From the State House to the White House
May 14, 2025

Get ready, faithful followers, this newsletter is a long one! Packed full of information from the local, state and federal level, we’ve included information to help keep you in the know. While the legislative session concluded in April, the world still spins madly on. Expect to see news bulletins from the Cobb Chamber Advocacy Team as we come across timely updates that impact your business. The Chamber Board of Directors recently approved an updated Local Priorities Agenda, and we are in the process of doing the same at the federal level as we continue to navigate the changes coming out of our Nation’s Capital. In Sept., we will be taking a sold-out group of 40 community and business leaders to D.C. to advocate on your behalf. Finally, we continue to work with our state leaders to ensure that Cobb is poised to recruit and retain business. If you see the subject line From the Capitol Steps in your email box, you know you’ll want to read it.

In This Issue:

• Federal Reconciliation: A Work In Progress
• Finally – County Commission Districts Set
• Bill Signings at Marquee Tuesday
• Governor Kemp Finishes His 40-Day Session
• Business Friendly Legislation Signed Into Law
  
  

Federal Update - Reconciliation Package on the Move

Earlier this week, Congress introduced its reconciliation process which is being referred to as “One Big, Beautiful Bill” and includes many of the President’s campaign promises. The Congress is using the reconciliation process to speed up the process which focuses on taxes, federal spending and the debt ceiling.

The reconciliation package includes tax-related changes, such as the potential removal of the corporate State and Local Tax deduction (aka SALT) and adjustments to the Inflation Reduction Act (IRA), with estimated savings of around $400 billion by ending transferability and rolling back tax credits. However, critics argue that the bill’s approach—cutting programs like Medicaid to fund tax cuts while increasing deficits—is flawed and faces logical inconsistencies. While seven of the 11 committees have completed their markups to the bill, the process to finish the House legislation by Memorial Day is still considered aggressive as there continues to be disagreements within the majority party on various components of the reconciliation, especially the SALT cap.

Amortization of R&D Expenses Advocacy

The Cobb Chamber continues to ask the Georgia Federal Delegation to address the amortization of R&D expenses as it continues to cause significant cash flow problems for many of our member organizations.

Companion legislation has been introduced to fix the unintended consequence of the 2017 tax legislation: S. 1639 by Senators Todd Young (R-IN) and Maggie Hassan (D-NH) and H.R. 1990 by Representatives Ron Estes (R-KS) and John Larson (D-CT) have both been introduced to repeal the R&D amortization requirement and restore the ability to fully deduct R&D expenses in the year they occur.

We want to hear from you – if this continues to be an issue  for your business, please email Amanda Seals your story. This helps us articulate to our federal partners the issue in real time.

Local Update – Cobb Commission District 2 and District 4

Last month on April 29, special elections for Cobb Commission District 2 and District 4 were finally settled. Incumbent Commissioner Monique Sheffield was re-elected to represent District 4, and former state representative, Erick Allen, was elected to represent District 2. Commissioner Allen was officially sworn in on May 5, while Commissioner Sheffield was sworn in on May 9, the same day as her mother’s birthday. Commissioner Sheffield serves as her mother’s caregiver.

Commissioner Allen held a public swearing in ceremony on Monday, May 12th, where remarks were heard by members of the community, including members of the Cobb Legislative Delegation, Cobb Commission Chairwoman Lisa Cupid, former-state representative Teri Anulewicz, former District 2 Commissioner Jerica Richardson, and others.

We would like to congratulate Commissioner Sheffield and Commissioner Allen on their election victories and look forward to working with all members of the Cobb County Board of Commissioners.

Marquee Tuesday Bill Signing with Governor Kemp

On Tuesday, April 15, during our monthly Marquee event, we hosted a special “Marquee Tuesday Brunch” featuring an annual address from Governor Brian Kemp, who was joined by First Lady Marty Kemp, Speaker of the House Jon Burns, Lieutenant Governor Burt Jones, Attorney General Chris Carr, Secretary of State Brad Raffensperger, several constitutional officers, and numerous members of the Georgia State House and Senate for two bill signings on the Roxy stage after his address.

