2018 Legislative Report 1

January 12, 2018 GEDA Weekly Policy Update: Week 1   Prepared  by:  REMINDER: GEDA Legislative Day is Tuesday, January 23rd, 2018 at the Capitol, South-wing, 2nd floor, CAP 230.  Please invite your legislators to attend!  We will host a brunch from 10:00 a.m. – 12:00 noon. Days 1-4 of 40 Day Session Calendar: The Georgia Legislature convened the 2018 Legislative Session on Monday, January 8. The proposed calendar for January is: ·        Tues, Jan. 9                 convene for legislative day 2 ·         Weds, Jan. 10              convene for legislative day 3 ·        Thurs, Jan 11              convene for legislative day 4 ·        Thurs, Jan 18              convene for legislative day 5 ·        Fri, Jan 19                   convene for legislative day 6 ·        Mon, Jan 22                convene for legislative day 7 ·        Tues, Jan 23                convene for legislative day 8 ·        Weds, Jan 24               convene for legislative day 9 ·        Thurs, Jan 25              convene for legislative day 10 ·        Mon, Jan 29                convene for legislative day 11 Budget Week is scheduled for the week of January 15. That week will be devoted to budget hearings for the FY2017 continuation budget and the FY2018 General Appropriations Act. House/Senate Leadership & Committee Changes: This session brings new changes in leadership in the Senate and new chairman positions in both chambers. Senate: President Pro Tempore …............     Sen. Butch Miller (R-Gainesville)  Majority Caucus Vice Chair ……… Sen. Lindsey Tippins (R-Marietta) Senate Natural Resources & Environment Committee … Sen. Tyler Harper (R-Ocilla) Senate Regulated Industries & Utilities Committee … Sen. Frank Ginn (R-Danielsville) Senate Public Safety Committee…....   Sen. John Albers (R-Roswell) Senate State & Local Gov. Operations Committee… Sen. Greg Kirk (R-Americus) Senate Reapportionment & Redistricting Committee… Sen. Matt Brass (R-Newnan) House: House Code Revision Committee...  Rep. Timothy Barr (R-Lawrenceville)  House Appropriations & Subcommittee on General Govt… Rep. Chad Nimmer (R-Blackshear) House Industry & Labor Committee… Rep. Bill Werkheiser (R-Glennville) House Small Business Development Committee… Rep. Sam Watson (R-Moultrie) State of the State On January 11, 2018, Governor Deal presented his final State of the State address. He looked back on his time as Governor, called this a “year of transition,” and recalled an Israeli parable: an older man went out and planted a tree in his yard. A neighbor passed by and saw what he was doing, stopped and shook his head, saying, “What are you doing planting a tree now? You are old and won’t be able to enjoy its shade or its fruit.” The old man responded, “I’m not planting this tree for myself, I’m planting it for those who come after me, just as I enjoyed the shade and fruit from trees planted by those who came before me.” Deal went on to discuss the various “orchards of opportunity” he has planted during the past 7 years: Lowering unemployment rate to 4.3% from 10.7% in 2011. Creating around 675,000 jobs. Named #1 state in which to do business 5 consecutive years. Film production industry. From $241 million in economic impact 10 years ago to $9.5 billion in economic impact in 2017, as well as 92,000 jobs in GA. Increased education spending by $3.6 billion over the last 7 years, including his final budget proposal, making the total education expenditure during his time as governor roughly $14 billion. Saving the HOPE Scholarship during economic crisis, and creating the HOPE Career Grant, which covers 100% of tuition for technical school students who enroll in one of GA’s high-demand fields. ·        Announced moving the Division of Workforce Development and the state’s customized recruitment office to TCSG. ·        Announced inclusion of $1 million in his proposed budget for a TCSG marketing campaign to encourage some of the 30% of Georgia high school graduates who don’t pursue any further education or training. ·        Announced inclusion in proposed budget of $1 million for 2 mobile welding labs for TCSG. Passing the Transportation Funding Act, providing a 10-year $11 billion transportation investment. Enacting criminal justice reform, including increasing the number of state-funded accountability courts from 12 to 149, and ensuring that every one of the state’s 49 judicial circuits has at least one type of accountability court in operation. Creating a Commission on Children’s Mental Health, charged with providing recommendations on improving state mental health services for children. ·        Proposed budget includes $22.9 million based on their recommendations. Bill Tracking: Since this is the second term of the legislative session, this report will cover all the bills that GEDA tracked for the 2017 session, and note those that were signed by the Governor and are now effective. We will continue to monitor bills that did not pass last session but are still “alive.” We will add to this list as relevant legislation is introduced in the 2018 session. We encourage GEDA members to send bills they would like to be tracked to info@geda.org Note: We include in this first report, those bills GEDA tracked in the 2017 session that were signed by the Governor and are now effective. We will