Legislative Flash 4-17-08 |
| April 17, 2008 |
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| Home Builders Association of Kentucky Final Legislative Flash April 17, 2008 Legislature Adjourns Sine Die Many of you may have already read the articles in the newspapers regarding the 2008 Kentucky General Assembly’s actions during the last moments of April 15. While some issues, such as Kentucky’s state employee pension system, were not able to be address, many of HBAK’s initiatives were successfully addressed during this session. Below is a recap of some of the initiatives that will affect members of the Home Builders Association. HB 2, Energy Efficiency Legislation, PASSED HB 2, sponsored by Rep. Rocky Adkins, was amended in the Senate on April 15. The amendment included an $800 Kentucky tax credit for builders of Energy Star Homes as labeled by the US EPA program for taxable years between 2009 and 2016. The tax credit applies in the tax year that construction on the home is completed. The bill also contains tax credits for homeowners who upgrade their windows, insulation or other systems to become more energy efficient. Senators Gary Tapp, Shelbyville, and Bob Leeper, Paducah, worked diligently during the last hours of the session to ensure the bill retained the necessary amendment and was passed in the House. . HB 106, Metal Theft Prevention Bill, PASSED The bill requires each scrap metal dealer to keep a register containing information on sellers of non ferrous scrap metal, which is any metal other than iron. The register contains a photocopy of the seller’s driver’s license, the license number of the seller’s car and the time and date of the transaction. Either the purchased scrap metal or a photo must be held by the buyer for at least three days unless the company is notified by a police officer who has reasonable cause to believe the property may be stolen. If a scrap metal dealer is found not to be compliant with the law they may be fined or imprisoned. HB 758, Self Insurance Workers’ Compensation Funds, PASSED Rep. Tommy Thompson sponsored HB 758 which addresses some needed changes for Self Insurance Funds. The bill equalizes the playing field between Self Insurance Funds and other Workers’ Compensation providers. HB 534, Workers’ Comp Certificate Notification, PASSED Rep. Brent Yonts, Greenville, sponsored HB 534 which will help minimize a general contractor’s workers’ compensation liability. The bill requires the Office of Workers’ Claims to notify workers’ compensation certificate holders (typically general contractors) if a workers’ compensation policy has been cancelled, terminated or not renewed by the policy holder. HB 447, Inclusionary Zoning, FAILED HBAK worked closely with Rep. Susan Westrom, Lexington, to diminish local government’s ability to set the price of housing. While the bill had support from many members of the General Assembly, many non-profit organizations were strongly opposed to this type of measure. The bill would have prevented local governments from approving or denying a permit based on the price of the homes to be built. Although HBAK still opposes inclusionary zoning, many affordable housing groups felt that passage of the bill would diminish their ability to ensure there is affordable housing. HB 654, Misclassification of Employees, FAILED In an attempt to address the issue of misclassifying employees as independent contractors, Rep. Stumbo filed HB 654. If the bill had passed, it would have permitted any interested party to file a complaint against a contractor they felt had been issuing 1099’s instead of W-2’s. The complaint would have been filed with the Department of Labor, who would then have the opportunity to investigate the general contractor. If the Department found the contractor guilty, they would then forward the contractor’s information onto other related cabinets, including the Department of Revenue. HBAK realizes that misclassifying workers is an issue in the construction industry however we could not support HB 654. HBAK will work with the other construction industry organizations to develop a proposal to address this issue in the 2009 legislative session. Military Income Tax Exemption, FAILED Several HBAK members asked for information regarding the income tax exemption for active military. While this bill passed the House, HB 163, it was not heard on the House floor. In an attempt to have the bill heard in the House, the Senate amended a House bill and sent it back to the House. Unfortunately the bill was not heard upon Sine Die of the General Assembly. If you have any questions regarding these or other specific pieces of legislation, please do not hesitate to contact the HBAK office at (800) 4889-4225 and speak with Bob Weiss or Juva Barber. Any bills passed during the 2008 Legislative session will take effect 90 days after the end of the session. |