2024 Legislative Updates - Week 7

Posted By: Stephen Davis 2024 Legislative Updates,

2024 Legislative Session

Legislative Days 23-25                                                                                                                                                            February 23, 2024

 

Cramming Before the Midterm

With the first big “test” of the year set for next Thursday, February 29, the House and Senate were abuzz with energy this week.  Adding to the chaos, lawmakers were only officially in session Tuesday, Wednesday, and Thursday but seemed to squeeze a full week’s worth of votes and committee meetings into those three days.  Less than ten hours separated the final Senate committee meeting on Wednesday night and the first House committee meeting on Thursday morning.

 

Late nights become more common as the session approaches Crossover Day on Thursday.  Next week, the focus will shift largely to vetting and voting on bills on the House and Senate floors, ensuring they cross to the opposite chamber in accordance with procedural guidelines.

 

Landlord-Tenant

Off-Duty Officers for Set Outs (HB 1203)                                                                       

Rep. Trey Kelly, R-Cedartown

Adopted by the House on Feb-22

HB 1203 authorizes landlords to use off-duty sheriffs, constables, marshals, and other POST-certified law enforcement officers to execute writs of possession if the marshal, sheriff, or constable does not execute within 14 days of the application.  Local law enforcement must maintain a list of authorized off-duty personnel and provide that information to the landlord upon request.  The landlord must provide written notice of the execution of the writ.  The bill received broad bipartisan support in the House on Feb-22 and it passed 168-1.

 

Safe at Home Act (HB 404)                                                                                       

Rep. Kasey Carpenter, D-Dalton

Pending in the House Rules Cmte

Introduced by a bipartisan group of lawmakers in 2023, the Safe at Home Act makes several changes throughout the landlord-tenant act including:

    • Requiring leases to state explicitly that the dwelling is fit for human habitation,
    • Adding “cooling” to the list of utilities that the landlord must make available,
    • Limiting security deposits to no more than two months’ rent, and
    • Creating a three-business day right to cure, posted on the door, and sent by terms agreed to in the lease.

 

Tenant advocates stood down on their effort to amend the bill with additional pro-tenant measures in the Feb-12 meeting but signaled their ongoing efforts to reform Georgia’s landlord-tenant statute.  The Committee updated the effective date of the bill, a technical move that will require the House to agree to the change after it is adopted by the Senate.

 

Clayton County Eviction Mediation Fee (HB 1313)                                             

Rep. Rhonda Burnough, D-Riverdale

Assigned to the House Intragovernmental Affairs Cmte on Feb-21

HB 1313 authorizes the assessment and collection of a $5 "eviction mediation program fee" on all dispossessory filings in the Magistrate Court of Clayton County.  The bill is considered local legislation and moves through an expedited process in the General Assembly.

 

Squatter Reform Act (HB 1017)                                                                              

Rep. Devan Seabaugh, R-Marietta

Considered by the House Judiciary Cmte on Feb-22

HB 1017 addresses the issue of squatters through the criminal trespass code.  This allows police to take action directly under certain conditions.  It also contains language to create a new offense related to false or fraudulent lease or rental agreements.  House Judiciary Committee members agreed on the need to remove squatters more efficiently than is currently allowed but questioned the process prescribed in HB 1017.  Other legislation to address squatters include HB 1153, SB 470, and HB 1227.

   

Legal Reform       

Data Analysis for Tort Reform (HB 1114)                                                                     

Rep. Will Wade, R-Dawsonville

Adopted by the House on Feb-22

HB 1114 is the Governor’s data request bill to support future tort reform.  It authorizes the Insurance Commissioner to request data from insurers, licensed rating organizations, and state agencies regarding the impact of tort lawsuits and the assessment of tort-related risks.  Data is not subject to open record laws.

 

Premises Liability Reform (SB 186)                                                                           

Sen. Greg Dolezal, R-Alpharetta

Favorably reported from the Senate Insurance and Labor Cmte on Feb-21

SB 186 limits landowner liability regarding invitees, licensees, and trespassers.  It clarifies there is no liability due to alleged constructive notice of prior crimes or violent nature and limits the apportionment of fault to the landowner for their own acts or omissions.

