From the State House to the White House
March 14, 2025 – Issue 09

Although Crossover Day was just three legislative days ago, members of the House and Senate have quickly begun preparing for the sprint towards Sine Die. Lawmakers have wasted no time in approaching their colleagues about “friendly amendments” to legislation or completely gutting a bill to substitute new language. For a legislator whose bill did not pass last week, it is another way to ensure that their legislation is only mostly dead.

Around here, we and others under the Gold Dome joke about bills being “mostly dead,” but the most complicated time of the legislative session is upon us. Any bill that is still moving is an opportunity for additional language to be tacked on as the session nears its end.

In This Issue:

• Preparing for What is Happening in D.C.
• State Revenues Increase
• House Moves FY 26 Budget
• Tort Reform Hearings Continue
• Legislation of Interest
• Chamber Members Spotted at the Gold Dome
• Commission Race
  
  

Federal Update

Earlier this week, the Trump administration announced a cut to nearly half of the U.S. Department of Education’s current workforce – about 4,000 individuals. While the dismantling of  the agency started at the federal level, under the Gold Dome, lawmakers are preparing for how this may impact Georgia. A bill making its way through the assembly, SB 154, by Sen. Bo Hatchett would revise references to the United States Department of Education in the Official Code of Georgia Annotated (O.C.G.A.) by adding the phrase “or its successor” after each reference. Cobb Legislative Delegation Chairman, Rep. David Wilkerson offered a friendly amendment that was accepted to make the effective date contingent upon the abolishment of the U.S. Department of Education if that happens prior to the original language, which is July 1, 2025.

State Revenue Numbers Increase Again

At the start of the week, Governor Brian Kemp announced Georgia’s net tax collections in the month of February approached $2.13 billion, for an increase of $94.2 million, or 4.6%, compared to February 2024, when net tax collections totaled $2.03 billion for the month.  Year-to-date, net tax revenue collections totaled $21.53 billion, for an increase of $379.2 million that was driven chiefly by the collection of the state’s motor fuel excise tax, which was suspended by Executive Order for a period of two and a half months during FY 2024.  Adjusting for the motor fuel tax changes, year-to-date net tax revenue collections for the period ending Feb. 28 were down $82.7 million, or 0.4%.

Big Budget Gets Even Bigger

Often referred to as the “big budget” as it covers 12 months, the upcoming Fiscal Year 2026 reflects an increase of more than $1.6 billion over the FY 2025 original spending plan, coming in at $37.7 billion. The House moved its version out of committee Monday, and it was approved the full body by a 171-4 vote the following day. The tracking sheet for the budget bill, HB 68, can be found here. House changes to note include:

• $169.5 million in formula funds for the University System.
• An additional $33 million added to the formula funds for the Technical College System. It also includes transfer of funds from the TCSG budget to the Dept. of Economic Development for support of the Georgia Joint Defense Commission and Defense Community Economic Development Fund pursuant to SB 398, which passed last session.
• $250 million is included for the Department of Corrections, which includes funding for more than 700 correctional officers to address staff-to-inmate ratios.
• $300,000 added to the Dept. of Behavioral Health and Developmental Disabilities budget to increase funds for homelessness community action teams, and another increase in funding by $750,000 to coordinate outreach to address homelessness in the Atlanta Area.
• $1.5 million in supplemental funds to first responders with occupational post-traumatic stress disorder
• $32 million is included for reimbursement rate increases to providers treating Medicaid enrollees (e.g. EMS, speech-language pathologists, neonatologists, applied behavior analysis, primary care physicians).
• $10 million in funding for maternal health is included.
• Independent pharmacists are to receive a boost in drugs dispensed to a covered person in an amount equal to the national average drug acquisition cost (an additional $1.2 million for this effort).
• Graduate medical education continues to be a priority and includes funding for 150 new residency slots to the tune of $2.8 million.
• $3.6 million increase to the Dept. of Transportation for airport aid.
• $3 million in bonds to design, construct and equip the Research Support Building on the Kennesaw Campus of Kennesaw State University
• $16 million in bonds for the Georgia Department of Defense for site improvements and renovations, major repairs maintenance and sustainment of facilities used by the Georgia Army National Guard, the Georgia Air National Guard and the Georgia State Defense Force.
  
  

Update on Lawsuit Reform Legislation

Hearings on SB 68, the first bill in the Governor’s tort reform package, continued this week in the House Rules Subcommittee on Lawsuit Reform. Hearings included an emphasis on sections six through eight of SB 68, which includes negligent security, special damages, and trial bifurcation. Testimony from both those that support and oppose the proposed legislation were heard, however no action was taken. Both sides held press conferences on Thursday regarding the legislation. Rumors circulating around the capitol are that the bills might move out of committee next week. 

The Cobb Chamber Advocacy Team caught up with one of our members, Joseph Hsiao, President and CEO of H Restaurant Group, who participated in the pro-judicial reform presser Thursday. Joseph was kind enough to explain his “why”, which can be viewed here.

