) shall: 9
1. Annually prepare a financial statement; and 10
2. Once every four (4) years, contract for the provision of an independent 11
audit as provided in subsection (2) of this section; and 12
(c) Every special purpose governmental entity with the higher of annual receipts 13
from all sources or annual expenditures equal to or greater than five hundred 14
thousand dollars ($500,000) shall: 15
1. Annually prepare a financial statement; and 16
2. Be audited annually as provided in subsection (2) of this section. 17
(2) (a) To provide for the performance of an audit or attestation engagement as 18
provided in subsection (1)(a) to (c) of this section, the governing body of a 19
special purpose governmental entity shall employ an independent certified 20
public accountant or contract with the Auditor of Public Accounts to conduct 21
the audit or attestation engagement unless the provisions of subsection (3) of 22
this section apply. 23
(b) The audit or attestation engagement shall be completed no later than twelve 24
(12) months following the close of the fiscal year subject to the audit or the 25
attestation engagement. 26
(c) 1. The special purpose governmental entity shall submit for publication on 27 UNOFFICIAL COPY 22 RS HB 504/GA
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the registry the audit or attestation engagement, in the form and format 1
required by the DLG. 2
2. A federally regulated municipal utility may comply with the 3
requirements of this section for the public power component of its 4
operations by submitting an audit that conforms to the requirements 5
imposed by the federal agency with which it maintains a wholesale 6
power contract. 7
3. A public utility established pursuant to KRS 96.740 that is not a 8
federally regulated municipal utility may comply with the requirements 9
of this section for the public power component of its operations by 10
submitting a copy of its annual audit performed under KRS 96.840. 11
(d) 1. The audit or attestation engagement shall conform to: 12
a. Generally accepted governmental auditing or attestation standards, 13
which means those standards for audits or attestations of 14
governmental organizations, programs, activities, and functions 15
issued by the Comptroller General of the United States; 16
b. Generally accepted auditing or attestation standards, which means 17
those standards for all audits or attestations promulgated by the 18
American Institute of Certified Public Accountants; and 19
c. Additional procedures and reporting requirements as may be 20
required by the Auditor of Public Accounts. 21
2. Rather than meeting the standards established by subparagraph 1. of this 22
paragraph, the audit submitted by a federally regulated municipal utility 23
or a public utility established pursuant to KRS 96.740 that is not a 24
federally regulated municipal utility with regard to the public power 25
component of the utility's operations shall conform to KRS 96.840 and 26
the financial standards of the Federal Energy Regulatory Commission's 27 UNOFFICIAL COPY 22 RS HB 504/GA
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Uniform System of Accounts. 1
(e) Upon request, the Auditor of Public Accounts may review the final report and 2
all related work papers and documents of the independent certified public 3
accountant relating to the audit or attestation engagement. 4
(f) If a special purpose governmental entity is required by another provision of 5
law to audit its funds more frequently or more stringently than is required by 6
this section, the special purpose governmental entity shall comply with the 7
provisions of that law, and shall comply with the requirements of paragraph 8
(c) of this subsection. 9
(g) Notwithstanding any provision of the Kentucky Revised Statutes to the 10
contrary, a unit of government furnishing funds directly to a special purpose 11
governmental entity may require additional audits at the expense of the unit of 12
government furnishing the funds. 13
(h) All audit reports, attestation engagement reports, and financial statements of 14
special purpose governmental entities shall be public records. 15
(3) (a) Any board, commission, or agency established by statute with regulatory 16
authority or oversight responsibilities for a category of special purpose 17
governmental entities may apply to the Auditor of Public Accounts to be 18
approved to provide an alternative financial review of the special purpose 19
governmental entities it regulates or oversees that are required by subsection 20
(1)(a) of this section to submit an attestation engagement. The application 21
shall be in the form and format determined by the Auditor of Public Accounts. 22
(b) The Auditor of Public Accounts shall review the application and if the auditor 23
determines that the board, commission, or agency has the resources and 24
capacity to conduct an acceptable alternative financial review, the auditor 25
shall notify the DLG that the board, commission, or agency is approved to 26
provide an alternative financial review of the special purpose governmental 27 UNOFFICIAL COPY 22 RS HB 504/GA
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entities it regulates or oversees that are required by subsection (1)(a) of this 1
section to submit an attestation engagement. 2
(c) The Auditor of Public Accounts shall advise the DLG and the board, 3
commission, or agency regarding modifications to the proposed alternative 4
financial review procedures necessary to obtain the Auditor of Public 5
Accounts' approval. 6
(d) Any board, commission, or agency approved to provide alternative financial 7
reviews shall reapply to the Auditor of Public Accounts for approval to 8
continue to provide alternative financial reviews at least every four (4) years. 9
The Auditor of Public Accounts may require more frequent approvals. 10
(e) The Auditor of Public Accounts or the DLG may withdraw any approval 11
granted under this subsection if the board, commission, or agency fails to 12
conduct alternative financial reviews using the procedures and including the 13
terms and components agreed to with the DLG. 14
(f) Any board, commission, or agency approved to provide alternative financial 15
reviews shall notify the Auditor of Public Accounts and the DLG if an 16
irregularity is found in the alternative financial review. 17
(g) Any special purpose governmental entity subject to regulation or oversight by 18
a board, commission, or agency that obtains approval to provide an alternative 19
financial review under this subsection shall have the option of having an 20
alternative financial review performed by the board, commission, or agency, 21
or may contract for the application of an attestation engagement as provided in 22
subsection (1)(a) of this section. 23
(4) The DLG shall determine which procedures conducted under attestation standards 24
will apply to special purpose governmental entities meeting the conditions 25
established by subsection (1)(a) of this section. The DLG may determine that 26
additional procedures be conducted under attestation standards for specific 27 UNOFFICIAL COPY 22 RS HB 504/GA
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categories of special purpose governmental entities or for specific special purpose 1
governmental entities, as needed, to obtain the oversight and information deemed 2
necessary by the DLG. 3
(5) Based on the information submitted by special purpose governmental entities under 4
KRS Chapter 65A[65A.020 and 65A.090], the DLG shall determine when each 5
special purpose governmental entity was last audited, and shall notify the special 6
purpose governmental entity of when each audit or attestation engagement is due 7
under the new standards and requirements of this section. 8
(6) (a) In determining the requirements relating to audits and financial statements of 9
special purpose governmental entities under subsection (1) of this section, the 10
DLG may exclude annual receipts received by the special purpose 11
governmental entity if: 12
1. The receipts constitute nonrecurring, nonoperating grants for the purpose 13
of capital asset acquisition, capital construction, disaster recovery 14
efforts, or other one (1) time purposes as determined by the DLG; and 15
2. The special purpose governmental entity requests, in writing to the DLG 16
and for each fiscal year it receives the revenue in question, that the 17
revenues in question not be included in determining its annual revenues. 18
(b) In determining the requirements relating to audits and financial statements 19
under subsection (1) of this section of special purpose governmental entities 20
that are public use airports operating under KRS 183.132 to 183.160, the DLG 21
may exclude annual receipts received by those public use airports if the 22
receipts constitute nonoperating or recurring grants for the purpose of capital 23
asset acquisition, capital construction, disaster recovery efforts, or other one 24
(1) time purposes as determined by the DLG. 25
(c) Any receipts excluded under paragraph (a) or (b) of this subsection shall still 26
be reported as required under KRS 65A.020(2)(a)2. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(7) The DLG may promulgate administrative regulations pursuant to KRS Chapter 13A 1
to implement the provisions of this section. 2
Section 14. KRS 65A.040 is amended to read as follows: 3
(1) The provisions of this section shall apply when any special purpose governmental 4
entity fails to submit information or submits noncompliant information under KRS 5
65A.020. 6
(2) If a special purpose governmental entity fails to submit information in a timely 7
manner or submits noncompliant information, the DLG shall, within thirty (30) days 8
after the due date of the information, notify the special purpose governmental entity 9
and the establishing entity in writing that: 10
(a) Either: 11
1. The required information was not submitted in a timely manner; or 12
2. The information submitted was noncompliant and the reason for 13
noncompliance; 14
(b) The special purpose governmental entity shall have thirty (30) days from the 15
date of the notice to submit the information; and 16
(c) Failure to submit compliant information: 17
1. Will result in: 18
a. Any funds due the entity and in the possession of any agency, 19
entity, or branch of state government being withheld by the state 20
government entity until the report or information is submitted; and 21
b. Publication of a notice of noncompliance in a newspaper having 22
general circulation in the area where the special purpose 23
governmental entity operates; and 24
2. May result in the Auditor of Public Accounts or the auditor's designee 25
performing an audit or special examination of the special purpose 26
governmental entity at the expense of the entity. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(3) Upon the failure of a special purpose governmental entity to submit information in 1
response to the notice sent under subsection (2) of this section, the DLG shall, 2
within fifteen (15) days after the passage of the thirty (30) day period: 3
(a) Notify in writing the Auditor of Public Accounts, the establishing entity, and 4
any entity having oversight or responsibility of the special purpose 5
governmental entity at the state level. The notice shall include at a minimum 6
