Legislature Winding Down

ATM Study Resolution Introduced

We reported in the last Legislative Update the Senate Banking and Financial Institutions Committee did not report S.B. 513, a bill by Senator John Wiles (R-Marietta), which would mandate that every outside ATM be equipped with a button to be used in an emergency to call the local 911 service.  Sen. Wiles continues to press the issue and this week introduced H.R. 1183, a resolution calling for the creation of the Senate Committee on Remote Service Terminal (ATM) Safety.  The Resolution calls for the committee to meet up to five times before December 1.  Among the issues the committee would study is the overall safety of ATMs, the availability of 911 service at ATMs, and reverse PIN technology.  The Resolution is pending in the Senate Rules Committee.  GBA President Joe Brannen said, "Georgia banks took the lead 12 years ago in adopting what have become nationwide industry standards for ATM safety and we have a good record to stand on.  And, as far as any technological changes, until the international standards for ATM cards are modified to accommodate more than one PIN, there is absolutely nothing the General Assembly can do about that.  Plus, anything the General Assembly may pass would only apply to ATMs owned by state-chartered banks which control less than half the bank deposits in Georgia.  This study committee would be a total waste of time and resources as nothing new would be learned." 
 

Crossover Day Sees Four Bills Pass GBA is Monitoring

Monday of this week was known as Crossover Day.  This day is always a long one as it is the deadline for a bill to have passed at least either the House or Senate in order to be considered this year.  While the Senate finished relatively early, the House was in session until well past midnight.  Four bills GBA has been monitoring passed the House on Monday, so they are eligible for further action in the Senate:

• Notice of Real Estate Settlements
  H.B. 1282 by Representatives Ralston and O'Neal.  Creates a "Notice of Settlements" form that any party to the transfer of ownership of real estate or who creates a lien or mortgage on the property by way of a deed to secure debt, mortgage, or other instrument may file with the Clerk of Superior Court and if a lien is filed during the 45 day existence of the Notice of Settlements and the title has not changed hands, the lien will attach to the property.
   

• Infrastructure Development Districts
  H.B. 1323 by Representatives O'Neal, Keen, Royal and Porter.  Creates infrastructure development districts throughout the state and provides for financing alternatives to fund various programs.
  H.R. 1339 by Representatives O'Neal, Royal and Porter.  This is the constitutional amendment accompanying H.B. 1323 above that must be approved by the voters in November.
   

• Escrow Deposit Accounts
  H.B. 1273 by Representative O'Neal, Talton and Morris.  Amends the current statute requiring tenant escrow deposits to be placed in a bank account to remove the provision that requires the landlord to inform the borrower of the account number.  The requirement to notify the tenant of where the account is established remains in effect.

Ralston

O"Neal

Insurance Bill Being Amended

We have been watching two bills that change the way life insurance policies could be assigned to financial institutions.  H.B. 1304 was introduced by House Insurance Committee Chairman Tom Knox (R-Cumming) and others.  Among other things, the bill provides that neither the cash surrender values nor the proceeds of life insurance policies and annuity contracts shall be liable to attachment, garnishment, or legal process in favor of any creditor of the person for whose use or benefit the policy or contract was executed.  As we have reported in previous Legislative Updates, GBA had some concerns with the vagueness of some of the language in the bill.  We appreciate the help of Danah Craft at SunTrust Banks, Inc. and Tom Gilliland at United Community Banks, Inc. for their continued assistance in offering language to improve the bill.  Chairman Knox and Senate Insurance and Labor Committee Chairman, Ralph Hudgens (R-Comer) have agreed to amend the bill in committee next week to address our concerns.  A similar bill was introduced in the Senate last year, but was never acted upon.
 

File Freeze Bill Still a Possibility

None of pending credit report file freeze bills passed either the House or Senate by Crossover Day.  However, the author of one of the House versions, Rep. Tommy Benton (R-Commerce) has continued to find another bill to amend with his language.  Rep. Benton's bill, H.B. 1389,  would allow only consumers who have been victims of identity theft to freeze their credit files and the freeze would not apply to existing account relationships the consumer has with creditors.  The bill was also prohibit the credit reporting agencies from charging a fee to provide the freezing and thawing service.  His most recent attempt was unsuccessful to attach the bill to S.B. 394, legislation which prohibits the sending of emails pretending to be another with the purpose of getting personal identifying information (phishing).
 

