Kentucky 2026 Regular Session Status: Enacted 1 R cosponsors

SB 343 — AN ACT relating to the Department of Workers' Claims and declaring an emergency.

Last action — became law without Governor's Signature (Acts Ch. 61)

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  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Senate
  4. ✓
    Passed House
  5. ✓
    To Executive
  6. 6
    Enacted

This bill has been enacted into law. Introduced March 02, 2026. Enacted.

Signed by Governor Andy Beshear (Democratic) on April 09, 2026.

Prognosis

Likely to advance 72% · moderate confidence

Where this bill stands today.

Odds of enactment

High

How often bills like it became law.

  • Enacted

    Current position in the legislative process.

  • 1 sponsor

    1 primary, 0 co-sponsors signed on.

  • Single-party support

    Sponsorship is currently within one party (1 R).

  • Cleared a recorded vote

    Passed 2 recorded votes so far.

Prognosis reads this bill's own signals — stage, sponsorship breadth, committee status, recorded votes and cross-state momentum. Odds come from a model trained on which bills have become law.

Summary

Create a new section of KRS Chapter 342 to establish the Department of Workers' Claims to be administratively attached to the Office of the Governor; amend KRS 342.122 to provide that the combined budgets of the Occupational Safety and Health Review Commission, Workers' Compensation Nominating Committee, Department of Workplace Standards, and the proportional support for general administration and approved indirect cost allocation to the Education and Labor Cabinet, shall not exceed 75% of the total combined budget submitted by the Workers’ Compensation Funding Commission and that the Workers’ Compensation Funding Commission, the Department of Workers’ Claims, the Occupational Safety and Health Review Commission, the Workers’ Compensation Nominating Committee, the Department of Workplace Standards, excluding the Division of Wages and Hours contained within the Department of Workplace Standards, and the Education and Labor Cabinet, shall each submit a budget which shall be combined by the Workers’ Compensation Funding Commission and reflected in the enacted budget of the Commonwealth; amend KRS 342.228 to require the commissioner of the Department of Workers' Claims to have specified knowledge and experience in the areas of public administration, administrative law, and workers' compensation by having a minimum of 8 years of legal practice experience in the area of workers' compensation; amend KRS 342.230 to authorize the commissioner to fill all positions in the Department for Workers' Claims with KRS Chapter 18A employees; amend KRS 151B.015 to remove the Department of Workers' Claims from the Education and Labor Cabinet; amend various other sections to conform; provide that all records, equipment, staff, budgets, and unexpended funds associated with the Department of Workers' Claims shall be transferred as part of the reorganization; provide that all administrative regulations, decisions, and actions of the department that have not been repealed or rescinded shall continue in effect after the effective date of the Act, unless and until they are amended, repealed, or rescinded by the department after the effective date of this Act; EMERGENCY.

Bill Text

What changed in the latest version

1351 added · 1725 removed

1351 line(s) added, 1725 removed.

