Greater Louisville Association of REALTORS Government Affairs Update March 13th, 2015 ...

45 Pages·2015·0.26 MB·English

Greater Louisville Association of REALTORS
Government Affairs Update

March 13th, 2015

Louisville Metro

1. Louisville Metro has received 40 complaints regarding personal residences
being used as temporary rentals for short term stays through various websites
like VRBO and AirBNB. Louisville Metro has no regulations on the books to deal
with a person renting their home for a short term stay. Currently, there is a 90
day cooling off period for all parties to come to the table to discuss and
recommend a set of regulations for this type of short term home rental.
Additionally, Councilman James Peden has filed an ordinance recommending
this cooling off period and for the LM Government to draft regulations on this
matter. Below is a good article from Insider Louisville on the issue:

“A solution could be in the works after Airbnb hosts clash with
Metro government
As it stands, there is no local law or regulation directly governing the use of
Airbnb and similar house-share services, through which homeowners rent their
houses to tourists and travelers for short periods of time. So when Metro
government issued notices to at least 20 Airbnb hosts last month, threatening to
fine them if they kept doing so, confusion ensued.
In its wake, the city is enforcing a cooling-off period during which Airbnb and
other home-sharing hosts won’t be pursued if complaints are filed, while
officials prepare to gather public input on how best to regulate users of the
service. Meanwhile, three Metro Council members have filed a resolution
imposing a 90-day freeze while they debate how to write a law that
directly addresses issues facing users of home-sharing services.
Those include creating standards of habitability, deciding which taxes and fees
are applicable, and determining how hosts — or companies like Airbnb — might
pay them.
Up to now, Airbnb and its ilk have fallen under the ill-fitting city regulations
governing hotels and motels, a sloppy arrangement that was exposed when the
city’s zoning officials began responding to complaints about Airbnb hosts a
month ago.
It’s a tricky space, one that has created anxiety for some Airbnb hosts. They say
they want to do the right thing — and pay the appropriate taxes — but there’s no
clear definition of what those are.
“I think the city needs to define what Airbnb is, add it to their rules and regulate
us,” says Alex Davis, an attorney serving as spokesman for a group of local
hosts and who is himself a host. “We want to be regulated. We want to pay our
fair share. But we’re not hotels, and we’re not motels, and we’re not bed and
breakfasts. We’re Uber and Lyft compared to the taxicab industry.”
This is a common problem cities and states have grappled with as web-based
sharing services have boomed in popularity and government has been slow to
respond. In Nashville, for example, the Metro Council recently approved an
ordinance requiring Airbnb hosts to obtain a permit and keep any rentals under
30 days (beyond which point they fall under hotel/motel rules). The ordinance
also required that all tax and remittance policies be clearly laid out to short-term
rental operators, meaning there’s no confusion once tax season rolls around.
Nashville’s ordinance got a round of applause from the Short Term Rental
Advocacy Center, a coalition that represents hosts of some 1.1 million properties
worldwide. STRAC recently estimated the economic output of short-term rentals
in Portland, Ore., was $46.5 million in 2013 and supported 375 local jobs.
It’s likely a good deal smaller than that in Louisville, where more than 400
properties are currently listed on Airbnb. However, hosts and Metro officials alike
recognize the need to figure out a system that works — and quickly. There is
revenue at stake — hotel taxes and fees fund a variety of local infrastructure
projects.
Plus, who wants to be viewed as a luddite city in a tech-savvy era — particularly
at a time when bourbon tourism is growing and Derby is coming up?
“The mayor wants to ensure Airbnb keeps operating in the city — the sharing
economy is innovation at work,” says spokesman Chris Poynter. “He also wants
a level playing field and has asked our planning staff to work with Airbnb hosts on
a solution that works for all.”
Metro Council members James Peden, Tom Owen and Bill Hollander are taking
the lead on writing the new rules. Peden, a Republican, pitched the concept to
his caucus last week and is beginning to educate fellow members. On the
Democratic side, Owen and Hollander represent the Highlands and
Clifton/Crescent Hill, respectively, both of which are exceedingly popular spaces
for Airbnb users.
“I think the city wants to be a part of this progressive approach to new technology
and the sharing economy,” Davis says. “Places like Austin, Texas, and Nashville,
that I think Louisville would be wise to follow, they’ve found creative ways to bring
Airbnb into their regulatory framework.”
Look for that to take shape soon.”

