KentuckyKentucky budget measure funds agencies and sets operating rules
If approved, the measure would fund state operations, schools, disaster response, and local projects while setting rules for some agencies and programs.
What it does
State emergency officials could use reserve funds for federal disaster matches, temporary school facilities, and other eligible disaster costs, subject to stated limits and verification.
Schools and colleges would receive funding for instruction, student support, safety, scholarships, and facilities, while some education programs would receive no General Fund money.
Starting July 2027, Transportation Cabinet employees generally could not work remotely unless the Cabinet secretary approved an exception.
Argument forFunding for school mental health staff, school safety officers, and nutrition programs could help districts provide more support to students.
Argument againstMoving money away from several teacher and school improvement programs could reduce support for professional development and other services.
More detail
The Department of Military Affairs may request up to $25 million each fiscal year for state costs that match federal disaster aid. The money would apply when the president declares a disaster or emergency and the state qualifies for federal aid. The money would come from the General Fund Surplus Account or Budget Reserve Trust Fund Account. Up to $10 million in fiscal year 2026-2027 may support moving students affected by the Estill County Middle School closure and building temporary instructional shelters. Federal reimbursements for eligible disaster costs would be deposited into the Budget Reserve Trust Fund Account, with the first $26.7 million distributed for replacing Robinson Elementary School after eligibility is verified. The listed disaster funds apply in each fiscal year, while the Estill County school funding applies in fiscal year 2026-2027.
The measure would direct state education funds to schools, students, and education programs. Funding would cover public schools, nonpublic schools, local districts, higher education institutions, and eligible students or program participants. Examples include money for school meals, mental health providers, school resource officers, career and technical education, college scholarships, and local school projects. Some funds would be limited to listed programs or eligible recipients, and several provisions require reports or federal eligibility. The text would also move money away from several professional development and teacher programs to increase funding for school-based mental health providers. Most listed education funding covers fiscal years 2026-2027 and 2027-2028; the act would take effect upon gubernatorial approval or otherwise becoming law.
Transportation Cabinet employees would generally have to work on site rather than telecommute. The rule would cover employees of the Kentucky Transportation Cabinet. The Cabinet secretary could approve specific exemptions. The Cabinet would have to report all telecommuting exemptions to the Legislative Research Commission each quarter. The restriction would begin July 1, 2027; exemption reporting would begin August 1, 2026.
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Where it stands
- Introduced
- Passed Senate
- Passed House
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Apr 27delivered to Secretary of State (Acts Ch. 202)Latest
- Apr 27line items vetoedMinor
- Apr 16
- Vote recorded FINAL PASSAGE OF SB 197 w/ HCS 2, HCA 2 (T). Result: pass.Upper
- Apr 15delivered to Governor
- Vote recorded Pass. Result: pass.Lower
- Apr 15enrolled, signed by Speaker of the HouseTo Governor
- Apr 15enrolled, signed by President of the SenateMajor
- Apr 15passed 35-1Major
- Apr 15Senate concurred in Committee Substitute (2) and Committee Amendment (2-title)
- Apr 15posted for passage for concurrence in House Committee Substitute (2) and Committee Amendment (2-title)
- Apr 15to Rules (S)Minor
- Apr 15received in Senate
- Apr 153rd reading, passed 82-7 with Committee Substitute (2) and Committee Amendment (2-title)Passed House
- Apr 15placed in the Orders of the Day
- Apr 15taken from Rules
- Apr 15reported favorably, to Rules with Committee Substitute (2) and Committee Amendment (2-title)Minor
- Apr 15recommitted to Appropriations & Revenue (H)
- Apr 15taken from the Orders of the Day
- Mar 27floor amendments (1) and (2) filed to Committee SubstituteMinor
- Mar 27posted for passage in the Regular Orders of the Day for Tuesday, March 31 2026
- Mar 27reported favorably, to Rules with Committee Substitute (1) and Committee Amendment (1-title)Minor
- Mar 26returned to Appropriations & Revenue (H)
- Mar 262nd readingMinor
- Mar 26taken from Appropriations & Revenue (H)
- Mar 25returned to Appropriations & Revenue (H)
- Mar 251st readingMinor
- Mar 25taken from Appropriations & Revenue (H)
- Mar 11to Appropriations & Revenue (H)Minor
- Mar 10to Committee on Committees (H)Minor
- Mar 10received in House
- Mar 63rd reading, passed 36-0 with Committee Substitute (1), Floor Amendments (2) and (1) and Committee Amendment (1-title)Passed Senate
- Vote recorded PASS SB 197 w/ SCS 1, SFA 2, SFA 1, SCA 1 (T). Result: pass.Upper
- Mar 5floor amendment (2) filed to Committee SubstituteMinor
- Mar 5passed over and retained in the Orders of the Day
- Mar 4posted for passage in the Regular Orders of the Day for Thursday, March 05 2026
- Mar 3floor amendment (1) filed to Committee SubstituteMinor
- Feb 272nd reading, to RulesMinor
- Feb 26reported favorably, 1st reading, to Calendar with Committee Substitute (1) and Committee Amendment (1-title)Minor
- Feb 17to Economic Development, Tourism, & Labor (S)Minor
- Feb 13to Committee on Committees (S)Minor
- Feb 13introduced in SenateIntroduced
Taxes & BudgetEducationEmergency Management