State House Votes to Move Sine Die to April 3

The state House voted today to adjust the legislative calendar for the rest of the 2009 session.

Sine Die was going to be at the end of June, just before the end of the 2009 fiscal year. But House Majority Leader Jerry Keen says the legislature has more information on the federal stimulus money coming to the state and there is no longer a need to prolong the session.

The state Senate is expected to adopt the new schedule soon.

The proposed calendar is below:

Monday, March 9 LEGISLATIVE DAY 28

Tuesday, March 10 LEGISLATIVE DAY 29

Thursday, March 12 LEGISLATIVE DAY 30

Tuesday, March 17 LEGISLATIVE DAY 31

Wednesday, March 18 LEGISLATIVE DAY 32

Thursday, March 19 LEGISLATIVE DAY 33

Friday, March 20 LEGISLATIVE DAY 34

Monday, March 23 LEGISLATIVE DAY 35

Wednesday, March 25 LEGISLATIVE DAY 36

Thursday, March 26 LEGISLATIVE DAY 37

Monday, March 30 LEGISLATIVE DAY 38

Wednesday, April 1 LEGISLATIVE DAY 39

Friday, April 3 LEGISLATIVE DAY 40

Lawmakers agree to slow down and wait for stimulus.

The State House and Senate have agreed to meet only 3 days a week for the next 7 week.
They hope to have a state budget by then, but if they don't, they'll come back in June. House Marjority Leader Jerry Keen says,

"This will allow us enough flexibility to respont what will or will not come from Washington."

State lawmakers had vowed to balance a state budget that's 2.2. billion dollars short without money from a possible federal stimulus. But January revenue figures released today show that Georgia is over 250 million dollars short from January of last year.

Transportation Funding Hits Roadblock in legislature

The State Senate this week passed a regional transportation funding bill that would allow groups of counties to band together and vote on whether they want a penny tax for their own transportation needs.

The idea, however, is running into problems in the State House. House Majority Leader Jerry Keen said today that his chamber prefers funding that would benefit all of Georgia’s transportation needs.

“We’ve been saying from the beginning we need a statewide transportation plan and initiative. Transportation’s just not fixing congestion in Atlanta.”

Keen says smaller counties don’t have enough of a revenue base to get enough money for roads in their area. The Atlanta business community is lobbying hard for the regional Senate approach because it would be the fastest way to improve metro Atlanta gridlock that, they say, hurts business in the state.

Homeowners Could Get Tax Relief... For Now

The state House passed a bill today that would prevent homeowners from receiving delinquent tax notices for now… But it almost ensures higher property tax bills in the future.

Governor Sonny Perdue wants to cut $428 million in Homeowners' Tax Relief Grants this year to help fill a $2.2 billion budget shortfall.

But in a vote mostly along party lines, House Republicans want to make sure the state makes good on its promise to fund the grants... for now.

House Bill 143 also ties the relief grant to the state’s budget in the future. If the state has a deficit, there wouldn't be a grant to homeowners.

Republican House Majority Leader Jerry Keen says the bill will fix the homeowners' tax grant problem once and for all.

“We are trying for the first time to bring some reason, some common sense, but more importantly accountability and predictability to this system.”

But Democratic Representative Doug McKillip says the state should make good on its word to continue to provide the grants, which range from $200-$300.

“Ladies and gentlemen, a promise made is a debt unpaid… We owe the $265 to every one of them for ‘08, we must give it to them for ‘09… It is what we need to do…"

The bill now goes to the Senate for consideration.

Lawmakers leave Capitol Armed with Budget Numbers.

State Lawmakers are heading home for a long weekend. They'll spend part of it combing through Governor Perdue's budget recommendations while fielding calls from worried constituents.

House Majority Leader Jerry Keen from St. Simons says he's already heard from his grandson's school nurse and his tax commissioner. They're not happy with proposed budget cuts to education and the elimination of the homeowner tax relief grants to local governments.

Without those grants some homeowners could pay 2 to 300 dollars more in property taxes. Keen says he wants to find a way to preserve the grants but warns that it will not be easy.

