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AN ACT relating to economic development. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
SECTION 1. A NEW SECTION OF KRS CHAPTER 7 IS CREATED TO 3
READ AS FOLLOWS: 4
(1) The Kentucky-Ireland Trade Commission of the General Assembly is hereby 5
established. The purpose of the commission shall be to: 6
(a) Advance bilateral trade and investment between Kentucky and Ireland; 7
(b) Initiate joint action on policy issues of mutual interest to Kentucky and 8
Ireland; 9
(c) Promote business and academic exchanges between Kentucky and Ireland; 10
(d) Encourage mutual economic development support between Kentucky and 11
Ireland; 12
(e) Encourage mutual infrastructure investment in Kentucky and Ireland; and 13
(f) Address other issues as determined by the commission. 14
(2) The commission shall be composed of eleven (11) members. The manner of 15
appointment and terms of the members shall be as follows: 16
(a) Four (4) members shall be appointed by the Governor, to serve for a term of 17
four (4) years and until their successors are appointed. Three (3) of these 18
members shall include: 19
1. One (1) member from a public postsecondary institution; and 20
2. Two (2) members representing the Irish-American community or 21
interests, who shall not be members of the same political party; 22
(b) The president of the Kentucky Chamber of Commerce or his or her 23
designee; 24
(c) Two (2) members of the Senate appointed by the President of the Senate and 25
one (1) member of the Senate appointed by the Minority Floor Leader of the 26
Senate, who have knowledge of or current or past involvement in 27 UNOFFICIAL COPY 25 RS HB 552/VO
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organizations that promote Irish affairs or who have interest in the well-1
being of trade relations between Kentucky and Ireland; and 2
(d) Two (2) members of the House of Representatives appointed by the Speaker 3
of the House of Representatives and one (1) member of the House of 4
Representatives appointed by the Minority Floor Leader of the House of 5
Representatives, who have knowledge of or current or past involvement in 6
organizations that promote Irish affairs or who have interest in the well-7
being of trade relations between Kentucky and Ireland. 8
(3) The commission has authority to: 9
(a) Meet monthly upon agreement of the co-chairs; 10
(b) Seek comment, testimony, documents, records, or other information from 11
various government agencies and organizations representing Irish affairs to 12
identify policy issues of mutual interest to Kentucky and Ireland; and 13
(c) Provide research-driven policy proposals and actionable items when areas 14
of development or improvement are identified. 15
(4) The President of the Senate and the Speaker of the House of Representatives 16
shall each designate one (1) co-chair of the commission from among that 17
chamber's members appointed to the commission. 18
(5) Any vacancy which may occur in the membership of the commission shall be 19
filled within thirty (30) days, in the same manner as the original appointment, for 20
the balance of the expired term. 21
(6) A majority of the entire membership of the commission shall constitute a quorum. 22
(7) All initial appointments to the commission shall be made no later than July 1, 23
2025. All initial legislative appointments shall remain until January 1, 2027. All 24
subsequent appointments of legislative members shall be in January of each odd-25
numbered year. 26
(8) Each nonlegislative member shall be entitled to compensation for his or her 27 UNOFFICIAL COPY 25 RS HB 552/VO
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service in an amount of one hundred dollars ($100) for each regularly scheduled 1
meeting of the commission he or she attends, and shall be entitled to 2
reimbursement for all necessary expenses in connection with the performance of 3
his or her duties. 4
(9) The Legislative Research Commission shall have exclusive jurisdiction over the 5
employment of personnel necessary to carry out this section. 6
(10) The commission shall report its findings and recommendations to the Governor 7
and the Legislative Research Commission within one (1) year of its 8
organizational meeting, and by December 1 of each year thereafter regarding any 9
potential legislative or administrative actions with respect to their findings. 10
SECTION 2. A NEW SECTION OF KRS CHAPTER 45A IS CREATED TO 11
READ AS FOLLOWS: 12
(1) As used in this section: 13
(a) "License agreement" means an agreement for a marina operator to use 14
land owned or leased by the Commonwealth as a state marina; 15
(b) "Marina facilities" means buildings or structures at a marina used to 16
access navigable waterways, store or dock boats, or provide services to boat 17
owners including but not limited to docks, ramps, piers, stores, and 18
