The Georgia General Assembly has 40 days to pass bills, and following that, the governor has 40 days to decide if they will become law. That process ended May 7, 2024, and Gov. Brian Kemp chose to veto 12 bills and signed the remaining 339 into law.

2025 State Budget

The most important bill signed by the governor was the state budget. Fiscal year (FY) 2025 begins on July 1, 2024, with a budget of $36.1 billion. The FY 2025 revenue estimate reflects an increase of $3.7 billion, or 11.4%, over the FY 2024 budget.

Spending falls into the below categories:

• education;
• health and human services;
• public safety;
• transportation;
• economic development;
• general government; and
• capital projects.

Education accounts for $18.9 billion, or 52%, of the budget, including:

• $14.1 billion in Quality Basic Education (QBE) earnings for funding over 1.7 million students and 134,899 teachers – a record amount of state funds provided to K-12 education;
• $373.6 million to fund a $2,500 annual pay raise for teachers. Since FY 2020, Georgia’s base-salary schedule has increased $9,500;
• $200 million in additional funding for pupil transportation based on updated buses, mileage, and operating expenses;
• $109 million in school safety grants for infrastructure or ongoing operating expenses, including school resource officers; and
• $97.6 million invested in Georgia Pre-K, the largest infusion of lottery dollars into the Pre-K program in 30 years, including:
  • $25 million for a $2,500 annual salary increase for Pre-K teachers; and
  • $57.5 million in new lottery funds to implement the recommendations from the House Early Childhood Education Working Group:
    • class size reduction from 22 to 20 students per class, phased-in over four years;
    • increased start-up and replenishment grants;
    • increased transportation funding; and
    • operations increase for private providers.
  • $15 million for the dual enrollment program to continue serving over 50,000 Georgia students annually;
  • $7.4 million in targeted funds for Technical College System of Georgia (TCSG) to provide increased credit hour earnings for the high-demand program areas of aviation, commercial truck driving, and nursing;
  • $6.3 million to provide more than 17 million no-cost meals to reduced-price eligible students; and
  • $1.9 million to the TCSG to fund 22 additional officers to serve at campus police departments throughout the system.

Health and human services account for $8.4 billion, or 23% of the budget, including:

• Three provider rate increase studies:
  • $39 million for Elderly and Independent Care Waiver Programs;
  • $26.7 million for behavioral health providers; and
  • $79.9 million for the NOW/COMP program.
• $20 million in rate increases for providers serving Medicaid patients and $15.9 million for providers serving medically fragile children through the Georgia Pediatric Program;
• $10.5 million to provide basic dental services for adults on Medicaid;
• $8.4 million for a 3% provider salary increase for child caring institutions, child placing agencies, foster parents, and relative caregivers;
• $6.2 million in one-time funds for the State Health Benefit Plan to provide a $3 per prescription dispensing fee for independent pharmacists; and
• $4 million as part of a multi-year plan to stabilize the Georgia Trauma Care Network.

Public safety and transportation account for a combined $5 billion, or 14% of the budget, including:

• $79 million for construction and maintenance on more than 125,000 miles of road;
• $45.9 million for an additional $3,000 annual salary increase for law enforcement officers across 19 state agencies;
• $14.7 million to domestic violence shelters and sexual assault centers to pay for administrative personnel and facility costs related to compliance with state standards;
• $10.7 million to state prisons for security technology upgrades to detect and prevent the introduction of contraband;
• $4.3 million for a dedicated sexual assault nurse examiner coordinator in 27 sexual assault centers and 21 satellite locations equipped to perform forensic medical exams;
• $3.5 million to fund a $2 per diem increase for county correctional institutions; and
• $2.7 million for the Georgia Crime Victims Emergency Fund for personal services and operating expenses associated with the fund.

Capital projects account for $2 billion, or 6% of the budget, including:

• $866 million in cash projects for FY 2025; and
• $0 in new debt issued for FY 2025.

General government accounts for $1.3 billion, or 4% of the budget, including:

• $260 million across all agencies to provide a 4% cost-of-living adjustment for state employees;
• $5 million for third-party ballot text auditing technology to allow the secretary of state’s office (SOS) to audit and verify the validity of any election in the state without the use of QR codes; and
• $1.5 million for an overhaul of the SOS professional licensing boards division, including:
  • 17 new employees;
  • Temporary staff to address application backlog; and
  • Equipment and operations.

