Title 802 | Chapter 003 | Regulation 060REG
PROPOSED
This document is not yet current.
PUBLIC PROTECTION CABINET
Office of Claims and Appeals
Crime Victims Compensation Board
(New Administrative Regulation)
802 KAR 3:060.Crime victim compensation offender debt collections.
Section 1.
Notice of Debt.(1)
If the offender is known, the board staff shall first determine whether the criminal matter has yet been reduced to judgment.(a)
If the matter remains pending, the board shall communicate with the prosecutorial agency handling the criminal prosecution and request that the board be listed as a recipient of a restitution order as part of the final judgment entered by the court.(b)
If the matter has already been prosecuted to judgment, the board shall contact the prosecutorial agency to explore if a restitution order could be entered or the judgment amended to allow for the inclusion of the board as a recipient of restitution in the amount paid by the board to the victim or the claimant.(c)
If the board is listed as a recipient of restitution in a final judgment or court order, the board shall notify the court, the prosecutorial agency, the Department of Corrections, or the Division of Probation and Parole in the event the offender fails to remit payments to the board as ordered by the court.(d)
Such notice shall also be provided to the offender and/or his counsel of record in the criminal action wherein the court-imposed restitution.(2)
After locating the offender, a first notice of debt letter shall be sent to the offender, notifying the offender concerning the indebtedness to the board, and including language about appeal rights.(a)
If the offender appeals the debt after receiving the notice of debt letter, the executive director of the Office of Claims and Appeals shall review the offender's appeal and the documentation for the underlying claim and issue a recommended order to the board recommending adjudication of the offender's appeal. The board shall render a decision on the offender's appeal at its next meeting, at which the offender shall have the opportunity to appear and be heard.(b)
Following consideration of the appeal, the board shall issue a final order adjudicating the offender's appeal. If the board denies the appeal, it shall resume efforts to collect the debt.Section 2.
Payment agreements.(1)
The offender may be offered the option to enter into a payment agreement to pay the indebtedness on a monthly basis.(a)
Offenders who are incarcerated may enter into a payment agreement. The minimum payment shall be $10.00 per month.(b)
If an incarcerated offender refuses to enter into a payment agreement, a Notice of Intercept will be sent to the Department of Corrections, which shall remit to the board fifty (50) percent of all state wages earned by the inmate on a monthly basis until the debt is paid in full.(c)
If an incarcerated offender enters into a payment agreement and subsequently fails to make monthly payments, the board shall issue a Notice of Intercept to the Department of Corrections, which shall remit to the board fifty (50) percent of all state wages earned by the inmate on a monthly basis until the debt is paid in full.(2)
Offenders who have been released or who were not subject to incarceration may enter into a payment agreement.(a)
The minimum monthly payment shall be $25.00.(b)
If a released offender refuses to enter into a payment agreement, the debt shall be referred to the Department of Revenue for collection as described in Section 3.(3)
If an offender, whether or not incarcerated, fails to make payments as required in the payment agreement and is intercepted or has a collection action initiated, the offender may only revive the monthly payment agreement upon a showing of good cause why the offender failed to make the previous required payments.(a)
Good cause shall be determined by the executive director of the Office of Claims and Appeals.(b)
The executive director in determining whether good cause exists to allow a monthly payment agreement to be revived shall consider:1.
Any extenuating circumstances articulated by the offender related to the offender's failure to make required payments;2.
Any changes in the offender's employment or wages;3.
Any modification of the offender's risk assessment or housing level by the correctional facility that could impact their ability to make payments on the debt; and4.
Any evidence of the offender's failure to receive notice of the debt owed.Section 3.
Forced Collection.(1)
If an offender who is not incarcerated fails to make monthly payments after establishment of a payment agreement, the debt shall be referred to the Department of Revenue for collection.(2)
Payments received shall be credited to the offender's account. The debt shall remain collectable until paid in full or the offender is determined to be deceased.(a)
If an offender dies while the debt is in collections or the offender is in default on a payment agreement, or otherwise is indebted to the board, the board may seek payment for the amount due from the estate of the offender.(b)
A subrogation lien in favor of the board may be filed in an offender's probate case or in a civil action if such has been filed against the offender by the claimant.(c)
The board may employ any legal means to collect the debt from an offender, including initiating a civil action against the offender.LANOLA PARSONS, Chairperson, Crime Victims Compensation Board
JOHN HARDESTY, Executive Director
APPROVED BY AGENCY: January 14, 2025
FILED WITH LRC: January 15, 2025 at 10:32 a.m.