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UNOFFICIAL COPY 26 RS SB 343/GA AN ACT relating to the Department of Workers' Claims and declaring an emergency.
CHAPTER 61 1 CHAPTER 61 ( SB 343 ) AN ACT relating to the Department of Workers' Claims and declaring an emergency.
(b) Office of General Counsel:
(b) Office of General Counsel;
(1) "Injury" means any work-related traumatic event or series of traumatic events, including cumulative trauma, arising out of and in the course of employment which Page 1 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA is the proximate cause producing a harmful change in the human organism evidenced by objective medical findings.
(1) "Injury" means any work-related traumatic event or series of traumatic events, including cumulative trauma, arising out of and in the course of employment which is the proximate cause producing a harmful change in the human organism evidenced by objective medical findings.
(6) "Carrier" means any insurer, or legal representative thereof, authorized to insure the liability of employers under this chapter and includes a self-insurer;
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY (6) "Carrier" means any insurer, or legal representative thereof, authorized to insure the liability of employers under this chapter and includes a self-insurer;
Page 2 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (7) "Self-insurer" is an employer who has been authorized under the provisions of this chapter to carry his own liability on his employees covered by this chapter;
(7) "Self-insurer" is an employer who has been authorized under the provisions of this chapter to carry his own liability on his employees covered by this chapter;
Page 3 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (12) "Income benefits" means payments made under the provisions of this chapter to the disabled worker or his dependents in case of death, excluding medical and related benefits;
(12) "Income benefits" means payments made under the provisions of this chapter to the disabled worker or his dependents in case of death, excluding medical and related benefits;
(19) "Beneficiary" means any person who is entitled to income benefits or medical and Page 4 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA related benefits under this chapter;
(19) "Beneficiary" means any person who is entitled to income benefits or medical and related benefits under this chapter;
(20) "United States," when used in a geographic sense, means the several states, the District of Columbia, the Commonwealth of Puerto Rico, the Canal Zone, and the territories of the United States;
CHAPTER 61 3 (20) "United States," when used in a geographic sense, means the several states, the District of Columbia, the Commonwealth of Puerto Rico, the Canal Zone, and the territories of the United States;
A business entity engaged in the severance or processing of coal, including but not limited to administrative or selling functions, shall be considered wholly engaged in the severance or processing of coal for the Page 5 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA purpose of this chapter.
A business entity engaged in the severance or processing of coal, including but not limited to administrative or selling functions, shall be considered wholly engaged in the severance or processing of coal for the purpose of this chapter.
The rates, factors, and methods used to calculate the cost for coverage under this paragraph for insurance policies or other evidence of coverage with provisions for deductibles shall be the same rates, factors, and methods normally used by the insurance company in Kentucky to calculate the cost for coverage for insurance policies or other evidence of coverage Page 6 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA without provisions for deductibles, except that, for insurance policies or other evidence of coverage with provisions for deductibles effective on or after January 1, 1995, the calculated cost for coverage shall not include any schedule rating modification, debits, or credits.
The rates, factors, and methods used to calculate the cost for coverage under this paragraph for insurance policies or other evidence of coverage with provisions for deductibles shall be the same rates, factors, and methods normally used by the insurance company in Kentucky to calculate the cost for coverage for insurance policies or other evidence of coverage without provisions for deductibles, except that, for insurance policies or other evidence of coverage with provisions for deductibles effective on or after January 1, 1995, the calculated cost for coverage shall not include any schedule rating modification, debits, or credits.
For policies covering covered employees having a co- employment relationship with a professional employer organization and a client as defined in KRS Chapter 336, "premiums received" means premiums calculated using the experience modification factor of each client as defined in KRS Chapter 336 for each covered employee for that portion of the payroll pertaining to the covered employee.
For policies covering covered employees having a co-employment relationship Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY with a professional employer organization and a client as defined in KRS Chapter 336, "premiums received" means premiums calculated using the experience modification factor of each client as defined in KRS Chapter 336 for each covered employee for that portion of the payroll pertaining to the covered employee.
(b) "Direct written premium" for insurance companies means the gross premium written less return premiums and premiums on policies not taken but Page 7 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA including policy and membership fees.
(b) "Direct written premium" for insurance companies means the gross premium written less return premiums and premiums on policies not taken but including policy and membership fees.
For policies with provisions for deductibles with effective dates of May 6, 1993, through December 31, 1993, for which the insurance company did not report premiums and remit special fund assessments based on the calculated cost for coverage prior to the reduction for deductibles, "premium" includes the initial consideration plus any Page 8 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA reimbursements invoiced for losses, expenses, or fees charged under the deductibles.
For policies with provisions for deductibles with effective dates of May 6, 1993, through December 31, 1993, for which the insurance company did not report premiums and remit special fund assessments based on the calculated cost for coverage prior to the reduction for deductibles, "premium" includes the initial consideration plus any reimbursements invoiced for losses, expenses, or fees charged under the deductibles.
The commissioner shall identify each claim of the employer which has an injury date or date of last injurious exposure to the Page 9 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA cause of an occupational disease during each one (1) of the three (3) calendar years to be used as the base, and shall assign a value to each claim.
