The General Administration appropriation unit provides coordination and management of the Cabinet. The Office of the Secretary, including the Office of Legislative and Intergovernmental Affairs and the Office of the Inspector General, develops executive policy and directs the overall management of the Commonwealth's property and financial assets. Office staff coordinates fiscal and personnel administration for the Cabinet, reviews all internal reorganizations, prepares the Cabinet legislative package, and handles inquiries and issues that arise from the General Assembly, the news media, and the general public. The Secretary of Finance serves on numerous boards and commissions including the Kentucky Economic Development Partnership Board, the Kentucky Economic Development Finance Authority, the Kentucky Infrastructure Authority, the Kentucky Higher Education Assistance Authority, and the Kentucky Housing Corporation. The Office of the Inspector General is responsible for conducting various investigations within the Executive Branch pursuant to KRS 45.131.
The Office of Equal Employment Opportunity (EEO) and Contract Compliance is responsible for developing, implementing, and monitoring the Finance and Administration Cabinet's affirmative action plan as required by KRS 18A.138. The Office also monitors all contracts in excess of $500,000 awarded by the Cabinet to ensure compliance with the affirmative action provisions of the Kentucky Equal Employment Opportunity Act.
The Office of General Counsel provides legal services to the departments of the Finance and Administration Cabinet and Cabinet-related entities. Members of this office represent the Secretary of the Cabinet in civil litigation. The unit also reviews legislation being considered by the General Assembly.
The Office of Administrative Services manages personnel, fiscal policy, and payroll functions for all units within the Finance and Administration Cabinet, the Governor's Office, the Executive Branch Ethics Commission, the School Facilities Construction Commission, and the Lieutenant Governor's Office. This budget unit includes the Office of Budget and Fiscal Management which prepares the Cabinet's budget, oversees internal accounting and procurement, and manages the Cabinet's personal property inventory. The Office of Administrative Services also includes the Division of Human Resources and has responsibility for the management and oversight of the Division of Postal Services.
The Division of Postal Services includes one mail management center which provides a secure environment for the Commonwealth's mail. The Division provides messenger service to all state agencies and performs mail processing functions for over 125 state agencies. This division advises agencies about USPS rules, regulations, and services.
The Office of Fleet Management manages and maintains the Commonwealth's vehicle fleet for use by state agencies and employees.
The Office of Policy and Audit is responsible for assuring the reliability and integrity of information used to support management decision making, evaluating how state assets are safeguarded, providing risk and insurance management to the Cabinet, and appraising the economy and efficiency of resource use. Staff also ascertains whether the operations and programs are being implemented as planned, and performs special studies at the request of management.
Established in KRS 198A./44, the Rural Housing Trust Fund is administered by the Kentucky Housing Corporation. The fund exists to assist moderate income individuals in meeting basic housing needs.
The Governor's budget includes $229,300 of additional Restricted Fund spending in fiscal year 2027 and $241,300 of additional spending in fiscal year 2028 for two additional positions in the Division of Fleet Management.
General Fund in the amount of $220,000 in fiscal year 2028 is included to support the Gubernatorial Transition.
The $6,800,000 annual, recurring contribution to the Kentucky Affordable Prepaid Tuition trust fund was removed from the base General Fund budget and replaced with a $17,900,000 lump-sum contribution to the fund in fiscal year 2027 to fully pay down the actuarially determined liability of the trust fund. This one-time funding to pay down the liability is from the Budget Reserve Trust Fund and will ensure that the promises made to Kentucky families are honored.
I he Governor's budget includes additional funding in the amount of $280,000 in fiscal year 2027 and $575,200 in fiscal year 2028 to fund a 2% salary increment in fiscal year 2027 and an additional 2% increment in fiscal year 2028. The General Fund portion is $134,400 and $276,100 respectively.