HB 545 — AN ACT relating to aviation.

Page 3 of 11 HB054510.100 - 1810 - XXXX GA UNOFFICIAL COPY 22 RS HB 545/GA Section 3.

KRS 48.110 is amended to read as follows:

Each branch budget recommendation shall contain a complete financial plan for the branch of government for each of the next two (2) fiscal years.

Each branch budget recommendation shall include:

(1) A budget message signed by:

(a) The Governor for the executive branch;

(b) The Chief Justice for the judicial branch;

and (c) The co-chairmen of the Legislative Research Commission for the legislative branch;

(2) (a) Statements of income and receipts for the two (2) fiscal years last concluded, and the estimated income and receipts, for each budget unit of the branch of government for the current fiscal year and each of the next two (2) fiscal years.

(b) The statements of income and estimated income shall be itemized by budget unit and fund, and shall show separately receipts from:

ExpandCurrent existingincome; programs at educational institutions, flight schools, and other training programs;

and 2.

EstablishRefunds newand programs,reimbursements butof onlyexpenditures; at public educational institutions;

(b)3. Use fifteen percent (15%), up to a maximum of seven hundred fifty thousand dollars ($750,000), to develop an innovative aircraft system program which may include unmanned aircraft systems and electric aircraft infrastructure development;

andThe (c)sale Use five percent (5%) up to a maximum of twoassets; hundred fifty thousand dollars ($250,000), to promote educational programs through targeted outreach and broad-based aviation promotional initiatives.

(3)and Grant4. proposals under this section shall be evaluated by the aviation development grant review committee established under Section 3 of this Act.

(4)Receipts Granton proposalsaccount underof thisthe sectionincome shallof beprior evaluatedyears. on the follow criteria:

Page(c) 2Existing sources of 5income XXXXand Jacketedreceipts UNOFFICIALshall COPYbe 22analyzed RSas BRto 1810their (a)equity, Theproductivity needsand need for revision, and any proposed new sources of theincome localor workforce;receipts shall be explained;

(b)(3) TheA financialstatement needs of the programsurplus in any account and proposedin financialany participationspecial fund of the applicant;branch of government.

(c)If Geographica coverage;surplus exists in any account of the branch of government the statement shall show the excess of all current assets over all current liabilities as of the beginning of each of the two (2) fiscal years last concluded, and all changes in these accounts during each of such two (2) fiscal years;

(d)Page The4 potentialof 11 HB054510.100 - 1810 - XXXX GA UNOFFICIAL COPY 22 RS HB 545/GA (4) A statement as of the close of the last completed fiscal year and as of the close of the current fiscal year showing, for economiceach development;budget unit the total funded debt, the value of sinking fund assets, the net funded debt, the floating liabilities as of the end of the current fiscal year, and the total debt as of the close of the last completed fiscal year and as of the close of the current fiscal year;

(e)(5) TheSummary leveland detailed comparative statements of financialexpenditures commitmentitemized fromby budget unit for each of the educationaltwo institution(2) fiscal years last concluded and requests for appropriations by funds or vocationalaccounts, trainingthe program;budget of the current year, and the recommendations for appropriations for each of the next two (2) fiscal years.

(f)Following Thethe potentiallists forof expansionactual and proposed expenditures of innovativeeach technologies,budget suchunit asthere unmannedshall aircraftbe training;a detailed explanation of the actual and proposed expenditures, to include activities, beneficiaries and expected results of the programs or services of the budget units;

and(6) (g)A Otherdraft criteriaof established by the departmentproposed inbranch administrativebudget regulationsbill promulgatedcontaining: pursuant to KRS Chapter 13A.

(5)(a) ApplicationsRecommendations forof grantsthe underbranch thisof sectiongovernment shallfor beappropriations submittedfor nothe laternext thantwo September(2) 1fiscal years, and drafts of eachsuch yearrevenue and awardedother noacts lateras thanmay Novemberbe 1recommended offor implementing the sameproposed year.financial plan;

(6)(b) InRecommended anyappropriations fiscalfor yearextraordinary thatexpenses grantsand arecapital awardedoutlays, underwhich this section, the department shall submit,be prioritemized toin the endproposed ofbranch thatbudget fiscalbill year,for a report to the Interimbranch Jointby Committeesbudget onunit. Transportation and Appropriations and Revenue that identifies:

(a) The amounttitle of moneyeach availablebudget forunit grantshall awardsbe underworded paragraphto (2)(a)limit ofeach thisappropriation section;to the specific use or purpose intended;

(b)(c) TheA numberplan for the reduction of grantthe applicants;branch budget if there is a revenue shortfall of five percent (5%) or less in the general fund or road fund.

(c)In Therecommending namesbudget ofreductions, grantthe recipients,Governor, alongthe withChief Justice, and the amountLegislative Research Commission shall not recommend universal percentage reductions, but shall weigh the needs of eachall awardbudget units and ashall descriptionstrive ofto protect the useshighest possible level of grantservice money;in their respective branches.