the name, mailing address, and primary contact name for the special purpose 7
governmental entity, as well as details about the information that is past due; 8
(b) Notify the Finance and Administration Cabinet that the special purpose 9
governmental entity has failed to comply with the reporting requirements of 10
this chapter[KRS 65A.010 to 65A.090], and that any funds in the possession 11
of any agency, entity, or branch of state government shall be withheld until 12
further notice; and 13
(c) 1. Cause to be published in the newspaper having general circulation in the 14
area where the special purpose governmental entity operates a notice of 15
noncompliance. The notice shall meet the requirements of KRS Chapter 16
424 and shall include: 17
a. Identification of the special purpose governmental entity; 18
b. A statement that the special purpose governmental entity failed to 19
comply with the reporting requirements established by KRS 20
65A.020; 21
c. The names of the board members of the special purpose 22
governmental entity; 23
d. The name and contact information of the individual provided as 24
the contact for the special purpose governmental entity; and 25
e. Any other information the DLG may require. 26
2. The cost of publication of the notice shall be borne by the special 27 UNOFFICIAL COPY 22 RS HB 504/GA
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purpose governmental entity. If the notice includes more than one (1) 1
special purpose governmental entity, the cost shall be divided equally 2
among the entities included in the notice. 3
(4) Upon receipt of notification under subsection (3)(b) of this section, the secretary of 4
the Finance and Administration Cabinet shall, within ten (10) days after receipt of 5
the notice, notify all state agencies, entities, and branches of state government to 6
withhold any funds due the noncompliant special purpose governmental entity. 7
(5) (a) The Auditor of Public Accounts shall, within thirty (30) days after the receipt 8
of information from the DLG under subsection (3)(a) of this subsection, notify 9
in writing the special purpose governmental entity that the entity may be 10
subject to an audit or special examination at the expense of the special 11
purpose governmental entity. 12
(b) The Auditor of Public Accounts may initiate an audit or special examination 13
of any special purpose governmental entity any time after sending the notice 14
required by paragraph (a) of this subsection. Any audit or special examination 15
initiated pursuant to this subsection shall be at the expense of the special 16
purpose governmental entity. 17
(c) Once commenced, an audit or special examination may be completed 18
regardless of whether the special purpose governmental entity subsequently 19
submits the required information. 20
(d) The audit or special examination shall be prepared and submitted as required 21
by KRS 65A.020 and 65A.030. 22
(6) Upon receipt of all required information from a noncompliant special purpose 23
governmental entity, the DLG shall notify in writing the Auditor of Public 24
Accounts, the establishing entity, and the Finance and Administration Cabinet, and 25
the secretary of the Finance and Administration Cabinet shall notify all state 26
agencies, entities, and branches of state government that funds withheld may once 27 UNOFFICIAL COPY 22 RS HB 504/GA
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again be distributed to the special purpose governmental entity. 1
(7) Any resident or property owner of the service area of a special purpose 2
governmental entity may bring an action in the Circuit Court to enforce the 3
provisions of KRS 65A.020. The Circuit Court, in its discretion, may allow the 4
prevailing party, other than the special purpose governmental entity, a reasonable 5
attorney's fee and court costs, to be paid from the special purpose governmental 6
entity's treasury. 7
Section 15. KRS 68.601 is amended to read as follows: 8
The board of trustees shall comply with the provisions of KRS Chapter 65A[65A.010 to 9
65A.090]. 10
Section 16. KRS 74.070 is amended to read as follows: 11
(1) The commission shall be a body corporate for all purposes, and may make contracts 12
for the water district with municipalities and other persons. 13
(2) All corporate powers of the water district shall be exercised by, or under the 14
authority of, its commission. The business and affairs of the water district shall be 15
managed under the direction and oversight of its commission. 16
(3) The commission may prosecute and defend suits, hire the chief executive officer 17
and do all acts necessary to carry on the work of the water district. 18
(4) The commission may adopt bylaws not inconsistent with the provisions of this 19
chapter. 20
(5) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 21
65A.090]. 22
Section 17. KRS 75A.060 is amended to read as follows: 23
(1) The board shall oversee the provision of emergency services to residents within the 24
service area of the district and may: 25
(a) Purchase vehicles and all other necessary equipment and employ trained 26
personnel who meet all federal and state requirements; 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(b) Adopt rules and regulations necessary to effectively and efficiently provide 1
emergency services for the district; 2
(c) Employ a chief; 3
(d) Employ persons to administer the daily operations of the emergency services 4
district; 5
(e) Compensate employees of the district at a rate determined by the board; 6
(f) Apply for and receive available funds from the state and federal governments 7
for the purpose of maintaining or improving the emergency services of the 8
district; and 9
(g) Acquire by bequest, gift, grant, or purchase any real or personal property 10
necessary to provide emergency services. 11
(2) The establishment, maintenance, and operation of a consolidated emergency 12
services district shall include but not be limited to the following activities: 13
(a) Acquisition and maintenance of adequate fire protection and, where 14
applicable, emergency medical response facilities or rescue facilities; 15
(b) Acquisition and maintenance of adequate firefighting and, where applicable, 16
medical response equipment or rescue equipment; 17
(c) Recruitment, training and supervision of firefighters and, where applicable, 18
any emergency medical service or rescue personnel; 19
(d) Control and extinguishment of fires; 20
(e) Prevention of fires; 21
(f) Conducting fire safety activities; 22
(g) Payment of compensation to firefighters and where applicable, to emergency 23
medical service and rescue personnel, and providing the necessary support and 24
supervisory personnel; 25
(h) Payment for reasonable benefits or a nominal fee to volunteer firefighters 26
when benefits and fees do not constitute wages or salaries under KRS Chapter 27 UNOFFICIAL COPY 22 RS HB 504/GA
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337 and are not taxable as income to the volunteer firefighters under Kentucky 1
or federal income tax laws; and 2
(i) Use of consolidated emergency services district equipment for activities which 3
are for a public purpose and which do not materially diminish the value of the 4
equipment. 5
(3) The board shall comply with KRS Chapter 65A[65A.010 to 65A.090]. 6
Section 18. KRS 76.007 is amended to read as follows: 7
The board of the district shall comply with the provisions of KRS Chapter 65A[65A.010 8
to 65A.090] for both the district and any subdistrict established pursuant to KRS 76.241 9
to 76.273. 10
Section 19. KRS 76.234 is amended to read as follows: 11
The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 12
Section 20. KRS 76.2775 is amended to read as follows: 13
The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 14
Section 21. KRS 76.326 is amended to read as follows: 15
The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 16
Section 22. KRS 77.135 is amended to read as follows: 17
(1) It shall be the duty of the secretary-treasurer of an air pollution control board 18
formed pursuant to KRS 77.070, during or before the month of May of each year, to 19
prepare and certify to the consolidated local government or fiscal court of the 20
county and to the legislative body of the city, for their joint consideration, a 21
preliminary budget showing the total funds which, in the judgment of the air 22
pollution control board, will be needed for the various departments of the district, 23
together with a statement showing the estimated balances, if any, which will be 24
available on July 1 for expenditure during the next fiscal year following the 25
certification of said statement, and also indicating, as nearly as may be possible, 26
what additional funds or assets (other than appropriations) will be or will become 27 UNOFFICIAL COPY 22 RS HB 504/GA
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available for expenditure during that year. The board shall also furnish to the 1
consolidated local government or the fiscal court and the city legislative body any 2
other information or data available to it which the consolidated local government, 3
the fiscal court, or the city legislative body may request. 4
(2) Prior to the first day of each fiscal year, every air pollution control board shall 5
prepare, for its own use and guidance, a financial budget setting forth the total 6
amounts of funds available from all sources for expenditures during the said fiscal 7
year, and also setting forth in detail the estimated expenditures of the board and the 8
district during said fiscal year. 9
(3) A contingent fund for unanticipated expenditures may be established in order to 10
provide for such contingent and unanticipated needs as may arise during the 11
district's said fiscal year. 12
(4) All air pollution control boards shall comply with the provisions of KRS Chapter 13
65A[65A.010 to 65A.090]. 14
Section 23. KRS 80.263 is amended to read as follows: 15
The board of each authority shall comply with the provisions of KRS Chapter 16
65A[65A.010 to 65A.090]. 17
Section 24. KRS 80.322 is amended to read as follows: 18
The board of each authority shall comply with the provisions of KRS Chapter 19
65A[65A.010 to 65A.090]. 20
Section 25. KRS 91.760 is amended to read as follows: 21
(1) The management district shall constitute a body corporate with the power to sue and 22
be sued, and to contract, and shall be controlled by a board of directors. 23
(2) The number of members of the board of directors, their terms and qualifications, 24
shall be established by the ordinance creating the district. All members of the board 25
shall be property owners, representatives of property owners, or tenants within the 26
district, except for specified ex officio members designated in the local ordinance. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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At least two-thirds (2/3) of the total number of board members, including ex officio 1
members, must be property owners or the representatives of property owners within 2
the district. The board members shall be appointed by the executive authority of the 3
city, consolidated local government, or urban-county, with the approval of the 4
legislative body. A board member may be removed by the executive authority for 5
violation of the rules, regulations, or operating procedures adopted by the board of 6
