County clerk outlines new street-legal special purpose vehicle rules and local limits

Oldham County Clerk Amy Alvey told residents at the June 17 fiscal court meeting that Senate Bill 63 and Kentucky Revised Statutes KRS 186.077 (as referenced in the clerk’s remarks) allow certain off-road vehicles — UTVs, side-by-sides and similar special-purpose vehicles — to be registered and licensed for street use beginning June 27, 2025, but county or municipal ordinances can limit where they may be operated.

Alvey listed statutory safety and equipment requirements described in the law and by her office: headlights, tail and brake lamps, front and rear turn signals, red reflectors, roll cage or roll bar, windshield or eye protection, seat belts, illuminated speedometer, mirrors on each side, horn, working brake and muffler systems, and minimum tire tread (one-sixteenth), and said these vehicles will require inspection by the sheriff’s department, proof of insurance and an annual registration fee similar to cars (she cited $21 per year as the registration component and explained the rest is usage tax).

Alvey explained that if an owner can document prior payment of sales tax when the vehicle was bought, the owner will not owe sales tax again at initial registration; if the vehicle was bought from a private seller without sales-tax documentation, the purchaser would be responsible for a 6% sales tax on the assessed value. She said the PVA (property valuation administrator) system will be used to assess value for tax purposes where needed.

Alvey emphasized a local-control provision in KRS 186.077(2)(a) (as she cited it): a person “shall not operate a street-legal special purpose vehicle on a highway if the highway is located within a jurisdictional boundary of a local government where the operation of the special purpose vehicle has not been allowed by local ordinance.” She said that means Oldham County and incorporated cities such as LaGrange and Crestwood must adopt ordinances to allow operation on roads within their boundaries; if a city or the fiscal court does not act, the vehicles cannot be legally driven on local roadways even though they may be registerable starting June 27.

Alvey said the county will issue permits and plates (including a bright green plate) for vehicles that meet inspection standards, and that owners who plan to drive such vehicles in other counties that allow them may license them in Oldham County for that purpose.

Magistrates asked technical questions about how sales tax would be calculated for older vehicles; Alvey replied that the PVA will assess value based on age and condition and that documented prior payment of sales tax will prevent resale taxation by the county at registration time. Sheriff and manager representatives confirmed inspections will be performed by sheriff’s deputies.

Alvey also clarified that “street-legal special purpose vehicles” do not include golf carts or low-speed vehicles as defined in KRS 186.010.