AN ACT relating to appropriations providing financing for the operations, maintenance, support, and functioning of the government of the Commonwealth of Kentucky and its various officers, cabinets, departments, boards, commissions, institutions, subdivisions, agencies, and other state-supported activities.
     The State/Executive Branch Budget: appropriate from the General Fund, Road Fund, Restricted Funds, Federal Funds, Bond Funds, Agency Bonds, Capital Construction Surplus, Investment Income, and other funds, $36,587,700 for fiscal year 1999-2000; $17,811,623,700 in fiscal year 2000-2001; $16,840,060,700 in fiscal year 2001-2002, as follows: Government Operations 1999-00 $ 670,000 2000-01 $ 575,153,500 1001-02 $ 497,128,700 Economic Development 2000-01 $ 19,820,000 2001-02 $ 18,874,000 Education 1999-00 $ 865,400 2000-01 $ 3,273,664,800 2001-02 $ 492,692,300 Education, Arts, and Humanities 2000-01 $ 207,197,100 2001-02 $ 224,277,200 Cabinet for Families and Children 2000-01 $ 917,068,300 2001-02 $ 951,503,000 Finance and Administration 1999-00 $ 17,786,100 2000-01 $ 429,777,900 2001-02 $ 456,099,400 Cabinet for Health Services 1999-00 $ 437,500 2000-01 $ 3,939,874,500 2001-02 $ 4,113,081,700 Justice Cabinet 2000-01 $ 608,495,800 2001-02 $ 663,742,900 Labor Cabinet 2000-01 $ 313,292,500 2001-02 $ 313,122,300 Natural Resource and Environmental Protection 2000-02 $ 155,498,900 2001-02 $ 159,625,600 Personnel Cabinet 1999-00 $ 11,000,000 2000-01 $ 34,029,700 2001-02 $ 35,545,500 Postsecondary Education 2000-01 $ 2,851,405,400 2001-02 $ 3,045,462,200 Public Protection and Regulation 1999-00 $ 802,700 2000-01 $ 201,223,100 2001-02 $ 211,070,800 Revenue 2000-01 $ 97,289,400 2001-02 $ 102,268,200 Tourism Development 1999-00 $ 1,456,000 2000-01 $ 152,251,100 2001-02 $ 158,421,800 Transportation 2000-01 $ 1,775,922,800 2001-02 $ 1,900,673,300 Workforce Development 1999-00 $ 950,000 2000-01 $ 530,552,000 2001-02 $ 527,503,700 Not included in the above appropriation amounts are capital project amounts as follows: Capital Projects 1999-00 $ 2,620,000 2000-01 $ 1,728,680,900 2001-02 $ 104,502,100 provide for the recording, reporting, allotment, and expenditure of appropriated funds; provide for the deposit of Restricted Funds and Federal Funds; prohibit the transfer of funds between budget units unless specifically authorized and upon review and determination by the Interim Joint Committee on Appropriations and Revenue; provide that no appropriation from any fund source shall exceed the sum specified until the agency has submitted required documentation to the Interim Joint Committee on Appropriations and Revenue for review and action under KRS 48.630; provide that within 60 days upon adjournment of the 2000 General Assembly the Governor's Office for Policy and Management shall prepare a final budget document based on the proposed State/Executive Branch Budget, the statutory budget memorandum, and other acts that contain appropriation provisions as enacted by the 2000 General Assembly, and other supporting documentation and legislative records as considered by the 2000 General Assembly; provide that the Secretary of the Finance and Administration Cabinet monitor and report on the financial condition of the Commonwealth under KRS 48.400; provide that no additional funds be deposited in the Budget Reserve Trust Fund for 2000-2002 except as provided in this Act; provide that the employer contribution for KERS be no more than 5.89 percent for nonhazardous duty employees, 18.84 percent for hazardous duty employees, and 21.58 for State Police; provide a 2.4 percent wage adjustment for all employees each fiscal year for state personnel with an additional wage rate increase of one, two, or three percent as determined by the Personnel Cabinet; provide for funds transfers to the General Fund; provide for a General Fund Budget Reduction Plan, a General Fund Surplus Plan, a Road Fund Budget Reduction Plan, and a Road Fund Surplus Plan; provide conditions, directives, and mandates for implementation of the budget plan; create a new section of KRS Chapter 136 to provide definitions; amend KRS 136.136.070, 136.071, 136.090, and 136.100 to extend license tax to all business entities; create two new sections and amend various other sections of KRS Chapter 141 relating to individual income tax to allow federal amounts for standard deduction and personal exemption, require federal filing status, eliminate the low income credit, establish tax rate of 6% for all taxable income, create an alternative tax for high income taxpayers based on federal adjusted gross income with limited