The March meeting of the Administrative Regulation Review Subcommittee was held on Wednesday, March 13, 2002, at 12:00 PM, in Room 149 of the Capitol Annex. Representative John Arnold Jr., Chair, called the meeting to order, and the secretary called the roll.
Present were:
Members: Representative John Arnold Jr., Chair; Senators Marshall Long, Joey Pendleton, and Richard Roeding; Representatives Woody Allen, and Jimmie Lee.
Guests: Diana Barber, Linda Renschler, Kentucky Higher Education Assistance Authority; Angela Robinson, Nancy Brownley, Ed Ross, Don Spear, Larry Lyles, Finance and Administration Cabinet; Susan Stopher, Board of Accountancy; Michael A. Mone, Board of Pharmacy; Gary Munsie, Board of Dentistry; Joetta Bowman, William May, Howard B. Kline, Michael Denney, Kentucky Lottery Corporation; Tom Bennett, Ellen Benzing, Scott Porter, Department of Fish and Wildlife Resources; Mark Farrow, Ann Stewart, Department of Agriculture; Millie Ellis, Lona Brewer, John S. Lyons, Natural Resources and Environmental Protection Cabinet; Jack Damron, Brenda Priestley, Department of Corrections; Kevin Noland, Board of Education; Tony DeName, Division of Unemployment Insurance; Frederick Huggins, Tim Chancellor, Chuck Stribling, Labor Cabinet; Gerald Wuetcher, Public Service Commission; William E. Doyle, Department of Financial Institutions; John A. Volpe, Jim Carreer, Cabinet for Health Services; Barbara Wright, Mary W. Sparrow, Karen Doyle, Rosanne Barkley, Pattie Smith-Glover, Ken McWhorten, Cabinet for Families and Children; Bart Baldwin, Children’s Alliance.
LRC Staff: Dave Nicholas, Karen Smith, Sarah Amburgey, Donna Little, Edna Lowery, Susan Wunderlich, Donna Kemper, and Ellen Steinberg.
The Subcommittee determined that the following administrative regulations, as amended by the promulgating agency and the Subcommittee, complied with statutory requirements:
Finance and Administration Cabinet: Purchasing
200 KAR 5:021. Manual of policies and procedures. Ed Ross, State Controller, Angela Robinson, Assistant General Counsel, Don Spear, Commissioner, Jamie Link, Deputy Commissioner, and Nancy Brownley, Assistant Director, represented the Cabinet.
In response to questions by Senator Roeding, Mr. Spear stated that all exemptions from competitive bidding were established by statute and included items such as library books and perishables.
In response to questions by Senator Roeding, Ms. Brownley stated that the Cabinet amended the policy regarding real property acquisitions to streamline the acquisition process as suggested by an internal audit.
In response to a question by Senator Roeding, Mr. Spear stated that interested members of the public could access the Cabinet’s policy on real property acquisition through the internet. The Cabinet’s entire policies and procedures manual was posted on their home page and on the E-procurement web page.
In response to a question by Chairman Arnold, Ms. Brownley stated that the real property acquisition policy did not apply to right-of-way property because it was disposed of by the Transportation Cabinet.
This administrative regulation was amended as follows: (1) the NECESSITY, FUNCTION, AND CONFORMITY and Incorporation by Reference sections were amended to comply with drafting requirements of KRS Chapter 13A; and (2) the material incorporated by reference was amended to provide clarity and to correct technical and typographical errors.
Board of Accountancy
201 KAR 1:100. Continuing professional education requirements. Susan Stopher represented the Board.
This administrative regulation was amended as follows: Sections 1, 4, and 6 were amended to comply with the drafting and format requirements of KRS Chapter 13A.
201 KAR 1:140. Procedures for the reinstatement and reissuance of a license. This administrative regulation was amended as follows: Section 1 was amended to comply with the drafting requirements of KRS Chapter 13A.
201 KAR 1:300. Rules of professional conduct. This administrative regulation was amended as follows: (1) Sections 1, 5, 6, and 11 were amended to comply with the drafting and format requirements of KRS Chapter 13A; and (2) Section 12 was added to incorporate by reference the required material.
