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B
I
am
here
and
we
do
have
quorum
and
the
first
bill
we
are
going
to
here
is
representative
phil
pratt's
bill
house
bill.
506.
C
I'm
sorry,
mr
chairman,
members
of
the
committee,
I'm
rep
state
representative
phil
pratt
from
62nd
district
before
today.
Along
with
these
folks
present
you,
our
consideration
house
bill
506..
We
passed
this
bill
out
of
through
the
house
a
couple
weeks
ago,
top
shelf
team
went
to
work.
I
won't
come
in
top
shelf
and
went
to
work
on
this
bill.
We
actually
passed
it
a
couple
years
ago,
but
got
hung
up
and
they
worked
very
hard
at
this
point
time.
I'm
gonna,
let
my
presenters
tell
you
about
the
bill.
B
D
E
D
Thank
you,
mr
chairman,
and
members
of
the
committee.
My
name
is
charlie
vance,
I'm
the
ceo
of
current
hr,
a
professional
employer
organization
or
peo
based
in
northern
kentucky,
I'm
a
licensed
attorney
in
the
commonwealth
of
kentucky
a
sherm
certified
hr
professional,
a
member
of
the
executive
committee
for
the
national
association
of
peos
and
I've
been
in
a
leadership
position
with
a
peo
in
the
state
of
kentucky
for
nearly
12
years.
D
We're
going
to
introduce
ourselves
or
just
go
on.
Okay,
I'm
here
to
testify
in
support
of
house
bill
506,
which
will
create
a
comprehensive
registration
program
and
regulatory
framework
for
peos
passage
of
house
bill.
506
will
bring
kentucky
in
line
with
the
40
other
states
that
have
passed
some
form
of
comprehensive
legislation
addressing
the
specific
licensing,
registration
and
regulation
of
peos,
a
vast
majority
of
which
track
closely
to
the
napio.
D
An
apo
model
act
on
which
this
bill
is
based
by
way
of
background
peos
provide
comprehensive
hr
solutions
to
small
and
mid-sized
businesses
that
allow
their
clients
to
focus
on
their
core
competencies
to
maintain
and
grow
their
business.
The
typical
peo
client
is
a
small
business
with
the
average
size
of
around
20
employees.
D
D
Because
of
these
services,
small
businesses
that
use
peos
grow
faster,
have
lower
employee
turnover
and
are
less
likely
to
go
out
of
business
than
those
businesses
that
do
not
use
a
peo
house
bill.
506
would
create
uniform
po
standards,
clarity
on
some
key
legal
definitions
and
a
firm
foundation
for
the
peo
industry
to
continue
its
growth
in
the
commonwealth.
D
D
Adoption
of
these
standards
would
create
a
level
competitive
playing
field
within
the
industry.
Statutory
recognition
of
peo
responsibilities
will
enhance
the
services
that
peos
are
able
to
provide
clients
and
covered
employees
and
will
also
create
transparency
that
will
protect
small
businesses
from
ill-conceived
peo
operations,
as
such
legislation
establishes
worthwhile
consumer
protections
that
support
small
businesses
and
the
working
people
of
commonwealth.
B
F
Mr
chairman,
members
of
the
committee,
my
name
is
melissa
kelly
and
I'm
here
on
behalf
of
adp
total
source.
Thank
you
for
the
opportunity
to
be
here
and
speak
with
you
today
in
support
of
house
bill.
506
adp
total
source
is
the
nation's
largest
professional
employer
organization
or
peo.
We
partner
with
small
businesses,
providing
them
with
comprehensive
hr
services
and
top
of
the
line
benefits
in
kentucky.
Our
footprint
includes
three
offices:
two
in
louisville,
one
in
lexington,
316,
small
business
clients
and
approximately
seven
thousand
worksite
employees.
F
My
colleague
from
current
hr
has
already
discussed
what
a
peo
is.
So
I
will
limit
my
remarks
to
echoing
support
for
the
regulatory
framework
that
hb
506
would
create.
The
peo
co-employment
relationship
is
unique
because
it
involves
a
sharing
of
employer
rights
and
responsibilities
between
both
the
peo
and
the
client.