"It has to be a cooperative effort between both the legislative and the executive branch," he says. "Without that I don't know how to get there unless we have wholesale closure and shut down of departments."

Keen warns that Georgia's more than 2 billion dollar budget shortfall will be felt throughout the state. One lawmaker warned that if the budget were a patient it would not be a question of whether to amputate, but rather which limb to cut off. Lawmakers will begin Budget hearing next Wednesday.

Unity Begins the 2009 Legislative Session

Democrats in the Georgia State Legislature opened the first day of the 2009 session with a sign of unity. With Republicans holding a majority of seats in the House, Republican Speaker Glenn Richardson was re-elected – but not with the usual “yeas” or “nays.” He was elected by process of acclamation, where no formal vote was held.
Minority Leader Dubose Porter says Democrats in Georgia are taking a page from President-elect Barack Obama.

"We, at this important crossroads in Georgia's history, want to show just as our president-elect in Washington is putting the country's welfare ahead of partisan politics, we too, the Democratic caucus in Georgia, put aside the partisan rancor and ask that we move forward with the work of this state."

The gesture did not go unnoticed by Republicans. Majority Leader Jerry Keen says that both sides of the House need to work together as the Democratic-controlled government will soon begin helping the states' ailing budgets.

No Tax Reform, No Transportation or Trauma Funds

The 2008 legislative session ended last night with name calling and no tax reform.
It was in the 11th our, when it became clear that the State Senate would not give in to House demands for a constitutional amendment to cut the ad valorem tax on cars . House speaker Glenn Richardson had tried all session to get some kind of tax cut to voters. He has started with the so called GREAT Plan that would eliminate all property taxes in lieu of expanded sales taxes. When the only measure left of his original idea did not make it through the House/Senate conference committee he blamed the failure on the Lieutenant governor, a fellow republican.

"It's called the Cagle birthday tax, and every time they pay it they can thank Casey Cagle for leaving it on there," the speaker told his colleagues.

He urged Georgians to flood his office with phone calls and elect a new Lieutenant Governor. For his part Cagle took the comments in stride.

"What's most unfortunate is the name calling and to have a person over there attack your caracter, that's sad, but life goes on."

Cagle defended his position saying he wanted to cut income taxes and the tag tax cut would have taken too much money out of local government funds.

Democrats looked at the in-party fighting with an eye on the November elections.

"What you campaign on is the infighting. The result of the infighting is that the major issues of the state did not get addressed and resolved," said house minority leader Dubose Porter.

The State senate failed to approve a constitutional amendment for a one cent regional transportation tax.,The measure was meant to raise money to ease traffic congrestion, especially in Metro Atlanta. It fell 3 votes short of passing in the Senate.

A ten dollar fee on cars to fund trauma care also failed.
House Majority Leader Jerry Keen said he's not too concerned over trauma care not getting funded this time. He said there is $59 million dollars in the suplemental budget, which should hold the system over until next January. That's when lawmakers could try to fix it again.

Some bills did make it this session. HB 89, the famed parking lot bill made it through but with a lot of alterations. For one, property rights supersede gun rights. The small percentage of Georgians who hold a concealed weapons permint would be allowed to carry guns into some restaurants, but they can't drink. Churches and public sporting events are still off limits.

In some ways the session ended just as it began, with water. The first measure passed by both chambers was the Statewide water plan, the last bill to pass was about reservoirs. That bill enables the construction of reservoirs, but not everyone is happy. Conservationists wanted to add language that prohibits inner- basin transfers. They worry that Metro Atlanta could one day take water from the Savannah or other rivers. But that language did not make it into the bill.

Lawmakers did do what they are constitutionally required to do in 40 days, pass a budget. They approved a 21.2 billion dollar spending plan for the fiscal year which starts July 1. It includes a 2 and half percent pay raise for teachers and state employees.

Republican leaders exchange written threats

A letter has renewed the budget battle between top state lawmakers and Gov. Sonny Perdue.