Board of Pharmacy
201 KAR 2:015. Continuing education. Michael Mone, Executive Director, represented the Board.
In response to questions by Representative Allen, Mr. Mone stated that as amended, this administrative regulation required pharmacists to attend one hour of HIV/AIDS continuing education every ten years in the zero year. The continuing education was usually available without fee.
This administrative regulation was amended as follows: (1) the RELATES TO paragraph was amended to correct statutory citations; (2) the NECESSITY, FUNCTION, AND CONFORMITY paragraph was amended to clearly state the necessity for and function served by this administrative regulation, as required by KRS 13A.220(3)(f); (3) Sections 1 to 5, 8, and 9 were amended to comply with the drafting and format requirements of KRS Chapter 13A; (4) Section 4 was amended to specify the name of the required application form; and (5) a new Section 10 was created to incorporate by reference the required application form.
Board of Dentistry
201 KAR 8:390. General anesthesia, deep sedation, and conscious sedation by dentists. Gary Munsie, Director, represented the Board.
In response to questions by Chairman Arnold, Mr. Munsie stated that this administrative regulation was amended to establish guidelines for dentists administering oral sedation, including educational requirements. The dentists could satisfy the educational requirements by attending training seminars.
In response to questions by Senator Pendleton, Mr. Munsie stated that the amendments to this administrative regulation did not increase the anesthesia permit fee. Dentists performing oral sedation would pay the same anesthesia permit fee as dentists administering other types of anesthesia. The Board notified the dentists of the new oral sedation educational and fee requirements through their newsletter.
This administrative regulation was amended as follows: (1) the NECESSITY, FUNCTION, AND CONFORMITY paragraph and Sections 1 to 10 were amended to comply with the drafting and format requirements of KRS Chapter 13A; and (2) Section 6 was amended to include enteral sedation in the injury reporting requirements.
Kentucky Lottery Corporation
202 KAR 3:030. Retailer administrative regulation. Bill May, General Counsel, Micheal Denney, Contract Administrator, and Joetta Bowman, paralegal, represented the Corporation.
In response to questions by Chairman Arnold, Mr. May stated that this administrative regulation streamlined the licensing process for lottery retailers. It did not regulate lottery promotions or the spending of lottery revenue.
In response to questions by Representative Arnold, Ms. Bowman stated that the Corporation accrued very little profit from the lottery licensing fee because it was used to offset the cost of the required background investigations and credit checks for license applicants.
In response to a questions by Senator Roeding, Ms. Bowman stated that the licensing fee was approximately $325.
This administrative regulation was amended as follows: the currently incorporated edition of the "Kentucky Lottery Corporation Retailer Administrative Regulations" was placed into the regulation, in accordance with KRS Chapter 13A.
Department of Agriculture: Industrial Hemp
302 KAR 50:010. Industrial hemp license. Mark Farrow, General Counsel, represented the Department.
In response to a question by Senator Pendleton, Mr. Farrow stated that the Department had not issued any industrial hemp permits yet. However, the University of Kentucky had applied and been approved for a permit.
In response to questions by Representative Allen, Mr. Farrow stated that only state universities were eligible to apply for a permit. Currently, the University of Kentucky was the sole applicant.
This administrative regulation was amended as follows: (1) Section 9 was amended to incorporate by reference certain forms; and (2) the NECESSITY, FUNCTION, and CONFORMITY paragraph, and Sections 3, 4, 6, 7, and 9 were amended to comply with the drafting and format requirements of KRS Chapter 13A.
Justice Cabinet: Department of Corrections: Office of the Secretary
501 KAR 6:110. Roederer Correctional Complex. Jack Damron, Counsel, represented the Department.
This administrative regulation was amended as follows: (1) the NECESSITY, FUNCTION, and CONFORMITY paragraph and Section 1 were amended to comply with the drafting and format requirements of KRS Chapter 13A; and (2) various policies and procedures for the Roederer Correctional Complex were amended for minor corrections.
501 KAR 6:999. Corrections secured policies and procedures. Pursuant to KRS 61.810(1)(i) and (k), KRS 61.815(2), and KRS 197.025(6), the Subcommittee went into closed session to review this administrative regulation.
