State Legislature at the Halfway Mark

As of press time the state Legislature is at the halfway point, with a blitz of bills, hearings and issues happening in rapid succession. And while several proactive bills saw some movement, there are hundreds of bills addressed for credit unions with new bills introduced each day. For the full list of bills monitored on behalf of credit unions, please click here for the legislative tracking system; however, below is just some of the activity and issues from this week:

• Appraisal Management Companies: On February 19^th the full House passed HB 192 by Rep. Alan Powell (R-Hartwell) which seeks to bring Georgia law on regulating appraisal management companies into compliance with federal statute. GCUA worked with Rep. Powell last year on this issue to correct language that did not contemplate credit unions’ ever being engaged in this business, and while the bill did not pass last year, this year’s version retains the credit union language.
• Auto Dealer-Franchisee Relationships: SB 122 by Sen. John Kennedy (R-Macon) seeks to make several changes to the way auto dealers and franchises interact with each other as well as how they protect data. And while it’s narrowly focused, it is monitored closely to ensure that what they are seeking doesn’t affect lending.
• Boat Titling: On February 19^th a House Ways and Means subcommittee held a hearing on HB 314 by Rep. Ron Stephens (R-Savannah), which seeks to create a boat titling procedure in Georgia regulated by the Department of Natural Resources. GCUA will stay engaged in the process. However, this is not a new issue – the Legislature has considered boat titling each year for more than 20 years without a successful final passage, and already there are concerns on the tax section of the bill.
• Habitat for Humanity: HB 313 by Rep. Spencer Frye (D-Athens) seeks to address a property tax issue for Habitat for Humanity and how its properties are assessed before they are turned over to the new owners. And while narrow in scope, it opens up dialogue and sections of law that pertain to lending, nonprofits and tax exemptions.
• Hemp Farming: On February 20^th the House Agriculture Committee took a step toward legalized hemp farming when HB 213 by Rep. John Corbett (R-Lake Park) passed the committee. This bill, as well as the other marijuana-related bills are monitored to ensure that no barriers to financial services (other than the existing barriers on a federal level, but efforts are under way in Congress to try to address it) are created.
• Mass Tax Exemption Review: SB 120 by Sen. John Albers (R-Alpharetta) was introduced this week and calls for an analysis and cost-return on 53 separate income and sales tax exemptions and credits. This bill will be monitored closely through the process to ensure that credit unions are not impacted.
• Mortgage Licensing Exemptions: On February 20^th the House Banking Committee debated HB 212 by Rep. Clay Pirkle (R-Ashburn) to carve out an exempt for mobile home dealers if they are not in the act of facilitating a mortgage. The impetus for this bill comes from changes in federal law; however, a substitute version is anticipated as of press time that more narrowly defines what the bill is seeking. From a credit union perspective, this issue has been discussed with the mobile home interests and monitored closely to ensure that it does not bring Georgia law out of sync with federal requirements and accidentally bring more compliance burdens onto credit unions.
• Peer to Peer Car Sharing: The state is contemplating how peer to peer car sharing could be regulated with HB 337 by Rep. Shaw Blackmon (R-Bonaire). GCUA received an advance copy of the bill due to the previous work on the Uber/Lyft bill from a few years ago, and in the analysis, it appears that the car would be insured throughout the entire time – something of importance to any lienholder on an auto. However, much work is yet to happen and GCUA will stay closely engaged on through the process.
• TAVT Changes: Ever since TAVT passed years ago, there have been annual attempts to make changes. HB 365 by Rep. Shaw Blackmon (R-Bonaire) is this year’s attempt that seeks to change how fair market value is calculated on vehicles as well as lowering the amount of tax required. It will have MANY changes (as it has over the past several years) and as such will be monitored closely.
• Towed Vehicles: This week GCUA has been engaged on a bill that seeks to overhaul the entire section of law that pertains to towed vehicles: HB 307 by Rep. Alan Powell (R-Hartwell). The original version of the bill lengthened the period of time in which a towing facility would notify a lienholder to 20 days; however, GCUA has been working closely with Rep. Powell and interested parties to shorten this to keep credit unions and other from having a delay in realizing that a vehicle had been impounded. The bill was debated in a Motor Vehicle hearing on February 21st and will likely change several times in the process; stay tuned!