CHAPTER 226 Pawnbrokers

226.010. Pawnbroker defined.

Any person who loans money on deposit of personal property, or who deals in the purchase of personal property on condition of selling the property back again at a stipulated price, or who makes a public display at his place of business of the sign generally used by pawnbrokers to denote their business, or who publicly exhibits a sign advertising money to loan on personal property or deposit is a pawnbroker.

History. 3787.

NOTES TO DECISIONS

  1. Construction.
  2. Applicability.
  3. Reasonable Regulation.
1. Construction.

As used in Chapter 226, “deposit” clearly requires that personal property be relinquished by its owner and committed to the physical custody of the pawnbroker, and where, in a car title pledge transaction, a pawnbroker obtains only a lien on the customer’s car, not physical possession of the vehicle, this procedure amounts to a secured loan rather than a true pawn. Commonwealth ex rel. Chandler v. Kentucky Title Loan, Inc., 16 S.W.3d 312, 1999 Ky. App. LEXIS 70 (Ky. Ct. App. 1999).

2. Applicability.

Because defendant was not a pawnbroker as defined by this section and was not exempt from the application of Chapter 288 regulations, defendant was operating its business in violation of KRS 288.420 (now KRS 286.4-420 ), 288.620 (now KRS 286.4-620 ), and 360.010. Commonwealth ex rel. Chandler v. Kentucky Title Loan, Inc., 16 S.W.3d 312, 1999 Ky. App. LEXIS 70 (Ky. Ct. App. 1999).

3. Reasonable Regulation.

The business of pawnbrokers is not one which is injurious to the public; therefore, it may be only reasonably regulated by police power, and not prohibited or subjected to prohibitive restrictions. Peel v. Dummit, 308 Ky. 399 , 214 S.W.2d 605, 1948 Ky. LEXIS 948 ( Ky. 1948 ).

Opinions of Attorney General.

The business of pawnbroker cannot be prohibited within the confines of any city. OAG 84-181 .

Research References and Practice Aids

Cross-References.

Tax on property held in pawn or pledge, KRS 132.270 .

226.020. Bond of pawnbroker.

Every person to whom a city or county license is granted to carry on the business of a pawnbroker shall annually enter into bond to the city or county, with good and sufficient surety, to be approved by the city legislative body or the county fiscal court, in the penal sum of one thousand dollars ($1,000). The bond shall be conditioned that he will observe the provisions of KRS 226.030 to 226.050 , and the ordinances and laws in force in the city or county not inconsistent with KRS 226.030 to 226.050 .

History. 3788: amend. Acts 1972, ch. 237, § 1.

Opinions of Attorney General.

The police court of a fifth-class city has jurisdiction to punish persons for failure to obtain and have in force the duly approved bond required by this section provided that the city has issued the pawnbroker a license. OAG 76-578 .

Research References and Practice Aids

Cross-References.

Unlawful transactions with minors, Penal Code, KRS 530.070 .

226.030. Pawnbroker not to receive article from minor or during night.

No pawnbroker shall receive, by way of pledge or pawn, any article whatever from a minor at any time, nor from any person between 8 p.m. and 7 a.m.

History. 3789.

226.040. Pawnbroker to keep register of loans and purchases — Report to online transaction recording service accessible to law enforcement — Information to be included in register — State officers may inspect — Holding period before resale — Release of stolen property to law enforcement.

  1. Every pawnbroker shall keep a register of all loans and purchases of all articles by the pawnbroker from the general public. The register shall:
    1. Be reported to an online, Internet-based transaction recording service accessible to law enforcement agencies;
    2. Show the dates and the amounts of all loans or purchases by the pawnbroker from the general public, and the names and:
      1. A driver’s license number;
      2. Another state or federally issued picture identification card number; or
      3. If the identification specified in subparagraph 1. or 2. of this paragraph is not available, a Social Security number may be accepted;
    3. At all times be available to the inspection of any law enforcement officer of this state when in the discharge of his or her official duty; and
    4. Contain a full description of all property purchased by the pawnbroker from the general public or received on deposit as collateral or security. When requested by law enforcement and pertaining to an investigation, a photograph of the merchandise shall be made available to law enforcement if the property is still in the possession of the pawnbroker. For purposes of this paragraph, “full description” includes but is not limited to:
      1. Make;
      2. Model;
      3. Color;
      4. Size;
      5. Manufacturer;
      6. Vintage; and
      7. Distinguishing marks or characteristics.
  2. When secondhand merchandise is sold to a pawnbroker, the merchandise shall be held for a minimum of twelve (12) days before being resold.
  3. Prior to the release of property to a representative of law enforcement, the law enforcement representative shall provide to the pawnbroker a case report or other documentation that the item has been reported as stolen.

of all persons who have left any property that has been pawned or sold;

HISTORY: 1942, ch. 208, § 1, effective October 1, 1942; 2018 ch. 15, § 1, effective July 14, 2018.

Opinions of Attorney General.

Pawnbrokers must at all times keep their register open to inspection by city police officers as well as all other officers of this state. OAG 71-255 .

“State” is used in the broad sense as including political subdivisions such as cities, and not in the narrow sense of central state government only. OAG 71-255 .

226.050. Pawnbroker to give ticket and receipt for articles — Sale after sixty days — Notice before sale.

  1. Every pawnbroker shall give a plain written or printed ticket for the loan to the person negotiating or selling, and a plain written or printed receipt of the articles that have been purchased, or upon which money is loaned, having on each a copy of the entries required by KRS 226.040 to be kept in his register. He shall not make any charge for the ticket or receipt.
  2. A pawnbroker may sell any article pawned after the expiration of sixty (60) days from the maturity of the loan, provided that, not less than ten (10) days before making the sale, the pawnbroker shall have given notice to the person by whom the article was pawned, by mail addressed to the post office address of such person as shown on the pawnbroker’s register, notifying such person that, unless he redeems the article within ten (10) days from the date of mailing said notice, the article will be sold.

History. 3790: amend. Acts 1946, ch. 216, § 3; 2008, ch. 69, § 1, effective July 15, 2008.

NOTES TO DECISIONS

1. Sale of Pledges.

Pawnbrokers’ statutory right to sell unredeemed pledges by any method known to business should not be circumscribed unless clearly for public’s interest. Commonwealth v. Loeb, 245 Ky. 843 , 54 S.W.2d 373, 1932 Ky. LEXIS 686 ( Ky. 1932 ).

2. — Restrictions on Sale.

Provision of ordinance prohibiting pawnbrokers from selling unredeemed pledges at any place other than regular place of business and restricting them to periodical sales was unreasonable as having no relation to prevention of fraud. Commonwealth v. Loeb, 245 Ky. 843 , 54 S.W.2d 373, 1932 Ky. LEXIS 686 ( Ky. 1932 ).

Cited:

Peel v. Dummit, 308 Ky. 399 , 214 S.W.2d 605, 1948 Ky. LEXIS 948 ( Ky. 1948 ).

226.060. Special provisions for city, and county containing city of first class or consolidated local government.

The chief of police of a city of the first class or the chief of police of a county containing a city of the first class, or the chief of police of a consolidated local government, and persons acting by his orders may examine the books of any pawnbroker or his clerk, if they deem it necessary when in search of stolen property. Any person who has in his possession a pawnbroker’s ticket issued by a pawnbroker in a city of the first class or in a county containing a city of the first class or a consolidated local government shall, when accompanied by a policeman or by an order from the chief or captain of police, be permitted to examine property purporting to be pawned by that ticket. No property shall be removed from the possession of any pawnbroker without the process of law required by the existing laws of the state, or the laws and ordinances of the local government regulating pawnbrokers.

History. 2887: amend. Acts 1972, ch. 237, § 2; 2002, ch. 346, § 211, effective July 15, 2002.

226.070. Daily reports in cities and unincorporated areas.

  1. Every pawnbroker in a city or in the unincorporated area of any county shall by 11 a.m. each day, make available to the chief of police of the city, the chief law enforcement officer of the county, or to the Department of Kentucky State Police, a true and correct written report of all goods received by him or her, whether by pawn or purchase, during the twenty-four (24) hours preceding each report. The report shall describe the goods as accurately as practicable.
  2. The chief of police of the city, the chief law enforcement officer of the county, or the Department of Kentucky State Police shall furnish blanks for the reports required by subsection (1) of this section.

History. 3792, 3793: amend. Acts 1972, ch. 237, § 3; 1990, ch. 141, § 1, effective July 13, 1990; 2007, ch. 85, § 258, effective June 26, 2007.

226.080. Maximum interest — Service charges.

Any pawnbroker, as defined in KRS 226.010 , may, in loaning money on deposit of personal property, charge, contract for or receive interest at a rate not exceeding two percent (2%) per month on the unpaid principal balance of the loan, and may charge, contract for and receive a reasonable fee, not to exceed one-fifth (1/5) of the value of the loan per month, for investigating the title, storing and insuring the property, closing the loan, making daily reports to local law enforcement officers and for other expenses, losses and incidental costs associated with servicing such loans. It is further provided that such fee when made and collected shall not be deemed interest for any purpose of law. No pawnbroker shall directly or indirectly charge, receive or contract for any interest or consideration greater than that allowed by this section.

History. Enact. Acts 1946, ch. 216, § 1; 1986, ch. 186, § 1, effective July 15, 1986.

NOTES TO DECISIONS

1. Applicability.

Among its reasons authorizing pawnbrokers to charge the high fee of 20% of the unpaid principal balance, this section explicitly cites the purpose of “storing and insuring the property”; therefore, the pawnbroker must have actual physical custody of the personal property, not merely constructive possession, in order to charge the interest and fees set out in this section. Commonwealth ex rel. Chandler v. Kentucky Title Loan, Inc., 16 S.W.3d 312, 1999 Ky. App. LEXIS 70 (Ky. Ct. App. 1999).

Cited:

Peel v. Dummit, 308 Ky. 399 , 214 S.W.2d 605, 1948 Ky. LEXIS 948 ( Ky. 1948 ).

Opinions of Attorney General.

Since the legislature was obviously well aware when it enacted this section that the storage of items deposited with or sold to pawnbrokers was a normal part of the business, it is clear that the legislature intended for any storage costs to be included in and absorbed by the 31/2 percent per month rate it allowed and did not intend to allow a service charge in addition to the charges permitted under this section because service charges have long been considered a portion of the consideration of a loan and, as such, are not usurious only if they are expressly permitted by statute. OAG 80-87 .

Storage fees and/or service charges in excess of the statutory interest rate which were being made by pawnbrokers were illegal as an apparent attempt to avoid or circumvent the maximum charge permitted by this section. OAG 80-87 .

226.090. Receipts for payments.

Every pawnbroker, upon receiving any payment of money from a borrower, shall give to such person a plain and complete receipt for such payment, specifying separately the amount applied to principal and the amount applied to interest. In a case where the pawnbroker has purchased personal property under an agreement to sell it back at a stipulated price, the pawnbroker shall, on receiving any payment of money from the person from whom the property was purchased, give such person a receipt stating the original purchase price, the stipulated resale price, and the amount received.

History. Enact. Acts 1946, ch. 216, § 2.

NOTES TO DECISIONS

Cited:

Peel v. Dummit, 308 Ky. 399 , 214 S.W.2d 605, 1948 Ky. LEXIS 948 ( Ky. 1948 ).

226.100. Powers of county police in enforcing chapter.

Enforcement of the provisions of this chapter shall be within the jurisdiction of the fiscal court of any county except that county police shall not exercise authority within the corporate limits of a city of ten thousand or more population. County police for the purpose of locating stolen goods, may carry out the provisions of KRS 226.060 in a city of any size or in the county area of their jurisdiction.

History. Enact. Acts 1972, ch. 237, § 5.

Opinions of Attorney General.

This section relates to law enforcement responsibilities only and not to court jurisdiction and the enforcement of KRS Chapter 226 is a responsibility of the county police in unincorporated territory and in cities in the county of less than 10,000 population generally, except that the county police, for the purpose of locating stolen goods, may enforce this section in a city of any size. OAG 76-578 .

226.990. Penalties.

  1. Any pawnbroker who violates any of the provisions of KRS 226.020 to 226.050 shall be fined not less than fifty dollars ($50) nor more than five hundred dollars ($500), and his license may be forfeited to the use of the city or county in which the prosecution takes place.
  2. Any pawnbroker or pawnbroker’s clerk who violates any of the provisions of KRS 226.060 shall be fined not less than fifty dollars ($50) nor more than five hundred dollars ($500).
  3. Any pawnbroker who violates any of the provisions of KRS 226.070 shall be fined not less than twenty dollars ($20) nor more than one hundred dollars ($100).
  4. Any pawnbroker who violates any of the provisions of KRS 226.080 or 226.090 shall be subject to the penalties provided in subsection (1) of this section.

History. 2887, 3791, 3794: amend. Acts 1946, ch. 216, § 4; 1966, ch. 255, § 207; 1972, ch. 237, § 4.

NOTES TO DECISIONS

Cited:

Peel v. Dummit, 308 Ky. 399 , 214 S.W.2d 605, 1948 Ky. LEXIS 948 ( Ky. 1948 ).

Opinions of Attorney General.

The police court of a fifth-class city has jurisdiction to punish persons for failure to obtain and have in force the duly approved bond required by KRS 226.020 provided that the city has issued the pawnbroker a license. OAG 76-578 .

The service fees and/or storage charges in excess of the interest allowed by KRS 226.080 which are being made by pawnbrokers are in violation of the express provisions of KRS 226.080 and are subject to the penalty set out in this section. OAG 80-87 .

CHAPTER 227 Fire Prevention and Protection

227.010. Definitions. [Repealed.]

Compiler’s Notes.

This section (762b-15) was repealed by Acts 1954, ch. 201, § 23.

227.020. Division to enforce fire prevention laws of state and political subdivisions. [Repealed.]

Compiler’s Notes.

This section (762b-6: Amend. Acts 1942, ch. 112, §§ 1, 2) was repealed by Acts 1954, ch. 201, § 23.

227.030. Duties of director. [Repealed.]

Compiler’s Notes.

This section (762b-7) was repealed by Acts 1954, ch. 201, § 23.

227.040. Division has jurisdiction over all buildings — Powers of director and assistants to inspect. [Repealed.]

Compiler’s Notes.

This section (762b-14, 726b-17) was repealed by Acts 1954, ch. 201, § 23.

227.050. Director may conduct examinations — Powers. [Repealed.]

Compiler’s Notes.

This section (762b-8, 762-11) was repealed by Acts 1954, ch. 201, § 23.

227.060. Director may prescribe orders and standards for safety of buildings. [Repealed.]

Compiler’s Notes.

This section (762b-19, 762b-21) was repealed by Acts 1954, ch. 201, § 23.

227.070. Notice of time and place for hearing, prior to making general orders. [Repealed.]

Compiler’s Notes.

This section (762b-20) was repealed by Acts 1954, ch. 201, § 23.

227.080. Record of orders — Admissible in evidence — Presumption of validity. [Repealed.]

Compiler’s Notes.

This section (762b-23) was repealed by Acts 1954, ch. 201, § 23.

227.090. Director to keep record of fires and investigations. [Repealed.]

Compiler’s Notes.

This section (762b-13) was repealed by Acts 1054, ch. 201, § 23.

227.100. Director may conduct fire prevention educational campaign. [Repealed.]

Compiler’s Notes.

This section (762b-18) was repealed by Acts 1954, ch. 201, § 23.

227.110. City fire chiefs and sheriffs are deputies when so ordered by director — Instructions to assistants. [Repealed.]

Compiler’s Notes.

This section (726b-9) was repealed by Acts 1954, ch. 201, § 23.

227.120. Deputies to investigate and report fires. [Repealed.]

Compiler’s Notes.

This section (762b-10) was repealed by Acts 1954, ch. 201, § 23.

227.130. Director to request prosecutions — Attorney-General to assist. [Repealed.]

Compiler’s Notes.

This section (762b-12) was repealed by Acts 1954, ch. 201, § 23.

227.140. Fire chiefs to inspect places periodically — Reports furnished to rating bureaus. [Repealed.]

Compiler’s Notes.

This section (762b-14) was repealed by Acts 1954, ch. 201, § 23.

227.150. Fire chief may order fire hazard removed. [Repealed.]

Compiler’s Notes.

This section (762b-14) was repealed by Acts 1954, ch. 201, § 23.

227.160. Officer may remove fire hazard when owner fails. [Repealed.]

Compiler’s Notes.

This section (762b-14) was repealed by Acts 1954, ch. 201, § 23.

227.170. Local authorities to retain power — Orders fix minimum standards. [Repealed.]

Compiler’s Notes.

This section (762b-22) was repealed by Acts 1954, ch. 201, § 23.

227.180. Owner to keep building safe from fire — Public and employes to be kept out of unsafe places. [Repealed.]

Compiler’s Notes.

This section (762b-15, 762b-16) was repealed by Acts 1954, ch. 201, § 23.

227.190. Motion picture machines to be equipped with safety devices. [Repealed.]

Compiler’s Notes.

This section (1376L-1) was repealed by Acts 1954, ch. 201, § 23.

Fire Prevention and Protection

227.200. Definitions for KRS 227.200 to 227.400.

As used in KRS 227.200 to 227.400 , unless the context otherwise requires:

  1. “Commissioner” means the commissioner of housing, buildings and construction;
  2. “Department” means the Department of Housing, Buildings and Construction;
  3. “Fire investigator” means a deputy fire marshal who has been appointed by the state fire marshal to be a fire investigator and to exercise peace officer powers in order to investigate crimes set out in KRS Chapter 513 and other crimes discovered in the course of investigation;
  4. “Fire loss” means loss of or damage to property, loss of life or personal injury, by fire, lightning, or explosion;
  5. “Order” or “special order” means an order of the state fire marshal, designed for the prevention of fire loss, that affects or may affect the property rights of a particular owner or designated property;
  6. “Owner” means any person who owns, occupies, or has charge of any property;
  7. “Property” means property of all types, both real and personal, movable and immovable; and
  8. “Rule” or “regulation” means a general order of the commissioner, designed for the prevention of fire loss, which affects or may affect property rights of a designated class of owners or for the prevention of fire loss by certain indicated hazards.

HISTORY: Enact. Acts 1954, ch. 201, § 1; 1956 (1st Ex. Sess.), ch. 7, Art. X, § 8; 1974, ch. 74, Art. V, § 24(11); 1974, ch. 241, § 1; 1978, ch. 117, § 37, effective July 1, 1978; 1978, ch. 155, § 124, effective June 17, 1978; 1978, ch. 305, § 1, effective June 17, 1978; 1980, ch. 361, § 5, effective July 15, 1980; 2010, ch. 24, § 389, effective July 15, 2010; 2018 ch. 128, § 9, effective January 1, 2019.

Legislative Research Commission Notes.

(1/1/2019). Under the authority of KRS 7.136(1), the Reviser of Statutes has changed the internal numbering of this statute to place definitions in alphabetical order. No words were changed in this process.

Compiler’s Notes.

For this section as effective until January 1, 2019, see the bound volume.

NOTES TO DECISIONS

Cited in:

Home Ins. Co. v. Hamilton, 253 F. Supp. 752, 1966 U.S. Dist. LEXIS 7758 (E.D. Ky. 1966 ), rev’d, 395 F.2d 108, 1968 U.S. App. LEXIS 6873 (6th Cir. 1968).

Research References and Practice Aids

Cross-References.

City police and fire departments, KRS ch. 95.

Department of insurance and insurance generally, KRS ch. 304.

Fire protection districts, KRS ch. 75.

Forest fire prevention, 149.360 et seq.

Housing, building, and construction, building code, KRS ch. 198B.

Kentucky Law Journal.

Farber, The Handicapped Plead for Entrance — Will Anyone Answer?, 64 Ky. L.J. 99 (1975-76).

227.205. Department of Housing, Buildings and Construction created — Organization.

The Department of Housing, Buildings and Construction is hereby created within the Public Protection Cabinet. The department shall be headed by a commissioner appointed by the Governor in accordance with KRS 12.040 , and who shall report to the secretary of the Public Protection Cabinet. The office of the commissioner shall also include a deputy commissioner and an executive assistant to the commissioner, who shall be the policy making assistants to the commissioner and shall be appointed pursuant to KRS 12.050 . The department shall consist of the Division of Fire Prevention, the Division of Building Codes Enforcement, the Division of Plumbing, the Electrical Division, and the Division of Heating, Ventilation, and Air Conditioning (HVAC).

HISTORY: Enact. Acts 1978, ch. 155, § 126, effective June 17, 1978; 1980, ch. 295, § 70, effective July 15, 1980; 2000, ch. 86, § 1, effective July 14, 2000; 2010, ch. 24, § 390, effective July 15, 2010; 2014, ch. 125, § 1, effective July 15, 2014; 2017 ch. 169, § 64, effective June 29, 2017.

227.210. Delegation of state fire marshal’s powers and duties.

Any power, duty or function, whether ministerial, discretionary or whatever character, vested in or imposed upon the state fire marshal, by any provision of KRS 227.200 to 227.410 , 227.550 to 227.660 , and 227.990 to 227.992 may be exercised, discharged, and performed by any deputy or assistant of the state fire marshal acting in the state fire marshal’s name and by his delegated authority.

History. Enact. Acts 1954, ch. 201, § 2; 1978, ch. 305, § 2, effective June 17, 1978; 2010, ch. 24, § 391, effective July 15, 2010.

227.220. Duties of state fire marshal and chief state building official relating to fire loss.

  1. The state fire marshal shall enforce or aid in the enforcement of all laws, administrative regulations, and ordinances of the state and its political subdivisions relating to fire loss as defined in KRS 227.200 :
    1. The prevention or reduction of loss by fire or by other hazard or risk insured by property or casualty insurance companies doing business in this state, except as to disability insurance and workers’ compensation, and shall enforce any other regulations or methods adopted for the prevention of loss from such hazards or risks in order to promote the safety of persons or property;
    2. The manufacture, transportation, storage, sale, or use of combustibles, explosives, and hazardous materials or equipment;
    3. The design, construction, and maintenance of property which has a direct bearing on safety to life and property;
    4. The construction, installation, maintenance, or equipment of fire alarm systems, fire protection and extinguishing equipment, and fire escapes and other means of access to or exit from property; and
    5. Arson and related offenses.
  2. The chief state building official shall enforce and administer all applicable provisions of the Kentucky Building Code, including all the provisions designed for the prevention of fire loss, and shall have all the powers and duties awarded by KRS Chapter 198B and the Kentucky Building Code.
  3. The state fire marshal is authorized to:
    1. Investigate the cause, origin, and circumstances of fires and explosions for the purpose of detecting and suppressing arson and related offenses, or for the purpose of minimizing or preventing fire loss;
    2. Supervise and make periodic inspections of all property within the state, and assist cities having fire departments in making like periodic inspections of all property in cities, except occupied private dwellings;
    3. Issue and enforce reasonable emergency orders and orders in accordance with KRS 227.330 for the prevention of fire loss, and for the adoption, approval, and installation of safety measures, remodeling, and equipment as will minimize fire loss;
    4. Provide technical and engineering advice and assistance to state and local governmental agencies in relation to fire prevention or fire protection;
    5. Direct and assist owners of educational institutions, places of public assembly, institutional buildings, public buildings, factories, business buildings, or other places where persons congregate, in the instruction of fire prevention, and the holding of fire drills;
    6. Conduct fire prevention and educational campaigns;
    7. Conduct examinations into the cause, origin, or circumstances of fire losses;
    8. Hold administrative hearings in accordance with the KRS Chapter 13B, as may be required by law or deemed by the state fire marshal necessary or desirable as to any matter within the scope of this chapter. All administrative hearings shall be public, unless the state fire marshal, or an authorized designee, determines that a private hearing would be in the public interest, in which case, and only with the consent of all parties to the hearing, the hearing shall be private;
    9. Direct research in the field of fire protection and accept gifts and grants for these purposes;
    10. Appoint deputy fire marshals to be fire investigators; and
    11. Recommend curricula for advanced courses and seminars in fire science training in colleges and institutions of higher education.
  4. The state fire marshal shall head the Division of Fire Prevention in the department.

History. Enact. Acts 1954, ch. 201, § 3; 1978, ch. 305, § 3, effective June 17, 1978; 1980, ch. 295, § 71, effective July 15, 1980; 1996, ch. 318, § 138, effective July 15, 1996; 2010, ch. 24, § 392, effective July 15, 2010; 2018 ch. 128, § 10, effective January 1, 2019.

Compiler’s Notes.

For this section as effective until January 1, 2019, see the bound volume.

NOTES TO DECISIONS

  1. Hearsay.
  2. Closing of Public Building.
  3. Delegation of Power.
1. Hearsay.

The fact that the Legislature in this section recognizes the magnitude of arson problems and directs investigation and enforcement of laws concerning it does not enhance or broaden the hearsay rule exception that an expert witness may express a testimonial opinion that is based in part upon hearsay evidence. Therefore, it was not error for the trial court to prohibit state police officers from directly testifying and relating hearsay testimony in question, the effect of which would have been that they had statements from the persons who allegedly did the actual burning who told them that the person allegedly hired by the insureds to burn the building told the person who allegedly did the actual burning that the insured hired him to hire them to burn the premises and its contents for a certain sum of money and that they did so. American Hardware Mut. Ins. Co. v. Fryer, 692 S.W.2d 278, 1984 Ky. App. LEXIS 574 (Ky. Ct. App. 1984).

2. Closing of Public Building.

Law providing procedures for fire prevention and protection conferred no express authority to close a theater or public building. Foster v. Goodpaster, 290 Ky. 410 , 161 S.W.2d 626, 1942 Ky. LEXIS 418 ( Ky. 1942 ) (decided under prior law).

3. Delegation of Power.

The Legislature could not delegate to the director of insurance the power to enact under the guise of a standard of safety, a law prohibiting the operation of a movie theater in a building, the main floor of which was more than four feet above the adjoining grade level in view of the sweeping and confiscatory effect of such law and in absence of any standards or limitations fixed for its operation. Goodpaster v. Foster, 296 Ky. 614 , 178 S.W.2d 29, 1944 Ky. LEXIS 597 ( Ky. 1944 ) (decided under prior law).

Cited:

United States v. Gargotto, 476 F.2d 1009, 1973 U.S. App. LEXIS 10330 (6th Cir. 1973).

Opinions of Attorney General.

Neither this section nor KRS 227.300 grants authority for the Fire Marshal to require retroactive application of any new standards of safety to existing structures. OAG 78-185 .

The fact that deficiencies had been noted in the courthouse building by the Fire Marshal’s office would not necessarily preclude the county from proceeding to remodel the courtroom of the courthouse, presuming, however, that the county adhered to the requirements of the administrative regulations adopted on behalf of the State Fire Marshal’s office by submitting, to the State Fire Marshal’s office for inspection and approval by that office, the plans and specifications involving the proposed remodeling project; even if the county complied with the requirements of the regulation and obtained a permit to remodel the courtroom, it would not be relieved of its obligation to correct all the other deficiencies in the courthouse discovered by the State Fire Marshal’s office during the course of its authorized inspections. OAG 78-187 .

Research References and Practice Aids

Cross-References.

Acts creating fire hazards in forests prohibited, KRS 149.370 .

Blasting regulations, KRS 351.310 et seq.

Explosives, vehicles transporting to be marked, KRS 189.160 .

Explosives, vehicles transporting to carry fire extinguishers, KRS 189.160 .

Fire hazard seasons, KRS 149.400 .

Insurance violations, enforcement, KRS 304.2-140 .

Right-of-way of railroad company to be clear of combustible material, KRS 149.385 .

Spark arresters, railroad engines to have, KRS 149.385 .

Tax on amounts paid to stock and mutual other than life insurance companies to defray cost of enforcing laws for prevention of losses insured against, KRS 136.350 , 136.360 .

227.223. Cooperation with Department of Corrections — Assistance in training — Removal of jurisdiction over job.

  1. The state fire marshal shall cooperate with the Department of Corrections in the development of fire safety regulations for jails and assist in the training of jail inspectors employed by the Department of Corrections.
  2. Effective January 1, 1983, the Department of Corrections shall possess all authority and responsibility for fire prevention and reduction of loss by fire in jails as defined in KRS 441.005 . Upon the request of the commissioner of the Department of Corrections, the state fire marshal shall investigate the cause and circumstances of fires or explosions in jails.

History. Enact. Acts 1982, ch. 385, § 36, effective July 1, 1982; 1992, ch. 211, § 83, effective July 14, 1992.

227.225. Status of single family dwellings.

  1. Except for the powers conferred by KRS 227.220(3)(a), the rights, powers and privileges granted under this chapter to the state fire marshal shall not apply to any single family dwelling in this Commonwealth.
  2. Any city, county or urban-county government of the Commonwealth may extend, by ordinance, the application of this chapter to those single family dwellings exempted under subsection (1) of this section.

History. Enact. Acts 1978, ch. 305, § 25, effective June 17, 1978.

227.230. State fire marshal — Deputies — Assistants — Employees.

The commissioner shall appoint a state fire marshal, who shall appoint such deputy fire marshals, assistants, and employees as are necessary to exercise, discharge, or perform any power, duty or function vested in, imposed upon, or delegated to the state fire marshal by law or regulation. The state fire marshal, under the general direction of the commissioner, shall enforce and administer the provisions of this chapter and any other duties assigned by law or regulation. The chief of each fire department and the sheriff of each county shall be deemed deputies when ordered by the state fire marshal to act as such for their respective jurisdictions. Other deputy fire marshals may be appointed from the members of the fire department as the state fire marshal deems necessary.

History. Enact. Acts 1954, ch. 201, § 4; 1966, ch. 146, § 3; 1978, ch. 305, § 4, effective June 17, 1978; 2010, ch. 24, § 393, effective July 15, 2010.

Opinions of Attorney General.

A deputy state fire marshal (paid a monthly salary) may not also serve as a county police officer at night. OAG 80-576 .

227.235. Deputy fire marshals appointed as fire investigators — Training required for certification by Kentucky Law Enforcement Council — Peace officer powers — Prohibited acts.

  1. A deputy fire marshal appointed to be a fire investigator and to exercise peace officer powers shall take an oath to faithfully perform the duties of his or her office, shall affirm that he or she possesses the minimum qualifications under KRS 15.382 , and shall undergo a basic training course approved by the Kentucky Law Enforcement Council.
  2. The employing agency of the deputy fire marshal shall pay for the training required for certification by the Kentucky Law Enforcement Council.
  3. Upon the Kentucky Law Enforcement Council’s verification that the required standards have been met, a fire investigator shall have peace officer powers to investigate crimes set out in KRS Chapter 513 and other crimes discovered in the course of investigation.
  4. A fire investigator shall not:
    1. Patrol the roads, streets, or highways;
    2. Issue traffic citations; or
    3. Perform general law enforcement duties outside of investigating crimes set out in KRS Chapter 513 and other crimes discovered in the course of investigation.
  5. All fire investigators appointed to exercise peace officer powers under KRS 227.220 that are appointed on or after January 1, 2019, shall, within one (1) year of their appointment or employment, successfully complete a basic training course as established by KRS 15.440 at a school certified or recognized by the Kentucky Law Enforcement Council.
  6. All fire investigators specified in subsection (5) of this section shall, upon completion of the basic training required, successfully complete forty (40) hours of annual in-service training as established by KRS 15.440(1)(e) that has been certified or recognized by the Kentucky Law Enforcement Council.
  7. All fire investigators appointed or employed before January 1, 2019, shall successfully complete forty (40) hours of annual in-service training as established by KRS 15.440(1)(e) that has been certified or recognized by the Kentucky Law Enforcement Council.
  8. In the event of extenuating circumstances beyond the control of the fire investigator such as injury, illness, or personal tragedy which prevents the fire investigator from completing the basic or in-service training within the time specified in this section, the officer shall complete the training within one (1) year after return to duty. Any fire investigator who fails to successfully complete the basic or in-service training within the specified time period shall not be authorized thereafter to carry deadly weapons or make arrests and may be removed from an appointment as a fire investigator.

HISTORY: 2018 ch. 128, § 11, effective January 1, 2019.

227.240. Investigating and reporting on fires.

The chief of each fire department, sheriff, or local deputy marshal ordered under KRS 227.230 shall immediately investigate the origin and circumstances of a fire in his or her area and determine the cause of the fire so far as practicable. If it appears that the fire is of suspicious origin, he or she shall immediately notify the state fire marshal and the commissioner of the Department of Kentucky State Police.

History. Enact. Acts 1954, ch. 201, § 5; 1966, ch. 146, § 4; 1978, ch. 305, § 5, effective June 17, 1978; 2007, ch. 85, § 259, effective June 26, 2007.

NOTES TO DECISIONS

Cited:

United States v. Gargotto, 476 F.2d 1009, 1973 U.S. App. LEXIS 10330 (6th Cir. 1973).

Research References and Practice Aids

Northern Kentucky Law Review.

Notes, Firemen and the Fourth Amendment: What Are the Requirements of a Post-Fire Search?, 13 N. Ky. L. Rev. 153 (1986).

227.250. Duty of insurers to report losses from fire, lightning, hazardous materials, flammable liquids or explosions.

Every insurer authorized to transact business in this state shall report to the state fire marshal such loss or damage by fire, lightning, hazardous materials, flammable liquids or explosion occurring to, in or on property insured by such insurer in this state, as may be, and in the manner prescribed by the state fire marshal. Provided, however, the state fire marshal may waive the reporting of such losses if, in his discretion, the losses are unimportant because of the small amount involved and a saving in time and expense will result.

History. Enact. Acts 1954, ch. 201, § 6; 1978, ch. 305, § 6, effective June 17, 1978.

227.260. Records of fire inspections, investigations and losses.

From the reports made to him by insurers, employees, or appointees, the state fire marshal shall keep a record of all fire inspections, investigations and fire losses occurring in this state and of facts concerning them. He shall make such compilations, investigations and statistical summaries as he deems proper, all of which shall be kept as permanent records in his office. All such records shall be public, except that the state fire marshal may, in his discretion, withhold from the public such records, including reports of investigations of accidents and of fire losses, as may be exempted from disclosure by KRS Chapter 61 and regulations duly adopted thereunder.

History. Enact. Acts 1954, ch. 201, § 7; 1978, ch. 305, § 7, effective June 17, 1978.

Research References and Practice Aids

Kentucky Law Journal.

Comments, Access to Public Documents in Kentucky, 64 Ky. L.J. 165 (1975-76).

227.270. Jurisdiction of state fire marshal — Rights of entry for inspections and investigations.

  1. The state fire marshal shall have jurisdiction over all property in the state insofar as it is necessary for the administration and enforcement of any duty imposed on the office by law or regulation and all laws, ordinances, regulations and orders designed to protect the public from fire loss.
  2. The state fire marshal or his employee or appointee may, without delay or advance notice and at all reasonable hours of the day or night, enter in or upon any property to make an inspection or investigation for the purpose of preventing fire loss or determining the origin of any fire, but this subsection shall apply to the interior of private, occupied dwellings only when a fire has occurred therein or when the officer has reason to believe that unsafe fire conditions exist in the building.
  3. No person shall obstruct, hinder or delay such an officer in the performance of his duty.

History. Enact. Acts 1954, ch. 201, § 8; 1978, ch. 305, § 8, effective June 17, 1978.

NOTES TO DECISIONS

  1. Constitutionality.
  2. Search without Warrant.
1. Constitutionality.

This section is constitutional. Stone v. Commonwealth, 418 S.W.2d 646, 1967 Ky. LEXIS 220 ( Ky. 1967 ), cert. denied, 390 U.S. 1010, 88 S. Ct. 1259, 20 L. Ed. 2d 161, 1968 U.S. LEXIS 2015 (U.S. 1968).

2. Search without Warrant.

Where the investigators found definite evidence that a fire accelerant had been used in the building and where the fire had been so recently extinguished that firemen were still working in the area, such evidence was sufficient to establish the probability of arson and justified proceeding to search without a warrant. United States v. Gargotto, 510 F.2d 409, 1974 U.S. App. LEXIS 5997 (6th Cir. Ky. 1974 ), cert. denied, 421 U.S. 987, 95 S. Ct. 1990, 44 L. Ed. 2d 477, 1975 U.S. LEXIS 1745 (U.S. 1975).

Opinions of Attorney General.

Where the private dwelling is unoccupied, or with respect to private commercial property, the continuous area inspection theory would apply. OAG 71-17 .

Research References and Practice Aids

Northern Kentucky Law Review.

Notes, Firemen and the Fourth Amendment: What Are the Requirements of a Post-Fire Search?, 13 N. Ky. L. Rev. 153 (1986).

227.273. Inspection of certain commercial properties.

The state fire marshal shall perform inspections on all commercial properties identified by names and addresses supplied under KRS 304.35-105 within a reasonable time after their submission.

History. Enact. Acts 1978, ch. 305, § 23, effective June 17, 1978.

227.275. Arson investigators.

  1. The commissioner, Department of Kentucky State Police, may designate officers and employees of the Department of Kentucky State Police to investigate and enforce the provisions against arson and arson related offenses occurring within the state and such officers when duly authorized by the commissioner, Department of Kentucky State Police, shall have the general powers of a peace officer for the prevention of other offenses against the Commonwealth.
  2. Each arson investigator so appointed shall, before entering upon the discharge of his or her various duties, take an oath before a person authorized to administer oaths to faithfully discharge his or her duties, and the oath shall be subscribed by the person taking it and filed in the records of the department.
  3. Each of said persons shall give such bond as the commissioner, Department of Kentucky State Police, may designate and with such surety as required by the commissioner, Department of Kentucky State Police, conditioned upon faithful performance of his or her duties.

History. Enact. Acts 1972, ch. 225, § 1; 1974, ch. 74, Art. V, § 24(8); 1978, ch. 384, § 90, effective June 17, 1978; 2007, ch. 85, § 260, effective June 26, 2007.

Legislative Research Commission Note.

(1988). A technical correction has been made in this section by the Reviser of Statutes pursuant to KRS 7.136 .

Opinions of Attorney General.

If volunteer fire departments, in the course of extinguishing a fire, discover evidence indicating that arson may be involved, they can and should contact the arson investigators who have been designated by the Bureau (now Department) of State Police to investigate and enforce the provisions against arson and arson related offenses. OAG 80-611 .

227.280. Subpoena and oath — Production of evidence — Conduct of examinations — Contempt.

  1. The state fire marshal may subpoena witnesses; may administer oaths; may require the production of books, papers, accounts, documents, and other records or materials of an evidentiary nature; and may examine witnesses in any investigation or other fact-finding proceeding authorized under this chapter.
  2. Examinations may be public or private. Persons other than those required to be present may be excluded from the place where the examination or investigation is held, and witnesses may be kept separate and apart from each other and not allowed to communicate with each other until they have been examined.
  3. If any person fails to respond to a subpoena, or refuses to be sworn, or refuses to testify, or fails or refuses to produce any record or material called for, or fails or refuses to comply with a lawful order of the fire marshal or any deputy fire marshal or performs any contemptuous or contumacious act after being summoned to appear in connection with an investigation or fact-finding proceeding authorized under this chapter, the fire marshal or any deputy fire marshal, as the case may be, shall certify the facts to the Circuit Court of the county in which the offense was committed. That court shall have jurisdiction to hear, try, and punish these persons as in other cases of contempt.
  4. The same fees shall be paid for the service of process, for the taking of depositions, and for the services of stenographers as is provided for like services in Circuit Court.

History. Enact. Acts 1954, ch. 201, § 9; 1978, ch. 305, § 9, effective June 17, 1978; 1996, ch. 318, § 139, effective July 15, 1996.

Research References and Practice Aids

Cross-References.

Fees and compensation of certain public officers, KRS ch. 64.

227.290. Commissioner, Department of Kentucky State Police, to furnish data.

If, after an investigation or examination, the commissioner, Department of Kentucky State Police, believes that the evidence concerning a fire indicates that a crime has been committed, he or she shall furnish all data of an evidentiary nature in his or her possession to the county attorney of the county in which the fire took place, or the Commonwealth’s attorney in that district, and request that such attorney institute such criminal proceeding as the evidence warrants.

History. Enact. Acts 1954, ch. 201, § 10; 1974, ch. 74, Art. V, § 24(8); 1978, ch. 384, § 91, effective June 17, 1978; 2007, ch. 85, § 261, effective June 26, 2007.

227.300. Standards of safety — Conformance with Uniform State Building Code — Publication of guidelines — Participation in drafting standards by institutions offering infant and preschool care — Supplemental regulations on temporary change of use.

  1. The commissioner shall promulgate reasonable administrative regulations based on good engineering practice and principles as embodied in recognized standards of fire prevention and protection, providing for a reasonable degree of safety for human life against the exigencies of fire and panic, and insuring as far as is practicable against fire loss. Such rules and regulations shall be known as the standards of safety. After promulgation of the Uniform State Building Code, no part of the standards of safety shall establish, in whole or in part, any building code other than the Uniform State Building Code, but the commissioner may supplement the Uniform State Building Code with fire safety regulations designed to operate in conjunction with the code.
  2. In making such administrative regulations the commissioner shall establish minimum fire prevention and protection requirements, including but not limited to requirements for design, construction, installation, operation, storage, handling, maintenance, or use of the following: structural requirements for the various types of construction; building restrictions within congested districts; exit facilities from structures; fire alarm systems and fire extinguishing systems; fire emergency drills; maximum occupancy loads and other requirements for buildings of public assembly; flue and chimney construction; heating devices; boilers and pressure vessels; electrical wiring and equipment; air conditioning, ventilating and other duct systems; refrigeration systems; flammable liquids, oil and gas wells; garages, repair, and service shops; application of flammable finishes, acetylene, liquefied petroleum gas, and similar products; calcium carbide and acetylene generators; dry cleaning and dyeing plants; flammable motion picture film; combustible fibers; airports and airport buildings; hazardous chemicals; rubbish; open flame devices; parking of vehicles; dust explosions; lightning protection; and other special fire hazards.
  3. For the purpose of integrating the need for safety from hazards of fire with the other safety needs of infants or preschool children under institutional care, the commissioner shall allow persons who own, manage, or are employed by institutions which provide care or education for infants or preschool children to participate in drafting the standards of safety as they apply to such institutions. Such participation shall be by representation of professional associations relating to infant and preschool care, and by representation from other individuals licensed to provide infant and preschool care, on a committee chaired by the state fire marshal or his or her designate. Such participation shall occur prior to the publication of proposed regulations in the administrative register pursuant to KRS 13A.050 but shall not limit any individual’s right to use those procedures set forth in KRS Chapter 13A concerning comment on or protest of proposed regulations. All professional associations relating to infant and preschool care shall be notified by the commissioner when the drafting of standards of safety relating to such institutions is commenced and all such professional associations shall be regularly notified of the time and place of any meetings conducted by authorized employees of the department for the purpose of drafting such standards.
  4. The commissioner shall publish guidelines relating to the standards of safety as they apply to day care and preschool child care centers and nurseries which shall indicate the items inspectors from the Division of Fire Prevention will be looking for when they conduct inspections pursuant to the standards of safety. Such guidelines shall be made available to persons who own, operate, or manage such centers or nurseries and shall be designed to enable said persons to anticipate and comply with the requirements of the standards of safety.
  5. The commissioner shall issue supplemental regulations addressing the temporary change of use in buildings as authorized by KRS Chapter 198B. These regulations shall establish specific standards for such use and shall be designed to operate in conjunction with the Kentucky Building Code.
  6. Any standards of safety or other regulations promulgated under this section shall be subject to the requirements of KRS 198B.030(8).

HISTORY: Enact. Acts 1954, ch. 201, § 11; 1976, ch. 295, § 1; 1976, ch. 296, § 1; 1978, ch. 117, § 38, effective July 1, 1978; 1978, ch. 155, § 125, effective June 17, 1978; 1978, ch. 305, § 10, effective June 17, 1978; 1984, ch. 163, § 2, effective July 13, 1984; 2006, ch. 256, § 4, effective July 12, 2006; 2010, ch. 24, § 394, effective July 15, 2010; 2011, ch. 100, § 15, effective June 8, 2011; 2017 ch. 169, § 65, effective June 29, 2017.

Legislative Research Commission Note.

(7/15/2010). A reference in subsection (4) of this section as amended by 2010 Ky. Acts ch. 24, sec. 394, to “Division of Fire Protection” has been changed in codification to “Division of Fire Prevention” to conform with the listing of divisions within the Department of Housing, Buildings and Construction contained in KRS 227.205 as amended by 2010 Ky. Acts ch. 24, sec. 390.

NOTES TO DECISIONS

  1. Negligence Per Se.
  2. Private Dwelling.
  3. Common-law Negligence.
  4. Regulations.
  5. — Standards.
1. Negligence Per Se.

Violation of “standards of safety” regulation adopted under this section, forbidding storage or handling of flammable liquid in service station building, was negligence per se. Home Ins. Co. v. Hamilton, 253 F. Supp. 752, 1966 U.S. Dist. LEXIS 7758 (E.D. Ky. 1966 ), rev'd, 395 F.2d 108, 1968 U.S. App. LEXIS 6873 (6th Cir. Ky. 1968 ).

Regulations promulgated by the Commissioner of Insurance pursuant to subsection (1) of this section have the force of statutory law, and where a regulation adopted a national fire code pamphlet which required gasoline storage tank owners to frequently gauge the tank while it was being filled and to have a bell that rang as the tank neared being full, the violation of both of these requirements by a storage tank owner was presumed to have been a cause of the fire which resulted when the tanks were being filled. Phillips Petroleum Co. v. Stokes Oil Co., 639 F. Supp. 291, 1986 U.S. Dist. LEXIS 24810 (W.D. Ky. 1986 ), aff'd, 863 F.2d 1250, 1988 U.S. App. LEXIS 16764 (6th Cir. Ky. 1988 ).

Since under this section regulations have statutory authority, defendant was required to comply with regulation regarding transfer of gasoline from a barge to a storage tank that required an alarm system to alert personnel to shut down the system or to automatically shut down the system when an overflow occurred or to gauge the tank at frequent intervals and maintain communications so that the flow could promptly be shut down or diverted, and argument that defendant had previously calculated that tank could have easily held the unleaded gasoline the parties had intended to pump into it was without merit. Phillips Petroleum Co. v. Stokes Oil Co., 863 F.2d 1250, 1988 U.S. App. LEXIS 16764 (6th Cir. Ky. 1988 ).

2. Private Dwelling.

The term “private dwelling” used in the exemption in the regulation prohibiting burning of leaves on premises includes the appurtenant yard. Louisville Trust Co. v. Nutting, 437 S.W.2d 484, 1968 Ky. LEXIS 161 ( Ky. 1968 ).

3. Common-law Negligence.

Though fire regulations relating to presence of fire extinguishers in apartment buildings were too vague and thus did not provide basis for holding that an owner and builder who allegedly failed to comply therewith was guilty of negligence per se, a jury could nevertheless consider the regulations in making a determination of owner’s liability for fire damage based on common-law negligence. Bostic v. East Constr. Co., 497 F.2d 712, 1974 U.S. App. LEXIS 8381 (6th Cir. Ky. 1974 ).

4. Regulations.
5. — Standards.

Although the National Fire Protection Association Standard has required smoke detectors in one (1) and two (2) -family dwellings since 1976, the Kentucky legislature and those to whom it has delegated rulemaking authority are not required to create a standard equivalent to one created by another rule making body, and since the standards adopted by the administrative agency, pursuant to this section are unambiguous in their intent to exempt single family dwellings from these requirements, the court refrained from judicially creating this requirement. Adams v. Miller, 908 S.W.2d 112, 1995 Ky. LEXIS 122 ( Ky. 1995 ), overruled, Giuliani v. Guiler, 951 S.W.2d 318, 1997 Ky. LEXIS 74 ( Ky. 1997 ).

Cited:

McKinley v. Danville Motors, Inc., 374 S.W.2d 366, 1963 Ky. LEXIS 176 ( Ky. 1963 ); Higgins Invs., Inc. v. Sturgill, 509 S.W.2d 266, 1974 Ky. LEXIS 558 ( Ky. 1974 ).

Opinions of Attorney General.

The standards of safety, if adopted by a county, have the status of law and can be enforced by county police. OAG 70-362 .

The fiscal court must employ an architect or professional registered engineer in order to meet the standards of safety requirements and in order to meet responsibility in connection with the design, plans and specifications covering the construction of county libraries. OAG 73-260 .

Neither this section nor KRS 227.220 grants authority for the Fire Marshal to require retroactive application of any new standards of safety to existing structures. OAG 78-185 .

Since the Kentucky Building Code is the controlling authority with respect to the Kentucky Board of Buildings, Housing, and Construction the board may not promulgate regulations which conflict with the building code but may, however, issue regulations which explain, clarify, or supplement the Code and although the Building Code will control any issue to which it directly refers, any ambiguity or change in circumstances not directly addressed in the Code may be controlled by reasonable rules and regulations issued by the department. OAG 80-648 .

227.305. Minimum requirements for facilities for physically handicapped in public buildings and public accommodations — Regulations. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 241, § 2; 1978, ch. 117, § 39, effective July 1, 1978) was repealed by Acts 1980, ch. 361, § 6, effective July 15, 1980.

227.310. Hearing on proposed standards of safety — Notice.

The commissioner shall conduct a hearing prior to the issuance of rules and regulations promulgated pursuant to KRS 227.300 . At such hearing interested parties shall be given an opportunity to be heard in person or by counsel. The commissioner shall cause a notice of such hearing to be published pursuant to KRS Chapter 424. No defect or inaccuracy in the notice or in its publication shall invalidate any such rules or regulations.

History. Enact. Acts 1954, ch. 201, § 12; 1966, ch. 239, § 170; 2010, ch. 24, § 395, effective July 15, 2010.

227.320. Local adoption of safety standards — Minimum requirements.

The authorities of any county, city, or other political subdivision shall adopt and enforce the standards of safety promulgated by the commissioner, and may enter upon private property to enforce required fire lane open space in parking lots containing space for ten (10) or more vehicles. Whenever the commissioner, by rules and regulations prescribes a standard of safety from fire loss, such rules and regulations shall establish a minimum requirement concerning the matters covered thereby and shall be so construed in relation to any local rules and regulations.

History. Enact. Acts 1954, ch. 201, § 13; 1966, ch. 146, § 5; 1970, ch. 157, § 1; 1974, ch. 74, Art. V, § 24(11); 1978, ch. 305, § 11, effective June 17, 1978; 2010, ch. 24, § 396, effective July 15, 2010.

Opinions of Attorney General.

Under this section and KRS 86.160 (repealed), a city of the fourth class may establish fire lanes within the parking area of a shopping center and install the necessary traffic devices relating thereto. OAG 69-399 .

There is no conflict between Jefferson County’s open burning regulation and a standard of safety enacted by the division of fire prevention of the Department of Public Safety, KSftyS-18, 1.5.9., concerning the burning of materials which have previously contained high explosives, since KSftyS-18, 1.5.9. merely establishes the minimum standard throughout the Commonwealth and clearly qualifies such materials for the exception cited in Jefferson County’s regulation banning open burning. OAG 74-30 .

227.330. Powers of state fire marshal relating to fire hazards — Orders — Appeals.

  1. Whenever the state fire marshal or any deputy state fire marshal finds that any property is not safe as to fire loss, under the terms and conditions of this chapter and under the administrative regulations promulgated thereunder, or that the practices or methods of construction or operation, or processes or materials employed or used in connection therewith do not afford adequate protection from fire loss, under this chapter or under applicable administrative regulations, he shall order that additions, improvements, repairs, or changes be made and equipment be provided or action be taken that will reasonably render the property safe.
  2. Orders and notices of the state fire marshal shall be effective only when in writing signed by him or by his authority.
  3. Every order of the fire marshal shall state its effective date and shall concisely state:
    1. The grounds or alleged violations on which based;
    2. The provisions of this chapter or the administrative regulations pursuant to which action is so taken or proposed to be taken;
    3. The date by which the alleged violation shall be corrected or eliminated and the correction recommended therefor; and
    4. All other matters required by law.
  4. Except as provided by KRS 227.340 , an order or notice may be given by delivery to the person to be ordered or notified or his agent or by mailing it, postage prepaid, addressed to him at his principal place of business or residence as last of record in the department.
  5. Before any order issued under subsection (1) of this section is enforceable, notice and opportunity for a hearing shall be provided the owner or his agent in accordance with KRS Chapter 13B.
  6. Whenever the state fire marshal or any deputy state fire marshal designated by him for that purpose finds that a violation or violations of the provisions of this chapter or any administrative regulations promulgated thereunder render any property especially susceptible to fire loss, and there is present such hazard to human life or limb that the public safety imperatively requires emergency action, a fire inspector or other state fire marshal employee may be authorized in writing by the state fire marshal to issue an emergency order pursuant to KRS 13B.125 that directs the property to be closed to the public or vacated by its occupants until the violation is corrected.
  7. Notwithstanding the above upon receipt of notice of an emergency order issued under subsection (6) of this section, an owner or agent may seek a temporary restraining order prohibiting its enforcement in the Circuit Court within whose jurisdiction the property is located. The court shall review the emergency order and may prohibit its enforcement.
  8. Appeals from any order issued or action taken under this section may be taken in the manner prescribed by KRS 227.335 .
  9. An order prepared by the state fire marshal’s designee and approved in writing by the state fire marshal shall be considered the state fire marshal’s order.

History. Enact. Acts 1954, ch. 201, § 14; 1972, ch. 203, § 48; 1978, ch. 117, § 40, effective July 1, 1978; 1978, ch. 305, § 12, effective June 17, 1978; 1996, ch. 318, § 140, effective July 15, 1996; 2010, ch. 24, § 397, effective July 15, 2010.

Opinions of Attorney General.

Before a fiscal court could employ a contractor to repair a courthouse, the court had to first have plans for remodeling the structure from an architect or professional engineer. OAG 70-111 .

Plans for remodeling a courthouse which was closed as a fire hazard by order of the state fire marshal must meet the requirements of the standards of safety promulgated pursuant to KRS 227.300 and be prepared by an architect or professional engineer. OAG 70-111 .

The fact that deficiencies had been noted in the courthouse building by the Fire Marshal’s office would not necessarily preclude the county from proceeding to remodel the courtroom of the courthouse, presuming, however, that the county adhered to the requirements of the administrative regulations adopted on behalf of the State Fire Marshal’s office by submitting, to the State Fire Marshal’s office for inspection and approval by that office, the plans and specifications involving the proposed remodeling project; even if the county complied with the requirements of the regulation and obtained a permit to remodel the courtroom, it would not be relieved of its obligation to correct all the other deficiencies in the courthouse discovered by the State Fire Marshal’s office during the course of its authorized inspections. OAG 78-187 .

Research References and Practice Aids

Kentucky Bench & Bar.

Groves and Hill, The New Statewide Uniform Building Code, Vol. 42, No. 4, October, 1978, Ky. Bench & Bar 18.

227.331. Violation of administrative regulations or orders — Administrative fines — Enforcement actions.

  1. Any person who willfully violates any administrative regulation, emergency order, or final order of the state fire marshal shall be subject to suspension or revocation of certificate of authority, occupancy, or other license or permit, or administrative fine not exceeding one thousand dollars ($1,000) in lieu of suspension or revocation, for violation of the provision to which the administrative regulation or order relates, after notice and hearing in accordance with KRS Chapter 13B.
  2. It shall be the duty of the state fire marshal, or upon the commissioner’s request, of the Attorney General, to bring an action to enforce any proper order made or action taken by the state fire marshal or on his or her authority, or for the recovery of the penalties provided in subsection (1) of this section, and to bring an action for a restraining order or for a temporary or permanent injunction, as the state fire marshal deems necessary for the prevention or correction of a condition constituting or threatening to constitute a violation of this chapter or administrative regulations promulgated thereunder. In any action for a restraining order or for a temporary or permanent injunction, allegations in a verified complaint or affidavit by the state fire marshal deputy or employee that the respondent is in violation of specified fire prevention and protection laws or administrative regulations and the violation or violations present such hazard to human life or limb that the public safety imperatively requires emergency action shall be sufficient under Rule 65 of the Kentucky Rules of Civil Procedure to show that the applicant’s rights are being or will be violated and that he or she will suffer immediate and irreparable injury, loss, or damage before notice can be served and a hearing had thereon or pending a final judgment in the action.
  3. All actions for enforcement, recovery of administrative fines, and injunctive relief for violations of this chapter shall be brought in the name of the Commonwealth of Kentucky by the state fire marshal, or upon the commissioner’s request by the Attorney General, in the Circuit Court within which the property involved is located.
  4. If the state fire marshal has reason to believe that any person has violated any provision of this chapter, for which criminal penalties are provided and in his or her opinion prosecution would be in order, he or she shall give the information relative thereto to the appropriate county attorney, Commonwealth’s attorney, or to the Attorney General. The county attorney, Commonwealth’s attorney, or Attorney General shall promptly institute any action or proceedings against the person as in his or her opinion the information may require or justify.

History. Enact. Acts 1978, ch. 305, § 17, effective June 17, 1978; 1996, ch. 318, § 141, effective July 15, 1996; 2010, ch. 24, § 398, effective July 15, 2010.

227.332. Notice of hearings.

  1. The state fire marshal shall give written notice of a hearing as required by KRS Chapter 13B. In addition to all parties to the hearing, the state fire marshal shall give this notice to all persons whose pecuniary interests, to the state fire marshal’s knowledge or belief, are to be directly and immediately affected by the hearing.
  2. If any hearing is to be held for consideration of administrative regulations of the commissioner, or of other matters which, under subsection (1) of this section, would otherwise require separate notice to more than thirty (30) persons, in lieu of other notice the commissioner may give notice of the hearing by publication pursuant to KRS Chapter 424; but the commissioner shall mail the notice to all persons who had requested the same in writing in advance and have paid to the commissioner the reasonable amount fixed by him or her to cover the cost thereof.
  3. All notices, other than notices provided for in subsection (2) of this section, shall be given as provided in KRS Chapter 13B.

History. Enact. Acts 1978, ch. 305, § 18, effective June 17, 1978; 1996, ch. 318, § 142, effective July 15, 1996; 2010, ch. 24, § 399, effective July 15, 2010.

227.333. Conduct of hearings. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1978, ch. 305, § 19, effective June 17, 1978) was repealed by Acts 1996, ch. 318, § 357, effective July 15, 1996.

227.334. Hearings — Orders. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1978, ch. 305, § 20, effective June 17, 1978) was repealed by Acts 1996, ch. 318, § 357, effective July 15, 1996.

227.335. Appeal of orders.

  1. An appeal from the state fire marshal shall be taken only from a final order on hearing.
  2. Any person who was a party to a hearing and who is aggrieved by the final order may appeal in accordance with KRS Chapter 13B to the Circuit Court within which the property is located.

History. Enact. Acts 1978, ch. 305, § 21, effective June 17, 1978; 1996, ch. 318, § 143, effective July 15, 1996.

227.336. Findings — Correction of violations — Fees.

  1. Whenever the state fire marshal or any deputy state fire marshal appointed or employed by him or her makes any finding set forth in subsection (1) of KRS 227.330 , or finds any property in violation of any provision of KRS 227.200 to 227.410 or any regulations adopted thereunder, in lieu of the order required in KRS 227.330 (1), he or she shall notify the owner or his or her agent in writing of such specific finding and violation and instruct him or her to correct the violation within a period of time not to exceed sixty (60) days. Should the owner fail to make the required corrections within the specified time, the state fire marshal may proceed to take any other action authorized in this chapter.
  2. If the state fire marshal or a deputy state fire marshal is required to make additional inspections, beyond the initial inspection and one (1) follow-up inspection, to determine if the required corrections referred to in subsection (1) of this section have been made, the state fire marshal or the deputy state fire marshal shall assess a fee against the property owner to recover the cost of each additional inspection according to the following schedule:
  3. Any fee collected under the provisions of this section by the state fire marshal shall be payable to the State Treasury and credited to the Division of Fire Prevention for the operation of the general inspection program. Any fee collected under the provisions of this section by a deputy state fire marshal shall be payable to the fire department conducting the inspection.
  4. If during a follow-up inspection or any subsequent inspection for the same violation the state fire marshal or a deputy state fire marshal finds an additional violation not found during the initial inspection, such additional violation shall be treated as an initial violation which the property owner shall have the opportunity to correct under subsection (1) of this section prior to the assessment of a fee under subsection (2) of this section.

Third inspection fee $100.00 Fourth inspection fee $200.00 Fifth and subsequent inspection fee $500.00

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History. Enact. Acts 1978, ch. 305, § 22, effective June 17, 1978; 2003, ch. 125, § 1, effective June 24, 2003; 2010, ch. 24, § 400, effective July 15, 2010.

227.340. Notice of hearing when property owner unknown.

Whenever the state fire marshal, his deputy, or other officer has reason to believe that a fire hazard should be corrected and he is unable to determine after a diligent search the owner of any property to be affected, he shall, in addition to notice required in KRS Chapter 13B, post notice of a hearing concerning the hazard in a conspicuous place on or near the property and shall also publish notice pursuant to KRS Chapter 424 in the county in which the property is located. The hearing shall be held in accordance with KRS Chapter 13B at the time and place specified in the notice as if the notice had been served on the owner.

History. Enact. Acts 1954, ch. 201, § 15; 1966, ch. 239, § 171; 1978, ch. 305, § 13, effective June 17, 1978; 1996, ch. 318, § 144, effective July 15, 1996.

227.350. Records of orders, rules, and regulations — Admissibility and presumptions as evidence.

The state fire marshal shall keep a permanent record of all summary orders, orders, rules, and regulations. Each such summary order, order, rule, or regulation shall be admissible in any prosecution for the violation of any of its provisions. Provisions of a summary order or an order, rule, or regulation shall be presumed to be lawful and to fix a reasonable and proper requirement and standard of safety from fire loss.

History. Enact. Acts 1954, ch. 201, § 16; 1978, ch. 305, § 14, effective June 17, 1978.

