♪ ♪ ♪ ♪ >> Renee: GOOD EVENING, WELCOME TO "KENTUCKY TONIGHT."

I'M RENEE SHAW.

THANK YOU VERY MUCH FOR JOINING US THIS EVENING.

OUR TOPIC TONIGHT, THE ECONOMY, JOBS AND BUSINESS ISSUES.

STATE LAWMAKERS HAVE A LOT ON THEIR PLATES IN THE REMAINING 17 DAYS OF THIS YEAR'S LEGISLATIVE SESSION.

HAVING ALREADY ACCOMPLISHED A STATE INCOME TAX CUT FOR NEXT YEAR, THERE ARE OTHER POLICY MATTERS OVER HOUSING, JOB AND WORKFORCE DEVELOPMENT THAT REMAIN ON THEIR TO-DO LIST.

TONIGHT, WE'LL DISCUSS THOSE ISSUES AND WHAT CONCERNS KENTUCKY FAMILIES.

WE HAVE FOUR GUESTS IN OUR LEXINGTON STUDIO: ANDI JOHNSON, CHIEF POLICY OFFICER FOR COMMERCE LEXINGTON; TERRY BROOKS, EXECUTIVE DIRECTOR OF THE KENTUCKY YOUTH ADVOCATES; ANDREW MCNEILL, PRESIDENT OF THE KENTUCKY FORUM FOR RIGHTS, ECONOMICS & EDUCATION, ALSO KNOWN AS KY-FREE; AND JASON BAILEY, EXECUTIVE DIRECTOR OF THE KENTUCKY CENTER FOR ECONOMIC POLICY.

WE WANT TO HEAR FROM YOU.

YOU CAN SEND YOUR QUESTIONS AND COMMENTS BY X — FORMERLY TWITTER -- AT PUB AFFAIRS KET.

SEND AN EMAIL TO KY TONIGHT AT KET.ORG.

OR USE THE WEB FORM AT KET.ORG/KYTONIGHT.

OR YOU CAN CALL 1-800-494-7605.

WELCOME TO ALL OUR GUESTS.

MOST OF YOU ARE FREQUENT FLYERS ON THE PROGRAM BUT WE HAVE A NEW ONE WITH US THIS EVENING, ANDI, THANK YOU VERY MUCH FOR BEING HERE WITH US.

BEFORE WE REALLY TALK ABOUT A LOT OF THE ISSUES THAT I JUST INTROED, WE DO WANT TO ACKNOWLEDGE THE FLOODING THAT IS HAPPENING ALL ACROSS THE STATE.

IF YOU WATCH KENTUCKY EDITION AT 6:30, HERE ON KET, YOU LEARNED THAT EVERY COUNTY IS EXPERIENCING FLOODING AND WE KNOW THAT OUR BROTHERS AND SISTERSES IN THE EASTERN PART OF THE STATE HAVE BEARS THE BRUNT OF IT YET AGAIN AND SO WE ARE GOING TO BE COVERING THAT ALL WEEK LONG AND KEEPING YOU POSTED ON WHAT'S HAPPENING IN THAT REGION AND OTHER PARTS OF THE STATE THAT ARE WIDELY AFFECTED.

AND TONIGHT WE DO WANT TO ACKNOWLEDGE WHAT OUR NEIGHBORS ARE GOING THROUGH AND TO ASK THE QUESTION TO OUR PANEL.

IT'S NOT UNPRECEDENTED FOR THE LAWMAKERS TO TAKE THIS UP.

JASON BAILEY, THEY DID SO WITH THE WESTERN KENTUCKY TORNADOES, WITH THE EASTERN KENTUCKY FLOODS IN 21 AND 22 RESPECTIVELY.

SENATE PRESIDENT ROBERT STIVERS ISSUED A STATEMENT TODAY SAYING STATE LAWMAKERS ARE READY TO HELP WHERE THEY CAN.

AND WHAT DO YOU TAKE AWAY FROM THAT STATEMENT AND COULD WE ACTUALLY SEE THE BUDGET OPEN UP IN THIS NON-BUDGET YEAR TO PERHAPS MAKE AN APPROPRIATION TO HELP THESE FLOOD RIDDEN AREAS?

>> WELL, AS THE WATER RECEDES, IT SEEMS LIKE THERE IS A LOT OF DAMAGE THAT JUST LIKE WITH THE FLOODS IN '22 AND THE FLOODS AND TORNADOES BEFORE THAT, WE KNOW THAT THE FEMA MONEY, IT IS GOOD THAT THE PRESIDENT HAS APPROVED-- THE GOVERNOR ASKED FOR AND THE PRESIDENT APPROVED THE RELEASE OF FEMA FUNDS, IT TAKES A WHILE FOR THAT TO GET HERE AND IT'S NOT ENOUGH TO COVER THE DAMAGE THAT RESULTS SO THE LEGISLATURE HAS HAD TO STEP UP THE LAST COUPLE OF TIMES.

THIS IS THE 25th DECLARED NATURAL DISASTER IN KENTUCKY THE IN THE LAST DECADE.

THESE ARE JUST A WAY OF LIFE FOR US NOW, UNFORTUNATELY.

I WOULDN'T BE SURPRISED IF THERE ARE NEEDS THAT THE LEGISLATURE WILL NEED TO PROVIDE FUNDING FOR.

THERE IS MONEY UP THERE NOW IN TERMS OF THE BUDGET RESERVE TRUST FUND AND OTHER RESERVES THAT THEY COULD DO THAT.

SO I'M SURE IT WILL BE SOMETHING THAT THEY WILL LOOK CLOSELY AT IN THESE FINAL WEEKS.

>> Renee: ANDREW, YOU THINK THIS IS THE KIND OF THING THAT HE WOULD OPEN THE BUDGET UP FOR IF ANYTHING?

HOW DO YOU SEE IT?

>> ABSOLUTELY.

WHEN YOU SEE THE IMAGES COMING OUT OF THE COMMUNITIES, IT IS TRAGIC WHAT HAS BEEN HAPPENING, ESPECIALLY THE COMMUNITIES THAT HAVE BEEN HIT TWICE IN THE LAST SEVERAL YEARS.

TO YOUR POINT, I THINK IT'S IMPORTANT TO POINT OUT THAT IF THIS WOULD HAVE HAPPENED 10 YEARS AGO, THE STATE OF KENTUCKY WOULD NOT HAVE BEEN IN A INFORMATION TO RESPOND IN THE WAY THAT WE ARE POSITIONED TO NOW WITH THE RESERVES THAT WE HAVE.

THE BUDGET RESERVE TRUST FUND OFTEN REFERRED TO AS THE RAINY DAY FUND SERVES MULTIPLE PURPOSES BUT ONE OF THE PRIMARY PURPOSES BEING ABLE TO HAVE THE RESOURCES A VEILABLE-- AVAILABLE WHEN THE NEEDS ARISE THAT WE CAN'T FORESEE AND WHAT WE HAVE SEEN IN THE PAST IS WHETHER IT'S WHEN THE GENERAL ASSEMBLY IS IN SESSION OR IF IT REQUIRES A SPECIAL SESSION.

HAVING THE RESOURCES IN PLACE MAKES IT MORE OF A QUESTION OF HOW DO WE STRUCTURE A PACKAGE APPROPRIATELY AND RESPONSIBLY, BUT WE DO WANT TO BE RESPONSIVE.

AND I CERTAIN CERTAINLY THINK THAT MAKING IT A PRIORITY WE WILL SEE IN THE NEXT COUPLE OF DAYS AND WEEKS IS SOMETHING THAT WILL BE IMPORTANT.

>> Renee: THE WHOLE REASON YOU HAVE A BUDGET RESERVE TRUST FUND, RIGHT?

THAT IS AS HEALTHY AS IT IS BECAUSE I KNOW MAYBE THIS SIDE OF THE TABLE THINKS IT'S MORE ROBUST THAN IT NEEDS TO BE.

Dr. BROOKS, YOUR THOUGHTS.

>> WELL, YOU KNOW, RENEE, EVERY TIME YOU HAVE A SHOW ABOUT THE BUDGET, WHETHER IT'S WITH LEGISLATIVE LEADERS OR ADVOCATES, SOMEBODY SAYS THAT A BUDGET IS NOT ABOUT DOLLARS AND CENTS BUT ABOUT VALUES.

AS YOU SAID IN YOUR OPENING SO ELOQUENTLY, WHEN WE THINK ABOUT WHAT OUR BROTHERS AND SISTERS ARE GOING THROUGH IN CERTAIN PARTS OF THE STATE, THERE CANNOT BE A MORE KENTUCKY-ORIENTED VALUE THAN TAKING CARE OF THEM.

I THINK IT'S PROBABLY PRESUMPTUOUS FOR ANY OF US TO SAY WHETHER THE GENERAL ASSEMBLY SHOULD OR WILL DO THAT.

I CERTAINLY WOULD UNDERSTAND THAT RATIONALE.

I ALSO THINK THAT WE NEED TO RECOGNIZE THE EFFORTS OF SEVERAL LEGISLATIVE LEADERS IN MY ORBIT, I THINK PRESIDENT STIVERS IS WHO IS GENERATING IT.

BUT I'M SEEING A REMARKABLE LEVEL OF IMAGINATION, CREATIVITY , AND COLLABORATION WITH NON-PROFIT PARTNERS COMING OUT OF EASTERN KENTUCKY.

WE'VE GOTTEN OUT REACHES ABOUT THIS GROUP AND THAT GROUP AND THIS GROUP ARE WORKING TOGETHER.

SO OPENING THE BUDGET MAY, IN FACT, BE A VERY IMPORTANT AND IMPERATIVE STEP FORWARD.

I ALSO JUST WANT TO REACH OUT AND SALUTE THOSE FOLKS ON THE GROUND WHO ARE ALREADY HARD AT IT MAKING A DIFFERENCE FOR THOSE KENTUCKIANS AFFECTED.

>> Renee: AND WE KNOW THAT SOME OF THE STATE LEGISLATORS WHO ARE IN THE DISTRICTS ARE THERE ON THE GROUND STILL AND REMAIN THERE IN THE COMING DAYS.

>> ABSOLUTE ABSOLUTELY.