deductions, and define when an estate or trust is subject to Kentucky income tax; Amend various sections of KRS Chapter 141 relating to corporation income tax to create a "doing business" standard for application of corporate income tax; create a new section of KRS Chapter 132 and amend 132.020, 132.190, and 132.200 to exempt certain property from state and local ad valorem tax, exempt certain property from state only ad valorem tax, and phase out the state ad valorem tax on motor vehicles and motorboats; amend 134.800, 134.810, 134.815, 134.820, and 132.487 to establish an administrative fee to be collected by the county clerk upon registration of a motor vehicle or motorboat; amend KRS 138.450 to allow a trade-in credit when computing motor vehicle use tax on new vehicle purchases; amend KRS 138.460 to increase the amount of tax retained by the county clerk to 3.25%; amend KRS 138.470 to remove from the motor vehicle use tax any vehicle registered under KRS 186.050(13); amend KRS 139.472 to modify the definition of prescription medicine, make prosthetic devices and physical aids purchased for private use exempt from sales tax, and define terms; amend KRS 139.340 to apply to retailers who use representatives in Kentucky; amend KRS 139.050, 139.100, and 139.130 to make repair and installation labor subject to sales tax; amend various sections of KRS Chapter 138 to establish a fixed rate for the gasoline excise tax, set the rate at fifteen cents per gallon for gasoline and twelve cents per gallon for special fuels, plus a supplemental tax at the rate of four cents per gallon effective July 1, 2000, and seven cents per gallon effective July 1, 2001, appropriate one cent of the supplemental tax to be used for unpaved county roads, adjust tax annually based on consumer price index, adjust compensation allowed dealers to one and one half percent, and adjust the heavy equipment motor carrier tax to a fixed rate of two and two-tenths cents per gallon for gasoline and five and two-tenths cents per gallon for special fuels; amend KRS 177.320 to increase funds for the Kentucky Transportation Center to a maximum of $290,000 annually; amend KRS 234.320 and 234.380 to align motor fuels tax for liquefied petroleum gas with gasoline rates; amend KRS 138.510 to exempt from the excise tax any one day international racing event that distributes in excess of $10,000,000 in purses; amend 138.530 to require monthly rather than weekly filing of racing excise tax; create two new sections of KRS 138.510 to 138.550 to establish a credit against the pari-mutuel tax for tracks with a daily handle above $1,200,000 to be used for capital improvements and horsemen's incentives; create 28 new sections of KRS Chapter 138 to establish a communications excise tax of 6% of the sales price of any communications service that originates and/or terminates in this state, establish a 'communications excise tax fund' and a 'communications excise tax local fund' to distribute a portion of the communications excise tax to participating local governments; establish a 'communications excise tax local distribution fund oversight committee' to monitor implementation of the local distribution fund and oversee distribution amounts, prohibit local governments from levying most taxes or fees on communications services; and to specify that any tax savings from the change to this method of tax shall belong proportionately to the customers of the provider; amend KRS 132.010 to modify the definition of real property of companies providing communications services; create a new section of KRS Chapter 132 to indicate that only the Revenue Cabinet shall value the tangible personal property of companies providing communications services, and shall allocate that value to local districts where the property is located; amend KRS 136.120 to make all providers of communications services subject to the public service company property tax; amend 139.100 to remove telephone and telegraph communications services from sales tax; amend KRS 136.160 to include prepaid calling cards or arrangements in the sales tax; amend KRS 141.120 to specify how companies providing communications services shall allocate and apportion income; amend KRS 160.613 to remove telephonic and telegraphic communications services from the 3% gross receipts tax for schools; amend KRS 21.470, 61.690, 67A.350, 161.700, 164.2871, 161.569, and 141.021 to include the income in the computation of the alternative tax on individuals; amend KRS 141.206 to conform; repeal KRS 175.505; repeal KRS 160.614 for all services billed on or after January 1, 2001.

