# Kentucky HB 566: AN ACT relating to the Kentucky Horse Racing and Gaming Corporation and declaring an emergency. Kentucky HB 566, AN ACT relating to the Kentucky Horse Racing and Gaming Corporation and declaring an emergency., is a 2025 Regular Session House bill sponsored by Matthew Koch (Republican); status became law, last action 2025-03-28 (delivered to Secretary of State (Acts Ch. 124)); PRIA reads it as touching household money (as of 2026-10-17). - Canonical: https://policyrisk.com/state-bill/KY-HB566-2025RS - As of: 2026-10-17 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: Kentucky HB 566 - State: Kentucky - Session: 2025 Regular Session - Title: AN ACT relating to the Kentucky Horse Racing and Gaming Corporation and declaring an emergency. - Status: became law - Chamber: House - Introduced: 2025-02-14 - Last action: 2025-03-28, delivered to Secretary of State (Acts Ch. 124) - Sponsor: Matthew Koch (Republican) - Cosponsors: 3 - Subjects: Effective Dates, Delayed, Effective Dates, Emergency, Gambling, Licensing, Racing, State Agencies, Treasurer, Wagering, Administrative Regulations and Proceedings, Amusements and Recreation, Auditor of Public Accounts, Charitable Organizations and Institutions, Public Protection, Advisory Boards, Commissions, and Committees, Horses and Horse Racing - Touches household money: yes - Roll calls: 5 (281 yes, 64 no in all) - Economic provisions PRIA read: 25 ## Summary No summary available. ## Bill overview: provisions PRIA read - More gaming options for charity fundraisers: benefit, low. Beginning July 1, 2025, schools and school-affiliated groups within a district can use that district's charitable gaming license. Licensed charities can include betting on prerecorded horse races at fundraising events, with games approved by the Corporation. The Corporation cannot ban or restrict g… - Breeder funds reserve most money for rewards: benefit, low. The Thoroughbred, standardbred, and Kentucky horse breeders incentive funds must each allocate at least 90% to breeder rewards. Each fund can use up to 10% for Corporation administration and operations. Thoroughbred and Kentucky horse fund rewards cover horses bred and foaled in Kentucky. Standardb… - Gaming regulator gains more purchasing options: benefit, low. The Corporation can set its own purchasing procedures through regulations instead of using Kentucky's general public purchasing law. It can include parts of that law in its own rules. It can also use existing state agency price contracts. The law does not state any resulting savings. - More industry voices on gaming board: benefit, low. The Corporation's board grows from 15 to 17 Governor-appointed members. It includes three charitable gaming representatives instead of two, plus one quarter horse industry representative. Retailers leave the financial-interest restriction, while interests above 5% in vendors, suppliers, and related… - Quarter horse racing gets dedicated funding: benefit, low. The law creates a Corporation-run fund to supplement quarter horse race purses. A separate fund supports paint, Appaloosa, and Arabian races. It also sends 1% of wagers on live and historical quarter horse races at a track to the quarter horse development fund. For telephone account, intertrack, an… - Small charity ticket operations deposit weekly: benefit, low. Qualifying licensed charitable organizations need to deposit gaming receipts only once a week. Their gaming must use only charity game tickets and cannot be part of a charity fundraising event. Their deposits of gross and adjusted gross gaming receipts must total less than $2,500 in the preceding w… - Sports betting money supports gaming regulator: benefit, low. Sports wagering license fees go directly to the Corporation instead of the sports wagering administration fund. The initial track license fee remains $500,000, due before issuance; each license has a $50,000 annual renewal fee. The Corporation also receives 10% of sports wagering administration fun… - Thoroughbred fund gains more spending flexibility: benefit, low. Rules for supplemental purses in designated races become optional rather than required. The same applies to rules for the Kentucky Thoroughbred development fund and its Kentucky-bred Thoroughbred program. The law also ends the requirement to pay specified assisting personnel and advisory committee… - Gaming employees face charity conflict limits: cost, low. Beginning July 1, 2025, Corporation employees cannot serve as officers of licensed charities or participate in their charitable gaming. They also cannot hold specified charitable gaming licenses or financial interests in businesses holding those licenses. These limits apply throughout their employm… - Gaming staff lose classified service status: cost, low. All Corporation employees are excluded from classified state service; previously, the exclusion covered only its veterinarians. They are outside state personnel and compensation laws in Chapters 18A and 64. Applicable state ethics rules still apply unless they expressly conflict with the Corporatio… - Gaming oversight loses appeals and safeguards: cost, low. Retailers lose board appeals