Tax Reform, Charter Schools on Upcoming Legislative Agenda

The New Year brings a new legislative session in Georgia. The 2012 40-day session will begin Monday, Jan. 9 and is likely to conclude in early April. 

Budget: The only item required to be passed during the regular session is the state budget. Georgia’s fiscal year runs from July 1 through June 30. Each year the Assembly takes up revisions to the current year budget and creates the full budget for the following year.

Unlike the federal government, the state of Georgia is required to balance our budget every year. Georgia is one of only nine states with a Triple A Bond Rating. The Triple A bond rating is something we Georgians can be proud of, as it certifies that our fiscal house is in order. Maintaining the Triple A rating while also balancing the budget each year is difficult work and takes up most of the session to accomplish. 

The economic downturn combined with the real estate crash has created serious challenges for our state. Lawmakers have reduced spending some $2.3 billion since 2007. When we consider population and inflation since that time, the per capita spending in Georgia is down by almost 20 percent during the last five years. 

The current-year budget was built on a very conservative revenue estimate. We expect there will be surplus funds as we approach the end of the fiscal year. It is my belief that our best action will be to place excess funds into the state “rainy day” fund, which has been depleted during the downturn. 

Tax Reform/Economic Development: Tax collection should be fair, flat, transparent and taxpayer friendly. Georgia is surrounded by states no income taxes, or considerably lower rates. In order to create a better jobs growth environment, we will be looking at incorporating a flat tax system that will be geared towards a sales tax and would lower the state’s income tax rate.

Property Tax Process: In 2010 the legislature passed Senate Bill 346, which streamlined the property tax appeal process and instituted a process for consistently valuing properties across the state. We have seen some outstanding results from the new law, but there remain a number of improvements that can be made. 

Charter School Constitutional Amendment: Giving Georgia students more educational opportunities is perhaps the single most important item we can address this session. . Georgia also stands poised to become a national leader in digital learning as technology becomes a major driver of educational achievement.

Once the legislative session is underway and more details about Georgia’s toughest issues become available, I will do my best to keep the local Cherokee Patch media outlets informed. In the meantime, if there is anything I can help you with please contact my office at 404-463-1378.