Six of the state's most powerful legislators—all Republicans—have sent a memo to state agency heads warning them not to stray from the budget passed by the General Assembly back in April.

That bill contained lawmaker's instructions on how agencies should spend their money. But Perdue told agencies to disregard it. He says the state constitution does not give lawmakers the authority to issue spending instructions.

In this memo, Sens. Eric Johnson (R-Savannah), Tommie Williams (R-Lyons), and Jack Hill (R-Reidsville), and Reps. Mark Burkhalter (R-Duluth), Jerry Keen (R-St. Simon's Island) and Ben Harbin (R-Evans) remind agencies that the General Assembly hold their purse strings, and will not hesitate to tighten them in January, when the legislature revisits the state budget.

Here is an excerpt from the memo:

You should be aware that any expenditure conflicting with the intent of the appropriation jeopardizes our confidence in your ability to act as a proper steward of public funds. In writing the 2008 Amended Budget, we reserve the option of reducing or eliminating funding for your agency by that amount.

Confused agency directors called Perdue's office. The governor shot back at lawmakers with his own letter.

An appropriation consists of (1) a recipient, (2) a purpose, and (3) an amount. Language beyond these three criteria is neither authorized by constitutional or statutory law, nor is it binding….In sum, it was within my authority to strike certain earmarks because the information language is not part of the appropriation.

In other words, Perdue says that he is sticking to his guns. But his spokesman, Burt Brantley, strikes a conciliatory note.

"We want to work issues out with the legislature," he says. "We do not want agencies to have to choose between one or the other. That is a tough position to be in."

Brantley says lawmakers know the governor is willing to work with them. Perdue ends his letter by saying that his door remains open.

Delta celebrates end to Chapter 11

The celebration at Delta Airlines in Atlanta was part Hollywood premier and part pep rally, as hundreds of Delta employees celebrated the carrier's emergence from nearly two years of Chapter 11 bankruptcy.

Looking more like a movie star that the head of the nation's third largest airline, Delta CEO Jerry Grinstein was more than happy to share the spotlight with the crowd.

"You did it, this is your triumph!"

Grinstein told his employees that Delta emerges as a more formidable airline than before, ready to compete with low fair airlines, like Jet Blue and Air Trans.

"You've got a completely transformed company and you have ve four quarters of operating profit which hasn't happened since 2000, so this company is altogether different."

Later this week, 4-hundred million newly issued Delta shares begin trading on Wall Street.

At least 14-million of those shares will go to employees.

Analysts expect opening day prices to come in at around $20 a share.

Governor questions budget compromise

The state legislature is expected to vote Friday on a midyear budget that contains $100 tax rebates for the typical homeowner, thanks to a late compromise between leaders of the Georgia House and Senate.

Senior GOP lawmakers couldn’t agree how best to use about $142 million in the state’s midyear budget, so they decided to spend it on the tax credits, which had never been mentioned before.

Gov. Sonny Perdue says it may not be a good idea.

“It came about in a strange fashion,” Perdue said. “I’m not sure the budget negotiations conference table is the place to really discuss and talk about tax strategy and fiscal policy decisions such as occurred.”

Perdue says he’ll consider the midyear budget carefully. There are several reasons why he could veto it. He reminded reporters that he had made a campaign promise to give seniors a new tax break, but lawmakers failed to act on his pledge. Secondly, there’s no money in this new version for some things Perdue wanted, including his “Go Fish” tourism initiative and a land conservation program.

In response, House Majority Leader Jerry Keen (R-St Simons) says the budget negotiators—all senior GOP legislators—should be the ones directing tax policy. Besides, he says, there’s not enough time to follow through on Perdue’s promise of tax relief for seniors.

“It’s too late in the session to pass another bill,” says Keen. “The only avenue we had to return the money to the taxpayers was to take something in budget, and that was our only option.”

Keen says the House supports many of Governor Perdue’s projects, and may try to fund them in next year’s budget.

Without a budget, lawmakers would have to return to the Capitol for a special session.

The House appropriations committee plans to approve the 2008 budget Thursday.