restaurants, and refueling, washing, and repairing facilities; 19
(c) "Marina operator" means an owner of marina facilities at a state marina or 20
an operator of a state marina; and 21
(d) "State marina" means a marina located on land owned or leased by the 22
Commonwealth and that is considered to be part of the Kentucky 23
Department of Parks. 24
(2) The Finance and Administration Cabinet may renew or extend a license 25
agreement with a marina operator without otherwise complying with the 26
provisions of this chapter, provided that the following criteria are met: 27 UNOFFICIAL COPY 25 RS HB 552/VO
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(a) The marina operator has fulfilled all of his or her obligations under the 1
license agreement; 2
(b) The marina operator is in good standing with the Kentucky Department of 3
Parks; and 4
(c) The Finance and Administration Cabinet determines, in writing, that it is in 5
the best interest of the Commonwealth to enter into a license agreement 6
with the marina operator. 7
Section 3. KRS 91A.360 is amended to read as follows: 8
(1) The commission established pursuant to KRS 91A.350(2) shall be composed of 9
seven (7) members to be appointed, in accordance with the method used to establish 10
the commission. Members of a commission established by joint action of the local 11
governing bodies of a county and a city or cities located therein shall be appointed, 12
jointly, by the chief executive officers of the local governing bodies that established 13
the commission. Members of a commission established by separate action of the 14
local governing body of a county or a city located therein shall be appointed 15
separately by the chief executive officer of the local governing body that 16
established the commission. The chief executive officer of a city shall mean the 17
mayor and the chief executive officer of a county shall mean the county 18
judge/executive. Appointments to a commission shall be made by the appropriate 19
chief executive officer or officers in the following manner: 20
(a) Two (2) commissioners shall be appointed from a list of three (3) or more 21
names submitted by the local city hotel and motel association and one (1) 22
commissioner shall be appointed from a list of three (3) or more names 23
submitted by the local county hotel and motel association, provided that if 24
only one (1) local hotel and motel association exists which covers both the 25
city and county, then three (3) commissioners shall be appointed from a list of 26
six (6) or more names submitted by it. If no formal local city or county hotel 27 UNOFFICIAL COPY 25 RS HB 552/VO
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and motel association is in existence upon the establishment of a commission 1
or upon the expiration of the term of a commissioner appointed pursuant to 2
this subsection, then up to three (3) commissioners shall be appointed by the 3
appropriate chief executive officer or officers from persons residing within the 4
county or city[jurisdiction] of the commission and representing local hotels or 5
motels. A local city or county hotel and motel association shall not be 6
required to be affiliated with the Kentucky Hotel and Motel Association to be 7
recognized as the official local city or county hotel and motel association;[.] 8
(b) One (1) commissioner shall be appointed from a list of three (3) or more 9
names submitted by the local restaurant association or associations. If no 10
formal local restaurant association or associations exist upon the 11
establishment of a commission or upon the expiration of the term of a 12
commissioner appointed pursuant to this subsection, then one (1) 13
commissioner shall be appointed by the appropriate chief executive officer or 14
officers from persons residing within the county or city[jurisdiction] of the 15
commission and representing a local restaurant. A local restaurant association 16
or associations shall not be required to be affiliated with the Kentucky 17
Restaurant Association to be recognized as the official local restaurant 18
association or associations;[.] 19
(c) One (1) commissioner shall be appointed from a list of three (3) or more 20
names submitted by the chamber or chambers of commerce existing within 21
those governmental units, which by joint or separate action have established 22
the commission. If the commission is established by joint action of a county 23
and a city or cities, then each chamber of commerce shall submit a list of three 24
(3) names, and the chief executive officers of the participating governmental 25
units shall jointly appoint one (1) commission member from the aggregate list. 26
If no local chamber of commerce is in existence upon the establishment of a 27 UNOFFICIAL COPY 25 RS HB 552/VO
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commission or upon the expiration of the term of a commissioner appointed 1
