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State Representative Lee Thompson
GEORGIA LEGISLATIVE REPORT
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February 12, 2009
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Dear Constituent,
I am honored to be representing you in this my first
session in the Georgia House of Representatives. I
have been appointed to serve on the House Natural
Resources & Environment Committee, MARTA
Oversight Committee and Information & Audits
Committee.
Throughout the session, I will keep you posted on the
progress of legislation involving a host of important
issues.
Please contact
me with your views on any issue that needs to
be addressed or whenever I can be of service.
Lee Thompson
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Legislation would bring in additional revenue, without raising taxes
Proposal would improve sales tax collections, help balance budget
This week, I co-sponsored legislation designed to put
additional funds into the state's shrinking coffers by
streamlining government and improving the sales tax
collection process. HB 356 would help reduce the state's
budget deficit, now estimated at nearly $3 billion after
January revenue reports showing a 14.3 dropoff from
last year.
The bill would transfer control over collecting sales
taxes from the state Department of Revenue to local
governments, allowing them to contract with private
firms. Similar plans have been successful in other
states, notably Alabama, which saw a revenue
increase of over $1 billion.
Every year, the Department of Revenue leaves money
on the table in uncollected sales taxes. In the current
fiscal crisis in Georgia, it is the time to recover this
revenue and scale down government spending at the
state level. Consumers are paying sales taxes in
good faith, and we need to make sure that those tax
dollars are collected, so that we can avoid additional
cuts in services and new tax increases.
Lee's legislation...
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Proposal would cap property assessment increases
A proposed constitutional amendment, HR 1, would limit the annual increases on
the reassessment valuation of both residential and
nonresidential property to 3 percent, or the rate of
inflation, whichever is lower. Under the proposed
change, property values could be reassessed upon
the sale or transfer of the property at fair market value,
which would not exceed the sales price. The
amendment would also ratify property tax freezes and
limitations already in place in some counties.
Supporters of the legislation claim HR 1 would bring
an end to the so-called "back-door" tax increases by
local officials who use valuation assessment hikes to
bring in more revenue without raising the millage rate.
Opponents contend that local government revenue
decisions should not be mandated from the state
level and should instead be left up to county
commissioners and school board members who are
more familiar with the needs of their communities.
Lawmakers on both sides of the political aisle are
now working on some provisions in the legislation to
make it more acceptable.
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Lawmakers consider transportation funding solutions
Legislation has been introduced in the House of
Representatives that would generate $25 billion in
funding for transportation projects over the next
decade through a special statewide sales tax. Under
HR 206, which as a proposed
constitutional amendment must be approved by two-
thirds of both the House and Senate and then by a
majority of Georgia voters, the money would be
allocated to an extensive list of highways, interchange
and light rail facilities across the state.
Meanwhile, the Senate has already approved a
regional approach to transportation funding. SR 44 would authorize counties to join
together and levy a sales tax on a regional basis, if
voters in those counties approve, for local
transportation needs.
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House votes to protect HOPE funds for books, fees
On Feb. 5, the House of Representatives voted
unanimously to approve legislation that would make it
easier for the state to keep HOPE Scholarship funds
available for students' book purchases and related
fees.Current state law requires that any time the total
collection of state lottery revenues declines during a
calendar year, the use of HOPE funds for books and
fees is reduced by a set percentage.
HB 157 would modify the law to require
that lottery revenues decline by 8 percent before
engaging the "trigger" to reduce grants to students for
books and fees. The lottery reserves currently stand at
$960 million, which is high enough to justify this
change and prevent deserving students from receiving
their full HOPE benefits. The legislation now goes to
the Senate for its consideration.
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