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Read. Follow. Verify.Kentucky Senate Bill 38 expands statutory compliance standards for Medicaid and KCHIP regarding pharmacist and healthcare reimbursements
Last action · March 5, 2026: to Banking & Insurance (H)Sponsors: Craig Richardson and 8 others
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What This Bill Proposed
Kentucky Senate Bill 38 updates statutory compliance rules for the Department for Medicaid Services, s, and the Kentucky Children's Health Insurance Program () regarding pharmacist service reimbursements and health insurance statutes. The measure requires state agencies to comply with specified insurance and Medicaid statutes and mandates state agencies to seek federal approval or waivers within 90 days if necessary to prevent the loss of federal funds.
- The Kentucky General Assembly is the state legislature responsible for enacting statutory amendments to state healthcare and insurance programs. context
- KCHIP provides state-sponsored health insurance coverage to children in low-income families who do not qualify for traditional Medicaid under Title XIX. context
Who It Would Have Affected
Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.
Department for Medicaid Services
The department must comply with an expanded list of statutory cross-references governing health insurance and pharmacist services.
Cabinet for Health and Family Services
The cabinet is directed to prepare KCHIP plans, promulgate administrative regulations, and request necessary federal approvals within 90 days.
KCHIP recipients
Recipients maintain zero copayments and direct access to dental and vision providers under updated statutory benefit standards.
Public health departments
Public health departments are granted explicit opportunities to bid on preventive health services within their service areas without disqualification.
Key Facts
- Medicaid and managed care organizations providing Medicaid benefits must comply with multiple specific insurance statutes under KRS Chapter 304, including KRS 304.12-237 and KRS 304.17A-129.
- Managed care organizations providing Medicaid benefits must comply with the reporting requirements of KRS 304.17A-732.
- The Cabinet for Health and Family Services must prepare a state child health plan known as KCHIP meeting Title XXI of the Federal Social Security Act.
- KCHIP premium contributions are based on a six-month sliding scale ranging from $10 to $120 depending on family income relative to the federal poverty level.
Show all 10 facts
- KCHIP requires no copayments for services provided under the program.
- Public health departments are explicitly given the opportunity to bid on preventive health services within their service areas without being disqualified for not offering all required services.
- KCHIP recipients have direct access without primary care referrals to dentists for primary dental services and to optometrists and ophthalmologists for primary eye and vision services.
- KCHIP benefits must include preventive services, vision services including glasses, and dental services including sealants, extractions, and fillings.
- If federal authorization or approval is necessary to prevent the loss of federal funds, the Cabinet or Department must request it within 90 days after the effective date of the section.
- Implementation of provisions requiring federal approval may be delayed only until federal authorization or approval is granted.
Frequently Asked Questions
What health insurance and Medicaid statutes must managed care organizations comply with under SB 38?
Are there copayments for services received under KCHIP?
Do KCHIP recipients need a referral to see a dentist or optometrist?
What else do you want to know?
News Coverage
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Votes, people, money & the original sourceWhere This Stands
This bill did not become law - Died at adjournment · passed the Senate · in House committee.
Procedural history
9 actions- Mar 5, 2026HouseCommitteeto Banking & Insurance (H)
- Jan 22, 2026HouseIntroducedreceived in House to Committee on Committees (H)
- Jan 21, 2026SenateFloor3rd reading, passed 37-0
- Jan 20, 2026Senatepassed over and retained in the Orders of the Day
- Jan 16, 2026Senateposted for passage in the Regular Orders of the Day for Tuesday, January 20, 2026
- Jan 15, 2026SenateFloor2nd reading, to Rules
Show 3 earlier actions
- Jan 14, 2026Senatereported favorably, 1st reading, to Calendar
- Jan 12, 2026SenateCommitteeto Health Services (S)
- Jan 7, 2026SenateIntroducedintroduced in Senate to Committee on Committees (S)
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Sponsors
Discoveries
Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.
Expansion of Statutory Mandates for Medicaid and KCHIP
The bill formally ties state Medicaid administration and KCHIP to an expanded list of insurance code chapters, increasing regulatory oversight on managed care contractors.
Connected Entities
Sources
apps.legislature.ky.gov
Analysis Score
0–100- Significance20Lowered because this bill did not pass (its text scored 65)
- Controversy15Intensity of disagreement among stakeholders
- Entertainment5Compellingness for a non-policy-wonk reader
- Buzz30Current news / social attention level
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