>> Renee: WHEN YOU THINK ABOUT THE BUSINESS COMMUNITY, WE SHOWED SOME PHENOMENAL AND I SAY THAT IN TERMS OF JUST HOW YOU GOT TO VIEW THE DAMAGE AND HOW WIDESPREAD IT WAS, PARTICULARLY YOUNG INDIVIDUAL VIDEOGRAPHER BEN CHILDERS WHO WE ASKED AND GOT PERMISSION TO SEE THE AERIAL PHOTOS AND YOU SAW J.C. PENNEY ALL THE WAY UP TO THE ROOF LINE AND MOBILE HOME PARKS OVERCOME WITH WATER.

YOU THINK ABOUT THE IMPACT ON HOMES AND BUSINESSES, I MEAN WHAT SHOULD BE THE BUSINESS COMMUNITY'S RESPONSE DURING TIMES LIKE THESE?

>> WELL, I THINK WHEN WE ARE THINKING ABOUT WE ARE STILL ADDRESSING WHAT THE ULTIMATE DAMAGE IS GOING TO BE TO THE BUSINESS COMMUNITIES AND THE REGIONS THROUGHOUT KENTUCKY, WHAT THE IMPACT IS GOING TO BE TO THE WORKFORCE.

WHAT THE IMPACT IS GOING TO BE TO THE HOUSING IN THOSE COMMUNITIES.

AND I THINK IT'S SOMETHING THAT WE WANT TO LOOK AT WHAT THOSE INVESTMENTS LOOK LIKE.

AND I THINK UP UNTIL THIS POINT, THE GENERAL ASSEMBLY HAS BEEN CAUTIOUS WITH THIS BUDGET SESSION ABOUT OPENING UP THE BUDGET, PARTICULARLY WE HAVE BEEN TALKING ABOUT HOUSING AFFORDABILITY AS A PRIORITY ISSUE THIS SESSION.

AND IN TALKING ABOUT DIFFERENT SOLUTIONS THERE, I THINK THERE IS JUST UNCERTAINTY ABOUT WHAT THAT DOLLAR FIGURE WOULD BE, BUT WE WANT TO MAKE SURE THAT WE ARE PROVIDING THOSE SUPPORTS TO GET OUR BUSINESSES BACK TO GET PEOPLE BACK TO WORK AND TOE TO MAKE SURE THAT PEOPLE HAVE PLACES TO LIVE.

AND IT REALLY IS A TRAGIC SITUATION.

I WAS TRAVELING IN SOUTH CENTRAL KENTUCKY THIS WEEKEND VISITING FAMILY AND I HAD NOT SEEN WATER THAT HIGH OR ROADS COVERED REALLY IN MY LIFETIME.

SO I THINK IT'S SOMETHING WE ARE GOING TO CONTINUE TO SEE WHAT THE DAMAGE IS.

BUT I THINK WE ARE ALL READY TO HELP SUPPORT THE REGIONS OF THE STATE AND TO GET THEM BACK AS WE HAVE DONE IN THE PAST WITH THE DIFFERENT EMERGENCIES WE HAVE HAD HERE.

>> Renee: WE HAVE A CREW FROM BREATH WHY IT COUNTY AND A FAMILY HAD BEEN THROUGH THIS THREE TIMES.

IN JUST SEVERAL MONTHS.

IT SEEMS LIKE YESTERDAY THEY WERE STILL RECOVERING FROM THE EASTERN KENTUCKY FLOODS AND ABLE TO REBUILD AND THEY FIND THEMSELVES WITHOUT A HOME AGAIN.

AND SO, BUT THEY SAID THEY'RE STRONG AND SO ALL OF THOSE COUNTIES, CERTAINLY, YOU ARE IN OUR THOUGHTS AND PRAYERS AND WE KNOW THAT YOU WILL OVERCOME.

SO LET'S TALK A LITTLE BIT ABOUT HOUSING.

LETTERS START-- LET'S START THERE BECAUSE WE KNOW THAT IS A MAJOR ISSUE OVER THE SUMMER.

THERE HAS BEEN A TASK FORCE IN THE LEGISLATURE TO DEAL WITH THIS ISSUE.

WHEN WE LEARNED LAST SUMMER THERE WERE MORE THAN 209,000 HOMES AND RENTAL UNITS THAT KENTUCKY IS SHORT OF.

AND SO WE EXPECT THERE TO BE SOME SOLUTIONS, MISS JOHNSON, THIS SESSION ABOUT THAT.

AND WE ARE HEARING A LITTLE BIT ABOUT THAT ON THE SNREAT FLOOR THIS FRIDAY.

SENATOR JARED CARPENTER BROUGHT THIS UP DURING AN UNRELATED DEBATE.

WHAT ARE YOU HEARING ABOUT WHERE LAWMAKERS ARE AT THIS POINT OF BELIEVING HOW BAD THE CRISIS IS AND WHAT STEPS THEY NEED TO TAKE TO HELP RECTIFY IT?

>> HOUSING AFFORDABILITY AND AVAILABILITY HAS BEEN THE TOP ISSUE OF CONCERN FOR THE BUSINESS COMMUNITY IN LEXINGTON AND IN OUR NINE COUNTY REGION.

WHEN WE TALK ABOUT WORKFORCE ATTRACTION, WE, HOUSING IS NUMBER ONE FROM EMPLOYERS AND FROM WORKERS.

YOU KNOW, IN THE KENTUCKY HOUSING CORPORATION RECENTLY RELEASED THEIR GAP ANALYSIS AND STATE AS A WHOLE, 200,000 UNITS CURRENTLY NEEDED TO MEET OUR WORKFORCE NEEDS.

IN LEXINGTON AND THE NINE-COUNTY REGION, LEXINGTON ITSELF THERE ARE 22,000 UNITS.

IN OUR NINE-COUNTY REGION THAT WE SERVE FOR ECONOMIC DEVELOPMENT PURPOSES, IT'S NEARLY 40,000.

SO IT IS TOP OF MIND.

WE HAVE SEEN MEDIAN HOME PRICES INCREASE FASTER THAN WAGES HERE IN FAYETTE COUNTY, 100% INCREASE IN THE LAST 10 YEARS.

WHEREAS OUR WAGES HAVE ONLY INCREASED 30%.

INVENTORIES ARE LOW.

PRICES ARE HIGHER, IT IS A NATIONAL PROBLEM.

BUT WE ARE REALLY LOOKING AT WHAT ARE THOSE LOCAL SOLUTIONS, WHAT ARE SOLUTIONS AT THE STATE LEVEL, THAT CAN HELP ADDRESS THE CHALLENGE AND REALLY ACCELERATE MEETING THOSE GAP NEEDS.

HERE IN LEXINGTON, WE HAVE WORKED OVER THE LAST YEAR JUST RECOGNIZING THE UNIQUE CHALLENGES OF THIS COMMUNITY WITH OUR AFFORDABLE HOUSING DEVELOPERS.

WE PULLED COMMERCE LEXINGTON TOGETHER FIVE LOCAL AFFORDABLE HOUSING DEVELOPERS.

OUR BANKS FROM THE BANKING COMMUNITY, TO SAY WHAT CAN WE DO?

WHAT DO WE NEED TO DO TO ADDRESS THE UNIQUE CONDITIONALS IN LEXINGTON, THE LACK OF LAND, THE COST OF LAND, THE REGULATORY ENVIRONMENT, ACCESS TO CAPITAL.

THESE WERE ALL BARRIERS IDENTIFIED BY OUR DEVELOPMENT COMMUNITY.

AND SO WE CAME TOGETHER AND THE BANKS HAVE DONE SOMETHING THAT IS PRETTY TRANSFORMATIONAL IN OUR OPINION THAT WE HOPE BECOMES A STATE AND NATIONAL MODEL.

THEY HAVE PUT UP NEARLY $300 MILLION IN CAPITAL TO HELP PURCHASE LAND FOR AFFORDABLE HOUSING DEVELOPMENTS AND TO WORK ALNG SIDE OUR LOCAL AFFORDABLE HOUSING DEVELOPERS TO GET SITES READY, SINGLE-FAMILY HOMES, RENTAL UNITS TO TRY TO MEET THE DEMAND.

THE FIRST PILOT PROJECT IS ON A SITE, A 12.5-ACRE SITE IN FAYETTE COUNTY.

FORMERLY THE TRANSLYVANIA UNIVERSITY BASEBALL FIELD.

SO HAVING OUR HIGHER EDUCATION PARTNERS AT THE TABLE RECOGNIZING THE NEED FOR MORE WORKFORCE HOUSING, MADE THIS PARTNERSHIP REALLY UNIQUE.

WE HAD OUR CITY OFFICIALS, MAYOR GORTON AND HER HOUSING OFFICIALS AT THE TABLE, SENATOR BLEDSOE ALONG WITH SENATE AND HOUSE LEADERSHIP MADE THIS PROJECT A PRIORITY AND INVESTED $10 MILLION TO GET INFRASTRUCTURE READY TO GO ON THE SITE TO HELP ACCELERATE THAT, TO SHOW THAT THIS TYPE OF PARTNERSHIP AND COLLABORATION COULD WORK.

SO WE ARE TRYING TO LOOK AT IT BOTH LOCALLY, WHAT CAN WE DO TO BE PART OF THIS SOLUTION FROM THE BUSINESS COMMUNITY PERSPECTIVE?

BUT ALSO TALKING WITH LEGISLATORS IN FRANKFORT ABOUT WHAT IS THE ROLE OF THE STATE ABOUT HELPING WITH THESE HOUSING CHALLENGES?

SAND SO I THINK WE ARE LOOKING AT IT FROM AFFORDABLE HOUSING, ANYTHING THAT IS 80% OR BELOW OF AREA MEDIAN INCOME TO THE MISSING MIDDLE, WHICH IS THE WORKFORCE HOUSING ANGLE, 80% TO 120 OF A.M.I.

WHAT CAN WE DO IN THAT SPACE TO GET MORE HOUSING ONLINE BUT REALLY LOOK AGO CROSS THE SPECTRUM TO MEET OUR NEEDS BECAUSE THERE ARE GAPS ALL ACROSS THE HOUSING SPECTRUM AND ALL ACROSS KENTUCKY.

>> Renee: Dr. BROOKS, WHEN YOU HEAR THE CONVERSATION ABOUT HOW THE BUSINESS COMMUNITY MAY BE RESPONDING, WHERE DO YOU STAND IN TERMS OF ADVOCATING FOR THE VULNERABLE-- >> THE ISSUE OF HOUSING IS THE CORE TO THE WELL-BEING OF CHILDREN.

YOU DO A LOT OF CONVERSATIONS AROUND ADVERSE CHILDHOOD EXPERIENCES.

