HB 372 (BR 1481) - M. Marzian, B. DeWeese, S. Brinkman, De. Butler, L. Clark, T. Feeley, C. Miller, S. Riggs
AN ACT relating to tourism development.
Amend KRS 148.851 to include in the definition of tourism attraction, lodging facilities that involve construction of a full service facility having not less than 450 guest rooms or lodging facilities that involve a restoration, rehabilitation, or upgrade project exceeding $10,000,000.
HB 372 - AMENDMENTS
HFA (1, M. Marzian) - Amend KRS 148.851 to require lodging facilities to have not less than 500 guest rooms and involve reconstruction or upgrade costs in excess of $10,000,000.
HFA (2, R. Palumbo) - Decrease the minimum number of guest rooms to 350 for a lodging facility to be included in the definition of tourism attraction.
SCS - Retain the original provisions of the bill, except amend various sections of KRS Chapter 42 to abolish the Department for Coal County Development and return functions to the secretary of the Cabinet for Economic Development and KEDFA; amend KRS 65.680 to include new definitions related to the Kentucky Tax Increment Financing Act (TIF); amend KRS 65.682 to declare TIFs a public purpose; amend KRS 65.6851 to provide that a governing body establishing a development area that does not include Commonwealth revenues may impose an assessment against employee wages in the development area in an amount of up to 2% of gross wages, to be credited against an employee’s local occupational license fee, if existing and not otherwise used as a credit against a job development assessment fee imposed under KEOZ, KJDA, or KIRA, for manufacturing and service or technology projects and amend to add an agency to those who can issue increment bonds; amend to add a definition of project costs; amend to change acceptable developments under KRS 65.6851 to those activities under the definition of project rather than limiting them to manufacturing and service technology projects; amend to allow those agencies that have established a development area prior to July 15, 2002 to continue to operate under applicable sections of KRS Chapter 65 prior to the effective date; amend KRS 65.6853 to provide that the total assessment against employees, whose wages are assessed for local tax increment financing together with KEOZ, KJDA, or KIRA shall not exceed six percent (6%), and that the assessment due to a governing body shall not exceed the lesser of two percent (2%) or the difference between two percent (2%) and the local occupational license fee used as a credit against the job development assessment fee granted under KEOZ, KJDA, or KIRA; amend KRS 65.684, KRS 65.6855, KRS 65.688, 65.692, and KRS 65.696 to conform for development areas that do not include Commonwealth revenues; amend KRS 65.686, regarding cities and counties, to establish a TIF development area; amend KRS 65.692 to clarify the use of increment bonds; amend KRS 65.694 to conform; create two new sections in KRS 65.680 to 65.699 to specify how a city or county or agency may apply to KEDFA for approval of a development area; or with the Cabinet for Economic Development for approval of a development and related project for determination of an economic development or tourism development project; with requirements and a procedure for determining the state's portion of the increments and certification; amend KRS 103.210 to require prior approval by KEDFA of all KRS Chapter 103 industrial revenue bond issuance for industrial buildings; amend KRS 132.020 to conform; amend KRS 148.851 to delete provision that limits tourism attraction agreements to those on or before June 30, 2002; include in the definition of tourism attraction "lodging facilities" that involve construction of a full service facility having not less than 500 guest rooms or lodging facilities that involve a restoration, rehabilitation, or upgrade project exceeding $10,000,000; amend KRS 148.855 to require the Office of the State Budget Director, the Finance and Administration Cabinet, and the Revenue Cabinet to report whether there is a projected net positive impact to a project and, if so, to certify to the authority the amount of state revenue expected; amend KRS 148.859 to allow an additional extension of up to 3 years to an approved company that is building an entertainment destination center and allow for an increase in the approved costs incurred by the company under certain conditions; amend KRS 154.22-010 to include new definitions in the Kentucky Rural Economic Development Act (KREDA); amend KRS 154.22-040 relating to certification of KREDA