2015 Kentucky General Assembly

1. On Tuesday January 6th, the Kentucky General Assembly convened for its
regular 30 working day session through March 24th. There are over 700
bills that have been filed this session. This week is the two week recess in
which the Governor has the chance to veto currently passed legislation.
The General Assembly will reconvene on March 23rd and 24th for the final
two days of the session. One bill of note, HB 149 – the REALTOR
Continuing Education bill supported by GLAR and KAR passed the full
House two weeks ago, has passed out of the Senate Licensing and
Occupations Committee, and has two readings on the Senate Floor. All
that is left is one more reading, and currently it is sitting on the consent
calendar in the Senate to be passed on Monday March 23rd. As always,
GLAR is represented in Frankfort and will provide weekly updates on bills
and amendments of interest to GLAR and its members. Below is the
current list of filed bills and latest actions followed by GLAR:
HB48 AIRPORT NOISE MITIGATION (WAYNE, J) AN ACT relating to tax
credits for airport noise mitigation.

Create a new section of KRS Chapter 141 and amend KRS 141.0205 to
create a refundable income tax credit for the costs of mitigating noise
from a commercial airport; make tax credit applicable to tax years
beginning on or after January 1, 2015.
Current Status: 1/6/2015 - (H) Referred to Committee House

Appropriations and Revenue
All Bill Status: 1/6/2015 - Introduced (Pre-Filed)

10/23/2014 - Pre-Filed

HB84 NUCLEAR POWER (WATKINS, G) AN ACT relating to nuclear power.

Amend KRS 278.605 to allow construction of a nuclear power facility
on a site previously used for the manufacture of nuclear products.
Current Status: 1/6/2015 - (H) Referred to Committee House

Tourism Development and Energy
All Bill Status: 1/6/2015 - Introduced (Pre-Filed)

12/10/2014 - Pre-Filed

HB93 RARE PLANT PROTECTION (KAY II, J) AN ACT relating to rare
plant protection.

Create new sections of KRS Chapter 146 to establish an endangered
and threatened plant species list to be maintained by the Kentucky
State Nature Preserves commission; prohibit the taking or possession
of an endangered and threatened plant species without written
permission of the owner, lessee, or other person entitled to
possession; authorize the Kentucky State Nature Preserves
Commission to promulgate regulations to establish a list, regulate the
sale, the protection, and the taking of the plant species and exempt
taking of species for certain purposes and circumstances; require
persons that sell endangered or threatened plant species to be
registered with the commission; require certification of propagators;
require inspection of nurseries and propagators if the facility sells or
propagates endangered or threatened species; require state agencies
to avoid activities that will jeopardize the existence of an endangered
or threatened species; exempt location of endangered and threatened
species from Open Records Act; amend KRS 146.605 to create
definitions; amend KRS 146.990 to create a civil penalty of $500 per
violation per day for as long as offense continues and allow State
Nature Preserves Commission to stop the person from continuing the
activity.
Current Status: 3/23/2015 - (H) Posted for Passage in Regular

Orders of the Day; w/HCS 1, HFA 1,2,3,4,5P,6T,7
All Bill Status: 3/11/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4,5P,6T,7
3/10/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4,5P,6T,7
3/5/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4,5P,6T,7
3/4/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4,5P,6T,7
3/3/2015 - floor amendment (7) filed to
Committee Substitute
3/3/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4,5,6T
3/2/2015 - floor amendment (5) filed to
Committee Substitute, floor amendment (6-title)
filed
3/2/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4
2/27/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4

