Difference between revisions of "Georgia state budget and finances"

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{{budget infobox2|
{{budget infobox|
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| state = Georgia  
state = Georgia |
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| image = Flag of Georgia.png|
image = Flag of Georgia.png|
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| budgetcal = Annual
budgetcal = Annual |
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| fiscalyear = 2014
fiscalyear = 2014 |
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| credit= AAA
datelaw= May 8, 2013 |
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| percentchangedr =   
lasteraltered = |
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| expenses = $18.3 billion
revenue =  |
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| all funds expenses = $41.1 billion
percentchangedr =  |
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| spending change = 20.4%
expenses = $19.9 billion|
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| change =up
all funds expenses = |
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| governor = Nathan Deal
percentchanged = |
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| % federal = 38.06%
}}
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| state debt = $115,193,862,000
[[Georgia]] operates on an annual budget cycle. Its fiscal year begins July 1 and the state is currently in FY2014.
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| per cap debt = $11,612
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}}{{tnr|limit=3}}This page contains information about '''budget processes and policy issues''' in [[Georgia]], including:
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* A summary of the budget drafting process
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* Trends in expenditures and revenues
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* Current and past fiscal year budget developments
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* Financial transparency measures
  
[[Georgia]] Gov. [[Nathan Deal| Nathan Deal]] signed the $19.9 billion FY2014 state spending plan into law on May 8, 2013.<ref name=signs>[http://www.statebudgetsolutions.org/publications/detail/deal-signs-199-billion-budget-for-fiscal-2014 The Atlanta Journal Constitution "Deal signs $19.9 billion budget for fiscal year 2014" May 8, 2013]</ref>
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Between fiscal year 2009 and fiscal year 2013, Georgia's total expenditures increased by approximately $400 million, from $40.7 billion in 2009 to $41.1 billion in 2013. This represents an 0.8 percent increase, below the cumulative rate of inflation during the same period (9.06 percent, calculated using the Consumer Price Indices for January 2009 and January 2013).<ref>[http://www.bls.gov/cpi/cpid1402.pdf ''Bureau of Labor Statistics'', "CPI Detailed Report Data for February 2014," accessed April 9, 2014]</ref><ref>[http://inflationdata.com/Inflation/Inflation_Calculators/Cumulative_Inflation_Calculator.aspx ''InflationData.com'', "Cumulative Inflation Calculator," February 28, 2014]</ref>
  
Georgia has a total state debt of approximately $94,041,152,000, when calculated by adding the total of outstanding official debt, pension and other post-employment benefits (OPEB) liabilities, Unemployment Trust Fund loans, and the budget gap.<ref>[http://www.statebudgetsolutions.org/publications/detail/state-budget-solutions-third-annual-state-debt-report-shows-total-state-debt-over-4-trillion State Budget Solutions "State Budget Solutions' third annual State Debt Report shows total state debt over $4 trillion" Aug. 28, 2012]</ref> The total state debt decreased from the prior year's total of $97,478,050,000.<Ref>[http://www.statebudgetsolutions.org/publications/detail/report-reveals-aggregate-state-debt-exceeds-4-trillion-2 State Budget Solution “Report reveals aggregate state debt exceeds $4 trillion” Oct. 24, 2011]</ref>
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==Budget process==
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{{Georgia budget process}}
  
Georgia's total state debt per capita is $9,581.17.<ref>[http://www.statebudgetsolutions.org/publications/detail/state-debt-more-than-37000-per-private-worker-13000-per-capita State Budget Solutions "State debt more than $37,000 per private worker, $13,000 per capita" Oct. 2, 2012]</ref>
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==Expenditures==
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===Definitions===
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{{Budget types background}}
 +
===2013 expenditures===
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[[File:Georgia total expenditures 2013.png|right|thumb|500px|Breakdown of expenditures in FY 2013.<small><br>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>]]
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The table below breaks down expenditures for fiscal year 2013 (comparable figures from surrounding states are provided to give additional context).<ref name=expenditures2013>[http://www.nasbo.org/sites/default/files/State%20Expenditure%20Report.pdf ''National Association of State Budget Officers'', "State Expenditure Report, 2011-2013," accessed February 21, 2014]</ref> Figures for all columns except "Per capita expenditures" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita expenditures" have not been abbreviated.
  
:: ''See also: [http://www.statebudgetsolutions.org/state/detail/georgia The Georgia State Budget on State Budget Solutions]''
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{| class="wikitable" style="text-align:center; width:55%;"
 +
! colspan="7" align="center" style="background-color:#008000; color: white;" | Total state expenditures, FY 2013 ($ in millions)<ref name=expenditures2013/>
 +
|-
 +
! valign="bottom" style="background-color:#444; color: white;" | State
 +
! valign="bottom" style="background-color:#444; color: white;" | General fund
 +
! valign="bottom" style="background-color:#444; color: white;" | Federal funds
 +
! valign="bottom" style="background-color:#444; color: white;" | Other funds
 +
! valign="bottom" style="background-color:#444; color: white;" | Bonds
 +
! valign="bottom" style="background-color:#444; color: white;" | Total
 +
! valign="bottom" style="background-color:#444; color: white;" | Per capita expenditures
 +
|-
 +
|'''Georgia''' || '''$18,303''' || '''$11,752''' || '''$10,211''' || '''$808''' || '''$41,074''' || '''$4,110.62'''
 +
|-
 +
|[[Alabama state budget|Alabama]] || $6,897 || $9,541 || $7,490 || $189 || $24,117 || $4,989.32
 +
|-
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|[[Florida state budget|Florida]] || $24,717 || $24,737 || $18,437 || $2,084 || $69,975 || $3,578.76
 +
|-
 +
|[[South Carolina state budget|South Carolina]] || $6,350 || $7,792 || $8,158 || $0 || $22,300 || $4,670.31
 +
|-
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|[[Tennessee state budget|Tennessee]] || $12,622 || $13,055 || $5,394 || $382 || $31,453 || $4,841.92
 +
|-
 +
|align="left" colspan="8" | <small>Per capita figures are calculated by taking the state's total expenditures and dividing by the number of state residents according to United States Census estimates.<ref name=2013census/><ref name=2009census>[https://www.census.gov/popest/data/historical/2000s/vintage_2009/index.html ''United States Census Bureau'', "Vintage 2009: Annual Population Estimates," accessed February 26, 2014]</ref><br>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>
 +
|}
  
==Federal Aid to State Budget==
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===Expenditures by function===
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[[File:Georgia expenditures by type 2012.png|right|thumb|500px|Breakdown of expenditures by function in FY 2012.<small><br>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>]]
 +
State expenditures in Georgia can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2012 data is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percents, indicating the share of the total budget spent per category.
  
The chart below represents how much of the state’s budget comes from the federal government. The number is the corresponding ranking in relation to the rest of the nation (if #1, the state receives the highest percentage of federal funding in the nation):
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{| class="wikitable" style="text-align:center; width:55%;"
{| class="wikitable sortable"
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! colspan="8" align="center" style="background-color:#008000; color: white;" | Expenditures by function, FY 2012 (as percents)<ref name=expenditures2013/>
| align="center" style="background:#f0f0f0;"|'''State'''
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| align="center" style="background:#f0f0f0;"|'''2008'''
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| align="center" style="background:#f0f0f0;"|'''2009'''
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| align="center" style="background:#f0f0f0;"|'''2010'''
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| align="center" style="background:#f0f0f0;"|'''2011'''
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|-
 
|-
| Georgia || 35.69% (#5) || 37.33% (#9) || 44.4% (#8) || 41.07% (#9)
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! valign="bottom" style="background-color:#444; color: white;" | State
|}
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! valign="bottom" style="background-color:#444; color: white;" | Elementary and secondary ed.
*Figures were calculated by dividing each state’s intergovernmental revenue into its general revenue.<ref>[http://www.census.gov/compendia/statab/cats/state_local_govt_finances_employment/federal_aid_to_state_and_local_governments.html '''US Census''' Federal Aid to State and Local Governments]</ref><ref>[http://taxfoundation.org/blog/monday-map-federal-aid-state-budgets ''Tax Foundation''' "Monday Map: Federal Aid to State Budgets. Accessed October 15, 2013]</ref>
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! valign="bottom" style="background-color:#444; color: white;" | Higher ed.
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! valign="bottom" style="background-color:#444; color: white;" | Public assistance
 +
! valign="bottom" style="background-color:#444; color: white;" | Medicaid
 +
! valign="bottom" style="background-color:#444; color: white;" | Corrections
 +
! valign="bottom" style="background-color:#444; color: white;" | Transportation
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! valign="bottom" style="background-color:#444; color: white;" | Other
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|-
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|'''Georgia''' || '''24.0%''' || '''18.7%''' || '''0.1%''' || '''21.5%''' || '''3.7%''' || '''5.2%''' || '''26.8%'''
 +
|-
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|[[Alabama state budget|Alabama]] || 20.9% || 20.1% || 0.2% || 23.3% || 2.5% || 6.1% || 27%
 +
|-
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|[[Florida state budget|Florida]] || 18.8% || 7.1% || 0.3% || 30.6% || 4.2% || 11% || 28.1%
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|-
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|[[South Carolina state budget|South Carolina]] || 15.9% || 21.0% || 0.4% || 21.7% || 2.7% || 6.6% || 31.7%
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|-
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|[[Tennessee state budget|Tennessee]] || 17.7% || 12.8% || 0.4% || 30.7% || 2.7% || 6.4% || 29.3%
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|-
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|align="left" colspan="8" | <small>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>
 +
|}
  