directors if the removal is recommended by a majority of the members of the board 7
of directors. 8
(3) The powers of the board of directors shall include all powers set forth in KRS 9
91.750 to 91.762 and the ordinance establishing the management district. The board 10
of directors may employ or contract with persons to assist it in its responsibilities. 11
(4) (a) The board of directors shall manage the fiscal affairs of the management 12
district and shall adopt rules and regulations governing the investment and 13
disbursement of funds. 14
(b) The board of directors may borrow money on a short-term or long-term basis 15
as required. The total aggregate amount of long-term and short-term debt 16
which may be carried by a management district shall not exceed five hundred 17
thousand dollars ($500,000). 18
(c) The board of directors may hold funds in the name of the management district 19
or may designate the city, consolidated local government, or urban-county as 20
the fiscal agent for the management district. 21
(d) Money derived from the assessments imposed pursuant to KRS 91.750 to 22
91.762 shall be used only for economic improvements and the cost of 23
administration of the management district and shall be used for no other 24
purposes. 25
(e) As soon as practicable after the close of the fiscal year, the board of directors 26
shall cause an audit to be performed of all funds of the management district by 27 UNOFFICIAL COPY 22 RS HB 504/GA
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a certified public accountant. 1
(f) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 2
65A.090]. 3
(5) In addition to receiving funds from assessments, the board of directors shall be 4
authorized to receive grants, donations, and gifts. 5
Section 26. KRS 91A.360 is amended to read as follows: 6
(1) The commission established pursuant to KRS 91A.350(2) shall be composed of 7
seven (7) members to be appointed, in accordance with the method used to establish 8
the commission. Members of a commission established by joint action of the local 9
governing bodies of a county and a city or cities located therein shall be appointed, 10
jointly, by the chief executive officers of the local governing bodies that established 11
the commission. Members of a commission established by separate action of the 12
local governing body of a county or a city located therein shall be appointed 13
separately by the chief executive officer of the local governing body that established 14
the commission. The chief executive officer of a city shall mean the mayor and the 15
chief executive officer of a county shall mean the county judge/executive. 16
Appointments to a commission shall be made by the appropriate chief executive 17
officer or officers in the following manner: 18
(a) Two (2) commissioners shall be appointed from a list of three (3) or more 19
names submitted by the local city hotel and motel association and one (1) 20
commissioner shall be appointed from a list of three (3) or more names 21
submitted by the local county hotel and motel association, provided that if 22
only one (1) local hotel and motel association exists which covers both the 23
city and county, then three (3) commissioners shall be appointed from a list of 24
six (6) or more names submitted by it. If no formal local city or county hotel 25
and motel association is in existence upon the establishment of a commission 26
or upon the expiration of the term of a commissioner appointed pursuant to 27 UNOFFICIAL COPY 22 RS HB 504/GA
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this subsection, then up to three (3) commissioners shall be appointed by the 1
appropriate chief executive officer or officers from persons residing within the 2
jurisdiction of the commission and representing local hotels or motels. A local 3
city or county hotel and motel association shall not be required to be affiliated 4
with the Kentucky Hotel and Motel Association to be recognized as the 5
official local city or county hotel and motel association. 6
(b) One (1) commissioner shall be appointed from a list of three (3) or more 7
names submitted by the local restaurant association or associations. If no 8
formal local restaurant association or associations exist upon the 9
establishment of a commission or upon the expiration of the term of a 10
commissioner appointed pursuant to this subsection, then one (1) 11
commissioner shall be appointed by the appropriate chief executive officer or 12
officers from persons residing within the jurisdiction of the commission and 13
representing a local restaurant. A local restaurant association or associations 14
shall not be required to be affiliated with the Kentucky Restaurant Association 15
to be recognized as the official local restaurant association or associations. 16
(c) One (1) commissioner shall be appointed from a list of three (3) or more 17
names submitted by the chamber or chambers of commerce existing within 18
those governmental units, which by joint or separate action have established 19
the commission. If the commission is established by joint action of a county 20
and a city or cities, then each chamber of commerce shall submit a list of three 21
(3) names, and the chief executive officers of the participating governmental 22
units shall jointly appoint one (1) commission member from the aggregate list. 23
If no local chamber of commerce is in existence upon the establishment of a 24
commission or upon the expiration of the term of a commissioner appointed 25
pursuant to this subsection, then one (1) commissioner shall be appointed by 26
the appropriate chief executive officer or officers from persons residing within 27 UNOFFICIAL COPY 22 RS HB 504/GA
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the jurisdiction of the commission and representing local businesses. 1
(d) Two (2) commissioners shall be appointed in the following manner: 2
1. By the chief executive officer of the county or city, if the commission 3
has been established by separate action of a county or city; or 4
2. One (1) each by the chief executive officer of the county and by the chief 5
executive officer of the most populous city participating in the 6
establishment of the commission, if the commission has been 7
established by joint action of a county and a city or cities. 8
(2) A candidate submitted for appointment to the commission, pursuant to subsection 9
(1)(a) to (1)(c), shall be appointed by the appropriate chief executive officer or 10
officers within thirty (30) days of the receipt of the required list or lists. Vacancies 11
shall be filled in the same manner that original appointments are made. 12
(3) The commissioners shall be appointed for terms of three (3) years, provided, that in 13
making the initial appointments, the appropriate chief executive officer or officers 14
shall appoint two (2) commissioners for a term of three (3) years, two (2) 15
commissioners for a term of two (2) years and three (3) commissioners for a term of 16
one (1) year. There shall be no limitation on the number of terms to which a 17
commissioner is reappointed. Subsequent appointments shall be for three (3) year 18
terms. 19
(4) The commission shall elect from its membership a chairman and a treasurer, and 20
may employ personnel and make contracts necessary to carry out the purpose of 21
KRS 91A.350 to 91A.390. The contracts may include, but shall not be limited to, 22
the procurement of promotional services, advertising services, and other services 23
and materials relating to the promotion of tourist and convention business. 24
Contracts of the type enumerated shall be made only with persons, organizations, 25
and firms with experience and qualifications for providing promotional services and 26
materials, such as advertising firms, chambers of commerce, publishers, and 27 UNOFFICIAL COPY 22 RS HB 504/GA
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HB050410.100 - 1903 - XXXX GA
printers. 1
(5) The books of the commission and its account as established in KRS 91A.390(2) 2
shall be audited as provided in KRS 65A.030. The independent certified public 3
accountant or Auditor of Public Accounts shall make a report to the commission, to 4
the associations submitting lists of names from which commission members are 5
selected, to the appropriate chief executive officer or officers, to the State Auditor 6
of Public Accounts, and to the local governing body or bodies that established the 7
commission that was audited. A copy of the audit report shall be made available by 8
the commission to members of the public upon request and at no charge. 9
(6) A commissioner may be removed from office, by joint or separate action, of the 10
appropriate chief executive officer or officers of the local governing body or bodies 11
that established the commission, as provided by KRS 65.007. 12
(7) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 13
65A.090]. 14
Section 27. KRS 91A.370 is amended to read as follows: 15
(1) Except in a county containing a consolidated local government, the commission 16
established pursuant to KRS 91A.350(1) shall be composed of nine (9) members to 17
be appointed by the mayor of the largest city in the county, the county 18
judge/executive and the Governor of the Commonwealth. 19
(2) Except in a county containing a consolidated local government, the mayor of the 20
largest city in the county shall appoint three (3) commissioners in the following 21
manner: 22
(a) One (1) commissioner from a list submitted by the local city hotel and motel 23
association; 24
(b) One (1) commissioner from a list submitted by the chamber of commerce of 25
the largest city in the county; and 26
(c) One (1) commissioner from a list submitted by the local restaurant association 27 UNOFFICIAL COPY 22 RS HB 504/GA
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HB050410.100 - 1903 - XXXX GA
or associations. 1
(3) Except in a county containing a consolidated local government, the county 2
judge/executive shall, with the approval of the fiscal court, appoint three (3) 3
commissioners in the following manner: 4
(a) One (1) commissioner from a list submitted by the local county hotel and 5
motel association, provided that if only one (1) local hotel and motel 6
association exists which covers both the city and county, then the local hotel 7
and motel association shall submit a list to the county judge/executive; 8
(b) One (1) commissioner from a list submitted by the board of directors of the 9
largest incorporated Thoroughbred horse racing concern in the county, which 10
list shall contain only directors, officers, or employees of that corporation; and 11
(c) One (1) commissioner who is a resident of the county and who has an active 12
interest in the convention and tourist industry. 13
(4) Except in a county containing a consolidated local government, the Governor shall 14
appoint three (3) commissioners in the following manner: 15
(a) One (1) commissioner from a list submitted by the State Fair Board; 16
(b) One (1) commissioner from a list submitted by the local countywide air board; 17
and 18
(c) One (1) commissioner shall be appointed, in those counties not containing a 19
consolidated local government, who is a resident of the county. In those 20
counties containing a consolidated local government, one (1) commissioner 21