2/26/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4
2/25/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1/ HFA 1,2,3,4
2/24/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2,3,4
2/23/2015 - floor amendment (4) filed to
Committee Substitute, floor amendment (3) filed
2/14/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1, HFA 1,2
2/13/2015 - floor amendment (1) filed to
Committee Substitute, floor amendment (2) filed
to the bill
2/13/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1
2/12/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1
2/11/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1
2/10/2015 - (H) Posted for Passage in Regular
Orders of the Day
2/9/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS1
2/6/2015 - (H) Posted for Passage in Regular
Orders of the Day
2/5/2015 - (H) Placed in the Regular Orders of
the Day for Friday, February 6,2015
2/5/2015 - (H) SECOND READING, to Rules
2/4/2015 - (H) FIRST READING w/HCS 1, to
Regular Calendar
2/4/2015 - (H) Reported Favorably
2/4/2015 - House Agriculture and Small Business,
(Bill Scheduled for Hearing)
2/3/2015 - (H) Posting Waived
1/6/2015 - (H) Referred to Committee House
Agriculture and Small Business
1/6/2015 - Introduced (Pre-Filed)
12/11/2014 - Pre-Filed

HB100 EPAD (KAY II, J) AN ACT relating to energy project assessment
districts or EPAD.

Create new sections of KRS Chapter 65 to allow local governments to
establish energy project assessment district programs in order to
advance the efficient use of energy and water resources by allowing
for energy projects to be financed by assessments imposed on only
those properties participating in a program; define terms; establish
the basic required parameters of a program; allow local governments
to impose assessments on participating properties and provide the
terms for the collection of the assessments, including the grant of
senior tax lien status therefor; allow local governments to issue bonds
to finance a program; prohibit a local government from imposing an
assessment on property under a program except upon the request of
the owner of record; provide that no provision of this Act shall be
interpreted to expand the statutory powers of eminent domain
belonging to a local government, state agency, or private entity;
provide that a local government may only engage financing to
administer a program from certain financial institutions; declare short
title of the Act.
Current Status: 3/11/2015 - delivered to Governor
All Bill Status: 3/11/2015 - Enrolled, Signed by Speaker of the
House
3/11/2015 - Enrolled, Signed by President of the
Senate
3/11/2015 - (H) Passed 85-13
3/11/2015 - House Concurred in Senate
Committee Substitute
3/11/2015 - (H) POSTED FOR PASSAGE for
concurrence in Senate Committee Substitute
3/11/2015 - received in House w/Letter
3/11/2015 - (S) THIRD READING, passed 35-1
with Committee Substitute
3/11/2015 - (S) Posted for Passage in Consent
Orders of the Day; w/ SCS 1
3/10/2015 - (S) Passed Over and retained in the
Consent Orders of the Day
3/10/2015 - (S) Posted for Passage in Consent
Orders of the Day for Tuesday, March 10, 2015
3/9/2015 - (S) SECOND READING, to Rules
3/4/2015 - (S) FIRST READING to Consent
Calendar
3/4/2015 - (S) Reported Favorably
3/4/2015 - Senate Natural Resources and Energy,
(Bill Scheduled for Hearing)
2/12/2015 - (S) Referred to Committee Senate
Natural Resources and Energy
2/10/2015 - received in Senate
2/9/2015 - (H) THIRD READING, passed 66-32
with Committee Substitute
2/9/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1
2/6/2015 - (H) Posted for Passage in Regular
Orders of the Day for Monday, February 9, 2015
2/6/2015 - (H) SECOND READING, to Rules
2/5/2015 - (H) FIRST READING w/HCS 1, to
Regular Calendar
2/5/2015 - (H) Reported Favorably
2/5/2015 - House Tourism Development and
Energy, (Bill Scheduled for Hearing)
2/3/2015 - (H) posted in committee House
Tourism Development and Energy
1/6/2015 - (H) Referred to Committee House
Tourism Development and Energy
1/6/2015 - Introduced (Pre-Filed)
12/12/2014 - Pre-Filed