IT'S NOT JUST HOMELESSNESS, BUT HOUSING INSTABILITY IS A REAL ADVERSITY TO KIDS ONE OF THE THINGS ABOUT THIS SESSION THAT YOU AND I HAVE TALKED ABOUT-- I'M KIND OF STUNNED OVER 80% OF OUR PRIORITY BILLS HAVE BEEN FILED AND I THINK THEY'RE ON THE WAY TO PASSAGE.

WE HAVE THREE DISTINCT AREAS OF EMPHASIS IN HOUSING THAT WE FEEL REALLY GOOD IN TERMS OF THEIR PROSPECTS.

THE FIRST IS H.B.H 535 CO-SPONSORED BY REPRESENTATIVE DEETS AND ROAPT WHITTEN.

I SHOULD HAVE KNOWN THIS AND I DIDN'T.

BUT WE STARTED HEARING FROM OUR CHILD WELFARE PARTNERS THAT YOUNG PEOPLE AGING OUT OF CARE WOULD GO IN FOR A JOB INTERVIEW AND THE EMPLOYER WOULD SAY, YOU CAN'T-- WE CAN'T GIVE YOU A JOB BECAUSE YOU HAVE A CRIMINAL RECORD.

AND THE KID WAS LIKE WHAT ARE YOU TALKING ABOUT?

I'M CLEAN.

AND THEY PULL UP AND THAT CHILD WAS NAMED ON AN EVICTION WHETHER THEY WERE FIVE YEARS OLD.

SO CURRENTLY, ANYONE IN THE HOUSEHOLD, INCLUDING A FIVE-YEAR-OLD IS NAMED IN CRIMINAL CHARGES ON EVICTION.

I DON'T THINK ANYONE, RURAL, URBAN, DEMOCRAT, REPUBLICAN, THINK THAT MAKES ANY SENSE.

SO THIS BILL WOULD PRECLUDE MINORS FROM BEING NAMED IN EVICTION PROCEEDINGS.

SENATOR CHAMBERS ARMSTRONG IS PUSHING A FASCINATING BILL THAT COULDN'T COME AT AA BETTER TIME, SENATE BILL 138.

MUCH OF KENTUCKY DOES THIS WITH UTILITIES COMPANIES IN EXTREME WEATHER CONDITIONS OR NATURAL DISASTERS, YOU CANNOT EVICT SOMEONE.

THAT IS NOT TRUE EVERYWHERE IN KENTUCKY.

SO HER BILL WOULD SAY THAT NOWHERE IN KENTUCKY CAN YOU BE PUT OUT OF YOUR RESIDENCE IN EXTREME WEATHER CONDITIONS, WHETHER THAT'S A NATURAL DISASTER, SEVERE HEAT, SEVERE COLD.

AGAIN, WE FEEL LIKE THAT HAS GOOD BIPARTISAN SUPPORT AND IS MOVING.

FINALLY,WE HAD A MEETING WITH FAITH LEADERS THIS FALL AND I HEARD THIS IDEA PERCOLATING AS A NOTION, WILL AND WELL SUDDENLY IT'S MOVING THROUGH SENATE BILL 59.

IT WOULD ALLOW RELIGIOUS ORGANIZATIONS TO PROVIDE AFFORDABLE HOUSING ON THE LAND THAT THEY OWN, WHETHER THAT'S RESIDENTIAL OR RENTAL.

WHAT I HEARD FROM THOSE FAITH LEADERS WHO REPRESENTED A BROAD, BROAD SECTOR OF FADES FAITH TRADITIONS IN KENTUCKY, THEY SAW THIS AS A WAY TO BEAR WITNESS TO THEIR FAITH, PROVIDING BASIC NEEDS TO VULNERABLE KENTUCKIANS.

SO WHAT ANIMATES ME IS, I ASSUME THAT NEXT YEAR WITH THE BUDGET SESSION, WE HOPE WE GET A BIG SWING IN TERMS OF SOME OF THE SUPPORT FOR HOUSING.

WHAT ANIMATES ME ABOUT THOSE THREE BILLS, ALONG WITH THE POTENTIAL FOR SUCCESS THIS SESSION, NONE OF THOSE HAVE ANYTHING TO DO WITH THE BUDGET.

THEY HAVE TO TO DO WITH COMMONSENSE SOLUTIONS AND KIDS WILL BENEFIT WHEN THOSE THREE BILL HAPPENS.

>> Renee: Mr. McNEIL, HOW DO YOU SEE IT?

>> WHEN I HEAR TERRY SPEAKING ABOUT THE FACT THAT WE HAVE FIVE YEAR OLDS THAT ARE DEALING WITH HAVING A MAJOR STRIKE AGAINST THEM BECAUSE THEY'RE IN A HOUSEHOLD THAT WENT THROUGH AN EVICTION AT A VERY YOUNG AGE, YOU KNOW, YOU KIND OF PUT A SOLUTION TO THAT INTO THE BUCKET OF THIS IS A NO BRAINER, RIGHT?

AND CERTAINLY WOULD BE SUPPORTIVE OF SEEING THE GENERAL ASSEMBLY TAKE THAT ISSUE VERY SERIOUSLY AND HOPEFULLY SEE SOME PROGRESS WITH IT.

ALSO WITH, ALONG THESE LINES ARE OR DEALING WITH HOUSING INSTABILITY, KENTUCKY FREE IS WORKING ON SENATE BILL 118 AND HOUSE BILL 291, WHICH IS FOCUSED ON CARE TAKER DIVERSION.

SO THAT IF YOU HAVE PARENTS WHO ARE GUARDIANS OR OTHER CARETAKERS THAT ARE CHARGED WITH AND CONVICTED WITH NON-VIOLENT CRIMES, NON-SEXUALLY ASSAULT RELATED OFFENSES, THAT WE FOCUS ON PROVEN STRATEGIES FOR KEEPING THOSE FAMILIES TOGETHER, KEEPING THAT CARE TAKER WITH THEIR CHILD OR CHILDREN, BECAUSE WHAT WE ARE DOING NOW, TOO OFTEN, IS INCARCERATING THESE SINGLE PARENTS, THESE CARETAKERS, SHOULDERING THE COST OF HAVING THIS ADULT INCARCERATED WHEN REALLY IF WE WERE TO FOCUS VARIOUS OTHER DIVERGENT STRATEGIES, WE COULD HAVE THEM HELD ACCOUNTABLE FOR THE MISTAKE THEY MADE, THE CRIME THEY COMMITTED BUT KEEPING THAT FAMILY IN TACT BECAUSE YOU REMOVE THE PARENT OR CARE TAKER FROM THE HOUSEHOLD, WHAT HAPPENS WITH THE CHILDREN?

THEY'RE EITHER GOING TO HAVE TO GO TO VARIOUS FAMILY MEMBERS WHICH THERE IS GOING TO BE SOME UPHEAVAL RELATED TO THAT OR THEY GO INTO FOSTER CARE.

AND SO THESE TYPES OF SOLUTIONS THAT DON'T SOUND LIKE GAME CHANGERS, BUT THEY'RE GAME CHANGERS FOR THESE FAMILIES, GAME CHANGERS FOR THERE'S PARENTS AND CHILDREN AND IF WE DO ENOUGH OF THESE SMALLER STEPS, WE CAN MAKE REAL IMPACTS NOT ONLY IN THE AGGREGATE BUT IN THE LIVES OF KENTUCKIANS.

>> A LOUD AMEN TO THAT PROPOSAL.

>> Renee: LAST WEEK, SENATOR JULIE ROCKY ADAMS TALKED ABOUT THAT BILL.

I THINK SO FAR YOU LIKE WHAT YOU ARE HEARING WHAT WOULD YOU ADD?

>> THESE ARE GOOD POSITIVE STEPS.

I THINK THE CHALLENGE IS WHEN YOU TALK ABOUT 209,000 UNITS, YOU DO HAVE TO FIGURE OUT HOW TO RAMP UP TO BIGGER SOLUTIONS DOWN THE ROAD.

AND ONE OF THE KEY THINGS THAT YOU SEE IN OTHER PLACES THAT HAVE HAD SOME SUCCESS IN FILLING THE GAP FOR AFFORDABLE HOUSING IS TO HAVE THE PUBLIC FUNDING AVAILABLE IN A PUBLIC HOUSING TRUST FUND TO PROVIDE HOUSING FOR PEOPLE WHO CAN'T AFFORD IT AND FINANCE IT FOR PEOPLE WHO CAN BECAUSE THE MARKET IS NOT PROVIDING ENOUGH.

IT'S NOT PROVIDING THE SUPPLY THAT IS NEEDED.

SO ULTIMATELY WE ARE GOING HAVE TO PUT MONEY IN THE AFFORDABLE HOUSING TRUST FUND.

THE LEGISLATURE TOOK A GOOD STEP FORWARD LAST SESSION WITH $10 MILLION INTO RURAL HOUSING TRUST FUND.

I BELIEVE THAT'S THE FIRST TIME EVER THE GENERAL FUND MONEY WENT TO THAT.

THERE IS A BILL THIS SESSION BY REPRESENTATIVE HATCHER, HOUSE BILL 588 WHICH UPDATES THE DEED TRANSFER FEE THAT IS PAID WHEN HOUSING TRANSACTIONS ON CUR AND A PORTION OF WHICH GOES INTO THE AFFORDABLE HOUSING TRUST FUND.

THAT FEE HAS NOT BEEN UPDATED IN DECADES AND IS THE ONLY RECURRING FUNDING SOURCE FOR THE TRUSS FUND SO THAT WOULD BE ANOTHER STEP TO GET FUNDS INTO THAT.

BESIDE MONEY, THE ONLY OTHER BIG SOLUTION TO THE PROBLEM INVOLVES CHANGES TO ZONING AND THERE ARE SOME PROPOSALS AROUND THAT AS WELL.

TRYING TO MAKE THE AVAILABILITY OF HOUSING, INDILL DEVELOPMENT-- INFILL AND REDEVELOPMENT MORE ACCESSIBLE THAN IT IS NOW AND THERE ARE PROPOSALS THAT WOULD MAKE IT HARDER TO REZONE AND INCLUDE MULTIFAMILY HOUSING IN NEIGHBORHOODS THAT HAVE TRADITIONALLY BEEN FOR SINGLE-FAMILY HOUSING.

THERE ARE OTHER PROPOSALS THAT WOULD LIMIT THE ABILITY TO REGULATE SHORT-TERM RENTALS, AIRBNBS, ET CETERA, WHICH IS ANOTHER PROBLEM.

