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AN ACT relating to the Energy Planning and Inventory Commission and declaring 1
an emergency. 2
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 3
Section 1. KRS 164.2807 is amended to read as follows: 4
(1) The General Assembly finds and declares that: 5
(a) The long -term economic health and well -being of the citizens of the 6
Commonwealth and the United States depends upon the availability of 7
reliable sources of energy; 8
(b) The Commonwealth has abundant reserves of coal, natural gas, and other 9
natural resources; 10
(c) The energy needs of the Commonwealth are best met by continuing to engage 11
in an all-of-the-above approach to electric generation resources, including but 12
not limited to coal, oil, natural gas, wind, solar, hydropower, nuclear, and any 13
future or emerging technologies like hydrogen power; 14
(d) The current economy and future economic development of the 15
Commonwealth requires reliable, resilient, dependable, and abundant supplies 16
of electrical power; 17
(e) The demand for reliable, resilient, dispatchable electrica l power is anticipated 18
to significantly increase in the coming decades as the Commonwealth 19
becomes home to additional manufacturing and other economic development 20
projects which increase demand for electrical power; 21
(f) It is in the interest of the Commonw ealth that it be able to generate sufficient 22
electricity within its borders to serve its own industrial, residential, and 23
commercial demand and to power its own economy; 24
(g) The electrification of the United States' economy combined with 25
unprecedented federal regulatory pressures have created an electric generation 26
resource crisis in the Commonwealth; 27
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(h) Existing state and federal policies with respect to energy do not adequately 1
address the concerns of the General Assembly or citizens of the 2
Commonwealth such that a comprehensive Kentucky energy policy is 3
required; 4
(i) Current policies at the state and federal level do not adequately assess 5
capacity, availability, reliability, or resilience attributes of existing and new 6
fossil fuel -fired, nuclear, or othe r emerging dispatchable electric generating 7
resources; 8
(j) It is the policy of the Commonwealth to maintain adequate capacity of 9
available, reliable, dispatchable, and resilient electric generation to provide for 10
the existing and reasonably projected futu re energy consumption needs of all 11
wholesale, retail, and other consumers of electricity in the Commonwealth; 12
(k) Further retirement of fossil fuel -fired electric generating resources is not 13
necessary for the protection of the environment or the health, s afety, and 14
welfare of the citizens of the Commonwealth; 15
(l) The health, happiness, safety, economic opportunity, and general welfare of 16
the citizens of the Commonwealth will be promoted and protected by the 17
operation of fossil fuel -fired electric generati ng resources and, conversely, 18
those interests would be harmed by the premature retirement of those 19
generating resources; 20
(m) The Commonwealth can support a multitude of potential electric generating 21
resources and energy fuel supply sources so as to be the national leader in the 22
production of energy in all forms; 23
(n) Local economic development is essential to the health, happiness, safety, and 24
general welfare of the citizens of the Commonwealth; 25
(o) Local economic development requires an adequate supply o f electricity to 26
support new and expanding industries and is enhanced by robust employment 27
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in coal mining and coal transportation and at electric generating facilities, the 1
local job multiplier effect of employment in the coal, natural gas, and electric 2
generating industries, and state and local taxes and other forms of economic 3
value creation for the Commonwealth; and 4
(p) The numerous energy policy challenges facing the Commonwealth require a 5
comprehensive energy policy informed by the input, judgment, exp erience, 6
and expertise of diverse stakeholders representing a variety of interests and 7
energy resources, including but not limited to coal, oil, natural gas, wind, 8
solar, hydropower, nuclear, and any future or emerging resources to achieve 9
the best results for the citizens of the Commonwealth. 10
(2) As used in[For the purposes of] this section: 11
(a) "Commission" means the Energy Planning and Inventory Commission 12
established in this section; 13
(b) "Dispatchable" means a source of electric power generation that i s available 14
on demand, that is not intermittent, and that can be adjusted to increase or 15
decrease its power output upon request of a power grid operator or otherwise 16
upon demand or request, or that can have its power output adjusted in 17
response to market or system needs; 18
(c) "Generation and transmission cooperative" has the same meaning as in KRS 19
278.010; 20
(d) "Intermittent" means: 21
1. A source of electric power generation from a solar photovoltaic, solar 22
thermal heating, concentrating solar thermal collector , or other solar 23
