The GCI Final Report is out (get the report here).  It is pretty much a broad-brush policy document — sounds good, but nothing specific.  What does that mean for your clients?

It means we have to wait a little while longer to find out what gets translated into legislation.  As we said last month, that’s what they call making sausage!  

Here’s a summary of tax credit policy items in the report -

• Modify existing incentive and tax credit programs in a way thatencourages existing business growth, provides additional incentives for investment in rural communities, and allows flexibility.  Also includes generic language about modernizing and expanding incentive programs.

• Extend the existing Angel Investor Tax Credit by five years to 2018

• Allow for the use of federal grant funds to directly assist small businesses seeking to export goods

• Expand Opportunity Zone program to make it more useful in rural areas

• Improve the existing tourism development incentive to encourage increased travel, retail, and hospitality investment in Georgia

We will keep you updated throughout the 2012 Session!

GCI is in its Quiet Phase – in other words, either they are writing their report due 12/31 or they decided to take the holidays off!

No, hopefully they are putting the finishing touches on the report this week and we should all see something in early January.  After that, it goes to our policy makers to be converted into legislation.  That’s what they call making sausage!  

Here’s what we think they want to do -

1. Make targeted changes to tax policy, but no wholesale tax reformin this election year
2. Maintain statutory incentive tax credits, but make some of them more effective for economic development and job creation
3. Add State discretionary incentives to help close economic development deals for Georgia

Earlier this month, I attended the State Legislature’s “Special Joint Committee on Georgia Revenue Structure” hearing at the Capitol.  Called at the last minute, only about half of the members attended, so nothing got done, at least on the surface!

We will keep you updated throughout the 2012 Session!

This is the quiet time of the process, on the surface, but the real work is happening right now within the Georgia Chamber’s Government Affairs Council. They are responsible for developing the core recommendations of the Initiative’s strategy report.

You may want to attend the 2011 Georgia Chamber Tax Forum on November 3. This session will include the Chamber’s tax legislative initiatives and a preview of the 2012 legislative session. Hope to see you there! (click here)

We are almost done with the 12 GA Competitive Initiative (GCI) meetings around the state! At most sessions there are 200 or more attendees, but most of them are from education, government and economic development (not many from private businesses). Lots of ideas have surfaced, but so far they need more specific solutions.

A reminder — the GCI is NOT a legislative mandate like it was for last year’s Tax Reform study, but recently Chris Clark, CEO Georgia Chamber of Commerce, said during his speech – “the goal of GCI is to create a jobs agenda for legislation. We will push this through the General Assembly in 2012.”

We will keep you posted as the sessions wind up and specifics begin to be developed. Don’t hesitate to contact your representative or senator as the 2012 session approaches. They can’t address your needs if you don’t let them know what those needs are!!

We have now attended the first 5 of 12 GA Competitive Initiative (GCI) meetings around the state.  The sessions are averaging around 200+ attendees, but so far continue to be attended by mainly education, government and economic development people (not many from private businesses).  Some specific policy ideas are getting through, although it is pretty hard for the GCI organizers to herd the cats!

The five-hour meeting format with facilitated sessions around 6 topical areas is okay in theory, but it is pretty hard for any of our clients to find that much time away from business.  We are looking for ways to get their opinions heard anyway, either remotely or electronically, and will let you know specifics when we know more.

To participate in any of the remaining sessions, registration is required (click here).  Hopefully we will see you at one of the sessions!

The state’s new Competitiveness Initiative team wants input from you for future economic development plans and related legislation. They will be holding 12 meetings throughout the state, from June 23 in Albany to August 31 in West Point (click here for locations and dates). The format for these meetings will be a facilitated session around the 6 topical areas that the Initiative has identified: business climate, education & workforce development, innovation, infrastructure, international opportunity and growth, and government efficiency and effectiveness. It is requested that presenters utilize these areas in their presentations. If you are interested in helping with Georgia’s economic development future, attend and participate in the meeting nearest you!