counties to provide a third method for determining eligibility; and to establish wage and benefit standards for approved companies; amend KRS 154.22-050 to delete references to a financing agreement and add incentive agreement and require companies to recover inducements based on actual investments rather than debt service paid; amend KRS 154.22-010 to allow an economic development project to receive KREDA benefits if it is in an industrial park created under a interlocal agreement in which revenues are shared and if part of the park lies in a qualified county; require regional industrial parks which lie within 2 or more counties to base wage and benefit requirements for KREDA on the average of the average county hourly wage in the park; exempt health care services from the calculation of average hourly wage for KREDA and KJDA; amend KRS 154.22-060 to limit an inducement to the amount in the tax incentive agreement; amend KRS 154.22-070 to provide that the authority may consent to assessments by an affiliate of the approved company; create a new section of KRS Chapter 22 to provide that the current KREDA projects are subject to current law and not the provisions of this Act; amend KRS 154.23-010 to include new definitions of the Kentucky Economic Opportunity Zone Act (KEOZ); amend KRS 154.23-015 to conform; amend KRS 154.23-025 to establish wage and benefit standards under this program and to allow for project eligibility to transfer to an acquiring company; amend KRS 154.23-030 to delete references to financing agreement and add incentive agreement; amend KRS 154.23-035 to delete references to a financing agreement and add incentive agreement; require companies to recover inducements based on actual investments rather than debt service paid; amend KRS 154.23-045 and KRS 154.23-055 to conform; amend KRS 154.24-010 to include new definitions of the Kentucky Jobs Development Act (KJDA); amend KRS 154.24-090 to change the minimum employment required for a project from 25 to 15 full-time jobs; establish wage and benefit standards under this program; amend KRS 154.24-110 to allow the authority to consent to assessments by an affiliate; amend KRS 154.24-120 and 154.24-140 to conform; amend KRS 154.28-010 to include new definitions of the Kentucky Industrial Development Act (KIDA); amend KRS 154.28-080 to establish wage and benefit standards under this program; amend KRS 154.28-090 to delete references to financing agreement and add tax incentive agreement; require company recovery of inducements based on actual investment not on debt service; amend KRS 154.28-110 to allow the authority to consent to assessments by an affiliate; create a new section of Subchapter 28 of KRS 154 to allow current projects to be subject to current law and not the provisions of this Act; amend KRS Chapter 12 and 141.370 to conform; repeal various sections of the existing TIF statutes in KRS Chapter 65, KRS 154.22-090 and 154.28-120; declare an emergency for Sections 43 and 44 to allow those sections to become effective upon becoming law.
SCA (2/Title, K. Stine) - Make title amendment.
SFA (1, G. Neal) - Amend to designate the Kentucky Center for African American Heritage in Louisville as the official center for the celebration of Kentucky's African American heritage.
Jan 16-introduced in House
Jan 17-to Tourism Development and Energy (H)
Jan 30-posted in committee
Feb 6-reported favorably, 1st reading, to Calendar
Feb 7-2nd reading, to Rules
Feb 13-posted for passage in the Regular Orders of the Day for Thursday, February 14, 2002
Feb 19-floor amendment (1) filed
Feb 20-floor amendment (2) filed
Feb 21-3rd reading, passed 91-3 with floor amendment (1)
Feb 22-received in Senate
Feb 26-to Economic Development, Tourism & Labor (S)
Mar 26-taken from committee; laid on clerk's desk; 1st reading, to Calendar
Mar 27-2nd reading, to Rules; recommitted to Economic Development, Tourism & Labor (S)
Mar 28-floor amendment (1) filed
Mar 29-reported favorably, to Rules with Committee Substitute, committee amendment (2-title) as a Consent Bill; posted for passage in the Regular Orders of the Day for Friday, March 29, 2002; 3rd reading; floor amendment (1) ruled out of order ; passed 22-7 with Committee Substitute, committee amendment (2-title)
Apr 1-received in House; posted for passage for concurrence in Senate Committee Substitute, committee amendment (2-title)
Apr 2-House concurred in Senate Committee Substitute, committee amendment (2-title) ; passed 81-11; enrolled, signed by each presiding officer; delivered to Governor
Apr 11-signed by Governor (Acts ch. 338)