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Lawmakers divided as they hash out budget
Richards defends version approved by Dem-led House while Republicans express concerns; new state pension plan passed

By ROBYN L. MINOR, The Daily News, rminor@bgdailynews.com
Saturday, March 15, 2008 12:18 AM CDT

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State senators plan to spend the weekend reviewing the $18.5 billion House budget that was approved Wednesday.

“We will go through it this weekend, and I expect we will really tear into it on Wednesday or Thursday,” said Sen. Joey Pendleton, D-Hopkinsville.

Sen. Brett Guthrie, R-Bowling Green, said it will be important to understand all the ways the House came up with money that Gov. Steve Beshear said wasn’t there.

“I’m not sure that is sound money,” said Pendleton, noting that the new taxes proposed will be difficult to get through the Senate.

But House Speaker Jody Richards, D-Bowling Green, defended the budget.

“There is no question” the money is there, Richards said.

“We had the chairman of the House Appropriations and Revenue Committee talk about it again (Friday),” Richards said. “It does force the governor to do some efficiencies, but I think that’s what the people want. We think it’s more than defensible in terms of the money that it saves and we are willing to stand by it.”

Rep. Jim DeCesare, R-Bowling Green, is critical of the bill that he says makes more than “modest” tax increases as characterized by House leaders; borrows too much money; and in its final pages contains information about gaming.

“It allows an escrow account to be set up for any revenues generated from gaming,” DeCesare said. “That’s like putting the cart before the horse. ... It makes me think that there is probably something in the works that I need to keep my eyes open for.”

On Thursday, Beshear did say he was ready to push again for a floor vote on the gaming legislation, but Richards on Friday said the 60 needed votes still aren’t there.

“There hasn’t been any movement on that and time is running short,” he said.

Aside from the budget bill, other measures did make it through the General Assembly this week.

The Senate passed a state pension reform bill that was sort of a hybrid of the House plan, Guthrie said.

It allows for new hires to contribute a portion of their pension to an annuity, which they can also contribute to and then take with them if they leave. It still requires that new employees work longer before being able to retire.

“I think it’s a good bill and something that we can work out in conference,” Guthrie said.

Richards agreed that the bills had few differences.

“I am very pleased with the thrust of the Senate bill,” he said. “It is very close to ours. ... It appears that this will be a time that we are going to be able to get together and do something that’s really important.”

Previous attempts at pension reform failed.

The House unanimously passed HB 225, sponsored by Richards, DeCesare, Johnny Bell, D-Glasgow, and Rob Wilkey, D-Scottsville, that gives local communities a say where community residential corrections centers are located.

The group filed the proposal after potential problems arose in Bowling Green when such a center planned to locate on Reservoir Hill. The city bought that site to prevent the location and is now being sued over the move.

Amendments to the legislation, however, would require that local jurisdictions have ordinances in place that govern the siting of such facilities. Companies wanting to locate a facility would have to notify governments of their intent and determine if there are ordinances in place to govern their locations. A public hearing on the matter also is required.

Richards said Guthrie had filed similar legislation in the Senate, but it has not been approved. He is unsure if the Senate would approve his measure.

“It is something I will push for,” he said.

Secretary of State Trey Grayson praised Wilkey-sponsored legislation that passed, 61-30, Friday that would allow early voting.

HB 138 will allow Kentuckians to begin voting at least 12 working days prior to an election without having to have an excuse about why they won’t be present on election day.

“This legislation would bring Kentucky in line with 35 other states who currently allow some form of early voting,” Grayson said in a news release. “It is high time that Kentucky modernizes its voting procedures to reflect the way that we interact in the 21st century.”

Richards said he was pleased with the passage earlier in the week of HB2 that expands an energy bill passed in 2007.

“This focuses more on alternative energy and with the price of gasoline and home (fuel) that is a good thing,” he said.

The bill gives homeowners tax credits for energy improvement projects and promotes private investment in hydro-electric power.

Richards said that HB 689, which passed 84-13 Friday, should provide some wiggle room to keep road projects on schedule. The legislation, sponsored by Richards and Wilkey, among others, establishes a transportation infrastructure authority that would regulate and allow tolls on major public projects such as the planned bridges over the Ohio River.

The road plan now is expected to come before the Senate early next week.

— To follow legislation, visit www.lrc.ky.gov.


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