when the Corporation's president denies, revokes, or cancels their contracts. The law does not name a replacement appeal route. It removes a specific ban on decision-making staff handling retailer decisions when they hold at least a 5% financial interest. It also remove… - Charitable gaming groups pay receipts fees: cost, low. Beginning July 1, 2025, licensed charitable gaming groups pay 0.53% of their gaming gross receipts. They remit this fee to the Kentucky Horse Racing and Gaming Corporation. This fixed rate replaces the prior formula for adjustments every two years. Each license fee remains capped at $300. The Corpo… - New deadlines for unclaimed horse bets: mixed, low. Covered winning horse-betting tickets and vouchers held by authorized Kentucky operators are presumed abandoned after one year without a claim. Beginning July 1, 2025, the separate two-year rule for quarter horse and Appaloosa track winnings ends. If no other listed abandoned-property rule applies,… - Racing president controls hiring and pay: mixed, low. The Corporation president can hire, dismiss, take other personnel actions, and set reasonable pay for stewards, veterinarians, and inspectors. Other hires must be essential to a race meeting, serve racing's best interests, and not be otherwise identified in the governing chapters. Rules defining th… - Charities face annual gaming license renewals: mixed, low. Beginning July 1, 2025, charitable gaming oversight moves to the Kentucky Horse Racing and Gaming Corporation and its gaming office. The old department ends; its staff, equipment, and funding transfer, and the president can combine office duties. The Corporation sets license fee scales and certain… - Charities get time to fix reports: mixed, low. Beginning July 1, 2025, timely quarterly reports with the required fee receive review within two months of receipt. For reporting errors that are not willful, the charitable gaming office must warn the group before other administrative action. Groups get 30 days to correct those errors. The office… - Gaming officers face changed police powers: mixed, low. Corporation security officers lose their specified peace-officer status on Corporation property and at Kentucky racetracks and grounds. Beginning July 1, 2025, the president can appoint gaming investigators but is not required to do so. Appointed investigators may have statewide peace-officer power… - Charitable gaming oversight becomes more discretionary: mixed, low. Beginning July 1, 2025, the Corporation no longer has to establish charitable gaming complaint procedures or classify offenses and recommended actions. Rules for bingo card-minding devices and automated charity ticket dispensers also become optional. Dispensers still need prior approval and can ope… - Existing charity gaming locations get exceptions: mixed, low. Licensees operating more locations than allowed on July 1, 2025, can keep those additional licenses. They lose them after a sale, ownership transfer, or suspension or revocation for a violation. Late renewal applications or fees, or closure for 90 days or more, also end the exception. Failure to me… - Gaming regulator must fund itself: mixed, low. After its appropriated operating funds for fiscal years 2024-2025 and 2025-2026 transfer, the Corporation must support itself. State General Fund money cannot then pay or be committed to its expenses. The president must prepare and recommend a budget every year instead of every two years. The Audit… - Racing funds divide support by breed: mixed, low. The standardbred development fund sends $75,000 each fiscal year to Kentucky's problem gambling assistance account before dividing the rest. At least 90% of the remainder must be allocated in Kentucky; up to 10% can cover Corporation operations. For licensed Kentucky tracks conducting Paint, Appalo… - Racing funds shift to new accounts: mixed, low. State officials must transfer covered balances, carry-forward money, and interest to the Corporation by June 30, 2025. Future receipts go to 18 specified accounts for racing, breeding, worker welfare, facilities, aftercare, research, administration, and charitable gaming regulation. However, the us… - Racing regulator gains licensing rule flexibility: mixed, low. The Corporation can charge racing association application fees, but the law requires no fee and sets no amount. Setting a fee schedule and making pari-mutuel betting rules are discretionary rather than mandatory. Beginning July 1, 2025, it can add license categories for race-meeting activities on a… - Racing regulator gains optional rulemaking powers: mixed, low. The Corporation is no longer required to adopt certain racing and wagering rules, but it retains authority to adopt them. These cover improper devices in racing or sports betting and drugs, stimulants, or other improper acts involving horses before races. Rules dividing laboratory and other testing… - Sports betting rules become discretionary: mixed, low. The Corporation can issue sports betting rules, including rules for credit or debit card deposits. The law makes this rulemaking discretionary rather than mandatory. It also authorizes regulations for a