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Protecting kids, planning for data centers among AI issues KY legislature urged to tackle

McKenna Horsely by McKenna Horsely
November 14, 2025
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Courtesy of Kentucky Lantern

Kentucky lawmakers studying artificial intelligence have issued a slew of recommendations ahead of the next legislative session that include protections for minors exposed to AI online and state laws about the location of data centers.

The Kentucky Artificial Intelligence Task Force concluded on Thursday its second round of studying how AI is used in Kentucky and other states. The task force also met last year during the legislative interim; several of its recommendations became law during the 2025 legislative session sponsored by co-chair Sen. Amanda Mays Bledsoe, R-Lexington.

A memo with the latest findings was sent to Republicans Senate President Robert Stivers and House Speaker David Osborne as well as members of the Legislative Research Commission after the meeting. 

Rep. Josh Bray, a Mount Vernon Republican who is the second co-chair of the task force, said that some of the recommendations are better suited to be addressed at the federal level, so the group is encouraging Kentucky’s congressional representatives to consider them. 

Democratic Caucus Chair Sen. Reggie Thomas, of Lexington, said that he supports most of the recommendations, particularly one that encourages lawmakers to acknowledge how AI can be harmful to children and consider policies to protect minors on social media platforms. However, he said he would “approve with some caution” recommendations regarding data centers. One recommendation said lawmakers should consider laws regarding the location of data centers and requirements they should meet. Another calls for considering policies pertaining to data centers’ need for “large amounts of water and power” and “more baseload power to ensure grid sufficiency.” That recommendation calls for consulting with the Public Service Commission. 

Thomas added that while he is “for data centers” they should not be built without an environmental impact survey and considering an increased cost in power for local consumers because of data centers’ high demand for electricity. 

“I think if there’s an increased cost that comes with data center construction or use, then that data center should pay for that increased cost, not the current consumers or the current business users who were using it before the data center came online,” Thomas said. 

Bray said Thomas’ “concerns are the exact reason those sections were drafted.” Lawmakers want to make sure that consumers’ electric bills do not increase as a result of a data center, Bray continued. 

Kentucky could have a “boom” of data center projects on the horizon, as some supporters see them as an opportunity to bring more jobs and money to the state. However, some communities have opposed them because of their size and intrusiveness and due to higher costs for water and electricity as demand increases. 

The task force approved 10 recommendations, which are: 

  • Consider legislative changes to the Kentucky Consumer Data Protection Act to strengthen consumer protections as data collection processes change with the evolution of AI technology.
  • Consider changes to the AI acceptable use policy for all state agencies.
  • Consider legislative policies to promote collaboration among service providers, state agencies and state research universities for the shared use and study of Medicaid data sets for how Kentucky families can prevent certain diseases resulting in lowering health care costs to Medicaid. 
  • Acknowledge that AI technology may be harmful to minors and consider legislative policies for the protection of minors on social media platforms.
  • Acknowledge that AI may impact careers regulated by professional standards, and consider legislative policies in coordination with professional standards boards to discuss when and how AI should be used within their profession.
  • Create or facilitate the creation of an AI work group to serve as a collaborative platform to bring together state and local governments, educational institutions, healthcare providers, industry, and citizens to identify needs, collect data, develop artificial intelligence solutions, foster innovation and competitiveness, promote artificial intelligence literacy, and ensure trusted artificial intelligence development and governance for Kentucky.
  • Incorporate AI development and governance into existing standing committees’ jurisdiction.
  • Consider legislative policies for the location of data centers in Kentucky including minimum requirements for location and collaboration among local, state, and private entities. 
  • Consider legislative policies for data centers’ need for large amounts of water and power requiring more baseload power to ensure grid sufficiency, including consultation with the Public Service Commission. 
  • Encourage Kentucky’s federal delegation to work on national policies for AI as it impacts individual Kentuckians’ name, image, and likeness property rights; consumer protection; data protection from retail companies and data-driven pricing; and small business economic issues from a patchwork of state laws.

The Kentucky General Assembly will return to Frankfort in January for the 2026 legislative session.

Kentucky Lantern is part of States Newsroom, the nation’s largest state-focused nonprofit news organization.

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