Legislative
Update |
February
18,
2000 A review of current developments from the Georgia
Bankers Association |
| www.gabankers.com |
|
Sub
S Tax Bill
in Subcommittee
Tuesday
|
H.B.
1452 by Representatives Butch
Parrish (D-Swainsboro), Tom
Buck (D-Columbus), Bob
Hanner (D-Parrott), Earl
Ehrhart (R-Powder Springs) and Mickey
Channell (D-Greensboro) is on the agenda for the Income Tax
Subcommittee of the House
Ways and Means Committee Tuesday, February 22.
The Subcommittee is chaired by Rep. Keith
Heard (D-Athens).
The bill is designed to allow stockholders in banks which have
elected Subchapter S tax status to have tax credits formerly available to
the corporation be passed through on a pro rata basis to the individual
stockholders.
The bill will treat banks which have elected Sub S status the same
tax credit pass throughs as other corporations that are Sub S filers.
|
Parrish
|
Heard
|
|
|
|
|
State
Tuition Program
|
The
GBA testified before the University
System of Georgia Committee this week on changes we are requesting
to H.B.
1189 by Representative Louise
McBee (D-Athens) and others which would establish a tax-advantaged
savings program for college students.
The bill as drafted would limit the banks which could offer these
accounts to only those banks with trust powers.
GBA President, Joe Brannen,
asked the committee to expand the definition to include any state or
nationally chartered bank operating in Georgia.
Committee Chairman DuBose
Porter (D-Dublin) asked GBA to work with Legislative Counsel to
redraft the bill to incorporate our recommendations.
The bill is expected to be reconsidered next week.
The bill authorizes accounts to be established that would be exempt
from state income tax and taxed at the student rate at the federal level
when the withdrawals are made for college tuition expenses.
As currently drafted, the annual maximum contribution would be $5,000
and the total maximum allowed in the account would be $100,000.
McBee |
Porter |
|
|
|
Housekeeping
Bill
Advances
|
The
Banking Department’s annual housekeeping bill, H.B.
1231, was reported out of the House
Banks and Banking Committee this week and is expected to be
considered by the full House next week.
The bill would incorporate many of the changes necessary because of
the passage of the federal Gramm-Leach-Bliley Act, more commonly known as
the Financial Modernization Act, S. 900.
The bill will give financial institutions more flexibility in
offering financially-related products.
|
|
|
Perfection
Bill
Passes House
|
H.B.
1364 by Representatives Alan
Powell (D-Hartwell) and Bobby
Parham (D-Milledgeville) passed the House this week and is pending
in the Senate
Transportation Committee.
The bill speeds up the time lenders can perfect their security
interest in motor vehicles by granting perfection when a new form to be
developed by the Revenue Department is presented to either the Revenue
Commissioner or County Tag Agent.
GBA supports this much-needed legislation.
Powell |
Parham |
|
Deferred Presentment
Regulation
|
H.B.
515 by Representative Reichert. Provides for the licensing of any
person or business which accepts a check, but defers the presentment of the
check in exchange for a cash payment to the maker of the check.
S.B.
294 by Senator Cheeks. Creates
the criminal offense of unlicensed commercial loan sharking when a lender
makes 10 or more loan transactions within one year at a rate of interest in
excess of the criminal usury statute.
Financial Institutions and other lawful, regulated similar industries
are exempt. GBA is monitoring.
|
Reichert
|
Cheeks
|
|
|
|
|
Venue
Martin
|
H.B.
369 by Representatives Martin, Bordeaux, Allen and Teper.
Corporations authorized to do business in Georgia would be subject to
lawsuits in the county where the corporation is headquartered; in the county
where the contract to be enforced was made or performed if the corporation
has an office in that county; or where one or more plaintiffs reside at the
time of the filing of the complaint. Furthermore, the corporation is deemed
to transact business in a county where it engages in a regular course of
business activity. GBA is opposed.
|
|
|
Title Insurance
Regulation
Teper
|
H.B.
1084 by Representative
Teper. Would regulate the sale of title insurance and establish premium
rates to be charged by title insurers for single risks of $1 million and
above. GBA opposes.
|
|
|
|
Return Item Charges
Powell
|
H.B.
1389 by Representatives Powell, Martin, Epps, Parrish,
Stallings and others. Allows for the holder of a dishonored check to
collect from the maker any fee charged by the bank or financial institution
to the holder for handling the dishonored instrument. Pending House
Banks and Banking. GBA is monitoring.
|
|
|
|
Boat Titling
Starr
|
S.R.
569 by Senators Starr, Walker and Dean. Creates a study
committee to look into the need to title boats. The study committee
will meet after the session and will make recommendations to the 2001
session of the General Assembly. The GBA has expressed support for
boat titling and will be working with the Study Committee.
|
|
|
Low-Income Housing
Tax Credits
Buck
|
H.B.
272 by Representative Buck,
Royal, Coleman, Heard, Jamieson and Stancil.
Provides for a tax credit for low-income housing and exclude certain
capital gains income from state taxable net income.
Pending House Ways and Means.
|
|
|
Preneed Funeral
Service Contracts
Polak
|
S.B.
431
by Senator Polak.
Requires that funds deposited for preneed contracts be held in a
financial institution insured by the FDIC.
Pending Senate Banking and Financial Institutions Committee.
|
|
|
|
GBA Keeps You
Informed |
GBA’s
Legislative Update is intended
to keep you apprised of the bills that the GBA is tracking on the
industry’s behalf. Subsequent
issues will be mailed on alternate Fridays except when the legislature is
in recess. On Fridays that
the Update is not mailed, GBA’s LegisFAX
will be sent via fax to all CEO’s, Contact Bankers, Bank Counsel
Section members and those interested in tracking issues on a weekly basis.
The electronic version of both the Legislative Update and the LegisFAX
will be sent by e-mail to those on our e-mail list.
The ‘State Issues’ section of GBA
Online, GBA’s home page at www.gabankers.com,
is linked to the website maintained by the General Assembly and assures
that you will have the latest version of any bill being tracked by the GBA. |
|
|
|
GBA’s
Lobbyists at the Capitol
|
The
lobbying team for the GBA will be at the Capitol full-time throughout the session. If you need to get in touch with any of them on a
particular issue, several ways are available. Call the main number at the GBA,
(404) 522-1501, or leave a message on their direct voice mail, or send them an
e-mail. They
will get back to you at the earliest opportunity.
Joe
Brannen, Direct phone, (404) 420-2026
Elizabeth
Way, Direct phone, (404) 420-2027
Don Browne, Direct phone, (404)
420-2021
Dan Thomason, Direct phone, (404)
420-2016
|
|
|
| The
electronic version of GBA's Legislative Update will be published regularly
during the 2000 session of the Georgia General Assembly. Let GBA's Lydia
Thomas know of others you would like to add to our distribution list.
|
|
|