Legislative Update

February 25, 2000          A review of current developments from the Georgia Bankers Association
www.gabankers.com
 

Insurance Bill Reported

  

The Senate Banking and Financial Institutions Committee reported H.B. 656 this week.  The bill is designed to eliminate the “Town of 5,000” restriction so that banks anywhere in Georgia may sell insurance.  Sen. Paul Broun (D-Athens) offered a committee substitute that changed some of the restrictions on selling title insurance that we explained in last week’s publication.  The next step for the bill is to be approved by the Senate Rules Committee so that it can be put on the Senate calendar.  The bill will be handled by Banking Committee chairman Don Cheeks (D-Augusta).  Should the Senate pass the bill in its current form, a conference committee will be necessary with the House.


Broun


Cheeks

Subchapter “S” Bill 
Passes House

H.B. 1452 passed the House unanimously this week and is pending in the Senate Finance and Public Utilities Committee chaired by Sen. Nathan Dean (D-Rockmart).  The bill is designed to remove an inequity in the statutes that treats stockholders of Subchapter “S” banks differently from non-bank Subchapter “S” corporate stockholders.  The bill was reported out of the Income Tax Subcommittee, the full Ways and Means Committee and the Rules Committee this week thereby clearing it for a vote on the House floor.  Our thanks to Rep. Butch Parrish (D-Swainsboro) who handled the bill throughout the process in the House and to Rep. Tom Buck (D-Columbus), chairman of the Ways and Means Committee, for expediting consideration of the bill.  Sen. Terrell Starr (D-Forest Park) will be handling the bill in the Senate.


Dean
Parrish
Buck
Starr

Housekeeping Bill 
Passes House


Franklin

The Banking Department’s annual housekeeping bill was passed unanimously by the House this week.  H.B. 1231 contains a number of provisions needed to update Georgia law to keep state chartered banks competitive with nationally chartered banks due to the passage of the federal Financial Modernization bill.  An amendment was offered by Rep. Bobby Franklin (R-Marietta) that would have prevented the state from doing business with a bank that fingerprinted non-customers cashing checks.  Only 30 members voted for the amendment but it delayed action on the bill for several hours.  The bill is now pending in the Senate Banking and Finance Committee where action is expected at their next meeting.
Venue Compromise Reached


Martin

The Georgia Chamber of Commerce has reached a compromise with Rep. Jim Martin (D-Atlanta), chairman of the House Judiciary Committee, on H.B. 1346, the bill that changes Georgia’s venue statutes.  The Chamber has taken the lead for the business community in opposing the original version of the bill and crafting what they are suggesting is an acceptable compromise.  If amended as expected, the bill will provide for a suit to be filed wherever the cause of action originated, but will give the defendant the right to move the case to the county where it has its principal place of business. By filing a simple notice of removal with the court, the removal would be automatic. 

Pre-need Funeral Contracts


Polak

S.B. 431 by Sen. Mike Polak (D-Atlanta) appeared before the Senate Banking and Financial Institutions Committee this week to explain his bill that would require funds invested in pre-need funeral service contracts be placed in financial institutions having FDIC insurance coverage.  The committee had a number of questions about the trusts that would be disallowed if the bill passed and a subcommittee is looking further into the matter.
Deferred Presentment Bill Held


Reichert

The House Banks and Banking Committee tabled H.B. 515 by Rep. Robert Reichert (D-Macon) this week.  The bill would regulate “payday” lenders and the supporters may try to resurrect the bill later in the session.

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.

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