2026 Kentucky General Assembly: Our Takeaways

The 2026 state legislative session concluded on April 15th. The session included critical budget decisions that will shape how Kentucky invests in the health and well-being of communities across the state.

At the Foundation for a Healthy Kentucky (FHKY), we focused our advocacy around two key initiatives this session: health data transparency and new approaches to Medicaid delivery. Here’s where things landed—and what it means moving forward:

Health Data Transparency

FHKY is advocating for Kentucky to improve access to comprehensive health data so the state can better understand what is driving health care costs and which investments are improving outcomes. With this information, we can reduce waste, target resources more effectively, and support strategies that improve health outcomes while lowering costs. It’s a smart investment in transparency and accountability that helps ensure taxpayer dollars are used wisely, and benefits all Kentuckians.

One way to accomplish this is a statewide Health Data Utility (HDU). House Bill 676 was filed and in its original form, would have established an HDU in Kentucky. However, it was eventually amended to direct the Legislative Research Commission to study the development of a statewide HDU. The study will examine policy options, governance and oversight structures, and pathways for implementation. This version of the bill was passed by the General Assembly and became law without the Governor’s signature.

Our takeaway: While this was not the bill’s original aim, we are encouraged by the outcome and view it as an opportunity to build alignment around a model that improves transparency, strengthens decision-making, and drives improved health outcomes across Kentucky.

New Approaches to Medicaid Delivery

Senate Concurrent Resolution 9 (SCR 9) explores a different approach to delivering health care to Medicaid recipients in Kentucky. It sets up a feasibility study for an Accountable Communities for Health (ACH) Medicaid pilot project. ACHs are local partnerships that unite healthcare providers, schools, public health agencies, employers, and community organizations to improve outcomes and advance equity across entire regions. If implemented effectively, this model could lead to a 20% improvement in both patient and provider satisfaction, as well as overall population health by 2030.

This resolution does not propose cuts, rollbacks, or eligibility changes to Medicaid. It simply asks the question: is there a more effective way to deliver health care to Medicaid recipients that ensures the dollars are improving health, reducing disparities, and strengthening communities—especially rural ones.

SCR 9 was passed by the General Assembly and signed into law by the Governor.

Our takeaway: We are encouraged by the opportunity to explore community-driven approaches that align care, improve outcomes, and strengthen the conditions for families to reach their full potential.

New State Budget

The legislative chambers have agreed to a new two-year state budget (HB 500, later amended by SB 197) that includes 7% cuts to many state agencies. The agreement falls $691 million short of fully funding the continuing cost of Medicaid benefits while putting $290 million into the Budget Reserve Trust Fund (BRTF) for potential release to Medicaid next year...
— Kentucky Center for Economic Policy

What most would consider the biggest task of the 2026 General Assembly was the state budget. The Kentucky Center for Economic Policy put together an analysis of its final version. You can read it here.

What’s next?

We are encouraged by the progress made this year on our legislative initiatives and will continue advancing policies that improve access to comprehensive health data and that improve the systems and conditions that shape health outcomes for all Kentuckians.

While there are many challenges that lie ahead on the path towards better health in Kentucky, FHKY remains committed to working alongside partners, policymakers, and communities to drive meaningful, lasting change.

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FHKY awards grants to strengthen health and well-being in Kentucky communities