Kemp’s remarks highlighted his key priorities from the 2025 legislative session. He emphasized the collaborative efforts between his office and the General Assembly to maintain Georgia’s position as the #1 state for business. Among the accomplishments he noted was the passage of meaningful tort reform legislation.

Governor Kemp also highlighted the importance of lowering costs and putting more money in the pockets of Georgians, and as a continuation of that promise, he signed both HB 111 and HB 112 on stage during the event.

HB 111, by Rep. Soo Hong, modifies Georgia's income tax rate structure, reducing the state income tax rate from 5.39% to 5.19% starting January 1, 2025, with a plan to further decrease the rate by 0.10% annually until it reaches 4.99%.

HB 112, by Rep. Lauren McDonald, establishes a one-time tax credit for Georgia individual taxpayers who filed income tax returns for both 2023 and 2024, including $250 for single or married filing separately, $375 for head of household, and $500 for married filing jointly.

The Cobb Chamber would like to thank Governor Kemp, First Lady Marty Kemp, and his staff for joining us, and for signing these two important pieces of legislation.

FY 2026 Signed into Law

The Governor signed the “big budget” into law on May 9. The $37.7 billion budget goes into effect July 1, 2025, the start of the new state fiscal year. It includes major investments in economic development, education, healthcare, public safety and continuing relief for the victims of Hurricane Helene. While the Governor did not exercise line-item vetoes in the budget, he did yet again offer a signing statement for executive branch agencies to disregard non-binding information language in the document.

FY 2026 Budget Highlights include:

• $290 million in additional funding for transportation projects
• $300 million additional dollars for enrollment and expense growth for K-12 education
• $3 million for the design, construction, and equipment for a Research Support Building at Kennesaw State University
• $2 million for pedestrian safety and traffic improvements in the Cumberland Community Improvement District
• $17.4 million for growth in the Dual Enrollment program administered by the Georgia Student Finance Commission

The final budget documents for FY 2026 can be found here.

Victory or Veto?

The 40-day clock for the Governor to either sign or veto legislation sent to his desk begins at the conclusion of each session, and on May 14, Governor Kemp released his final list of bills signed or vetoed. Legislation that was neither signed nor vetoed automatically becomes law.

Governor Kemp signed a total of 364 pieces of legislation, 120 of them on the last day, along with vetoing five house bills and two senate bills. 

During the first session of the biennium, the Cobb Chamber Advocacy team tracked hundreds of measures, and we are pleased to report the bills we supported that were signed by the Governor. As a reminder, bills that did not pass in 2025 are eligible for consideration when the legislature reconvenes for the second session of the term on Mon., Jan. 12, 2026.

A full list of signed and vetoed legislation can be found here.

Economy & Community Development

HB 164 by Rep. Steven Meeks
Legislation which removes the automatic repeal date (July 1, 2025) for a provision that allows certain vehicles hauling agricultural products, farm goods, or recovered materials to exceed standard weight limits by up to 10% within a 150-mile radius of their origin and outside of specific air quality non-attainment areas.
Effective July 1, 2025

HB 216 by Rep. Vance Smith
This bill establishes the Georgia CHIPS and Advanced Technology Commission, a new body focused on promoting semiconductor research, development, and manufacturing in the state.
Effective upon Governor’s Signature

HB 475 by Rep. Matthew Gambill
This bill amends Georgia's income tax credit law for film, gaming, video, and digital production by updating the definition of "qualified production activities" and establishing new rules for the certification process.
Effective January 1, 2026

SB 68 by Sen. John F. Kennedy
SB 68 is the first bill in Governor Kemp’s “Lawsuit Reform Package.” The bill revises rules for arguing noneconomic damages, modifies procedural rules for filing answers in civil cases, and creates new standards for voluntary dismissal of civil actions. It also establishes regulations around attorney's fees, introduces changes to negligent security liability, allows more flexibility in using seat belt non-usage as evidence, and sets new rules for recovering medical expenses in personal injury cases.
Effective upon Governor’s Signature and only applies to causes of action arising on or after the effective date

