Job creation continued to be a top issue in the 2016 General Assembly with a number of pieces of legislation passed which focus on spurring job creation. In the fiscal year 2017 general budget, there were some strong initiatives which should continue making Georgia “the best state to do business in America.”
Legislation affecting economic development in the 2016 session
• HB 922— Permits a taxpayer to consider jobs created by a disregarded entity which they own when seeking to receive an income tax credit for creating new jobs in Georgia. Also provides that taxpayers may also receive a tax credit for such jobs created by a disregarded entity which they may own or be a partner in. Examples of a disregarded entity include a partnership or a limited liability corporation.
• HB 936— Ensures that the tax credit available for job creation in less developed areas is measured against an average wage for each new job created, rather than an aggregate of new jobs created. Also grants an income tax credit for employers who hire qualified parolees between Jan. 1, 2017 and Jan. 1, 2020.
• HB 937— Extends the current sales and use tax exemption for construction projects of regional significance from the year 2016 to the year 2019, and extends the time allowed for local governments to impose an excise tax on rental motor vehicles from the year 2038 to the year 2047.
• SB 323— Department of Economic Development is granted freedom from disclosure of project information until five days after a binding commitment has been secured. Also shields Board of Regents institutions for 90 days from Freedom of Information requests.
• HB 951— Extends “sales tax holiday” through 2016. Exempts Super Bowl tickets from state and local sales taxes as part of Atlanta’s proposal to host the Super Bowl.
FY17 budget items promoting job development
The 2017 budget includes a number of budget additions that will enhance Georgia’s economic development efforts.
• $10 million for InvestGeorgia is venture capital for startup companies staying in Georgia
• $300,000 in grants for small film projects … will help small Georgia film companies
• $800,000 for additional state tourism promotion and Year of Music promotion
Bonds for economic development-related projects
• $4 million — For shore line erosion mitigation on Jekyll Island
• $600,000 dollars added to $3.5 million appropriated in FY16 amended budget for sea wall on Hutchinson Island in Savannah
Full transcripts of bills may be found at http://www.legis.ga.gov/en-US/default.aspx. Simply type the bill number into the box at the top left-hand corner of the screen and specify if it is in the House or the Senate. The FY 2017 budget (H.B. 751) may be found at http://www.senate.ga.gov/sbeo/en-US/AppropriationsDocuments.aspx.
As always, I welcome any questions you may have.
I may be reached at
234 State Capitol, Atlanta, GA 30334
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(404) 657-7094 (fax)
E-mail at Jack.Hill@senate.ga.gov
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