KY HB870

Appropriates $30,000,000 in General Fund moneys for each fiscal year of the 2026-2028 biennium to the Kentucky Public Transportation Development Fund, administered by the Transportation Cabinet

Establishes a formula for distributing fund moneys to public transit systems: 35% as guaranteed minimum base amount, 35% based on needs (passenger trips, service hours, low-income/no-vehicle households), 20% for rural equity, and 10% based on performance metrics

Creates a nonrefundable, nontransferable tax credit for employers who make voluntary contributions to the fund or provide transit passes to employees, equal to 50% of the contribution amount, available for tax years January 1, 2027 through December 31, 2030

Allows Kentucky employers to make voluntary contributions to the fund not exceeding 0.05% of total payroll, with those contributions designated for workforce mobility needs

Requires annual reporting from transit systems on fund usage by October 1 and from the Transportation Cabinet to the Legislative Research Commission by December 1 each year