energy collection or generation system; 24
2. A source of electric power that generates energy by harnessing wind 25
power or energy, whether through a turbine or other device; 26
3. Geothermal energy, biomass energy, anaerobic digestion, or combin ed 27
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heat and power from solar, wind, geothermal, or anaerobic digestion 1
sources; 2
4. Any short duration energy storage, which includes any method of 3
storing generated electricity for later dispatch to the grid, whether alone 4
or in conjunction with any other intermittent sources described in this 5
paragraph, that is equivalent to less than forty -eight (48) hours of the 6
average peak generation of the unit it is used to offset; or 7
5. Conventional hydropower and pumped storage hydropower, unless they 8
are capable of providing energy on demand, in which case they shall be 9
deemed to be dispatchable; 10
(e) "Public Service Commission" means the Kentucky Public Service 11
Commission established under KRS Chapter 278, or any successor entity 12
having the power to regulate rates and services of public utilities pursuant to 13
the powers enumerated in KRS Chapter 278; and 14
(f) "Utility" has the same meaning as in KRS 278.010. 15
(3) (a) The Energy Planning and Inventory Commission is hereby established and 16
administratively attached to the University of Kentucky Center for Applied 17
Energy Research, but only for those limited functions and purposes 18
expressly requested by the commission, including but not limited to 19
accounting, human resources administration, purchasing assistance, and 20
payroll processing. The commission [it] shall otherwise be independent from 21
the University of Kentucky and shall exercise its authority to conduct energy 22
planning, assess energy supply adequacy, and review proposed electric 23
generating facility requirements without interference or influence from any 24
Kentucky executive branch agency. 25
(b) The commission shall maintain separate accounts for all funds 26
appropriated to it, with the University of Kentucky providing accounting, 27
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payroll, and financial services. 1
(c) The executive director of the commission shall have the sole authority to 2
hire staf f, retain contractors and other parties, and otherwise manage the 3
commission in accordance with applicable law and with human resources 4
administrative support provided by the University of Kentucky. 5
(d) Notwithstanding any provision of KRS Chapter 18A to t he contrary, the 6
commission may in its sole discretion identify and determine the 7
compensation for categories of its professional employees at the amounts it 8
deems necessary to recruit and retain employees who have the experience, 9
expertise, and education required to perform their job responsibilities with 10
the commission. 11
(e) Notwithstanding any law to the contrary, the commission shall conduct all 12
procurements necessary for the performance of its duties in accordance 13
with the procurement procedures outline d in KRS Chapter 45A, but the 14
commission shall not be subject to any provision of KRS Chapter 45A that 15
requires the approval of any Finance and Administration Cabinet official 16
for the commission to proceed with any aspect of the procurement process. 17
The executive director shall be deemed the chief purchasing officer for the 18
purposes of conducting procurements for the commission and shall have all 19
the authority and responsibility with regard to the commission's 20
procurements as the secretary of the Finance an d Administration Cabinet 21
has for procurements under KRS Chapter 45A. All commission personal 22
service contracts shall be subject to review by the Government Contract 23
Review Committee established by KRS 45A.705. 24
(f) In its bidding and negotiation processes, the commission shall perform its 25
own bidding and procurement in accordance with the procedures 26
established by KRS Chapter 45A. 27
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(g) The affairs of the commission shall be governed exclusively by [ the 1
provisions of] this section. The exercise of the commission's powers conferred 2
by this section and the carrying out of its purposes and duties are essential 3
governmental functions and are conducted for public purposes. 4
(4) (a) The commission board shall be composed of an eighteen (18) member board 5
and a five (5) member executive committee of the board. Except for the state 6
government officials and the ex officio nonvoting commission board members 7
appointed by the President of the Senate and the Speaker of the House of 8
Representatives, each member of the commissio n board shall be appointed by 9
the Governor and confirmed by the Senate as set forth in this subsection. The 10
commission board shall be composed of the following members , no more 11
than two (2) of whom shall reside outside of the Commonwealth: 12
1. One (1) representative of a Kentucky investor-owned utility; 13
2. One (1) representative of a Kentucky generation and transmission 14
cooperative, nominated by the chief operating officer of the Kentucky 15