==FY2014 State Budget==
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===Expenditure trends===
Gov. [[Nathan Deal|Nathan Deal]] introduced his proposed state budget for FY2014 on Jan. 17, 2013.<ref name=unveils>[http://www.ajc.com/news/news/state-regional-govt-politics/gov-deal-includes-infrastructure-projects-spending/nTzCt/ The Atlanta Journal Constitution "Deal unveils $19.8 billion budget" Jan. 17, 2013]</ref><ref>[http://opb.georgia.gov/sites/opb.georgia.gov/files/related_files/document/Governors%20Budget%20Report%20FY%202014.pdf Governor's Budget Report]</ref>.
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Between 2008 and 2012, state expenditures for higher education and Medicaid rose significantly. During the same time, expenditures for elementary and secondary education fell by 3.7 percent. The table below details changes in expenditures from 2008 to 2012.<ref name=expenditures2013/><ref name=expenditures2011>[http://www.nasbo.org/sites/default/files/2010%20State%20Expenditure%20Report_0.pdf ''National Association of State Budget Officers'', "State Expenditure Report, 2009-2011," accessed February 24, 2014]</ref><ref name=expenditures2012>[http://www.nasbo.org/sites/default/files/State%20Expenditure%20Report%20%28Fiscal%202010-2012%29.pdf ''National Association of State Budget Officers'', "State Expenditures Report, 2010-2012," accessed February 24, 2014]</ref><ref name=expenditures2009>[http://www.nasbo.org/sites/default/files/2009-State-Expenditure-Report.pdf ''National Association of State Budget Officers'', "State Expenditure Report, 2009," accessed February 24, 2014]</ref><ref name=expenditures2008>[http://www.nasbo.org/sites/default/files/FY08%20State%20Expenditure%20Report.pdf ''National Association of State Budget Officers'', "State Expenditure Report, 2008," accessed February 24, 2014]</ref> Figures are rendered as percents, indicating the share of the total budget spent per category.
  
The proposed budget totaled $19.8 billion, an increase of $550 million over FY2013 state budget, although spending remains down more than $1 billion from 2008. Other than $800 million in construction projects, it provides for no new major programs and does not include cost-of-living raises for state employees or teachers.<ref name=unveils/> It cuts spending in some areas, including $300 million for growth in K-12 school enrollment, $50 million for dredging the fast-growing Port of Savannah, and $11.75 million for the College Football Hall of Fame.<ref name=unveils/>
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{| class="wikitable" style="text-align:center; width:65%;"
 +
! colspan="8" align="center" style="background-color:#008000; color: white;" | Expenditures from 2008 to 2012 (as percents)
 +
|-
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! valign="bottom" style="background-color:#444; color: white;" | Year
 +
! valign="bottom" style="background-color:#444; color: white;" | Elementary and secondary ed.
 +
! valign="bottom" style="background-color:#444; color: white;" | Higher ed.
 +
! valign="bottom" style="background-color:#444; color: white;" | Public assistance
 +
! valign="bottom" style="background-color:#444; color: white;" | Medicaid
 +
! valign="bottom" style="background-color:#444; color: white;" | Corrections
 +
! valign="bottom" style="background-color:#444; color: white;" | Transportation
 +
! valign="bottom" style="background-color:#444; color: white;" | Other
 +
|-
 +
|2012 || 24.0% || 18.7% || 0.1% || 21.5% || 3.7% || 5.2% || 26.8%
 +
|-
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|2011 || 25.2% || 17.1% || 1.2% || 20.5% || 3.0% || 4.7% || 28.2%
 +
|-
 +
|2010 || 24.6% || 17.1% || 1.4% || 19.5% || 3.0% || 6.2% || 28.3%
 +
|-
 +
|2009 || 24.2% || 14.9% || 1.3% || 19.5% || 3.0% || 6.5% || 30.7%
 +
|-
 +
|2008 || 27.7% || 7.9% || 1.5% || 19.6% || 3.3% || 5.9% || 34.2%
 +
|-
 +
|style="background-color:black; color:white"|'''Change in %'''
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| style="background-color:black; color:white" align="center"|'''-3.7%''' || align="center" style="background-color:black; color:white"|'''10.8%'''|| align="center" style="background-color:black; color:white"| '''-1.4%''' || align="center" style="background-color:black; color:white"|'''1.9%''' ||align="center" style="background-color:black; color:white"| '''0.4%''' || align="center" style="background-color:black; color:white"|'''-0.7% ''' || align="center" style="background-color:black; color:white"|'''-7.4% '''
 +
|-
 +
|align="left" colspan="8" | <small>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>
 +
|}
  
The governor's proposed budget is based on assumption of revenue growth of 4.8 percent, similar to what the state saw during the first half of FY2013.<ref name=unveils/>
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==Revenues==
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===2013 revenues===
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[[File:Georgia GF revenues 2013.png|right|400px|thumb|Breakdown of general fund revenue sources in FY 2013.<small><br>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>]]
 +
The table below breaks down general fund revenues by source in fiscal year 2013 (comparable figures from surrounding states are also provided to give additional context).<ref name=expenditures2013>[http://www.nasbo.org/sites/default/files/State%20Expenditure%20Report.pdf ''National Association of State Budget Officers'', "State Expenditure Report, 2011-2013," accessed February 21, 2014]</ref> Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.
  
 +
{| class="wikitable" style="text-align:center; width:55%;"
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! colspan="8" align="center" style="background-color:#008000; color: white;" | Revenue sources in the general fund, FY 2013 ($ in millions)<ref name=expenditures2013/>
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|-
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! valign="bottom" style="background-color:#444; color: white;" | State
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! valign="bottom" style="background-color:#444; color: white;" | Sales tax
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! valign="bottom" style="background-color:#444; color: white;" | Personal income tax
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! valign="bottom" style="background-color:#444; color: white;" | Corporate income tax
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! valign="bottom" style="background-color:#444; color: white;" | Gaming tax
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! valign="bottom" style="background-color:#444; color: white;" | Other taxes and fees
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! valign="bottom" style="background-color:#444; color: white;" | Total
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! valign="bottom" style="background-color:#444; color: white;" | Per capita revenue**
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|-
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|'''Georgia''' || '''$5,226''' || '''$8,486''' || '''$706''' || '''$0''' || '''$3,562''' || '''$17,980''' || '''$1,799.41'''
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|-
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|[[Alabama state budget|Alabama]] || $1,945 || $3,104 || $376 || $2 || $1,887 || $7,314 || $1,513.12
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|-
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|[[Florida state budget|Florida]] || $18,302 || $0 || $2,233 || $242 || $4,244 || $25,021 || $1,279.66
 +
|-
 +
|[[South Carolina state budget|South Carolina]] || $6,643 || $126 || $1,083 || $0 || $3,551 || $11,403 || $1,755.39
 +
|-
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|[[Tennessee state budget|Tennessee]] || $2,448 || $2,796 || $265 || $0 || $742 || $6,251 || $1,309.15
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|-
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| align="left" colspan="8" | <small>Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates for 2013.<ref name=2013census>[http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?src=bkmk ''United States Census Bureau'', "Annual Estimates of the Resident Population: April 1, 2010 to July 1, 2013," accessed February 26, 2014]</ref><br>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>
 +
|}
  
==FY2013 State Budget==
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===Revenue trends===
 
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The table below details the change in revenue sources in the general fund from 2009 to 2013.<ref name=expenditures2013/><ref name=expenditures2011/> Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.  
Gov. Nathan Deal signed the state budget into law on May 7, 2012.<ref name=signs>[http://www.ajc.com/news/georgia-government/deal-signs-budget-but-1433085.html The Atlanta Journal Constitution "Deal signs budget but vetoes some lawmaker add-ons" May 7, 2012]</ref> He vetoed some items, including:
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*an appropriation of $1.75 million to cover a weight-loss surgery benefit in the state's health plan;<ref name=signs/>
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*$500,000 for small-town airports;<ref name=signs/>
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*$256,800 for renovation of the Rural Development Center at the University of Georgia's campus in Tifton. The governor noted that the project was not sought by the Board of Regents and did not appear on the board's list of priorities for capital projects.<ref name=signs/>
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The general fund is $19.3 billion, and total state and federal spending totals more than $39 billion.<ref name=signs/><ref>[http://opb.georgia.gov/vgn/images/portal/cit_1210/25/2/184887319HB%20742%20Signed%20Bill.pdf 2013 Enacted Budget]</ref>
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{| class="wikitable" style="text-align:center; width:65%;"
 