227.360. Procedure in case of noncompliance with state fire marshal’s or fire inspector’s order.

If any owner fails to comply with a summary order or an order of the state fire marshal, his authorized designee or a fire inspector, or with an order as modified on appeal, the state fire marshal may cause the property to be repaired, or removed if repair is not feasible, or all fire hazard conditions remedied, at the expense of the owner. Such expense may be enforced against any property of such owner, and the state fire marshal and those employed by him to do the work or who furnish materials or equipment therefor, shall have a lien for such expense on the real estate property involved.

History. Enact. Acts 1954, ch. 201, § 17; 1978, ch. 305, § 15, effective June 17, 1978.

227.370. Inspection of property by fire chief or other department personnel — Inspection and investigation reports.

  1. The chief of the fire department of a city, or any officer or member of his department designated by him for that purpose, is authorized to inspect all property for the purpose of ascertaining and causing to be corrected any conditions likely to cause fire loss, or determining the cause or origin of any fire loss, or discovering any violation of a law or ordinance relating to fire prevention and protection. This authority shall apply to the interior of occupied, private dwellings only when a fire loss has occurred therein or when the officer has reason to believe that unsafe conditions exist in the building. Inspections of property in the territory served by the fire department shall be made as often as practicable or as often as the city legislative body may direct.
  2. A written report of each inspection shall be made and kept on file in the office of the chief of the fire department. Reports of investigations of fire losses conducted by a fire department may, in the discretion of the chief of the fire department, be withheld from the public.

History. Enact. Acts 1954, ch. 201, § 18.

Opinions of Attorney General.

This section would require the inspection officer to have reason to believe unsafe conditions exist in an occupied building before an inspection can be made, unless a fire was evident. OAG 71-17 .

The reports of two (2) fires prepared by a fire chief following his investigations were validly withheld from the public pursuant to this section and KRS 61.878(1)(h). OAG 84-19 .

Reports on the investigation of fires are exempt from mandatory disclosure under KRS 61.878 (1)(j) since reports of investigations of fire losses conducted by a fire department may, in the discretion of the chief of the fire department, be withheld from the public. OAG 91-100 .

Denial of request for access to lists of fire and building code violations prepared by the chief, or his designee, and the city inspector, was improper as this section does not vest the chief with discretion to withhold information pertaining to violations noted in his inspection and thus subdivision (1)(j) of KRS 61.878 is inapplicable; moreover inspection reports are not “preliminary” within the meaning of KRS 61.878 (1)(h). OAG 91-100 .

Research References and Practice Aids

Cross-References.

Fire chief of second-class city to investigate fires and have control over fire department, KRS 95.500 .

Northern Kentucky Law Review.

Notes, Firemen and the Fourth Amendment: What Are the Requirements of a Post-Fire Search?, 13 N. Ky. L. Rev. 153 (1986).

227.380. Fire chief may order fire hazard removed — Appeal.

  1. Whenever the chief of the fire department or any officer or member of his department designated by him for that purpose finds any property which, for want of repairs, lack of sufficient fire escapes, age, dilapidated condition, or any other cause, is especially liable to fire loss, or whenever an officer finds in any property, combustible or explosive matter or inflammable materials likely to result in fire loss, he shall order it to be remedied. The order shall forthwith be conformed to by the owner of the property.
  2. The owner may appeal to the state fire marshal within ten (10) days following receipt of the order. The state fire marshal shall, upon appeal, conduct a hearing in accordance with KRS Chapter 13B.

History. Enact. Acts 1954, ch. 201, § 19; 1966, ch. 146, § 6; 1996, ch. 318, § 145, effective July 15, 1996.

227.390. Officer may remedy fire hazard if owner fails to do so — Expense.

If any owner fails to comply with an order issued pursuant to KRS 227.380 or with an order as modified on appeal to the commissioner, the officer may cause the property to be repaired, or removed if repair is not feasible, and all fire hazard conditions remedied, at the expense of the owner. Such expense may be enforced against any property of such owners and the officer and those employed to do the work or who furnish materials or equipment therefor shall have a lien for such expense on the real estate or property involved.

History. Enact. Acts 1954, ch. 201, § 20; 2010, ch. 24, § 401, effective July 15, 2010.

227.395. Class B firefighter foam — Restricted use during training or testing.

  1. As used in this section:
    1. “Class B firefighting foam” means foams designed for flammable liquid fires;
    2. “PFAS chemicals” means perfluoroalkyl and polyfluoroalkyl substances which, for the purpose of firefighting agents, is a class of fluorinated organic chemicals containing at least one (1) fully fluorinated carbon atom; and
    3. “Testing” means calibration testing, conformance testing, and fixed system testing.
  2. Beginning on July 15, 2020, class B firefighting foam that contains intentionally added PFAS chemicals shall not be used for firefighting training purposes or testing purposes unless otherwise required by law, regulation, or ordinance, and the testing facility has implemented best industry practices to prevent uncontrolled releases of class B firefighting foam in the environment. Violation of this subsection shall be subject to KRS 227.336 .
  3. The restrictions in subsection (2) of this section shall not apply to:
    1. The manufacture, sale, or distribution of class B firefighting foam that contains intentionally added PFAS chemicals; or
    2. The discharge or other use of class B firefighting foam that contains intentionally added PFAS chemicals in emergency firefighting operations.

HISTORY: 2019 ch. 47, § 1, effective June 27, 2019.

227.400. Owner to keep property safe from fire — Public and employees to be kept out of unsafe buildings — Volunteers only to be used for private company’s employee fire brigade.

  1. No owner shall fail to furnish and use reasonable adequate protection and safeguards against fire loss, or fail to adopt and use processes and methods reasonably adequate to render such places safe from fire loss.
  2. No owner shall require or allow the public or any employee to go into or be in any property under his control which is not reasonably safe from the fire loss.
  3. Private companies which use employees to form a fire brigade to fight fires at their plant or on the premises of the company shall use the employees for the fire brigade only if the employees volunteer.

History. Enact. Acts 1954, ch. 201, § 21; 1994, ch. 414, § 2, effective July 15, 1994.

NOTES TO DECISIONS

  1. Reasonably Adequate Protection.
  2. Smoke Detectors.
1. Reasonably Adequate Protection.

What would be reasonably adequate protection is determined by the general principles of negligence liability, and the statute imposes no additional duty. Louisville Trust Co. v. Nutting, 437 S.W.2d 484, 1968 Ky. LEXIS 161 ( Ky. 1968 ).

2. Smoke Detectors.

The court refused to interpret this statute as indicating the existence of a legislative expression of a public policy in favor of requiring the use of smoke detectors in single family dwellings. Adams v. Miller, 908 S.W.2d 112, 1995 Ky. LEXIS 122 ( Ky. 1995 ), overruled, Giuliani v. Guiler, 951 S.W.2d 318, 1997 Ky. LEXIS 74 ( Ky. 1997 ).

Cited:

Home Ins. Co. v. Hamilton, 253 F. Supp. 752, 1966 U.S. Dist. LEXIS 7758 (E.D. Ky. 1966 ), rev’d, 395 F.2d 108, 1968 U.S. App. LEXIS 6873 (6th Cir. 1968).

Research References and Practice Aids

Cross-References.

Hotels and food service establishments, enforcement of fire regulations, KRS 219.051 .

Mines, when safety lamps required in, KRS 352.170 .

Oils and other inflammable materials, storage near mine openings, KRS 352.270 .

Structures used for boxing and wrestling matches to have fire escapes, KRS 229.141 .

227.410. Definitions for KRS 227.410 — Prohibition of sale or installation of unventable type gas fuel room heaters — Exceptions — Enforcement.

  1. As used in this section:
    1. “Gas-fired heating device” means a gas burning appliance of either a gravity or mechanical circulation type, designed for the heating of air or of water in an enclosed structure;
    2. “Gas-fired room heating device of the unventable type” means a self-contained, free standing, air heating, gas-fired appliance, designed as a space heater for an enclosed structure; and
    3. “Enclosed structure” includes a room used for public assembly, educational, instructional, mercantile, office, or residential purposes (including manufactured homes, mobile homes, travel trailers, and houseboats).
  2. No person, firm, or corporation shall sell at retail or wholesale, or offer or expose for sale at retail or wholesale any gas-fired room heating device of the unventable type, or other type which has not been approved as provided in KRS 234.175 , except unvented heaters that are built and sold solely for the curing of tobacco, which if sold or used by any person for any other purpose shall subject him or her to the penalty set forth in KRS 227.991 .
  3. No person, firm, or corporation shall install in any room or enclosed structure any gas-fired room heating device of the unventable type or other type which has not been approved as provided in KRS 234.175 .
  4. No person, firm, or corporation may install any gas-fired heating device of the ventable type for use in any room or enclosed structure unless said device is vented in accordance with the provisions of the standards of safety of the Department of Housing, Buildings and Construction.
  5. No person, firm, or corporation who may own a gas-fired heating device of the unventable type or a gas-fired heating device of the ventable type, which has not been approved as provided in KRS 234.175 , or which does not conform to the provisions of the standards of safety of the department (all of which heating devices are referred to as “proscribed heaters” in this subsection and subsection (6) of this section), or who may occupy an enclosed structure in which such a proscribed heater is installed, shall continue to use or operate said proscribed heater after receipt of a written order described in subsection (6) of this section, and before the conditions contained in said order are met.
  6. Cities with populations equal to or greater than twenty thousand (20,000) based upon the most recent federal decennial census or urban-county governments may under ordinance duly enacted appoint inspectors or officers who have power to issue written orders directing owners of heaters or occupants of structures in which heaters are installed, to discontinue the use or operation of a proscribed heater and to specify conditions which must be met before said proscribed heater may again be used or operated. Said order may be issued if said authorized person has actual knowledge of the existence of a proscribed heater, and, in the opinion of said authorized person, the continued use or operation of said proscribed heater would constitute a danger to life or health; provided however, no person, agency, firm, or corporation (other than the owner, user, seller, or installer of a proscribed heater) shall be liable for civil damages for his or her or its failure to recognize a proscribed heater, for failure to issue the order described in this subsection, for complying with said order, for assisting with the compliance therewith, or for allowing the continued use or operation of a proscribed heater prior to receipt of said order.
  7. This section shall not apply to liquefied petroleum gas heaters subject to the jurisdiction of the department under KRS Chapter 234, except those liquefied petroleum gas heaters sold or installed for residential usage.

History. Enact. Acts 1968, ch. 96, §§ 1 to 4, 6; 1972, ch. 332, § 1; 1974, ch. 74, Art. V, § 24(11); 1978, ch. 117, § 41, effective July 1, 1978; 1996, ch. 340, § 2, effective July 15, 1996; 2010, ch. 24, § 402, effective July 15, 2010; 2014, ch. 92, § 282, effective January 1, 2015.

Regulation of Electricians

227.450. Definitions for KRS 227.450 to 227.500.

As used in KRS 227.450 to 227.500 unless the context otherwise requires:

  1. “Alteration” means any change, modification, or adjustment to an existing electrical system or conduit;
  2. “Commissioner” means the commissioner of the Department of Housing, Buildings and Construction;
  3. “Department” means the Department of Housing, Buildings and Construction;
  4. “Division” means the Electrical Division within the department;
  5. “Electrical contractor” means any licensed individual, partnership, or corporation that is licensed to engage in, offers to engage in, or advertises or holds itself out to be qualified to engage in designing, planning, superintending, contracting of, or assuming responsibility for the installation, alteration, or repair of any electrical system used for the purpose of furnishing heat, light, or power, and employs electrical workers to engage in this practice. If the electrical contractor is not a master electrician, the electrical contractor shall employ at least one (1) full-time master electrician;
  6. “Electrical system” means any electrical work subject to standards provided within the National Electrical Code as adopted in the Uniform State Building Code, as promulgated by the department;
  7. “Electrician” means any person licensed by the department who is employed by an electrical contractor and is engaged in the construction, alteration, or repair of any electrical system used for the purpose of furnishing heat, light, or power;
  8. “Electrical” pertains to the installation, alteration, or repair of wires and conduits for the purpose of transmitting electricity, and the installation of fixtures and equipment in connection therewith;
  9. “Electrical inspector” means any person certified by the commissioner pursuant to KRS 227.489 who, for compensation, inspects the construction and installation of electrical conductors, fittings, devices, and fixtures for light, heat, or power service equipment to ascertain the compliance with the National Electrical Code incorporated in the Uniform State Building Code promulgated pursuant to KRS 198B.050 or the standards of safety of the Commonwealth of Kentucky; and
  10. “Repair” means the reconstruction or renewal of any part of an existing building for the purpose of its maintenance.

HISTORY: Enact. Acts 1960, ch. 208, § 1; 1964, ch. 137, § 1; 1976, ch. 346, § 1; 1978, ch. 117, § 42, effective July 1, 1978; 1990, ch. 14, § 2, effective July 13, 1990; 2003, ch. 119, § 15, effective June 24, 2003; 2010, ch. 24, § 403, effective July 15, 2010; 2015 ch. 105, § 4, effective June 24, 2015; 2017 ch. 169, § 66, effective June 29, 2017.

NOTES TO DECISIONS

Cited:

Massie v. Persson, 729 S.W.2d 448, 1987 Ky. App. LEXIS 444 (Ky. Ct. App. 1987), overruled, Conner v. George W. Whitesides Co., 834 S.W.2d 652, 1992 Ky. LEXIS 95 ( Ky. 1992 ), overruled in part, Conner v. George W. Whitesides Co., 834 S.W.2d 652, 1992 Ky. LEXIS 95 ( Ky. 1992 ).

Opinions of Attorney General.

“Electrical inspectors” employed by cities of the second and third classes are subject to regulation and the only certificate or license which the public service commission, previously the state board of examiners of electrical inspectors, would have power to grant would be for electrical inspectors already employees of the particular city and/or county for which they applied, which license would have statewide application. OAG 73-607 .

Although the Public Service Commission examines and certifies electrical inspectors who are then qualified to be employed by cities to perform inspections under the respective electrical ordinances, the Commission has no authority to make electrical inspections. OAG 76-296 .

If a city has adopted an electrical code, the city has the authority to designate a specific firm to make electrical inspections, as long as the persons designated by the firm to represent it and the city are duly certified by the Public Service Commission. OAG 76-296 .

A city of the second class would have no authority to impose its electrical permit system upon the State’s electrical contractor who is working on the construction project of a state university. OAG 77-445 .

While this section, as amended by the 1978 regular session of the General Assembly, excludes from the definition of an “electrical inspector” a person who inspects to ascertain the compliance with the electrical code of any city, it includes one who inspects to ascertain compliance with the State’s standards of safety; since cities are now required to adopt and enforce the State’s standards of safety which include the national electrical code and which prevail over any conflicting or inconsistent provisions adopted by the city, therefore, the city, to perform its statutorily imposed duties, will have to have an electrical inspector certified, pursuant to KRS 227.489 , by the commissioner of housing, buildings and construction. OAG 78-792 .

Where a city has a contract with a part-time electrical inspector to enforce the city’s electrical code, but does not pay him directly by either salary or fee, leaving the matter of compensation to be paid him by the consumer, the inspector would be liable for his own negligence while the liability of the city would depend upon whether he was an employee or independent contractor, with the city not being liable in the latter case. OAG 79-112 .

227.460. Application of KRS 227.450 to 227.500.

KRS 227.450 to 227.500 shall not apply to installations under the exclusive control of electric utilities for the purpose of communication, metering, or for the generation, control, transformation, transmission and distribution of electric energy located in buildings used exclusively by utilities for such purposes or located outdoors on property owned or leased by the utility or on public highways, streets or roads, or outdoors by established rights on private property.

History. Enact. Acts 1960, ch. 208, §§ 2, 3; 1974, ch. 386, § 49; 1976, ch. 346, § 2.

Opinions of Attorney General.

“Electrical inspectors” employed by cities of the second and third classes are subject to regulation and the only certificate or license which the public service commission, previously the state board of examiners of electrical inspectors, would have power to grant would be for electrical inspectors already employees of the particular city and/or county for which they applied, which license would have statewide application. OAG 73-607 .

227.470. Cooperative agreements between local governments.

  1. Any action authorized by the provisions of KRS 227.450 to 227.500 to be accomplished by a city or county may be undertaken cooperatively by two (2) or more local governments upon a resolution by the governing body of each local government to do so. Such cooperative agreements shall conform to the provisions of KRS Chapter 65.
  2. If the governing body of two (2) or more counties authorizes a cooperative agreement, the individual cities within those counties do not have to execute the cooperative agreement and are deemed to be a party to the cooperative agreement for all purposes unless, within sixty (60) days after the adoption of the legislation authorizing the cooperative agreement by the county fiscal court in which that city is located, a resolution is passed by a city expressing its intent not to enter into a cooperative agreement.

History. Enact. Acts 1960, ch. 208, § 4; 1978, ch. 117, § 43, effective July 1, 1978; 1994, ch. 320, § 1, effective July 15, 1994.

227.480. Authority to require permits — Proof of licensure under KRS Chapter 227A — Exemptions — Inspectors — Inspection standards.

    1. A city, county, urban-county government, charter county, or consolidated local government or the state shall, according to the Uniform State Building Code as it pertains to the plan review and inspection responsibilities of local governments or the state, require any person to obtain a permit before commencing construction, alteration, or repairs of any electrical system. (1) (a) A city, county, urban-county government, charter county, or consolidated local government or the state shall, according to the Uniform State Building Code as it pertains to the plan review and inspection responsibilities of local governments or the state, require any person to obtain a permit before commencing construction, alteration, or repairs of any electrical system.
    2. The city, county, urban-county government, charter county, or consolidated local government or the state shall require all inspections that are deemed necessary by the department for the safety of life and property. The department shall promulgate administrative regulations to describe the circumstances where inspections are required.
  1. A city, county, urban-county government, charter county, or consolidated local government or the state shall not issue a permit unless the applicant submits proof of being licensed as an electrical contractor under KRS Chapter 227A or of acting on behalf of a licensed electrical contractor. However, the provisions of this subsection shall not apply to:
    1. A homeowner or farmer who does construction, alteration, or repairs of any electrical system on his or her own premises or any other person exempt from licensing under KRS 227A.030 or 227A.150 ;
    2. Electrical work performed by the Commonwealth of Kentucky, a city, county, urban-county government, charter county, or consolidated local government, or any subdivision thereof; or
    3. A company with a recently deceased licensed electrical contractor, which shall be granted an interim period of up to one hundred eighty (180) continuous calendar days by the city, county, urban-county government, charter county, consolidated local government, or state to allow the company to utilize the license of the deceased electrical contractor if:
      1. The company effectuates and documents all necessary bonding and insurance policies required by KRS Chapter 227A; and
      2. Ensures that the bonding and insurance policies remain in effect for the entirety of the interim period of time extended.
  2. A city, county, urban-county government, charter county, or consolidated local government shall appoint and may fix the compensation of city, county, urban-county government, charter county, or consolidated local government electrical inspectors, and may by ordinance fix reasonable fees and establish other requirements for the conduct of electrical inspections within its boundaries. All electrical inspectors shall be certified under KRS 227.489 .
  3. Reasonable standards for the construction, alteration, and repair of any electrical system shall be those adopted in the Uniform State Building Code, as promulgated by the department, and shall have as a minimum standard the requirements of the National Electrical Code, which may include Kentucky amendments. These standards shall be used by the electrical inspector in making his inspections.

HISTORY: Enact. Acts 1960, ch. 208, § 5; 1978, ch. 117, § 44, effective July 1, 1978; 1978, ch. 384, § 92, effective June 17, 1978; 1982, ch. 218, § 1, effective July 15, 1982; 1990, ch. 14, § 3, effective July 13, 1990; 2003, ch. 119, § 16, effective June 24, 2003; 2004, ch. 81, § 1, effective April 6, 2004; 2006, ch. 83, § 2, effective July 12, 2006; 2010, ch. 24, § 404, effective July 15, 2010; 2015 ch. 105, § 5, effective June 24, 2015; 2017 ch. 169, § 67, effective June 29, 2017; 2018 ch. 22, § 6, effective July 14, 2018.

Legislative Research Commission Note.

(7/12/2006). 2006 Ky. Acts ch. 83, sec. 6, provides that the Act, which included an amendment to this statute, shall be known and may be cited as “Isaac’s Act.”

Opinions of Attorney General.

If a county has an inspection program the county may designate a particular firm or person to act as its electrical inspector as long as the inspections are performed by inspectors certified by the Public Service Commission. OAG 77-330 .

The Uniform State Building Code became mandatorily effective in the counties of Boyd, Campbell, Daviess, Fayette, Franklin, Jefferson, Kenton, McCracken and Warren on February 15, 1980; other Kentucky counties, including Whitley County, were covered effective August 15, 1981, and the remaining counties will be mandatorily covered effective August 15, 1982. OAG 82-30 .

It is the duty and responsibility of the municipal government to employ its own certified inspectors or to enter into an interlocal agreement with another governmental entity, utilizing the inspectors of that entity, to conduct the required inspections and the statutes do not contemplate free-lance certified electrical inspectors contracting directly with the owners or occupiers of houses and other buildings to conduct electrical inspections; now that the Kentucky Building Code is mandatorily effective in the state, the enforcement of the code within a city, including the national electrical code which is part of the Kentucky Building Code, is the responsibility of the city. OAG 83-32 .

Local enforcement of the national electrical code is contemplated. OAG 83-32 .

A house or other building subject to the requirements of the national electrical code and located within the municipal limits is not eligible to receive a hookup to an electric source and electric service from electric utility until it has been inspected by a certified electrical inspector authorized to perform electrical inspections for the city; thus, a city was not required to connect power to a structure approved by a certified inspector other than the city inspector nor could the head of the city light and water department, without approval of the city’s legislative body, approve a hookup to a structure within the city limits which was inspected by someone other than the city inspector. OAG 83-32 .

227.485. Electrical inspectors to be certified by state board of examiners — Qualifications — Duties of board. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 137, §§ 2, 3) was repealed by Acts 1974, ch. 74, Art. V, § 28.

227.487. Fees for electrical inspections.

Except where other rules are adopted by a city or county, the following reporting and fee requirements shall apply to electrical inspections of residential buildings and single-family dwellings:

  1. The inspector shall complete a report for each inspection. One (1) copy of the report shall be given to the owner of the electrical installation or his or her representative at the time the inspection fees are paid. A second copy of the report shall be sent to the department no later than one (1) week after the inspection is completed. The report shall include but is not limited to the following:
    1. The address of the dwelling inspected;
    2. The number of rooms, number of receptacles and number of switch boxes inspected;
    3. Number of code violations, if any;
    4. A description of each code violation, and recommended change to correct the violation;
    5. The date and time of day the inspection commenced;
    6. The time, in hours and minutes, required for the inspection;
    7. The number of miles and hours and minutes of travel time incurred by the inspector for that inspection, if mileage and travel charges are added to the inspection fee; and
    8. The amount charged for the inspection, separated into an amount for mileage, if any, and the amount for travel time, if any, and the amount charged for the actual inspection.
  2. The maximum inspection fee shall be an amount equal to the wage paid to a majority of master electricians in the region in which the inspection is made, multiplied by the time required to conduct the inspection. This rate shall not be applied to travel time to and from the inspection.
  3. An inspector may charge, in addition to the inspection fee, an amount for necessary travel to and from the inspection site. The mileage rate charged shall not exceed the amount per mile allowed to state employees, and the inspector shall charge no more than ten dollars ($10) per hour for travel time. If two (2) or more inspections are made during one (1) trip, then the cost of travel shall be divided between the inspections made. In no case shall an inspector charge more than once for the same trip, or charge for mileage or time not actually expended.
  4. Each inspector shall furnish bond of five thousand dollars ($5,000) with surety satisfactory to the department.
  5. The department shall design reporting forms which meet the requirements of subsection (1) of this section, and provide these forms to electrical inspectors. The department shall promulgate administrative regulations to administer the requirements of this section.
  6. Nothing in this section is intended to limit the right of cities or counties to set fees or adopt rules for electrical inspections which are different from those specified in subsection (1), (2), (3) or (4) of this section.

History. Enact. Acts 1982, ch. 218, § 2, effective July 15, 1982; 2010, ch. 24, § 405, effective July 15, 2010; 2017 ch. 3, § 3, effective January 9, 2017; 2017 ch. 169, § 68, effective June 29, 2017.

Legislative Research Commission Notes.

(6/29/2017). This statute was amended by 2017 Ky. Acts chs. 3 and 169, which do not appear to be in conflict and have been codified together.

227.489. Electrical inspectors required to be certified.

The commissioner shall require electrical inspectors to be certified. Examinations shall be based on the National Electrical Code incorporated in the Uniform State Building Code and the standards of safety prescribed by the department. Electrical inspectors who have been engaged in the inspection of electrical light and power wiring installations, based on the requirements of the National Electrical Code, for a period of three (3) years, may be certified on the basis of knowledge of this subject and experience. No certificate shall be denied, suspended, or revoked unless the applicant or certificate holder is afforded the opportunity for a hearing in accordance with KRS Chapter 13B.

HISTORY: Enact. Acts 1974, ch. 74, Art. V, § 27; 1976, ch. 346, § 5; 1978, ch. 117, § 45, effective July 1, 1978; 1978, ch. 384, § 93, effective June 17, 1978; 1996, ch. 318, § 146, effective July 15, 1996; 2010, ch. 24, § 406, effective July 15, 2010; 2017 ch. 169, § 69, effective June 29, 2017.

Opinions of Attorney General.

If a city has adopted an electrical code, the city has the authority to designate a specific firm to make electrical inspections, as long as the persons designated by the firm to represent it and the city are duly certified by the Public Service Commission. OAG 76-296 .

227.490. Local examination — Examining board — Local license — Disciplinary action. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1960, ch. 208, § 6; 1978, ch. 117, § 46, effective July 1, 1978; 1990, ch. 14, § 4, effective July 13, 1990; 1994, ch. 320, § 2, effective July 15, 1994) was repealed by Acts 2003, ch. 119, § 18, effective July 15, 2004.

227.4901. Examination for electrical contractors — Issuance of electrical contractor examination certificate — Reports on disciplinary actions against licensed contractors — Administrative regulations. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1990, ch. 14, § 1, effective July 13, 1990) was repealed by Acts 2003, ch. 119. § 18, effective July 15, 2004.

227.491. Certification of an electrical installation by an inspector — Invalidation by another inspector prohibited — Certification and inspection of electrical installation without seal prohibited — Other duties of inspector — Sanctions for inspector’s failure to comply.

  1. An electrical inspector who certifies an electrical installation shall furnish and attach an approval sticker, bearing his or her signature and certification number in a conspicuous place on the main service entrance equipment. He or she shall also provide the owner of the electrical installation or his or her authorized agent with a certificate of approval if the same is requested. A complete record of each inspection shall be kept by the inspector, and these records shall be made available to the department upon its request.
  2. An electrical inspector shall:
    1. Not attempt to supplant, overrule, or otherwise invalidate the judgment of another electrical inspector whose services for a particular building, structure, or other project have been solicited by an owner, contractor, municipality, or other person without first obtaining express written consent from the designated inspector’s office supervising the original inspector;
    2. Not certify unlicensed or unlawful electrical installations;
    3. Not certify or inspect an electrical installation in a manufactured home or mobile home where the certified installer seal is not present pursuant to KRS 227.570 ;
    4. Not certify or inspect an electrical installation in a previously owned manufactured home or a previously owned mobile home when a Class B1 seal is not present as required by KRS 227.605 ; and
    5. Verify required electrical licensure on projects within the inspector’s jurisdiction. The electrical inspector shall report all electrical licensure violations to the department within ten (10) days of discovery.
  3. Failure of an electrical inspector to comply with any provision of this chapter or the administrative regulations promulgated thereunder shall subject that inspector to review by the commissioner with possible suspension of certification for a period not to exceed one (1) year from the date of the commissioner’s ruling.

History. Enact. Acts 1976, ch. 346, § 3; 1978, ch. 117, § 47, effective July 1, 1978; 1980, ch. 188, § 222, effective July 15, 1980; 2006, ch. 83, § 3, effective March 28, 2006; 2008, ch. 118, § 2, effective January 1, 2009; 2010, ch. 24, § 407, effective July 15, 2010; 2015 ch. 105, § 6, effective June 24, 2015; 2017 ch. 169, § 70, effective June 29, 2017.

227.492. Investigation of misconduct of electrical inspector.

It shall be the duty of the commissioner to investigate alleged misconduct of any electrical inspector certified under KRS 227.489 when, in the opinion of the commissioner, there is sufficient evidence to suggest that misconduct exists. Any party may seek redress from the commissioner when alleged misconduct of an electrical inspector is deemed to have worked an undue hardship on the party.

HISTORY: Enact. Acts 1976, ch. 346, § 4; 1978, ch. 117, § 48, effective July 1, 1978; 2010, ch. 24, § 408, effective July 15, 2010; 2017 ch. 169, § 71, effective June 29, 2017.

227.495. Additional powers of electrical inspectors — Sanctions for misconduct.

  1. Electrical inspectors shall have the authority to take immediate action to prevent further electrical work at any inspection site where, in the judgment of the electrical inspector, imminent danger to life or property exists. Actions the electrical inspector may take to address this danger are the following:
    1. Stop-work order regarding any electrical work at the inspection site; or
    2. Recommendations of fines or other penalties as described in KRS 227.500 .
  2. The findings of the electrical inspector under subsection (1) of this section shall be presumed to be correct until the city, county, urban-county, charter county, or consolidated local government, the department, or the party affected by the findings demonstrates that it is more likely than not that the electrical inspector was incorrect in his or her findings.
  3. The actions of an electrical inspector under this section are subject to misconduct investigation by the commissioner under KRS 227.492 , and the inspector is subject to any appropriate criminal or civil penalty due to misconduct or violation of any provision of KRS 227.200 to 227.400 or 227.450 to 227.500 .

History. Enact. Acts 2006, ch. 83, § 1, effective July 12, 2006; 2010, ch. 24, § 409, effective July 15, 2010.

Legislative Research Commission Note.

(7/12/2006). 2006 Ky. Acts ch. 83, sec. 6, provides that the Act, which created this section, shall be known and may be cited as “Isaac’s Act.”

227.500. Authority to fix penalty.

  1. A city, county, urban-county, charter county, or consolidated local government may fix as a penalty for the violation of any ordinance or resolution passed under the provisions of KRS 227.200 to 227.500 , a fine of not less than twenty-five dollars ($25) nor more than two hundred fifty dollars ($250), or imprisonment for not more than ninety (90) days, or both.
  2. If properly recommended by an electrical inspector under KRS 227.495 , a city, county, urban-county, charter county, or consolidated local government may fix as a penalty for the violation of any ordinance or resolution passed under the provisions of this chapter, the Uniform State Building Code, or the standards of safety of the Commonwealth of Kentucky, a fine of one thousand dollars ($1,000) for the first offense, and a fine of two thousand dollars ($2,000) for each subsequent offense.

History. Enact. Acts 1960, ch. 208, § 7; 1966, ch. 146, § 7; 1978, ch. 384, § 94, effective June 17, 1978; 1990, ch. 14, § 5, effective July 13, 1990; 2006, ch. 83, § 4, effective July 12, 2006.

Legislative Research Commission Note.

(7/12/2006). 2006 Ky. Acts ch. 83, sec. 6, provides that the Act, which included an amendment to this statute, shall be known and may be cited as “Isaac’s Act.”

227.530. Electrical Advisory Committee created — Members — Meetings — Purpose — Compensation. [Repealed]

History. Enact. Acts 1986, ch. 361, § 1, effective July 15, 1986; 1990, ch. 14, § 6, effective July 13, 1990; 2003, ch. 119, § 17, effective June 24, 2003; 2006, ch. 256, § 5, effective July 12, 2006; 2010, ch. 24, § 410, effective July 15, 2010; 2011, ch. 100, § 16, effective June 8, 2011; 2014, ch. 125, § 2, effective July 15, 2014; 2015 ch. 105, § 7, effective June 24, 2015; repealed by 2017 ch. 169, § 114, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1986, ch. 361, § 1, effective July 15, 1986; 1990, ch. 14, § 6, effective July 13, 1990; 2003, ch. 119, § 17, effective June 24, 2003; 2006, ch. 256, § 5, effective July 12, 2006; 2010, ch. 24, § 410, effective July 15, 2010; 2011, ch. 100, § 16, effective June 8, 2011; 2014, ch. 125, § 2, effective July 15, 2014; 2015, ch. 105, § 7, effective June 24, 20152015, ch. 105, § 7, effective June 24, 2015) was repealed by Acts 2017, ch. 117, § 49, effective June 29, 2017.

Mobile Homes and Recreational Vehicles

227.550. Definitions for KRS 227.550 to 227.660, 227.990, and 227.992.

As used in KRS 227.550 to 227.660 , 227.990 , and 227.992 , unless the context requires a different definition:

  1. “Seal” means the United States Department of Housing and Urban Development seal for manufactured homes;
  2. “Class B1 Seal” and “Class B2 Seal” mean seals issued pursuant to subsection (1) of KRS 227.600 ;
  3. “Retailer” means any person, firm, or corporation, who sells or offers for sale two (2) or more manufactured homes, mobile homes, or recreational vehicles in any consecutive twelve (12) month period. The term “retailer” shall not include:
    1. A manufacturer, as defined in this section;
    2. Any bank, trust company, or lending institution that is subject to state or federal regulation, with regard to the disposition of its own repossessed manufactured housing; or
    3. A licensed real estate agent who acts as a negotiator between an owner and a prospective purchaser and does not acquire ownership or possession of manufactured homes for resale purposes;
  4. “Established place of business” means a fixed and permanent place of business in this state, including an office building and hard surface lot of suitable character and adequate facilities and qualified personnel, for the purpose of performing the functional business and duties of a retailer, which shall include the books, records, files, and equipment necessary to properly conduct such business, or a building having sufficient space therein in which the functional duties of a retailer may be performed. The place of business shall not consist of a residence, tent, temporary stand, or open lot. It shall display a suitable sign identifying the retailer and his business;
  5. “Federal act” means the National Manufactured Housing Construction and Safety Standards Act of 1974, 42 U.S.C. secs. 5401 et seq., as amended, and rules and regulations issued thereunder;
  6. “Manufactured home” means a single-family residential dwelling constructed in accordance with the federal act, manufactured after June 15, 1976, and designed to be used as a single-family residential dwelling with or without a permanent foundation when connected to the required utilities, and includes the plumbing, heating, air conditioning, and electrical systems contained therein. The manufactured home may also be used as a place of business, profession, or trade by the owner, the lessee, or the assigns of the owner or lessee and may comprise an integral unit or condominium structure. Buildings the construction of which is not preempted by the federal act are subject to building code requirements of KRS Chapter 198B;
  7. “Factory-built housing” means manufactured homes, mobile homes, or mobile office units;
  8. “Manufacturer” means any person who manufactures manufactured homes and sells to Kentucky retailers;
  9. “Mobile home” means a factory-built structure manufactured prior to June 15, 1976, which was not required to be constructed in accordance with the federal act;
  10. “Department” means the Department of Housing, Buildings, and Construction in the Public Protection Cabinet;
  11. “Recreational vehicle” means a vehicular type unit primarily designed as temporary living quarters for recreational, camping, or travel use, which either has its own motive power or is mounted on or drawn by another vehicle not requiring a special permit for movement on Kentucky highways. The basic entities are: travel trailer, camping trailer, truck camper, motor home, and park vehicle;
    1. Travel trailer: A vehicular unit, mounted on wheels, designed to provide temporary living quarters for recreational, camping, or travel use, and of such size or weight as not to require special highway movement permits when drawn by a motorized vehicle, and with a living area of less than two hundred twenty (220) square feet, excluding built-in equipment (such as wardrobes, closets, cabinets, kitchen units, or fixtures) and bath and toilet rooms.
    2. Camping trailer: A vehicular portable unit mounted on wheels and constructed with collapsible partial side walls which fold for towing by another vehicle and unfold at the camp site to provide temporary living quarters for recreational, camping, or travel use.
    3. Truck campers: A portable unit constructed to provide temporary living quarters for recreational, travel, or camping use, consisting of a roof, floor, and sides, designed to be loaded onto and unloaded from the bed of a pickup truck.
    4. Park vehicle: A vehicle which:
      1. Is built on a single chassis mounted on wheels;
      2. Is primarily designed as temporary living quarters for seasonal or destination camping and which may be connected to utilities necessary for operation of installed fixtures and appliances;
      3. Has a gross trailer area not exceeding four hundred (400) square feet in the set-up mode; and
      4. Has a gross trailer area not less than two hundred forty (240) square feet and is certified by the manufacturer as complying with the current ANSI standard or the generally accepted industry standard as adopted by the department through the promulgation of an administrative regulation.
    5. Motor home: A vehicular unit designed to provide temporary living quarters for recreational, camping, or travel use built on or permanently attached to a self-propelled motor vehicle chassis or on a chassis cab or van which is an integral part of the completed vehicle;
  12. “Secretary” means the Secretary of the Federal Department of Housing and Urban Development; and
  13. “ANSI” means the American National Standards Institute.

HISTORY: Enact. Acts 1974, ch. 76, § 1; 1976, ch. 136, § 1; 1979 (Ex. Sess.), ch. 19, § 1, effective May 12, 1979; 1980, ch. 200, § 1, effective July 15, 1980; 1982, ch. 181, § 1, effective July 15, 1982; 1982, ch. 395, § 22, effective July 15, 1982; 1996, ch. 340, § 1, effective July 15, 1996; 2002, ch. 75, § 1, effective July 15, 2002; 2004, ch. 74, § 1, effective July 13, 2004; 2006, ch. 217, § 2, effective July 12, 2006; 2010, ch. 24, § 411, effective July 15, 2010; 2017 ch. 169, § 72, effective June 29, 2017.

Opinions of Attorney General.

A regulation, adopted by a city or county legislative body, which includes modular homes in the definition of “mobile homes” is invalid since it is at variance with the statutory definition of that term. OAG 75-249 .

This section does not apply to real estate brokers and salesmen who list for sale mobile homes which are classified as real estate by the property valuation administrator under KRS 132.750 (now repealed). OAG 77-57 .

A mobile home broker who acts as a “mere negotiator” between a mobile home owner and prospective purchasers is not considered a dealer under the Mobile Home Recreational Vehicle Act (MHRVA); however, if the broker acquires ownership or possession for resale purposes of three or more mobile homes in any consecutive 12-month period, the broker becomes a dealer subject to the provisions of the MHRVA and accompanying regulations. Furthermore, once a person qualifies as a dealer, his or her duty to inspect and certify mobile homes applies to all mobile homes that he or she sells or offers for sale and there are no transactional exemptions. OAG 83-261 , 84-347.

Research References and Practice Aids

Kentucky Law Journal.

Comments, Precomplaint Investigations Under the Kentucky Consumer Protection Act: Validity and Scope of the Civil Investigation Demand, 65 Ky. L.J. 169 (1976-77).

227.555. Smoke-detector and egress requirements for manufactured or mobile homes — Notices of requirements and penalty — Limitation on enforceability — Relationship to local ordinances — Specific penalty.

  1. Every manufactured or mobile home as defined in KRS 227.550 shall have:
    1. At least one (1) working smoke detector located inside the home near the bedroom areas on each floor level; and
    2. At least two (2) operable means of egress, if the home was originally equipped with at least two (2) means.
  2. The department, through the promulgation of administrative regulations in accordance with KRS Chapter 13A, shall design and cause to be placed:
    1. At each vehicle entrance to a manufactured home park or community as defined in KRS 219.320 , a notice stating the requirements set out in subsection (1) of this section, the penalty for noncompliance set out in subsection (5) of this section, and any other information it deems necessary to effect the purposes of this section; and
    2. In each county clerk’s office, a notice stating the requirements set out in subsection (1) of this section, the penalty for noncompliance set out in subsection (5) of this section, and any other information it deems necessary to effect the purposes of this section.
  3. No public servant with the authority to issue a citation shall enter a manufactured or mobile home solely for the purpose of determining whether or not the manufactured or mobile home is in compliance with this section.
  4. No ordinance contrary to subsections (1) and (3) of this section may be enacted by any unit of local government, and the provisions of subsections (1) and (3) shall supersede any local ordinance to the contrary. The provisions of this subsection shall not apply to any city which has adopted or may in the future adopt the Uniform Residential Landlord and Tenant Act under KRS Chapter 383.
  5. The owners of manufactured homes and mobile homes located within a manufactured home park or community which do not comply with subsection (1) of this section shall be responsible for the correction of any violation.
  6. Any person who violates subsection (1) of this section shall be guilty of a violation.

HISTORY: Enact. Acts 1996, ch. 66, § 1, effective July 15, 1996; 2004, ch. 74, § 2, effective July 13, 2004; 2010, ch. 24, § 412, effective July 15, 2010; 2017 ch. 169, § 73, effective June 29, 2017.

227.560. Manufactured Home Certification and Licensure Board — Membership — Compensation — Meetings. [Repealed]

History. Enact. Acts 1974, ch. 76, § 2; 1976, ch. 136, § 2; 1978, ch. 154, § 21, effective June 17, 1978; 1996, ch. 340, § 3, effective July 15, 1996; 1998, ch. 426, § 511, effective July 15, 1998; 2003, ch. 134, § 1, effective June 24, 2003; 2004, ch. 74, § 3, effective July 13, 2004; 2006, ch. 256, § 6, effective July 12, 2006; 2010, ch. 24, § 413, effective July 15, 2010; 2011, ch. 100, § 17, effective June 8, 2011; repealed by 2017 ch. 169, § 114, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 76, § 2; 1976, ch. 136, § 2; 1978, ch. 154, § 21, effective June 17, 1978; 1996, ch. 340, § 3, effective July 15, 1996; 1998, ch. 426, § 511, effective July 15, 1998; 2003, ch. 134, § 1, effective June 24, 2003; 2004, ch. 74, § 3, effective July 13, 2004; 2006, ch. 256, § 6, effective July 12, 2006; 2010, ch. 24, § 413, effective July 15, 2010; 2011, ch. 100, § 17, effective June 8, 2011) was repealed by Acts 2017, ch. 117, § 49, effective June 29, 2017.

227.565. Recreational Vehicle Certification and Licensure Board — Membership — Compensation — Meetings. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1976, ch. 136, § 3; 1980, ch. 200, § 2, effective July 15, 1980; 1998, ch. 426, § 512, effective July 15, 1998; 2004, ch. 74, § 4, effective July 13, 2004) was repealed by Acts 2006, ch. 217, § 10, eff. July 12, 2006.

227.570. Construction and installation standards and requirements for manufactured homes, mobile homes, and previously owned recreational vehicles — Certified installer seal — Inspection — Fees.

  1. The department shall promulgate administrative regulations in accordance with KRS Chapter 13A to:
    1. Establish a process for certifying installers, licensing retailers, and issuing certificates of acceptability to qualifying manufacturers pursuant to KRS 227.550 to 227.660 ;
    2. Establish and enforce standards and requirements for the installation of plumbing, heating, and electrical systems in manufactured homes and mobile homes and for previously owned recreational vehicles as it determines are reasonably necessary in order to protect the health and safety of the occupants and the public; and
    3. Establish and enforce standards and requirements for the body and frame design, construction, and installation of manufactured homes and mobile homes as it determines are reasonably necessary in order to protect the health and safety of the occupants and the public.
  2. All installations of manufactured homes and mobile homes shall be performed:
    1. By an installer certified by the department; and
    2. In accordance with the manufacturer’s instructions, if available, or the current ANSI standard or the generally accepted industry standard as adopted by the department through the promulgation of an administrative regulation.
  3. A certified installer shall apply for a certified installer seal prior to installing a manufactured home or a mobile home. The department shall promulgate administrative regulations in accordance with KRS Chapter 13A to establish a schedule of fees and the requirements for purchase and application of the seal, report procedures, and attachment of the certified installer seal.
  4. The installation of a new manufactured home shall be inspected under subsection (3) of this section. The retailer of the inspected property shall pay a new manufactured home installation inspection fee in an amount not to exceed one hundred fifty dollars ($150).
  5. The department shall specify the new manufactured home installation fee established in subsection (4) of this section through the promulgation of an administrative regulation. The department may increase the fee, but by no more than ten percent (10%) per year, and at no time shall the fee exceed one hundred fifty dollars ($150).
  6. All fees received by the department under this section shall be deposited in the trust and agency fund specified in KRS 227.620(5).

HISTORY: Enact. Acts 1974, ch. 76, § 3; 1976, ch. 136, § 4; 1980, ch. 200, § 3, effective July 15, 1980; 1990, ch. 188, § 1, effective July 13, 1990; 1996, ch. 340, § 4, effective July 15, 1996; 2004, ch. 74, § 5, effective July 13, 2004; 2008, ch. 118, § 1, effective January 1, 2009; 2010, ch. 24, § 414, effective July 15, 2010; 2010, ch. 31, § 1, effective July 15, 2010; 2017 ch. 169, § 74, effective June 29, 2017.

Compiler’s Notes.

Title 6 of the federal Housing and Community Development Act of 1974, referred to in subsection (2), is compiled as 42 USCS § 5401 et seq.

Legislative Research Commission Notes.

(7/15/2010). A reference to the “office” of the state fire marshal in subsection (7) of this section, as amended by 2010 Ky. Acts ch. 31, sec. 1, has been changed in codification to the “department” of housing, buildings and construction to reflect the reorganization of certain parts of the Executive Branch, as set forth in Executive Order 2009-535 and confirmed by the General Assembly in 2010 Ky. Acts ch. 24. This change was made by the Reviser of Statutes pursuant to 2010 Ky. Acts ch. 24, sec. 1938.

(6/29/2017). In subsection (5) of this statute, a reference to “subsection (5) of this section” has been changed in codification to read “subsection (4) of this section.” When this statute was amended in 2017 Ky. Acts ch. 169, sec. 74, some of its subsections were renumbered, but a corresponding change was not made in the existing reference to subsection (5). The Reviser of Statutes has made this correction under the authority of KRS 7.136(1)(e).

Opinions of Attorney General.

The office of the State Fire Marshal, exercising statutory authority which is more specific and more recent than the authority of the Division of Plumbing, is the sole regulator of the installation of plumbing systems in mobile homes. OAG 76-105 .

227.580. Certificates of acceptability — Requirements for issuance.

  1. It is unlawful for any manufacturer to manufacture, import, or sell manufactured homes within this state unless that manufacturer has been issued a certificate of acceptability for such manufactured homes from the department or its designee. This subsection shall not apply to manufactured homes manufactured in this state and designated for delivery to and sale in another state.
  2. The department shall require that the manufacturer establish and submit to the department for approval systems for quality control for recreational vehicles prior to the issuance of a certificate of acceptability. Certificates of acceptability shall be numbered and a record shall be kept by the department, by number, of the certificates issued to manufacturers.
  3. A manufacturer to which a certificate of acceptability has been issued shall not modify in any way its manufacturing specifications without prior written approval of the department.

HISTORY: Enact. Acts 1974, ch. 76, § 4; 1976, ch. 136, § 5; 1980, ch. 200, § 4, effective July 15, 1980; 1996, ch. 340, § 5, effective July 15, 1996; 2006, ch. 217, § 3, effective July 12, 2006; 2010, ch. 24, § 415, effective July 15, 2010; 2017 ch. 169, § 75, effective June 29, 2017.

227.590. Administrative regulations.

  1. The department, subject to any applicable requirements of KRS 198B.030(8), shall establish and enforce administrative regulations reasonably required to effectuate the provisions of KRS 227.550 to 227.660 and to carry out the department’s responsibilities as a state administrative agency for the enforcement and administration of the federal act.
  2. At least thirty (30) days before the adoption or promulgation of any change in or addition to the administrative regulations authorized in subsection (5) of this section, the department shall mail to all manufacturers possessing valid certificates of acceptability and retailers possessing valid licenses a notice including a copy of the proposed changes and additions and the time and place that the department will consider any objections to the proposed changes and additions. After giving the notice required by this section, the department shall afford interested persons an opportunity to participate through submission of written data, views, or arguments with or without opportunity to present the same orally in any manner.
  3. Every administrative regulation or modification, amendment, or repeal of an administrative regulation promulgated by the department shall state the date it shall take effect.
  4. Notwithstanding KRS 227.550 to 227.660 , the department shall have the authority to promulgate administrative regulations exempting manufacturers and retailers from the provisions of KRS 227.550 to 227.660 when manufactured homes or mobile homes are brought into this state for exhibition only.
  5. All administrative regulations, including codes, fees, and charges, promulgated or adopted by the department pursuant to KRS 227.550 to 227.660 shall be prepared and filed in accordance with KRS Chapter 13A.
  6. The department shall have the authority to promulgate administrative regulations to issue temporary licenses, not to exceed thirty (30) days, to out- of-state retailers for the purpose of participating in manufactured home shows in the Commonwealth of Kentucky.

HISTORY: Enact. Acts 1974, ch. 76, § 5; 1976, ch. 203, § 1; 1980, ch. 200, § 5, effective July 15, 1980; 1996, ch. 340, § 6, effective July 15, 1996; 2004, ch. 74, § 6, effective July 13, 2004; 2006, ch. 217, § 4, effective July 12, 2006; 2008, ch. 118, § 4, effective January 1, 2009; 2010, ch. 24, § 416, effective July 15, 2010; 2017 ch. 169, § 76, effective June 29, 2017.

227.600. Seal required on manufactured homes, mobile homes, and recreational vehicles offered for sale — Seal for manufactured homes and mobile homes purchased in another state.

  1. Any retailer who has acquired a previously owned manufactured home, mobile home, or recreational vehicle without a seal shall apply to the department for the appropriate seal by submitting an affidavit that the unit has been brought up to or meets reasonable standards established by the department for previously owned manufactured homes, mobile homes, or recreational vehicles. Those manufactured homes or mobile homes taken in trade shall be reinspected and certified. A numbered Class B1 Seal shall be affixed by the retailer to the unit prior to sale. A seal shall not be required if the retailer submits an affidavit that the unit will not be resold for use by the public. A retailer shall not transport or install a manufactured or mobile home which is to be used for residential purposes which does not have a Class B1 Seal.
  2. The owner of any manufactured home or mobile home that is not covered by the federal act, was purchased in another state, and does not bear a seal of approval shall purchase a seal from the department. Application to purchase a seal of approval shall be made to the department.
  3. The department shall make available suitable forms for application for seals of approval for previously owned manufactured homes or mobile homes which are not covered by the federal act and for previously owned recreational vehicles.
  4. The clerk of the county in which a manufactured home, mobile home, or previously owned recreational vehicle is sought to be registered, which was purchased out of Kentucky, shall require production of proof of purchase of a seal of approval as provided in subsection (2) of this section before registering or issuing a license for any manufactured home, mobile home, or previously owned recreational vehicle.

HISTORY: Enact. Acts 1974, ch. 76, § 6; 1976, ch. 136, § 6; 1976, ch. 237, § 1; 1980, ch. 200, § 6, effective July 15, 1980; 1996, ch. 340, § 7, effective July 15, 1996; 2004, ch. 74, § 7, effective July 13, 2004; 2006, ch. 217, § 5, effective July 12, 2006; 2010, ch. 24, § 417, effective July 15, 2010; 2017 ch. 169, § 77, effective June 29, 2017.

Opinions of Attorney General.

It is the legislative intent of this section that every mobile home or recreational vehicle in Kentucky must bear the fire marshal’s seal before it is registered in Kentucky regardless of whether it is brought into Kentucky by a dealer or by an individual owner. OAG 80-422 .

227.605. Class B1 Seal required prior to sale or use as a dwelling of previously owned manufactured or mobile home transported into Commonwealth — Homes installed before July 13, 2004, excepted.

  1. No person shall transport into the Commonwealth of Kentucky any previously owned manufactured or mobile home for the purpose of resale or use as a dwelling in the Commonwealth of Kentucky, unless the previously owned manufactured or mobile home has a B1 Seal attached to it prior to resale or use as a dwelling. The application and certification procedures for the attachment of the B1 Seal prior to the resale or occupancy of the manufactured or mobile home shall be established by the department through the promulgation of administrative regulations in accordance with KRS Chapter 13A. Nothing in this section shall require a person who owns a manufactured or mobile home in another state and who transports that manufactured or mobile home into the Commonwealth of Kentucky to use as that person’s dwelling to obtain a Class B seal.
  2. Except for manufactured or mobile homes installed within the Commonwealth of Kentucky before July 13, 2004, no person shall sell, lease, rent, or furnish for use as a dwelling in the Commonwealth of Kentucky any previously owned manufactured or mobile home that does not bear a B1 Seal and which is not installed in compliance with the manufacturer’s instructions, if available, or the current ANSI standard or the generally accepted industry standard as adopted by the department through the promulgation of an administrative regulation.

HISTORY: Enact. Acts 2004, ch. 74, § 13, effective July 13, 2004; 2010, ch. 24, § 418, effective July 15, 2010; 2017 ch. 169, § 78, effective June 29, 2017.

227.610. Licensing of retailers — Liability insurance required.

The department or its designee shall license retailers under KRS 227.550 to 227.660 . The issuance of a license shall be contingent upon the applicant’s chief managing officer passing a test administered by the department. Before issuing a license, the department shall require proof of liability insurance which shall name the department in the certificate of insurance, and the license shall be null and void if there is a lapse of coverage in insurance.

HISTORY: Enact. Acts 1974, ch. 76, § 7; 2004, ch. 74, § 8, effective July 13, 2004; 2010, ch. 24, § 419, effective July 15, 2010; 2017 ch. 169, § 79, effective June 29, 2017.

227.620. Application for license — Fees — Fund — Business location specified — Reports and records.

  1. A retailer shall not engage in business in this state without a license issued by the department pursuant to KRS 227.550 to 227.660 .
  2. Application for license shall be made to the department or its designee at such time, in such form and contain such information as the department shall require and shall be accompanied by the required fee. The department may require in the application, or otherwise, any information it deems essential to safeguarding the public interest in the locality in which the applicant proposes to engage in business, all of which may be considered by the department in determining the fitness of the applicant to engage in business as set forth in KRS 227.550 to 227.660 .
  3. All licenses shall be granted or refused within thirty (30) days after the application is received. The initial license for a retailer shall expire on the last day of the licensee’s birth month in the following year. The department may reduce the license fee on a pro rata basis for initial licenses issued for less than twelve (12) months. Renewed licenses shall expire on the last day of the licensee’s birth month of each year after the date of issuance of the renewed license.
    1. The license fee for a calendar year or part thereof shall be established by the department, subject to the following maximums: (4) (a) The license fee for a calendar year or part thereof shall be established by the department, subject to the following maximums:
    2. The department may establish a monitoring inspection fee in an amount established by the secretary. This monitoring inspection fee shall be an amount paid by each manufactured home manufacturer in this state for each manufactured home produced by the manufacturer in this state. The monitoring inspection fee shall be paid by the manufacturer to the secretary or the secretary’s agent, who shall distribute the fees collected from all manufactured home manufacturers among the states approved and conditionally approved by the secretary based on the number of new manufactured homes whose first location after leaving the manufacturing plant is on the premises of a distributor, retailer, or purchaser in that state, and the extent of participation of the state in the joint team monitoring program established under the National Manufactured Housing Construction and Safety Standards Act of 1974, as amended.

    (1) For manufacturers, a “certificate of acceptability” shall be subject to a maximum of five hundred dollars ($500);

    (2) For retailers, the maximum license fee shall be two hundred fifty dollars ($250) for each established place of business;

    (3) The fee for a “Class B Seal” for recreational vehicles shall be twenty-five dollars ($25) per seal and the application form and seal shall be made available from the department; and

    (4) The fee for a “Class B1 Seal” and “Class B2 Seal” for manufactured and mobile homes shall be established by the department subject to a maximum of twenty-five dollars ($25) per seal.

  4. All revenues raised under subsection (4)(a), (b), and (c) of this section, and funds paid to the state by the secretary under subsection (4)(d) of this section shall be deposited in a trust and agency fund and shall be used solely for the purpose of carrying out KRS 227.550 to 227.660 and other departmental responsibilities. No amount of the trust and agency fund shall lapse at the end of any fiscal year.
  5. The licenses of retailers shall specify the location of the established place of business and shall be conspicuously displayed there. If the location denoted on the license changes, the retailer shall notify the department of the change, and the department shall update the change of location on the license without charge if it be within the same municipality. A change of location to another municipality or to a county which is not adjacent to the county where the business is located shall require a new license.
  6. Every retailer licensed in accordance with this section shall make reports to the department at times specified by the department and containing any information the department may require.
  7. Each manufacturer, distributor of manufactured homes or mobile homes, and retailer of manufactured or mobile homes shall establish and maintain records, make reports, and provide any information the department or the secretary may reasonably require to determine whether the manufacturer, distributor, or retailer has acted or is acting in compliance with KRS 227.550 to 227.660 or the federal act. A manufacturer, distributor of manufactured homes or mobile homes, and retailer of manufactured or mobile homes shall, upon request of a person duly designated by the department or secretary, permit that person to inspect appropriate books, papers, records, and documents relevant to determining whether the manufacturer, distributor, or retailer has acted or is acting in compliance with KRS 227.550 to 227.660 or the federal act.

HISTORY: Enact. Acts 1974, ch. 76, § 8; 1976, ch. 136, § 7; 1979 (Ex. Sess.), ch. 19, § 12, effective May 12, 1979; 1980, ch. 200, § 7, effective July 15, 1980; 1996, ch. 340, § 8, effective July 15, 1996; 2004, ch. 74, § 9, effective July 13, 2004; 2005, ch. 182, § 2, effective June 20, 2005; 2006, ch. 217, § 6, effective July 12, 2006; 2010, ch. 24, § 420, effective July 15, 2010; 2017 ch. 169, § 80, effective June 29, 2017.

Compiler’s Notes.

The National Manufactured Housing Construction and Safety Standards Act of 1974, referred to in subdivision (4)(e) of this section, is compiled as 42 USCS § 5401 et seq.

Legislative Research Commission Notes.

(6/29/2017). The Reviser of Statutes has changed the way subsection (4) of this statute was internally numbered from the way it appeared in 2017 Ky. Acts ch. 169, sec. 80 under the authority of KRS 7.136(1).

Opinions of Attorney General.

A real estate broker or salesman who sells a mobile home or recreational vehicle not permanently affixed to real property is subject to licensure by either the Mobile Home Certification and Licensure Board or the Recreational Vehicle Certification and Licensure Board, provided he sells or offers to sell three or more such mobile homes or recreational vehicles within a 12-month period. OAG 80-513 .

227.625. Liability insurance — Prerequisite for license.

  1. Before any license is issued or renewed, the applicant shall file or have on file with the department a liability insurance policy issued by an insurance carrier authorized to transact insurance business within the Commonwealth of Kentucky. The policy of insurance shall be issued in the name of the applicant licensee.
  2. The department shall by administrative regulation establish the minimum amount of liability insurance coverage required under this section.
  3. An insurance carrier issuing any policy filed with the department shall not be relieved from liability under the policy until after the expiration of fifteen (15) days’ notice to the department of an intention to cancel the policy, provided, however, that a prior cancellation may be allowed in cases where one (1) policy is substituted for another policy when the substituted policy is in force and effect prior to the expiration of fifteen (15) days’ notice to the department of an intention to cancel the policy which is being substituted.
  4. Upon cancellation of any policy of insurance required by this section, all operating rights granted by the license for which the policy was filed shall immediately cease, and the department shall have the authority to immediately require the cessation of all operations conducted under the authority of that license and to require the surrender of all licenses, certificates, and seals previously issued hereunder.

History. Enact. Acts 1976, ch. 136, § 8; 2010, ch. 24, § 421, effective July 15, 2010; 2017 ch. 169, § 81, effective June 29, 2017.

227.630. Grounds for denial, suspension, or revocation of license or certificate of acceptability — Payments in lieu of suspension.

  1. A license, certification, or certificate of acceptability may be denied, suspended, or revoked on the following grounds:
    1. A showing of insolvency in a court of competent jurisdiction;
    2. Material misstatement in application for license, certification, or certificate of acceptability;
    3. Willful failure to comply with any provisions of KRS 227.550 to 227.660 or any administrative regulation promulgated by the department under KRS 227.550 to 227.660 ;
    4. Willfully defrauding any buyer;
    5. Willful failure to perform any written agreement with any buyer or retailer;
    6. Failure to have or to maintain an established place of business;
    7. Failure to furnish or maintain the required insurance;
    8. Making a fraudulent sale, transaction, or repossession;
    9. Employment of fraudulent devices, methods, or practices in connection with the requirements under the statutes of this state with respect to the retaking of goods under retail installment contracts and the redemption and resale of such goods;
    10. Failure by a retailer to put the title to a manufactured home, mobile home, or recreational vehicle in his name after said retailer has acquired ownership of the manufactured home, mobile home, or recreational vehicle by trade or otherwise; or
    11. Violation of any law relating to the sale or financing of manufactured homes, mobile homes, or recreational vehicles, if in accordance with KRS Chapter 335B.
  2. If a licensee is a firm or corporation, it shall be sufficient cause for the denial, suspension, or revocation of a license if any officer, director, or trustee of the firm or corporation, or any member in case of a partnership, has been guilty of any act or omission which would be cause for refusing, suspending, or revoking a license to that party as an individual. Each licensee shall be responsible for any or all of his or her salespersons while they are acting as agents of the licensee and within the scope of their authority.
  3. Upon proceedings for the suspension of a license, certification, or certificate of acceptability for any of the violations enumerated in KRS 227.550 to 227.660 , the licensee or holder of a certificate of acceptability may have the alternative, subject to the approval of the department, to pay in lieu of part or all of the days of any suspension the sum of fifty dollars ($50) per day. Payments in lieu of suspension collected by the department shall be deposited in the State Treasury and credited to the general expenditure fund.

History. Enact. Acts 1974, ch. 76, § 9; 1976, ch. 136, § 9; 1996, ch. 340, § 9, effective July 15, 1996; 2004, ch. 74, § 10, effective July 13, 2004; 2017 ch. 158, § 39, effective June 29, 2017; 2017 ch. 169, § 82, effective June 29, 2017.

Legislative Research Commission Notes.

(6/29/2017). This statute was amended by 2017 Ky. Acts chs. 158 and 169, which do not appear to be in conflict and have been codified together.