Benton

Nine Bills GBA Monitoring Still Eligible for Action

• Insurance Proceeds
  H.B. 1304 by Representatives Knox, Brown and Meadows.  Among other things, the bill provides that neither the cash surrender values nor the proceeds of life insurance policies and annuity contracts shall be liable to attachment, garnishment, or legal process in favor of any creditor of the person for whose use or benefit the policy or contract was executed.  See story above.  The bill is expected to be reported as amended next week by the Senate Insurance and Labor Committee.

• J. Alton Wingate, Sr. Recognition
  S.R. 686 by Senator Schaefer.  Names a portion of U.S. 441 in memory of J. Alton Wingate, Sr., former CEO of Community Bankshares, Inc., in Cornelia and former GBA Chairman.  The bill has passed out of the House Transportation Committee.

• Wire Transfer Fee for Illegals
  H.B. 1238 by Representatives Rice, Mills, Ehrhart, Hill, Coan and Rogers.  Requires money transmitters sending wires out of the country to collect a 5% fee from anyone wiring money who cannot show they are in the U.S. legally.  The bill is expected to receive a hearing next week in the Senate Banking and Financial Institutions Committee.

• Escrow Deposit Accounts
  H.B. 1273 by Representative O'Neal, Talton and Morris.  Amends the current statute requiring tenant escrow deposits to be placed in a bank account to remove the provision that requires the landlord to inform the borrower of the account number.  The requirement to notify the tenant of where the account is established remains in effect. See the story above.  The bill is pending in the Senate Special Judiciary Committee.

• Mechanic and Materialman Liens
  S.B. 530 by Senators Weber and Seabaugh.  Amends the current provisions of the law dealing with mechanics and materialmen to allow a lien to attach to property for improvements done at the request of a tenant or subcontractor acting on behalf of the owner; the lien could also extend improvements authorized by the tenant or subcontractor to the adjacent easement or public right of way.  The bill is pending in the House Judiciary Committee.

• Manufactured Home Titling
  S.B. 253 by Senator Smith, Weber, Carter, Meyer von Bremen, and Hamrick.  Amends the current law dealing with converting a manufactured home from personal to real property by adding a new term, "Certificate of Permanent Location" and further provides for how the document is to be recorded and replaced.  The bill is pending in the House Rules Committee.

• Infrastructure Development Districts
  H.B. 1323 by Representatives O'Neal, Keen, Royal and Porter.  Creates infrastructure development districts throughout the state and provides for financing alternatives to fund various programs.
  H.R. 1339 by Representatives O'Neal, Royal and Porter.  This is the constitutional amendment accompanying H.B. 1323 above that must be approved by the voters in November.  See story above.  The bills are pending in the Senate Economic Development Committee.

• Phishing
  S.B. 394 by Senators Staton, Shafer, Chance, Douglas, Chapman and others.  Prohibits the sending of emails pretending to be another with the purpose of getting personal identifying information.  The bill is pending in the House Judiciary (Non-civil) Committee.

Schaefer

Rice

Weber

Smith

Staton

GBA Monitoring More Than Three Dozen Bills

The Georgia Bankers Association is following a number of bills carried over from the 2005 legislative session all those introduced in the 2006 session.  All the 2005 bills are eligible for consideration at any time and many are of serious concern.  We have substantially revised GBA's website and particularly the Government Relations area.  Please check this area frequently as we update the State Government Relations page daily while the General Assembly is in session.  Please click here to see the bills currently on our watch list.
 

GBA's Lobbyists

GBA is represented this year at the Capitol by our three lobbyists:  Joe Brannen, Elizabeth Chandler and Don Browne so give them a call if you have questions about any legislation.  Don’t forget to check the 2006 State Issues link on GBA’s website for up-to-the-minute status of bills being followed this session.

Joe Brannen, Direct phone, (404) 420-2026
Elizabeth Chandler, Direct phone, (404) 420-2027
Don Browne, Phone, (404) 522-1501

GBA Keeps You Informed

GBA’s e-Legislative Update is intended to keep you apprised of the bills that the GBA is tracking on the industry’s behalf and is sent on Fridays during the session.  On Fridays when the Update is not mailed, it will be sent electronically to those who have provided us with their email addresses.  The ‘State Issues’ section of GBA’s website, 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.

The e-version of GBA's Legislative Update will be published regularly during the 2006 session of the Georgia General Assembly.  Please let GBA's Lydia Thomas know of others you would like added to our distribution list.
 

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