CHAPTER 182 Legislative Research Commission PDF Version 1 CHAPTER 182 ( HB 403 ) AN ACT relating to real property boards. Be it enacted by the General Assembly of the Commonwealth of Kentucky: SECTION 1. A NEW SECTION OF KRS CHAPTER 324B IS CREATED TO READ AS FOLLOWS: (1) (a) The Division of Real Property Boards is hereby created within the Department of Professional Licensing and shall include the: 1. Kentucky Board of Home Inspectors, established under Section 6 of this Act; 2. Real Estate Appraisers Board, established under Section 10 of this Act; and 3. Board of Auctioneers, established under Section 17 of this Act. (b) The Division of Real Property Boards shall be managed by a director, who shall be appointed by the secretary of the Public Protection Cabinet with prior written approval of the Governor. The director shall be exempted from the classified service. (c) The Division of Real Property Boards may: 1. Provide appropriate attorneys, personnel staffing, and administrative support to the real property boards identified in paragraph (a) of this subsection; 2. Establish and maintain an office, meeting space, office supplies, furniture, storage space, and any other supplies that are necessary to carry out the duties of the Division of Real Property Boards and the real property boards identified in paragraph (a) of this subsection; 3. Make available for public inspection all decisions, opinions, and interpretations formulated or used by the division and the real property boards identified in paragraph (a) of this subsection in discharging their functions; 4. Publicize the functions and purposes of the Division of Real Property Boards and the real property boards identified in paragraph (a) of this subsection; 5. Employ administrative coordinators who shall carry out the administrative functions and day- to-day operations of the real property boards identified in paragraph (a) of this subsection. The maximum number of administrative coordinators shall be one (1) for each real property board. These administrative coordinators shall be exempted from the classified service; and 6. Enter into agreements with any state agency, political subdivision of the state, postsecondary education institution, or other person or entity to assist with implementation of the duties and responsibilities of the Division of Real Property Boards or, upon request, the real property boards identified in paragraph (a) of this subsection. (2) The director of the Division of Real Property Boards shall: (a) Provide oversight of the Division of Real Property Boards; (b) Review and provide feedback on any administrative regulation proposed by any of the boards within the Division of Real Property Boards prior to the promulgation of the administrative regulation; (c) Review and provide feedback on the budgets and expenditures of the boards within the Division of Real Property Boards; (d) Submit written recommendations to the secretary of the Public Protection Cabinet concerning sufficient staffing needs and relevant experience necessary to assist in carrying out the mission and function of the Division of Real Property Boards; (e) Pursuant to KRS 13B.120(7), automatically hear and issue a final order regarding any decision of a real property board that would otherwise be subject to appeal. An aggrieved party may appeal a final order of the director pursuant to KRS Chapter 13B within thirty (30) days after the issuance of the ACTS OF THE GENERAL ASSEMBLY 2 order to the Circuit Court of the county where the party has his or her principal place of business or where the party resides; (f) Make available for public inspection all decisions, opinions, and interpretations formulated or used by the director in discharging his or her functions; (g) Carry out the applicable policy and program directives of the department; (h) Prepare annual reports on the director's activities; (i) Delegate any power to employees and contractors as needed; (j) Have a minimum of seven (7) years of experience in the real estate industry within the last fifteen (15) years; and (k) Perform all other duties assigned by law. (3) The secretary of the Public Protection Cabinet shall: (a) Consider the staffing recommendations and requests submitted by the director of the Division of Real Property Boards; and (b) Provide the Division of Real Property Boards with documentation showing the income and expenditures of all license fees. Section 2. KRS 198B.724 is amended to read as follows: The board shall promulgate administrative regulations in accordance with KRS Chapter 13A concerning the continuing education required for the renewal of a home inspector license and shall: (1) Establish procedures for approving organizations that provide continuing education; and (2) Prescribe the content, duration, and organization of continuing education courses that contribute to the competence of home inspectors. (3) (a) A licensee who has initiated continuing education courses prior to the date established through an administrative regulation promulgated by the board in accordance with KRS Chapter 13A shall have five (5) days after the established date to complete them. (b) The board may not cancel a license for failure to complete continuing education courses until ten (10) days after the date established by the board. Section 3. KRS 324.085 is amended to read as follows: (1) (a) All actively licensed agents, except those licensees exempt under KRS 324.046(5) and those licensees satisfying the educational requirement in subsection (2) of this section, shall successfully complete twelve (12) classroom or online hours of continuing education for the biennial license period. Six (6) of the twelve (12) hours shall be completed in the first year of the biennial license period or the license shall be automatically cancelled. (b) Six (6) of the twelve (12) hours of continuing education shall be in real estate law. (c) A licensee may accumulate additional continuing education hours for the biennial period in the first year of the biennial term. (d) Six (6) of the twelve (12) hours of continuing education may be in real estate-related courses approved by the commission and other real property boards pursuant to KRS Chapters 324A and 330 and KRS 198B.700 to 198B.738. (2) A licensee who is issued an initial sales associate license after January 1, 2016, shall complete forty-eight (48) classroom or online hours of commission-approved post-license education: (a) Provided by one (1) or a combination of the following: 1. An accredited institution; or 2. A commission-approved: a. Real estate school; or b. Broker-affiliated training program; and CHAPTER 182 Legislative Research Commission PDF Version 3 (b) Within two (2) years of receiving or activating his or her license unless extended by the commission for good cause shown. (3) The license held by any licensee failing to complete his or her sales associate post-license education requirements in accordance with subsection (2) of this section shall be automatically canceled, in accordance with administrative regulations establishing compliance and delinquency procedures. (4) The commission shall promulgate administrative regulations to establish procedures for implementing the requirements in this section. (5) In order to qualify to teach continuing education or post-license courses, all continuing education and post- license instructors shall maintain a minimum rating as prescribed by the commission by the promulgation of administrative regulations. (6) (a) A licensee who has initiated continuing education courses prior to the date established through an administrative regulation promulgated by the commission in accordance with KRS Chapter 13A shall have five (5) days after the established date to complete them. (b) The commission may not cancel a license for failure to complete continuing education courses until ten (10) days after the date established by the commission. Section 4. KRS 324A.045 is amended to read as follows: (1) The board shall issue to each qualified applicant a certificate or license in form and size as shall be prescribed by the board. (2) Every certificate and license shall be subject to annual renewal on the date or dates determined by the board by administrative regulation. Each certificate and license holder shall submit proof of compliance with the continuing education requirements when appropriate and the annual renewal fee to the board on or before the last day of the designated month. Failure to receive a renewal form shall not constitute an adequate excuse for failure to renew on time. (3) If the certificate or license holder fails to renew in a timely manner, the certificate or license shall expire. Within six (6) months after the renewal date, the former certificate or license holder shall be reinstated by complying with all appropriate renewal requirements and paying a late fee not to exceed two hundred dollars ($200). (4) If six (6) months or more elapse after the renewal date, the former certificate or license holder shall be required to meet all current requirements as if applying for initial certification or licensure. (5) (a) A licensee who has initiated continuing education courses prior to the date established through an administrative regulation promulgated by the board in accordance with KRS Chapter 13A shall have five (5) days after the established date to complete them. (b) The board may not cancel a license for failure to complete continuing education courses until ten (10) days after the date established by the board. Section 5. KRS 330.070 is amended to read as follows: (1) An apprentice auctioneer applying for an auctioneer license shall, subject to the provisions of KRS 330.060: (a) Possess a current Kentucky apprentice auctioneer license; (b) Serve an apprenticeship for a period of one (1) year as an apprentice auctioneer in Kentucky; (c) Submit a statement to the board, signed by the principal auctioneer, verifying that the applicant has actively and materially participated in at least ten (10) auctions prior to application; and (d) Successfully complete at least eighty (80) hours of approved classroom instruction from a board- approved auction education provider. The board may waive the eighty (80) hours of approved classroom instruction requirement if the applicant demonstrates sufficient previous auction experience and competency by affidavit or other evidence as required by the board. (2) An apprentice auctioneer with an original license issued prior to June 30, 2010, or after July 1, 2015, shall be required to successfully complete the auctioneer examination. (3) If an applicant for an auctioneer license resides in a state which does not have a current reciprocity agreement with the board, the board may waive the eighty (80) hour education requirement or the apprenticeship ACTS OF THE GENERAL ASSEMBLY 4 requirement, or both, if the applicant demonstrates sufficient previous auction experience and competency by affidavit or by other evidence as required by the board. (4) An applicant for an auctioneer license who has previously held an auctioneer