Legislative Day 36 ... from the Senate

The state Senate today passed a 21 billion dollar budget package for fiscal year 2009.
Highlights include a 2-1/2 percent cost of living for increase for teachers and employees.

Republican Jack Hill, Chair of the Senate Appropriations Committee --- calls it a people focused budget.

“The people who work for the state of Georgia. Who keep us safe, who keep us healthy. Who care for our children and grandchildren. Who care for those in need. This budget focuses on those are our partners as well. And, who provide the services for those in need.”

The budget restores 56 million in education austerity cuts, as well as 83 million for school construction. However, Hill took House leaders to task for cutting funding to the state’s ports.
He says the money could have been used to further fund austerity cuts to schools systems across the state.

“I don’t understand really why you would want to cut the one economic engine that’s continuing to purr along at double digit increases even during a slowdown in the economy. Now we will work with the House to ensure we get the highest possible number for the austerity cut, but they’re gonna have to look at the costs that we had to look at as well.”

The budget includes money for math mentors, and virtual language classes for students enrolled in the Georgia Virtual Academy. Ninety eight million in the Senate version 09 budget will fully fund Peachcare. There’s also 9 million to improve to rural health across Georgia, as well as $20 million for mental health hospitals.

Tourism and economic develop got a big boost in the 09 budget, with the Senate recommending 4-1/2 million dollars.

“This is a critical time in our state. It’s not a time to turn back in our investment in these important job producing areas. We don’t skimp right now on deal making funds. We need to get new job that we can,” says Hill.

What the budget does not include is revenue funding for trauma care. Senate lawmakers hope to do that by adding a ten dollar car tag fee.

Recently, Governor Sonny Perdue has expressed concerns about decreasing revenue, saying it might be necessary to tap into the state’s reserve fund during the coming fiscal year.

The budget now goes to a joint Senate/House appropriations committee before heading to the Governor for his signature.

SENATE APPROVES TAX RELIEF PLAN

By a vote of 46 to 7, the state Senate today approved a pair of bills aimed at providing tax relief to Georgians. The first would cut state income tax by ten percent. However, Governor Sonny Perdue has said he doesn’t like the income tax reduction plan, because it means decreased revenue at a time the state can least afford it.

From the senate floor, Republican Chip Rogers championed the measure, saying state lawmakers have two choices.

“Either we going to allow the people who earn the money to take care of their problems, or we are going to take it from them by force at a time when they can least afford it.”

A competing tax relief bill in the state House would eliminate the car tag fee.

If voters approve the tax reduction plan, it cuts 1.2 billion in state revenues.

Finally, the second tax relief bill approved by the Senate, would cap the rate by which property assessments could rise. It would also eliminate the state portion of property taxes.

Both measures require a constitutional amendment which voters would have to approve this November.