(d)Services Informationwhich onPage the5 currentof status11 ofHB054510.100 the- projects1810 awarded- thisXXXX year;GA UNOFFICIAL COPY 22 RS HB 545/GA are not essential to constitutional functions shall be subject to reduction.

(e)Transfer Information on the status of grantsfunds awardedmay inbe previousauthorized yearsby for which the awardsbudget havereduction notplan; been expended;

and(d) (f)1. Information on how the moneys identified in paragraphs (2)(b) and (c) of this section were spent.

PageA 3plan for the expenditure of 5a XXXXgeneral Jacketedfund UNOFFICIALor COPYroad 22fund RSsurplus BRof 1810up SECTIONto 3.two and one-half percent (2.5%).

A2. NEW SECTION OF KRS CHAPTER 183 IS CREATED TO READ AS FOLLOWS:

(1)The Asplan usedshall include provisions for the expenditure of a surplus, and may provide for additional moneys for nonrecurring expenditures for which an appropriation was not made in thisa sectionbranch "committee"budget meansbill, theor Aviationfor Developmenta Grantprogram Reviewor Committee.service authorized by law for which an appropriation was not made, or which was not fully funded.

(2)3. The Aviation Development Grant Review Committee is hereby established.

TheIn committeelieu shallof evaluaterecommending grantthe applicationsappropriation andof awardfunds, grantsthe inplan accordancemay withinstead Sectionrecommend 2the retention of thissurplus Act.funds in the surplus account of the general fund or road fund for investment until appropriated by the General Assembly;

(2)(e) The1. committee shall be composed of five (5) members, as follows:

(a)A Therecommended Commissionerstate ofcapital theprojects Departmentprogram ofand Aviation,a orrecommended program for the commissioner'spurchase designee;of major items of equipment.

(b)2. The Secretary of the Education and Workforce Development Cabinet, or the secretary's designee;

andThe (c)recommended Threecapital (3)construction citizenprogram members,shall appointedinclude: by the Governor, based on the following qualifications:

a.

A complete list and summary description of each specific capital construction project recommended for funding during the biennium;

and b.

For each project:

i.

The agency and purpose for which it will be used;

ii.

The justification for the project;

iii.

Its estimated completion date;

iv.

The total estimated cost of completing the project;

v.

The estimated cost of the project during the biennium;

vi.

The recommended sources of funds for the entire project;

and Page 6 of 11 HB054510.100 - 1810 - XXXX GA UNOFFICIAL COPY 22 RS HB 545/GA vii.

The dollar amounts recommended for appropriation and the dollar amounts, listed by source, that are anticipated from every other source of funds for the biennium.

3.

All information required by subparagraph 2.

of this paragraph shall be included in each branch budget recommendation.

Each branch budget bill shall contain only a complete list of the specific capital construction projects recommended for funding during the biennium and, for each project, the information specified in subparagraph 2.b.v., vi., and vii.

of this paragraph.

4.

A report which details the effect of recommended new debt on the debt position of the Commonwealth shall be submitted at the same time the recommended capital program is submitted.

Information shall be presented separately, and in total, for the general fund, road fund, and any affected restricted fund account.

5.

Information in the report shall include but not be limited to the following:

a.

Debt service on existing appropriation-supported debt, as a percentage of anticipated total revenues;

b.

Debt service on existing appropriation-supported debt, as a percentage of anticipated available revenues;

c.

The sum of debt service on existing appropriation-supported debt and debt service on recommended new appropriation-supported debt, as a percentage of anticipated total revenues;

d.

The sum of debt service on existing appropriation-supported debt and debt service on recommended new appropriation-supported debt, as a percentage of anticipated available revenues;

e.

The sum of debt service on existing appropriation-supported debt Page 7 of 11 HB054510.100 - 1810 - XXXX GA UNOFFICIAL COPY 22 RS HB 545/GA and debt service on recommended new appropriation-supported debt, as a percentage of estimated state total personal income;

and f.

The sum of existing appropriation-supported debt and recommended new appropriation-supported debt, as a percentage of estimated state total personal income.

6.

The recommended program for the purchase of major items of equipment submitted by the head of each branch of government shall include:

a.

A complete list and summary description of each specific major item of equipment recommended for purchase during the biennium;

and b.

For each major item of equipment:

i.

The agency and purpose for which it will be used;

ii.

The justification for the purchase;

iii.

The estimated cost of the item, including ancillary expenses and any expenses necessary to make the equipment functional and operational;

iv.

The recommended sources of funds;

and v.

The dollar amounts recommended for appropriation and anticipated from every other source of funds for the purchase.

7.

All information required by subparagraph 5.

of this paragraph shall be included in the executive branch budget recommendation.

The branch budget bill for the executive branch shall contain only a complete list of each specific item of major equipment recommended for purchase during the biennium and, for each item, the information specified in subparagraph 6.b.iii., iv., and v.

of this paragraph;

Page 8 of 11 HB054510.100 - 1810 - XXXX GA UNOFFICIAL COPY 22 RS HB 545/GA (f) The branch budget recommendation for the Transportation Cabinet shall include the following information:

OneA (1)separate citizenbranch memberbudget whobill; is a commercially rated pilot;

OneA (1)recommended citizenbiennial memberhighway whoconstruction isplan, which shall be presented as a certificatedseparate airframebill, and powerwhich plantshall mechanicinclude witha anlist inspectorof authorization;individual transportation projects included in the last four (4) years of the six (6) year road plan, not to exceed ten percent (10%) of the recommended biennial highway construction appropriation, which can be advanced if:

anda. 3.