HB103 EMINENT DOMAIN (FLOYD, D) AN ACT relating to eminent domain.
Amend KRS 278.502 to exclude natural gas liquids from the definition
of oil or gas or oil and gas products as used in that statute; require
that oil or gas pipeline condemnation be for a "public use" as defined
in KRS 416.675 rather than "public service"; provide that
condemnation rights as well as procedures be governed by the
Eminent Domain Act of Kentucky; amend KRS 416.680 to include KRS
416.675 and 416.680 in the Eminent Domain Act of Kentucky.
Current Status: 1/6/2015 - (H) Referred to Committee House

Judiciary
All Bill Status: 1/6/2015 - Introduced (Pre-Filed)

12/12/2014 - Pre-Filed

HB118 HISTORIC STRUCTURE TAX CREDIT (KEENE, D) AN ACT relating
to tax credits for rehabilitation of certified historic structures.

Amend KRS 171.397 to alter the application and approval process for
the income tax credit for qualified rehabilitation expenses, to make
the credit fully refundable, and to remove the cap on annual credit
amount; amend KRS 141.0205 to recognize the change in the credit.
Current Status: 1/8/2015 - (H) Referred to Committee House

Appropriations and Revenue
All Bill Status: 1/6/2015 - Introduced

HB130 PROPERTY TAX (SHORT, J) AN ACT relating to the property tax on
unmined coal.

Amend KRS 132.820 to establish a standard value for unmined coal
reserves that have not been mined during the 10-year period
immediately preceding the assessment date, for purposes of the state
and local property tax on unmined coal, setting the standard value
thereof at zero unless information is available that warrants any
deviation; require the Department of Revenue to publish an
informational brochure explaining the basis of this tax, the valuation
procedures used, and the procedure for taxpayers to follow to appeal
assessments; amend KRS 131.190 to conform; make technical
corrections; EFFECTIVE for property assessed on and after January 1,
2015.
Current Status: 1/8/2015 - (H) Referred to Committee House

Appropriations and Revenue
All Bill Status: 1/6/2015 - Introduced

HB136 MUNICIPAL PROPERTY TAXES (SIMPSON, A) AN ACT relating to
the administration of municipal property taxes.

Amend KRS 91A.070 to establish procedures for city ad valorem taxes
not collected by the sheriff, including the due date, possible
installment payments, penalties and interest for nonpayment, and
other matters not in conflict with law; ordinance may also provide an
amnesty program for forgiveness or reduction of taxpayer penalties or
interest.
Current Status: 3/23/2015 - (S) Posted for Passage in Consent

Orders of the Day
All Bill Status: 3/11/2015 - (S) Passed Over and retained in the
Consent Orders of the Day
3/11/2015 - (S) Posted for Passage in Consent
Orders of the Day
3/10/2015 - (S) Passed Over and retained in the
Consent Orders of the Day
3/10/2015 - (S) Posted for Passage in Consent
Orders of the Day for Tuesday, March 10, 2015
3/9/2015 - (S) SECOND READING, to Rules
3/4/2015 - (S) FIRST READING to Consent
Calendar
3/4/2015 - (S) Reported Favorably
3/4/2015 - Senate State and Local Government,
(Bill Scheduled for Hearing)
2/19/2015 - (S) Referred to Committee Senate
State and Local Government
2/13/2015 - received in Senate

2/13/2015 - (H) THIRD READING, passed 95-0
2/13/2015 - (H) Posted for Passage in Regular
Orders of the Day
2/12/2015 - taken from the Consent Orders of
the Day, placed in the Regular Orders of the Day
for Friday, February 13, 2015
2/12/2015 - (H) Placed in the Regular Orders of
the Day
2/12/2015 - (H) Posted for Passage in Consent
Orders of the Day for Tuesday, February 17, 2015
2/12/2015 - (H) SECOND READING, to Rules
2/11/2015 - (H) FIRST READING to Consent
Calendar
2/11/2015 - (H) Reported Favorably
2/11/2015 - House Local Government, (Bill
Scheduled for Hearing)
2/9/2015 - (H) posted in committee House Local
Government
1/9/2015 - (H) Referred to Committee House
Local Government
1/7/2015 - Introduced

HB148 AUCTIONEERS (RIGGS, S) AN ACT relating to auctioneers.