shall be appointed who is a resident of the area comprising the consolidated 22
local government. 23
(5) Vacancies shall be filled in the manner that original appointments are made. 24
(6) When a list as provided in subsections (2) and (3) of this section contains less than 25
three (3) names or when a selection from such list is not made, the appointing 26
authority shall request in writing the submission of a new list of names. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(7) Except in a county containing a consolidated local government, the commissioners 1
shall be appointed for a term of three (3) years, provided that in making the initial 2
appointments, the mayor, county judge/executive, and Governor of the 3
Commonwealth shall each appoint one (1) commissioner for a term of one (1) year, 4
one (1) commissioner for a term of two (2) years, and one (1) commissioner for a 5
term of three (3) years. 6
(8) Upon the establishment of a consolidated local government in a county where a city 7
of the first class and a county containing such city have had in effect a cooperative 8
compact pursuant to KRS 79.310 to 79.330, the commission shall have nine (9) 9
members. Six (6) members of the commission shall be appointed by the mayor of 10
the consolidated local government pursuant to the provisions of KRS 67C.139 for a 11
term of three (3) years. The Governor of the Commonwealth shall appoint three (3) 12
members of the commission for a term of three (3) years. Incumbent members upon 13
the establishment of the consolidated local government shall continue to serve as 14
members of the board for the time remaining of their current term of appointment. 15
(9) The commission shall elect from its membership a chairman and a treasurer, and 16
may employ such personnel and make such contracts as are necessary to effectively 17
carry out the purposes of KRS 91A.350 to 91A.390. Such contracts may include but 18
shall not be limited to the procurement of promotional services, advertising 19
services, and other services and materials relating to the promotion of tourist and 20
convention business; provided, contracts of the type enumerated shall be made only 21
with persons, organizations, and firms with experience and qualifications for 22
providing promotional services and materials such as advertising firms, chambers of 23
commerce, publishers, and printers. 24
(10) The books of the commission shall be audited by an independent auditor who shall 25
make a report to the commission, to the organizations submitting names from which 26
commission members are selected, and to the mayor of a city or a consolidated local 27 UNOFFICIAL COPY 22 RS HB 504/GA
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government, the county judge/executive in counties not containing a consolidated 1
local government, and the Governor of the Commonwealth. 2
(11) Commission members appointed by the Governor shall serve at the pleasure of the 3
Governor. Commission members appointed by the mayor of a city or a consolidated 4
local government or the county judge/executive may be removed as provided by 5
KRS 65.007. 6
(12) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 7
65A.090]. 8
Section 28. KRS 91A.372 is amended to read as follows: 9
(1) The commission established pursuant to KRS 91A.350(2) by an urban-county 10
government shall be composed of nine (9) members appointed by the mayor of the 11
urban-county government in the following manner: 12
(a) Three (3) commissioners from a list submitted by the local hotel and motel 13
association. 14
(b) One (1) commissioner from a list submitted by the local restaurant association 15
or associations. 16
(c) One (1) commissioner from a list submitted by the local chamber of 17
commerce. 18
(d) Four (4) commissioners who shall be residents of the urban-county. 19
(2) Vacancies shall be filled in the same manner that original appointments are made. 20
(3) The commissioners shall be appointed for terms of three (3) years, provided, that in 21
making the initial appointments, the chief elective official of the urban-county shall 22
appoint three (3) commissioners for a term of three (3) years, three (3) 23
commissioners for a term of two (2) years and three (3) commissioners for a term of 24
one (1) year. 25
(4) The commission shall elect from its membership a chairman and a treasurer, and 26
may employ such personnel and make such contracts as are necessary to effectively 27 UNOFFICIAL COPY 22 RS HB 504/GA
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carry out the purpose of KRS 91A.350 to 91A.390. Such contracts may include but 1
shall not be limited to the procurement of promotional services, advertising services 2
and other services and materials relating to the promotion of tourist and convention 3
business; provided, contracts of the type enumerated shall be made only with 4
persons, organizations, and firms with experience and qualifications for providing 5
promotional services and materials, such as event coordinators, advertising firms, 6
chambers of commerce, publishers and printers. 7
(5) The books of the commission shall be audited as provided in KRS 65A.030. The 8
independent certified public accountant or Auditor of Public Accounts shall make a 9
report to the commission, to the organizations submitting names from which 10
commission members are selected, and to the mayor of the urban-county 11
government. 12
(6) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 13
65A.090]. 14
Section 29. KRS 91A.380 is amended to read as follows: 15
(1) The commission established pursuant to KRS 91A.350(3) shall be composed of six 16
(6) members from each county to be appointed by the county judge/executive, with 17
the approval of the fiscal court in the following manner: 18
(a) Two (2) commissioners with an accounting, finance, or business background, 19
one (1) of whom is a member of the local chamber of commerce; 20
(b) One (1) commissioner selected from the public at large; 21
(c) One (1) commissioner from the General Assembly; 22
(d) One (1) commissioner representing local restaurants; and 23
(e) One (1) commissioner representing local hotels and motels. 24
(2) Vacancies shall be filled in the same manner that original appointments are made. 25
(3) The commissioners shall be appointed for terms of three (3) years, provided that in 26
making the initial appointments, the county judge/executive shall appoint two (2) 27 UNOFFICIAL COPY 22 RS HB 504/GA
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commissioners for a term of three (3) years, two (2) commissioners for a term of 1
two (2) years, and two (2) commissioners for a term of one (1) year. 2
(4) The commission shall elect from its membership a chairman and a treasurer, and 3
may employ such personnel and make such contracts as are necessary to effectively 4
carry out the purpose of KRS 91A.350 to 91A.390. Such contracts may include but 5
shall not be limited to the procurement of promotional services, advertising services 6
and other services and materials relating to the promotion of tourist and convention 7
business. 8
(5) The books of the commission and its account as established in KRS 91A.390(2) 9
shall be audited as provided in KRS 65A.030. The independent certified public 10
accountant or Auditor of Public Accounts shall make a report to the commission, to 11
the organizations submitting names from which commission members are selected, 12
and to the county judge/executive of each county. A copy of the audit report shall be 13
made available by the commission to members of the public upon request and at no 14
charge. 15
(6) A commissioner may be removed from office as provided by KRS 65.007. 16
(7) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 17
65A.090]. 18
Section 30. KRS 91A.575 is amended to read as follows: 19
(1) The management district shall constitute a body corporate with the power to sue and 20
be sued, and to contract, and shall be controlled by the board. 21
(2) The number of members of the board, their terms and qualifications, shall be 22
established by the ordinance creating the district. No fewer than a majority of the 23
board shall be property owners within the district. The board members shall be 24
appointed by the mayor of the city, with the approval of the legislative body. 25
(3) The powers of the board shall include all powers set forth in KRS 91A.550 to 26
91A.580 and the ordinance establishing the management district. The board may 27 UNOFFICIAL COPY 22 RS HB 504/GA
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employ or contract with persons to assist it in its responsibilities. 1
(4) (a) The board shall manage the fiscal affairs of the management district and shall 2
adopt regulations governing the investment and disbursement of funds. 3
(b) The board may borrow money on a short-term basis as required. 4
(c) The board may hold funds in the name of the management district or may 5
designate the city as the fiscal agent for the management district. 6
(d) Money derived from the assessments imposed pursuant to KRS 91A.550 to 7
91A.580 shall be used only for economic improvements and the cost of 8
administration of the management district and shall be used for no other 9
purposes. 10
(e) As soon as practicable after the close of the fiscal year, the board shall cause 11
an audit to be performed of all funds of the management district by a certified 12
public accountant. 13
(f) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 14
65A.090]. 15
(5) In addition to receiving funds from assessments, the board shall be authorized to 16
receive grants, donations, and gifts. 17
Section 31. KRS 96A.190 is amended to read as follows: 18
(1) Each authority shall employ a certified public accountant, or firm thereof, to make 19
an annual audit of the authority's financial accounts and affairs, and to make a report 20
thereof, including comments of the auditor regarding whether or not the authority is 21
in compliance with statutory requirements and with lawful covenants and 22
commitments made in its contract or bond proceedings. A copy of each audit report 23
shall be filed and kept open for public inspection in the office of the secretary-24
treasurer of the authority, and a copy shall be provided to the clerk, secretary or 25
other appropriate office of record of each public body which may have participated 26
in the creation and organization of the authority, or in the subsequent expansion 27 UNOFFICIAL COPY 22 RS HB 504/GA
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thereof. 1
(2) Each authority shall comply with the provisions of KRS Chapter 65A[65A.010 to 2
65A.090]. 3
Section 32. KRS 97.095 is amended to read as follows: 4
(1) For the purpose of acquiring, building, operating, and maintaining parks and green 5
space, two (2) or more counties may form a regional park authority. 6
(2) (a) The regional park authority may be established by a vote of the fiscal courts of 7
the participating counties or by a vote of the majority of the voters in each 8
participating county voting in an election. The issue shall be placed upon the 9
ballot if supported by a petition signed by a number of people from the 10
participating counties equal to one percent (1%) of the voters in the last 11
regular election. 12
(b) A county may join an existing regional park authority by a vote of the fiscal 13
