Ky. Sup. Ct. Order 2024-07 § 10

(1) Individual Case Report. Each master commissioner shall account to the circuit

judge under whose direction he or she is acting for all amounts received and

distributed, for all proceeds of sales disbursed, for all fees collected, and for all

expenses deducted. These accounts shall be in the manner directed by the circuit

judge who shall approve the accounts by his or her signature. The master

commissioner shall file the approved accounts with the circuit court clerk who shall

record the approved accounts in the case management system and file in the

applicable case. Each foreclosure case must include an accounting of all fees taken in

and disbursed.

(2) Annual Accounting Report. Each master commissioner shall provide to the

Administrative Office of the Courts, Department of Financial Services, on or before

March 1st of each year, a complete accounting of the prior calendar year for all fees

collected and for all expenses deducted. The accounting shall be reported on a form

prescribed by the Administrative Office of the Courts. The report shall contain, at a

minimum, the following information:

(a) Name (printed);

(b) Address;

(c) County and Circuit;

(d) Total income received (fees, commissions and other income including

interest);

(e) Fees retained from previous year for three months estimated expense;

(f) Expenses as provided in Subsection (3) herein below;

(g) Master commissioner salary cap;

(h) Notarized signature of master commissioner;

(i) Signature of approving circuit judge.

(3) Expenses.

(a) Adequate records and documentary evidence shall be maintained to

support each element of an expense. See IRS Publication 463 and 535

Sections 62, 162, and 274 of the Internal Revenue Code for additional

information.

(b) Only salaries, bonding expenses, and other expenses authorized for

employees in accordance with Section 2(10) which are directly related to

the office of master commissioner, check printing charges, and the cost

incurred for the purchase of accounting/bookkeeping software mandated

by the Administrative Office of the Courts auditing standards may be

deducted from any fees in excess of the personal compensation of the

master commissioner. Salaries are to be itemized per employee.

(c) Notwithstanding any provision to the contrary herein, a master

commissioner authorized by the Chief Justice to operate a full-time

master commissioner's office and who does not engage in any private

business enterprise in the master commissioner's office may deduct

business expenses directly related and necessary to the operation of the

master commissioner's office as established by the Administrative Office

of the Courts auditing standards.

(4) Excess fees referred to in Section 9 shall be remitted with the annual

accounting report to the Administrative Office of the Courts, Department of

Financial Services, in accordance with subsection 2 of this section.