227.640. Procedure for denial, suspension, or revocation of license or certificate of acceptability — Dispute resolution process — Appeal.

  1. The department or its designee may deny the application for a license, certification, or certificate of acceptability within thirty (30) days after receipt thereof by written notice to the applicant, stating the grounds for the denial.
  2. No license, certification, or certificate of acceptability shall be suspended or revoked by the department unless the licensee or certificate holder is afforded the opportunity for a hearing to be conducted in accordance with KRS Chapter 13B.
  3. Any manufacturer, certified installer, or licensed retailer who violates or fails to comply with KRS 227.550 to 227.660 or any administrative regulations promulgated thereunder shall be notified in writing setting forth facts describing the alleged violation and instructed to correct the violation, if it is correctable, within twenty (20) days. If the manufacturer, certified installer, or retailer fails to make the necessary corrections within the specified time or if the violation is not correctable, the department may, after notice and hearing in accordance with KRS Chapter 13B, suspend or revoke any certificate of acceptability, certification, or license if it finds that:
    1. The manufacturer, certified installer, or retailer has failed to pay the fees authorized by KRS 227.550 to 227.660 ;
    2. The manufacturer, certified installer, or retailer, either knowingly or without the exercise of due care to prevent the same, has violated any provision of KRS 227.550 to 227.660 or any administrative regulation or order lawfully made pursuant to and within the authority of KRS 227.550 to 227.660; or
    3. The manufacturer has shipped or imported into this state a manufactured home or mobile home to any person other than to a duly licensed retailer.
  4. The department shall establish, through the promulgation of administrative regulations in accordance with KRS Chapter 13A, a dispute resolution process which may be used prior to a formal hearing under KRS Chapter 13B. The dispute resolution process shall be nonbinding on the licensee, certified installer, or manufacturer and shall be conducted after application for a KRS Chapter 13B hearing, but prior to the convening of the KRS Chapter 13B hearing.
  5. Any person aggrieved by any final order of the department may appeal to the Franklin Circuit Court in accordance with KRS Chapter 13B.

HISTORY: Enact. Acts 1974, ch. 76, § 12; 1980, ch. 200, § 8, effective July 15, 1980; 1996, ch. 318, § 147, effective July 15, 1996; 1996, ch. 340, § 10, effective July 15, 1996; 2004, ch. 74, § 11, effective July 13, 2004; 2006, ch. 217, § 7, effective July 12, 2006; 2010, ch. 24, § 422, effective July 15, 2010; 2017 ch. 169, § 83, effective June 29, 2017.

227.650. Inspection powers — Training programs for local government personnel.

  1. The department is empowered to inspect all mobile homes which are not covered by the federal act and previously owned recreational vehicles for which it has issued a seal of approval.
  2. The department may establish and require training programs in the concept, techniques, and inspection of manufactured homes, mobile homes, and previously owned recreational vehicles for the personnel of local governments, as the department considers necessary.
  3. The staff of the department, upon showing proper credentials and in the discharge of their duties pursuant to KRS 227.550 to 227.660 or the federal act, shall be permitted with the consent of the manufacturer or by proper warrant to enter and inspect all factories, warehouses, or establishments in this state in which manufactured homes are manufactured or stored.

HISTORY: Enact. Acts 1974, ch. 76, § 10; 1979 (Ex. Sess.), ch. 19, § 3, effective May 12, 1979; 1980, ch. 200, § 9, effective July 15, 1980; 1996, ch. 340, § 11, effective July 15, 1996; 2004, ch. 74, § 12, effective July 13, 2004; 2006, ch. 217, § 8, effective July 12, 2006; 2010, ch. 24, § 423, effective July 15, 2010; 2017 ch. 169, § 84, effective June 29, 2017.

227.660. State inspectors.

Subject to KRS Chapters 18A and 64, the department may set qualifications for, employ, and fix the compensation of state inspectors as the department deems necessary to carry out the functions of KRS 227.550 to 227.650 . To carry out KRS 227.550 to 227.650 , the department may authorize the state inspectors to travel within or outside the state for the purposes of inspecting the manufacturing facilities for manufactured homes or for any other purpose in connection with KRS 227.550 to 227.650.

HISTORY: Enact. Acts 1974, ch. 76, § 11; 1982, ch. 448, § 14; 1996, ch. 340, § 12, effective July 15, 1996; 2006, ch. 217, § 9, effective July 12, 2006; 2010, ch. 24, § 424, effective July 15, 2010; 2017 ch. 169, § 85, effective June 29, 2017.

227.665. Recreational and park vehicles to be constructed in accordance with ANSI standards.

  1. All recreational vehicles sold, leased, or offered for sale or lease by a retailer to a consumer in this state shall be constructed in accordance with the most recent ANSI standards on recreational vehicles.
  2. All park vehicles sold, leased, or offered for sale or lease by a retailer to a consumer in this state shall be constructed in accordance with the most recent ANSI standards on park vehicles.

History. Enact. Acts 2006, ch. 217, § 1, effective July 12, 2006.

Fireworks

227.700. “Fireworks” defined — Exceptions.

As used in KRS 227.700 to 227.750 , “fireworks” means any composition or device for the purpose of producing a visible or an audible effect by combustion, deflagration, or detonation, and which meets the definition of “consumer fireworks” as defined in KRS 227.702 or “display” fireworks as defined in KRS 227.706 and as set forth in the United States Department of Transportation’s (DOT) hazardous materials regulations. “Fireworks” does not include:

  1. Exception number 1: Toy pistols, toy canes, toy guns or other devices in which paper or plastic caps manufactured in accordance with DOT regulations, and packed and shipped according to said regulations, are not considered to be fireworks and shall be allowed to be used and sold at all times.
  2. Exception number 2: Model rockets and model rocket motors designed, sold, and used for the purpose of propelling recoverable aero models are not considered to be fireworks.
  3. Exception number 3: Propelling or expelling charges consisting of a mixture of sulfur, charcoal, and saltpeter are not considered as being designed for producing audible effects.

History. Enact. Acts 1980, ch. 49, § 15, effective July 15, 1980; 1982, ch. 436, § 1, effective July 15, 1982; 2011, ch. 66, § 2, effective March 16, 2011.

227.702. Consumer fireworks defined.

As used in KRS 227.700 to 227.750 , “consumer fireworks” means fireworks that are suitable for use by the public, designed primarily to produce visible effects by combustion, and that comply with the construction, chemical composition, and labeling regulations of the United States Consumer Product Safety Commission. The types, sizes, and amount of pyrotechnic contents of these devices are limited as enumerated in this section. Some small devices designed to produce audible effects are included, such as whistling devices, ground devices containing fifty (50) mg. or less of explosive composition, and aerial devices containing one hundred thirty (130) mg. or less of explosive composition. Consumer fireworks are further defined by the Consumer Product Safety Commission in CPSC, 16 C.F.R. pts. 1500 and 1507, are classified as Division 1.4G explosives by the United States Department of Transportation, and include the following:

  1. Ground and hand-held sparkling devices.
    1. Dipped stick-sparkler or wire sparkler. These devices consist of a metal wire or wood dowel that has been coated with pyrotechnic composition. Upon ignition of the tip of the device, a shower of sparks is produced. Sparklers may contain up to one hundred (100) grams of pyrotechnic composition per item. Those devices containing any perchlorate or chlorate salts may not exceed five (5) grams of pyrotechnic composition per item. Wire sparklers which contain no magnesium and which contain less than one hundred (100) grams of composition per item are not included in this category, in accordance with DOT regulations;
    2. Cylindrical fountain. Cylindrical tube containing not more than seventy-five (75) grams of pyrotechnic composition. Upon ignition, a shower of colored sparks, and sometimes a whistling effect or smoke, is produced. This device may be provided with a spike for insertion into the ground (spike fountain), a wood or plastic base for placing on the ground (base fountain), or a wood or cardboard handle, if intended to be hand-held (handle fountain). When more than one (1) tube is mounted on a common base, total pyrotechnic composition may not exceed two hundred (200) grams, or five hundred (500) grams if the tubes are separated from each other on the base by a distance of at least one-half (1/2) inch;
    3. Cone fountain. Cardboard or heavy paper cone containing up to fifty (50) grams of pyrotechnic composition. The effect is the same as that of a cylindrical fountain. When more than one (1) cone is mounted on a common base, the total pyrotechnic composition may not exceed two hundred (200) grams, or five hundred (500) grams if the tubes are separated from each other on the base by a distance of at least one-half (1/2) inch;
    4. Illuminating torch. Cylindrical tube containing up to one hundred (100) grams of pyrotechnic composition. Upon ignition, colored fire is produced. May be spike, base or hand-held. When more than one (1) tube is mounted on a common base, total pyrotechnic composition may not exceed two hundred (200) grams, or five hundred (500) grams if the tubes are separated from each other on the base by a distance of at least one-half (1/2) inch;
    5. Wheel. A device attached to a post or tree by means of a nail or string. A wheel may have one (1) or more drivers, each of which may contain not more than sixty (60) grams of pyrotechnic composition. No wheel may contain more than two hundred (200) grams total pyrotechnic composition. Upon ignition, the wheel revolves, producing a shower of color and sparks and, sometimes, a whistling effect;
    6. Ground spinner. Small device containing not more than twenty (20) grams of pyrotechnic composition, similar in operation to a wheel but intended to be placed on the ground and ignited. A shower of sparks and color is produced by the rapidly spinning device;
    7. Flitter sparkler. Narrow paper tube attached to a stick or wire and filled with not more than one hundred (100) grams of pyrotechnic composition that produces color and sparks upon ignition. The paper at one (1) end of the tube is ignited to make the device function; and
    8. Toy smoke device. Small plastic or paper item containing not more than one hundred (100) grams of pyrotechnic composition that, upon ignition, produces white or colored smoke as the primary effect;
  2. Aerial devices.
    1. Sky rockets and bottle rockets. Cylindrical tube containing not more than twenty (20) grams of pyrotechnic composition. Sky rockets contain a wooden stick for guidance and stability and rise into the air upon ignition. A burst of color or noise or both is produced at the height of flight;
    2. Missile-type rocket. A device similar to a sky rocket in size, composition, and effect that uses fins rather than a stick for guidance and stability;
    3. Helicopter, aerial spinner. A tube containing up to twenty (20) grams of pyrotechnic composition. A propeller or blade is attached, which, upon ignition, lifts the rapidly spinning device into the air. A visible or audible effect is produced at the height of flight;
    4. Roman candles. Heavy paper or cardboard tube containing up to twenty (20) grams of pyrotechnic composition. Upon ignition, up to ten (10) “stars” (pellets of pressed pyrotechnic composition that burn with bright color) are individually expelled at several second intervals;
    5. Mine, shell. Heavy cardboard or paper tube usually attached to a wood or plastic base and containing up to sixty (60) grams of total chemical composition (lift charge, burst charge, and visible or audible effect composition). Upon ignition, “stars,” components producing reports containing up to one hundred thirty (130) milligrams of explosive composition per report, or other devices are propelled into the air. The term “mine” refers to a device with no internal components containing a bursting charge, and the term “shell” refers to a device that propels a component that subsequently bursts open in the air. A mine or shell device may contain more than one (1) tube provided the tubes fire in sequence upon ignition of one (1) external fuse. The term “cake” refers to a dense-packed collection of mine or shell tubes. Total chemical composition including lift charges of any multiple tube devices may not exceed two hundred (200) grams. The maximum quantity of lift charge in any one (1) tube of a mine or shell device shall not exceed twenty (20) grams, and the maximum quantity of break or bursting charge in any component shall not exceed twenty-five percent (25%) of the total weight of chemical composition in the component. The tube remains on the ground; and
    6. Aerial shell kit, reloadable tube. A package kit containing a cardboard, high-density polyethylene (HDPE), or equivalent launching tube with multiple-shot aerial shells. Each aerial shell is limited to a maximum of sixty (60) grams of total chemical composition (lift charge, burst charge, and visible or audible effect composition), and the maximum diameter of each shell shall not exceed one and three-fourths (1-3/4) inches. In addition, the maximum quantity of lift charge in any shell shall not exceed twenty (20) grams, and the maximum quantity of break or bursting charge in any shell shall not exceed twenty-five percent (25%) of the total weight of chemical composition in the shell. The total chemical composition of all the shells in a kit, including lift charge, shall not exceed four hundred (400) grams. The user lowers a shell into the launching tube, at the time of firing, with the fuse extending out of the top of the tube. After the firing, the tube is then reloaded with another shell for the next firing. All launching tubes shall be capable of firing twice the number of shells in the kit without failure of the tube. Each package of multiple-shot aerial shells must comply with all warning label requirements of the Consumer Product Safety Commission; and
  3. Audible ground devices.
    1. Firecrackers, salutes. Small paper-wrapped or cardboard tube containing not more than fifty (50) mg. of pyrotechnic composition. Those used in aerial devices may contain not more than one hundred thirty (130) milligrams of explosive composition per report. Upon ignition, noise and a flash of light is produced; and
    2. Chaser. Small paper or cardboard tube that travels along the ground upon ignition. A whistling effect, or other noise, is often produced. The explosive composition used to create the noise may not exceed fifty (50) mg.

History. Enact. Acts 1982, ch. 436, § 2, effective July 15, 1982; 2011, ch. 66, § 3, effective March 16, 2011.

NOTES TO DECISIONS

1. Insurance.

Where a bottle rocket struck a child's eye at the insureds' house, the criminal-act exclusion in their homeowners' insurance policy did not exclude coverage, because the language of the exclusion was ambiguous when applied to possessing and igniting fireworks without a license, and under Kentucky's reasonable expectations doctrine, the insureds would have reasonably expected to be covered for injuries resulting from their possession of the bottle rockets since they were far from the core criminal offenses that an insured would believe to be within the exclusion. Auto Club Property-Casualty Ins. Co. v. B.T., 596 Fed. Appx. 409, 2015 FED App. 0034N, 2015 U.S. App. LEXIS 670 (6th Cir. Ky. 2015 ).

227.704. Novelties and trick noisemakers defined.

Items listed in this section are classified as novelties and trick noisemakers and are not classified as consumer fireworks by the United States Department of Transportation, and their transportation, storage, retail sale, possession, sale, and use shall be allowed throughout the state at all times.

  1. Snake, glow worm. Pressed pellet of pyrotechnic composition that produces a large, snake-like ash upon burning. The ash expands in length as the pellet burns. These devices may not contain mercuric thiocyanate.
  2. Smoke device. Tube or sphere containing pyrotechnic composition that, upon ignition, produces white or colored smoke as the primary effect.
  3. Wire sparkler. Wire coated with pyrotechnic composition that produces a shower of sparks upon ignition. These items may not contain magnesium and must not exceed one hundred (100) grams of pyrotechnic composition per item. Devices containing any chlorate or perchlorate salts may not exceed five (5) grams of pyrotechnic composition per item.
  4. Trick noisemaker. Item that produces a small report intended to surprise the user. These devices include:
    1. Party popper. Small plastic or paper item containing not more than sixteen (16) mg. of explosive composition that is friction sensitive. A string protruding from the device is pulled to ignite it, expelling paper streamers and producing a small report.
    2. Booby trap. Small tube with string protruding from both ends, similar to a party popper in design. The ends of the string are pulled to ignite the friction sensitive composition, producing a small report.
    3. Snapper. Small, paper-wrapped item containing a minute quantity of explosive composition coated on small bits of sand. When dropped, the device explodes producing a small report.
    4. Trick match. Kitchen or book match that has been coated with a small quantity of explosive or pyrotechnic composition. Upon ignition of the match a small report or a shower of sparks is produced.
    5. Cigarette load. Small wooden peg that has been coated with a small quantity of explosive composition. Upon ignition of a cigarette containing one (1) of the pegs, a small report is produced.
    6. Auto burglar alarm. Tube which contains pyrotechnic composition that produces a loud whistle or smoke, or both, when ignited. A small quantity of explosive, not exceeding fifty (50) mg. may also be used to produce a small report. A squib is used to ignite the device.

History. Enact. Acts 1982, ch. 436, § 3, effective July 15, 1982; 2011, ch. 66, § 4, effective March 16, 2011.

227.706. Display fireworks defined.

As used in KRS 227.700 to 227.750 , “display fireworks” means pyrotechnic devices or large fireworks designed primarily to produce visible or audible effects by combustion, deflagration or detonation. This term includes, but is not limited to, firecrackers containing more than two (2) grains (130 mg) of explosive composition, aerial shells containing more than forty (40) grams of pyrotechnic composition, and other display pieces which exceed the limits for classification as “consumer fireworks.” Display fireworks are defined by the Consumer Product Safety Commission in CPSC, 16 C.F.R. pts. 1500 and 1507, and are classified as Class B explosives by the United States Department of Transportation.

History. Enact. Acts 1982, ch. 436, § 4, effective July 15, 1982; 2011, ch. 66, § 5, effective March 16, 2011.

227.708. Legality of items described in KRS 227.702.

  1. Items described in KRS 227.702 are legal for retail sale provided all applicable federal and state requirements with respect thereto are met.
  2. Items described in KRS 227.706 are not legal for retail sale but are legal under permits granted pursuant to KRS 227.710 for the purposes specified in this chapter for public displays and may be sold at wholesale as provided in this chapter.
  3. Items described in KRS 227.704 are legal for retail sale provided all applicable federal and state requirements with respect thereto are met.

History. Enact. Acts 1982, ch. 436, § 5, effective July 15, 1982; 2011, ch. 66, § 9, effective March 16, 2011.

NOTES TO DECISIONS

1. Insurance.

Where a bottle rocket struck a child's eye at the insureds' house, the criminal-act exclusion in their homeowners' insurance policy did not exclude coverage, because the language of the exclusion was ambiguous when applied to possessing and igniting fireworks without a license, and under Kentucky's reasonable expectations doctrine, the insureds would have reasonably expected to be covered for injuries resulting from their possession of the bottle rockets since they were far from the core criminal offenses that an insured would believe to be within the exclusion. Auto Club Property-Casualty Ins. Co. v. B.T., 596 Fed. Appx. 409, 2015 FED App. 0034N, 2015 U.S. App. LEXIS 670 (6th Cir. Ky. 2015 ).

Opinions of Attorney General.

Effect can be given to both KRS 227.710 and this section, and the apparent conflict between them can be resolved, by adopting the interpretation that KRS 227.710 no longer deals with the retail sale of fireworks but is limited to the requirement of a permit for the public display of fireworks, the sale at wholesale of fireworks and special uses of fireworks devices; the authority for the retail sale of fireworks has been transferred to this section and it permits the items described in KRS 227.702(1) and the items described in KRS 227.704 to be legally sold at retail if all applicable federal and state requirements with respect thereto are met. OAG 84-99 .

227.710. Sale or use of display fireworks prohibited — Exceptions.

No person, firm, copartnership, or corporation shall offer for sale, expose for sale, sell at retail, keep with intent to sell, possess, use, or explode any display fireworks, except as follows:

    1. In cities the chief of the fire department, or mayor, or similar official where there is no fire department, and in counties outside of cities the county judge/executive, may grant permits for supervised public displays of fireworks by municipalities, fair associations, amusement parks, and other organizations or groups of individuals. (1) (a) In cities the chief of the fire department, or mayor, or similar official where there is no fire department, and in counties outside of cities the county judge/executive, may grant permits for supervised public displays of fireworks by municipalities, fair associations, amusement parks, and other organizations or groups of individuals.
    2. Every display shall be handled by a competent display operator to be approved by the public official by whom the permit is granted, and shall be of such character, and so located, discharged or fired as in the opinion of the official, after proper inspection, to not be hazardous to property or endanger any person.
    3. “Competent display operator” shall be defined as the person with overall responsibility for the operation and safety of a fireworks display. The competent display operator shall have a Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) License and have participated as an assistant in firing at least five (5) public displays. A “competent display operator” is also an employee possessor. A permit under paragraph (a) of this subsection shall be issued only to a competent display operator holding an ATF license.
    4. At least one (1) competent display operator shall be on site during display set-up and firing. This competent display operator shall maintain a copy of the permit application, as signed by the local authority having jurisdiction as identified in this section, on site and at all times the display is in place, and shall be presented on demand of the state fire marshal or local fire chief. All public displays that require issuance of a permit shall be conducted in accordance with the provisions of National Fire Protection Association (NFPA) 1123 - Code for Fireworks Display (adopted edition).
    5. Permits shall be filed with the state fire marshal at least fifteen (15) days in advance of the date of the display. After the privilege is granted, sales, possession, use, and distribution of fireworks for the display shall be lawful for that purpose only. No permit granted under this subsection shall be transferable. For the purposes of this subsection, “public display of fireworks” shall include the use of pyrotechnic devices or pyrotechnic materials before a proximate audience, whether indoors or outdoors.
    6. Any person remaining within the display area shall be identified as licensed by the ATF, or an employee thereof, or be an assistant in training to become a competent display operator. All persons remaining within the display area shall be at least eighteen (18) years of age.
    7. The commissioner of the Department of Housing, Buildings and Construction with recommendation from the state fire marshal shall promulgate administrative regulations in accordance with KRS Chapter 13A to administer the provisions of this subsection. The regulations shall address the process by which permits are issued and any other procedures that are reasonably necessary to effectuate this subsection.
  1. The sale, at wholesale, of any display fireworks for permitted displays by any resident manufacturer, wholesaler, dealer, or jobber, in accordance with regulations of the United States Bureau of Alcohol, Tobacco, Firearms and Explosives if the sale is to the person holding a display permit as outlined in subsection (1) of this section. The permit holder shall present the permit along with other verifiable identification at the time of sale.
  2. The sale of display fireworks in accordance with a license issued by the United States Bureau of Alcohol, Tobacco, Firearms and Explosives.
  3. The sale and use in emergency situations of pyrotechnic signaling devices and distress signals for marine, aviation, and highway use.
  4. The use of fuses and railway torpedoes by railroads.
  5. The sale and use of blank cartridges for use in a show or theater or for signal or ceremonial purpose in athletics or sports.
  6. The use of any pyrotechnic device by military organizations.
  7. The use of fireworks for agricultural purposes under the direct supervision of the United States Department of the Interior or any equivalent or local agency.
  8. Nothing in this section shall prohibit a person, firm, co-partnership, nonprofit, or corporation from offering for sale, exposing for sale, selling at retail, keeping with intent to sell, possessing or using consumer fireworks as defined in KRS 227.702 and as permitted pursuant to KRS 227.715 .

History. Enact. Acts 1980, ch. 49, § 16, effective July 15, 1980; 1982, ch. 436, § 6, effective July 15, 1982; 1994, ch. 335, § 2, effective July 15, 1994; 2004, ch. 70, § 1, effective July 13, 2004; 2010, ch. 24, § 425, effective July 15, 2010; 2011, ch. 66, § 6, effective March 16, 2011.

NOTES TO DECISIONS

1. Insurance.

Where a bottle rocket struck a child's eye at the insureds' house, the criminal-act exclusion in their homeowners' insurance policy did not exclude coverage, because the language of the exclusion was ambiguous when applied to possessing and igniting fireworks without a license, and under Kentucky's reasonable expectations doctrine, the insureds would have reasonably expected to be covered for injuries resulting from their possession of the bottle rockets since they were far from the core criminal offenses that an insured would believe to be within the exclusion. Auto Club Property-Casualty Ins. Co. v. B.T., 596 Fed. Appx. 409, 2015 FED App. 0034N, 2015 U.S. App. LEXIS 670 (6th Cir. Ky. 2015 ).

Opinions of Attorney General.

Effect can be given to both this section and KRS 227.708 , and the apparent conflict between them can be resolved, by adopting the interpretation that this section no longer deals with the retail sale of fireworks but is limited to the requirement of a permit for the public display of fireworks, the sale at wholesale of fireworks and special uses of fireworks devices; the authority for the retail sale of fireworks has been transferred to KRS 227.708 and that statute permits the items described in KRS 227.702(1) and the items described in KRS 227.704 to be legally sold at retail if all applicable federal and state requirements with respect thereto are met. OAG 84-99 .

227.715. Requirements for sale of certain consumer fireworks.

Except as provided in KRS 227.710 , the consumer fireworks described in KRS 227.702 may be offered for sale, sold at retail, or kept with the intent to sell, only if the following requirements are met:

  1. Any person, firm, co-partnership, nonprofit, or business intending to sell consumer fireworks described in KRS 227.702(1) shall register annually with the state fire marshal, who may assess a fee of no more than twenty-five dollars ($25) for each site at which fireworks shall be sold. The registration requirement under this section shall not apply to permanent business establishments which are open year round and in which the sale of fireworks is ancillary to the primary course of business. Each location shall be required to charge sales tax at the current rate imposed on retailers in KRS 139.200 ;
  2. Permanent business establishments open year-round and in which the sale of consumer fireworks is ancillary to the primary course of business shall only be permitted to sell those consumer fireworks described in KRS 227.702(1), or shall meet the criteria for “seasonal retailer” described in subsection (3) of this section;
  3. “Seasonal retailers” shall be defined as any person, firm, co-partnership, nonprofit, or corporation intending to sell “consumer fireworks” between June 10 and July 7, or December 26 and January 4 of each year or both, and shall include permanent businesses, temporary businesses, stores, stands, or tents. A seasonal retailer shall register with the state fire marshal, who may assess a fee of no more than two hundred fifty dollars ($250) for each site at which fireworks shall be sold. Each location shall be required to charge sales tax at the current rate imposed on retailers in KRS 139.200 ;
  4. Any person, firm, co-partnership, nonprofit, or corporation intending to sell consumer fireworks, as defined in KRS 227.702(2) and (3) as the primary source of business, that is not a seasonal retailer as defined in subsection (3) of this section, shall register with the state fire marshal, who may assess a fee of no more than five hundred dollars ($500) for each site at which fireworks will be sold. Each location shall be required to charge sales tax at the current rate imposed on retailers in KRS 139.200 ;
  5. The annual registration required by this section shall be received by the state fire marshal at least fifteen (15) days prior to offering fireworks for sale at the site for which the registration is intended. Evidence that a sales and use tax permit has been obtained from the Department of Revenue shall be presented to the state fire marshal as a condition of registration. If the registration is received less than fifteen (15) days prior to offering fireworks for sale at the site for which registration is intended, an additional assessment of one hundred dollars ($100) shall be added to the initial fee;
  6. Each site at which fireworks are offered for sale shall have its registration certificate displayed in a conspicuous location at the site;
  7. Each site at which fireworks are offered for sale shall comply with all applicable provisions of the International Building Code, with Kentucky Amendments (adopted edition), and NFPA 1124 (National Fire Protection Association) - Code for the Manufacture, Transportation, Storage, and Retail Sales of Fireworks and Pyrotechnic Articles (adopted edition);
  8. No person or business shall give, offer for sale, or sell any consumer fireworks listed in KRS 227.702 to any person under eighteen (18) years of age;
  9. No person under eighteen (18) years of age may be employed by a fireworks distribution facility or manufacturing facility. No person under eighteen (18) years of age shall sell consumer fireworks at a consumer fireworks retail sales facility registered under this section unless the individual is supervised by a parent or guardian;
  10. The state fire marshal may revoke the registration of any site which is in violation of a requirement of this section, or any other requirement provided pursuant to this chapter. If the violation renders any property especially susceptible to fire loss, and there is present such hazard to human life or limb that the public safety imperatively requires emergency action, the state fire marshal may take that action, as provided in KRS 227.330(6); and
  11. A person lawfully possessing consumer fireworks, as defined in KRS 227.702(2) and (3) may use those items if:
    1. He or she is at least eighteen (18) years of age;
    2. Fireworks are not ignited within two hundred (200) feet of any structure, vehicle, or any other person; and
    3. Use of the fireworks does not place him or her in violation of any lawfully enacted local ordinance.

History. Enact. Acts 1994, ch. 335, § 1, effective July 15, 1994; 2004, ch. 70, § 2, effective July 13, 2004; 2010, ch. 24, § 426, effective July 15, 2010; 2011, ch. 66, § 7, effective March 16, 2011.

227.720. Bond for public display permit.

No permit shall be issued under KRS 227.710 unless the applicant shall give bond or evidence of liability insurance deemed adequate by the official to whom application for the permit is made, in a sum not less than one million dollars ($1,000,000). However, the local fire chief or state fire marshal may require a larger amount if in their judgment the situation requires it, conditioned for the payment of all damages which may be caused thereby either to a person or to property by reason of the permitted display, and arising from any acts of the licensee, his agents, employees or subcontractors.

History. Enact. Acts 1980, ch. 49, § 17, effective July 15, 1980; 1982, ch. 436, § 7, effective July 15, 1982; 2004, ch. 70, § 3, effective July 13, 2004.

227.730. Exempted sale and use of explosives or signaling flares.

Nothing in KRS 227.710 to 227.750 shall prevent the retail sale and use of explosives or signaling flares used in the course of ordinary business or industry, or gold star producing sparklers, which contain no magnesium or chlorate, toy snakes which contain no mercury, smoke novelties and party novelties, which contain less than twenty-five hundredths (25/100) of a grain of explosive mixture, or shells or cartridges used as ammunition in firearms, or blank cartridges for a show or theatre, or for signal or ceremonial purposes in athletics or sports, or for use by military organizations, or the sale of any kind of fireworks provided the same are to be shipped by the seller directly out of the state.

History. Enact. Acts 1980, ch. 49, § 18, effective July 15, 1980.

227.740. Samples of exempted novelties to be approved by state fire marshal before sale — Labeling. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 49, § 20, effective July 15, 1980; 1982, ch. 436, § 8, effective July 15, 1982) was repealed by Acts 1994, ch. 335, § 3, effective July 15, 1994. For present law see KRS 227.715 .

227.750. Seizure and sale of fireworks stored and held in violation of chapter — Notice of proposed disposal of fireworks required — Administrative hearing — KRS 227.700 to 227.750 not to conflict with local ordinances.

  1. The state fire marshal, or any fire department having jurisdiction which has been deputized to act on behalf of the state fire marshal, shall cause to be removed at the expense of the owner all stocks of fireworks which are stored and held in violation of this chapter. After a period of sixty (60) days, the seized fireworks may be offered for sale by closed bid to a properly certified fireworks wholesaler.
  2. After a period of sixty (60) days, the seized fireworks may be offered for sale by closed bid to a properly certified manufacturer, distributor, or wholesaler. All seized fireworks or explosives with a Class 1.3G or “Display” designation shall require the notification of the United States Bureau of Alcohol, Tobacco, Firearms and Explosives. The state fire marshal shall provide the owner or possessor a receipt containing the complete inventory of any fireworks seized within five (5) business days of the seizure.
  3. Before any seized fireworks may be disposed of:
    1. If the owner of the seized fireworks is known to the state fire marshal, the state fire marshal shall give notice by registered mail or personal service to the owner of the state fire marshal’s intention to dispose of the fireworks. The notice shall inform the owner of the state fire marshal’s intent. The state fire marshal shall conduct an administrative hearing in accordance with KRS Chapter 13B concerning the disposal of fireworks; or
    2. If the identity of the owner of any seized fireworks is not known to the state fire marshal, the state fire marshal shall cause to be published, in a newspaper of general circulation in the county in which the seizure was made, notice of the seizure, and of the state fire marshal’s intention to dispose of the fireworks. The notice shall be published once each week for three (3) consecutive weeks. If no person claims ownership of the fireworks within ten (10) days of the date of the last publication, the state fire marshal may proceed with disposal of the fireworks. If the owner does claim the fireworks within ten (10) days of the date of the last publication, a hearing as set out in paragraph (a) of this subsection shall be held
  4. Nothing in KRS 227.700 to 227.750 shall restrict a local government from enacting ordinances that affect the sale or use of fireworks within its jurisdiction.

History. Enact. Acts 1980, ch. 49, § 21, effective July 15, 1980; 1982, ch. 436, § 9, effective July 15, 1982; 2011, ch. 66, § 8, effective March 16, 2011.

Legislative Research Commission Note.

(3/16/2011). The Reviser of Statutes has corrected a reference to “Bureau of Alcohol, Tobacco and Firearms” in subsection (2) of this statute as enacted in 2011 Ky. Acts ch. 66, sec. 8, to read “Bureau of Alcohol, Tobacco, Firearms and Explosives” to reflect the current name of that agency.

227.752. Storage of consumer fireworks, display fireworks, and theatrical pyrotechnic devices — Report to state fire marshal and local fire chief required — Contents and time of filing of reports — Consequences of failure to submit a report.

  1. For the purposes of this section, “APA 87-1” means the latest document: Standard for Construction and Approval for Transportation of Fireworks, Novelties, and Theatrical Pyrotechnics written by the American Pyrotechnic Association (APA).
  2. The storage of consumer fireworks, display fireworks, or theatrical pyrotechnic devices, as defined in APA 87-1, at retail, wholesale, storage, or manufacturing facilities shall be reported in writing to the state fire marshal and the local fire chief of the jurisdiction where the facilities are located.
    1. The report shall be completed by the owner or lessee of the property or the supplier of the fireworks, and shall include the address of the facility, the location of the fireworks to be stored, a copy of the shipping bill, and whether they are consumer fireworks, theatrical pyrotechnic devices, or display fireworks.
    2. The initial report for permanent business establishments open year round shall be submitted between January 1, 2012, and January 31, 2012, for existing business and fifteen (15) days before storage begins for new businesses. The report for permanent business establishments open year round shall be updated annually and upon a change in location of the stored items.
  3. Seasonal retailers, as defined in KRS 227.715 , shall submit, at least fifteen (15) days prior to opening for sale each year, a report to the state fire marshal and the local fire chief of the jurisdiction identifying:
    1. The address where the sales will be taking place;
    2. The address where the fireworks will be stored; and
    3. A description of how the fireworks will be stored. Only one (1) report is due if the seasonal retailer stores the same product at the same location for both the June 10 through July 7 and December 26 through January 4 seasons.
  4. Failure to submit a report required under this section shall be cause to cease and desist operation of the facility or site until such time as the required information is properly submitted. Inspectors shall notify the permit holder in writing and may allow twenty-four (24) hours to remedy the violation, unless the violation poses a distinct fire hazard.

History. Enact. Acts 2011, ch. 66, § 1, effective March 16, 2011.

Fire Safety Standards for Cigarettes

227.770. Definitions for KRS 227.770 to 227.784.

As used in KRS 227.770 to 227.784 :

  1. “Cigarette” means any roll for smoking, whether made wholly or in part of tobacco or any other substance, irrespective of size or shape, and whether or not the tobacco or substance is flavored, adulterated, or mixed with any other ingredient, the wrapper or cover of which is made of paper or any other substance or material except tobacco;
  2. “Manufacturer” means:
    1. Any entity which manufactures or otherwise produces cigarettes or causes cigarettes to be manufactured or produced anywhere that the manufacturer intends to be sold in this state, including cigarettes intended to be sold in the United States through an importer;
    2. The first purchaser anywhere that intends to resell in the United States cigarettes manufactured anywhere that the original manufacturer or maker does not intend to be sold in the United States; or
    3. Any entity that becomes a successor of an entity described in paragraphs (a) and (b) of this subsection;
  3. “Quality control and quality assurance program” means the laboratory procedures implemented to ensure that operator bias, systematic and nonsystematic methodological errors, and equipment-related problems do not affect the results of the testing. The program shall ensure that the testing repeatability remains within the required repeatability values stated in KRS 227.772(1)(f) for all test trials used to certify cigarettes in accordance with KRS 227.770 to 227.784 ;
  4. “Repeatability” means the range of values within which the repeat results of cigarette test trials from a single laboratory will fall ninety-five percent (95%) of the time;
  5. “Retailer” means any person who sells to a consumer or to any person for any purpose other than resale;
  6. “Sale” means:
    1. Any transfer of title or possession or both, exchange or barter, conditional or otherwise, in any manner or by any means whatever or any agreement therefor; and
    2. The giving of cigarettes as samples, prizes, or gifts, and the exchanging of cigarettes for any consideration other than money;
  7. “Sell” means an act of selling, or an offer or agreement to sell; and
  8. “Wholesale dealer” means:
    1. Any person who sells cigarettes or tobacco products to retailers or other persons for purposes of resale; and
    2. Any person who acts as a “nonresident wholesaler,” “resident wholesaler,” or “unclassified acquirer” as defined in KRS 138.130 , and who is authorized by the Department of Revenue to purchase and affix tax stamps on packages of cigarettes.

History. Enact. Acts 2007, ch. 70, § 1, effective April 1, 2008.

Legislative Research Commission Note.

(4/1/2008). 2007 Ky. Acts ch. 70, sec. 1, subsec. (8) defines “wholesale dealer,” in part, as “any person who acts as a ‘nonresident wholesale,’ ‘resident wholesaler,’ or ‘unclassified acquirer’ as defined in KRS 138.130 …” KRS 138.130 defines “nonresident wholesaler,” resident wholesaler,” and “unclassified acquirer.” Pursuant to KRS 7.136(1)(h), the Reviser of Statutes has changed “nonresident wholesale” to “nonresident wholesaler” in subsection (8)(b) of this section during codification to correct this manifest clerical or typographical error.

227.772. Reduced cigarette ignition propensity standards — Test methods — Certification — Reports and recommendations.

    1. Except as provided in subsection (7) of this section, no cigarettes shall be sold or offered for sale in this state or offered for sale or sold to persons located in this state unless the cigarettes have been tested in accordance with the test method and meet the performance standards specified in this section, a written certification has been filed by the manufacturer with the state fire marshal in accordance with KRS 227.774 , and the cigarettes have been marked in accordance with KRS 227.776 . (1) (a) Except as provided in subsection (7) of this section, no cigarettes shall be sold or offered for sale in this state or offered for sale or sold to persons located in this state unless the cigarettes have been tested in accordance with the test method and meet the performance standards specified in this section, a written certification has been filed by the manufacturer with the state fire marshal in accordance with KRS 227.774 , and the cigarettes have been marked in accordance with KRS 227.776 .
    2. Testing of cigarettes shall be conducted in accordance with the American Society of Testing and Materials (ASTM) standard E2187-04, “Standard Test Method for Measuring the Ignition Strength of Cigarettes.”
    3. Testing shall be conducted on ten (10) layers of filter paper.
    4. No more than twenty-five percent (25%) of the cigarettes tested in a test trial in accordance with this section shall exhibit full-length burns. Forty (40) replicate tests shall comprise a complete test trial for each cigarette tested.
    5. The performance standard required by this section shall only be applied to a complete test trial.
    6. Written certifications shall be based upon testing conducted by a laboratory that has been accredited pursuant to standard ISO/IEC 17025 of the International Organization for Standardization (ISO), or other comparable accreditation standard required by the state fire marshal.
    7. Laboratories conducting testing in accordance with this section shall implement a quality control and quality assurance program that includes a procedure to determine the repeatability of the testing results. The repeatability value shall be no greater than nineteen one-hundredths (0.19).
    8. This section does not require additional testing if cigarettes are tested consistent with KRS 227.770 to 227.784 for any other purpose.
    9. Testing performed or sponsored by the state fire marshal to determine a cigarette’s compliance with the performance standard required shall be conducted in accordance with this section.
    1. Each cigarette listed in a certification submitted pursuant to KRS 227.774 that uses lowered permeability bands in the cigarette paper to achieve compliance with the performance standard set forth in this section shall have at least two (2) nominally identical bands on the paper surrounding the tobacco column. At least one (1) complete band shall be located at least fifteen (15) millimeters from the lighting end of the cigarette. (2) (a) Each cigarette listed in a certification submitted pursuant to KRS 227.774 that uses lowered permeability bands in the cigarette paper to achieve compliance with the performance standard set forth in this section shall have at least two (2) nominally identical bands on the paper surrounding the tobacco column. At least one (1) complete band shall be located at least fifteen (15) millimeters from the lighting end of the cigarette.
    2. For cigarettes on which the bands are positioned by design, there shall be at least two (2) bands fully located at least fifteen (15) millimeters from the lighting end and ten (10) millimeters from the filter end of the tobacco column, or ten (10) millimeters from the labeled end of the tobacco column for nonfiltered cigarettes.
    1. A manufacturer of a cigarette that the state fire marshal determines cannot be tested in accordance with the test method prescribed in subsection (1)(b) of this section shall propose a test method and performance standard for the cigarette to the state fire marshal. Upon approval of the proposed test method and a determination by the state fire marshal that the performance standard proposed by the manufacturer is equivalent to the performance standard prescribed in subsection (1)(d) of this section, the manufacturer may employ a test method and performance standard to certify the cigarette pursuant to KRS 227.774 . (3) (a) A manufacturer of a cigarette that the state fire marshal determines cannot be tested in accordance with the test method prescribed in subsection (1)(b) of this section shall propose a test method and performance standard for the cigarette to the state fire marshal. Upon approval of the proposed test method and a determination by the state fire marshal that the performance standard proposed by the manufacturer is equivalent to the performance standard prescribed in subsection (1)(d) of this section, the manufacturer may employ a test method and performance standard to certify the cigarette pursuant to KRS 227.774 .
    2. If the state fire marshal determines the existence of other cigarette ignition propensity standards that include a test method and performance standard that are the same as those contained in KRS 227.770 to 227.784 , then the state fire marshal may authorize the manufacturer to employ the alternative test method and performance standard to certify that cigarette for sale in this state, unless the state fire marshal demonstrates a reasonable basis why the alternative test should not be accepted under KRS 227.770 to 227.784 . All other applicable requirements of this section shall apply to the manufacturer.
    1. Each manufacturer shall maintain copies of the reports of all tests conducted on all cigarettes offered for sale for a period of three (3) years, and shall make copies of the reports available to the state fire marshal and the Attorney General upon written request. (4) (a) Each manufacturer shall maintain copies of the reports of all tests conducted on all cigarettes offered for sale for a period of three (3) years, and shall make copies of the reports available to the state fire marshal and the Attorney General upon written request.
    2. Any manufacturer who fails to make copies of the reports available within sixty (60) days of receiving a written request shall be subject to a civil penalty not to exceed ten thousand dollars ($10,000) for each day after the sixtieth day that the manufacturer does not make these copies available.
  1. The state fire marshal may adopt a subsequent ASTM Standard Test Method for Measuring the Ignition Strength of Cigarettes upon a finding that the subsequent method does not result in a change in the percentage of full-length burns exhibited by any tested cigarette when compared to the percentage of full-length burns the same cigarette would exhibit when tested in accordance with ASTM Standard E2187-04 and the performance standard in subsection (1)(d) of this section.
  2. The state fire marshal shall review the effectiveness of this section and shall report every three (3) years to the General Assembly the fire marshal’s findings and, if appropriate, recommendations for legislation to improve the effectiveness of this section. The report and legislative recommendations shall be submitted no later than October 1 of each three (3) year period.
  3. The requirements of this section shall not prohibit a wholesale dealer or retailer from selling its existing inventory of cigarettes on or after April 1, 2008, if the wholesale dealer or retailer can establish that state tax stamps were affixed to the cigarettes prior to April 1, 2008, and if the wholesale dealer or retailer can establish that the inventory was purchased prior to April 1, 2008, in comparable quantity to the inventory purchased during the same period of the prior year.
  4. The implementation and substance of the New York Fire Safety Standards for Cigarettes shall be the persuasive authority in the implementation of KRS 227.770 to 227.784 .

History. Enact. Acts 2007, ch. 70, § 2, effective April 1, 2008.

Legislative Research Commission Note.

(4/1/2008). Under the authority of KRS 7.136(1), the Reviser of Statutes in codification has changed the internal numbering system of subsection (1) of this statute. No word in the text was changed in the process.

227.774. Manufacturer to submit written certification of testing to state fire marshal — Recertification — Reduced Cigarette Ignition Propensity and Firefighter Protection Act enforcement fund.

  1. Each manufacturer shall submit to the state fire marshal a written certification attesting that:
    1. Each cigarette listed in the certification has been tested in accordance with KRS 227.772 ; and
    2. Each cigarette listed in the certification meets the performance standard set forth under KRS 227.772 (1)(d).
  2. Each cigarette listed in the certification shall be described with the following information:
    1. Brand or trade name on the package;
    2. Style, such as light or ultra light;
    3. Length in millimeters;
    4. Circumference in millimeters;
    5. Flavor, such as menthol or chocolate, if applicable;
    6. Filter or nonfilter;
    7. Package description, such as soft pack or box;
    8. Marking approved in accordance with KRS 227.776 ;
    9. The name, address, and telephone number of the laboratory, if different than the manufacturer that conducted the test; and
    10. The date that the testing occurred.
  3. The certifications shall be made available to the Attorney General for purposes consistent with KRS 227.770 to 227.784 and the Department of Revenue for the purposes of ensuring compliance with this section.
  4. Each cigarette certified under this section shall be recertified every three (3) years.
  5. For cigarettes certified in compliance with this section, a manufacturer shall pay to the state fire marshal a fee of one thousand dollars ($1,000) per brand family. “Brand family” shall have the same meaning as in KRS 131.600 .
  6. The Reduced Cigarette Ignition Propensity and Firefighter Protection Act enforcement fund is established in the Finance and Administration Cabinet for use by the state fire marshal solely for processing, testing, enforcement, and oversight activities set out in KRS 227.770 to 227.784 . The fund shall consist of certification fees required under subsection (5) of this section, and any other moneys made available for such purpose from any source. Moneys credited to the fund may be invested until needed. All interest earned in the fund shall be retained in the fund. Notwithstanding KRS 45.229 , moneys in the fund shall not lapse but shall carry forward at the end of the fiscal year.
  7. If a manufacturer has certified a cigarette pursuant to this section, and afterward makes any change to the cigarette that is likely to alter its compliance with the reduced cigarette ignition propensity standards required by KRS 227.770 to 227.784 , that cigarette shall not be sold or offered for sale in this state until the manufacturer retests the cigarette in accordance with the testing standards set forth in KRS 227.772 (1)(b) and maintains records of that retesting as required by KRS 227.772 . Any altered cigarette which does not meet the performance standard set forth in KRS 227.772(1)(d) shall not be sold in this state.

HISTORY: Enact. Acts 2007, ch. 70, § 3, effective April 1, 2008; 2015 ch. 55, § 17, effective July 1, 2015.

227.776. Cigarette labels to indicate fire standards compliance.

A manufacturer shall place on each individual package of cigarettes the letters “FSC” or “FS” which signify “Fire Standards Compliance,” indicating compliance with the fire safety performance standard set forth in KRS 227.772(1)(d). The letters shall appear in eight (8) point type and be permanently printed, stamped, engraved, or embossed on the package at or near the UPC Code, if present.

History. Enact. Acts 2007, ch. 70, § 4, effective April 1, 2008.

227.778. Penalties.

  1. A manufacturer, wholesale dealer, or any other person or entity who knowingly sells or offers to sell cigarettes, other than through retail sale, in violation of KRS 227.772 , for the first offense shall be liable for a civil penalty not to exceed ten thousand dollars ($10,000) per each sale of the cigarettes and, for a subsequent offense, be liable for a civil penalty not to exceed twenty-five thousand dollars ($25,000) per each sale of the cigarettes, except that in no case shall the penalty against the person or entity exceed one hundred thousand dollars ($100,000) for each thirty (30) day period.
  2. A retailer who knowingly sells cigarettes in violation of KRS 227.772 shall:
    1. For the first offense be liable for a civil penalty not to exceed five hundred dollars ($500) and, for a subsequent offense, be liable for a civil penalty not to exceed two thousand dollars ($2,000) per each sale or offer for sale of cigarettes, if the total number of cigarettes sold or offered for sale in the sale does not exceed one thousand (1,000) cigarettes; or
    2. For the first offense be liable for a civil penalty not to exceed one thousand dollars ($1,000) and, for a subsequent offense, be liable for a civil penalty not to exceed five thousand dollars ($5,000) per each sale or offer for sale of the cigarettes, if the total number of cigarettes sold or offered for sale in the sale exceeds one thousand (1,000) cigarettes, except that the penalty against any retailer shall not exceed twenty-five thousand dollars ($25,000) during a thirty (30) day period.
  3. In addition to any penalty prescribed by law, any corporation, partnership, sole proprietor, limited partnership, or association engaged in the manufacture of cigarettes that knowingly makes a false certification pursuant to KRS 227.774 shall for the first offense be liable for a civil penalty not to exceed seventy-five thousand dollars ($75,000) and, for a subsequent offense, be liable for a civil penalty not to exceed two hundred fifty thousand dollars ($250,000) for each false certification.
  4. Any other person violating any provision of KRS 227.770 to 227.784 shall be liable for a civil penalty for a first offense not to exceed one thousand dollars ($1,000) and, for a subsequent offense, be liable for a civil penalty not to exceed five thousand dollars ($5,000) for each violation.
  5. Any cigarettes that have been sold or offered for sale that do not comply with the performance standard required by KRS 227.772 shall be subject to forfeiture in accordance with the provisions of KRS 138.165 . Before the destruction of any cigarette seized pursuant to KRS 138.165 , the true holder of the trademark rights in the cigarette brand shall be permitted to inspect the cigarette.
  6. In addition to any other remedy provided by law, the state fire marshal or Attorney General may file an action in Circuit Court for a violation of KRS 227.770 to 227.784 , including petitioning for injunctive relief or to recover any costs or damages suffered by the state because of a violation of KRS 227.770 to 227.784 , including enforcement costs relating to the specific violation and attorney’s fees. Each violation of KRS 227.770 to 227.784 or of administrative regulations promulgated under KRS 227.780 shall constitute a separate civil violation for which the state fire marshal or Attorney General may obtain relief.

History. Enact. Acts 2007, ch. 70, § 5, effective April 1, 2008.

227.780. Administrative regulations — Department of Revenue inspections — Examinations by Attorney General and state fire marshal.

  1. The state fire marshal may promulgate administrative regulations if necessary to carry out the purposes of KRS 227.770 to 227.784 in accordance with the provisions of KRS Chapter 13A.
  2. The Department of Revenue, in the regular course of conducting inspections of wholesale dealers and retailers as authorized under the provisions of KRS 138.130 to 138.205 , may inspect cigarettes to determine if the cigarettes are marked as required by KRS 227.776 . If the cigarettes are not marked as required, the Department of Revenue shall notify the state fire marshal.
    1. To enforce provisions of KRS 227.770 to 227.784 , the Attorney General and the state fire marshal are authorized to examine the books, papers, invoices, and other records of any person in possession, control, or occupancy of any premises where cigarettes are placed, stored, sold, or offered for sale, as well as the stock of cigarettes on the premises. (3) (a) To enforce provisions of KRS 227.770 to 227.784 , the Attorney General and the state fire marshal are authorized to examine the books, papers, invoices, and other records of any person in possession, control, or occupancy of any premises where cigarettes are placed, stored, sold, or offered for sale, as well as the stock of cigarettes on the premises.
    2. Every person in the possession, control, or occupancy of any premises where cigarettes are placed, sold, or offered for sale is directed and required to give the Attorney General and the state fire marshal the means, facilities, and opportunity for the examinations authorized by this section.

History. Enact. Acts 2007, ch. 70, § 6, effective April 1, 2008.

227.782. Fire prevention and public safety fund.

  1. There is hereby established in the State Treasury a special fund to be known as the fire prevention and public safety fund. The fund shall consist of all moneys recovered as penalties under KRS 227.778 and moneys collected for fees pursuant to KRS 227.715 .
  2. Notwithstanding KRS 45.229 , fund amounts not expended at the close of the fiscal year shall not lapse but shall be carried forward to the next fiscal year.
  3. Any interest earnings of the fund shall become a part of the fund and shall not lapse.
  4. The moneys shall be deposited to the credit of the fund and shall, in addition to any other moneys made available for such purpose, be made available to the state fire marshal to administer this section, KRS 227.700 to 227.750 and 227.752 and to support fire safety and prevention programs.

History. Enact. Acts 2007, ch. 70, § 7, effective April 1, 2008; 2011, ch. 66, § 10, effective March 16, 2011.

227.784. Nonapplicability of KRS 227.770 to 227.784 to cigarettes for sale outside Kentucky — Adoption of federal standards — Local regulation preempted.

  1. Nothing in KRS 227.770 to 227.784 shall be construed to prohibit any person or entity from manufacturing or selling cigarettes that do not meet the requirements of KRS 227.772 if the cigarettes are or will be stamped for sale in another state or are packaged for sale outside the United States and that person or entity has taken reasonable steps to ensure that the cigarettes will not be sold or offered for sale to persons located in this state.
  2. KRS 227.770 to 227.784 shall no longer apply if a federal reduced cigarette ignition propensity standard is adopted and becomes effective.
  3. Notwithstanding any other provision of law, city, county, urban-county, charter county, or consolidated local government units of this state shall neither enact nor enforce any ordinance or other local law or regulation conflicting with, or preempted by, any provision of KRS 227.770 to 227.784 or with any policy of this state expressed by KRS 227.770 to 227.784 , whether that policy be expressed by inclusion of a provision in KRS 227.770 to 227.784 or by exclusion of that subject from KRS 227.770 to 227.784.

History. Enact. Acts 2007, ch. 70, § 8, effective April 1, 2008.

Ground-Fault Circuit Interrupter

227.800. Definitions.

As used in KRS 227.800 to 227.810 , unless the context otherwise requires:

  1. “Department” means the Department of Housing, Buildings and Construction;
  2. “Fountain” means all devices that artificially produce or contain a jet or stream of water;
  3. “Ground-fault circuit-interrupter” means a device intended for the protection of the general public that functions to deenergize a circuit or a portion thereof within an established period of time when a current to ground exceeds a predetermined value that is less than that required to operate the overcurrent protective device of the supply circuit;
  4. “Pool” means all swimming, wading, therapeutic, decorative, ornamental, display, and reflection pools; hot tubs; spas; and hydromassage bathtubs, whether permanently installed or storable; and
  5. “Public place” means any building, structure, or location that is accessible to the general public for business, civic, educational, political, religious, recreational, social, or travel purposes.

History. Enact. Acts 1992, ch. 6, § 1, effective January 1, 1993; 2010, ch. 24, § 427, effective July 15, 2010.

227.810. Requirement for ground-fault circuit-interrupter installation on public fountains and pools — Standards to be adopted by administrative regulations — Prohibition of exemption by local governmental action.

  1. A ground-fault circuit-interrupter shall be installed on all existing and new fountains and pools that are located in a public place within the Commonwealth, in accordance with standards set forth in the National Electrical Code adopted by administrative regulations of the department.
  2. A state or local government agency shall not promulgate an administrative regulation or ordinance to exempt any fountain or pool located in a public place from the required installation of a ground-fault circuit-interrupter, regardless of the age of construction of the fountain or pool.

History. Enact. Acts 1992, ch. 6, § 2, effective January 1, 1993; 2010, ch. 24, § 428, effective July 15, 2010.

Penalties

227.990. Penalties.

  1. Except for manufactured homes manufactured under the federal act, any person who violates any provision of this chapter or any provision of a lawful order, rule, or regulation made under the provisions of this chapter, or who induces another to violate any provisions of this chapter or of any lawful order, rule, or regulation made thereunder, upon conviction thereof shall be fined not less than twenty-five dollars ($25) nor more than one thousand dollars ($1,000), or confined in the county jail for not more than sixty (60) days, or both. Each day such violations exist shall, in the discretion of the courts, be considered as a separate offense.
  2. Any person who, for manufactured homes manufactured under the federal act, violates any provision of the federal act or of KRS 227.550 to 227.660 or any regulation or final order issued thereunder shall be liable for a civil penalty not to exceed one thousand dollars ($1,000) for each such violation. Each violation of a provision of KRS 227.550 to 227.660 or of the federal act or any regulation or order issued thereunder shall constitute a separate violation with respect to each manufactured home or mobile home or with respect to each failure or refusal to allow or perform an act required thereby, except that the maximum civil penalty may not exceed one million dollars ($1,000,000) for any related series of violations occurring within one (1) year from the date of the first violation.
  3. Any individual, or a director, officer, or agent of a corporation who knowingly and willfully violates the federal act or KRS 227.550 to 227.660 in a manner which threatens the health or safety of any purchaser shall be fined not more than one thousand dollars ($1,000) or imprisoned not more than one (1) year in the county jail, or both.
  4. Any person violating the provisions of KRS 227.702 to 227.750 , the regulations issued thereunder, or any order issued thereunder, or who knowingly induces another, directly or indirectly, to violate the provisions of those sections, shall be fined not more than one thousand dollars ($1,000), or imprisoned in the county jail for not more than thirty (30) days, or both.

History. Enact. Acts 1954, ch. 201, § 22; 1978, ch. 305, § 16, effective June 17, 1978; 1979 (Ex. Sess.), ch. 19, § 4, effective May 12, 1979; 1980, ch. 49, § 19, effective July 15, 1980; 1980, ch. 200, § 10, effective July 15, 1980; 1982, ch. 436, § 10, effective July 15, 1982; 1996, ch. 340, § 13, effective July 15, 1996.

Compiler’s Notes.

A former section KRS 227.990 (762b-24, 1376L-2) was repealed by Acts 1954, ch. 201, § 23.

NOTES TO DECISIONS

1. Closing Buildings.

Although the director could, after hearing, order remedied or removed, defects and hazards violating the standards of safety and could inaugurate prosecutions and invoke the penalties prescribed in this section, he had no express authority to order buildings closed. Foster v. Goodpaster, 290 Ky. 410 , 161 S.W.2d 626, 1942 Ky. LEXIS 418 ( Ky. 1942 ) (decided under prior law).

Opinions of Attorney General.

Although the concept of sovereign immunity would generally preclude an action from being brought against the State, a city or a county for violations of the State Fire Marshal’s regulations relating to the minimum requirements for facilities for physically handicapped persons in public buildings, a mandamus action could be maintained against the governmental entity and those officers responsible for the operation and maintenance of the buildings to compel them to conform to the requirements of the regulations. OAG 77-58 .

227.991. Penalties.

Any person, firm, or corporation who violates subsections (2), (3), (4) or (5) of KRS 227.410 shall be fined not less than ten dollars ($10) and not more than fifty dollars ($50).

History. Enact. Acts 1968, ch. 96, § 5.

227.992. Penalty.

Any person who willfully manufactures a manufactured home, sells, or offers for sale a manufactured home, mobile home, or recreational vehicle in this state in violation of KRS 227.550 to 227.660 shall be guilty of a misdemeanor and upon conviction thereof shall be punishable by a fine of not more than one thousand dollars ($1,000) or by confinement in the county jail for a period of not more than thirty (30) days, or both.

HISTORY: Enact. Acts 1974, ch. 76, § 13; 1996, ch. 340, § 14, effective July 15, 1996; 2017 ch. 169, § 86, effective June 29, 2017.

CHAPTER 227A Electricians and Electrical Contractors

Electricians and Electrical Contractors

227A.010. Definitions for KRS 227A.010 to 227A.140.

As used in KRS 227A.010 to 227A.140 , unless the context otherwise requires:

  1. “Authorized local licensing program” means any city, county, urban-county government, charter county, or consolidated local government electrician and electrical contractor licensing program established by local ordinance for the purpose of licensing electrical workers. “Authorized local licensing program” shall include a licensing program established through a cooperative agreement between two (2) or more counties;
  2. “Department” means the Department of Housing, Buildings and Construction;
  3. “Electrical” pertains to the installation, alteration, or repair of wires and conduits for the purpose of transmitting electricity, and the installation of fixtures and equipment in connection therewith;
  4. “Electrical contractor” means any licensed individual, partnership, or corporation that is licensed to engage in, offers to engage in, or advertises or holds itself out to be qualified to engage in designing, planning, superintending, contracting of, or assuming responsibility for the installation, alteration, or repair of any electrical system used for the purpose of furnishing heat, light, or power, and employs electrical workers to engage in this practice. If the electrical contractor is not a master electrician, the electrical contractor shall employ at least one (1) full-time master electrician; however, no master electrician shall act in this capacity for more than one (1) electrical contractor;
  5. “Electrical system” means any electrical work subject to standards provided within the National Electrical Code as adopted in the Uniform State Building Code, as promulgated by the department;
  6. “Electrician” means any person licensed by the department who is employed by an electrical contractor and is engaged in the construction, alteration, or repair of any electrical system used for the purpose of furnishing heat, light, or power;
  7. “Maintenance worker or maintenance engineer” means a person who is a regular, bona fide employee or agent of a property owner, property lessor, property management company, or firm that is not in the electrical business but has jurisdiction over the property where the routine maintenance of electrical systems is being performed;
  8. “Master electrician” means any individual licensed to engage in, and assume responsible charge, supervision, or direction of an electrician engaged in the construction, installation, alteration, or repair of any electrical system used to furnish heat, light, or power;
  9. “Repair” means the reconstruction or renewal of any part of an existing building for the purpose of its maintenance; and
  10. “Routine maintenance of electrical systems” means the routine and periodic servicing of electrical systems, including cleaning, inspecting, and making adjustments to ensure the proper operation and the removal or replacement of component parts. “Routine maintenance of electrical systems” does not include the installation of complete electrical systems.

History. Enact. Acts 2003, ch. 119, § 1, effective June 24, 2003; 2004, ch. 81, § 2, effective April 6, 2004; 2010, ch. 24, § 429, effective July 15, 2010; 2015 ch. 105, § 8, effective June 24, 2015; 2017 ch. 169, § 87, effective June 29, 2017.

Legislative Research Commission Note.

(6/24/2003). Pursuant to KRS 7.136 , the subsections in this section ( 2003 Ky. Acts ch. 119, sec. 1) have been renumbered.

227A.020. Prohibitions — Local licensing programs.