As
mentioned,
41
states
have
enacted
similar
legislation
in
those
jurisdictions.
F
The
statutory
clarity
and
transparency
that
the
framework
provides
has
proven
beneficial
to
the
peo
industry,
to
our
small
business
clients
and
to
worksite
employees
passage
of
house
bill
506
in
the
commonwealth
would
provide
those
same
benefits.
For
these
reasons,
we
respectfully
request
you
support
the
bill
thanks
and
I'd
be
happy
to
take
any
questions.
B
We
do
have
a
motion
and
a
second
center
wheeler
and
a
second,
I
think,
with.
E
G
Thank
you,
mr
chair.
My
question
is
directed
to
representative
pratt
representative
pratt.
Let
me
apologize.
I
have
I'm
not
familiar
with
your
bill.
I
have
not
had
a
chance
to
to
review
it,
yet
I've
been
reviewing
it
this
this
morning.
Are
we
talking
about
regulate,
regulating
here?
What's
commonly
referred
to
as
temp
companies
where
a
person
you
know
need
entity
needs
temporary
employees,
and
so
they
come
to
an
agency
say.
Can
you
give
me
temporary
workers
to
operate
my
company
until
I
find
someone
permanent?
C
It's
actually
temporary
services,
it's
actually
companies
that
could
be
doing
your
hiring,
but
not
so
temporary.
They
look
at
actually
they
can
do
as
much
as
little
as
she
wants.
They
could
just
do
your
hiring,
they
could
actually
train
so
it
could
be
encompassing
so,
but
no,
it's
not
temporary
agencies,
but
again,
as
far
as
what
all
they
do
could
be
a
little
bit
farther.
D
Yeah,
so
the
temp
agency
is
a
a
different
legal
definition
from
what
we're
talking
about
here.
Peo
would
typically
work
with
all
of
the
clients
or
or
all
of
the
employees
at
an
organization
or
many
a
majority
of
them,
as
opposed
to
finding
and
placing
employees
moving
them
to
another
organization
and
we're
really
there
to
help
maintain
compliance
and
provide
payroll
services.
Hr
services,
a
full
gamut
of
services,
okay,.
G
Okay,
I
mean
senator
wheeler.
Excuse
me
center
wheeler,
senator
wheeler
indicated
that
so
this
is
more
like
a
benefits
administrator
operation
where,
where
you're
you're,
overseeing
payroll
processing
benefits,
processing
those
kind
of
services
to
small
and
medium
businesses
that
right,
representative
pratt.
My
question
is
directed
to
you.
C
B
C
H
F
So
I
think
that
what
I
would
say
relative
to
why
it's
necessary
is
that
the
relationship
is
unique
and
one
of
the
things
that
charlie
mentioned
was
tax
credits
in
his
testimony
and
because
we
become
the
employer
of
record
and
payroll
is
processed.
Under
the
peos
fein
number,
we've
experienced
issues
in
a
host
of
other
states
where
unintentionally,
department
of
tax
stations
like,
for
instance,
in
ohio
back
in
2016,
there
was
a
small
business
tax
credit
that
was
put
into
place
and
a
number
of
peo
clients
claimed
that
credit.
F
Rightfully
so
and
then,
a
few
years
later,
they
were
audited
until
they
had
money
due
and
we
had
to
go
back
and
have
a
host
of
meetings
and
ultimately
pass
legislation
that
clarified
that,
just
because
you
choose
to
partner
with
a
peo,
because
you
want
help
with
regulatory
compliance,
your
payroll
benefits,
administration,
etc.
You
shouldn't
be
penalized
and
lose
eligibility
for
tax
credits,
whether
it's
for
business
size
or
any
other
sort
of
tax
credit
that
a
particular
state
may
choose
to
offer.
F
I
Thank
you,
mr
chairman,
so
I've
been
trying
to
listen
for
key
issues
and
the
only
topic
I've
heard
is
tax
credits
and
wondering
who's
responsible
and
I'm
to
me
this
is
a
matter
of
contracts
and
to
me
a
business
would
contract
out
their
hr
stuff
and
contract
law
is
pretty
clear
on
who's
responsible
for
things.
So
I
I'm
am
I
missing
something.
