The regulatory state took center stage at the General Assembly this week as both chambers held hearings on how to reduce the growing regulatory burden on Georgians.
On Thursday, the House Budget and Fiscal Affairs Oversight Committee held a hearing to learn more about the growth of Georgia’s regulatory code and how other states have sought to reduce this burden on citizens through both executive and legislative reform. The Georgia Public Policy Foundation, along with Americans for Prosperity and the Pacific Legal Foundation, testified before the committee. A day earlier, the Senate Economic Development and Tourism Committee advanced Senate Bill 28, otherwise known as the “Red Tape Rollback Act.”
This bill is the centerpiece of the Senate’s effort toward regulatory reform, one of the session’s top priorities as outlined last month by Lt. Gov. Burt Jones.
In a press release from the lieutenant governor, Georgia’s Red Tape Rollback Act was presented as the state’s complement to the Trump administration’s Department of Government Efficiency, better known as DOGE. Practically speaking, Georgia’s foray into regulatory reform is not designed to work like the highly publicized federal project. However, the two programs do share a similar goal of creating a more efficient bureaucracy. Lt. Gov. Jones stated that Georgia’s effort will complement the federal government’s in seeking to “create efficiency, while paring down unnecessary spending and eliminating bureaucratic red tape.”
The Red Tape Rollback Act includes the following regulatory reform measures:
- It requires state agencies to perform top-to-bottom reviews of their rules and regulations every four years.
- It directs state agencies to reduce compliance and paperwork burdens on small businesses.
- For proposed rules that are estimated to cost over $1 million over five years after implementation, it requires agencies to provide an economic impact analysis to the General Assembly.
- It empowers legislators to request a “small business impact analysis” to weigh economic costs and benefits from pending legislation.
How would regulatory reform work in Georgia, and how does our state compare to others? We talk about it in this week’s commentary. We also have the latest news and analysis from the last week, including:
- Georgia breaks export records
- Loffler confirmed to lead Small Business Administration
- Duracell moving HQ to Atlanta
- House approves deadline extension on homestead exemption opt-out
Have a great weekend,
– Kyle Wingfield
Friday’s Freshest
How much does each school district have in reserves?
Across Georgia, public school districts are refusing to go along with a reduction in property taxes that was approved by voters last fall – all while raking in taxpayer dollars like never before. Cumulatively, Georgia’s 180 city and county school districts have more than doubled their reserves to a staggering $6.5 billion.
TORT REFORM: The Georgia law that business owners hate the most
Georgia law can hold a business owner civilly liable for a criminal act that happens on his property, one that the business owner had nothing to do with. The consequences to the business owner are often severe. The fact that Georgia law permits this might surprise you. If it does, then you should also know that it’s enabled through a legal mechanism known as premises liability.
Staying the course is the wise thing to do
A tension is building over how much money the government should take from taxpayers and spend on their behalf. On the surface, you might not know it. That’s because spending has been going up even as tax rates have gone down. To understand how a state with a balanced-budget requirement has managed that trick, and why that tension is arriving now, we need to look in our rearview mirror.
A roadmap for success in Georgia
The latest test scores from the National Assessment of Educational Progress have sparked concern about the state of education in America, and for good reason. But one thing is clear: where a state stands today is not a fixed destiny. With the right leadership, policies and commitment, real change is possible. We can look at Florida and Mississippi for proof of that.
Tort reform and what it means for cost and access in Georgia healthcare
A comprehensive legislative package in Georgia will seek to address some of the state’s most contentious areas of litigation. One of those areas is healthcare, as hospitals and physicians lament a system that has seen significant cost increases just to carry medical malpractice insurance. For Georgia legislators, one goal is clear: to determine what healthcare damages are worth from a legal perspective, and, consequently, the costs associated with maintaining the status quo.
The Latest
Economy
Georgia breaks export records, rises in total trade
Gov. Brian Kemp joined the Georgia Department of Economic Development in announcing that the State of Georgia surpassed $53.1 billion in exports, a year-over-year increase of 6.4% that outpaced the national average of 2.3%. The state also moved up a rank to sixth in the United States for dollar value of trade, serving as a global gateway to facilitate more than $198.7 billion in trade to 222 unique countries and territories.
Duracell announces relocation of R&D headquarters to Atlanta
One of the world’s leading battery manufacturers will establish its new Global Headquarters for Research and Development in Atlanta, Gov. Brian Kemp announced. Duracell will invest $56 million in the project, which will create 110 jobs. The company has a manufacturing facility in LaGrange that has been in operation since 1980 and a logistics and distribution plant in Fairburn that opened in 2020.