WE'VE HAD A LOT OF HOUSING THAT HAS BEEN TAKEN UP AND TURNS OR TRANSFERRED OR TRANSFORMED INTO SHORT-TERM RENTAL HOUSING FOR AIRBNBS THAT TAKES STOCK OFF OF THE ABILITY FOR PEOPLE TO LIVE IN.

SO.

THERE ARE SOME GOOD BILLS.

THERE ARE SOME BILLS THAT WOULD BE STEPS BACKWARDS THAT WE NEED TO BE CONCERNED ABOUT.

>> Renee: LIKE?

>> LIKE THE BILLS WILL TRYING TO PREVENT REGULATIONS OF AIRBNB.

THERE IS A BILL TRYING TO PREVENT A LEAD REGISTRY WHICH IS ABOUT, WE DON'T ONLY WANTED HOMES.

WE WANT SAFE HOMES THAT KIDS CAN -- BECAUSE HOUSING IS NOT JUST.

-- IT'S A HEALTH ISSUE, EDUCATION ISSUE, JOBS ISSUES, FAMILY STABILITY ISSUE.

WE WANT TO MAKE SURE THEY ARE HEALTHY AS WELL.

THERE IS A BILL THAT WOULD PREEMPT LEAD REGISTRIES IN CITIES TO KEEP TRACK OF LEAD IN HOMES.

WE HAVE TO BE WEARY OF THAT.

>> Renee: WHAT IS THE RATIONALE FOR THAT?

>> I HAVEN'T HEARD ONE I WOULD LOVE TO HEAR WHAT ONE IS.

>> Renee: HAVE YOU HEARD ABOUT THIS?

>> I WANT TO BOOK END THIS CONVERSATION ABOUT HOUSING TO JASON'S POINT ABOUT BIG STEPS, SOMETHING THE BUSINESS COMMUNITY THAT COMMERCE LEXINGTON HAS BEEN WORKING WITH ALONGSIDE THE KENTUCKY CHAMBER AND THE STATE HOME BUILDERS OCEAN, THEY PUT OUT A REPORT PROFILING THIS ISSUE AND TALKING ABOUT SOME OF THE BIGGER STEPS THAT LAWMAKERS COULD CONSIDER WHETHER IT'S THIS SESSION OR NEXT SESSION CONSIDERING THE BUDGET IS TO TALK ABOUT HOUSING IS A WORKFORCE ISSUE, AN ECONOMIC DEVELOPMENT ISSUE WHEN WE ARE TALKING ABOUT WORKER ATTRACTION, AND HELPING PROVIDE CRITICAL INFRASTRUCTURE TO HOUSING DEVELOPMENTS, WATER, SEWER, TRANSPORTATION, THESE ARE ALL AREAS WHERE WHERE STATE GOVERNMENT CAN HELP OUR LOCAL GOVERNMENTS ACCELERATE GETTING MORE DEVELOPMENT OINLZ.

A PROPOSAL THAT THE BUSINESS COMMUNITY HAS BEEN TALKING WITH LEGISLATIVE LEADERS ABOUT IS THE KENTUCKY RESIDENTIAL INFRASTRUCTURE FUND TO CREATE A MODEL SIMILAR TO WHAT INDIANA IS DOING AND SEEING SUCCESS WHERE WHETHER THROUGH LOW INTEREST LOANS OR MAKING THOSE INVESTMENTS OR HELPING YOUR LOCAL GOVERNMENT PARTNERS GET MORE SITES READY TO GO LOOKING AT THINGS LIKE WHAT CNS IS DOING TO CREATE DEVELOPMENT DISTRICTS WHERE YOU CAN IDENTIFY AREAS WHERE HOUSING NEEDS TO GO AND LOOK AT SOME CREATIVE FINANCING PACKAGES AROUND THAT.

THOSE ARE SOME OF THE CREATIVE SOLUTIONS IN ADDITION TO LOOKING AT HO INCOME TAX CREDITS FEDERALLY.

THE PROGRAMS EXIST.

30 OTHER STATES ARE CREATING STATE MODELS THAT MIRROR THOSE PROGRAMS AND THAT'S AN AREA FROM OUR AFFORDABLE HOUSING DEVELOPERS IN LEXINGTON, THEY HAVE TOLD US IT WOULD HELP THEM GET ACCESS TO CAPITAL WHICH IS CRITICALLY IMPORTANT.

THOSE ARE SOME OF THE THINGS THAT WE ARE TALKING WITH LEGISLATORS ABOUT AT A HIGH LEVEL THAT MAY BE BIGGER STEPS.

WHETHER THEY DO THAT THIS SESSION OR NEXT SESSION, JUST TRYING TO GET THE CONVERSATIONS GOING.

AND TO JASON'S POINT ABOUT PLANNING AND ZONING, THAT'S CRITICALLY IMPORTANT.

THAT'S ONE OF THE BARRIERS JUST LOCALLY TRYING TO FIGURE OUT WITHIN EACH COMMUNITY WHAT YOU CAN DO TO HELP DEVELOPERS GET THROUGH THE PROCESS QUICKER.

IN LEXINGTON, THAT'S ONE OF OUR CHALLENGES, JUST THE NUMBER OF DAYS IT TAKES TO GET THOSE DEVELOPMENTS THROUGH.

LAND IS A PRECIOUS COMMODITY HERE.

AND I THINK WE ARE WORKING WITH OUR ST CITY GOVERNMENT LEADERS HOW TO MAKE THE PROCESS BETTER.

>> Renee: THERE ARE THINGS THE LOCAL GOVERNMENT NEEDS TO DO AND OTHER THINGS THE STATE GOVERNMENT CAN DO.

ANY OTHER COMMENTS ABOUT HOUSING OR HOUSING AFFORDABILITY OR THE HOMELESS ISSUE?

>> RENEE, WHEN I HEAR BIG STEPS AND I HEAR IDEAS THAT REALLY INVOLVE A PRETTY SIGNIFICANT INTERVENTION OF THE GOVERNMENT INTO THIS MARKET, THEN MY RADAR GOES OFF A LITTLE BIT.

WHAT WE ARE DEALING WITH HERE, NATIONALLY AND LOCALLY IS AN ISSUE OF SUPPLY AND DEMAND.

AND WHAT IS DRIVING THE PRICE OF HOUSES AND HOUSING IS A FUNDAMENTAL ECONOMIC FORCE THAT A STATE GOVERNMENT HAS A LIMITED AMOUNT OF CAPACITY TO IMPACT.

AND SO WHILE THERE MAY BE CONVERSATIONS GOING ON ABOUT POTENTIALLY BIG STEPS ON THIS, IF I HAD A CHANCE TO TALK TO POLICYMAKERS AND LEGISLATORS, WHICH I WILL, I WOULD TELL THEM TO MOVE SLOWLY AND BE HUMBLE BECAUSE WE HAVE SEEN TIME AND AGAIN GOOD INTENTIONS FORMULATE ED INTO SIGNIFICANT PROGRAMS THAT LIVE PREFER THAT HAVE VERY LITTLE IMPACT IN THE REAL WORLD PRACTICE HUMILITY, LET'S LET THE MARKET KIND OF SETTLE OUT AND WORK THESE THINGS THROUGH.

>> Renee: IS THAT GOOD ADVICE Dr. BROOKS, TO DO THAT?

>> I THINK HUMILITY IS A VIRTUE ALWAYS.

WHAT I THINK I HEAR ANDREW TALKING ABOUT AND JASON COMES FROM THE SAME END, I THINK BIG SWINGS REQUIRE ROI ANALYSIS.

AND I THINK WHETHER THAT'S IN EDUCATION, CHILD WELFARE OR IMPACT, IT WOULD BE HELPFUL IF OBJECTIVES WERE IDENTIFIED, ASSESSMENTS WERE DONE AND THEN WE COULD MAKE DECISIONS.

I ALSO AM A BIG BELIEVER IN THE POWER OF CATALYST, CATALYTIC AGENTS.

SO TRYING SOMETHING OUT ON A SMALL SCALE, LOOKING AT WHAT WORKED AND WHAT DIDN'T WORK AND THEN EXAMINE THE SCALABILITY IS, I THINK, ALWAYS A GOOD PRACTICE, WHETHER THAT'S IN A K-12 SCHOOL, A BUSINESS OR STATE GOVERNMENT, SO SOMETIMES LESS IS MORE BECAUSE YOU CAN ANALYZE BETTER, YOU CAN THINK ABOUT KALEBILITY IN A THOUGHTFUL WAY.

SO DEFINITELY THE NOTION OF SOME SEED INVESTMENT TO TRY SOME OF THESE NOTIONS OUT ARE REALLY IMPORTANT AND COULD COME IN A BUDGET SESSION.

THERE IS MAYBE A BID MIDDLE GROUND BETWEEN NOTHING AND GOING FULL BORE.

THAT'S WHAT I HOPE WE SEE, SOME ELEMENTS OF IMAGINATION AND INVENTION.

>> Renee: THE HOUSING TASK FORCE IS WORKING THROUGH A LOT OF THESE IDEAS THAT HAVE BEEN EXPRESSED THIS EVENING.

AND IN 17 DAYS THERE MAY NOT BE A WHOLE LOT THAT YOU CAN GET DONE IN THE REMAINING PART OF THE 2025 SESSION.

SO SPEAKING OF KIDS, FAMILY AND EDUCATION.

I WANT TO GO THERE BECAUSE SOME PEOPLE WOULD SAY THE RECIPE FOR REALLY PROGRESSIVE ECONOMIC DEVELOPMENT HINGES ON HAVING A ROBUST K-12 PUBLIC EDUCATION SYSTEM, MAYBE EVEN EARLIER THAN THAT, Dr. BROOKS.

WHEN YOU THINK ABOUT ALL OF THESE THINGS, WHEN IT COMES TO FISCAL MATTERS, AND WE KNOW THAT K-12 EDUCATION OCCUPIES A SIZEABLE PORTION OF THE STATE BUDGET INVESTMENT, WHERE DO YOU THINK WE ARE GETTING IT RIGHT AND WHERE DO YOU THINK KENTUCKY LAWMAKERS ARE MISSING IT?

>> WHAT I HOPE WE DO, RENEE, IS YOU KNOW, THE CURRENT CONTROVERSY, IF YOU WANT TO CALL IT THAT, ARE THE SCHOOLS SHORT ON SEEK FUNDING OR ARE THEY SHOT SORT ON SEEK FUNDING.