PUBLIC HEARING AND COMMENT PERIOD: A public hearing on this administrative regulation shall be held at 10:00 am on March 27, 2025, in Room 247 CE of the Mayo-Underwood Building, 500 Mero Street, Frankfort, Kentucky 40601. This hearing will be conducted both in-person and via videoconferencing through Microsoft Teams. Individuals interested in attending the public hearing virtually may access the hearing at: https://teams.microsoft.com/l/meetupjoin/19%3ameeting_ZmM3NGRiODYtYjBmYi00ZWE4LTg1OWQtN2JjNjFkYzgzZjcw%40thread.v2/0?context=%7b%22Tid%22%3a%22d77c7f4d-d767-461f-b625-0628792e9e2a%22%2c%22Oid%22%3a%22636ef07a-f33f-4378-b8ae-79c6f05a1438%22%7d. The Meeting ID is: 237 908 005 529. The Passcode is: 48N9bQ2U. For phone access, please dial +1 502-632-6289, 867966031# and enter the following Phone Conference ID: 867 966 031#. Individuals interested in being heard at this hearing shall notify this agency in writing by five (5) workdays prior to the hearing, of their intent to attend. If no notification of intent to attend the hearing is received by that date, the hearing may be canceled. This hearing is open to the public. Any person who wishes to be heard will be given an opportunity to comment on the proposed administrative regulation. A transcript of the public hearing will not be made unless a written request for a transcript is made. If you do not wish to be heard at the public hearing, you may submit written comments on the proposed administrative regulation. Written comments shall be accepted through 11:59 PM EST on March 31, 2025. Send written notification of intent to be heard at the public hearing or written comments on the proposed administrative regulation to the contact person.
CONTACT PERSON: Shelby Bevins-Sullivan, Staff Attorney, 500 Mero Street, 2 SC 1, Frankfort, Kentucky 40601. Phone: 502-782-3556. Fax: 502-573-4817. Email: sbevinssullivan@ky.gov.
REGULATORY IMPACT ANALYSIS AND TIERING STATEMENT
Contact Person:
Shelby Bevins-Sullivan
(1) Provide a brief summary of:
(a) What this administrative regulation does:
This administrative regulation provides guidelines for recovering the amounts of awards paid to victims of criminally injurious conduct from the offenders who committed the criminal acts.
(b) The necessity of this administrative regulation:
This administrative regulation is necessary to comply with KRS 49.470, which creates a debt payable by offenders to the Crime Victims Compensation Board for awards paid by the board to the offender’s victims as a result of the offender’s crimes.
(c) How this administrative regulation conforms to the content of the authorizing statutes:
The proposed regulatory language conforms with KRS 12.080 which authorizes the Governor to prescribe general rules for the conduct of departments; KRS 49.010(4)(b), 49.020(7)(a), KRS 49.300(1), and KRS 49.370(2)(b), which authorize the promulgation of regulations to carry out the duties of the Crime Victims Compensation Board; and KRS 49.470, which creates a debt payable by offenders to the Crime Victims Compensation Board for awards paid by the board to the offender’s victims as a result of the offender’s crimes.
(d) How this administrative regulation currently assists or will assist in the effective administration of the statutes:
The proposed regulation will assist the Crime Victims Compensation Board, its staff, and offenders in understanding the collection procedures employed by the board to recoup funds paid to victims of criminally injurious conduct.
(2) If this is an amendment to an existing administrative regulation, provide a brief summary of:
(a) How the amendment will change this existing administrative regulation:
N/A.
(b) The necessity of the amendment to this administrative regulation:
N/A.
(c) How the amendment conforms to the content of the authorizing statutes:
N/A.
(d) How the amendment will assist in the effective administration of the statutes:
N/A.
(3) List the type and number of individuals, businesses, organizations, or state and local governments affected by this administrative regulation:
The Public Protection Cabinet, the Office of Claims and Appeals, the Crime Victims Compensation Board, the Kentucky Department of Corrections, and any person who is identified as an offender and subject to collections procedures.