Association of Electric Cooperatives; 16
3. One (1) representative of Ken tucky coal producers, nominated by the 17
president of the Kentucky Coal Association; 18
4. One (1) representative of Kentucky oil and gas producers, nominated by 19
the executive director of the Kentucky Oil and Gas Association; 20
5. One (1) representative of an ind ustry or business engaged in the 21
transportation of coal; 22
6. One (1) representative of a business engaged in the transportation or 23
distribution of natural gas, nominated by the president of the Kentucky 24
Gas Association; 25
7. One (1) representative with professional experience in the purchasing or 26
sale of fossil fuels, nominated by the president of the Kentucky Coal 27
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Association; 1
8. One (1) member representing the nuclear electric generation industry, 2
nominated by the executive director of the United States Nu clear 3
Industry Council; 4
9. One (1) member representing the interests of businesses or entities 5
engaged in activities related to the mining, milling, conversion, 6
enrichment, or fabrication of nuclear fuel or involved in the remediation 7
of past enrichment of nuclear fuels in the Commonwealth; 8
10. One (1) member representing commercial and industrial consumers of 9
electrical power, nominated by Kentucky Industrial Utility Customers; 10
11. One (1) member representing Kentucky economic interests, nominated 11
by the chief executive officer of the Kentucky Chamber of Commerce; 12
12. One (1) member representing producers of renewable electricity; 13
13. One (1) member with experience in investment banking or utility 14
finance, nominated by the president of the Kentucky Banker 's 15
Association; 16
14. One (1) member representing residential electricity consumers; 17
15. One (1) member of the House of Representatives, who shall be an ex 18
officio nonvoting member, nominated by the Speaker of the House of 19
Representatives; 20
16. One (1) mem ber of the Senate, who shall be an ex officio nonvoting 21
member, nominated by the President of the Senate; 22
17. The secretary of the Energy and Environment Cabinet, or designee; and 23
18. The secretary of the Cabinet for Economic Development, or designee. 24
(b) The executive committee of the board is established and shall include the 25
following five (5) members: 26
1. The chair of the commission board selected under paragraph (e) of 27
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this subsection; 1
2. The vice chair of the commission board selected under paragraph (e) 2
of this subsection [director of the University of Kentucky Center of 3
Applied Energy Research]; 4
3.[2.] One (1) member appointed by the Attorney General[Governor] who has 5
the same level of education, training, and professional experience as 6
would be required to serve in the role of chief executive officer or board 7
member of a company engaged in the production of coal; 8
4.[3.] One (1) member appointed by the Attorney General[Governor] who has 9
the same level of education, training, and professional experience as 10
would be required to serve in the role of chief executive officer or board 11
member of an investor-owned, cooperative, or municipal electric utility; 12
and 13
5. One (1) member[4. Two (2) members] elected by the commission 14
board from the commission board membership. Any vacancy in an 15
executive committee position under this subparagraph shall be filled in 16
the same manner as the original election. 17
(c) Any appointment made by the Governor to the commission board or by the 18
Attorney General to the executive committee shall be subject to confirmation 19
by the Senate. If a pending appointment to the board or executive com mittee 20
requiring confirmation is not confirmed by the Senate upon the conclusion of 21
the legislative session during or before which the appointment was made, then 22
the member's position on the board or executive committee shall become 23
vacant, either upon sin e die adjournment of the legislative session or the date 24
that the Senate votes to decline to confirm appointment, and the official who 25
made the appointment[Governor] shall appoint a different replacement. 26
(d) After the expiration of their initial terms, m embers who are not members of 27
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the legislative or executive branch shall serve for terms of four (4) years and 1
until a successor is appointed and confirmed by the Senate. Legislative 2
members shall serve during the terms of their elected positions in the Gen eral 3
Assembly, and executive branch members shall serve during the appointed 4
terms of their state government positions. In the event of a vacancy prior to 5
the expiration of a term for member appointed by the Governor or the 6
Attorney General , the official w ho made the appointment [Governor] shall 7
appoint a replacement in the same manner as the original appointment, and 8
the appointment shall be subject to the same Senate confirmation process. 9
Members appointed by the Governor or the Attorney General shall not be 10
full-time employees of the Commonwealth as defined in KRS 18A.005, and 11
