Advocacy Update 2025 - Legislative Days 18-21

All Eyes on Committees

While relatively little legislation was considered on the House and Senate floor this week, committees worked aggressively, considering more than 200 bills over four days.  The House and Senate have a combined 73 standing committees and rely on just a dozen meeting spaces on Capitol Hill in which to convene.  With limited space and constrained time, meetings constantly overlap and force legislators and advocates to be in several places at once.

This hectic committee schedule will only increase as the legislature races ahead.  Next week, the House and Senate will be active Monday through Friday; it’s the last full week before Crossover Day on March 6.

Both the House and Senate convene today for Day 21 of the session.  The Senate’s debate calendar includes one of the tort and legal reform bills for a vote.  CBA provided a letter of support to all Senators on this issue.

Civil Practice Reform (SB 68)
Sen. John Kennedy, R-Macon

Part of Governor Brian Kemp’s legal reform package, SB 68 contains several critical civil practice reforms. 

Call to Action: Interchange Fees

The issue of interchange fees has been active for the last several years and the issue resurfaced on February 13 when two different bills were introduced.  HB 439 addresses the issue via vendor compensation.  HB 431 takes a different approach to the exclusion of sales tax within credit and debit card transactions.  CBA stands firm that a solution should be sought at a federal level.

As a reminder, the financial services trade groups and interested parties have been advocating against an interchange bill for the last two years, starting with SB 126 in 2023.  A year later, the legislature took a different approach (via HR 1135) and created the House Study Committee on Credit Card Fees on State Sales and Excise Tax.  The Study Committee convened in the summer of 2024 and heard testimony from various industry representatives.  A final study committee report was issued on the subject with the recommendation of an increase in Georgia’s vendor compensation rate. 

We anticipate that both bills will be presented in the House Banks & Banking Committee on Wednesday, February 26^th and a vote will be taken. 

Interchange Fees (HB 431) would limit interchange fees being charged on sales taxes.  If this bill were to pass, all parties in the payment network would have to make changes to the credit card systems to properly account for this change.  In addition, the amount of revenue received by our community banks for interchange fees would decrease.  Vendor Compensation (HB 439) would increase the amount of vendor compensation paid to merchants for the collection/remittance of sales tax to the state of Georgia.  This approach would not have a direct impact on our community banks. 

It is Time to Act!

Community banks please reach out to the authors of the bills, the members of the House Banks & Banking Committee, and your personal Representative on this measure.  Please ask that they OPPOSE the interchange bill (HB 431) and SUPPORT the vendor compensation bill (HB 439).  The members of the House Banks & Banking Committee to call are listed below:

Debanking or Fair Access to Financial Services

Sen. Blake Tillery (R), Vidalia presented SB 57 to the Senate Judiciary Committee on February 20.  The bill prohibits discrimination in the provision of essential services, which is defined as financial services or utility services.  “Financial institution” means a bank or credit union that has more than $1 billion in assets and any affiliate or subsidiary of such bank or credit union. 

The substitute version Sen. Tillery presented included CBA-recommended language to ensure banks are not asked to violate federal law to comply with SB 57, particularly regarding the disclosure of information to customers and members.  We appreciate Sen. Tillery’s willingness to include this language.  CBA and the other financial trade groups testified in opposition to the bill and specifically discussed increasing the asset threshold and the problematic private right of action.  The bill passed the Committee with a vote of 7-5 and now moves to the Senate Rules Committee.

Active Measures: Banking

Department Housekeeping Bill (HB 15)                                                      

Rep. Bruce Williamson, R—Monroe

Bill passed by the Senate Banking & Financial Institutions Cmte on Feb-18

HB 15 is the Department of Banking and Finance’s annual housekeeping bill.  The Association has worked closely with the Department since August when it initially released a draft of the bill.  These amendments are intended to streamline regulations, improve efficiency, and reduce regulatory burdens across the various sectors regulated by the Georgia Department of Banking and Finance.

Boat Titling (HB 115)

Rep. Jesse Petrea, R—Savannah

Bill passed by the House Games, Fish & Parks Cmte on Feb-18

HB 115 pertains to the registration, operation, and sale of watercraft. It allows the Department of Natural Resources to remove, store, and dispose of abandoned vessels.

Mortgage Trigger Leads (HB 240)  

Rep. Noel Williams, R—Cordele

Bill passed by the House Banks & Banking Committee on Feb-19

HB 240 bars credit reporting agencies from selling consumers’ contact information when they apply for a residential mortgage.  A similar bill (HB 1040) was introduced last session by Rep. Scott Hilton.

Convenience Fees for Payment by Electronic Means (HB 241)               

Rep. Trey Rhodes, R—Greensboro

Bill passed by the House Banks & Banking Cmte on Feb-19

HB 241 comes at the request of Chime, a financial technology company that offers an earned wage access service called MyPay, which provides advances without interest charges.  Under this proposal, Chime will submit to licensure under the Georgia Installment Loan Act and offer its MyPay product as a loan.  While Chime offers a no-fee “standard access” payout, it also offers an “instant access” option with a $2 fee.  To accommodate this fee structure, HB 241 increases the convenience fee allowed under the installment lender statute to the average actual cost incurred by the lender or $5, whichever is great. 