Why
could
not
this
be
just
a
general
contract?
Why
do
we
need
a
whole
plethora
of
state
regs
around
it.
D
Sure
I
can
take
that
so
if
you
read
the
bill,
we're
talking
about
a
co-employment
model
where
the
peo
takes
on
some
responsibilities
for
being
the
employer
and
that
allows
us
to
take
as
much
off
of
the
client's
plate
as
we
possibly
can
from
a
legal
perspective.
So
we
become
responsible
for
remitting,
payroll
and
taxes
because
we're
a
co-employer.
B
Okay,
thank
you
at
this
point.
We
do
have
a
motion.
We
do
have
a
second
seeing
no
further
questions.
I'm
secretary
police
call
the
roll.
J
Mr
chairman
cass,
I
just
wanted
to
say,
welcome
to
charlie
vance
who's
been
in
this
industry
for
quite
a
while.
E
J
Done
a
great
job
up
in
northern
kentucky
in
this
space
and
glad
to
see
you
here
and
presenting
today
and
working
on
this
issue.
Thank
you.
Thank
you.
E
I
Mr
chairman
bills
of
this
magnitude,
I
feel
like
are
a
little
hard
to
blow
through
in
a
quick
committee,
and
I
think
I'm
going
to
vote
no
right
now,
because
to
me
the
essence
of
small
business
is
the
entrepreneurial
spirit
and
not
having
regulations
we
go
out.
This
is
me
you
go
out
and
find
a
way
to
make
money.
I
These
companies
have
obviously
gone
out
and
found
a
way
to
make
money.
I
don't
think
we
need
to
put
government
regulations
around
it
to
either
protect
what
they're
doing
keep
other
people
out
of
the
market
or
to
change
what
they're
doing
that's
already
working.
I
just
don't
see
the
need
for
this
kind
of
law
to
be
added
to
the
books.
G
Mr
chair,
you
know,
I
rarely
rarely
engage
in
past
votes
that
just
runs
counter
to
my
personality,
but
but
in
this
instance
I
am
going
to
pass.
I
I
don't
have
enough
to
to
to
say
no
to
this
bill,
but
but
I've
just
been
listening
to
the
questions
and
there's
not
enough
me
to
say
yes
either.
I
mean
it's
not
really
apparent
why
these
professional
employee
organizations
need
regulation.
G
I
mean
I
just
don't
the
the
the
answers
just
didn't
satisfy
me,
and
so
for
those
reasons
you
know
I'm
going
to
pass
the
time
you
know.
Maybe
later
on
this
bill
comes
to
the
floor.
I
can
receive
more
guidance,
but
I
I
can't
say
I
can't
say
yes,
but
I
can't
say
no
either
so
I'm
going
to
pass.
J
B
I
vote
yes
as
well.
I
know
this
is
an
issue
that's
been
around
for
a
while.
I
believe
you
maybe
already
got
it
over
to
the
senate
in
the
past
sessions
and
I
think
you've
done
a
good
job
working
with
the
different
all
the
different
parties
involved
in
this
area
and
and
brought
everyone
together,
and
I
think
in
some
ways
we
are
being
proactive,
but
you
all
are
the
experts
in
this
area
and
you're
telling
us
you're
welcoming
these
regulations
in
this
framework
and
that
it's
needed.
B
So
I
think
this
is
a
good
move
for
us
to
make
today
and
your
bill
does
pass
with
a
vote
of
what
do
we
have
here.
C
Thank
you,
sir,
and
again,
these
are
very
complex
issues.
I'll
agree
that,
but
again
payroll's
also
a
very
complicated
issues
days.
It's
someone's
own
small
business,
along
with
chairman
daniels
over
there,
you
realize
you
want
to
keep
the
bad
actors
out.
You
want
to
make
sure
you
have
good
companies
that
are
actually
providing
a
service
and
all
they're
asking
is
make
sure
they
keep
the
bad
actors
out.
So
that's
why
I
call
for
it.
Thank
you
guys,
look
forward
to
seeing
pass
on
senate
floor.
E
K
Mr
chair
and
good
morning
committee
and
happy
st
patrick's
day
week
to
everybody.