The commissioner shall identify each claim of the employer which has an injury date or date of last injurious exposure to the cause of an occupational disease during each one (1) of the three (3) calendar years to be used as the base, and shall assign a value to each claim.
Adjustment to current benefit levels shall be done by multiplying the weekly indemnity benefit for each claim by the number obtained by dividing the statewide average weekly wage which will be in effect for the year for which the premium is being calculated by the statewide average weekly wage in effect during the year in which the injury or date of the last exposure occurred.
Adjustment to current benefit levels shall be done by multiplying the weekly indemnity benefit for each claim by the number obtained by dividing the statewide average CHAPTER 61 5 weekly wage which will be in effect for the year for which the premium is being calculated by the statewide average weekly wage in effect during the year in which the injury or date of the last exposure occurred.
Page 10 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (c) The commissioner shall divide the total of the adjusted claim values for the three (3) year base period by the total adjusted payroll for the same three (3) year period.
(c) The commissioner shall divide the total of the adjusted claim values for the three (3) year base period by the total adjusted payroll for the same three (3) year period.
If the employer has less than two (2) years of operation in this state available for the premium calculation, then its premium Page 11 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA shall be the greater of the value obtained by the calculation called for in this subsection or the amount of security required by the commissioner pursuant to KRS 342.340(1);
If the employer has less than two (2) years of operation in this state available for the premium calculation, then its premium shall be the greater of the value obtained by the calculation called for in this subsection or the amount of security required by the commissioner pursuant to KRS 342.340(1);
(30) "Investment interest" means any pecuniary or beneficial interest in a provider of medical services or treatment under this chapter, other than a provider in which that pecuniary or investment interest is obtained on terms equally available to the public through trading on a registered national securities exchange, such as the New York Stock Exchange or the American Stock Exchange, or on the National Association of Securities Dealers Automated Quotation System;
(30) "Investment interest" means any pecuniary or beneficial interest in a provider of medical services or treatment under this chapter, other than a provider in which that pecuniary or investment interest is obtained on terms Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY equally available to the public through trading on a registered national securities exchange, such as the New York Stock Exchange or the American Stock Exchange, or on the National Association of Securities Dealers Automated Quotation System;
(31) "Managed health care system" means a health care system that employs gatekeeper Page 12 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA providers, performs utilization review, and does medical bill audits;
(31) "Managed health care system" means a health care system that employs gatekeeper providers, performs utilization review, and does medical bill audits;
The Division of Workers' Compensation Funds shall have no responsibility for the coal workers' Page 13 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA pneumoconiosis fund once the assets and liabilities have been transferred to the Kentucky Employers' Mutual Insurance Authority, which will administer the fund pursuant to KRS 342.1243.
The Division of Workers' Compensation Funds shall have no responsibility for the coal workers' pneumoconiosis fund once the assets and liabilities have been transferred to the Kentucky Employers' Mutual Insurance Authority, which will administer the fund pursuant to KRS 342.1243.
(1) (a) For calendar year 1997 and for each calendar year thereafter, for the purpose of funding and prefunding the liabilities of the special fund, financing the administration and operation of the Kentucky Workers' Compensation Funding Commission, and financing the expenditures for all programs in the Department of Workers' Claims, Occupational Safety and Health Review Commission, Workers' Compensation Nominating Committee, Department of Workplace Standards, except expenditures for the Division of Wages and Hours contained in the Department of Workplace Standards and the proportional support for general administration and support based on an Page 14 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA approved indirect cost allocation plan within the Department of Workers' Claims and the Education and Labor Cabinet, as reflected in the enacted budget of the Commonwealth and enacted by the General Assembly, the funding commission shall impose a special fund assessment rate of nine percent (9%) upon the amount of workers' compensation premiums received on and after January 1, 1997, through December 31, 1997, by every insurance carrier writing workers' compensation insurance in the Commonwealth, by every self-insured group operating under the provisions of KRS 342.350(4) and Chapter 304, and against the premium, as defined in KRS 342.0011, of every employer carrying his or her own risk.
(1) (a) For calendar year 1997 and for each calendar year thereafter, for the purpose of funding and prefunding the liabilities of the special fund, financing the administration and operation of the Kentucky Workers' Compensation Funding Commission, and financing the expenditures for all programs in the Department of Workers' Claims, Occupational Safety and Health Review Commission, Workers' Compensation Nominating Committee, Department of Workplace Standards, except expenditures for the Division of Wages and Hours contained in the Department of Workplace Standards and the proportional support for general administration and support based on an approved indirect cost allocation plan within the Department of Workers' Claims and the Education and Labor Cabinet, as reflected in the enacted budget of the Commonwealth and enacted by the General Assembly, the funding commission shall impose a special fund assessment rate of nine percent (9%) upon the amount of workers' compensation CHAPTER 61 7 premiums received on and after January 1, 1997, through December 31, 1997, by every insurance carrier writing workers' compensation insurance in the Commonwealth, by every self-insured group operating under the provisions of KRS 342.350(4) and Chapter 304, and against the premium, as defined in KRS 342.0011, of every employer carrying his or her own risk.
Page 15 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 2.
2.