Legislation of Interest:

With Crossover Day behind us, committee meetings and floor sessions have resumed at the Gold Dome. Below is a list of key legislation we've been monitoring that has seen significant activity this week:

SB 6 by Sen. Kay Kirkpatrick
Legislation which authorizes that drug analysis testing equipment used to determine whether a controlled substance or its packaging has been adulterated is not considered a drug related object.
Passed out of the House Health Committee

SB 51 by Sen. Ed Setzler
Legislation would require counties and municipalities to use a Quality Based Selection process when performing procurement procedures related to public works projects.
Passed out of the House Government Affairs Committee

SB 144 by Sen. Sam Watson
Legislation which states that manufacturers cannot be held liable for failing to warn consumers of health risks beyond what is required by the EPA, with one key exception: if the EPA determines that a manufacturer knowingly concealed, misrepresented, or destroyed material information about human health risks to obtain or maintain label approval.
Passed out of the House (101-58) – Heads to Governor Kemp for consideration

HB 34 by Rep. Dale Washburn
Legislation which establishes a new continuing education tracking system for professional licensees in Georgia, requiring the Secretary of State to create a digital solution that monitors whether professionals are meeting their ongoing education requirements.
Passed out of the Senate Regulated Industries and Utilities Committee

HB 111 by Rep. Soo Hong
Legislation which modifies Georgia's income tax rate by gradually reducing the state income tax over several years, with specific conditions tied to the state's financial performance. Starting January 1, 2025, the individual income tax rate will be reduced from 5.39% to 5.19%, with plans to further reduce the rate by 0.10% annually until it reaches 4.99%.
Passed out of the Senate Finance Committee

HB 112 by Rep. Lauren McDonald
Legislation which provides a one-time tax credit of either $250, if filing single, or $500, if filing jointly, if a taxpayer has filed taxes in both 2023 and 2024.
Passed out of the Senate Finance Committee

HB 164 by Rep. Steven Meeks
Legislation which would remove the sunset on prior legislation which increased the weight limit for trucks hauling agricultural products from 84,000 pounds to 88,000 pounds.
Passed out of the Senate Transportation Committee

HB 266 by Rep. Steven Sainz
Legislation which exempts from state income tax income received as personal compensation for full-time duty in the active military service of the United States. The prior language of HB 266 stated that the exemption would not exceed $35,000 for the taxable year beginning on Jan. 1, 2027 and then would increase by $5,000 annually until the amount reached $65,000. This week, the Senate Finance Committee passed a substitute version of the bill which changed the language to reflect that of SB 31 by Sen. Greg Dolezal. This new version of HB 266 exempts ALL income received as retirement benefits derived from service in the armed forces of the United States or the reserve components.
Passed out of the Senate Finance Committee by Substitute

Members Under the Gold Dome

This past Wednesday, Mar. 12th, was Georgia Retailers Day at the State Capitol. Retailers from across the state joined under the Gold Dome to advocate for the important issues that impact  our state’s retailers. Employees from Cobb County’s own The Home Depot were present for the day’s events in their famous orange aprons advocating on behalf of The Home Depot and all retailers within the state.

Irene Barton Honored at the Capitol

This week, the Georgia Women’s Legislative Caucus honored multiple Georgia residents with the 2025 Yellow Rose Nikki T. Randall Servant Leader Award. Included as an honoree is Cobb County native and Chamber member, Irene Barton. In HR 597, by Rep. Lisa Campell, Irene is honored as being “a dedicated Cobb County resident and inspiring leader.” Irene currently serves as the Executive Director of the Cobb Collaborative which, under Irene’s leadership, “leads the local coalition for Resilient Georgia and serves as the backbone agency for The Basics Cobb County, an evidence-based early learning framework.” Irene is a long-time friend of the Cobb Chamber, being named the 2023 East Cobb Citizen of the Year by the Cobb Chamber East Cobb Area Council and is also an alumnus of the Cobb Chamber’s Honorary Commanders and Leadership Cobb programs.

The Cobb Chamber would like to congratulate Irene on this esteemed recognition by the Georgia Women’s Legislative Caucus and thank her for all the great work and service that she provides to Cobb County and its residents.

Former State House Member Advances in Commission Race

This past Tues., March 11th, was yet again election day in Cobb County. The Special Election Democratic Runoff for Commission District 2 saw former State Representative Erick Allen defeat former Cobb County School Board member Jaha Howard. Allen defeated Howard by a vote of 1,958 to 1,494. Allen now moves to the Special General Election where he will face Republican Alicia Adams on April 29th.

Next Week at the Capitol

Mon., March 17 – Recess Day
Tues., March 18 – Legislative Day 32
Wed., March 19 – Committee Work Day
Thurs., March 20 – Legislative Day 33
Fri., March 21 – Legislative Day 34

If you have any questions about the Cobb Chamber Government Affairs Committee, the Cobb Chamber legislative priorities or legislative advocacy in general, please reach out to Amanda Seals, Executive Vice President of Advocacy and Government Relations.