Education, Arts, and Humanities Cabinet: Board of Education: Department of Education: Office of Learning Programs Development: Office of Learning Support Services
704 KAR 7:120. Home/hospital instruction. Kevin Noland represented the Board.
This administrative regulation was amended as follows: (1) the RELATES TO paragraph was amended to add a statutory citation giving authority to the local school boards for certain decisions; (2) the NECESSITY, FUNCTION, AND CONFORMITY paragraph was amended to include authorizing language; and (3) Sections 3 to 5 were amended to reference the source of the local school boards’ authority.
Workforce Development Cabinet: Department for Employment Services: Unemployment Insurance
787 KAR 1:290. Contract construction rates. Tony DeName, Director, represented the Department.
This administrative regulation was amended as follows: (1) the STATUTORY AUTHORITY paragraph was amended to correct a statutory citation; (2) the NECESSITY, FUNCTION, AND CONFORMITY paragraph was amended to clearly state the necessity for and function served by this administrative regulation, as required by KRS 13A.220(3)(f); and (3) Section 1 was amended to create a new Section 2 to comply with the drafting and format requirements of KRS Chapter 13A.
Labor Cabinet: Occupational Safety and Health
803 KAR 2:180 & E. Recordkeeping: statistics. Fred Huggins, Counsel, Tim Chancellor, Health Standards Specialist, and Chuck Stribling, Safety Standards Specialist, represented the Cabinet.
This administrative regulation was amended as follows: the NECESSITY, FUNCTION, AND CONFORMITY paragraph and Sections 1 and 2 were amended to comply with the drafting and format requirements of KRS Chapter 13A.
Public Service Commission: Utilities
807 KAR 5:090. System development charges for water utilities. Gerald Wuetcher, Assistant General Counsel, represented the Commission.
In response to questions by Senator Roeding, Mr. Wuetcher stated that system development charges were charges assessed by water utilities to finance the construction of new facilities that were needed to serve growing areas. All new customers would be assessed the fee. Other jurisdictions called these fees impact fees.
In response to a question by Senator Long, Mr. Wuetcher stated that this administrative regulation would not affect the conflict in Henry County regarding utility fees but the case was being submitted to the Commission for a decision regarding the fees.
Senator Roeding stated that he was concerned about the appropriateness of water utility impact fees being authorized by administrative regulation rather than by legislation and requested Subcommittee staff to research the issue.
This administrative regulation was approved, with Senator Roeding objecting, and was amended as follows: (1) the RELATES TO and STATUTORY AUTHORITY paragraphs were amended to correct statutory citations; and (2) Sections 1, 3, 6, 11, and 12 were amended to comply with the drafting and format requirements of KRS Chapter 13A.
Cabinet for Health Services: Department for Public Health: Radiology
902 KAR 100:021. Disposal of radioactive material. John Volpe represented the Department.
This administrative regulation was amended as follows: (1) the RELATES TO and STATUTORY AUTHORITY paragraphs were amended to correct statutory citations; and (2) Sections 3, 6, 7, and 10 to 13 were amended to comply with the drafting requirements of KRS Chapter 13A.
Cabinet for Families and Children: Department of Community Based Services: Family Support: Child Support
921 KAR 1:410. Child support collection and distribution. Steven Veno, Director, and Pattie Smith-Glover represented the Cabinet.
This administrative regulation was amended as follows: (1) the RELATES TO, STATUTORY AUTHORITY, and NECESSITY, FUNCTION, AND CONFORMITY paragraphs were amended to comply with the requirements of KRS 13A.220(4)(e) and (f); and (2) Section 12(1) was amended for renumbering.
The Subcommittee determined that the following administrative regulations complied with statutory authority:
Kentucky Higher Education Assistance Authority: KHEAA Grant Programs
11 KAR 5:130. Student application. Diana Barber, Assistant General Counsel, and Linda Renschler, Student Aid Programs, represented the Authority.
Board of Accountancy
201 KAR 1:180. Safe harbor language for nonlicensees to use in connection with a compilation of financial information. Susan Stopher represented the Board.
In response to a question by Senator Roeding, Ms. Stopher stated that safe harbor language was language a non-licensed accounted could use when preparing compiled financial statements that would not violate accountancy laws.
