HAPPENINGS AT THE STATE CAPITOL
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General Assembly Days 32–35: Negotiations Intensify as Sine Die Nears
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The General Assembly convened for Legislative Days 32–35 this week, with action on bills accelerating as Sine Die approaches. Committees met late into the evenings as lawmakers worked through a growing list of measures and added multiple bills to those with a chance of passage. Things can get complicated quickly when this happens, and your GBA Advocacy team is working hard to stay on top of changes and additions. One of the most closely watched developments was a 60-day suspension of the state gas tax, signed by Gov. Brian Kemp on Friday. The move is in response to rising fuel prices tied to the ongoing conflict in Iran and broader global uncertainty. The suspension was added to the annual Internal Revenue Code update, HB 1199, by Rep. John Carson (R-Marietta), a bill that now also includes an annual $100 million cap on Georgia’s Low-Income Housing Tax Credit (LIHTC) program. This provision remains a key focus for GBA members with interests in low-income housing finance, and GBA is pursuing clarifying language for members doing business in this space. The Legislature will reconvene Monday, Wednesday, and Friday next week, with Tuesday and Thursday reserved for committee workdays. Sine Die is scheduled for Thursday, April 2.
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GBA Supported Vendor Compensation Bill Replaced in Senate Finance Committee
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HB 439 by Rep. Bill Yearta (R-Sylvester), which the GBA has supported for two legislative sessions, proposes increasing vendor compensation for collecting and remitting sales taxes to the state, was significantly altered this week in the Senate Finance Committee. The original language was written to include recommendations from the House Study Committee on Interchange, which met in 2024, and is a fair solution for retailers wishing to prohibit the charging of interchange on the sales tax portion of card transactions, as offered this year in SB 512 by Sen. Drew Echols (R-Gainesville). On Wednesday, the original language of HB 439 was stripped and replaced with HB 1156 by Rep. Gary Richardson (R-Augusta). The substituted bill authorizes local governments to establish voter-approved homeowner incentive programs that provide property tax relief to qualified homestead properties. It requires referendum approval and creates dedicated grant funds, using surplus revenues to help offset homeowner tax liabilities. The bill was favorably reported and now heads to the Senate Rules Committee for further consideration. The Senate sponsor is Sen. Lee Anderson (R-Grovetown).
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Banking Committee Action in Both Chambers this Week
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Both House and Senate banking committees met Tuesday to consider several measures.
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House Banks & Banking Committee
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| Transactional Gold & Silver
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SB 424 by Sen. Marty Harbin (R-Tyrone) would require Georgia to recognize gold and silver as legal tender for voluntary transactions by Jan. 1, 2028, create a Bullion Depository Commission, and prohibit state-level capital gains taxation on such transactions. The committee did not vote on the bill but may hold another meeting on it next week.
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Senate Banking and Financial Institutions Committee
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HB 1272 by Rep. Todd Jones (R-South Forsyth) would authorize the Georgia Department of Banking and Finance to license and regulate stablecoin issuers under a framework similar to the federal GENIUS Act. The committee did not vote on the bill but it will be heard again next Tuesday morning.
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The committee did favorably report the following three bills:
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HB 948 by Rep. Beth Camp (R-Concord) requires foreclosure notices to include information about surplus funds and instructions on how debtors can claim them. It mandates a warning that unclaimed surplus funds may escheat to the state after five years if not claimed by the debtor. Senate sponsor is Sen. Steven McNeel (R-Macon)
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HB 1024 by Rep. Soo Hong (R-Lawrenceville) increases the homestead exemption for bankruptcy and insolvent estates from $21,500 to $50,000 for individuals and from $43,000 to $100,000 for married couples. It establishes automatic annual inflation adjustments beginning July 1, 2031, based on rates determined by the state revenue commissioner. The Senate sponsor is Sen. Marty Harbin (R-Tyrone).
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HB 1134 by Rep. Kimberly New (R-Villa Rica) revises notice requirements for motor vehicle repossessions regarding personal property found in repossessed vehicles. It establishes a rebuttable presumption that repossession is complete when the vehicle is attached to a tow truck, entered by the repossessing party or moved by the repossessing party. The Senate sponsor is Sen. Tim Bearden (R-Carrollton).