     Jan 27-introduced in House
     Jan 28-to Appropriations and Revenue (H)
     Mar 6-posted in committee
     Mar 10-reported favorably, 1st reading, to Calendar; recommitted to Appropriations and Revenue (H)
     Mar 13-reported favorably with Committee Substitute, committee amendments (1) (2) and (3-title) ; 2nd reading, to Rules; floor amendments (1) (2) (3) and (4) filed to Committee Substitute
     Mar 14-floor amendments (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (16) (17) (18) (19) (20) and (21) filed to Committee Substitute; floor amendments (15) and (22) filed to committee amendment (2) ; floor amendment (23) filed to committee amendment (1) ; posted for passage in the Regular Orders of the Day for Wednesday, March 15, 2000
     Mar 15-floor amendments (24) (25) (26) (27) and (28) filed to Committee Substitute ; 3rd reading; floor amendment (2) ruled out of order ; floor amendment (21) ruled not germane ; floor amendment (1) defeated ; passed with Committee Substitute, committee amendments (1) (2) and (3), floor amendments (4) (8) (10) (12) (13) (16) (17) (18) (19) (20) (22) and (23); bill reconsidered; passed 85-13 with Committee Substitute, committee amendments (1) (2) and (3-title), floor amendments (4) (8) (10) (12) (13) (16) (17) (18) (19) (20) (22) (23) and (28)
     Mar 16-received in Senate; to Appropriations and Revenue (S); taken from committee Appropriations and Revenue (S); laid on clerk's desk; 1st reading, to Calendar
     Mar 17-2nd reading, to Rules; recommitted to Appropriations and Revenue (S)
     Mar 23-reported favorably, to Rules with Committee Substitute ; floor amendment (1) filed to Committee Substitute ; posted for passage in the Regular Orders of the Day for Friday, March 24, 2000
     Mar 24-floor amendments (2) (3) (4) and (5) filed to Committee Substitute ; 3rd reading; floor amendment (1) withdrawn ; passed 20-17 with Committee Substitute ; received in House; posted for passage for concurrence in Senate Committee Substitute ; House refused to concur in Senate Committee Substitute ; received in Senate; posted for passage for receding from Senate Committee Substitute ; Senate refused to recede from Committee Substitute ; Conference Committee appointed in Senate
     Mar 27-Conference Committee appointed in House; Free Conference Committee appointed in Senate
     Mar 28-Conference Committee report filed in House and Senate; Conference Committee report adopted in House and Senate; Free Conference Committee appointed in House
     Apr 14-Free Conference Committee report filed in House and Senate; Free Conference Committee report adopted in Senate; Free Conference Committee report reconsidered; passed over; returned to Rules; Free Conference Committee report (2) filed in House and Senate; Free Conference Committee report (2) adopted in Senate; passed 36-0; received in House; Free Conference Committee report (2) adopted in House; passed 90-8; enrolled, signed by each presiding officer, delivered to Governor
     Apr 26-ten (10) line items vetoed; signed by Governor (Acts ch. 549)