Ky. Chamber of Commerce release
2017 Legislative summary
April 3, 2017
Dear Mark,
In the final hours of the 2017 legislative session, the General Assembly passed a bill relating to the state’s legal system supported by the Kentucky Chamber, but failed to pass a critical workers’ compensation system fix and essential skills education legislation.
Below is a summary of legislation passed and left on the table after the close of the 2017 session.
Below is a summary of legislation passed and left on the table after the close of the 2017 session.
Pro-Business Legislative Victories
Right to Work – HB 1 prohibits the collection of union dues as a condition of employment. Kentucky is now the 27th state to give workers a choice regarding joining a union and paying dues. Related, the legislature also passed SB 6 which requires workers to “opt-in” rather than “opt-out” of having their union dues withheld from their paychecks.
Prevailing Wage Repeal – HB 3 repeals the prevailing wage requirement that exists for all public projects that cost over $250,000 thereby reducing the cost of important infrastructure projects.
Medical Review Panels – SB 4 establishes a system of medical review panels to address the escalating costs directly attributed to Kentucky’s uncontrolled medical liability climate, an issue of serious concern to employers.
Charter Schools- HB 520 expands school choice by allowing for public charter schools statewide. Local school boards would serve as authorizers with a strong appeals process to the Kentucky Board of Education. That mayors of Lexington and Louisville may also serve as authorizers.
Telecom Modernization- SB 10 modernizes Kentucky’s out of date telecommunications laws which stifle growth and economic development.
Add Transparency- HB 189 brings more oversight and transparency to the state’s area development districts by establishing new hiring and reporting procedures.
Judgement Interest Rate- HB 223 lowers the interest rate compounded on a judgement from 12% to 6%. Kentucky’s 12% rate was the highest in the nation.
Franchises- SB 151 clarifies the relationship between a franchisee and an employee of a franchisee with a franchisor. By clarifying the relationship, SB 151 protects the franchisee-franchisor relationship and limits frivolous lawsuits against a franchisor for actions taken by a franchisee.
Pension Transparency- SB 2 requires more transparency and accountability for the state pension systems, including fees and transactions with third-party services.
Voluntary Travel ID- HB 410 brings Kentucky into compliance with the federal licensing law thereby allowing Kentucky’s to travel on major airlines and access federal facilities without a passport. The legislation also allows those to select a non-compliant ID at a lower cost.
Nuclear Energy- SB 11 lifts the moratorium on nuclear power plant construction in Kentucky by allowing a facility to be permitted that stores spent fuel onsite until a federally-approved repository is established.
Electric Companies- SB 11 allows utilities to consider all options when planning to meet future electric needs.
Criminal Justice Reform- SB 120 makes several improvements to the justice system to reduce recidivism rates including allowing a former felon to apply for a professional license.
Performance-Based Funding- SB 153 aligns the state’s investment in higher education to an institutions ability to meet key outcomes. The 2016 budget bill required that a percentage of funds appropriated would be contingent on certain performance factors and SB 153 establishes those factors.
Alcohol Modernization- HB 100 modernizes laws to level the playing field for distillers, strengthens the production standards for Kentucky whiskey and allows for the sale of vintage bottles.
Appeals Bond- HB 72 requires the filing of a bond when appealing a circuit court decision related to planning and zoning. The bill deters frivolous appeals that kill development projects through delay.
Property Owner Protection- HB 112 protects property owners from lawsuits related to dog bites, a critical step to reforming Kentucky’s legal liability environment.
Nursing home advertising- SB 150 ensures fair advertising of nursing homes by requiring more detail in advertisements that use information collected by state or federal agencies through surveys, inspections, and investigations.
Dual Credit Scholarships- HB 206 creates the Dual Credit Scholarship Program to help students enroll in a dual credit course for general education courses and career and technical education courses that leads to an industry-recognized credential.
Left on the Table
Workers comp- HB 296 makes several changes to improve the efficiency of the system to reduce costs and ensure appropriate care of the injured worker with an emphasis on returning to work quickly. The bill clarifies statutes in response to supreme court opinions and increases benefits for the injured worker.
Essential skills- HB 454 ensures that Kentucky students receive instruction on “essential skills,” the skills critical for success in the workforce and display these skills in order to graduate. The bill also requires all students to receive annual instruction on drug awareness and prevention.
Medical Review Organizations- SB 18 protects confidential information such as employee reviews and evaluations from being provided as evidence in civil action. This is a critical step to reforming Kentucky’s legal liability environment.
Smoke Free Schools- SB 78 and HB 247 would have prohibited smoking on school property.
Net metering- SB 214 would have allowed utilities to collect costs necessary to serve the customers of onsite net metered systems that produce electricity. The bill would have prevented customers without net metered systems from subsidizing the cost of serving those with systems.
Expungement- SB 16 would have expanded the list that was adopted during the 2016 session of Class D felonies eligible for expungement and would have required a longer waiting period of ten years to be met before pursuing the expungement.
Juvenile Justice- SB 20 would have continued the work of juvenile justice reform that is rooted in data and national best practices and builds on the great work Kentucky has already done. These targeted polices would have kept Kentucky on track to ensuring that communities are safe and youth within the juvenile justice system receive the services that they need to become productive, law abiding citizens.
Sincerely,
Jordan M. Gibson, MBA | President/CEO
Southeast Kentucky Chamber of Commerce
Date: 04-03-2017
What passed, failed in legislature
FROM THE PUBLIC VIEW
By Tom Loftus
The Courier-Journal
Here’s a look at what the Kentucky Legislature did during the 2017 regular session, which ended at midnight Thursday.
