KGA POSITIONS & STATEMENTS. HB 98 ELECTRIC UTILITY BILLING (NELSON R) AN ACT relating to electric utility billing.

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1 Prepared Contact Matt Tackett KGA Executive Director KGA POSITIONS & STATEMENTS HB 98 ELECTRIC UTILITY BILLING (NELSON R) AN ACT relating to electric utility billing. Create a new section of KRS Chapter 278 to place a cap on the amount that an electric utility can bill for a basic service charge. 1/5/2016 (H) Introduced in House; to Tourism Development & Energy HB 108 MUNICIPAL ELECTRIC AUTHORITIES (GOOCH J) AN ACT relating to municipal electric authorities. Create new sections of KRS Chapter 96 which permit municipal utilities to join together to buy and sell electricity and natural gas; specify elements of an agreement to create a municipal electric authority; determine what powers an authority will have, including the power to undertake projects, bonding, and other borrowing power; specify limits to financial transactions; amend KRS 45A.365 and to conform. 1/5/2016 (H) Introduced in House to Tourism Development & Energy Tracking Carefully. KGA Studying for Likely or Potential Adverse Implications to Membership. HB 168 EMINENT DOMAIN (FLOYD D) AN ACT proposing an amendment to Sections 211 and 242 of the Constitution of Kentucky relating to eminent domain. Propose an amendment to Sections 211 and 242 of the Constitution of Kentucky to vest the power of eminent domain exclusively with the government; name Act the Kentucky Landowner's Bill of Rights; submit to voters. 1/6/2016 (H) Referred to Committee; to Elections, Const. Amendments & Intergov. Affairs

2 HB 213 EMINENT DOMAIN (FLOYD D) AN ACT relating to eminent domain. Amend KRS to exclude natural gas liquids from the definition of oil or gas or oil and gas products as used in that statute; require that oil or gas pipeline condemnation be for a "public use" as defined in KRS rather than "public service"; provide that condemnation rights as well as procedures be governed by the Eminent Domain Act of Kentucky; amend KRS to include KRS and in the Eminent Domain Act of Kentucky; amend KRS , 175B.090, , , , , , , , to conform. 1/12/2016 (H) Referred to Committee; to Judiciary Tracking Carefully. KGA Studying for Likely or Potential Adverse Implications to Membership. HB 240 PUBLIC SAFETY (FLOYD D) AN ACT relating to public safety and making an appropriation therefor. Create new sections of Subchapter 10 of KRS Chapter 224 to define terms; establish the Kentucky pipeline safety fund; specify the distribution of funds in the Kentucky pipeline safety fund; establish a pipeline spill response plan program within the Department for Environmental Protection; create new sections of KRS Chapter 278 to establish definitions; establish procedures for the Public Service Commission to gather information to provide to the Department of Revenue for the pipeline safety assessment; require the Public Service Commission to seek certain federal pipeline certifications; create new sections of KRS Chapter 136 to define terms; establish the Kentucky pipeline safety assessment; allow for the extension of the assessment due date; establish the powers of the Department of Revenue with respect to collection of the assessment; establish procedures for late payment and interest; establish corporate liability for the assessment; allow payment of security for assessment; require cooperation by various agencies; specify that "pipeline operator" does not include Public Service Commission regulated utilities or municipally owned utilities; specify that pipeline disaster preparedness plans shall be available for 45 days for public comment; specify that pipeline disaster preparedness plans contain evacuation plans, maintenance and use history for pipelines, and temporary plans for replacement of water supplies and other utilities in a disaster area. 1/14/2016 (H) Referred to Committee; Veterans, Military Affairs, & Public Safety HB 261 WATER UTILITIES (BELCHER L) AN ACT relating to water utilities. Amend KRS to require utilities to obtain insurance coverage sufficient to cover the replacement of any plant, equipment, property, or facility if destroyed; amend KRS to specify notice of the abandonment of a utility to be 24 months prior to the effective date of the abandonment and to allow assumption of the abandoned utility service by an alternative provider under specific circumstances. 1/19/2016 (H) Referred to Committee; Tourism Development & Energy Tracking Carefully. KGA Studying for Likely or Potential Adverse Implications to Membership.

