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Estimates come up short
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The slide in state revenues continued in February as total revenues were slightly positive at 0.5 percent. The key monthly indicator, individual income taxes, was up only 1.7 percent. Sales taxes were negative at minus-2.4 percent. Corporate income taxes were up from $6 million in 2007 to $18 million in 2008.

Year to date, revenues are up slightly at 1.9 percent, a figure that is tied closely to the slide in individual income taxes, which are up only 2.9 percent YTD. Sales taxes, about one-third of total revenues, are only showing an increase of 0.6 percent.

The state budget for FY2008, which ends in June is based on a growth rate of 2.94 percent, which indicates that the revenues for the balance of this year might not reach the revenue estimate. As a result, the governor reduced the revenue figure for FY08 by $65 million and suggested eliminating $30 million for school technology and $25 million for school buses.
 
Governor reduces 2009 revenue estimate
Additionally, Gov. Sonny Perdue reduced the revenue estimate for FY09 by some $245 million as a precaution in case revenues do not turn around over the next few months.

A list of suggested cuts equal to $245 million include:

• Partial reduction of the proposed COLA for state employees, teachers, and Regents faculty from 2.5 percent to 2 percent.

• Elimination of the $16.9 million in funding for the Health Insurance Partnership.

• Elimination of funding for the Department of Corrections day care centers at $5.2 million and additional bed space at county correctional institutions of $8 million.

• Reducing funding for the Very Important Parent (VIP) recruiter program initiative by $5.5 million.

• Reduction of the grant in aid to county health departments by $7.1 million.

• Bonding of major repairs and renovations funds for Regents and technical and adult institutions of $47 million.

• Elimination of bond projects —  converting the former World of Coke building to a state museum; and one airplane and three helicopter purchases.

• $17 million for the matching funds for the Georgia Ports Authority Savannah River deepening project.
 
Bills of interest
The following bills and resolutions passed the Senate this week:

• S.B. 196: Grants college scholarships to Georgia residents 25 years or younger whose parent(s) sustained qualified combat-related injuries.

• S.B. 327: States that any bill requiring a public retirement system to divest or refrain from investing in specific investments or classes of investments may only be introduced in the first year of the biennial session.

• S.B. 461: Redefines the term “bullying” and expands the scope of the required policies that must be adopted by local school boards that prohibit bullying.

• S.B. 519: Requires written notice before foreclosure.

• S.B. 535: Requires local school systems to maintain accreditation in order to receive QBE funds.

• S.B. 537: Puts the present Office of Inspector General into state code.

• S.B. 539: Creates a certificate of need exemption for continuing care retirement communities.

• S.B. 547: Expands the offense for which a fine add-on is required with the funds going to the Brain & Spinal Injury Trust Fund. This bill is related to S.R. 1074, a constitutional amendment which dedicates those funds.

• S.B. 548: Expands penalties for misuse of purchasing authority by state employees. Misuse or personal purchase under $500 is a misdemeanor and misuse over $500 is a felony.

• S.R. 515: A constitutional amendment that would exempt homesteads of teachers, firefighters, and law enforcement officers from ad valorem taxation up to $250,000. In urban areas, this is an attempt to keep those people in local neighborhoods.

• H.B. 291: Creates the Georgia Arts Alliance, its board of trustees, and their advisory committee.

• H.B. 301: Increases penalties for training dogs for fighting, organizing bets, and advertising exhibitions.

• H.B. 1088: Promotes the development and maintenance of agricultural tourist attractions by limiting the liability of the farmer.
 
To find out more about any legislation, visit the Legislature’s home page at www.legis.state.ga.us

In Effingham County, Progress Starts With a Plan
Guest Editorial by Susan Kraut, President/CEO of Effingham County Chamber of Commerce
Susan Kraut column
A sold-out crowd of more than 150 business and community leaders gathered at Effingham’s New Ebenezer Retreat Center Sept. 24 for the Chamber of Commerce’s annual State of the County Luncheon, hearing updates on economic growth, education, and infrastructure across Effingham County. (Submitted photo)

At last Wednesday’s sold-out State of the County luncheon, more than 150 business and community leaders heard a message that resonated throughout the program: We have a plan, and we’re sticking to it.