(4) Provide an analysis of how the entities identified in question (3) will be impacted by either the implementation of this administrative regulation, if new, or by the change, if it is an amendment, including:
(a) List the actions that each of the regulated entities identified in question (3) will have to take to comply with this administrative regulation or amendment:
None known, beyond providing guidance to offenders and the Department of Corrections into the collections procedures employed by the Crime Victims Compensation Board. The board currently utilizes many of the procedures enumerated in this regulation.
(b) In complying with this administrative regulation or amendment, how much will it cost each of the entities identified in question (3):
There are no expected expenditures because of this administrative regulation. Current staff will implement the provisions once promulgated.
(c) As a result of compliance, what benefits will accrue to the entities identified in question (3):
The Public Protection Cabinet, the Office of Claims and Appeals, and the Crime Victims Compensation Board will have better oversight and control of collections procedures as they are clearly delineated; offenders will have more insight into the collections procedures and methods; and the Department of Corrections will have the ability to clearly understand the board’s collections procedures.
(5) Provide an estimate of how much it will cost the administrative body to implement this administrative regulation:
(a) Initially:
None. Current staff and agency funds will provide implementation.
(b) On a continuing basis:
None.
(6) What is the source of the funding to be used for the implementation and enforcement of this administrative regulation:
Current agency budgetary funding will be used to implement and enforce this administrative regulation.
(7) Provide an assessment of whether an increase in fees or funding will be necessary to implement this administrative regulation, if new, or by the change if it is an amendment:
No additional funding or increase in fees is needed.
(8) State whether or not this administrative regulation establishes any fees or directly or indirectly increases any fees:
No fees are directly or indirectly established or increased by the administrative regulation.
(9) TIERING: Is tiering applied?
Tiering is not applicable as the proposed language will be applied equally to all entities impacted by it.
FISCAL IMPACT STATEMENT
(1) Identify each state statute, federal statute, or federal regulation that requires or authorizes the action taken by the administrative regulation.
34 U.S.C. § 10101, 34 U.S.C. § 20101 – 20111, 34 U.S.C. § 20121 – 20131, 34 U.S.C. § 20134 – 20145, 28 C.F.R. § 94.101, et seq., 66 Fed. Register 27158 (May 16, 2001), KRS 13B.005, et seq., and KRS 49.470.
(2) Identify the promulgating agency and any other affected state units, parts, or divisions:
The Public Protection Cabinet, the Office of Claims and Appeals, and the Crime Victims Compensation Board.
(a) Estimate the following for the first year:
Expenditures:
Not applicable.
Revenues:
Not applicable.
Cost Savings:
Not applicable.
(b) How will expenditures, revenues, or cost savings differ in subsequent years?
Not applicable because the proposed regulation only establishes the procedure for collecting the debt from offenders.
(3) Identify affected local entities (for example: cities, counties, fire departments, school districts):
The proposed regulation should not affect any local governmental entities because it only establishes the procedure for collecting debts from offenders.
(a) Estimate the following for the first year:
Expenditures:
N/A.
Revenues:
N/A.
Cost Savings:
N/A.
(b) How will expenditures, revenues, or cost savings differ in subsequent years?
N/A.
(4) Identify additional regulated entities not listed in questions (2) or (3):
N/A.
(a) Estimate the following for the first year:
Expenditures:
N/A.
Revenues:
N/A.
Cost Savings:
N/A.
(b) How will expenditures, revenues, or cost savings differ in subsequent years?
N/A.
(5) Provide a narrative to explain the:
(a) Fiscal impact of this administrative regulation:
There should not be any fiscal impact associated with promulgation of this proposed regulation. It simply establishes a procedure for collecting debts from offenders to reimburse the Crime Victims Compensation Board for awards it pays to claimants.
(b) Methodology and resources used to determine the fiscal impact:
There were no methodologies or resources required.
(6) Explain:
(a) Whether this administrative regulation will have an overall negative or adverse major economic impact to the entities identified in questions (2) - (4). ($500,000 or more, in aggregate)
There is no major economic impact from this regulation.