license which has been revoked, suspended, or which has expired without renewal may request, and the board may grant, a waiver of the requirement of possession of a current apprentice license. (5) Every application for a license issued by the board shall be submitted on forms prepared by the board. Each applicant shall furnish pertinent background data as outlined on those forms. (6) The board shall promulgate administrative regulations in accordance with KRS Chapter 13A to establish an initial license fee and biennial renewal license fee. The initial license fee shall not exceed one hundred fifty dollars ($150) and the biennial renewal fee shall not exceed three hundred dollars ($300). (a) All licenses shall expire on the thirtieth day of June of each even year. (b) Each license shall be renewed on or before the expiration date. (c) In addition to the renewal fee, a late fee shall be established by administrative regulations promulgated by the board on each license renewed within six (6) months after the expiration date. (d) In the absence of any reason or condition which might warrant the refusal of renewing a license, and upon timely receipt of the renewal form and the biennial fee, the board shall issue a license for the remainder of the ensuing biennial license period. (7) (a) The board may require as a condition precedent to the renewal of any license, that each licensee complete continuing education up to ten (10) hours per license year. The board may impose different continuing education requirements upon different classifications of licenses under this chapter. The continuing education requirements in this subsection shall not apply to those auctioneers licensed prior to January 1, 1980. (b) A licensee who has not completed the required continuing education may, within the time period set forth in subsection (6) and (12) of this section, remit a fee established by administrative regulations promulgated by the board with the applicable renewal fees, and the continuing education reporting requirement shall be deferred to the next biennial renewal. If the licensee fails to meet the continuing education requirement for the next biennial renewal, the licensee shall successfully complete the examination before renewal of his or her license. (c) 1. The board may require all licensees to complete a six (6) hour board-approved core course once every four (4) years, that includes the core subjects of Kentucky auction statutes and regulations, ethics, and any other subject matter deemed appropriate by the board. 2. Effective July 1, 2016, each licensee with at least twenty-five (25) years of continuous licensure shall be exempt from the requirements of this paragraph. (8) (a) The board shall ensure that licensees may access a copy of their license certificate via an electronic portal account. (b) Auction house operators shall display their licenses conspicuously and at all times in the auction house identified on the license. (c) All licensees shall carry a copy of their license, or a digital facsimile thereof, when performing auctioneering tasks, to be shown upon request. (9) When an apprentice auctioneer is discharged or voluntarily terminates employment with the auctioneer for any reason: (a) It shall be the immediate duty of the principal auctioneer to deliver to the board a written release of the apprentice auctioneer; and (b) The apprentice auctioneer shall affiliate with a principal auctioneer within thirty (30) days by submitting to the board an affiliation letter signed by the new principal auctioneer and a fee established by administrative regulations promulgated by the board in accordance with KRS Chapter 13A. An apprentice auctioneer shall not perform any of the acts regulated by this chapter until receiving a new license bearing a new principal auctioneer's name and address. CHAPTER 182 Legislative Research Commission PDF Version 5 (10) (a) A licensee may place his or her license in escrow with the board if the licensee does not engage in any board-regulated auctioneering activity and continues to pay the biennial renewal license fee. (b) For each year the license is in escrow, a licensee shall be exempt from the contribution to the auctioneer's education, research, and recovery fund and the continuing education requirement. (c) To reactivate a license in escrow, the licensee shall complete the core course and pay a reactivation fee and the biennial renewal recovery fee, both of which shall be established by administrative regulations promulgated by the board in accordance with KRS Chapter 13A. (11) Notice in writing shall be given to the board by each licensee of any change of principal business location or residence address within ten (10) days of the change, and the board shall issue an updated license for the unexpired period. The board may fine, suspend, or revoke the license of a licensee who does not notify the board of a change of address within ten (10) days. Changing a business or a residence address on its records shall entitle the board to collect a fee established by administrative regulations promulgated by the board in accordance with KRS Chapter 13A. (12) (a) A licensee who has initiated continuing education courses prior to the date established through an administrative regulation promulgated by the board in accordance with KRS Chapter 13A shall have five (5) days after the established date to complete them. (b) The board may not cancel a license for failure to complete continuing education courses until ten (10) days after the date established by the board. Section 6. KRS 198B.704 is amended to read as follows: (1) (a) There is hereby created an independent agency of state government to be known as the Kentucky Board of Home Inspectors, which shall be attached to the Department of Professional Licensing for administrative purposes. The board shall consist of five (5) members, each appointed by the Governor. Each board member shall serve a term of three (3) years. The board shall annually select one (1) of its members to serve as chair and one (1) of its members to serve as vice chair to act in the chair's absence. The board shall designate either a board member or a member of the board's administrative staff to serve as secretary to the board. (b) Any member appointed to fill a vacancy occurring other than by expiration of a term shall be appointed for the remainder of the unexpired term. (c) No more than three (3) members of the same political party shall serve on the board at the same time. (d) No member of the board shall reside in the same county as another member. The members of the board shall be residents of Kentucky. (e) 1. A majority of the board shall constitute a quorum for the transaction of business. The affirmative vote of a majority of the members is necessary for the board to take official action. 2. If the chair and vice chair are absent from a meeting of the board when a quorum exists, the members who are present may elect a presiding officer who shall serve as acting chair until the conclusion of the meeting or until the arrival of the chair or vice chair. (f) No member may serve on the board for more than six (6) consecutive years. A member may serve on the board for six (6) consecutive years on more than one (1) occasion if that person is not a member of the board for at least two (2) years between periods of board service. (2) The five (5) members of the board shall be chosen as follows: (a) Three (3) members shall: 1. Have been actively engaged in performing home inspections in Kentucky for at least five (5) years immediately before the member's appointment to the board, or have completed no less than one hundred (100) fee-paid inspections per year over the last five (5) years; and 2. Be licensed by the board as a home inspector; (b) One (1) member shall represent the public at large and shall not be associated with the home inspection, home building, or real estate business other than as a consumer; and ACTS OF THE GENERAL ASSEMBLY 6 (c) One (1) member shall be a real estate professional licensed under KRS Chapter 324 who has been actively engaged in selling, trading, exchanging, optioning, leasing, renting, managing, or listing residential real estate in Kentucky for at least five (5) years immediately before the member's appointment to the board. This member shall be selected from a list of three (3) names submitted to the Governor from the Kentucky Association of Realtors. When a vacancy occurs in this member position, the Kentucky Association of Realtors shall have sixty (60) days after the vacancy occurs to submit a list of three (3) names to the Governor to fill the vacancy. The Governor may reject the list of three (3) names and request that the Kentucky Association of Realtors submit a new list of three (3) names within sixty (60) days of the Governor's request. If the Kentucky Association of Realtors fails to timely submit this list to the Governor, the Governor may immediately appoint a qualified person to fill this vacancy. (3) A board member shall be automatically removed from the board and a vacancy shall occur when the board member: (a) Ceases to be a resident of the Commonwealth of Kentucky; (b) Displays incompetence, neglect of duty, or unprofessional conduct; (c) Fails to adhere to a duly adopted code of ethics of the board. Failure to adhere to this code shall be determined by official action of the board; (d) Enters a plea of guilty to, or has been found guilty of, a felony and the time for appeal has passed or the judgment of conviction has been finally affirmed on appeal; or (e) Misses three (3) consecutive meetings or misses more than twenty-five percent (25%) of the meetings held over the previous twelve (12) month period. (4) Voting members of the board shall be compensated no more than three hundred dollars ($300) per day for official business, subject to an annual maximum of six thousand dollars ($6,000). Members shall be reimbursed for all expenses paid and incurred in the discharge of official business consistent with the reimbursement policy for state employees. With the approval of the director of the Division of Real Property Boards within the Department of Professional Licensing[executive director of the Kentucky Real Estate Authority within the Department of Professional Licensing], board members and board staff may attend and travel to and from meetings and events relevant to the board or the industry the board represents. (5) The board shall meet at least quarterly each calendar year upon the call of the chair or the written request of a majority of the members of the board. (6) (a) 1. The chair shall establish the date, time, and place for each meeting; and 2. Submit written recommendations to the secretary of the Public Protection Cabinet concerning staffing needs and relevant experience necessary to assist in carrying out the mission and function of the Division of Real Property Boards. (b) The secretary of the Public Protection Cabinet shall: 1. Consider the staffing recommendations and requests submitted by the chair; and 2 Provide the board with documentation showing the