Effingham County City Manager Tim Callanan opened his remarks with that thought. It was simple, but powerful. In an era when news feeds churn with controversy and change, it served as a reminder that behind the scenes, steady planning is happening – and those plans are beginning to bear fruit.

Businesses and residents often express frustration about roads, zoning, parks, schools or economic development, feeling that growth is outpacing action. The truth, as Callanan underscored, is that many of those actions are already underway, rooted in master plans that cover everything from transportation and stormwater to parks, communications and public safety.

The challenge is that plans only matter if people know they exist. Too often, businesses and citizens forget these plans are in place, don’t know where to find them or don’t realize how to weigh in at the right moments. When that happens, the community loses the chance to shape its own future and to express the value of those plans – why they matter and why they’re worth supporting.

Planning delivers progress

Last week’s luncheon highlighted how “plans” translate into progress. Mayor Kevin Exley shared Rincon’s ranking as one of Georgia’s safest cities and the city’s launch of the Citizen Central app – a small but meaningful step toward accessible local government. Springfield’s new city manager, Lauren Eargle, outlined a capital improvement plan that includes sidewalks, drainage and playgrounds, along with the less glamorous but vital work of a $35 million wastewater plant upgrade. Guyton’s city manager, Bill Lindsey, discussed contracting with planning consultants, winning grants for sidewalks, and reinvesting in Bazemore Park and downtown revitalization. These aren’t random acts; they’re evidence of intentional planning.

The school district provided another example when Superintendent Yancy Ford noted that Effingham now serves nearly 14,500 students speaking 33 languages. That diversity is an asset – but it also requires careful, proactive investment to maintain the high standards families expect. His most powerful point concerned ESPLOST, the 1-cent Education Special Purpose Local Option Sales Tax. Thanks to community support over the years, ESPLOST has built classrooms, purchased buses, enhanced safety measures, provided Chromebooks to all students, added security cameras and access-control systems, created inclusive playgrounds and athletic facilities open to the community, supported hands-on learning spaces like Honey Ridge, and established the College & Career Academy – a facility credited by Ford as helping lift the district’s graduation rate above 90% and expanding career pathways for a rapidly diversifying student body. And it has done so without incurring long-term debt.

Why ESPLOST matters

Among these examples of planning, none is clearer than ESPLOST — a long-term, voter-approved blueprint for funding education, renewed every five years to stay ahead of growth. The November ballot will again include the ESPLOST renewal, giving voters the opportunity to continue this proven approach to funding school facilities, technology, safety, transportation, inclusive playgrounds and community-accessible athletic fields. Renewing ESPLOST does not create a new tax; it simply extends the existing 1-cent sales tax, allowing residents, visitors and businesses to contribute to improvements that benefit every student. Without it, many of the projects parents and community members count on – such as new buses, safer schools, modern classrooms, career pathways and accessible playgrounds – would stall or require long-term debt.

Renewing ESPLOST is about more than bricks and mortar. It is not a reactionary measure but part of an intentional, ongoing plan to manage growth and maintain education – reinforcing the theme that plans become progress. As the district’s population becomes increasingly diverse and enrollment continues to rise, sustained ESPLOST funding is crucial to scaling programs, expanding facilities and maintaining the high graduation rates and opportunities that families expect. It is about protecting Effingham County’s tradition of educational excellence, maintaining property values and ensuring the workforce being prepared in our schools is ready to meet the needs of local employers. It is an investment in students, families and the future of our communities.

A call to the community

Effingham County is growing. Growth brings challenges, but it also brings opportunities. As the luncheon demonstrated, leaders at every level are working to guide that growth thoughtfully. The next step belongs to business owners, parents and neighbors – to lean in, stay informed and participate.

When hearing about a master plan, a referendum or a public meeting, don’t assume it is someone else’s job. Look up the plan, attend the forum, ask questions and cast a vote. That is how plans become progress – and how a yes vote on ESPLOST reaffirms and continues the community’s long-term plan for educational excellence, reinvesting in Effingham County’s future.