Pace Picks Up at Capitol
Hello to all of my friends in District 129! Here is the latest news from your state Capitol.
Monday, March 2 marked the 24th legislative day of 40. As the clock continues to tick, the pace has picked up as everyone is trying to make sure their legislation is moving forward. To give you an idea of what it’s like during this time—our days begin before the sun comes up and they do not end until well after the sun goes down.
We are in meetings on top of meetings and in between the scheduled meetings; we are being briefed as we walk down the hall about other pieces of legislation. Needless to say, it is busy. This week was a productive week as we passed a number of bills, including the much anticipated transportation bill.
House Bill 170 Transportation
The highly debated “Transportation Act of 2015” made its way to the House Floor for a vote on Thursday, March 5, passing in a 123-46 vote. As the bill moved through the committee process there were a number of changes made to the original legislation first presented. To fully understand the bill, you need to be a little bit more familiar with our tax system.
Currently, we have two types of local sales taxes in place. We have taxes that are permanent (local option sales tax) and applied to everything you buy, including gasoline. Then we have, a Special Local Option Tax (SPLOST) that is an additional tax voted into place by the public. SPLOSTs are put in place for a limited amount of time and provide funding for specific projects and they also apply to everything you buy.
HB 170, if passed in its current form, would end the permanent local sales tax on motor fuel, other than SPLOST, after July 1, 2016. Any SPLOST revenue that is raised from taxing ONLY motor fuel will be required to be spent on transportation. For the first time in history, this bill will take ALL fuel tax collected and put it towards transportation. We expect it to generate much needed revenue, nearly a billion dollars. Here is a breakdown of the bill as it stands now:
•Various taxes currently in place will be consolidated into an excise tax of 29.2 cents per gallon
•Bill would repeal $25 million jet fuel tax break for Delta Air Lines
•Would also remove the $5,000 tax credit for those who buy electric cars
In the 1960’s and 70’s Georgia invested a great deal of money into transportation. As a result, we have the world’s busiest airport and are considered a key destination for logistics. The good news is that because of those investments, we have grown at a phenomenal rate, creating great new job opportunities and our state economy.
The bad news is, those investments are no longer keeping us afloat.
Georgia’s population growth, along with the wear and tear of our transportation systems has damaged our infrastructure. It is a top priority for us to ensure the safety of Georgia drivers and currently, our transportation systems are not safe and in dire need of repair. Unfortunately, because of the current state of our transportation system, we have been put in a catch 22.
The catch being, act now and act fast, even if it is not the best solution. Those in favor of the legislation say “doing nothing,” is not an option. While I believe in the long run, that statement is true, I don’t think that House Bill 170 is the answer. As a conservative who is against any tax increase, I voted against the bill in its current form. However, if the Senate produces changes that I agree with, I may be able to vote in favor of the legislation by day 40. Only time will tell!
Opportunity School Districts
On Wednesday, March 4 the State Senate cleared the way for Governor Deal’s proposal of “Opportunity School Districts.” Senate Resolution 287 passed as a constitutional amendment that would allow the question to be placed on the 2016 ballot. SR 287 was paired with Senate Bill 133 which creates a statewide “Opportunity School District” headed by a superintendent appointed by the governor that would take over the operation of under-performing schools, convert them to charter schools or shut them down.
The statewide district would be limited to taking over 20 schools a year and only schools that have seen three years of failing results would be eligible for the program. Those in favor of Opportunity School Districts believe this is a step in the right direction needed to improve our education system. Those opposed to the bill fear that it will eliminate the idea of “local control” of education.
The measure now moves to the House for review. With a needed two-thirds vote for it to pass as a constitutional amendment, House republicans will need a swing vote from the Democrats in order for the new proposal to make it to the Governor’s desk.
Unemployment Rate Down—Revenues Up!
Great news reported from the state’s Labor Department show that Georgia’s unemployment rate dropped to 6.4 percent in January. This is the lowest unemployment rate we have seen since July of 2008. Labor Commissioner Mark Butler reported more good news in stating that the department also saw fewer claims for unemployment insurance benefits.
With more companies relocating and expanding in Georgia, we hope and expect for that number to continue its decline. While we have made great progress over the last year, Georgia still lags the national unemployment rate which is currently at 5.6 percent.
In other positive movement, Georgia revenues saw an increase this February, reported at $943.7 million, stepping up from the $838.1 million collected during February 2014. For the fiscal year to date, Georgia revenues show an improvement of 5.8 percent over the same period a year ago.
I will continue to report on what is happening under the Gold Dome for the remainder of the session! As citizens, it is important for you to be knowledgeable about what is going on with your state government. As your Representative, I welcome your suggestions and ideas and encourage you to contact me anytime.
Thank you for allowing me to lead and represent you. It is an honor to serve the folks of our great district!