 

The author was joined by Meagan Hanson, Executive Director of Georgians for Lawsuit Reform to present the bill in committee on Feb-21.  The Georgia Trial Lawyers Association (GTLA) and Michael Moran with Law & Moran testified in opposition, alleging passage would leave Georgians without access to the justice system.  A variety of business interests were prepared to testify in support.  Special thanks to Laurel Hart with Columbia Residential who presented on behalf of the industry.  Ultimately, the bill passed largely along party lines.  To watch the debate, click here.  The bill presentation begins around the 1:30 mark.

 

Premises Liability Reform (HB 1371)                                                                      

Rep. James Burchett, R-Millwood

Assigned to the House Judiciary Cmte on Feb-22

For weeks, the business community has worked with delegates who negotiated directly with GTLA in an effort to craft compromise legislation that would advance meaningful premises liability reform.  The negotiations were mediated by Rep. James Burchett, a plaintiff’s lawyer.  Rep. Burchett simultaneously shared his draft version of the premises liability legislation with reform proponents and introduced the bill on Feb-22.  Upon review, HB 1371 likely worsens Georgia’s legal environment and, absent significant amendments, is untenable.  Look for a call to action directing the business community to contact House members and insist they move real lawsuit reform, not carry the water of GTLA.

 

Weapons and the Liability of Owners (HB 1364)                                                      

Rep. Martin Momtahan, R-Dallas

Assigned to the House Judiciary Cmte on Feb-22

HB 11364 provides that a person or business that owns or legally controls a property and prohibits a lawful weapons carrier from possessing a concealed weapon on the property shall assume absolute custodial responsibility for the safety of such lawful weapons carrier from certain threats.  It creates a cause of action for a lawful weapons carrier who is harmed while on the property after being prohibited from weapons possession.  The author introduced a similar measure in 2022 (HB 1091) but it did not receive a hearing.

  

Property Management and Property Rights

Community Services in Multifamily Housing Act (SB 540)                                             

Sen. Nikki Merritt, D-Grayson

Assigned to the Senate Judiciary Cmte on Feb-21

SB 540 requires landlords or managers for certain apartment buildings or complexes to provide services when certain crimes have been reported or investigated on the property.  It provides for additional declared unlawful acts relative to fair housing.  The intent appears similar to HB 329 by Rep. Mesha Mainor which requires crime notices to tenants.

 

End Monopolies in Housing Act (SB 541)                                                                      

Sen. Nikki Merritt, D-Grayson

Assigned to the Senate Judiciary Cmte on Feb-21

SB 541 touches on several Georgia code sections.  It is identical to HB 630 filed in 2023 by Rep. Marvin Lim.

 

Title 7

Banking and Finance

  • Provides for reporting requirements related to loans for the creation, acquisition, or rehabilitation of housing units

Title 10

Commerce and Trade

  • Specifies that certain conduct related to the rental of real property to be used as a dwelling shall constitute an unfair trade practice
  • Allows actions for certain violations to be brought in a representative capacity
  • Changes certain requirements for exemptions from registration for investment advisors

Title 14

Corporations

  • Requires corporations to provide certain information as part of filing an annual registration

Title 44

Property

  • Prohibits bundled sales of certain foreclosures

Title 48

Revenue and Taxation

  • Provides for separate bidding for certain ad valorem tax foreclosure sales
  • Provides for certain reporting relating to tax credits for qualified low-income buildings

Elevator and Boiler Updates (SB 417)                                                                             

Sen. John Albers, R-Roswell

Pending in the Senate Rules Cmte

SB 417 deals with accidents involving elevators, dumbwaiters, escalators, manlifts, and moving sidewalks.  It requires the owner or lessee to report the accident by the end of the next business day.  It allows the Commissioner of Insurance to approve deputies to inspect boilers and pressure vessels.  It increases the frequency of pressure vessel inspections to once every two years.  It updates state law dealing with hazardous chemical protection and allows material safety data sheets to be provided to employees in a written or electronic format.