  1. A person who is not licensed as an electrical contractor shall not represent himself or herself to the public as an electrical contractor or use any terms, titles, or abbreviations which express or imply that the person is a licensed electrical contractor.
  2. A person who is not licensed as a master electrician shall not represent himself or herself to the public as a master electrician or use any terms, titles, or abbreviations which express or imply that the person is a licensed master electrician.
  3. A person who is not licensed as an electrician shall not represent himself or herself to the public as an electrician or use any terms, titles, or abbreviations which express or imply that the person is a licensed electrician.
  4. A person who is not licensed as an electrical contractor, electrician, or master electrician shall not engage in any activities or perform any of the duties usually performed by an electrical contractor, electrician, or master electrician unless the unlicensed person is under the direct supervision of a licensed electrician or master electrician who is present on the site where the work is being performed.
  5. An authorized local licensing program in existence on June 24, 2003, may contract with the department to become an agent of the department for purposes of the issuance and renewal of licenses issued pursuant to KRS 227A.010 to 227A.140 . The department may also contract with local governments that want to become authorized licensing programs.
  6. KRS 227A.010 to 227A.140 shall supersede all ordinances or regulations regulating electricians, master electricians, and electrical contractors of any city, county, urban-county, charter county, or consolidated local government. This provision shall not affect city, county, urban-county, charter county, or consolidated local government regulations relating to zoning requirements or occupational payroll taxes pertaining to electricians, master electricians, and electrical contractors.

History. Enact. Acts 2003, ch. 119, § 2, effective June 24, 2003; 2010, ch. 24, § 430, effective July 15, 2010.

227A.030. Limitations on applicability of KRS 227A.010 to 227A.140.

  1. The provisions of KRS 227A.010 to 227A.140 shall not apply to installations under the exclusive control of electric utilities for the purpose of communication, metering, or for the generation, control, transformation, transmission, and distribution of electric energy located in buildings used exclusively by utilities for those purposes or located outdoors on property owned or leased by the utility or on public highways, streets, or roads, or outdoors by established rights on private property.
  2. Nothing in KRS 227A.010 to 227A.140 shall require that a maintenance worker or maintenance engineer performing routine maintenance of electrical systems be licensed.
  3. Nothing in KRS 227A.010 to 227A.140 shall prohibit or interfere with the ability of a homeowner or farmer to install or repair electrical wiring on his or her real property.
  4. Nothing in KRS 227A.010 to 227A.140 shall require that a retailer or its agent engaged in making installations of an appliance purchased at a retail establishment be licensed.
  5. Nothing in KRS 227A.010 to 227A.140 shall be construed to require persons making installations exempt by KRS 227.460 to be licensed or to work for a licensed person.
  6. Nothing in KRS 227A.010 to 227A.140 shall preclude the use of unlicensed, nonresident electricians in temporary, emergency, or industrial shutdown situations. Those unlicensed, nonresident electricians shall apply for an electrician’s license or a master electrician’s license after they are employed and engaged in electrical work in the Commonwealth of Kentucky for a period of ten (10) days. No unlicensed, nonresident electrician shall be employed or engaged in electrical work in the Commonwealth of Kentucky for a total of more than thirty (30) days in any calendar year without applying for an electrician’s license or a master electrician’s license. The license shall be obtained by the temporary, unlicensed, nonresident electricians within sixty (60) days of securing employment.
  7. Nothing in KRS 227A.010 to 227A.140 shall apply to a person performing work at a surface or underground coal mine or at a coal preparation plant.
  8. Nothing in KRS 227A.010 to 227A.140 shall apply to a person performing work for a telecommunications company for which the voltage is fifty (50) volts or less.
  9. Nothing in KRS 227A.010 to 227A.140 shall prohibit a factory-authorized representative from the installation, maintenance, or service of a medical equipment device. This exemption does not include work providing electrical feeds into the power distribution unit or installation of conduits and raceways. This exemption covers only those factory engineers or third-party service companies with equivalent training who are qualified to perform such service.
  10. Nothing in KRS 227A.010 to 227A.140 shall apply to low-voltage, power-limited installations for control or coordination of interconnected devices separated from a power source by a Class 2 or Class 3 transformer installed by a person licensed as:
    1. A master or journeyman heating, ventilation, and air conditioning technician employed by a licensed HVAC contractor pursuant to KRS 198B.658 ;
    2. A fire protection sprinkler contractor pursuant to KRS 198B.560 ;
    3. A manufactured housing dealer or certified installer pursuant to KRS 227.610 ;
    4. A boiler mechanic pursuant to KRS 236.210 ;
    5. A master or journeyman plumber pursuant to KRS 318.030 ;
    6. An onsite sewage disposal system installer pursuant to KRS 211.357 ; or
    7. An electrician or master electrician employed by an electrical contractor pursuant to KRS 227A.010 to 227A.140 .
  11. The provisions of KRS 227A.010 to 227A.140 shall not apply to work performed at industrial manufacturing facilities or natural gas pipeline facilities by employees of those facilities.

History. Enact. Acts 2003, ch. 119, § 3, effective June 24, 2003; 2004, ch. 81, § 5, effective April 6, 2004; 2005, ch. 41, § 1, effective June 20, 2005; 2006, ch. 24, § 1, effective July 12, 2006; 2006, ch. 83, § 5, effective July 12, 2006.

Legislative Research Commission Note.

(7/12/2006). This section was amended by 2006 Ky. Acts chs. 24 and 83, which do not appear to be in conflict and have been codified together.

(7/12/2006). 2006 Ky. Acts ch. 83, sec. 6, provides that the Act, which included an amendment to this statute, shall be known and may be cited as “Isaac’s Act.”

227A.040. Powers and duties of department.

  1. The department shall administer and enforce KRS 227A.010 to 227A.140 and shall evaluate the qualifications of applicants for licensure.
  2. The department may issue subpoenas, examine witnesses, pay appropriate witness fees, administer oaths, and investigate allegations of practices violating KRS 227A.010 to 227A.140 or the administrative regulations promulgated under KRS 227A.010 to 227A.140 and KRS Chapter 13A.
  3. The department shall conduct hearings under KRS Chapter 13B and keep records and minutes necessary to carry out the functions of KRS 227A.010 to 227A.140 .
  4. The department shall evaluate the qualifications of applicants and issue licenses to qualified candidates.
  5. The department shall renew licenses.
  6. The department may:
    1. Refuse to issue or renew a license;
    2. Suspend or revoke a license;
    3. Impose supervisory or probationary conditions upon a licensee;
    4. Impose administrative disciplinary fines;
    5. Issue written reprimands or admonishments; and
    6. Take any combination of the actions permitted in this subsection.
  7. The department may seek injunctive relief in the Circuit Court of Franklin County, in the county in which the violation occurred, or in the county where the business of the accused is located to stop any unlawful practice in KRS 227A.010 to 227A.140 and administrative regulations promulgated thereunder. The department may also seek injunctive relief for unlicensed persons who inappropriately use the title “electrical contractor,” “electrician,” or “master electrician.”
  8. The department, with comments from the Housing, Buildings and Construction Advisory Committee if required by KRS 198B.030(8), may promulgate administrative regulations to create a code of ethics and procedures governing the licensure of electrical contractors, electricians, and master electricians.
  9. The department may enter into reciprocal agreements with other states having licensure, certification, or registration qualifications and requirements substantially equal to those of this state.

HISTORY: Enact. Acts 2003, ch. 119, § 4, effective June 24, 2003; 2006, ch. 256, § 7, effective July 12, 2006; 2010, ch. 24, § 431, effective July 15, 2010; 2011, ch. 100, § 18, effective June 8, 2011; 2017 ch. 169, § 88, effective June 29, 2017.

227A.050. Fees — Revolving fund.

  1. All fees and other moneys received by the department under the provisions of KRS 227A.010 to 227A.140 shall be deposited in the State Treasury to the credit of a revolving fund for use by the department in administering the provisions of KRS 227A.010 to 227A.140 .
  2. No part of this revolving fund shall revert to the general funds of the Commonwealth.
  3. An authorized local licensing program under KRS 227A.010 to 227A.140 shall negotiate with the department the amount of the fees to be retained by the authorized local licensing program.
  4. Funds for the initial administration of KRS 227A.010 to 227A.140 , following June 24, 2003, and to the extent fee income is insufficient to meet actual costs as determined by the chief budget officer for the department, shall be borrowed from surplus trust and agency accounts of the department and repaid without interest over no more than the succeeding two (2) fiscal years.

History. Enact. Acts 2003, ch. 119, § 5, effective June 24, 2003; 2010, ch. 24, § 432, effective July 15, 2010.

227A.060. Qualifications for licensure — Provisional license.

  1. The department shall issue a license as an “electrical contractor” to an applicant who meets the following requirements:
    1. Has paid to the department the application fee not to exceed two hundred dollars ($200) and the appropriate examination fee, which shall not exceed the actual cost of examination;
    2. Has achieved a passing score, as set by the department, on all portions of the examination required by the department. The department shall promulgate administrative regulations to specify who shall take the examination if the applicant is a business entity; and
    3. Has submitted proof that he or she has complied with workers’ compensation and unemployment insurance laws and administrative regulations and has obtained a general liability insurance policy of not less than five hundred thousand dollars ($500,000).
  2. The department shall issue a license as a “master electrician” to an applicant who meets the following requirements:
    1. Has paid to the department the application fee not to exceed one hundred dollars ($100) and the appropriate examination fee not to exceed the actual cost of the examination;
    2. Has completed:
        1. Six (6) years of verifiable experience in the electrical trade since his or her sixteenth birthday; and 1. a. Six (6) years of verifiable experience in the electrical trade since his or her sixteenth birthday; and
        2. A training course in electrical work, acceptable to the department, or an additional two (2) years of verifiable experience in the electrical trade; or
        1. Five (5) years of verifiable experience in the electrical trade since his or her sixteenth birthday; and 2. a. Five (5) years of verifiable experience in the electrical trade since his or her sixteenth birthday; and
        2. An associate’s degree or diploma program in electrical technology at a college within the Kentucky Community and Technical College System after 1998; and
    3. Has achieved a passing score, as set by the department, on all portions of the examination required by the department.
  3. The department shall issue a license as an “electrician” to an applicant who meets the following requirements:
    1. Has paid to the department the application fee not to exceed fifty dollars ($50) and the appropriate examination fee not to exceed the actual cost of the examination administered by the department;
    2. Has completed:
      1. Two (2) years of verifiable experience in the electrical trade since his or her sixteenth birthday; and
        1. A training course in electrical work, acceptable to the department; 2. a. A training course in electrical work, acceptable to the department;
        2. Two (2) years of a minimum four (4) year training course in electrical work, acceptable to the department, and shall complete the remaining years of that training course within four (4) years of obtaining the electrician license, or the electrician license shall be revoked; or
        3. An additional two (2) years of verifiable experience in the electrical trade; and
    3. Has achieved a passing score, as set by the department, on all portions of the examination required and administered by the department.
    1. The department shall issue a nonrenewable provisional license as an “electrician” to an applicant who: (4) (a) The department shall issue a nonrenewable provisional license as an “electrician” to an applicant who:
      1. Is a Kentucky resident; and
      2. Has completed at least six (6) years of verifiable experience and has worked two thousand eighty (2,080) hours a year for those six (6) years in the electrical trade since the applicant’s sixteenth birthday.
    2. A nonrenewable provisional license issued to an applicant under paragraph (a) of this subsection shall be valid for a period not to exceed one (1) year from the date of issuance.
    3. The department shall issue a license as an electrician to a provisional license holder who has, prior to the expiration of the one (1) year term of the provisional license:
      1. Achieved a passing score on all portions of the examination required and administered by the department under subsection (3)(c) of this section;
      2. Paid to the department the application fee not to exceed fifty dollars ($50); and
      3. Paid to the department the examination fee not to exceed the actual cost of the examination.
    4. If a provisional license holder does not achieve a passing score on all portions of the examination required and administered under subsection (3)(c) of this section prior to the expiration of the one (1) year term of the provisional license, the provisional license shall expire and the provisional license holder shall be ineligible for any additional provisional licenses. Nothing in this paragraph shall prevent a former provisional license holder from acquiring an electrician’s license under subsection (3) of this section.

HISTORY: Enact. Acts 2003, ch. 119, § 6, effective June 24, 2003; 2009, ch. 6, § 1, effective June 25, 2009; 2010, ch. 24, § 433, effective July 15, 2010; 2011, ch. 74, § 19, effective June 8, 2011; 2018 ch. 186, § 1, effective July 14, 2018.

Legislative Research Commission Notes.

(7/14/2018). 2018 Ky. Acts ch. 186, sec. 2, provides: “This section shall apply to any person who became licensed between June 24, 2003, and July 15, 2004, through KRS 227A.080 prior to that statute’s repeal on June 25, 2009, but whose license subsequently lapsed. That person may have his or her license reissued upon payment of a $100 fee and retaking the regular examination required by the department for that license within one year of the fee payment. A license shall not be reissued under this section after July 31, 2020.”

227A.070. Licensure by endorsement.

Upon application to the department and payment of all applicable fees, the department shall license by endorsement an applicant who is registered, licensed, or certified in another state if the requirements for registration, licensing, or certification in the issuing state are substantially equal to the requirements for licensing in the Commonwealth of Kentucky and the applicant is in good standing in the issuing state. The department shall license an applicant by endorsement only if the issuing state extends similar reciprocity to Kentucky citizens licensed under KRS 227A.010 to 227A.140 .

History. Enact. Acts 2003, ch. 119, § 7, effective June 24, 2003; 2010, ch. 24, § 434, effective July 15, 2010.

227A.080. Provisions for licensure before July 15, 2004. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 2003, ch. 119, § 8, effective June 24, 2003; 2004, ch. 81, § 4, effective April 6, 2004) was repealed by Acts 2009, ch. 6, § 2, effective June 25, 2009.

227A.090. Examinations.

  1. The department shall select and approve an examination to be used in determining the competency of persons to be licensed under KRS 227A.010 to 227A.140 . Examinations selected and approved for each level of licensing shall be nationally recognized examinations which have been determined through proper validation techniques to measure successfully an individual’s competency to perform the licensed practice.
  2. The department shall offer the examinations on a regularly scheduled basis in localities around the state. The department shall offer the examinations through any authorized local licensing program.
  3. The department may contract with an outside entity or testing service for the administration of examinations required for licensure.

HISTORY: Enact. Acts 2003, ch. 119, § 9, effective June 24, 2003; 2010, ch. 24, § 435, effective July 15, 2010; 2017 ch. 169, § 89, effective June 29, 2017.

227A.100. Fees — Application for renewal or reinstatement of license.

  1. Each licensee licensed under the provisions of KRS 227A.010 to 227A.140 shall annually, on or before the last day of the licensee’s birth month, pay to the department a renewal fee as established in administrative regulations promulgated by the department.
  2. A sixty (60) day grace period shall be allowed after the anniversary date of the license during which time a licensee may continue to practice and may renew his or her license upon payment of the renewal fee plus a late renewal fee as promulgated by administrative regulation of the department.
  3. A license not renewed before the end of the sixty (60) day grace period shall terminate based on the failure of the licensee to renew in a timely manner. Upon termination, the licensee is no longer eligible to practice in the Commonwealth.
  4. After the sixty (60) day grace period, a former licensee with a terminated license may have the license reinstated upon payment of the renewal fee plus a reinstatement fee as promulgated by administrative regulation of the department. An applicant for reinstatement after termination of the license shall not be required to submit to any examination as a condition for reinstatement, if the reinstatement application is made within three (3) years from the date of termination.
  5. A suspended license is subject to expiration and termination and shall be renewed as provided in this section. Renewal shall not entitle the licensee to engage in the practice until the suspension has ended or is otherwise removed by the department and the right to practice is restored by the department.
  6. A revoked license is subject to expiration or termination but may not be renewed. If it is reinstated, the former licensee shall pay the reinstatement fee as promulgated by administrative regulations under subsection (4) of this section and the renewal fee as promulgated by administrative regulations under subsection (1) of this section.
  7. The department shall require an applicant for renewal or reinstatement of a license to show evidence of completing at least six (6) hours of continuing education provided by the National Electrical Contractors Association, the Associated Builders and Contractors, the International Brotherhood of Electrical Workers, the Associated General Contractors, the International Association of Electrical Inspectors, the Independent Electrical Contractors Association, the Kentucky Department of Housing, Buildings and Construction, or other provider of instruction approved by the department. The department shall promulgate administrative regulations establishing the content of the programs and the qualifications of the providers.
  8. The department shall require, where applicable, that an applicant for renewal or reinstatement of a license submit proof that the applicant has complied with workers’ compensation and unemployment insurance laws and regulations and has obtained a general liability insurance policy of not less than five hundred thousand dollars ($500,000).
  9. The department may, through the promulgation of administrative regulations:
    1. Establish an inactive license for licensees who are not actively engaging in the electrical business but wish to maintain their license;
    2. Reduce license and renewal fees for inactive licensees; and
    3. Waive the requirements established in subsection (8) of this section for inactive licensees.

History. Enact. Acts 2003, ch. 119, § 10, effective June 24, 2003; 2004, ch. 81, § 3, effective April 6, 2004; 2010, ch. 24, § 436, effective July 15, 2010.

227A.110. Disciplinary actions.

  1. The department may, following a hearing pursuant to KRS Chapter 13B, impose sanctions specified in KRS 227A.040 upon proof that the licensee has:
    1. Misrepresented or concealed a material fact in obtaining a license, or in the reinstatement thereof;
    2. Been incompetent or negligent in the practice of performing electrical work;
    3. Failed to comply with an order issued by the department or an assurance of voluntary compliance; or
    4. Violated any provisions of KRS 227A.010 to 227A.140 and administrative regulations promulgated thereunder.
  2. One (1) year from the date of a revocation, any former licensee whose license has been revoked may petition the department for reinstatement. The department shall investigate the petition and may reinstate the license upon a finding that the applicant has complied with any terms prescribed by the department and is again able to competently engage in the practice of performing electrical work.
  3. At any time during the investigative or hearing processes, the department may enter into an agreed order or accept an assurance of voluntary compliance with the license holder which effectively deals with the complaint.
  4. The department may reconsider, modify, or reverse its probations, suspensions, or other disciplinary actions.

History. Enact. Acts 2003, ch. 119, § 11, effective June 24, 2003; 2010, ch. 24, § 437, effective July 15, 2010.

227A.120. Appeal of disciplinary action.

Any party aggrieved by a disciplinary action of the department may bring an action in the Circuit Court of Franklin County under the provisions of KRS Chapter 13B.

History. Enact. Acts 2003, ch. 119, § 12, effective June 24, 2003; 2010, ch. 24, § 438, effective July 15, 2010.

227A.130. Penalties for violation of KRS 227A.020.

Any person who violates or aids in the violation of any provision of KRS 227A.020 shall be guilty of a misdemeanor and upon conviction shall be fined not less than five hundred dollars ($500) nor more than five thousand dollars ($5,000), or sentenced to jail for not less than ten (10) nor more than one hundred eighty (180) days, or both.

History. Enact. Acts 2003, ch. 119, § 13, effective June 24, 2003.

Research References and Practice Aids

Cross-References.

Designation of offenses; penalties, see KRS 532.020 .

227A.140. Effect of disassociation of licensee on electrical contractor or other business — Interim period for use of recently deceased licensee’s master electrician’s license.

  1. A master electrician who ceases to be associated with the electrical contractor and is the representative by which the licensed electrical contractor qualifies shall immediately report his or her disassociation to the department or the authorized local licensing program. The master electrician shall be responsible for all work done under his or her license until the department or the authorized local licensing program is notified by the master electrician that he or she is no longer associated with the electrical contractor.
  2. If the holder of any electrical license ceases to be a part of the business relying upon the holder’s license for its right to remain in business, the business shall employ a licensed person prior to the continuance of any business activity or within thirty (30) days, whichever comes first.
    1. Notwithstanding subsection (2) of this section, if a master electrician dies while a business was relying on his or her license for its right to remain in business, the department shall grant an interim time period of up to one hundred eighty (180) continuous calendar days to allow the business for which the master electrician worked to utilize the master electrician’s license to procure electrical permits for that business, provided that the business: (3) (a) Notwithstanding subsection (2) of this section, if a master electrician dies while a business was relying on his or her license for its right to remain in business, the department shall grant an interim time period of up to one hundred eighty (180) continuous calendar days to allow the business for which the master electrician worked to utilize the master electrician’s license to procure electrical permits for that business, provided that the business:
      1. Effectuates and documents all necessary bonding and insurance policies required by this chapter; and
      2. Ensures all bonding and insurance policies remain effective for the entirety of the interim time period.
    2. A deceased master electrician’s license shall be terminated by the department at the end of the interim period.
    3. Upon termination of the deceased master electrician’s license, an electrical contractor shall have an employee with a current and valid Kentucky master electrician’s license in order to procure permits and perform electrical work under this chapter.

HISTORY: Enact. Acts 2003, ch. 119, § 14, effective June 24, 2003; 2010, ch. 24, § 439, effective July 15, 2010; 2018 ch. 22, § 7, effective July 14, 2018.

227A.150. Limitation on applicability of KRS 227A.010 to 227A.140 to low-voltage installer certificate holder.

Nothing in KRS 227A.010 to 227A.140 shall apply to low-voltage, power-limited installations for control or coordination of interconnected devices separated from a power source by a Class 2 or Class 3 transformer installed by a low-voltage installer certificate holder. The department shall set the standards for experience and testing for issuance of a low-voltage installer certificate by administrative regulation and may charge a fee to be set by the department by administrative regulation but not to exceed the actual cost of issuance of the certificate.

History. Enact. Acts 2004, ch. 81, § 6, effective April 6, 2004; 2010, ch. 24, § 440, effective July 15, 2010.

CHAPTER 228 Dry Cleaning and Dyeing [Repealed]

228.010. Construction of chapter. [Repealed.]

Compiler’s Notes.

The functions, powers and duties of the Commission on Fire Protection Personnel Standards and Education and the Department of Public Safety regarding dry cleaning and dyeing in this chapter have been transferred and vested in the Department of Housing, Buildings and Construction.

This section (2741g-1, 2741g-37: amend. Acts 1958, ch. 126, § 30; 1966, ch. 255, § 208; 1974, ch. 74, Art. V, § 24(11)) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.020. Application to department to engage in business required. [Repealed.]

Compiler’s Notes.

This section (2741g-2, 2741g-3) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.030. Fee to engage in business. [Repealed.]

Compiler’s Notes.

This section (2741g-4) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.040. Inspection before issuance of permit or use of structures and equipment. [Repealed.]

Compiler’s Notes.

This section (2741g-5, 2741g-32) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.050. Commissioner may refuse, suspend or revoke permit. [Repealed.]

Compiler’s Notes.

This section (2741g-8) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.060. Renewal of permits. [Repealed.]

Compiler’s Notes.

This section (2741g-6) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.070. Permits to be exhibited — Not assignable. [Repealed.]

Compiler’s Notes.

This section (2741g-7) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.080. Location, structure and use of buildings. [Repealed.]

Compiler’s Notes.

This section (2741g-9, 2741g-10) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.090. Heating. [Repealed.]

Compiler’s Notes.

This section (2741g-20) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.100. Pipes to be protected. [Repealed.]

Compiler’s Notes.

This section (2741g-14) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.110. Lighting and electrical equipment. [Repealed.]

Compiler’s Notes.

This section (2741g-19) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.120. Doors and windows. [Repealed.]

Compiler’s Notes.

This section (2741g-14, 2741g-36) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.130. Cleaning floors. [Repealed.]

Compiler’s Notes.

This section (2741g-17) was repealed by Acts 2000, § 152, § 1, effective July 14, 2000.

228.140. Ventilation. [Repealed.]

Compiler’s Notes.

This section (2741g-12, 2741g-36) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.150. Structural requirements of drying rooms. [Repealed.]

Compiler’s Notes.

This section (2741g-21) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.160. Fire extinguishing apparatus. [Repealed.]

Compiler’s Notes.

This section (2741g-13, 2741g-15, 2741g-36) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.170. Heating and spark-emitting devices prohibited, where. [Repealed.]

Compiler’s Notes.

This section (2741g-18) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.180. Sewer connections — Floor construction. [Repealed.]

Compiler’s Notes.

This section (2741g-11) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.190. Requirements for dry cleaning, washing, extracting and redistilling equipment. [Repealed.]

Compiler’s Notes.

This section (2741g-16) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.200. Liquids returned to storage tanks at close of operation — Tanks to be marked. [Repealed.]

Compiler’s Notes.

This section (2741g-17) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.210. Volatile substances, how carried. [Repealed.]

Compiler’s Notes.

This section (2741g-28) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.220. Storage tanks for volatile substances. [Repealed.]

Compiler’s Notes.

This section (2741g-22) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.230. Instilling or redistilling to be in fireproof room. [Repealed.]

Compiler’s Notes.

This section (2741g-29) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.240. Storage tanks to be buried underground. [Repealed.]

Compiler’s Notes.

This section (2741g-23) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.250. Storage tank vent pipes. [Repealed.]

Compiler’s Notes.

This section (2741g-24) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.260. Storage tank filling pipe. [Repealed.]

Compiler’s Notes.

This section (2741g-26) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.270. Pipes to connect tanks at top — Valve to be kept closed. [Repealed.]

Compiler’s Notes.

This section (2741g-27) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.280. Chapter does not apply to structures in use in 1922 unless subsequently altered. [Repealed.]

Compiler’s Notes.

This section (2741g-30) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.290. Business considered abandoned, when. [Repealed.]

Compiler’s Notes.

This section (2741g-31) was repealed by Acts 2000, ch. 152, 1, effective July 14, 2000.

228.300. Enforcement of chapter. [Repealed.]

Compiler’s Notes.

This section (2741g-34) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

228.990. Penalties. [Repealed.]

Compiler’s Notes.

This section (2741g-33) was repealed by Acts 2000, ch. 152, § 1, effective July 14, 2000.

CHAPTER 229 Boxing and Wrestling

229.010. Definitions. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1962, ch. 106, Art. V, § 9) was repealed by Acts 1964, ch. 170, § 26.

229.011. Definitions for chapter.

As used in this chapter unless the context clearly indicates otherwise the following definitions shall apply:

  1. “Advertise” means the use of handbills, placards, posters, billboards, pictures, printed or written material or newspapers or other publications, or radio, television, Internet, and other communication media;
  2. “Boxing” means a contest or exhibition in which a person delivers blows with the fist that may be reasonably expected to disable or inflict injury and in which boxers compete for money, a prize, or other pecuniary gain, or for which admission is charged to spectators;
  3. “Commission” means the Kentucky Boxing and Wrestling Commission;
  4. “Exhibition” means an event or engagement:
    1. In which the participants show or display their skills without necessarily striving to win; or
    2. That involves amateurs not under the jurisdiction of the Kentucky High School Athletic Association, the National Collegiate Athletic Association, the National Association of Intercollegiate Athletics, the Amateur Athletic Union, Golden Gloves, USA Boxing, USA Wrestling, or a public show to which an admission ticket is required, or other charge is made, or invitation;
  5. “Kickboxing” means a boxing contest or exhibition where the participants are allowed to throw kicks or foot blows at the opponent in addition to punching with the hands and in which kickboxers compete for money, a prize, or other pecuniary gain, or for which admission is charged to spectators;
  6. “Mixed martial arts” means any form of unarmed contest or exhibition in which participants compete for money, a prize, or other pecuniary gain, or for which admission is charged to spectators. Mixed martial arts may include any element or combination of elements of boxing, kickboxing, wrestling, or other martial arts. Exhibitions where participants are judged on form and style and where punches and kicks are pulled shall not be included in this definition;
  7. “Muay thai” means a boxing contest or exhibition where the participants are allowed combined use of clinches, elbows, knees, and shins in addition to punching with the hands and in which participants compete for money, a prize, or other pecuniary gain, or for which admission is charged to spectators;
  8. “Person” means an individual, partnership, corporation, association, or club;
  9. “Show” means any boxing, kickboxing, mixed martial arts, muay thai, or wrestling match, contest, or exhibition coming under the jurisdiction of the Kentucky Boxing and Wrestling Commission;
  10. “Unarmed combat” means boxing, kickboxing, sparring, wrestling, mixed martial arts, or muay thai under the jurisdiction of the commission; and
  11. “Wrestling” means an activity or performance of athletic and wrestling skill between individuals who are not under the jurisdiction of the Kentucky High School Athletic Association, the National Collegiate Athletic Association, the National Association of Intercollegiate Athletics, or USA Wrestling in which the participants struggle hand-to-hand primarily for the purpose of providing entertainment to spectators rather than conducting a bona fide athletic contest. The outcome of these matches may be predetermined. Participating wrestlers may not be required to use their best efforts in order to win.

HISTORY: Enact. Acts 1964, ch. 170, § 1; 2005, ch. 11, § 2, effective June 20, 2005; 2008, ch. 91, § 1, effective July 15, 2008; 2017 ch. 70, § 6, effective June 29, 2017.

Opinions of Attorney General.

Persons who conducted a private showing of the Clay-Liston match through the medium of closed circuit television were required to have an annual license, to pay the commission 5% of the gross receipts from the sale of all tickets, and to post bond in the sum of $2,000. OAG 65-414 .

The Joe Martin for sheriff campaign committee is both an association and a club and is therefore a “person” within the meaning of former KRS 229.071 and can be licensed by the Kentucky Athletic Commission to conduct boxing matches; in addition, there being no statutory exemption for political action committees, the Joe Martin for sheriff campaign committee is liable for the payment of the gross receipts tax the same as any other licensed promoter. OAG 80-435 .

Since former subsection (2) of this section defined a wrestling or boxing exhibition to include “a public show or showing through the medium of closed circuit television to which an admission ticket is required, or other charge is made,” OAG 80-447 is hereby modified to conform with OAG 65-414 to the extent that a promoter is required to obtain a license and permit in order to conduct a closed circuit television wrestling or boxing exhibition. OAG 81-217 .

Research References and Practice Aids

Cross-References.

Bribery of participants in sports events prohibited, KRS 518.040 , 518.050 .

229.015. Boxing Commissioner. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1962, ch. 106, Art. V, § 10) was repealed by Acts 1964, ch. 170, § 26.

229.020. Participating in, aiding in and attending unlicensed fights prohibited. [Repealed.]

Compiler’s Notes.

This section (1284, 1285, 1286, 1287, 1288, 1290, 1290a-12) was repealed by Acts 1964, ch. 170, § 26.

229.021. License required for shows and exhibitions. [Repealed]

History. Enact. Acts 1964, ch. 170, § 10; 2005, ch. 11, § 10, effective June 20, 2005; 2008, ch. 91, § 2, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 10; 2005, ch. 11, § 10, effective June 20, 2005; 2008, ch. 91, § 2, effective July 15, 2008) was repealed by Acts 2017, ch. 117, § 49, effective June 29, 2017.

229.025. Administrative regulations — License requirement — License fees — License age requirement.

  1. Every licensee shall be subject to the administrative regulations promulgated by the commission.
  2. No person shall participate in an unarmed combat show in any capacity without holding a license issued by the commission.
  3. The commission shall establish through the promulgation of administrative regulations:
    1. All license types, the eligibility requirements for each license type, and the expiration date of each license type;
    2. The annual license fee, which shall be no greater than:
      1. Five hundred dollars ($500) for promoter licenses; and
      2. Fifty dollars ($50) for all other licenses; and
    3. The method for submitting all applications for licensure.
  4. No contestant under eighteen (18) years of age shall be knowingly issued a license or allowed to participate in any unarmed combat shows, nor shall any person obtain, or cause to be obtained, a license for any person under eighteen (18) years of age to participate in any unarmed combat show, except through a sanctioning body authorized by KRS 229.045 .

HISTORY: 2017 ch. 70, § 1, effective June 29, 2017.

229.030. Officers to suppress unlicensed fights. [Repealed.]

Compiler’s Notes.

This section (1289) was repealed by Acts 1964, ch. 170, § 26.

229.031. Report as to tickets sold and receipts — Tax on gross receipts — Notification when supplying broadcast facilities — Examination of books and records.

  1. Every person conducting an unarmed combat show, other than those holding a permit under subsection (1) of KRS 229.061 , shall furnish to the commission a written report, verified by the person, if an individual, or by some officer, if a corporation or association, showing the number of tickets sold for the show, the amount of the gross receipts from this sale, and any other matters prescribed by the commission. He or she shall also pay to the commission a tax of twenty-five dollars ($25) or five percent (5%) of the gross receipts from the sale of all tickets to the show, whichever is greater.
  2. Any person supplying radio, television, or cable facilities for the broadcast or televising of any show shall, prior to the show, notify the commission.
  3. All taxes required to be paid by this section shall be computed on the gross receipts without any deduction for commissions, brokerage, distribution fees, advertising, or other related expenses, charges, or recoupments, except that federal excise taxes may be deducted.
  4. Whenever a person fails to make the report within the time prescribed by the commission, or whenever the report is incomplete or patently inaccurate, the commission may examine or cause to be examined the books and records of that person to ascertain the total amount of its gross receipts for any show to determine the amount of tax due.

HISTORY: Enact. Acts 1964, ch. 170, § 15; 2005, ch. 11, § 17, effective June 20, 2005; 2005, ch. 168, § 155, effective March 18, 2005; 2008, ch. 91, § 3, effective July 15, 2008; 2017 ch. 70, § 7, effective June 29, 2017.

Opinions of Attorney General.

A municipality must pay the five percent gross receipts tax, and said tax is in lieu of the payment of admission taxes. OAG 71-471 .

“Gross receipts” includes everything that a promoter takes in and no deduction should be made for a bond fee that was included in the price of admission. OAG 78-734 .

The Joe Martin for sheriff campaign committee is both an association and a club and is therefore a “person” within the meaning of former KRS 229.071 and can be licensed by the Kentucky Athletic Commission to conduct boxing matches; in addition, there being no statutory exemption for political action committees, the Joe Martin for sheriff campaign committee is liable for the payment of the gross receipts tax the same as any other licensed promoter. OAG 80-435 .

229.035. Promoter license requirement — Approval of show dates — Bond.

  1. No person shall conduct or advertise a show without a promoter license issued by the commission to conduct the show. Show dates shall be approved as determined through the promulgation of an administrative regulation.
  2. Any person applying for a promoter license shall file with the commission a bond in the sum of ten thousand dollars ($10,000), to be approved as to form and the sufficiency of the sureties by the commission, conditioned for the payment of:
    1. Taxes;
    2. Fines;
    3. Fees imposed by the commission;
    4. Purses and money owed to contestants; and
    5. Money owed to judges, physicians, referees, timekeepers, or other contracted event service providers.
  3. If the promoter’s bond expires or is cancelled, the commission shall immediately terminate that promoter’s license.

HISTORY: 2017 ch. 70, § 2, effective June 29, 2017.

229.040. Commissioner to control and license matches or exhibitions; may revoke licenses and subpoena witnesses. [Repealed.]

Compiler’s Notes.

This section (1290a-2, 1290a-3) was repealed by Acts 1964, ch. 170, § 26.

229.041. Books examined, when. [Repealed]

History. Enact. Acts 1964, ch. 170, § 16; 2005, ch. 11, § 18, effective June 20, 2005; 2008, ch. 91, § 4, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

229.045. Sanctioning bodies — Requirements — Administrative regulation.

  1. USA Boxing is the only sanctioning body recognized to conduct combat sports not covered under this chapter.
  2. All other sanctioning bodies shall be nonprofit and submit a request to the commission to be recognized as a sanctioning body according to the requirements the commission establishes through the promulgation of an administrative regulation.

HISTORY: 2017 ch. 70, § 3, effective June 29, 2017.

229.050. Residents only may conduct matches or exhibitions. [Repealed.]

Compiler’s Notes.

This section (1290a-15) was repealed by Acts 1964, ch. 170, § 26.

229.051. Bond of licensee — Condition. [Repealed]

History. Enact. Acts 1964, ch. 170, § 14; 1982, ch. 233, § 1, effective July 15, 1982; 2000, ch. 106, § 1, effective July 14, 2000; 2005, ch. 11, § 16, effective June 20, 2005; 2008, ch. 91, § 5, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 14; 1982, ch. 233, § 1, effective July 15, 1982; 2000, ch. 106, § 1, effective July 14, 2000; 2005, ch. 11, § 16, effective June 20, 2005; 2008, ch. 91, § 5, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.055. Rounds limitation of boxing, kickboxing, or muay thai contest or exhibition — Boxing show contracts to be filed with commission before show.

  1. A boxing, kickboxing, or muay thai contest or exhibition shall not consist of more than twelve (12) rounds. The duration of the rounds shall be determined by the commission through the promulgation of an administrative regulation.
  2. Prior to any boxing show, the promoter shall file with the commission a copy of each contract involving compensation of the contestants and a copy of each contract under which he or she will receive, directly or indirectly, compensation from any source. Any person making payments under any of these contracts shall promptly report to the commission the amount of these payments.

HISTORY: 2017 ch. 70, § 4, effective June 29, 2017.

229.060. License subject to commissioner’s regulations; application for. [Repealed.]

Compiler’s Notes.

This section (1290a-3) was repealed by Acts 1964, ch. 170, § 26.

229.061. Permits for schools and charitable organizations.

  1. The commission may issue a permit, without the payment of any taxes or license fee, to any accredited college, university, school, Young Men’s Christian Association, Young Men’s Hebrew Association, or organization that in the judgment of the commission is of like character, to hold an unarmed combat show upon a sufficient showing that the matches or exhibitions are to be held by and between bona fide students or members of the accredited colleges, universities, schools, Young Men’s Christian Associations, Young Men’s Hebrew Associations, or organizations that in the judgment of the commission are of like character.
  2. Any regularly organized post of the American Legion, and any organization operating solely for charitable purposes from which no individual, partnership, or corporation derives any monetary gain, may hold an unarmed combat show without the payment of the license fee prescribed by KRS 229.025 . Any post of the American Legion or other organization holding shows under this section shall be subject to KRS 229.031 .
  3. No show authorized by subsection (1) or (2) of this section may be conducted without a permit to hold the specific match and accompanying program of events at a specified location on a specified date.

HISTORY: Enact. Acts 1964, ch. 170, § 13; 1992, ch. 286, § 1, effective July 14, 1992; 2005, ch. 11, § 9, effective June 20, 2005; 2008, ch. 91, § 6, effective July 15, 2008; 2017 ch. 70, § 8, effective June 29, 2017.

Opinions of Attorney General.

The only document which the commission is authorized to issue regarding amateur boxing or wrestling matches or exhibitions is a permit to hold the event, but before issuing a permit to hold a match or exhibition sanctioned by the A.A.U. the commission should first receive a copy of the sanction. OAG 77-253 .

The commission cannot govern or control amateur bouts which are sanctioned by the A.A.U., for the commission’s only authority is to issue permits to hold matches and exhibitions. OAG 77-253 .

Because it is not the duty of the commission to regulate amateur boxing and wrestling, it is not the responsibility of the commission to license or select the officials. OAG 79-55 .

229.065. Licenses required for wrestling training.

  1. No person shall provide training or instruction for any wrestling show without holding a promoter license granted by the commission.
  2. No person shall train as a wrestler without being licensed by the commission.

HISTORY: 2017 ch. 70, § 5, effective June 29, 2017.

229.070. License fee. [Repealed.]

Compiler’s Notes.

This section (1290a-13) was repealed by Acts 1964, ch. 170, § 26.

229.071. License requirement for shows and exhibitions — Fees — License preference to Kentucky residents. [Repealed]

History. Enact. Acts 1964, ch. 170, § 7; 1982, ch. 233, § 2, effective July 15, 1982; 1990, ch. 184, § 1, effective March 30, 1990; 1992, ch. 286, § 2, effective July 14, 1992; 2005, ch. 11, § 8, effective June 20, 2005; 2008, ch. 91, § 7, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 7; 1982, ch. 233, § 2, effective July 15, 1982; 1990, ch. 184, § 1, effective March 30, 1990; 1992, ch. 286, § 2, effective July 14, 1992; 2005, ch. 11, § 8, effective June 20, 2005; 2008, ch. 91, § 7, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.080. Exemptions from tax or license — Special permit. [Repealed.]

Compiler’s Notes.

This section (1290a-3, 1290a-13: amend. Acts 1944, ch. 127; 1946, ch. 79) was repealed by Acts 1964, ch. 170, § 26.

229.081. License and eligibility requirements for participants in show. [Repealed]

History. Enact. Acts 1964, ch. 170, § 8; 1990, ch. 184, § 2, effective March 30, 1990; 1992, ch. 286, § 3, effective July 14, 1992; 2000, ch. 106, § 2, effective July 14, 2000; 2005, ch. 11, § 11, effective June 20, 2005; 2008, ch. 91, § 8, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 8; 1990, ch. 184, § 2, effective March 30, 1990; 1992, ch. 286, § 3, effective July 14, 1992; 2000, ch. 106, § 2, effective July 14, 2000; 2005, ch. 11, § 11, effective June 20, 2005; 2008, ch. 91, § 8, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.090. Bond to be filed before license granted. [Repealed.]

Compiler’s Notes.

This section (1290a-9) was repealed by Acts 1964, ch. 170, § 26.

229.091. Licensees subject to regulation — Written application. [Repealed]

History. Enact. Acts 1964, ch. 170, § 9; 1992, ch. 286, § 4, effective July 14, 1992; 2005, ch. 11, § 12, effective June 20, 2005; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 9; 1992, ch. 286, § 4, effective July 14, 1992; 2005, ch. 11, § 12, effective June 20, 2005) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.100. Report and tax on match or exhibition. [Repealed.]

Compiler’s Notes.

This section (1290a-9) was repealed by Acts 1964, ch. 170, § 26.

229.101. Length of bouts, exhibitions, and rounds. [Repealed]

History. Enact. Acts 1964, ch. 170, § 17; 2000, ch. 106, § 3, effective July 14, 2000; 2008, ch. 91, § 9, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 17; 2000, ch. 106, § 3, effective July 14, 2000; 2008, ch. 91, § 9, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.110. Commissioner may fix tax if report is unsatisfactory or not made. [Repealed.]

Compiler’s Notes.

This section (1290a-10) was repealed by Acts 1964, ch. 170, § 26.

229.111. Health examination of contestants.

Contestants in a boxing, kickboxing, muay thai, or mixed martial arts show shall be examined by a reputable licensed physician appointed by the commission, and shall meet the health and fitness requirements as established in administrative regulations promulgated by the commission before participating in a boxing, kickboxing, muay thai, or mixed martial arts show.

HISTORY: Enact. Acts 1964, ch. 170, § 18; 1992, ch. 286, § 5, effective July 14, 1992; 2000, ch. 106, § 4, effective July 14, 2000; 2005, ch. 11, § 20, effective June 20, 2005; 2008, ch. 91, § 10, effective July 15, 2008; 2017 ch. 70, § 9, effective June 29, 2017.

229.120. Length of match or exhibition. [Repealed.]

Compiler’s Notes.

This section (1290a-5) was repealed by Acts 1964, ch. 170, § 26.

229.121. Age limit for contestants. [Repealed]

History. Enact. Acts 1964, ch. 170, § 21; 2008, ch. 91, § 11, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 21; 2008, ch. 91,§ 11, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.130. Examination of contestants required. [Repealed.]

Compiler’s Notes.

This section (1290a-5) was repealed by Acts 1964, ch. 170, § 26.

229.131. Decisions rendered, how — Administrative regulations.

Decisions may be rendered in any unarmed combat show permitted by this chapter in the discretion of the commission and by any method it prescribes through the promulgation of administrative regulations.

HISTORY: Enact. Acts 1964, ch. 170, § 19; 2005, ch. 11, § 21, effective June 20, 2005; 2008, ch. 91, § 12, effective July 15, 2008; 2017 ch. 70, § 10, effective June 29, 2017.

229.140. Decisions rendered as commissioner prescribes. [Repealed.]

Compiler’s Notes.

This section (1290a-6) was repealed by Acts 1964, ch. 170, § 26.

229.141. Structures used for unarmed combat shows, requirements.

All structures or parts of structures used, or intended to be used, for an unarmed combat show shall conform to any building codes, safety codes, and local laws that apply to the structure or the location and use of the structure.

History. Enact. Acts 1964, ch. 170, § 20; 2008, ch. 91, § 13, effective July 15, 2008; 2017 ch. 70, § 11, effective June 29, 2017.

229.150. Structures used for matches or exhibitions — Regulations. [Repealed.]

Compiler’s Notes.

This section (1290a-4) was repealed by Acts 1964, ch. 170, § 26.

229.151. Kentucky Boxing and Wrestling Commission — Membership — Officers — Compensation — Expenses — Quorum.

  1. The Kentucky Boxing and Wrestling Commission is hereby created and established as an agency of state government charged with the responsibility for regulatory oversight and the establishment of sound policies and procedures governing the conduct of unarmed combat within the Commonwealth of Kentucky. The commission shall be organized within the Public Protection Cabinet.
  2. The commission shall consist of the following five (5) members:
    1. The secretary of the Public Protection Cabinet, or the secretary’s designee, who shall serve as an ex officio, voting member; and
    2. Four (4) members who shall be appointed by the Governor as follows:
      1. One (1) member shall be a physician licensed to practice medicine in Kentucky;
      2. One (1) member shall be an attorney licensed to practice law in Kentucky;
      3. One (1) member shall have experience in sports marketing or promotion; and
      4. At least one (1) member shall have no financial interest in the business or industry regulated.
  3. The Governor shall designate one (1) member to serve as the commission’s chairperson. The Governor shall further designate a second member to serve as vice chairperson with authority to act in the absence of the chairperson or if the office of the chairperson is vacant.
  4. A majority of the members of the commission shall constitute a quorum for the transaction of business.
  5. The appointed members of the commission shall serve for a term of three (3) years. Any member appointed to fill a vacancy occurring other than by expiration of a term shall be appointed for the remainder of the unexpired term.
  6. Members of the commission shall receive one hundred dollars ($100) per day for each meeting attended and shall be reimbursed for all expenses paid or incurred in the discharge of official business.

HISTORY: Enact. Acts 1964, ch. 170, § 2; 1978, ch. 154, § 22, effective June 17, 1978; 1992, ch. 286, § 6, effective July 14, 1992; 1998, ch. 194, § 6, effective July 15, 1998; 2005, ch. 11, § 3, effective June 20, 2005; 2008, ch. 91, § 14, effective July 15, 2008; 2010, ch. 24, § 441, effective July 15, 2010; 2017 ch. 70, § 12, effective June 29, 2017.

Opinions of Attorney General.

Upon review of this section and KRS 64.640 , as well as of KRS 18A.350 , 18A.355 , and 18A.360 (now repealed), the incumbents of the Athletic Commission are included under the language of KRS 18A.350 which defines employee as any officer or employee of the executive branch of government; therefore, it would appear that the members of the Athletic Commission are eligible for annual increments, although it is entirely possible that this was not the intent of the legislature. OAG 90-25 .

229.155. Executive director — Duties — Interagency agreements.

  1. To carry out the functions relating to the commission’s duties and responsibilities and to afford the full experience and resources of the Public Protection Cabinet, the secretary of the Public Protection Cabinet may appoint an executive director pursuant to KRS 12.050 . The secretary of the Public Protection Cabinet or the secretary’s designee shall act as executive director in the absence of the executive director.
  2. The executive director shall employ sufficient regulatory staff for the commission that shall be responsible for the day-to-day operations of the commission, including but not limited to the following:
    1. Complying with administrative regulations;
    2. Issuing licenses and permits;
    3. Establishing appropriate organizational structures;
    4. Carrying out policy and program directives of the commission; and
    5. Performing all other duties and responsibilities as assigned.
  3. With approval of the commission, the executive director and regulatory staff may enter into agreements with any state agency or political subdivision of the state, any postsecondary education institution, or any other person or entity to enlist assistance to implement the duties and responsibilities of the commission.

HISTORY: Enact. Acts 2005, ch. 11, § 5, effective June 20, 2005; 2008, ch. 91, § 16, effective July 15, 2008; 2010, ch. 24, § 442, effective July 15, 2010; 2017 ch. 70, § 13, effective June 29, 2017.

229.160. Sham matches or exhibitions prohibited. [Repealed.]

Compiler’s Notes.

This section (1290a-8) was repealed by Acts 1964, ch. 170, § 26.

229.161. Other officers, employees, and inspectors. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 3; 1992, ch. 286, § 7, effective July 14, 1992; 2005, ch. 11, § 4, effective June 20, 2005) was repealed by Acts 2008, ch. 91, § 24, effective July 15, 2008.

229.170. Contestant under eighteen not to participate in professional match. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1948, ch. 28, § 1) was repealed by Acts 1964, ch. 170, § 26.

229.171. Commission to control and manage unarmed combat shows — Administrative regulations — Development of regulatory programs and procedures.

  1. The commission is vested with the sole direction, management, control, and jurisdiction over all unarmed combat shows to be conducted, held, or given within the Commonwealth. The commission is hereby given the sole control, authority, and jurisdiction over all licenses to:
    1. Hold unarmed combat shows for prizes or purses or where an admission fee or donation is received, or a ticket or invitation is required to attend; and
    2. Participate in the unarmed combat shows.
  2. The commission may promulgate administrative regulations it considers necessary or expedient for the performance of its functions provided in this chapter. In recognition of the fact that more supervision is desirable in this area, it is the intention of the General Assembly to confer upon the commission wider discretion than that ordinarily possessed by administrative agencies.
  3. The commission shall be responsible for the following:
    1. Developing programs and procedures that will aggressively fulfill its oversight and regulatory role, with full accountability and internal controls to protect athletes in the ring;
    2. Adhering to the best regulatory practices and due process procedures to protect the regulated community and the interests of the Commonwealth, and ensuring that all education and training requirements for hearing officers and members serving as hearing officers under KRS Chapter 13B are met;
    3. Developing the Commonwealth’s goals of providing the professional staff necessary to ensure that events are effectively regulated, while allowing commission members to provide the policy oversight necessary to protect the integrity of the regulatory program; and
    4. Recommending changes to statutory and regulatory authorities to best protect athletes, while Promoting Kentucky as a world-class market for major events.

HISTORY: Enact. Acts 1964, ch. 170, § 5; 1992, ch. 286, § 8, effective July 14, 1992; 2005, ch. 11, § 6, effective June 20, 2005; 2008, ch. 91, § 17, effective July 15, 2008; 2017 ch. 70, § 14, effective June 29, 2017.

229.180. Authority’s rules and administrative regulations. [Repealed]

History. Enact. Acts 1964, ch. 170, § 6; 2005, ch. 11, § 7, effective June 20, 2005; 2008, ch. 91, § 18, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 6; 2005, ch. 11, § 7, effective June 20, 2005; 2008, ch. 91, § 18, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.190. Appeals — Hearings.

  1. Any action of the commission, including any action of a commission employee, taken under KRS 229.200 may be appealed, and upon appeal an administrative hearing shall be conducted in accordance with KRS Chapter 13B. The commission may provide for hearing officers or impanel not less than three (3) of its members to conduct hearings.
  2. Any party aggrieved by a final order of the commission may appeal to Franklin Circuit Court in accordance with KRS Chapter 13B.

HISTORY: Enact. Acts 1964, ch. 170, § 4; 1976 (Ex. Sess.), ch. 14, § 212, effective January 2, 1978; 1992, ch. 286, § 9, effective July 14, 1992; 1996, ch. 318, § 148, effective July 15, 1996; 2005, ch. 11, § 15, effective June 20, 2005; 2017 ch. 70, § 15, effective June 29, 2017.

229.200. Suspension, reprimand, revocation, probation, or refusal of licenses — Grounds — Penalties for violation of chapter.

  1. The commission may suspend, reprimand, revoke, probate, or refuse to renew or issue a license if it has reason to believe the licensee or applicant has:
    1. Violated any provision of this chapter;
    2. Violated any administrative regulation promulgated by the commission pursuant to this chapter;
    3. Been found guilty of, entered a plea of guilty or no contest to, or entered an Alford plea to a crime, other than a traffic violation, that is detrimental to the interests of unarmed combat or to the public interest, convenience, or necessity in any jurisdiction;
    4. Been found liable in a civil action for any claim that involves fraud or dishonesty in any jurisdiction if the person is a licensed promoter, manager, referee, or judge;
    5. Violated a law related to boxing, kickboxing, sparring, mixed martial arts, muay thai, or wrestling in any jurisdiction;
    6. Placed a bet or wager on any bout or match in which the person participates or works;
    7. Served as, or consorted or associated with any person who is, a bookmaker or illegal gambler;
    8. Participated in an unlicensed event;
    9. Declared bankruptcy if the person is a licensed promoter, manager, referee, or judge; or
    10. An injury or health condition that makes it unsafe for the person to participate.
  2. If the commission has reason to believe that a person has committed a violation of this chapter or administrative regulations promulgated thereunder, the commission may impose one (1) or more of the following penalties:
    1. Issue a cease and desist order;
    2. Declare a contestant ineligible to compete or disqualify the contestant;
    3. Eject the person from the premises at which the show or exhibition is taking place;
    4. Issue a fine not to exceed five thousand dollars ($5,000);
    5. Suspend, reprimand, revoke, probate, or refuse to renew or issue a license; or
    6. Refer the person for criminal prosecution.
  3. The commission may delegate to its employees the ability to take any of the actions authorized by subsection (2) of this section, subject to the appellate rights granted in KRS 229.190 .
  4. For any act that would justify the suspension of a license, other than a medical suspension, the commission may declare the person who committed the act ineligible to receive a license for a period not to exceed one (1) year.

History. Enact. Acts 1964, ch. 170, § 11; 1992, ch. 286, § 10, effective July 14, 1992; 2005, ch. 11, § 13, effective June 20, 2005; 2008, ch. 91, § 19, effective July 15, 2008; 2017 ch. 158, § 40, effective June 29, 2017; repealed and reenacted by 2017 ch. 70, § 16, effective June 29, 2017.

Legislative Research Commission Notes.

(6/29/2017). This statute was repealed and reenacted by 2017 Ky. Acts ch. 70, sec. 16 and amended by 2017 Ky. Acts ch. 158, sec. 40 Pursuant to KRS 446.260 , the repeal and reenactment in 2017 Ky. Acts ch. 70, sec. 16 prevails.

Opinions of Attorney General.

The Kentucky athletic commission has authority over the ticket sellers, doormen and other personnel at closed circuit television shows as it does in the case of other live matches and exhibitions. OAG 80-447 .

229.210. Medical suspension — Other ineligibility duration. [Repealed]

HISTORY: Enact. Acts 1964, ch. 170, § 12; 2005, ch. 11, § 14, effective June 20, 2005; 2008, ch. 91, § 20, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler's Notes.

This section (Enact. Acts 1964, ch. 170, § 12; 2005, ch. 11, § 14, effective June 20, 2005; 2008, ch. 91, § 20, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.220. Appeal to full commission — Procedure — Judicial review. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 23; 1976, ch. 62, § 107; 1992, ch. 286, § 11, effective July 14, 1992) was repealed by Acts 1996, ch. 318, § 357, effective July 15, 1996.

229.230. Final decisions of full commission not suspended pending appeal. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 24; 1992, ch. 286, § 12, effective July 14, 1992) was repealed by Acts 1996, ch. 318, § 357, effective July 15, 1996.

229.240. Peace officers to prevent unauthorized shows.

All peace officers, who are informed or who have reason to believe that a show in violation of this chapter or administrative regulations promulgated in accordance with this chapter is taking place or will be taking place within their jurisdiction, shall suppress and prevent it. For this purpose any peace officer may enter any place where a show is being or will be held or where there is training or preparation for a wrestling show and may arrest without a warrant any person who does not submit satisfactory proof that he or she has the license or permit required by this chapter.

HISTORY: Enact. Acts 1964, ch. 170, § 22; 2000, ch. 106, § 5, effective July 14, 2000; 2008, ch. 91, § 21, effective July 15, 2008; 2017 ch. 70, § 17, effective June 29, 2017.

229.250. Disbursal of fees and charges collected by Kentucky Boxing and Wrestling Commission.

  1. The fees and charges collected by the Kentucky Boxing and Wrestling Commission shall be paid into the State Treasury and credited to a separate revolving or trust and agency fund account established for the purpose of administrating this chapter. The cost and expenses of administering this chapter, including compensation to members of the commission, its officers, and employees shall be paid out of the State Treasury upon warrants of the secretary of the Finance and Administration Cabinet according to law. The total expense of administering this chapter shall not exceed the fees and other charges collected by the commission and available in the revolving or trust and agency fund account.
  2. All fees and charges collected by the Kentucky Boxing and Wrestling Commission shall be available for the administration of this chapter, and for no other purpose.

HISTORY: Enact. Acts 1984, ch. 404, § 31, effective July 13, 1984; 2005, ch. 11, § 19, effective June 20, 2005; 2008, ch. 91, § 22, effective July 15, 2008; 2017 ch. 70, § 18, effective June 29, 2017.

229.260. Kentucky Boxing and Wrestling Commission Medical Advisory Panel — Membership — Compensation — Duties — Conduct of meetings.

  1. The Kentucky Boxing and Wrestling Commission Medical Advisory Panel is hereby created and established as an agency of state government.
    1. The panel shall consist of three (3) to five (5) physicians appointed by the secretary of the Public Protection Cabinet. (2) (a) The panel shall consist of three (3) to five (5) physicians appointed by the secretary of the Public Protection Cabinet.
    2. At least one (1) of the panel members shall be a neurologist.
    3. In addition to the physicians appointed to the panel under this subsection, the licensed physician appointed to the commission by the Governor under KRS 229.151 shall be an ex officio voting member of the panel and shall serve as the panel’s chairperson.
  2. Each physician shall be:
    1. Licensed to practice medicine in Kentucky; and
    2. Knowledgeable regarding one (1) or more medical fields related to the kinds and types of injuries or conditions likely to be the result of unarmed combat.
  3. Each member of the panel shall receive one hundred dollars ($100) per day for each meeting of the panel and for each day that the member is engaged in carrying out the duties of the panel.
  4. The panel shall advise the Kentucky Boxing and Wrestling Commission regarding:
    1. Health and safety issues and policy relating to the sports regulated by the commission;
    2. The fitness of an individual referred to the panel for review to compete in the regulated sports; and
    3. The length of a medical suspension of an injured person.
  5. Meetings of the Kentucky Boxing and Wrestling Medical Advisory Panel held for the purpose of discussing an individual’s fitness to obtain a license or to compete shall be exempt from the Kentucky Open Meetings Law established in KRS Chapter 61.
  6. Meetings of the Kentucky Boxing and Wrestling Medical Advisory Panel for the purpose of discussing individual fitness to obtain a license or to compete may be held in the form of written, video, telephonic, or electronic communications between members. The members shall not be compensated for these meetings.

History. Enact. Acts 2008, ch. 91, § 15, effective July 15, 2008; 2017 ch. 70, § 19, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 12; 2005, ch. 11, § 14, effective June 20, 2005; 2008, ch. 91, § 20, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

229.990. Penalties. [Repealed.]

Compiler’s Notes.

This section (1284 to 1290, 1290a-8, 1290a-10, 1290a-11: amend. Acts 1948, ch. 28, § 2) was repealed by Acts 1964, ch. 170, § 26.

229.991. Penalties. [Repealed]

History. Enact. Acts 1964, ch. 170, § 25; 2000, ch. 106, § 6, effective July 14, 2000; 2005, ch. 11, § 22, effective June 20, 2005; 2008, ch. 91, § 23, effective July 15, 2008; repealed by 2017 ch. 70, § 23, effective June 29, 2017.

Compiler’s Notes.

This section (Enact. Acts 1964, ch. 170, § 25; 2000, ch. 106, § 6, effective July 14, 2000; 2005, ch. 11, § 22, effective June 20, 2005; 2008, ch. 91, § 23, effective July 15, 2008) was repealed by Acts 2017, ch. 70, § 23, effective June 29, 2017.

CHAPTER 230 Horse Racing and Showing

General Provisions

230.010. Definitions — Application. [Repealed.]

Compiler’s Notes.

This section (3990a-5: amend. Acts 1950, ch. 173, § 1; 1960, ch. 184, § 17) was repealed by Acts 1974, ch. 346, § 17, effective June 21, 1974.

230.020. State Racing Commission — Biennial report. [Repealed.]

Compiler’s Notes.

This section (3990a-2, 4618-145, 1956, ch. 76, § 1) was repealed by Acts 1960, ch. 184, § 17.

230.030. Secretary for commission. [Repealed.]

Compiler’s Notes.

This section (3990a-2, 4618-145, Acts 1948, ch. 199, § 1) was repealed by Acts 1960, ch. 184, § 17.

230.040. Regulation and licensing of races. [Repealed.]

Compiler’s Notes.

This section (3990a-3) was repealed by Acts 1960, ch. 184, § 17.

230.050. Unlicensed races prohibited — May be enjoined. [Repealed.]

Compiler’s Notes.

This section (3990a-3, 3990a-4) was repealed by Acts 1960, ch. 184, § 17.

230.060. Time when races may be held — Interest in prizes. [Repealed.]

Compiler’s Notes.

This section (3990a-1) was repealed by Acts 1960, ch. 184, § 17.

230.070. Entering horse under assumed name or out of proper class prohibited.

No person shall knowingly enter or cause to be entered for competition, or compete, for a prize or stake, or drive any horse, under an assumed name, or out of its proper class, where the prize or stake is to be decided by a contest of speed.

History. 1326.

NOTES TO DECISIONS

Cited:

United States v. Bowers, 739 F.2d 1050, 1984 U.S. App. LEXIS 23324 (6th Cir. 1984), cert. denied, Oakes v. United States, 469 U.S. 861, 105 S. Ct. 195, 83 L. Ed. 2d 128, 1984 U.S. LEXIS 3659, 53 U.S.L.W. 3239 (1984).

Research References and Practice Aids

Cross-References.

Tampering with or rigging sports contest, Penal Code, KRS 518.060 .

Kentucky Law Journal.

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

230.080. Change of horse’s name — Determination of class — Misrepresentation of performance.

  1. No person shall change the name of any horse for the purpose of entry for competition in any contest of speed, after the horse has once contested for a prize or stake, except as provided by the code of rules of the association under which the contest is advertised to be conducted.
  2. The class to which a horse belongs, for the purpose of an entry in any contest of speed, shall be determined by the public performance of that horse in any former contest or trial of speed, as provided by the rules of the association under which the proposed contest is advertised to be conducted.
  3. No person shall knowingly misrepresent or fraudulently conceal the public performance in any former contest, or trial of speed, of any horse that he proposes to enter in a contest, whether the horse is actually entered or not.

History. 1327.