not include these (denoted with yellow highlights) in future legislative reports for this session. Any bill italicized is new to this report – either it was recently introduced this 2018 session, or it was a bill that GEDA did not track last legislative session. HB1– Georgia Space Flight Act Bill Sponsor: Rep. Jason Spencer (R-Woodbine) Bill Status: Effective 7/1/17 Summary: The bill removes operators’ liability for death or injury to passengers travelling in Georgia-launched space vehicles, provided the passenger has given written informed consent. HB44 – 2018 Budget Bill Sponsor: Speaker Ralston (R -Blue Ridge) Bill Status: Effective 5/1/17 Summary: Appropriations for July 1, 2017 – June 30, 2018. HB59 – Historic Tax Credits Bill Sponsor: Rep. Ron Stephens (R-Savannah) Bill Status: Senate Recommitted on 1/8/18 Summary: The bill provides tax credits against state income taxes for the rehabilitation of historic structures, and provides re-approval of additional tax credits for current recipients of credits. The taxpayer will be allowed a tax credit against the tax imposed at such time as the certified rehabilitation is completed. An applicant seeking to claim a tax credit will submit an application to the GA Dept. of Community Affairs for pre-approval. HB69 – Tier Tax Credit Claims Bill Sponsor: Rep. Paulette Rakestraw (R-Hiram) Bill Status: House Second Reader Summary: Beginning on Sept. 1, 2019 and annually for 5 years, the DCA Commissioner will issue a report to the Governor, President of the Senate, and Speaker of the House, including a list of all counties and their tier tax credit classifications, as well as the following information: (A) The total number of employers that claimed a credit under O.C.G.A. 48-7-40; (B) The number of all credits earned and all credits applied during such tax year; and (C) An estimate of the number of jobs and overall economic impact produced by this code section. HB70 – Tier Tax Credit System Bill Sponsor: Rep. Paulette Rakestraw (R-Hiram) Bill Status: House Second Reader Summary: Amend O.C.G.A. 48-7-40 to provide that a county classified as a Tier 4 county wil be reclassified as a Tier 3 if at least 70% of the county’s workforce commutes outside the county for work. Additionally, if 70% of a county’s workforce commutes outside the county for work, Tier 3 counties will be reclassified as Tier 2 counties, and Tier 2 counties shall be reclassified as Tier 1 counties. HB118 – Fantasy Contests Act Bill Sponsor: Rep. Trey Kelley (R-Cedartown) Bill Status: Senate Recommitted on 1/8/18 Summary: Provides for the licensing, registration, regulation, and taxation of fantasy contest operators. The bill creates the Registered Fantasy Contest Operators Act. Fantasy contest operators must register with the Commissioner of the Dept. of Revenue. A fantasy contest operator must pay an annual registration renewal fee and 6% of the fantasy contest operator’s gross fantasy contest revenues for the preceding 12 months. The registration application is exempt from public disclosure unless challenged in the courts. HB134 – Special District Mass Transportation Bill Sponsor: Rep. Bubber Epps (R-Dry Branch) Bill Status: Effective 5/1/17 Summary: Authorizes imposition of a special district transportation special purpose local option sales and use tax within a special district for a limited period of time; the proceeds of which must be used only for transportation purposes. The bill adds “roads” to the definition of ‘transportation purposes.’ More than one tax will be authorized to be imposed concurrently within a special district as long as the combined rate of the taxes does not exceed 1%. HB155 – Georgia Musical Investment Act Bill Sponsor: Rep. Amy Carter (R-Valdosta) Bill Status: Effective 1/1/18 Summary: Creates an income tax credit for certain expenditures by a production company related to certain state-certified musical or theatrical productions or recorded musical performances that originate in this state, or that prepares and rehearses within this state and has its U.S. debut within this state. To qualify, a musical or theatrical performance must invest at least $500,000 during a taxable year. A recorded musical performance that is incorporated into or synchronized with a movie, television, or interactive entertainment production must invest $250,000 during a taxable year, and any other recorded musical performances must invest $100,000 during a taxable year. The GA Dept. of Economic Development must approve ‘state certified productions.’ A production company will be allowed a tax credit equal to 15% of a production company’s qualified production expenditures; and a production company will be allowed an additional tax credit equal to 10% for the production company’s qualified production expenditures incurred in a county designated as a Tier 1 or Tier 2 by the Commissioner of DCA. HB158 – Georgia Gaming Commission & Destination Resorts Bill Sponsor: Rep. Ron Stephens (R-Savannah) Bill Status: House Second Readers Summary: To provide for the creation, membership, appointment, and duties of the Georgia Gaming Commission and to authorize the licensing of up to 2 destination resorts in this state. HB183 – Georgia Geospatial Advisory Council Bill Sponsor: Rep. Robert Dickey (R-Musella) Bill Status: Effective 7/1/17 Summary: Moves the