Mar-30-2007
Notes from the Georgia State Senate: Senate passes legislation to improve local infrastructure, create townships
We are now past Crossover Day in the General Assembly, which is the last day a piece of legislation can cross from one Chamber to the next.  Day 30, or Crossover Day, is one of the longest days of the legislative session, and this year the Senate passed more than 60 bills and worked late into the evening.

 Some of the most important legislation that passed on Crossover Day 2007 will improve the operation of local governments and allow local governments to use land in new, innovative ways.  These bipartisan efforts will allow the create of local Infrastructure Development Districts and Townships in Georgia.

 Proposed legislation that will create the Georgia Smart Infrastructure Growth Act passed the Senate last week.  Also, a companion resolution to create a referendum vote on Infrastructure Development Districts  measures that will allow an alternative way for cities and counties to pay for infrastructure by creating the IDDs, which are similar to Tax Allocation Districts, was approved in a bipartisan manner.

 IDDs are currently used by other states, because they provide a way to transfer the cost of new infrastructure to those who will use the infrastructure  not just the people who live in the city or area.  In practical application, if a new subdivision is built, those who choose to live there will voluntarily agree to pay for that infrastructure through an assessment, much like a condo or homeowners fee.  Under Senate Bill 200 and Senate Resolution 309, these IDDs will collect a true impact fee, and only those who use the new infrastructure pay for it.  This is a significant difference from an impact fee, which ultimately results in an increase in property tax assessments for all the residents of a county. 

 Another bipartisan effort will create an alternative to establishing a new city, offering smaller government that is closer to the people.  Senate Bill 89 and its companion piece, Senate Resolution 130, will give residents in an unincorporated area a new option when they contemplate becoming a city.  Under this proposal, residents can vote to form a township that will make the critical decisions about land use and local zoning, but they still can continue to benefit from the larger tax base of their county.  Basic services such as fire, public safety, water and sanitation would continue to be provided by the county.

These townships will have distinct boundaries with identifying markers and locally elected Boards of Supervisors, who will come from small districts and thus be closer to the people they represent.  Because the obligations of a town will be so limited, the cost of running the new township should be minimal.  In addition, every new Georgia township will have a mandated cap on the level of property taxes they can levy and can only be annexed or converted to a city with the consent of its residents.   

These four pieces of legislation passed the Senate on Day 30, and the Constitutional Amendments will be on the November 2008 ballot for the voters to decide. 

In related news, I am working on legislation that will allow the land conservation tax credit to be transferable.  I think this is a great move that will extend Governor Perdues vision of preserving family farms and woodlands for future generations.  One of the issues right now is that many people do not have enough taxable income to use this tax credit.  This proposal will allow land conservation tax credits to be transferable, thus a property owner could sell the credit for a percentage of its dollar value, while putting their land under a conservation easement at the same time.  I have been discussing this with Rep. Richard Royal and look forward to working with the House on this legislation next year.   

With much more work ahead of us, there are seven working days left in the 2007 legislative session.  Please remember to contact me in my office on the issues that are affecting you and your area.