  

Property Taxation and Valuation

Floating Homestead Exemption (HB 1185)                                                                     

Rep. Beth Camp, R-Concord

Favorably reported from the House Ways and Means Cmte on Feb-21

HB 1185 allows local governments to choose to implement a floating homestead exemption without additional action by the General Assembly.  It allows for an annual inflationary increase in the base year-assessed value of the property.  Implementation of HB 1185 requires a constitutional amendment (found in HR 1022), which would appear on the November 2024 ballot if adopted by the General Assembly.  Similar legislation (SB 364) is also active in the Senate.

 

Alternative Method for Property Assessment (HR 1041)                                              

Rep. Dale Washburn, R-Macon

Considered by a House Ways and Means Subcmte on Feb-21

HR 1041 proposes an amendment to the Constitution that would allow county governments to adopt a new property assessment system for ad valorem taxation.  Under this model, the property would be valued only at the time of sale, and the value would remain fixed at the purchase price until it is next sold or significantly improved.  It would apply to all property types.  While legislators generally agreed that the purchase price is the purest way to determine actual value, they expressed significant concerns over uniformity, incentivizing non-arms length transactions, and depressing local digests.

 

Taxation of LIHTC Properties (HR 1115)                                                                   

Rep. Shaw Blackmon, R-Bonaire

Considered by a House Ways and Means Subcmte on Feb-21

In 2019, the Georgia Supreme court ruled that the county assessor could not include Low-Income Housing Tax Credits as income when determining the property value.  According to proponents of the bill, assessment problems persist.  One example provided to legislators on Feb-21 highlighted sister properties in Fulton and DeKalb Counties, where the tax bill from DeKalb was $250,000 and from Fulton was just $37,000.  HR 1115 proposes an amendment to the Constitution to clarify that LIHTC projects can be classified separately for ad valorem purposes.

 

Property Tax Reform (SB 349)                                                                                    

Sen. Chuck Hufstetler, R-Rome

Pending in the House Ways and Means Cmte

SB 349 makes several substantive changes to the state’s property taxation and appeal process.  Notably, it limits so-called 299(c) property value freezes to instances where the value is actually reduced as a result of the appeal.  Current law allows a freeze even if the value is unchanged.  It also aims to cap property tax increases on homesteaded property statewide to no more than 3% annually via a floating homestead exemption.

 

Allow Value Freezes Only on Homesteaded Property (HB 1120)                           

Rep. Darlene Taylor, R-Thomasville

Pending in a House Ways and Means Subcmte

HB 1120 excludes all non-homesteaded residential property from the two-year post-appeal valuation freeze allowed in current law.  Local government advocates characterized non-homesteaded property owners utilizing the freeze as “taking advantage of a loophole” to the detriment of municipal coffers.  Ways and Means subcommittee members were not receptive to this legislation.

 

Mandatory Reappraisal and Roll-Back Information (HB 1031)                                     

Rep. Dale Washburn, R-Macon

Pending in the House Rules Cmte

As introduced, HB 1031 requires the chief appraiser to reappraise every parcel in 2025 and every three years thereafter.  It requires estimated roll-back rate information to be included in the annual assessment notice.  During a subcommittee hearing on Feb-7, it was amended to include language that only grants a post-appeal value freeze when the value is actually reduced as a result of the appeal.

 

Code Enforcement, Land Use & Development

Development Impact Fees (HR 303 / HB 585)                                                               

Rep. Todd Jones, R-Cumming

Pending in the House Governmental Affairs Cmte

These measures authorize local boards of education to impose, levy, and collect development impact fees and use the proceeds to pay for additional educational facilities.  It is currently drafted to apply only to Forsyth County.  Across the Capitol, a similar pair of measures (SB 208 / SR 189) is also active in the Senate Rules Committee.  The Association opposes expanding impact fees for education and granting school boards the authority to impose such fees.