Amend KRS 330.030 to include non-auctioneer co-owners of an
auction house who actively participate in the operation of the auction
house to the list of those who are prohibited from advertising or
acting as an auction house operator without a license issued by the
board; amend KRS 330.060 to remove the July 1, 2010, 80-hour
requirement of approved classroom instruction for apprentice
auctioneer applicants; amend KRS 330.070 to change the
apprenticeship period from two years to one year; give the board the
authority to waive the 80 hours of classroom instruction if the
applicant demonstrates sufficient previous auction experience and
competency; provide for apprentices who obtained their licenses
during the time period when there was only one test instead of two;
exempt licensees who have 25 years of continuous licensure from
completing a six-hour board-approved core course every four years;
require all apprentice auctioneers and auction house operators to
complete the core course within one year prior to the examination or
during the first year of licensure; allow licensees to carry a digital copy
of their license if they choose; require the completion of the core
course to reactivate a license that has been placed in escrow; amend
KRS 330.110 to give the board authority to levy fines of no more than
$2000 per offense; require a descriptive inventory receipt be provided
to all persons consigning personal property with any licensee for
auction; include the executive director as one who has the authority
to request auction-related information from licensees; include failure
of a principal auctioneer to provide reasonable supervision to
apprentice auctioneers as grounds for disciplinary action; amend
330.115 to provide that a licensee shall respond to a complaint
against him or her in 20 days instead of 20 working days.
Current Status: 3/11/2015 - delivered to Governor
All Bill Status: 3/11/2015 - Enrolled, Signed by President of the
Senate
3/11/2015 - Enrolled, Signed by Speaker of the
House

3/11/2015 - (S) THIRD READING, passed 36-0
3/11/2015 - (S) Posted for Passage in Consent
Orders of the Day
3/10/2015 - (S) Passed Over and retained in the
Orders of the Day
3/9/2015 - (S) Passed Over and retained in the
Consent Orders of the Day
3/9/2015 - (S) Posted for Passage in Consent
Orders of the Day for Monday, March 9, 2015
3/4/2015 - (S) SECOND READING, to Rules
3/3/2015 - (S) FIRST READING to Consent
Calendar
3/3/2015 - (S) Reported Favorably
2/26/2015 - (S) Referred to Committee Senate
Licensing, Occupations, and Administrative
Regulations
2/24/2015 - received in Senate
2/23/2015 - (H) THIRD READING, passed 98-0
with Committee Substitute
2/17/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1
2/13/2015 - (H) Posted for Passage in Regular
Orders of the Day; w/HCS 1
2/12/2015 - taken from the Consent Orders of
the Day, placed in the Regular Orders of the Day
for Friday, February 13, 2015
2/12/2015 - (H) Placed in the Regular Orders of
the Day
2/12/2015 - (H) Posted for Passage in Consent
Orders of the Day for Tuesday, February 17, 2015
2/12/2015 - (H) SECOND READING, to Rules
2/11/2015 - (H) FIRST READING w/HCS 1, to
Consent Calendar
2/11/2015 - (H) Reported Favorably
2/11/2015 - House Licensing and Occupations,
(Bill Scheduled for Hearing)
2/4/2015 - (H) posted in committee House
Licensing and Occupations
1/9/2015 - (H) Referred to Committee House
Licensing and Occupations
1/8/2015 - Introduced

HB149 REAL ESTATE LICENSEES (THOMPSON, T) AN ACT relating to the
continuing education of real estate licensees.

Amend KRS 324.085 to allow online hours as an acceptable form of
continuing education; require licensees to complete 48 hours of
classroom or online hours of commission-approved post-license