Obviously
that's
a
big
holiday
in
my
household
and
you
know,
of
course
we've
turned
it
in
it's.
We
went
from
a
day
to
a
week
in
ours,
so
soon
it'll
be
a
month.
Just
if
I'm
around
long
enough,
you'll
get
to
hear
that
my
name
is
killian
timoney,
I'm
state
representative
45th
district
in
lexington,
and
I'm
going
to
let
my
two
counterparts
introduce
themselves.
E
K
You
all
for
being
here
as
we
go
into
this,
I
you
know
I
can't
stress
and
in
how
important
this
bill
is
as
a
as
a
workforce
development
bill.
It's
a
it's
a
relatively
simple
bill
in
in
its
context,
but
its
impact
is
it's
much
greater
than
the
simplicity
of
it.
K
We
during
the
pandemic,
we
faced
we're
facing
labor
shortages
across
the
board
and
I
think
that
all
industries
really
had
to
reconfigure
how
they
went
about
their
business
and
we're
still
seeing
now,
even
today,
with
tremendous
shortages
in
the
restaurant
industry-
and
you
know
my
family,
anecdotally
speaking,
you
know
we,
we
are,
I
guess,
you'd
say
one
of
those
new
families
where
we
eat
out,
probably
more
than
we
should,
and
we
still
go
into
restaurants,
where
the
seeding
capacity
is
still
50
and
it's
not
for
the
six
foot
rule
it's
because
of
the
employees.
K
J
D
Guy
that's
born
on
st
patrick's
day,
I
have
to
vote
for
killian.
A
I
Mr
chairman,
pass
is
going
to
be
the
best
I
can
get
on
this
because
I'm
I'm
a
yes
on
part
of
it
and
no
on
others,
and
so
I
I
our
sponsor,
asked
me
to
vote
pass
and
I
can
do
that.
I
would
like
to
see
this
part
about
warehousing
and
factories
and
so
forth,
separated
from
the
actual
service
in
hand,
because
I
feel
like
there's
a
difference
there
when
we're
talking
about
young,
nearly
children
versus
you
know
a
boxing
type
situation
with
our
older
people.
I
H
Explain
my
eye
vote.
Please
do
I'm
going
to
vote.
I
because
this
affects
my
family.
My
son
has
a
restaurant
couple
of
them.
My
family
had
restaurants,
and
so
this
is
something
that
I
see
happening
every
day,
but
also
I
have
a
real
great
relationship
with
my
distributors
in
my
area
and
they
are
struggling
to
get
folks
to
work
for
them
and
they
distribute
beer
and
different
things
like
that.
So
I
can
see
the
need
for
them
to
be
able
to
have
workers
and
all
of
that
too,
as
well.
So
I
definitely
vote.
B
B
L
Thank
you,
mr
chairman,
and
members
of
the
committee.
It's
honor
to
be
here
today
to
submit
senate
concurrent
resolution
71,
I'm
danny
carroll,
the
state
senator
from
the
second
district.
E
I
L
Mr
chairman
members,
the
resolution
is
pretty
cut
and
dried
over
the
the
past
several
months
we
have
been
in
contact
with
the
idaho
national
lab
dealing
with
nuclear
energy
and
looking
for
a
funding
source
to
be
able
to
do
a
feasibility
study
for
nuclear
energy
in
the
commonwealth.
You
all
know
a
few
years
back.
We
lifted
the
nuclear
moratorium
in
kentucky.
L
However,
since
that
time
there
really
hasn't
been
a
lot
of
discussion
on
nuclear
energy
due
to
the
lower
cost
of
natural
gas,
primarily
and
electricity
in
general,
and
but
during
that
time
I've
been
keeping
the
tabs
on
this
myself
and
representative
rudy
are
part
of
an
ncsl
national
work
legislator
working
group
dealing
with
nuclear
energy
and
there's
been
a
lot
of
advancement
in
technology
in
nuclear
energy
with
next
generation
reactors
right
now,
tva
is
working
towards
small
modular
reactors,
one
in
oak
ridge
tennessee,
and
I
think
they
they
plan
to
to
build
other
small
modular
reactors
in
wyoming
terrapower,
which
is
owned
by
bill
gates,
is
preparing
to
build
a
sodium
reactor
and
that's
one
of
the
next
generation
reactors
that
is
much
safer.