court of each participating county and of the fiscal court of the joining county, 14
or by a vote of the majority of voters from each participating county and the 15
joining county voting in an election. The issue shall be placed upon the ballot 16
if supported by a petition signed by a number of people from the participating 17
and joining counties equal to one per cent (1%) of the voters from each 18
participating county and one percent (1%) of the voters from the joining 19
county, voting in the last regular election. 20
(3) A regional park authority is authorized to: 21
(a) Levy taxes and issue bonds; 22
(b) Accept donations, land, and equipment; 23
(c) Reject unusable or unmanageable land donations; 24
(d) Hire employees and contract for services; and 25
(e) Enter into agreements with public and private entities under the provisions of 26
the Interlocal Cooperation Act, KRS 65.210 to 65.300, and contracts 27 UNOFFICIAL COPY 22 RS HB 504/GA
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authorizing the use of private facilities for public recreation. 1
(4) A regional park authority may levy taxes not exceeding five cents ($0.05) on each 2
one hundred dollars ($100) of all taxable property within the regional park 3
authority's boundaries. The tax shall not be levied until a public referendum has 4
been conducted in accordance with the provisions of KRS 83A.120 and has been 5
adopted by the majority of the voters voting in an election in each county involved. 6
(5) A regional park authority shall be governed by a board made up of three (3) citizens 7
from each participating county. Board members shall be appointed by the fiscal 8
court from a list of candidates provided by the cities within the county and by the 9
county planning commission if there is one in that county. 10
(6) A regional park authority shall comply with the provisions of KRS Chapter 11
65A[65A.010 to 65A.090]. 12
Section 33. KRS 97.120 is amended to read as follows: 13
(1) In cities of the first class and in cities with populations equal to or greater than 14
twenty thousand (20,000) based upon the most recent federal decennial census, the 15
city recreational committee shall consist of not less than three (3) nor more than 16
seven (7) members, the exact number to be at the discretion of the city legislative 17
body. In cities with populations of less than twenty thousand (20,000) based upon 18
the most recent federal decennial census, the city recreational committee shall 19
consist of three (3) members. 20
(a) In cities of any class the city recreational committee shall be appointed by the 21
mayor, with the approval of a majority of the members of the legislative body 22
of the city, for terms of four (4) years, except that the members first appointed 23
shall be so appointed that the terms of the members will expire in different 24
years. 25
(b) The members shall serve without compensation. 26
(c) The members shall be legal voters of the city. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(d) If any member during the term of his or her office becomes a candidate for, or 1
is elected or appointed to any public office, he or she shall automatically 2
vacate his membership on the commission and another person shall be 3
appointed in his or her place; but this provision shall not prevent a member of 4
the commission from serving as a member of any other appointive 5
commission of the city, county, state or federal government. 6
(2) Any member of the commission may be removed by the vote of three-fourths (3/4) 7
of the elected members of the city legislative body. Vacancies shall be filled in the 8
same manner as in the original appointment. The city may require each 9
commissioner to execute a bond in the penal sum of one thousand dollars ($1,000). 10
If the commissioners are required to execute bonds, the bonds shall be approved by 11
the legislative body of the city, and the cost thereof may either be paid by the city or 12
by the commission out of its revenue. 13
(3) The commission shall provide rules and regulations for the management of the 14
recreational project or projects, and out of the revenue derived from the project or 15
projects it shall pay all operating expenses, provide for necessary repairs and 16
additions, provide a sufficient reserve fund to insure the buildings and 17
improvements against fire and tornado, provide a fund for payment of any 18
incidental or emergency expenses that may arise, and set up a fund to provide for 19
the payment of any debts created in connection with the establishment and 20
maintenance of the project or projects. 21
(4) The commission may levy and collect fees for the use of or admission to the project 22
or projects and expend or invest the income from the fees for the purposes set forth 23
in this section. 24
(5) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 25
65A.090]. 26
Section 34. KRS 97.600 is amended to read as follows: 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(1) The park board shall keep a set of books showing the receipts and expenditures of 1
the board. The books shall at all times be subject to examination by the mayor or 2
any committee of the legislative body authorized to make such examination, either 3
by themselves or by a certified public accountant. The board shall each January 4
transmit to the mayor and legislative body a full and detailed report and statement of 5
the acts of the board for the preceding year, with a complete and itemized account 6
of all receipts and disbursements of money and an itemized estimate of the money 7
needed for park and playground purposes. 8
(2) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 9
65A.090]. 10
Section 35. KRS 97.720 is amended to read as follows: 11
(1) The fiscal year of the commission shall be the same as that of the city. The 12
commission shall, each May, prepare and certify to the mayor, to be by him 13
transmitted to the legislative body, a statement showing the total funds that, in the 14
judgment of the commission, will be needed for maintaining the memorial for the 15
ensuing fiscal year; setting forth in detail the sums needed for the different classes 16
of expenditure; setting forth the estimated balance that will be on hand on the first 17
of July following the certification of the statement and available for expenditure 18
during the ensuing fiscal year for maintenance purposes; and indicating, as nearly as 19
possible, what additional assets other than those derived from the city appropriation 20
will become available for maintenance purposes for the ensuing fiscal year. 21
(2) The legislative body, in making the appropriation or levy of the tax for maintenance 22
purposes, shall take into consideration the amount of funds held or derived by the 23
commission from donations for maintenance purposes. The commission may set 24
aside and retain from year to year, out of the maintenance funds derived by gift or 25
appropriation, a reasonable fund to be known as an "improvement and replacement 26
fund," to cover needed improvements, replacements and equipment for, and 27 UNOFFICIAL COPY 22 RS HB 504/GA
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depreciation of, the memorial. The funds shall be placed at interest in a bank of the 1
city, with the mayor's approval, or invested in United States government interest-2
bearing bonds, or bonds of the city or any of its instrumentalities. The amount set 3
aside each year for such purposes shall be made with the approval of the mayor, and 4
shall be held and used as occasion requires as a further memorial building and 5
improvement fund to improve and further equip the memorial, and for replacement 6
purposes if the memorial or any portion of it is destroyed by casualty or decay. The 7
cost of ordinary repairs shall be paid for out of maintenance funds. 8
(3) The commission shall comply with the provisions of KRS Chapter 65A[65A.010 to 9
65A.090]. 10
Section 36. KRS 104.610 is amended to read as follows: 11
(1) The board of directors shall, upon taking oath, elect one (1) of their members as 12
president of the board, and shall select some suitable person as secretary, who need 13
not be a member of the board. The secretary shall serve as treasurer of the district, 14
or the board may select a treasurer. The selection of the secretary and treasurer shall 15
be evidenced on the minutes of the board, with their compensation. He or they shall 16
serve at the pleasure of the board. 17
(2) The board shall adopt a seal, and shall keep in a well-bound book a record of all 18
proceedings, minutes of meetings, certificates, contracts, bonds given by employees, 19
and all corporate acts, which shall be open to the inspection of any owner of 20
property in the district as well as all other interested persons. 21
(3) The board of directors shall be the governing body of the flood control district, and 22
shall exercise all the powers and manage and control all of the affairs and property 23
of the district. 24
(4) No compensation shall be paid to directors, but each director shall be reimbursed 25
for expenses incurred in attending meetings or for expenses incurred in other 26
activities authorized by the board of directors as necessary for carrying out the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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purposes of the flood control district. 1
(5) The board of directors may adopt all necessary rules and regulations for the proper 2
management and conduct of the business of the board and of the corporation, and 3
for carrying into effect the other objects for which the district was formed. The 4
board of directors may also make and enforce rules and regulations pertaining to the 5
use by persons of land or properties connected with or a part of the flood control 6
works. All such rules and regulations shall become effective on the date when a 7
notice of their adoption is published pursuant to KRS Chapter 424; such notice shall 8
not contain the rules and regulations in full but shall only summarize their contents 9
and shall state where any interested person may examine the full texts of such rules 10
and regulations. 11
(6) The board of directors may recover by civil action from any person or public 12
corporation violating such rules and regulations a sum not less than one hundred 13
dollars ($100) nor more than one thousand dollars ($1,000), together with costs. 14
The board may enforce by mandamus or otherwise all necessary and authorized 15
rules and regulations made by it, and may take summary action to remove any 16
improper construction or to terminate any unauthorized practices in connection with 17
flood control works. Any person or public corporation willfully failing to comply 18
with rules and regulations of the board shall be liable for damages caused by such 19
failure and for the cost of renewing or replacing any part of the flood control works 20
damaged or destroyed. 21
(7) The board of directors shall have an annual audit made by a certified public 22
accountant, copies of which shall be filed with the Secretary of State and with the 23
county judge/executive of the county or counties in which the flood control district 24
is located. 25
(8) The board of directors shall comply with the provisions of KRS Chapter 26
65A[65A.010 to 65A.090]. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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Section 37. KRS 107.380 is amended to read as follows: 1