3 HB 291 ENERGY AND DECLAING AN EMERGENCY (GOOCH J) AN ACT relating to energy and declaring an emergency. Amend KRS to prohibit utilities from recovering costs of complying with environmental requirements of the Federal Clean Air Act until compliance is required; apply this provision retroactively; EMERGENCY. 1/25/2016 (H) Referred to Committee; Natural Resources and Environment SB 26 PIPELINES (CARROLL J) AN ACT relating to pipelines. Prohibit changing the substance carried or the direction of flow of a pipeline. 1/7/2016 (S) Introduced in Senate; to Natural Resources & Energy SB 79 MUNICIPAL ELECTRIC AUTHORITIES (EMBRY C) AN ACT relating to municipal electric authorities. Create new sections of KRS Chapter 96 which permit municipal utilities to join together to buy and sell electricity and natural gas; specify elements of an agreement to create a municipal electric authority; determine what powers an authority will have, including the power to undertake projects, bonding, and other borrowing power; specify limits to financial transactions; amend KRS 45A.365 and to conform; cite as Municipal Electric Authority Act. 1/7/2016 (S) Referred to Committee; to Natural Resources & Energy Tracking Carefully. KGA Studying for Likely or Potential Adverse Implications to Membership.

4 KGA BILL TRACKING HB 49 Welding Safety (NELSON R) AN ACT relating to welding safety. Create new sections of KRS Chapter 198B to establish requirements for projects requiring structural steel welding such as certification of welders and certified inspectors; provide definitions. 1/13/2016 (H) Posted in Committee; Labor & Industry HB 52 SEVERANCE AND PROCESSING TAX (DENHAM M) AN ACT relating to the impact of refunds of natural resources severance and processing tax upon distributions from the local government economic assistance fund and declaring an emergency. Amend KRS to provide that effective July 1, 2016, quarterly distributions of local government economic assistance fund moneys to a mineral producing county and its cities shall be reduced by no more than 50% as a result of any refund of natural resources severance and processing tax, and that if the local share of a refund exceeds this limit the remainder shall carry forward to be offset in successive quarters as necessary until it is satisfied in full; EMERGENCY. 1/29/2016 (H) Posted in Committee; to Appropriations & Revenue HB 55 Planning and Zoning (WAYNE J) AN ACT relating to planning and zoning in consolidated local governments. Amend KRS to delete language relating to certain cities and their requirements to adopt planning and zoning requirements; amend KRS , , and to conform. 1/11/2016 (H) Posted in Committee; Local Government HB 57 TAX INCREMENT FINANCING (KEENE D) AN ACT relating to tax increment financing. Amend KRS to expand the definition of "mixed-use" project, and to delete the upper investment limit on a project that can qualify as a mixed-use development project; provide that the provisions of the act are effective for applications received after the effective date. 1/29/2016 (H) 2nd Reading, to Rules

5 HB 73 KENTUCKY JOBS (NELSON R) AN ACT relating to Kentucky jobs. Create new sections of KRS Chapter 336 establish definitions and to require contractors in public works projects over $250,000 to have 51% of its employees be Kentucky residents and 15% of its employees be apprentices in an approved apprenticeship program for the entirety of the project; require, for public works projects under $250,000, contractors to have at least one apprentice in an approved apprenticeship program; require a public authority to include the employment requirements in the bid and contract for the public works project and provide written notice of the requirements; grant the Department of Workplace Standards enforcement authority over violations by public authorities or contractors; amend KRS to provide civil penalties for violation; designate the Act as the "Kentucky Jobs Act." 1/13/2016 (H) Posted in Committee; Labor & Industry HB 103 NUCLEAR POWER (WATKINS G) AN ACT relating to nuclear power. Amend KRS to allow construction of a nuclear power facility on or within 50 miles of a site previously used for the manufacture of nuclear products. 1/5/2016 (H) Introduced in House; to Tourism Development & Energy HB 104 AIR QUALITY (GOOCH J) AN ACT relating to state authority to regulate air quality. Amend KRS to prohibit the Energy and Environment Cabinet from promulgating administrative regulations or imposing permit conditions to reduce carbon dioxide under federal rules or federal plan unless authorized by either the Kentucky General Assembly or if carbon dioxide is designated by the United States Congress as a criteria pollutant under the Clean Air Act; declare Kentucky a sanctuary state from over-reaching regulatory authority of the United States Environmental Protection Agency to implement carbon dioxide limits under the Clean Power Plan. 1/5/2016 (H) Introduced in House; to Natural Resources & Environment