NOTES TO DECISIONS

Cited:

United States v. Bowers, 739 F.2d 1050, 1984 U.S. App. LEXIS 23324 (6th Cir. 1984), cert. denied, Oakes v. United States, 469 U.S. 861, 105 S. Ct. 195, 83 L. Ed. 2d 128, 1984 U.S. LEXIS 3659, 53 U.S.L.W. 3239 (1984).

Research References and Practice Aids

Cross-References.

Tampering with or rigging sports contest, Penal Code, KRS 518.060 .

230.090. Official timer not to announce false time.

No official timer at any horse race shall announce willfully and falsely a slower or faster time than that actually accomplished by a horse.

History. 1328: amend. Acts 1992, ch. 109, § 10, effective March 30, 1992.

Research References and Practice Aids

Cross-References.

Tampering with or rigging sports contest, Penal Code, KRS 518.060 .

230.100. Kentucky trotting commission — Organization — Biennial report. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 2) was repealed by Acts 1974, ch. 346, § 17. For present law see KRS 230.210 to 230.360 .

230.110. Secretary of trotting commission. [Renumbered.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 3; 1974, ch. 346, § 5) was recompiled as KRS 230.650 and was repealed by Acts 1992, ch. 109, § 40.

230.120. Regulation and licensing of trotting races. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 4) was repealed by Acts 1974, ch. 346, § 17.

230.130. Unlicensed races prohibited — May be enjoined. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 5) was repealed by Acts 1974, ch. 346, § 17.

230.140. Time when meetings may be held — Interest in prizes. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 6) was repealed by Acts 1974, ch. 346, § 17.

230.150. Entering horse under assumed name or out of proper class prohibited. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 7) was repealed by Acts 1966, ch. 255, § 283.

230.160. Change of horse’s name — Determination of class — Misrepresentation of performance. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 8) was repealed by Acts 1966, ch. 255, § 283.

230.170. Official timer not to announce false time. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 9) was repealed by Acts 1966, ch. 255, § 283.

230.210. Definitions for chapter.

As used in this chapter, unless the context requires otherwise:

  1. “Advance deposit account wagering” means a form of pari-mutuel wagering in which an individual may establish an account with a person or entity licensed by the racing commission, and may place a pari-mutuel wager through that account that is permitted by law;
  2. “Advance deposit account wagering licensee” means a person or entity licensed by the racing commission to conduct advance deposit account wagering and accept deposits and wagers, issue a receipt or other confirmation to the account holder evidencing such deposits and wagers, and transfer credits and debits to and from accounts;
  3. “Appaloosa race” or “Appaloosa racing” means that form of horse racing in which each horse participating in the race is registered with the Appaloosa Horse Club of Moscow, Idaho, and is mounted by a jockey;
  4. “Arabian” means a horse that is registered with the Arabian Horse Registry of Denver, Colorado;
  5. “Association” means any person licensed by the Kentucky Horse Racing Commission under KRS 230.300 and engaged in the conduct of a recognized horse race meeting;
  6. “Harness race” or “harness racing” means trotting and pacing races of the standardbred horses;
  7. “Horse race meeting” means horse racing run at an association licensed and regulated by the Kentucky Horse Racing Commission, and may include Thoroughbred, harness, Appaloosa, Arabian, paint, and quarter horse racing;
  8. “Host track” means the track conducting racing and offering its racing for intertrack wagering, or, in the case of interstate wagering, means the Kentucky track conducting racing and offering simulcasts of races conducted in other states or foreign countries;
  9. “Intertrack wagering” means pari-mutuel wagering on simulcast horse races from a host track by patrons at a receiving track;
  10. “Interstate wagering” means pari-mutuel wagering on simulcast horse races from a track located in another state or foreign country by patrons at a receiving track or simulcast facility;
  11. “Kentucky quarter horse, paint horse, Appaloosa, and Arabian purse fund” means a purse fund established to receive funds as specified in KRS 230.3771 for purse programs established in KRS 230.446 to supplement purses for quarter horse, paint horse, Appaloosa, and Arabian horse races. The purse program shall be administered by the Kentucky Horse Racing Commission;
  12. “Kentucky resident” means:
    1. An individual domiciled within this state;
    2. An individual who maintains a place of abode in this state and spends, in the aggregate, more than one hundred eighty-three (183) days of the calendar year in this state; or
    3. An individual who lists a Kentucky address as his or her principal place of residence when applying for an account to participate in advance deposit account wagering;
  13. “Paint horse” means a horse registered with the American Paint Horse Association of Fort Worth, Texas;
  14. “Principal” means any of the following individuals associated with a partnership, trust, association, limited liability company, or corporation that is licensed to conduct a horse race meeting or an applicant for a license to conduct a horse race meeting:
    1. The chairman and all members of the board of directors of a corporation;
    2. All partners of a partnership and all participating members of a limited liability company;
    3. All trustees and trust beneficiaries of an association;
    4. The president or chief executive officer and all other officers, managers, and employees who have policy-making or fiduciary responsibility within the organization;
    5. All stockholders or other individuals who own, hold, or control, either directly or indirectly, five percent (5%) or more of stock or financial interest in the collective organization; and
    6. Any other employee, agent, guardian, personal representative, or lender or holder of indebtedness who has the power to exercise a significant influence over the applicant’s or licensee’s operation;
  15. “Quarter horse” means a horse that is registered with the American Quarter Horse Association of Amarillo, Texas;
  16. “Racing commission” means the Kentucky Horse Racing Commission;
  17. “Receiving track” means a track where simulcasts are displayed for wagering purposes. A track that submits an application for intertrack wagering shall meet all the regulatory criteria for granting an association license of the same breed as the host track, and shall have a heated and air-conditioned facility that meets all state and local life safety code requirements and seats a number of patrons at least equal to the average daily attendance for intertrack wagering on the requested breed in the county in which the track is located during the immediately preceding calendar year;
  18. “Simulcast facility” means any facility approved pursuant to the provisions of KRS 230.380 to simulcast racing and conduct pari-mutuel wagering;
  19. “Simulcasting” means the telecast of live audio and visual signals of horse races for the purpose of pari-mutuel wagering;
  20. “Telephone account wagering” means a form of pari-mutuel wagering where an individual may deposit money in an account at a track and may place a wager by direct telephone call or by communication through other electronic media owned by the holder of the account to the track;
  21. “Thoroughbred race” or “Thoroughbred racing” means a form of horse racing in which each horse participating in the race is a Thoroughbred, (i.e., meeting the requirements of and registered with The Jockey Club of New York) and is mounted by a jockey; and
  22. “Track” means any association duly licensed by the Kentucky Horse Racing Commission to conduct horse racing. “Track” shall include any facility or real property that is owned, leased, or purchased by a track within the same geographic area within a sixty (60) mile radius of a track but not contiguous to track premises, upon racing commission approval, and provided the noncontiguous property is not within a sixty (60) mile radius of another licensed track premise where live racing is conducted and not within a forty (40) mile radius of a simulcast facility, unless any affected track or simulcast facility agrees in writing to permit a noncontiguous facility within the protected geographic area.

History. Enact. Acts 1960, ch. 184, § 1, effective June 16, 1960; 1974, ch. 403, § 1; 1986, ch. 214, § 2, effective July 15, 1986; 1992, ch. 109, § 11, effective March 30, 1992; 1998, ch. 237, § 3, effective July 15, 1998; 2003, ch. 104, § 1, effective June 24, 2003; 2004, ch. 191, § 2, effective July 13, 2004; 2009, ch. 80, § 1, effective June 25, 2009; 2010, ch. 24, § 443, effective July 15, 2010; repealed and reenact., Acts 2011, ch. 70, § 1, effective June 8, 2011; 2012, ch. 21, § 1, effective July 12, 2012; 2015 ch. 47, § 1, effective June 24, 2015.

Legislative Research Commission Note.

(7/15/2010). In subsection (2) of this statute (renumbered as subsection (15) in 2011 Ky. Acts ch. 70, sec. 1), “Kentucky Horse Racing Authority” has been changed in codification to “Kentucky Horse Racing Commission” to correct an oversight in 2010 Ky. Acts ch. 24, sec. 443, which confirmed Executive Order 2009-535, including the renaming of the authority. This action was taken pursuant to 2010 Ky. Acts ch. 24, sec. 1938.

NOTES TO DECISIONS

  1. Police Power.
  2. Validity of Regulatory Laws.
1. Police Power.

The state is authorized under its police power to regulate horse racing and to create a state racing commission to effectuate that end. Douglas Park Jockey Club v. Grainger, 146 F. 414, 1906 U.S. App. LEXIS 4858 (6th Cir. 1906), rev’d, 148 F. 513, 1906 U.S. App. LEXIS 4338 (6th Cir. 1906), rev’d on other grounds, Grainger v. Douglas Park Jockey Club, 148 F. 513, 1906 U.S. App. LEXIS 4338 (6th Cir. 1906) (decided under prior law).

2. Validity of Regulatory Laws.

The law regulating racing of running horses was valid notwithstanding alleged motive for enactment was to prevent competition between newly formed association and older associations; or its enforcement might result in pecuniary loss to persons alleging its invalidity; or it exempted trotting and fair association race tracks, it being recognized that evils of betting are not so prevalent at fair association races operating only about one week during the year, and it not appearing that evils in running race tracks are materially existent at trotting race tracks. Grainger v. Douglas Park Jockey Club, 148 F. 513, 1906 U.S. App. LEXIS 4338 (6th Cir. Ky. 1906 ) (decided under prior law).

Cited:

Smith v. Kentucky State Racing Com., 697 S.W.2d 153, 1985 Ky. App. LEXIS 591 (Ky. Ct. App. 1985).

Opinions of Attorney General.

Reports to the Kentucky State Racing Commission by its investigator for the purpose of carrying out the racing law are not covered by the Fair Credit Reporting Act, 15 USCS, §§ 1681-1681t. OAG 71-500 .

Subdivision (7) of this section defines a thoroughbred race meeting in terms which exclude steeplechase events and since the commission lacks authority to grant a license to conduct a race except at a thoroughbred race meeting, KRS 230.300(1), steeplechase events are outside the jurisdiction of the commission; thus, since under the terms of KRS 230.361 no pari-mutuel wagering may be conducted except by persons licensed to conduct thoroughbred race meetings, the commission has no authority to license pari-mutuel wagering at a steeplechase event. OAG 82-98 (Opinion prior to 1986 amendment).

The Kentucky Racing Commission must exercise its discretion in deciding whether to award a license to an organization that does not plan to conduct live racing during the year for which the license is sought. If the Commission does not believe that granting such a license would be in the best interests of the state, the community, and the industry, it should not grant the license. OAG 92-134 .

Because services provided by a corporation which enables individuals to place bets on horse races from their home telephones or personal computers comply with the requirements of KRS 230.379 and subsection (17) (now (19)) of this section, they do not contravene the prohibition on “messenger betting” contained in KRS 528.110 . OAG 04-005 .

Research References and Practice Aids

Cross-References.

Bribery of participants in sports events prohibited, KRS 518.040 , 518.050 .

Kentucky Law Journal.

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

Notes, Chernick v. Fasig-Tipton: A Caveat to the Horse Trader, 74 Ky. L.J. 889 (1985-86).

230.215. Legislative purpose for chapter — Racing Commission’s power to exclude undesirables.

  1. It is the policy of the Commonwealth of Kentucky, in furtherance of its responsibility to foster and to encourage legitimate occupations and industries in the Commonwealth and to promote and to conserve the public health, safety, and welfare, and it is hereby declared the intent of the Commonwealth to foster and to encourage the horse breeding industry within the Commonwealth and to encourage the improvement of the breeds of horses. Further, it is the policy and intent of the Commonwealth to foster and to encourage the business of legitimate horse racing with pari-mutuel wagering thereon in the Commonwealth on the highest possible plane. Further, it hereby is declared the policy and intent of the Commonwealth that all racing not licensed under this chapter is a public nuisance and may be enjoined as such. Further, it is hereby declared the policy and intent of the Commonwealth that the conduct of horse racing, or the participation in any way in horse racing, or the entrance to or presence where horse racing is conducted, is a privilege and not a personal right; and that this privilege may be granted or denied by the racing commission or its duly approved representatives acting in its behalf.
  2. It is hereby declared the purpose and intent of this chapter in the interest of the public health, safety, and welfare, to vest in the racing commission forceful control of horse racing in the Commonwealth with plenary power to promulgate administrative regulations prescribing conditions under which all legitimate horse racing and wagering thereon is conducted in the Commonwealth so as to encourage the improvement of the breeds of horses in the Commonwealth, to regulate and maintain horse racing at horse race meetings in the Commonwealth of the highest quality and free of any corrupt, incompetent, dishonest, or unprincipled horse racing practices, and to regulate and maintain horse racing at race meetings in the Commonwealth so as to dissipate any cloud of association with the undesirable and maintain the appearance as well as the fact of complete honesty and integrity of horse racing in the Commonwealth. In addition to the general powers and duties vested in the racing commission by this chapter, it is the intent hereby to vest in the racing commission the power to eject or exclude from association grounds or any part thereof any person, licensed or unlicensed, whose conduct or reputation is such that his presence on association grounds may, in the opinion of the racing commission, reflect on the honesty and integrity of horse racing or interfere with the orderly conduct of horse racing.

History. Enact. Acts 1970, ch. 156, § 1; 1974, ch. 164, § 1; 1974, ch. 403, § 2; 1986, ch. 296, § 3, effective July 15, 1986; 1992, ch. 109, § 12, effective March 30, 1992; 2004, ch. 191, § 44, effective July 13, 2004; 2010, ch. 24, § 444, effective July 15, 2010.

NOTES TO DECISIONS

  1. In General.
  2. Regulations.
1. In General.

There is no direct conflict between KRS 372.010 , KRS 230.215 and KRS 230.380 ; the statutes in question address different issues and there is no basis to find that the Legislature implicitly repealed KRS 372.010 simply because off-track betting is legal. Kentucky Off-Track Betting v. McBurney, 993 S.W.2d 946, 1999 Ky. LEXIS 69 ( Ky. 1999 ).

Kentucky Horse Racing Authority (KHRA) did not act contrary to statutory law in denying an applicant’s request for a horse racing license as KRS 230.215(1), KRS 230.300(6), and KRS 230.280(2) did not require the KHRA to issue a license to an applicant even though the applicant might have complied with all of the statutory requirements; rather, the statutes merely authorized the KHRA to issue a license. S. Bluegrass Racing,LLC. v. Ky. Horse Racing Auth., 136 S.W.3d 49, 2004 Ky. App. LEXIS 141 (Ky. Ct. App. 2004).

2. Regulations.

Jockeys were entitled to a preliminary injunction enjoining the Kentucky Racing Commission and the Kentucky Horse Racing Authority from enforcing 810 KAR 1:009, § 14(3), which was promulgated pursuant to KRS 230.215(2) and KRS 230.260 , because the jockeys established a likelihood of success on their claim that the regulation, which prohibited the jockeys from wearing advertising and promotional logos on their racing attire, violated U.S. Const. amend. 1; the Commission and Authority failed to establish that the regulation had a direct or material nexus to their stated objectives of assessing foul play and avoiding collusion. Albarado v. Ky. Racing Comm'n, 496 F. Supp. 2d 795, 2004 U.S. Dist. LEXIS 30566 (W.D. Ky. 2004 ).

Kentucky Horse Racing Commission has the statutory authority to license and regulate the operation of pari-mutuel wagering on historic horse racing. Because the regulations for the licensing of historical horse race wagering are consistent with the statutory mandate for “pari-mutuel wagering” on “legitimate horse racing,” the Commission did not exceed the scope of its authority, and the regulations are therefore not invalid. Appalachian Racing, LLC v. Family Trust Found. of Ky., Inc., 423 S.W.3d 726, 2014 Ky. LEXIS 88 ( Ky. 2014 ).

Circuit court erred in overturning penalties the Kentucky Horse Racing Commission imposed upon a trainer and an owner because the 1.0 ng/ml threshold concentration for methocarbamol was not unconstitutional nor arbitrary since limiting the amount of a drug in a horse’s system that was not fully understood was a rational reason for the low threshold; by limiting the amount of medications and drugs given to horses, the Commission was protecting their health and ensuring the integrity of racing. Ky. Horse Racing Comm'n v. Motion, 592 S.W.3d 739, 2019 Ky. App. LEXIS 49 (Ky. Ct. App. 2019).

Since there is a rational basis for the methocarbamol threshold to be low, and the Kentucky Horse Racing Commission is vested with expansive powers, it is axiomatic that this threshold does not exceed the scope of its enabling act; thus, the circuit court erred in holding that the Commission acted outside the scope of its powers. Ky. Horse Racing Comm'n v. Motion, 592 S.W.3d 739, 2019 Ky. App. LEXIS 49 (Ky. Ct. App. 2019).

Cited:

Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977); White v. Turfway Park Racing Asso., 718 F. Supp. 615, 1989 U.S. Dist. LEXIS 8512 (E.D. Ky. 1989 ).

Opinions of Attorney General.

Although the racing commission has broad regulatory power over all aspects of the conduct of racing, there is no basis in the statutes for any power in the racing commission to regulate the various activities of a racing association that have nothing to do with the staging of the racing, the quality or integrity of the racing and wagering programs or the improvement of the breed of thoroughbred horses; therefore the commission has no jurisdiction over such things as newspaper and other media advertising, printing of programs, magazine features, food and drink concessions, television, radio or motion picture rights, labor conditions (including hours, wages, pensions, etc.), leases of maintenance vehicles or passenger cars, physical plant improvements, and the like, many of which are under the jurisdiction of other regulatory agencies, such as the department of labor, the Alcoholic Beverage Control Board, the State Fire Marshal, the planning and zoning commission, etc. OAG 78-731 (Opinion withdrawn to the extent of conflict with OAG 86-63 ).

In over 70 years of regulated racing in Kentucky, it has never been considered that such things as television, radio and/or motion picture rights, labor relations, catering and concessions, or leasing of nonracing facilities are racing activities within the regulatory power of the racing commission; therefore, it must be considered that they are not. OAG 78-731 (Opinion withdrawn to the extent of conflict with OAG 86-63 ).

It is highly significant that the stated objects and purposes, and the stated regulatory powers of the commission, are confined to conduct of “racing,” the objects and purposes being to see that “racing” is conducted on a high plane, that “racing” is conducted so as to encourage improvement of the breed, and that persons participating in or attending “racing” be honest and of integrity. OAG 78-731 (Opinion withdrawn to the extent of conflict with OAG 86-63 ).

Since the state allowed a track to rely on its consistent scheduling of race days for 59 years, and based on the fact that both the track and the state had expended funds in reliance on that consistency, the state cannot without strong justification, deprive the track of its property interest in those dates. Thus, if the commission were to contemplate the issuance of conflicting dates, then such track would be entitled to full procedural due process. OAG 82-436 .

Before the state can issue conflicting racing dates, affected licensees are entitled to a full due process hearing, and any decision by the commission to grant conflicting dates must be based upon established facts showing that conflicting dates would not violate the provisions of subsection (1) of this section and KRS 230.300(2). Failing such determination, any request for conflicting dates must be denied. OAG 82-436 .

Instant Racing is not permissible under Kentucky’s current pari-mutuel wagering statutes because it does not constitute pari-mutuel wagering as defined by Kentucky’s Administrative Regulations. OAG 10-001 .

The Kentucky Horse Racing Commission has the power to make reasonable warrantless administrative searches and seizures of any property of its licensees on association grounds, with the exception of private dwelling areas, for any items that may be relevant to its investigations. OAG 10-009 , 2010 Ky. AG LEXIS 214.

Research References and Practice Aids

Kentucky Law Journal.

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

Notes, Chernick v. Fasig-Tipton: A Caveat to the Horse Trader, 74 Ky. L.J. 889 (1985-86).

Protecting Security Interests in Equine Collateral Under the Clear Title Provisions of the Food Security Act of 1985, 78 Ky. L.J. 447 (1989-90).

Thoroughbred Certificate Law: A Proposal, 78 Ky. L.J. 659 (1989-90).

Soukup, Rolling the Dice on Precedent and Wagering on Legislation: The Law of Gambling Debt Enforceability in Kentucky after Kentucky Off-Track Betting, Inc. v. McBurney and KRS § 372.005 ., 95 Ky. L.J. 529 (2006/2007).

Waxman, Auctioning Off Integrity: The Legitimacy of Seller-Rebate Agreements in the Thoroughbred Auction Context, 96 Ky. L.J. 139 (2007).

230.217. Breeders’ award fund — Breeders’ Award Committee. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1992, ch. 109, § 3, effective March 30, 1992; 1994, ch. 387, § 29, effective July 15, 1994) was repealed by Acts 1998, ch. 237, § 9, effective July 15, 1998.

230.218. Backside improvement fund — Purpose — Jurisdiction of Racing Commission.

  1. There is established, under the jurisdiction of the Kentucky Horse Racing Commission, the backside improvement fund. This revolving fund shall consist of money allocated to the fund under the provisions of KRS 230.3615 , together with any other money which may be contributed to or allocated to the fund from all other sources. Money to the credit of the backside improvement fund at the end of each fiscal year shall not lapse but shall be carried forward in the fund to the succeeding fiscal year. The Kentucky Horse Racing Commission may invest any and all funds received by the fund and interest earned by the investment of said funds in types of investments appropriate to the investment needs of the fund after having considered the financial return on authorized investment alternatives, the financial safety of investment alternatives and the impact of any authorized investments on the state’s economy. The racing commission shall review the status of the fund investments quarterly and report its findings to the Finance and Administration Cabinet and the Legislative Research Commission.
  2. The purpose of the fund shall be to improve the backside of Thoroughbred racing associations averaging one million two hundred thousand dollars ($1,200,000) or less pari-mutuel handle per racing day on live racing. The Kentucky Horse Racing Commission shall use the backside improvement fund to promote, enhance, and improve the conditions of the backside of eligible racing associations. Conditions considered shall include but not be limited to the living and working quarters of backside employees.
  3. The Kentucky Horse Racing Commission shall promulgate administrative regulations as may be necessary to carry out the provisions and purposes of this section.

History. Enact. Acts 1980, ch. 343, § 2, effective July 15, 1980; 1982, ch. 433, § 1, effective July 15, 1982; 1992, ch. 109, § 13, effective March 30, 1992; 1994, ch. 486, § 32, effective July 15, 1994; 2004, ch. 191, § 41, effective July 13, 2004; 2010, ch. 24, § 445, effective July 15, 2010.

230.220. Kentucky State Racing Commission — Membership — Terms — Compensation — Office — Open meetings — Quorum. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1960, ch. 184, § 2; 1970, ch. 156, § 2; 1976, ch. 206, § 31; 1978, ch. 154, § 23, effective June 17, 1978; 1982, ch. 100, § 1, effective March 23, 1982; 1982, ch. 379, § 7, effective April 9, 1982; 1986, ch. 214, § 3, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992. For present law see KRS 230.225 .

230.225. Kentucky Horse Racing Commission — Membership — Terms — Compensation — Office — Meetings — Administrative regulations.

  1. The Kentucky Horse Racing Commission is created as an independent agency of state government to regulate the conduct of horse racing and pari-mutuel wagering on horse racing, and related activities within the Commonwealth of Kentucky. The racing commission shall be attached to the Public Protection Cabinet for administrative purposes.
    1. The Kentucky Horse Racing Commission shall consist of fifteen (15) members appointed by the Governor, with the secretaries of the Public Protection Cabinet, Tourism, Arts and Heritage Cabinet, and Economic Development Cabinet, or their designees, serving as ex officio nonvoting members. (2) (a) The Kentucky Horse Racing Commission shall consist of fifteen (15) members appointed by the Governor, with the secretaries of the Public Protection Cabinet, Tourism, Arts and Heritage Cabinet, and Economic Development Cabinet, or their designees, serving as ex officio nonvoting members.
    2. Two (2) members shall have no financial interest in the business or industry regulated.
    3. The members of the racing commission shall be appointed to serve for a term of four (4) years, except the initial terms shall be staggered as follows:
      1. Five (5) members shall serve for a term of four (4) years;
      2. Five (5) members shall serve for a term of three (3) years; and
      3. Five (5) members shall serve for a term of two (2) years.
    4. Any member appointed to fill a vacancy occurring other than by expiration of a term shall be appointed for the remainder of the unexpired term.
    5. In making appointments, the Governor may consider members broadly representative of the Thoroughbred industry and members broadly representative of the standardbred, quarter horse, Appaloosa, or Arabian industries. The Governor may also consider recommendations from the Kentucky Thoroughbred Owners and Breeders, Inc., the Kentucky Division of the Horsemen’s Benevolent and Protective Association, the Kentucky Harness Horsemen’s Association, and other interested organizations.
    1. Members of the racing commission shall receive no compensation for serving on the commission, but shall be reimbursed for travel expenses for attending meetings and performing other official functions consistent with the reimbursement policy for state employees established by KRS 45.101 and administrative regulations promulgated thereunder. (3) (a) Members of the racing commission shall receive no compensation for serving on the commission, but shall be reimbursed for travel expenses for attending meetings and performing other official functions consistent with the reimbursement policy for state employees established by KRS 45.101 and administrative regulations promulgated thereunder.
    2. The Governor shall appoint one (1) member of the racing commission to serve as its chairperson who shall serve at the pleasure of the Governor.
    3. The Governor shall further designate a second member to serve as vice chair with authority to act in the absence of the chairperson.
    4. Before entering upon the discharge of their duties, all members of the Kentucky Horse Racing Commission shall take the constitutional oath of office.
    1. The racing commission shall establish and maintain a general office for the transaction of its business and may in its discretion establish a branch office or offices. (4) (a) The racing commission shall establish and maintain a general office for the transaction of its business and may in its discretion establish a branch office or offices.
    2. The racing commission may hold meetings at any of its offices or at any other place when the convenience of the racing commission requires.
    3. All meetings of the racing commission shall be open and public, and all persons shall be permitted to attend meetings.
    4. A majority of the voting members of the racing commission shall constitute a quorum for the transaction of its business or exercise of any of its powers.
  2. Except as otherwise provided, the racing commission shall be responsible for the following:
    1. Developing and implementing programs designed to ensure the safety and well-being of horses, jockeys, and drivers;
    2. Developing programs and procedures that will aggressively fulfill its oversight and regulatory role on such matters as medical practices and integrity issues;
    3. Recommending tax incentives and implementing incentive programs to ensure the strength and growth of the equine industry;
    4. Designing and implementing programs that strengthen the ties between Kentucky’s horse industry and the state’s universities, with the goal of significantly increasing the economic impact of the horse industry on Kentucky’s economy, improving research for the purpose of promoting the enhanced health and welfare of the horse, and other related industry issues; and
    5. Developing and supporting programs which ensure that Kentucky remains in the forefront of equine research.

HISTORY: Enact. Acts 1992, ch. 109, § 1, effective March 30, 1992; 2004, ch. 191, § 3, effective July 13, 2004; 2009, ch. 16, § 58, effective June 25, 2009; 2010, ch. 24, § 446, effective July 15, 2010; 2017 ch. 54, § 1, effective June 29, 2017; 2018 ch. 9, § 1, effective July 14, 2018.

NOTES TO DECISIONS

  1. Constitutionality.
  2. Immunity.
1. Constitutionality.

The power to appoint members of boards and agencies within the executive department of government is an essentially executive power which cannot be exercised by any member of the legislative department; accordingly, the provisions in former law by which the Speaker of the House of Representatives and the President Pro Tem of the Senate were authorized to make appointments to the Harness Racing Commission were an invalid unconstitutional incursion by the General Assembly, or in this case, its designees, into the separation of powers doctrine. Legislative Research Com. by Prather v. Brown, 664 S.W.2d 907, 1984 Ky. LEXIS 300 ( Ky. 1984 ) (decided under prior law).

2. Immunity.

The person so designated as the Chairman of the Kentucky State Racing Commission was of comparable rank to the executive head of a department of state government for the purpose of absolute immunity for defamation stemming from statements sufficiently connected to the discharge of official duties. Compton v. Romans, 869 S.W.2d 24, 1993 Ky. LEXIS 170 ( Ky. 1993 ) (decided under prior law).

Where in the course of investigating a potential rules violation, which threatened the integrity of thoroughbred racing in Kentucky, the Chairman of State Racing Commission issued an explanatory press release, and where it was later determined that the press release contained materially false information, the press release was sufficiently connected to the discharge of the chairman’s official duties to justify absolute immunity from a defamation action stemming from the false information contained in the press release. Compton v. Romans, 869 S.W.2d 24, 1993 Ky. LEXIS 170 ( Ky. 1993 ) (decided under prior law).

Cited:

Hughes v. Ky. Horse Racing Auth., 179 S.W.3d 865, 2004 Ky. App. LEXIS 106 (Ky. Ct. App. 2004).

NOTES TO UNPUBLISHED DECISIONS

  1. Termination.
  2. Administrative Functions.
1. Termination.

Unpublished decision: Public Protection Cabinet's decision to terminate the appointment of the Kentucky Horse Racing Commission's (KHRC) Chief State Steward because the Cabinet had statutory authority to perform administrative functions for the KHRC, which included personnel decisions; the Steward's appointment was null and void from the beginning, and thus, the circuit court could not order his employment to be reinstated. Commonwealth v. Veitch, 2016 Ky. App. Unpub. LEXIS 881 (Ky. Ct. App. July 15, 2016), review denied, ordered not published, 2017 Ky. LEXIS 34 (Ky. Feb. 9, 2017).

2. Administrative Functions.

Unpublished decision: Kentucky Horse Racing Commission (KHRC) is an administrative body that falls underneath the Public Protection Cabinet and is neither the Personnel Board nor is it headed by a constitutionally elected officer, and thus, none of the Ky. Rev. Stat. Ann. § 12.020 exclusions applies to it; reading Ky Rev. Stat. Ann. §§ 12.020 , 12.252 , and 230.225 in paria materia to harmonize and give each effect, the Cabinet may perform administrative functions for the KHRC, and they may include personnel decisions. Commonwealth v. Veitch, 2016 Ky. App. Unpub. LEXIS 881 (Ky. Ct. App. July 15, 2016), review denied, ordered not published, 2017 Ky. LEXIS 34 (Ky. Feb. 9, 2017).

Opinions of Attorney General.

The General Assembly enacted the grandfather clause in order to allow the new commission to go about its work uninterrupted by complaints that a predecessor commission should or should not have issued a license to a particular track. OAG 92-134 .

230.230. Personnel — Duties — Compensation.

  1. The Governor shall appoint an executive director who shall serve at the pleasure of the Governor. The Governor shall set the qualifications and salary for the position of executive director pursuant to KRS 64.640 . The executive director shall possess the powers and perform the duties imposed upon him by the Governor, and other duties as the racing commission may direct or prescribe. The executive director shall:
    1. Be responsible for the day-to-day operations of the racing commission;
    2. Set up appropriate organizational structures and personnel policies for approval by the racing commission;
    3. Appoint all staff;
    4. Prepare annual reports of the racing commission’s program of work;
    5. Carry out policy and program directives of the racing commission;
    6. Prepare and submit to the racing commission for its approval the proposed biennial budget of the racing commission; and
    7. Perform all other duties and responsibilities assigned by law.
  2. The executive director of the racing commission may employ, dismiss, or take other personnel action concerning an assistant executive director, stenographers, clerks, and other personnel as he or she may deem necessary to efficiently operate the racing commission’s general office or any branch thereof. The executive director of the racing commission shall fix the compensation of all employees. Any member of the racing commission or any employee referred to in this section shall be reimbursed for expenses paid or incurred in the discharge of official business when approved by the executive director of the racing commission. The compensation of the employees referred to in this section, except for the executive director, together with reimbursement of expenses incurred by employees, a member of the racing commission, or the executive director, shall be paid from racing commission funds.

The executive director shall cause to be kept a full record of all proceedings before the racing commission and shall preserve at its general office all books, maps, records, documents, licenses, and other papers of the racing commission. All records of the racing commission shall be open to inspection by the public during regular office hours. With approval of the racing commission, the executive director may enter into agreements with any state agency or political subdivision of the state, any postsecondary education institution, or any other person or entity to enlist assistance to implement the duties and responsibilities of the racing commission.

History. Enact. Acts 1960, ch. 184, § 3; 1984, ch. 240, § 3, effective July 13, 1984; 1992, ch. 109, § 14, effective March 30, 1992; 2000, ch. 447, § 5, effective July 14, 2000; 2004, ch. 191, § 4, effective July 13, 2004; 2010, ch. 24, § 447, effective July 15, 2010.

NOTES TO UNPUBLISHED DECISIONS

1. Termination.

Unpublished decision: Public Protection Cabinet's decision to terminate the appointment of the Kentucky Horse Racing Commission's (KHRC) Chief State Steward because the Cabinet had statutory authority to perform administrative functions for the KHRC, which included personnel decisions; the Steward's appointment was null and void from the beginning, and thus, the circuit court could not order his employment to be reinstated. Commonwealth v. Veitch, 2016 Ky. App. Unpub. LEXIS 881 (Ky. Ct. App. July 15, 2016), review denied, ordered not published, 2017 Ky. LEXIS 34 (Ky. Feb. 9, 2017).

230.240. Additional employees for regulation of race meetings — Administrative regulations as to duties, qualifications, and training — Compensation.

  1. In addition to the employees referred to in KRS 230.230 , the executive director of the racing commission may employ, dismiss, or take other personnel action and determine the reasonable compensation of stewards, supervisors of mutuels, veterinarians, inspectors, accountants, security officers, and other employees deemed by the executive director to be essential at or in connection with any horse race meeting and in the best interest of racing. Three (3) Thoroughbred stewards shall be employed at each Thoroughbred race meeting. Two (2) stewards shall be employed and compensated by the Commonwealth, subject to reimbursement by the racing associations pursuant to subsection (3) of this section. One (1) Thoroughbred steward shall be employed and compensated by the racing association hosting the race meeting. Three (3) standardbred judges shall be employed at each standardbred race meeting. Two (2) standardbred judges shall be employed and compensated by the Commonwealth, subject to reimbursement by the racing associations pursuant to subsection (3) of this section. One (1) standardbred judge shall be employed and compensated by the racing association hosting the race meeting. The security officers shall be peace officers and conservators of the peace on racing commission property and at all race tracks and grounds in the Commonwealth and shall possess all the common law and statutory powers and privileges now available or hereafter made available to sheriffs, constables, and police officers for the purpose of enforcing all laws relating directly or indirectly to the conduct of horse racing and pari-mutuel wagering thereon, or the enforcement of laws relating to the protection of persons or property on premises licensed by the racing commission. The racing commission, for the purpose of maintaining integrity and honesty in racing, shall prescribe by administrative regulation the powers and duties of the persons employed under this section and qualifications necessary to competently perform their duties. In addition, the racing commission shall be responsible for seeing that racing officials employed under the provisions of this section have adequate training to perform their duties in a competent manner.
  2. The racing commission shall promulgate administrative regulations for effectively preventing the use of improper devices, and restricting or prohibiting the use and administration of drugs or stimulants or other improper acts to horses prior to the horse participating in a race. The racing commission may acquire, operate, and maintain, or contract for the maintenance and operation of, a testing laboratory and related facilities, for the purpose of saliva, urine, or other tests, and to purchase supplies and equipment for and in connection with the laboratory or testing processes. The expense of the laboratory or other testing processes, whether furnished by contract or otherwise, together with all supplies and equipment used in connection therewith, shall be paid by the various associations licensed under this chapter in the manner and in proportions as the racing commission shall by administrative regulation provide.
  3. The compensation of the employees referred to in this section shall be paid by the licensee conducting the horse race meeting in connection with which the employees are utilized or employed. The salary of the executive director to the racing commission shall be prorated among and paid by the various associations licensed under this chapter in the manner as the racing commission shall, by administrative regulation, provide. Except for the Thoroughbred steward and the standardbred judge authorized in subsection (1) of this section, the employees referred to in this section shall be deemed employees of the racing commission, and are paid by the licensee or association for convenience only.
  4. Each person, as a condition precedent to the privilege of receiving a license under this chapter to conduct a horse race meeting, shall be deemed to have agreed to pay expenses and compensation as provided in this section and as may be actually and reasonably incurred.

History. Enact. Acts 1960, ch. 184, § 4; 1982, ch. 100, § 2, effective July 15, 1982; 1992, ch. 109, § 15, effective March 30, 1992; 2000, ch. 447, § 6, effective July 14, 2000; 2004, ch. 191, § 5, effective July 13, 2004; 2009, ch. 80, § 2, effective June 25, 2009; 2010, ch. 24, § 448, effective July 15, 2010.

NOTES TO DECISIONS

  1. Drugs.
  2. — Testing.
  3. — Hearing.
  4. Denial of Purse Participation.
  5. Employment of Jockeys.
  6. Funding.
1. Drugs.

The Racing Commission Rule 14.06, which prohibits the presence of a medication which is a derivative of phenylbutazone in a horse’s urine sample is a legitimate exercise of the commission’s administrative statutory powers. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

2. — Testing.

The testing for drugs of all winners of races without testing other horses is a valid exercise of the commission’s enforcement power and such action is a legitimate classification based on long standing custom and practice in the racing industry. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

3. — Hearing.

The owner is not necessarily entitled to be notified of a steward’s hearing concerning a positive test for prohibited drugs when the trainer is notified, particularly when the owner has actual notice of the hearing and has participated therein as the attorney for the trainer. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

4. Denial of Purse Participation.

The Kentucky State Racing Commission has the power to enact and enforce rules which result in the denial of participation in the purse distribution by the owner of a horse which tests positive for a prohibited medication. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

The commission rule which prohibits purse participation when a banned medication which is a derivative of phenylbutazone is found in the horse’s urine is reasonable. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

5. Employment of Jockeys.

There was no reason to believe from the evidence that the appellees could be considered as the employer of a jockey, where jockeys receive no riding instructions from any track official, where the jockey was paid through the track once a week on a gross basis with no deductions being made for taxes or social security, and where the appellees did not control the arrival or departure of jockeys or pass on their qualifications. Munday v. Churchill Downs, Inc., 600 S.W.2d 487, 1980 Ky. App. LEXIS 329 (Ky. Ct. App. 1980).

6. Funding.

Since the General Assembly did not amend these sections when re-enacted to provide for funding with public moneys, and subsection (4) of this section and subsection (3) of KRS 230.660 (now repealed) provide that as a condition precedent to being licensed to conduct races each applicant must agree to pay the expenses and compensation provided for in the previous subsections, these sections cannot be funded with public moneys. Smith v. Kentucky State Racing Com., 697 S.W.2d 153, 1985 Ky. App. LEXIS 591 (Ky. Ct. App. 1985).

Cited:

Kentucky State Racing Com. v. Fuller, 481 S.W.2d 298, 1972 Ky. LEXIS 250 ( Ky. 1972 ).

Opinions of Attorney General.

The associates or employees of an association veterinarian should not engage in the private practice of veterinary medicine involving thoroughbred racehorses registered to race at any track where the association veterinarian is employed. OAG 77-443 .

The commission’s use of general funds, rather than association fees, to finance the initial expenses of the testing laboratory is not violative of this section. OAG 79-251 .

The provision of subsection (1) (now subsection (2)) of this section relating to the funding of a testing laboratory is directory, not mandatory, which only suggests a method of accomplishing the legislative purpose and does not limit the commission’s exercise of authority to that one method. OAG 79-251 .

Funds from the Equine Drug Research Council may be allocated to the University of Kentucky Drug Testing Laboratory for research purposes. OAG 83-440 .

The Kentucky Horse Racing Commission has the power to make reasonable warrantless administrative searches and seizures of any property of its licensees on association grounds, with the exception of private dwelling areas, for any items that may be relevant to its investigations. OAG 10-009 , 2010 Ky. AG LEXIS 214.

Research References and Practice Aids

Cross-References.

Administrative regulations, KRS Chapter 13A.

Kentucky Law Journal.

Bonnie, Corrupt Horse Racing Practices Act of 1980: A Threat to State Control of Horse Racing, 70 Ky. L.J. 1159 (1981-82).

230.250. Duty of Attorney General.

When requested by the racing commission, the Attorney General of Kentucky, or an assistant Attorney General as he or she may designate, shall, without additional compensation, advise the racing commission and represent it in all legal proceedings.

History. Enact. Acts 1960, ch. 184, § 5, effective June 16, 1960; 2004, ch. 191, § 6, effective July 13, 2004; 2010, ch. 24, § 449, effective July 15, 2010.

230.260. Authority of Kentucky Horse Racing Commission.

The racing commission, in the interest of breeding or the improvement of breeds of horses, shall have all powers necessary and proper to carry out fully and effectually the provisions of this chapter including but without limitation the following:

  1. The racing commission is vested with jurisdiction and supervision over all horse race meetings in this Commonwealth and over all associations and all persons on association grounds and may eject or exclude therefrom or any part thereof, any person, licensed or unlicensed, whose conduct or reputation is such that his presence on association grounds may, in the opinion of the racing commission, reflect on the honesty and integrity of horse racing or interfere with the orderly conduct of horse racing or racing at horse race meetings; provided, however, no persons shall be excluded or ejected from association grounds solely on the ground of race, color, creed, national origin, ancestry, or sex;
  2. The racing commission is vested with jurisdiction over any person or entity that offers advance deposit account wagering to Kentucky residents. Any such person or entity under the jurisdiction of the racing commission shall be licensed by the racing commission, and the racing commission may impose a license fee not to exceed ten thousand dollars ($10,000) annually. The racing commission shall, by administrative regulation promulgated in accordance with KRS Chapter 13A, establish conditions and procedures for the licensing of advance deposit account wagering providers to include but not be limited to:
    1. A fee schedule for applications for licensure; and
    2. Reporting requirements to include quarterly reporting on:
      1. The amount wagered on Kentucky races; and
      2. The total amount wagered by Kentuckians;
  3. The racing commission is vested with jurisdiction over any totalisator company that provides totalisator services to a racing association located in the Commonwealth. A totalisator company under the jurisdiction of the racing commission shall be licensed by the racing commission, regardless of whether a totalisator company is located in the Commonwealth or operates from a location or locations outside of the Commonwealth, and the racing commission may impose a license fee on a totalisator company. The racing commission shall, by administrative regulation promulgated in accordance with KRS Chapter 13A, establish conditions and procedures for the licensing of totalisator companies, and a fee schedule for applications for licensure;
  4. The racing commission is vested with jurisdiction over any manufacturer, wholesaler, distributor, or vendor of any equine drug, medication, therapeutic substance, or metabolic derivative which is purchased by or delivered to a licensee or other person participating in Kentucky horse racing by means of the Internet, mail delivery, in-person delivery, or other means;
  5. The racing commission is vested with jurisdiction over any horse training center or facility in the Commonwealth that records official timed workouts for publication;
  6. The racing commission may require an applicant for a license under subsections (2) and (3) of this section to submit to a background check of the applicant, or of any individual or organization associated with the applicant. An applicant shall be required to reimburse the racing commission for the cost of any background check conducted;
  7. The racing commission, its representatives and employees, may visit, investigate and have free access to the office, track, facilities, or other places of business of any licensee, or any person owning a horse or performing services regulated by this chapter on a horse registered to participate in a breeders incentive fund under the jurisdiction of the racing commission;
  8. The racing commission shall have full authority to prescribe necessary and reasonable administrative regulations and conditions under which horse racing at a horse race meeting shall be conducted in this state and to fix and regulate the minimum amount of purses, stakes, or awards to be offered for the conduct of any horse race meeting;
  9. Applications for licenses shall be made in the form, in the manner, and contain information as the racing commission may, by administrative regulation, require. Fees for all licenses issued under KRS 230.310 shall be prescribed by and paid to the racing commission;
  10. The racing commission shall establish by administrative regulation minimum fees for jockeys to be effective in the absence of a contract between an employing owner or trainer and a jockey. The minimum fees shall be no less than those of July 1, 1985;
  11. The racing commission may refuse to issue or renew a license, revoke or suspend a license, impose probationary conditions on a license, issue a written reprimand or admonishment, impose fines or penalties, deny purse money, require the forfeiture of purse money, or any combination thereof with regard to a licensee or other person participating in Kentucky horse racing for violation of any federal or state statute, regulation, or steward’s or racing commission’s directive, ruling, or order to preserve the integrity of Kentucky horse racing or to protect the racing public. The racing commission shall, by administrative regulation, establish the criteria for taking the actions described in this subsection;
  12. The racing commission may issue subpoenas for the attendance of witnesses before it and for the production of documents, records, papers, books, supplies, devices, equipment, and all other instrumentalities related to pari-mutuel horse racing within the Commonwealth. The racing commission may administer oaths to witnesses and require witnesses to testify under oath whenever, in the judgment of the racing commission, it is necessary to do so for the effectual discharge of its duties;
  13. The racing commission shall have authority to compel any racing association licensed under this chapter to file with the racing commission at the end of its fiscal year, a balance sheet, showing assets and liabilities, and an earnings statement, together with a list of its stockholders or other persons holding a beneficial interest in the association; and
  14. The racing commission shall promulgate administrative regulations establishing safety standards for jockeys, which shall include the use of rib protection equipment. Rib protection equipment shall not be included in a jockey’s weight.

History. Enact. Acts 1960, ch. 184, § 6; 1970, ch. 156, § 3; 1974, ch. 403, § 3; 1982, ch. 100, § 3, effective July 15, 1982; 1986, ch. 214, § 4, effective July 15, 1986; 1988, ch. 376, § 6, effective July 15, 1988; 1992, ch. 109, § 16, effective March 30, 1992; 2004, ch. 191, § 7, effective July 13, 2004; 2009, ch. 80, § 3, effective June 25, 2009; 2010, ch. 24, § 450, effective July 15, 2010; 2011, ch. 70, § 2, effective June 8, 2011.

NOTES TO DECISIONS

  1. Constitutionality.
  2. Powers of Commission.
  3. Common Law Right of Exclusion.
  4. Drugs.
  5. — Testing.
  6. Denial of Purse Participation.
  7. Finding Supported by Substantial Evidence.
  8. Regulations.
1. Constitutionality.

The law regulating racing of running horses was valid notwithstanding considerations to guide commission in fixing racing dates were not set forth, where law contemplated that commission should act along reasonable lines and in honest exercise of discretion regardless of whether appeal to courts was provided as to fixing of dates. Grainger v. Douglas Park Jockey Club, 148 F. 513, 1906 U.S. App. LEXIS 4338 (6th Cir. Ky. 1906 ) (decided under prior law).

2. Powers of Commission.

In creating the Kentucky Racing Commission, the Kentucky Legislature authorized the commission to make rules and regulations governing horse racing in Kentucky, as well as persons and associations having to do with the conduct of racing meets. Bobinchuck v. Levitch, 380 S.W.2d 233, 1964 Ky. LEXIS 292 ( Ky. 1964 ).

Since there is a rational basis for the methocarbamol threshold to be low, and the Kentucky Horse Racing Commission is vested with expansive powers, it is axiomatic that this threshold does not exceed the scope of its enabling act; thus, the circuit court erred in holding that the Commission acted outside the scope of its powers. Ky. Horse Racing Comm'n v. Motion, 592 S.W.3d 739, 2019 Ky. App. LEXIS 49 (Ky. Ct. App. 2019).

3. Common Law Right of Exclusion.

The common-law right of racetrack proprietors to exclude a patron for any reason other than race, color, creed or national origin, was not abrogated by the enactment of KRS 230.215 and this section since nothing in the language of either section expressly manifests an intention to so abrogate, and an intention to repeal by implication is not favored; moreover, these two sections can be viewed as actually intending to expand the common-law right of exclusion by vesting an additional entity, the Kentucky State Racing Commission, with authority to exercise the right. James v. Churchill Downs, Inc., 620 S.W.2d 323, 1981 Ky. App. LEXIS 279 (Ky. Ct. App. 1981).

4. Drugs.

The Racing Commission Rule 14.06, which prohibits the presence of a medication which is a derivative of phenylbutazone in a horse’s urine sample is a legitimate exercise of the commission’s administrative statutory powers. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

5. — Testing.

The testing of all winners of races without testing other horses is a valid exercise of the commission’s enforcement power and such action is a legitimate classification based on long standing custom and practice in the racing industry. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

6. Denial of Purse Participation.

The Kentucky State Racing Commission has the power to enact and enforce rules which result in the denial of participation in the purse distribution by the owner of a horse which tests positive for a prohibited medication. Jacobs v. Kentucky State Racing Com., 562 S.W.2d 641, 1977 Ky. App. LEXIS 895 (Ky. Ct. App. 1977).

7. Finding Supported by Substantial Evidence.

Kentucky Horse Racing Authority (KHRA) disqualifed a harness horse as the winner of two races due to the presence of flunixin in its urine. The Circuit Court properly affirmed this decision because (1) the KHRA’s finding was not arbitrary and capricious, as it was supported by substantial evidence; (2) it was unnecessary to establish a perfect chain of custody and the evidence showed there was no tampering with the urine samples; (3) the “trainer responsibility rule” (811 KAR 1:090) was constitutional; (4) there was no double jeopardy violation, since the action was civil in nature; and (5) 811 KAR 1:090, § 4(1), which outlawed flunixin for harness horses but not thoroughbreds, did not violate equal protection principles. Allen v. Ky. Horse Racing Auth., 136 S.W.3d 54, 2004 Ky. App. LEXIS 138 (Ky. Ct. App. 2004).

8. Regulations.

Jockeys were entitled to a preliminary injunction enjoining the Kentucky Racing Commission and the Kentucky Horse Racing Authority (now the Kentucky Horse Racing Commission) from enforcing 810 KAR 1:009, § 14(3), which was promulgated pursuant to KRS 230.215(2) and KRS 230.260 , because the jockeys established a likelihood of success on their claim that the regulation, which prohibited the jockeys from wearing advertising and promotional logos on their racing attire, violated U.S. Const. amend. 1; the Commission and Authority failed to establish that the regulation had a direct or material nexus to their stated objectives of assessing foul play and avoiding collusion. Albarado v. Ky. Racing Comm'n, 496 F. Supp. 2d 795, 2004 U.S. Dist. LEXIS 30566 (W.D. Ky. 2004 ).

Trial court properly found that 810 Ky. Admin. Regs. 1:015, § 1, art. 6, did not violate the Dormant Commerce Clause where the regulation of horse racing was a traditional governmental function in Kentucky that had been exercised to protect the public’s health, safety and welfare, it applied equally to in-state and out-of-state horse owners, and the impact on interstate commerce was speculative and incidental. Jamgotchian v. Ky. Horse Racing Comm'n, 2014 Ky. App. Unpub. LEXIS 851 (Ky. Ct. App. Feb. 7, 2014), aff'd, 488 S.W.3d 594, 2016 Ky. LEXIS 171 ( Ky. 2016 ).

Cited:

Kentucky State Racing Com. v. Fuller, 481 S.W.2d 298, 1972 Ky. LEXIS 250 ( Ky. 1972 ); Smith v. Kentucky State Racing Com., 697 S.W.2d 153, 1985 Ky. App. LEXIS 591 (Ky. Ct. App. 1985); White v. Turfway Park Racing Asso., 718 F. Supp. 615, 1989 U.S. Dist. LEXIS 8512 (E.D. Ky. 1989 ).

Opinions of Attorney General.

Fees received pursuant to this section need not be deposited into the state treasury, as the commission is not a budget unit within the meaning of KRS 41.070 . OAG 72-494 .

Under a regulation promulgated by the racing commission pari-mutuel wagering may be conducted only by a licensed racing association holding a race, and only on that association’s “licensed premises” or “within the enclosure” where the race is being held; accordingly, a “teletrack” system, which consists of opening licensed racetracks for the purpose of wagering on televised races being conducted at another track, is prohibited, since no association may conduct wagering on any race held by another association. OAG 82-4 .

The Kentucky Horse Racing Commission has the power to make reasonable warrantless administrative searches and seizures of any property of its licensees on association grounds, with the exception of private dwelling areas, for any items that may be relevant to its investigations. OAG 10-009 , 2010 Ky. AG LEXIS 214.

Research References and Practice Aids

Kentucky Law Journal.

Bonnie, Corrupt Horse Racing Practices Act of 1980: A Threat to State Control of Horse Racing, 70 Ky. L.J. 1159 (1981-82).

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

230.265. Kentucky Equine Drug Research Council.

    1. There is hereby created a panel, to be known as the Kentucky Equine Drug Research Council, to advise the racing commission on the conduct of equine drug research and testing commissioned by the Kentucky Horse Racing Commission. (1) (a) There is hereby created a panel, to be known as the Kentucky Equine Drug Research Council, to advise the racing commission on the conduct of equine drug research and testing commissioned by the Kentucky Horse Racing Commission.
    2. The council shall consist of nine (9) members appointed by the Governor. It is recommended that the Governor appoint one (1) person from each of the following groups, organizations, or professions:
      1. A veterinarian, selected from a list of three (3) submitted by the Kentucky Association of Equine Veterinarians;
      2. A horseman, selected from a list of three (3) submitted by the Kentucky division of the Horsemen’s Benevolent and Protective Association;
      3. A pharmacologist, selected from a list of three (3) submitted by the University of Kentucky;
      4. A Thoroughbred breeder, selected from a list of three (3) submitted by the Kentucky Thoroughbred Owners and Breeders, Inc.;
      5. A legislator, selected from a list of three (3) submitted by the Legislative Research Commission;
      6. A representative of a licensed racing association, chosen by the Governor;
      7. A member of the harness racing industry, selected from a list of three (3) submitted by the chairman of the Kentucky Horse Racing Commission;
      8. A member selected from a list of three (3) submitted by the Kentucky Harness Horsemen’s Association; and
      9. A member of the Kentucky Horse Racing Commission, selected from a list of three (3) submitted by the chairman of the Kentucky Horse Racing Commission, to serve as chairman.
    3. The council shall meet at the call of the chairman, a majority of the council, or at the request of the racing commission. Members shall serve at the pleasure of their respective sponsoring organizations and shall receive no compensation for serving.
  1. The Kentucky Equine Drug Research Council shall:
    1. Review equine drug research and testing research being conducted at the University of Kentucky, or with state funds;
    2. Review and report to the racing commission on drug research and testing research being conducted elsewhere;
    3. Advise the racing commission and make recommendations for establishing an effective drug regulatory policy for Kentucky racing; and
    4. Report to the General Assembly any needed changes regarding the regulation of drugs in horse racing in the Commonwealth of Kentucky.
    1. The funds received by the racing commission pursuant to KRS 138.510 shall be used for financing: (3) (a) The funds received by the racing commission pursuant to KRS 138.510 shall be used for financing:
      1. Drug research;
      2. Testing research;
      3. Equine medical research;
      4. Equine health research issues; and
      5. Any regulatory or administrative activity of the racing commission that is related to the research and issues described in subparagraphs 1. to 4. of this paragraph. Any expenditure under this subsection shall relate to the racing industry in Kentucky.
    2. In authorizing expenditures, the council and the racing commission shall give funding priority to the activities described in this subsection which will take place, or are proposed to take place, in Kentucky over similar activities taking place outside Kentucky. However, expenditures under this subsection in furtherance of activities taking place outside Kentucky may be approved if the council and the racing commission determine that those expenditures will contribute to improvement in Kentucky’s racing industry and to the development of a useful knowledge base relating to the subjects expressed in paragraph (a)1. to 5. of this subsection.
    3. The money received under this subsection shall be in addition to any funds appropriated to the racing commission for these purposes in the executive budget.

History. Enact. Acts 1982, ch. 100, § 5, effective July 15, 1982; 1984, ch. 240, § 4, effective July 13, 1984; 1992, ch. 109, § 17, effective March 30, 1992; 1998, ch. 216, § 2, effective July 15, 1998; 2004, ch. 191, § 42, effective July 13, 2004; 2009, ch. 80, § 4, effective June 25, 2009; 2009 (1st Ex. Sess.), ch. 1, § 110, effective June 26, 2009; 2010, ch. 24, § 451, effective July 15, 2010; 2014, ch. 106, § 1, effective July 15, 2014.

NOTES TO DECISIONS

1. Purpose.

This section created a Kentucky Equine Drug Research Council to conduct research only, which has no connection with the duties and services provided for in KRS 230.240(2). Smith v. Kentucky State Racing Com., 697 S.W.2d 153, 1985 Ky. App. LEXIS 591 (Ky. Ct. App. 1985).

Research References and Practice Aids

2020-2022 Budget Reference.

See State/Executive Branch Budget, 2020 Ky. Acts ch. 92, Pt. I, K, 8, (3) at 897.See State/Executive Branch Budget, 2020 Ky. Acts ch. 92, Pt. I, L, 8, (2) at 899.

Kentucky Law Journal.

Bonnie, Corrupt Horse Racing Practices Act of 1980: A Threat to State Control of Horse Racing, 70 Ky. L.J. 1159 (1981-82).

230.270. Biennial report to General Assembly required.

The racing commission shall biennially make a full report to the General Assembly of its proceedings for the two-year period ending December 31 preceding the meeting of the General Assembly and may embody in the report such suggestions and recommendations as it deems desirable.

History. Enact. Acts 1960, ch. 184, § 7, effective June 16, 1960; 2004, ch. 191, § 8, effective July 13, 2004; 2010, ch. 24, § 452, effective July 15, 2010.

230.280. Requirement of license for race meeting — Qualifications of applicants.

  1. No person shall hold or conduct any horse race meeting for any stake, purse, or reward within the Commonwealth of Kentucky without securing the required license from the racing commission.
  2. The racing commission shall investigate the qualifications of each applicant for a license to conduct a horse race meeting or the renewal of a license to conduct a horse race meeting. The racing commission may issue or renew a license unless the racing commission determines that:
    1. The track location, traffic flow, facilities for the public, and facilities for racing participants and horses do not meet state code or are otherwise inadequate to protect the public health and safety;
    2. The racing dates and times requested conflict with another race meeting of the same breed of horse;
    3. The financing or proposed financing of the entire operation is not adequate for the operation or is from an unsuitable source;
    4. The applicant or licensee has failed to disclose or has misstated information or otherwise attempted to mislead the racing commission with respect to any material fact contained in the application for the issuance or renewal of the license;
    5. The applicant has knowingly failed to comply with the provision of this chapter or any administrative regulations promulgated thereunder;
    6. Any of the principals of the applicant or licensee is determined to be unsuitable because he or she has:
      1. Been convicted of any crime of moral turpitude, embezzlement, or larceny, or any violation of any law pertaining to illegal gaming or gambling, or any crime that is inimical to the declared policy of the Commonwealth of Kentucky with regard to horse racing and pari-mutuel wagering thereon;
      2. Been convicted in any jurisdiction within ten (10) years preceding initial licensing or license renewal of any crime that is or would be a felony or class A misdemeanor in the Commonwealth of Kentucky;
      3. Been identified in the published reports of any federal or state legislative or executive body as being a member or associate of organized crime, or of being of notorious or unsavory reputation;
      4. Been placed and remains in the custody of any federal, state, or local law enforcement authority;
      5. Had a racing or gaming license revoked in another jurisdiction on grounds that would have been grounds for revoking the license in Kentucky; or
      6. Engaged in any other activities that would pose a threat to the public interest or to the effective regulation of horse racing and wagering in Kentucky, or enhance the dangers of unsuitable, unfair, or illegal practices, methods, and activities in the conduct of racing and wagering or in the operation of the business and financial arrangements incidental thereto; or
    7. The applicant or licensee has had a racing or gaming license denied or revoked in another jurisdiction on grounds that would be grounds for license denial or revocation in Kentucky.

History. Enact. Acts 1960, ch. 184, § 8, effective June 16, 1960; 1992, ch. 109, § 18, effective March 30, 1992; 1998, ch. 237, § 4, effective July 15, 1998; 2004, ch. 191, § 9, effective July 13, 2004; 2010, ch. 24, § 453, effective July 15, 2010.

NOTES TO DECISIONS

1. License.

Kentucky Horse Racing Authority (KHRA) did not act contrary to statutory law in denying an applicant’s request for a horse racing license as KRS 230.215(1), KRS 230.300(6), and KRS 230.280(2) did not require the KHRA to issue a license to an applicant even though the applicant might have complied with all of the statutory requirements; rather, the statutes merely authorized the KHRA to issue a license. S. Bluegrass Racing,LLC. v. Ky. Horse Racing Auth., 136 S.W.3d 49, 2004 Ky. App. LEXIS 141 (Ky. Ct. App. 2004).

Opinions of Attorney General.

Under this section and KRS 230.300 and 230.361 , the State Racing Commission is only authorized to license meetings and by being so licensed to conduct a meeting the licensee has the resulting power to conduct pari-mutuel wagering if it so desires; of course, such wagering must be conducted pursuant to the rules and regulations of the commission, but no separate license is statutorily required or authorized. OAG 82-98 .

230.290. Provisions applicable to all licenses.

All licenses granted under this chapter:

  1. Shall be in writing;
  2. Shall be subject to all administrative regulations and conditions as may from time to time be prescribed by the racing commission;
  3. Shall contain conditions as may be considered necessary or desirable by the racing commission for purposes of this chapter; and
  4. No license shall extend beyond the end of the calendar year for which it was issued, unless the license expires on the last date of the birth month of the licensee, in which case it may expire on that date. The racing commission may renew any license and any renewal shall not be construed to be a waiver or condonement of any violation which occurred prior to renewal and shall not prevent subsequent proceedings against the licensee therefor.

History. Enact. Acts 1960, ch. 184, § 9; 1970, ch. 156, § 4; 1992, ch. 109, § 19, effective March 30, 1992; 2004, ch. 191, § 10, effective July 13, 2004; 2009, ch. 80, § 5, effective June 25, 2009; 2010, ch. 24, § 454, effective July 15, 2010.

230.300. License to conduct race meetings or engage in simulcasting and intertrack wagering as a receiving track — Application — Racing dates.

