48.005 Public accountability for funds or assets recovered by duly elected statewide
834 words·~4 min read·
/ky/48-005A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
constitutional officers through judgment or settlement -- Applicability of Open
Records and Open Meetings Laws -- Administration and disbursement of trust
funds or assets by Office of the Controller -- Exceptions -- Costs of litigation --
Limitation regarding constitutional challenge.
(1)The General Assembly hereby finds and declares that:
(a)Public accountability for funds or other assets recovered in a legal action by
or on behalf of the general public, the Commonwealth, or its duly elected
statewide constitutional officers is appropriate and required, whether the
character of the assets or funds recovered is public or private;
(b)Accountability for assets or funds recovered by duly elected statewide
constitutional officers is essential to the public trust, and is even more critical
when that officer was a party to the action that resulted in the recovery by
virtue of the public office he or she holds;
(c)Public accountability demands the applicability of the Kentucky Model
Procurement Code, KRS Chapter 45A, Kentucky Open Records Law, KRS
61.870 to 61.884, and the Kentucky Open Meetings Law, KRS 61.805 to
61.850, so that the actions of individuals or agencies who are charged with the
administration of funds or other assets are conducted in full view, and are
open to public scrutiny; and
(d)The power to appropriate funds for public purposes is solely within the
purview of the legislative branch of government, and the General Assembly,
as a steward of the budgetary process, shall take steps to assure that future
settlements are handled in a manner that assures maximum accountability to
the citizens of the Commonwealth and their duly elected legislative
representatives.
(2)Therefore, any other provision of the common law or statutory law to the contrary
notwithstanding:
(a)The provisions of subsection
(3)of this section shall apply whenever the
Attorney General or other duly elected statewide constitutional officer is a
party or has entered his appearance in a legal action on behalf of the
Commonwealth of Kentucky, including ex rel. or other type actions, and a
disposition of that action has resulted in the recovery of funds or assets to be
held in trust by the Attorney General or other duly elected statewide
constitutional officer or a person, organization, or entity created by the
Attorney General or the Commonwealth, through court action or otherwise, to
administer the trust funds or assets, for charitable, eleemosynary, benevolent,
educational, or similar public purposes;
(b)Except as otherwise provided in paragraph
(a)of this subsection, the
provisions of subsection
(4)of this section shall apply when any funds or
assets of any kind or nature whatsoever, including but not limited to public
funds as defined in KRS 446.010 and private funds or assets are recovered by
judgment or settlement of a legal action by or on behalf of the Commonwealth
of Kentucky, including ex rel. or other type actions filed by a duly elected
statewide constitutional officer under that officer's statutory or common law
authority.
(3)Whenever the Attorney General or other duly elected statewide constitutional
officer is a party to or has entered his appearance in, a legal action on behalf of the
Commonwealth of Kentucky, including ex rel. or other type actions, and a
disposition of that action has resulted in the recovery of funds or assets to be held in
trust by the Attorney General or other duly elected statewide constitutional officer
or by a person, organization, or entity created by the Attorney General, or the
Commonwealth, through court action or otherwise, to administer the trust funds or
assets, for charitable, eleemosynary, benevolent, educational, or similar public
purposes, those funds shall be deposited in the State Treasury and the funds or
assets administered and disbursed by the Office of the Controller.
(4)The Office of Attorney General may first recover its reasonable costs of litigation,
as determined by the court and approved by the secretary of the Finance and
Administration Cabinet. After recovering the reasonable costs of litigation, any
required consumer restitution or payments shall be made. All remaining funds shall
be deposited in the general fund surplus account. Any costs recovered under this
subsection shall be reported to the Interim Joint Committee on Appropriations and
Revenue.
(5)The common law, including the common law authority of any duly elected
statewide constitutional officer, is specifically abrogated to the extent it is
inconsistent with the provisions of this section.
(6)Notwithstanding any statute or common law to the contrary, and except as provided
in this subsection, an elected statewide constitutional officer or any other state
official or agency shall not file or participate as a plaintiff, petitioner, party,
intervening party, attorney, or amicus curiae in any litigation challenging the
constitutionality of this section. State funds and employee time shall not be
expended by any person or agency in support of such a challenge. If the
constitutionality of this section is challenged, the Finance and Administration
Cabinet shall be the sole named respondent in that litigation, and shall consult with
the Legislative Research Commission regarding defense of that litigation.