SB 69 by Sen. John F. Kennedy
SB 69 is the second bill in Governor Kemp’s lawsuit reform package. This bill establishes comprehensive regulations for third-party litigation financing in Georgia, creating a new legal framework to govern how companies can provide funding to plaintiffs in legal cases. The bill requires litigation financiers to register with the Department of Banking and Finance, prohibits entities with foreign government affiliations from providing such financing, and imposes strict rules on how these financial arrangements can be structured.
In effect on January 1, 2026, however, Sections 3 and 4 of the legislation are effective upon Governor’s Signature

HB 360 by Rep. Chuck Efstration
This bill modifies the existing tax credit program for rehabilitating historic structures in Georgia by allowing taxpayers who were preapproved for tax credits in 2027 or 2028 to claim those credits in tax year 2026 under certain conditions.
Effective July 1, 2025

Transportation, Mobility, & Infrastructure Development

HB 153 by Rep. Beth Camp
This bill extends the existing sales and use tax exemption for maintenance and replacement parts for concrete mixing and transportation machinery from June 30, 2026, to June 30, 2031.
Effective upon Governor’s Signature

Education & Workforce Development

HB 38 by Rep. Chuck Martin
Legislation which extends the sunset for the college completion grant program through 2029. The bill also lowers degree completion thresholds, increasing eligibility for students in both the University System of Georgia (USG) and Technical College System of Georgia (TCSG).
Effective upon Governor’s Signature

HB 136 by Rep. Mark Newton
The bill increases the state tax credit for child and dependent care expenses to 50% of the federal credit, creates a new $250 tax credit for each qualifying child under six years old, and introduces a tax credit for employers who make childcare payments for employees. Additionally, the bill expands the tax credit for contributions to foster child support organizations, now allowing credits for contributions that support both aging foster children and justice-involved youth.
Effective July 1, 2025

HB 148 by Rep. John Carson
This bill updates Georgia's Public Accountancy Act, focusing on revising education, experience, and licensing requirements for certified public accountants (CPAs). The bill introduces three primary pathways for becoming a CPA: (1) a baccalaureate degree with 150 semester hours and one year of accounting experience, (2) a master's degree with one year of accounting experience, or (3) a baccalaureate degree with two years of accounting experience.
Effective January 1, 2026

HB 192 by Rep. Matthew Gambill
Legislation which codifies the Georgia MATCH program into law and modifies existing education codes to more closely align career education programs with the state's high-demand career needs.
Effective July 1, 2025

HB 217 by Rep. Soo Hong
This bill extends and modifies Georgia's Dual Achievement Program, a pilot program that allows certain students to earn a high school diploma through a technical college system. The bill extends the program from five to ten years, running until July 1, 2031, and introduces significant changes to student eligibility and program structure.
Effective July 1, 2025

HB 268 by Rep. Holt Persinger
This bill aims to enhance school safety, student well-being, and information sharing across educational and government systems in Georgia. It introduces several key provisions, including requiring public schools to implement a mobile panic alert system called "Alyssa's Alert" by July 1, 2026, which will enable real-time coordination between emergency services and schools during security emergencies.
Effective upon Governor’s Signature

HB 307 by Rep. Bethany Ballard
This bill introduces comprehensive changes to Georgia's education policy focused on early literacy and dyslexia support, particularly for students in kindergarten through third grade. The legislation establishes new requirements for schools to identify and support students at risk of reading difficulties.
Effective upon Governor’s Signature

SB 85 by Sen. Matt Brass
Legislation which establishes the Georgia Foster Care Scholarship Program, which will provide up to $30,000 per year for eligible foster and former foster youth pursuing postsecondary education after all other federal or state grants, scholarships, or tuition waivers are applied.
Effective pending explicit reference in the appropriations Act

SB 125 by Sen. Larry Walker III
This bill makes several changes to professional licensing and regulation in Georgia, with a primary focus on decoupling the sequential order of experience and examination requirements for professional engineers.
Effective July 1, 2025

SB 147 by  Sen. Michael “Doc” Rhett
This bill amends Georgia's correctional institution laws to provide more comprehensive support for inmates preparing for release by mandating that the department of corrections offer specific documentation and assistance to help released individuals obtain post-release employment.
Effective July 1, 2025

SB 180 by Sen. Clint Dixon
This bill amends Georgia's High Demand Apprenticeship Program to expand opportunities for both traditional employer sponsors and new apprenticeship sponsors to participate in state-supported apprenticeship training. The changes allow apprenticeship sponsors (in addition to employer sponsors) to apply for contracts with the Technical College System of Georgia's State Board to conduct apprenticeship programs.
Effective upon Governor’s Signature