Georgia Geospatial Advisory Council from the Department of Natural Resources, Environmental Protection Division, to the Dept. of Community Affairs. The Council will identify, develop, and prioritize areas whereby data can be used far more effectively to promote efficient decision-making by governments in Georgia. HB199 – Interactive Entertainment Companies Tax Credit Bill Sponsor: Rep. Trey Rhodes (R-Greensboro) Bill Status: Effective 7/1/17 Summary: Enhances GA’s film and video game tax credits, particularly for post-production. Must invest at least $250,000 in the state to qualify. HB205 – Regulation of Exploration & Extraction of Oil and Gas Bill Sponsor: Rep. John Meadows (R-Calhoun) Bill Status: Passed House & Senate; went to conference committee Summary: Provides for regulation of the exploration and extraction of gas and oil; provides the authority to create an Oil and Gas Board; requires development of rules and regulations related to drilling and extraction; amends provisions relating to drilling permits; increases the amount of bond security for drilling operations; provides for the authority of local governments; and to impose a severance tax on the extraction of oil and gas. The bill also defines ‘hydraulic fracturing.’ HB225 – Licensing & Sales Tax Exemption for Ride Share Networks Bill Sponsor: Rep. Jay Powell (R-Camilla) Bill Status: Senate Recommitted 1/8/18 Summary: Repeals an inoperable sales tax exemption related to ride share networks and imposes collection and remittance of sales taxes on certain persons that facilitate or broker and accept or process payment for certain sales. Individuals that utilize ride sharing networks would be required to pay a 4% sales tax for each trip. HB237 – Public Education Innovation Fund Foundation Bill Sponsor: Rep. Brooks Coleman (R-Duluth) Bill Status: Effective 4/27/17 Summary: Authorizes the creation of the Public Education Innovation Fund Foundation to receive private donations to be used for grants to public schools, and to provide for an income tax credit for qualified education donations. The Foundation is authorized to receive donations from taxpayers for the purpose of awarding grants to public schools for the implementation of academic and organizational innovations to improve student achievement, with preference given to schools earning unacceptable ratings. HB265 – Quality Jobs Tax Credit Bill Sponsor: Chuck Efstration (R-Dacula) Bill Status: Effective 4/25/17 Summary: Extends to 2 years the period for mandatory job creation to receive the jobs tax credit for relocating quality jobs. Also allows the tax credit to be used by businesses already receiving the credit for expansions or for the creation of new quality jobs in the state.  It also exempts sales of tickets, fees, or charges of admission to facilities containing an art museum, symphonic hall, and theater from state sales tax. Additionally, it allows for a sales tax exemption on the construction materials for renovation of facilities (Alliance Theater, Woodruff Arts Center). HB329 – Personal Income Tax Bill Sponsor: Rep. Jay Powell (R-Camilla) Bill Status: Passed House & Senate; went to conference committee Summary: Modifies the rate of tax imposed on the Georgia taxable net income of individuals; provides for an inflationary index rate; adjusts the amounts of the personal exemptions and standard deductions based on the inflationary index rate; and provides for a non-refundable earned income tax credit. The current Georgia taxable net income rate of one to 6% of taxable income would be removed from GA Code and replaced with one rate of 5.4%. *Note: This is a potential vehicle for any additional tax policy this session. HB342 – Enterprise Zones Bill Sponsor: Rep. Chuck Efstration (R-Dacula) Bill Status: Effective 7/1/17 Summary: Provides that certain urban redevelopment zones may be designated as enterprise zones, provided there is a minimum $400 million capital investment for redevelopment, and the Commissioner of DCA certifies that the area has been chronically underdeveloped for a period of 20 years or more. Any redevelopment project used to qualify an area for designation as an enterprise zone shall, upon approval of the designation, qualify for an exemption of any sales and use tax levied within the boundaries of the project. (The Gulch) HB428 – Downtown Development Authorities Bill Sponsor: Rep. Chuck Martin (R-Alpharetta) Bill Status: Effective 7/1/17 Summary: Authorizes assessments and liens for downtown development authorities. HB650 – State Symbols & Monuments Bill Sponsor: Rep. Mary Margaret Oliver (D-Decatur) Bill Status: pre-filed for 2018 session Summary: To allow local governments to relocate, remove, conceal, obscure, or alter certain monuments. HB658 – Excise Tax on Rooms, Lodging, & Accommodations Bill Sponsor: Rep. Earl Ehrhart (R-Powder Springs) Bill Status: pre-filed for 2018 session Summary: To remove the sunset date on the collection of excise tax on rooms, lodging, & accommodations. SB2 – The Fairness, Accountability, Simplification, and Transparency – Empowering Our Small Businesses to Succeed (FAST) Act Bill Sponsor: Sen. Mike Dugan Bill Status: House withdrawn; Recommitted Summary: The bill would require state and local government agencies that issue licenses or permits to establish turnaround times they would