Below is a highlight of selected new laws and budget items:

Taxes

• House Bill 1015 alters O.C.G.A. 48-7-20 concerning individual income tax rates, reducing the rate from 5.49 percent to 5.39 percent, effective January 1, 2024.

• House Bill 1023 modifies O.C.G.A. 48-7-21 regarding corporate taxation, aligning the taxable net income rate for corporations with the corresponding individual income tax rate. Additionally, the bill adjusts O.C.G.A. 48-7-57 concerning filing dates and penalties for corporate taxpayers, granting an extra month to file state returns beyond any extension associated with federal income tax returns.

• House Bill 1021 adjusts O.C.G.A. 48-7-26, raising the personal exemption allowance for each dependent from $3,000 to $4,000.

• House Bill 1181 was a result of the Joint Tax Review Panel held over the summer of 2023 and modifies multiple code sections within Chapter 7 of Title 48 concerning income taxes. It extends carry-forward periods for certain tax credit programs to either three or five years and establishes a sunset provision for select tax credit programs, terminating them after five years or on December 31, 2029.

Education

• Senate Bill 233 introduces the Georgia Education Savings Authority and the ‘Georgia Promise Scholarship Act’. It adjusts program weights in the QBE formula, permits capital outlay funds for pre-kindergarten programs, limits tuition fees for out-of-district student transfers, revises grants for low-performing schools, and modifies the tax credit for education donations. The Authority manages student assistance programs, while the Scholarship Act offers $6,500 per student for various educational expenses. It mandates annual assessments for participating students and requires reporting to the General Assembly.

Elections

• House Bill 974 mandates the printing of ballots on security paper featuring a visible watermark. It further necessitates the establishment of a statewide program by the secretary of state for posting digital images of election ballots. The bill specifies minimum scan resolutions for paper and absentee ballots. Additionally, it decreases the audit probability threshold, starting at 8% in 2024 and reaching a rate of 5% or lower by 2028. The bill also outlines which contests, beyond specified top-of-the-ballot contests, must undergo a risk-limiting audit and the method for their selection. Moreover, HB 974 directs the secretary of state to initiate a pilot program for auditing paper ballot images using optical character recognition or similar technology to verify the human-readable text portion of a ballot.

• House Bill 1207 mandates that individuals employed by a county election superintendent for election-related tasks must be United States citizens. It outlines protocols for reopening the candidate qualifying period under certain circumstances. Additionally, the bill requires election superintendents to furnish a ballot proof to any candidate listed on the ballot for verification within 24 hours. It grants election superintendents the authority to consider specific conditions when determining the number of voting booths or enclosures needed for each election. Furthermore, HB 1207 grants poll watchers access to designated voting locations and activities, while prohibiting the use or threat of violence that could impede election officials or poll watchers from carrying out their duties.

• Senate Bill 189 eliminates the secretary of state as an ex officio nonvoting member of the State Election Board. It bars certain statewide and local election officials with conflicts of interest from conducting election-related business under specific circumstances. The bill permits political parties that have achieved ballot access for the office of presidential elector in at least 20 other states to nominate candidates and gain access to the general election ballot for that office. Homeless electors are allowed to designate the registrar’s office in their county as their mailing address for election purposes. Additionally, the bill revises residency change provisions and establishes procedures for challenging electors. Counties are authorized, under certain conditions, to employ physical ballots for specified types of elections. It mandates that the official tabulation count of ballots relies solely on the text portion or machine mark, excluding a QR code, bar code, or other machine coding. The bill requires all verified and accepted absentee and advance voting ballots to be tabulated and reported no later than 8:00 p.m. on election day or within one hour of polls closing, whichever is later. It outlines protocols for documenting, securing, storing, and tabulating absentee ballots, and provides guidelines for superintendents receiving requests for high-resolution scanned ballot images. Furthermore, the bill instructs the secretary of state to establish a pilot program for auditing paper ballot images using optical character recognition technology to verify the human-readable text portion of the ballot.

Tort Reform

• House Bill 1409 modifies the legal responsibility of inpatient mental health providers when delivering care to individuals under 21 who are under the Department of Human Services’ custody. Under the bill, providers are shielded from liability except in cases of gross negligence. In such instances, the jury will weigh factors including the patient’s medical background, past provider-patient interactions, and the context of service delivery.

• Senate Bill 426 allows a claimant to include both a motor carrier and an insurance carrier in a single lawsuit under specific circumstances. This consolidation is permissible when one or more motor carriers involved are insolvent or bankrupt, or when personal service cannot be executed on the driver of the vehicle or the motor carrier despite reasonable efforts. In cases where an insurance carrier is added through an amended complaint, the insurance carrier must be served with the amended complaint, and they have 30 days from service to file an answer.

