Senator McConnell: Kentucky Benefits from Funding and Tax Relief Measures Passed by Congress
December 18, 2015
WASHINGTON, D.C. -- U.S. Senate Majority Leader Mitch McConnell announced Friday that Kentucky will benefit from the bipartisan FY 2016 omnibus appropriations and tax relief legislation. The legislation has been approved by the House and Senate and will now go the President to be signed into law.
“The Senate has wrapped up a successful year under new leadership, and we achieved some significant bipartisan accomplishments, including the measure we passed today,” Senator McConnell said. “This legislation provides funding for Kentucky-specific priorities and enacts permanent tax relief for families and small businesses. It will lead to more jobs, more opportunities, and more economic growth in Kentucky and across our nation.”
The bipartisan omnibus bill provides funding for the following Kentucky priorities:
- $200 million for cleanup at the Paducah Gaseous Diffusion Plant. This funding will allow vital cleanup work to continue at the facility and help support 1,600 jobs at the site.
- $23 million for Fort Knox schools construction. The projects will help benefit military families at Fort Knox and improve infrastructure on post.
- $12 million for Fort Campbell Special Operations facility. This project will benefit the vital special operations activities undertaken at the installation and improve infrastructure on post.
- $75 million for the new Louisville Veterans Administration Medical Center. This funding will provide additional funds for design work to advance this important project for Kentucky veterans.
- $146 million for the Appalachian Regional Commission (ARC). The independent agency supports economic and community development in the Appalachian region, including eastern Kentucky.
- $50 million in ARC funding for the POWER Plus Plan. This new program will support economic development projects in Appalachia that have been devastated by layoffs in the coal sector.
- $10 million in ARC funding for broadband development in Central Appalachia.
- $19 million for Workforce Innovation and Opportunity Act (WIOA) training for dislocated coal workers. Similar Department of Labor grants which Senator McConnell has helped secure for the Eastern Kentucky Concentrated Employment Program have funded the Hiring Our Miners Everyday (HOME) program, which has provided job training and employment services to thousands of Kentuckians.
- $632 million for Fossil Energy Research Development. This funding will specifically support Coal Carbon Capture and Storage research projects.
- $90 million for the Abandoned Mine Land (AML) pilot program. This new pilot program provides grants to be split between three Appalachian states for the purpose of reclaiming abandon mine land sites and to spur economic development in the region.
- $25.4 million for the American Printing House for the Blind (APH). This funding will support the non-profit organization in Louisville that produces educational products for visually impaired students across the country.
- $193 million for the National Guard Counter-Drug Program, which is important to the counter-drug and marijuana eradication program in eastern Kentucky.
- $180 million for the Olmsted Lock and Dam. This major waterways infrastructure project on the Ohio River will allow Kentucky coal and agricultural products—as well as other commodities shipped over our waterways superhighway—to move more efficiently to market. The project also helps support Kentucky workers in the inland waterways industry.
- Senator McConnell also secured language in the measure to protect the transportation of legally grown industrial hemp between states to help support the commercial development of this agricultural commodity.
The tax relief legislation includes the following items benefitting Kentucky:
- Permanent extension of tax credits to help Kentucky businesses and farmers purchase the equipment they need and to invest in research and development to better serve the needs of Kentuckians.
- Permanent extension of tax credits to help Kentucky’s low-income and working families.
- Permanent extension of the low-income housing tax credit, which incentivizes the renovation and construction of housing for low-income Kentuckians.
- Improvements to section 529 college savings accounts, which will better help Kentucky families save for college tuition and related expenses.
- A provision to exclude work college payments to students from taxable income, which will help Kentucky students attending work colleges pay for their education. Kentucky is home to two of the only seven work colleges in the country, Alice Lloyd College and Berea College.
- Two-year extension of the Empowerment Zones tax credits, which will help southeastern Kentucky’s Empowerment Zone – designated as such with the objective of revitalizing an economically distressed region.
- Two-year extension of the Work Opportunity Tax Credit (WOTC), which encourages employers to hire targeted groups of job seekers, including veterans and residents of Empowerments Zones, such as in southeastern Kentucky.
- One-year extension of the Internet Tax Freedom Act to prohibit taxes on Kentuckians’ access of the internet.
- Provisions to rein in the Internal Revenue Service’s (IRS) attempts to unfairly target social welfare organizations based on their political beliefs and First Amendment rights.
- Elimination of residency requirements for tax-preferred “ABLE” savings accounts for disabled individuals, which will help improve the accessibility of these accounts to Kentucky families.