As the 2026 Legislative Session enters its final days, we are wrapping up our work, sending legislation to the governor and preparing to return to consider any vetoes. This is where months of work come together and every bill is finalized before becoming law.
The focus now shifts to the veto period. The governor has 10 days to sign or veto legislation. We will return for the final two days of the session to review those decisions and, if necessary, override vetoes.
These final days are an important part of the process. They ensure that the work Kentuckians sent us here to do is completed and that every piece of legislation is fully considered before it takes effect.
Delivering a responsible budget and real results
Over the past week, we took major steps to finalize a responsible budget and make smart investments that will benefit communities across Kentucky, including those right here in our 24th Senate District.
State budget finalized
We approved a balanced two-year budget that continues strong support for education, fully funds pensions and brings more oversight to Medicaid, one of the fastest-growing areas of spending. In total, the budget directs more than $32 billion toward core services and essential government functions.
We also decided to limit spending growth in other areas to ensure long-term stability. This approach reflects a commitment to responsible budgeting while continuing to invest in priorities that matter most to Kentucky families.
Education
Over the next two years, we increased per-pupil funding by 2 percent to continue supporting our public schools. We also committed an additional $500 million to strengthen our pension system, building on years of progress that have led to one of the most significant turnarounds in the country.
In total, SEEK funding alone exceeds $7 billion, with additional support going toward early childhood education, student services and classroom support. These investments reflect our ongoing commitment to students, teachers and families across Kentucky.
Medicaid
Medicaid continues to be one of the fastest-growing areas of our budget, now accounting for about $6 billion in state funding each year, second only to K-12 education.
We took steps in this budget to increase oversight and control costs while protecting services for those who rely on the program. At the same time, we limited spending growth in other areas of government to keep the budget sustainable long term.
One-time transformative investments
As a meaningful investment in Kentucky’s future, we passed House Bill 900 to invest $1.7 billion from our budget reserve trust fund into communities across Kentucky. We are directing these dollars toward infrastructure, economic development and workforce needs without creating new ongoing costs in future budgets.
Just over a decade ago, this reserve fund sat at zero. Today, thanks to disciplined budgeting and responsible leadership, we can make a second round of one-time investments while keeping enough in reserve to respond to natural disasters and unexpected challenges.
I will soon provide you with more specifics on how this bill benefits our region.
A road plan that delivers
We finalized a fully funded road plan that focuses on getting projects done, not just promised. We prioritized projects that are ready to move forward now so we can reduce delays and deliver real improvements to roads and bridges across Kentucky. The details are outlined in HB 502. The Kentucky highway construction plan provides $4.6 billion over two years for roads, bridges and paving. It is fully funded without relying on future revenue. It continues existing projects, adds $230 million for construction-ready projects, ensures each highway district has at least one state-funded project, and maintains major investments like Interstate 69, Brent Spence Bridge, and Mountain Parkway to support connectivity, economic growth, and freight movement.
We also made sure this plan lives within our means by aligning funding with available dollars. By comparison, the governor’s proposal listed projects totaling more than 400 percent of available funding.
Related to this is HB 501, the Transportation Cabinet operating budget allocates about $7 billion for statewide highways, maintenance and transportation services, including funding for local roads and bridges. It also supports driver’s licensing improvements, library-based vision testing, CDL medical options, design-build projects, surplus property reporting and a return-to-work policy for employees.
Veto overrides
There were two bills that the governor vetoed and the Kentucky General assembly quickly override. Senate Bill 183 requires proxy advisory firms—companies that influence shareholder votes—to prioritize financial reasoning and disclose when recommendations rely on environmental, social or other non-financial factors. Under the bill, proxy firms must clearly disclose when non-financial considerations shape their voting guidance and must explain that reasoning to clients.
The other bill, SB 199 establishes that a pesticide label approved by the U.S. Environmental Protection Agency (EPA) under federal law is deemed a sufficient warning label under Kentucky law for purposes of state duty-to-warn claims.
Bills delivered to the governor
This week’s two legislative days, Tuesday and Wednesday, ran late into the evenings as we finalized legislative proposals and delivered them to the governor’s desk in time to maintain the ability to override any vetoes. The following are some bills I want to mention in particular; this is not an exhaustive list. I encourage you to visit the Legislative Research Commission website to review all the bills that have been delivered to the governor for consideration.
Senate Joint Resolution 23, a resolution I sponsored, promotes a “Food is Medicine” approach in Kentucky, the first of its kind in the nation. It uses nutrition-based programs to prevent and manage chronic disease. This resolution demonstrates how important the Make America Healthy Again Kentucky Task Force’s work was in 2025. We will continue the conversation this year. While other states have pursued program-specific legislation focused largely on Medicaid waivers, Kentucky’s approach is a statewide declaration aligning policy, education and innovation around the role of nutrition and local agriculture in improving health outcomes.