On or before October 1 of each year, the commission shall Page 16 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA notify each insurance carrier writing workers' compensation insurance in the Commonwealth, every group of self-insured employers, and each employer carrying its own risk, of the rates which shall become effective on January 1 of each year, unless modified by the General Assembly.
On or before October 1 of each year, the commission shall notify each insurance carrier writing workers' compensation insurance in the Commonwealth, every group of self-insured employers, and each employer carrying its own risk, of the rates which shall become effective on January 1 of each year, unless modified by the General Assembly.
Receipt shall be considered timely when filed and remitted using the appropriate electronic pay system as prescribed by the funding commission.
Receipt shall be considered timely when filed and remitted using the Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY appropriate electronic pay system as prescribed by the funding commission.
If the insurance carrier collects the assessment from an insured, the assessment shall be Page 17 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA collected at the same time and in the same proportion as the premium is collected.
If the insurance carrier collects the assessment from an insured, the assessment shall be collected at the same time and in the same proportion as the premium is collected.
This election may not be rescinded for at least ten (10) years, nor may this election be made a second time for at least another ten (10) years, except that the board of directors of the funding commission may, at its discretion, waive the ten (10) year ban on a case-by-case basis after formal petition has been made to the funding commission by a self- insured group.
This election may not be rescinded for at least ten (10) years, nor may this election be made a second time for at least another ten (10) years, except that the board of directors of the funding commission may, at its discretion, waive the ten (10) year ban on a case-by-case basis after formal petition has been made to the funding commission by a self-insured group.
Additionally, the funding commission shall require each entity paying a special fund assessment to Page 18 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA report the SIC code for each employer and the amount of premium collected from each SIC code.
Additionally, the funding commission shall require each entity paying a special fund assessment to report the SIC code for each employer and the amount of premium collected from each SIC code.
Page 19 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (10) All assessment rates imposed for periods prior to January 1, 1997, under KRS 342.122 shall forever remain applicable to premiums received on policies with effective dates prior to January 1, 1997, by every insurance carrier writing workers' compensation insurance in the Commonwealth, by every self-insured group operating under the provision of KRS 342.350(4) and Chapter 304, and against the premium, as defined in KRS 342.0011, of every employer carrying its own risk.
(10) All assessment rates imposed for periods prior to January 1, 1997, under KRS 342.122 shall forever remain applicable to premiums received on policies with effective dates prior to January 1, 1997, by every insurance carrier writing workers' compensation insurance in the Commonwealth, by every self-insured group operating under the provision of KRS 342.350(4) and Chapter 304, and against the premium, as defined in KRS 342.0011, of every employer carrying its own risk.
(1) The Workers' Compensation Board is hereby created and established.
CHAPTER 61 9 (1) The Workers' Compensation Board is hereby created and established.
or (c) December 1, 2027, shall continue serving a term that shall expire on June 1, Page 20 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 2028.
or (c) December 1, 2027, shall continue serving a term that shall expire on June 1, 2028.
Page 21 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (2) The commissioner shall have demonstrated knowledge and experience in the areas of public administration, administrative law, and workers' compensation by having a minimum of eight (8) years of legal practice experience in the area of workers' compensation[area of workers' compensation, public administration, and administrative law].
(2) The commissioner shall have demonstrated knowledge and experience in the areas of public administration, administrative law, and workers' compensation by having a minimum of eight (8) years of legal practice experience in the area of workers' compensation[area of workers' compensation, public administration, and administrative law].
and monitor the caseloads of the administrative law judges and the Workers' Compensation Board to ensure timely disposition of cases;
and monitor the caseloads of the administrative law judges and the Workers' Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY Compensation Board to ensure timely disposition of cases;
(3)[(2)] The Governor shall appoint, with the consent of the Senate in accordance with KRS 11.160 for a term of four (4) years, not more than nineteen (19) administrative law judges, each of whom shall be an attorney and shall have five (5) years' experience in the Commonwealth in the practice of workers' compensation law or a Page 22 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA related field, and extensive knowledge of workers' compensation law, and shall be paid the same salary as a Circuit Judge.
(3)[(2)] The Governor shall appoint, with the consent of the Senate in accordance with KRS 11.160 for a term of four (4) years, not more than nineteen (19) administrative law judges, each of whom shall be an attorney and shall have five (5) years' experience in the Commonwealth in the practice of workers' compensation law or a related field, and extensive knowledge of workers' compensation law, and shall be paid the same salary as a Circuit Judge.
A member of the board or an administrative law judge may be removed for good cause, Page 23 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA including violation of the code of judicial ethics or the code of ethics applicable to the executive branch of the Commonwealth.
A member of the board or an administrative law judge may be removed for good cause, including violation of the code of judicial ethics or the code of ethics applicable to the executive branch of the Commonwealth.
(8)[(7)] One (1) of the administrative law judges appointed pursuant to this section shall be appointed as a chief administrative law judge, to have the same Page 24 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA qualifications, powers, duties, and requirements as those of other administrative law judges.
(8)[(7)] One (1) of the administrative law judges appointed pursuant to this section shall be appointed as a chief administrative law judge, to have the same qualifications, powers, duties, and requirements as those of other administrative law judges.
At any time the commissioner may replace the chief administrative law judge with one (1) of the other administrative law judges at which time the former chief administrative law judge shall resume the duties assigned to the other administrative law judges pursuant to this chapter.