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! colspan="8" align="center" style="background-color:#008000; color: white;" | Revenue sources in the general fund, Georgia ($ in millions)<ref name=expenditures2013/><ref name=expenditures2011>[http://www.nasbo.org/sites/default/files/2010%20State%20Expenditure%20Report_0.pdf ''National Association of State Budget Officers'', "State Expenditure Report, 2009-2011," accessed February 24, 2014]</ref>
'''Additional cuts'''
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|-
 
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! valign="bottom" style="background-color:#444; color: white;" | Year
In August 2012, the governor's Office of Planning and Budget told the heads of state agencies to come up with additional reductions of $553 million over FY2013 and FY2014 due to concerns over the state's economy.  Most agencies were told they must submit 3 percent spending cuts for the rest of this year and for 2014, but the majority of K-12 school funding is exempt from the cuts.  The cuts include $108 million from the University System of Georgia (with $54 million of that to come in FY2013) and $170 million from the Department Community Health, which handles Medicaid and PeachCare.<ref>[http://www.ajc.com/news/georgia-politics-elections/more-budget-cuts-ahead-1490245.html The Atlanta Journal Constitution "More budget cuts ahead for state health care, universities" Aug. 3, 2012]</ref>
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! valign="bottom" style="background-color:#444; color: white;" | Sales tax
 
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! valign="bottom" style="background-color:#444; color: white;" | Personal income tax
'''Legislative Proposed Budget'''
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! valign="bottom" style="background-color:#444; color: white;" | Corporate income tax
 
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! valign="bottom" style="background-color:#444; color: white;" | Gaming tax
A conference committee comprised of members from both chambers negotiated a compromise budget.<ref name=senate/>  On March 27, 2012, the General Assembly approved the negotiated $19.3 billion state general fund budget, with the Senate doing so by a vote of 45-0 and the House vote of 143-24.<ref name=back>[http://www.ajc.com/news/georgia-government/lawmakers-back-budget-with-1399621.html The Atlanta Journal Constitution "Lawmakers back budget with a little extra to spare" March 27, 2012]</ref> All budgets together spend about  $39.5 billion overall, including federal tax money.<ref name=back/> The spending plan puts $111 million -- much of it from the national mortgage lawsuit  settlement -- into new economic development efforts.<ref name=back/>
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! valign="bottom" style="background-color:#444; color: white;" | Other taxes and fees
 
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! valign="bottom" style="background-color:#444; color: white;" | Total
Items cut from the budget include:
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! valign="bottom" style="background-color:#444; color: white;" | Per capita revenue**
*$750,000 for a state history museum;
+
|-
*redirecting $10 million earlier approved for the College Football Hall of Fame to other projects.<ref name=back/>
+
|2013 || $5,226 || $8,486 || $706 || $0 || $3,562 || $17,980 || $1,799.41
 
+
|-
On March 21, 2012, the [[Georgia State Senate|Senate]] unanimously passed its $19.2 billion version of the FY2013 state budget.  The state would borrow about $800 million for construction projects under the Senate plan.  The Senate also had a provision changing the HOPE scholarship fund, which the budgets from the governor and House did not address.<ref name=senate>[http://www.ajc.com/news/georgia-government/senate-passes-budget-tinkers-1393474.html The Atlanta Journal Constitution "Senate passes budget, tinkers with HOPE" March 21, 2012]</ref> 
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|2012 || $5,304 || $8,142 || $591 || $0 || $3,233 || $17,270 || $1,741.69
 
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|-
The [[Georgia House of Representatives|House]] approved its draft of the budget on March 6, 2012.  The House plan was similar to the governor's proposed budget, but included additional funding for education and increased the fuel funds for the Georgia State Patrol.  The House did not go along with Deal's plan giving local school leaders the ability to spend nearly $16 million earmarked for student nutrition programs on other aspects of schooling.<ref>[http://jacksonville.com/news/georgia/2012-03-06/story/georgia-house-approves-192-billion-budget The Florida Times-Union "Georgia House approves $19.2 billion budget" March 6, 2012]</ref>
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|2011 || $5,081 || $7,659 || $670 || $0 || $3,149 || $16,559 || $1,687.94
 
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'''Governor's Proposed Budget'''
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The budget increases spending from $18.3 billion in FY2012 to $19 billion in FY2013.  “When adjusted for inflation per capita spending in my budget recommendation for fiscal year 2013 is 20.5 percent less than Fiscal Year 2002,” Deal said.  <Ref>[http://www.statebudgetsolutions.org/publications/detail/ga-gov-next-year-budget-increase-just-three-tenths-of-1-percent State Budget Solutions "GA Gov: Next year budget increase just three-tenths of 1 percent" Jan. 17, 2012]</ref><ref>[http://opb.georgia.gov/vgn/images/portal/cit_1210/23/26/180289834State%20of%20Georgia%20Budget%20Report%20FY%202013%20-%20Jan%2011%20A.pdf Georgia Budget Report 2013]</ref>
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Gov. [[Nathan Deal| Nathan Deal]]'s proposed  FY2013 budget would include consolidating some state agencies.<Ref>[http://www.bizjournals.com/atlanta/morning_call/2012/01/deals-budget-plan-close-or-eliminate.html Atlanta Business Chronicle "Deal's budget plan: Merge or eliminate some state agencies" Jan. 6, 2012]</ref>  Deal's proposed budget includes expenditures of $19.2 billion.<ref name=increase>[http://www.gainesvilletimes.com/section/203/article/61710/ The Gainesville Times "Deal wants to increase state's spending" Jan. 11, 2012]</ref> Highlights of the budget include:
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* $89 million is earmarked to fund higher enrollment in Georgia's public elementary, middle and high schools;<ref name=increase/>
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* $235.6 million to the University System of Georgia for new construction, renovation projects and equipment purchases;<ref>[http://www.bizjournals.com/atlanta/news/2012/01/12/georgia-budget-to-fund-four-major.html Atlanta Business Chronicle "Georgia budget to fund four major college building projects " Jan. 23, 2012]</ref>
+
*$60 million has been set aside for teacher raises;<ref>[http://www.wsbtv.com/news/news/deal-outlines-budget-spending-instead-cuts/nGKZf/ WSBTV.com] "Deal outlines budget of spending instead of cuts" Jan. 10, 2012</ref>
+
*elimination of the State Personnel Administration.<ref name=increase/>
+
 
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Gov. Deal said he hopes to expand his use of zero-based budgeting in FY2013.<ref name=increase/>
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The governor also proposed eliminating the sales tax on energy used in manufacturing.<Ref>[http://www.businessweek.com/news/2012-01-31/governors-seeking-jobs-offer-tax-breaks-as-budget-woes-ease.html Businessweek  "Governors Seeking Jobs Offer Tax Breaks as Budget Woes Ease" Jan. 31, 2012]</ref>
+
 
+
==FY2012 State Budget==
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* '''See past [[Archived Georgia state budgets|state budgets]]'''
+
 
+
State tax collections for FY2012 were lower than they were in FY2006. They were 4.8 percent higher than in FY2011, however, and generated enough income to cover the FY2011 state budget.<ref>[http://www.ajc.com/news/georgia-politics-elections/more-budget-cuts-ahead-1490245.html The Atlanta Journal Constitution "More budget cuts ahead for state health care, universities" Aug. 3, 2012]</ref>
+
 
+
The state will receive $815 million from banks to settle foreclosure fraud claims, and Gov. [[Nathan Deal| Nathan Deal]] has said that he would put that money towards the state's Rainy Day Fund instead of its of to homeowners.  When the governor's administration made this clear in March 2012, the Rainy Day Fund had approximately $320 million.<ref name=defrauded>[The Atlanta Journal Constitution "Funds for defrauded homeowners diverted by state" March 11, 2012]</ref>
+
 
+
===Passed Budget===
+
Gov. Deal signed the $18.3 billion FY2012 budget on May 17, 2011.  The budget increases health insurance premiums for state employees and cuts funding for Georgia's college system. The governor used his line item veto power to strike funding for 11 $40 million bond projects in the university system.<ref>[http://www.businessweek.com/ap/financialnews/D9N9TO880.htm Businessweek.com "Ga. Governor signs $18.3B budget, vetoes 9 bills" May 18, 2011]</ref>  The governor's veto statements can be found [http://www.georgia.gov/00/press/detail/0,2668,165937316_170988643_171435055,00.html here].
+
 