income and expenditures of all license fees. Section 7. KRS 198B.706 is amended to read as follows: The board shall: (1) Through the promulgation of administrative regulations: (a) Determine the requirements for and prescribe the form of licenses, applications, and other documents that are required by KRS 198B.700 to 198B.738; and (b) Require that a home inspection report include a statement that the home inspection report does not address environmental hazards and list all other exclusions with specificity; (2) Grant, deny, suspend, and revoke approval of examinations and courses of study regarding home inspections; (3) Issue or deny applications for licensure and renewals; CHAPTER 182 Legislative Research Commission PDF Version 7 (4) Investigate complaints concerning licensees, or persons the board has reason to believe should be licensees, including complaints concerning failure to comply with KRS 198B.700 to 198B.738 or administrative regulations promulgated under KRS 198B.700 to 198B.738, and, when appropriate, take action in accordance with KRS 198B.728 and 198B.730; (5) Bring actions in the name of the state in an appropriate court in order to enforce compliance with KRS 198B.700 to 198B.738 or the administrative regulations promulgated under KRS 198B.700 to 198B.738; (6) Establish license fees in an amount not to exceed two hundred fifty dollars ($250) annually; (7) Inspect the records of a licensee in accordance with administrative regulations promulgated by the board; (8) Conduct or designate a member or other representative to conduct public hearings on any matter for which a hearing is required under KRS 198B.728 and 198B.730; (9) Adopt a seal containing the words "Kentucky Board of Home Inspectors" and, through the board's secretary, certify copies and authenticate all acts of the board; (10) Use counsel, consultants, and other persons, enter into contracts, and authorize expenditures that are reasonably necessary or appropriate to administer and enforce KRS 198B.700 to 198B.738 and administrative regulations promulgated thereunder; (11) Establish continuing education requirements for licensed home inspectors in accordance with KRS 198B.722 and 198B.724; (12) Conduct disciplinary actions against licensees to include: (a) Suspension, probation, or permanent revocation of a license; (b) Requiring a licensee to obtain additional continuing education; and (c) Issuance of a written reprimand; (13) Require all fee-paid home inspections to be conducted in accordance with the standards of practice of: (a) The American Society of Home Inspectors; (b) The International Association of Certified Home Inspectors; or (c) Any other approved standards of practice that are equal to the standards of practice of the organizations in paragraphs (a) and (b) of this subsection as determined by the board. The board may establish standards of practice for home inspectors licensed in Kentucky at a later date, which will supersede any other standards of practice previously adopted by the board and, if adopted by regulation, the standards in paragraphs (a) and (b) of this subsection; (14) Exercise all other powers specifically conferred on the board under KRS 198B.700 to 198B.738; and (15) Promulgate administrative regulations in accordance with KRS Chapter 13A to carry out the effective administration and the requirements of KRS 198B.700 to 198B.738, following review by the director of the Division of Real Property Boards[with the approval of the executive director of the Kentucky Real Estate Authority]. Section 8. KRS 198B.728 is amended to read as follows: (1) The board shall take disciplinary actions against or impose sanctions on a licensee for failing to comply with any provision of KRS 198B.700 to 198B.738 or any administrative regulations promulgated to carry out KRS 198B.700 to 198B.738. (2) Pursuant to KRS 13B.120(7), the director of the Division of Real Property Boards within the Department of Professional Licensing[executive director of the Kentucky Real Estate Authority within the Department of Professional Licensing] shall hear and issue a final order regarding any decision of the board. An aggrieved party may appeal a final order of the[ executive] director pursuant to KRS Chapter 13B within thirty (30) days after the issuance of the order to the Circuit Court of the county where the licensee has his or her principal place of business or where the license applicant resides. Section 9. KRS 324.281 is amended to read as follows: ACTS OF THE GENERAL ASSEMBLY 8 (1) There is hereby created the Kentucky Real Estate Commission. The Governor shall appoint seven (7) persons, at least six (6) of whom, immediately prior to the date of their appointment have been residents of the state for ten (10) years and whose vocation for a period of at least ten (10) years shall have been that of an active real estate licensee. One (1) member shall be a citizen at large who is not associated with or financially interested in the practice or business regulated. The term of the members of the commission shall be for three (3) years and until their successors are appointed and qualify, except as provided in subsections (2) and (3) of this section. A majority of the commission shall constitute a quorum for the transaction of business. (2) All appointments shall be for the specified three (3) year term. No person appointed after July 14, 2000, shall serve more than two (2) consecutive terms. (3) For each appointment or vacancy, the Kentucky Association of Realtors shall within sixty (60) days supply a list of not less than three (3) names of licensees to the Governor each year from which the broker or sales associate appointments shall be made. The Governor may reject the list of three (3) names and request that the Kentucky Association of Realtors submit a new list of three (3) names within sixty (60) days of the Governor's request. If the Kentucky Association of Realtors fails to timely submit this list to the Governor, the Governor may immediately appoint a qualified person to fill this vacancy. The Governor may otherwise fill vacancies arising in the middle of the year from those remaining on the list or from a new list supplied by the association. (4) There shall not be more than four (4) members of any one (1) political party serving on the commission at the same time. No member of the commission shall reside in the same county as another member. Appointees to fill vacancies shall be appointed for the unexpired term. (5) It shall be the duty of the commission to: (a) Promulgate administrative regulations in accordance with KRS Chapter 13A[, with the approval of the executive director of the Kentucky Real Estate Authority]; (b) Hold disciplinary hearings concerning matters in controversy as provided by this chapter; (c) Conduct examinations for applicants eligible under this chapter or alternatively to contract with an entity to conduct examinations; (d) Conduct necessary educational seminars and courses directed toward continuing education within the real estate field; (e) Investigate or cause to be investigated any irregularities in violation of this chapter or the promulgated and authorized administrative regulations of the commission; and (f) Participate with any other agency of the Commonwealth or the authorized agency of another state for the betterment or improvement of the administration of the statutes or administrative regulations governing this commission. Any action taken by the commission under this subsection shall be appealable as are other actions of the commission under this chapter. (6) The commission, at its discretion, may use the funds necessary to purchase liability insurance for members and executive officers of the commission, inspectors, and for members of the staff exempted from classified service of the state by KRS 18A.115. (7) The commission shall require all actively licensed agents, except for those agents who were licensed prior to June 19, 1976, to successfully complete mandatory continuing education as a condition of license renewal. (8) The commission shall, by the promulgation of administrative regulations, develop a review process by which continuing education courses may be approved for credit. An applicant may seek the commission's approval for credit for courses not previously approved by the commission by submitting sufficient information describing the course to the commission for review. (9) The Governor shall set the compensation of the members of the commission, but voting members of the commission shall be compensated no less than three hundred dollars ($300) per day for official business, subject to an annual maximum of six thousand dollars ($6,000). Members shall be reimbursed for all expenses paid and incurred in the discharge of official business consistent with the reimbursement policy for state employees. With the approval of the executive director of the Kentucky Real Estate Authority within the Department of Professional Licensing, commission members and commission staff may attend and travel to and from meetings and events relevant to the commission or to the industry the commission represents. CHAPTER 182 Legislative Research Commission PDF Version 9 (10) The chair of the commission shall submit written recommendations to the secretary of the Public Protection Cabinet regarding sufficient staffing needs and relevant experience necessary to assist in carrying out the mission and function of the commission. The secretary of Public Protection Cabinet shall consider the staffing recommendations and requests submitted by the chair. Section 10. KRS 324A.015 is amended to read as follows: (1) There is created a Real Estate Appraisers Board consisting of five (5) members, two (2) of whom shall be certified real estate appraisers, one (1) of whom shall represent the public and shall not be associated with or financially interested in the practice of real estate appraisals, and two (2) of whom shall be employed in the lending industry. The board shall administer the provisions of this chapter and may promulgate administrative regulations necessary to effectuate the provisions of KRS 324A.010 to 324A.090. (2) (a) The board members shall be appointed by the Governor. Not more than one (1) board member shall be from any one (1) county within Kentucky. Members shall be appointed by the Governor for staggered terms of three (3) years. No person shall serve more than two (2) full consecutive terms. (b) Any member appointed to fill a vacancy occurring other than by expiration of a term shall be appointed for the remainder of the unexpired term. (c) No more than three (3) members of the same political party shall serve on the board at the same time. (3) The appraiser appointees to the board shall be certified and shall have engaged in the appraisal of real estate in Kentucky on a continuing basis for at least ten (10) years. (4) A board member shall be automatically removed from the board and a vacancy shall occur when: (a) An appraiser member of the board ceases to be certified; (b) A consumer member of the board acquires a certification as an