2010 Extraordinary Session Ends

Posted: Tuesday, June 01, 2010
Blog: Legislative Update

During the 2010 "special session" last week your AGC of Kentucky Government Affairs Team was successful in lobbying for nearly $500 million in new bonding for among other items state funded construction projects including Category 5 schools along with an acceleration of the Job Creation Tax credit.

Funding for the state's schools most in need of replacement (Category 5) was solved after considerable discussion and negotiations thus clearing the way for passage of the state budget. Under the final plan, the state will match funding for local school districts that levy a "second nickel," or 5 cents per $100 in property value.

The accelerated tax credit will enable small business employers to use 2009 as the base year of employment for applying for tax credits for the 2010 Tax year.  Eligible AGC of Kentucky members with 50 or fewer employees can receive the tax credit of up to $25,000 for hiring one new employee in 2010 along with a capital investment of at least $5,000.

The Tax credit acceleration along with passage of House Bill 5, Unemployment Insurance legislation saving Kentucky employers nearly $700 million were the top legislative priorities of the AGC of Kentucky and our allies in the KY Small Business Caucus during the "special session".

A very special thank you to Senate Appropriations & Revenue Committee Chair Bob Leeper, I-Paducah who met with a delegation of Small Business Caucus members including a representative from AGC of Kentucky and agreed to sponsor an amendment to the budget bill. Rep. Tanya Pullin D-South Shore efforts in the House were also instrumental in our success. Thanks also to all the legislators who voted for HB-5, sponsored by House Speaker Pro Tempore Larry Clark, D-Okolona. 

The two-year, $17.1 billion spending plan House Bill 1 reached the governor's desk following final legislative passage at the conclusion of day five of the "special session", staving off a threatened government shutdown on July 1.


The plan includes no new taxes and includes new general fund bonding of $437 million.

Also headed to the governor is House Bill 2, the revenue package needed to pay for the two-year budget. Among the provisions added to by the Senate were tax incentives aimed at benefiting rural and low-income communities through business investment and philanthropy.

Another amendment to HB 2 directs coal severance money into a scholarship program aimed at drawing pharmacy students into coal counties. The program is similar to those aimed at bringing badly needed doctors into the rural Kentucky, with each year of service offsetting a year of school loans. Students who decide not to fulfill their end of the contract would be required to pay back the loans. Students from coal counties would be given preference for the scholarships.

The session continued into the Memorial Day weekend with legislators meeting on Saturday May 30th to finalize the state "road plan". Soon after the final passage of the road plan, a press release was issued touting among other projects the inclusion of $62.5 million for Kentucky’s share of a new bridge across the Ohio River between Milton, Ky., and Madison, Ind.

The new bridge was one of dozens of projects in the $4.45 billion road project legislation which the General Assembly ultimately passed during the 6 day "special session".

The Transportation Cabinet’s operations budget of about $5 billion and the two-year road plan were the last two major pieces of legislation still in play that the legislature hoped to approve on Saturday.


Following it's passage the House and Senate adjourned "sine die" at approximately 11 pm Saturday evening and sent the legislation on to the Governor for his signature.

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AGC President Mattingly Testifies on HB-553

Posted: Tuesday, February 23, 2010
Blog: Competitive Edge

House Bill 553 sponsored by House Economic Development Committee Chair Rep. Palumbo of Lexington would establish a revolving construction loan fund for commercial building construction projects guaranteeing up to 25% of the cost of the project not to exceed $2 million on any single project.

 

In their testimony before the committee both AGC of Kentucky President Paul Mattingly and AIA Kentucky President Alvin Cox described the great difficulties facing the construction industry today and the importance of working together on behalf of our members.

 

President Mattingly noted, "During 2009 Kentucky's construction industry experienced a job loss (seasonally adjusted) of over 13,000 workers. In January of 2010 nearly 75,000 construction workers nationally lost their jobs according to federal unemployment figures as the construction unemployment rate jumped to 24.7%."

 

President Cox testified "This situation not only affects our members but the state as a whole. AIA Kentucky is very concerned about this issue and after discussing the matter with our friends at AGC we began looking for solutions."

 

While House Bill 553 will not solve the whole problem it will send a powerful signal that Kentucky plans to be aggressive in fighting it's way back to economic health.

 

The legislation passed the committee unanimously.

 

Please take a moment and call the message line at 1-800-372-7181 and thank Rep. Palumbo for her support of AGC and Kentucky's construction industry.

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Other Legislation of Note

Posted: Tuesday, January 19, 2010
Blog: Competitive Edge

To view the entire text of any of these bills visit the LRC website at www.lrc.ky.gov

SB 13 (Jones) and HB 159 (Greer) mandates coverage for the treatment of autism spectrum disorders by health insurance providers.

SB 26 (Leeper) eliminates the current prohibition on nuclear facilities.

SB 28 (Westwood) provides for a career-based program of study for high school students.

SB 44 (Shaughnessy) requires public universities to create a plan to increase four-year graduation rates.

SB 67 (Winters) would promote early graduation for high school students who fulfill rigorous academic requirements.

SB 69 (Winters) provides for incentive pay and an accelerated certification program for teachers of chemistry, physics or math.

HB 13 (Wayne) establishes a state earned income tax credit and extends the state sales tax to a select number of services.

HB 21 (Rep. Stan Lee) and HB 63 (Montell) authorize public charter schools and public school academies.

HB 74 (Tilley) establishes a wellness project tax credit for qualified employers who offer wellness programs to employees.

HB 117 (Marzian) adds definitions of "sexual orientation" and "gender identity" to discrimination statutes.

HB 133 (Riner) prohibits wage discrimination against a person of the opposite sex who is paid less for doing a job of "comparable worth."
 
HB 144 (Yonts) and HB 160 (Rollins) would smooth transfer procedures for college credits and align lower division coursework across postsecondary education institutions.  

HB 165 (Damron) would remove the potential liability for employers offering smoking cessation incentives to employees as part of a wellness program.

HB 213 (Adkins) would permit the state to use the Eminent Domain process to acquire land necessary for carbon sequestration and management.

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