Who Gets All the (Tax)Breaks: GA Week 9
KCC List of House Bills we are watching as of 3/4
KCC List of Senate Bills we are watching as of 3/4
Today (March 4th) marks the 41st day of the 60-day legislative session. This past week was the last week for both the House and Senate to file new bills. The General Assembly will conclude on April 14th.
How to Act on bills: you may call the Legislative Message Line at 1-800-372-7181 From 7AM-9PM M-TH and from 7AM-4:30 PM on Fridays. Or you can email lawmakers using this link.
Attention Prius, Tesla Owners
(and other clean car fans)
Late last week we mentioned the filing of HB568 “AN ACT relating to electric vehicles and making an appropriation” sponsored by Rep. DuPlessis. This past Sunday, KCC was the guest of the Evolve Electric Vehicle Group where we spent some time discussing this legislation and related issues. You can find our “deep dive” on HB568 (and similar language in HB8) here, along with an op-ed from Evolve founder Stuart Ungar to learn more about this bill which will impact both EV owners AND Hybrid vehicle owners. So whether you own a Prius, a Tesla, or something in-between, if you own a Hybrid or EV, or you just care about cleaner air, we urge you to read our summary.
We can understand the concern on finding ways to add revenue for transportation. During a presentation to the House Transportation Committee last March, representatives from the Transportation Cabinet stated that “decreasing road revenues, combined with increasing storm damage costs puts a strain on our ability to execute routine road and maintenance plans.” The average state excise tax of surrounding states is an average of 27.6 cents per gallon (cpg) but Kentucky’s tax is currently 24.6 cents per gallon. While highway construction costs have increased 25% since 2015. However we raise many questions about the right way to do this. Much of the language in HB568, with some differences, is also present in the House Revenue Bill HB8.
ACT: Even though HB568 has not yet been assigned to committee the revenue bill, HB8, which contains similar language, has already passed its third reading 67-23 in the House and will soon be on its way to the Senate. Therefore we urge you to now call the Senate Appropriations & Revenue Committee to oppose the Electric and Hybrid Car language in HB8.
In addition to our “deep dive” on how House Bill 8 (and HB568) impact electric and hybrid vehicles, we would like to also point you to our allies at the Kentucky Center for Economic Policy (KyPolicy) who have published a series of excellent blogs on the budget and revenue bills. Here are two links in particular we would like to highlight: Ky Policy’s Blog on Tax Cuts and Inequality and Ky Policy’s Blog on Cuts to Benefits.
Credit: The Kentucky Center for Economic Policy
New Bill Highlights This Week:
Fortunately, there is some good news for Electric Vehicle owners among the new bills filed this week. Senator Higdon filed SB347, (KCC Strong Support) which requires the Transportation Cabinet to develop an electric vehicle infrastructure development plan to describe how the state will administer the National Electric Vehicle infrastructure Formula Program funds and requires presentation of the plan to the Interim Joint Committee on Transportation. And Senator Yates filed SB370, (KCC Support) which Establishes an electric vehicle infrastructure tax credit in an amount equal to 30% of the qualified expenditures paid or incurred by the taxpayer during the taxable year, up to $1,000 for the residential installation of a level 221 charging station and ($30,000) for the installation of a DCFC charging station.
As for new bills to oppose, we want to highlight HB724 filed by Rep. Rowland, known as a “regulatory sandbox” bill that is a model bill from the American Legislative Exchange Council (ALEC). This bill allows for waivers of regulatory requirements to "make an innovation" and provides tax incentives for "insurance innovators." It establishes the framework for "innovation" to launch new products, services, and models while bypassing laws or regulations that may conflict with the technology.
On the Move—ACT Fast to Oppose:
ACT NOW to Oppose: SB205 by Senator Mills (KCC Strong Oppose) is a bill designed to address corporate boycotts of fossil fuel companies. This bill is now posted for passage for Monday, March 7th in the Senate. The bill claims investment firms and corporations are colluding to force fossil fuel companies to transition to clean energy using boycotts, and directs the state not do business with the firms and companies that are boycotting fossil fuel companies. If the company does not stop its "energy boycotting" after receiving notice, then a state entity must divest from that company. It allows the attorney general or the treasurer to enforce.