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Updates on Other Legislation GBA is Tracking
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Be sure and set a web browser bookmark for the State Issues page on the GBA website to track details about specific bills during the session. Clicking a bill number link gives you the text of the bill and its current status as it moves through the process. GBA is tracking many bills on the State Issues page that will be reported on during the session if action is taken on them and they are relevant to the banking industry. This week, we want to note the following:
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HB 61 by Rep. Devan Seabaugh (Marietta) originally dealt with license plates for hearses and ambulances. The Senate Public Safety Committee substituted it to revise unlawful squatting provisions by removing the citation and documentation requirements for an individual who commits or is accused of committing unlawful squatting. The bill also clarifies the rights, duties and liabilities of innkeepers regarding guest removal, establishes procedures for removal by law enforcement officers and creates civil remedies for those wrongfully removed. The bill passed the Senate and now must return to the House for agreement. The Senate sponsor is Sen. Shawn Still (R-Johns Creek).
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SB 284 by Sen. Larry Walker (R-Perry) authorizes the Secretary of State to order persons who violate securities laws to return principal amounts and collected moneys to investors. The bill passed the House and now must return to the Senate for agreement. The House sponsor is Rep. Scott Hilton (R-Peachtree Corners).
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| Property Owners Associations
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SB 406 by Sen. Matt Brass (R-Newnan) requires annual registration with the Secretary of State for all property owners' associations with a $100 fee and financial disclosure requirements. It establishes a list of specific rights for community association owners. Additionally, it prohibits associations from bidding at foreclosure sales and raises the minimum foreclosure threshold from $2,000 to $4,000. The Secretary of State is also authorized to deny, suspend or revoke registrations for violations and limit association powers. Multiple amendments were added to, among other things, extend notice periods from 30 to 90 days for foreclosure proceedings and add attorney’s fee notification requirements from HB 1221 by Rep. Saira Draper (D-Atlanta). The bill was favorably reported by the House Judiciary Committee.
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HB 413 by Rep. David Jenkins (R-Grantville) originally dealt only with prohibiting counties and cities from regulating livestock or livestock owners on private property or public roads. The bill was amended in the Senate Agriculture and Consumer Affairs Committee to include language on Transfer on Death Deeds, specifically requiring designated beneficiaries to execute affidavits and record them to accept property transferred through said deeds. The bill was favorably reported. The Senate sponsor is Sen. Bo Hatchett (R-Cornelia).
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HB 447 by Rep. Joseph Gullett (R-Dallas) seeks to address criminals obtaining gift cards before purchase, removing redemption data from packaging, recording PINs, repackaging the cards and placing them back on store shelves. When consumers activate these cards, criminals receive notification and steal the money, leaving the intended recipient with worthless cards. The bill targets possession of redemption data, packaging tampering and the tools used for these crimes, making them all felonies. The bill was favorably reported by the Senate Judiciary Committee. The Senate sponsor is Sen. Randy Robertson (R-Cataula).
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SB 593 by Sen. Bo Hatchett (R-Cornelia) adds disclosure requirements for development impact fees and requires cities and counties to disclose total development impact fees upon individual request. It applies to any real estate parcel when ownership transfer would trigger fee obligations. The bill was favorably reported by the House Governmental Affairs Committee. The House sponsor is Rep. Victor Anderson (R-Clarkesville).
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SB 594 by Sen. Tim Bearden (R-Carrollton) makes digital identity fraud a felony punishable by 1-20 years’ imprisonment and fines of $1,000-$500,000. It criminalizes unauthorized use of someone's name, image or profile information on social media to deceive, harm or commit fraud. It also provides civil lawsuit rights for identity theft victims to recover damages and attorney fees. The bill was favorably reported by the House Technology and Infrastructure Innovation Committee. The House sponsor is Rep. Tyler Paul Smith (R-Bremen).
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| Real Estate Disclosures and False Liens
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HB 618 by Rep. Joe Campbell (R-Camilla) requires sellers of residential real property in Georgia to disclose any flood damage history during their ownership to potential buyers. It also establishes a $1,500 fine for frivolous mechanic liens filed without substantial justification or in bad faith. The bill was favorably reported by the Senate Judiciary Committee. The Senate sponsor is Sen. Steven McNeel (R-Macon).
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HB 676 by Rep. Rob Clifton (R-Evans) establishes a $1,500 fine for each frivolous mechanic lien filed without substantial justification or in bad faith. It adds financial penalties in addition to existing attorney fees and court costs. The bill was favorably reported by the Senate Judiciary Committee. The Senate sponsor is Sen. Ed Setzler (R-Acworth).
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Voluntary Portable Benefits
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HB 987 by Rep. Todd Jones (R-South Forsyth) establishes portable benefit plans and accounts for independent contractors. Banks, along with other financial institutions and entities, may serve as portable benefit account providers if they meet certain qualifications. The bill passed the Senate and now heads to the Governor for his consideration. The Senate sponsor was Sen. Shawn Still (R-Johns Creek).