pursuant to this subsection, then one (1) commissioner shall be appointed by 2
the appropriate chief executive officer or officers from persons residing within 3
the county or city[jurisdiction] of the commission and representing local 4
businesses; and[.] 5
(d) Two (2) commissioners shall be appointed in the following manner: 6
1. By the chief executive officer of the county or city, if the commission 7
has been established by separate action of a county or city; or 8
2. One (1) each by the chief executive officer of the county and by the 9
chief executive officer of the most populous city participating in the 10
establishment of the commission, if the commission has been 11
established by joint action of a county and a city or cities. 12
(2) A candidate submitted for appointment to the commission, pursuant to subsection 13
(1)(a) to [(1)](c) of this section, shall be appointed by the appropriate chief 14
executive officer or officers within thirty (30) days of the receipt of the required list 15
or lists. Vacancies shall be filled in the same manner that original appointments are 16
made. 17
(3) The commissioners shall be appointed for terms of three (3) years, provided, that in 18
making the initial appointments, the appropriate chief executive officer or officers 19
shall appoint two (2) commissioners for a term of three (3) years, two (2) 20
commissioners for a term of two (2) years and three (3) commissioners for a term of 21
one (1) year. There shall be no limitation on the number of terms to which a 22
commissioner is reappointed. Subsequent appointments shall be for three (3) year 23
terms. 24
(4) The commission shall elect from its membership a chair[chairman] and a treasurer, 25
and may employ personnel and make contracts necessary to carry out the purpose 26
of KRS 91A.345 to 91A.394. The contracts may include[,] but shall not be limited 27 UNOFFICIAL COPY 25 RS HB 552/VO
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to[,] the procurement of promotional services, advertising services, and other 1
services and materials relating to the promotion of tourist and convention business. 2
Contracts of the type enumerated shall be made only with persons, organizations, 3
and firms with experience and qualifications for providing promotional services and 4
materials, such as advertising firms, chambers of commerce, publishers, and 5
printers. 6
(5) The books of the commission and its account as established in KRS 91A.390(2) 7
shall be audited as provided in KRS 65A.030. The independent certified public 8
accountant or Auditor of Public Accounts shall make a report to the commission, to 9
the associations submitting lists of names from which commission members are 10
selected, to the appropriate chief executive officer or officers, to the[ State] Auditor 11
of Public Accounts, and to the local governing body or bodies that established the 12
commission that was audited. A copy of the audit report shall be made available by 13
the commission to members of the public upon request and at no charge. 14
(6) A commissioner may be removed from office, by joint or separate action, of the 15
appropriate chief executive officer or officers of the local governing body or bodies 16
that established the commission, as provided by KRS 65.007. 17
(7) The commission shall comply with the provisions of KRS 65A.010 to 65A.090. 18
Section 4. KRS 91A.390 is amended to read as follows: 19
(1) (a) The commission shall annually submit to the local governing body or bodies 20
which established it a request for funds for the operation of the commission. 21
(b) The local governing body or bodies shall include the commission in the 22
annual budget and shall provide funds for the operation of the commission by 23
imposing a transient room tax on the rent for every occupancy of a suite, 24
room, rooms, cabins, lodgings, campsites, or other accommodations charged 25
by any hotel, motel, inn, tourist camp, tourist cabin, campgrounds, 26
recreational vehicle parks, or any other place in which accommodations are 27 UNOFFICIAL COPY 25 RS HB 552/VO
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regularly furnished to transients for consideration or by any person that 1
facilitates the rental of the accommodations by brokering, coordinating, or in 2
any other way arranging for the rental of the accommodations as follows: 3
1. For a local governing body or bodies, other than an urban-county 4
government, the tax rate shall not exceed three percent (3%); and 5
2. For an urban-county government, the tax rate shall not exceed four 6
percent (4%). 7
(c) In addition to the three percent (3%) levy authorized by paragraph (b)1. of this 8
subsection, the local governing body other than an urban-county government 9
may impose a special transient room tax not to exceed one percent (1%) for 10
the purposes of: 11
1. Meeting the operating expenses of a convention center; and 12