At any time the commissioner may replace the chief administrative law judge with one (1) of the other administrative law judges at which time the former chief administrative law judge shall CHAPTER 61 11 resume the duties assigned to the other administrative law judges pursuant to this chapter.
(1) Notwithstanding the provisions of KRS 342.340, KRS 342.350, or any administrative regulations promulgated pursuant to those provisions, the commissioner shall annually review the adequacy of the financial or other security requirements contained in administrative regulations, promulgated pursuant to the individual self-insurance provisions in this chapter.
(1) Notwithstanding the provisions of KRS 342.340, KRS 342.350, or any administrative regulations promulgated pursuant to those provisions, the commissioner shall annually review the adequacy of the financial or other security requirements contained in administrative regulations, promulgated pursuant to the individual self- insurance provisions in this chapter.
In addition, the commissioner shall report not less often than annually a summary report on the financial soundness of the individual self- insurers.
In addition, the commissioner shall report not less often than annually a summary report on the financial soundness of the individual self-insurers.
(2) The Economic Development and Workforce Investment Committee of the General Assembly shall annually review the administrative regulations promulgated Page 25 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA pursuant to the individual provisions under this chapter.
(2) The Economic Development and Workforce Investment Committee of the General Assembly shall annually review the administrative regulations promulgated pursuant to the individual provisions under this chapter.
These additional employees shall be employed for the purpose of conducting financial audits, examinations, and reviews and other activities necessary to ensure and monitor the financial soundness of the individual self- insured employers authorized pursuant to KRS 342.340.
These additional employees shall be employed for the purpose of conducting financial audits, examinations, and reviews and other activities necessary to ensure and monitor the financial soundness of the individual self-insured employers authorized pursuant to KRS 342.340.
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It is not intended that this enumeration of administrative bodies be all-inclusive.
It is not intended that this enumeration of administrative bodies be all- inclusive.
Page 26 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (4) Department of Law.
(4) Department of Law.
(1) Justice and Public Safety Cabinet:
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY (1) Justice and Public Safety Cabinet:
Page 27 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (d) Department of Juvenile Justice.
(d) Department of Juvenile Justice.
3.
CHAPTER 61 13 3.
Page 28 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 7.
7.
Page 29 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 1.
1.
3.
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY 3.
Page 30 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 2.
2.
4.
CHAPTER 61 15 4.
Page 31 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 2.
2.
Page 32 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA a.
a.
6.
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY 6.
Page 33 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (7) Finance and Administration Cabinet:
(7) Finance and Administration Cabinet:
(q) Kentucky Local Correctional Facilities Construction Authority.
CHAPTER 61 17 (q) Kentucky Local Correctional Facilities Construction Authority.
Page 34 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 1.
1.
Page 35 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 1.
1.
2.
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY 2.
Page 36 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 1.
1.
(d) Kentucky Public Employees Deferred Compensation Authority.
CHAPTER 61 19 (d) Kentucky Public Employees Deferred Compensation Authority.
Page 37 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA a.
a.
1.
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY 1.
Page 38 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA b.
b.
Page 39 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (m)] Workers' Compensation Funding Commission.
(m)] Workers' Compensation Funding Commission.
(s)[(t)] Kentucky Workforce Innovation Board.
(s)[(t)]Kentucky Workforce Innovation Board.
(v)[(w)] Kentucky Geographic Education Board.
CHAPTER 61 21 (v)[(w)] Kentucky Geographic Education Board.
Page 40 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (11) Department of Workers' Claims.
(11) Department of Workers' Claims.
(a) Office of the Commissioner.
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY (a) Office of the Commissioner.
Page 41 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (f) Division of Workers' Compensation Funds.
(f) Division of Workers' Compensation Funds.
(1) The provisions of this chapter shall apply to all administrative hearings conducted Page 42 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA by an agency, with the exception of those specifically exempted under this section.
(1) The provisions of this chapter shall apply to all administrative hearings conducted by an agency, with the exception of those specifically exempted under this section.
Page 43 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (i) Administrative hearings exempted pursuant to subsection (3) of this section;
CHAPTER 61 23 (i) Administrative hearings exempted pursuant to subsection (3) of this section;
Supervised placement revocation hearings conducted under authority of KRS Chapter 630 Page 44 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 3.
Supervised placement revocation hearings conducted under authority of KRS Chapter 630 3.
Prison grievance committee hearings conducted under authority of KRS Chapters 196 and 197 3.
Prison grievance committee hearings conducted under authority of KRS Chapters 196 and 3.
Department for Natural Resources a.
Department for Natural Resources Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY a.
Oil and gas hearings conducted under the authority of KRS Page 45 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA Chapter 353, except for those conducted by the Kentucky Oil and Gas Conservation Commission pursuant to KRS 353.500 to 353.720 c.
Oil and gas hearings conducted under the authority of KRS Chapter 353, except for those conducted by the Kentucky Oil and Gas Conservation Commission pursuant to KRS 353.500 to 353.720 c.
Occupational safety and health hearings conducted under authority of KRS Chapter 338 2.[3.]Unemployment insurance hearings conducted under authority of KRS Page 46 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA Chapter 341 3.[4.]Disability determination hearings conducted under authority of 20 C.F.R.