appraiser; (c) A lending industry member ceases to be employed in the lending industry; (d) A board member enters a plea of guilty to, or has been found guilty of, a felony and the time for appeal has passed or the judgment of conviction has been finally affirmed on appeal; (e) A board member ceases to be a bona fide resident of the Commonwealth of Kentucky; (f) A board member displays incompetence, neglect of duty, or unprofessional conduct; (g) A board member fails to adhere to a duly adopted code of ethics of the board. Failure to adhere to this code shall be determined by official action of the board; or (h) A board member misses three (3) consecutive meetings or misses more than twenty-five percent (25%) of the meetings held over the previous twelve (12) month period. (5) The board shall adopt a seal with the design it prescribes, by which it shall authenticate its proceedings. Copies of all records and papers in the office of the board, duly certified and authenticated by the seal of the board, shall be received in evidence in all courts equally and with like effect as the original. All records kept in the office of the board under the authority of this chapter shall be open to public inspection in accordance with KRS 61.820 to 61.884 and consistent with regulations prescribed by the board. (6) The Governor shall set the compensation of the members of the board, but voting members of the board shall be compensated no more than three hundred dollars ($300) per day for official business, subject to an annual maximum of six thousand dollars ($6,000). Members shall be reimbursed for all expenses paid and incurred in the discharge of official business consistent with the reimbursement policy for state employees. With the approval of the director of the Division of Real Property Boards within the Department of Professional Licensing[executive director of the Kentucky Real Estate Authority within the Department of Professional Licensing], board members and board staff may attend and travel to and from meetings and events relevant to the board or the industry the board represents. (7) The board shall ensure that those employed to investigate grievances filed with the board are state-certified general appraisers with a minimum of five (5) years of experience. Section 11. KRS 324A.020 is amended to read as follows: The board shall have authority to promulgate administrative regulations in accordance with KRS Chapter 13A and following review of the director of the Division of Real Property Boards[with the approval of the executive director ACTS OF THE GENERAL ASSEMBLY 10 of the Kentucky Real Estate Authority], have subpoena power, hold disciplinary hearings, conduct examinations, conduct educational seminars, investigate allegations of wrongdoing under this chapter, seek and obtain injunctive relief to enforce the provisions of KRS 324A.010 to 324A.090, provide a list of certified appraisers to the Appraisal Subcommittee of the Federal Financial Institutions Examination Council, and perform such other functions and duties as may be necessary in carrying out the provisions of KRS 324A.010 to 324A.090. Section 12. KRS 324A.052 is amended to read as follows: (1) Any person or organization, including the board upon its own volition, may file with the board a written complaint alleging a violation of any provision of this chapter. Complaints shall be filed with the board within: (a) Five (5) years after the date of transmittal of the appraisal report or appraisal review assignment; or (b) Two (2) years after the final disposition of any judicial proceeding in which the appraiser provided testimony related to the assignment, whichever expires last. Paragraphs (a) and (b) of this subsection shall not apply to complaints involving the actions outlined in KRS 324A.050(1)(c), (d), (g), and (k). The board shall investigate each complaint. (2) If the investigation reveals evidence supporting the complaint, the board shall set the matter for hearing in accordance with the provisions of KRS Chapter 13B before fining, reprimanding, suspending, revoking, refusing to renew, or any combination thereof. (3) If the investigation reveals that the alleged violation did occur but was not of a serious nature, the board may issue a written admonishment to the certificate holder or licensee. A copy of the admonishment shall be placed in the recipient's file with the board. The recipient shall have the right to file a response to the admonishment within thirty (30) days of its receipt and have the response placed in the file. The recipient may, alternatively, within thirty (30) days of the receipt, file a request for hearing with the board. Upon receipt of this request, the board shall set aside the written admonishment and set the matter for hearing in accordance with the provisions of KRS Chapter 13B. (4) After denying an application for a certificate or license or issuing an admonishment, the board shall grant an administrative hearing in accordance with KRS Chapter 13B only upon written request of the applicant made within thirty (30) days of the mailing of the letter of denial or admonishment. (5) Pursuant to KRS 13B.120(7), the director of the Division of Real Property Boards within the Department of Professional Licensing[executive director of the Kentucky Real Estate Authority within the Department of Professional Licensing] shall hear and issue a final order regarding a decision of the board. An aggrieved party may appeal a final order of the[ executive] director pursuant to KRS Chapter 13B within thirty (30) days after the issuance of the order to the Circuit Court of the county where the licensee has his or her principal place of business or where the license applicant resides. Section 13. KRS 324A.154 is amended to read as follows: The board shall promulgate administrative regulations, in accordance with KRS Chapter 13A and following review of the director of the Division of Real Property Boards[with the approval of the executive director of the Kentucky Real Estate Authority], establishing a reasonable filing fee to be paid by each appraisal management company seeking registration under KRS 324A.152. The filing fee shall include the annual fee for inclusion in the national registry maintained by the Appraisal Subcommittee of the Federal Financial Institutions Examination Council. Section 14. KRS 324B.050 is amended to read as follows: (1) The Kentucky Real Estate Authority is hereby created within the Department of Professional Licensing. (2) The authority shall be managed by an executive director, who shall be appointed by the secretary of the Public Protection Cabinet with prior written approval from the Governor. The executive director shall be exempted from the classified service. (3) The authority shall have the power and authority to: (a) Provide appropriate attorneys, personnel staffing, and administrative support to the Kentucky Real Estate Commission[real property boards]; (b) Establish and maintain an office, meeting space, office supplies, furniture, storage space, and any other supplies that are necessary to carry out the duties of the authority and the Kentucky Real Estate Commission[real property boards]; CHAPTER 182 Legislative Research Commission PDF Version 11 (c) Make available for public inspection all decisions, opinions, and interpretations formulated or used by the authority and the Kentucky Real Estate Commission[real property boards] in discharging its[their] functions; (d) Publicize the functions and purposes of the authority and the Kentucky Real Estate Commission[real property boards]; (e) Employ an administrative coordinator[ administrative coordinators] who shall carry out the administrative functions and day-to-day operations of the Kentucky Real Estate Commission. The administrative coordinator shall be exempted from the classified service; and[real property boards. The maximum number of administrative coordinators shall be one (1) for each real property board. administrative coordinators shall be exempted from the classified service;] (f) Enter into agreements with any state agency, political subdivision of the state, postsecondary education institution, or other person or entity to assist with implementation of the duties and responsibilities of the authority or, upon request, the Kentucky Real Estate Commission[real property boards; and (g) Charge the real property boards a reasonable amount for the services of the authority and its employees]. Section 15. KRS 324B.030 is amended to read as follows: (1) The Department of Professional Licensing in the Public Protection Cabinet shall provide administrative services, technical assistance, and advice to the following boards and commissions at the request of the individual boards or commissions, all of which maintain their identity and their full authority for making policy decisions in the fields that they regulate: the State Board of Accountancy, the Kentucky Board of Architects, the Kentucky Board of Barbering, the Kentucky Board of Cosmetology, the State Board of Podiatry, the Kentucky State Board of Chiropractic Examiners, the Kentucky Board of Dentistry, the State Board of Embalmers and Funeral Directors, the State Board of Registration for Professional Engineers and Land Surveyors, the Kentucky Board of Nursing, the Kentucky Board of Ophthalmic Dispensers, the Kentucky Board of Optometric Examiners, the Kentucky Board of Pharmacy, the State Board of Physical Therapy, the State Board of Examiners of Psychologists, the Kentucky Real Estate Commission, the Kentucky Board of Veterinary Examiners, the Board of Auctioneers, the Real Estate Appraisers Board, the Kentucky Board of Home Inspectors, the Kentucky Board of Landscape Architects, the State Board of Medical Licensure, the Board of Speech-Language Pathology and Audiology, the Kentucky Board of Licensure for Nursing Home Administrators, the Kentucky Licensing Board for Specialists in Hearing Instruments, the Kentucky Board of Social Work, the Kentucky Board of Emergency Medical Services, and any other boards and commissions that are created to license, certify, register, or otherwise regulate any occupational or professional category. (2) The department may also provide administrative services to a board or commission that is created to license, certify, register, or otherwise regulate any occupational or professional category if these administrative services are deemed to be preferable or required after the review process conducted under KRS 324B.040. (3) To the extent that the department provides administrative services, the respective boards and commissions are relieved of the power and duty to provide the services for themselves. The department shall charge each board or commission a reasonable amount for administrative services provided pursuant to subsection (1) of this section. The department may employ persons previously employed by boards or commissions. (4) The department may receive complaints against the conduct of licensees granted licensure by the boards and commissions assigned to the department for administrative purposes. The department