have to meet. If they fail to process a license or fee by the deadline, they would have to reduce the processing fee. The bill would also require Georgia’s professional licensing boards to issue provisional licenses for businesses either renewing their licenses or moving to Georgia from out of state. Finally, the bill would establish a system for ranking and comparing state and local agencies’ permitting processes based in part on fees they charge and how long they take to issue licenses or permits. Additionally, the bill makes it easier for the legislature to override state agency rules by requiring simple majorities of the Georgia House of Representatives and Senate rather than 2/3 votes required in current law. SB3 – Creating Opportunities Needed Now to Expand Credentialed Training (CONNECT) Act Bill Sponsor: Sen. Lindsey Tippins Bill Status: Passed House & Senate; went to conference committee Summary: Requires the State Board of Education to prescribe a minimum course of study in career education for students in grades 6-12. The course of study should include career exploration and career-oriented learning experiences that include participation in work-based learning programs like internships, apprenticeships, cooperative education, or employability skill development; and rigorous industry credentialing. SB 6 – Georgia Regional Transit Council Bill Sponsor: Sen. Steve Gooch Bill Status: House withdrawn; recommitted Summary: Creates the Georgia Regional Transit Council that will be attached to the Dept. of Transportation for administrative purposes. The Council is created to develop a state-wide strategic transit plan with the guidance of a recognized industry leader in delivering transit strategy for multijurisdictional entities that emphasizes first-mile and last-mile services, the development of a seamless transportation network with dependable trip times for commuters, the enhancement of limited access highways, road congestion relief, safety enhancements, and plans for a future of transportation innovations. SB14 – Rural Hospital Income Tax Credit Bill Sponsor: Sen. Dean Burke Bill Status: Effective 5/8/17 Summary: Doubles the cap on tax credits that individuals and businesses can receive for donations made to rural hospitals. Also increases the amount of the tax credit for donations from rural hospitals to 90% of the donation amount. SB79 – Georgia Gaming Commission & Destination Resorts Bill Sponsor: Sen. Brandon Beach Bill Status: Referred to Senate Regulated Industries Committee Summary: To provide for the creation, membership, appointment, and duties of the Georgia Gaming Commission and to authorize the licensing of up to 2 destination resorts in this state. SB85 – Malt Beverages Bill Sponsor: Sen. Rick Jeffares Bill Status: Effective 5/8/17 Summary: Allows breweries to sell up to 3,000 barrels of beer they manufacture to consumers visiting the brewery. Consumers could purchase beer by the glass or up to one case to-go, as well as purchase food without the tour package. Also reinforces local control on issues of to-go sales from brewpubs. SB117 – Georgia Technology Authority Bill Sponsor: Sen. P.K. Martin Bill Status: Effective 7/1/17 Summary: Empowers the Georgia Technology Authority to set cyber policies for all state agencies. SB133 – Corporate Net Worth Tax Bill Sponsor: Sen. Larry Walker III Bill Status: Effective 7/1/17 Summary: Exempts corporations having a net worth, including capital stock, paid-in surplus, and earned surplus, of no more than $100,000 from the corporate net worth tax. SB191 – Petroleum Pipelines Bill Sponsor: Sen. Rick Jeffares Bill Status: House withdrawn; Recommitted to Natural Resources Committee Summary: Requires that on or after July 1, 2017, any construction of a new petroleum pipeline or an extension in this state requires a permit from the Director of EPD regardless of whether the petroleum pipeline company intends to exercise any power of eminent domain. The Director will conduct hearings to determine whether the location and construction of the portion of the petroleum pipeline for which the permit is sought are consistent with, and not an undue hazard, to the environment and natural resources of this state. Glossary of Terms: Effective - The bill has been signed into law by the Governor and will go into effect the date stated. Recommitted -  A parliamentary motion to reassign a bill which has been in one committee to the same or a different committee.  Second Read -  In the House, second reading occurs automatically on the legislative day following the bill's introduction. In the Senate, second reading occurs on the legislative day after a bill is reported from standing committee, except that after the 35th day of the session, second reading occurs on the day a bill is reported from committee. Conference Committee -  A special committee consisting of three members from each house appointed by the presiding officers to seek a compromise when the two houses have passed different versions of the same bill and insist on their respective positions. Pre-filed - A bill that is filed before the beginning of the legislative session Withdrawn - A bill is removed from consideration Referred - Placed into committee To find your law makers click here.  To view the GEDA Public Policy Agenda for 2018 click here.

