HB 600/FN (BR 500) - J. Barrows, J. Adams, J. Coleman, J. Haydon, J. Wayne
AN ACT relating to smart growth.
Create a new section of KRS Chapter 147 to define "smart growth and smart growth principles," "capital project," and "state agency"; create a new section of KRS Chapter 147 to require that all state agencies to promote, assist, and pursue the rehabilitation and revitalization of infrastructure, structures, sites and previously developed areas that are still suitable for reuse; seek to minimize unnecessary loss or depletion of environmental quality and agricultural, historic, and natural resources in the siting and funding decisions, as well as make finding of consistency of decisions to the state planning committee regarding siting and funding of state development; create a new section of KRS Chapter 147 to require the state planning committee to provide support, advice, and recommendations to the executive cabinet and to conduct an initial review of state policies, programs, and infrastructure and capital improvement plans that relate to local land use in consideration of smart growth; to conduct ongoing reviews of state capital projects regarding compatibility with comprehensive plans and impact on stated resources; to allow the state planning committee to meet, appoint subcommittees, apply for and receive moneys from varied sources, contract with entities to carry out its functions, and define member reimbursement, as well as allowing committee to perform other functions and require committee to report yearly to Governor; create a new section of KRS Chapter 147 to establish a state planning assistance office; allow the director of office to employ assistants, and provide staff services to the state planning committee; allow the director to call upon ex officio members of the state planning committee for staff assistance; require the state planning assistance office to encourage, promote, and support the development of county-wide planning, including regional coordination; maintain an inventory of planning units and their respective plans; develop a one-stop resource site and referral service for communities, developers, engineers, policy makers, and citizens to give easier access to state assistance; provide local governments and local planning units technical assistance with land use ordinances, plans, and agreements; create and convene smart growth best practices for public facilities and schools; develop and execute public smart growth education; promote training and continuing education opportunities in smart growth principles for those involved in planning; create a new section of KRS Chapter 147 to require that any capital project subject to the provisions of KRS 45.151 that is in excess of $2 million, except for projects located within an area covered by a local comprehensive plan, shall be commenced without prior approval of the state planning committee; provide that projects covered by a comprehensive plan shall be subject to the requirements of the plan and approval of the local planning authority, unless the state planning committee determines in writing that there is an overriding state interest for the location of the project and provide that in that instance, that the decision of the state planning committee is final and not subject to further review; provide that during the planning stage of all other projects subject to the committee's review that the state agency proposing the project shall submit a report to the committee explaining the project, the determination of the location of the project, and the extent of infrastructure located in the project area, or the reasons for choosing an area devoid of infrastructure, require projects to be located, to the extent feasible, in a manner that takes advantage of existing infrastructure, preserves open spaces, agricultural resources, and historic or environmentally sensitive areas and provides accessibility through many means as well as requiring the design to be compatible with the local environment; require the state planning committee to review all proposed state projects that require the development of 50 or more acres of farmland of statewide agricultural importance, defined under KRS 246.065 to a nonfarm use, and set parameters for review; require a state agency to submit a report to the committee detailing the project, the agricultural impact, the location of the land, and the necessity for the land, including the rejection of alternatives; require that all affected state projects be located to interfere minimally with the productivity of agricultural lands to the extent feasible; allow the committee chair to appoint two ad hoc members to the committee from the local area of the proposed project; require, if the committee conducts a review, the committee to notify the public by newspaper of that fact, to receive comments, and conduct a public hearing if requested by a member of the community, and specify that that meeting not be an adjudicative hearing under the provisions of KRS Chapter 13B; require the committee to file report with the Governor's Cabinet, and permit the cabinet to require the state agency to alter the project, if necessary, to conform to the local comprehensive plan, if any, or to conform to smart growth principles; create a new section of KRS Chapter 171 to define "certified home," "certified historic structure," "certified rehabilitation," "qualified construction expenditure," "qualified rehabilitation expenditure," "substantial rehabilitation," "person," "Kentucky taxes," "owner-occupied residential property," "qualified purchased historic home," "qualified home," "director," and "cabinet"; create a new section of KRS Chapter 171 to allow a nonrefundable credit against Kentucky taxes for a certified rehabilitation equal to 30% of the qualified rehabilitation expenditures in the case of owner-occupied residential property, limited to $60,000, or half for married persons filing separately, or 20% of the qualified rehabilitation expenditures for all other property limited to $20,000, or half for married persons filing separately; allow a nonrefundable tax credit for the taxable year in which a certified home is sold for use as the principal residence of the purchaser equal to 10% of the taxpayer's qualified construction expenditures limited to $20,000, or half for married persons filing separately; allow no credit for a structure that is located on land on which an existing structure has been demolished within the preceding 24 months unless the director makes a finding that the demolished structure was not of historic importance, did not contribute to the historic character of the historic district, or was not worthy of preservation; allow a credit that exceeds the amount of the payable taxes to apply