Legislative Update

January 18, 2002          A review of current developments from the Georgia Bankers Association

www.gabankers.com
General Assembly Convenes

The Georgia General Assembly convened for the second year of their two-year term on Monday.  The leadership predicted a quick session with most of the time and attention being spent on the budget.  Some attention will be given to minor adjustments to the redistricting maps adopted by the special session last fall, especially the Senate maps.

Governor’s Budget Address

 

Governor Roy Barnes addressed a joint session of the General Assembly on Wednesday outlining the key components of his budget recommendations.  Taking advantage of low interest rates and the state’s excellent credit rating, the Governor is recommending an accelerated building program through bonded indebtedness to provide an economic stimulus.  Rural roads, schools and prisons would be the focus of the building program.  Also a teacher pay raise is included in the budget recommendation that will put further distance between Georgia teacher salaries and those of other southeastern states.  Georgia leads those states in teacher pay and now ranks 17th in the nation.  The Governor reminded the members of the General Assembly of the significant advantage Georgia has over some of our neighboring states who are facing astounding budget deficits.  While revenue collections were down for the last fiscal year for the first time in many years, the state still has a surplus.

Legislative Reception a Huge Success Almost 800 people attended the annual GBA Legislative Reception honoring the Georgia General Assembly, constitutional officers and other state dignitaries this week.  Our thanks to the hundreds of bankers who made the trip to Atlanta to visit with their local legislators and let them know how much we appreciate their service.  Governor and Mrs. Barnes, Lt. Governor Taylor, Speaker Murphy and all the key house and senate leadership were there along with most other members of the General Assembly.


Speaker Pro-tem and Mrs. Jack Connell
and Speaker Murphy

GBA Board Reviews
Legislative Initiatives 		The GBA Board of Directors met earlier this week and set the association’s priorities for the upcoming session.  Joining the board were members of the Public Affairs Committee and BankPAC Board of Directors.  House Banks and Banking Committee Chairman Butch Parrish (D-Swainsboro) spoke to the group and discussed the challenges and opportunities facing the members of the General Assembly.  David Sorrell and Leslie Bechtel of the Georgia Department of Banking and Finance briefed the bankers on the proposed housekeeping bill.  The board also received reports on the predatory lending bill pending from last session and legislation, which may be introduced to prevent state-chartered banks from owning real estate brokerage operations.

Predatory Lending S.B. 70 by Senate Banking Committee Substitute.  The bill attacks predatory lending practices without causing undue harm to traditional lenders.  The bill was adopted unanimously by the Senate in the 2001 session and is pending in the House Banks and Banking Committee.  GBA supports the Senate-passed version.

Commissioner Experience S.B. 344 by Senators Fort, Thomas and James.  Removes the requirement that the Banking Commissioner have 5 years of banking experience and requires that the Commissioner have 5 years of consumer protection and advocacy experience.  GBA oposed.

Disposal of Records H.B. 926 by Representatives Ashe, Martin,  Campbell, Skipper and Reed.  Requires financial institutions and others to shred any records prior to disposal containing personal information.  GBA has offered an amendment to exclude banks from the legislation as they are already covered under the privacy provisions in Gramm-Leach-Bliley.  The bill will probably be combined with the Governor’s privacy legislation expected to be introduced later in the session.  GBA monitoring.

Historic Property
Tax Credits 		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 bill provides 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.

Uniform Fraudulent
Transfer Act

 

H.B. 84 by Representatives Martin, Allen, Reichert and Campbell creates the Uniform Fraudulent Transfer Act to update the Georgia Code to conform with national standards.  This same bill was almost adopted last year but got caught up in the last minute rush to adjournment.  The bill has passed the House and is pending in the Senate Banking and Financial Institutions Committee.  GBA supports.

Motor Vehicle Titles H.B. 939 by Representative Parham.  Imposes a penalty of $250 plus actual
damages and attorney's fees on lenders who do not release a satisfied lien on a motor vehicle within the 10 day period already mandated.  GBA monitoring.

Database Protection S.B. 214 by Senators Polak and Lamut creates a new statute designed to protect the owners of databases. The bill originally contained language that may have been interpreted to violate the privacy provisions of the Gramm-Leach-Bliley Act.  This language was removed in a floor amendment in the Senate which passed the bill.  GBA monitoring.

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 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, 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) 522-1501

The electronic version of GBA's Legislative Update will be published regularly during the 2002 session of the Georgia General Assembly.  Let GBA's Lydia Thomas know of others you would like to add to our distribution list.

State Legislative Issues l Georgia House of Representatives l Georgia State Senate l Governor

Federal Legislative Issues l Georgia Members of Congress