The public-private partnership legislation, House Bill 309, is a classic example of the fox guarding the henhouse and should be vetoed.
Much of the structure for oversight of the “partnership” agreements is to be provided by regulations drafted by the secretary of finance. These regulations must be approved by a board tilted toward the same local governments which are to be protected from making bad decisions.
There is much that has to be done to craft effective regulations and then have them promulgated. If regulations are not promulgated by the end of this year, the bill allows local governments to go ahead and act on contracts without approval by the Kentucky Local Government Public-Private Partnership Board. This is an outrageous statutory framework. Who wrote this bill? Who does it benefit? This bill has real potential to be expensive for the taxpayers, utility ratepayers or whoever else may have to pay.