in succeeding taxable years until the earlier of the use of the full amount, or 7 years after the completion of the rehabilitation; allow a tax credit to be sold, transferred, or assigned with notice to the Revenue Cabinet; allow receiver of credit to offset taxes and apply excess to succeeding years' taxes; provide that in the case of a qualified purchased historic home, that the purchaser shall, on the date of purchase, be treated as having made the expenditure; provide that the transfer, sale, assignment, or use of tax shall not incur additional taxes; provide that a qualified lessee of a structure is considered the owner for purposes of the tax credit; provide that a person who does disqualifying work to a structure or home is subject to penalty of repayment; allow the director to impose fees for tax credit applications; allow administrative regulations to be promulgated; allow certain local governments to perform an initial review of applications; provide for effective date; create a new section of KRS Chapter 99A to define "approved buyer," "approved area," "depressed property," "contractor," and "cabinet"; create the Neighborhood Redevelopment Housing Award Program to provide a monetary payment to a buyer of depressed property equal to 10% of the value of the appraised property, paid by the contractor making improvements upon property who shall apply for reimbursement from the program; place selling restrictions for 10 years after purchase; provide penalty; provide for application protocol; limit the total amount of awards to $2 million each year; create a new section of KRS Chapter 136 to provide a nonrefundable tax credit against tax imposed by KRS 141.020 and 141.040 for an entity making awards under the Neighborhood Redevelopment Housing Award Program; allow the credit to be transferred, sold, or assigned; amend KRS 141.0205 to conform and prioritize tax credits of neighborhood redevelopment credit and rehabilitation credits; amend KRS 147.075 to provide that the secretary of the Governor's Executive Cabinet shall be chair of the state planning committee, the finance secretary be vice-chair, and the director of the budget office be secretary, and provide for ex officio members of the state planning committee; amend KRS 147A.027 to include smart growth principles within the scope of training for planning officials and professionals; amend KRS 147A.125 to add the county judge/executive, or his designee, to the regional planning council, in instances where the county has no county-wide planning unit, and provide that all recommendations of the council shall be reviewed by the area development district's board of directors to insure compatibility; repeal KRS 262.875, the interagency farmland advisory council.
HB 600 - AMENDMENTS
HCS/FN - Retain original provisions of bill except: delete references to "smart growth" and "smart growth principles"; allow the appointment of three ad hoc members of the state planning committee when a capitol project involves farmland greater than 50 acres, one member being a representative of the planning commission of jurisdiction, or the county judge/executive if there is none, one being a person from a list provided by the county's Farm Service Administration board, and one being a person from a list provided by a list from the county's Cooperative Extension Service board, and provide that the commission of Fish and Wildlife Resources serve as an ex-officio member of the state planning committee in its review of the acquisition of farmland; delete all tax credit provisions and the Neighborhood Redevelopment Housing Award Program; provide that the individuals listed to serve as ex-officio members of the state planning committee serve as full members and add the Director of the Governor's Office of State Budget Director and the commissioner of the Department of Agriculture or his designee to the base membership of the state planning committee.
HCA (1/Title, H. Moberly) - Make title amendment.
HFA (1, R. Webb) - Amend to clarify the definition of capital project.
HFA (2, R. Damron) - Delete the provision that the state planning assistance office develop and execute a public education program on land use practices.
HFA (3, M. Treesh) - Amend to delete the designation of specific offices as appointments to the State Planning Commission.
HFA (4, J. Coleman) - Clarify that certain members of the executive branch who serve on the state planning committee are subject to serving as staff for the state planning assistance office; require the chair of the state planning committee to appoint ad hoc members from the impacted county when reviewing capitol projects in excess of $2 million dollars; add provisions for a state tax credit for the qualified rehabilitation of residential property and other property and provide for the administration of the credit; add provisions for a state tax credit for qualified construction expenses made to a certified home, and provide for the administration of the credit; create and provide for a Neighborhood Redevelopment Housing Award Program and for a tax credit, and administer the program and credit; add and amend KRS 141.0205 to accommodate the tax credits and programs; and renumber the remaining sections accordingly.
HFA (5, J. Barrows) - Clarify that certain members of the executive branch who serve on the state planning committee are subject to serving as staff for the state planning assistance office; require the chair of the state planning committee to appoint ad hoc members from the impacted county when reviewing capital projects in excess of $2 million dollars.
HFA (6, J. Barrows) - Redefine capital project to exclude road construction projects; clarify that certain members of the executive branch who serve on the state planning committee are subject to serving as staff for the state planning assistance office; require the chair of the state planning committee to appoint ad hoc members from the impacted county when reviewing capital projects in excess of $2 million dollars.
HFA (7, A. Arnold) - Clarify that the state planning committee is to be the successor to the Interagency Farmland Advisory Committee; clarify types of capital projects coming under review of the state planning committee.
Feb 5-introduced in House
Feb 6-to Appropriations and Revenue (H)
Mar 11-posting waived
Mar 21-reported favorably, 1st reading, to Calendar with Committee Substitute, committee amendment (1-title); floor amendments (1) and (2) filed to Committee Substitute
Mar 22-2nd reading, to Rules; floor amendments (3) and (4) filed to Committee Substitute ; posted for passage in the Regular Orders of the Day for Monday, March 25, 2002
Mar 25-floor amendments (5) (6) and (7) filed to Committee Substitute
Apr 1-recommitted to Appropriations and Revenue (H)