BASKETBALL DECIDED TO USE HIS DISCRETIONARY AUTHORITY TO FILL THE GAP THAT GOVERNOR FLETCHER REPORTED.

I BELIEVE IT WAS ACCURATE TO SAY THERE WAS IMMEDIATE FEEDBACK FROM THE GENERAL ASSEMBLY QUESTIONING THE VIRGINIA VALIDITY OF THAT.

I WOULD JUST LIKE TO SUGGEST MAYBE AN UNCONVENTIONAL PERSPECTIVE, WHICH IS I DON'T CARE AS MUCH ABOUT THAT SPECIFIC GAP BECAUSE IT'S BEEN FILLED.

I THINK TWO ISSUES WHEN I THINK ABOUT THAT.

I THINK PRESIDENT STIVERS HAS BEEN SOMETHING OF A CANARY IN THE COAL MAIN FOR THE LAST COUPLE OF YEARS BECAUSE I HAVE HEARD HIM MORE THAN ONCE ON THIS SHOW TALK ABOUT MAYBE IT IS TIME TO RECALIBRATE THE SEEK FORMULA ONE OF THE THINGS THAT I THINK A LOT OF FOLKS DON'T REALIZE RIGHT NOW IS THAT SCHOOL FUNDING IS SO BASED ON THE NATIONAL AND STATE ECONOMY BECAUSE IT'S DEPENDENT UPON PROPERTY TAXES THAT HAS A LOT TO DO WITH THE ECONOMY MORE THAN ANY STATE LEGISLATIVE ALLOCATION, SEEK WAS A COMPONENT OF THE 1990 LANDMARK DECISION ALMOST EVERY ELEMENT HAS CHANGED AND BE MODIFIED.

NOT NECESSARILY ELIMINATED BUT MODIFIED.

THERE HAS BEEN VERY LITTLE THINKING ABOUT HOW WE FUND SCHOOLS, AND SO MAYBE THE CURRENT CONTROVERSY HIGHLIGHTS THE NEED TO TAKE A BIG LOOK THAT MAY RESULT IN MORE MONEY, LESS MONEY, DIFFERENT MONEY.

THE SECOND THING, WHICH, AGAIN, WE'VE TALKED ABOUT ON THIS SHOW MORE THAN ONCE, I WOULD RESPECTFULLY SUGGEST THAT MAYBE A KEY DISCUSSION THAT THE GENERAL ASSEMBLY NEEDS TO HAVE IS A PHILOSOPHY OF SCHOOL FUNDING.

AND BY THAT, WHAT I MEAN IS THAT NATIONALLY, THERE SEEM TO BE TWO MODELS THAT WORK WELL FOR SCHOOL FUNDING.

THAT CAN COME FROM POOR STATES.

CAN IT COME FROM AFFLUENT STATES.

SOME STATES REALLY ACT ON THEIR PREMISE THAT IT'S LOCAL CONTROL.

AND SO SUPERINTENDENTS GET A BOAT LOAD OF MONEY AND THEY SPEND IT AS THEY DESIRE.

OTHER STATES, IN FACT AS CLOSE AS TENNESSEE, SO SINCE WE SEEMINGLY EMULATE EVERYTHING FROM TENNESSEE, THIS MIGHT BE SOMETHING TO LOOK AT.

INTERESTINGLY, THEY'RE REPUBLICAN LEGISLATORS ARE MUCH MORE MICRO IN HOW THEY ALLOCATE MONEY.

WHEN TEACHER RAISES CAME UP IN TENNESSEE, THEY DIDN'T JUST MANDATE A PERCENTAGE OR SAY HAVE YOU TO DO IT.

THEY TARGETED A SPECIFIC DEMOGRAPHIC.

THEY WANTED TO BUILD IN ATTRACTEDDIVE CONTRACTS FOR BRAND NEW TEACHERS.

THAT'S THE REASON IN SOUTHERN KENTUCKY TELL YOU CAN'T CAN'T GET A GRAD FROM MURRAY BECAUSE THEY ARE GOING ACROSS THE BORDER.

YOU CAN GIVE SUPERINDENDENTS LOTS OF DISCRETION OR YOU CAN SAY WE ARE GOING TO GIVE YOU CATEGORICAL FUNDING.

THOSE WORKS I THINK KENTUCKY SCHOOLS ARE CAUGHT IN THE WORST OF ALL WORLDS.

THEY HAVE SOME DISCRETION, SO WE BELIEVE IN LOCAL CONTROL UNLESS WE DON'T BELIEVE IN LOCAL CONTROL.

SO WE ARE GOING TO LET YOU DETERMINE HOW YOU USE THE MONEY AND SALARIES BUT WHEN IT COMES TO SCHOOL SAFETY, ALL 172 DISTRICTS HAVE TO SPEND MONEY IN THE SAME WAY WHETHER IT WORKS OR NOT.

UNDERSTAND THAT SCIZZEN FROM WHY -- YOU WOULD INVITE THE GENERAL ASSEMBLY TO HAVE A BIG BOLD DISCUSSION.

ARE WE GOING TO GIVE DISTRICTS THE ALLOCATION AND HOLD YOU RESPONSIBLE FOR RESULTS BUT IT'S UP TO YOU, Mr. OR Ms.

SUPERINTENDENT, OR IF THE GENERAL ASSEMBLY HAS STRONG PRIORITIES, CERTAINLY WAY TO TEACH READING, CERTAIN WAY TO TEACH MATH, A CERTAIN WAY TO DO SCHOOL SAFETY, THEN OWE IT AND GIVE CATEGORICAL MONEY.

WHILE WE CAN HAVE A LOT OF CONVERSATION WHETHER THAT SEEK SHORTAGE IS ACCURATE OR INACCURATE, I THINK THE OTHER TWO ISSUES RECALIBRATING THE FUNDAMENTAL FORMULA AND TAKING A PHILOSOPHY OF WHICH WAY ARE WE GOING THOSE MAY BE MORE IMPORTANT BIG PICTURE ISSUES THAN THE SPECIFIC SHORTAGE OR LACK THEREOF THAT SCHOOLS ARE FACING TODAY.

>> Renee: DOES THAT MAKE SENSE TO YOU, JASON BAILEY.

>> I THINK ANY DEBATE ABOUT LOCAL VERSUS STATE CONTROL FIRST HAS TO BE GROUNDED IN THE EROSION OF STATE RESOURCES FOR EDUCATION SINCE 2008.

NOT A ONE-TIME SEEK SHORT-TERM RENTAL, BUT A SYSTEMATIC REDUCTION OVERTIME WHEN YOU LOOK AT INFLATION NOW WHEN WE PASS-- >> Renee: HOUSE AND SENATE LEADERSHIP WILL REFUTE THAT.

THEY WILL SAY HISTORIC LEVELS INCLUDING WHEN YOU ACCOUNT FOR INFLATION.

>> BUT THAT'S NOT TRUE.

ANYBODY WHO HAS LOOKED AT THE TOTAL SEEK NUMBERS SINCE 2008 AND PER PUPIL AMOUNT SINCE 2008, IT'S DOWN ABOUT 26% AFTER YOU ADJUST FOR INFLATION.

THAT'S A GRAPH THAT DOES NOT ADJUST FOR INFLATION.

OF COURSE WE ARE SPENDING MORE MONEY OVERALL WHEN YOU DON'T ADJUST FOR INFLATION THAN WE WERE IN 1991 OR IN 2008 BUT A DOLLAR IS WORTH A LOT LESS.

SO WHEN YOU DO THAT YOU SEE MULTIPLE ANALYSIS HAVE DOCUMENTED THAT.

IN THE LAWSUIT THAT IS IN FRONT OF THE FRANKLIN CIRCUIT COURT POINTING THAT OUT.

WE WERE A LEADER IN 1991 WHEN WE PASSED THE KENTUCKY EDUCATION REFORM ACT IN TERMS OF INVESTING IN EDUCATION.

WE SAW SIGNIFICANT GAINS BUT THEN GRADUALLY OVER TIME, THAT COMMITMENT LESSENED AND WHEN THE GREAT RECESSION HIT IN 2008, WE HAD A LOT LESS REVENUE AND CUTS WERE MADE.

THAT WAS UNDERSTANDABLE AT THAT TIME.

MULTIPLE ROUNDS OF BUDGET CUTS OVER A NUMBER OF YEARS.

THE PROBLEM IS WE DIDN'T COME BACK.

WHEN THE ECONOMY EVENTUALLY RECOVERED AND WE CAME OUT OF THE RECESSION, WE DID NOT COME BACK AND REINVEST, SO IF YOU LOOK AT AVERAGE TEACHER PAY IN KENTUCKY, GO TO THE WEBSITE.

THEY POST THE SPREAD SHEETS EVERY DAY.

TEACHER PAY IS DOWN 20% COMPARED TO 2008.

THAT'S A DISINVESTMENT IN SEEK PROBLEM.

GAP IN PER PUPIL FUNDING THAT THE RICHEST DISTRICTS HAVE AND POOREST DISTRICTS HAVE IS AS BIG A GAP THAT WE HAVE HAD IN THE 80S WHEN IT WAS DECLARED UNCONSTITUTIONAL.

THAT IS A SIMPLE MATH CALCULATION THAT ANYONE CAN DO AND THAT IS AGAIN BECAUSE OF THE SEEK DISINVESTMENT.

SO BEFORE WE TALK ABOUT ANY NEW EXPECTATIONS OR NEW ATTACHING ANY NEW REQUIREMENTS TO FUNDING, WE HAVE TO LOOK AT THE EXTEND TO WHICH WE HAVEN'T KEPT UP THE INVESTMENT AND THE COMMITMENT THAT WE HAVE HAD IN THE PAST AND HOW CAN WE DO THAT FIRST SO WE HAVE THE BASICS IN PLACE AND THEN WE CAN TALK ABOUT WHAT WE CAN DO ON TOP OF THAT.

WE HAVE HAD ENOUGH MONEY THE LAST FEW YEARS TO DO THAT AND THERE WERE SOME SMALL REINVESTMENTS IN THE LAST BUDGET BUT THEY HAVEN'T RISEN TO THE OCCASION AND HAVEN'T MADE UP THE GROUND THAT THEY'VE LOST.

>> Renee: I KNOW THAT THIS IS A BIC BIG ISSUE FOR YOUR ORGANIZATION.

>> IT IS.

IT NEEDS TO BE PUT IN CONTEXT THAT ASKS DIFFERENT QUESTIONS.