  1. Any person desiring to conduct horse racing at a horse race meeting within the Commonwealth of Kentucky or to engage in simulcasting and intertrack wagering as a receiving track during any calendar year shall first apply to the racing commission for a license to do so. The application shall be filed at the racing commission’s general office on or before October 1 of the preceding year with respect to applications to conduct live horse race meetings, and with respect to intertrack wagering dates, and on forms prescribed by the racing commission. The application shall include the following information:
    1. The full name and address of the person making application;
    2. The location of the place, track, or enclosure where the applicant proposes to conduct horse racing meetings;
    3. The dates on which the applicant intends to conduct horse racing, which shall be successive days unless authorized by the racing commission;
    4. The proposed hours of each racing day and the number of races to be conducted;
    5. The names and addresses of all principals associated with the applicant or licensee;
    6. The type of organizational structure under which the applicant operates, i.e., partnership, trust, association, limited liability company, or corporation, and the address of the principal place of business of the organization;
    7. Any criminal activities in any jurisdiction for which any individual listed under paragraphs (a) and (e) has been arrested or indicted and the disposition of the charges, and any current or on-going criminal investigation of which any of these individuals is the subject; and
    8. Any other information that the racing commission by administrative regulation deems relevant and necessary to determine the fitness of the applicant to receive a license, including fingerprints of any individual listed under paragraphs (a) and (e), if necessary for proper identification of the individual or a determination of suitability to be associated with a licensed racing association.
  2. An application for license shall be accompanied by the following documents:
    1. For a new license applicant, a financial statement prepared and attested to by a certified public accountant in accordance with generally accepted accounting principles, showing the following:
      1. The net worth of the applicant;
      2. Any debts or financial obligations owed by the applicant and the persons to whom owed; and
      3. The proposed or current financing structure for the operation and the sources of financing.
    2. For a license renewal applicant, an audited financial statement for the prior year;
    3. A copy of the applicant’s federal and state tax return for the previous year. Tax returns submitted in accordance with this provision shall be treated as confidential;
    4. A statement from the Department of Revenue that there are no delinquent taxes or other financial obligations owed by the applicant to the state or any of its agencies or departments;
    5. A statement from the county treasurer of the county in which the applicant conducts or proposes to conduct horse racing meetings that there are no delinquent real or personal property taxes owed by the applicant.
  3. The completed application shall be signed by the applicant or the chief executive officer if the applicant is an organization, sworn under oath that the information is true, accurate, and complete, and the application shall be notarized.
  4. If there is any change in any information submitted in the application process, the applicant or licensee shall notify the racing commission within thirty (30) days of the change.
  5. The racing commission shall as soon as practicable, but in no event later than November 1 in any calendar year, award dates for racing in the Commonwealth during the next year. In awarding dates, the racing commission shall consider and seek to preserve each track’s usual and customary dates, as these dates are requested. If dates other than the usual and customary dates are requested, the applicant shall include a statement in its application setting forth the reasons the requested dates are sought. Dates for the conduct of intertrack wagering shall be awarded as provided in KRS 230.377 . In the event scheduled racing is canceled by reason of flood, fire, inclement weather, or other natural disaster or emergency, the racing commission may award after November 1 additional racing dates to make up for those dates canceled.
  6. The racing commission may issue a license to conduct a horse race meeting to any association making the aforesaid application if the applicant meets the requirements established in KRS 138.530 and other applicable provisions of this chapter, and if the racing commission finds that the proposed conduct of racing by the association would be in the best interest of the public health, safety, and welfare of the immediate community as well as to the Commonwealth.
  7. As a condition precedent to the issuance of a license, the racing commission may require a surety bond or other surety conditioned upon the payment of all taxes due the Commonwealth, together with the payment of operating expenses including purses and awards to owners of horses participating in races.
  8. The racing commission may impose a fee and shall establish, by administrative regulation promulgated in accordance with KRS Chapter 13A, a fee schedule for association license applications.
  9. The racing commission may require an applicant for an association license to submit to a background check of the applicant, or of any principal, individual, or organization associated with the applicant. The racing commission shall not require a background check for any individual who is a principal as defined in KRS 230.210 but owns stock or financial interest in the applicant of less than ten percent (10%). An applicant shall be required to reimburse the racing commission for the cost of any background check conducted.
  10. Every license issued under this chapter shall specify among other things the name of the person to whom issued, the address and location of the track where the horse race meeting to which it relates is to be held or conducted, and the days and hours of the day when the meeting will be permitted; provided, however, that no track that is granted overlapping dates for the conduct of a live race meeting with another horse racing track within a fifty (50) mile radius shall be permitted to have a post time after 5:30 p.m., prevailing time for overlapping days between July 1 and September 15, unless agreed to in writing by the tracks affected.
  11. A license issued under this section is neither transferable nor assignable and shall not permit the conduct of a horse race meeting at any track not specified therein. However, if the track specified becomes unsuitable for racing because of flood, fire, or other catastrophe, the racing commission may, upon application, authorize the meeting, or any remaining portion thereof, to be conducted at any other suitable track available for that purpose, provided that the owner of the track willingly consents to the use thereof.
  12. Horse racing dates may be awarded and licenses issued authorizing horse racing on any day of the year. Horse racing shall be held or conducted only between sunrise and midnight.
  13. The racing commission may at any time require the removal of any official or employee of any association in those instances where it has reason to believe that the official or employee has been guilty of any dishonest practice in connection with horse racing or has failed to comply with any condition of his license or has violated any law or any administrative regulation of this racing commission.
  14. Every horse race not licensed under this section is hereby declared to be a public nuisance and the racing commission may obtain an injunction against the same in the Circuit Court of the county where the unlicensed race is proposed to take place.

History. Enact. Acts 1960, ch. 184, § 10; 1968, ch. 214; 1970, ch. 156, § 5; 1974, ch. 403, § 4; 1978, ch. 438, § 1, effective June 17, 1978; 1984, ch. 240, § 5, effective July 13, 1984; 1986, ch. 296, § 4, effective July 15, 1986; 1990, ch. 159, § 4, effective March 30, 1990; 1992, ch. 109, § 20, effective March 30, 1992; 1998, ch. 237, § 5, effective July 15, 1998; 2004, ch. 191, § 11, effective July 13, 2004; 2005, ch. 85, § 633, effective June 20, 2005; 2009, ch. 80, § 6, effective June 25, 2009; 2010, ch. 24, § 455, effective July 15, 2010.

NOTES TO DECISIONS

1. License.

Kentucky Horse Racing Authority (KHRA) did not act contrary to statutory law in denying an applicant’s request for a horse racing license as KRS 230.215(1), KRS 230.300(6), and KRS 230.280(2) did not require the KHRA to issue a license to an applicant even though the applicant might have complied with all of the statutory requirements; rather, the statutes merely authorized the KHRA to issue a license. S. Bluegrass Racing,LLC. v. Ky. Horse Racing Auth., 136 S.W.3d 49, 2004 Ky. App. LEXIS 141 (Ky. Ct. App. 2004).

Opinions of Attorney General.

By giving the commission the power to remedy the disruptions in the regularly scheduled racing the Legislature intended that where extraordinary circumstances intervene, orderly procedure must bow to the overall purpose of fostering and encouraging the legitimate business of thoroughbred racing. OAG 79-572 .

The commission may award as many additional racing dates, above and beyond the number of dates cancelled, as are necessary to make recovery of the cancelled dates, and of the loss to the industry and the state which resulted from the cancellations, feasible. OAG 79-572 .

The requirement that the commission decide who shall be awarded what dates by March (now November) 1 of each year is designed to promote orderly procedure and certainty, thereby serving the overall policy of this chapter that the business of legitimate thoroughbred racing shall be conducted on the highest possible plane. OAG 79-572 .

It is clear that the Legislature intended the March (now November) 1 deadline in subsection (2) of this section to be absolute except in certain limited circumstances. OAG 81-366 .

It is not within the scope of authority of the Kentucky State Racing Commission to award additional racing dates after the March (now November) 1 deadline in the absence of the cancellation of previously scheduled dates due to flood, fire or inclement weather or an extraordinary disruption of the orderly conduct of business amounting to the same crisis level as a natural disaster; a change in stable allocation policy by one race track is not such an unforeseeable, harmful circumstance as to warrant the award of additional racing dates to a second race track after the deadline. OAG 81-366 .

The State Racing Commission has the authority, pursuant to subsection (2) of this section to grant concurrent racing dates to two or more licensees; the language of subsection (2) of this section does not prohibit the commission from awarding concurrent dates, but merely establishes the effects of concurrent racing as one criteria which the commission must examine when awarding racing dates pursuant to its discretionary power and if the commission finds that awarding concurrent dates to two or more licensees would “serve to nurture, promote, develop, or improve the thoroughbred industry in the Commonwealth” after it considers all the criteria set forth in subsection (2) of this section, it may do so. OAG 81-375 .

Under KRS 230.280 , 230.361 and this section, the State Racing Commission is only authorized to license meetings and by being so licensed to conduct a meeting the licensee has the resulting power to conduct pari-mutuel wagering if it so desires; of course, such wagering must be conducted pursuant to the rules and regulations of the commission, but no separate license is statutorily required or authorized. OAG 82-98 .

KRS 230.210 (7), prior to its 1986 amendment, defined a thoroughbred race meeting in terms which excluded steeplechase events, and since the commission lacks authority to grant a license to conduct a race except at a thoroughbred race meeting, steeplechase events are outside the jurisdiction of the commission; thus, since under the terms of KRS 230.361 no pari-mutuel wagering may be conducted except by persons licensed to conduct thoroughbred race meetings, the commission had no authority to license pari-mutuel wagering at a steeplechase event. OAG 82-98 (Opinions prior to 1986 amendment of KRS 230.210 .).

Since the state allowed a track to rely on its consistent scheduling of race days for 59 years, and based on the fact that both the track and the state had expended funds in reliance on that consistency, the state cannot without strong justification, deprive the track of its property interest in those dates. Thus, if the commission were to contemplate the issuance of conflicting dates, then such track would be entitled to full procedural due process. OAG 82-436 .

Before the state can issue conflicting racing dates, affected licensees are entitled to a full due process hearing, and any decision by the commission to grant conflicting dates must be based upon established facts showing that conflicting dates would not violate the provisions of KRS 230.215(1) and subsection (2) of this section. Failing such determination, any request for conflicting dates must be denied. OAG 82-436 .

Since KRS 230.310 specifically provides for the State Racing Commission to license suppliers of food, the licensing of concessionaires would not only seem to be permitted, but a function which the Commission is obligated to perform. OAG 86-63 .

Nothing in 1992, ch. 109 (HB 749) or in this chapter restricts investments in the entity comprising a licensed track. The only possible restriction comes from subsection (2) of this section, under which the racing commission is authorized to consider the financial stability of an applicant for a license and the “character and reputation for honesty of all persons identified with” the applicant. OAG 92-50 .

As long as the simulcast facility is maintained and operated by a licensed track, local interests may invest in the facility through a joint venture with the track or through the purchase of an ownership interest in the track. OAG 92-50 .

With regard to a request for copies of applications for 2000 racing licenses and 2000 racing dates for all Kentucky racetracks, the applications did not qualify for exclusion under KRS 61.878(1)(i), but portions of the applications could be withheld under KRS 61.878(1)(c)2.d. upon a showing that those portions were confidentially disclosed to the Kentucky Racing Commission, were generally recognized as confidential or proprietary, and were compiled and maintained for the grant or review of a license to do business. OAG 99-ORD-220.

230.310. License for participants in horse racing.

  1. Every person not required to be licensed under KRS 230.300 who desires to participate in horse racing in the Commonwealth as a horse owner, trainer, jockey, apprentice jockey, agent, stable employee, racing official, association employee, or employee of a person or concern contracting with the association to provide a service or commodity and which requires their presence on association grounds during a race meeting, or veterinarian, farrier, horse dentist, or supplier of food, tack, medication, or horse feed, or in any other capacity as the racing commission shall from time to time establish by administrative regulation, shall first apply to the racing commission for a license to participate in the activity on association grounds during a race meeting. No person required to be licensed by this section may participate in any activity required to be licensed on association grounds during a race meeting without a valid license therefor. An applicant for a license shall submit to the racing commission fingerprints as may be required and other information necessary and reasonable for processing a license application. The racing commission is authorized to exchange fingerprint data with the Department of Kentucky State Police and the Federal Bureau of Investigation in order to conduct a criminal history background check of an applicant. The racing commission may issue a license if it finds that the financial responsibility, age, experience, reputation, competence, and general fitness of the applicant to perform the activity permitted by a license are consistent with the best interest of racing and the maintenance of the honesty, integrity, and high quality thereof.
  2. A license may be issued for the calendar year for which an applicant applies or, if authorized by administrative regulation, a license may be issued that expires on the last day of the birth month of the licensee. A license may be renewed by the racing commission. The license shall be valid at all horse race meetings in the Commonwealth during the period for which it is issued unless suspended or revoked under the administrative regulations promulgated by the racing commission under this chapter. With respect to horse owners and trainers, the racing commission may promulgate administrative regulations to facilitate and promote uniform, reciprocal licensing with other states.

History. Enact. Acts 1960, ch. 184, § 11; 1970, ch. 156, § 6; 1974, ch. 403, § 5; 1986, ch. 214, § 5, effective July 15, 1986; 1992, ch. 109, § 21, effective March 30, 1992; 2004, ch. 191, § 12, effective July 13, 2004; 2007, ch. 85, § 262, effective June 26, 2007; 2009, ch. 80, § 7, effective June 25, 2009; 2010, ch. 24, § 456, effective July 15, 2010.

NOTES TO DECISIONS

Cited:

Hughes v. Ky. Horse Racing Auth., 179 S.W.3d 865, 2004 Ky. App. LEXIS 106 (Ky. Ct. App. 2004).

Opinions of Attorney General.

The General Assembly has the power to permit the Kentucky racing commission to control wholesale liquor distributor salesmen and truck drivers by imposing a reasonable occupational license fee on them. OAG 70-494 .

Since this section specifically provides for the State Racing Commission to license suppliers of food, the licensing of concessionaires would not only seem to be permitted, but a function which the Commission is obligated to perform. OAG 86-63 .

The Kentucky Horse Racing Commission has the power to make reasonable warrantless administrative searches and seizures of any property of its licensees on association grounds, with the exception of private dwelling areas, for any items that may be relevant to its investigations. OAG 10-009 , 2010 Ky. AG LEXIS 214.

230.320. Denial, revocation, or suspension of license — Stay of imposition of stewards’ decision — Review — Frivolous appeals.

  1. Every license granted under this chapter is subject to denial, revocation, or suspension, and every licensee or other person participating in Kentucky horse racing may be assessed an administrative fine and required to forfeit or return a purse, by the racing commission in any case where it has reason to believe that any provision of this chapter, administrative regulation, or condition of the racing commission affecting it has not been complied with or has been broken or violated. The racing commission may deny, revoke, or suspend a license for failure by the licensee or other person participating in Kentucky horse racing to pay an administrative fine imposed upon the licensee by the stewards or the racing commission. The racing commission, in the interest of honesty and integrity of horse racing, may promulgate administrative regulations under which any license may be denied, suspended, or revoked, and under which any licensee or other person participating in Kentucky horse racing may be assessed an administrative fine or required to forfeit or return a purse.
    1. Following a hearing by the stewards, a person who has been disciplined by a ruling of the stewards may apply to the racing commission for a stay of the ruling, pending action on an appeal by the racing commission. (2) (a) Following a hearing by the stewards, a person who has been disciplined by a ruling of the stewards may apply to the racing commission for a stay of the ruling, pending action on an appeal by the racing commission.
    2. An application for a stay shall be received by the executive director or his designee within ten (10) calendar days of the issuance of the stewards’ ruling.
    3. An application for a stay shall be in writing and include the following:
      1. The name, address, telephone number, and signature of the person requesting the stay;
      2. A statement of the justification for the stay; and
      3. The period of time for which the stay is requested.
    4. On a finding of good cause, the executive director or his designee may grant the stay. The executive director or his designee shall issue a written decision granting or denying the request for stay within five (5) calendar days from the time the application for stay is received by the executive director or his designee. If the executive director or his designee fails to timely issue a written decision, then the stay is deemed granted. The executive director or his designee may rescind a stay granted under this subsection for good cause.
    5. A person who is denied a stay by the executive director or his designee, or has a previously granted stay rescinded under paragraph (d) of this subsection, may petition the racing commission to overrule the executive director’s or designee’s denial or rescission of the stay. The petition shall be filed in writing with the chairperson of the racing commission and received by the chairperson within ten (10) calendar days of the mailing of the executive director’s or designee’s denial of the stay. The petition shall state the name, address, phone number, and signature of the petitioner; a statement of justification of the stay; and the time period for which the stay is requested. The chairperson shall convene a special meeting of the racing commission within ten (10) calendar days of receipt of the petition, and the racing commission shall issue a written final order granting or denying the petition within two (2) calendar days of the special meeting. If the racing commission fails to timely issue a final order on the petition, then the stay is granted. The racing commission may rescind a stay granted under this subsection for good cause.
    6. A person who is denied or has a previously granted stay rescinded by the racing commission may file an appeal of the final written order of the racing commission in the Circuit Court of the county in which the cause of action arose.
    7. The fact that a stay is granted is not a presumption that the ruling by the stewards is invalid.
  2. If any license is denied, suspended, or revoked, or if any licensee or other person participating in Kentucky horse racing is assessed an administrative fine or required to forfeit or return a purse, after a hearing by the stewards or by the racing commission acting on a complaint or by its own volition, the racing commission shall grant the applicant, licensee, or other person the right to appeal the decision, and upon appeal, an administrative hearing shall be conducted in accordance with KRS Chapter 13B.
  3. The racing commission may at any time order that any case pending before the stewards be immediately transferred to the racing commission for an administrative hearing conducted in accordance with KRS Chapter 13B.
    1. In an administrative appeal to the racing commission by a licensee or other person participating in Kentucky horse racing, the racing commission may determine in its final order that the appeal is frivolous. If the racing commission finds that an appeal is frivolous: (5) (a) In an administrative appeal to the racing commission by a licensee or other person participating in Kentucky horse racing, the racing commission may determine in its final order that the appeal is frivolous. If the racing commission finds that an appeal is frivolous:
      1. This fact shall be considered an aggravating circumstance and may be considered in assessing any penalty against the licensee; and
      2. The licensee or other person who raised the appeal may be required to reimburse the racing commission for the cost of the investigation of the underlying circumstances of the case and the cost of the adjudication of the appeal. Costs may include but are not limited to fees paid to a hearing officer or court reporter, attorneys fees, and laboratory expenses.
    2. The racing commission shall by administrative regulation prescribe the conditions or factors by which an appeal may be determined to be frivolous.
  4. Any administrative action authorized in this chapter shall be in addition to any criminal penalties provided in this chapter or under other provisions of law.

History. Enact. Acts 1960, ch. 184, § 12; 1974, ch. 403, § 6; 1982, ch. 100, § 4, effective July 15, 1982; 1988, ch. 376, § 7, effective July 15, 1988; 1992, ch. 109, § 22, effective March 30, 1992; 1996, ch. 318, § 149, effective July 15, 1996; 2004, ch. 191, § 13, effective July 13, 2004; 2009, ch. 80, § 8, effective June 25, 2009; 2010, ch. 24, § 457, effective July 15, 2010.

NOTES TO DECISIONS

Cited:

Hughes v. Ky. Horse Racing Auth., 179 S.W.3d 865, 2004 Ky. App. LEXIS 106 (Ky. Ct. App. 2004).

Research References and Practice Aids

Cross-References.

Suspension or revocation of license for failure to report and pay taxes, KRS 138.550 .

Kentucky Law Journal.

Bonnie, Corrupt Horse Racing Practices Act of 1980: A Threat to State Control of Horse Racing, 70 Ky. L.J. 1159 (1981-82).

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

230.330. Appeal of any order to Franklin Circuit Court.

Any licensee or any applicant aggrieved by any final order of the racing commission may appeal to the Franklin Circuit Court in accordance with KRS Chapter 13B.

History. Enact. Acts 1960, ch. 184, § 13; 1996, ch. 318, § 150, effective July 15, 1996; 2004, ch. 191, § 14, effective July 13, 2004; 2010, ch. 24, § 458, effective July 15, 2010.

NOTES TO DECISIONS

  1. Disqualification of Horse.
  2. Appeal.
1. Disqualification of Horse.

Kentucky Horse Racing Authority (KHRA) disqualifed a harness horse as the winner of two (2) races due to the presence of flunixin in its urine. The Circuit Court properly affirmed this decision because (1) the KHRA’s finding was not arbitrary and capricious, as it was supported by substantial evidence; (2) it was unnecessary to establish a perfect chain of custody and the evidence showed there was no tampering with the urine samples; (3) the “trainer responsibility rule” (811 KAR 1:090) was constitutional; (4) there was no double jeopardy violation, since the action was civil in nature; and (5) 811 KAR 1:090, § 4(1), which outlawed flunixin for harness horses but not thoroughbreds, did not violate equal protection principles. Allen v. Ky. Horse Racing Auth., 136 S.W.3d 54, 2004 Ky. App. LEXIS 138 (Ky. Ct. App. 2004).

2. Appeal.

Circuit court correctly allowed a case to proceed because the case was commenced in good faith since a trainer and an owner gave copies of their appeal to the Attorney General and to agents of the Kentucky Horse Racing Commission within the 30-day timeframe and had summonses issued; they intended to properly commence the action and believed a summons was not necessary, and that belief was reasonable based on the wording of Ky. Rev. Stat. Ann. § 13B.140 and the lack of published case law. Ky. Horse Racing Comm'n v. Motion, 592 S.W.3d 739, 2019 Ky. App. LEXIS 49 (Ky. Ct. App. 2019).

Cited:

Kentucky State Racing Com. v. Fuller, 481 S.W.2d 298, 1972 Ky. LEXIS 250 ( Ky. 1972 ).

230.340. Regulation of pari-mutuel wagering. [Renumbered as KRS 230.361.]

Compiler’s Notes.

This section was renumbered as KRS 230.361 by the Legislative Research Commission.

230.350. Licensee may be issued temporary alcoholic beverage license — Limited sale local option election, conditions. [Renumbered.]

Compiler’s Notes.

This section (Enact. Acts 1960, ch. 184, § 15; 1984, ch. 111, § 192, effective July 13, 1984; 1990, ch. 159, § 5, effective March 30, 1990; 2004, ch. 191, § 15, effective July 13, 2004; 2010, ch. 24, § 459, effective July 15, 2010) was repealed and reenacted as KRS 243.262 by Acts 2013, ch. 121, § 100, effective June 25, 2013.

230.352. Issuance of licenses to sell distilled spirits, wine, and malt beverages on track’s premises. [Renumbered.]

Compiler’s Notes.

This section (Enact. Acts 2007, ch. 59, § 2, effective June 26, 2007) was repealed and reenacted as KRS 243.265 by Acts 2013, ch. 121, § 101, effective June 25, 2013.

230.355. Hearing officer — Rulings, effect. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 168, § 1; 1992, ch. 109, § 23, effective March 30, 1992) was repealed by Acts 1996, ch. 318, § 357, effective July 15, 1996.

Sales, Purchases, and Transfers of Racehorses and Show Horses

230.357. Written bill of sale or acknowledgment of purchase — Requirements — Auction requirements — Dual agents — Disclosures required — Violations — Auction disclosures not required — Limitation on application of section — Enforceability of contracts for payment of commission.

  1. For purposes of this section, “equine” means a horse of any breed used for racing or showing, including prospective racehorses, breeding prospects, stallions, stallion seasons, broodmares, yearlings, or weanlings, or any interest therein.
  2. Any sale, purchase, or transfer of an equine shall be:
    1. Accompanied by a written bill of sale or acknowledgment of purchase and security agreement setting forth the purchase price; and
    2. Signed by both the purchaser and the seller or their duly authorized agent or, in a transaction solely relating to a season or fractional interest in the stallion, signed by the syndicate manager or stallion manager.
  3. In circumstances where a transaction described in subsection (2) of this section is accomplished through a public auction the bill of sale requirement described in subsection (2) of this section may be satisfied by the issuance of an auction receipt, generated by the auction house, and signed by the purchaser or the purchaser’s duly authorized agent. An agent who signs an auction receipt on behalf of his or her principal shall do so only if authorized in writing. When presented with such authorization, all other parties to the transaction may presume that an agent signing on behalf of his or her principal is duly authorized to act for the principal.
  4. It shall be unlawful for any person to act as an agent for both the purchaser and the seller, which is hereby defined as a dual agent, in a transaction involving the sale, purchase, or transfer of an interest in an equine without:
    1. The prior knowledge of both the purchaser and the seller; and
    2. Written consent of both the purchaser and the seller.
  5. It shall be unlawful for a person acting as an agent for either a purchaser or a seller or acting as a dual agent in a transaction involving the sale, purchase, or transfer of an equine to receive compensation, fees, a gratuity, or any other item of value in excess of five hundred dollars ($500) and related directly or indirectly to such transaction from an individual or entity, including any consigner involved in the transaction, other than an agent’s principal, unless:
    1. The agent receiving and the person or entity making the payment disclose in writing the payment to both the purchaser and seller; and
    2. Each principal for whom the agent is acting consents in writing to the payment.
  6. Any person acting as an agent for a purchaser or seller or acting as a dual agent in a transaction involving the sale, purchase, or transfer of an equine shall, upon request by his or her principal or principals, furnish copies of all financial records and financial documents in the possession or control of the agent pertaining to the transaction to the principal or principals. For purposes of this subsection, financial records shall not include the agent’s or owner’s work product used to internally evaluate the equine.
  7. Any person injured by a violation of this section shall recover treble damages from persons or entities violating this section, and the prevailing party in any litigation under this section shall be entitled to an award of costs of the suit, reasonable litigation expenses, and attorney’s fees. As used in this section, treble damages shall equal three (3) times the sum of:
    1. The difference, if any, between the price paid for the equine and the actual value of the equine at the time of sale; and
    2. Any payment made in violation of subsection (5) of this section.
  8. Nothing in this section shall require disclosure of compensation arrangements between a principal and an agent where no dual agency exists, where the agent is acting solely for the benefit of his or her principal, and where the agent is being compensated solely by his or her principal.
  9. Notwithstanding any provision of the Kentucky Revised Statutes to the contrary, for transactions contemplated by this section that are accomplished through a public auction, this section shall not require disclosure of the reserves, the identity of the principals, or the auctioneer’s commissions. Auction companies shall not be deemed to be dual agents for all purposes under this section.
  10. The provisions of this section shall not apply to the sale, purchase, or transfer of an equine used for showing if the sale, purchase, or transfer does not exceed ten thousand dollars ($10,000).
  11. No contract or agreement for payment of a commission, fee, gratuity, or any other form of compensation in connection with any sale, purchase, or transfer of an equine shall be enforceable by way of an action or defense unless:
    1. The contract or agreement is in writing and is signed by the party against whom enforcement is sought; and
    2. The recipient of the compensation provides a written bill of sale for the transaction in accordance with subsections (2)(a) and (3) of this section.
  12. No person shall be held liable under this section unless that person has actual knowledge of the conduct constituting a violation of this section.

History. Enact. Acts 2006, ch. 70, § 1, effective July 12, 2006; 2007, ch. 103, § 1, effective June 26, 2007.

NOTES TO DECISIONS

1. Application.

In a dispute arising from the purchase of a horse, KRS 230.357(11) and KRS 230.357(2) did not apply because the question before the trial court involved recovery of a fee for advice; it was not in connection with any sale, purchase, or transfer of an equine. Even if the statutes did apply, there was nothing to support the proposition that the existence of a statute of frauds foreclosed a recovery in quantum meruit. Thoro-Graph, Inc. v. Lauffer, 2012 Ky. App. Unpub. LEXIS 1052 (Ky. Ct. App. Oct. 19, 2012), review denied, ordered not published, 2013 Ky. LEXIS 508 (Ky. Aug. 21, 2013).

Research References and Practice Aids

Kentucky Bench & Bar.

Bishop & Arvin, Equine Law: Agent Beware., Vol. 71, No. 3, May 2007, Ky. Bench & Bar 21.

Kentucky Law Journal.

Rosenbaum, Mucking Out the Stalls: How KRS § 230.357 Promises to Change Custom and Facilitate Economic Efficiency in the Horse Industry, 95 Ky. L.J. 997 (2006).

Waxman, Auctioning Off Integrity: The Legitimacy of Seller-Rebate Agreements in the Thoroughbred Auction Context, 96 Ky. L.J. 139 (2007).

Applicability

230.360. Applicability of racing statutes.

The provisions of this chapter are intended to be statewide and exclusive in their effect and no city, county, or other political subdivision of state government shall have the power or authority to make or enforce any local laws, ordinances, or regulations on the subject of horse race meetings. Any person licensed under KRS 230.300 shall continue to pay, or be responsible for the payment of, all state taxes presently imposed by law, including but without limitation, license taxes imposed under KRS 137.170 to 137.190 , and KRS 137.990 together with admission taxes imposed by KRS 138.480 , and the pari-mutuel taxes imposed by KRS 138.510 to 138.550 , and all state, as well as local, ad valorem taxes; provided, however, no tax shall be imposed by the state or any subdivision thereof upon, or measured by, that portion of the excise tax imposed upon pari-mutuel betting at running and trotting horse race tracks which is collected and retained by the operators thereof under the provisions of KRS 138.510 to 138.550 , both inclusive.

History. Enact. Acts 1960, ch. 184, § 16; 1974, ch. 403, § 8; 1986, ch. 296, § 5, effective July 15, 1986; 1992, ch. 109, § 24, effective March 30, 1992.

Research References and Practice Aids

Kentucky Law Journal.

Notes, Chernick v. Fasig-Tipton: A Caveat to the Horse Trader, 74 Ky. L.J. 889 (1985-86).

Pari-Mutuel Wagering

230.361. Regulation of pari-mutuel wagering — Authorized operation not grounds for revocation or suspension of temporary alcoholic beverage license — Tickets presumed abandoned — License for special charitable events.

  1. The racing commission shall promulgate administrative regulations governing and regulating mutuel wagering on horse races under what is known as the pari-mutuel system of wagering. The wagering shall be conducted only by a person licensed under this chapter to conduct a race meeting and only upon the licensed premises. The pari-mutuel system of wagering shall be operated only by a totalizator or other mechanical equipment approved by the racing commission. The racing commission shall not require any particular make of equipment.
  2. The operation of a pari-mutuel system for betting where authorized by law shall not constitute grounds for the revocation or suspension of any license issued and held under KRS 242.1238 and 243.265 .
  3. All reported but unclaimed pari-mutuel winning tickets held in this state by any person or association operating a pari-mutuel or similar system of betting at horse race meetings shall be presumed abandoned if not claimed by the person entitled to them within one (1) year from the time the ticket became payable.
  4. The racing commission may issue a license to conduct pari-mutuel wagering on steeple chases or other racing over jumps; if all proceeds from the wagering, after expenses are deducted, is used for charitable purposes. If the dates requested for such a license have been granted to a track within a forty (40) mile radius of the race site, the racing commission shall not issue a license until it has received written approval from the affected track. Pari-mutuel wagering licensed and approved under this subsection shall be limited to four (4) days per year. All racing and wagering authorized by this subsection shall be conducted in accordance with applicable administrative regulations promulgated by the racing commission.

History. Enact. Acts 1960, ch. 184, § 14; 1974, ch. 403, § 7; 1978, ch. 307, § 1, effective June 17, 1978; 1982, ch. 100, § 6, effective July 15, 1982; 1986, ch. 214, § 6, effective July 15, 1986; 1988, ch. 376, § 8, effective July 15, 1988; 1992, ch. 109, § 25, effective March 30, 1992; 1998, ch. 237, § 6, effective July 15, 1998; 2004, ch. 191, § 16, effective July 13, 2004; 2010, ch. 24, § 460, effective July 15, 2010; 2013, ch. 121, § 102, effective June 25, 2013.

Compiler’s Notes.

KRS 230.340 was renumbered as this section by the Legislative Research Commission.

NOTES TO DECISIONS

Cited in:

Appalachian Racing, LLC v. Family Trust Found. of Ky., Inc., 423 S.W.3d 726, 2014 Ky. LEXIS 88 ( Ky. 2014 ).

Opinions of Attorney General.

Under a regulation promulgated by the racing commission pari-mutuel wagering may be conducted only by a licensed racing association holding a race, and only on that association’s “licensed premises” or “within the enclosure” where the race is being held; accordingly, a “teletrack” system, which consists of opening licensed racetracks for the purpose of wagering on televised races being conducted at another track, is prohibited, since no association may conduct wagering on any race held by another association. OAG 82-4 .

KRS 230.210(7) defines a thoroughbred race meeting in terms which exclude steeplechase events, and since the commission lacks authority to grant a license to conduct a race except at a thoroughbred race meeting, KRS 230.300(1), steeplechase events are outside the jurisdiction of the commission; thus, since under the terms of this section no pari-mutuel wagering may be conducted except by persons licensed to conduct thoroughbred race meetings, the commission has no authority to license pari-mutuel wagering at a steeplechase event. OAG 82-98 .

Under KRS 230.280 , 230.300 and this section, the State Racing Commission is only authorized to license meetings and by being so licensed to conduct a meeting the licensee has the resulting power to conduct pari-mutuel wagering if it so desires; of course, such wagering must be conducted pursuant to the rules and regulations of the commission, but no separate license is statutorily required or authorized. OAG 82-98 .

Although games of chance using videotapes of past horse races or straight wagering on these videotaped races at a “casino night” would not be “live,” they would still violate the raffle requirements of KRS 238.505(8) and 238.545(3), and also violate the parimutuel wagering statutes, which provide that parimutuel wagering shall be conducted only by a person authorized under KRS Chapter 230 to conduct a race meeting and only upon a licensed premises. OAG 95-23 .

Subsection (1) of this section should not be construed as prohibiting activities permitted by KRS 230.379 . OAG 04-005 .

Instant Racing is not permissible under Kentucky’s current pari-mutuel wagering statutes because it does not constitute pari-mutuel wagering as defined by Kentucky’s Administrative Regulations. OAG 10-001 .

Research References and Practice Aids

Cross-References.

Pari-mutuel wagering at authorized race meetings not subject to gambling provisions of penal code, KRS 436.480 .

Tax on pari-mutuel wagering, KRS 138.510 .

Kentucky Law Journal.

Bonnie, Corrupt Horse Racing Practices Act of 1980: A Threat to State Control of Horse Racing, 70 Ky. L.J. 1159 (1981-82).

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

Note: Betting Against the House (and Senate): The Case for Legal, State-Sponsored Sports Wagering in a Post-PASPA World, 99 Ky. L.J. 163 (2010/2011).

230.3611. Limitation on pools. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 343, § 3, effective July 15, 1980; 1986, ch. 214, § 7, effective July 15, 1986) was repealed by Acts 1988, ch. 376, § 13, effective July 15, 1988.

230.3615. Limitation on commission of operator of Thoroughbred race track — Breaks — Payment for backside improvement fund.

  1. The commission, including the tax levied in KRS 138.510 , deducted from the gross amount wagered by the association which operates a race track under the jurisdiction of the Kentucky Horse Racing Commission and conducts the Thoroughbred racing at which betting is conducted through a pari-mutuel or other similar system, in races where the patron is required to select one (1) horse, and the breaks, which breaks shall be made and calculated to the dime, shall not be more than sixteen percent (16%) at the discretion of those tracks averaging over one million two hundred thousand dollars ($1,200,000) in on-track pari-mutuel handle per day of live racing conducted by the association. The commission at those tracks averaging one million two hundred thousand dollars ($1,200,000) or less in on-track pari-mutuel handle per day of live racing conducted by the association, at the discretion of such track, shall not be more than seventeen and one-half percent (17.5%) in races where the patron is required to select one (1) horse, and the breaks, which breaks shall be made and calculated to the dime.
  2. The commission at those tracks averaging over one million two hundred thousand dollars ($1,200,000) in on track pari-mutuel handle per day of live racing conducted by the association, including the tax levied in KRS 138.510 , deducted from the gross amount wagered by the person, corporation, or association which operates a race track under the jurisdiction of the Kentucky Horse Racing Commission and conducts Thoroughbred racing at which betting is conducted through a pari-mutuel or other similar system shall not exceed nineteen percent (19%) of the gross handle in races where the patron is required to select two (2) or more horses, and the breaks, which breaks shall be made and calculated to the dime. The commission, at those tracks averaging one million two hundred thousand dollars ($1,200,000) or less in on track pari-mutuel handle per day of live racing conducted by the association, including the tax levied in KRS 138.510 , deducted from the gross amount wagered by the association which operates a race track under the jurisdiction of the Kentucky Horse Racing Commission and conducts Thoroughbred racing at which betting is conducted through a pari-mutuel or other similar system shall not exceed twenty-two percent (22%) of the gross handle in races where the patron is required to select two (2) or more horses, and the breaks, which breaks shall be made and calculated to the dime.
  3. The minimum wager to be accepted by any licensed association shall be ten cents ($0.10). The minimum pay-off on a one dollar ($1) wager shall be one dollar and ten cents ($1.10); but, in the event of a minus pool, the minimum pay-off for a one dollar ($1) wager shall be one dollar and five cents ($1.05).
  4. Each association conducting Thoroughbred racing and averaging one million two hundred thousand dollars ($1,200,000) or less in on-track pari-mutuel handle per day of live racing conducted by the association shall pay to the racing commission all moneys allocated to the backside improvement fund in an amount equal to one-half of one percent (0.5%) of its on-track pari-mutuel wagers.

History. Repealed and reenact. Acts 1992, ch. 109, § 8, effective March 30, 1992; 2004, ch. 191, § 17, effective July 13, 2004; 2009, ch. 80, § 9, effective June 25, 2009; 2010, ch. 24, § 461, effective July 15, 2010.

Compiler’s Notes.

This section was formerly compiled as KRS 138.515 and was repealed, reenacted and amended as this section by Acts 1992, ch. 109, § 8, effective March 30, 1992.

230.362. Report of unclaimed pari-mutuel winning tickets presumed abandoned.

Any person holding unclaimed pari-mutuel winning tickets presumed abandoned under the provisions of KRS 230.361 shall file annually, on or before September 1 of each year, with the office of the racing commission a list of and the amounts represented by unclaimed pari-mutuel tickets held by such person as of July 1, and other information as the racing commission may require for the administration of KRS 230.361 to 230.373 . The report shall be made in duplicate; the original shall be retained by the racing commission and the copy shall be mailed to the sheriff of the county where the unclaimed pari-mutuel tickets are held. It shall be the duty of the sheriff to post for not less than twenty (20) consecutive days a copy of the report on the courthouse door or the courthouse bulletin board, and to publish the copy in the manner set forth by KRS Chapter 424. The cost of the publication shall be paid by the racing commission. The sheriff shall immediately certify in writing to the racing commission the dates when the list was posted and published. The list shall be posted and published as required on or before October 1 of the year when it is made, and such posting and publishing shall be constructive notice to all holders of pari-mutuel tickets which have remained unclaimed for a period of one (1) year from the time the ticket became payable.

History. Enact. Acts 1978, ch. 307, § 2, effective June 17, 1978; 1980, ch. 188, § 223, effective July 15, 1980; 1998, ch. 237, § 7, effective July 15, 1998; 2004, ch. 191, § 18, effective July 13, 2004; 2010, ch. 24, § 462, effective July 15, 2010.

230.363. Money to be turned over to racing commission.

Any person who has made a report of unclaimed pari-mutuel tickets to the racing commission as required by KRS 230.362 shall, between November 1 and November 15 of each year, turn over to the racing commission the sum represented by the unclaimed pari-mutuel tickets so reported; but if the person making the report or the owner of the unclaimed pari-mutuel ticket certifies to the racing commission by sworn statement that any or all of the statutory conditions necessary to create a presumption of abandonment no longer exists or never did exist, or shall certify existence of any fact or circumstance in which there is substantial evidence to rebut such presumption, then, the person reporting the unclaimed pari-mutuel tickets or holding the sum represented by the unclaimed pari-mutuel tickets as reported shall not be required to turn over said sum to the racing commission except upon order of court. If the holder of any unclaimed pari-mutuel ticket files an action in court claiming the sum which has been reported under the provisions of KRS 230.362 , the person reporting or holding the sum represented by said unclaimed pari-mutuel ticket shall be under no duty while any such action is pending to turn over said sum to the racing commission, but shall have the duty of notifying the racing commission of the pendency of such action.

History. Enact. Acts 1978, ch. 307, § 3, effective June 17, 1978; 2004, ch. 191, § 19, effective July 13, 2004; 2010, ch. 24, § 463, effective July 15, 2010.

230.364. Judicial determination of rights.

Any person holding an unclaimed pari-mutuel ticket or any person holding the sum represented by an unclaimed pari-mutuel ticket, or any claimant thereto shall have the right to a judicial determination of his rights under KRS 230.361 to 230.373 and nothing therein shall be construed otherwise; and the racing commission may institute an action to recover the sum represented by the unclaimed pari-mutuel tickets which are presumed abandoned whether said sum has been reported or not and may include in one (1) petition the sum represented by all the unclaimed pari-mutuel tickets as defined herein within the jurisdiction of the court in which the action is brought.

History. Enact. Acts 1978, ch. 307, § 4, effective June 17, 1978; 2004, ch. 191, § 20, effective July 13, 2004; 2010, ch. 24, § 464, effective July 15, 2010.

230.365. Payment to racing commission relieves person of claims liability.

Any person who pays the sum represented by the unclaimed pari-mutuel tickets to the racing commission under KRS 230.363 is relieved of all liability for the value of said unclaimed pari-mutuel tickets for any claim made in respect of said unclaimed pari-mutuel tickets.

History. Enact. Acts 1978, ch. 307, § 5, effective June 17, 1978; 2004, ch. 191, § 21, effective July 13, 2004; 2010, ch. 24, § 465, effective July 15, 2010.

230.366. Person claiming interest in unclaimed ticket may file claim after payment to racing commission.

Any person claiming an interest in any unclaimed pari-mutuel ticket which has been paid or surrendered to the racing commission in accordance with KRS 230.361 to 230.373 may file his claim to it at any time after it was paid to the racing commission.

History. Enact. Acts 1978, ch. 307, § 6, effective June 17, 1978; 2004, ch. 191, § 22, effective July 13, 2004; 2010, ch. 24, § 466, effective July 15, 2010.

230.367. Racing Commission’s procedure on filing of claim — Payment.

The racing commission shall consider any claim or defense permitted to be filed before the racing commission and hear the evidence concerning it. If the claimant establishes his claim, the racing commission shall, when the time for appeal or other legal procedure has expired, authorize payment to him of a sum equal to the amount of his claim paid to the racing commission in accordance with KRS 230.361 to 230.373 . The decision shall be in writing and shall state the substance of the evidence heard by the racing commission, if a transcript is not kept. The decision shall be a matter of public record.

History. Enact. Acts 1978, ch. 307, § 7, effective June 17, 1978; 2004, ch. 191, § 23, effective July 13, 2004; 2010, ch. 24, § 467, effective July 15, 2010.

230.368. Appeals.

Any person dissatisfied with the decision of the racing commission under KRS 230.367 may appeal to the Franklin Circuit Court in accordance with the provisions of KRS Chapter 13B.

HISTORY: Enact. Acts 1978, ch. 307, § 8, effective June 17, 1978; 2004, ch. 191, § 24, effective July 13, 2004; 2010, ch. 24, § 468, effective July 15, 2010; 2017 ch. 62, § 118, effective June 29, 2017.

230.369. Examination of records.

The racing commission, through its employees, may examine all records of any person where there is reason to believe that there has been or is a failure to report unclaimed pari-mutuel tickets.

History. Enact. Acts 1978, ch. 307, § 9, effective June 17, 1978; 2004, ch. 191, § 25, effective July 13, 2004; 2010, ch. 24, § 469, effective July 15, 2010.

230.370. Racing Commission may promulgate administrative regulations.

The racing commission may promulgate any reasonable and necessary administrative regulation for the enforcement of the provisions of this chapter and the conduct of hearings held before it.

History. Enact. Acts 1978, ch. 307, § 10, effective June 17, 1978; 1992, ch. 109, § 26, effective March 30, 1992; 2004, ch. 191, § 26, effective July 13, 2004; 2010, ch. 24, § 470, effective July 15, 2010.

230.371. Production of reports and surrender of money — Penalty.

The racing commission may require the production of reports or the surrender of sums represented by unclaimed pari-mutuel tickets as provided in KRS 230.361 to 230.373 by civil equity action, including, but not limited to, an action in the nature of a bill of discovery, in which case the defendant shall pay a penalty equal to ten percent (10%) of all amounts that he is ultimately required to surrender. The racing commission shall follow the procedures provided by the Rules of Civil Procedure.

History. Enact. Acts 1978, ch. 307, § 11, effective June 17, 1978; 2004, ch. 191, § 27, effective July 13, 2004; 2010, ch. 24, § 471, effective July 15, 2010.

230.372. Costs — Payments.

Any payments made to any persons claiming an interest in an unclaimed pari-mutuel ticket, and any necessary expense including, but not limited to, administrative costs, advertising costs, court costs and attorney’s fees, required to be paid by the racing commission in administering or enforcing the provisions of KRS 230.361 to 230.373 shall be deducted from sums received by the racing commission prior to payment to the Kentucky Racing Health and Welfare Fund.

History. Enact. Acts 1978, ch. 307, § 12, effective June 17, 1978; 2004, ch. 191, § 28, effective July 13, 2004; 2010, ch. 24, § 472, effective July 15, 2010.

230.373. Limitations for persons under disability.

Any holder of unclaimed pari-mutuel tickets affected by KRS 230.361 to 230.373 under disability shall have five (5) years after the disability is removed in which to take any action or procedure or make any defense allowed to one sui juris.

History. Enact. Acts 1978, ch. 307, § 13, effective June 17, 1978.

230.374. Payments to Kentucky Racing Health and Welfare Fund, Inc.

All sums reported and paid to the racing commission under the provisions of KRS 230.361 to 230.373 , with the exception of funds paid under KRS 230.398 , shall be paid by the racing commission to the Kentucky Racing Health and Welfare Fund, Inc., a nonprofit charitable corporation, organized for the benefit, aid, assistance, and relief of Thoroughbred owners, trainers, jockeys, valets, exercise riders, grooms, stable attendants, pari-mutuel clerks, and other Thoroughbred racing personnel employed in connection with racing, and their spouses and children, who can demonstrate their need for financial assistance connected with death, illness, or off-the-job injury and are not otherwise covered by union health and welfare plans, workers’ compensation, Social Security, public welfare, or any type of health, medical, death, or accident insurance. These sums shall be paid on or before December 31 in each year, however, no payments shall be made by the racing commission to the Kentucky Racing Health and Welfare Fund, Inc., unless the racing commission and the Auditor of Public Accounts are satisfied that the fund is in all respects being operated for the charitable and benevolent purposes as set forth in this section and that no part of the funds paid to the fund by the racing commission or any net earnings of the fund inure to the benefit of any private individual, director, officer, or member of the fund or any of the persons who turned over sums to the racing commission representing unclaimed pari-mutuel tickets.

History. Enact. Acts 1978, ch. 307, § 14, effective June 17, 1978; 1986, ch. 214, § 8, effective July 15, 1986; 1988, ch. 376, § 9, effective July 15, 1988; 1992, ch. 109, § 27, effective March 30, 1992; 1998, ch. 237, § 8, effective July 15, 1998; 2004, ch. 191, § 29, effective July 13, 2004; 2010, ch. 24, § 473, effective July 15, 2010.

230.375. Kentucky Race Track Retirement Plan.

  1. The board of directors of the Kentucky Racing Health and Welfare Fund, Inc., may create and fund the Kentucky Race Track Retirement Plan. The board shall use no more than twenty-five percent (25%) of the annual sum paid by the racing commission under KRS 230.361 to 230.373 to fund the plan.
  2. The plan shall be provided for the benefit of Thoroughbred trainers, assistant trainers, exercise riders, grooms, stable attendants, and other stable employees who can demonstrate that they are not otherwise eligible to participate in any other private or public, nonself-funded retirement or pension plan.
  3. The Kentucky Race Track Retirement Plan shall be administered by the board of directors of the Kentucky Racing Health and Welfare Fund, Inc., for the charitable and benevolent purposes set forth in KRS 230.374 , and no part of the sums administered by the fund for the plan or any net earnings of the plan shall inure to the benefit of any private individual, director, officer, or member of the fund, or any of the persons who paid sums to the racing commission under the provisions of KRS 230.361 to 230.373 .
  4. The board of directors of the Kentucky Racing Health and Welfare Fund, Inc., shall be the trustee of the plan’s funds and shall have full power to invest and reinvest funds. Investments shall be diversified to balance the risks associated with various investment options to maintain the long-term solvency of the plan. The board shall have full power to hold, purchase, sell, assign, transfer, or dispose of any of the investments in which any of the plan’s funds have been invested, as well as of the proceeds of investments belonging to the plan. The board members or any investment manager shall discharge their duties with respect to the assets of the plan solely in the interest of the plan’s members and:
    1. For the exclusive purposes of providing benefits to plan members and their beneficiaries and defraying reasonable expenses of administering the plan;
    2. With the care, skill, prudence, and diligence under the circumstances that a prudent person acting in a like capacity and familiar with these matters would use in the conduct of an enterprise of a like character and with like aims; and
    3. In accordance with any other laws or instruments governing the administration of the plan’s funds.

History. Enact. Acts 2000, ch. 447, § 3, effective July 14, 2000; 2004, ch. 191, § 30, effective July 13, 2004; 2010, ch. 24, § 474, effective July 15, 2010.

Interstate Compact on Licensure

230.3751. Interstate Compact on Licensure of Participants in Live Racing with Pari-mutuel Wagering.

The Governor of this Commonwealth is authorized and directed to execute a compact on behalf of the Commonwealth with any of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and each territory or possession of the United States, legally joining therein in the form substantially as follows:

History. Enact. Acts 2001, ch. 14, § 1, effective June 21, 2001; 2004, ch. 191, § 31, effective July 13, 2004; 2010, ch. 24, § 475, effective July 15, 2010.

ARTICLE I PURPOSES

SECTION 1. Purposes.

The purposes of this compact are to:

  1. Establish uniform requirements among the party states for the licensing of participants in live racing with pari-mutuel wagering, and ensure that all such participants who are licensed pursuant to this compact meet a uniform minimum standard of honesty and integrity.
  2. Facilitate the growth of the pari-mutuel racing industry in each party state and nationwide by simplifying the process for licensing participants in live racing, and reduce the duplicative and costly process of separate licensing by the regulatory agency in each state that conducts live racing with pari-mutuel wagering.
  3. Authorize the Kentucky Horse Racing Commission to participate in this compact.
  4. Provide for participation in this compact by officials of the party states, and permit those officials, through the compact committee established by this compact, to enter into contracts with governmental agencies and nongovernmental persons to carry out the purposes of this compact.
  5. Establish the compact committee created by this compact as an interstate governmental entity duly authorized to request and receive criminal history record information from the Federal Bureau of Investigation and other state and local law enforcement agencies.

ARTICLE II DEFINITIONS

SECTION 2. Definitions.

“Compact committee” means the organization of officials from the party states that is authorized and empowered by this compact to carry out the purposes of this compact.

“Official” means the appointed, elected, designated or otherwise duly selected member of a racing commission or the equivalent thereof in a party state who represents that party state as a member of the compact committee.

“Participants in live racing” means participants in live racing with pari-mutuel wagering in the party states.

“Party state” means each state that has enacted this compact.

“State” means each of the several states of the United States, the District of Columbia, the Commonwealth of Puerto Rico and each territory or possession of the United States.

ARTICLE III ENTRY INTO FORCE, ELIGIBLE PARTIES AND WITHDRAWAL

SECTION 3. Entry into force.

This compact shall come into force when enacted by any four (4) states. Thereafter, this compact shall become effective as to any other state upon both (i) that state’s enactment of this compact and (ii) the affirmative vote of a majority of the officials on the compact committee as provided in Section 8.

SECTION 4. States eligible to join compact.

Any state that has adopted or authorized live racing with pari-mutuel wagering shall be eligible to become party to this compact.

SECTION 5. Withdrawal from compact and impact thereof on force and effect of compact.

Any party state may withdraw from this compact by enacting a statute repealing this compact, but no such withdrawal shall become effective until the head of the executive branch of the withdrawing state has given notice in writing of such withdrawal to the head of the executive branch of all other party states. If as a result of withdrawals participation in this compact decreases to less than three (3) party states, this compact no longer shall be in force and effect unless and until there are at least three (3) or more party states again participating in this compact.

ARTICLE IV COMPACT COMMITTEE

SECTION 6. Compact committee established.

There is hereby created an interstate governmental entity to be known as the “compact committee,” which shall be comprised of one (1) official from the racing commission or its equivalent in each party state who shall be appointed, serve and be subject to removal in accordance with the laws of the party state he represents. Pursuant to the laws of his party state, each official shall have the assistance of his state’s racing commission or the equivalent thereof in considering issues related to licensing of participants in live racing and in fulfilling his responsibilities as the representative from his state to the compact committee. If an official is unable to perform any duty in connection with the powers and duties of the compact committee, the racing commission or equivalent thereof from his state shall designate another of its members as an alternate who shall serve in his place and represent the party state as its official on the compact committee until that racing commission or equivalent thereof determines that the original representative official is able once again to perform his duties as that party state’s representative official on the compact committee. The designation of an alternate shall be communicated by the affected state’s racing commission or equivalent thereof to the compact committee as the committee’s bylaws may provide.

SECTION 7. Powers and duties of compact committee.

In order to carry out the purposes of this compact, the compact committee is hereby granted the power and duty to:

  1. Determine which categories of participants in live horse racing, including but not limited to owners, trainers, jockeys, grooms, mutuel clerks, racing officials, veterinarians, and farriers, and which categories of equivalent participants in dog racing and other forms of live racing with pari-mutuel wagering authorized in two (2) or more of the party states, should be licensed by the committee, and establish the requirements for the initial licensure of applicants in each such category, the term of the license for each category, and the requirements for renewal of licenses in each category. Provided, however, that with regard to requests for criminal history record information on each applicant for a license, and with regard to the effect of a criminal record on the issuance or renewal of a license, the compact committee shall determine for each category of participants in live racing which licensure requirements for that category are, in its judgment, the most restrictive licensure requirements of any party state for that category and shall adopt licensure requirements for that category that are, in its judgment, comparable to those most restrictive requirements.
  2. Investigate applicants for a license from the compact committee and, as permitted by federal and state law, gather information on such applicants, including criminal history record information from the Federal Bureau of Investigation and relevant state and local law enforcement agencies, and, where appropriate, from the Royal Canadian Mounted Police and law enforcement agencies of other countries, necessary to determine whether a license should be issued under the licensure requirements established by the committee as provided in paragraph 1 above. Only officials on, and employees of, the compact committee may receive and review such criminal history record information, and those officials and employees may use that information only for the purposes of this compact. No such official or employee may disclose or disseminate such information to any person or entity other than another official on or employee of the compact committee. The fingerprints of each applicant for a license from the compact committee shall be taken by the compact committee, its employees, or its designee and, pursuant to Public Law 92-544 or Public Law 100-413, shall be forwarded to a state identification bureau, or to an association of state officials regulating pari-mutuel wagering designated by the Attorney General of the United States, for submission to the Federal Bureau of Investigation for a criminal history record check. Such fingerprints may be submitted on a fingerprint card or by electronic or other means authorized by the Federal Bureau of Investigation or other receiving law enforcement agency.
  3. Issue licenses to, and renew the licenses of, participants in live racing listed in paragraph 1 of this section who are found by the committee to have met the licensure and renewal requirements established by the committee. The compact committee shall not have the power or authority to deny a license. If it determines that an applicant will not be eligible for the issuance or renewal of a compact committee license, the compact committee shall notify the applicant that it will not be able to process his application further. Such notification does not constitute and shall not be considered to be the denial of a license. Any such applicant shall have the right to present additional evidence to, and to be heard by, the compact committee, but the final decision on issuance or renewal of the license shall be made by the compact committee using the requirements established pursuant to paragraph 1 of this section.
  4. Enter into contracts or agreements with governmental agencies and with nongovernmental persons to provide personal services for its activities and such other services as may be necessary to effectuate the purposes of this compact.
  5. Create, appoint, and abolish those offices, employments, and positions, including an executive director, as it deems necessary for the purposes of this compact, prescribe their powers, duties and qualifications, hire persons to fill those offices, employments and positions, and provide for the removal, term, tenure, compensation, fringe benefits, retirement benefits and other conditions of employment of its officers, employees and other positions.
  6. Borrow, accept, or contract for the services of personnel from any state, the United States, or any other governmental agency, or from any person, firm, association, corporation or other entity.
  7. Acquire, hold, and dispose of real and personal property by gift, purchase, lease, license, or in other similar manner, in furtherance of the purposes of this compact.
  8. Charge a fee to each applicant for an initial license or renewal of a license.
  9. Receive other funds through gifts, grants and appropriations.

SECTION 8. Voting requirements.

  1. Each official shall be entitled to one (1) vote on the compact committee.
  2. All action taken by the compact committee with regard to the addition of party states as provided in Section 3, the licensure of participants in live racing, and the receipt and disbursement of funds shall require a majority vote of the total number of officials (or their alternates) on the committee. All other action by the compact committee shall require a majority vote of those officials (or their alternates) present and voting.
  3. No action of the compact committee may be taken unless a quorum is present. A majority of the officials (or their alternates) on the compact committee shall constitute a quorum.

SECTION 9. Administration and management.

  1. The compact committee shall elect annually from among its members a chairman, a vice chairman, and a secretary/treasurer.
  2. The compact committee shall adopt bylaws for the conduct of its business by a two-thirds (2/3) vote of the total number of officials (or their alternates) on the committee at that time and shall have the power by the same vote to amend and rescind these bylaws. The committee shall publish its bylaws in convenient form and shall file a copy thereof and a copy of any amendments thereto with the Secretary of State or equivalent agency of each of the party states.
  3. The compact committee may delegate the day-to-day management and administration of its duties and responsibilities to an executive director and his support staff.
  4. Employees of the compact committee shall be considered governmental employees.

SECTION 10. Immunity from liability for performance of official responsibilities and duties.

No official of a party state or employee of the compact committee shall be held personally liable for any good faith act or omission that occurs during the performance and within the scope of his responsibilities and duties under this compact.

ARTICLE V RIGHTS AND RESPONSIBILITIES OF EACH PARTY STATE

SECTION 11. Rights and responsibilities of each party state.

  1. By enacting this compact, each party state:
    1. Agrees (i) to accept the decisions of the compact committee regarding the issuance of compact committee licenses to participants in live racing pursuant to the committee’s licensure requirements, and (ii) to reimburse or otherwise pay the expenses of its official representative on the compact committee or his alternate.
    2. Agrees not to treat a notification to an applicant by the compact committee under paragraph 3 of Section 7 that the compact committee will not be able to process his application further as the denial of a license, or to penalize such an applicant in any other way based solely on such a decision by the compact committee.
    3. Reserves the right (i) to charge a fee for the use of a compact committee license in that state, (ii) to apply its own standards in determining whether, on the facts of a particular case, a compact committee license should be suspended or revoked, (iii) to apply its own standards in determining licensure eligibility, under the laws of that party state, for categories of participants in live racing that the compact committee determines not to license and for individual participants in live racing who do not meet the licensure requirements of the compact committee, and (iv) to establish its own licensure standards for the licensure of nonracing employees at pari-mutuel racetracks and employees to separate satellite wagering facilities. Any party state that suspends or revokes a compact committee license shall, through its racing commission or the equivalent thereof or otherwise, promptly notify the compact committee of that suspension or revocation.
  2. No party state shall be held liable for the debts or other financial obligations incurred by the compact committee.

ARTICLE VI CONSTRUCTION AND SEVERABILITY

SECTION 12. Construction and severability.

This compact shall be liberally construed so as to effectuate its purposes. The provisions of this compact shall be severable, and, if any phrase, clause, sentence, or provision of this compact is declared to be contrary to the Constitution of the United States or of any party state, or the applicability of this compact to any government, agency, person or circumstance is held invalid, the validity of the remainder of this compact and the applicability thereof to any government, agency, person or circumstance shall not be affected thereby. If all or some portion of this compact is held to be contrary to the constitution of any party state, the compact shall remain in full force and effect as to the remaining party states and in full force and effect as to the state affected as to all severable matters.

Legislative Research Commission Note.

(6/21/2001). Section 2 of 2001 Ky. Acts ch. 14 provides that KRS 230.3751 takes effect upon enactment of the Interstate Compact on Licensure of Participants in Live Racing with Pari-mutuel Wagering by no less than four (4) states. In a letter dated April 27, 2001, the Association of Racing Commissioners International informed the Reviser of Statutes that more than four states have adopted the compact. Accordingly, this section becomes effective on June 21, 2001, which is the regular effective date for legislation enacted in the 2001 Regular Session of the General Assembly.

Simulcasting and Intertrack Wagering

230.376. Definitions. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1988, ch. 376, § 1, effective July 15, 1988; 1990, ch. 159, § 6, effective March 30, 1969) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

Interstate Racing and Wagering Compact

230.3761. Interstate Racing and Wagering Compact. [Effective upon contingency.]

The Governor of this Commonwealth is authorized and directed to execute a compact on behalf of the Commonwealth with any of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and each territory or possession of the United States, legally joining therein in the form substantially as follows:

History. Enact. Acts 2011, ch. 77, § 1, effective upon contingency.

ARTICLE I PURPOSES

The purposes of this compact are:

  1. To enable member states to act jointly and cooperatively to create more uniform, effective, and efficient practices, programs, rules, and regulations relating to live pari-mutuel horse or greyhound racing and to pari-mutuel wagering activities, both on-track and off-track, that occur in or affect a member state;
  2. To facilitate the health and growth of the industry by simplifying the process of participating in live horse and greyhound racing and pari-mutuel wagering, improving the quality and integrity of racing and wagering, more effectively regulating simulcast and wagering systems and activities, and through cooperative action reducing the costs incurred by each member state or participant;
  3. To authorize the Kentucky Horse Racing Commission to participate in this compact;
  4. To permit officials from the member states to participate in this compact and, through the compact commission established by this compact, to enter into contracts with governmental agencies and other persons to carry out the purposes of this compact; and
  5. To establish the compact commission created by this compact as an interstate governmental entity duly authorized to request and to receive criminal history record information from the Federal Bureau of Investigation and from state, local, and foreign law enforcement agencies.