2. In the case of a consolidated local government, financing the renovation 13
or expansion of a convention center that is government-owned and 14
located in the central business district of the consolidated local 15
government, except that if a consolidated local government imposes the 16
special transient room tax authorized under this paragraph on or after 17
August 1, 2014, revenue derived from the levy shall not be used to meet 18
the operating expenses of a convention center until any debt issued for 19
financing the renovation or expansion of a government-owned 20
convention center located in the central business district of the 21
consolidated local government is retired. 22
(d) Transient room taxes shall not apply to rooms, lodgings, campsites, or 23
accommodations supplied for a continuous period of thirty (30) days or more 24
to a person. 25
(e) The local governing body or bodies that have established a commission by 26
joint or separate action shall enact an ordinance for the enforcement of the tax 27 UNOFFICIAL COPY 25 RS HB 552/VO
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measure enacted pursuant to this section and the collection of the proceeds of 1
this tax measure on a monthly basis. 2
(2) All moneys collected pursuant to this section and KRS 91A.400 shall be maintained 3
in an account separate and unique from all other funds and revenues collected, and 4
shall be considered tax revenue for the purposes of KRS 68.100 and KRS 92.330. 5
(3) A portion of the money collected from the imposition of this tax, as determined by 6
the tax levying body, upon the advice and consent of the tourist and convention 7
commission, may be used to finance the cost of acquisition, construction, operation, 8
and maintenance of facilities useful in the attraction and promotion of tourist and 9
convention business, including projects described in KRS 154.30-050(2)(a). The 10
balance of the money collected from the imposition of this tax shall be used for the 11
purposes set forth in KRS 91A.350. Proceeds of the tax shall not be used as a 12
subsidy in any form to any hotel, motel, inn, motor court, tourist camp, tourist 13
cabin, campgrounds, recreational vehicle parks, or any other person furnishing 14
accommodations, or restaurant, except as provided in KRS 154.30-050(2)(a)3.c. 15
Money not expended by the commission during any fiscal year shall be used to 16
make up a part of the commission's budget for its next fiscal year. 17
(4) A county with a city of the first class may impose an additional tax, not to exceed 18
one and one-half percent (1.5%) of the rent. This additional tax, if approved by the 19
local governing body, shall be collected and administered in the same manner as the 20
tax authorized by subsection (1)(b) of this section and shall be used for the purpose 21
of funding additional promotion of tourist and convention business. 22
(5) An urban-county government may impose an additional tax, not to exceed one 23
percent (1%) of the rents included in this subsection. This additional tax shall be 24
collected and administered in the same manner as the tax authorized by subsection 25
(1)(b) of this section with the exception that this additional tax shall be used for the 26
purpose of funding the purchase of development rights program provided for under 27 UNOFFICIAL COPY 25 RS HB 552/VO
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KRS 67A.845. 1
(6) Local governing bodies which have formed multicounty tourist and convention 2
commissions as provided by KRS 91A.350(3) may impose an additional tax[, not to 3
exceed one percent (1%) of the rents]. This additional tax, if approved by each 4
governing body, shall be collected and administered in the same manner as the tax 5
authorized by subsection (1)(b) of this section, with the exception that this 6
additional tax shall not be subject to a tax rate cap and shall be used for the 7
purpose of funding regional efforts relating to: 8
(a) The promotion of tourist and convention business and convention centers; or 9
(b) The construction, maintenance, repair, renovation, improvement, 10
expansion, acquisition, development, promotion, or operation of real 11
property, personal property, or facilities within the jurisdiction of the 12
multicounty tourist and convention commission in order to encourage 13
tourism, visitation, recreation, or economic development. 14
In no event shall any revenues collected as provided for under KRS 91A.350(3) be 15
utilized for the construction, renovation, maintenance, or additions to any 16
convention center that is located outside the boundaries of the Commonwealth of 17
Kentucky. 18
(7) The commission, with the approval of the tax levying body, may borrow money to 19
pay its obligations that cannot be paid at maturity out of current revenue from the 20
transient room tax, but shall not borrow a sum greater than can be repaid out of the 21