THE CONVENTIONAL WISDOM THAT ADDITIONAL FUNDING OR MORE MONEY S IN NECESSARILY WILL DRIVE HIGHER PERFORMANCE, THERE IS A SIGNIFICANT BODY OF EVIDENCE OUT THERE, AND RESEARCH THAT SAYS THAT THAT CORRELATION SIM THEIR DOES NOT-- SIMPLY DOES NOT GO.

RESEARCHERS IN STANFORD, THE MACK GNAW CENTER IN MICHIGAN THAT LOOKED AT DISPARITY BETWEEN FUNDING AT DISTRICTS WITHIN THAT STATE AND THEN LOOKED AT HOW THAT TRANSLATE FLOOD PERFORMANCE.

THE DISTRICTS HAD THE HAD MORE MONEY DIDN'T HAVE BETTER PERFORMANCE AND THE DISTRICTS THAT DIDN'T HAVE AS MUCH SPENDING MAY HAVE HAD SOME IMPRESSIVE RESULTS.

THE QUESTION THAT WE NEED TO START ASKING IS HOW THIS MONEY IS SPENT.

I WANT TO USE A VERY RELEVANT AND IMPORTANT EXAMPLE OF THIS.

LITERACY.

WE KNOW FROM THE MOST RECENT NATIONAL STANDARDS THAT OUR CHILDREN ARE HAVING A VERY DIFFICULT TIME READING AT A PROFICIENT LEVEL.

WE HAVE AN OVERWHELMING MAJORITY OF CHILDREN THAT CANNOT READ AT A PROFICIENT LEVEL AND ARE STRUGGLING.

WHAT WE ALSO KNOW IS THAT FOR THE LAST COUPLE OF DECADES, THE EDUCATION BUREAUCRACY AND ADMINISTRATORS HAVE ADHERED TO AND CLUNK TO A LITERACY MODEL THAT SIMPLY DOES NOT WORK CALLED WHOLE LANGUAGE BALANCE LIT LITERACY, READING RECOVERY.

THE "COURIER JOURNAL" DID A PRETTY STRONG EXPOSITION ON THIS A COUPLE OF YEARS AGO.

>> Renee: THEY WORKED TO RECTIFY THAT AND ANSWER THAT THE LAST COUPLE OF SESSIONS.

>> THEY HAVE TRIED TO ANSWER THAT BECAUSE WE ARE LEARNING OR UNDERSTANDING AGAIN THAT THE SCIENCE OF READING OR PHONICS IS PROBABLY THE MOST EFFECTIVE WAY TO TEACH A CHILD TO READ.

BUT THE POINT IS THAT IF YOU HAVE A FAILED CURRICULUM AND YOU HAVE A FAILED THEORY OF,000 TEACH A CHILD HOW TO READ, IT DOESN'T MATTER HOW MUCH MONEY YOU SHOVEL AT IT.

AND SO WHY DON'T WE LOOK AT HOW THE MONEY HAS BEEN SPENT, WHERE IT IS GOING, HOW MUCH IS ACTUALLY GETTING INTO THE CLASSROOM, HOW MUCH IS GETTING INTO THE CLASSROOM TO SUPPORT TEACHERS SO THAT THEY HAVE PROVEN STRATEGIES TO BE ABLE TO REACH THEIR CHILDREN, HOW MUCH OF IT IS BEING DIVERTED TO VARIOUS OTHER PARTS OF THE SCHOOL SYSTEMS THAT MAY FALL UNDERNEATH INTRF BUREAUCRACIES AND OTHER THINGS.

IT'S TIME TO KIND OF NO LONGER ACCEPT THIS PREP IS THAT IT IS A QUESTION OF THE AMOUNT OF RESOURCES WHAT ARE WE GOING TO SPEND THE MONEY ON, ARE WE GOING TO SPEND IT ON THINGS THAT ARE SUCCESSFUL AND WE KNOW THAT WORKS OR THROW IT AT A SYSTEM THAT IS BASED ON CERTAIN THEORIES APPROACHES, NEW MATH THAT HAS BEEN PROVEN THROUGH THE YEARS TO BE INEFFECTIVE.

>> >> Renee: PERFORMANCE BASED OR OUTCOME-BASED EDUCATION FUNDING WHAT IS HE IS TALKING ABOUT.

>> WE HAD A BALLOT, A CONSTITUTIONAL AMENDMENT ON THE BALLOT IN NOVEMBER THAT PROPOSED A RADICALLY DIFFERENT APPROACH AND TAKE MONEY OUT OF THE PUBLIC SCHOOL SYSTEM THAT SERVES 90% OF THE KIDS AND TRY TO ALLOW IT TO BE USED FOR ANYTHING THAT PEOPLE WANTED TO USE IT FOR, POTENTIALLY AND THE VOTERS SAID NO, 120 COUNTIES SAID NO.

I DON'T THINK THERE IS A LACK OF BELIEF THAT THE PUBLIC SCHOOL SYSTEM IS IMPORTANT AND THAT IT WORKS.

THERE IS CERTAINLY IMPROVEMENTS THAT CAN BE MADE BUT I WOULD DISAGREE TO WHICH THERE IS A CONNECTION BETWEEN RESOURCES AND SUCCESS MUCH THERE IS AN OVERWHELMING BODY OF RESEARCH OVER THE PAST TWO DECADES ABOUT HOW MORE FUNDING TO THINGS LIKE ATTRACTING KEEPING TALENTED TEACHERS.

FUNDING UNIVERSAL PRESCHOOL WHICH WE DO NOT PROVIDE NOW.

SO THAT KIDS GET A BETTER HEAD START, PROVIDING WRAP AROUND SERVICES FOR THE KIDS THAT MOST NEED THEM.

WE PIONEERED THINGS LIKE THE FAMILY RESOURCE CENTERS IN KENTUCKY BACK IN KENTUCKY EDUCATION REFORM ACT THAT TAKE THAT HOLISTIC VIEW.

BUT WE ARE FUNDING THEM AT A LEVEL 53% LESS THAN WE WERE BACK THEN IF YOU ADJUST FOR INFLATION.

WE ARE NOT KEEPING UP WITH SOME OF THE PIONEERING THINGS THAT WE PUT IN PLACE.

BUT WE HAVE TO MAKE SURE THE MONEY IS THERE FIRST AND THAT WE ARE NOT LOSING GROUND LIKE WE HAVE.

>> WE HAVE HAD SOME NATURAL EXPERIMENTS IN THE STATE.

CLAY COUNTY, OVER THE LAST FIVE TO EIGHT YEARS, OVER THE LAST DECADE,TOOK A VERY DIFFERENT APPROACH TO READING WITH THE SAME LEVEL OF RESOURCES THAT THEY HAD BEFORE THEY DECIDED TO MAKE THE CHANGE.

THE DOLLARS DIDN'T CHANGE.

HOW THEY WERE TEACHING KIDS HOW TO READ DID.

AND SO I WOULD CHALLENGE THE STATE DEPARTMENT OF EDUCATION, AND THE SUPERINTENDENTS, TO BE ABLE TO ANSWER THE QUESTION, WHAT ARE YOU DOING WITH THESE DOLLARS?

WHAT ARE THE STRATEGIES AND WHAT IS THE RESEARCH THAT BACKS UP THAT THIS IS THE MOST EFFECTIVE WAY TO TEACH OUR CHILDREN?

THERE IS AN AWFUL LOT OF INERTIA IN PUBLIC EDUCATION.

THERE IS AN AWFUL LOT OF CONSULTANTS THAT MAKE A LOT OF MONEY PITCHING CURRICULUMS THAT HAVE BEEN DISPROVEN TO BE SUCCESSFUL AND SO IT'S TIME TO REALLY FALL THAT KIND OF MIND SET THAT IS JUST A QUESTION OF DOLLARS.

IT ISN'T.

>> Renee: PRIVATIZATION THE ANSWER?

>> NO, DO I I DON'T THINK PRIVATIZATION IS.

THE ISSUE OF SCHOOL CHOICE IS SET SETTLED FOR NOW.

THE OPPORTUNITY, YOU KNOW, TO MOVE KENTUCKY FORWARD IN TERMS OF PERFORMANCE FOR OUR CHILDREN, IS GOING TO BE FOCUSED ON OUR PUBLIC SCHOOL SYSTEMS.

SO I'M NOT THINKING OF PRIVATIZATION.

I'M THINKING WE HAVE 137 SCHOOL DISTRICTS, WE ARE SEEN IN OTHER STATES WHAT OTHER WORKS.

LOUISIANA IS EMBARKING UPON A VERY AMBITIOUS CHANGE IN THEIR PUBLIC EDUCATION SYSTEM FOCUSED ON THE SCIENCE OF READING AND PHONICS.

THEY'RE GOING THE MOVE TO MATH NEXT AND OTHER SUBJECTS I THINK THAT WITH THE DOLLARS THAT WE APPROPRIATE THE DOLLARS GOING INTO OUR SCHOOLS, IF THEY'RE BEING APPLIED PROPERLY, AND IF THE TEACHERS IN THE CLASSROOMS ARE BEING TRAINED AND SUPPORTED THEN WE CAN MAKE MUCH BETTER GAINS THAN WE ARE CURRENTLY MAKING NOW WITHOUT SAYING HOW MUCH MONEY ARE MORE MONEY DO THEY NEED.

LET'S FOCUS AND SPEND THE MONEY APPROPRIATELY.

>> I THINK WHAT JASON AND ANDREW AND I HEAR CHAMBERS TALK ABOUT, AGAIN, I DON'T WANT TO BE REDUNDANT BUT I CAN REMEMBER AS ONE OF THE BIG VOICES WAS OZ NELSON, THE LEGENDARY UPS C.E.O.

PLAYED A MAJOR ROLE.

HE HAD A GREAT QUOTE THAT HAS ALWAYS LIVED WITH ME WHICH IS INCREMENTALISM IN SCHOOL REFORM WON'T HACK IT ANYMORE.

AND I GUESS, YOU KNOW, I BELIEVE WE ARE AT A POINT AND I THINK THE LASTER KERR FLUFL KERFLUFFEL DEMONSTRATED THIS.

WE NEED A MUCH BOLDER EFFORT WHICH NUMBER ONE, AGAIN, LET'S LOOK AT THE CURRENT PORM LA WHAT IS WORKING, WHAT IS NOT WORKING, WHAT IS THE LONGITUDINAL PATTERN.

WE NOW HAVE 35 YEARS WORTH OF LOOKING.