2017 Legislative Report: Documents from the Special Tax Exemption Study Committee

Jim Finches Reports

2017 Senate Special Tax Exemption Study Committee Report 1

2017 Senate Special Tax Exemption Study Committee Report 2

Other Documents

Pew Georgia Testimony

Georgia Income Tax Credit Utilization Schedule - 2011-2015

Pew - Options for ongoing tax incentive evaluation

Senate Resolution 222 ROI Template - After Meeting Version

SR 222 Priority List and Schedule

Tax Incentive Evaluation Options for Georgia

Summary of State Tax Expenditures

2017 Legislative Report: House & Senate Study Committees' Schedules

The General Assembly has adjourned over four months now, but the “business” of politics continues on.  There are several study committees that are active this summer and into the fall.  Be on the lookout for these traveling road shows.  If you can make it to one or more of these meetings, it would be great so that you can be informed.  Let your leadership know of your concerns and interests, and particularly if you learn something that could affect economic development, either in a good or particularly in a bad way.  Following is a list of some of these meetings:

SR 222 - Senate Special Tax Exemption Study Committee
Senator John Albers, 56th, Chairman

• August 22  - North Georgia
• September 29 – Southeast/Savannah
• October 27 – Southwest Georgia
• November 14 –Metro/State Capitol

SR 392 - Senate Rural Georgia Study Committee
Senator David Lucas, 26th, Chairman