revenue anticipated from the transient room tax during the year the money is 22
borrowed. The commission may pledge its securities for the repayment of any sum 23
borrowed. 24
(8) The fiscal court or legislative body of a consolidated local government or city 25
establishing a commission pursuant to KRS 91A.350(1) or (2) and, in its own name, 26
a commission established pursuant to of KRS 91A.350(1) is authorized and 27 UNOFFICIAL COPY 25 RS HB 552/VO
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empowered to issue revenue bonds pursuant to KRS Chapter 58 for public projects. 1
Bonds issued for the purposes of KRS 91A.345 to 91A.394, may be used to pay any 2
cost for the acquisition of real estate, the construction of buildings and 3
appurtenances, the preparation of plans and specifications, and legal and other 4
services incidental to the project or to the issuance of the bonds. The payment of the 5
bonds, with interest, may be secured by a pledge of and a first lien on all of the 6
receipts and revenue derived, or to be derived, from the rental or operation of the 7
property involved. Bond and interest obligations issued pursuant to this section 8
shall not constitute an indebtedness of the county, consolidated local government, 9
or city. All bonds sold under the authority of this section shall be subject to 10
competitive bidding as provided by law, and shall bear interest at a rate not to 11
exceed that established for bonds issued for public projects under KRS Chapter 58. 12
(9) A commission established pursuant to KRS 91A.350(3) is authorized and 13
empowered to issue revenue bonds in its own name, payable solely from its income 14
and revenue, pursuant to KRS Chapter 58 for revenue bonds for public projects. 15
Bonds issued for the purposes of KRS 91A.345 to 91A.394, may be used to pay any 16
cost for the acquisition of real estate, the construction of buildings and 17
appurtenances, the preparation of plans and specifications, and legal and other 18
services incidental to the project or to the issuance of the bonds. The payment of the 19
bonds, with interest, may be secured by a pledge of and a first lien on all of the 20
receipts and revenue derived, or to be derived, from the rental or operation of the 21
property involved. Bond and interest obligations issued pursuant to this section 22
shall not constitute an indebtedness of the county. All bonds sold pursuant to this 23
section shall be subject to competitive bidding as provided by law, and shall not 24
bear interest at rates exceeding those for bonds issued for public projects under 25
KRS Chapter 58. 26
Section 5. KRS 154.90-010 is amended to read as follows: 27 UNOFFICIAL COPY 25 RS HB 552/VO
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(1) The Northern Kentucky Convention Center Corporation is hereby established to 1
develop and manage the Northern Kentucky Convention Center. The corporation 2
shall be attached to the Tourism, Arts and Heritage Cabinet for administrative 3
purposes. The corporation shall be directed by a board consisting of eleven 4
(11)[seven (7)] members appointed as follows: 5
(a) The county judges/executive[judge/executives] of Kenton, Campbell, and 6
Boone Counties, with the approval of their respective fiscal courts, shall each 7
appoint two (2) members[one (1) member] to the board[. An appointee under 8
this subsection shall have demonstrated successful business experience in a 9
field related to the convention business]; 10
(b) The mayor of the city within which the convention center is located shall 11
appoint one (1) member, with the approval of the city commission; and 12
(c) The Governor shall appoint four (4)[three (3)] members. 13
(d) One (1) of the initial appointees of the Governor shall have a one (1) year 14
term, one (1) shall have a two (2) year term, and one (1) shall have a three (3) 15
year term. All other appointments, and all subsequent appointments by the 16
Governor, shall be for four (4) year terms. 17
(e) Members may be removed by the appointing authority only for cause and 18
after being afforded notice, a hearing, and a finding of fact by the appointing 19
authority. A copy of charges, transcript of the record of the hearings, and 20
findings of fact shall be filed with the Secretary of State. 21
(2) The Northern Kentucky Convention Center Corporation shall be a body corporate 22
with full corporate powers. A quorum of the corporation shall consist of four (4) 23
members, with a majority of members present authorized to act upon any matter 24
legally before the corporation. Minutes and records shall be kept of all meetings of 25
the corporation and all official actions shall be recorded. 26
(3) The corporation may enact bylaws concerning the election of officers and other 27 UNOFFICIAL COPY 25 RS HB 552/VO
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administrative procedures it deems necessary. 1