LET'S LOOK AT ALLOCATIONS AND IMPACT ON DISTRICTS.

THAT'S NUMBER ONE AND AGAIN, REALLY TO ANDREW, I THINK ANDREW MADE THE POINT THAT I WAS TRYING TO MAKE, WHICH IS I THINK THE GENERAL ASSEMBLY OWES IT TO SCHOOLS TO HAVE A REAL DISCUSSION DO WE BELIEVE IN LOCAL CONTROL?

IF THAT'S THE CASE, IT IS NOT ABOUT METHODOLOGY.

IT'S ABOUT RESULTS.

NO MATTER HOW YOU TEACH READING, IF YOU GET RESULTS, YOU ARE ON YOUR OWN.

OR WE REALLY BELIEVE THERE IS A KENTUCKY PEDAGOGY SO THE FOURTH GRADERS HIT MINIMAL PROFICIENCY IN THE SCORES IN WHICH CASE WE ARE GOING TO FUND YOU FOR THAT CURRICULUM.

I THINK THOSE ARE ROBUST ARGUMENTS ON BOTH SIDES BUT WE HAVE TO HAVE IT BECAUSE RIGHT NOW AGAIN, AS A SUPERINTENDENT OR AS A PRINCIPAL, I'M IN THE WORST OF BOTH WORDS.

I HAVE CONTROL OVER THIS AND THIS, WHEN IT COMES TO SCHOOL SAFETY, I'M STUCK WITH AN SRO WHETHER I WANT ONE OR NOT.

SO THE GENERAL ASSEMBLY HAS TO DECIDE ARE THEY ADVOCATES FOR LOCAL CONTROL ARE OR THEY ADVOCATES FOR CATEGORICAL FUNDING COMING FROM FRANKFORT.

THAT'S AN IMPORTANT DEBATE THAT NEEDS TO BE HAD.

>> RENEE, WOULD I ADD FROM THE BUSINESS COMMUNITY PERSPECTIVE, THERE ARE A LOT OF DIFFERENT PERSPECTIVES ON THIS ISSUE BUT IT ULTIMATELY IS ABOUT OUTCOMES AND ALIGNMENT WITH OUR COMMUNITY AND BUSINESS NEEDS.

OUR PUBLIC SCHOOLS ARE IMPORTANT PARTNERS IN WORKFORCE DEVELOPMENT.

WE CAN'T FORGET THAT.

THEY'RE ON THE FRONT LINES OF PREPARING THE FUTURE WORKFORCE, SO PROVIDING THE SUPPORTS THAT ARE NEEDED BUT MAKING SURE THERE IS ALIGNMENT WITH WHAT BUSINESS NEEDS, WHAT THE FUTURE JOBS ARE, I THINK THAT IS WHAT THE BUSINESS COMMUNITY IS LOOKING AT FROM OUR SCHOOLS.

HOW CAN WE COME ALONGSIDE THEM TO PROVIDE SUPPORT, MAKING SURE THAT WE ARE ALIGNED PROVIDING OUR STUDENTS WITH THE SKILLS THAT THEY NEED TO BE SUCCESSFUL WHETHER IT'S GOING STRAIGHT INTO A JOB OR GOING TO HIGHER EDUCATION, IT STILL IS THE NUMBER ONE ISSUE WE HEAR FROM FLOIRS, ACCESSING SKILLED WORKFORCE.

THAT CAN BE TECHNICAL SKILLS BUT A LOT OF THAT IS SOFT SKILLS AND SOFT TRAINING AND HELPING STUDENTS AND PARENTS UNDERSTAND WHAT THOSE PATHWAYS ARE.

WHAT THE CURRENT ECONOMY LOOKS LIKE, WHAT THE JOB OPPORTUNITIES ARE.

HOW THEY CAN FIND THE ON RAMP TO THOSE JOBS.

THAT'S THE ROLE WE NEED TO KEEP FOCUSED ON, TOO.

WHAT ARE THE OUTCOMES, WHAT ARE THE PATHWAYS, WHAT IS A BETTER WAY TO ALIGN BUSINESS COMMUNITIES STUDENTS PARENTS, THE WHOLE SYSTEM SO THAT WE ARE ALL WORKING TOGETHER TO ULTIMATELY CREATE A STRONG WORKFORCE FOR THE FUTURE OF KENTUCKY.

WE ARE FOCUSED AT COMMERCE LEXINGTON ON DEVELOPING THOSE RETENTION STRATEGIES, HOW DO WE KEEP MORE OF OUR STUDENTS, WHETHER IT'S K-12 EDUCATION AND OUR HIGHER EDUCATION PARTNERS AND THEN ALSO LOOKING AT SOME ATTRACTION EFFORTS.

AND HAVING HIGH QUALITY SCHOOLS, PRIVATE EDUCATION, PUBLIC EDUCATION IS A CRITICAL QUALITY OF LIFE FACTORS WHEN YOU ARE LOOKING TO ATTRACT AND RETAIN WORKFORCE INTO YOUR STATE.

>> Renee: LET'S TALK ABOUT LABOR FORCE PARTICIPATION WHICH WE KNOW WE HAVE DROPPED, ALTHOUGH JASON BAILEY WILL REFUTE THAT CLAIM THAT OUR LABOR PARTICIPATION RATES ARE NOT WHERE THEY HAD BEEN PREVIOUS TO THE COVID EAR A.

ARE YOU SEEING ANY PROPOSALS FROM THE LEGISLATURE TO INCREASE WORKFORCE PARTICIPATION AND WHAT DOES THE LIKE LIKE BEYOND POSSIBLE REFORMS TO PUBLIC ASSISTANCE PROGRAMS TO GET THERE?

>> SO COMMERCE LEXINGTON, WE PARTICIPATED IN THE TASK FORCE THAT LOOKED AT DIFFERENT STRATEGIES AND WE WERE MORE FOCUSED ON EDUCATING THE GENERAL ASSEMBLY ABOUT THE NEED TO ATTRACT AND RETAIN WORKERS TO THE STATE WHAT WE HAVE SEEN THERE HAVE BEEN INCREASE INNED LABOR FORCE PARTICIPATION, BUT WHEN WE LOOK AT LEXINGTON IN THE NINE COUNTY REGION THAT WE WORK WITHIN, OVER A 10-YEAR PERIOD OVER A FIVE-YEAR PERIOD, WE ARE ADDING JOBS BUT WE ARE NOT ADDING ENOUGH WORKERS IN THAT 25 TO 55 RANGE THAT MEET THE SKILLS THAT OUR EMPLOYERS NEED.

WHEN YOU HAVE 10 COLLEGES AND UNIVERSITIES RIGHT HERE IN THE CENTRAL KENTUCKY REGION, YOU'VE GOT 20,000 GRADUATES COMING OUT EVERY YEAR, WE'VE REALLY GOT TO PUT SOME INTENTIONAL STRATEGIES AROUND HOW DO WE CONNECT THE STUDENTS SOONER WITH JOB EXPERIENCES WHETHER THAT'S INTERNSHIPS OR CO-OPS, TO GET THEM CONNECTED INTO THE JOBS THAT EXIST HERE IN THE REGION AND IN THE STATE.

SO THERE ARE DEMOGRAPHIC CHALLENGES THAT X.

WE WANT TO GET MORE PEOPLE INTO THE WORKFORCE THAT MAY NOT BE IN THE STATE.

WHEN YOU LOOK AT UNEMPLOYMENT NUMBERS, EVEN IF WE HAD ALL OF THOSE FOLKS WORKING, WE WOULD STILL HAVE A DEFICIT IN TERMS OF NUMBER OF FOLKS YOU NEED TO BE IN THE JOBS THAT HAVE JOB OPENINGS.

SO AGAIN, WE ARE FOCUSED ON LOOKING AT ATTRACTION NUMBERS, TRYING TO BRING MORE PEOPLE IN FROM THE OUTSIDE THAT MEET THOSE SKILLED NEEDS TO MEET THE CHALLENGES THAT WE CURRENTLY HAVE.

>> Renee: Mr. BAILEY, DO YOU BELIEVE WHEN WE HEAR ABOUT KENTUCKY'S LAGGING WORKFORCE PARTICIPATION RATE THAT THAT IS A FALSEHOOD?

THAT WE ARE NOT AS BAD OFF AS SOME WOULD TOUT US AS BEING?

>> IF YOU LOOK AT THE PRIME AGE LABOR FORCE PARTICIPATION RIGHT IN KENTUCKY PEOPLE BETWEEN THE AGES OF 25 AND 54, IT IS HIGHER NOW THAN IT HAS BEEN IN 50 YEARS THAT WE HAVE RECORDED THAT NUMBER SO THERE ARE MORE KENTUCKIANS PARTICIPATING IN THE WORKFORCE NOW THAN EVER.

IT HAS NOT BEEN DECLINING.

IN TERMS OF PEOPLE WHO ARE IN WORKING AGE.

WHAT HAS BEEN HAPPENING NOT JUST IN KENTUCKY BUT NATIONALLY IS THAT THE BABY BOOMER POPULATION, WHICH IS A LARGE GROUP, HAVE MOVED INTO RETIREMENT AND THAT HAS NATURALLY SHRUNG THE OVERALL WORKING POPULATION.

WE INTO YOU THAT WAS GOING TO HAPPEN DECADES AGO BUT SOME PEOPLE HAVE UNFORTUNATELY MISINTEMPERATURE TED THAT AS BEING A PROBLEM WITH THE WORKFORCE OR A PROBLEM WITH THE WORKERS.

IF YOU LOOK AT THE NUMBERS, KENTUCKY IS ACTUALLY SETTING A RECORD FOR WHAT IT HAS THAN-- FOR WHAT IT HAS DONE.

KENTUCKY IS LOWER THAN THE NATIONAL AVERAGE BUT IF YOU BREAK THAT OUT, THERE ARE SOME VERY SPECIFIC ASPECTS TO THAT.

ONE, IT IS ENTIRELY BECAUSE THERE IS A LACK OF EMPLOYMENT IN EASTERN KENTUCKY.

THERE HAVE BEEN SO MUCH JOB LOSS IN MINING AND PARTICULARLY IN OTHER AREAS.

AND NOT A DIVERSIFICATION OF THE ECONOMY TO REPLACE THE JOBS.

THERE IS A SERIOUS LACK OF JOBS IN THAT REFUGEE REGION OF THE STATE.

THERE CONTINUES TO BE.