shall not be compensated for their service on the board, but they shall be 12
subject to the requirements of the executive branch code of ethics established 13
under KRS Chapter 11A. 14
(e) A majority of the commission board may select one (1) member of the 15
commission board to serve as chair of the commission board and one (1) 16
member of the commission board to serve as vice chair of the commission 17
board. 18
(f) The executive committee may adopt r ules of procedure or bylaws governing 19
the conduct of the commission's business. 20
(g) Other than being a customer of retail electric service, no member of the 21
executive committee shall have any current employment, contractual, or other 22
direct financial relationship with any utility at the time of their appointment or 23
during their service on the executive committee. 24
(h) No person shall serve as a member of the commission board or executive 25
committee if the service would cause a conflict with, or result in the 26
disclosure of confidential information relating to, any research projects 27
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performed by or in partnership with the University of Kentucky Center for 1
Applied Energy Research. 2
(i) If the review of a notice given under subsection (8)[(7)] of this section woul d 3
result in the disclosure of confidential information to an executive committee 4
member that is prohibited under subsection (8)[(7)](c)3. of this section, the 5
executive committee member shall recuse himself or herself, and the 6
remaining executive committee members shall name a replacement from the 7
membership of the commission board solely for the purpose of reviewing the 8
notice that caused the recusal. 9
(j) A majority of the executive committee shall constitute a quorum, and the 10
affirmative vote of the major ity of the members present during a meeting is 11
necessary for any action taken by vote of the executive committee. 12
(k) The Governor shall not have reorganization power over the commission, the 13
structure of the commission, its board, the executive committee , or the hiring, 14
compensation, or termination of its executive director. Only the General 15
Assembly may reorganize or restructure the commission or the commission 16
board by legislative act. 17
(5) (a) The commission shall[may] employ an executive director who s hall be 18
selected and hired by the executive committee, subject to confirmation by the 19
Senate. If a pending selection for an executive director is not confirmed by the 20
Senate upon the conclusion of the legislative session during or before which 21
the selectio n was made, then the executive director's position shall become 22
vacant, either upon the sine die adjournment of the legislative session or the 23
date that the Senate votes to decline to confirm appointment, and the 24
executive committee shall select a different replacement. Until an executive 25
director is selected and hired, or in the event of a vacancy in the role of 26
executive director, the director of the University of Kentucky Center for 27
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Applied Energy Research shall serve in the role of executive director of the 1
commission. 2
(b) The executive director shall be entitled to attend all commission and 3
executive committee meetings and shall at all times have access to all 4
information, records, and data considered or produced at those meetings. 5
(6) (a) The executive director shall have full authority to act on behalf of the 6
commission in all matters. The commission board, including the executive 7
committee, shall serve in an advisory capacity to the executive director. The 8
executive director shall keep the executive committee timely advised of 9
material decisions relating to the commission, including but not limited to 10
approval of the commission's annual budget and annual work plan. 11
(b) The executive director shall only be terminated for cause by majority vote of 12
all the members of the executive committee, after delivery in writing of the 13
cause of termination to the executive director and affording him or her the 14
opportunity for an administrative hearing conducted in accordance with 15
KRS Chapter 13B. 16
(c) By a majority vote of all its members, the executive committee may increase 17
either or both of the following for the executive director as warranted: 18
1. His or her compensation, not to exceed ten percent (10%) annually; 19
and 20
2. His or her benefits. 21
(7) The commission shall be authorized to: 22
(a) Take all necessary measures to effectuate the public purposes desc ribed in 23
subsection (1) of this section; 24
(b) Assist in fulfilling the executive committee's and the executive director's 25
mandatory duties regarding review of planned retirement decisions described 26
in subsection (8)[(7)] of this section; 27
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(c) Engage in the examination and study of: 1
1. The adequacy of the Commonwealth's existing and anticipated future 2
electric generation and transmission resources and the existing and 3
anticipated future electric demand; 4
