Breaking News
next news
prev news
published Thursday, May 15th, 2008

Dalton: Tourism incentive bill key to Dalton hotel deal is killed by Gov. Perdue


by Lori Yount

Gov. Sonny Perdue wielded his veto pen more lightly this year than last, but he used it to poke Dalton, Ga., in the eye.

Among the 17 pieces of legislation he vetoed Wednesday was a tourism tax incentive bill upon which hinged the contract of a $40 million hotel to be built at the Northwest Georgia Trade and Convention Center.

“This is not good news for Dalton at all,” said J.C. Ebach, senior site locator for J.Q. Hammons, the Missouri-based developer of the hotel project. “Without that subsidy, it’ll be a very uphill battle.”

The same incentives, which would allow developers to recoup up to 25 percent of their capital costs over 10 years for tourism related projects, were vetoed last year by Gov. Perdue. He vetoed 41 pieces of legislation in 2007.

Rep. Roger Williams, R-Dalton, said he felt “blind-sided” by the Wednesday veto.

“I’m tired of playing games with the governor,” Rep. Williams said.

He said he was at “wits’ end” because sponsors worked so hard with Gov. Perdue and his staff to craft a bill that he would approve.

Gov. Perdue said last year he vetoed the tourism incentives because unrelated tax breaks for the film industry were attached.

Signed or vetoed

Here is a look at some other bills Gov. Sonny Perdue signed or vetoed:

SIGNED

—A bill that would effectively deregulate the auto insurance industry, allow insurers to change their rates without applying to the state insurance commissioner to do so.

—Legislation reviving limits on where sex offenders can live and work. An earlier version of the law was struck down by the Georgia Supreme Court. A legal challenge to the latest law was filed immediately by civil rights groups.

—A bill toughening penalties for dogfighting. The measure makes it a crime to attend a dog fight or breed the animals for fighting. It also becomes illegal to possess a dog with the intent to fight the animal.

—A consumer-friendly bill allowing Georgians to freeze their credit reports to thwart identity theft. The measure puts a $3 cap on the fees that the three major credit reporting agencies can charge for the freeze and allows those over age 65 to get the freezes for free.

—Three charter school bills. One allows charter school applicants rejected by their local boards of education to seek approval before a new state commission. The second allows the state to provide matching funds for capital improvements or construction. The third makes staff at charter schools eligible for the State Health Benefit Plan.

—A measure that allows beer to be sold at Sunday games at a Gwinnett County stadium set to host an Atlanta Braves farm team. Perdue also signed a bill allowing limousine drivers to sell alcohol to passengers and another allowing Internet wine sales. A fourth — dubbed “Merlot to Go” allows drivers to carry their partially consumed bottles of wine home with them.

—Legislation banning the sale of “marijuana flavored products” to minors. It slaps violators with a misdemeanor and imposes a fine of up to $500 for each offense.

—A bill banning automated political phone calls, known as “robo-calls.” The measure would require that a live person be on the line to get permission before launching into a political pitch.

—A resolution providing $1.2 million to a Georgia man who spent almost 22 years in prison for a rape he didn’t commit. The payout to Willie O. “Pete” Williams is the fourth to a convict cleared by DNA evidence in Georgia.

VETOES

—A bill that would allow some of Georgia’s worst traffic violators to take defensive driving courses online instead of in person. Perdue said he had “serious concerns” about a measure that allowed habitual traffic offenders to take courses online.

—A measure aimed at illegal immigrants that would have allowed police to impound the vehicle of any person caught driving without a valid driver’s license. Perdue said he was concerned with how the measure would impact new residents in Georgia.

—A plan that would require Georgia to participate in the Interstate Compact on Educational Opportunity for Military Children, which aims to make transfers easier for military kids. Perdue said he’s concerned that it would assess unspecified fees on Georgia and could subject the state to a lawsuit.

———

Source: Office of Georgia Gov. Sonny Perdue and Georgia General Assembly

ON THE NET

To check on the status of legislation, go to www.legis.state.g...>

This time, the governor said he was “persuaded that the fiscal costs of this legislation outweigh the potential benefits,” claiming most developers would build tourism related projects on other factors alone and wouldn’t need the incentive to attract them to Georgia.