This initiative brings together the Kentucky Department of Agriculture and the Kentucky Hospital Association to create impact across industries. Designed to encourage and enable private-sector partnership in community health, workforce wellness and chronic disease management, SJR 23 addresses the root causes of diet-related risk factors. I am excited about taking this key step in our wellness revolution, continuing the conversation and providing more information to help Kentuckians lead healthier, more vibrant and productive lives.
I also sponsored Senate Bill (SB) 136, now on the governor’s desk for signature. SB 136 streamlines Kentucky’s unemployment fraud process by having the Education and Labor Cabinet refer cases directly to federal and local authorities within 30 days, requiring legal findings before terminating employment. It also exempts claimants with a valid return-to-work prospect from work search rules. Since developing the workforce is one of my foundational pillars to my efforts here in Frankfort, I am excited to get this measure into statute.
Other Senate bills now with the governor for signature include the following.
SB 1 clarifies that boards oversee planning and finances for large school districts, while superintendents run daily operations in districts with more than 500,000 students. It requires strategic and financial plans, limits certain fund transfers, and strengthens reporting and transparency.
SB 4 creates a statewide leadership training program for new school principals beginning in the 2027–2028 school year, providing mentoring, professional development and cohort-based training to strengthen instructional leadership and school management. The final version also includes governance changes for large school districts and establishes civic education centers at the University of Kentucky and the University of Louisville to promote instruction in American government, history and constitutional principles.
SB 8 grows and reforms the Kentucky Public Service Commission, setting professional standards, allowing specialized staff and requiring gubernatorial appointments with political limits. It preserves public participation and clarifies regulation of municipal interlocal gas utilities for joint development beyond city boundaries.
SB 10 proposes a constitutional amendment to prohibit Kentucky governors from granting pardons or commuting sentences during the 60 days before a gubernatorial election through the swearing-in of the next governor. The proposal aims to increase transparency and prevent last-minute clemency decisions at the end of a term. If approved by the required three-fifths vote in both chambers, the amendment will be submitted to Kentucky voters for final approval.
SB 18 modernizes Kentucky’s podiatry laws by updating definitions, licensing and supervision rules for podiatric residents and assistants, and allows the Board of Podiatry to regulate and discipline as needed. The bill requires the Department of Education to provide Type 1 diabetes information for parents, which schools must make accessible online and at key locations.
SB 20 clarifies Kentucky law on optional city officer training incentives by defining “excess credit hours” as those over 15 per year, allowing cities to set different base incentive amounts by ordinance. It also removes minimum and maximum payment limits to increase local flexibility.
SB 29 prevents counties or waste districts from imposing fees or permits on solid waste facilities outside their jurisdiction that handle local waste, avoiding duplicative regulation. It clarifies the franchise exception and excludes certain sites from being classified as municipal solid waste facilities.
SB 90 extends Kentucky’s Behavioral Health Conditional Dismissal Program through 2031, providing a court-supervised alternative for defendants with substance use or mental health needs. It continues funding, strengthens data collection and oversight, and extends the Implementation Council to ensure the program supports recovery and public safety.
SB 97 requires health plans to cover prosthetic and orthotic devices, ensuring patients can access medically necessary devices. It sets standards for coverage, provider access, clear notice for denied claims and includes reporting requirements for insurers and the Department of Insurance.
SB 100 strengthens the authority of the Energy Planning and Inventory Commission (EPIC) to review major utility decisions and long-term energy planning. The final version also directs EPIC to study eastern Kentucky’s energy infrastructure, including coal resources, grid reliability, and ways to reduce energy costs in the region.
SB 102 permits retired Kentucky State Police troopers from Trooper R or Commercial Vehicle Enforcement Officer R positions to return on a contract basis without affecting retirement benefits. Officers can reapply if one to 60 months have passed since leaving the role, helping KSP meet staffing needs, cut training costs, and enhance overall public safety.
SB 104 also known as the HALO Act, establishes a 25-foot safety zone around first responders and imposes penalties on individuals who refuse to comply with a verbal warning and who interfere with official duties. It preserves lawful public activity, such as recording from a safe distance. In addition, the bill allows rescue squad members to participate in the Alan “Chip” Terry Professional Development and Wellness Program.
SB 116 updates statutes governing physician assistants to support more efficient collaboration within physician-led health care teams, modernizes certain practices and administrative requirements, and improves access to care, particularly in rural communities.
SB 122 allows courts to consider whether a defendant is the primary caretaker of a dependent child when sentencing and includes reforms related to mental health treatment, family court protections and safeguards in custody cases involving domestic violence or abuse.
