SB 197 Kentucky Senate · 2026 Regular Session

AN ACT providing funding and establishing conditions for state government agencies and institutions, making an appropriation therefor, and declaring an emergency.

Summary
Create a new section of Subchapter 32 of KRS Chapter 154 to establish a tiered county system for eligible companies to receive incentives under the Kentucky Business Investment Program; amends KRS 154.32-010 to define "tier"; amends KRS 154.32-020 and 154.32-040 to conform; amend KRS 154.32-050 to specify tiering procedures; amend KRS 154.32-060 to require the Kentucky Economic Development Finance Authority to identify and certify or decertify the tiers for all counties on an annual basis into 4 tax credit tiers; provide that the incentives available under this subchapter be determined based on the county where the economic development project is located by an approved company; provide a county's tier will be based on a 5 year average of its unemployment rate and population ranking; amend KRS 154.32-090, 154.61-010, 154.61-020, and 141.383 to conform.
Bill status signed all 5 stages cleared
Introduction
Feb 2026
Committee Review
Apr 2026
Senate Passage
Apr 2026
House Passage
Apr 2026
Signed into Law
Apr 2026
Introduced Feb 13, 2026 Signed Apr 27, 2026
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Current/Final · 6 edits
MODERATE
The bill was completely rewritten to shift focus from general economic development tax incentives to specific disaster relief and emergency funding. The new version authorizes the Department of Military Affairs and Division of Emergency Management to request federal disaster funds and use state surplus money to match those funds, specifically for rebuilding schools and temporary shelters in affected areas.
Scope change
The bill's scope changed from a broad economic development program offering tax credits for new jobs to a targeted disaster recovery and emergency aid program.
SCOPE

Removed all provisions related to tax incentives, job creation tiers, and facility relocation credits.

FISCAL

Added authority for the Department of Military Affairs to request up to $25 million annually from the General Fund to match federal disaster aid.

Added a specific allocation of $10 million for fiscal year 2026-2027 to relocate students and construct temporary shelters.

Modified funding rules for the Bluegrass State Skills Corporation and Science and Technology Program to allow balances to carry forward rather than lapse.

REQUIREMENT

Established a requirement that FEMA reimbursements be deposited into the Budget Reserve Trust Fund and used for school facility replacement in Perry County.

DEFINITION

Removed detailed definitions regarding corporate affiliates, controlled groups, and related parties.

Floor votes · Senate Apr 15, 2026

How they voted

411
Passed · 2 other
Total votes 44
Apr 15, 2026
D Democratic6
6 Yea
100% Yea
R Republican38
35 Yea 1 Nay 2
92% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
38
Key actions
11
Committee
11
Amendments
3
Apr 27, 2026
Vetoed
line items vetoed
upper
Apr 15, 2026
Lower · Passed
enrolled, signed by Speaker of the House
lower
Apr 15, 2026
Upper · Passed
enrolled, signed by President of the Senate
upper
Apr 15, 2026
Upper · Passed
passed 35-1
upper
Apr 15, 2026
Upper · Passed
Senate concurred in Committee Substitute (2) and Committee Amendment (2-title)
upper
Apr 15, 2026
Upper · Passed
posted for passage for concurrence in House Committee Substitute (2) and Committee Amendment (2-title)
upper
Apr 15, 2026
Committee
to Rules (S)
upper
Apr 15, 2026
Upper · Passed
3rd reading, passed 82-7 with Committee Substitute (2) and Committee Amendment (2-title)
upper
Apr 15, 2026
Upper · Passed
reported favorably, to Rules with Committee Substitute (2) and Committee Amendment (2-title)
upper
Apr 15, 2026
Committee
recommitted to Appropriations & Revenue (H)
lower
Mar 27, 2026
Introduced
floor amendments (1) and (2) filed to Committee Substitute
upper
Mar 27, 2026
Upper · Passed
reported favorably, to Rules with Committee Substitute (1) and Committee Amendment (1-title)
upper
Mar 11, 2026
Committee
to Appropriations & Revenue (H)
lower
Mar 10, 2026
Committee
to Committee on Committees (H)
lower
Mar 6, 2026
Upper · Passed
3rd reading, passed 36-0 with Committee Substitute (1), Floor Amendments (2) and (1) and Committee Amendment (1-title)
upper
Mar 5, 2026
Introduced
floor amendment (2) filed to Committee Substitute
upper
Mar 5, 2026
Upper · Passed
passed over and retained in the Orders of the Day
upper
Mar 3, 2026
Introduced
floor amendment (1) filed to Committee Substitute
upper
Feb 26, 2026
Upper · Passed
reported favorably, 1st reading, to Calendar with Committee Substitute (1) and Committee Amendment (1-title)
upper
Feb 17, 2026
Committee
to Economic Development, Tourism, & Labor (S)
upper
Feb 13, 2026
Committee
to Committee on Committees (S)
upper
Feb 13, 2026
Introduced
introduced in Senate
upper
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.