+
On Feb. 3, 2012, the Georgia House passed an amended budget to increase state spending by $255 million over what was originally planned.  The amended budget calls for a $300 million for a toll road project along I-75 and I-575 in Cobb and Cherokee counties and for additional federal spending.<ref>[http://www.ajc.com/news/georgia-government/georgia-house-passes-amended-1329753.html The Atlanta Journal Constitution "Georgia House passes amended budget" Feb. 3, 2012]</ref>
+
 
+
The FY2012 budget contains no cost-of-living raises for 200,000 teachers and state employees and cuts university system funding. Public school funding will be about the same as it was this year, when many school districts furloughed employees and cut the number of school days to save money.<ref>[http://www.ajc.com/news/georgia-politics-elections/governor-signs-18-3-949160.html?cxtype=rss_news_128746 The Atlanta Journal Constitution "Governor signs $18.3 billion budget, vetoes college construction projects" May 17, 2011]</ref>
+
 
+
The budget also includes fee increases, including higher costs for day care licenses, fireworks permits and traveling circuses.<ref>[http://www.cbsnews.com/stories/2011/07/23/ap/business/main20082403.shtml CBSNews.com "States eye fee increases as alternative to taxes" July 23, 2011]</ref>
+
 
+
Georgia's annual debt service is $1.2 billion, which is approximately 7 percent of the state's budget.  The state has $9.2 billion in outstanding bonds on its books as of Sept. 2011, and Gov. Deal has reduced state bonding to $563 million from $1 billion the prior year.<ref>[http://www.chron.com/news/article/Georgia-borrowing-dips-under-Gov-Deal-s-tenure-2155271.php The Houston Chronicle "Georgia borrowing dips under Gov. Deal's tenure" Sept. 4, 2011]</ref>
+
 
+
'''Education spending'''
+
 
+
For FY2012, Georgia devoted 32.3% of its total spending to K-12 education, down from 34.0% in FY2009.<ref>[http://www.statebudgetsolutions.org/publications/detail/throwing-money-at-education-isnt-working State Budget Solutions "Throwing Money At Education Isn't Working" Sept. 12, 2012]</ref>
+
 
+
{|class="wikitable"
+
!Fiscal Year
+
!Total Spending<ref>[http://www.usgovernmentspending.com/spending_chart_1997_2017AKb_13s1li111mcn_F0t USGovernmentSpending.com "Georgia Government Spending Chart - Total Spending" Aug. 4, 2012]</ref>
+
!Education Spending<reF>[http://www.usgovernmentspending.com/spending_chart_1997_2017ALb_13s1li111mcn_20t http://www.usgovernmentspending.com/spending_chart_1997_2017ALb_13s1li111mcn_20t USGovernmentSpending.com "Georgia Government Spending Chart - Education Spending"Aug. 4, 2012]</ref>
+
! Percent Education Spending
+
 
|-
 
|-
|2009|| $76.4 billion ||$26.0 billion || 34.0%
+
|2010 || $4,865 || $7,016 || $685 || $0 || $2,650 || $15,216 || $1,566.52
 
|-
 
|-
|2010||$80.3 billion||$26.2 billion||32.6%
+
|2009 || $5,307 || $7,815 || $695 || $0 || $2,951 || $16,767 || $1,705.83
 
|-
 
|-
|2011|| $79.2 billion||$25.6 billion||32.3%
+
|style="background-color:black; color:white"|'''Change in %'''
 +
| style="background-color:black; color:white" align="center"|'''-1.5%''' || align="center" style="background-color:black; color:white"|'''7.9%'''|| align="center" style="background-color:black; color:white"| '''1.6%''' || align="center" style="background-color:black; color:white"|'''N/A''' ||align="center" style="background-color:black; color:white"| '''17.2%''' || align="center" style="background-color:black; color:white"|'''6.7%''' || align="center" style="background-color:black; color:white"|'''5.2%'''
 
|-
 
|-
|2012|| $78.3 billion||$25.3 billion||32.3%
+
|align="left" colspan="8" | <small>Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates.<ref name=2013census/><ref name=2009census>[https://www.census.gov/popest/data/historical/2000s/vintage_2009/index.html ''United States Census Bureau'', "Vintage 2009: Annual Population Estimates," accessed February 26, 2014]</ref><br>'''Source:''' [http://www.nasbo.org/ National Association of State Budget Officers]</small>
 
|}
 
|}
  
'''Tobacco Settlement'''
+
==State budgets by year==
 +
===Fiscal year 2014===
 +
{{Budget bill box
 +
|State = Georgia
 +
|Year = 2014
 +
|Link =http://www.legis.ga.gov/legislation/en-US/Display/20132014/HB/106 HB 106
 +
|Introduced =January 17, 2013
 +
|Days =
 +
|State House =March 12, 2013
 +
|Vote lower house =159-15
 +
|State Senate =March 22, 2013
 +
|Vote upper house =51-0
 +
|Conference =March 28, 2013
 +
|Conference upper house vote =54-0
 +
|Conference lower house vote =175-1
 +
|Governor = [[Nathan Deal]]
 +
|Signed =May 7, 2013
 +
|Vetoed =
 +
}}
  
The state received $138.4 million in FY2012 from a settlement fund with tobacco companies.  The money was divided up among a variety of state agencies, including:<ref name=defrauded/>
+
The fiscal year 2014 budget was signed into law by Governor [[Nathan Deal]] on May 7, 2013.<ref>[http://www.legis.ga.gov/legislation/en-US/Display/20132014/HB/106 ''Georgia General Assembly'', "2013-2014 Regular Session - HB 106," accessed April 16, 2014]</ref> The budget cut $1 billion from the Quality Basic Education (QBE) program, which is the source of most state money for local districts. The budget did protect other educational funds, such as school nutrition and technology centers as well as professional development and classroom technology swap programs.<ref>[http://www.empoweredgaaction.org/Articles/Legislative/2013-leg-summ.html ''Empowered Georgia Action'', "Georgia Education Legislation Summation for the 2013 Session," accessed April 16, 2014]</ref>
*$7.6 million to the Department of Economic Development
+
*$6.1 million to the Department of Human Services, which handles programs such as child welfare and daycare licensing
+
*$12 million to the Department of Public Health, which pays for epidemiology and other programs,
+
*more than $100 million to Medicaid.  
+
  
Other years, the tobacco settlement money has helped pay for 911 services, broadband communications and technical colleges.<ref name=defrauded/>
+
===Fiscal year 2013===
 +
::''See also: [[Georgia state budget (2012-2013)]]
  
===Governor's Proposed Budget===
+
===Fiscal year 2012===
 +
::''See also: [[Georgia state budget (2011-2012)]]
  
The governor had originally proposed a FY2012 budget totaling $18.16 billion, an increase of $273 million over FY2011.<ref name=warns>[http://www.ajc.com/news/georgia-politics-elections/deal-warns-of-cuts-802278.html The Atlanta Journal Constitution "Deal warns of cuts, promises progress in first State of the State" Jan. 12, 2011]</ref>
+
===Fiscal year 2011===
 +
::''See also: [[Georgia state budget (2010-2011)]]
  
In order to focus more on K-12 education, state university programs would see their funding cut about $300 million, down to a total of $1.74 billion for FY2012, over the next 18 months under Deal’s amended 2011 and 2012 budgets.<ref name=warns/> In addition Deal's plan would not seek to fill more than 8,000 positions that are currently vacant. His proposal includes $276 million less for HOPE scholarships, which pay for Georgia high school students with grade point averages of at least 3.0 to attend college. Rather, Deal wants to divide the lottery money earmarked for scholarships equally among qualified students.<ref> [http://www.onlineathens.com/stories/011711/new_771161940.shtml/ OnlineAthens.com, Lawmakers to Dig into Deal's Proposed Cuts, Jan. 17, 2011] </ref>
+
===Fiscal year 2010===
 +
::''See also: [[Georgia state budget (2009-2010)]]
  