6 HB 167 LOCAL GOVERNMENT PENSION PLANS (SIMPSON A) AN ACT relating to local government pension plans. Amend KRS to allow local government retirement systems created pursuant to KRS 67A.320, 67A.340, 67A.360 to 67A.690, , , , , to , to , to , to , or KRS Chapter 96 to perform an actuarial valuation once every 5 years instead of every 3 if the system or fund has less than 6 active and retired members; make technical changes; amend KRS 67A.320 to provide that once all liabilities have been satisfied to all persons owed benefits from the pension, then the board of the fund shall liquidate and distribute to the urban-county government any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; provide that elected members of the fund's board may also be retirees; make technical and conforming amendments; amend KRS and to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund, then the board of the fund shall liquidate and distribute to the city any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; make technical and conforming amendments; amend KRS , , , and to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund, then the board of the fund shall liquidate and distribute to the city any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; provide that if there are fewer than 6 active and retired members of the fund, the board shall be composed of the mayor, city treasurer or chief financial officer, and employees from the city police or fire department appointed by the mayor; make technical and conforming amendments; amend KRS and provide that if there are fewer than 6 active and retired members of the fund, the board shall be composed of the mayor, city treasurer or chief financial officer, and employees and members of the city legislative body appointed by the mayor; amend KRS and to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund, then the board of the fund shall liquidate & distribute to the city any residual assets of the fund & shall provide a report of the actions taken by the fund to liquidate the residual assets; amend KRS 67A.655, , , , , , , , , , , , , , , , , , , , , , & to make technical & conforming amends.; repeal /7/2016 (H) Referred to Committee; to State Government HB 177 TVA IN-LIEU-OF-TAX PAYMENTS (IMES K) AN ACT relating to TVA in-lieu-of-tax payments, making an appropriation therefor, and declaring an emergency. Amend KRS to provide that, beginning in fiscal year , a portion of the Tennessee Valley Authority (TVA) in-lieu-of-tax payment made to the Commonwealth and deposited into the general fund shall be transferred to the regional development agency assistance fund to be distributed among fiscal court-designated local industrial development authorities for economic development and job creation activities; provide that the transfers will not affect the portion of the total state TVA payment that is currently distributed among local government entities; provide that these transfers will be phased-in over a five-year period, with an amount equal to 50 percent of the general fund portion of the total state TVA payment being transferred in fiscal year and each fiscal year thereafter, not to exceed $6,000,000 each year; require annual reporting to fiscal court and the Legislative Research Commission; EMERGENCY; APPROPRIATION. 1/7/2016 (H) Referred to Committee, to Appropriations & Revenue

7 HB 206 TVA IN-LIEU-OF-TAX PAYMENTS (STONE W) AN ACT relating to TVA in-lieu-of-tax payments, making an appropriation therefor. Amend KRS to provide that, beginning in fiscal year , a portion of the Tennessee Valley Authority (TVA) in-lieu-of-tax payment made to the Commonwealth and deposited into the general fund shall be transferred to the regional development agency assistance fund to be distributed among fiscal court-designated local industrial development authorities for economic development and job creation activities; provide that the transfers will not affect the portion of the total TVA payment that is currently distributed among local government entities; provide that these transfers will be phased-in over a five-year period, with an amount equal to 50 percent of the general fund portion of the total TVA annual payment being transferred in fiscal year , and each fiscal year thereafter, not to exceed $6,000,000 each year; require annual reporting to fiscal court and the Legislative Research Commission; APPROPRIATION. 1/11/2016 (H) Referred to Committee; to Appropriations & Revenue HB278 WAGES (STUMBO G) AN ACT relating to wages. Amend KRS to raise the state minimum wage to $8.20 per hour on August 1, 2016, $9.15 per hour on July 1, 2017, and $10.10 per hour on July 1, 2018; amend KRS the definition of employees of retail stores and service industries, to increase the applicable threshold of business that applies to from $95,000 to $500,000; amend KRS to define "equivalent jobs" as those that are equal under the federal Equal Pay Act, or jobs that are dissimilar but equivalent in skill, effort, responsibility, and working conditions; amend KRS to prohibit wage discrimination on the basis of sex, race, or national origin by prohibiting wage differentials for employees who perform equivalent jobs; provide exceptions for wage differentials based on seniority or merit systems, systems that measure wages by quantity or quality of production, and factors other than sex, race, or national origin; amend KRS to require the promulgation of administrative regulations to specify criteria for determining jobs that are dominated by employees of a particular sex, race, or national origin, and acceptable methodology for determining equivalent skill, effort, responsibility, and working conditions; require that the promulgation occur on or before July 1, 2017; EFFECTIVE July 1, /1/2016 (H) Recommitted to Committee; Appropriations & Revenue SB 3 CONTRACTS (STIVERS R) AN ACT relating to contracts. Amend KRS to prohibit mandatory membership in or financial support of a labor organization as a condition of employment and to name this section the "Kentucky Right to Work Act"; amend KRS to define "employer"; amend KRS to make a violation of the Act a Class A misdemeanor, award damages, and provide injunctive relief; create new sections of KRS Chapter 336 to exempt existing contracts or agreements and other federal agreements and require the Attorney General to investigate complaints and prosecute those who violate Section 1 of the Act. 1/7/2016 (S) Referred to Committee; to Economic Development, Tourism & Labor