Healthcare

• House Bill 1339 overhauls the state’s certificate of need (CON) processes, requiring the Department of Community Health (DCH) to update the state health plan every five years and shortening the time for submitting a letter of intent. It expands CON exemptions for various healthcare facilities and services, including bed capacity, relocation distances, and agreements with nearby hospitals. The bill also increases penalties for delayed or unsubmitted reports and raises the maximum limit on the rural hospital tax credit. Additionally, it establishes the Comprehensive Health Coverage Commission to advise on healthcare access and quality for low-income and uninsured populations. The commission comprises nine members appointed by various legislative leaders and will submit its initial report by December 1, 2024, with a sunset date set for December 3, 2026.

• House Bill 872 enables dental students to qualify for the service-cancelable loan program if they commit to practicing in rural counties with populations of 50,000 or fewer.

Agriculture

• Senate Bill 494 establishes regulations for delta-9-THC concentration measurement and requires a processing permit from the Department of Agriculture for handling hemp in Georgia. Individuals testing cannabis plants or derivatives must register and pay a one-time fee. Violations incur civil penalties up to $5,000. Annual permits for hemp processors are priced between $500 and $2,000, with retail and wholesale licenses also available. Manufacturers pay $5,000 annually unless holding a processor permit. Products must undergo testing and inspections to ensure compliance and cannot resemble candy or be sold near schools. Sales to those under 21 are prohibited, but employment involving hemp products is allowed.

Infrastructure

• House Bill 617 mandates the inclusion of a statewide freight and logistics implementation plan within the responsibilities of the Department of Transportation’s planning director. This plan, spanning 20 years, outlines project types, specific initiatives, and vital corridors. It prioritizes foundational, catalytic, and innovative investments to maintain and expand the transportation system for economic development and efficient goods/people movement. Additionally, the bill establishes the Georgia Freight 2050 Program under the department’s administration, aimed at bolstering investments in the state’s transportation freight network. The program focuses on funding projects outlined in freight plans specified in Code Section 32-2-41.4, with priority given to capacity enhancements such as road widening, operational improvements, intermodal facilities, railroad crossing safety, and projects within international ocean trade zones.

• House Bill 915, the FY 2024 amended budget, added $1.5 billion for transportation projects across the state.

Not so fast my friend

Kemp also issued a series of vetoes on May 7. These vetoes were made to reflect changing circumstances and legislative intent:

• House Bill 228 aimed to expand eligibility for educational programs to certain private for-profit institutions; however, the governor vetoed the bill out of concern there was a lack of additional funding or fiscal analysis to address the potential impact of expansion on current appropriations.
• House Bill 441 sought to regulate teledentistry in Georgia, mandating coverage by health insurers without sufficient fiscal analysis or funding. The governor vetoed it, emphasizing the need for a clear understanding of the financial implications before expanding benefits.
• House Bill 866 proposed the creation of the Pike County Public Facilities Authority. The veto was issued at the sponsor’s request.
• House Bill 956 would have allowed superior court judges of the Conasauga Judicial Circuit to annually select their chief judge. It was vetoed at the sponsor’s request.
• House Bill 1019 originally aimed to raise the statewide homestead tax exemption; however, discrepancies between statutory and referendum language precluded its implementation.
• House Bill 1123 proposed the establishment of an Adult Abuse, Neglect, and Exploitation Multidisciplinary Coordinator Program without proper funding; however, the bill was vetoed due to concerns about its financial feasibility.
• House Bill 1192 sought to implement a two-year pause on tax exemption certificates for high-tech data centers; however, the bill was vetoed due to potential negative impacts on infrastructure and job development.
• House Bill 1231 aimed to expand eligibility for various educational programs without accompanying funding or fiscal analysis. The veto was issued to maintain financial support for existing programs.
• House Bill 1479 would have allowed the Probate Court of Ware County to impose a technology fee on civil action filing fees and outstanding fines. The veto was issued at the sponsor’s request.
• Senate Bill 198 required reimbursement parity for independent pharmacies filling prescriptions for the state health benefit plan; however, the bill lacked funding for its implementation.
• Senate Bill 203 proposed tuition-free commercial driver’s license training programs for veterans; however, the bill lacked funding from the general assembly.
• Senate Bill 368 sought to impose additional state-level registration requirements on foreign nationals making political contributions; however, the bill was vetoed at the sponsor’s request.