PASSED
Charter schools
House Bill 520 will allow publicly funded charter schools to operate in Kentucky beginning next school year, although none are expected to begin operation until 2018-19.
Education reform
Senate Bill 1 is a sweeping measure streamlining how students are taught and tested and how teachers are evaluated. It will give local schools more control over teacher evaluations and create a new way for intervening in low-performing schools that gives more authority to local school districts.
Right-to-work
House Bill 1 prohibits membership in a labor union or payment of union dues as a condition of employment.
Prevailing wage repeal: House Bill 3 repeals a law that requires a regional prevailing wage rate be paid as a minimum for workers building public schools and other state or local public buildings.
Abortion: House Bill 2 requires doctors to display and describe the details of an ultrasound to a woman prior to an abortion procedure. Women can decline to look at the ultrasound image or listen to the fetal heartbeat if they choose.
Abortion: Senate Bill 5 bans abortion beginning with the 20th week of a pregnancy. The prohibition does not apply when an abortion is needed to save the life or prevent serious risk of permanent bodily harm to the mother.
Planned Parenthood funding: Senate Bill 8 puts Planned Parenthood at the end of the line behind other health care providers for getting any federal family planning funds.
Medical malpractice: Senate Bill 4 will require that a panel of doctors review malpractice complaints before the complaint goes to court.
Yum Center: House Bill 330 extends from 20 years to up to 45 years the life of the Tax Increment Financing, or TIF, program that uses certain tax revenues from a district surrounding the downtown arena to pay off the arena’s debt.
University of Louisville:, Senate Bill 12 abolished the U of L board of trustees and created a new system for appointing its members.
Other university boards: Senate Bill 107 expands and clarifies the ability of the governor to remove and replace members of university governing boards and some other education boards.
Justice reform: Senate Bill 120 is designed to make it easier for felons to reenter society. It will enable prisoners to gain work experience while still incarcerated, reduce probation and parole times for certain offenders and prevent defendants from being jailed for inability to pay court costs.
Bible literacy: House Bill 128 allows public schools to offer an elective social studies course on the Bible.
Performance-based funding: Senate Bill 153 will base state funding of universities and community colleges for all but mandated programs on various measures of student success.
Real ID: House Bill 410 will create a voluntary travel ID — an enhanced driver’s license — to board airplanes and enter military facilities as of Jan. 1, 2019. The law is designed to meet anti-terrorism requirements established in the federal REAL ID Act passed by Congress in 2005. But Kentuckians who do not want the enhanced ID card can still get a standard driver’s license.
Tim’s Law: Senate Bill 91 allows a judge to order outpatient treatment for up to a year for some people unable to recognize the severity of their mental illness and with a history of involuntary psychiatric hospitalization.
Solid waste regulation: House Bill 246 remakes how solid waste is overseen in Louisville and Jefferson County, tipping power toward dozens of small cities and private waste haulers and away from Louisville. It could also overturn a plastic bag ban for yard waste.
Later school year: Senate Bill 50 provides an incentive for school districts to start the school year no earlier than the Monday closest to Aug. 26.
Campaign contributions: Senate Bill 75 doubles from $1,000 to $2,000 the amount a person can contribute to a state or local candidate’s campaign per election. Limits on some other types of contributions are also increased.
Fentanyl, other opioids: House Bill 333, would limit some narcotics prescriptions to three-day supplies and create strong penalties for trafficking in any amount of fentanyl or heroin.
Nuclear power: Senate Bill 11, repeals the prohibition in Kentucky law against the construction of a nuclear power plant upon approval of state and federal regulators.
War on Louisville, Senate Bill 222 in its original form would have restricted the authority of the Louisville mayor but was pared back. In its final form, the bill clarifies and enhances certain powers of Louisville Metro Council.
Blue Lives Matter: House Bill 14 would allow an attack on police, firefighters and other first responders to be prosecuted as a hate crime. Formerly state law only considered it a hate crime if the attack is based on the victim’s race, color, religion, sexual orientation or national origin.
Student speech: Senate Bill 17 specifies that students in public schools and universities can express their religious and political opinions in their schoolwork, artwork, speech and clothing and be allowed to distribute political materials on school grounds and use school media to announce religious meetings.
Legislator pensions: Senate Bill 3 requires public disclosure of state pensions paid to current and former state legislators.
Zoning Appeals: House Bill 72 could require parties that appeal circuit court decisions in zoning cases to post an expensive bond.
DID NOT PASS
Neighborhood schools: House Bill 151 would have — with exceptions — allowed students to attend the public school closest to their homes.
Attorney general’s powers: House Bill 281 in its various forms would have moderately altered or significantly reduced powers of the state attorney general.
Guns: Senate Bill 7 would have allowed Kentuckians as young as 18 to carry a concealed weapon without training, background check or permit.
Solar credits: Senate Bill 214 would have changed how utility customers who have solar panels are credited for energy they produce.
Transgender bathrooms: House Bill 106 would have required public schools and state and local governments to designate that bathrooms they control “only be used by persons based on their biological sex.”
Hate crimes: House Bill 370 would have repealed Kentucky’s hate crimes law.
Constitutional convention: Two resolutions asking Congress for a constitutional convention did not advance.
Workers’ compensation: House Bill 296 was a measure to reduce workers’ compensation expenses sought by businesses but opposed by advocates for workers including the Fraternal Order of Police.
Child abuse reporting: Louisville Mayor Greg Fischer’s request to clarify state law on reporting of suspected child abuse when police officers are accused came with two days left in the session.
Judicial redistricting: Senate Bill 9 would have redrawn judicial circuits and districts.