2. The continued operation, retirement, divestiture, or other major action 5
impacting any electric power generating unit, or any pollution control 6
equipment associated with any such unit, located in the Commonwealth; 7
3. Issues concerning the adequacy of the Co mmonwealth's energy supply, 8
including but not limited to the economic impact of energy production 9
and consumption in the Commonwealth, the Kentucky energy grid's 10
response to severe weather events, projected power demand and growth 11
in demand, land use impac ts from power generation, local economic 12
impacts resulting from the closure of electric generating resources, and 13
whether alternatives to decommissioning electric generating resources 14
exist; 15
4. The effect of any federal policy which may impact the availabi lity of 16
dispatchable power or the adequacy of energy supplies in the 17
Commonwealth; 18
5. The Commonwealth's ability to participate in energy markets or in the 19
production, transmission, or distribution of energy; 20
6. The Commonwealth's ability to finance or pro vide financing assistance 21
to energy producers to encourage additional energy production in the 22
Commonwealth; 23
7. New and emerging electric generating technologies that could supply 24
future electric demand in the Commonwealth;[ and] 25
8. Whether the Commonwealt h's energy resources are sufficiently 26
dispatchable to ensure against loss of electrical power supply in the 27
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event of extreme weather or other unexpected or catastrophic events that 1
may challenge the ability of the Commonwealth's electrical grid to meet 2
demand; and 3
9. Other topics at the discretion of the executive director; 4
(d) Through the executive director, request that state agencies, including but 5
not limited to the Energy and Environment Cabinet and the Office of 6
Energy Policy, cooperate with and provi de data, records, reports, and other 7
information that are reasonably necessary for the commission to carry out 8
its duties and obligations under this section. Requests for data, records, 9
reports or other information made pursuant to this paragraph shall be 10
fulfilled within thirty (30) days unless the executive director otherwise 11
grants an extension; and 12
(e) On or before[ December 1, 2024, and] each December 1[ thereafter], submit a 13
report with recommendations, including but not limited to recommendations 14
for statutory changes or budgetary proposals, to the Legislative Research 15
Commission, the Governor, and the Public Service Commission concerning 16
any of the issues examined or studied by the commission pursuant to 17
paragraph (c) of this subsection. 18
(8)[(7)] (a) Notwithstanding any provision of law to the contrary, no utility shall 19
retire any existing coal, oil, or natural gas -fired electric generating plant, or 20
any unit within the plant, prior to submitting notice to the commission and 21
receiving the findings and recommendations from the executive committee 22
and the executive director, as described in this subsection. 23
(b) A utility proposing to retire any existing coal, oil, or natural gas -fired power 24
plant, or unit within such plant, shall give notice to the commi ssion's 25
executive committee, in the form and manner as the executive committee may 26
require, at least one hundred eighty (180) days prior to submitting the 27
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retirement application to the Public Service Commission required by KRS 1
278.264(1). The utility may i nclude with its notice any information the utility 2
believes will assist in the executive committee's review of the proposed 3
activity. 4
(c) 1. The executive committee or executive director may require a utility 5
filing notice under this subsection to provide any information, records, 6
or data that the executive committee or executive director deems 7
reasonably necessary to make its findings under this subsection, and the 8
utility shall respond to all such requests within a reasonable timeframe 9
as established by the executive committee or executive director. 10
2. A utility responding to an information request or otherwise providing 11
information to the commission may designate the information, records, 12
or data provided [ in the response] as confidential business informa tion, 13
and the information, records, or data shall be exempt from disclosure 14
under the requirements of KRS 61.870 to 61.884. 15
3. A utility responding to an information request or otherwise providing 16
information to the commission may indicate in its response or 17
submission that the information, records, or data provided should not be 18
shared with specific members of the commission board or executive 19
committee to avoid an unfair competitive or market advantage, in which 20
case the confidential information, records, or data shall not be shared 21
with or made available to that member or members. 22
4. Any information, records, data, files, documents, or correspondence 23
submitted by a utility to the commission that the utility has designated 24
as confidential business informa tion shall be exempt from disclosure 25