L
It
uses
basically
salt
as
a
coolant
rather
than
having
flowing
water
and
it's
much
safer,
and
there
are
many
different
technologies
that
are
being
worked
on
throughout
the
world
and
as
energy
prices
continue
to
increase,
we
are
going
to
be
looking
for
various
sources
and
and
the
nuclear
is
carbon
free.
As
we
move
towards
green,
we
had
a
long
discussion
yesterday
on
solar
power.
L
Solar
power
is
not
the
answer.
Is
it
a
supplement?
Yes,
but
we
need
base
load,
energy
and
nuclear
is
the
most
efficient
type
of
base
load
energy.
In
that
it
it
is
at
full
capacity
over
90
percent
of
the
time
when
those
plants
are
operating
so
our
plan
now
is.
We
do
have
some
possibilities
for
funding
that
are
coming
and
then
we'll
be
looking
for
an
entity
to
be
able
to
administer
that
funding
and
to
to
ensure
that
the
study
is
done.
L
L
We
have
always
been
able
to
provide
low-cost
energy
due
to
coal
and,
unfortunately,
as
we
move
away
from
coal,
we're
going
to
fall
behind.
If
we
don't
look
towards
the
future,
we'll
be
bringing
folks
in
to
educate
the
legislature
during
the
interim
on
the
next
gen
reactors
and
hopefully
get
some
folks
more
comfortable
with
nuclear
energy
and.
B
J
First
fall
senator
thank
you
for
bringing
this
a
lot
of
times
when
we
hear
these
words,
we
think
of
the
simpsons
and
the
nuclear
reactors
and
all
those
things
we
dealt
with
some
of
this
stuff,
even
the
local
level
and
restrictions,
but
most
of
that's
based
on
ignorance
or
misunderstanding
of
what
it
does,
and
so,
as
we
move
forward
with
this,
I
hope
that
we
also
do
with
an
educational
standpoint,
but
as
we
move
to
more
electrical
vehicles
and
we
have
to
expand
the
grid
here
locally.
J
B
I
vote
as
well.
I
want
to
thank
senator
carroll
for
just
staying
on
this.
I
know
you.
This
has
been
a
passion
of
you
and
your
predecessor.
You
moved
us
ahead
back.
I
would,
I
think
you
said,
was
it
2015
or
16.,
and
but
just
staying
on
it?
I
think
you're
right
with
low
energy
costs
natural
gas.
B
We
have
a
tendency
to
be
complacent
instead
of
looking
forward
and
trying
to
prevent
things
before
the
problems
are
here
and
as
we
had
the
discussion
yesterday,
I
think
energy
really
is
becomes
an
important
issue
for
our
security
of
our
nation
and
energy
independence
and
and
just
for
our
consumers
and
constituents
keeping
those
costs
down.
B
So
certainly
thank
you
for
bringing
this
and
we
do
have
a
question
from
senator
wheeler
about
consent.
Senator
what
do
you
think
you'd
rather
talk
about
it?
Okay,
we'll
we'll
keep
it
off
the
constant
calendar
then,
but
senate
concurrent
resolution
171
does
pass,
was
favorable
expression
and-
and
thank
you
thank.
B
M
E
M
M
Thank
you,
mr
chairman,
members
of
the
committee
senate
bill
207
is,
is
a
bill
that
I've
worked
on
for
some
time
and
it's
it
deals
with
workforce
investment
board
or
the
k-web
most
of
it.
A
lot
of
you
are
familiar
with
k-web
I've
been
on
that
board,
for
I
guess
I've
been
appointed
by
three
different
governors
to
serve
on
k-web,
so
I've
I've
seen
it
up
close
and
personal
and
and
the
k
web.
M
But
on
the
other
hand,
if
you
go
out
into
the
into
the
state
into
the
communities
and
ask
somebody
about
k-web
or
some
of
the
things
that
they
do,
it's
somewhat
of
a
well-kept
secret
and
we
need
to
do
a
better
job
of
of
getting
the
word
out
to
our
our
especially
our
ad
districts,
about
the
workforce,
investment
and
the
things
that
are
available.
