Capitol Round Up

The unlock the waiting list issue is about funding...the bottom line. So we ought to pay attention to how much money we will have to work with - or how much revenue is collected by Georgia through various state taxes. Senator Jack Hill is the Senate Chair of Appropriations. In other words, he has a lot of power in making decision about how Georgia spends this revenue. He sent out these notes yeterday...

December revenue figures contained good news and some continuing perplexing news. Total Revenues were up 6.2% over last year. Sales Taxes were up 9.2% and corporate taxes were up 35.1% due to a one-time collection of $29.3 million. Personal Income Taxes, 50% of state revenue, were down 2.8%. Total revenue gain for the month was $452 million of which $104 million was motor fuel taxes (dedicated to roads and bridges mostly). Year to Date (YTD) total revenues are up 5.7% or $452 million. Personal income taxes are up 6.5% but sales tax revenues for the state (after distributing local collections) are up only 1%. Corporate income taxes are up 4.5%, although a single refund of $29 million amounts to more than the increase. Year to date numbers are troubling on several fronts. Of all revenues collected, $159 million of the increased $468 million are accounted for fuel tax increases. The general revenue collections increase only amounted to $309 million. This increase is only about half the increase ($600 million) of a year ago signaling a significant decrease in state revenue growth.

A new distribution system instituted by the Department of Revenue has resulted in a significantly increased distribution of revenues to local governments. While over the rest of the year state collections may balance out, there is a possibility that the new system reveals a weakness in the range of sales tax collections. For example, food is a growing category of sales tax revenue taxed only by local governments who receive 100% of those revenues. Food sales taxes have grown $132 million or 15.6% YTD. So one fourth of all sales tax growth is accruing only to local governments. At 25%, it is a significant percentage of all sales tax growth.

The House adjourned until Jan 22nd at 1:00pm, this will be the 5th day of the 40 day session. No bills are expected to be debated on the floor. Yesterday the house voted and passed HR 13, urging Congress to fund the Peach Care program.

In th Senate, Sen Tommie Williams introduced the Georgia Speaks website as a way for citizens to present their ideas for new legislation. Articles from around the state...

Vital investigative reports reveal failed mental system
Atlanta Journal Constitution (subscription) - Atlanta,GA,USAWith mental health care insurance, it's even worse. It's often a constant battle for patients to get the care they need." ...

Casey Cagle: Georgia’s new lieutenant governor settles in
Walker County Messenger - LaFayette,GA,USACagle, who in his old job was chairman of the Senate Finance Committee, says this follows suit with what other states have done and protects Georgia’s ...

Busy first week for lawmakers
Henry Herald - McDonough,GA,USAMickey Channell, R-Greensboro, who introduced a resolution to appeal to Congress. Locally, Henry County’s nine-member delegation elected officers for the ...