(b) The methodology and resources used to reach this conclusion:
There were no methodologies or resources required.
PUBLIC PROTECTION CABINET
Office of Claims and Appeals
Crime Victims Compensation Board
(New Administrative Regulation)
802 KAR 3:060.Crime victim compensation offender debt collections.
Section 1.
Notice of Debt.(1)
If the offender is known, the board staff shall first determine whether the criminal matter has yet been reduced to judgment.(a)
If the matter remains pending, the board shall communicate with the prosecutorial agency handling the criminal prosecution and request that the board be listed as a recipient of a restitution order as part of the final judgment entered by the court.(b)
If the matter has already been prosecuted to judgment, the board shall contact the prosecutorial agency to explore if a restitution order could be entered or the judgment amended to allow for the inclusion of the board as a recipient of restitution in the amount paid by the board to the victim or the claimant.(c)
If the board is listed as a recipient of restitution in a final judgment or court order, the board shall notify the court, the prosecutorial agency, the Department of Corrections, or the Division of Probation and Parole in the event the offender fails to remit payments to the board as ordered by the court.(d)
Such notice shall also be provided to the offender and/or his counsel of record in the criminal action wherein the court-imposed restitution.(2)
After locating the offender, a first notice of debt letter shall be sent to the offender, notifying the offender concerning the indebtedness to the board, and including language about appeal rights.(a)
If the offender appeals the debt after receiving the notice of debt letter, the executive director of the Office of Claims and Appeals shall review the offender's appeal and the documentation for the underlying claim and issue a recommended order to the board recommending adjudication of the offender's appeal. The board shall render a decision on the offender's appeal at its next meeting, at which the offender shall have the opportunity to appear and be heard.(b)
Following consideration of the appeal, the board shall issue a final order adjudicating the offender's appeal. If the board denies the appeal, it shall resume efforts to collect the debt.Section 2.
Payment agreements.(1)
The offender may be offered the option to enter into a payment agreement to pay the indebtedness on a monthly basis.(a)
Offenders who are incarcerated may enter into a payment agreement. The minimum payment shall be $10.00 per month.(b)
If an incarcerated offender refuses to enter into a payment agreement, a Notice of Intercept will be sent to the Department of Corrections, which shall remit to the board fifty (50) percent of all state wages earned by the inmate on a monthly basis until the debt is paid in full.(c)
If an incarcerated offender enters into a payment agreement and subsequently fails to make monthly payments, the board shall issue a Notice of Intercept to the Department of Corrections, which shall remit to the board fifty (50) percent of all state wages earned by the inmate on a monthly basis until the debt is paid in full.(2)
Offenders who have been released or who were not subject to incarceration may enter into a payment agreement.(a)
The minimum monthly payment shall be $25.00.(b)
If a released offender refuses to enter into a payment agreement, the debt shall be referred to the Department of Revenue for collection as described in Section 3.(3)
If an offender, whether or not incarcerated, fails to make payments as required in the payment agreement and is intercepted or has a collection action initiated, the offender may only revive the monthly payment agreement upon a showing of good cause why the offender failed to make the previous required payments.(a)
Good cause shall be determined by the executive director of the Office of Claims and Appeals.(b)
The executive director in determining whether good cause exists to allow a monthly payment agreement to be revived shall consider:1.
Any extenuating circumstances articulated by the offender related to the offender's failure to make required payments;2.
Any changes in the offender's employment or wages;3.
Any modification of the offender's risk assessment or housing level by the correctional facility that could impact their ability to make payments on the debt; and4.
Any evidence of the offender's failure to receive notice of the debt owed.Section 3.
Forced Collection.(1)
If an offender who is not incarcerated fails to make monthly payments after establishment of a payment agreement, the debt shall be referred to the Department of Revenue for collection.(2)
Payments received shall be credited to the offender's account. The debt shall remain collectable until paid in full or the offender is determined to be deceased.(a)
If an offender dies while the debt is in collections or the offender is in default on a payment agreement, or otherwise is indebted to the board, the board may seek payment for the amount due from the estate of the offender.(b)
A subrogation lien in favor of the board may be filed in an offender's probate case or in a civil action if such has been filed against the offender by the claimant.(c)
The board may employ any legal means to collect the debt from an offender, including initiating a civil action against the offender.LANOLA PARSONS, Chairperson, Crime Victims Compensation Board
JOHN HARDESTY, Executive Director
APPROVED BY AGENCY: January 14, 2025
FILED WITH LRC: January 15, 2025 at 10:32 a.m.
