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The 2018 Georgia Legislative Session Presented by TVG The 2018 legislative session will be shaped by both the final days of the Deal Administration and the upcoming May primary for all statewide offices. Deal and his team are expected to wear two hats in their final year: one, to make a final push to cement previous reform efforts in k12 education, robust resources for economic development and criminal justice reform, and another aimed at protecting any siphoning of state revenues in hopes of leaving a $2.5 billion rainy day reserve fund, an Administration goal to ensure a lasting legacy. Given it s an election year, the required 40 legislative days traditionally passes quickly with few breaks to allow for campaigning. Candidates currently serving in the legislature will be prohibited from raising campaign funds, leading to several statewide candidates like Sen. Hunter Hill, Sen. Rick Jeffares and Rep. Geoff Duncan to resign from their positions rather than risking the lost fundraising time. Those who do remain active legislators will be more apt to work on issues that appeal to the primary electorate. The timeframe of the upcoming 2018 session is a muchdiscussed topic, with House leadership signaling a no rush attitude to the session, if legislative priorities like a clean adoption law update is not passed by the Senate. LEADERSHIP With the position of Senate President vacant, Sen. Butch Miller was ultimately the only candidate, replacing Sen. David Shafer who is seeking to become Georgia s next Lt. Governor. Sen. Miller has served as Governor Deal s Floor Leader in the Senate for several years and is tight-knit with the Administration, so expect close coordination in Governor Deal s final year. Steve Tippins, Chief of Staff for Shafer, will remain in his position, now with Miller s office. Joining Senate President Miller in leadership, will be Senate Majority Leader Bill Cowsert and Senate Majority Whip, Steve Gooch, who previously served in the same positions. As the new leadership team takes their places in early January, many Senate GOP members will be jockeying for the vacant Senate Regulated Industries Committee Chairmanship, which is open after Rick Jeffares resigned, also seeking to be the next Lt. Governor. As for the Governor s race, Lt. Governor Casey Cagle continues to put up strong fundraising numbers in the Governor s race, with an estimated $5.4M+ raised to date, and a stretch goal of $6M by year s end. He is in a strong position both in terms of current polling (43+%) and fundraising heading into the 2018 session. At a local level, Atlanta Mayor-Elect Keisha Lance Bottoms is bringing on two corporate executives, Vicky Palmer and Larry Gellerstedt, who will be responsible for the transition from the Reed Administration to her to her own. They will be tasked wit
CITY OF ATLANTA In Tuesday's inauguration speech, Mayor Bottoms laid out a laundry list of priorities, including $1 billion equity and affordability plan, passing the most sweeping ethics and transparency reform package in Atlanta's history, and appointing a Chief Education Officer to liaise with Atlanta Public Schools, promote early childhood education and vocational training. At the year's first council meeting later that day, Council President announced committee chairs. Veteran Councilmembers were appointed to chair committees Finance/Exec (Howard Shook), Transportation (Dickens), Zoning (Ivory Young), Community Development (Natalyn Archibong) while newly elected officials will lead others Public Safety (Dustin Hillis), Committee on Council (Jennifer Ide) and Public Utilities (J.P. Matzikeit). KEY ISSUES EXPECTED TO SEE DEBATE NEXT YEAR Budget Medicaid Reform Mass Transit Rural Broadband Taxes Consumer Protection Election Integrity BUDGET Georgia continues to have a strong economy resulting in a generally stable budget situation. However, there are two factors significantly affecting the ability to spend on new priority issues. The first is the growing gap between pension funding and obligations while the second is the spike in medical costs under the state employee health plan. Member contributions to the plan dwarf in comparison to actual expenses, meaning there are few available funds for other priorities. MEDICAID REFORM Given Georgia is not one of the 32 states that have expanded Medicaid, and the once-certain future of the ACA is unclear, some state legislators, namely, Senate Health Committee Chairwoman Renee Unterman, are renewing efforts to draw more federal Medicaid dollars to the state. These funds would aim to combat the opioid epidemic and increase access to healthcare in rural areas.
