Legislative
Update |
February
9, 2001 A review of current developments from the Georgia
Bankers Association |
| General
Assembly Mourns Harold Mann
Rep. Mann |
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The Georgia General
Assembly recessed on Tuesday to
attend the funeral of Rep. Harold Mann (R-Rocky Face) who died
unexpectedly on Saturday. Rep. Mann was elected to the House in 1990, and we extend our
sympathies to his family. The
General Assembly has returned to work and spent much of the week on the
budget and receiving the annual State of the State address from Governor
Roy Barnes. The pace
is expected to quicken as only 22 legislative days remain in this session. |
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Predatory
Lending Bill in Subcommittee
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Sen. Fort
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S.B.
70 by Sen.
Vincent Fort has been assigned to a subcommittee by Senate
Banking Committee chairman, Don
Cheeks. The
subcommittee members are Senators Casey
Cagle (chair), Carol
Jackson, Bill
Stephens and David
Scott. Senator
Cheeks, who will serve ex officio, directed the subcommittee to
hold a public hearing and report their findings at their earliest
opportunity. The GBA met again this week with Sen. Fort and the Fair
Lending Coalition that he chairs.
We are still attempting to negotiate an agreement to restrict the
bill to only predatory lenders and not all lenders.
Sen. Fort has been willing to discuss this idea, but seems to be
focusing on prohibiting the financing of credit insurance as an issue on
which he is non-negotiable. Our
thanks to our members who returned the credit insurance survey this week.
More than 98% of the responding banks finance single premium credit
insurance, a practice which would be disallowed if S.B. 70 were to pass in
its current form. |
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UCC 9 Bill Remains in Committee
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Rep. Martin
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H.B.
191 by Rep.
Jim Martin was the subject of subcommittee action this week.
The bill deals with secured transactions and is the first
substantial rewrite of this area of law since 1962.
GBA has worked to maintain some of the current agriculture-related
non-uniform language from the current law as well as lenders’ priority
lien position on certain mechanics and materialmens liens.
The subcommittee is scheduled to meet early next week to vote on
several amendments including one that would give mechanics liens priority
over lenders when a titled vehicle was the collateral.
GBA opposes this amendment, but we support the overall concept of
the legislation.
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House Committee to Meet
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Rep. Parrish
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The
House Banks
and Banking Committee, chaired by Rep. Butch
Parrish, is slated to meet on Monday.
Two bills are on the agenda: the
Banking Department’s annual housekeeping bill, S.B.
16, and a bill to regulate pay-day lenders.
Among the provisions in the housekeeping bill:
adding investments banks may make in the Federal Home Loan Bank,
expedited notice provisions of new activities, and allowing a limited
number of non-US citizens to serve on a bank board.
GBA supports.
H.B.
207 would regulate the
so-called “payday lender” industry.
Entitled the Deferred Presentment Act, the bill is similar
to legislation which was held last year in
committee. We expect
both bills to be reported to the full House.
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Higher Education Savings Plan
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Gov. Barnes
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Governor
Barnes had H.B.
417 introduced this week. The bill creates a method for tax-advantaged savings for
college and other higher education expenses.
The bill uses a conservative approach to those who could take
advantage of the state tax savings and efforts are being made to raise the
level. The bill is pending in
the House Higher
Education Committee. |
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| Fraudulent
Transfer Act
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H.B.
84, which adopts the
national model fraudulent transfer language, has been introduced by Rep.
Jim Martin.
The bill has passed the House.
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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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| Follow All
Banking Legislation
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GBA's
Legislative Update is intended to keep you apprised of key
legislation GBA is tracking on the industry's behalf. The above
bills are the ones of most interest that received action this week.
Click here for a list of all bills GBA
is following this session.
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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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