SB 193 by Sen. Matt Brass
This bill establishes the adult workforce high school diploma program through the State Board of the Technical College System of Georgia, designed to help adults between 21 and 40 years old who previously did not complete high school earn a high school diploma. The program will allow approved third-party providers to offer comprehensive educational services at no cost to eligible students, including academic skill assessments, transcript evaluations, remedial education, and opportunities to earn workforce credentials and employability skills certifications.
Effective July 1, 2025

Healthcare

SB 6 by Sen. Kay Kirkpatrick
This bill amends Georgia Code Section 26-3-22 to authorize the use of drug analysis equipment to determine whether a controlled substance or its packaging has been adulterated. Specifically, the bill modifies existing law to clarify that drug analysis equipment used for identifying potential adulteration of controlled substances will not be considered a "drug related object" under Georgia's legal definitions.
Effective July 1, 2025

SB 79 by Sen. Russ Goodman
This bill introduces significant changes to Georgia's drug trafficking laws, specifically focusing on fentanyl and related substances. The legislation establishes a new, more stringent framework for prosecuting fentanyl-related offenses by creating a distinct trafficking category with escalating penalties based on the quantity of the substance.
Effective July 1, 2025

SB 130 by Sen. Mike Hodges
This bill expands medical education funding in Georgia by including more types of medical facilities and defining "fellow" as a physician in an ACGME-accredited fellowship program. It ensures up to $10,000 per year for each resident or fellow, subject to legislative appropriations. Additionally, the bill modifies the service cancelable loan program to include resident and fellowship physicians who commit to practicing in underserved rural areas of Georgia.
Effective July 1, 2025

Continued Support for Dobbins Air Reserve Base & our Defense Community

HB 53 by Rep. Josh Bonner
This bill expands eligibility for burial in Georgia veterans’ cemeteries by allowing certain reserve component members, their spouses, and children to be interred in these facilities.
Effective July 1, 2025

HB 224 by Rep. Josh Bonner
This bill amends Georgia state law to allow the Georgia Department of Transportation (DOT) to construct or maintain private roads on military bases or installations under specific conditions.
Effective July 1, 2025

HB 266 by Rep. Steven Sainz
This bill makes two primary changes to Georgia state tax law. First, it modifies the income tax exemption for military retirement benefits by increasing the age threshold from 62 to 65 years old and raising the maximum tax-exempt amount from $17,500 to $65,000.
Effective July 1, 2025

SB 109 by Rep. Ed Harbison
This bill amends Georgia's life insurance regulations to prohibit group life insurance policies from excluding or restricting liability for deaths occurring while an insured individual is a service member of the regular or reserve component of the U.S. armed forces, unless the death is directly or indirectly caused by war or war-related hazards.
Effective June 1, 2025

Local Legislation

HB 637 by Rep. Terry Cummings
This bill modifies the existing law governing public hearings for the Cobb County Board of Commissioners by changing the spending threshold that triggers a mandatory public hearing. Under the revised law, the county commission must now hold a public hearing before expending county funds of $200,000.00 or more to hire an independent consultant or consulting firm, or to conduct an independent study or survey.
Effective July 1, 2025

HB 747 by Rep. Terry Cummings
This bill modifies compensation for judges in the Cobb County State Court by increasing two specific salary components. The Chief Judge of the State Court of Cobb County’s additional compensation per year has been raised from $10,892.55 to $11,328.25. Additionally, the salary of the judges of Division 1 of the State Court of
Cobb County has risen from $208,782.88 to $217,134.20 per year.
Effective July 1, 2025

Before We Go…

We would like to extend a point of personal privilege and say congratulations to Pam Younker of Children’s Healthcare of Atlanta on her retirement. She is a long-time member of the Cobb Chamber Government Affairs Committee, former Team Dobbins and Honorary Commanders co-chair,and participant in multiple Washington, D.C. Fly-In trips. As a staunch advocate for pediatric healthcare and our nation’s military, her contributions will be greatly missed! Congratulations and see you soon, Pam!

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