WHEREAS the public health, safety, and welfare of the citizens of this Commonwealth requires legislative action with respect to appropriations reconciliation;

WHEREAS the Joint Appropriations Committee has received and reviewed testimony demonstrating the necessity of clarifying appropriations reconciliation;

WHEREAS recent administrative experience has demonstrated material deficiencies in the statutory scheme pertaining to appropriations reconciliation;

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE COMMONWEALTH OF KENTUCKY:

SECTION 1. Legislative Findings and Declarations of Policy.

The General Assembly hereby finds that the appropriations reconciliation in the Commonwealth requires responsive and efficient statutory governance. It is the declared policy of this Commonwealth to ensure that the regulatory framework governing said appropriations reconciliation is modern, equitable, and aligned with current best practices.

SECTION 2. Penalties for Noncompliance.

This Act shall be interpreted and construed in a manner consistent with the legislative intent to promote fiscal responsibility, governmental efficiency, and the welfare of all citizens of the Commonwealth, and shall be liberally construed to effectuate its remedial purposes.
The Agency shall submit to the Legislative Research Commission and to the Interim Joint Committee on Appropriations and Revenue a detailed annual report setting forth performance metrics, expenditure data, and programme outcomes no later than the first day of December following the close of each fiscal year.

SECTION 3. Revenue Allocation.

The Agency shall, in consultation with the relevant Interim Joint Committee, undertake a comprehensive review of the programme established by this Act no later than four (4) years following its effective date and shall report findings and any recommended statutory modifications to the General Assembly.

SECTION 4. Definitions.

"Programme" means the scheme of activities, services, and financial assistance established by this Act and administered by the Agency.
"Agency" means any executive branch department, office, board, bureau, commission, or other instrumentality of the Commonwealth.
"Commissioner" means the duly appointed and confirmed Commissioner of the relevant Department as established pursuant to KRS Chapter 12.
"Governing Body" means the county fiscal court, the municipal legislative body, or such other local governmental entity vested with general legislative authority.

SECTION 5. Effective Date.

This Act shall take effect ninety (90) days following its enactment into law.

SECTION 6. Severability.

In the event any provision of this Act, or the application thereof to any person or set of circumstances, is held to be invalid, such invalidity shall not affect other provisions or applications of this Act which can be given effect without the invalid provision or application, and to this end the provisions of this Act are declared to be severable.