After passing dozens and dozens of laws during the short 30 day session, lawmakers will now see some of those laws go into effect immediately. While the Kentucky Constitution states that no act shall become a law until 90 days after the end of the session in late June, lawmakers can specify that certain bills are an emergency, which allows them to go into effect right away.
Fewer than 30 bills passed this year have such a rider attached, including those limiting the governor’s regulatory power and air quality programs. Democratic Gov. Andy Beshear’s administration, however, says several of those measures require extra funding.
Beshear argued in a letter Kentucky's Republican-controlled legislature needed to amend the budget to cover the costs if the legislature expected him to implement the new laws. GOP leaders told reporters the governor would have to find a way to make it work with his current funding levels.
The legislation that is now in effect limits the kinds — and cost — of regulations that the governor can put in place. New laws set up the structure for large-scale Medicaid oversight and overturn the governor’s executive order banning conversion therapy on minors. Some of the laws now in effect are bipartisan too, including statutes that put guardrails around the use of artificial intelligence and allow revenue-sharing frameworks for student athletes in Kentucky’s public colleges.
Here are eight of the emergency bills that are taking effect in Kentucky:
HB 6 - “REINS” Act
House Bill 6 would stop the governor from adopting regulations that would have a “major economic impact” — when complying would cost the state at least $500,000 over two years. There are a few exceptions to the rule, including if there’s an “imminent threat to public health, safety or welfare,” if it’s needed to keep federal funds or align with federal or state laws, or to comply with a court order.
Beshear vetoed what lawmakers have dubbed the REINS Act, saying it violates the separation of powers by limiting the governor’s regulatory abilities. Some advocates worry it will also hamper the governor’s ability to address emerging health and safety concerns due to the “imminent threat” wording.
Lawmakers easily overrode the governor’s veto. Supporters say the bill is necessary to cut down on administrative overreach and keep the budget from growing. The emergency provision allowed the bill to go into effect on March 31.
SB 3 - NIL Student Athletes
Kentucky colleges and universities can now share revenue directly with, or, set up third-party agreements for student athletes under Senate Bill 3. Student athletes can now enter into revenue-sharing agreements, which lawmakers say is essential to making sure Kentucky athletics stay competitive in a changing environment and amidst a national shift away from amateur college sports.
HB 695 - Medicaid Oversight and Work Requirements
The large Medicaid bill, which forms a new oversight board and would require the Beshear administration to procure new Medicaid managed care contracts, technically goes into effect immediately. However, the bill also includes several internal provisions giving the administration more time — for example, the new contracts don’t have to start until 2027. Several of the reporting requirements also take effect later, giving the administration time to procure and analyze large amounts of data.
One high-profile late addition to the bill would require the governor to seek permission from the federal Medicaid service to establish mandatory work requirements for able-bodied Kentuckians within 90 days. If the Trump administration approves that change, some Kentuckians on Medicaid would have to show they are working or otherwise engaged in the community to receive coverage.
HB 495 - Conversion Therapy
A part of House Bill 495 that overturns Beshear’s executive order banning conversion therapy on minors has gone into effect. The executive order prohibited state or federal funds from paying for conversion therapy and encouraged professional licensure boards to punish professionals who engage in the discredited practice. GOP lawmakers described Beshear’s executive order as overreach and a breach of first amendment rights, but Beshear said it’s the state obligation to protect children from a practice that major medical organizations say leads to increased rates of depression, anxiety and suicidality.
The other portion of HB495 that bans Medicaid coverage of gender-affirming hormone treatments will presumably go into effect based on the standard timeline in late June, as it is not included in the emergency clause.
HB 346 - Emissions Fees
This legislation would exclude “emergency stationary internal combustion engines” from the state’s assessed emissions and air pollution fees — although the definition of emergency allows for engines that run up to 100 hours a year in nonemergency situations.
House Bill 346 also directs the administration to not create an “upper limit” for emissions that can be assessed fees from a single source. Beshear vetoed the bill, saying he believes the legislation is “one entity’s attempt” to get a refund for its emissions fees. He said ratepayers will bear the cost of that refund. The governor also told lawmakers in a letter that he believes HB 346 is unfunded, and that it would cost the agency $1.076 million in emission fees.
Several distillers, including Michter’s Distillery, the Sazerac Company, the Kentucky Distillers’ Association, Heaven Hill Distilleries and the Brown-Forman Corporation, lobbied on the bill, as did major utility companies.
SB 245 - Fish and Wildlife Resources Commission Appointments
The first Black member of a board overseeing Kentucky’s wildlife management agency lost his seat due to Senate Bill 245, which requires any members of the commission whose reappointment isn't reaffirmed by the Senate to leave their seat immediately at the end of the session. The Kentucky Lantern reported on the controversy around Jerry Ferrell’s appointment due to political Facebook posts that some lawmakers deemed inappropriate.
Ferrell would have been allowed to serve out the remainder of his term until the end of the year under current state law. Beshear vetoed the bill arguing the Senate should defer to the recommendations of sportspeople and created multiple vacancies on the fish and wildlife commission. His veto was easily overridden and the law is now in effect.
SB 4 - Artificial Intelligence
Senate Bill 4 puts in place immediate guardrails around the use of artificial intelligence. It requires policies to ensure the responsible and transparent use of generative AI and creates the Artificial Intelligence Governance Committee. The law also tells the state technology office to prioritize personal privacy and data protection as it incorporates AI systems, and the state must tell the public when AI has been used in a decision making process or to produce information.
The legislation would also allow political candidates who are victims of “synthetic media” electioneering to sue over it and require a disclosure that it is not a real depiction of the candidate. Although Beshear signed the bill, he also said it would cost the state “at least $2.5 million” to create a registry of AI systems, implement governance practices and put in place security protocols — money the legislature has not appropriated.
HB 241 - NTI Days and Cloverport
House Bill 241, a combination of two different education bills, goes into effect immediately. The original provisions, which had bipartisan support, provide five disaster relief school attendance days using non-traditional instruction. The law also allows school districts to add time to school days to meet their attendance requirements. The provisions apply only to the current school year to provide relief after unexpected flooding, snow and sickness took many school districts out of the classroom.
The law also gives the beleaguered Kentucky Virtual Academy, based in Cloverport, several breaks that help it avoid restrictions from the Kentucky Department of Education. The bill allows virtual school teachers to provide twice the number of pupil hours as in-person teachers. It does set some limits on nonresident enrollment for virtual schools to limit exponential growth, which expire on June 30, 2028.
State government and politics reporting is supported in part by the Corporation for Public Broadcasting.