under KRS 61.870 to 61.884 to the extent that open disclosure would 26
permit an unfair commercial advantage to competitors of the utility 27
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that submitted the information. 1
(d) Other than being a customer of retail electric service, any member of the 2
commission board who has an employment or contractual relationship with 3
the utility filing the notice required by this subsection shall have no contact 4
with the executive director or any member of the executive committee 5
concerning the proposed activities described in the notice. 6
(e) Within ninety (90) days of its receipt of the notice required by this section, the 7
commission shall hold a public hearing in the county in which the retirement 8
is proposed to occur in order to receive public comments on the proposed 9
activity. 10
(f) Within one hundred thirty -five (135) days of receiving a utility's notice of a 11
proposed retirement, but following the public hearing described in paragraph 12
(e) of this subsection, the executive committee shall issue a final report 13
containing written findings and recommendations concerning the proposed 14
retirement. The executive committee's written findings and recommendations 15
shall include: 16
1. The impact of the proposed activity on the available supply of 17
dispatchable and reliable power within the Commonwealth, including 18
the ability of the Commonwealth to meet future demand growth or 19
respond to extreme weather events; 20
2. Whether alternatives to the proposed activity exist, and whether those 21
alternatives should be further evaluated prior to proceeding with the 22
proposed activity; 23
3. Whether the replacement of the generating unit or units subject to the 24
proposed activity with other generating resources will result in any 25
adverse land use impacts in the Commonwealth; 26
4. Whether the proposed activity will result in loss of revenue to the 27
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Commonwealth or any local government unit; 1
5. The positive or negative economic impact of the proposed activity on 2
the local economy of the area in which the proposed activity will tak e 3
place; 4
6. The economic impact of the proposed activity on the Commonwealth as 5
a whole; and 6
7. The impact of the proposed activity on the Commonwealth's ability to 7
increase the available supply of electrical power for current or future 8
economic development purposes. 9
(g) 1. The findings and recommendations of the executive committee that are 10
approved by a majority of the members of the executive committee shall 11
be designated as findings of the commission and shall be submitted to 12
the Public Service Commission and the utility . If no majority decision 13
of the executive committee is reached with respect t o the findings, the 14
report shall so indicate, and each member of the executive committee 15
may make a written statement of position concerning the proposed 16
activity by the deadline provided for in the report. Each written 17
statement shall be included in the r eport and transmitted along with the 18
report to the Public Service Commission and the utility . Any executive 19
committee member dissenting from the report, any portion of the report, 20
or any specific findings in the report may, within one hundred eighty 21
(180) days of the utility filing notice of the proposed activity, transmit 22
separate dissenting findings and recommendations to the Public Service 23
Commission and the utility. 24
2. The executive committee shall provide the executive director with all 25
information, records, and data considered in the proposal to retire and 26
shall include the executive director in all associated deliberations. 27
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Within one hundred eighty (180) days of the utility filing notice of the 1
proposed activity, the executive director may submit his or her own 2
written report with findings and recommendations, a written statement 3
of position, or dissenting findings and recommendations to the Public 4
Service Commission and the utility. 5
(h) The executive committee's written report, the executive director 's written 6
report or position statement, and any dissenting statements provided to the 7
Public Service Commission and the utility, shall be included in any retirement 8
application made to the Public Service Commission under KRS 278.264, and 9
the Public Servic e Commission shall not approve any retirement application 10
without considering all information received from the executive committee , 11
the executive director, or any member of the executive committee. Any order 12
of the Public Service Commission in a proceedin g under KRS 278.264 shall 13
contain specific written findings of fact or conclusions of law addressing 14
whether the executive committee's and the executive director's findings and 15
recommendations, position statements, and dissenting statements were 16
considered by the Public Service Commission. 17
(i) No retirement application to the Public Service Commission under KRS 18
278.264 shall be deemed administratively complete unless it includes [ either] 19
the executive committee's and the executive director's report, positi on 20