MASS TRANSIT At a panel in October, House Transportation Committee Chairman Kevin Tanner said he s confident we re going to see good things coming. He also chairs the House Commission on Transit Governance and Funding, which is studying how public transportation should be paid for and what governing structures would be needed if the state were to devote regular funding to transit. It s understood this is the only way to ensure continued economic development and reduce traffic congestion. Any eventual plan is likely to extend some form of transit into the Atlanta suburbs as well, coupled with dedicated and recurring state investment in transit. Because in the wake of Atlanta s new sale tax, in effect as of April 2017, other jurisdictions such as DeKalb, Fulton and Gwinnett Counties are considering revenue streams to expand their own mass transit infrastructure. Specific plans have already started to form. At the December 14 BOC & Mayors Meeting, Executive Director of the State Road and Tollway Authority, Chris Tomlinson discussed an upcoming RFP. He stated that they were preparing to release an RFP for mid-range, long-range express service. The state will be looking at the impact of a managed lane plan on express service as well as express service to the airport. RURAL BROADBAND The House Rural Development Council reiterated in their most recent recommendations that access to quality broadband and data transmission is essential to economic development and quality of life. However, local governments attitude toward placing new equipment often ranges from indifferent to hostile, with prohibitive permitting fees often attached for revenue generation. This will be one of the more interesting and contested inside baseball battles, as the defense of local control will be met with evidence of local ineffectiveness when it comes to timely review and consideration of small cell applications by telecos. Speaker David Ralston has put a great deal of effort into the issue, including leading a task force looking at how to keep rural Georgia economically competitive. Rural broadband access is imperative in this debate. On the more controversial side, some proposed letting electric co-ops enter the broadband business, while others proposed a reduction of regulatory burdens for installation and lower sales taxes on broadband equipment. While policy details are still taking shape, the chances of a major package concerning rural broadband access moving next year are very high.
TAX POLICY Rural broadband could also come into play with tax incentives being built in for the internet infrastructure. A Senate study committee spent time out of session analyzing tax credits and deductions that are currently on the books in Georgia. While the Senate cannot start tax bills, there is a pretty strong appetite to implement a regular sunset and/or review process for these. At this point, it s not clear whether the House has the same appetite for tackling this issue. However, a recent Atlanta Journal Constitution article pointed to a potential phase-out of certain incentives, while maintaining and extending others such as the film tax credits. There is also continuing concern about Georgia s recently revamped auto tax program and its impact on the leasing business. Ultimately, a healthy debate is also expected regarding taxation of emerging industries, including online software and books, retails sales and rideshares. CONSUMER PROTECTION The ongoing fight among insurers, patient advocates, hospitals and physicians around billing for surprise out-of-network services will continue into the 2018 session. All parties involved agree the practice should be curtailed, but there is limited consensus on how this should be done. The debate revolves around what standard to use as the floor for out-of-network charges when the patient has no opportunity to consent to them in advance. Specifically, there will be much debate around the forthcoming bill from Insurance Committee Chairman Richard Smith (R). The draft language includes limited reforms to non-er health care services, but does put additional requirements on hospitals and providers, and does not address OON reimbursement. With mere days until the start of the 2018 Georgia General Assembly, our firm provides immediate benefit of being engaged in the local government and health care policy space. We are ideally positioned to push PwC case studies and highlight opportunities pre-rfp. Our firm will work diligently to catch you up with your competitors who have already invested time and resources into pursuing Georgia public sector partnerships. ELECTION INTEGRITY Georgia s system was considered state-of-the-art when it was installed statewide in 2002. But now, about 70 percent of the nation fills out ballots with pens or pencils. Due to cybersecurity and tampering fears, Georgia s elected officials are considering replacing the state s electronic voting system with one that leaves a paper trail. The trial of the touch screen-plus-paper ballot voting system was successful during the Nov. 7 election for Conyers mayor and City Council, according to Georgia Elections Director Chris Harvey. Such a project, to buy new machines for the state s 5.4 million registered voters, could cost over $100 million. Although it s unlikely a new system will be put in place this election year given the capital cost, there is clearly an appetite for discussion in the near future.
IMPORTANT DATES & INFORMATION In Georgia, the Legislative Session runs on a biennial schedule. 2018 will be the second year of the session calendar. As a result, bills that did not pass in 2017 are eligible to be carried over to the 2018 session for consideration. Legislators began pre-filing bills on November 15th and can do so until January 3rd. The Legislative Session officially begins on January 8 th and the crossover deadline is the 30 th legislative day. As always, if you have any questions, please contact a member of Thompson Victory Group, which has now expanded to include two new team members. We welcome Matt Ramsey and Bethany Lange to the TVG team as we start the 2018 session. Background information on Matt and Bethany s experience is included in the following section. Graham Thompson graham@thompsonvictorygroup.com (404) 66-4974 Howard Franklin howard@thompsonvictorygroup.com (404) 384-9490 Matt Ramsey matt@thompsonvictorygroup.com (770) 487-4494 Bethany Lange Bethany@thompsonvictorygroup.com (770) 853-2050
Graham Thompson Graham Thompson s wealth of legislative and executive experience in the U.S. Congress, the Georgia General Assembly and the Office of the Governor provides TVG s clients with unparalleled advocacy and access. In Washington, D.C., Graham served as chief policy advisor for Congressman and now Governor Nathan Deal, providing expertise on agricultural, healthcare and telecommunications issues. Graham also served for three years in the office of Gov. Sonny Perdue, which included a key role as liaison between the Office of the Governor, state agencies and the Georgia General Assembly. Graham advanced the governor s legislative agenda in the General Assembly, built legislative support for the executive s budget initiatives, developed stronger ties between agency heads and legislators, and advised the governor on high-profile and politically sensitive legislative proposals. Graham was also successful at winning bipartisan support for Gov. Perdue s initiatives, and his ability to rally support among all legislators resulted in members of the General Assembly voting more than 90 percent of the time for the governor s proposals during Graham s tenure. Graham has strong private-sector lobbying experience as well, serving as the Southeastern manager for governmental affairs for Sprint Nextel. Graham developed, directed and implemented successful public policy strategies in 12 Southeastern states for Sprint. While focusing on telecommunications policy for a Fortune 60 company with a wide portfolio of public policy interests, Graham strategically developed successful actions on a wide variety of public policy areas, including appropriations, taxation, health policy and government procurement. Graham has built on those public- and private-sector experiences at TVG, successfully representing a host of clients in the Office of the Governor, Georgia General Assembly, and various state and local governmental agencies.
