(1) As used in this section:
(a) “Authority” means the Kentucky Economic Development Finance Authority; (b) “Qualifying former hospital” means a hospital facility:

Terms Used In Kentucky Statutes 154.20-190

  • Authority: means the Kentucky Economic Development Finance Authority, consisting of a committee as set forth in KRS §. See Kentucky Statutes 154.1-010
  • Cabinet: means the Cabinet for Economic Development as established under KRS
    12. See Kentucky Statutes 154.1-010
  • Commonwealth: means the Commonwealth of Kentucky. See Kentucky Statutes 154.1-010
  • Federal: refers to the United States. See Kentucky Statutes 446.010
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • Joint committee: Committees including membership from both houses of teh legislature. Joint committees are usually established with narrow jurisdictions and normally lack authority to report legislation.
  • Owner: when applied to any animal, means any person having a property interest in such animal. See Kentucky Statutes 446.010
  • Project: includes but is not limited to agribusiness, agricultural or forestry production, harvesting, storage, or processing facilities or equipment. See Kentucky Statutes 154.1-010
  • Year: means calendar year. See Kentucky Statutes 446.010

1. At a location that closed within thirty-six (36) months prior to an application for a loan; and
2. For which the former owner or new owner has obtained a certificate of need to open a new hospital or other health facility as defined in KRS
216B.015 that provides inpatient care at the closed location; and
(c) “Rural hospital” means any hospital or qualifying former hospital located within a county of the Commonwealth having a population of less than fifty thousand (50,000) according to the most recent annual estimates of the resident population issued by the United States Census Bureau.
(2) (a) The rural hospital operations and facilities revolving loan fund is established.
The authority shall provide loans to a rural hospital not to exceed one million dollars ($1,000,000) for any project within a rural hospital and shall not exceed more than two million dollars ($2,000,000) every five (5) years.
(b) Any loan issued by the authority shall not exceed a twenty (20) year term and shall be utilized by the Cabinet for Economic Development to assist a rural hospital in providing needed direct health care services for the citizens of the Commonwealth by:
1. Maintaining or upgrading the hospital’s facilities;
2. Maintaining or increasing the current staff of the rural hospital;
3. Reopening a qualifying former hospital; or
4. Providing health care services that are not currently available to citizens. (c) The authority shall consider a group with multiple locations eligible under this
section as if each separate location is a separate entity for purposes of
determining eligibility and applicable loan limits. (3) The Cabinet for Economic Development shall:
(a) Determine the terms and conditions of each loan, including the repayment to be deposited back in the revolving loan fund for issuance of future loans to other rural hospitals;
(b) Monitor the performance of the rural hospital; and
(c) By November 1, 2023, and by each November 1 thereafter, report to the Interim Joint Committee on Appropriations and Revenue information about each outstanding loan issued, including:
1. The name and location of the rural hospital;
2. The amount of principal originally loaned;
3. The terms of the loan and whether the rural hospital is currently meeting those terms; and
4. How the rural hospital used the loan related to facilities, staff, or additional services.
(4) (a) The fund created in subsection (2) of this section shall be a trust and agency account.
(b) The Cabinet for Economic Development shall administer the fund.
(c) The fund shall consist of appropriations, contributions, donations, gifts, or federal funds.
(d) Notwithstanding KRS § 45.229, any moneys remaining in the fund at the close of the fiscal year shall not lapse but shall be carried forward into the succeeding fiscal year.
(e) Any interest earnings of the fund shall become a part of the fund and shall not lapse.
(f) Moneys deposited in the fund are hereby appropriated for the sole purpose of providing loans to rural hospitals.
Effective: June 29, 2023
History: Amended 2023 Ky. Acts ch. 75, sec. 15, effective June 29, 2023. — Amended
2022 Ky. Acts ch. 134, sec. 1, effective April 8, 2022. — Created 2020 Ky. Acts ch.
128, sec. 1, effective April 24, 2020.