PUBLIC HEARING AND COMMENT PERIOD: A public hearing on this administrative regulation shall be held at 10:00 am on March 27, 2025, in Room 247 CE of the Mayo-Underwood Building, 500 Mero Street, Frankfort, Kentucky 40601. This hearing will be conducted both in-person and via videoconferencing through Microsoft Teams. Individuals interested in attending the public hearing virtually may access the hearing at: https://teams.microsoft.com/l/meetupjoin/19%3ameeting_ZmM3NGRiODYtYjBmYi00ZWE4LTg1OWQtN2JjNjFkYzgzZjcw%40thread.v2/0?context=%7b%22Tid%22%3a%22d77c7f4d-d767-461f-b625-0628792e9e2a%22%2c%22Oid%22%3a%22636ef07a-f33f-4378-b8ae-79c6f05a1438%22%7d. The Meeting ID is: 237 908 005 529. The Passcode is: 48N9bQ2U. For phone access, please dial +1 502-632-6289, 867966031# and enter the following Phone Conference ID: 867 966 031#. Individuals interested in being heard at this hearing shall notify this agency in writing by five (5) workdays prior to the hearing, of their intent to attend. If no notification of intent to attend the hearing is received by that date, the hearing may be canceled. This hearing is open to the public. Any person who wishes to be heard will be given an opportunity to comment on the proposed administrative regulation. A transcript of the public hearing will not be made unless a written request for a transcript is made. If you do not wish to be heard at the public hearing, you may submit written comments on the proposed administrative regulation. Written comments shall be accepted through 11:59 PM EST on March 31, 2025. Send written notification of intent to be heard at the public hearing or written comments on the proposed administrative regulation to the contact person.
CONTACT PERSON: Shelby Bevins-Sullivan, Staff Attorney, 500 Mero Street, 2 SC 1, Frankfort, Kentucky 40601. Phone: 502-782-3556. Fax: 502-573-4817. Email: sbevinssullivan@ky.gov.
REGULATORY IMPACT ANALYSIS AND TIERING STATEMENT
Contact Person:
Shelby Bevins-Sullivan
(1) Provide a brief summary of:
(a) What this administrative regulation does:
This administrative regulation provides guidelines for recovering the amounts of awards paid to victims of criminally injurious conduct from the offenders who committed the criminal acts.
(b) The necessity of this administrative regulation:
This administrative regulation is necessary to comply with KRS 49.470, which creates a debt payable by offenders to the Crime Victims Compensation Board for awards paid by the board to the offender’s victims as a result of the offender’s crimes.
(c) How this administrative regulation conforms to the content of the authorizing statutes:
The proposed regulatory language conforms with KRS 12.080 which authorizes the Governor to prescribe general rules for the conduct of departments; KRS 49.010(4)(b), 49.020(7)(a), KRS 49.300(1), and KRS 49.370(2)(b), which authorize the promulgation of regulations to carry out the duties of the Crime Victims Compensation Board; and KRS 49.470, which creates a debt payable by offenders to the Crime Victims Compensation Board for awards paid by the board to the offender’s victims as a result of the offender’s crimes.
(d) How this administrative regulation currently assists or will assist in the effective administration of the statutes:
The proposed regulation will assist the Crime Victims Compensation Board, its staff, and offenders in understanding the collection procedures employed by the board to recoup funds paid to victims of criminally injurious conduct.
(2) If this is an amendment to an existing administrative regulation, provide a brief summary of:
(a) How the amendment will change this existing administrative regulation:
N/A.
(b) The necessity of the amendment to this administrative regulation:
N/A.
(c) How the amendment conforms to the content of the authorizing statutes:
N/A.
(d) How the amendment will assist in the effective administration of the statutes:
N/A.
(3) List the type and number of individuals, businesses, organizations, or state and local governments affected by this administrative regulation:
The Public Protection Cabinet, the Office of Claims and Appeals, the Crime Victims Compensation Board, the Kentucky Department of Corrections, and any person who is identified as an offender and subject to collections procedures.