• Next meeting: August 9 (tentatively), North Georgia

SR 410 - Senate Information Technology Corridors in Georgia Study Committee
Senator P. K. Martin IV, 9th, Chairman
HR 389 - House Rural Development Council
Representative Terry England, 116th, Co-Chairman
Representative Jay Powell, 171st, Co-Chairman
Meeting #4

• August 15 - Ellijay - Infrastructure & Labor Report
• August 16 - Dalton - Education & Workforce Development

Meeting #5

• September 6 - Metter - Healthcare
• September 7 - Metter - Healthcare

Meeting # 6

• September 26 - Darien - K-12 Education
• September 27 - Darien - Workforce Transition

Meeting # 7

• October 24 - Waycross - Transportation Infrastructure
• October 25 - Waycross - Forestry Industry

Meeting # 8

• November 8 - Albany - Workforce Development
• November 9 - Albany - K-12 Education

Meeting # 9

• November 28 - Warm Springs - TBD
• November 29 - Manchester area - TBD

Meeting # 10

• December - Milledgeville - Review of & Approval of First Report

2017 Legislative Report 10

The General Assembly will be in session Tuesday, March 28; Day 39. The General Assembly will declare ‘Sine Die’ on Thursday, March 30; Day 40 of the legislative session calendar. Listed below are the bills and resolutions that received action during the week of March 20 through March 24, 2017. House Bills HB1CS Representative Spencer of the 180th The bill provides that a ‘space flight entity’ will not be civilly liable to or criminally responsible for any person for a space flight participant injury arising out of inherent risks associated with any space flight activities, has signed a warning and agreement required in state law, and given written informed consent as may be required by federal law. A ‘Space flight participant’ is defined as not a crew member; is carried aboard a spacecraft, launch, or reentry vehicle; who pays a required deposit or fee; and participates in any training program or orientation session. Referred to the Senate Science and Technology Committee. Passed House and Senate HB44 Representative Ralston of the 7th 2018 Budget. Passed House and Senate. Agreed to in conference committee. Transmitted the Governor for signature. HB59S Representative Stephens of the 164th Provides tax credits against state income taxes for the rehabilitation of historic structures, and provide for preapproval of additional tax credits for current recipients of credits. The taxpayer will be allowed a tax credit against the tax imposed at such time as the certified rehabilitation is completed. An applicant seeking to claim a tax credit will submit an application to the Georgia Department of Community Affairs for preapproval. Referred to the Senate Finance Committee. Favorable Report in Committee 3/22/2017. HB118CS Representative Kelley of the 16th Provides for the licensing, registration, regulation, and taxation of fantasy contest operators. The bill creates the Registered Fantasy Contest Operators Act. Fantasy contest operators must register with the Commissioner of the Department of Revenue. A fantasy contest operator must pay an annual registration renewal fee and 6% percent of the fantasy contest operator’s gross fantasy contest revenues for the preceding 12 months. The registration application is exempt from public disclosure unless challenged in the courts. Referred to the Senate Regulated Industries and Utilities Committee. Favorable Report in Committee 3/22/2017 – bill language added to SB156 HB134S Representative Epps of the 144th Authorizes imposition of a special district transportation special purpose local option sales and use tax within a special district for a limited period of time; the proceeds of which must be used only for transportation purposes. The bill adds “roads” to the definition of ‘transportation purposes’. More than one tax will be authorized to be imposed concurrently within a special district as long as the combined rate of the taxes does not exceed 1 percent. Passed House and Senate HB155 Representative Carter of the 175th Creates an income tax credit for certain expenditures by a production company related to certain state certified musical or theatrical productions or recorded musical performances that originate in this state, or that prepares and rehearses within this state and has its U.S. debut within this state. To qualify for the income tax credit a musical or theatrical performance must invest at least $500,000 during a taxable year. A recorded musical performance, which is incorporated into or synchronized with a movie, television, or interactive entertainment production must invest $250,000 during a taxable year, and any other recorded musical performances must invest $100,000 during a taxable year. The Department of Economic Development must approve ‘state certified productions’. A production company will be allowed a tax credit equal to 15 percent of a production company’s qualif ied production expenditures; and a production company will be allowed