Active Measures: General Business

Property

Manufactured or Mobile Homes (SB 119)

Sen. Russ Goodman, R—Cogdell

Bill passed by the Senate Banking & Financial Institutions Cmte on Feb-18

Under current law, a manufactured home becomes real property if it is permanently affixed to land owned by the homeowner, and a Certificate of Permanent Location is filed with the county’s real estate records.  SB 119 allows certain manufactured homes to remain classified as personal property even when permanently affixed to owned land.  The change aims to preserve the rights and remedies of prior lienholders or security interest holders in these homes.  Similar legislation is also active as HB 377.

General Business

Red Tape Roll Back Act (SB 28)                                                                                

Sen. Greg Dolezal, R-Cumming

Bill passed by the Senate Economic Development and Tourism Cmte on Feb-19

A priority of Lt. Governor Burt Jones, SB 28 provides for the preparation and submission of small business impact analysis for proposed legislation, rules, and regulations.  It requires state agencies to complete a top-to-bottom review of their rules and regulations every four years.  A similar measure (SB 429) fell just short of the finish line last year.  For more information, click here.

Georgia Consumer Privacy Protection Act (SB 111)

Sen. John Albers, R-Roswell

Bill passed by the Senate Economic Development and Tourism Cmte on Feb-19

SB 111 seeks to protect the privacy of consumer personal data. The bill defines consumers’ rights, the responsibilities of data controllers and processors and requirements for data protection assessments.  The bill contains a requested exemption from last year’s bill (SB 473) for financial institutions and affiliates of financial institutions, data or personal information subject to Title V of the federal Gramm-Leach-Bliley Act.

New Legislation of Interest

Banking Related

State Depository Board (SB 178)

Sen. Greg Dolezal, R—Cumming

Assigned to the Senate Banking & Financial Institutions Cmte on Feb-18

SB 178 provides for the State Depository Board to allow the state treasurer to invest in Bitcoin.

Vehicle Value Protection Agreements (HB 504)

Rep. Martin Momtahan, R—Dallas

Assigned to the House Regulated Industries Cmte on Feb-19

A Vehicle Value Protection Agreement (VVPA) is a contract between a vehicle owner and a provider that offers financial protection in case the vehicle's value declines due to specific circumstances, such as depreciation or total loss. These agreements typically supplement traditional auto insurance.  HB 504 regulates these agreements.

Taxation

Catastrophic Savings Accounts (HB 511)

Rep. Eddie Lumsden, R—Armuchee

Assigned to the House Ways & Means Cmte on Feb-20

HB 511 provides deductions from taxable income for contributions by taxpayers to catastrophic savings accounts and interest earned on such accounts.  This tax incentive is designed to encourage residential property owners to save funds designated for expenses related to natural disasters.

Technology

AI Discrimination (SB 167)     

Sen. Nikki Merritt, D-Grayson

Assigned to the Senate Economic Development and Tourism Cmte on Feb-13

SB 167 requires private entities that employ certain AI systems to guard against discrimination caused by those systems in opportunities related to education, employment, essential government services, financial or lending services, healthcare, housing, insurance, or legal services.

Judicial

Georgia Anti-Squatting Act of 2025 (SB 184)

Sen. John Albers, R—Roswell

Assigned to the Senate Judiciary  Cmte on Feb-19

SB 184 provides that a person must show certain documentation upon receipt of a citation for unlawful squatting and includes penalties for forgery cases related to the offense of unlawful squatting.  See also HB 183 by Rep. Devan Seabaugh and HB 415 by Rep. Todd Jones.

Legal Notices (SB 189)

Sen. Rick Williams, R—Milledgeville

Assigned to the Senate Judiciary Cmte on Feb-19

SB 189 requires the Department of Community Affairs to develop and maintain a publicly accessible database of legal notices that are otherwise required by law to be published in a newspaper.  Legal notices include government announcements, court notices, foreclosures and public auctions, and business notices.

Electronic Filing of Pleadings in Probate Court (HB 530)

Rep. Rob Leverett, R—Elberton

Assigned to the House Judiciary Cmte on Feb-20

HB 530 provides for authorization for the electronic filing of pleadings in probate court statewide.  While some counties have voluntarily implemented e-filing for probate matters, others have not.  The Georgia Superior Court Clerks’ Cooperative Authority supports statewide e-filing for certain court documents, including real estate records and UCC filings.

Property

Property Owners’ Association Liens (HB 512)

Rep. Regina Lewis-Ward, D—McDonough

Assigned to the House Regulated Industries Cmte on Feb-20

HB 512 revised provisions related to property owners’ associations and requires associations to provide certificates of good standing for the payment of assessments and other charges.  It also requires the association to offer participation in alternative dispute resolution prior to the creation of a lien for unpaid assessments and other charges.  This is one of several active measures aimed at enhancing state oversight and establishing clearer guidelines for property owners’ associations (see also HB 62, HB 190, SB 107, SB 108).

ICBA Capital Summit

ICBA’s Capital Summit will be held May 12-15, 2025 at the Gaylord National Resort & Convention Center, National Harbor, Maryland.  The ICBA Capital Summitt empowers you to make your voice heard on Capital Hill, ensuring policymakers understand the vital role of community banks in driving growth and opportunity.  Join CBA at this event and register now.