New Kentucky laws take effect in late June

Exterior of Kentucky State Capitol Building on a Summer afternoon. Frankfort, Kentucky, USA

More than 170 bills passed in Kentucky during the 2023 legislative session, the majority of which are set to officially become law on Thursday, June 29. Kentucky’s Constitution states that new laws take effect 90 days following the adjournment of the Kentucky General Assembly, which was on March 30. These new laws include several priorities of the Kentucky Chamber of Commerce.

Legalized sports betting, using KEES scholarship money toward proprietary schools, and the banning of gray machines are just a few priority measures that will technically take effect on June 29. The only exceptions are bills that have special effective dates, are general appropriation measures, or include emergency clauses that make them effective immediately upon becoming law.

Other priority bills for the Kentucky Chamber have already taken effect because of an emergency clause, including House Bill 1, which further reduces the personal state income tax.

Below is a list of some of the Kentucky Chamber priority bills that will take effect on June 29:

Sports Wagering (HB 551) – Establishes a means of legalizing, regulating, and taxing sports betting in Kentucky under the authority of the Kentucky Horse Racing Commission. Only licensed race tracks will be permitted to obtain a sports wagering license, and the bill sets up a fund to address problem gambling, while also preventing minors from placing bets. The bill technically takes effect on June 29, but Kentuckians might not see many changes until the racing commission finalizes and implements sports betting regulations.

KEES Flexibility (SB 54) – Broadens the use of the Kentucky Educational Excellence Scholarships (KEES) to further address Kentucky’s workforce needs. Under the new law, Kentucky students electing to attend certain proprietary schools and workforce training programs will now be able to use the same KEES money earned in high school to help pay for said programs.

Gray Machines Ban (HB 594) – Prohibits businesses from housing gray machines and clarifies definitions for illegal gambling in Kentucky. Under House Bill 594, anyone who manages or owns the machines could be subject to a $25,000 fine per device.

Recovery Housing Standards (HB 248) – Ensures high-quality recovery housing by establishing statewide standards for the operation of recovery residences.

Unemployment Insurance Updates (HB 146) – Provides clarification and technical changes to unemployment insurance reform legislation passed in the 2022 legislative session in support of making the system more sustainable and encouraging rapid re-employment for laid-off workers.

Benefit Cliff Solutions (HJR 39) – Requires executive branch agencies to undertake efforts to address the benefits cliff in Kentucky.

Child Care Assistance (HB 165) – Provides technical updates to the Employee Child Care Assistance Partnership, which was passed during the 2022 General Assembly to help address child care challenges for Kentucky employers and workers.

Economic Development (HB 9) – Creates a framework and a new state fund to assist distressed local communities in Kentucky in accessing new federal grant opportunities.

Public Contracts (HB 188) – Allows contractors to self-perform tasks on state contracts when subcontractors fail to perform or certain conditions are not met.

Harm Reduction (HB 353) – Clarifies that fentanyl found on test strips should not be included in the definition of fentanyl and test equipment is not drug paraphernalia.

See more bills that passed during the 2023 legislative session by reading the Kentucky Chamber’s 2023 Results for Business publication.

About the Author

Manager of Public Affairs, Kentucky Chamber of Commerce

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