(1) The board shall annually file a written report concerning its operations with the 2
county judge/executive. 3
(2) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 4
65A.090]. 5
Section 38. KRS 108.015 is amended to read as follows: 6
The board of directors shall comply with the provisions of KRS Chapter 65A[65A.010 to 7
65A.090]. 8
Section 39. KRS 108.115 is amended to read as follows: 9
The board of each district shall comply with the provisions of KRS Chapter 65A, except 10
for KRS 65A.110[65A.010 to 65A.090]. 11
Section 40. KRS 109.015 is amended to read as follows: 12
Any board or authority shall comply with the provisions of KRS Chapter 65A[65A.010 13
to 65A.090]. 14
Section 41. KRS 147.635 is amended to read as follows: 15
(1) An area planning commission created under the provisions of KRS 147.610 to 16
147.705 shall, not later than two (2) months prior to the first day of its fiscal year, 17
submit a proposed budget detailing anticipated revenues and expenditures, and a 18
proposed tax rate, to the area council for its approval on or before the first day of 19
each such fiscal year. 20
(2) The area council shall contract with an independent, reputable certified public 21
accountant to perform an audit of the records, books, and accounts of the area 22
planning commission for each fiscal year. 23
(3) The area planning commission and area council shall comply with the provisions of 24
KRS Chapter 65A[65A.010 to 65A.090]. 25
Section 42. KRS 147A.021 is amended to read as follows: 26
(1) The Department for Local Government shall have the following powers and duties: 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(a) To require any reports from local governments that will enable it adequately to 1
provide the technical and advisory assistance authorized by this section; 2
(b) To encourage, conduct, or participate in training courses in procedures and 3
practices for the benefit of local officials, and in connection therewith, to 4
cooperate with associations of public officials, business and professional 5
organizations, university faculties, or other specialists; 6
(c) To request assistance and information, which shall be provided by all 7
departments, divisions, boards, bureaus, commissions, and other agencies of 8
state government to enable the Department for Local Government to carry out 9
its duties under this section; 10
(d) At its discretion, to compile and publish annually a report on local 11
government; and 12
(e) To administer the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 13
(2) The Department for Local Government shall coordinate for the Governor the state's 14
responsibility for, and shall be responsible for liaison with the appropriate state and 15
federal agencies with respect to, the following programs: 16
(a) Demonstration cities and metropolitan development act as amended with the 17
exception of Title I of the Housing and Community Development Act of 1974 18
as amended through 1981; 19
(b) Farmers Home Administration; 20
(c) Veterans Administration Act as amended, as it pertains to housing. 21
(3) The Department for Local Government shall provide technical assistance and 22
information to units of local government, including but not limited to: 23
(a) Personnel administration; 24
(b) Ordinances and codes; 25
(c) Community development; 26
(d) Appalachian Regional Development Program; 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(e) Economic Development Administration Program; 1
(f) Intergovernmental Personnel Act Program; 2
(g) Land and Water Conservation Fund Program; 3
(h) Area Development Fund Program; 4
(i) Joint Funding Administration Program; 5
(j) State clearinghouse for A-95 review; 6
(k) The memorandums of agreement with the area development districts to 7
provide management assistance to local governments; and 8
(l) The urban development office. 9
(4) The Department for Local Government shall exercise all of the functions of the state 10
local finance officer provided in KRS Chapters 66, 68, and 131 relating to the 11
control of funds of counties, cities, and other units of local government. 12
(5) Upon request of the Administrative Office of the Courts, the Department for Local 13
Government shall evaluate the financial condition of any local unit of government 14
selected to participate in a court facilities construction or renovation project under 15
KRS 26A.160 and shall certify to the Administrative Office of the Courts the local 16
unit of government's ability to participate in the project. 17
Section 43. KRS 147A.090 is amended to read as follows: 18
Each district board of directors shall have the power, duty, and authority to: 19
(1) Establish such functional advisory committees as may be necessary and advisable. 20
These functional advisory committees shall be organized to meet such guidelines as 21
may be required for federal or state assistance; 22
(2) Conduct the necessary research and studies and coordinate and cooperate with all 23
appropriate groups and agencies in order to develop, and adopt and revise, when 24
necessary, a district development plan or series of plans, including, but not limited 25
to, the following districtwide plan elements: goals and objectives; water and sewer; 26
land-use; and open space and recreation. Such plans shall serve as a general guide 27 UNOFFICIAL COPY 22 RS HB 504/GA
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for public and private actions and decisions to assure the development of public and 1
private property in the most appropriate relationships; 2
(3) Prepare annually a report of its activities to the cities and counties within the 3
district, the legislature, and the Governor. The board shall make copies of the report 4
available to members of the public within the district; 5
(4) Comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]; and 6
(5) Cooperate with the Kentucky Mountain Regional Recreation Authority established 7
in KRS 148.0222 for the purpose of establishing, maintaining, and promoting 8
recreational trails to increase economic development, tourism, and outdoor 9
recreation for Kentucky's residents and visitors, not only in eastern Kentucky but 10
throughout the Commonwealth. 11
Section 44. KRS 154.50-350 is amended to read as follows: 12
Any authority shall comply with the provisions of KRS Chapter 65A[65A.010 to 13
65A.090]. 14
Section 45. KRS 164.655 is amended to read as follows: 15
The extension board of each extension district shall have the following powers and 16
duties: 17
(1) To serve as an agency of the Commonwealth and to manage and transact all of the 18
business and affairs of its district and have authority to acquire property necessary 19
for the conduct of the business of the district for the purposes of KRS 164.605 to 20
164.675; 21
(2) To enter into an annual memorandum of agreement with the extension service and 22
the extension district. This memorandum of agreement shall set forth the policy 23
pertaining to (a) appointment of personnel to serve in the district, (b) financing of 24
extension work in the district, and (c) responsibilities of the cooperating parties in 25
planning and executing the program; 26
(3) To, and shall as soon as possible following the first meeting in which the officers 27 UNOFFICIAL COPY 22 RS HB 504/GA
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are elected and annually thereafter, file in the office of the county clerk a certificate 1
signed by its chairman and secretary, certifying the names, addresses and terms of 2
office of each member and the names and addresses of the officers of the extension 3
board with the signatures of the officers affixed thereto, and said certificate shall be 4
conclusive as to the organization of the extension district, its extension board and as 5
to its members and its officers; 6
(4) With the advice of the extension council, to make and adopt such rules and 7
regulations not inconsistent with the law as it may deem necessary for its own 8
government in the transaction of the business of the extension district; 9
(5) To cooperate with the extension service and the extension council in conducting an 10
extension program in agriculture, home economics, youth work and related subjects 11
in the extension district. Said program shall be planned and executed upon the 12
advice, recommendations and assistance of the extension council with the board to 13
make final decisions; 14
(6) To cooperate with other extension districts in the employment of personnel, conduct 15
of programs and sponsorship of activities for the mutual benefit of each; 16
(7) To cooperate with all extension organizations, farm organizations, state and federal 17
agencies, civic clubs and any other organizations who may be interested in and 18
willing to cooperate in conducting the extension programs in the extension district; 19
(8) To prepare annually not later than April 15 of each year in cooperation with the 20
director of extension an extension district budget for the ensuing year. This budget 21
shall be prepared with consideration being given to the advice and 22
recommendations of the extension council, must be consistent with financing 23
policies of the extension service and shall reflect the agricultural, home economics, 24
youth and related subject matter needs of people in the extension district; 25
(9) To deposit all district extension education funds in a bank or banks approved by it 26
in the name of the extension district. These receipts shall constitute a fund known as 27 UNOFFICIAL COPY 22 RS HB 504/GA
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the district cooperative extension education fund which shall be disbursed by the 1
treasurer of the extension board in accordance with the annual budget and the 2
annual memorandum of agreement between the board and the extension service; 3
(10) To, from time to time when necessary and on approval of the fiscal court, borrow 4
such funds as may be required to meet the financial obligations of the extension 5
district; provided, however, that the extension board cannot in any fiscal year incur 6
indebtedness in an amount which would be in excess of the anticipated revenue of 7
said district for the fiscal year. The amount of the anticipated revenue shall be 8
certified to said board by the fiscal court of the county in which the district is 9
located; 10
(11) To expand the district cooperative extension education fund for salaries and travel 11
expense of extension personnel, rental, office supplies, equipment, communications, 12
office facilities, services and property acquisition and in payment of such other 13
items as may be necessary to carry out the extension district program; 14
(12) To carry over unexpended district cooperative extension education funds into the 15
next fiscal year so that funds will be available to carry on the program; provided, 16
however, that such anticipated carry-over funds shall be taken into consideration in 17
the formulation of the extension district budget for the ensuing year; 18
(13) To comply with the requirements of KRS Chapter 65A[65A.010 to 65A.090]; 19
(14) To be remunerated from the district cooperative extension education fund for actual 20
expenses incurred in the performance of services for the extension district; 21
