House members expecting
action: Democrats say bill on energy plant incentives now more likely to
pass
Jul 16, 2007 - Knight Ridder Tribune Business
News
Author(s): Owen Covington
Jul. 16--A week ago, Gov. Ernie Fletcher announced a three-week break
for the special legislative session that had convened just days before
and broke down when the House of Representatives adjourned and left
Frankfort.
Since Fletcher's announcement of a "cooling off" period, area House
members say they have learned more about a proposed
alternative-energy-plant incentives package and are optimistic about
passing legislation when the General Assembly reconvenes July 30
"I think things have changed since we were there the first go round,"
said Rep. Brent Yonts, a Greenville Democrat. "I think we have to now
respond to that change of circumstances." Less than two hours after
gaveling in to start the special session, the House voted 56 to 34 in
support of final adjournment, with House Democratic leaders claiming the
session was unnecessary, lacked the needed preparation and was wasting
taxpayer mone . In the House's absence, the Senate conducted committee
hearings and passed legislation July 9, including the incentives bill
and four other bills containing the entire 67-item agenda on Fletcher's
special session call.
Rep. Jim Glenn said he is prepared to return to work in Frankfort but
believes the House needs more information about Senate Bill 1, which
would provide tax-based incentives to locate a coal-to-natural-gas
conversion plant in Kentucky. Peabody Energy Corp. officials have said
the company will decide within 90 days where to locate such a plant,
which would bring an investment of at least $2 billion, and that an
incentives package will factor in to whether that plant will be in
Kentucky Indiana or Illinois. Peabody has said it is considering a host
of sites in western Kentucky, including sites near its coal reserves in
Muhlenberg, Union and Henderson counties.
"I am ready to come back any time leadership asks us to come back,"
said Glenn, an Owensboro Democrat. "(But) the only thing we have is
broad sweeps of information and guessing at what we actually need." Rep.
Jim Gooch, a Providence Democrat and the only Democratic House member to
vote against that chamber's adjournment, said the energy legislation is
not something that can be put off until next year. The governor could
have shown more leadership on a similar energy bill, House Bill 5,
during the legislature's regular session earlier this year, Gooch said,
but the issue definitely has urgency now.
Testimony by a Peabody official July 6 about the timeline for its
site decision and the need for incentives helped make the case for
action this summer, Gooch said. "I think that makes the argument that
this can wait until January not valid," Gooch said. "If Peabody
announces in September or October that they're going to Illinois, I
don't see how anybody can but blame the Democrats for not getting it
done." House Speaker Jody Richards released a letter Thursday saying he
had been in contact with Peabody, and that CEO Gregory Boyce is willing
to meet with Richard, Senate President David Williams and Fletcher in
St.
Louis to talk about a coal-to-natural gas lant. Richards has said a
commitment to Kentucky is needed from Peabody before any additional
incentives package is passed by the legislature, an idea both Fletcher
and Williams have disputed. Rep. Tommy Thompson, a Philpot Democrat,
said he believes such a meeting will help the legislature better
understand Peabody's needs and better craft an incentives package that
will benefit Peabody and the state. "I think the meeting would be more
productive than anything," Thompson said. "I applaud the speaker for
trying to convene that." Fletcher spokeswoman Jodi Whitaker said Friday
the administration was still working to confirm Richards' request.
Whitaker added that Peabody officials have already offered evidence
that an incentives package is needed to locate in Kentucky and said Ken
ucky would be a preferred site for the plant. "We've already received a
significant commitment from them," Whitaker said. Williams responded to
Richards by letter Thursday, saying that he did not understand the need
for the trip to Peabody headquarters. "Only your use of leadership to
summon your members back to Frankfort to act on this bill (Senate Bill
1) ... will make you and the House relevant in accomplishing the
important goal of developing Kentucky's coal assets and creating
thousands of jobs," illiams said in the letter.
The night Fletcher announced the three-week break, the Republican
Party of Kentucky made more than 150,000 automated calls to constituents
of House Democrats around the state criticizing the House's adjournment.
Yonts, who did not cast a vote on whether the House should adjourn, said
he has heard from constituents that received calls about the House's
actions, but he believes the tactic backfired. "This added fuel to the
flame," Yonts said. "At this point, I think the House and Senate
leadership and the governor should be the ones talking. Partisanship
does not have a place." Steve Robertson, chairman of the Republican
Party of Kentucky, stood behind the calls, which he said were tailored
to a legislator's specific district.
For instance, calls in Owensboro regarding Glenn mentioned that the
restoration of the $14.1 million advanced technology center expansion at
Owensboro Technical & Community College has been included in the special
session call. "I think it's important that constituents know that their
elected leaders aren't doing what they're elected to do," Robertson
said. Robertson criticized the argument by House leaders that the
session is wasting money at a cost of $60,000 a day when approval of
previously vetoed capital projects this summer could mean a savings of
more than $20 million in inflationary construction co ts.
Jennifer Moore, vice chairwoman of the Democratic Party of Kentucky,
said the calls, which were being made about the time Fletcher was
calling for a "cooling off" period, were vindictive. "It shouldn't be a
political, partisan issue," Moore said of the session.
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