shall cause these complaints to be reduced to writing and forwarded to the appropriate board or commission for investigation and a determination of the validity of the complaint. The department shall keep a record of all complaints received by it and forwarded to a board or commission. (5) Any board or commission listed in subsection (1) of this section, shall accept personal checks in payment of license renewal fees. Section 16. KRS 324B.060 is amended to read as follows: The executive director shall: (1) Provide government oversight of the Kentucky Real Estate Commission[real property boards]; ACTS OF THE GENERAL ASSEMBLY 12 (2) Review and provide feedback on[approve or disapprove] any administrative regulation proposed by the Kentucky Real Estate Commission[real property boards] prior to the promulgation of the administrative regulation; (3) Review and provide feedback on[approve or disapprove] the budgets and expenditures of the Kentucky Real Estate Commission[real property boards]; (4) Pursuant to KRS 13B.120(7), automatically hear and issue a final order regarding any decision of the Kentucky Real Estate Commission[a real property board] that would otherwise be subject to appeal. An aggrieved party may appeal a final order of the executive director pursuant to KRS Chapter 13B within thirty (30) days after the issuance of the order to the Circuit Court of the county where the licensee has his or her principal place of business or where the license applicant resides; (5) Make available for public inspection all decisions, opinions, and interpretations formulated or used by the executive director in discharging his or her functions; (6) Carry out the policy and program directives of the authority[department]; (7) Prepare annual reports on the executive director's activities; (8) Delegate any power to employees and contractors as needed; (9) Have a minimum of seven (7) years of experience in the real estate industry within the last fifteen (15) years;[Have at least ten (10) years of experience in one (1) of the professions under the jurisdiction of a real property board; and] (10) Perform all other duties assigned by law; and (11) (a) Submit written recommendations to the secretary of the Public Protection Cabinet regarding sufficient staffing needs and relevant experience necessary to assist in carrying out the mission and function of the commission. (b) The secretary of Public Protection Cabinet shall: 1. Consider the staffing recommendations and requests submitted by the executive director; and 2. Provide the Real Estate Commission with documentation showing the income and expenditures of all license fee. Section 17. KRS 330.050 is amended to read as follows: (1) There is hereby created a Board of Auctioneers. The Governor shall appoint a board consisting of five (5) members, all of whom immediately prior to the date of their appointment have been residents of the Commonwealth of Kentucky for five (5) years, and four (4) whose vocation for a period of at least five (5) years has been that of an auctioneer. One (1) member shall be a citizen at large who is not associated with or financially interested in the practice or business regulated. The term of the members of the board shall be for three (3) years and until their successors are appointed and qualified. Members to fill vacancies shall be appointed for the unexpired term. (2) At no time shall there be more than two (2) auctioneer members of the same political party on the board. Whenever there is an auctioneer vacancy on the board, within sixty (60) days the Kentucky Auctioneer Association shall recommend to the Governor at least three (3) names for each auctioneer vacancy, and such appointment or appointments shall be made from the recommendations of the association, unless the Governor rejects the list of three (3) names and requests that the Kentucky Auctioneer Association submit a new list of three (3) names within sixty (60) days of the Governor's request. If the Kentucky Auctioneer Association fails to timely submit its recommendations to the Governor, the Governor may immediately appoint a qualified auctioneer to fill this vacancy. (3) The board, immediately upon qualification of the member appointed in each year, shall organize by selecting a chair from its members[ a chairman], who shall submit written recommendations to the secretary of the Public Protection Cabinet concerning staffing needs and relevant experience necessary to assist in carrying out the mission and function of the Division of Real Property Boards. (4) (a) No member of the board shall reside in the same county as another member. (b) A majority of the board shall constitute a quorum for the transaction of business. CHAPTER 182 Legislative Research Commission PDF Version 13 (c) No member may serve on the board for more than six (6) consecutive years. A member may serve on the board for six (6) consecutive years on more than one (1) occasion if that person is not a member of the board for at least two (2) years between periods of board service. (5) (a) The board shall obtain office space, furniture, stationery, and any other proper supplies and conveniences reasonably necessary to carry out the provisions of this chapter. If any items deemed to be reasonably necessary by or which are required by the board are available through vendors under contract with the Commonwealth of Kentucky at less cost than if obtained otherwise, then the items shall be acquired pursuant to the contract. (b) The board shall have full authority to obtain for its members, staff, and employees complete insurance coverage, including, but not limited to, liability and errors and omissions insurance, so long as the insurance concerns the business of the board. (6) All fees and charges collected by the board under the provisions of this chapter shall be paid into the State Treasury through the Finance and Administration Cabinet and shall be credited to an agency fund account for the Board of Auctioneers under the provisions of KRS 45.253 and shall be withdrawn or expended as provided in that section, if such payment, credit, withdrawal, or expense provisions do not conflict with any provision of this chapter. (a) The board may establish and collect reasonable fees relating to the administration and enforcement of this chapter for application or other processing costs, on-line service, continuing education provider services, copy and mailing services, or other fees necessary to offset the licensing and processing costs. (b) The total expenses for all purposes and obligations of the board shall not exceed the total fees, charges, fines, penalties, and other income imposed under the provisions of this chapter and paid into the state treasury. (c) The board shall be financially self-sustaining, and if funds permit it may underwrite, within its financial limitations, educational programs for the enlightenment and benefit of all licensees who have paid fees pursuant to this chapter. (7) The board shall maintain annually a list of the names and addresses of all licensees regulated by the board. This list shall also contain the names of all persons whose licenses have been suspended or revoked within the preceding year, as well as any other information relative to the enforcement of the provisions of this chapter that the board may deem of interest to the public. (8) The board may promulgate administrative regulations following review of the director of the Division of Real Property Boards within the Department of Professional Licensing[ with the approval of the executive director of the Kentucky Real Estate Authority] in accordance with KRS Chapter 13A as required to fulfill the duties and functions assigned to the board by this chapter. (9) A board member shall be automatically removed from the board and a vacancy shall occur when: (a) An auctioneer member of the board ceases to be a licensed auctioneer; (b) A nonlicensed member of the board acquires a license regulated by the board; (c) A board member enters a plea of guilty, an Alford plea, a plea of no contest to, or has been convicted of, any felony, and the time for appeal has passed or the judgment of conviction has been finally affirmed on appeal; (d) A board member ceases to be a resident of the Commonwealth of Kentucky; (e) The member displays incompetence, neglect of duty, or unprofessional conduct; (f) The member fails to adhere to a duly adopted code of ethics of the board. Failure to adhere to this code shall be determined by official action of the board; (g) The member enters a plea of guilty to, or has been found guilty of, a felony and the time for appeal has passed or the judgment of conviction has been finally affirmed on appeal; or (h) The member misses three (3) consecutive meetings or misses more than twenty-five percent (25%) of the meetings held over the previous twelve (12) month period. (10) The Governor shall set the compensation of the members of the board, but voting members of the board shall be compensated no less than three hundred dollars ($300) per day for official business, subject to an annual ACTS OF THE GENERAL ASSEMBLY 14 maximum of six thousand dollars ($6,000). Members shall be reimbursed for all expenses paid and incurred in the discharge of official business consistent with the reimbursement policy for state employees. With the approval of the[ executive] director of the Division of Real Property Boards[Kentucky Real Estate Authority] within the Department of Professional Licensing, board members and board staff may attend and travel to and from meetings and events relevant to the board and the industry the board represents. (11) The secretary of the Public Protection Cabinet shall: (a) Consider the staffing recommendations and requests submitted by the chair; and (b) Provide the board with documentation showing the income and expenditures of all license fees. Section 18. KRS 330.130 is amended to read as follows: (1) Before denying an application for license or before imposing any disciplinary action authorized under KRS 330.110, the board shall set the matter for an administrative hearing, if a hearing is requested by the applicant or licensee. The hearing shall be conducted in accordance with KRS Chapter 13B. If the subject of the hearing is an apprentice auctioneer, the board shall also provide notification of the hearing to the auctioneer employing the apprentice auctioneer or whose employ he or she is about to enter, by sending notice by certified mail, return receipt requested, to the auctioneer's last known business address. (2) Pursuant to KRS 13B.120(7), the director of the Division of Real Property Boards within the Department of Professional Licensing[executive director of the Kentucky Real Estate Authority within the Department of Professional Licensing] shall hear and issue a final order regarding a decision of the board. (3) An aggrieved party may appeal a final order of the[ executive] director pursuant to KRS Chapter 13B within thirty (30) days after the issuance of the order to the Circuit Court of the county where the licensee has his or her principal place