Senate committee weighs military retirement tax exemption, workforce duties in H.34

The Senate committee reviewed H.34 on the floor Tuesday, a bill that would exempt U.S. military retirement income from state taxable income and add workforce-related duties and reporting to the recently created Office of Workforce Strategy and Development.

Rick Sagle, Office of Legislative Council, said, "Section 2 begins the process of exempting military retirement income from state taxes." He outlined that the bill also shifts some duties so the new workforce office can co-lead workforce education, employment and training alongside the commissioner of labor and adds reporting requirements for the executive director of the Office of Workforce Strategy and Development.

The discussion focused as much on budget and timing as on policy. Patrick Denton, Joint Fiscal Office, told the committee that the full, unconditional…