KRS 13A.250: Consideration of costs to local and state government and to regulated

entities -- Fiscal note.

(1) An administrative body that promulgates an administrative regulation shall consider

the cost that the administrative regulation may cau se state or local government and

regulated entities to incur.

(2) (a) A two (2) part cost analysis shall be completed for each administrative

regulation.

(b) The first part of the cost analysis shall include the projected cost or cost

savings to the Common wealth of Kentucky and each of its affected agencies,

and the projected cost or cost savings to affected local governments, including

cities, counties, fire departments, and school districts.

(c) The second part of the cost analysis shall include the proje cted cost or cost

savings to the regulated entities affected by the administrative regulation.

(d) Agencies or entities affected by the administrative regulation may submit

comments in accordance with KRS 13A.270(1) to the promulgating

administrative body or to a legislative committee reviewing the administrative

regulation.

(3) Each administrative body that promulgates an administrative regulation shall

prepare and submit with the administrative regulation a fiscal note. The fiscal note

shall state:

(a) The number of the administrative regulation;

(b) The name, email address, and telephone number of the contact person of the

administrative body identified pursuant to KRS 13A.220(6)(d), and, if

applicable, the name, email address, and telephone number of an alternate

person to be contacted with specific questions about the fiscal note;

(c) Each unit, part, or division of state or local government the administrative

regulation will affect;

(d) Whether the administrative regulation was expressly authorized by an act of

the General Assembly, and if so, identification of the act;

(e) In detail, the aspect or service of state or local government to which the

administrative regulation relates, including identification of the applicable

state or federal statute or regulation that mandates the aspect or service or

authorizes the action taken by the administrative regulation;

(f) The estimated effect of the administrative regulation on the expenditures and

revenues of a state or local government agency or regulated entity for the first

full year the administrative regulation will be in effect and any s ubsequent

year the administrative regulation will be in effect. The administrative body

shall provide a narrative to explain the fiscal impact of the administrative

regulation and the methodology and resources it used to determine the fiscal

impact; and

(g) 1. The conclusion of the promulgating administrative body as to whether

the administrative regulation will have a major economic impact on state

and local government and regulated entities for the first full year the

administrative regulation will be in effect and for subsequent years if

different; and

2. An explanation of the methodology and resources used by the

administrative body to reach this conclusion.

(4) If an administrative body files an amendment to an administrative regulation

pursuant to KRS 13A.320(3) for a legislative committee meeting, the administrative

body shall:

(a) Consider the cost of the amendment as established in subsection (2) of this

section; and

(b) Prepare and submit a fiscal note as established in subsection (3) of this

section.

(5) Any administrative body may request the advice and assistance of the Commission

in the preparation of the fiscal note.