WEEKLY LEGISLATIVE REPORT - February 13, 2009

House passes property assessment freeze; constitutional amendment proposal fails

The House of Representatives voted Thursday on two pieces of legislation that would take some revenue decisions out of the hands of local government by freezing or limiting annual property assessment valuations.

HR 1 would have placed a cap of 3 percent or the rate of inflation, whichever is lower, on assessment increases for both residential and commercial property. As a proposed constitutional amendment, it needed 120 votes in the House for passage and failed on a vote of 105-67.

HB 233, however, needed only a simple majority to move on to the Senate, and it passed 110- 63. This legislation would place an immediate moratorium on assessment increases for two years.

I voted against both proposals. While our property tax system needs some reform, this mandate simply forces local governments to raise millage rates, reduce vital services and lay off employees, including police officers and fire fighters. Our already underfunded public schools would be especially harmed by this restriction on local control.

Other legislation passing the House this week includes:

HB 71, which would close a loophole in state law prohibiting the manufacture, sale and distribution of false identification documents.
HB 116, which would extend the sales tax exemption for parts used to repair airplanes that are not registered in Georgia.
HB 181, which would extend for four years the state revenue commissioner's authority to distribute unidentifiable sales and use tax proceeds.
HB 194, which would require pharmacists to print an explanation on prescription labels when substituting a generic product for a brand-name drug.
HB 212, which would extend the sales tax exemption on jet fuel for another year.
HB 231, which would expand the scope of projetcs for registered interior designers to include non-load bearing projects in existing structures.

All of these bills now go to the Senate for its consideration.