Occupational safety and health hearings conducted under authority of KRS Chapter 338 2.[3.] Unemployment insurance hearings conducted under authority of KRS Chapter 341 3.[4.] Disability determination hearings conducted under authority of 20 C.F.R.
University presidents and faculty removal hearings conducted under authority of KRS Chapter 164 3.
University presidents and faculty removal hearings conducted under authority of KRS Chapter 3.
1232 and 34 C.F.R.
and 34 C.F.R.
(a) The provisions of this chapter conflict with any provision of federal law or regulation with which the agency must comply, or with any federal law or regulation with which the agency must comply to permit the agency or Page 47 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA persons within the Commonwealth to receive federal tax benefits or federal funds or other benefits;
(a) The provisions of this chapter conflict with any provision of federal law or regulation with which the agency must comply, or with any federal law or regulation with which the agency must comply to permit the agency or persons within the Commonwealth to receive federal tax benefits or federal funds or other benefits;
(b) Conformity with the requirement of this chapter from which exemption is sought would be so unreasonable or so impractical as to deny due process because of undue delay in the conduct of administrative hearings;
CHAPTER 61 25 (b) Conformity with the requirement of this chapter from which exemption is sought would be so unreasonable or so impractical as to deny due process because of undue delay in the conduct of administrative hearings;
The cabinet shall Page 48 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA consist of a secretary and those administrative bodies and employees as provided by law.
The cabinet shall consist of a secretary and those administrative bodies and employees as provided by law.
(b) [Department of Workers' Claims, which shall be headed by a commissioner Page 49 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA appointed by the Governor and confirmed by the Senate in accordance with KRS 342.228.
(b) [Department of Workers' Claims, which shall be headed by a commissioner appointed by the Governor and confirmed by the Senate in accordance with KRS 342.228.
Each division in the department shall be headed by a director appointed by the secretary with the approval of the Governor in accordance with KRS 12.050.
Each division Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY in the department shall be headed by a director appointed by the secretary with the approval of the Governor in accordance with KRS 12.050.
Page 50 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA 1.
1.
and (i)[(j)] Department of Workforce Development, which shall be headed by a commissioner appointed by the Governor in accordance with KRS 12.040 who shall report to the secretary.
and (i)[(j)]Department of Workforce Development, which shall be headed by a commissioner appointed by the Governor in accordance with KRS 12.040 who shall report to the secretary.
Page 51 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (d) Kentucky Occupational Safety and Health Standards Board;
(d) Kentucky Occupational Safety and Health Standards Board;
(h) Kentucky Commission on Proprietary Education;
CHAPTER 61 27 (h) Kentucky Commission on Proprietary Education;
Page 52 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA (b) Using approaches that have been shown to be effective;
(b) Using approaches that have been shown to be effective;
(2) Every workers' compensation insurer shall report its experience in accordance with Page 53 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA the statistical plans and other reporting requirements in use by an advisory organization designated by the commissioner.
(2) Every workers' compensation insurer shall report its experience in accordance with the statistical plans and other reporting requirements in use by an advisory organization designated by the commissioner.
(3) A workers' compensation insurer may develop subclassifications of the uniform classification system upon which rates may be made.
Legislative Research Commission PDF Version ACTS OF THE GENERAL ASSEMBLY (3) A workers' compensation insurer may develop subclassifications of the uniform classification system upon which rates may be made.
The commissioner shall consult with the commissioner of the Department of Workers' Claims[ in the Education and Labor Cabinet] in setting Page 54 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA such criteria.
The commissioner shall consult with the commissioner of the Department of Workers' Claims[ in the Education and Labor Cabinet] in setting such criteria.
(d) Recommend to the General Assembly, not later than October 31 of the year Page 55 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA prior to each even-numbered-year regular legislative session, changes deemed necessary in the level of the assessments imposed in this chapter;
(d) Recommend to the General Assembly, not later than October 31 of the year prior to each even- numbered-year regular legislative session, changes deemed necessary in the level of the assessments imposed in this chapter;
and (h) Report monthly to the Committees on Appropriations and Revenue and on Economic Development and Workforce Investment its monthly expenditures of restricted agency funds and the nature of the expenditures.
and CHAPTER 61 29 (h) Report monthly to the Committees on Appropriations and Revenue and on Economic Development and Workforce Investment its monthly expenditures of restricted agency funds and the nature of the expenditures.
(c) To contract for investment counseling, legal, actuarial, auditing, and other professional services in accordance with the provisions relating to personal Page 56 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA service contracts contained in KRS Chapter 45A;
(c) To contract for investment counseling, legal, actuarial, auditing, and other professional services in accordance with the provisions relating to personal service contracts contained in KRS Chapter 45A;
Upon the effective date of this Act, all records, files, documents, Page 57 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA UNOFFICIAL COPY 26 RS SB 343/GA equipment, staff, supporting budgets, and any and all unexpended funds associated with the activities of the Department of Workers' Claims when it was attached to the Education and Labor Cabinet shall be transferred to the Department of Workers' Claims administratively attached to the Office of the Governor.
Upon the effective date of this Act, all records, files, documents, equipment, staff, supporting budgets, and any and all unexpended funds associated with the activities of the Department of Workers' Claims when it was attached to the Education and Labor Cabinet shall be transferred to the Department of Workers' Claims administratively attached to the Office of the Governor.
Page 58 of 58 SB034310.100 - 1402 - XXXX 3/10/2026 3:36 PM GA
Became law without Governor's signature April 9, 2026.
Legislative Research Commission PDF Version
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How this bill changes current law

