At the start of the sixth week of the legislative session on Monday, the Senate received budget recommendations from the state House of Representatives. House Bill (HB) 1 and HB 6, along with related appropriation and revenue bills, will shape the state’s next two-year operating budgets for the executive, legislative, and judicial branches. In its unique constitutional role in the budget process, the Senate will review these proposals, crafting recommendations grounded in disciplined use of taxpayer dollars.
The budget bills, particularly the one-time funding proposals from the House, are promising. I believe the Senate aligns with the proposal’s general philosophy, especially the wise use of the budget reserve trust fund. A decade ago, Kentucky lacked rainy-day funds, but through conservative spending and business-friendly economic policies, the current reserve has soared to a record $3.7 billion.
Moreover, following the historic shift in control of the House from Democratic to Republican in 2017, both chambers now share a unified vision for budgeting, economic policies, and comprehensive tax reform, resulting in replenishing the trust fund alongside a reduction in state income tax, as evidenced by the recent half-percent decrease effective January 1.
Conservative fiscal strategies have positioned Kentucky to prioritize investments in critical areas such as modern and traditional infrastructure, along with stabilizing teacher and state employee retirement systems. It is imperative that these one-time funds only be allocated to corresponding expenses, rather than being diverted towards establishing new programs that could potentially burden taxpayers in the long term.
While Kentucky currently operates state programs designed to assist residents in need, the Senate exercises caution in establishing new initiatives, mindful of the challenges confronting existing programs like Medicaid. Rejecting the tax-and-spend policies of the past century, the Senate directs its focus toward fostering future growth, enhancing economic competitiveness, and fortifying resilience against the uncertainties of the global economy.
This Thursday I was proud to introduce my latest piece of legislation, Senate Bill 188, which would reduce healthcare costs for privately insured Kentuckians. SB 188 would address the escalating issue of unfair pharmacy benefit manager (PBM) practices that has led to the closure of 64 community pharmacies in Kentucky over the last two years. The bill will empower citizens to choose where they purchase their medication, prevent further closures of community pharmacies, and ensure fair reimbursement rates for these essential healthcare providers. I look forward to sharing more about the bill with you in future updates is it makes its way through the legislative process.
As the 2024 Legislative Session approaches its midpoint, the Senate has approved several bills that are now advancing for consideration by the House. Here’s an overview of the legislation approved by the Senate.
Education
Senate Bill (SB) 18 would enable school districts to purchase bus equipment meeting federal safety standards from various manufacturers, promoting cost savings and supplier diversity. The bill mandates the Kentucky Department of Education (KDE) to provide standards to the Finance and Administration Cabinet for monitoring price contracts.
Charitable Contributions
SB 70 seeks to safeguard donor intent in charitable contributions by requiring organizations to honor donor-imposed restrictions unless compelled otherwise. Donors or their representatives, upon notifying the organization of a violation, can initiate legal action seeking relief within four years. Courts may order remedies aligning with the charitable purposes expressed in the agreement.
Workforce Development
SB 127 aims to strengthen Kentucky’s aviation and aerospace workforce pipeline by establishing scholarship funds and fostering collaboration between public programs and industry partners. The bill creates the Kentucky Aerospace, Aviation, and Defense Investment Fund to address workforce demands and support collaborations, addressing a projected global need for nearly 800,000 new pilots over the next two decades.
Health Care
SB 145 seeks to allow Kentucky health facilities and Medicaid-enrolled health care providers to submit their current and prospective employees to child abuse and neglect or adult abuse background checks. The checks would utilize the Kentucky Cabinet for Health and Human Services’ existing child abuse and neglect and adult caregiver misconduct registries.
Child Welfare
SB 151 aims to incorporate new foster care supports and services for relatives and fictive caregivers to access funding support in their care for a child. The bill would allow children to suggest potential relatives or fictive kin caregivers to a district court if they are removed from their homes. Additionally, it would set criteria for when a relative or fictive kin caregiver can apply to be certified as a child-specific foster home through the Cabinet for Health and Family Services.
Please check out the KYSenateRepublicans.com website to find press releases from the Senate Majority Caucus. Information on all our members, myself included, can be found along with other valuable resources.
You can find the status of legislation like this and others by calling 866-840-2835 or receiving legislative meeting information at 800-633-9650. You can also watch and follow legislative activity at KET/org/legislature and Legislature.ky.gov.
Thank you for your continued interest and engagement in the 2024 Regular Session and it is a privilege to represent you in Frankfort. Please don’t hesitate to contact my office if I can assist you. You can email me at max.wise@lrc.ky.gov or reach my office toll-free at 1-800-372-7181.
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Senator Max Wise, R-Campbellsville, represents the 16th Senate District, including Adair, Allen, Metcalfe, Monroe, and Taylor Counties and eastern Warren County. He is Senate Economic Development, Tourism and Labor Committee chair. Wise also serves as a Senate Education Committee member and is a member of the newly formed Families and Children Committee and Health Services Committee. Additionally, he is an Education Assessment and Accountability Review Subcommittee member.
(Angela Billings, Director of Communications – Senate Majority Leadership)