ARTICLE II DEFINITIONS

For the purposes of this compact, the following terms shall have the following meaning:

  1. “Commissioner” means the chairperson of the member state racing commission, or such person’s designee, who represents the member state as a voting member of the compact commission and anyone who is serving as such person’s alternate;
  2. “Compact commission” means the organization of officials from the member states that is authorized and empowered by this compact to carry out the purposes of this compact;
  3. “Compact rule” means a rule or regulation adopted by a member state through the compact to govern, for two (2) or more member states, any part of live pari-mutuel horse and greyhound racing or pari-mutuel wagering activities, whether on-track or off-track, that occur in or affect such states;
  4. “Live racing” means live horse or greyhound racing with pari-mutuel wagering;
  5. “Member state” means each state that has enacted this compact;
  6. “National industry stakeholder” means a non-governmental organization that the compact commission determines from a national perspective significantly represents one (1) or more categories of participants in live racing and pari-mutuel wagering;
  7. “Participants in live racing and pari-mutuel wagering” means all persons who participate in, operate, provide industry services for, or are involved with live racing and pari-mutuel wagering;
  8. “State” means each of the several states of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and each territory or possession of the United States; and
  9. “State racing commission” means the state racing commission, or its equivalent, in each member state. Where a member state has more than one (1), it shall mean all such racing commissions, or their equivalents.

ARTICLE III COMPOSITION AND MEETINGS OF COMPACT COMMISSION

The member states shall create and participate in a compact commission as follows:

  1. This compact shall come into force when enacted by any six (6) eligible states, and shall thereafter become effective as to any other member state that enacts this compact. Any state that has adopted or authorized pari-mutuel wagering or live horse or greyhound racing shall be eligible to become a party to this compact. A compact rule, fee, practice, or program shall not become effective in a new member state based merely upon it entering the compact.
  2. The member states hereby create the racing and wagering commission, a body corporate and an interstate governmental entity of the member states, to coordinate the decision-making and actions of each member state racing commission through a compact commission.
  3. The compact commission shall consist of one (1) commissioner, the chairperson of the state racing commission or such person’s designee, from each member state. When a commissioner is not present to perform any duty in the compact commission, a designated alternate may serve instead. The person who represents a member state in the compact commission shall serve and perform such duties without compensation or remuneration; provided that, subject to the availability of budgeted funds, each may be reimbursed for ordinary and necessary costs and expenses. The designation of a commissioner, including the alternate, shall be effective when written notice has been provided to the compact commission. The commissioner, including the alternate, must be a member or employee of the state racing commission.
  4. The compact commissioner from each state shall participate as an agent of the state racing commission. Each commissioner shall have the assistance of the state racing commission in regard to all decision making and actions of the state in and through the compact commission.
  5. Each member state, by its commissioner, shall be entitled to one (1) vote in the compact commission. A majority vote of the total number of commissioners shall be required to issue or renew a license, to receive and distribute any funds, and to adopt, amend, or rescind the by-laws. A compact rule, fee, practice, or program shall take effect in and for each member state whose commissioner votes affirmatively to adopt it. Other compact actions shall require a majority vote of the commissioners who are meeting.
  6. Meetings and votes of the compact commission may be conducted in person or by telephone or other electronic communication. Meetings may be called by the chairperson of the compact commission or by any two (2) commissioners. Reasonable notice of each meeting shall be provided to all commissioners serving in the compact commission.
  7. No action may be taken at a compact commission meeting unless there is a quorum, which is either a majority of the commissioners in the compact commission or, where applicable, all the commissioners from any member states who propose or are voting affirmatively to adopt a compact rule, fee, practice, or program.
  8. Once effective, the compact shall continue in force and remain binding according to its terms upon each member state; provided that, a member state may withdraw from the compact by repealing the statute that enacted the compact into law. The racing commission of a withdrawing state shall give written notice of such withdrawal to the compact chairperson, who shall notify the member state racing commissions. A withdrawing state shall remain responsible for any unfulfilled obligations and liabilities. The effective date of withdrawal from the compact shall be the effective date of the repeal.

ARTICLE IV OPERATION OF COMPACT COMMISSION

The compact commission is hereby granted, so that it may be an effective means to pursue and achieve the purposes of each member state in this compact, the power and duty:

  1. To adopt, amend, and rescind by-laws to govern its conduct, as may be necessary or appropriate to carry out the purposes of the compact; to publish them in a convenient form; and to file a copy of them with the state racing commission of each member state;
  2. To elect annually from among the commissioners (including alternates) a chairperson, vice-chairperson, and treasurer with such authority and duties as may be specified in the by-laws;
  3. To establish and appoint committees which it deems necessary for the carrying out of its functions, including advisory committees which shall be comprised of national industry stakeholders and organizations, and such other persons as may be designated in accordance with the by-laws, to obtain their timely and meaningful input into the compact rule, fee, practice, and program making processes;
  4. To establish an executive committee, with membership established in the by-laws, which shall oversee the day-to-day activities of compact administration and management by the executive director and staff; hire and fire as may be necessary after consultation with the compact commission; administer and enforce compliance with the provisions, by-laws, rules, fees, practices, and programs of the compact; and perform such other duties as the by-laws may establish;
  5. To create, appoint, and abolish all those offices, employments, and positions, including an executive director, useful to fulfill its purposes; to hire persons for them; to prescribe their powers, duties, and qualifications; and to provide for their term, tenure, removal, compensation, fringe and retirement benefits, and other conditions of employment;
  6. To delegate day-to-day management and administration of its duties, as needed, to an executive director and support staff, such as the Association of Racing Commissioners International, Inc., or its successor;
  7. To adopt an annual budget sufficient to provide for the payment of the reasonable expenses of its establishment, organization, and ongoing activities. The budget shall be fully funded by means established by the compact commission. A member state may choose to participate in funding by means other than a compact fee or fees, in which case the compact commission shall make a finding of how much the member state, including its racing and wagering, may benefit from budget items (less program costs funded by user fees); and the member state may provide such funding by its own means. Indivisible benefits to live racing shall be allocated by proportion of annual purses. Nothing in this provision shall prevent the compact commission from paying obligations accrued in a prior year or from revising its finding of the benefit to a member state from the preceding year; and
  8. To provide a mediation and a binding dispute resolution service for member states who decide to use them to resolve a compact dispute among each other; provided, that the design and implementation of each program shall be established by compact rule making.

ARTICLE V GENERAL POWERS AND DUTIES

To allow each member state, as and when it chooses, to achieve the purpose of this compact through joint and cooperative action, the member states are hereby granted the power and duty, by and through the compact commission:

  1. To act jointly and cooperatively to create a more equitable and uniform pari-mutuel racing and wagering interstate regulatory framework, including but not limited to the adoption of standardized rules of racing and equine drug regulations, closing inequalities in how regulatory standards and statutory requirements apply to industry participants; improving wagering monitoring and integrity; and making industry and participant information more available to government officials;
  2. To collaborate with national industry stakeholders and industry organizations, such as the Racing Medication and Testing Consortium, in the design and implementation of compact rules, fees, practices, and programs in a manner that serves the best interests of racing;
  3. To create more uniform, effective, or efficient practices and programs, with the consent of each member state that shall participate in them, relating to any part of live pari-mutuel horse or greyhound racing or pari-mutuel wagering activities, whether on-track or off-track, that occur in or affect a member state;
  4. To adopt compact rules, which shall have the force and effect of state rules or regulations in the member states who vote to adopt them, to govern all or any part of live pari-mutuel horse and greyhound racing or pari-mutuel wagering activities;
  5. To charge and collect a fee for services provided by the compact, including licensure and renewal of each license applicant, and for defraying the actual cost of compact commission administration, procedures, activities and programs; and
  6. To issue and renew licenses for participants in live racing and pari-mutuel wagering who are found by the compact commission to have met its licensure or renewal requirements in categories it chooses to license. It shall establish the term for each category, and the license criteria and weight given to character and integrity information that in its judgment meet the most restrictive requirements of the member states. The compact commission shall not have the power or authority to deny a license. If it determines that an applicant will not be eligible, it shall notify the applicant that it will not be able to process the application any further, which shall not constitute and shall not be considered to be the denial of a license. Although an applicant shall have the right to present further evidence and to be heard, the final decision on issuance or renewal of a license shall be made by the compact commission pursuant to its established requirements. The compact commission shall have the power and duty to investigate license applicants and, as permitted by federal and state law, to gather information, including criminal history records from the Federal Bureau of Investigation and from state, local, and foreign country law enforcement agencies (including the Royal Canadian Mounted Police), necessary to decide whether an applicant meets its license requirements. Such criminal history record information may be received and reviewed only by the officials on, and employees of, the compact commission, and that information may be used only for the purposes of this compact. No such official or employee may disclose or disseminate such criminal history record information to any person or entity other than another official on, or employee of, the compact commission. The compact commission, its employees, or its designee shall take the fingerprints of each license applicant and, pursuant to Public Law 92-544 or Public Law 100-413, forward the fingerprints to a state identification bureau, the Association of Racing Commissioners International (an association of state officials regulating pari-mutuel wagering, designated by the Attorney General of the United States), or another entity with an equivalent designation, for submission to the Federal Bureau of Investigation or other receiving law enforcement agency. The compact commission shall cooperate with the Interstate Compact on Licensure of Participants in Live Racing with Pari-Mutuel Wagering and, if requested by that entity, assume all of its licensing and employer duties and responsibilities with the authority of and pursuant to all of the licensing standards, laws, rules and regulations applicable to that entity.

ARTICLE VI OTHER POWERS AND DUTIES

The compact commission may exercise such incidental powers and duties as may be necessary and proper for it to function in a useful manner, including but not limited to the power and duty:

  1. To enter into contracts and agreements with governmental agencies and other persons, including officers and employees of a member state, to provide personal services for its activities and such other services as may be necessary;
  2. To borrow, accept, and contract for the services of personnel from any state, federal, or other governmental agency, or from any other person or entity;
  3. To receive information from and to provide information to each member state racing commission, including its officers and staff, on such terms and conditions as may be established in the by-laws;
  4. To acquire, hold, and dispose of any real or personal property by gift, grant, purchase, lease, license, and similar means and to receive additional funds through gifts, grants, and appropriations;
  5. To purchase and maintain insurance and bonds, and to require others to do so;
  6. When authorized by a compact rule, to conduct hearings, issue subpoenas requiring the attendance and testimony of witnesses and the production of evidence, and render decisions and orders;
  7. To establish in the by-laws the requirements that shall describe and govern its duties to conduct open or public meetings and to provide public access to compact records and information, which shall include the exceptions established by law in one (1) or more member states and shield any confidential submissions made in connection with license applications; and
  8. To enforce compliance with the provisions, by-laws, rules, fees, practices, and programs of the compact using such means as may be consistent with this compact.

ARTICLE VII COMPACT RULE MAKING

In the exercise of its rule making authority, the compact commission shall:

  1. Engage in formal rule making pursuant to a process that substantially conforms to the Model State Administrative Procedure Act of 1981 as amended, as may be appropriate to the actions and operations of the compact commission;
  2. Gather information and engage in discussions with advisory committees, national industry stakeholders, and others to foster and conduct a collaborative approach in the design and advancement of compact rules in a manner that serves the best interests of racing and as established in the by-laws;
  3. Not publish a proposed compact rule in a member state over its objection. The affirmative vote of a member state for a proposed compact rule shall be necessary and sufficient to adopt, amend, or rescind a compact rule as applicable to that member state; and
  4. Have a standing committee that reviews at least quarterly the participation in and value of compact rules and, when it determines that a revision is appropriate or when requested to by any member state, submits a revising proposed compact rule. To the extent a revision would only add or remove a member state or states from where a compact rule has been adopted, the vote required by this article shall be required of only such state or states.

ARTICLE VIII COMPACT FEES

  1. The compact commission may charge and collect a fee for services provided by the compact, including licensure and renewal of each license applicant, and for defraying the actual cost of compact commission administration, procedures, activities, and programs; provided that such latter fee or fees shall not create a disproportionate cost for any member state.
  2. Compact fees must relate to participation in live horse or greyhound racing and pari-mutuel wagering activities, whether on-track or off-track, that occur in or affect a member state. No fee shall be adopted except after consultation with relevant advisory committees and interested national industry stakeholders.
  3. The establishment of a compact fee may include a requirement that a participant in live horse or greyhound racing with pari-mutuel wagering, as a condition of continued participation, collect, hold, and remit to the compact commission funds that belong to a third party, with which it conducts related transactions, that is obliged to pay the compact fee.
  4. The compact commission may require fee payments to occur on a periodic basis, accompanied by a sworn report attesting to accuracy and completeness, and may provide that it shall have the power to examine the books and records of any persons required to pay or remit it, for the purpose of ascertaining whether the proper amounts are being paid. Such books and records shall not thereby be made available for public inspection.
  5. No fee shall be adopted before the completion of a period of public notice and participation substantially conforming, as may be appropriate to the actions and operations of the compact commission, for making rules under the Model State Administrative Procedure Act of 1981 as amended.

ARTICLE IX STATUS AND RELATIONSHIP TO MEMBER STATES

  1. The compact commission, as an interstate governmental entity, shall be exempt from all taxation in and by the member states.
  2. The compact commission shall not pledge the credit of any member state except by and with the appropriate legal authority of that state.
  3. The compact commission shall adopt an annual budget that is sufficient to provide for the payment of the reasonable expenses of its establishment, organization, and ongoing activities, and by which member states shall fully fund the compact commission by the means set forth in this compact.
  4. Each member state shall reimburse or otherwise pay the expenses of its commissioner, including any alternate, in the compact commission.
  5. No member state, except as provided in Article XII of this compact, shall be held liable for the debts or other financial obligations incurred by the compact commission.
  6. No member state shall have, while it participates in the compact commission, any claim to or ownership of any property held by or vested in the compact commission or to any compact commission funds held pursuant to this compact except for state license or other fees or moneys collected by the compact commission as its agent.
  7. The compact dissolves upon the date of the withdrawal of the member state that reduces membership in the compact to one (1) state. Upon dissolution, the compact becomes null and void and shall be of no further force or effect, although rules and programs adopted through this compact shall remain rules and programs in each member state that had adopted or consented to them, and the business and affairs of the racing and wagering compact shall be concluded and any surplus funds shall be distributed to the former member states in accordance with the by-laws.

ARTICLE X RIGHTS AND RESPONSIBILITIES OF MEMBER STATES

  1. Each member state in the compact shall accept the decisions, duly applicable to it, of the compact commission in regard to compact rules, fees, practices, and programs, and the issuance or renewal of licenses.
  2. When the compact commission determines that an application shall not be processed further, the member states shall not treat this as the denial of a license or otherwise penalize the applicant because of such action by the compact commission.
  3. Each member state in the compact shall have and exercise the right:
    1. To charge a fee for the use of a compact license within that member state equal to the fee charged for a comparable state license;
    2. To apply its own standards and procedures to determine whether the use of a compact commission license should be suspended or revoked in its jurisdiction;
    3. To apply its own standards for licensure or renewal of state applicants who do not meet the licensure requirements of the compact commission, who are within a category of participants in racing and wagering that the compact commission does not license, or who apply to the member state for a state license; and
    4. To apply its own standards and procedures, except as may be provided by rule, to determine whether a participant in live racing or pari-mutuel wagering has violated any rule or regulation in its jurisdiction and to impose an appropriate penalty.
  4. Each member state racing commission shall promptly notify the compact commission, or its designee, whenever the member state has adjudged a violation of any state or compact rule and imposed a suspension or revocation upon a compact commission licensee.
  5. All departments, agencies, bodies, officers, and employees of each member state and its political subdivisions are authorized to cooperate with the compact commission and shall take all necessary and appropriate action, such as to publish proposed and adopted rules in state registries and administrative codes, to effectuate and in furtherance of compact duties or actions that may affect the state.
  6. This compact shall not be construed to diminish or limit the powers and responsibilities of the member state racing commission, or to invalidate any action it has previously taken, except to the extent it has, by its compact commissioner, expressed its consent to a specific rule or other action of the compact commission. The compact commissioner from each state shall serve as the agent of the state racing commission and shall possess substantial racing and wagering knowledge and experience as a regulator or participant in the racing and wagering industry in order to participate effectively in compact rule making.

ARTICLE XI ENFORCEMENT OF COMPACT

  1. Any member state in the compact and the compact commission may initiate legal action in the United States District Court, in any federal district where the compact commission has an office, to enforce compliance by any member state or the compact commission with the compact provisions, by-laws, fees, findings, practices, and programs.
  2. Any member state in the compact and the compact commission may initiate legal action, in any state or federal court, to enforce the compact provisions, fees, practices, and programs against any person, including a non-member state or political subdivision. Member states that benefit from the compact commission, its employees, or one (1) of its provisions, by-laws, fees, findings, practices, or programs shall provide or share in the cost of legal services to defend or uphold them.
  3. The compact commission shall have standing to intervene in any legal action that pertains to the subject matter of the compact and might affect its powers, duties, or actions.
  4. The courts and executive in each member state shall enforce the compact and take all actions necessary and appropriate to effectuate its purposes and intent. Compact provisions, by-laws, and rules shall be received by all judges, departments, agencies, bodies, and officers of each member state and its political subdivisions as evidence of them.
  5. The compact commission may require, from the date a compact fee was required to be paid, interest not to exceed the rate of one percent (1%) per month and a penalty not to exceed five percent (5%). The compact commission may, if it determines that any fees received by it were paid in error, and provided that an application for it is filed with the compact commission within one (1) year from the time the erroneous payment is made, correct the error by a refund, without interest, including from other collected fees.
  6. The compact commission, if it determines that a payment or report is in error, may make a finding that fixes the correct amount of the fee. It must issue the finding within three (3) years from when a fee or report was due or filed. The finding shall be final and conclusive unless an application for a hearing is filed by the subject within thirty (30) days. The action of the compact commission in making a final finding, after a hearing, shall be reviewable in state court as provided in this compact.

ARTICLE XII LEGAL ACTIONS AGAINST COMPACT

  1. Any person may commence a claim, action, or proceeding against the compact commission in state court for damages or to challenge a compact rule, fee, practice, or program that is duly applicable to that state. The compact commission shall have the benefit of the same limits of liability, defenses, rights to indemnity and defense by the state, and other legal rights and defenses for noncompact matters of the state racing commission in the state. All legal rights and defenses that arise from this compact shall also be available to the compact commission.
  2. A compact commissioner, alternate, or other member or employee of a state racing commission who undertakes compact activities or duties does so in the course of business of their state racing commission, and shall have the benefit of the same limits of liability, defenses, rights to indemnity and defense by the state, and other legal rights and defenses for noncompact matters of state employees in their state. The executive director and other employees of the compact commission shall have the benefit of these same legal rights and defenses of state employees in the member state in which they are primarily employed. All legal rights and defenses that arise from this compact shall also be available to them.
  3. Each member state shall be liable for and pay judgments filed against the compact commission to the extent related to its participation in the compact. Where liability arises from action undertaken jointly with other member states, the liability shall be divided equally among the states for whom the applicable rule, fee, practice, program, or action or omission of the executive director or other employees of the compact commission was undertaken; and no member state shall contribute to or pay, or be jointly or severally or otherwise liable for, any part of any judgment beyond its share as determined in accordance with this article.

ARTICLE XIII RESTRICTIONS ON AUTHORITY

  1. Notwithstanding anything to the contrary herein, the compact commission shall not adopt any practice, program, or rule that may change Kentucky requirements governing the amount and distribution of the takeout, retention, or breakages on intrastate wagers or that imposes licensure requirements for nonracing or non-wagering employees of any racetrack or off-site wagering facility operating wholly within the state.
  2. Kentucky state laws applicable to pari-mutuel racing and wagering shall remain in full force and effect.
  3. Notwithstanding anything to the contrary herein, no fee except for services provided by the compact commission shall be adopted by the compact commission in Kentucky without the prior consent of any horsemen (as expressed by their recognized horsemen’s organization) licensed by the state racing commission who, or any franchised or state racing commission licensed racing corporation that, would be obliged to pay the fee.

ARTICLE XIV CONSTRUCTION, SAVING AND SEVERABILITY

  1. This compact shall be liberally construed so as to effectuate its purposes. The provisions of this compact shall be severable and if any phrase, clause, sentence, or provision of this compact is declared to be contrary to the Constitution of the United States or of any member state, or the applicability of this compact to any government, agency, person, or circumstance is held invalid, the validity of the remainder of this compact and its applicability to any government, agency, person, or circumstance shall not be affected. If all or some portion of this compact is held to be contrary to the constitution of any member state, the compact shall remain in full force and effect as to the remaining member states and in full force and effect as to the state affected as to all severable matters.
  2. In the event of any allegation, finding, or ruling against the compact or its procedures or actions, provided that a member state has followed the compact’s stated procedures, any rule it purported to adopt using the procedures of this statute shall constitute a duly adopted and valid state rule, and any program that it purported to create or agree to using the procedures of this statute shall constitute a duly made and valid state program and multilateral agreement with the other consenting member states.

Legislative Research Commission Note.

(6/8/2011). 2011 Ky. Acts ch. 77, sec. 2, provides that this statute shall take effect upon the enactment of the Interstate Racing and Wagering Compact by at least six eligible states. As of the codification of this statute, that contingency had not been met.

230.3763. Effective date of Interstate Racing and Wagering Compact.

KRS 230.3761 and 230.3765 shall only take effect with respect to any compacting state which has enacted an interstate compact entitled “Interstate Racing and Wagering Compact” and having an identical effect to that added by KRS 230.3761 upon the enactment into law by at least six (6) eligible states, but if such states have already enacted such legislation, KRS 230.3761 and 230.3765 shall take effect immediately; provided, however, that the provisions of KRS 230.3761 and 230.3765 shall expire upon reduction of the membership in such compact to one (1) state.

History. Enact. Acts 2011, ch. 77, § 2, effective June 8, 2011.

230.3765. Review of compact rules under consideration. [Effective upon contingency.]

  1. Each proposed compact rule under consideration for adoption in Kentucky shall be forwarded to the Administrative Regulation Review Subcommittee (“ARRS”) and the subcommittee or standing committee of appropriate jurisdiction over the subject matter of the proposed compact rule (“subject matter committee”) by the Kentucky compact commissioner for review when a rule is initially proposed and, if a rule is substantially modified during the compact commission rule-making process, when the rule is modified.
  2. Each proposed compact rule adopted by the compact commission and upon which the Kentucky compact commissioner has voted in favor shall be forwarded to the ARRS and the subject matter committee simultaneously by the Kentucky compact commissioner for review within sixty (60) days after adoption.
  3. Upon receipt of a proposed, modified, or adopted compact rule, the ARRS and subject matter committee shall review the rule and may forward their respective findings to the Kentucky compact commissioner in writing within ten (10) calendar days.

History. Enact. Acts 2011, ch. 77, § 3, effective upon contingency.

Legislative Research Commission Note.

(6/8/2011). 2011 Ky. Acts ch. 77, sec. 2, provides that this statute shall take effect upon the enactment of the Interstate Racing and Wagering Compact by at least six eligible states. As of the codification of this statute, that contingency had not been met.

230.377. Award of simulcasting and intertrack wagering dates.

  1. Other provisions of the Kentucky Revised Statutes notwithstanding, a track may apply to the racing commission for simulcasting and intertrack wagering dates. Applications shall be submitted in accordance with KRS 230.300 . The racing commission shall not approve the establishment or relocation of a receiving track within a radius of seventy-five (75) miles of a race track duly licensed as of July 15, 1992, without the prior written consent of the licensed track within whose seventy-five (75) mile radius the new receiving track would be located.
  2. On or before November 1 of each year, the racing commission shall meet and award intertrack wagering dates to all tracks for the entire succeeding calendar year. In a geographic area containing more than one (1) track within a fifty (50) mile radius of another track, intertrack wagering, except for quarter horse racing, shall be limited to simulcasting and wagering on racing of the same breed of horse as the receiving track was licensed to race on or before July 15, 1998.
  3. The racing commission shall approve no more than nine (9) tracks for participation in horse racing, intertrack wagering, and simulcasting. Any approval by the racing commission of a change in location of these tracks shall be subject to the local-approval process contained in KRS 230.380 .
  4. A track may by administrative regulation be required to simulcast its races to one (1) or more receiving tracks approved for simulcasting and intertrack wagering, as a prerequisite for the issuance of a license pursuant to KRS 230.300 , provided that:
    1. Each track shall be permitted to exempt one (1) day of racing from simulcasting to both receiving tracks and simulcast facilities, at its discretion;
    2. Tracks in a county containing a city of the first class or a consolidated local government and tracks in an urban-county government shall not be required to simulcast to each other or to any other facility in those counties. This provision shall not be construed as requiring tracks within the same county to simulcast to each other; and
    3. In the absence of a contract between a host track and a receiving track, the commission shall be split as provided for in KRS 230.378(3).
  5. A track may receive simulcasts and conduct interstate wagering thereon subject to the following limitations which shall be in addition to the limitations set forth in KRS 230.3771 :
    1. A track licensed to conduct Thoroughbred racing may receive simulcasts and conduct interstate wagering on all Thoroughbred horse races designated as graded stakes races by the Graded Stakes Committee of the Thoroughbred Owners and Breeders Association, Inc., without further consents or approvals.
    2. A track licensed to conduct harness racing may receive simulcasts and conduct interstate wagering on all harness horse races (both final and elimination) having a final purse in excess of seventy-five thousand dollars ($75,000) without further consents or approvals.
    3. A track licensed to conduct quarter horse racing may receive simulcasts and conduct interstate wagering on all quarter horse races designated as graded stakes races by the graded stakes committee of the American Quarter Horse Association, without further consents or approvals.
    4. A track which applies to the racing commission to receive an interstate race of a different breed than the breed for which it is licensed by the racing commission shall receive any simulcast of an interstate race through the intertrack wagering system upon approval by the racing commission. Notwithstanding the foregoing, a track licensed to conduct horse racing may receive simulcasts and conduct interstate wagering on quarter horse races, subject to the limitations of KRS 230.3771 .
    5. A track may receive simulcasts of special event races conducted in other states or foreign countries which are determined by the racing commission to be of sufficient national or international significance or interest to warrant interstate wagering and if the simulcast of these races has been approved by the Kentucky Thoroughbred Owners and Breeders Association, Inc., the Kentucky Division of the Horseman’s Benevolent and Protective Association, for Thoroughbred races, and the Kentucky Harness Horsemen’s Association for harness racing, and any track conducting live horse races of the same breed at the same time as the simulcast race.
    6. A track may also receive simulcasts and conduct interstate wagering on Thoroughbred horse races other than those described in paragraphs (a) and (e) of this subsection if the simulcast of these races has been approved by the Kentucky Thoroughbred Owners and Breeders Association, Inc., and the Kentucky Horsemen’s Benevolent and Protective Association, for Thoroughbred races, and the Kentucky Harness Horsemen’s Association, or its successor, for harness racing.
    7. The consent required by paragraph (f) of this subsection or by subsections (1)(g) and (2)(g) of KRS 230.3771 shall not be withheld:
      1. For any reason not specifically related to financial harm to live horse racing; or
      2. As a condition to the granting of any contractual or other concession not specifically related to the effects of interstate simulcasting on live horse racing in this Commonwealth, taken as a whole.
    8. A host track located in this state may receive simulcasting of not more than two (2) full cards of racing from another state, if both tracks race horses of the same breed and if:
      1. The race date was previously granted by the Kentucky Horse Racing Commission to conduct live racing at the track located in this state;
      2. Live racing was canceled due to weather conditions; and
      3. The consent required by paragraph (e) of this subsection is obtained.
    9. The in-state track receiving the simulcast specified in paragraph (h) of this subsection shall offer that simulcast to all participating tracks and simulcast facilities in the intertrack wagering system.
    10. All interstate simulcasting shall be conducted in accordance with applicable federal laws.
  6. The racing commission may promulgate necessary and reasonable administrative regulations for the purpose of administering the conduct of intertrack or interstate wagering and regulating the conditions under which wagering shall be held and conducted. Administrative regulations shall provide for the prevention of practices detrimental to the public interest and to impose penalties for violations. All administrative regulations shall be in conformity with the provisions of KRS Chapter 13A, KRS 138.510 , and this chapter.

History. Enact. Acts 1988, ch. 376, § 2, effective July 15, 1988; 1990, ch. 159, § 7, effective March 30, 1990; 1992, ch. 109, § 28, effective March 30, 1992; 1994, ch. 438, § 3, effective July 15, 1994; 1994, ch. 453, § 1, effective July 15, 1994; 1998, ch. 245, § 1, effective July 15, 1998; 2002, ch. 346, § 212, effective July 15, 2002; 2003, ch. 104, § 2, effective June 24, 2003; 2004, ch. 191, § 32, effective July 13, 2004; 2010, ch. 24, § 476, effective July 15, 2010.

NOTES TO DECISIONS

1. Constitutionality.

Even though former subsection (5) of this section was unconstitutional as a special or local act since the remaining portions of the statute are not essentially and inseparably connected with the unconstitutional part and there is no indication at all that the legislation would not have been passed absent this provision aforesaid nor is there any factor in the record to overcome the presumption of severability, the act remains enforceable to the extent that it authorizes simulcasting and places its regulation and administration under the jurisdiction of the appropriate state racing commission. Tri-City Turf Club, Inc. v. Public Protection & Regulation Cabinet, 806 S.W.2d 394, 1991 Ky. App. LEXIS 2 (Ky. Ct. App. 1991).

2. — Special and Local Act.

Since a review of the legislation that enacted former subsection of this section enacted in 1988 disclosed no legislative history concerning intertrack wagering in Kentucky and the title of the statute did not reflect a substantial justification for the distinction which affects Henderson County alone, such former subsection was determined to be unconstitutional as special or local law. Tri-City Turf Club, Inc. v. Public Protection & Regulation Cabinet, 806 S.W.2d 394, 1991 Ky. App. LEXIS 2 (Ky. Ct. App. 1991).

Opinions of Attorney General.

The Kentucky Racing Commission must exercise its discretion in deciding whether to award a license to an organization that does not plan to conduct live racing during the year for which the license is sought. If the Commission does not believe that granting such a license would be in the best interests of the state, the community, and the industry, it should not grant the license. OAG 92-134 .

230.3771. Limitations on and conditions for interstate simulcasting and wagering at Thoroughbred tracks, harness tracks, and simulcast facilities.

  1. A Thoroughbred track licensed to conduct Thoroughbred racing may receive interstate simulcasts of Thoroughbred, quarter horse, paint horse, Appaloosa, and Arabian horse races, and conduct interstate wagering thereon, subject to the following limitations:
    1. A Thoroughbred receiving track may receive interstate simulcasts of Thoroughbred races and conduct interstate wagering thereon at any time of day and during any live Thoroughbred horse race meet conducted in the Commonwealth of Kentucky so long as the Thoroughbred receiving track conducting interstate wagering remits to the Thoroughbred host track conducting a live meet, from the first awarded day of its live meet through the last awarded day of the same live meet, the amounts provided in paragraph (j) of this subsection.
    2. A Thoroughbred host track which receives interstate simulcasts and conducts interstate wagering thereon during the period of time from the first awarded day of its live meet through the last awarded day of its live meet shall offer the simulcasts to all Thoroughbred receiving tracks, all harness tracks not subject to the provisions of KRS 230.377(2), and all simulcast facilities through the intertrack wagering system.
    3. Except as otherwise prohibited by law, a receiving track shall conduct intertrack wagering on all live races of all Thoroughbred host tracks on any day on which it receives an interstate simulcast for the purpose of conducting interstate wagering.
    4. No host track shall require that any receiving track or simulcast facility receive the interstate simulcast.
    5. If more than one (1) Thoroughbred track conducts live racing at the same time on the same day, no track or simulcast facility may receive an interstate simulcast of Thoroughbred races unless all Thoroughbred tracks conducting live racing at the same time of day agree upon all interstate simulcasts to be received and the division of the Thoroughbred host track’s commission. If more than one (1) Thoroughbred track conducts live racing at different times on the same day, the Thoroughbred host track with the highest average daily handle, based on the preceding year, shall be the host track for purposes of splitting the commissions earned on interstate wagering at receiving tracks within the Commonwealth. For purposes of this subsection, average daily handle includes live handle, intertrack wagering handle, and simulcast facility handle. Also for purposes of this subsection, the time of day during which a host track conducts live racing commences with its first published post time and concludes ten (10) minutes after the published post time of its last race of the day, regardless of actual post times.
    6. Each Thoroughbred track which desires to conduct interstate wagering pursuant to the provisions of this subsection shall during each year make application to the racing commission for no less than one hundred percent (100%) of the number of racing days awarded to the track in 1994 and one hundred percent (100%) of the number of races scheduled to be run by the track in 1993.
    7. Notwithstanding paragraph (f) of this subsection, any Thoroughbred track may apply for less than one hundred percent (100%) of the number of racing days awarded to the track in 1994 or one hundred percent (100%) of the number of races scheduled to be run by the track in 1993, if written approval is obtained from the Kentucky Horsemen’s Benevolent and Protective Association and the Kentucky Thoroughbred Owners and Breeders Association, Inc.
    8. A separate accounting on all interstate simulcasting shall be submitted to the racing commission. The accounting shall be submitted in the same format and at the same time that the report for intertrack wagering is submitted.
    9. If the only simulcast or simulcasts a track participating as a host track makes available for interstate wagering through this state’s intertrack wagering system on any race day are Thoroughbred horse races designated as graded stakes races by the Graded Stakes Committee of the Thoroughbred Owners and Breeders Association, Inc., then the commission of the receiving track on these interstate wagers shall be split as prescribed by KRS 230.378(3); otherwise, the commission of the receiving track shall be split as prescribed by paragraph (j) of this subsection. Interstate simulcasts received by a Thoroughbred host track under the conditions set forth in this paragraph shall not be subject to the conditions set forth in paragraphs (b), (c), (e), and (f) of this subsection.
    10. A receiving track’s commission on interstate wagering, after deduction of applicable taxes and any amounts required to be paid by contract to the track from which the interstate simulcast originated, shall be split as follows:
      1. Twenty-five percent (25%) to the receiving track where the interstate wagering occurs;
      2. Twenty-five percent (25%) to the Thoroughbred host track designated by paragraphs (a) and (e) of this subsection. However, if the race does not occur between the first awarded day of a live meet and the last awarded day of the same live meet, an additional twenty-five percent (25%) shall be retained by the receiving track where the interstate wagering occurs;
      3. Twenty-five percent (25%) to the purse program of the receiving track where the interstate wagering occurs; and
      4. Twenty-five percent (25%) to the purse program of the Thoroughbred host track designated by paragraphs (a) and (e) of this subsection. However, if the race does not occur between the first awarded day of a live meet and the last awarded day of the same live meet, then an additional twenty-five percent (25%) shall be paid to the purse program of the receiving track where the interstate wagering occurs.
    11. A simulcast facility’s commission on interstate wagering on Thoroughbred racing, after deduction of applicable taxes and any amounts required to be paid by contract to the track from which the interstate simulcast originated, shall be split as provided in KRS 230.380(9).
  2. A harness track licensed to conduct harness racing may receive interstate simulcasts of harness horse, quarter horse, paint horse, Appaloosa, and Arabian horse races and conduct interstate wagering thereon subject to the following limitations:
    1. A harness receiving track may receive interstate simulcasts of harness races, quarter horse races, paint horse races, Appaloosa races, and Arabian horse races, and conduct interstate wagering thereon at any time of day and during the course of any live harness horse race meet conducted in the Commonwealth of Kentucky so long as the harness receiving track conducting interstate wagering remits to the harness host track conducting a live meet, from the first awarded day of its live meet through the last awarded day of the same live meet, the amounts provided in paragraph (j) of this subsection.
    2. A harness host track which receives an interstate simulcast and conducts interstate wagering thereon during its live race meet shall offer the simulcasts to all Thoroughbred receiving tracks not subject to the provisions of KRS 230.377(2), all harness tracks, and all simulcast facilities through the intertrack wagering system.
    3. Except as otherwise prohibited by law, a harness receiving track or a simulcast facility shall conduct intertrack wagering on all live races of a harness host track on any day it receives an interstate simulcast from a harness host track.
    4. No host track shall require that any receiving track or simulcast facility receive the interstate simulcast.
    5. If more than one (1) harness track conducts live racing at the same time on the same day, no track or simulcast facility may receive an interstate simulcast on harness races unless all harness tracks conducting live racing at that time of day agree upon the interstate simulcast to be received and the division of the harness host track’s commission. If more than one (1) harness track conducts live racing at different times on the same day, the harness host track with the highest average daily handle, based on the preceding year, shall be the host track for purposes of splitting the commissions earned on interstate wagering at receiving tracks within the Commonwealth. For purposes of this subsection, average daily handle includes live handle, intertrack wagering handle, and simulcast facility handle. Also for purposes of this subsection, the time of day during which a host track conducts live racing commences with its first published post time and conclude ten (10) minutes after the published post time of its last race of the day, regardless of actual post times.
    6. Each harness track which desires to conduct interstate wagering pursuant to the provisions of this subsection shall during each year make application to the racing commission for no less than one hundred percent (100%) of the number of racing days awarded to the track in 1994 and one hundred percent (100%) of the number of races scheduled to be run by the track in 1993.
    7. Notwithstanding paragraph (f) of this subsection, any harness track may apply for less than one hundred percent (100%) of the number of racing days awarded to the track in 1994 or one hundred percent (100%) of the number of races scheduled to be run by the track in 1993, if written approval is obtained from the Kentucky Harness Horsemen’s Association, or its successor.
    8. A separate accounting on all interstate simulcasting shall be submitted to the racing commission. This accounting shall be submitted in the same format and at the same time that the report for intertrack wagering is submitted.
    9. If the only simulcast or simulcasts a track participating as a harness host track makes available for interstate wagering through this state’s intertrack wagering system on any race day are harness horse races (both final and elimination) having a final purse in excess of seventy-five thousand dollars ($75,000), then the commission of the receiving track on these interstate wagers shall be split as prescribed by KRS 230.378(3); otherwise, the commission of the receiving track shall be split as prescribed by paragraph (j) of this subsection. Interstate simulcasts received by a harness host track under the conditions set forth in this paragraph shall not be subject to the conditions set forth in paragraphs (b), (c), (e), and (f) of this subsection.
    10. A receiving track’s commission on interstate wagering, after deduction of applicable taxes and any amounts required to be paid by contract to the track from which the interstate simulcast originated, shall be split as follows:
      1. Twenty-five percent (25%) to the receiving track where the interstate wagering occurs;
      2. Twenty-five percent (25%) to the harness host track designated by paragraphs (a) and (e) of this subsection. However, if no live meet is occurring, an additional twenty-five percent (25%) shall be retained by the receiving track where the interstate wagering occurs;
      3. Twenty-five percent (25%) to the purse program of the receiving track where the interstate wagering occurs; and
      4. Twenty-five percent (25%) to the purse program of the harness host track designated by paragraphs (a) and (e) of this subsection. However, if no live meet is occurring, an additional twenty-five percent (25%) shall be paid to the purse program of the receiving track where the interstate wagering occurs.
    11. A simulcast facility’s commission on interstate wagering on harness races, after deduction of applicable taxes and any amount required to be paid by contract to the track from which the interstate simulcast originated, shall be split as provided in KRS 230.380(9).
  3. A harness track may only receive interstate simulcasts of Thoroughbred horse races and conduct interstate wagering thereon as provided in subsection (1)(b) of this section. A Thoroughbred track may only receive interstate simulcasts of harness horse races and conduct interstate wagering thereon as provided in subsection (2)(b) of this section. A simulcast facility may only receive interstate simulcasts of Thoroughbred and harness horse races and conduct interstate wagering thereon as provided in subsections (1)(b) and (2)(b) of this section.
    1. A Thoroughbred track licensed to conduct horse racing may receive interstate simulcasts of quarter horse, paint horse, Appaloosa, and Arabian horse races and conduct interstate wagering thereon, subject to the limitations stated in paragraph (b) of this subsection. (4) (a) A Thoroughbred track licensed to conduct horse racing may receive interstate simulcasts of quarter horse, paint horse, Appaloosa, and Arabian horse races and conduct interstate wagering thereon, subject to the limitations stated in paragraph (b) of this subsection.
    2. A receiving track’s commission on interstate wagering, after deduction of applicable taxes and any amounts required to be paid by contract to the track from which the interstate simulcast originated, shall be split as follows:
      1. Twenty-five percent (25%) to the receiving track where the interstate wagering occurs;
      2. Twenty-five percent (25%) to the host track; and
      3. Fifty percent (50%) to the Kentucky quarter horse, paint horse, Appaloosa, and Arabian purse fund established by KRS 230.446 to supplement purses for quarter horse, paint horse, Appaloosa, and Arabian horse races in this state.
    1. A harness track licensed to conduct horse racing may receive interstate simulcasts of quarter horse, paint horse, Appaloosa, and Arabian horse races and conduct interstate wagering thereon, subject to the limitations stated in paragraphs (b) and (c) of this subsection. (5) (a) A harness track licensed to conduct horse racing may receive interstate simulcasts of quarter horse, paint horse, Appaloosa, and Arabian horse races and conduct interstate wagering thereon, subject to the limitations stated in paragraphs (b) and (c) of this subsection.
    2. A receiving track’s commission on interstate wagering, after deduction of applicable taxes and any amounts required to be paid by contract to the track from which the interstate simulcast originated, shall be split as follows:
      1. Twenty-five percent (25%) to the purse program of the receiving track;
      2. Twenty-five percent (25%) to the purse program of the host track;
      3. Twenty-five percent (25%) to the receiving track; and
      4. Twenty-five percent (25%) to the host track.
    3. When a quarter horse, paint horse, Appaloosa, or Arabian horse race is run at a Kentucky race track, the commission to the Kentucky quarter horse, paint horse, Appaloosa, and Arabian purse fund established by KRS 230.446 shall be twenty-two percent (22%) from the host track’s purse share.
  4. Other provisions of the Kentucky Revised Statutes notwithstanding, any track in a geographic area that contains more than one (1) track within a fifty (50) mile radius of any other track may only receive interstate simulcasts on racing of the same breed of horse as the track was licensed to race on or before July 15, 1998, except any track may receive interstate simulcasts on quarter horse, paint horse, Appaloosa, or Arabian horse races.

HISTORY: Enact. Acts 1994, ch. 438, § 1, effective July 15, 1994; 1998, ch. 245, § 2, effective July 15, 1998; 2003, ch. 104, § 3, effective June 24, 2003; 2004, ch. 191, § 33, effective July 13, 2004; 2010, ch. 24, § 477, effective July 15, 2010; 2010, ch. 57, § 2, effective July 15, 2010; 2012, ch. 21, § 2, effective July 12, 2012; 2015 ch. 47, § 6, effective June 24, 2015.

230.3773. Interstate common wagering pools.

  1. As used in this section, “interstate common wagering pool” means a pari-mutuel pool established in one (1) horse racing jurisdiction that is combined with comparable pari-mutuel pools from at least one (1) horse racing jurisdiction for the purpose of establishing payoff prices in the various jurisdictions.
  2. Interstate wagers at a receiving track may form an interstate common wagering pool with wagers at a track in another jurisdiction, and the receiving track may adopt the commission and breakage rates of the track at which the race is being run. The racing commission may also approve types of wagering, distribution of winnings, and rules of racing for interstate common wagering pools that are different from those that normally apply in Kentucky.
  3. Wagers placed on any races run at track in Kentucky may be combined with wagers placed at tracks in other jurisdictions to form an interstate common wagering pool located either within or outside Kentucky.
  4. A track’s participation in an interstate common wagering pool does not cause that track to be considered to be doing business in any jurisdiction other than the jurisdiction where the track is physically located. Excise taxes and commission rates may not be imposed on any interstate common wagering pool other than on amounts actually wagered in Kentucky. The combination of pari-mutuel pools as provided in this section constitutes the communication of wagering information for purposes of calculating odds and payoffs only and does not constitute the transfer of wagers in interstate commerce.

History. Enact. Acts 1994, ch. 438, § 2, effective July 15, 1994; 2004, ch. 191, § 34, effective July 13, 2004; 2010, ch. 24, § 478, effective July 15, 2010.

230.378. Wagers at track, at simulcast facility, or through telephone account wagering system — Commission — Tax exemption.

  1. A receiving track may accept wagers only at the track where it is licensed to conduct its race meeting or conduct intertrack wagering. A receiving track may accept wagers through a telephone account wagering system. Wagers at a receiving track, simulcast facility, or on telephone account wagering shall form a common pool with wagers at a host track. This common pool requirement shall not apply to wagers made in connection with interstate simulcasting pursuant to KRS 230.3771 ; however, common pools shall be encouraged.
  2. Except as provided in KRS 230.3771(2), the commission of a receiving track, simulcast facility, or on telephone account wagering shall be the same as the commission of the host track as determined in KRS 230.3615 or 230.750 .
  3. In the absence of a valid contract with a horsemen’s organization, the commission of a receiving track, after deduction of applicable taxes and other applicable deductions, shall be split as follows: twenty-two percent (22%) to the host track, twenty-two percent (22%) to the purse program at the host track, twenty-two percent (22%) to the receiving track and twenty-two percent (22%) to the purse program at the receiving track. Twelve percent (12%) of the commission shall be allocated evenly between the host track and the receiving track to cover the cost of simulcasting, unless otherwise agreed to by contract.
  4. The deduction for the backside improvement fund, as provided for in KRS 230.3615(4) shall not apply to the commission or pari-mutuel tax of a receiving track or telephone account wagering.
  5. A receiving track shall be exempt from the admissions tax levied in KRS 138.480 and from any license fee imposed by statute or regulation by the racing commission.

History. Enact. Acts 1988, ch. 376, § 3, effective July 15, 1988; 1990, ch. 159, § 8, effective March 30, 1990; 1992, ch. 109, § 29, effective March 30, 1992; 1994, ch. 438, § 4, effective July 15, 1994; 1998, ch. 216, § 1, effective July 15, 1998; 2004, ch. 191, § 35, effective July 13, 2004; 2010, ch. 24, § 479, effective July 15, 2010.

Legislative Research Commission Note.

(7/15/98). In codifying a change to this statute from the 1998 Regular Session, existing references to the former KRS 138.515 have been changed to read KRS 230.3615 under KRS 7.136 (e). In 1992, KRS 138.515 was repealed, reenacted, and amended as KRS 230.3615 . 1992 Ky. Acts ch. 109, sec. 8.

Research References and Practice Aids

Northern Kentucky Law Review.

Dunn, Kentucky Division, Horsemen’s Benevolent & Protective Association, Inc. v. Turfway Park Racing Association, Inc.: Controlling the Stakes of Kentucky Horseracing, 22 N. Ky. L. Rev. 405 (1995).

230.379. Telephone account wagering — Use of credit card.

  1. A track may engage in telephone account wagering, if all moneys used to place telephone account wagers are on deposit in an amount sufficient to cover the wagers at the track where the account is opened. All moneys wagered by telephone account wagering shall be subject to the applicable pari-mutuel tax levied in KRS 138.510 and shall form a common pool with other pari-mutuel pools at the track for each posted race. The racing commission shall have authority to promulgate necessary and reasonable administrative regulations to regulate the conduct of telephone account wagering, including regulations for the deposit of funds by credit or debit cards or other means of electronic funds transfer.
  2. A track shall accept and tabulate a telephone account wager only from the holder of a telephone wagering account. No person shall directly or indirectly act as an intermediary, transmitter, or agent in the placing of wagers for a holder of a telephone wagering account. No person shall in any manner place a wager through telephone account wagering, on behalf of a holder of a telephone wagering account. Only the holder of a telephone wagering account shall place a telephone wager. Any person violating this subsection shall be guilty of a Class A misdemeanor.
  3. Telephone account wagering conducted in accordance with the provisions of this section shall not be considered a violation of KRS 528.110 .

History. Enact. Acts 1988, ch. 376, § 4, effective July 15, 1988; 1990, ch. 159, § 9, effective March 30, 1990; 1992, ch. 109, § 30, effective March 30, 1992; 2004, ch. 191, § 36, effective July 13, 2004; 2010, ch. 24, § 480, effective July 15, 2010.

Opinions of Attorney General.

Because services provided by a corporation which enables individuals to place bets on horse races from their home telephones or personal computers comply with the requirements of this section and KRS 230.210(17), they do not contravene the prohibition on “messenger betting” contained in KRS 528.110 . OAG 04-005 .

KRS 230.361(1) should not be construed as prohibiting activities permitted by this section. OAG 04-005 .

Research References and Practice Aids

Cross-References.

Designation of offenses; penalties, see KRS 532.020 .

Kentucky Law Journal.

Soukup, Rolling the Dice on Precedent and Wagering on Legislation: The Law of Gambling Debt Enforceability in Kentucky after Kentucky Off-Track Betting, Inc. v. McBurney and KRS § 372.005 ., 95 Ky. L.J. 529 (2006/2007).

230.380. Simulcast facilities — Restrictions and prohibitions — Tax implications — Percentage of wagers to local economic development — Commissions — Report on money expended.

  1. Any track licensed by the racing commission to conduct horse racing and desiring to establish a simulcast facility shall apply for and may receive approval from the racing commission for each simulcast facility. Prior to considering an application for approval of a simulcast facility, the racing commission shall notify by regular mail, each state senator, state representative, county judge/executive, and mayor in the jurisdiction in which the proposed simulcast facility is located, at least ten (10) days in advance of the racing commission meeting at which the application is to be considered or voted upon. Consideration of an application shall be based on criteria contained in administrative regulations promulgated under KRS 230.300 . Approval, if granted, shall be granted for a term of one (1) calendar year.
  2. A track or tracks may proceed with the establishment of a simulcast facility unless, within sixty (60) days of the date on which the racing commission approved the facility, the governing body of the local government jurisdiction in which the facility is to be located votes, by simple majority of those voting, to disapprove the establishment of the simulcast facility. For the purposes of this section, “governing body” means, in an incorporated area, the board of aldermen, city council or board of commissioners; in a county, the fiscal court; in an urban-county government, the urban-county council, or in a charter county, the legislative body created in accordance with KRS 67.825 to 67.875 .
  3. The racing commission shall not approve the establishment of any simulcast facility within a radius of fifty (50) miles of a licensed track. The racing commission may approve the establishment of one (1) simulcast facility within a radius of greater than fifty (50) miles but less than seventy-five (75) miles of a licensed track, but the facility shall not be approved to operate without the prior written consent of the licensed track within whose seventy-five (75) mile radius the facility is located.
  4. The racing commission may promulgate administrative regulations as it deems appropriate to protect the integrity of pari-mutuel wagering at any simulcast facility.
  5. Licensed tracks conducting horse racing may enter into joint agreements to establish or operate one (1) or more simulcast facilities, on terms and conditions as the participating tracks may determine. Any agreements respecting these arrangements shall be filed with the racing commission, and applications for simulcast facilities shall be filed by and licenses may be issued to, these licensed tracks by the racing commission.
  6. A simulcast facility may be established and operated on property that is owned or leased and which is not used solely for the operation of a simulcast facility; provided however, that a simulcast facility may not be established on the premises of a lottery vendor.
  7. A simulcast facility shall not be subject to and shall not pay any excise tax imposed pursuant to KRS 138.510 , any license tax imposed under KRS 137.170 , or any admission tax imposed under KRS 138.480 .
  8. One percent (1%) of all moneys wagered at a simulcast facility shall be dedicated for local economic development and shall be allocated as follows:
    1. If a simulcast facility is located in an incorporated area, seventy-five percent (75%) shall be allocated to the governing body of the city in which the facility is located, and twenty-five percent (25%) to the governing body of the county in which the facility is located.
    2. If a simulcast facility is located in an unincorporated area, all moneys shall be allocated to the governing body of the county or charter county in which the facility is located.
    1. After the deduction of moneys under subsection (8), simulcast facility shall deduct a commission allowed under KRS 230.3615 with respect to all wagers made at the simulcast facility. The commission, less moneys allocated in subsection (8) of this section, shall be split as follows: (9) (a) After the deduction of moneys under subsection (8), simulcast facility shall deduct a commission allowed under KRS 230.3615 with respect to all wagers made at the simulcast facility. The commission, less moneys allocated in subsection (8) of this section, shall be split as follows:
      1. Thirty percent (30%) shall be allocated to the host track;
      2. Forty-six and one-half percent (46.5%) to the purse program at the host track;
      3. Thirteen and one-half percent (13.5%) to be retained by the track or tracks owning the simulcast facility for the purpose of application to expenses incurred in connection therewith;
      4. Six percent (6%) to be allocated to the Kentucky Thoroughbred Owners and Breeders, Inc., to be expended as follows:
        1. Up to three percent (3%) for capital improvements and promotion of off-track betting; and
        2. The remainder for marketing and promoting the Kentucky Thoroughbred industry; and
      5. Four percent (4%) to be allocated to the racing commission to be used for purses at county fairs in Kentucky licensed and approved by the racing commission, and for the standardbred sires stakes program established under KRS 230.770 .
    2. The commission of a simulcast facility derived from interstate wagering shall be reduced by any amounts required to be paid by contract to the host track or track conducting the live race before it is divided as set forth in this section. No simulcast facility may receive any interstate simulcast except with the approval of the live Kentucky host track.
    3. The Kentucky Thoroughbred Owners and Breeders, Inc., shall annually report to the racing commission on all money expended in accordance with subsection (9)(a)4. of this section. The report shall be in the form required, and provide all information required by the racing commission.
  9. Subsections (1) and (2) of this section shall also apply to the establishment by a track of a noncontiguous facility in a county in which pari-mutuel racing and wagering is not being conducted. Subsection (8) of this section shall also apply to a noncontiguous race track facility referenced in this subsection, unless there is a written agreement to the contrary between the track establishing the facility and the governing body of the local government jurisdiction in which the facility is to be established.

History. Enact. Acts 1992, ch. 109, § 2, effective March 30, 1992; 1998, ch. 237, § 1, effective July 15, 1998; 2000, ch. 447, § 1, effective July 14, 2000; 2004, ch. 191, § 37, effective July 13, 2004; 2010, ch. 24, § 481, effective July 15, 2010.

Legislative Research Commission Note.

(7/15/98). Under KRS 7.136(1)(e), a reference to the former KRS 138.515 in subsection (9)(a) of this statute has been changed to KRS 230.3615 because of 1992 Ky. Acts ch. 109, sec. 8.

NOTES TO DECISIONS

1. In General.

There is no direct conflict between KRS 372.010 , KRS 230.215 and KRS 230.380 ; the statutes in question address different issues and there is no basis to find that the Legislature implicitly repealed KRS 372.010 simply because off-track betting is legal. Kentucky Off-Track Betting v. McBurney, 993 S.W.2d 946, 1999 Ky. LEXIS 69 ( Ky. 1999 ).

Pari-Mutuel Wagering for Harness Racing

230.385. Regulation of pari-mutuel wagering. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 1, effective July 15, 1980; 1986, ch. 296, § 6, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.386. Report of unclaimed pari-mutuel tickets presumed abandoned. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 2, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.387. Money to be turned over to commission. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 3, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.388. Judicial determination of rights. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 4, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.389. Payment to commission relieves person of claims liability. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 5, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.390. Time for filing claims. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 6, effective July 15, 1980; 1982, ch. 120, § 1, effective July 15, 1982) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.391. Commission’s consideration of claim — Payment. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 7, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.392. Appeals. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 8, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.393. Examination of records. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 9, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.394. Rules. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 10, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.395. Civil action authorized. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 11, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.396. Costs — Payment. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 12, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.397. Statute of limitations for person under disability. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1980, ch. 84, § 13, effective July 15, 1980) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.398. Funds to be used for purses at harness racing events at county fairs.

All sums reported and paid to the racing commission under the provisions of KRS 230.361 to 230.373 by any licensee conducting a harness race meeting shall be used by it for purses at harness racing events at county fairs within the Commonwealth of Kentucky that have been licensed and approved by it. The racing commission shall have the authority to promulgate administrative regulations as may be necessary for the conduct of these races.

History. Enact. Acts 1980, ch. 84, § 14, effective July 15, 1980; 1992, ch. 109, § 31, effective March 30, 1992; 2004, ch. 191, § 38, effective July 13, 2004; 2010, ch. 24, § 482, effective July 15, 2010.

Thoroughbred Development Fund

230.400. Thoroughbred development fund — Allocation — Advisory committee — Uses of fund.

  1. There is hereby created a trust and revolving fund for the Kentucky Horse Racing Commission, designated as the Kentucky Thoroughbred development fund, consisting of money allocated to the fund under the provisions of KRS 138.510 , together with other money contributed to or allocated to the fund from all other sources. Money to the credit of the Kentucky Thoroughbred development fund shall be distributed by the Treasurer for the purposes of this section upon authorization of the Kentucky Horse Racing Commission and upon approval of the secretary of the Finance and Administration Cabinet. Money from the Kentucky Thoroughbred development fund shall be allocated to each licensed association in an amount equal to the amount the association contributed to the fund. Money to the credit of the Kentucky Thoroughbred development fund at the end of each fiscal year shall not lapse, but shall be carried forward in such fund to the succeeding fiscal year.
  2. There is hereby established, under the general jurisdiction of the Kentucky Horse Racing Commission, a Kentucky Thoroughbred Development Fund Advisory Committee. The advisory committee shall consist of five (5) members, all of whom shall be residents of Kentucky, to be appointed by the chairman of the Kentucky Horse Racing Commission by July 1 of each year. The committee shall consist of two (2) Thoroughbred breeders recommended by the Kentucky Thoroughbred Owners and Breeders, Inc.; one (1) Thoroughbred owner recommended by the Kentucky division of the Horsemen’s Benevolent and Protective Association; one (1) officer or director of a licensed association conducting Thoroughbred racing in Kentucky, recommended by action of all of the licensed associations conducting Thoroughbred racing in Kentucky; and one (1) member of the Kentucky Horse Racing Commission. If any member other than the racing commission member has not been recommended for appointment by July 1 of each year, the chairman of the Kentucky Horse Racing Commission shall make an appointment for the organization or organizations failing to recommend a member of the committee. The members of the advisory committee shall serve without compensation, but shall be entitled to reimbursement for all expenses incurred in the discharge of official business. The advisory committee shall select from its membership annually a chairman and a vice chairman.
    1. The Kentucky Thoroughbred Development Fund Committee shall advise and assist the Kentucky Horse Racing Commission in the development of the supplemental purse program provided herein for Kentucky-bred Thoroughbreds, shall make recommendations to the racing commission from time to time with respect to the establishment of guidelines, administrative regulations for the provision of supplemental purses, the amount thereof, the races for which the purses are to be provided and the conditions thereof, manner and method of payment of supplemental purses, registry of Thoroughbred stallions standing within the Commonwealth of Kentucky, registry of Kentucky-bred Thoroughbreds for purposes of this section, nature and type of forms and reports to be employed and required in connection with the establishment, provision for, award and payment of supplemental purses, and with respect to all other matters necessary in connection with the carrying out of the intent and purposes of this section. (3) (a) The Kentucky Thoroughbred Development Fund Committee shall advise and assist the Kentucky Horse Racing Commission in the development of the supplemental purse program provided herein for Kentucky-bred Thoroughbreds, shall make recommendations to the racing commission from time to time with respect to the establishment of guidelines, administrative regulations for the provision of supplemental purses, the amount thereof, the races for which the purses are to be provided and the conditions thereof, manner and method of payment of supplemental purses, registry of Thoroughbred stallions standing within the Commonwealth of Kentucky, registry of Kentucky-bred Thoroughbreds for purposes of this section, nature and type of forms and reports to be employed and required in connection with the establishment, provision for, award and payment of supplemental purses, and with respect to all other matters necessary in connection with the carrying out of the intent and purposes of this section.
    2. The Kentucky Horse Racing Commission shall employ qualified personnel as may be required to assist the racing commission and the advisory committee in carrying out the provisions of this section. These persons shall serve at the pleasure of the racing commission and compensation for these personnel shall be fixed by the racing commission. The compensation of these personnel and the necessary expenses incurred by the racing commission or by the committee in carrying out the provisions of this section shall be paid out of the Kentucky Thoroughbred development fund.
  3. The Kentucky Horse Racing Commission, with the advice and assistance of the Kentucky Thoroughbred Development Fund Advisory Committee, shall use the Kentucky Thoroughbred development fund to promote, enhance, improve, and encourage the further and continued development of the Thoroughbred breeding industry in Kentucky by providing, out of the Kentucky Thoroughbred development fund, supplemental purses for designated stakes, handicap, allowance, nonclaiming maiden races, and allowance optional claiming races for a claiming price of not less than twenty-five thousand dollars ($25,000) contested at licensed Thoroughbred race meetings in Kentucky. The Kentucky Horse Racing Commission shall, by administrative regulation promulgated in accordance with KRS Chapter 13A, establish the requirements, conditions, and procedures for awarding and payment of supplemental purses in designated races by Kentucky-bred Thoroughbred horses. That portion of the supplemental purse provided for any designated race shall be awarded and paid to the owner of the horse only if the horse is a Kentucky-bred Thoroughbred duly registered with the official registrar. Any portion of the supplemental purse which is not awarded and paid over shall be returned to the Kentucky Thoroughbred development fund.
    1. For purposes of this section, the term “Kentucky Thoroughbred stallion” shall mean and include only a Thoroughbred stallion standing the entire breeding season in Kentucky and registered as a Kentucky Thoroughbred stallion with the official registrar of the Kentucky Thoroughbred development fund. (5) (a) For purposes of this section, the term “Kentucky Thoroughbred stallion” shall mean and include only a Thoroughbred stallion standing the entire breeding season in Kentucky and registered as a Kentucky Thoroughbred stallion with the official registrar of the Kentucky Thoroughbred development fund.
    2. Except for Thoroughbred horses foaled prior to January 1, 1980, the term “Kentucky-bred Thoroughbreds,” for purposes of this section, shall mean and include only Thoroughbred horses sired by Kentucky Thoroughbred stallions foaled in Kentucky and registered as a Kentucky-bred Thoroughbred with the official registrar of the Kentucky Thoroughbred development fund.
    3. Any Thoroughbred horse foaled prior to January 1, 1980, may qualify as a Kentucky-bred Thoroughbred for purposes of this section if the horse was foaled in Kentucky and if the sire of the Thoroughbred was standing at stud within Kentucky at the time of conception of such Thoroughbred, provided the Thoroughbred is duly registered as a Kentucky-bred Thoroughbred with the official registrar of the Kentucky Thoroughbred development fund.
    4. In order for an owner of a Kentucky-sired Thoroughbred to be eligible to demand, claim, and receive a portion of a supplemental purse provided by the Kentucky Thoroughbred development fund, the Thoroughbred horse in a designated race for which a supplemental purse has been provided by the Kentucky Thoroughbred development fund must have been duly registered as a Kentucky-bred Thoroughbred with the official registrar of the Kentucky Thoroughbred development fund prior to entry in the race.
    1. Kentucky Thoroughbred Owners and Breeders, Inc., is hereby recognized and designated as the sole official registrar of the Kentucky Thoroughbred development fund for the purposes of registering Kentucky Thoroughbred stallions and Kentucky-bred Thoroughbreds in accordance with the terms of this section and any administrative regulations promulgated by the Kentucky Horse Racing Commission. When a Kentucky-bred Thoroughbred is registered with the official registrar, the registrar shall be authorized to stamp the Jockey Club certificate issued for the Thoroughbred with the seal of the registrar, certifying that the Thoroughbred is a duly qualified and registered Kentucky-bred Thoroughbred for purposes of this section. The registrar may establish and charge, with the approval of the racing commission, reasonable registration fees for its services in the registration of Kentucky Thoroughbred stallions and in the registration of Kentucky-bred Thoroughbreds. Registration records of the registrar shall be public records and open to public inspection at all normal business hours and times. (6) (a) Kentucky Thoroughbred Owners and Breeders, Inc., is hereby recognized and designated as the sole official registrar of the Kentucky Thoroughbred development fund for the purposes of registering Kentucky Thoroughbred stallions and Kentucky-bred Thoroughbreds in accordance with the terms of this section and any administrative regulations promulgated by the Kentucky Horse Racing Commission. When a Kentucky-bred Thoroughbred is registered with the official registrar, the registrar shall be authorized to stamp the Jockey Club certificate issued for the Thoroughbred with the seal of the registrar, certifying that the Thoroughbred is a duly qualified and registered Kentucky-bred Thoroughbred for purposes of this section. The registrar may establish and charge, with the approval of the racing commission, reasonable registration fees for its services in the registration of Kentucky Thoroughbred stallions and in the registration of Kentucky-bred Thoroughbreds. Registration records of the registrar shall be public records and open to public inspection at all normal business hours and times.
    2. Any interested party aggrieved by the failure or refusal of the official registrar to register a stallion or Thoroughbred as a Kentucky stallion or as a Kentucky-bred Thoroughbred shall have the right to file with the racing commission, within thirty (30) days of such failure or refusal of the registrar, a petition seeking registration of the Thoroughbred. The racing commission shall promptly hear the matter de novo and issue its order directing the official registrar to register or not to register as it may be determined by the racing commission.
  4. The Kentucky Horse Racing Commission shall promulgate administrative regulations as may be necessary to carry out the provisions and purposes of this section, including the promulgation of administrative regulations and forms as may be appropriate for the proper registration of Kentucky stallions and Kentucky-bred Thoroughbreds with the official registrar, and shall administer the Kentucky-bred Thoroughbred program created hereby in a manner best designed to promote and aid in the further development of the Thoroughbred breeding industry in Kentucky, to upgrade the quality of Thoroughbred racing in Kentucky, and to improve the quality of Thoroughbred horses bred in Kentucky.

