Georgia Chamber of Commerce Legislative Update

Monday, January 26, 2009

The Georgia Chamber of Commerce will provide weekly updates for members throughout the 2009 session of the Georgia General Assembly.   Additional information, including the Chamber's 2009 Legislative Priorities, can be found on our website - www.gachamber.com.   The 2009 session of the Georgia General Assembly began on Monday, January 12th and will last for 40 working days.  As of today, there are 35 legislative days remaining.   2009 Budget

• There is no question that the state budget will be the top priority this year.  Leaders will be working to address a projected deficit of over $2 billion, which is exacerbated by the state's current unemployment rate of 8.1%.  Budget committees met during the week of January 19th to begin to address this difficult challenge.  

Taxation

• The tax burden in Georgia remains a priority issue for Georgia's economic well-being.  Few issues directly impact businesses' bottom line like taxes, so the Chamber will be closely monitoring all tax proposals that are introduced this session.  Key bills already filed include HR 1 by Rep. Edward Lindsey (R-Atlanta) which would cap annual property value assessments to the lesser of 3 percent or the rate of increase in inflation, and HB 17 and HB 18 introduced by Reps. Timothy Bearden (R-Villa Rica), Kevin Levitas (D-Atlanta) and Charlie Byrd (R-Woodstock) which would repeal Georgia's corporate income tax and inventory tax, respectively.   

Transportation

• On Friday, January 23, Senator Jeff Mullis (R-Chickamauga) introduced transportation legislation (SB 39 and SR 44) that would allow Georgians to form local regions that could tax themselves to fund transportation projects.  It is expected that a separate bill will soon be introduced by Representative Vance Smith (R-Pine Mountain) that will call for a statewide, rather than regional tax approach.  Addressing Georgia's growing transportation needs is a TOP PRIORITY for the Georgia Chamber and updates regarding any proposed legislation will be provided every week.  

Education & Workforce Development

• Governor Perdue has proposed a number of education initiatives, including merit pay for high-performing teachers and differential pay for math and science teachers.  It is expected that he will also introduce legislation calling for more accountability at the school board level as a result of the work done by the Georgia Chamber as part of this summer's Commission on School Board Excellence.  We remain committed to improvements in education and will closely follow this legislation as it is introduced.  

Health Care

• Governor Perdue has proposed, as part of his state budget proposal, a new tax on HMO plans offered by employers and a "bed tax" on hospital stays - both as a means of funding Medicaid and other state health programs.  The Georgia Chamber is OPPOSED to both of these new taxes and will fight to prevent their enactment. 
  • The Georgia Chamber SUPPORTS dedicated funding for a state trauma care network and will be working with legislators to identify an appropriate source.