Deal's spending plan eliminates dental and vision benefits for low-income Medicaid recipients and cuts the state's Medicaid reimbursement rate for physicians, dentists and pharmacies by 1 percent. His budget would also boost co-payments for children age 6 and up enrolled in the state's PeachCare program for low-income children Those copays would rise from 60 cents to $3.40 for outpatient services and $12.50 to a maximum of $55.45 for inpatient.<ref> [http://www.gwinnettdailypost.com/state/headlines/Preaching_austerity_Gov_Deal_unveils_lean_budget_113470469.html/ Gwinnet Daily Post, Preaching Austerity, Gov. Deal Unveils Lean Budget, Jan. 13, 2011] </ref>
+
==Historical spending==
 +
State budget historical spending below was compiled by the National Association for State Budget Officers. Figures reflect the reported "Total Expenditures" in Table 1. Figures for all columns are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000).<ref name=expenditures2013/><ref name=expenditures2012/>
 +
{{State budget historical spending
 +
|State=Georgia
 +
|totalbudgets= 3
 +
|2011-2012genfund=17240
 +
|2011-2012otherfund=10786
 +
|2011-2012fedfund=12469
 +
|2011-2012bonds=632
 +
|2011-2012budgettotal=41127
 +
|2010-2011genfund=16476
 +
|2010-2011otherfund=10218
 +
|2010-2011fedfund=13273
 +
|2010-2011bonds=858
 +
|2010-2011budgettotal=40825
 +
|2009-2010genfund=14561
 +
|2009-2010otherfund=10381
 +
|2009-2010fedfund=14641
 +
|2009-2010bonds=1165
 +
|2009-2010budgettotal=40748
 +
}}
  
Borrowing for capital projects would drop by about 50 percent to $563 million under Deal's proposal. His budget also cut allocations to the Georgia Research Alliance by $12.5 million.<ref> [http://www.gpb.org/news/2011/01/28/research-alliance-funding-cut-by-75-in-proposed-budget/ GPB News, Research Alliance Funding Cut..., Jan. 28, 2011] </ref>
+
==State debt==
 
+
According to a January 2014 report by the nonprofit organization State Budget Solutions, Georgia had a state debt of over $11 billion. Its state debt per capita was $11,612. The report revealed that state governments faced a combined $5.1 trillion in debt, 33 percent of annual gross state product. The obligation amounts to $16,178 per capita in the nation. A bulk of the state debt -- 79 percent -- was linked to unfunded [[public pensions]].<ref>[http://www.statebudgetsolutions.org/publications/detail/state-budget-solutions-fourth-annual-state-debt-report ''State Budget Solutions'', "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014]</ref><ref>[http://washingtonexaminer.com/exography-unfunded-public-employee-pensions-are-driving-state-debts-skyward/article/2542548 ''Washington Examiner'', "EXography: Unfunded public employee pensions drive state debts skyward," January 21, 2014]</ref>
Highlights of the budget include<ref name=warns/>:
+
{{State debt box
*$46 million for reservoirs
+
|State = Georgia
*$32 million for deepening Savannah harbor
+
|totaldebt=$115,193,862,000
*$25 million for school buses
+
|totaldebtrank=11
*More than $200 million for k-12 school construction
+
|percapdebt=$11,612
*Higher co-payments for many Georgians on the PeachCare health care program
+
|percapdebtrank=39
*$300 million in cuts to the University System funding over 18 months
+
|expenditures =$18,198,000,000
 +
|expendituresrank =5
 +
}}
  
Deal said that Georgia is in arrears to the federal government for $454 million in loans to its Unemployment Trust Fund and is due to repay those funds in November 2011.<ref name=big>[http://www.ajc.com/news/georgia-politics-elections/deal-state-government-workforce-778417.html?cxtype=rss_news The Atlanta Journal Constitution "Deal: State government workforce too big" Dec. 16, 2010]</ref>
+
===Public pensions===
 +
::''See also: [[Georgia public pensions]] and [[Georgia public employee salaries]]''
  
===Legislative Budget===
+
A 2012 report from the Pew Center on the States noted that Georgia's pension system was funded at 85 percent at the close of fiscal year 2010, above the 80 precent funding level experts recommend. Consequently, Pew designated the state's pension system as a "solid performer."<ref name=gapew>[http://www.pewstates.org/research/state-fact-sheets/widening-gap-update-georgia-85899399296 ''Pew Center on the States'' "Widening Gap Update: Georgia," June 18, 2012]</ref>
[[Georgia House of Representatives|House]] and [[Georgia State Senate|Senate]] negotiators approved an $18.3 billion state budget deal on April 12, 2011,<Ref name=deal>[http://www.ajc.com/news/georgia-politics-elections/lawmakers-come-to-state-906447.html The Atlanta Journal Constitution "Lawmakers come to state budget deal" April 12, 2011]</ref> and was approved by the [[Georgia General Assembly|General Assembly]] later that same day.<ref name=pass>[http://www.ajc.com/news/georgia-politics-elections/lawmakers-pass-18-billion-906447.html The Atlanta Journal Constitution "Lawmakers pass $18 billion state budget" April 12, 2011]</ref> The deal is similar to the governor's proposed budget.  Lawmakers agreed to raise premiums at least 10%  and borrow from Medicaid to make up for a shortfall in the state health care plan for teachers, state employees and retirees.  While higher education cuts will likely mean substantial tuition increases, funding for K-12 schools will remains the same as the prior year.  Georgia would borrow about $675 million for construction projects next year.<ref name=deal/>  The budget includes approximately $18 million to pay the interest on federal government to loans to the state for unemployment claims during the recession.  It also provides almost $4 million to pay for a special session lawmakers will hold later this year to draw congressional and legislative political boundaries based on the 2010 census.<ref name=pass/> 
+
  
Georgia has slashed some $3 billion in state funds from the budget over the last three years.<ref> [http://www.businessweek.com/ap/financialnews/D9LSHAP80.htm/ Business Week, State House Panel OKs $18.25 Bn. Budget, March 10, 2011] </ref>
+
The funding ratio for the state's pension system decreased from 94.53 percent in fiscal year 2007 to 82.43 percent in fiscal year 2011, a 12.1 percent drop. Likewise, unfunded liabilities increased from just under $4 billion in fiscal year 2007 to more than $14.8 billion in fiscal year 2011.
  
The budget that legislators passed last week has a $200 million to $300 million hole that needs to be filled to fund two health care plans.<ref name=smaller>[http://www.ajc.com/news/georgia-politics-elections/smaller-state-government-in-912761.html The Atlanta Journal Constitution "Smaller state government in sight" April 16, 2011]</reF>
+
===Credit ratings===
 +
States sometimes sell general obligation bonds to investors in order to finance large-scale undertakings (e.g., road construction and other public works projects). Credit rating agencies, such as Standard and Poor's, assign grades to states, evaluating their ability to pay the principal and interest on such bonds. Standard and Poor's grades range from AAA, the highest available, to BBB, the lowest. Generally speaking, a higher credit ranking indicates lower risk for an investor, which in turn lowers costs for taxpayers.<ref name=credit>[http://www.pewstates.org/projects/stateline/headlines/infographic-sp-state-credit-ratings-20012012-85899404785 ''Stateline: The Daily News Service of The Pew Charitable Trusts'', "Infographic: S&P State Credit Ratings, 2001-2012," July 13, 2012]</ref>
  
Lawmakers plan to review spending on K-12 education, higher education and correction, which together account for approximately 60% of the budget, over the summer.<ref name=smaller/>
+
The table below lists the Standard and Poor's credit ranking for Georgia from 2001 to 2012 (grades from surrounding states are provided for additional context).<ref name=credit/>
  
====Negotiations====
+
{| class="wikitable" style="text-align:center; width:55%;"
 
+
! colspan="6" align="center" style="background-color:#008000; color: white;" | S&P credit ratings from 2001 to 2012
Prior to passage of the agreed upon bill, there were competing legislative proposals. The legislature did not pass a 25% reduction in the state income tax rate.<ref name=smaller/>
+
|-
 
+
! valign="bottom" style="background-color:#444; color: white;" |
The House had proposed a 20 percent jump in insurance premiums for state employees. The 20 percent increase will mean employees must pay an additional $15 to $80 a month, depending on the plan the employee is enrolled in.<ref> [http://www.businessweek.com/ap/financialnews/D9LSHAP80.htm/ Business Week, State House Panel OKs $18.25 Bn. Budget, March 10, 2011] </ref>  The House also restored more than $7 million for vision, dental and podiatry care for low-income Medicaid recipients that were eliminated in Deal's budget proposal.<ref> [http://www.businessweek.com/ap/financialnews/D9LSHAP80.htm/ Business Week, State House Panel OKs $18.25 Bn. Budget, March 10, 2011] </ref>
+
! valign="bottom" style="background-color:#444; color: white;" | '''Georgia'''
 
