General Assembly; motor fuel and diesel fuel taxes; ratify Governor Brian P. Kemp's Executive Orders
Impact
By suspending fuel taxes, HR3 aims to offer immediate financial relief to Georgia residents amid rising fuel costs. The governor's actions were made under the authority of the Code Section 38-3-516, allowing for such measures during a declared state of emergency. The ratification by the General Assembly is a necessary step to formalize the suspension of these taxes and ensures that the executive decisions are supported by legislative authority.
Summary
House Resolution 3 (HR3) addresses the suspension of motor fuel and diesel fuel taxes in Georgia. This resolution ratifies three executive orders issued by Governor Brian P. Kemp in response to a state of emergency declared due to rampant inflation affecting fuel prices. The executive orders, issued on September 12, October 6, and November 8 of 2023, aim to mitigate the financial impact on consumers by temporarily halting the collection of these taxes.
Contention
The resolution highlights the balance between executive action in times of emergency and legislative oversight. While the suspension is largely viewed as a necessary response to help citizens deal with inflation, it raises questions about long-term implications for state revenue generated from fuel taxes. Opponents of such measures may argue that a prolonged suspension could harm state budgets, whereas supporters contend that it provides essential short-term relief without sacrificing long-term fiscal stability.
Provides for a phased decrease of excise taxes and sales taxes and petroleum business taxes on diesel motor fuel and motor fuel when the average price of motor fuel in the state exceeds $2.25 per gallon; authorizes cities having a population of one million or more and counties to adopt local laws limiting taxes on diesel motor fuel and motor fuel.
Enacts the "gas tax holiday act"; provides that from the first of the month after the effective date of the section until December 31, 2027 the taxes imposed on retail sales of fuel gas, motor fuel and diesel motor fuel shall be exempt from certain taxes.