FOR DECADES PEOPLE HAVE LEFT EASTERN KENTUCKY LOOKING FOR WORK.

THEY WENT TO CLEVELAND, DETROIT LOOKING FOR JOBS.

THAT'S HARDER TO DO NOW BECAUSE OF THE HOUSING ISSUE.

PEOPLE CAN'T AFFORD A PLACE TO LIVE AND A PLACE THAT HAS MORE JOBS, YOU KNOW, THAT WILL PAY THEM ENOUGH IN TERMS OF THE JOB TO AFFORD THE HOUSE.

SO WE DON'T SEE THE MIGRATION WE USED TO SEE.

SO THAT'S A JOB CREATION CHALLENGE IN EASTERN KENTUCKY.

I THINK WE NEED TO BE LOOKING MORE AT WHAT WE NEED TO DO TO CREATE MORE PUBLIC EMPLOYMENT IN AN AREA THAT IS BASICALLY IN PERPETUAL DEPRESSION AND HAS BEEN FOR A VERY LONG TIME.

THE MAIN EMPLOYMENT NOW IS THINGS LIKE HEALTHCARE AND EDUCATION.

WE NEED TO SEE MORE OF THAT AND THERE IS CERTAIN CERTAINLY A LOT OF WORK THAT NEEDS TO BE DONE.

WE NEED TO LOOK AT FLOOD RESILIENCE, AN AREA WE NEED MORE PEOPLE WORKING IN.

THE OTHER PEOPLE NOT IN THE LABOR FORCE, THEY'RE CAREGIVERS WHO, MANY WHO CHOOSE NOT TO BE IN THE LABOR FORCE AND THAT'S THEIR RIGHT BECAUSE THEY'RE TAKING CARE OF THEIR CHILDREN OR TAKING CARE OF AN ELDERLY PARENT INCREASINGLY THESE DAYS, BUT FOR THOSE FOLKS WHO WOULD LIKE TO BE IN THE WORKFORCE AND ARE A CAREGIVER, AND ARE JUST DOING IT BECAUSE THEY CAN'T AFFORD CHILD CARE, THAT'S A CHILD CARE PROBLEM AND THAT'S AN ISSUE THAT WE HAVE SEEN A REAL DECLINE IN THE NUMBER OF CHILD CARE CENTERS, BIG PARTS OF KENTUCKY THAT ARE CHILD CARE DESERTS AT THIS POINT AND THAT'S AN ISSUE WHERE THERE IS GOING TO HAVE TO BE SOME FUNDING TO PROP UP THAT SECTOR.

AND THEN THE OTHER ISSUE THAT, THE OTHER THING THAT WE ARE LOWER IS OUR RATES OF ILLNESS AND DISABILITY.

I MEAN KENTUCKIANS LIVE ON AVERAGE SIX YEARS LESS THAN THE NATIONAL AVERAGE.

WE HAVE MANY PEOPLE WHO HAVE WORKED JOBS EARLY IN THEIR CAREER THAT WERE PHYSICALLY DEMANDING IN MINING AND LOGGING AND MANUFACTURING AND CONSTRUCTION THAT, FRANKLY WEAR THEIR BODIES OUT.

AND SO THAT TAKES PEOPLE OUT OF THE WORKFORCE.

THERE ARE THINGS WE CAN DO IN TERMS OF WORKER SAFETY IN TERMS OF HEALTH, IN TERMS OF VOCATIONAL REHABILITATION TO HELP MORE FOLKS GET BACK IN WHEN WE CAN BUT THAT TAKES AGAIN THOSE TARGETED INVESTMENTS AND TARGETED INTERVENTIONS WITH THOSE CERTAIN FOLKS.

BUT TOO OFTEN, WHERE THIS CONVERSATION LEADS IS NOT THINGS LIKE CHILD CARE, PUBLIC JOB CREATION IN EASTERN KENTUCKY.

OR HELP FOR THOSE PEOPLE WITH HEALTH PROBLEMS.

IT'S BEEN PUNITIVE.

AND LUCKILY SO FAR-- >> Renee: PUNITIVE IN WHAT WAY?

>> IN THE SENSE OF TAKING AWAY LIFE SAVING AND HEALTH INDUCING AND ACTUALLY WORKFORCE PROPOSE MOTORING BENEFITS LIKE SNAP FOOD ASSISTANCE AND MEDICAID.

THANKFULLY SO FAR THIS LEGISLATIVE SESSION WE HAVEN'T SEEN BILLS TO DO THAT BUT WE HAVE SEEN THEM SIX TIMES IN THE LAST FEW YEARS.

THEY HAVE BEEN STOPPED EVERY SINGLE TIME, WHICH HAS BEEN GOOD BUT BILLS THAT WOULD TAKE AWAY PEOPLE'S ACCESS TO THOSE BENEFITS AND OFTEN ARE, YOU KNOW, ARGUED FOR THIS TERMS OF WORKFORCE PARTICIPATION.

>> Renee: MAYBE THERE IS SOME WEIGHT NOW FOR THE FEDERAL GOVERNMENT TO SEE WHAT HAPPENS THERE BEFORE THE STATE ACTUALLY FOLLOWS SUIT.

>> THAT MAY BE WHAT IS HAPPENING, THEY'RE WAITING TO SEE.

THAT'S EVEN SCARIER THOUGH, IF YOU THINK ABOUT PERMANENT NATIONAL CHANGES TO THESE BIG PROGRAMS THAT COULD SHIFT COSTS TO THE STATE THAT WE DON'T OR WILL NOT HAVE THE MONEY TO PICK UP OR POTENTIALLY TAKE AWAY, YOU KNOW, IMPORTANT HEALTH INVESTMENTS.

LOOK AT MEDICAID.

THAT'S ONE IN THREE PEOPLE WHO ARE COVERED BY MEDICAID AT THIS POINT IN KENTUCKY.

THAT'S WHAT IS KEEPING OPEN RURAL HOSPITALS, HEALTHCARE CLINICS, DENTISTS OFFICES, IT'S MEDICAID THAT IS DOING IT.

AND IF THOSE PROGRAMS ARE CUT FOR ANY REASON, STATE OR LOCAL LEVEL, IT'S GOING TO HURT THOSE ECONOMIES BUT IT'S GOING TO MAKE PEOPLE SICKER, LESS HEALTHIER AND LESS ABLE TO PARTICIPATE IN THE WORKFORCE.

>> Renee: THERE WOULD BE SOME WHO WOULD SAY ONE OUT OF THREE KENTUCKIANS ARE MEDICAID ARE ALL THESE PEOPLE NEEDING TO BE ON MEDICAID.

IS THAT A QUESTION WOULD YOU ASK OR DESERVING TO BE?

>> THEY QUALIFY FOR MEDICAID AND WE SET THE STANDARDS FOR MEDICAID AND WHAT THEY QUALIFY.

THE QUESTION IS ARE ABLE BODIED MEDICAID INDIVIDUALS WORKING?

AND WHAT CAN WE DO TO INCENTIVIZE THAT, REQUIRE THAT, MAKE SURE THAT IF THEY ARE RECEIVING PUBLIC BENEFITS AND ARE CAPABLE OF GOING TO WORK, THAT THEY'RE EITHER GOING TO WORK, GETTING AN EDUCATION, THEY'RE INVESTING IN THEMSELVES.

ONE OTHER THING ON WORKFORCE DEVELOPMENT.

OFTEN TIMES THIS QUESTION IS FRAMED AND LARGELY LOOKED AT FROM THE POINT OF VIEW OF LARGE EMPLOYERS.

AND I UNDERSTAND THAT.

I ALSO WOULD ENCOURAGE POLICYMAKERS AND THE GENERAL ASSEMBLY TO LOOK AT OUR ENTREPRENEURIAL ENVIRONMENT.

THERE IS NOTHING BETTER FOR SOMEONE WHO IS TRYING TO FIND MEANINGFUL WORK THAN TO GO OUT AND MAKE THEIR OWN MEANINGFUL WORK BY OPENING A BUSINESS, GROWING A BUSINESS, HAVING EMPLOYEES AT SOME FUTURE POINT.

SO, YOU KNOW,THERE ARE OTHER WAYS FOR PEOPLE TO GENERATE VALUE AND CONTRIBUTE TO THE ECONOMY THAT DON'T NECESSARILY MEAN THAT THEY'RE GOING TO GO WORK FOR TOYOTA OR FORD OR UPS.

WE WANT TO MAKE SURE THAT WE HAVE PLENTY OF EMPLOYEES FOR THOSE THAT WANT TO WORK FOR THOSE LARGE COMPANIES.

BUT LOOK AT WHAT IT MEANS FOR INDIVIDUALS AND ENTREPRENEURS TO BE ABLE TO CREATE NEW BUSINESSES, GROW NEW BUSINESSES, PUT THEMSELVES TO WORK AND OTHERS.

>> Renee: ALL RIGHT.

WITH A MINUTE REMAINING, Dr. BROOKS, YOU HAVE FINAL THOUGHT.

>> I GOT-- I SEE THE SHOT CLOCK.

REALLY QUICKLY I WOULD SUGGEST, WE DON'T HAVE TIME.

EVERY CRISIS THAT CONFRONTS KIDS CAN BE TRACED TO A WORKFORCE SHORTAGE IN THE KIDS SECTOR.

THAT RIDE AT A DETENTION CENTER, THE KID WHO DIED BECAUSE OF ABUSE, THAT FOURTH GRADER WHO CAN'T READ, EVERY ONE OF THOSE ISSUES HAS A PREDICATE AROUND WORKFORCE.

AND SO ALONG WITH BIG COMPANIES AND ENTREPRENEURS, WE NEED TO LOOK AT THE WORKFORCE.

FINAL THOUGHT, SOMEBODY I RESPECT SO MUCH AND DO I THINK THIS IS HAPPENING IN FRANKFORT.

>> Renee: FIVE SECONDS.

>> TOM BROKAW SAYS WE HAVE BECOME A SOCIETY DID IS MISSIVE OF MODERATION.

I'M SO HAPPY THAT MODERATION, AT LEAST WHEN IT COMES TO KIDS ISSUES ARE WINNING IN FRANKFORT RIGHT NOW AND I JUST WANT TO APPLAUD THE SENATORS AND REPRESENTATIVES MAKING THAT HAPPEN.

>> Renee: WE HAVE TO LEAVE IT THERE.

I'LL SEE YOU TOMORROW NIGHT FOR KENTUCKY EDITION.

TAKE GOOD CARE.