+
! valign="bottom" style="background-color:#444; color: white;" | Alabama
Highlights of the House budget plan include<ref> [http://www.macon.com/2011/03/12/1484518/house-passes-budget.html/ Macon News, Ga. House Passes $18.25 Bn. Budget, March 11, 2011] </ref>
+
! valign="bottom" style="background-color:#444; color: white;" | Florida
*Restores vision, dental and podiatry coverage for Medicaid recipients that Deal had proposed eliminating.
+
! valign="bottom" style="background-color:#444; color: white;" | South Carolina
*Scales back a planned cut in reimbursement rates to physicians who treat Medicaid patients.
+
! valign="bottom" style="background-color:#444; color: white;" | Tennessee
*Reduces a proposed cut to school nurses from 10 percent to 4 percent.
+
|-
*Restores money for 138,000 meals for senior citizens through the Meals on Wheels program.
+
| 2012 || AAA || AA || AAA || AA+ || AA+
*Boosts health-insurance premiums for state employees, teachers, state retirees and their dependents by 20 percent to help fill a $250 million shortfall.
+
|-
 
+
| 2011 || AAA || AA || AAA || AA+ || AA+
After shifting to the state Senate, on March 28 the Senate Appropriations Committee unanimously approved their own version of an $18.3 billion spending plan. The committee added $22.6 million to the Department of Revenue’s fiscal 2012 budget and much smaller amounts to the Secretary of State’s office and Department of Driver Services.<ref> [http://www.bizjournals.com/atlanta/news/2011/03/28/senate-budget-targets-customers.html/ Business Journal, Senate Budget Targets Customers, Cheaters, March 28, 2011] </ref> The Senate budget plan would spend about $23.4 million on auditors, field and fraud officers, collection officials and others at the Department of Revenue to increase tax collections and improve customer service. The Senate plan borrows from Medicaid to fill a gap in the state employee and retirees health care plan.<ref> [http://www.ajc.com/news/georgia-politics-elections/senate-wants-to-spend-888210.html/ Atlanta Journal Constitution, Senate Wants to Spend More to Go After Tax Cheats, March 28, 2011] </ref>
+
|-
 
+
| 2010 || AAA || AA || AAA || AA+ || AA+
==Budget transparency==
+
|-
:''See also: [[Evaluation of Georgia state website]] and [[Constitutional provisions regarding reading of bills]]''
+
| 2009 || AAA || AA || AAA || AA+ || AA+
 
+
|-
'''Georgia's''' constitution and laws do not provide for a given period of time to review bills so that lawmakers and citizens can review them prior to lawmakers voting upon them.
+
| 2008 || AAA || AA || AAA || AA+ || AA+
 
+
|-
The state's official spending transparency database, mandated by the Transparency in Government Act of May 2008, was launched by January 2009.  It is available [http://www.open.georgia.gov/ here.] 
+
| 2007 || AAA || AA || AAA || AA+ || AA+
 
+
|-
H.B. 22 (2010) requires governments with annual budgets of more than $1 million to send an electronic copy of their spending plan to the University of Georgia, which posts them online.<ref>[http://www.legis.ga.gov/Legislation/20092010/2010SumDoc.pdf Georgia Legislative Summary (2010), Accessed July 24, 2012]</ref> The Atlanta Journal-Constitution reported that only 33% of cities, 57% of counties and 83% of school districts had submitted their budgets by the end of July 2012. Typically local budgets are approved June 30th.<ref>[http://www.cbsatlanta.com/story/19086512/ga-governments-fail-to-post-electronic-budgets ''CBS Atlanta'', Ga. governments fail to post electronic budgets, July 23, 2012]</ref>
+
| 2006 || AAA || AA || AAA || AA+ || AA+
 
+
|-
===Legislation===
+
| 2005 || AAA || AA || AAA || AA+ || AA
*Georgia Senate Bill 300 (2008), Transparency in Government Act
+
|-
 
+
| 2004 || AAA || AA || AA+ || AAA || AA
===Government tools===
+
|-
The following table is helpful in evaluating the level of transparency provided by a state spending and transparency database:
+
| 2003 || AAA || AA || AA+ || AAA || AA
 
+
|-
{|style="width:100%" class=wikitable
+
| 2002 || AAA || AA || AA+ || AAA || AA
|+ '''Criteria for evaluating spending databases'''
+
|-
!State Database!![[Criteria for evaluating databases|Searchability]]!![[Criteria for evaluating databases|Grants]]!![[Criteria for evaluating databases|Contracts]]!![[Criteria for evaluating databases|Line Item Expenditures]]!![[Criteria for evaluating databases|Dept/Agency Budgets]]!![[Criteria for evaluating databases|Public Employee Salary]]
+
| 2001 || AAA || AA || AA+ || AAA || AA
 
|-
 
|-
|align=center|[http://www.open.georgia.gov/ Open Georgia]||{{partial}}||{{no (Sunshine Review)}}||{{no (Sunshine Review)}}||{{no (Sunshine Review)}}||{{yes}}||{{yes}}
 
 
|}
 
|}
  
*The website has categorical navigation functions, such as for "Salaries and Travel Reimbursements," and "Other Expenditure Information," but is not searchable outside these prescribed categories.  
+
==Federal aid to state budget==
*Expenditures information only contains payments to vendors, and is not up to date.<ref>[http://www.open.georgia.gov/psa/poeMain.aud Expenditures]</ref>
+
::''See also: [[Federal aid to budgets in the 50 states]]''
*Grant information is not available.
+
The chart below notes how much of the state’s general revenues come from the federal government. Figures were calculated by dividing each state’s federal intergovernmental revenue into its general revenue. The number in the rightmost column indicates the state's ranking in relation to the rest of the nation (e.g., if "1," the state receives the highest percentage of federal funding in the nation). Figures from neighboring states are included to provide additional context.<ref name=federalaid>[http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=COG_2012_FIN009&prodType=table ''United States Census Bureau'', "State Government Finances: 2012," accessed February 24, 2014]</ref>
*Contract information is not available.
+
*Budgetary compliance reports, containing agency and department budgets, are published.<ref>[http://www.open.georgia.gov/financial.html Open Georgia, Financial]</ref>
+
*The site has a search for public employee salaries.<ref>[http://www.open.georgia.gov/sta/viewMain.aud]</ref>
+
  
===[[Independent transparency sites]]===
+
State governments receive aid from the federal government to fund a variety of joint programs, such as Medicaid. Federal aid varies considerably from state to state. For example, [[Mississippi state budget#Federal aid to state budget|Mississippi]] received approximately $7.7 billion in federal aid in 2012, which accounted for more than 45 percent of the state's general revenues. By contrast, [[Alaska state budget#Federal aid to state budget|Alaska]] received roughly $2.9 billion in federal aid in 2012, just under 20 percent of the state's general revenues.<ref name=federalaid/>
The [[Georgia Public Policy Foundation]] has launched a transparency website, the Georgia Report Card that focuses on school spending<ref>[http://reportcard.gppf.org/ Georgia Report Card for Parents]</ref>
+
  
===Multi-Measure Budget Transparency Profile===
+
{| class="wikitable" style="text-align:center; width:50%;"
The Institute of Government and Public Affairs at the University of Illinois has created a multi-measure transparency profile for Georgia, which measures state transparency as of September 2011 using indicators from a range of organizations. These indicators measure both website transparency and other recognized facets of governmental transparency.  In addition, IGPA presents four unique indicators of non-transparency based on the observation that transfers or reassignments between general and special funds can obscure the true fiscal condition of a state.<ref>[http://igpa.uillinois.edu/system/files/Georgia_Profile_IGPA_093011.pdf ''Institute of Government and Public Affairs'' "Georgia Profile," Accessed August 16, 2013]</ref>
+
! colspan="4" align="center" style="background-color:#008000; color: white;" | Federal aid to state budgets in 2012
 
+
|-
In addition to the individual state profile, IGPA offers a 50-state comparison and profiles for other states.<ref>[http://igpa.uillinois.edu/system/files/50_States_Transparency_Profiles.pdf 50-state comparison]</ref><ref>[http://igpa.uillinois.edu/content/state-transparency-profiles profiles for other states]</ref>
+
! valign="bottom" style="background-color:#444; color: white;" | State
===U.S. PIRG Following the Money report===
+
! valign="bottom" style="background-color:#444; color: white;" | Federal aid as % of general revenue
{{Following the Money 2014 Report by State|State=Georgia|Grade=C|Score=74|Level=Middling}}
+
! valign="bottom" style="background-color:#444; color: white;" | Total federal aid
 
+
! valign="bottom" style="background-color:#444; color: white;" | National rank
==Budget background==
+
|-
The 2009 Georgia General Assembly Session's $3.1 billion budget adjustments for FY 2010 were:<ref name=policy/>
+
| '''Georgia''' || '''38.06%''' || '''$13,795''' || '''7'''
*Cutting $800 million from state agencies
+
|-
*Eliminating the Homeowners Tax Relief Grant raising $428 million
+
| [[Alabama state budget|Alabama]] || 36.50% || $8,113 || 11
*Using $1.4 billion from the federal State Fiscal Stabilization Fund and an increased federal Medicaid match (ARRA funds)
+
|-
*Using $500 million in various reserve funds
+
| [[Florida state budget|Florida]] || 32.08% || $22,851 || 30
 