M
Also
under
the
kweb
is
a
group
called
the
collaborative
and
that
collaborative
is
is
made
up
of
19
members.
The
majority
of
them
are
members
of
the
governor's
cabinet
and
the
the
collaborative
is
responsible
about
close
to
a
billion
dollars
flows
through
there
from
the
federal
government
for
workforce
initiatives
and
and
I'm
not
I'm
not
throwing
rocks
at
at
the
collaborative.
M
It's
like
a
lot
of
things.
We
do
in
state
government,
it's
it.
You
know
they're
overburdened
and-
and
this
is
just
something
that's
required-
and
basically
what
my
bill
does
it.
It
brings
some
some
instead
of
the
group,
that's
currently
on
the
board.
A
lot
of
them
would
remain
on
there.
If
you
look
at
the
bill
it,
it
goes
through
the
makeup
of
the
board,
but
basically
the
the
biggest
difference
it
makes
it
takes
the
10.
M
Ad
districts
that
we
have
and
each
ad
district
would
have
a
representative
on
the
collaborative
and
that's
kind
of
my
way,
I
guess
of
trying
to
make
sure
that
the
information
and
the
work
of
k-web
and
the
collaborative
is
disseminated
out
across
the
state,
and
there
is
a
a
disconnect
like
I
said
you
can.
You
can
go
home
and
and
ask
one
of
your
economic
development
directors
about
k-web,
kentucky,
workforce
investment
board
and
it'll.
M
You
know
I
have
no
no
grand
idea
or
hopes
that
this
bill
will
make
it
all
the
way
through
the
system.
This
time
I
just
like
to
call
attention
to
it.
I'd
love
to
see
us
have
a
a
work
committee
this
summer
to
talk
about
k-web
and
and
again,
not
pointing
fingers
and
blaming
the
current
administration
for
this.
It's
it's
been
been
like
this.
Ever
since
I've
been
on
the
kweb
board,
it's
it's
kind
of
a
rubber
stamp
and
we
need
to
do
more
with
it
and
that's.
B
G
Mr
chair,
please
I
would
like
to
explain
my
yes
vote.
Please.
E
G
Then
make
a
suggestion
to
my
good
friend
jimmy
hickton
senator
higdon.
I
like
this
bill.
I've
had
a
lot
of
contact
with
kentucky
workforce
investment
board
myself.
They
do
some
great
things.
G
You
know
senator
higdon,
we
have
in
this
body,
we
don't.
We
haven't,
talked
about
it
this
session,
but
we
have
a
a
racial
and
equity
task
force
that
that
we
passed
last
year.
Senator
gibbons
led
that
charge,
and
I
think
that
this
is
the
perfect
kind
of
bill.
I've
never
raced
this
this
whole
session.
I
think
the
perfect
kind
of
bill
where
we
ought
to.
We
talk
about
the
competition
of
the
board.
G
We
ought
to
add
something
that
this
board
should
achieve.
You
know
ethnic
and
geographic
diversity
in
this
composition,
maybe
a
new
paragraph
three
before
and
then
change
the
numbers,
but
but
but
I
would
ask
you
to
think
about
that
kind
of
modification
to
the
bill,
because
I
think
I
think
we
want
to
make
sure
that
everybody
has
a
seat
at
the
table,
all
different
ethnic
groups
and
and
geographic
groups.
You
know,
as
we
move
forward
to
to,
to
highlight
and
enhance
the
kentucky
workforce
investment
board.
B
Vote
I
as
well
thank
you
senator
higdon,
for
bringing
this,
and
I
think
part
of
our
theme.
This
session
is
making
sure
the
resources
that
we
have
currently
are
being
used
effectively,
and
so
I
appreciate
your
work
on
this
and
senate
bill.
207
does
pass
with
favorable
expression.
Would
you
like
it
on
the
consent
calendar?
Please
we
have
a
motion.
Center
mills
consent,
senator
wheeler
with
a
second
all
those
in
favor
of
adding
senate
bill
207
to
the
consent
calendar.
Please
signal
by
saying
aye
any
opposed
hearing
none.
It
will
be
on
consent.