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AI Laws in Kentucky
As of 2026-08-12, AI Laws USA tracks 13 AI rules in Kentucky: 6 state-level rules and 7 county or city rules. Federal AI protections apply statewide on top of these — see the federal page. Each entry links to its official source.
Kentucky state-level AI rules (6)
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In effect
Kentucky Consumer Data Protection Act
Kentucky · Effective 2026-01-01 · 2024 Ky. Acts (HB 15); KRS ch. 367
Kentucky's privacy law took effect January 1, 2026, giving residents rights to access, correct, delete, and copy their personal data, and to opt out of data sales and targeted advertising. Businesses need opt-in consent for sensitive data including biometrics.
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In effect
Commonwealth Office of Technology Enterprise Policy CIO-126:
Kentucky · Effective 2025-10-06 · Commonwealth Office of Technology Enterprise Policy CIO-126: Artificial Intelligence Policy
Kentucky's Commonwealth Office of Technology enterprise AI policy bans state agency use of high-risk AI systems, mandates human review before any consequential decision, and requires transparency disclaimers, bias controls, privacy protections, training, and vendor AI-use disclosure.
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In effect
Kentucky SB 4 (AI Governance)
Kentucky · Effective 2025-03-24 · 2025 Ky. Acts (SB 4)
Kentucky SB 4 establishes an AI governance framework for state government — agencies need approval before deploying AI, must conduct risk assessments, disclose AI use in decisions, and keep human oversight for consequential decisions. It also bans undisclosed AI-generated content falsely depicting people in political communications, with a civil remedy for those depicted.
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In effect
Kentucky HB 207 (computer-generated CSAM)
Kentucky · Effective 2024-07-15 · 2024 Ky. Acts ch. 15 (HB 207); KRS 531.010, 531.306, eff. July 15, 2024
Kentucky expanded its child sexual abuse material laws to cover 'computer-generated' images, defined as any visual depiction that has been created, adapted, or modified by a computer to appear to be an identifiable person. Because the depiction only has to appear to be a minor, prosecutors do not have to prove the real identity or age of the child, or that the child actually exists, when the material is a computer-generated image. This squarely reaches AI-generated and deepfake child sexual abuse imagery.
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In effect
KY DOI AI Bulletin
KY · Effective 2024-04-16 · Kentucky DOI Bulletin 2024-02 (2024-04-16)
The KY Department of Insurance adopted the NAIC Model Bulletin on Use of Artificial Intelligence Systems by Insurers. Insurers licensed in KY must maintain a written AI program with governance, risk-management, testing, third-party-AI oversight, and documentation controls. The bulletin operationalizes existing unfair-trade-practice and unfair-discrimination law as applied to insurers' AI use cases — underwriting, pricing, claims, fraud detection, and marketing.
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Proposed / pending
LG&E/KU CPCN Order Addressing Extremely High Load Factor Dat
Kentucky Public Service Commission (LG&E and KU) · LG&E/KU CPCN Order Addressing Extremely High Load Factor Data Center Tariff (Case 2025-00045)
The Kentucky PSC authorized LG&E/KU to build two gas plants for future data centers and endorsed an 'extremely high load factor' tariff under which new data centers using at least 100 MW must pay for at least 80% of their stated monthly consumption for 15 years, while deferring the cost-recovery mechanism to a later rate case.
County and city AI rules in Kentucky (7)
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In effect
Lexington-Fayette Urban County Government AI Use Policy
Fayette County, KY · Effective 2025-09-23 · LFUCG Administrative Regulation on AI (2025) (2025-09-23)
Lexington-Fayette Urban County Government (consolidated city-county) adopted AI use policy: prohibits PII/PHI in public LLMs, requires CIO approval for AI procurement, mandates inventory, and requires impact review before deployment in resident-facing services.
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In effect
Moratorium on data center permits, development plans and zon
Lexington-Fayette Urban County, KY · Effective 2026-06-09 · Moratorium on data center permits, development plans and zone changes
The Lexington-Fayette Urban County Council unanimously enacted a moratorium pausing data center permits, development-plan acceptances and zone changes through October 31, 2026, while it drafts a zoning ordinance text amendment for data centers.
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In effect
24-month moratorium on data center construction
Allen County, KY · Effective 2026-06-01 · 24-month moratorium on data center construction
Allen County passed a 24-month moratorium on data center construction citing noise and lifestyle concerns observed in neighboring Simpson County.
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In effect
One-year moratorium on data center development
Cave City, KY · Effective 2026-05-01 · One-year moratorium on data center development
Cave City, a small community near Mammoth Cave National Park, passed a one-year moratorium on data center development after being approached by a developer.
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In effect
Louisville Metro GenAI Policy
Louisville, KY · Effective 2024-06-01 · Louisville Metro Office of Technology, GenAI Use Policy (2024)
Louisville Metro administrative policy on employee use of generative AI tools, with prohibited data and disclosure rules.
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Proposed / pending
Two-year moratorium on data center construction and operatio
Bell County, Kentucky · Two-year moratorium on data center construction and operation (ordinance, first reading)
The Bell County Fiscal Court unanimously approved the first reading of an ordinance imposing a two-year moratorium on the construction, development, and operation of data centers and data storage facilities, with a second-reading vote pending.
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In effect
Bullitt County KY IT infrastructure moratorium (2026)
Bullitt County, KY · Bullitt County, Ky. Ordinance 26-18
Ordinance 26-18 imposes a temporary moratorium on the acceptance and processing of applications related to IT infrastructure facilities in Bullitt County, Kentucky. The Bullitt County Fiscal Court's official agenda addendum for its 2026-07-07 regular meeting records item 13 as the first reading of 'Ordinance 26-18, Imposing a Temporary Moratorium on the Acceptance and Processing of Applications Related to IT Infrastructure Facilities'. Kentucky counties read ordinances twice, placing adoption at the next regular meeting on 2026-07-21. Press reporting states the Fiscal Court adopted it for a twelve-month period so that no new data center project can be considered while the county drafts IT development regulations and reworks its comprehensive plan, and that the Fiscal Court may terminate or extend the pause at any time.
Kentucky city guides
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