provided, however, that payments for expenses must be approved by the extension 22
board; 23
(15) To accept contributions from fiscal courts and boards of education for use in 24
conducting extension work in the extension district as provided for under KRS 25
247.080; 26
(16) To accept private funds for use in conducting extension work in the extension 27 UNOFFICIAL COPY 22 RS HB 504/GA
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district; provided, however, that the acceptance of all such contributions must be 1
approved by the director of extension; and 2
(17) To collect reasonable fees for specific services which require special equipment or 3
personnel such as soil testing services, seed testing services or other services in 4
support of the educational program of the extension district. 5
Section 46. KRS 173.005 is amended to read as follows: 6
Any board of trustees formed and operating under KRS 173.010 to 173.410 shall comply 7
with the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 8
Section 47. KRS 173.570 is amended to read as follows: 9
(1) Within sixty (60) days after the close of each fiscal year the board shall make a 10
written report to the Department for Libraries and Archives. A copy of this report 11
shall be filed with the county clerk of each county within the district. The report 12
shall contain: 13
(a) A statement of the property acquired by devise, bequest, purchase, gift or 14
otherwise during the fiscal year; 15
(b) A statement of the character of library service furnished to the district during 16
the fiscal year; and 17
(c) Any other statistics or information requested by the Department for Libraries 18
and Archives. 19
(2) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 20
65A.090]. 21
Section 48. KRS 173.770 is amended to read as follows: 22
(1) Within sixty (60) days after the close of each fiscal year, the board shall make a 23
written report to the Department for Libraries and Archives. A copy of this report 24
shall be filed with the county clerk of each county within the district. The report 25
shall contain: 26
(a) A statement of the property acquired by devise, bequests, purchase, gift, or 27 UNOFFICIAL COPY 22 RS HB 504/GA
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otherwise during the fiscal year; 1
(b) A statement of the character of library service furnished to the district during 2
the fiscal year; and 3
(c) Any other statistics or information requested by the Department for Libraries 4
and Archives. 5
(2) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 6
65A.090]. 7
Section 49. KRS 183.1335 is amended to read as follows: 8
The board shall comply with the provisions of KRS Chapter 65A, except for KRS 9
65A.110[65A.010 to 65A.090]. 10
Section 50. KRS 184.080 is amended to read as follows: 11
(1) The board of directors, which is hereby declared to be the governing body of the 12
road district, shall keep a record of its proceedings, shall adopt and have a seal, and 13
shall exercise all powers and manage and control all the affairs and property of the 14
district. 15
(2) The board of directors shall elect one (1) of its members chairman, one (1) secretary 16
and one (1) treasurer. 17
(3) The board may employ an attorney and an engineer, who shall serve in such 18
capacities during the pleasure of the board and for such reasonable compensation as 19
may be fixed by the board and approved by order of the county judge/executive. 20
(4) Each member of the board may receive a salary of not in excess of two hundred 21
dollars ($200) per annum for his services, which salary shall be fixed at the first 22
meeting of said board, and approved of by order of the county judge/executive, and 23
thereafter may be decreased as the duties of the members decrease. 24
(5) The board may adopt such rules and regulations as are necessary for its proper 25
functioning. 26
(6) The chairman, secretary and treasurer of the district shall perform such duties as are 27 UNOFFICIAL COPY 22 RS HB 504/GA
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usually performed by such officers. 1
(7) The county judge/executive, by method similar to that for approving settlements of 2
fiduciaries, shall approve the accounts and acts of all directors upon death, 3
resignation or at expiration of their term of office, which county judge/executive 4
approval shall relieve the surety upon the bond of such director, the cost of which 5
shall be a charge against the district. 6
(8) The district board shall comply with the provisions of KRS Chapter 65A[65A.010 7
to 65A.090]. 8
(9) When the affairs of the district have been completed, the directors and officers shall 9
by verified petition ask the county judge/executive for a dissolution of the district, 10
which petition shall include an accounting of all moneys received and disbursed by 11
the district and shall be referred to the county judge/executive and when approved 12
by the county judge/executive shall release said officers, directors and their sureties, 13
the cost of which shall be a charge against the district. 14
Section 51. KRS 210.400 is amended to read as follows: 15
Subject to the provisions of this section and the policies and regulations of the secretary 16
of the Cabinet for Health and Family Services, each community board for mental health 17
or individuals with an intellectual disability shall: 18
(1) Review and evaluate services for mental health or individuals with an intellectual 19
disability provided pursuant to KRS 210.370 to 210.460, and report thereon to the 20
secretary of the Cabinet for Health and Family Services, the administrator of the 21
program, and, when indicated, the public, together with recommendations for 22
additional services and facilities; 23
(2) Recruit and promote local financial support for the program from private sources 24
such as community chests, business, industrial and private foundations, voluntary 25
agencies, and other lawful sources, and promote public support for municipal and 26
county appropriations; 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(3) Promote, arrange, and implement working agreements with other social service 1
agencies, both public and private, and with other educational and judicial agencies; 2
(4) Adopt and implement policies to stimulate effective community relations; 3
(5) Be responsible for the development and approval of an annual plan and budget; 4
(6) Act as the administrative authority of the community program for mental health or 5
individuals with an intellectual disability; 6
(7) Oversee and be responsible for the management of the community program for 7
mental health or individuals with an intellectual disability in accordance with the 8
plan and budget adopted by the board and the policies and regulations issued under 9
KRS 210.370 to 210.480 by the secretary of the Cabinet for Health and Family 10
Services; 11
(8) Comply with the provisions of KRS Chapter 65A[65A.010 to 65A.090]; and 12
(9) Deliver the training recommended by the Department for Behavioral Health, 13
Developmental and Intellectual Disabilities for local jailers and other officers of the 14
court who may come in contact with persons deemed mentally ill and who are 15
incarcerated or in detention. 16
Section 52. KRS 212.500 is amended to read as follows: 17
(1) The board shall annually select a strong, safe, and conservative trust company, 18
doing business in the city in which said board exists, as custodian of the funds and 19
securities of the board received from donations and investments for specific 20
purposes, as set out above, and may authorize said trust company to make the actual 21
investment and reinvestment of said funds, but the proposed sale or purchase of 22
land and securities must first be submitted to and approved of by the board. The 23
board shall exact from such trust company a bond in double the amount of any 24
money or property received under KRS 212.350 to 212.620, that comes into said 25
trust company's hands, and may take the capital stock of the trust company as 26
security or require an additional surety bond or other form of security, in such 27 UNOFFICIAL COPY 22 RS HB 504/GA
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amount as it shall deem necessary as security for the funds and property in the 1
custody of the trust company. 2
(2) All expenditures of said funds shall be made only by order of the board or by the 3
proper officers designated by said board. 4
(3) The board shall cause an annual audit to be made of the receipts, expenditures and 5
investments of said fund by a certified public accountant who shall be approved by 6
the mayor and county judge/executive of the city and county where such board is 7
located. 8
(4) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 9
65A.090]. 10
Section 53. KRS 212.639 is amended to read as follows: 11
(1) To provide sufficient funds for carrying out the provisions of KRS 212.626 to 12
212.639, the department shall be entitled to the same state aid as is provided for 13
county and district health departments under KRS 212.120, upon notice of the 14
establishment of the department being given to the Cabinet for Health and Family 15
Services as provided in KRS 212.120, the legislative intent being hereby declared to 16
be that funding from the Cabinet for Health and Family Services be continued at 17
least at the same level and proportion after July 1, 1977, as before its 18
implementation and that modification or alteration of the annual allotment not be 19
made unless for causes enumerated under the provisions of KRS 212.120. 20
(2) If the sums derived from the appropriations, together with funds otherwise available 21
from any other source to the board during any fiscal year, for its necessary 22
expenditures in the maintenance and operation of the board, exceed its need for 23
such expenditures during such fiscal year, any such unexpended funds at the end of 24
the fiscal year shall be carried forward by the board to be used in paying for its 25
operating costs and expenses for its ensuing year. 26
(3) The fiscal year of the board shall begin on July 1 of each year and shall end on June 27 UNOFFICIAL COPY 22 RS HB 504/GA
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30 of the following year. 1
(4) In a timely fashion governed by the requirements of the various funding sources 2
such as the Cabinet for Health and Family Services, urban-county government, and 3
any and all other sources, the commissioner shall prepare for board approval a 4
budget setting forth the total amounts of funds available from all sources for 5
expenditures during the board's fiscal year, and setting forth the estimated 6
expenditures of the board for the fiscal year. 7
(5) The board shall install and maintain a system of accounting and shall file an annual 8
report of its fiscal and other operations to the Cabinet for Health and Family 9
Services and to the legislative body of the urban-county government after the close 10
of the board's fiscal year. The annual report shall be accompanied by such 11
information, tables, and data as may be necessary to present a reasonably detailed 12
report of the board's condition and activities during the preceding year. 13
(6) The board shall comply with the provisions of KRS Chapter 65A[65A.010 to 14
65A.090]. 15
Section 54. KRS 212.722 is amended to read as follows: 16
