Kentucky House Bill HB109

Kentucky 2022 Regular Session

• Introduced: 1/4/22
• Refer: 1/4/22

Caption

AN ACT relating to tax credits for airport noise mitigation.

Impact

The implementation of HB 109 is anticipated to have a significant impact on state tax laws by introducing a new category of refundable credits specifically related to noise mitigation due to airport operations. The bill stipulates that the credit will cover 100% of the noise mitigation costs incurred by taxpayers, which could extend to improvements such as soundproof doors and windows. This legislative move is aimed not only at fostering improved quality of life for residents living near airports but also at promoting compliance with federal noise standards.

Summary

House Bill 109 is an act concerning tax credits aimed at mitigating the noise pollution impacts from commercial airports on residential properties in Kentucky. The bill allows for a refundable tax credit to be applied against certain tax liabilities for taxpayers who own residences within designated noise contours created by airport noise exposure maps. Specifically, the credit applies to individuals who incur qualifying noise mitigation expenses in compliance with an airport's approved noise compatibility plan, thus financially encouraging homeowners to insulate their properties against excessive noise levels.

Sentiment

The sentiment around HB 109 appears to be generally favorable among advocates of residential welfare and environmental noise reduction. Proponents argue that the bill will help alleviate distress for homeowners affected by airport noise, thus enhancing community well-being. Conversely, some skepticism may arise regarding the state’s capacity to manage the distribution and administration of the credits, along with concerns about the financial implications for the state's tax revenue.

Contention

One notable point of contention surrounding HB 109 is the allocation of state funds for the refundable tax credits, capped at a total of $3 million per year for all applicants. This raises questions about the viability of sustaining such financial support over the duration of the bill's effect, particularly given the potential for high demand. Additionally, the requirement that applicants do not receive other reimbursements also limits the scope of aid, prompting discussion about whether this might create inequities among residents based on their proximity to airports and existing mitigation resources.