OneAdditional (1)funds citizenare memberreceived; who has experience in vocational education and job training.

(3)and Afterb. the initial appointments, citizen members of the committee shall serve terms of four (4) years.

MembersAll shallprojects beincluded eligiblein tothe succeedbiennial themselveshighway andconstruction shallplan servehave untilbeen theiradvanced successoror iscompleted appointed.to the extent possible;[ and] 3.

(4)A Membersrecommended ofbiennial theaviation committeedevelopment shallplan, notwhich shall be paidpresented for their service as boarda members,separate bill, and which shall notinclude bea reimbursedlist forof anyindividual expensesprojects involvedincluded in attendingthe boardlast meetings.four (4) years of the six (6) year aviation plan, not to exceed ten percent (10%) of the recommended biennial aviation development appropriation, which can be advanced if:

(5)a. The committee shall elect a chair and a vice chair from its members who shall serve in those capacities until replaced.

AAdditional majorityfunds ofare thereceived; board shall constitute a Page 4 of 5 XXXX Jacketed UNOFFICIAL COPY 22 RS BR 1810 quorum for the purposes of conducting business.

Theand boardb. shall be subject to the provisions of the Kentucky Open Records Act, KRS 61.870 to 61.884.

(6)All Theprojects committeeincluded shallin meetthe annually,biennial whenaviation calleddevelopment byplan thehave chair,been advanced or atcompleted theto request of the secretaryextent ofpossible; the Transportation Cabinet.

The4. committee shall receive assistance in carrying out its administrative functions from the Transportation Cabinet and shall be attached to the Transportation Cabinet for administrative purposes.

The six (6) year road plan and the six (6) year aviation plan.

The Governor shall have ten (10) working days after submission of the branch budget recommendation,[ and] the recommended biennial highway construction plan, and the recommended biennial aviation development plan to submit the six (6) year road plan and the six (6) year aviation plan.

The six (6) year road plan and the six (6) year aviation plan shall be submitted in a form and format cooperatively Page 9 of 11 HB054510.100 - 1810 - XXXX GA UNOFFICIAL COPY 22 RS HB 545/GA developed by the Transportation Cabinet and the General Assembly and approved by the Legislative Research Commission;

and (g) 1.

In the executive branch budget recommendation, as a separate section, an amount sufficient to meet unexpected contingencies or emergencies, including but not limited to natural or man-made disasters, civil disorders, court orders requiring or resulting in the expenditure of state funds, or other related causes.

2.

The amount shall be based on the nature, type, and frequency of named categories of events which may, from past experience, be reasonably anticipated.

3.

This portion of the budget recommendation shall detail similar incidents and the nature and amount of the expenditures for each during the ten (10) years immediately preceding.

The total amount of appropriations recommended from any fund shall not exceed the cash resources estimated to be available and to become available to meet expenditures under the appropriations;

(7) A certificate of the branch of government as to the accuracy of the statements of financial condition, of income and receipts, and of expenditures;

and (8) Such other information as is deemed desirable, or is required by law or regulation.

OfKRS the183.010 threeis initialamended citizen member appointments to theread Aviationas Developmentfollows: Grant Review Committee:

(1)As Oneused memberin shallthis bechapter designatedunless tothe servecontext aotherwise termrequires: which expires June 30, 2024;

(2)(1)[ One"Federal memberAviation Administration" shall bemean designatedthat toagency serveor aboard termof whichthe expiresUnited JuneStates 30,government 2025;empowered to regulate operation of aircraft;

andaviation (3)facilities Oneand memberpersons shalloperating beand designatedmaintaining toaircraft; serve a term which expires June 30, 2026.

After(2) the"Secretary" expirationmeans of the initialsecretary appointments, each term shall be for a period of fourthe yearsTransportation inCabinet; accordance with Section 3 of this Act.

Section(3)] 5."Cabinet" means the Transportation Cabinet;

Whereas(2) it"Department" ismeans appropriate that establishment of a new fund in the StateDepartment Treasury should coincide with the beginning of theAviation; Commonwealth's fiscal year, an emergency is declared to exist, and this Act takes effect upon its passage and approval by the Governor or upon its otherwise becoming a law.

Page 510 of 511 HB054510.100 - 1810 - XXXX JacketedGA UNOFFICIAL COPY 22 RS HB 545/GA (3) "Federal Aviation Administration" means the agency of the United States government empowered to regulate operation of aircraft;

aviation facilities;

and persons operating and maintaining aircraft;

and (4) "Secretary" means the secretary of the Transportation Cabinet[, the statutory administrative department of the Commonwealth of Kentucky].

Page 11 of 11 HB054510.100 - 1810 - XXXX GA