The board of a public health taxing district shall comply with the provisions of KRS 17
Chapter 65A[65A.010 to 65A.090]. 18
Section 55. KRS 212.794 is amended to read as follows: 19
(1) The cost of creating, establishing, and maintaining the independent district health 20
department shall be paid by the participating local boards of health in proportion to 21
the taxable property of each county as determined by respective county assessments 22
and in accordance with revenues generated pursuant to authority under KRS 23
212.720 and 212.725. 24
(2) The independent district health department shall be entitled to the same state aid as 25
provided for county and district health departments under KRS 212.120, upon 26
notification of the establishment of the department being given to the cabinet, as 27 UNOFFICIAL COPY 22 RS HB 504/GA
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provided in KRS 212.120. Funding from the cabinet shall be continued at least at 1
the same level and proportion for similar public health activities the district after 2
enactment of KRS 212.780 to 212.794 as before. Modification of annual allotments 3
shall not be made unless in accordance with causes enumerated under the provisions 4
of KRS 212.120. 5
(3) An independent district board of health may establish schedules of fees and charges 6
for any services rendered by the department and may recover the fees and charges 7
for services from any person who receives services. 8
(4) A board may make reasonable classifications in fee schedules based upon the 9
financial ability of the person to pay and may vary charges in accordance with 10
income classifications but no fee charged shall exceed the approximate cost of 11
rendering such service. 12
(5) The district director of health shall prepare a budget for the board's approval and set 13
forth the total funds available from all sources for actual and estimated expenditure 14
during the fiscal year. Fiscal years shall begin on July 1 of each year and shall end 15
on June 30 of the following year. 16
(6) A board shall install and maintain a system of accounting and records and shall file 17
an annual report and other documents required by the fiscal courts, to the cabinet 18
and to the local boards of health within one hundred twenty (120) days of the close 19
of the board's fiscal year. 20
(7) A board shall comply with the provisions of KRS Chapter 65A[65A.010 to 21
65A.090]. 22
Section 56. KRS 216.343 is amended to read as follows: 23
(1) Every district established under KRS 216.310 to 216.360 shall at all reasonable 24
times keep open for the inspection of the Auditor of Public Accounts all of its 25
records and books of accounts and shall have an outside independent audit by a 26
certified public accountant annually. 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(2) Any board formed and operating under KRS 216.310 to 216.360 shall comply with 1
the provisions of KRS Chapter 65A[65A.010 to 65A.090]. 2
Section 57. KRS 220.544 is amended to read as follows: 3
(1) By January 1, 2012, each district board of directors of a district shall provide public 4
access to records relating to expenditures of the district through display of the 5
records on a Web site. 6
(2) The Web site shall be in a searchable format and shall provide financial information 7
about expenditures not exempt under the provisions of state or federal law, 8
including: 9
(a) The payee name; 10
(b) The category or type of expenditure; 11
(c) A description of the reason for the expenditure, if available; 12
(d) The expenditure amount; 13
(e) An electronic link to documents relating to the expenditure, if the documents 14
are available electronically; 15
(f) The budget adopted by the district and subsequent amendments to that budget; 16
(g) The completed annual audit; and 17
(h) Any other information deemed relevant by the district. 18
(3) Information on the Web site shall be updated at least on a monthly basis and shall 19
be maintained on the Web site for at least three (3) years. 20
(4) The provisions of this section shall not apply to sanitation districts with fewer than 21
ten thousand (10,000) customer accounts. 22
(5) (a) The district shall register with the Department for Local Government as 23
required by KRS 65A.090. 24
(b) For fiscal periods beginning on and after July 1, 2014, the provisions of KRS 25
Chapter 65A[65A.010 to 65A.090] shall apply to districts. District board 26
members shall work with the Department for Local Government to provide 27 UNOFFICIAL COPY 22 RS HB 504/GA
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the information required by this section through the registry established by 1
KRS 65A.020. 2
Section 58. KRS 262.097 is amended to read as follows: 3
(1) The supervisors of the respective soil conservation districts shall submit to the 4
commission such statements, estimates, budgets, and other information at such time 5
and in such manner as the commission requires. 6
(2) The supervisors of the soil conservation districts shall comply with the provisions 7
of KRS Chapter 65A[65A.010 to 65A.090]. 8
Section 59. KRS 262.763 is amended to read as follows: 9
(1) [(a) For fiscal periods ending prior to July 1, 2014, an audit of the accounts of each 10
watershed conservancy district shall take place once every four (4) years 11
unless the district receives or expends seven hundred fifty thousand dollars 12
($750,000) or more in any year, in which case the district shall provide for the 13
performance of an annual audit. The audit shall be conducted in accordance 14
with audit standards and requirements stipulated in KRS 65.065(5). The board 15
of directors of each watershed conservancy district shall select to make the 16
audit certified public accountants who have no personal interest in the 17
financial affairs of the board of directors or in any of its officers or employees. 18
(b) ]For fiscal periods beginning on and after July 1, 2015, the provisions of KRS 19
65A.030 shall apply to the audit of accounts of each watershed conservancy 20
district. 21
(2) Immediately upon completion of each audit, the accountant shall prepare a report of 22
his findings and recommendations. This report shall be to the board of directors and 23
in such number of copies as specified by the board of directors. The actual expense 24
of any audit authorized under this section shall be borne by the watershed 25
conservancy district. 26
(3) The board of directors shall comply with the provisions of KRS Chapter 27 UNOFFICIAL COPY 22 RS HB 504/GA
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65A[65A.010 to 65A.090]. 1
Section 60. KRS 266.120 is amended to read as follows: 2
(1) The board of levee commissioners shall superintend the construction, care and 3
protection of the levee, and see that convenient crossings of the levee are made at 4
the intersection of all public roads and at such private crossings as the 5
commissioners may establish. 6
(2) At any time the commissioners deem the levee in danger of being damaged, after 7
being built, by wind or high water, they shall, after giving six (6) hours' notice to all 8
persons between the ages of eighteen (18) and fifty (50) residing within the territory 9
protected by the levee, require them to assemble at a point designated by the 10
commissioners, and aid in the repair and protection of the levee, for which they 11
shall be paid by the commissioners at the rate of one dollar and fifty cents ($1.50) 12
per day. 13
(3) No person liable to work under this section shall fail to do so after being notified. 14
(4) All boards shall comply with the provisions of KRS Chapter 65A[65A.010 to 15
65A.090]. 16
Section 61. KRS 267.015 is amended to read as follows: 17
All boards established under this chapter shall comply with the provisions of KRS 18
Chapter 65A[65A.010 to 65A.090]. 19
Section 62. KRS 268.015 is amended to read as follows: 20
All boards established under this chapter shall comply with the provisions of KRS 21
Chapter 65A[65A.010 to 65A.090]. 22
Section 63. KRS 269.005 is amended to read as follows: 23
Any board established under this chapter shall comply with the provisions of KRS 24
Chapter 65A[65A.010 to 65A.090]. 25
Section 64. KRS 273.441 is amended to read as follows: 26
(1) Each community action agency shall: 27 UNOFFICIAL COPY 22 RS HB 504/GA
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(a) Plan systematically for an effective community action program, develop 1
information as to the problems and causes of poverty in the community; 2
determine how much and how effectively assistance is being provided to deal 3
with those problems and causes; and establish priorities among projects, 4
activities, and areas as needed for the best and most efficient use of resources; 5
(b) Provide planning or technical assistance to agencies; and generally, in 6
cooperation with community agencies and officials, undertake actions to 7
improve existing efforts to reduce poverty, such as improving day-to-day 8
communications, closing service gaps, focusing resources on the most needy, 9
and providing additional opportunities to low-income individuals for regular 10
employment or participation in the programs or activities for which those 11
community agencies and officials are responsible; 12
(c) Initiate and sponsor projects responsive to needs of the poor which are not 13
otherwise being met, with particular emphasis on providing central or 14
common services that can be drawn upon by a variety of related programs, 15
developing new approaches or new types of services that can be incorporated 16
into other programs, and filling gaps pending the expansion or modification of 17
those programs; 18
(d) Establish effective procedures by which the poor and area residents concerned 19
will be enabled to influence the character of programs affecting their interests, 20
provide for their regular participation in the implementation of those 21
programs, and provide technical and other support needed to enable the poor 22
and neighborhood groups to secure on their own behalf available assistance 23
from public and private sources; 24
(e) Join with and encourage business, labor and other private groups and 25
organizations to undertake, together with public officials and agencies, 26
activities in support of the community action program which will result in the 27 UNOFFICIAL COPY 22 RS HB 504/GA
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additional use of private resources and capabilities, with a view to developing 1
new employment opportunities, stimulating investment that will have a 2
measurable impact on reducing poverty among residents of areas of 3
concentrated poverty, and providing methods by which residents of those 4
areas can work with private groups, firms, and institutions in seeking solutions 5
to problems of common concern. 6
(2) If a community action agency places responsibility for the character, funding, 7
extent, administration of, or budgeting for programs of the agency with another 8
agency or organization, public or private, it shall do so by contract. No contract 9
shall be made with an agency or organization which does not have a board which is 10
broadly representative of the citizens of the geographic area served by the agency or 11
organization. 12
(3) Each community action agency shall comply with the provisions of KRS Chapter 13
65A[65A.010 to 65A.090]. 14