(4) Provide an analysis of how the entities identified in question (3) will be impacted by either the implementation of this administrative regulation, if new, or by the change, if it is an amendment, including:
(a) List the actions that each of the regulated entities identified in question (3) will have to take to comply with this administrative regulation or amendment:
None known, beyond providing guidance to offenders and the Department of Corrections into the collections procedures employed by the Crime Victims Compensation Board. The board currently utilizes many of the procedures enumerated in this regulation.
(b) In complying with this administrative regulation or amendment, how much will it cost each of the entities identified in question (3):
There are no expected expenditures because of this administrative regulation. Current staff will implement the provisions once promulgated.
(c) As a result of compliance, what benefits will accrue to the entities identified in question (3):
The Public Protection Cabinet, the Office of Claims and Appeals, and the Crime Victims Compensation Board will have better oversight and control of collections procedures as they are clearly delineated; offenders will have more insight into the collections procedures and methods; and the Department of Corrections will have the ability to clearly understand the board’s collections procedures.
(5) Provide an estimate of how much it will cost the administrative body to implement this administrative regulation:
(a) Initially:
None. Current staff and agency funds will provide implementation.
(b) On a continuing basis:
None.
(6) What is the source of the funding to be used for the implementation and enforcement of this administrative regulation:
Current agency budgetary funding will be used to implement and enforce this administrative regulation.
(7) Provide an assessment of whether an increase in fees or funding will be necessary to implement this administrative regulation, if new, or by the change if it is an amendment:
No additional funding or increase in fees is needed.
(8) State whether or not this administrative regulation establishes any fees or directly or indirectly increases any fees:
No fees are directly or indirectly established or increased by the administrative regulation.
(9) TIERING: Is tiering applied?
Tiering is not applicable as the proposed language will be applied equally to all entities impacted by it.
FISCAL IMPACT STATEMENT
(1) Identify each state statute, federal statute, or federal regulation that requires or authorizes the action taken by the administrative regulation.
34 U.S.C. § 10101, 34 U.S.C. § 20101 – 20111, 34 U.S.C. § 20121 – 20131, 34 U.S.C. § 20134 – 20145, 28 C.F.R. § 94.101, et seq., 66 Fed. Register 27158 (May 16, 2001), KRS 13B.005, et seq., and KRS 49.470.
(2) Identify the promulgating agency and any other affected state units, parts, or divisions:
The Public Protection Cabinet, the Office of Claims and Appeals, and the Crime Victims Compensation Board.
(a) Estimate the following for the first year:
Expenditures:
Not applicable.
Revenues:
Not applicable.
Cost Savings:
Not applicable.
(b) How will expenditures, revenues, or cost savings differ in subsequent years?
Not applicable because the proposed regulation only establishes the procedure for collecting the debt from offenders.
(3) Identify affected local entities (for example: cities, counties, fire departments, school districts):
The proposed regulation should not affect any local governmental entities because it only establishes the procedure for collecting debts from offenders.
(a) Estimate the following for the first year:
Expenditures:
N/A.
Revenues:
N/A.
Cost Savings:
N/A.
(b) How will expenditures, revenues, or cost savings differ in subsequent years?
N/A.
(4) Identify additional regulated entities not listed in questions (2) or (3):
N/A.
(a) Estimate the following for the first year:
Expenditures:
N/A.
Revenues:
N/A.
Cost Savings:
N/A.
(b) How will expenditures, revenues, or cost savings differ in subsequent years?
N/A.
(5) Provide a narrative to explain the:
(a) Fiscal impact of this administrative regulation:
There should not be any fiscal impact associated with promulgation of this proposed regulation. It simply establishes a procedure for collecting debts from offenders to reimburse the Crime Victims Compensation Board for awards it pays to claimants.
(b) Methodology and resources used to determine the fiscal impact:
There were no methodologies or resources required.
(6) Explain:
(a) Whether this administrative regulation will have an overall negative or adverse major economic impact to the entities identified in questions (2) - (4). ($500,000 or more, in aggregate)
There is no major economic impact from this regulation.
(b) The methodology and resources used to reach this conclusion:
There were no methodologies or resources required.