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Economic Justice
Kentucky needs the following reforms:
Public disclosure or the right-to-know laws, these laws are designed to
give the public more information about economic development activities, so
that projects can be more carefully judged upon application and monitored
during performance.
Clawback Laws, that demand a return of public subsidies from companies if
they move out of state or otherwise betray the public confidence by
causing environmental damage or mistreating workers. Receive environmental
or work relocating during the life of the subsidies, often with interest.
Anti-Poaching Laws that prevent Kentucky from giving tax incentives to
companies who are only relocating to get new tax incentives.
Good neighbor requirements that require all companies receiving tax
incentives to pay a living wage, for example, or sign fair contracts with
farmers or whatever actions make sense for that particular industry to
demonstrate responsible corporate citizenship. Public participation
laws, tax breaks as a line in the budget, anti-poaching laws reduce tax
breaks to corporations under Kentucky's present system and reinvest that
money in small businesses and farms.
CFA's economic justice compiled a manual, "Big Money/Little People," that
examines other states procedures, describes Kentucky's programs and who
makes the decisions, looks at CFA issues and provides an overview of the
trends surrounding corporate tax breaks on the national level.
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