Mr. Ebach said the reasoning might be true for metro Atlanta, but in a smaller town with one industry — carpet manufacturing — offsetting some of the capital costs might make the deal.

“It can help compensate for the market difference,” he said, adding Mr. Hammons would probably decide whether to go through with the Dalton project in the “not too distant future.”

Rep. Tom Dickson, R-Cohutta, said he was “surprised and very disappointed.” He worked with other North Georgia legislators to make sure the bill was to the governor’s liking, and that no other incentives were attached.

“There would be some of us supportive of reintroducing it and trying again,” Rep. Dickson said. “If leadership is supportive, we might see if we can override that veto.”

The House voted in January to override the first veto of the tax incentives, but the override was never taken up by the Senate.

Budget passed

Gov. Perdue also approved Wednesday a $21.2 billion budget for fiscal year 2009, which begins July 1.

He left alone $50 million put in by the Legislature to reduce his suggested school funding cuts and the 2.5 percent raise for state employees.

Gov. Perdue recommended in March cutting the raise to 2 percent when he reduced revenue projections and suggested $245 million be cut from the budget.

“Our teachers are well paid in relation to the states around us, but they still deserve what they get ... especially if they’ve been in 19 years and are dependent on raises like this,” said Rep. Dickson, a former educator.

The school funding formula will still be more than $90 million short of complete, but he said the $50 million in restored cuts is “good news.”

“It will be an advantage for school systems around the state,” Rep. Dickson said.

Gov. Perdue did line-item veto some specific state and local projects to cut $14.2 million in cash and $22 million in bonds from the Legislature’s budget.

However, $3 million in bonds for the development of the Resaca Battlefield near Calhoun remained.

Water bills

In response to Georgia’s historic drought, Gov. Perdue signed into law Tuesday a reservoir fund that will provide low-interest loans to local governments building reservoirs. So far, the state has put $70 million in the fund.

The legislation also speeds up the permitting process for reservoir projects, at least at the state level.

“After facing one of the worst droughts in our state’s history, we are taking the necessary steps to ensure an adequate water supply that meets future needs,” Gov. Perdue said in a statement. “This legislation will speed the construction of new reservoirs by consolidating the state’s efforts and partnering with local governments.”

Rep. John Meadows, R-Calhoun, said the reservoir act is particularly helpful in his district with local legislation to create the Coosawattee Regional Water and Sewage Authority to bring four counties together to take on bond debt to address the area’s water needs.

“It’s a good bill for us locally,” he said. “It’s going to do something to help regional water.”

During the session, Rep. Meadows supported an amendment to the reservoir legislation that would place tougher restrictions on interbasin transfers, but that was later taken off. He said he plans to support similar interbasin restrictions next session, but for now he hopes North Georgia reservoirs and river basins will be adequately protected from thirsty metro Atlanta by the state’s Environmental Protection Division.

“I hate to tell you this, but I’m going to have to trust (EPD Director) Carol Couch,” he said.

Gov. Perdue also signed a bill that would require local governments to receive permission from the EPD to impose water restrictions tougher than the state mandates.

Gun bill signed

A controversial gun carry bill was also signed into law Wednesday. Those licensed to carry firearms can now take them into more places, including state parks, public transportation and restaurants that serve alcohol.

Opponents said the measure will make public places more dangerous with more guns present.

Rep. Meadows said he doesn’t think the law would encourage licensed people to carry guns into more places, but deter the unlicensed gun carriers who are breaking the law from using them in public places.

“We’re worrying about me having a gun, but the fact is, we should worry about the person who’s unlicensed,” he said.

videos »         

photos »         

e-edition »

advertisement
advertisement
400 East 11th St., Chattanooga, TN 37403
General Information (423) 756-6900
Copyright, permissions and privacy policy, Ethics policy - Copyright ©2012, Chattanooga Publishing Company, Inc. All rights reserved.
This document may not be reprinted without the express written permission of Chattanooga Publishing Company, Inc.