statements, and dissenting statements submitted pursuant to this section or 21
evidence that more than one hundred eighty (180) days have passed since 22
notice was submitted to the commission as required in paragraph (b) of this 23
subsection and no executive c ommittee or executive director report, position 24
statement, or dissenting statement [ or determination] has been provided to 25
the Public Service Commission or the utility. 26
(9)[(8)] (a) The Energy Planning and Inventory Commission fund is hereby 27
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established in the State Treasury and shall be administered by the executive 1
director with the advice of the commission board. The fund shall be a trust 2
and agency account and may receive state appropriations, gifts, grants, and 3
federal funds. Monies in the fund shall o nly be disbursed for the purposes 4
of carrying out this section. 5
(b) Notwithstanding KRS 45.229, state appropriations, gifts, grants, federal 6
funds, and any interest earnings on those monies not expended at the close 7
of a fiscal year shall not lapse, but shall be carried forward to the next fiscal 8
year. 9
(10) Notwithstanding any provision of law to the contrary, the executive committee and 10
[, or] the executive director , jointly or separately [ if authorized by the executive 11
committee], shall have standing to p articipate as an intervening party in any case or 12
other proceeding before the Public Service Commission[. 13
(9) Subject to available funding, the executive committee may employ administrative 14
staff or third -party consultants with expertise in the subject ma tter of any study, 15
examination, or review undertaken by the commission to assist in carrying out the 16
commission's functions under this section]. 17
(11)[(10)] The commission shall cease to exist on December 31, 2035. 18
Section 2. The Attorney General shall make the appointments to the executive 19
committee of the Energy Planning and Inventory Commission board as provided under 20
subsection (4) of Section 1 of this Act on or before August 1, 2026, who shall replace the 21
current appointees for those positions whose terms shall be terminated on the effective 22
date of this Act. 23
Section 3. (1) The Energy Planning and Inventory Commission is directed 24
to conduct a comprehensive assessment examining the following with regard to the 25
eastern Kentucky counties that are included in the Appalachian Regional Commission: 26
(a) The technical and economic viability of e xisting and potential coal -fired 27
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generation resources in eastern Kentucky, including analysis of operational economics, 1
fuel supply chains, compliance costs, and grid reliability contributions; 2
(b) Potential alternative and emerging uses for eastern Kentuc ky coal resources, 3
including but not limited to carbon capture applications, rare earth element extraction, 4
advanced materials production, and other value-added applications; 5
(c) Factors contributing to elevated energy costs for eastern Kentucky residents, 6
including generation, transmission, and distribution cost components, rate structures, and 7
regional market dynamics; 8
(d) Opportunities and mechanisms to reduce energy cost burdens on eastern 9
Kentucky households and businesses, including potential policy i nterventions, 10
infrastructure investments, rate design modifications, efficiency programs, and other 11
approaches; and 12
(e) The role of coal resources and coal -related infrastructure in supporting energy 13
supply adequacy and grid reliability for eastern Kentuck y and the broader 14
Commonwealth. 15
(2) In conducting the assessment, the Energy Planning and Inventory 16
Commission shall: 17
(a) Consult with electric utilities and cooperatives serving eastern Kentucky, coal 18
producers, regional development organizations, consume r advocates, and other relevant 19
stakeholders; 20
(b) Consider economic development impacts, workforce implications, and 21
community transition dynamics; and 22
(c) Coordinate as appropriate with other state agencies and regional planning 23
entities. 24
(3) The Energy P lanning and Inventory Commission shall submit a report 25
containing its findings and recommendations to the Legislative Research Commission by 26
December 1, 2026, and shall make its analysis publicly available on the Energy Planning 27
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and Inventory Commission website. 1
Section 4. Whereas it is critical that changes made to the Energy Planning and 2
Inventory Commission executive committee, commission board, and role of the executive 3
director take effect as soon possible to allow the commission to most effectively carry out 4
its responsibilities, and whereas it is essential to the livelihood of the citizens of eastern 5
Kentucky that the energy infrastructure of the region be studied to explore ways to 6
strengthen grid adequacy and rel iability and to reduce energy costs, an emergency is 7
declared to exist, and this Act takes effect upon its passage and approval by the Governor 8
or upon its otherwise becoming a law. 9