an additional tax credit equal to 10 percent for the production company’s qualified production expenditures incurred in a county designated as tier 1 or tier 2 by the Commissioner of the Georgia Department of Community Affairs. Referred to the Senate Finance Committee. Favorable Report in Committee 3/24/2017 HB183 Representative Dickey of the 140th Moves the Georgia Geospatial Advisory Council from the Department of Natural Resources, Environmental Protection Division, to the Department of Community Affairs. The Council will identify, develop, and prioritize areas whereby data can be used far more effectively to promote more efficient decision-making by governments in Georgia Passed House and Senate HB199CS Representative Rhodes of the 120th Changes certain provisions regarding the income tax credit for interactive entertainment companies, and removes the sunset on exemptions. The bill adds an exemption for certain pre-released products, and provides for a new state income tax credit for qualified postproduction expenditures of postproduction companies. Passed House and Senate HB205CSFA Representative Meadows of the 5th Provides for regulation of the exploration and extraction of gas and oil; provides the authority to create an Oil and Gas Board; requires development of rules and regulations related to drilling and extraction; amends provisions relating to drilling permits; increases the amount of bond security for drilling operations; provides for the authority of local governments; and to impose a severance tax on the extraction of oil and gas. The bill also defines “hydraulic fracturing”. Passed House and Senate HB 225 Representative Powell of the 171st Repeals an inoperable sales tax exemption related to ride share networks and imposes collection and remittance of sales taxes on certain persons that facilitate or broker and accept or process payment for certain sales. Individuals that utilize ride sharing networks would be required to pay a 4% sales tax for each trip taken. Referred to the Senate Finance Committee. Received Favorable Report in Committee 3/24/2017 HB237S Representative Coleman of the 97th Authorizes the creation of the Public Education Innovation Fund Foundation to receive private donations to be used for grants to public schools, and to provide for an income tax credit for qualified education donations. The Foundation is authorized to receive donations from taxpayers for the purpose of awarding grants to public schools for the implementation of academic and organizational innovations to improve student achievement, with preference given to schools earning unacceptable ratings. Referred to the Senate Finance Committee. Received Favorable Report in Committee 3/22/2017 HB265CS Representative Efstration of the 104th Amends the OCGA relating to exemptions from state income tax, so as to revise the provisions relating to the credit for establishing or relocating quality jobs. The bill also amends the OCGA relating to exemptions from state sales and use taxes, so as to provide a state and local sales tax exemptions from state sales and use taxes, so as to provide a state and local sales tax exemption for sales of tangible personal property used for or in the renovation or expansion of certain theaters. Passed House and Senate HB329 Representative Powell of the 171st Modifies the rate of tax imposed on the Georgia taxable net income of individuals; provide for an inflationary index rate; adjust the amounts of the personal exemptions and standard deductions based on the inflationary index rate; and provide for a nonrefundable earned income tax credit. The current Georgia taxable net income rate of one to 6% of taxable income will be removed from Georgia Code and replaced with one rate of 5.4%. Referred to the Senate Finance Committee. Received Favorable Report in Committee 3/24/2017 HB342S Representative Efstration of the 104th Provides that certain urban redevelopment zones may be designated as enterprise zones; provide for certain tax exemptions in such enterprise zones; and provide for the issuance of revenue bonds. Enterprise zones created pursuant to this code section must be included in an urban redevelopment area, and contain within its borders the site for a redevelopment project having a minimum of $400 million in capital investment for the redevelopment of an area certified by the commissioner to have been chronically underdeveloped for a period of 20 years or more. Any redevelopment project used to qualify an area for designation as an enterprise zone shall, upon approval of the designation, qualify for an exemption of any sales and use tax levied within the boundaries of the project. Referred to the Senate Finance Committee. Received Favorable Report in Committee 3/24/2017 HB428 Representative Martin of the 49th Amends the OCGA relating to downtown development authorities so as to authorize assessments and liens regarding assessments for downtown development