Kentucky News Now

MINIMUM WAGE

Bill to boost minimum wage passes Kentucky House

FRANKFORT, Ky. (AP) — The Kentucky House has passed a bill that would gradually raise the state's minimum wage to $10.10 per hour by 2017.

The measure, sponsored by House Speaker Greg Stumbo, calls for 95-cent increases in three phases. That would incrementally increase the minimum wage from the current $7.25 an hour to $10.10 per hour in July 2017.

The bill cleared the House on a 56-43 vote after a partisan debate lasting nearly two hours.

Stumbo, D-Prestonsburg, said the bill would increase the purchasing power of minimum-wage workers, helping the overall economy. A number of Republican lawmakers said the higher minimum wage would force some employers to cut their work force.

The bill would exempt retail stores, service industries, hotels, motels and restaurants with gross sales under $500,000 per year.

TEACHERS RETIREMENT

House panel advances $3.3 billion loan for teacher pensions

FRANKFORT, Ky. (AP) — Kentucky taxpayers would take out the biggest loan in state history under a bill approved by the House budget committee on Tuesday.

The bill would let the state borrow $3.3 billion to bail out the struggling Kentucky Teachers' Retirement System. The system pays $144 million in benefits every month but only has a little more than half of the money it needs to continue making those payments.

Without the loan, pension officials warned the state's annual required contribution would swell to more than $2.2 billion by 2035. But with the loan, the state's required contribution would be $500 million by then.

The bill now goes to the full House of Representatives. But it faces long odds in the Republican-controlled state Senate.

DOMESTIC VIOLENCE

Bill protecting dating violence victims wins panel approval

FRANKFORT, Ky. (AP) — Legislation aimed at extending emergency protective orders to people whose dating relationships turn violent appears to be gaining bipartisan momentum among Kentucky lawmakers.

Gov. Steve Beshear Tuesday predicted such a bill will pass this year's legislative session. A short time later, the bill drew bipartisan support in winning approval from the House Judiciary Committee.

The Democratic governor was joined at a news conference by Republican Senate President Robert Stivers and the chairmen of the House and Senate Judiciary Committees.

Stivers later said that the House bill dealing with the issue may undergo some "tweaking" by the Senate but said there is a "high likelihood" lawmakers will reach agreement.

The bill would create a unified, comprehensive system of civil protections for victims of domestic violence, dating violence, sexual assault and stalking.

UK CANCER CENTER

Panel advances $132.5 million for cancer research building

FRANKFORT, Ky. (AP) — The University of Kentucky would use $132.5 million of taxpayer money to build a new cancer research building under a bill that cleared the House budget committee on Tuesday.

Kentucky lawmakers approved the state's $9.6 billion spending plan last year, and it is unusual for lawmakers to vote to amend that plan in a non-budget year. But University of Kentucky President Eli Capilouto said the school has run out of quality space for researchers at its Markey Cancer Center in a state with one of the highest cancer rates in the country.

Some House Democrats voted against the proposal because they objected to the timing. If it passes the House, it would head over to the Republican controlled Senate, where Senate President Robert Stivers has endorsed the bill.

KENTUCKY EXPORTS

Kentucky exports reach new record in 2014

FRANKFORT, Ky. (AP) — Kentucky officials say the state exported another record amount of its products around the world in 2014.

Gov. Steve Beshear said Tuesday that a state-record $27.5 billion of products were shipped globally last year. It's the fourth straight year Kentucky has surpassed the previous mark.

The new record represents a 9 percent growth in exports since 2013. By comparison, the average export growth rate nationwide was just over 2 percent. In 2013, Kentucky's exports totaled $25.3 billion.

Beshear's office says leading Kentucky's export growth is in the aerospace sector. Last year, the state shipped $7.8 billion in aerospace parts and products, up 38 percent from 2013.

Kentucky's other top exports include motor vehicles, parts and bodies and trailers, synthetic rubber and resin and pharmaceuticals.

Canada was Kentucky's top trading partner last year.

STATE REVENUE

Ky revenue dips, but officials remain optimistic

FRANKFORT, Ky. (AP) — Tax collections fell slightly in January, but Kentucky's budget director said it is no reason to worry the state will end the year with a deficit.

The state collected $828.9 million in fees and income and sales taxes in January, down 0.3 percent from last year. So far this year, Kentucky's revenue has increased 2.9 percent. State officials had predicted it would increase 3.6 percent. To make up the difference, revenues need to increase by 4.5 percent during the next five months.

State Budget Director Jane Driskell said officials expected the decline because the deadline for withholding payroll taxes was on a weekend. Driskell said she is confident the state is on track to reach its goal.

Gas tax collections increased 2.9 percent. The state uses the money to pay for roads.

LOCAL OPTION

GOP primary could impact local option sales tax vote

FRANKFORT, Ky. (AP) — Democrats and Republicans are teaming up in a rare show of bipartisanship to let voters approve local construction projects by temporarily raising sales taxes in the cities and counties where they live.

But the Republican primary for governor could complicate the issue as candidates seek to woo a voting base that has historically been turned off by any hint of a tax increase.

The proposal sailed through the House budget committee on Tuesday, where Democratic House Speaker Greg Stumbo and a Republican county judge-executive framed the issue as a matter of local control. But most of the Republican candidates for governor have criticized the proposal as a tax increase.

The bill requires at least 60 votes in the House. Republican Leader Jeff Hoover is a co-sponsor of the bill and said he thinks it will pass.

CONGRESS-IMMIGRATION

McConnell: Senate 'stuck' over bill funding Homeland Dept.

WASHINGTON (AP) — Senate Majority Leader Mitch McConnell says the Senate is stuck over a bill funding the Homeland Security Department and overturning President Barack Obama's policies on immigration.

He says the next move is up to the House. But House Republicans say they've already done their job by passing the bill that funds the Homeland agency through the budget year, while also undoing Obama's executive actions extending deportation relief to millions here illegally.

McConnell tried three times last week to pass the House bill, but Senate Democrats blocked each attempt.

The impasse comes with funding for the $40 billion agency set to expire Feb. 27 without action by Congress. The likeliest outcome may be a short-term extension of current funding levels.

McConnell commented to reporters Tuesday after meeting with Senate Republicans.