+
|-
During FY 2009, revenues declined 10.5 percent from FY 2008 levels. This resulted in a FY 2009 budget shortfall of approximately $650 million. Lawmakers closed the shortfall by using approximately $365 million of the remaining Revenue Shortfall Reserve funds, approximately $190 million in ARRA funds, and end-of-year budget savings.<ref name=policy/>
+
| [[South Carolina state budget|South Carolina]] || 32.45% || $6,893 || 29
 
+
|-
Top 2 sources of revenue are individual income taxes, $8.2 billion (anemic increase of .2% in FY 2010) and Sales & Use Taxes, $5.2 billion (-4.0% in FY 2010).<ref name=policy/>
+
| [[Tennessee state budget|Tennessee]] || 41.02% || $11,199 || 3
 
+
Total State Funds<ref name=policy/>
+
{| class="wikitable"
+
| align="center" style="background:#f0f0f0;"|FY 2009 Amended Revenue
+
| align="center" style="background:#f0f0f0;"|FY 2010 Estimated Revenue
+
| align="center" style="background:#f0f0f0;"|Percentage Change
+
 
|-
 
|-
| $18,629,356,585||$18,569,866,489||-0.3%
 
 
|}
 
|}
 +
 +
===Stimulus===
 +
Georgia received $6.1 billion in federal stimulus funding between February 2009 and June 2013.<ref>[http://www.recovery.gov/Pages/default.aspx ''Recovery'', "Stimulus Spending by State"]</ref>
  
FY 2010 Total State Funds Budget (Includes Lottery Funds and Tobacco Funds) Funding Area<ref>[http://www.gbpi.org/documents/20090713.pdf ''Georgia Budget & Policy Institute'', “Analysis of the FY 2010 Budget: Closing One Year’s Shortfall and Planning for Another,” June 2009 (Updated 7/13/2009)]</ref>
+
==Budget transparency==
{| class="wikitable"
+
{| class="wikitable" style="float:right; margin:1em 1em 1em 1em; text-align:center; width:15%;"
| Education||58.1%
+
! colspan="2" align="center" style="background-color:#008000; color: white;" | Transparency evaluation
 
|-
 
|-
| Health and Social Services ||10.0%
+
! valign="bottom" style="background-color:#444; color: white;" |
 +
! valign="bottom" style="background-color:#444; color: white;" | Open Georgia
 
|-
 
|-
| Criminal Justice ||9.1%
+
|[[Criteria for evaluating databases|Searchability]] || {{partial}}
 
|-
 
|-
| Medicaid and PeachCare ||8.9%
+
|[[Criteria for evaluating databases|Grants]] || {{No (Sunshine Review)}}
 
|-
 
|-
| Debt Service ||6.1%
+
|[[Criteria for evaluating databases|Contracts]] || {{No (Sunshine Review)}}
 
|-
 
|-
| Transportation ||3.8%
+
|[[Criteria for evaluating databases|Line item expenditures]] || {{No (Sunshine Review)}}
 
|-
 
|-
| All Other Government ||4.0%
+
|[[Criteria for evaluating databases|Dept./agency budgets]] || {{Yes (Sunshine Review)}}
 
|-
 
|-
|  
+
|[[Criteria for evaluating databases|Public employee salaries]] || {{Yes (Sunshine Review)}}
 +
|-
 +
|colspan="2"|<small>Last evaluated in 2012.</small>
 
|}
 
|}
 +
::''See also: [[Evaluation of Georgia state website]] and [[Constitutional provisions regarding reading of bills]]''
 +
 +
'''Georgia's''' constitution and laws do not provide for a given period of time to review bills so that lawmakers and citizens can review them prior to lawmakers voting upon them.
 +
 +
The state's official spending transparency database, mandated by the Transparency in Government Act of May 2008, was launched in January 2009. It is available [http://www.open.georgia.gov/ here.] 
 +
 +
House Bill 22 (2010) requires governments with annual budgets of more than $1 million to send an electronic copy of their spending plan to the University of Georgia, which posts them online.<ref>[http://www.legis.ga.gov/Legislation/20092010/2010SumDoc.pdf Georgia Legislative Summary (2010), Accessed July 24, 2012]</ref> The Atlanta Journal-Constitution reported that only 33 percent of cities, 57 percent of counties and 83 percent of school districts had submitted their budgets by the end of July 2012. Typically local budgets are approved June 30th.<ref>[http://www.cbsatlanta.com/story/19086512/ga-governments-fail-to-post-electronic-budgets ''CBS Atlanta'', Ga. governments fail to post electronic budgets, July 23, 2012]</ref>
 +
 +
===Government tools===
 +
The table to the right is helpful in evaluating the level of transparency provided by [http://www.open.georgia.gov/ Open Georgia].
  
Georgia's fiscal year runs from July 1 to June 30. The Governor submits the budget to the Legislature in January for their annual session.<ref>[http://www.nasbo.org/LinkClick.aspx?fileticket=AaAKTnjgucg=&tabid=80 ''National Association of Budget Officers'', "Budget Processes in the States," 2008]</ref>
+
===Multi-measure budget transparency profile===
 +
The Institute of Government and Public Affairs at the University of Illinois created a multi-measure transparency profile for Georgia, which measured state transparency as of September 2011 using indicators from a range of organizations. These indicators measured both website transparency and other recognized facets of governmental transparency.  In addition, IGPA presented four unique indicators of non-transparency based on the observation that transfers or reassignments between general and special funds can obscure the true fiscal condition of a state.<ref>[http://igpa.uillinois.edu/ ''Institute of Government and Public Affairs at University of Illinois'', "Home page," accessed February 21, 2014]</ref><ref name=allstates>[http://igpa.uillinois.edu/system/files/50_States_Transparency_Profiles.pdf ''Institute of Government and Public Affairs at University of Illinois'', "Budget Transparency Profiles - All 50 States," September 2011]</ref>
  
===Budget Processes===
+
IGPA devised a budget transparency index based on information available from the National Association of State Budget Officers. Georgia tied for eighth in the nation with 11 other states, earning six out of eight possible points.<ref name=allstates/>
The House in January 2011 approved a budget reform bill based on zero-based budgeting, which requires state agencies to justify all of the expenditures each year as opposed to the current system under which department heads need only required to explain their requests for budget increases.  The legislature approved zero-based budgeting before, but the measure died repeatedly on then-Gov. Sonny Perdue's desk.<Ref>[http://www.businessweek.com/ap/financialnews/D9L1BU480.htm Businessweek "Ga. Senate, House tackle zero-based budgeting" Jan. 28, 2011]</ref>
+
  
===Budget figures===
+
{| class="wikitable" style="text-align:center; width:55%;"
The following table provides a history of Georgia's expenditures and gross domestic product (GDP).
+
! colspan="2" align="center" style="background-color:#008000; color: white;" | Georgia - IGPA score for budget process, contents and disclosure
{| class="wikitable"
+
 
|-
 
|-
! Fiscal Year
+
! valign="bottom" style="background-color:#444; color: white;" | Budget transparency indicator
! Expenditures (billions)
+
! valign="bottom" style="background-color:#444; color: white;" | Yes or no?
! GDP (billions)
+
 
|-
 
|-
|2000
+
| Performance measures || {{Yes}}
|$43.5<ref name="Budget">[http://www.usgovernmentspending.com/Georgia_state_spending.html#usgs302 ''US Government Spending'',"Georgia State and Local spending," accessed June 3,2009 by Ryan Ellis]</ref>
+
|$290.9<ref name="Budget"/>
+
 
|-
 
|-
|2001
+
| "Generally Accepted Accounting Principles" budget || {{Yes}}
|$48.6<ref name="Budget"/>
+
|$299.4<ref name="Budget"/>
+
 
|-
 
|-
|2002
+
| Multi-year forecasting || {{Yes}}
|$53.6<ref name="Budget"/>
+
|$306.7<ref name="Budget"/>
+
 
|-
 
|-
|2003
+
| Annual cycle || {{Yes}}
|$56.0<ref name="Budget"/>
+
|$317.9<ref name="Budget"/>
+
 
|-
 
|-
|2004
+
| Binding revenue forecast || {{Yes}}
|$58.4<ref name="Budget"/>
+
|$338.5<ref name="Budget"/>
+
 
|-
 
|-
|2005
+
| Legislative revenue forecast || {{No (Sunshine Review)}}
|$58.9<ref name="Budget"/>
+
|$359.7<ref name="Budget"/>
+
 
|-
 
|-
|2006
+
| Non-partisan staff || {{No (Sunshine Review)}}
|$63.0<ref name="Budget"/>
+
|$376.4<ref name="Budget"/>
+
 
|-
 
|-
|2007
+
| Constitution or statutory tax/spend limitations || {{Yes}}
|$72.6<ref name="Budget"/>
+
|$396.5<ref name="Budget"/>
+
 
|-
 
|-
|2008
+
| '''TOTAL''' || '''6'''
|$81.2<ref name="Budget"/>
+
|$409.6<ref name="Budget"/>
+
|-
+
|2009
+
|$90.7*<ref name="Budget"/>
+
|$408.9*<ref name="Budget"/>
+
 
|-
 
|-
 
|}
 
|}
 
+
In addition to the individual state profile, IGPA offers a 50-state comparison and profiles for other states.<ref name=allstates/>
*NOTE: The figures for FY 2009 won't be finalized until the end of the fiscal year.
+
 
