Governor Signs New Tax Allocation District Legislation

April 24,2009

“It seems like an eternity since we began this trek to reverse a court ruling that crippled the clear purpose of tax allocation districts (TADs) in Georgia,” said A.J. Robinson, President of Central Atlanta Progress. “It took Georgia voters to re-affirm their position and the leadership of the Governor’s office and Georgia House and Senate to re-enact new legislation, but TADs in Georgia are once again as fully functional as others throughout the country.”

According to Robinson, a statewide coalition, the Georgians for Community Redevelopment, spearheaded the voter education campaign last November and the Georgia Redevelopment Coalition worked with key legislators on the passage of HB 63. “The bill, reenacting the Georgia Community Development Act, was signed by Governor Perdue on April 22, and now restores the option of local school increment in the TAD program,” said Robinson.

According to Robinson, as a local example of the impact of the changes, a recent TAD bond offering in Downtown’s Westside TAD generated $63.75 million. With the change in place and full tax increment applied, it would have generated approximately $30 more million for projects in Downtown. “That’s an incredible change and given the current economic climate, a change that is very important to communities across Georgia with similar programs.”

“A great deal of thanks is owed to hundreds of groups across the State and thousands of their members. They helped get a clear and concise message that participation in tax allocation districts is a local decision by City, County governments and local school boards, not one that should be left to the courts,” said Robinson. “We are grateful for all the efforts during the campaign and the past legislative session.”