More than 101 banks have joined the Net-Zero Banking Alliance to cut their investments in fossil fuels by 2030. Rep. Mills expressed in the hearing on this bill that “energy policies should be created by state government, not in the boardroom of publicly traded banks.” We were concerned when State Treasurer Allison Ball testified that “we are still using a lot of energy from Russia,” although the facts show that the U.S became a net annual petroleum exporter in 2020, and U.S. petroleum imports were at their lowest since 1991. And the U.S. is currently a net exporter of coal.
Ballard Cassidy, President of the Kentucky Bankers Association (KDA) testified that “SB205 is not the answer, the treatment would be more deadly than the disease because it speaks at the heart of our free market system.” You can find the full video testimony on SB205 bill at this link and below:
As you all have seen this past week with the military conflicts between Russia and Ukraine, the ability for the public and corporations to play a role in influencing current events through the use of market forces and boycotts can be a very effective tool to move societal change. While we certainly understand our Senator’s concerns over civic actions that could impact one of Kentucky’s signature industries (fossil energy), we believe this retaliatory legislation is not the way to address the problem.
ACT: This bill has been posted for passage in the Senate for Monday, March 7th. Leave a message for “all members of the Senate” that you oppose SB205 and support the right of market expression through boycotts. (More on this bill here).
Bills on the Move to Support:
Our friends at the Kentucky Woodland Owner’s Association (a KCC Partner group) are strongly supporting HJR41 (KCC Strong Support) by Rep. Bowling which would direct the Department of Revenue and the University of Kentucky's Department of Forestry and Natural Resources to submit a report to the Legislative Research Commission by December 1, 2022, detailing their recommendations for equitable property tax assessment procedures for well-managed forests. This resolution has been sitting for the past month but has finally been assigned to House Agriculture.
ACT: Please contact members of the House Agriculture Committee to express your support on HJR41.
Continue to Oppose:
Now that lawmakers have concluded the filing of new bills, and have made progress on budget and revenue bills, we anticipate that many other bills that have been stalled may soon move very quickly. Since there has been a rule change that allows many bills to now be called on very short notice, we ask that you continue to make calls and emails to oppose the following bills:
“Riot” (or “anti-protest”) bills: HB396, SB44 (KCC Strong Oppose). See summary here. SB44 is now in Senate Judiciary. HB396 is still not been assigned to committee. Please contact Senate Judiciary to oppose SB44 and contact your Representative to oppose HB396.
Education Bills limiting what can be taught in schools HB487, SB138 (KCC Strong Oppose). Contact House Leadership to oppose HB487 and Senate Leadership to oppose SB138.
Open Records/Transparency legislation, SB63 (KCC Oppose) has passed the Senate. Contact the House to oppose.
Energy Bills HB341, and HB470 have still not been assigned to committee. Contact House Leadership to continue to oppose.
Continue to Support:
Vegetation Management Bill (tree bill) HB485. Ask your Representative to co-sponsor.
Fair and Just Utility Rates Bill HB342. Ask your Representative to co-sponsor.
PFAS “Forever Chemical” Monitor Bill HB338. Ask your Representative to co-sponsor.
Finally, We Need More Calls To Support Land Conservation in the budget
Among all of the many, many competing interests for attention in the discussions around the discussion around budget, revenue, and taxes, we need more of you to express your support for our public wildlands and working farmlands. Please take a few minutes to review this land coalition brief prepared by Kentucky Conservation Committee, Kentucky Natural Lands Trust, Bluegrass Land Conservancy and American Farmland Trust with core information about our land conservation funding shortfall, and then…
ACT: CALL members of the Senate Appropriations & Revenue Committee (where the budget bill currently resides) to express your support for more land conservation funding. in the state budget.