of business or where the license applicant resides. Section 19. KRS 324B.010 is amended to read as follows: As used in this chapter[, unless the context requires otherwise]: (1) "Authority" means the Kentucky Real Estate Authority; (2) "Cabinet" means the Public Protection Cabinet; (3) "Commissioner" means the commissioner of the Department of Professional Licensing; (4) "Department" means the Department of Professional Licensing; (5) "Executive director" means the executive director of the Kentucky Real Estate Authority; and (6) "Division" means the Division of Real Property Boards[ (6) (a) "Real property board" means: 1. Kentucky Board of Home Inspectors, established under KRS 198B.700 to 198B.738; 2. Kentucky Real Estate Commission, established under KRS Chapter 324; 3. Real Estate Appraisers Board, established under KRS Chapter 324A; or 4. Board of Auctioneers, established under KRS Chapter 330; and (b) "Real property boards" means a combination of all the boards listed in paragraph (a) of this subsection]. Section 20. KRS 12.020 (Effective between July 1, 2024, and July 1, 2025) is amended to read as follows: Departments, program cabinets and their departments, and the respective major administrative bodies that they include are enumerated in this section. It is not intended that this enumeration of administrative bodies be all- inclusive. Every authority, board, bureau, interstate compact, commission, committee, conference, council, office, or any other form of organization shall be included in or attached to the department or program cabinet in which they are included or to which they are attached by statute or statutorily authorized executive order; except in the case of the Personnel Board and where the attached department or administrative body is headed by a constitutionally elected officer, the attachment shall be solely for the purpose of dissemination of information and coordination of activities and shall not include any authority over the functions, personnel, funds, equipment, facilities, or records of the department or administrative body. I. Cabinet for General Government - Departments headed by elected officers: CHAPTER 182 Legislative Research Commission PDF Version 15 (1) The Governor. (2) Lieutenant Governor. (3) Department of State. (a) Secretary of State. (b) Board of Elections. (c) Registry of Election Finance. (4) Department of Law. (a) Attorney General. (5) Department of the Treasury. (a) Treasurer. (6) Department of Agriculture. (a) Commissioner of Agriculture. (b) Agricultural Development Board. (c) Kentucky Agricultural Finance Corporation. (7) Auditor of Public Accounts. (a) Commonwealth Office of the Ombudsman. II. Program cabinets headed by appointed officers: (1) Justice and Public Safety Cabinet: (a) Department of Kentucky State Police. 1. Office of Administrative Services. a. Division of Operational Support. b. Division of Management Services. 2. Office of Operations. a. Division of West Troops. b. Division of East Troops. c. Division of Special Enforcement. d. Division of Commercial Vehicle Enforcement. 3. Office of Technical Services. a. Division of Forensic Sciences. b. Division of Electronic Services. c. Division of Records Management. (b) Department of Criminal Justice Training. (c) Department of Corrections. (d) Department of Juvenile Justice. (e) Office of the Secretary. (f) Office of Drug Control Policy. (g) Office of Legal Services. (h) Office of the Kentucky State Medical Examiner. ACTS OF THE GENERAL ASSEMBLY 16 (i) Parole Board. (j) Kentucky State Corrections Commission. (k) Office of Legislative and Intergovernmental Services. (l) Office of Human Resource Management. 1. Division of Human Resource Administration. 2. Division of Employee Management. (m) Department of Public Advocacy. (n) Office of Communications. 1. Information Technology Services Division. (o) Office of Financial Management Services. 1. Division of Financial Management. (p) Grants Management Division. (2) Energy and Environment Cabinet: (a) Office of the Secretary. 1. Office of Legislative and Intergovernmental Affairs. 2. Office of Legal Services. a. Legal Division I. b. Legal Division II. 3. Office of Administrative Hearings. 4. Office of Communication. 5. Mine Safety Review Commission. 6. Office of Kentucky Nature Preserves. 7. Kentucky Public Service Commission. (b) Department for Environmental Protection. 1. Office of the Commissioner. 2. Division for Air Quality. 3. Division of Water. 4. Division of Environmental Program Support. 5. Division of Waste Management. 6. Division of Enforcement. 7. Division of Compliance Assistance. (c) Department for Natural Resources. 1. Office of the Commissioner. 2. Division of Mine Permits. 3. Division of Mine Reclamation and Enforcement. 4. Division of Abandoned Mine Lands. 5. Division of Oil and Gas. 6. Division of Mine Safety. 7. Division of Forestry. CHAPTER 182 Legislative Research Commission PDF Version 17 8. Division of Conservation. 9. Office of the Reclamation Guaranty Fund. (d) Office of Energy Policy. 1. Division of Energy Assistance. (e) Office of Administrative Services. 1. Division of Human Resources Management. 2. Division of Financial Management. 3. Division of Information Services. (3) Public Protection Cabinet. (a) Office of the Secretary. 1. Office of Communications and Public Outreach. 2. Office of Legal Services. a. Insurance Legal Division. b. Charitable Gaming Legal Division. c. Alcoholic Beverage Control Legal Division. d. Housing, Buildings and Construction Legal Division. e. Financial Institutions Legal Division. f. Professional Licensing Legal Division. 3. Office of Administrative Hearings. 4. Office of Administrative Services. a. Division of Human Resources. b. Division of Fiscal Responsibility. (b) Office of Claims and Appeals. 1. Board of Tax Appeals. 2. Board of Claims. 3. Crime Victims Compensation Board. (c) Kentucky Boxing and Wrestling Commission. (d) Kentucky Horse Racing Commission. 1. Office of Executive Director. a. Division of Pari-mutuel Wagering and Compliance. b. Division of Stewards. c. Division of Licensing. d. Division of Enforcement. e. Division of Incentives and Development. f. Division of Veterinary Services. (e) Department of Alcoholic Beverage Control. 1. Division of Distilled Spirits. 2. Division of Malt Beverages. ACTS OF THE GENERAL ASSEMBLY 18 3. Division of Enforcement. (f) Department of Charitable Gaming. 1. Division of Licensing and Compliance. 2. Division of Enforcement. (g) Department of Financial Institutions. 1. Division of Depository Institutions. 2. Division of Non-Depository Institutions. 3. Division of Securities. (h) Department of Housing, Buildings and Construction. 1. Division of Fire Prevention. 2. Division of Plumbing. 3. Division of Heating, Ventilation, and Air Conditioning. 4. Division of Building Code Enforcement. (i) Department of Insurance. 1. Division of Health and Life Insurance and Managed Care. 2. Division of Property and Casualty Insurance. 3. Division of Administrative Services. 4. Division of Financial Standards and Examination. 5. Division of Licensing. 6. Division of Insurance Fraud Investigation. 7. Division of Consumer Protection. (j) Department of Professional Licensing. 1. Real Estate Authority. 2. Division of Real Property Boards. (4) Transportation Cabinet: (a) Department of Highways. 1. Office of Project Development. 2. Office of Project Delivery and Preservation. 3. Office of Highway Safety. 4. Highway District Offices One through Twelve. (b) Department of Vehicle Regulation. (c) Department of Aviation. (d) Department of Rural and Municipal Aid. 1. Office of Local Programs. 2. Office of Rural and Secondary Roads. (e) Office of the Secretary. 1. Office of Public Affairs. 2. Office for Civil Rights and Small Business Development. 3. Office of Budget and Fiscal Management. CHAPTER 182 Legislative Research Commission PDF Version 19 4. Office of Inspector General. 5. Secretary's Office of Safety. (f) Office of Support Services. (g) Office of Transportation Delivery. (h) Office of Audits. (i) Office of Human Resource Management. (j) Office of Information Technology. (k) Office of Legal Services. (5) Cabinet for Economic Development: (a) Office of the Secretary. 1. Office of Legal Services. 2. Department for Business and Community Development. a. Development and Retention Division – West Kentucky. b. Development, Retention, and Administrative Division – Central and East Kentucky. c. Community and Workforce Development Division. 3. Department for Financial Services. a. Kentucky Economic Development Finance Authority. b. Finance and Personnel Division. c. IT and Resource Management Division. d. Compliance Division. e. Program Administration Division. f. Bluegrass State Skills Corporation. 4. Office of Strategy and Public Affairs. a. Marketing and Communications Division. b. Research and Strategy Division. 5. Office of Entrepreneurship and Innovation. a. Commission on Small Business Innovation and Advocacy. (6) Cabinet for Health and Family Services: (a) Office of the Secretary. 1. Office of Public Affairs. 2. Office of Legal Services. 3. Office of Inspector General. 4. Office of Human Resource Management. 5. Office of Finance and Budget. 6. Office of Legislative and Regulatory Affairs. 7. Office of Administrative Services. 8. Office of Application Technology Services. 9. Office of Data Analytics. ACTS OF THE GENERAL ASSEMBLY 20 (b) Department for Public Health. (c) Department for Medicaid Services. (d) Department for Behavioral Health, Developmental and Intellectual Disabilities. (e) Department for Aging and Independent Living. (f) Department for Community Based Services. (g) Department for Income Support. (h) Department for Family Resource Centers and Volunteer Services. (7) Finance and Administration Cabinet: (a) Office of the Secretary. (b) Office of the Inspector General. (c) Office of Legislative and Intergovernmental Affairs. (d) Office of General Counsel. (e) Office of the Controller. (f) Office of Administrative Services. (g) Office of Policy and Audit. (h) Department for Facilities and Support Services. (i) Department of Revenue. (j) Commonwealth Office of Technology. (k) State Property and Buildings Commission. (l) Office of Equal Employment Opportunity and Contract Compliance. (m) Kentucky Employees Retirement Systems. (n) Commonwealth Credit Union. (o) State Investment Commission. (p) Kentucky Housing Corporation. (q) Kentucky Local Correctional Facilities Construction Authority. (r) Kentucky Turnpike Authority. (s) Historic Properties Advisory Commission. (t) Kentucky Higher Education Assistance Authority. (u) Kentucky River Authority. (v) Kentucky Teachers' Retirement System Board of Trustees. (w) Executive Branch Ethics Commission. (x) Office of Fleet Management. (8) Tourism, Arts and Heritage Cabinet: (a) Kentucky Department of Tourism. 1. Division of Tourism Services. 2. Division of Marketing and Administration. 3. Division of Communications and Promotions. (b) Kentucky Department of Parks. 1. Division of Information Technology. CHAPTER 182 Legislative Research Commission PDF Version 21 2. Division of Human Resources. 