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| Income Tax Rate Reduction
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HB 1001 by Rep. Will Wade (R-Dawsonville) sets Georgia's individual income tax rate at 4.99% starting Jan. 1, 2026, instead of the previously scheduled 5.19% rate. It establishes specific revenue conditions that must be met to prevent delays in implementing the tax rate reduction. The bill was favorably reported by the Senate Finance Committee. The Senate sponsor is Sen. Bo Hatchett (R-Cornelia).
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HB 1085 by Rep. Jesse Petrea (R-Savannah) creates tax credits for forestry manufacturing facilities in Georgia, ranging from 3% to 15% of qualified investment property, depending on county tier designation. It allows forestry manufacturers to transfer or sell these tax credits to other Georgia taxpayers, subject to specific reporting requirements. The bill was favorably reported by the Senate Finance Committee. The Senate sponsor is Sen. Larry Walker (R-Perry).
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HB 1112 by Rep. Carter Barrett (R-Cumming) requires merchants to round cash transaction totals to the nearest five cents when customers pay with coins or currency. Applicable sales tax must be charged on the full sales price before rounding. The bill was favorably reported by the Senate Finance Committee. The Senate sponsor is Sen. Chuck Hufstetler (R-Rome).
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HB 1114 by Rep. Bill Yearta (R-Sylvester) requires Georgia public schools to provide financial literacy instruction to all students K-12, with a mandatory half-credit course for high school graduation. It prohibits schools from partnering with or accepting materials from gambling enterprises while mandating gambling risk education in financial literacy curriculum. The bill was amended in the Senate Education and Youth Committee to include state-level requirements for digital literacy and online safety education for students K-12. The bill was favorably reported by the committee. The Senate sponsor is Sen. John Albers (R-Roswell).
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| Farm Bridge Assistance Program
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HB 1159 by Rep. Matthew Gambill (R-Cartersville) exempts from Georgia state income taxation all payments received under two federal USDA agricultural assistance programs. It applies to individuals, corporations, and partnerships for taxable years beginning on or after Jan. 1, 2025. The bill passed the Senate and now heads to the Governor for his consideration. The Senate sponsor was Sen. Bo Hatchett (R-Cornelia).
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| State Agencies and Red Tape Rollback
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HB 1247 by Rep. Matt Reeves (R-Duluth) prohibits courts and administrative officers from deferring to state agency interpretations of laws and regulations. The bill was amended by the Senate Judiciary Committee this week to include SB 28 by Sen. Greg Dolezal (R-Cumming), which establishes procedures for small-business impact analyses of legislative bills and creates periodic sunset reviews of state agency rules. The committee favorably reported the bill. The Senate sponsor is Sen. Bo Hatchett (R-Cornelia).
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HB 1268 by Rep. James Burchett (R-Waycross) is the Georgia Code Revision Commission's annual bill recommending non-substantive changes to the Georgia Code. There are several changes to Title 7, which deals with banking and finance. The bill was favorably reported by the Senate Judiciary Committee. The Senate sponsor is Sen. Bo Hatchett (R-Cornelia).
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| Collateral Protection Insurance
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HB 1554 by Rep. Jutt Howard (R-Carrollton) establishes a comprehensive regulatory framework for collateral protection insurance on residential mortgage properties in Georgia. It requires insurers to base coverage on replacement cost value and prohibits certain business practices between lenders and insurance companies. The bill has been assigned to the House Insurance Committee. As it was introduced after the Crossover Day deadline, the bill is not eligible to pass this year.
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| Study Committee on Alternative Investments for Local Governments
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HR 1755 By Rep. Victor Anderson (R-Clarkesville) creates a seven-member House Study Committee on Alternative Investments for Local Governments to examine new investment options beyond traditional government securities. The resolution has been assigned to the House Special Rules Committee.
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GBA Represented at the Capitol
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The association’s advocacy team is hard at work representing the interests of banking at the State Capitol. Reach out to any of them if you need information about a bill, contact information for your representatives or tips on where to park if you’re coming for a visit. Here’s their contact information:
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Elizabeth Chandler, executive vice president, government relations and advocacy: echandler@gabankers.com, 404.372.7893
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Bo Brannen, senior vice president, member services and advocacy: bbrannen@gabankers.com, 404.731.9886
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Steve Bridges, government relations consultant: sbridges@gabankers.com, 770.789.5605
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Tripp Cofield, president and CEO: tcofield@gabankers.com, 617.909.9530.
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We will publish future editions of the Legislative Update after the General Assembly adjourns each week. Please let us know if you have questions or comments on issues of interest to you.
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