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Prior to the signing of the Constitution, most of the 13 colonies ceded all territorial claims to the Congressional Government in exchange for it assuming their debt. Virginia followed suit 3 years later. This made the Kentucky Territory under Federal jurisdiction, and later it was organized into another state.
The text of North Carolina's Act of Cession: HERE
Upvote:5
Kentucky was admitted on June 1, 1792, not 1795. It was a part of Virginia until it became a separate state. In that respect, it differed from Tennessee, which was a part of North Carolina that was ceded by the legislature to federal jurisdiction, and was an organized incorporated territory of the United states, called the Southwest Territory, for five years before becoming the state of Tennessee.
Virginia's legislature consented to Kentucky's admission as a separate state as early as 1788, when the Articles of Confederation were still in effect. Congress's deliberations on whether to admit Kentucky were interrupted by a notification that New Hampshire had become the ninth state to ratify the new Constitution, which then went into effect in the ratifying states. They decided to defer the matter until the new Congress under the Constitution could take it up. Virginia's legislature reiterated its consent in 1789. The act of Congress admitting Kentucky takes note of the consent of the legislature of Virginia. It was passed by Congress on February 4, 1791, two weeks before the act admitting Vermont was passed, but it said the new state was not to be admitted until nearly a year and four months later, because Kentucky politicians had asked for some time to get things ready. (Vermont, on the other hand, was admitted only two weeks after the act of Congress was passed and signed.)
I think the expense of governing so vast a territory under 18th-century conditions may have played a role, and also a desire to increase southern representation in the Senate (or ealier, in the unicameral Congress of the Confederation).
Here's an article that explains some of the history of Kentucky's admission as a separate state: When Did the Articles of Confederation Cease to Be Law.
Upvote:8
For a corollary explanation to Oldcat's answer, try reading The Division of Territory in Society by Ed Stephan. It's a very interesting read, even if you aren't a sociology student. He goes into quite a bit of depth into why counties kept splitting and why they have stopped splitting in modern times.
The American people took their roles and responsibilities as citizens more seriously in the 18th and 19th centuries. If it took too long for them to make it to the county seat and participate in the operations of the county, they would complain and petition for the county to be split. When the county split, the seat would be chosen near the center of mass for the population. You can see the procession of county-splitting in Kentucky with this interactive map.
As Oldcat mentioned, Virginia, North Carolina, South Carolina, and Georgia all had territory extending clear to the Mississippi River. The people in what became Kentucky, Tennessee, Alabama, and Mississippi couldn't hope to make it to the state capital (Richmond, Raleigh, Charleston, or Atlanta) in a reasonable period of time, especially with the Appalachians in the way, so they told their senators and representatives to split up the state.