 

Rep. Jones presented his pair of measures to the House Rules Committee on Feb-7 and fielded a barrage of questions from his colleagues.  They specifically questioned why the bill didn’t include an automatic repeal when the county no longer meets the definition of “high growth.”  Members noted that county development authorities continue to offer incentives while simultaneously taking property off the tax digest leading to budget shortfalls for school systems.  The House Rules Committee sent HB 585 back to committee on Feb-15, signaling it needs additional work before further consideration.

 

Revise Low-Income Housing Tax Credits (HB 1182)                                                       

Rep. Clint Crowe, R-Jackson

Favorably reported from the House Ways and Means Cmte on Feb-21

Introduced as part of the larger tax credit reform package, HB 1182 rebrands the low-income housing tax credit to the Georgia affordable housing tax credit.  It allows credits to be leveraged for the development of affordable housing for seniors, veterans, and “targeted” areas, including rural locations.  It reduces the amount of credits for certain projects.

 

Rezoning Moratorium (HB 514)                                                                                  

Rep. Dale Washburn, R-Macon

Needs Agreement in the House and Senate

As introduced, HB 514 limits zoning moratoriums to no more than 180 days.  In 2023, the Association worked to amend the measure to protect all residential property from zoning moratoriums, not just single-family.  The bill was sent to a conference committee in the final days of the 2023 session; protections for apartments were removed.  On Feb-20, conferees met, and the Association was again able to amend the measure to include multifamily residential over the objection of others in the real estate industry.  The bill no longer contains language that authorizes a local government to waive impact fees for affordable housing without having to make up the difference as in current law.  Conferees adopted the committee report and now both chambers must agree to the provisions for final passage. 

 

Community Housing Options Increase Cost Efficiency Act (HB 1266)                           

Rep. Dale Washburn, R-Macon

Favorably reported from the House Government Affairs Cmte on Feb-21

HB 1266 enacts the “CHOICE” Act to allow local governments to seek certifications from the Department of Community Affairs upon the enactment of certain policies that can be used to receive priority in grant and loan applications submitted to state agencies to increase the state's supply of affordable housing.  The bill was opposed by several pro-local control legislators in committee on Feb-21 but ultimately received a do-pass recommendation. 

  

Taxation & General Business Legislation

Consumer Privacy Protection Act (SB 473)                                                                     

Sen. John Albers, R-Roswell

Scheduled for debate in the Senate on Feb-26

SB 473 protects the privacy of consumer personal data, defined as information that is linked or reasonably linkable to an identified or identifiable individual.  Changes made in the Senate Science and Technology Committee have made the measure less palatable to the business community. 

 

Forms Executed via Electronic Signature (HB 1206)                                              

Rep. Eddie Lumsden, R-Armuchee

Considered by the House Agriculture and Consumer Affairs Cmte on Feb-22

HB 1206 requires a business to provide or offer to provide a copy of forms or statements signed via an electronic signature pad.  The business can provide the copy in print or electronic form.  While the language is housed in the state’s Fair Business Practice Act, this amended version prescribes a $500 penalty for violations, rather than other penalties in the Fair Business Practice Act.

 

Remote Online Notary (SB 425)                                                                                      

Sen. Blake Tillery, R-Vidalia

Scheduled for consideration in the Senate Judiciary Cmte on Feb-22

SB 425 allows for the electronic execution of certain legal, notarial, and court services.  It allows electronic real estate closings in certain situations.  This issue was last debated in 2022 as HB 334.

 

Reduce the Income Tax Rate (HB 1015)                                                              

Rep. Lauren McDonald, R-Cumming

Pending in the Senate Finance Cmte

HB 1015 reduces the rate of state income tax from 5.49% to 5.39%.  This is one of the priorities of the Governor.  Separately, HB 1023 clarifies that the tax rate imposed on corporations tracks with the rate set for individuals.