HIGDON, SENATE MOVE STATE ROAD PLAN FORWARD
Road plan and KYTC operating budget layout future roads, bridges and highway projects and repair plan, support local improvements.
FRANKFORT, Ky (March 2, 2024)—Senate Transportation Chair Jimmy Higdon, R-Lebanon, and the state Senate approved House Bill (HB) 265 and HB 266 on Tuesday, following weeks of efforts to craft the commonwealth’s next two-year road plan. HB 266 is the biennium Road Plan (2024-2026), consisting of specific construction projects listed by county along with various phases and timelines for each project. HB 265 provides the operating budget for the Kentucky Transportation Cabinet (KYTC), which includes investments for local road repairs and much more.
“With an infusion of almost $450 million from the general fund, a lot of money is freed up that will allow us to better help our judge/executives, mayors and local road departments improve county and city roadways,” Higdon said.
TWO-YEAR ROAD PLAN
Appropriations for the two-year road plan include $4.9 billion. Within this plan, $450 million from the general fund is allocated for projects in high-growth counties and those identified for economic development, supporting 34 projects in high-growth areas for construction during the biennium. Notably, Senate Budget Chair Chris McDaniel, R-Ryland Heights, and Senate Leadership fervently advocated for a $450 million transfer from the budget reserve trust fund to the state road plan in the state budget conference committee. This transfer enables the initiation of construction on projects within high-growth counties during the biennium.
Additionally, HB 266 earmarks $388 million for resurfacing projects and $797 million for crucial bridge repairs and replacements.
SENATE TRANSPORTATION CHAIR REACTS
“I think new projects are a great investment, and I know they will go a long way in strengthening our economy. Kentucky is a central hub for the flow of commerce, and with that comes wear and tear on our roadways,” Higdon said.
According to the American Society of Civil Engineers, America has a backlog of $786 billion in needed repairs. Kentucky was given a C- on the latest infrastructure report card.
TRANSPORTATION CABINET OPERATING BUDGET
On Tuesday, both bills received approval from the Senate, each with a Senate Committee Substitute, although the House did not concur with the Senate's modifications. Subsequently, the two bills underwent further discussion in a conference committee composed of members from both legislative chambers to negotiate a final version of HB 265 and 266.
HB 265 serves as the operating budget for the Kentucky Transportation Cabinet, funding the six-year Road Plan, with total appropriations within this budget for fiscal years (FY) 2025 and 2026 amounting to $7.2 billion.
Key provisions outlined in the Free Conference Report of HB 265 include:
Allocation of $500,000 in general fund dollars for Riverport Improvement grants aimed at enhancing public riverports within Kentucky.
Provision of $25 million in each FY to establish the County and City Bridge Improvement initiative.
Allotment of $6.3 million in each FY to establish three new regional driver's licensing offices and recruit additional personnel.
Additionally, the bill earmarks $20 million in each FY for the County Priority Projects Program, which aids counties and cities in improving roads with hazardous conditions. These funds were appropriated in House Joint Resolution (HJR) 92.
Find more information on Higdon and this legislation and more at Legislature.ky.gov.
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Please visit Legislature.ky.gov for more information on Senate Majority Caucus members and the 2024 Legislative Session, such as committee schedules, membership, legislation, and more.