House Passes Two KLC Initiatives

The House of Representatives passed two KLC initiatives on Friday, sending one to the governor and the other back to the Senate for concurrence.

Senator Robby Mills (R-Henderson) sponsored Senate Bill 106, which establishes a way to administratively dissolve cities that have no elected officials and do not collect funds.

Representative Josh Bray (R-Mount Vernon) carried the measure on the House floor. “Kentuckians who live in these inactive cities can be in limbo,” Bray explained. “There may be no one to plow their streets when it snows, and they could be paying an insurance premium tax when there is no city government to receive the funds.”

Senate Bill 106 outlines how the Department for Local Government (DLG) will determine whether a city should get dissolved. The measure includes an appeals process by which a city or resident can challenge any DLG administrative proceeding.

Representatives voted 85-0 to send the measure to Governor Beshear.

The House passed Senate Bill 111 by an 84-1 vote, sending the bill back to the Senate for concurrence. Senator Rick Girdler (R-Somerset) sponsored the KLC initiative to correct language inadvertently added in the 2021 session in a Cabinet for Economic Development omnibus bill. The Cabinet pointed out the need to remove an unfunded mandate on local-only tax increment finance (TIF) districts.

Representative Michael Meredith (R-Oakland) carried the bill on the House floor. “There was language put in regarding state-involved TIF districts and collaboration that can happen, and it was put in the wrong section of the statute and affected local-only TIFs,” Meredith explained. “This just corrects that error from last year.”

Senate Bill 111 does not impact any state-involved project.

Several other KLC initiatives are poised for final votes when legislators return to Frankfort on Monday. Follow the progress of KLC initiatives and supported bills on the KLC bill tacker.