authorities. Referred to the Senate Regulated Industries and Utilities Committee. Received Favorable Report in Committee 3/22/2017 Senate Bills SB3S Senator Tippins of the 37th Creates the ‘Creating Opportunities Needed Now to Expand Credentialed Training (CONNECT) Act’. Requires the State Board of Education to prescribe a minimum course of study in career education for students in grades six through twelve. The course of study should include career exploration, and career oriented learning experiences that include participation in work based learning programs such as internships, apprenticeships cooperative education, or employability skill development; and rigorous industry credentialing. Referred to the House Education Committee. Received Favorable Report in Committee 3/22/2017 – Postponed until 3/28 SB6CS Senator Gooch of the 51st Creates the Georgia Regional Transit Council that will be attached to the Department of Transportation for administrative purposes. The Council is created to develop a state-wide strategic transit plan with the guidance of a recognized industry leader in delivering transit strategy for multijurisdictional entities which emphasizes first-mile and last-mile services, the development of a seamless transportation network with dependable trip times for commuters, the enhancement of limited access highways, road congestion relief, safety enhancements, and plans for a future of transportation innovations. Referred to the House Transportation Committee. Received Favorable Report in Committee 3/16/2017 SB14S Senator Burke of the 11th Proposes to amend the OCGA relating to imposition, rate, computation, and exemptions from state income taxes relating to tax credits for contributions to rural hospital organizations. Income tax credits of up to 70% of the actual amount expended in a tax year for individuals, heads of household, married couples filing a joint return, and individuals who are members of a limited liability company, a shareholder in a Subchapter ‘S’ corporation, or a partner in a partnership. Referred to the House Ways and Means Committee. Received Favorable Report in Committee 3/22/2017 SB85CS Senator Jeffares of the 17th Provides for the limited sale of distilled spirits and malt beverages to the public by manufacturers of such products, remittance of local excise taxes by distillers and brewers, and to clarify that sales at retail by brewpubs for consumption off the premises are governed by the local jurisdiction. The bill also provides for a limited exception related to the three-tier system for the distribution and sale of distilled spirits exist to the extent that the license to manufacture distilled spirits in this state will include the right to sell up to 500 barrels of distilled spirits per year produced at the distiller’s licensed premises to individuals that meet certain criteria. Passed Senate and House SB117S Senator Martin IV of the 9th Amends the OCGA relating to the Georgia Technology Authority so as to change the definition of the term ‘agency’; provide for the establishment of certain policies and standards to be used by all agencies; and to provide for waivers under certain circumstances. Passed House and Senate SB133S Senator Walker III of the 20th Proposes to make the corporate net worth tax inapplicable to corporations worth less than a certain amount. Corporations having a net worth, including capital stock, paid-in surplus, and earned surplus, of no more than $100,000 are added to the list of organizations that are exempt from payment of the tax. Referred to the House Ways and Means Committee. Received Favorable Report in Committee 3/24/2017 SB191S Senator Jeffares of the 17th Requires that on or after July 1, 2017, any construction of a new petroleum pipeline or an extension in this state requires a permit from the Director of EPD regardless of whether the petroleum pipeline company intends to exercise any power of eminent domain. The Director will conduct hearings to determine whether the location and construction of the portion of the petroleum pipeline for which the permit is sought are consistent with, and not an undue hazard, to the environment and natural resources of this state. Referred to the House Energy, Utilities, and Telecommunications Committee. Received Favorable Report in Committee 3/24/2017 Senate Resolutions SR152 Senator Ginn of the 47th Creates the Joint Study Committee on stream Buffers in Georgia. Passed Senate and House SR392 Senator Lucas of the 26th Creates the Senate Rural Study Committee. Referred to the Senate Rules Committee. Received Favorable Report in Committee 3/22/2017 Bills must be ‘read’ three times to qualify for a vote in the chamber of origin. Bills that receive a ‘favorable report’ in committee are eligible for selection by the House or Senate Rules Committee for inclusion on their respective Rules Calendar. Bills that appear on a chamber’s Rules Calendar receive a vote by the House or Senate respectively