KRS 45A.705: Government Contract Review Committee -- Membership -- Duties --

Meeting -- Vote required to act. (Effective until January 1, 2027)

(1) There is hereby created a permanent committee of the Legislative Research

Commission to be known as the Gove rnment Contract Review Committee. The

committee shall be composed of eight (8) members appointed as follows: three (3)

members of the Senate appointed by the President of the Senate; one (1) member of

the minority party in the Senate appointed by the Minor ity Floor Leader in the

Senate; three (3) members of the House of Representatives appointed by the

Speaker of the House of Representatives; and one (1) member of the minority party

in the House of Representatives appointed by the Minority Floor Leader in t he

House of Representatives. Members shall serve for terms of two (2) years, and the

members appointed from each chamber shall elect one (1) member from their

chamber to serve as co-chair. Any vacancy that may occur in the membership of the

committee shall be filled by the appointing authority who made the original

appointment.

(2) On an alternating basis, each co -chair shall have the first option to set the monthly

meeting date. A monthly meeting may be canceled by agreement of both co -chairs.

The co-chairs shall have joint responsibilities for committee meeting agendas and

presiding at committee meetings. A majority of the entire membership of the

Government Contract Review Committee shall constitute a quorum, and all actions

of the committee shall be by v ote of a majority of its entire membership. The

members of the committee shall be compensated for attending meetings, as

provided in KRS 7.090(3).

(3) Any professional, clerical, or other employees required by the committee shall be

provided in accordance with the provisions of KRS 7.090(4) and (5).

(4) All proposed personal service contracts, tax incentive agreements, and memoranda

of agreement received by the Legislative Research Commission shall be submitted

to the committee to:

(a) Examine the stated ne ed for the service or benefit to the Commonwealth of

the motion picture or entertainment production;

(b) Examine whether the service could or should be performed by state personnel,

for personal service contracts and memoranda of agreement;

(c) Examine the amount and duration of the contract or agreement; and

(d) Examine the appropriateness of any exchange of resources or responsibilities.

(5) The committee shall review a personal service contract, tax incentive agreement, or

memorandum of agreement submitt ed to the Legislative Research Commission

within forty-five (45) days of the date received.

(6) If the committee determines that the contract service or agreement, other than:

(a) A contract necessary in the exercise of the enumerated powers specifically

granted to the Governor pursuant to Sections 75, 76, 77, 78, 79, and 80 of the

Constitution of Kentucky or any subsequent amendments to the Constitution

of Kentucky which specifical ly designate enumerated powers to the

Governor; or

(b) An emergency contract approved by the secretary of the Finance and

Administration Cabinet or his or her designee;

is not needed or inappropriate, the motion picture or entertainment production is not

beneficial or is inappropriate, the service could or should be performed by state

personnel, the amount or duration is excessive, or the exchange of resources or

responsibilities are inappropriate, the committee shall attach a written notation of its

nonbinding recommendations regarding the personal service contract, tax incentive

agreement, or memorandum of agreement and shall forward the personal service

contract, tax incentive agreement, or memorandum of agreement to the State

Treasurer or his or her designee.

(7) Upon receipt of the committee's nonbinding recommendations regarding a personal

service contract, tax incentive agreement, or memorandum of agreement, the State

Treasurer or his or her designee shall determine whether the personal service

contract, tax incentive agreement, or memorandum of agreement shall:

(a) 1. Be revised by the Treasurer and returned to the secretary of the Finance

and Administration Cabinet or his or her designee; and

2. The Finance and Administration Cabinet or designee shall either:

a. Issue the contract with the Treasurer's revisions; or

b. Cancel the contract;

(b) Be canceled and, if applicable, payment allowed for services rendered under

the contract or amendment; or

(c) Remain effective as originally submitted.

(8) If the committee determines that the contract executed pursuant to subsection (6)(a)

or (b) of this section is not needed or inappropriate, the motion picture or

entertainment production is not beneficial or is inappropriate, the service could or

should be performed by state personnel, the amount or duration is excessive, or the

exchange of resources or responsibilities are inappropriate, the committee shall

attach a written notation of its nonbinding recommendations regarding the personal

service contract, tax incentive agreement, or memorandum of agreement and shall

return the personal service contract, tax incentive agreement, or memorandum of

agreement to the secretary of the Finance and Administration Cabinet or his or her

designee.

(9) Upon receipt of the c ommittee's nonbinding recommendations regarding a personal

service contract, tax incentive agreement, or memorandum of agreement executed

pursuant to subsection (6)(a) or (b) of this section, the secretary of the Finance and

Administration Cabinet or his o r her designee shall determine whether the personal

service contract, tax incentive agreement, or memorandum of agreement shall:

(a) Be revised to comply with the objections of the committee;

(b) Be canceled and, if applicable, payment allowed for services rendered under

the contract or amendment; or

(c) Remain effective as originally submitted.

(10) Contracting bodies shall make annual reports to the committee not later than

December 1 of each year. The committee shall establish reporting procedures for

contracting bodies related to personal service contracts, tax incentive agreements,

and memoranda of agreement submitted by the secretary of the Finance and

Administration Cabinet or his or her designee.

Effective: March 30, 2023