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Compared against the Kentucky Revised Statutes as published AI-generated reading aid — verify against the official bill.

The bill creates a new section for the Department of Workers' Claims and makes amendments to existing definitions within chapter KRS 342.

  • KRS 342.0011

    Department means the Department of Workers' Claims administratively attached to the office of the Governor[in the Education and Labor Cabinet]; → Department means the Department of Workers' Claims administratively attached to the Office of the Governor;

    This change clarifies the administrative attachment of the Department of Workers' Claims to the Governor's office.

  • KRS 342.0011

    Commissioner means the commissioner of the Department of Workers' Claims[under the direction and supervision of the secretary of the Education and Labor Cabinet]; → Commissioner means the commissioner of the Department of Workers' Claims;

    This amendment removes the prior requirement for the commissioner to operate under the supervision of the Education and Labor Cabinet.

  • There is hereby created the Department of Workers' Claims administratively attached to the Office of the Governor, which shall be headed by a commissioner appointed by the Governor and confirmed by the Senate in accordance with Section 6 of this Act.

    This establishes a new department and outlines its leadership structure.

  • The department shall be divided for administrative purposes into the: Office of the Commissioner; Office of General Counsel; Office of Administrative Law Judges; Division of Claims Processing; Division of Security and Compliance; Division of Workers' Compensation Funds; and Division of Specialist and Medical Services.

    This defines the internal structure of the new Department of Workers' Claims, specifying its divisions.

  • The Office of Administrative Law Judges shall be headed by a chief administrative law judge appointed in accordance with Section 7 of this Act.

    This creates a leadership position for the Office of Administrative Law Judges within the department.

  • Each division in the department shall be headed by a director appointed by the commissioner with the approval of the Governor in accordance with KRS 12.050.

    This ensures that each division is managed by a director appointed with appropriate oversight.

  • The Workers' Compensation Board shall be attached to the Department of Workers' Claims for administrative purposes only.

    This specifies the administrative relationship of the Workers' Compensation Board to the new department.

Action History

  1. became law without Governor's Signature (Acts Ch. 61)

  2. filed without Governor's signature with the Secretary of State

  3. delivered to Governor

  4. enrolled, signed by Speaker of the House

  5. enrolled, signed by President of the Senate

  6. received in Senate

  7. 3rd reading, passed 95-0

  8. posted for passage in the Regular Orders of the Day for Wednesday, March 25 2026

  9. 2nd reading, to Rules

  10. reported favorably, 1st reading, to Calendar

  11. to Economic Development & Workforce Investment (H)

  12. to Committee on Committees (H)

  13. received in House

  14. 3rd reading, passed 37-0 with Floor Amendment (1)

  15. floor amendment (1) filed

  16. posted for passage in the Regular Orders of the Day for Tuesday, March 10 2026

  17. 2nd reading, to Rules

  18. reported favorably, 1st reading, to Calendar

  19. to Economic Development, Tourism, & Labor (S)

  20. to Committee on Committees (S)

  21. introduced in Senate

Sponsors

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 137 not signed on

Sponsors (1)

Co-sponsors (0)

None.

Not signed on (137)

137 members have not signed on to this bill.

Show all 137 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

Pass

Passed 95 Yea · 0 Nay · 5 Other
Party YeaNayPresentNot Voting
Democrat 19001
Republican 75004
Unaffiliated 1000
Total 95005
% of votes cast 95%0%0%5%
How each member voted (100)
Member Party Vote
Lewis C — Yea
Adam Moore Democrat Yea
Adrielle Camuel Democrat Not Voting
Al Gentry Democrat Yea
Anne Gay Donworth Democrat Yea
Ashley Tackett Laferty Democrat Yea
Beverly Chester-Burton Democrat Yea
Chad Aull Democrat Yea
Daniel Grossberg Democrat Yea
Erika Hancock Democrat Yea
George Brown Jr. Democrat Yea
Joshua Watkins Democrat Yea
Lindsey Burke Democrat Yea
Lisa Willner Democrat Yea
Mary Lou Marzian Democrat Yea
Matthew Lehman Democrat Yea
Nima Kulkarni Democrat Yea
Pamela Stevenson Democrat Yea
Rachel Roarx Democrat Yea
Sarah Stalker Democrat Yea
Tina Bojanowski Democrat Yea
Aaron Thompson Republican Yea
Adam Bowling Republican Yea
Amy Neighbors Republican Yea
Bill Wesley Republican Yea
Bobby McCool Republican Yea
Candy Massaroni Republican Yea
Chris Freeland Republican Yea
Chris Fugate Republican Yea
DJ Johnson Republican Yea
Daniel Elliott Republican Yea
Daniel Fister Republican Yea
David Hale Republican Yea
David Meade Republican Yea
David W. Osborne Republican Yea
Deanna Gordon Republican Yea
Derek Lewis Republican Not Voting
Emily Callaway Republican Yea
Felicia Rabourn Republican Yea
J.T. Payne Republican Yea
James Tipton Republican Yea
Jared Bauman Republican Yea
Jason Nemes Republican Yea
Jason Petrie Republican Yea
Jennifer Decker Republican Yea
Jim Gooch Jr. Republican Yea
John Blanton Republican Yea
John Hodgson Republican Yea
Josh Branscum Republican Yea
Josh Bray Republican Yea
Josh Calloway Republican Yea
Ken Fleming Republican Yea
Ken Upchurch Republican Yea
Kevin Jackson Republican Yea
Kim Banta Republican Yea
Kim Holloway Republican Yea
Kim King Republican Yea
Kimberly Poore Moser Republican Yea
Marianne Proctor Republican Yea
Mark Hart Republican Yea
Mary Beth Imes Republican Yea
Matt Lockett Republican Yea
Matthew Koch Republican Yea
Michael Meredith Republican Yea
Michael Sarge Pollock Republican Yea
Mike Clines Republican Yea
Mitch Whitaker Republican Yea
Myron Dossett Republican Yea
Nancy Tate Republican Yea
Nick Wilson Republican Yea
Patrick Flannery Republican Yea
Peyton Griffee Republican Yea
Randy Bridges Republican Yea
Rebecca Raymer Republican Yea
Richard White Republican Yea
Robert Duvall Republican Yea
Ryan Bivens Republican Yea
Ryan Dotson Republican Yea
Samara Heavrin Republican Yea
Savannah Maddox Republican Yea
Scott Lewis Republican Yea
Scott Sharp Republican Yea
Shane Baker Republican Yea
Shawn McPherson Republican Yea
Stephanie Dietz Republican Yea
Steve Bratcher Republican Yea
Steve Riley Republican Yea
Steven Doan Republican Yea
Steven Rudy Republican Not Voting
Susan Witten Republican Yea
Suzanne Miles Republican Yea
T.J. Roberts Republican Yea
Thomas Huff Republican Yea
Timmy Truett Republican Yea
Tom Smith Republican Yea
Tony Hampton Republican Not Voting
Vanessa Grossl Republican Yea
Wade Williams Republican Yea
Walker Thomas Republican Yea
William Lawrence Republican Not Voting