3. Division of Financial Operations. 4. Division of Purchasing. 5. Division of Facilities. 6. Division of Park Operations. 7. Division of Sales, Marketing, and Customer Service. 8. Division of Engagement. 9. Division of Food Services. 10. Division of Rangers. (c) Department of Fish and Wildlife Resources. 1. Division of Law Enforcement. 2. Division of Administrative Services. 3. Division of Engineering, Infrastructure, and Technology. 4. Division of Fisheries. 5. Division of Information and Education. 6. Division of Wildlife. 7. Division of Marketing. (d) Kentucky Horse Park. 1. Division of Support Services. 2. Division of Buildings and Grounds. 3. Division of Operational Services. (e) Kentucky State Fair Board. 1. Office of Administrative and Information Technology Services. 2. Office of Human Resources and Access Control. 3. Division of Expositions. 4. Division of Kentucky Exposition Center Operations. 5. Division of Kentucky International Convention Center. 6. Division of Public Relations and Media. 7. Division of Venue Services. 8. Division of Personnel Management and Staff Development. 9. Division of Sales. 10. Division of Security and Traffic Control. 11. Division of Information Technology. 12. Division of the Louisville Arena. 13. Division of Fiscal and Contract Management. 14. Division of Access Control. (f) Office of the Secretary. 1. Office of Finance. ACTS OF THE GENERAL ASSEMBLY 22 2. Office of Government Relations and Administration. (g) Office of Legal Affairs. (h) Office of Human Resources. (i) Office of Public Affairs and Constituent Services. (j) Office of Arts and Cultural Heritage. (k) Kentucky African-American Heritage Commission. (l) Kentucky Foundation for the Arts. (m) Kentucky Humanities Council. (n) Kentucky Heritage Council. (o) Kentucky Arts Council. (p) Kentucky Historical Society. 1. Division of Museums. 2. Division of Oral History and Educational Outreach. 3. Division of Research and Publications. 4. Division of Administration. (q) Kentucky Center for the Arts. 1. Division of Governor's School for the Arts. (r) Kentucky Artisans Center at Berea. (s) Northern Kentucky Convention Center. (t) Eastern Kentucky Exposition Center. (9) Personnel Cabinet: (a) Office of the Secretary. (b) Department of Human Resources Administration. (c) Office of Employee Relations. (d) Kentucky Public Employees Deferred Compensation Authority. (e) Office of Administrative Services. (f) Office of Legal Services. (g) Governmental Services Center. (h) Department of Employee Insurance. (i) Office of Diversity, Equality, and Training. (j) Office of Public Affairs. (10) Education and Labor Cabinet: (a) Office of the Secretary. 1. Office of Legal Services. a. Workplace Standards Legal Division. b. Workers' Claims Legal Division. c. Workforce Development Legal Division. 2. Office of Administrative Services. a. Division of Human Resources Management. CHAPTER 182 Legislative Research Commission PDF Version 23 b. Division of Fiscal Management. c. Division of Operations and Support Services. 3. Office of Technology Services. a. Division of Information Technology Services. 4. Office of Policy and Audit. 5. Office of Legislative Services. 6. Office of Communications. 7. Office of the Kentucky Center for Statistics. 8. Board of the Kentucky Center for Statistics. 9. Early Childhood Advisory Council. 10. Governors' Scholars Program. 11. Governor's School for Entrepreneurs Program. 12. Foundation for Adult Education. (b) Department of Education. 1. Kentucky Board of Education. 2. Kentucky Technical Education Personnel Board. 3. Education Professional Standards Board. (c) Board of Directors for the Center for School Safety. (d) Department for Libraries and Archives. (e) Kentucky Environmental Education Council. (f) Kentucky Educational Television. (g) Kentucky Commission on the Deaf and Hard of Hearing. (h) Department of Workforce Development. 1. Career Development Office. 2. Office of Vocational Rehabilitation. a. Division of Kentucky Business Enterprise. b. Division of the Carl D. Perkins Vocational Training Center. c. Division of Blind Services. d. Division of Field Services. e. Statewide Council for Vocational Rehabilitation. f. Employment First Council. 3. Office of Employer and Apprenticeship Services. a. Division of Apprenticeship. 4. Kentucky Apprenticeship Council. 5. Division of Technical Assistance. 6. Office of Adult Education. 7. Office of the Kentucky Workforce Innovation Board. (i) Department of Workplace Standards. ACTS OF THE GENERAL ASSEMBLY 24 1. Division of Occupational Safety and Health Compliance. 2. Division of Occupational Safety and Health Education and Training. 3. Division of Wages and Hours. (j) Office of Unemployment Insurance. (k) Kentucky Unemployment Insurance Commission. (l) Department of Workers' Claims. 1. Division of Workers' Compensation Funds. 2. Office of Administrative Law Judges. 3. Division of Claims Processing. 4. Division of Security and Compliance. 5. Division of Specialist and Medical Services. 6. Workers' Compensation Board. (m) Workers' Compensation Funding Commission. (n) Kentucky Occupational Safety and Health Standards Board. (o) State Labor Relations Board. (p) Employers' Mutual Insurance Authority. (q) Kentucky Occupational Safety and Health Review Commission. (r) Workers' Compensation Nominating Committee. (s) Office of Educational Programs. (t) Kentucky Workforce Innovation Board. (u) Kentucky Commission on Proprietary Education. (v) Kentucky Work Ready Skills Advisory Committee. (w) Kentucky Geographic Education Board. (x) Disability Determination Services Program. III. Other departments headed by appointed officers: (1) Council on Postsecondary Education. (2) Department of Military Affairs. (3) Department for Local Government. (4) Kentucky Commission on Human Rights. (5) Kentucky Commission on Women. (6) Department of Veterans' Affairs. (7) Kentucky Commission on Military Affairs. (8) Office of Minority Empowerment. (9) Governor's Council on Wellness and Physical Activity. (10) Kentucky Communications Network Authority. Section 21. KRS 12.020 (Effective July 1, 2025) is amended to read as follows: Departments, program cabinets and their departments, and the respective major administrative bodies that they include are enumerated in this section. It is not intended that this enumeration of administrative bodies be all- inclusive. Every authority, board, bureau, interstate compact, commission, committee, conference, council, office, or any other form of organization shall be included in or attached to the department or program cabinet in which they CHAPTER 182 Legislative Research Commission PDF Version 25 are included or to which they are attached by statute or statutorily authorized executive order; except in the case of the Personnel Board and where the attached department or administrative body is headed by a constitutionally elected officer, the attachment shall be solely for the purpose of dissemination of information and coordination of activities and shall not include any authority over the functions, personnel, funds, equipment, facilities, or records of the department or administrative body. I. Cabinet for General Government - Departments headed by elected officers: (1) The Governor. (2) Lieutenant Governor. (3) Department of State. (a) Secretary of State. (b) Board of Elections. (c) Registry of Election Finance. (4) Department of Law. (a) Attorney General. (5) Department of the Treasury. (a) Treasurer. (6) Department of Agriculture. (a) Commissioner of Agriculture. (b) Agricultural Development Board. (c) Kentucky Agricultural Finance Corporation. (7) Auditor of Public Accounts. (a) Commonwealth Office of the Ombudsman. II. Program cabinets headed by appointed officers: (1) Justice and Public Safety Cabinet: (a) Department of Kentucky State Police. 1. Office of Administrative Services. a. Division of Operational Support. b. Division of Management Services. 2. Office of Operations. a. Division of West Troops. b. Division of East Troops. c. Division of Special Enforcement. d. Division of Commercial Vehicle Enforcement. 3. Office of Technical Services. a. Division of Forensic Sciences. b. Division of Electronic Services. c. Division of Records Management. (b) Department of Criminal Justice Training. (c) Department of Corrections. (d) Department of Juvenile Justice. ACTS OF THE GENERAL ASSEMBLY 26 (e) Office of the Secretary. (f) Office of Drug Control Policy. (g) Office of Legal Services. (h) Office of the Kentucky State Medical Examiner. (i) Parole Board. (j) Kentucky State Corrections Commission. (k) Office of Legislative and Intergovernmental Services. (l) Office of Human Resource Management. 1. Division of Human Resource Administration. 2. Division of Employee Management. (m) Department of Public Advocacy. (n) Office of Communications. 1. Information Technology Services Division. (o) Office of Financial Management Services. 1. Division of Financial Management. (p) Grants Management Division. (2) Energy and Environment Cabinet: (a) Office of the Secretary. 1. Office of Legislative and Intergovernmental Affairs. 2. Office of Legal Services. a. Legal Division I. b. Legal Division II. 3. Office of Administrative Hearings. 4. Office of Communication. 5. Mine Safety Review Commission. 6. Office of Kentucky Nature Preserves. 7. Kentucky Public Service Commission. (b) Department for Environmental Protection. 1. Office of the Commissioner. 2. Division for Air Quality. 3. Division of Water. 4. Division of Environmental Program Support. 5. Division of Waste Management. 6. Division of Enforcement. 7. Division of Compliance Assistance. (c) Department for Natural Resources. 1. Office of the Commissioner. 2. Division of Mine Permits. 3. Division of Mine Reclamation and Enforcement. CHAPTER 182 Legislative Research Commission PDF Version 27 4. Division of Abandoned Mine Lands. 5. Division of Oil and Gas. 6. Division of Mine Safety. 7. Division of Forestry. 8. Division of Conservation. 9. Office of the Reclamation Guaranty Fund. (d) Office of Energy Policy. 1. Division of Energy Assistance. (e) Office of Administrative Services. 1. Division of Human Resources Management. 2. Division of Financial Management. 3. Division of Information Services. (3) Public Protection Cabinet. (a) Office of the Secretary. 1. Office of Communications and Public Outreach. 2. Office of Legal Services. a. Insurance Legal Division. b. Charitable Gaming Legal Division. c. Alcoholic Beverage Control Legal Division. d. Housing, Buildings and Construction Legal Division. e. Financial Institutions Legal Division. f. Professional Licensing Legal Division. 3. Office of Administrative Hearings. 4. Office of Administrative Services. a. Division of Human Resources. b. Division of Fiscal Responsibility. (b) Office of Claims and Appeals. 1. Board of Tax Appeals. 2. Board of Claims. 3. Crime Victims Compensation Board. (c) Kentucky Boxing and Wrestling Commission. (d) Kentucky Horse Racing Commission. 