Health groups Thursday called for a cigarette tax increase to replace general fund revenues lost if the House transportation funding plan gains approval.
House Bill 170’s conversion of the state’s sales tax on gasoline into a per-gallon fuel excise tax would shift approximately $180 million to the State Department of Transportation from the so-called “fourth penny” of the sales tax that now goes to the state’s general fund.
Andy Lord, spokesperson for several medical groups, told the House Transportation Committee that a $1.23 per pack increase in the cigarette tax would bring the state from $425 million to $500 million per year and lift Georgia to the national average in tobacco tax collections. At present, the state is 48th, he said.
Representatives of the American Lung Association and American Cancer Society also supported the cigarette tax increase. The Georgia Budget and Policy Institute is another group seeking a cigarette tax increase to replace the lost revenue, which the group says would hurt such essential needs as health care and education.
The full House Transportation Committee heard HB 170 for the first time, taking no action on the proposal, which will convert the state gasoline sales tax and fuel excise tax into a single 29.2 cent per gallon excise tax. Several business groups spoke in favor of the legislation.
Rep. Ed Setzler, R-Acworth, introduced a proposed amendment that would require a county government to call a referendum to join MARTA. Committee Chairman Jay Roberts, R-Ocilla, said he had no objection to the proposal. Roberts said the propsoed amendment would prevent a county from using the 6-cent local fuel excise tax provided for in the bill to pay for transit without a voter referendum.
Another proposed amendment, by Pat Gardner, D-Atlanta, would allow the city of Atlanta to continue collecting its municipal option sales tax to pay for federally mandated sewer improvements. The committee, which will meet again next week, took no vote on the amendments.
Rep. Harry Geisinger, R-Roswell, asked Roberts about a city in Geisinger’s district concerned about whether the legislation would hurt cities in north Fulton County. “There are cities in Fulton that are 100,000 or more,” Geisinger said.
Roberts said that under the bill, which requires counties to share the 6-cent excise tax with cities through a state formula, “the majority of the cities up there will make out much better than they currently do.”
Sex trafficking bills sent to House: Legislation to halt the sexual exploitation of minors and provide rehabilitation to sex trafficking victims drew overwheling bipartisan support in the Senate Thursday.
Senate Bill 8, which would raise the statute of limitations for child sex trafficking victims from age 23 to 25, going into effect on July 1, gained approval on a 52-3 vote. Senate Resolution 7, a proposed constitional amendment that would increase penalties for several sex abuse and trafficking crimes to raise funds for a commission established in SB 8, was approved 53-3. Both bills are sponsored by Sen. Renee Unterman, R-Buford.
The Safe Harbor for Sexually Exploited Children Fund and the commission would be created under SB 8. The fund, a separate state budget item, would provide care, rehabilitative services, residential housing, health services and social services to victims. A additional $2,500 fine would be imposed on those over 18 convicted of sex trafficking.The resolution would place the proposed constitutional amendment on the 2016 ballot.
Sen. Butch Milller, R-Gainesville, a floor leader for Gov. Nathan Deal, spoke in favor of the bills along with several other Republicans, while several Democratic senators from Atlanta, including Vincent Fort and Nan Orrock, also supported the proposals. State Sens. Joshua McKoon, R-Columbus; Hunter Hill, R-Cobb County; and Bill Heath, R-Bremen, voted against both.