Paper mill expansion credited for sales surging to $1.4 billion
A paper mill is crediting its move to Augusta for helping its net sales top $1 billion. Spokane, Washington-based Clearwater Paper Corp. bought Graphic Packaging Holding Co.’s bleached-paperboard manufacturing facility in a $700 million deal that closed in May 2024. As anticipated, product volume started to rise.
Energy
New data center proposal in Bartow would require as much power as 324K homes
A proposal for an expansive data center campus in Bartow County is poised to become one of the area’s biggest projects — and largest electricity users. Preliminary plans for “Project Springbank” were disclosed Friday for a six-building data center campus an hour northwest of Atlanta, according to a Development of Regional Impact filing.
Georgia leaders talk EV investments, becoming major player in global market
Georgia wants to be the leader when it comes to domestic electric vehicles and the battery supply chain. This week elected officials and industry leaders took part in a panel discussion at Savannah Technical College. The Zero Emission Transportation Association (ZETA) Education Fund hosted the round table. From battery manufacturing to automotive assembly, leaders discussed the importance of EV investments.
Trump’s energy department cancels more than $124 million in wasteful spending
America’s refreshed Department of Energy under President Donald Trump has allegedly found more wasteful spending, as other budget-cutting actions have taken place in various federal agencies. The department has identified and canceled more than $124 million “from millions of dollars of DEI contracts to ridiculously expensive multi-million-dollar Politico news subscriptions.”
Government accountability
Georgia lawmakers step up for Hurricane Helene victims
Tax relief bills targeting victims of Hurricane Helene cleared both chambers of the General Assembly this week. The Georgia House unanimously passed legislation exempting from taxation disaster relief payments, grant funds, or crop insurance proceeds provided to victims of the massive storm that struck South, Middle, and eastern Georgia last September.
Georgia Senate backs bill to increase state child care tax credit
The Georgia Senate unanimously backed a bill Wednesday that would give parents of young children a bigger tax break. The goal of Senate Bill 89 is to help more parents stay in the workforce, said the chief sponsor, Sen. Brian Strickland, R-McDonough. The legislation would increase a state tax credit that is indexed to the federal child and dependent care tax credit by a third.
Property taxes
House approves deadline extension on homestead exemption opt-out
The Georgia House of Representatives passed a bill that gives local governments more time to decide on whether to opt out of a property tax cap approved by voters last year. House Bill 581 required local cities, counties and school boards to freeze property tax assessments at the rate of inflation. The law, approved by voters last fall, gave entities the option of not enacting 581 if they held three public hearings by March 1. House Bill 92 extended that deadline to March 31. The Foundation provided detailed commentary on the property tax ballot initiative last fall.
Gwinnett County opts out of Georgia’s new homestead exemption law
Gwinnett County leaders say they’re trying to protect homeowners from paying higher taxes by opting out of Georgia’s homestead exemption law, but some say they don’t think it’s the right call. This week, the county followed the example of many other metro Atlanta counties and school districts by opting out of House Bill 581, which was previously approved by Georgia voters.
Bonus
Senate confirms Kelly Loeffler to lead Small Business Administration
The U.S. Senate on Wednesday confirmed Kelly Loeffler, a Georgia businesswoman and former senator, to lead the Small Business Administration, returning a stalwart supporter of President Donald Trump to Washington. At SBA, Loeffler will oversee the entity that describes itself as the only Cabinet-level federal agency “fully dedicated to small business” by providing “counseling, capital, and contracting expertise as the nation’s only go-to resource and voice for small businesses.”
Coca-Cola introduces contender in prebiotic drink trend as ‘gut-healthy’ sodas gain popularity
Atlanta based Coca-Cola has launched a prebiotic soda to keep up with trendy “gut-healthy” sodas, Olipop and Poppi. The new soda “Simply Pop” will debut later this month on the West Coast, in the Southeast and online via Amazon Fresh.
Trump lays out plan to work with Republicans in Congress to ‘dramatically’ cut taxes
President Donald Trump announced plans to work with Republican members of Congress to “dramatically” cut taxes for individuals and companies. Trump spoke at the FII Priority Saudi Investment summit in Miami, Florida, when he announced his plans for the “largest tax cuts in American history.”
Quotes of Note
“Where I come from, deeds mean a lot more than words.” – Zell Miller
“I am confident that Senator Loeffler will ensure SBA once again works for all small businesses, and usher in a golden age for America’s small businesses.” – U.S. Sen. Joni Ernst, R-Iowa
“February is the uncertain month, neither black nor white but all shades between by turns. Nothing is sure.” – Gladys Hasty Carroll