1. Office of Executive Director. a. Division of Pari-mutuel Wagering and Compliance. b. Division of Stewards. c. Division of Licensing. d. Division of Enforcement. e. Division of Incentives and Development. ACTS OF THE GENERAL ASSEMBLY 28 f. Division of Veterinary Services. (e) Department of Alcoholic Beverage Control. 1. Division of Distilled Spirits. 2. Division of Malt Beverages. 3. Division of Enforcement. (f) Department of Charitable Gaming. 1. Division of Licensing and Compliance. 2. Division of Enforcement. (g) Department of Financial Institutions. 1. Division of Depository Institutions. 2. Division of Non-Depository Institutions. 3. Division of Securities. (h) Department of Housing, Buildings and Construction. 1. Division of Fire Prevention. 2. Division of Plumbing. 3. Division of Heating, Ventilation, and Air Conditioning. 4. Division of Building Code Enforcement. (i) Department of Insurance. 1. Division of Health and Life Insurance and Managed Care. 2. Division of Property and Casualty Insurance. 3. Division of Administrative Services. 4. Division of Financial Standards and Examination. 5. Division of Licensing. 6. Division of Insurance Fraud Investigation. 7. Division of Consumer Protection. (j) Department of Professional Licensing. 1. Real Estate Authority. 2. Division of Real Property Boards. (4) Transportation Cabinet: (a) Department of Highways. 1. Office of Project Development. 2. Office of Project Delivery and Preservation. 3. Office of Highway Safety. 4. Highway District Offices One through Twelve. (b) Department of Vehicle Regulation. (c) Department of Aviation. (d) Department of Rural and Municipal Aid. 1. Office of Local Programs. 2. Office of Rural and Secondary Roads. CHAPTER 182 Legislative Research Commission PDF Version 29 (e) Office of the Secretary. 1. Office of Public Affairs. 2. Office for Civil Rights and Small Business Development. 3. Office of Budget and Fiscal Management. 4. Office of Inspector General. 5. Secretary's Office of Safety. (f) Office of Support Services. (g) Office of Transportation Delivery. (h) Office of Audits. (i) Office of Human Resource Management. (j) Office of Information Technology. (k) Office of Legal Services. (5) Cabinet for Economic Development: (a) Office of the Secretary. 1. Office of Legal Services. 2. Department for Business and Community Development. a. Development and Retention Division – West Kentucky. b. Development, Retention, and Administrative Division – Central and East Kentucky. c. Community and Workforce Development Division. 3. Department for Financial Services. a. Kentucky Economic Development Finance Authority. b. Finance and Personnel Division. c. IT and Resource Management Division. d. Compliance Division. e. Program Administration Division. f. Bluegrass State Skills Corporation. 4. Office of Strategy and Public Affairs. a. Marketing and Communications Division. b. Research and Strategy Division. 5. Office of Entrepreneurship and Innovation. a. Commission on Small Business Innovation and Advocacy. (6) Cabinet for Health and Family Services: (a) Office of the Secretary. 1. Office of Public Affairs. 2. Office of Legal Services. 3. Office of Inspector General. 4. Office of Human Resource Management. 5. Office of Finance and Budget. ACTS OF THE GENERAL ASSEMBLY 30 6. Office of Legislative and Regulatory Affairs. 7. Office of Administrative Services. 8. Office of Application Technology Services. 9. Office of Data Analytics. (b) Department for Public Health. (c) Department for Medicaid Services. (d) Department for Behavioral Health, Developmental and Intellectual Disabilities. (e) Department for Aging and Independent Living. (f) Department for Community Based Services. (g) Department for Family Resource Centers and Volunteer Services. (7) Finance and Administration Cabinet: (a) Office of the Secretary. (b) Office of the Inspector General. (c) Office of Legislative and Intergovernmental Affairs. (d) Office of General Counsel. (e) Office of the Controller. (f) Office of Administrative Services. (g) Office of Policy and Audit. (h) Department for Facilities and Support Services. (i) Department of Revenue. (j) Commonwealth Office of Technology. (k) State Property and Buildings Commission. (l) Office of Equal Employment Opportunity and Contract Compliance. (m) Kentucky Employees Retirement Systems. (n) Commonwealth Credit Union. (o) State Investment Commission. (p) Kentucky Housing Corporation. (q) Kentucky Local Correctional Facilities Construction Authority. (r) Kentucky Turnpike Authority. (s) Historic Properties Advisory Commission. (t) Kentucky Higher Education Assistance Authority. (u) Kentucky River Authority. (v) Kentucky Teachers' Retirement System Board of Trustees. (w) Executive Branch Ethics Commission. (x) Office of Fleet Management. (8) Tourism, Arts and Heritage Cabinet: (a) Kentucky Department of Tourism. 1. Division of Tourism Services. 2. Division of Marketing and Administration. CHAPTER 182 Legislative Research Commission PDF Version 31 3. Division of Communications and Promotions. (b) Kentucky Department of Parks. 1. Division of Information Technology. 2. Division of Human Resources. 3. Division of Financial Operations. 4. Division of Purchasing. 5. Division of Facilities. 6. Division of Park Operations. 7. Division of Sales, Marketing, and Customer Service. 8. Division of Engagement. 9. Division of Food Services. 10. Division of Rangers. (c) Department of Fish and Wildlife Resources. 1. Division of Law Enforcement. 2. Division of Administrative Services. 3. Division of Engineering, Infrastructure, and Technology. 4. Division of Fisheries. 5. Division of Information and Education. 6. Division of Wildlife. 7. Division of Marketing. (d) Kentucky Horse Park. 1. Division of Support Services. 2. Division of Buildings and Grounds. 3. Division of Operational Services. (e) Kentucky State Fair Board. 1. Office of Administrative and Information Technology Services. 2. Office of Human Resources and Access Control. 3. Division of Expositions. 4. Division of Kentucky Exposition Center Operations. 5. Division of Kentucky International Convention Center. 6. Division of Public Relations and Media. 7. Division of Venue Services. 8. Division of Personnel Management and Staff Development. 9. Division of Sales. 10. Division of Security and Traffic Control. 11. Division of Information Technology. 12. Division of the Louisville Arena. 13. Division of Fiscal and Contract Management. ACTS OF THE GENERAL ASSEMBLY 32 14. Division of Access Control. (f) Office of the Secretary. 1. Office of Finance. 2. Office of Government Relations and Administration. (g) Office of Legal Affairs. (h) Office of Human Resources. (i) Office of Public Affairs and Constituent Services. (j) Office of Arts and Cultural Heritage. (k) Kentucky African-American Heritage Commission. (l) Kentucky Foundation for the Arts. (m) Kentucky Humanities Council. (n) Kentucky Heritage Council. (o) Kentucky Arts Council. (p) Kentucky Historical Society. 1. Division of Museums. 2. Division of Oral History and Educational Outreach. 3. Division of Research and Publications. 4. Division of Administration. (q) Kentucky Center for the Arts. 1. Division of Governor's School for the Arts. (r) Kentucky Artisans Center at Berea. (s) Northern Kentucky Convention Center. (t) Eastern Kentucky Exposition Center. (9) Personnel Cabinet: (a) Office of the Secretary. (b) Department of Human Resources Administration. (c) Office of Employee Relations. (d) Kentucky Public Employees Deferred Compensation Authority. (e) Office of Administrative Services. (f) Office of Legal Services. (g) Governmental Services Center. (h) Department of Employee Insurance. (i) Office of Diversity, Equality, and Training. (j) Office of Public Affairs. (10) Education and Labor Cabinet: (a) Office of the Secretary. 1. Office of Legal Services. a. Workplace Standards Legal Division. b. Workers' Claims Legal Division. CHAPTER 182 Legislative Research Commission PDF Version 33 c. Workforce Development Legal Division. 2. Office of Administrative Services. a. Division of Human Resources Management. b. Division of Fiscal Management. c. Division of Operations and Support Services. 3. Office of Technology Services. a. Division of Information Technology Services. 4. Office of Policy and Audit. 5. Office of Legislative Services. 6. Office of Communications. 7. Office of the Kentucky Center for Statistics. 8. Board of the Kentucky Center for Statistics. 9. Early Childhood Advisory Council. 10. Governors' Scholars Program. 11. Governor's School for Entrepreneurs Program. 12. Foundation for Adult Education. (b) Department of Education. 1. Kentucky Board of Education. 2. Kentucky Technical Education Personnel Board. 3. Education Professional Standards Board. (c) Board of Directors for the Center for School Safety. (d) Department for Libraries and Archives. (e) Kentucky Environmental Education Council. (f) Kentucky Educational Television. (g) Kentucky Commission on the Deaf and Hard of Hearing. (h) Department of Workforce Development. 1. Career Development Office. 2. Office of Vocational Rehabilitation. a. Division of Kentucky Business Enterprise. b. Division of the Carl D. Perkins Vocational Training Center. c. Division of Blind Services. d. Division of Field Services. e. Statewide Council for Vocational Rehabilitation. f. Employment First Council. 3. Office of Employer and Apprenticeship Services. a. Division of Apprenticeship. 4. Kentucky Apprenticeship Council. 5. Division of Technical Assistance. ACTS OF THE GENERAL ASSEMBLY 34 6. Office of Adult Education. 7. Office of the Kentucky Workforce Innovation Board. (i) Department of Workplace Standards. 1. Division of Occupational Safety and Health Compliance. 2. Division of Occupational Safety and Health Education and Training. 3. Division of Wages and Hours. (j) Office of Unemployment Insurance. (k) Kentucky Unemployment Insurance Commission. (l) Department of Workers' Claims. 1. Division of Workers' Compensation Funds. 2. Office of Administrative Law Judges. 3. Division of Claims Processing. 4. Division of Security and Compliance. 5. Division of Specialist and Medical Services. 6. Workers' Compensation Board. (m) Workers' Compensation Funding Commission. (n) Kentucky Occupational Safety and Health Standards Board. (o) State Labor Relations Board. (p) Employers' Mutual Insurance Authority. (q) Kentucky Occupational Safety and Health Review Commission. (r) Workers' Compensation Nominating Committee. (s) Office of Educational Programs. (t) Kentucky Workforce Innovation Board. (u) Kentucky Commission on Proprietary Education. (v) Kentucky Work Ready Skills Advisory Committee. (w) Kentucky Geographic Education Board. (x) Disability Determination Services Program. III. Other departments headed by appointed officers: (1) Council on Postsecondary Education. (2) Department of Military Affairs. (3) Department for Local Government. (4) Kentucky Commission on Human Rights. (5) Kentucky Commission on Women. (6) Department of Veterans' Affairs. (7) Kentucky Commission on Military Affairs. (8) Office of Minority Empowerment. (9) Governor's Council on Wellness and Physical Activity. (10) Kentucky Communications Network Authority. Veto Overridden April 12, 2024. CHAPTER 182 Legislative Research Commission PDF Version 35