Yeah, I had heard something about that bill (which passed the legislature in some form). Don't recall if the Governor signed it back in 2001 or if it got bottled up in parliamentary procedures or what, though. There was some talk that it's final version only applied to one county, anyway.
I also couldn't tell from that link either whether or not the Governor had signed it. Your comment interested me as I didn't realize prostitution is legal in some states.
I think prostitution law *should* be an issue left to the states. It's one reason I'll likely never vote Libertarian. Some (L)'s, and perhaps even the party platform itself, support making prostituion a "constitutionally protected right" like SCOTUS did recently with sodomy.