History. Enact. Acts 1978, ch. 190, § 1, effective June 17, 1978; 1982, ch. 100, § 7, effective July 15, 1982; 1992, ch. 109, § 32, effective March 30, 1992; 2004, ch. 191, § 39, effective July 13, 2004; 2010, ch. 24, § 483, effective July 15, 2010; 2014, ch. 106, § 2, effective April 10, 2014.

Opinions of Attorney General.

Although this section is silent as to the method the Racing Commission may use to police the development fund, the power to regulate does not imply the power to preapprove or disapprove stakes nominations blanks and condition books. OAG 78-731 .

Research References and Practice Aids

Kentucky Law Journal.

Bonnie, Corrupt Horse Racing Practices Act of 1980: A Threat to State Control of Horse Racing, 70 Ky. L.J. 1159 (1981-82).

230.410. Quarter horse, Appaloosa defined. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 1; 1972, ch. 376, § 1; 1984, ch. 222, § 1) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.413. Kentucky quarter horse, Appaloosa and Arabian commission — Members — Term — Report — Compensation. [Repealed.]

Compiler’s Notes.

This section (Enact. 1968, ch. 206, § 2; 1972, ch. 376, § 2; 1976, ch. 206, § 32; 1978, ch. 154, § 24; 1984, ch. 222, § 2) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.417. Secretary of commission, functions. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 3; 1972, ch. 376, § 3; 1984, ch. 222, § 3) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.420. Regulations for races — License required — Revocation of license. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 4; 1972, ch. 376, § 4; 1974, ch. 403, § 9; 1984, ch. 222, § 4) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.423. Conducting or participating in nonlicensed race prohibited — Public nuisance, abatement. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 5; 1972, ch. 376, § 5; 1974, ch. 403, § 10; 1984, ch. 222, § 5) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.427. Race meetings, when held — Prize regulations. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 6; Acts 1972, ch. 376, § 6; 1976, ch. 176, § 1; 1984, ch. 222, § 6) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.430. Entry of horse under false name or out of class prohibited. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 7) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.433. Change of name — Concealing or misrepresenting past performance prohibited. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 8) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.437. Timer not to announce false time. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 9; 1972, ch. 376, § 7; 1984, ch. 222, § 7) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

230.440. Licensed track to be bonded. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 10; 1972, ch. 376, § 8; 1984, ch. 222, § 8) was repealed by Acts 1986, ch. 296, § 19, effective July 15, 1986.

Quarter Horse and Appaloosa Racing

230.443. Horses conceived by artificial insemination or other means eligible to race.

Quarter horses, paint horses, Appaloosas, and Arabian horses conceived by artificial insemination or other means shall be eligible to race under the provisions of this chapter.

HISTORY: Enact. Acts 1968, ch. 206, § 11; 1972, ch. 376, § 9; 1984, ch. 222, § 9, effective July 13, 1984; 1986, ch. 296, § 7, effective July 15, 1986; 1992, ch. 109, § 33, effective March 30, 1992; 2004, ch. 173, § 1, effective April 22, 2004; 2004, ch. 191, § 54, effective July 13, 2004; 2006, ch. 234, § 1, effective April 22, 2006; 2015 ch. 47, § 8, effective June 24, 2015.

Legislative Research Commission Note.

(4/22/2006). 2006 Ky. Acts ch. 234, sec. 4, provides that the Act, which included an amendment to this statute, shall be known as the “2006 Kentucky Equine Competitiveness Act.”

230.445. Kentucky quarter horse, paint horse, Appaloosa, and Arabian development fund — Contributions — Purposes — Distribution — Administrative regulations.

  1. There is hereby created a trust and revolving fund for the Kentucky Horse Racing Commission designated the Kentucky quarter horse, paint horse, Appaloosa, and Arabian development fund, consisting of money allocated to the fund under KRS 230.3771 together with any other money contributed to or allocated to the fund from all other sources. For the purposes of this section, “development fund” or “fund” means the Kentucky quarter horse, paint horse, Appaloosa, and Arabian development fund. Money to the credit of the development fund shall be distributed by the Treasurer for the purposes provided in this section, upon authorization of the Kentucky Horse Racing Commission and upon approval of the secretary of the Finance and Administration Cabinet. Notwithstanding KRS 45.229 , money to the credit of the fund at the end of the fiscal year shall not lapse but shall be carried forward in the fund to the succeeding fiscal year. Interest earnings of the fund shall become a part of the fund and shall not lapse. Moneys in the fund shall be used and are hereby appropriated for purposes specified in this section.
  2. The Kentucky Horse Racing Commission shall use the development fund to promote races and to provide purses for races for horses bred and foaled in the Commonwealth. The commission shall provide for distribution of money to the credit of the development fund to persons, corporations, or associations operating licensed tracks within Kentucky conducting quarter horse, paint horse, Appaloosa, or Arabian horse racing, on an equitable basis as determined by the commission and in conformance with subsection (3) of this section.
  3. The Kentucky Horse Racing Commission shall:
    1. Fix the amount of money to be paid from the development fund to be added to the purse provided for each race by the licensed operator of the track;
    2. Fix the dates and conditions of races to be held by licensed tracks; and
    3. Promulgate administrative regulations necessary to carry out the provisions of this section.
  4. The Kentucky Horse Racing Commission shall appoint qualified personnel as necessary to:
    1. Supervise registration of, or determine the eligibility of, horses entitled to entry in races which receive a portion of purse money from the development fund; and
    2. Assist the commission in determining the conditions, class, and quality of the fund-supported race program established to carry out the purposes of this section.
  5. The commission shall promulgate administrative regulations to carry out the provisions of this section and shall administer the Kentucky quarter horse, paint horse, Appaloosa, and Arabian development fund in a manner designed to:
    1. Promote and aid in the development of the horse industry in Kentucky;
    2. Upgrade the quality of racing in Kentucky; and
    3. Improve the quality of horses bred in Kentucky.

Money from the fund shall be allocated to each breed of horse represented in the fund in an amount equal to the amount the breed has contributed to the fund.

The personnel shall serve at the pleasure of the commission and compensation shall be fixed by the commission with the compensation and necessary expenses of the personnel paid from the development fund.

History. Enact. Acts 2010, ch. 57, § 4, effective July 15, 2010; 2015 ch. 47, § 2, effective June 24, 2015.

Legislative Research Commission Note.

(7/15/2010). References to the “Kentucky Horse Racing Authority” and “authority” in this section, as created by 2010 Ky. Acts ch. 57, sec. 4, have been changed in codification to the “Kentucky Horse Racing Commission” and “commission” to reflect the reorganization of certain parts of the Executive Branch, as set forth in Executive Order 2009-535 and confirmed by the General Assembly in 2010 Ky. Acts ch. 24. These changes were made by the Reviser of Statutes pursuant to 2010 Ky. Acts ch. 24, sec. 1938.

230.446. Kentucky quarter horse, paint horse, Appaloosa, and Arabian purse fund — Purposes — Distribution and allocation of funds — Administration of fund by Kentucky Horse Racing Commission.

  1. The Kentucky quarter horse, paint horse, Appaloosa, and Arabian purse fund is created as a trust and agency fund to be administered by the Kentucky Horse Racing Commission and shall consist of moneys allocated to the fund under KRS 230.3771 together with any other moneys contributed to or allocated to the fund from all other sources. For the purposes of this section, “purse fund” or “fund” means the Kentucky quarter horse, paint horse, Appaloosa, and Arabian purse fund.
  2. Notwithstanding KRS 45.229 , money to the credit of the fund at the end of the fiscal year shall not lapse but shall be carried forward in the fund to the succeeding fiscal year. Interest earnings of the fund shall become a part of the fund and shall not lapse.
  3. Moneys in the fund shall be used and are hereby appropriated for purposes specified in this section.
  4. The Kentucky Horse Racing Commission shall use the purse fund to promote racing and to provide purses for races conducted in the Commonwealth as follows:
    1. The Kentucky Horse Racing Commission shall provide for distribution of money from the fund to persons, corporations, or associations operating licensed tracks within the Commonwealth conducting quarter horse, paint horse, Appaloosa, or Arabian horse racing;
    2. Moneys from the purse fund shall be allocated to each breed of horse represented in the fund in proportion to the amount each breed has contributed to the fund; and
    3. The Kentucky Horse Racing Commission shall consult with the Kentucky Quarter Horse Racing Association or its successor, the Kentucky Appaloosa Owners Association or its successor, the Kentucky Paint Horse Club or its successor, and the Kentucky Arabian Horse Association or its successor, to designate the races and the amount of purse money to be provided for designated races for each breed respectively.
  5. The Kentucky Horse Racing Commission shall:
    1. Fix the dates and conditions of races to be held by licensed tracks;
    2. Fix the amount of money to be paid from the fund to be added to the purse provided for each race by the licensed operator of the track; and
    3. Promulgate administrative regulations necessary to carry out the provisions of this section.
  6. The Kentucky Horse Racing Commission shall carry out the provisions of this section and administer the purse fund in a manner designed to promote and aid in the development of the horse industry in Kentucky and upgrade the quality of horse racing in Kentucky.

History. Enact. Acts 2012, ch. 21, § 3, effective July 12, 2012; 2015 ch. 47, § 3, effective June 24, 2015.

230.447. Wagering governed by regulations. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1968, ch. 206, § 12; 1970, ch. 92, § 76; 1972, ch. 376, § 10; 1974, ch. 403, § 11; 1984, ch. 222, § 10, effective July 13, 1984) was repealed by Acts 1986, ch. 29, § 19, effective July 15, 1986.

230.510. Kentucky horse council established — Membership — Officers — Oath — Offices — Meetings — Compensation. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 297, § 1; 1978, ch. 154, § 25, effective June 17, 1978) was repealed by Acts 1986, ch. 96, § 10, effective July 15, 1986.

230.520. Duties. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 297, § 2) was repealed by Acts 1986, ch. 96, § 10, effective July 15, 1986.

Equine Industry Program

230.550. Creation of Equine Industry Program — Purpose — Funding.

  1. There is hereby established an Equine Industry Program at the University of Louisville, under the general control and direction of the university. The purpose of the Equine Industry Program is to provide training and educational opportunities in the horse racing industry relating to, but not limited to, finance, management, marketing, regulation and administration aspects of the horse racing industry, in accordance with the industry needs as determined by the university.
  2. There is hereby created a trust and revolving fund for the Equine Industry Program, consisting of money allocated to the fund together with money as may be contributed to the fund from all other sources. Money to the credit of the Equine Industry Program fund at the end of each fiscal year shall not lapse but shall be carried forward to the succeeding fiscal year. Money from the Equine Industry Program fund shall be administered by the University of Louisville and shall be allocated for the funding of the Equine Industry Program.
  3. The University of Louisville shall utilize personnel and facilities of the University of Kentucky when appropriate for assistance in any cooperative undertakings the University of Louisville may wish to enter into with the University of Kentucky relating to the Equine Industry Program.

History. Enact. Acts 1986, ch. 214, § 12, effective July 15, 1986.

230.555. Equine Industry Advisory Commission.

  1. The president of the University of Louisville shall appoint an Equine Industry Advisory Commission composed of five (5) members who are Kentucky citizens and at least three (3) of whom shall be representatives of the Kentucky equine industry. One (1) of these appointees shall be designated chairman of the commission. Their terms shall be for four (4) years or until their successors are named.
  2. The Equine Industry Advisory Commission shall make recommendations to the president for development of a comprehensive equine industry program.
  3. The Equine Industry Advisory Commission members shall not be compensated for their time but expenses may be reimbursed from the Equine Industry Program trust and revolving fund.
  4. Staff services for the Equine Industry Advisory Commission shall be provided by the University of Louisville.

History. Enact. Acts 1986, ch. 214, § 13, effective July 15, 1986.

Trotting and Harness Racing

230.610. Definitions for KRS 230.620 to 230.760. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 1; 1986, ch. 296, § 8, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.620. Kentucky harness racing commission — Advisory members — Organization — Biennial report — Compensation and reimbursement. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 2; 1976, ch. 206, § 33; 1978, ch. 154, § 26, effective June 17, 1978; 1982, ch. 379, § 8, effective April 9, 1982; 1986, ch. 214, § 9, effective July 15, 1986; 1986, ch. 296, § 9, effective July 15, 1986; 1988, ch. 376, § 10, effective July 15, 1988; 1988, ch. 394, § 1, effective July 15, 1988) was repealed by Acts 1988, ch. 394, § 3, effective July 15, 1989.

230.622. Kentucky Harness Racing Commission — Organization — Former advisory members’ status — Biennial report — Compensation and reimbursement. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1988, ch. 492, § 2, effective July 15, 1989) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.630. Authority and power of commission. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 3; 1986, ch. 296, § 10, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.640. Purpose — Policy — Penalty. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 4; 1986, ch. 296, § 11, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.650. Secretary of commission — Other personnel. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1950, ch. 173, § 3; 1974, ch. 346, § 5) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.660. Appointment of additional employees — Payment of salaries. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 6; 1986, ch. 214, § 10, effective July 15, 1986; 1986, ch. 296, § 12, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.670. Legal counsel. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 7) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.680. Requirement for license — Fee. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 8; 1986, ch. 296, § 13, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.690. License to conduct horse racing or engage in simulcasting or intertrack wagering as a receiving track. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 9; 1978, ch. 384, § 95, effective June 17, 1978; 1986, ch. 296, § 14, effective July 15, 1986; 1990, ch. 159, § 10, effective March 30, 1990) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.700. Attendants’ licenses. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 10; 1982, ch. 120, § 2, effective July 15, 1982; 1986, ch. 214, § 11, effective July 11, 1986; 1986, ch. 296, § 10, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.710. Format and content of licenses. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 11) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.720. Suspension or revocation of license — Appeal. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 12; 1986, ch. 16, § 16, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.730. Proceedings on appeal. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 13; 1976, ch. 62, § 108) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

230.740. Scope of provisions — Taxes. [Repealed.]

Compiler’s Notes.

This section (Enact. Acts 1974, ch. 346, § 14; 1986, ch. 296, § 17, effective July 15, 1986) was repealed by Acts 1992, ch. 109, § 40, effective March 30, 1992.

Legislative Research Commission Note.

(7/14/92). This section was amended by the 1992 Regular Session of the General Assembly and also repealed. Pursuant to KRS 446.260 , the repeal prevails.

230.750. Maximum allowable commission for harness track — Allocation of portion of commission.

The commission, including the tax levied in KRS 138.510 , deducted from the gross amount wagered by the person, corporation, or association which operates a harness horse track under the jurisdiction of the racing commission at which betting is conducted through a pari-mutuel or other similar system shall not exceed eighteen percent (18%) of the gross amount handled on straight wagering pools and twenty-five percent (25%) of the gross amount handled on multiple wagering pools, plus the breaks, which shall be made and calculated to the dime. Multiple wagering pools shall include daily double, perfecta, double perfecta, quinella, double quinella, trifecta, and other types of exotic betting. An amount equal to three percent (3%) of the total amount wagered and included in the commission of a harness host track shall be allocated by the harness host track in the following manner. Two percent (2%) shall be allocated to the host for capital improvements, promotions, including advertising, or purses, as the host track shall elect. Three-quarters of one percent (3/4 of 1%) shall be allocated to overnight purses. One-quarter of one percent (1/4 of 1%) shall be allocated to the Kentucky standardbred development fund. This allocation shall be made after deduction from the commission of the pari-mutuel tax but prior to any other deduction, allocation or division of the commission.

HISTORY: Enact. Acts 1974, ch. 346, § 15; 1976, ch. 343, § 3; 1980, ch. 83, § 1, effective July 15, 1980; 1986, ch. 296, § 18, effective July 15, 1986; 1988, ch. 376, § 11, effective July 15, 1988; 1990, ch. 159, § 11, effective March 30, 1990; 1992, ch. 109, § 34, effective March 30, 1992; 2004, ch. 191, § 43, effective July 13, 2004; 2010, ch. 24, § 484, effective July 15, 2010; 2015 ch. 47, § 7, effective June 24, 2015.

230.752. Harness racetracks — Exemption from tax under KRS 138.510(2) — Use of moneys not paid as tax.

All harness racetracks licensed by the racing commission shall not be required to pay the excise tax imposed under KRS 138.510(2), and the amount that would have been paid under those subsections shall be retained by the track to promote and maintain its facilities and its live meet.

History. Enact. Acts 2004, ch. 173, § 8, effective July 13, 2004; 2009 (1st Ex. Sess.), ch. 1, § 62, effective June 26, 2009; 2010, ch. 24, § 485, effective July 15, 2010.

Legislative Research Commission Note.

(7/13/2004). This statute, as enacted in 2004 Ky. Acts ch. 173, sec. 8, contained a reference to “the commission.” The Reviser of Statutes has changed this reference to read “the authority.” The change was made in accordance with 2004 Ky. Acts ch. 191, sec. 56, which instructs the Reviser of Statutes to “replace references in the Kentucky Revised Statutes to the agencies, subagencies, and officers affected by this Act with references to the appropriate successor agencies, subagencies, and officers established by this Act.” Under 2004 Ky. Acts ch. 191, the Kentucky Racing Commission was abolished, and its successor agency is the Kentucky Horse Racing Authority.

230.760. Exemption from liability.

No licensee conducting a race or meet hereunder, no member of the racing commission, judge, or assistant official appointed to act as such pursuant to this chapter, shall be liable for damages to any person, association, or corporation for any cause whatsoever arising out of or from the performance by the licensee, member of the racing commission, judge, or assistant official of his duties and the exercise of his discretion with respect thereto, so long as he acted in good faith, without malice or improper motive.

History. Enact. Acts 1974, ch. 346, § 16; 1992, ch. 109, § 35, effective March 30, 1992; 2010, ch. 24, § 486, effective July 15, 2010.

Legislative Research Commission Note.

(1/20/2006). This statute, as enacted in 1974 Ky. Acts ch. 346, sec. 16, contained references to “the commission” and “commissioner.” The Reviser of Statutes has changed these references to read “the authority” and “member of the authority.” The change was made in accordance with 2004 Ky. Acts ch. 191, sec. 56, which instructs the Reviser of Statutes to “replace references in the Kentucky Revised Statutes to the agencies, subagencies, and officers affected by this Act with references to the appropriate successor agencies, subagencies, and officers established by this Act.” Under 2004 Ky. Acts ch. 191, the Kentucky Racing Commission was abolished, and its successor agency is the Kentucky Horse Racing Authority.

230.770. Kentucky standardbred development fund — Contributions — Purposes — Distribution — Administrative regulations.

  1. There is hereby created a trust and revolving fund for the Kentucky Horse Racing Commission, designated as the Kentucky standardbred development fund, consisting of money allocated to the fund under the provisions of KRS 138.510 , together with any other money contributed to or allocated to the fund from all other sources. For the purposes of this section, “development fund” or “fund” means the Kentucky standardbred development fund. Money to the credit of the development fund shall be distributed by the Treasurer for the purposes provided in this section, upon authorization of the Kentucky Horse Racing Commission and upon approval of the secretary of the Finance and Administration Cabinet. Money to the credit of the fund at the end of each fiscal year shall not lapse but shall be carried forward in the fund to the succeeding fiscal year.
  2. The Kentucky Horse Racing Commission shall use the development fund to promote races, and to provide purses for races, for Kentucky-bred standardbred horses.
  3. The racing commission shall provide for distribution of money to the credit of the development fund to persons, corporations, or associations operating licensed standardbred race tracks within Kentucky on an equitable basis, for the purpose of conducting separate races for Kentucky-bred standardbred horses, both trotting and pacing.
  4. Money distributed from the development fund to licensed standardbred race tracks within the Commonwealth shall be used exclusively to promote races and provide purses for races conditioned to admit only Kentucky-bred standardbred horses.
  5. The Kentucky Horse Racing Commission shall fix the amount of money to be paid from the development fund to be added to the purse provided for each race by the licensed operator of the track; shall fix the dates and conditions of races to be held by licensed race tracks; and shall promulgate administrative regulations necessary to carry out the provisions of this section.
  6. The Kentucky Horse Racing Commission may promulgate administrative regulations necessary to determine the eligibility of horses for entry in races for which a portion of the purse is provided by money of the development fund, including administrative regulations for the eligibility, residency, and registration of mares, stallions, and progeny thereof. Registration of stallions may occur any time during the breeding season, but shall occur no later than December 31 of the year of conception of the eligible horse.
  7. The Kentucky Horse Racing Commission shall appoint qualified personnel necessary to supervise registration of, or determination of eligibility of, horses entitled to entry in races, a portion of the purse of which is provided by the development fund, to assist the racing commission in determining the conditions, class, and quality of the fund supported race program to be established hereunder so as to carry out the purposes of this section. These persons shall serve at the pleasure of the racing commission and compensation shall be fixed by the racing commission. The compensation of personnel and necessary expenses shall be paid out of the development fund. The racing commission shall promulgate administrative regulations to carry out the provisions of this section, and shall administer the Kentucky sire stakes program created hereby in a manner best designed to promote and aid in the development of the horse industry in Kentucky; to upgrade the quality of racing in Kentucky; and to improve the quality of horses bred in Kentucky.

History. Enact. Acts 1976, ch. 343, § 1; 1988, ch. 376, § 12, effective July 15, 1988; 1992, ch. 109, § 36, effective March 30, 1992; 2004, ch. 191, § 40, effective July 13, 2004; 2006, ch. 234, § 3, effective April 22, 2006; 2010, ch. 24, § 487, effective July 15, 2010; 2010, ch. 57, § 3, effective July 15, 2010; 2013, ch. 71, § 1, effective June 25, 2013.

Legislative Research Commission Notes.

(7/15/2010). This section was amended by 2010 Ky. Acts chs. 24 and 57. Where these Acts are not in conflict, they have been codified together. Where a conflict exists, Acts ch. 57, which was last enacted by the General Assembly, prevails under KRS 446.250 .

(4/22/2006). 2006 Ky. Acts ch. 234, sec. 4, provides that the Act, which included an amendment to this statute, shall be known as the “2006 Kentucky Equine Competitiveness Act.”

Opinions of Attorney General.

In view of the fact that subsection (4) of this section gives the Kentucky Harness Racing Commission the power to fix the dates and conditions of the Kentucky Standardbred Development Fund races to be staged, and further in view of the fact that 811 KAR 1:200, § 13, directs that the Commission shall annually make provisions for the distribution of funds for stake races, it is exceedingly evident that the fund, if suddenly faced with the situation where only three tracks are to be awarded racing dates, may stage 24 races, staging 8 races at each of the three tracks which have been granted racing dates. OAG 83-441 .

International Racing Hubs

230.775. Definitions for KRS 230.775 to 230.785.

As used in KRS 230.775 to 230.785 , unless the context requires otherwise:

  1. “Hub” means an international wagering hub, a business which, through a qualified subscriber-based service, conducts pari-mutuel wagering on the horse races that it simulcasts and other races that it carries in its wagering menu;
  2. “Qualified subscriber-based service” means any information service or system, including but not limited to a closed-loop system, that uses:
    1. A device or combination of devices authorized and operated exclusively for placing, receiving, or otherwise making pari-mutuel wagers on horse races by a customer subscriber base through accounts established with the operator of the hub;
    2. An effective customer verification and age verification system; and
    3. Appropriate data security standards to prevent unauthorized access by nonsubscribers or minors;
  3. “Foreign jurisdiction” means states other than Kentucky, a territory of the United States, a foreign country, or any political subdivision thereof;
  4. “Racing commission” means the Kentucky Horse Racing Commission or its successor; and
  5. “Call center” means that portion of a qualified subscriber-based service that is physically located in the Commonwealth, where wagers are placed, received, or otherwise made by a customer subscriber base through accounts established with the operator of the hub.

History. Enact. Acts 2004, ch. 173, § 2, effective July 13, 2004; 2010, ch. 24, § 488, effective July 15, 2010.

230.777. Applicability of KRS 230.378, 230.379, and 230.380 for residents of Kentucky — Establishment of accounts for out-of-state individuals.

  1. Except as otherwise provided in KRS 230.775 to 230.785 , the provisions of KRS 230.378 , 230.379 , and 230.380 shall apply to the establishment of authorized hub accounts for residents of the Commonwealth of Kentucky.
  2. Accounts may be established for individuals outside of the Commonwealth of Kentucky, including foreign jurisdictions, if:
    1. Pari-mutuel wagering on horse racing is lawful in the jurisdiction of the account holder’s principal residence; and
    2. The hub complies with the Interstate Horseracing Act, 15 U.S.C. secs. 3001 to 3007. The call center used in the operations of the hub shall not be located on state property.

History. Enact. Acts 2004, ch. 173, § 3, effective July 13, 2004; 2009, ch. 80, § 12, effective June 25, 2009.

230.779. Operation of hub — Application for licensure — Requirements — Investigations — Inspections — Administrative regulations — Review and audit.

  1. Notwithstanding KRS 230.361(1), a licensee may operate the hub either independently or in association with one (1) or more racetracks licensed by the racing commission to run live races and conduct pari-mutuel wagering in Kentucky. Hub operations may be physically located on property other than that operated by a racetrack and may accept wagers at that location and shall comply with the Interstate Horseracing Act, 15 U.S.C. secs. 3001 to 3007.
  2. As a part of the application for licensure as a hub, an applicant shall submit a detailed plan of operations in a format and containing any information as required by the racing commission. The application shall be accompanied by an application fee to cover incremental costs to the racing commission, in an amount the racing commission determines to be appropriate. At a minimum, the operating plan shall address the following:
    1. The manner in which the proposed wagering system will operate, including its proposed operating schedule;
    2. The requirements for a qualified subscriber-based service set out in KRS 230.775 ; and
    3. The requirements for accounts established and operated for persons whose principal residence is outside of the Commonwealth of Kentucky.
  3. The racing commission may require changes in a proposed plan of operations as a condition of licensure. Subsequent material changes in the system’s operation shall not occur unless approved by the racing commission.
  4. The racing commission may conduct investigations or inspections or request additional information from any applicant as it deems appropriate in determining whether to approve the license application.
  5. An applicant licensed under this section may enter into any agreements that are necessary to promote, advertise, and further the sport of horse racing, or for the effective operation of hub operations, including, without limitation, interstate account wagering, television production, and telecommunications services.
  6. The racing commission shall promulgate administrative regulations to effectuate the provisions of KRS 230.775 to 230.785 . The administrative regulations shall include but not be limited to criteria for licensing, the application process, the format for the plan of operations, requisite fees, procedures for notifying the racing commission of substantive changes, contents of agreements entered into under subsection (5) of this section, procedures for accounting for wagers made, and other matters reasonably necessary to implement KRS 230.775 to 230.785 .
  7. The racing commission may require the hub to make the following payments to the racing commission:
    1. A license fee not to exceed two hundred dollars ($200) per operating day; and
    2. A fee of not more than one percent (1%) of the hub’s total gross wagering receipts.
  8. A hub’s records and financial information shall not be subject to the provisions of KRS 61.870 to 61.884 .
  9. The Auditor of Public Accounts may review and audit all records and financial information of the hub, including all account information. The Auditor shall prepare a report of the review and audit which shall not contain any proprietary information regarding the hub. A copy of the report shall be sent to the Legislative Research Commission for referral to the appropriate committee.

History. Enact. Acts 2004, ch. 173, § 4, effective July 13, 2004; 2010, ch. 24, § 489, effective July 15, 2010.

230.781. Fees and taxes.

Except as otherwise provided in KRS 230.779(7), the operator of a hub shall not be subject to any fee or tax imposed on racetracks or simulcast facilities under KRS 137.170 , 138.480 , 138.510 , or Chapter 230 for the hub operator’s wagering and simulcast operations established under KRS 230.775 to 230.785 .

History. Enact. Acts 2004, ch. 173, § 5, effective July 13, 2004.

230.783. Wagers considered made in Kentucky — Prohibited wagers — Revocation of hub license — Applicability of KRS 137.170, 138.480, 138.510, and Chapter 230.

  1. Any wager that is made for an account maintained with the hub operator shall be considered to have been made in the Commonwealth of Kentucky.
  2. Account holders may communicate instructions concerning account wagers to the hub only by telephonic or other electronic means.
  3. None of the following wagers shall be processed through a hub:
    1. A wager on live racing accepted by a track;
    2. A telephone account wager accepted by a track;
    3. An intertrack wager accepted by a receiving track or simulcast facility; or
    4. An interstate wager accepted by a receiving track or simulcast facility.
  4. Any hub that processes any of the wagers delineated in subsection (3) of this section from a track, receiving track, or simulcast facility shall be subject to revocation of its hub license.
  5. Except as provided in KRS 230.752 , nothing in KRS 230.775 to 230.785 shall exempt racetracks or simulcast facilities from any taxes imposed under KRS 137.170 , 138.480 , 138.510 , or Chapter 230.

History. Enact. Acts 2004, ch. 173, § 6, effective July 13, 2004.

230.785. Access for review and audit of hub operator — Audited financial statements.

The racing commission or its staff shall, upon request, be given access, for review and audit, to all records and financial information of the hub operator, including all account information. The racing commission may require that the hub operator annually submit to the racing commission audited financial statements.

History. Enact. Acts 2004, ch. 173, § 7, effective July 13, 2004; 2010, ch. 24, § 490, effective July 15, 2010.

230.800. Kentucky Thoroughbred breeders incentive fund — Creation — Funding sources — Administrative regulations — Kentucky Horse Racing Commission to administer fund.

  1. There is hereby created in the State Treasury a trust and revolving fund designated as the “Kentucky Thoroughbred breeders incentive fund.” The fund shall be administered by the Kentucky Horse Racing Commission. For all tax periods beginning on or after June 1, 2005, eighty percent (80%) of all receipts collected under KRS 139.531(1)(a) from the sales and use tax on the fees paid for breeding a stallion to a mare in Kentucky shall be deposited in the fund together with any other money contributed, appropriated, or allocated to the fund from all other sources. The money deposited in the fund is hereby appropriated for the uses set forth in this section. Any money remaining in the fund at the close of any calendar year shall not lapse but shall be carried forward to the next calendar year. The fund may also receive additional state appropriations, gifts, grants, and federal funds. All interest earned on money in the fund shall be credited to the fund.
    1. The Kentucky Horse Racing Commission shall use moneys deposited in the Kentucky Thoroughbred breeders incentive fund to administer the fund and provide rewards for breeders of horses bred and foaled in Kentucky. (2) (a) The Kentucky Horse Racing Commission shall use moneys deposited in the Kentucky Thoroughbred breeders incentive fund to administer the fund and provide rewards for breeders of horses bred and foaled in Kentucky.
    2. The Kentucky Horse Racing Commission shall promulgate administrative regulations establishing the conditions and criteria for the distribution of moneys from the fund.
    3. The Department of Revenue may promulgate administrative regulations establishing the procedures necessary to determine the correct allocation of sales tax receipts described in subsection (1) of this section.
    4. As soon as practicable after the close of each calendar year, the racing commission shall disburse to breeders of horses moneys in the Kentucky Thoroughbred breeders incentive fund pursuant to the administrative regulations promulgated pursuant to paragraph (b) of this subsection.

History. Enact. Acts 2005, ch. 168, § 133, effective June 1, 2005; 2010, ch. 24, § 491, effective July 15, 2010.

230.802. Kentucky standardbred breeders incentive fund — Creation — Funding sources — Administrative regulations — Kentucky Horse Racing Commission to administer fund.

  1. There is hereby created in the State Treasury a trust and revolving fund designated as the “Kentucky standardbred breeders incentive fund.” The fund shall be administered by the Kentucky Horse Racing Commission. For tax periods beginning on or after June 1, 2005, thirteen percent (13%) of all receipts collected under KRS 139.531(1)(a) from the sales and use tax on the fees paid for breeding a stallion to a mare in Kentucky shall be deposited in the fund together with any other money contributed, appropriated, or allocated to the fund from all other sources. The money deposited in the fund is hereby appropriated for the uses set forth in this section. Any money remaining in the fund at the close of any calendar year shall not lapse but shall be carried forward to the next calendar year. The fund may also receive additional state appropriations, gifts, grants, and federal funds. All interest earned on money in the fund shall be credited to the fund.
    1. The Kentucky Horse Racing Commission shall use moneys deposited in the Kentucky standardbred breeders incentive fund to administer the fund and provide rewards for breeders or owners of Kentucky-bred standardbred horses. (2) (a) The Kentucky Horse Racing Commission shall use moneys deposited in the Kentucky standardbred breeders incentive fund to administer the fund and provide rewards for breeders or owners of Kentucky-bred standardbred horses.
    2. The Kentucky Horse Racing Commission shall promulgate administrative regulations establishing the conditions and criteria for the distribution of moneys from the fund.
    3. The Department of Revenue may promulgate administrative regulations establishing the procedures necessary to determine the correct allocation of sales tax receipts described in subsection (1) of this section.
    4. As soon as practicable after the close of each calendar year, the racing commission shall disburse moneys in the Kentucky standardbred breeders incentive fund to be used to promote, enhance, improve, and encourage the further and continued development of the standardbred breeding industry in Kentucky, under the administrative regulations promulgated pursuant to paragraph (b) of this subsection.

History. Enact. Acts 2005, ch. 168, § 134, effective June 1, 2005; 2010, ch. 24, § 492, effective July 15, 2010.

230.804. Kentucky horse breeders incentive fund — Funding sources — Distribution of moneys — Administrative regulations — Kentucky Horse Racing Commission to administer fund.

  1. There is hereby created in the State Treasury a trust and revolving fund designated as the “Kentucky horse breeders incentive fund.” The fund shall be administered by the Kentucky Horse Racing Commission. For tax periods beginning on or after June 1, 2005, seven percent (7%) of all receipts collected under KRS 139.531(1)(a) from the sales and use tax on the fees paid for breeding a stallion to a mare in Kentucky shall be deposited in the fund together with any other money contributed, appropriated or allocated to the fund from all other sources. The money deposited in the fund is hereby appropriated for the uses set forth in this section. Notwithstanding KRS 45.229 , any money remaining in the fund at the close of any calendar year shall not lapse but shall be carried forward to the next calendar year. The fund may also receive additional state appropriations, gifts, grants, and federal funds. All interest earned on money in the fund shall be credited to the fund.
    1. The Kentucky Horse Racing Commission shall use moneys deposited in the Kentucky horse breeders incentive fund to administer the fund and provide rewards for breeders or owners of horses bred and foaled in Kentucky. (2) (a) The Kentucky Horse Racing Commission shall use moneys deposited in the Kentucky horse breeders incentive fund to administer the fund and provide rewards for breeders or owners of horses bred and foaled in Kentucky.
    2. The Kentucky Horse Racing Commission shall promulgate administrative regulations establishing the conditions and criteria for the distribution of moneys from the fund.
    3. The Department of Revenue may promulgate administrative regulations establishing the procedures necessary to determine the correct allocation of sales tax receipts described in subsection (1) of this section.
    4. As soon as practicable after the close of each calendar year, the racing commission shall disburse to breeders of horses moneys in the Kentucky horse breeders incentive fund to be used to promote, enhance, improve, and encourage the further and continued development of the horse industry in Kentucky, under the administrative regulations promulgated pursuant to paragraph (b) of this subsection.

HISTORY: Enact. Acts 2005, ch. 168, § 135, effective June 1, 2005; 2006, ch. 234, § 2, effective April 22, 2006; 2010, ch. 24, § 493, effective July 15, 2010; 2015 ch. 47, § 4, effective June 24, 2015.

Legislative Research Commission Note.

(4/22/2006). 2006 Ky. Acts ch. 234, sec. 4, provides that the Act, which included an amendment to this statute, shall be known as the “2006 Kentucky Equine Competitiveness Act.”

Penalties

230.990. Penalties.

  1. Any person who violates KRS 230.070 or KRS 230.080(3) shall be guilty of a Class D felony.
  2. Any person who violates KRS 230.090 shall be guilty of a Class A misdemeanor.
  3. Any person who violates KRS 230.680 shall be guilty of a Class A misdemeanor.
  4. Any person who refuses to make any report or to turn over sums as required by KRS 230.361 to 230.373 shall be guilty of a Class A misdemeanor.
  5. Any person failing to appear before the racing commission at the time and place specified in the summons issued pursuant to KRS 230.260(12), or refusing to testify, shall be guilty of a Class B misdemeanor. False swearing on the part of any witness shall be deemed perjury and punished as such.
    1. A person is guilty of tampering with or interfering with a horse race when, with the intent to influence the outcome of a horse race, he uses any device, material, or substance not approved by the Kentucky Horse Racing Commission on or in any participant involved in or eligible to compete in a horse race to be viewed by the public. (6) (a) A person is guilty of tampering with or interfering with a horse race when, with the intent to influence the outcome of a horse race, he uses any device, material, or substance not approved by the Kentucky Horse Racing Commission on or in any participant involved in or eligible to compete in a horse race to be viewed by the public.
    2. Any person who, while outside the Commonwealth and with intent to influence the outcome of a horse race contested within the Commonwealth, tampers with or interferes with any equine participant involved in or eligible to compete in a horse race in the Commonwealth is guilty of tampering with or interfering with a horse race.
    3. Tampering with or interfering with a horse race is a Class C felony.

History. 1326 to 1328, 3990a-4: amend. Acts 1950, ch. 173, § 10; 1960, ch. 184, § 17; 1966, ch. 255, § 209; 1978, ch. 307, § 15, effective June 17, 1978; 1980, ch. 188, § 224, effective July 15, 1980; 1986, ch. 214, § 14, effective July 15, 1986; 1992, ch. 109, § 37, effective March 30, 1992; 1992, ch. 463, § 26, effective July 14, 1992; 1998, ch. 342, § 1, effective July 15, 1998; 2004, ch. 191, § 45, effective July 13, 2004; 2009, ch. 80, § 10, effective June 25, 2009; 2010, ch. 24, § 494, effective July 15, 2010.

Legislative Research Commission Note.

(6/25/2009). Under the authority of KRS 7.136(1)(e) and (h), the Reviser of Statutes has changed a reference to “KRS 230.260(13)” to read “KRS 230.260(12),” in order to correct an error resulting from the renumbering of subsections in 2009 Ky. Acts ch. 80, sec. 3.

(7/14/2000). KRS 230.680 , referenced in subsection (3) of this statute, was repealed by 1992 Ky. Acts ch. 109, sec. 40, effective March 20, 1992.

NOTES TO DECISIONS

Cited:

United States v. Bowers, 739 F.2d 1050, 1984 U.S. App. LEXIS 23324 (6th Cir. 1984), cert. denied, Oakes v. United States, 469 U.S. 861, 105 S. Ct. 195, 83 L. Ed. 2d 128, 1984 U.S. LEXIS 3659, 53 U.S.L.W. 3239 (1984).

Research References and Practice Aids

Kentucky Law Journal.

Kropp, Landen and Donath, Exclusion of Patrons and Horsemen from Racetracks: A Legal, Practical and Constitutional Dilemma, 74 Ky. L.J. 739 (1985-86).

CHAPTER 231 Places of Entertainment

231.010. Place of entertainment defined.

As used in this chapter, “place of entertainment” means a roadhouse, place offering intoxicating or nonintoxicating drinks for sale, tourist camp or place of public entertainment at which people assemble to eat, drink, dance, bathe, or engage in any game or amusement, or any place having therein or thereon any person engaging in the practice of being a medium, clairvoyant, soothsayer, palmist, phrenologist, spiritualist, or like activity, or one who, with or without the use of cards, crystal ball, tea leaves, or any other object or device, engages in the practice of telling the fortune of another; but this last clause shall not be construed to apply to persons pretending to tell fortunes as part of any play, exhibition, fair or amateur show presented or offered by any religious, charitable, or benevolent institution. It shall not mean a private home at which bona fide guests are entertained, drive-in theaters, places of business conducted only as filling stations for motor vehicles or grocery stores, nor transient or temporary entertainment such as circuses, carnivals and county fairs.

History. 1599f-1, 1599f-14: amend. Acts 1954, ch. 175, § 1.

NOTES TO DECISIONS

  1. Constitutionality.
  2. Place of Entertainment.
1. Constitutionality.

This chapter is constitutional. Ratliff v. Hill, 293 Ky. 36 , 168 S.W.2d 336, 1943 Ky. LEXIS 556 ( Ky. 1943 ).

2. Place of Entertainment.

The phrase “place of entertainment” includes a private club. Veterans of Foreign Wars v. Scott, 278 S.W.2d 733, 1955 Ky. LEXIS 492 ( Ky. 1955 ).

Cited:

Commonwealth v. Polley, 298 Ky. 294 , 182 S.W.2d 769, 1944 Ky. LEXIS 881 ( Ky. 1944 ); Baker v. Commonwealth, 310 Ky. 528 , 221 S.W.2d 73, 1949 Ky. LEXIS 960 ( Ky. 1949 ); Easterly v. Garland, 271 S.W.2d 900, 1954 Ky. LEXIS 1065 ( Ky. 1954 ).

Opinions of Attorney General.

The question of whether or not a go-cart business would require a permit rests within the sound discretion of the county judge, and he may or may not require a permit to operate such a business. OAG 60-908 .

An establishment which sells alcoholic beverages in the county outside an incorporated area can be required to have both a permit for a place of entertainment under KRS chapter 231 and an alcoholic beverage license under KRS 243.060 . OAG 67-46 .

There must be only one place of entertainment license for each place of entertainment regardless of whether the activities permitted there satisfy only one definition of a place of entertainment or several. OAG 67-46 .

A grocery store which sells malt beverages by the package is not a “place of entertainment” within the meaning of this section. OAG 69-343 .

A motor vehicle race track comes within the provisions of this section and KRS 231.020 . OAG 71-539 .

National guard members who merely leased an armory to another party for a teenage dance would not be subject to prosecution for violation of this section and KRS 231.020 . OAG 72-355 .

There is some doubt that this section applies to the spasmodic and occasional leasing of premises to different lessees. OAG 72-355 .

An ordinance by a fiscal court imposing a license tax on operators of places of entertainment falling under the provisions of this section would be a valid revenue measure. OAG 72-821 .

If an ordinance providing a license for operators of places of entertainment does not attempt to change the basic procedure and substantive provisions in the issuance of such permits or licenses by the county court as outlined in KRS 231.010 to 231.130 , the ordinance would be a valid exercise of the county’s police power. OAG 72-821 .

In view of the police powers granted in KRS 67.083 , it would appear that a fiscal court could enact an ordinance providing a license fee for those places of entertainment covered in this section, subject to the rule that the revenues cannot exceed the reasonable policing cost. OAG 72-821 .

There is no general exception from the requirement of licensing for charitable organizations operating places of entertainment. OAG 75-99 .

An American Legion post that occasionally sponsors and occasionally leases its hall for dances and shows for high school students and adults would not be required to secure a permit from the county court as a place of entertainment. OAG 75-99 .

An outdoor rock and roll music festival to be held on a county farm for two days would be temporary entertainment and thus the affair would not constitute a “place of entertainment.” OAG 77-568 .

A Kentucky state trooper has the authority to investigate places of entertainment as defined by this section, even though state troopers are not specifically included under KRS 231.130 , since KRS 231.130 and KRS 16.060 read together make the state trooper a police officer with the equivalent authority of the county sheriff and the county police. OAG 81-77 .

A grocery store owner in an unincorporated part of the county who has installed pool tables and arcade games must obtain a permit as required by KRS 231.020 since the exception under this section for businesses conducted only as grocery stores clearly does not apply. OAG 82-40 .

A health spa located outside corporate limits in a county and providing various forms of exercise must procure a permit under KRS 231.020 since, even though it promotes health, it also involves entertainment within the meaning of this section. OAG 82-82 .

The issuance of a permit, under this chapter, addresses itself to the exercise of a reasonable discretion on the part of the county judge/executive. OAG 82-82 .

A place where a pin ball machine is located would normally be considered a “place of entertainment” and subject to the permit requirements of this chapter. OAG 82-510 .

Private or charitable clubs or organizations operating on a regular schedule and permanent basis and affording entertainment to their members of the kinds outlined in this section are required, in order to operate, to procure a permit, as provided in this chapter. OAG 84-112 .

Where a private club does not actually sell any intoxicating drinks, i.e., where the intoxicating drinks are simply made available to members and their friends, without sale, such making available of alcoholic beverages would not qualify, on that factual basis, as a “place of entertainment.” OAG 84-185 .

If the conversion from a public place of entertainment to a private club involves any of the activities described in this section, and if such activities to be engaged in by the private club were previously engaged in under its permit, then no new permit would be necessary unless the manager or owner who held the permit is changed; permits are issued to the manager or to the owner of a place of entertainment and it is the described activity or activities under this section and the identity of the manager or owner which are controlling, not the mere fact that the place of entertainment changes from a public to a private place. OAG 84-185 .

If a place of entertainment is rented or leased for one night by an individual for the purpose of a private party in which he plans to serve liquor or permit the guests to bring their own bottle, there is no violation of the statutes. OAG 84-185 .

Where a private club does not offer alcoholic beverages for sale, nor engage in any described activities under this section, no permit is required; however, if a private club offers alcoholic beverages for sale in a county in which such sales are legal, KRS 231.110(1) would prohibit the permit holder from allowing drunken, disorderly or boisterous persons, etc., from congregating in or about such premises. OAG 84-185 .

A roadhouse, which offers dancing and music, cannot be operated without a permit, according to this section; there are no statutory provisions for a temporary permit. The obtaining of a permit, by the owner or manager, is a condition precedent to its lawful operation. Such a place should not operate at all until a permit is obtained from the county judge/executive. OAG 84-368 .

Research References and Practice Aids

Cross-References.

Abatement of houses of prostitution, KRS Ch. 233.

Racing, KRS Ch. 230.

State and national parks, KRS Ch. 148.

Theater attendance surveys, reports of and admissibility in evidence, KRS 422.115 .

231.020. Permit to operate required.

No place of entertainment shall be operated outside the corporate limits of a city unless its owner or manager has a permit, issued to him by the county judge/executive in the county in which the place of entertainment is located, granting to him the privilege to operate the place of entertainment in that county.

History. 1599f-1, 1599f-11: amend. Acts 1978, ch. 384, § 361, effective June 17, 1978.

NOTES TO DECISIONS

  1. Constitutionality.
  2. Permit.
  3. — Owner or Proprietor.
  4. — Discretion of County Judge.
  5. Location of Business.
  6. Indictment.
  7. Jurisdiction.
1. Constitutionality.

The fact that a permit is required only of places of entertainment outside of cities does not make this section violate Ky. Const., § 3 or Ky. Const., § 59 or United States Const., Amend. 14. Ratliff v. Hill, 293 Ky. 36 , 168 S.W.2d 336, 1943 Ky. LEXIS 556 ( Ky. 1943 ).

2. Permit.
3. — Owner or Proprietor.

A manager or employee is not guilty hereunder if a permit has been issued to the owner or proprietor. Patton v. Commonwealth, 288 Ky. 324 , 156 S.W.2d 179, 1941 Ky. LEXIS 110 ( Ky. 1941 ).

4. — Discretion of County Judge.

It was the intention of the legislature to allow the county judge (now county judge/executive), through the exercise of reasonable discretion, to determine whether or not a place of entertainment should be granted a permit under the provisions of this section. Veterans of Foreign Wars v. Scott, 278 S.W.2d 733, 1955 Ky. LEXIS 492 ( Ky. 1955 ).

5. Location of Business.

The location of the business to which the statute applies is an essential element of the offense of operating without a permit issued by the county court, and it is reversible error for the court to fail to so instruct the jury. Sizemore v. Commonwealth, 285 Ky. 142 , 147 S.W.2d 56, 1941 Ky. LEXIS 347 ( Ky. 1941 ).

6. Indictment.

This section’s language is not sufficiently descriptive of the offense of operating a place of entertainment outside corporate limits of a city without a permit to make an indictment containing only this section’s language good. Commonwealth v. Polley, 298 Ky. 294 , 182 S.W.2d 769, 1944 Ky. LEXIS 881 ( Ky. 1944 ).

7. Jurisdiction.

Circuit Courts have no prohibitive jurisdiction against inferior courts where the inferior court is acting within its jurisdiction, even though such jurisdiction has been or is threatened to be erroneously exercised. Commonwealth ex rel. Breckinridge v. Noe, 358 S.W.2d 529, 1962 Ky. LEXIS 192 ( Ky. 1962 ).

Cited:

Baker v. Commonwealth, 310 Ky. 528 , 221 S.W.2d 73, 1949 Ky. LEXIS 960 ( Ky. 1949 ).

Opinions of Attorney General.

If an applicant for a permit to operate a place of entertainment meets the qualifications prescribed by KRS 231.030 , the permit must be granted and may be subject only to the restrictions authorized by statute, and the county judge is without authority to prohibit dancing in the establishment. OAG 67-131 .

The Kentucky National Guard, a state agency, or its agents cannot be required to obtain a permit under this section. OAG 72-355 .

The provisions of this section apply to the manager of the entertainment facility. OAG 72-355 .

An American Legion post that occasionally sponsors and occasionally leases its hall for dances and shows for high school students and adults would not be required to secure a permit from the county court as a place of entertainment. OAG 75-99 .

Since the function of conducting hearings and granting permits to operate certain places of entertainment in the unincorporated portions of a county is at most only quasi-judicial, the county judge/executive was intended by the legislature to continue in performing that local function. OAG 78-33 .

An entertainment permit, once granted to a particular individual under this chapter, cannot be transferred to a new owner or manager of the place of entertainment. OAG 80-429 .

A permit issued pursuant to this section may be issued only to an individual human being, since KRS 231.030 requires a permit holder to be of good moral character and an artificial entity has no good moral character. OAG 82-82 .

A health spa located outside corporate limits in a county and providing various forms of exercise must procure a permit under this section since, even though it promotes health, it also involves entertainment within the meaning of KRS 231.010 . OAG 82-82 .

A grocery store owner in an unincorporated part of the county who has installed pool tables and arcade games must obtain a permit as required by this section since the exception under KRS 231.010 for businesses conducted only as grocery stores clearly does not apply. OAG 82-40 .

There are no provisions in this chapter which authorized the Attorney General’s office to grant permission to someone to operate a place of entertainment as that is the function of the county judge/executive. There are no provisions authorizing the county clerk’s office to change or amend the application for a permit to operate a place of entertainment to include pin ball machines when the application does not indicate that particular kind of a place of entertainment. OAG 82-510 .

There are no statutes authorizing the county judge/executive, in issuing an entertainment permit, to impose express and specific conditions, such as the volume level (decibels) of music played in the place of entertainment. OAG 84-100 .

KRS 231.030 was not intended to list the exclusive factors to be considered in the issuing of an entertainment permit, and the county judge/executive has a reasonable discretion in the issuing or not issuing of a permit. The county judge/executive can consider all relevent facts and evidence which reasonably relate to the issuing of a permit, bearing in mind that the public interest must be carefully weighed in the process. OAG 84-100 .

When the holder of an entertainment permit leaves the place of entertainment for which he holds a permit, his permit can in no way be transferred to another person. Thus, the permit would be ineffective as to its use by a different individual who wishes to operate the same place of entertainment. OAG 84-100 .

Private or charitable clubs or organizations operating on a regular schedule and permanent basis and affording entertainment to their members of the kinds outlined in KRS 231.010 are required, in order to operate, to procure a permit, as provided in this chapter. OAG 84-112 .

Where a private club does not offer alcoholic beverages for sale, nor engage in any described activities under KRS 231.010 , no permit is required; however, if a private club offers alcoholic beverages for sale in a county in which such sales are legal, KRS 231.110(1) would prohibit the permit holder from allowing drunken, disorderly or boisterous persons, etc., from congregating in or about such premises. OAG 84-185 .

No permit can be issued under KRS 231.010 , et seq., where alcoholic beverages are for sale in a dry county; the permit does not envision the violation of any law, ABC or otherwise. OAG 84-185 .

If the conversion from a public place of entertainment to a private club involves any of the activities described in KRS 231.010 , and if such activities to be engaged in by the private club were previously engaged in under its permit, then no new permit would be necessary unless the manager or owner who held the permit is changed; permits are issued to the manager or to the owner of a place of entertainment and it is the described activity or activities under KRS 231.010 and the identity of the manager or owner which are controlling, not the mere fact that the place of entertainment changes from a public to a private place. OAG 84-185 .

Research References and Practice Aids

Cross-References.

Issuance of liquor and beer licenses to roadhouses restricted, KRS 243.230 , 243.280 .

231.030. What persons not to be granted permits.

No permit shall be issued to a person who is not of good moral character or who will not, in the judgment of the court, obey the laws of the state in the carrying on of the business or who within two (2) years prior to the date of the filing of the application has been convicted in Kentucky of maintaining a public nuisance.

History. 1599f-5.

NOTES TO DECISIONS

Cited:

Easterly v. Garland, 271 S.W.2d 900, 1954 Ky. LEXIS 1065 ( Ky. 1954 ).

Opinions of Attorney General.

A permit to operate a “place of entertainment” under KRS 231.020 cannot be issued to a corporation consisting of the local post of the Veterans of Foreign Wars, since the permits can only be obtained by persons of good moral character and cannot be issued to artificial entities. OAG 63-369 .

The county judge (now county judge/executive), in exercising his reasonable discretion, can consider all relevant facts and evidence that reasonably relate to the subject matter, bearing in mind the legislative intent that such activities covered in the statutes are to be regulated to the extent indicated and keeping in mind the public interest. OAG 71-539 .

This section was not intended to list the exclusive factors to be considered in the granting or nongranting of permits. OAG 71-539 .

A permit issued pursuant to KRS 231.020 may be issued only to an individual human being, since this section requires a permit holder to be of good moral character and an artificial entity has no good moral character. OAG 82-82 .

Under this section, the county judge/executive may consider any investigative or hearing evidence on the point of whether the applicant for an entertainment permit would violate KRS 525.060(1)(b), relating to unreasonable noise. OAG 84-100 .

This section was not intended to list the exclusive factors to be considered in the issuing of an entertainment permit, and the county judge/executive has a reasonable discretion in the issuing or not issuing of a permit. The county judge/executive can consider all relevant facts and evidence which reasonably relate to the issuing of a permit, bearing in mind that the public interest must be carefully weighed in the process. OAG 84-100 .

231.040. Application for permit.

Any person who desires a permit to operate a place of entertainment outside the corporate limits of a city shall file an application with the county clerk. The application shall set forth the true name of the owner of the place of entertainment, the exact location of the proposed place of entertainment and the occupation of the owner or manager of the proposed place of entertainment for five (5) years immediately preceding the date on which the application is filed.

History. 1599f-2.

NOTES TO DECISIONS

Cited:

Veterans of Foreign Wars v. Scott, 278 S.W.2d 733, 1955 Ky. LEXIS 492 ( Ky. 1955 ).

Opinions of Attorney General.

A new permit should be obtained each time there is a change in location of the place of entertainment. OAG 67-279 .

There are no provisions in this chapter which authorize the Attorney General’s office to grant permission to someone to operate a place of entertainment as that is the function of the county judge/executive. There are no provisions authorizing the county clerk’s office to change or amend the application for a permit to operate a place of entertainment to include pin ball machines when the application does not indicate that particular kind of a place of entertainment. OAG 82-510 .

Where an application stated that it sought a permit to operate a place of entertainment where people would assemble to eat, drink and dance, but the application was actually sought to obtain permission to install a pin ball machine, such application did not include permission to operate a place where people would assemble to play a pin ball machine and the original application would have to be withdrawn by the applicant or denied by the county judge/executive, and a new application submitted, if the intent was to operate a place of entertainment where people would assemble to play a pin ball machine. OAG 82-510 .

231.050. Deposit of applicant — Disposition of deposit.

At the time the application is filed, the applicant shall deposit twenty dollars ($20) with the county clerk which shall be used by the clerk to defray the cost of the notices required by KRS 231.060 to be published in a newspaper, to pay the clerk’s cost for the docketing of the application on the order book of the county judge/executive and for recording such orders of the county judge/executive as may be entered therein. Fifteen dollars ($15) of the deposit shall be used for advertising and five dollars ($5) shall be paid to the clerk as his fee.

History. 1599f-6: amend. Acts 1978, ch. 384, § 362, effective June 17, 1978; 1988, ch. 249, § 1, effective July 15, 1988.

231.060. County clerk to docket and publish application.

When the application is filed with the county clerk he shall have a notice that the application has been filed, published pursuant to KRS Chapter 424 in the county.

History. 1599f-3: amend. Acts 1966, ch. 239, § 172; 1978, ch. 384, § 363, effective June 17, 1978.

231.070. County attorney to investigate applicant.

The county attorney, after an application has been filed, shall investigate the applicant and file with the county judge/executive a written report setting forth the facts revealed by his investigation, recommending the granting or the denial of the permit. The report shall be filed with the county clerk within thirty (30) days after the application is filed.

History. 1599f-7: amend. Acts 1978, ch. 384, § 364, effective June 17, 1978.

Opinions of Attorney General.

An entertainment permit, once granted to a particular individual under this chapter, cannot be transferred to a new owner or manager of the place of entertainment. OAG 80-429 .

231.080. Hearing for or against granting of permit.

After the expiration of thirty (30) days from the date on which the application is filed, the county judge/executive shall hear evidence in support of or in opposition to the granting of the permit. Any person desiring to oppose the permit shall have filed in writing allegations that show cause as to why the application should not be granted.

History. 1599f-4: amend. Acts 1978, ch. 384, § 365, effective June 17, 1978.

Opinions of Attorney General.

An entertainment permit, once granted to a particular individual under this chapter, cannot be transferred to a new owner or manager of the place of entertainment. OAG 80-429 .

231.090. Appeal from decision denying or granting permit.

  1. From the decision of the county judge/executive refusing to grant the permit, the applicant may appeal to the Circuit Court, where the appeal shall be tried as an action in equity, and the evidence shall be heard in open court.
  2. From the decision of the county judge/executive granting a permit, any citizen of the county may appeal to the Circuit Court and the appeal in the Circuit Court shall be tried as in the case of an appeal from a judgment denying the permit.
  3. Before any appeal is perfected, the party appealing shall file a copy of the decision of the county judge/executive with the circuit clerk and shall execute a bond guaranteeing the payment of the cost of the appeal. The cost of the appeal shall be adjudged against the person losing the appeal.
  4. The county attorney shall resist any appeal filed by an applicant and shall represent the county judge/executive