Tourism Cabinet: Department of Fish and Wildlife Resources: Game
301 KAR 2:221 & E. Waterfowl seasons and limits. Tom Bennett, Commissioner, and Scott Porter, General Counsel, represented the Department.
301 KAR 2:222 & E. Waterfowl hunting requirements.
Hunting and Fishing
301 KAR 3:026 & E. Access to wildlife management areas for mobility-impaired individuals. In response to questions by Representative Lee, Mr. Bennett stated that this administrative regulation was amended to comply with the Americans with Disabilities Act.
In response to questions by Representative Lee, Subcommittee staff stated that the amendments did not prohibit mobility-impaired individuals from discharging firearms from a boat when hunting water fowl.
Natural Resources and Environmental Protection Cabinet: Department for Environmental Protection: Division for Air Quality: National Ambient Air Quality Standards, Attainment and Maintenance
401 KAR 51:201. Repeal of 401 KAR 51:200. John Lyons, Director, and Lona Brewer represented the Division.
In response to questions by Chairman Arnold, Mr. Lyons stated that this administrative regulation repealed 401 KAR 51:200 because it was superseded by federal regulations and 401 KAR 51:160.
Public Protection and Regulation Cabinet: Department of Financial Institutions: Division of Thrift Institutions
808 KAR 13:011. Repeal of 808 KAR 13:010. William Doyle, Counsel, represented the Division.
The Subcommittee and the promulgating administrative agencies agreed to defer consideration of the following administrative regulations to the next meeting of the Subcommittee:
Governor's Office: Telehealth Board
10 KAR 3:040E. Establishing protocols and standards for telehealth network training centers and rural sites.
Department of Law: Office of the Attorney General: Racial Profiling
40 KAR 7:010. Procedures for reporting allegations of racial profiling.
Kentucky Retirement Systems: General Rules
105 KAR 1:150 & E. Installment purchase procedures.
Finance and Administration Cabinet: Kentucky Infrastructure Authority
200 KAR 17:080E. Guidelines for 2020 water service account.
Board of Accountancy
201 KAR 1:150. To set forth practice and procedures for hearings held before the Kentucky State Board of Accountancy.
Justice Cabinet: Department of Criminal Justice Training: Kentucky Law Enforcement Council
503 KAR 1:110E. Department of Criminal Justice Training basic training: graduation requirements; records.
Public Protection and Regulation Cabinet: Department of Housing, Buildings and Construction: Kentucky Building Code
815 KAR 7:120E. Kentucky Building Code/2002.
815 KAR 7:125E. Kentucky Residential Code/2002.
Cabinet for Health Services: Department for Public Health: State Health Plan
902 KAR 17:041 & E. State Health Plan for facilities and services.
Office of Inspector General: Inspector General
906 KAR 1:120E. Informal dispute resolution.
Department for Medicaid Services: Services
907 KAR 1:013E. Payments for hospital inpatient services.
907 KAR 1:015E. Payments for hospital outpatient services.
907 KAR 1:019E. Outpatient Pharmacy Program.
907 KAR 1:021E. Reimbursement for drugs.
907 KAR 1:030E. Home health agency services.
907 KAR 1:055E. Payments for primary care center, federally-qualified health center, and rural health clinic services.
907 KAR 1:081E. Repeal of 907 KAR 1:080.
907 KAR 1:145E. Supports for community living services for an individual with mental retardation or a developmental disability.
907 KAR 1:660E. Relative responsibility requirements for Medicaid.
907 KAR 1:810E. Presumptive eligibility for pregnant women.
Payment and Services
907 KAR 3:030E. Coverage and payments for IMPACT Plus services.
Cabinet for Families and Children: Department of Community Based Services: Family Support: K-TAP, Kentucky Works, Welfare to Work, State Supplementation
921 KAR 2:015E. Supplemental programs for persons who are aged, blind, or have a disability.
Protection and Permanency: Child Welfare
922 KAR 1:470E. Central registry.
Day Care
922 KAR 2:090E. Child care facility licensure.
The Subcommittee adjourned at 1 p.m. until April 15, 2002, at 10:30 a.m. in Room 149 of the Capitol Annex.