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Other states have used P3s to improve schools, water systems, bridges, state parks and more.The testimony was offered today at the Kentucky Horse Park during a meeting of the General Assembly’s Labor and Industry Committee, the Economic Development and Tourism Committee, and the Special Committee on Tourism Development.“We wanted to make sure our protocols are appropriate.” That drew a response from committee Co-Chair Rep. The Kentucky League of Cities’ plan would set an 5 million cap on state road funds distributed through a state 1948 revenue-sharing formula called the “Fifths Formula”—the formula on which distribution of county road aid and rural secondary road funding is based.Revenue-sharing dollars allocated to local governments above that cap under the proposal would be split between cities and unincorporated areas based on population and road miles, KLC officials told the Interim Joint Committee on Local Government. “We will include all that: the legislative agenda, the formula of Fifths, the way it works with the new proposal… Setting the cap at that level, he said, would hold counties “harmless,” or essentially allow them to continue receiving the funding they already enjoy.Chaney said there is no set percentage proposed—only a system that he said would hopefully, in time, be “more fair” to cities. “64.2 percent of that new money above 5 million would still go to counties and 35.8 percent would go to cities, instead of (the current) 18 percent.
Inflation, he said, “could exasperate this situation.” Rep.Division of Water Director Peter Goodmann told the Interim Joint Committee on Natural Resources and Environment yesterday that over 58,700 miles of the state’s drinking water lines are an average of 38 years old with 16 percent of those lines dating back 50 years or more.“Many systems are selling 18 – 20 percent less water than they used to,” Goodmann told the committee.Hubert Collins, D-Wittensville, said he remembers when only around 50 percent of his home county of Johnson had access to water.Today, around 95 percent of the county has water access—about the same percentage of total Kentuckians served by public water systems, said Goodmann—thanks to the availability of coal severance funding for water projects.
The road fund proposal is KLC’s top legislative priority for the 2017 session of the General Assembly, with pensions, tax options, drug abuse concerns, prevailing wage and unfunded mandates rounding out the list.