SB 185 reforms Kentucky State University’s framework to ensure long-term stability, clarifying its mission as a workforce-focused, four-year polytechnic and placing financial oversight with the Council on Postsecondary Education during a period of fiscal exigency. It strengthens academic alignment, admissions standards, financial management and reporting. Lastly, it prohibits deficit spending and implements oversight measures.
SB 189 creates Kentucky’s first statewide rules for virtual currency kiosks, hence requiring licensing, identity verification, fee limits, fraud warnings and customer service access. It sets transaction limits, protects fraud victims and requires operators to cooperate with regulators and law enforcement.
SB 192 lowers costs and reduces red tape for small cities by updating to simpler, more practical accounting methods instead of complex standards and agreed-upon procedures, instead of a full audit, while maintaining public budgets, financial reporting, and oversight requirements from the state auditor of public accounts.
SB 195 establishes notice requirements before filing certain civil actions, sets requirements for claims against contractors and health care providers, addresses comparative fault and medical expense evidence standards, limits certain insurance-related claims and establishes liability protections for utilities that remove timber in good faith.
SB 251 updates Kentucky’s death penalty procedures, allowing the Department of Corrections to implement execution protocols via internal policies instead of formal regulations. It requires these protocols to be posted publicly for transparency and makes related changes to administrative regulation laws.
SB 263 refines Kentucky’s Schools of Innovation law to give districts more flexibility for pilot instructional models while protecting student welfare. It streamlines the waiver process, sets a 30-day review timeline and launches a pilot program for up to three schools through 2028 with funding and reporting requirements.
SB 291 creates a statewide licensing system for secondary metal recyclers under the motor vehicle commission. The bill also establishes licensing requirements, background checks, and reporting rules, requires recyclers to document transactions through the LeadsOnline database and strengthens coordination with law enforcement to help deter copper theft.
Several notable House bills made it across the finish line this week.
House Bill (HB) 2 the Kentucky Medicaid Reform Act makes several updates to how the state manages its Medicaid program, including establishing a community engagement requirement for certain adult enrollees while maintaining exemptions for vulnerable populations. The measure also strengthens oversight of managed care organizations, updates eligibility and cost-sharing policies, and directs the state to develop a public health care transparency dashboard. The final version also calls for a study on managing Medicaid waiver waitlists and launches a community engagement pilot program.
HB 10 creates new oversight rules for executive branch actions during the transition before a new governor takes office, including limits on certain contracts and personnel changes and requirements to preserve records for incoming administrations. The final version also expands Senate confirmation requirements and strengthens transparency and qualification standards for the Kentucky Department of Fish and Wildlife Resources Commission.
HB 257 updates Kentucky’s school accountability system to place greater emphasis on student academic growth, reduce some testing requirements and increase attention to attendance and chronic absenteeism. The bill also allows districts to include additional quality measures in evaluating schools and directs the Kentucky Department of Education to study middle school math and advanced coursework.
HB 568 strengthens consumer protections by tightening regulations on public insurance adjusters, including prohibiting new adjuster licenses and establishing stronger contract requirements and limits on fees. The bill also applies Consumer Protection Act enforcement to violations and includes additional provisions related to corrections administration and workers’ compensation fund assessments.
HB 757, an omnibus tax and revenue bill that updates Kentucky tax law, aligns state tax code with the federal Internal Revenue Code and establishes new taxes on fantasy contests and predictive markets. The measure also revises several tax incentives, creates a sales tax incentive related to professional sporting attractions and authorizes a privately funded statue of U.S. Sen. Addison Mitchell McConnell in the state Capitol Rotunda.
House Joint Resolution 76 funds the Local Assistance Road Program to support cities and counties in resurfacing roads and fixing hazardous conditions. It directs $70 million to roads in poor condition with an additional $50.1 million added to reach more critical local roadways across Kentucky.
HB 67 updates Kentucky’s school electronic communication law to clarify when school employees and volunteers may privately communicate with students outside official school platforms while strengthening parental consent protections. Senate changes also add school financial transparency requirements and clarify exemptions for certain personnel, including school resource officers. The bill includes an emergency clause.
HB 257 updates Kentucky’s school accountability system to place greater emphasis on measuring student growth over time while reducing some testing requirements and increasing focus on attendance and chronic absenteeism. The bill also allows districts to include additional measures of school quality and directs the Kentucky Department of Education to study middle school math instruction and advanced coursework.
HB 767 mandates that the Kentucky Division of Emergency Management create the Kentucky Qualification System, a statewide framework for training and certifying disaster response personnel. It ensures consistent standards for emergency teams and operations centers.
It is an honor to represent our community in Frankfort, and I appreciate the many conversations I’ve had with constituents throughout this session. Your perspectives help shape the work we do here, and I anticipate continuing that work on your behalf. If you have any questions, comments or concerns, you can always contact me at 502-564-8100 or by email at shelley.funkefrommeyer@kylegislature.gov.