Regional Transportation Funding
Advances; Car Tag Tax Eliminated
The 2008 Session of the General Assembly is in its final stretch
with nine days
remaining. Lawmakers will
reconvene for day 32 on Tuesday,
March 18. Below are some
highlights on bills being
tracked by the Cobb Chamber of
Commerce.
Voters May Soon Decide Regional
Transportation Solutions
Senate Resolution 845, which
calls for a Constitutional
Amendment to allow voters in
regions of the state to increase
sales taxes by one penny to fund
transportation projects, moved
through the House Transportation
Committee on Wednesday. The
House had advocated their own
funding mechanism, which would
increase the state sales tax by
one penny statewide, but that
measure did not advance out of
that chamber by crossover day in
time to be considered viable
this session. The Governor has
indicated that until certain
reforms are implemented in the
Georgia Department of
Transportation, he is not
partial to any perceived tax
increases and may veto the
measure. The Cobb Chamber of
Commerce strongly supports this
bill along with the Regional
Business Coalition and the Get
Georgia Moving Coalition.
Tax on Car Tag Removed by House
House
Speaker Glenn Richardson gained
passage by the House of a bill
that would eliminate the ad
valorem tax on automobiles. HR
1246 eliminates the car tax,
ends the state’s collection of a
.25 mill tax on property, and
would place a two percent limit
increase on residential property
assessments and a three percent
limit on non-residential. The
measure will cost the state
approximately $750 million in
refunds that would go back to
county government to make each
whole from the revenue loss.
Just last week Speaker
Richardson had amended State
Senator Chip Rogers’ bill to
freeze property taxes with
similar provisions but he failed
to gain the 120 votes needed for
passage.
Bill to Allow Sunday Alcohol
Sales Gets New Life
A
controversial measure that would
allow Sunday alcohol retail
sales has found a legislative
vehicle to ride to the floor of
the State House. Senate Bill
454, which would allow beer
sales at Sunday minor league
baseball games in Gwinnett
County, was amended in the House
Regulated Industries Committee.
The amended bill would allow
local communities to decide by
referendum whether retail sales
of alcohol should be allowed in
their communities on Sunday. The
measure is supported by the
Georgia Chamber of
Commerce. Governor Perdue has
indicated he is not in favor of
the bill and may exercise his
veto authority.
Constitutional Amendment to
Restore TADs Passes Senate
A
bill that would restore the
ability of local governments to
use school property taxes to
fund debt service on tax
allocation bonds passed the
Senate before the crossover
day. Senate Resolution 996
passed overwhelmingly 46-3. The
bill is in response to a recent
Georgia Supreme Court ruling
that says it is unconstitutional
to use school property taxes for
such purposes. If the House
agrees with the measure, a
referendum would be on General
Election ballots this fall
asking voters the following
question: “Shall the
Constitution of Georgia be
amended so as to authorize
community redevelopment and
authorize counties,
municipalities, and local boards
of education to use tax funds
for redevelopment purposes and
programs?"
Trauma Care
Speaker Richardson’s push to
fund a Georgia trauma care
network also passed this week
and it moves to the Senate.
House Bill 1158 assesses a $10
fee to each vehicle registered
in Georgia to fund existing and
new trauma hospitals.
Sales Tax on Energy
After many years of debate, legislation championed by
Representative Jeff Lewis that
would eliminate the state sales
tax applied on energy used in
the consumption of goods passed
the House. The Cobb Chamber has
supported this legislation for
the last two years as Georgia is
currently at a disadvantage when
compared with the 39 states that
exempt manufacturers from this
tax. House Bill 272 now moves on
to the Senate.