8 SB 38 TVA IN-LIEU-OF-TAX PAYMENTS (HUMPHRIES S) AN ACT relating to TVA in-lieu-of-tax payments, making an appropriation therefor, and declaring an emergency. Amend KRS to provide that, beginning in fiscal year , a portion of the Tennessee Valley Authority (TVA) in-lieu-of-tax payment made to the Commonwealth and deposited into the general fund shall be transferred to the regional development agency assistance fund to be distributed among fiscal court-designated local industrial development authorities for economic development and job creation activities; provide that the transfers will not affect the portion of the total state TVA payment that is currently distributed among local government entities; provide that these transfers will be phased-in over a five-year period, with an amount equal to 50 percent of the general fund portion of the total state TVA payment being transferred in fiscal year and each fiscal year thereafter, not to exceed $6,000,000 each year; EMERGENCY; APPROPRIATION. 1/7/2016 (S) Referred to Committee; to Appropriations & Revenue SB 46 LOCAL GOVERNMENT PENSION PLANS (MCDANIEL C) AN ACT relating to local government pension plans. Amend KRS to allow local government retirement systems created pursuant to KRS 67A.320, 67A.340, 67A.360 to 67A.690, , , , , to , to , to , to , or KRS Chapter 96 to perform an actuarial valuation once every 5 years instead of every 3 if the system or fund has less than 6 active and retired members; make technical changes; amend KRS 67A.320 to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund covered by this section, then the board of the fund shall liquidate and distribute to the urbancounty government any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; provide that elected members of the fund's board may also be retirees; make technical and conforming amendments; amend KRS and to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund covered by this section, then the board of the fund shall liquidate and distribute to the city any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; make technical and conforming amendments; amend KRS , , , and to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund covered by this section, then the board of the fund shall liquidate and distribute to the city any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; provide that if there are fewer than 6 active and retired members of the fund, the board shall be composed of the mayor, city treasurer or chief financial officer, and employees from the city police or fire department appointed by the mayor; make technical and conforming amendments; amend KRS and provide that if there are fewer than 6 active and retired members of the fund, the board shall be composed of the mayor, city treasurer or chief financial officer, and employees and members of the city legislative body appointed by the mayor; amend KRS and to provide that once all liabilities have been satisfied to all persons owed benefits from the pension fund covered by this section, then the board of the fund shall liquidate and distribute to the city any residual assets of the fund and shall provide a report of the actions taken by the fund to liquidate the residual assets; amend KRS 67A.655, , , , , , , , , , , , , , , , , , , , , , and to make technical and conforming amendments; repeal /1/2016 (H) Received in House; to State Government

9 SB 89 NUCLEAR POWER (CARROLL D) AN ACT relating to nuclear power. Amend KRS to require that nuclear power facilities have a plan for the storage of nuclear waste rather than a means of permanent disposal and to add definitions of "storage," "low-level nuclear waste," and "mixed nuclear waste"; amend KRS to allow certification if the facility and its plans for waste storage are approved by the Nuclear Regulatory Commission; eliminate requirement that facility have a plan for disposal of high-level nuclear waste; eliminate requirement that cost of waste disposal be known; eliminate requirement that facility have adequate capacity to contain waste; give the Public Service Commission authority to hire consultant to perform duties relating to nuclear facility certification; prohibit construction of lowlevel nuclear waste disposal sites in Kentucky except as provided in KRS ; direct the Energy and Environment Cabinet to review regulations required for permitting nuclear facilities and report to LRC; repeal KRS , relating to construction of nuclear power facilities. 1/13/2016 (S) Referred to Committee; Senate Natural Resources & Energy SB 141 MUNICIPAL UTILITIES (CARROLL D) AN ACT relating to board membership for municipal utilities. Amend KRS and to allow one board member of a municipal electric utility to reside outside the city limits. 2/1/2016 (S) Introduced in Senate Under Evaluation For more information, please see KGA Government Relations