Official roll call →

PASS SB 343 w/ SFA 1

Passed 37 Yea · 0 Nay · 1 Other
Party YeaNayPresentNot Voting
Democrat 5000
Republican 32001
Total 37001
% of votes cast 97%0%0%3%
How each member voted (38)
Member Party Vote
Cassie Chambers Armstrong Democrat Yea
Gary Clemons Democrat Yea
Gerald A. Neal Democrat Yea
Karen Berg Democrat Yea
Keturah J. Herron Democrat Yea
Aaron Reed Republican Yea
Amanda Mays Bledsoe Republican Yea
Brandon J. Storm Republican Not Voting
Christian McDaniel Republican Yea
Craig Richardson Republican Yea
Danny Carroll Republican Yea
David P. Givens Republican Yea
Donald Douglas Republican Yea
Gary Boswell Republican Yea
Greg Elkins Republican Yea
Jared Carpenter Republican Yea
Jason Howell Republican Yea
Jason Nemes Republican Yea
Jimmy Higdon Republican Yea
Julie Raque Adams Republican Yea
Lindsey Tichenor Republican Yea
Matt Nunn Republican Yea
Matthew Deneen Republican Yea
Max Wise Republican Yea
Michael Meredith Republican Yea
Nick Wilson Republican Yea
Phillip Wheeler Republican Yea
Rick Girdler Republican Yea
Robby Mills Republican Yea
Robert Stivers Republican Yea
Robin L. Webb Republican Yea
Scott Madon Republican Yea
Shelley Funke Frommeyer Republican Yea
Stephen West Republican Yea
Steve Rawlings Republican Yea
Tom Smith Republican Yea
Wade Williams Republican Yea
Walker Thomas Republican Yea

Official roll call →

Subjects

labor
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Frequently asked questions

What does SB 343 do?
Create a new section of KRS Chapter 342 to establish the Department of Workers' Claims to be administratively attached to the Office of the Governor; amend KRS 342.122 to provide that the combined budgets of the Occupational Safety and Health Review Commission, Workers' Compensation Nominating Committee, Department of Workplace Standards, and the proportional support for general administration and approved indirect cost allocation to the Education and Labor Cabinet, shall not exceed 75% of the total combined budget submitted by the Workers’ Compensation Funding Commission and that the Workers’ Compensation Funding Commission, the Department of Workers’ Claims, the Occupational Safety and Health Review Commission, the Workers’ Compensation Nominating Committee, the Department of Workplace Standards, excluding the Division of Wages and Hours contained within the Department of Workplace Standards, and the Education and Labor Cabinet, shall each submit a budget which shall be combined by the Workers’ Compensation Funding Commission and reflected in the enacted budget of the Commonwealth; amend KRS 342.228 to require the commissioner of the Department of Workers' Claims to have specified knowledge and experience in the areas of public administration, administrative law, and workers' compensation by having a minimum of 8 years of legal practice experience in the area of workers' compensation; amend KRS 342.230 to authorize the commissioner to fill all positions in the Department for Workers' Claims with KRS Chapter 18A employees; amend KRS 151B.015 to remove the Department of Workers' Claims from the Education and Labor Cabinet; amend various other sections to conform; provide that all records, equipment, staff, budgets, and unexpended funds associated with the Department of Workers' Claims shall be transferred as part of the reorganization; provide that all administrative regulations, decisions, and actions of the department that have not been repealed or rescinded shall continue in effect after the effective date of the Act, unless and until they are amended, repealed, or rescinded by the department after the effective date of this Act; EMERGENCY.
Who sponsors SB 343?
SB 343 is sponsored by Phillip Wheeler (Republican).
What is the current status of SB 343?
This bill has been enacted into law. Introduced March 02, 2026. Enacted.
Where can I track SB 343?
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