State Lawmakers Return for 60-Day Session
Commerce Lexington Inc. is proud to work on behalf of our members and the Central Kentucky business community as an effective public policy voice at all levels of government to improve Kentucky’s business climate. Throughout the year, Commerce Lexington’s Public Policy Council researches, analyzes and discusses important policy issues from the perspective of how it may affect the Central Kentucky business community, then recommends advocacy position statements. These statements guide the chamber’s advocacy efforts for the year.
Please take a few minutes to review the 2022 LEGISLATIVE FOCUS to learn about issues Commerce Lexington Inc. will be tracking on behalf of the business community this year at the local, state and federal levels of government.
In January, state lawmakers return to Frankfort for the 60-day Regular Session of the Kentucky General Assembly. The priority issue will be crafting the next two-year state budget and road fund plan for transportation infrastructure projects. Lawmakers face tough decisions about how to allocate state revenues and resources, including more than $3 billion in federal American Rescue Plan Act (ARPA) funds.
Addressing the workforce crisis is a top priority for the business community. Businesses of all sizes across sectors are struggling to find people for the open positions. Although this is not a new challenge, the pandemic has exacerbated the issue. According to the Kentucky Chamber Foundation’s new report, “20 years in the Making: Kentucky’s Workforce Crisis,” Kentucky is ranked 48th among 50 states in workforce participation. The causes of the weak statewide rate are many including slow population growth, an aging/retiring population, poor health outcomes, substance abuse and incarceration. The workforce issue is a complex problem with no silver bullet. Legislators are likely to consider multiple policy solutions this session, such as increasing investments in education and worker training, talent attraction, reforms to the unemployment system, criminal justice policies, childcare, affordable housing, and more.
Another priority issue to increase Kentucky’s economic competitiveness is continuing efforts to reform the state’s antiquated tax structure. Kentucky made progress with the 2018 reforms that lowered income tax rates and modestly expanded the state sales tax base. Commerce Lexington continues to advocate for reforms to lower individual income tax rates to be more competitive with the rates of surrounding states and move Kentucky toward a more consumption-based model rather than the current model that is heavily reliant on occupational taxes on workers and business taxes. The chamber also supports reforms aimed at providing local governments with more diversity in revenue options.
Commerce Lexington urges members to stay connected throughout 2022 on policy issues. Regular e-mail updates will be provided to members throughout the Legislative Session and the year to keep businesses updated on what’s happening in City Hall, Frankfort and Washington, D.C. and the impact of potential legislation to Central Kentucky’s economy. If you have questions, need assistance with a policy issue or would like to get involved with advocacy efforts, contact Andi Johnson, Chief Policy Officer and Director of Regional Engagement.
Commerce Lexington Inc. is proud to work on behalf of our members and the Central Kentucky business community as an effective public policy voice at all levels of government to improve Kentucky’s business climate. Throughout the year, Commerce Lexington’s Public Policy Council researches, analyzes and discusses important policy issues from the perspective of how it may affect the Central Kentucky business community, then recommends advocacy position statements. These statements guide the chamber’s advocacy efforts for the year.
Please take a few minutes to review the 2022 LEGISLATIVE FOCUS to learn about issues Commerce Lexington Inc. will be tracking on behalf of the business community this year at the local, state and federal levels of government.
In January, state lawmakers return to Frankfort for the 60-day Regular Session of the Kentucky General Assembly. The priority issue will be crafting the next two-year state budget and road fund plan for transportation infrastructure projects. Lawmakers face tough decisions about how to allocate state revenues and resources, including more than $3 billion in federal American Rescue Plan Act (ARPA) funds.
Addressing the workforce crisis is a top priority for the business community. Businesses of all sizes across sectors are struggling to find people for the open positions. Although this is not a new challenge, the pandemic has exacerbated the issue. According to the Kentucky Chamber Foundation’s new report, “20 years in the Making: Kentucky’s Workforce Crisis,” Kentucky is ranked 48th among 50 states in workforce participation. The causes of the weak statewide rate are many including slow population growth, an aging/retiring population, poor health outcomes, substance abuse and incarceration. The workforce issue is a complex problem with no silver bullet. Legislators are likely to consider multiple policy solutions this session, such as increasing investments in education and worker training, talent attraction, reforms to the unemployment system, criminal justice policies, childcare, affordable housing, and more.
Another priority issue to increase Kentucky’s economic competitiveness is continuing efforts to reform the state’s antiquated tax structure. Kentucky made progress with the 2018 reforms that lowered income tax rates and modestly expanded the state sales tax base. Commerce Lexington continues to advocate for reforms to lower individual income tax rates to be more competitive with the rates of surrounding states and move Kentucky toward a more consumption-based model rather than the current model that is heavily reliant on occupational taxes on workers and business taxes. The chamber also supports reforms aimed at providing local governments with more diversity in revenue options.
Commerce Lexington urges members to stay connected throughout 2022 on policy issues. Regular e-mail updates will be provided to members throughout the Legislative Session and the year to keep businesses updated on what’s happening in City Hall, Frankfort and Washington, D.C. and the impact of potential legislation to Central Kentucky’s economy. If you have questions, need assistance with a policy issue or would like to get involved with advocacy efforts, contact Andi Johnson, Chief Policy Officer and Director of Regional Engagement.