Howard Franklin Howard is one of Georgia s most successful democratic strategists. At 23, he was tapped for a leadership role by the late Maynard Jackson, the first African-American mayor of a major southern city. Since then, he has scored a string of legislative and electoral victories while promoting policies for a host of Southern lawmakers, including Mayor Shirley Franklin, the first woman elected to lead a major southern city; Minority Leader Stacey Abrams, the first woman to lead either party in the Georgia General Assembly; and state Senator Jason Carter, Georgia Democrats 2014 nominee for governor. Howard has served in virtually every corner of the public sector, including nonprofit, advocacy and government. Most recently, he worked in the Fulton County Chairman s office as senior policy advisor, weighing in on a broad range of issues from healthcare to criminal justice. Prior to that, he developed outreach to business, political and academic leaders to help GeorgiaForward collaboratively shape statewide policy agenda. In addition to advising global organizations like Save Darfur, Pharmaceutical Research and Manufacturers of America and the CDC Foundation, Howard managed a historic 2009 race that elected a new government in the Cayman Islands. In 2010, he made history again, when he was elected the first male president of the Georgia League of Women Voters, the first chairman of the state democratic party s African-American Caucus and inducted into the first Southern chapter of New Leaders Council. In 2014, Howard was recognized as 40 under 40 by Georgia Trend Magazine, which wrote, Franklin gained a reputation for successful collaborations on policy challenges, organizing young voters and guiding some of the South s leading lawmakers to the winner s circle.
Matt Ramsey Matt was elected to the Georgia House of Representatives in 2007 and served through January 2017. In his first term, Governor Perdue tapped him to serve as one of his administration s house floor leaders. Rep. Ramsey subsequently was elected to serve as vice-chair of the Republican Caucus and then as the majority caucus whip of the Georgia House. During his time in office, Rep. Ramsey helped author and pass important pieces of legislation, including measures to safeguard the health and safety of Georgia s children and promote water conservation. He also passed bills related to taxation and served as the Secretary of Appropriations, the committee charged with writing amended and general fiscal year budgets for state agencies. Matt also served on U.S. Congressman Mac Collins staff for six years, advising on tax and budget policy, transportation, energy and defense. As both a former federal staffer and state lawmaker, Matt has special insights into the legislative process. He is also a business attorney with a focus on commercial transactions and general litigation and an emphasis on representing property owners in eminent domain and other property rights-related litigation. He uses his legal background as an additional framework for our clients legislative challenges and opportunities. Matt has represented several large corporate economic development projects in Metro-Atlanta and successfully obtained several hundred million dollars in property tax abatements for those clients Matt and his wife, Missy, have two children, Anna Lynne and Jacob. The Ramseys live in Peachtree City and are active members of Peachtree City United Methodist Church.
Bethany Lange Bethany brings to TVG a proven ability to advocate for public policy at the state level. In the private sector, she worked in state legislative and regulatory issues for McKesson, and in tracking and trend analysis at Bloomberg. At CNS Global Advisors, an international investment firm headed by the Obama administration s secretary for International Trade and Commerce, she oversaw foreign real estate and environmental investment projects and traveled to represent the firm at conferences on behalf of clients. Awarded a prestigious Fulbright scholarship, Bethany relocated to Austria where she taught and studied international organizations, and earned a position as assistant to the director of the European Comenius project, Footprints, with participants from 12 EU countries. As a consultant for the German American Chamber of Commerce, Bethany managed the chamber s highest-valued site selection project, extensively reviewing and negotiating site selection proposals. Bethany was a Richard B. Russell Leadership Fellow at the Center for International Trade and Security where she studied nuclear nonproliferation and strategic trade controls, and hosted foreign diplomats for the Department of State to instruct effective implementation of UN Security Council resolutions. Bethany worked in Senator Johnny Isakson s Washington, DC, office, where she focused on legislation before the Health, Education, Labor and Pensions committee. She conducted an in-depth research project at the request of the senator into duplicative spending by the HELP Committee alongside senior