working sports betting system within six months after June 29, 2023. This provision does not set… ## Sponsors and cosponsors - Sponsor: Matthew Koch (Republican), House - Cosponsor: David W. Osborne (Republican), House - Cosponsor: Patrick Flannery (Republican), House - Cosponsor: Steve Bratcher (Republican), House ## Roll call votes | Date | Chamber | Motion | Result | Yes | No | Other | | --- | --- | --- | --- | --- | --- | --- | | 2025-03-27 | House | passed | pass | 72 | 22 | | | 2025-03-27 | Senate | passed | pass | 30 | 6 | | | 2025-03-13 | Senate | passed | pass | 75 | 11 | | | 2025-03-12 | Senate | passed | pass | 31 | 7 | | | 2025-02-21 | House | 3rd reading, passed | pass | 73 | 18 | | ## Actions (47) - 2025-03-28: delivered to Secretary of State (Acts Ch. 124) - 2025-03-28: enrolled, signed by President of the Senate (House) - 2025-03-28: enrolled, signed by Speaker of the House (House) - 2025-03-28: received in House (House) - 2025-03-27: passed 30-6 (Senate) - 2025-03-27: veto overridden (Senate) - 2025-03-27: posted for passage for consideration of Governor's veto - 2025-03-27: to Rules (S) (Senate) - 2025-03-27: received in Senate (Senate) - 2025-03-27: passed 72-22 (House) - 2025-03-27: veto overridden (House) - 2025-03-27: posted for consideration of Governor's veto - 2025-03-27: taken from Rules (House) - 2025-03-27: to Rules (H) (House) - 2025-03-27: received in House (House) - 2025-03-25: line items vetoed - 2025-03-13: delivered to Governor - 2025-03-13: enrolled, signed by President of the Senate (Senate) - 2025-03-13: enrolled, signed by Speaker of the House (Senate) - 2025-03-13: passed 75-11 (Senate) - 2025-03-13: House concurred in Senate Committee Substitute (1) (Senate) - 2025-03-13: posted for passage for concurrence in Senate Committee Substitute (1) (Senate) - 2025-03-13: taken from Rules (H) (House) - 2025-03-12: to Rules (H) (House) - 2025-03-12: received in House (House) - 2025-03-12: passed 31-7 with Committee Substitute (1) (Senate) - 2025-03-12: floor amendment withdrawn Floor Amendment (1) (Senate) - 2025-03-12: 3rd reading (Senate) - 2025-03-11: posted for passage in the Regular Orders of the Day for Wednesday, March 12, 2025 (Senate) - 2025-03-11: reported favorably, to Rules with Committee Substitute (1) (Senate) - 2025-03-06: floor amendment (1) filed (Senate) - 2025-03-04: returned to Licensing & Occupations (S) (Senate) - 2025-03-04: 2nd reading (Senate) - 2025-03-04: taken from Licensing & Occupations (S) (Senate) - 2025-02-28: returned to Licensing & Occupations (S) (Senate) - 2025-02-28: 1st reading (Senate) - 2025-02-28: taken from Licensing & Occupations (S) (Senate) - 2025-02-27: to Licensing & Occupations (S) (Senate) - 2025-02-25: to Committee on Committees (S) (Senate) - 2025-02-25: received in Senate (Senate) - 2025-02-21: 3rd reading, passed 73-18 with Committee Substitute (1) (House) - 2025-02-20: posted for passage in the Regular Orders of the Day for Friday, February 21, 2025 (House) - 2025-02-20: 2nd reading, to Rules (House) - 2025-02-19: reported favorably, 1st reading, to Calendar with Committee Substitute (1) (House) - 2025-02-18: to Licensing, Occupations, & Administrative Regulations (H) (House) - 2025-02-14: to Committee on Committees (H) (House) - 2025-02-14: introduced in House (House) ## Bill text - Current, 2025-03-27: [PDF](https://apps.legislature.ky.gov/recorddocuments/bill/25RS/hb566/bill.pdf) - Introduced, 2025-02-14: [PDF](https://apps.legislature.ky.gov/recorddocuments/bill/25RS/hb566/orig_bill.pdf) ## Related bills - HB 501: AN ACT relating to pharmaceutical drugs. (became law) - HB 664: AN ACT relating to the operation of a motor vehicle and declaring an emergency. (signed) - HB 606: AN ACT relating to economic development. (signed) - HB 421: AN ACT relating to colorectal cancer screenings. (signed) - HB 555: AN ACT relating to local government financial practices. (signed) - HB 493: AN ACT relating to the towing and storage of motor vehicles. (signed) ## Sources - [Current (PDF)](https://apps.legislature.ky.gov/recorddocuments/bill/25RS/hb566/bill.pdf) - [Introduced (PDF)](https://apps.legislature.ky.gov/recorddocuments/bill/25RS/hb566/orig_bill.pdf) ## Related - [HB 501: AN ACT relating to pharmaceutical drugs.](https://policyrisk.com/state-bill/KY-HB501-2025RS) - [HB 664: AN ACT relating to the operation of a motor vehicle and declaring an emergency.](https://policyrisk.com/state-bill/KY-HB664-2025RS) - [HB 606: AN ACT relating to economic development.](https://policyrisk.com/state-bill/KY-HB606-2025RS) - [HB 421: AN ACT relating to colorectal cancer screenings.](https://policyrisk.com/state-bill/KY-HB421-2025RS) - [HB 555: AN ACT relating to local government financial practices.](https://policyrisk.com/state-bill/KY-HB555-2025RS) - [HB 493: AN ACT relating to the towing and storage of motor vehicles.](https://policyrisk.com/state-bill/KY-HB493-2025RS) - [Kentucky bills](https://policyrisk.com/states/kentucky/bills) - [Kentucky state hub](https://policyrisk.com/states/kentucky) - [All state legislation](https://policyrisk.com/state-bills) Source: PRIA, https://policyrisk.com/state-bill/KY-HB566-2025RS (as of 2026-10-17).