Legislative
Update |
February
2, 2001 A review of current developments from the Georgia
Bankers Association |
| The
Flag Deal Gets Done
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The
Governor and
legislative leaders make quick work of creating a new flag for Georgia.
In near-record time, the General
Assembly adopted the flag, the bill was signed by the Governor and
the new flag hoisted atop the Capitol.
In a presentation to the Government Affairs Council of the Georgia
Chamber of Commerce on which GBA participates, the Governor said, “This
was the only way to get the flag changed.
People can complain about the process all they want, but it was the
right thing to do and it had to get done sooner rather than later.”
The Governor went on to outline his critical agenda ahead which he
said had gotten off track somewhat by the flag debate:
DUI, Education Savings Accounts, Water, and Education.
He said he would not recommend any new tax legislation due to the
weakening of the state’s economy, but reported he had funded another 1%
for the state’s reserves through discretionary authority he was given by
last year’s General Assembly.
The reserve now stands at 4%, a record level. |
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Predatory
Lending Meeting
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Sen. Fort
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As
reported in last week’s LegisFAX, legislation has been
introduced,
S.B.
70,
designed to stop predatory lending practices in Georgia.
The GBA has taken a position against the bill because it so broadly
defines predatory lending that many traditional bank loans would be
affected.
For example, the financing of single premium credit insurance would
be prohibited if the mortgage or installment loan had improved real estate
as any part of the collateral.
The bill is on the agenda for the Senate
Banking and Financial Institutions Committee meeting next
Thursday, so we need your feedback immediately.
GBA was asked this week by the author,
Sen.
Vincent Fort
(D-Atlanta)
to meet with him and the supporters of his predatory lending efforts to
discuss our concerns.
In a two-hour meeting, we explained our objections to including all
home loans in their predatory lending definitions and the many problems
the bill would cause traditional lenders.
The proponents of the bill were quite emotional in advocating their
position and we left the meeting with little indication they were willing
to consider any of our objections. |
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Housekeeping Bill in
Committee
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Rep. Parrish
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The
Banking Department’s annual housekeeping bill, which passed the Senate
last week, is pending in the House
Banks and Banking Committee.
House Committee chairman Butch
Parrish, (D-Swainsboro) has announced the bill will be considered
on Monday.
Among the provisions in the bill:
adding investments banks may make in the Federal Home Loan Bank and
expedited notice provisions of new activities.
GBA supports. |
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Georgia Qualified State Tuition Program
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Rep. McBee
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H.B.
83 by Representatives McBee,
Porter, Coleman, Buck, Connell, and Kaye. Would provide for tax benefits
through establishing school tuition accounts to pay for qualified higher
education expenses. S.B.
29 by Senators Cagle, Hill, and Williams as well as H.B.
14 by Representatives Kaye, Westmoreland, Porter, Ehrhart and
McGee are similar bills. Governor
Barnes recently announced his support for the program and included the
concept in his legislative package for 2001.
GBA supports. |
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UCC Article 9
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Rep. Martin
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The GBA, the State
Bar of Georgia, legislators and the Office of Legislative Counsel
have been working on a bill, H.B.
191 by Rep.
Jim Martin, to revise Article 9 of the Uniform Commercial Code (UCC).
Article 9 is the part of the UCC that deals with secured
transactions and has been effective in Georgia since 1962 and with some
variations, all other states. This
revision started with the National Conference of Commissioners on Uniform
State Laws and their drafting process began in the early 90s.
Roughly 37 states have already adopted the revisions or are in the
process of doing so. The most
important aspect of revised Article 9 is that an agreement could now be
made and notices given either by electronic means or on paper.
GBA staff has participated in several subcommittee meetings of the
House Judiciary Committee over the last two weeks and the bill is on the
full committee calendar for a vote next week.
GBA supports.
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Electronic Signatures
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Sen. Lamutt
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S.B.
24 by Senators Lamutt, Polak, Thomas, Perdue and Mullis.
Clarifies that any Georgia statute relating to any record other
than electronic or type of signature other than electronic shall be
permitted to use electronic records and signatures.
The bill has already passed the Senate and is pending in the House
Judiciary Committee. GBA
supports. |
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Historic
Property Tax Credits
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Rep. Jamieson
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H.B.
118 by Representatives
Jamieson, Ashe and McClinton. The GBA has joined with The Georgia
Trust, the Historic Preservation Division of the Georgia Department of
Natural Resources and other preservation organizations to support
legislation to further encourage the revitalization of historic
neighborhoods and central business districts.
The Joint Study Committee on Historic Preservation recommended this
idea, The Homeowner and Downtown Assistance Act, in 1998.
The bill would provide a 30% state tax credit for a certified
rehabilitation of residential properties, a 25% state tax credit for a
certified rehabilitation of income-producing properties, a mortgage
certificate program targeted to low- to moderate-income residents who may
not benefit from a state tax credit and a pass-through provision for
developers. GBA supports.
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Lawyers Trust Accounts
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Rep. Wiles
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H.B.
220 by Representative
Wiles. Requires a bank to
verify if a check deposited in a lawyers trust account has been honored.
GBA opposes.
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| For More Information
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Contact GBA’s
lobbying team for information about these or other bills pending in the
General Assembly:
Joe
Brannen (404) 420-2026
Elizabeth Way (404) 420-2027
Don Browne
(404) 522-1501
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| Let Us Have
Your Feedback
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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. Please take a
moment to write or send an email to GBA President Joe
Brannen with your suggestions for improving these publications or with
questions.
The ‘State Issues’ section of
GBA
Online
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.
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| The
electronic version of GBA's Legislative Update will be published regularly
during the 2001 session of the Georgia General Assembly. Let GBA's Lydia
Thomas know of others you would like to add to our distribution list.
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