+
See [[Georgia state budget (2008-2009)]] for more details.
+
  
 
==Accounting principles==
 
==Accounting principles==
:''See also: [[Georgia government accounting principles]]
+
::''See also: [[Georgia government accounting principles]]''
The Georgia State Accounting Office was established on October 6, 2004 with an executive order signed by Governor Sonny Perdue.<ref>[http://sao.georgia.gov/00/channel_title/0,2094,39779022_40804387,00.html The Georgia State Accounting Office]</ref> Governor Perdue signed House Bill 293, which codified the realignment of the state's financial reporting and financial system responsibilities under a single State Accounting Officer (SAO). Gregg Griffin was appointed Georgia's State Accounting Officer in August 2008.<ref>[http://sao.georgia.gov/00/channel_createdate/0,2095,39779022_40804391,00.html Greg Griffin]</ref><ref>[http://sao.georgia.gov/00/channel_title/0,2094,39779022_40804387,00.html ''Georgia State Accounting Office Web site'', retrieved October 15, 2009]</ref> The SAO's duties include:
+
The Georgia State Accounting Office was established on October 6, 2004 with an executive order signed by Governor Sonny Perdue.<ref>[http://sao.georgia.gov/00/channel_title/0,2094,39779022_40804387,00.html The Georgia State Accounting Office]</ref> Governor Perdue signed House Bill 293, which codified the realignment of the state's financial reporting and financial system responsibilities under a single State Accounting Officer (SAO). Gregg Griffin was appointed Georgia's State Accounting Officer in August 2008.<ref>[http://sao.georgia.gov/00/channel_title/0,2094,39779022_40804387,00.html ''Georgia State Accounting Office Web site'', retrieved October 15, 2009]</ref> The SAO's duties include:
 
+
*Establishing statewide accounting and reporting standards and practices.
*Establish statewide accounting and reporting standards and practices.
+
*Operating and improving statewide financial and human capital management systems.
*Operate and improve statewide financial and human capital management systems.
+
*Preparing the state's [[Comprehensive Annual Financial Report]] (CAFR), the annual audited financial statement for the entire state entity.
*Prepare the state's [[Comprehensive Annual Financial Report]] (CAFR); the annual audited financial statement for the entire state entity.
+
*Providing statewide financial information on interim basis.
*Provide statewide financial information on interim basis.
+
*Training state accounting and payroll personnel in new polices, procedures and standards.
*Train state accounting and payroll personnel in new polices, procedures and standards.
+
*Improving accountability, efficiencies and internal controls.
*Improve accountability, efficiencies and internal controls.
+
 
+
The Georgia Department of Audits is responsible for the state financial accountability.<ref>[https://www.audits.state.ga.us/ The Georgia Department of Audits]</ref> The State Auditor is Russell Hinton.<ref name=aud>[https://www.audits.state.ga.us/ ''The Georgia Department of Audits Web site'', retrieved October 15, 2009]</ref>
+
  
The Institute for Truth in Accounting (IFTA) rates Georgia “Tardy” in filing the state’s [[Comprehensive Annual Financial Report]] (CAFR) – The annual report of state and local governmental entities.<ref>[http://www.truthinaccounting.org/ The Institute for Truth in Accounting]</ref> IFTA rated 22 states timely, 22 states tardy, and 6 states as worst. IFTA does not consider Georgia’s CAFRs, and those of the other states, to be accurate representations of the state’s financial condition because the Generally Accepted Accounting Principles (GAAP) basis does not include significant liabilities for the pension plans and for other post employment benefits, such as health care.<ref>[http://truthinaccounting.org/news/listing_article.asp?section=451&section2=451&CatID=3&ArticleSource=567 ''Institute for Truth in Accounting'', “The Truth About Balanced Budgets—A Fifty State Study,” Page 35]</ref> Georgia's [https://www.audits.state.ga.us/sgd/cafr_main.html CAFRs] are published online by the Georgia Department of Audits.<ref name=aud/>
+
The Georgia Department of Audits is responsible for the state financial accountability.<ref>[https://www.audits.state.ga.us/ The Georgia Department of Audits]</ref> The [[Georgia State Auditor|State Auditor]] is [[Greg Griffin]].
  
==Stimulus==
+
The Institute for Truth in Accounting (IFTA) rated Georgia “Tardy” in filing the state’s [[Comprehensive Annual Financial Report]] (CAFR) – The annual report of state and local governmental entities.<ref>[http://www.truthinaccounting.org/ The Institute for Truth in Accounting]</ref> IFTA rated 22 states timely, 22 states tardy, and 6 states as worst. IFTA did not consider Georgia’s CAFRs, and those of the other states, to be accurate representations of the state’s financial condition because the Generally Accepted Accounting Principles (GAAP) basis did not include significant liabilities for the pension plans and for other post employment benefits, such as health care.<ref>[http://truthinaccounting.org/news/listing_article.asp?section=451&section2=451&CatID=3&ArticleSource=567 ''Institute for Truth in Accounting'', “The Truth About Balanced Budgets—A Fifty State Study,” Page 35]</ref> Georgia's [https://www.audits.state.ga.us/sgd/cafr_main.html CAFRs] are published online by the Georgia Department of Audits.<ref name=aud>[https://www.audits.state.ga.us/ ''The Georgia Department of Audits Web site'', retrieved October 15, 2009]</ref>
Georgia has received $6.1 billion in federal stimulus funding between February 2009 to June 2013.<ref>[http://www.recovery.gov/Pages/default.aspx ''Recovery'', "Stimulus Spending by State"]</ref>
+
  
==Public Employees==
+
==Contact information==
:''See also: [[Georgia public employee salaries]] and [[Georgia public pensions]]
+
Governor's Office of Planning and Budget<br>
According to 2011 Census data, the state of Georgia and local governments in the state employed a total of 576,609 people.<ref name=census>[http://www2.census.gov/govs/apes/11stlga.txt 2011 Georgia Public Employment U.S. Census Data]</ref> Of those employees, 471,512 were full-time employees receiving a net pay of $1,681,467,081 per month and 105,097 were part-time employees paid $110,100,640 per month.<ref name=census/> More than 60% of those employees, or 349,037 employees, were in education or higher education.<ref name=census/>
+
270 Washington Street, S.W., 8th Floor<br>
 +
Atlanta, GA  30334<br>
 +
Phone: (404) 656-3820<br>
 +
Fax: (404) 656-3828
  
 
==See also==
 
==See also==
*[[Georgia government sector lobbying]]
+
* [[Georgia government sector lobbying]]
*[[Georgia public pensions]]
+
* [[Georgia public pensions]]
 +
* [[Governor of Georgia]]
 +
* [[Georgia State Senate]]
 +
* [[Georgia House of Representatives]]
  
 
==External links==
 
==External links==
{{colbegin|2}}
 
 
*[http://www.statebudgetsolutions.org/state/detail/Georgia State Budget Solutions, Georgia]
 
*[http://www.statebudgetsolutions.org/state/detail/Georgia State Budget Solutions, Georgia]
*[http://www.open.georgia.gov/ www.open.georgia.gov]
+
*[http://www.open.georgia.gov/ Open Georgia]
 
*[http://www.gppf.org/default.asp Georgia Public Policy Foundation]
 
*[http://www.gppf.org/default.asp Georgia Public Policy Foundation]
*[http://www.sos.georgia.gov/tig/ Transparency in Government Initiative], official website
+
*[http://www.sos.georgia.gov/tig/ Transparency in Government Initiative]
 
*[http://www.sos.georgia.gov/default.htm Secretary of State, Georgia government]
 
*[http://www.sos.georgia.gov/default.htm Secretary of State, Georgia government]
*[http://www.sos.ga.gov/pressrel/20080826.htm News Release, Georgia Secretary of State's Office]
 
 
*[http://www.opb.state.ga.us/ Governor's Office of Planning and Budget]
 
*[http://www.opb.state.ga.us/ Governor's Office of Planning and Budget]
 
*[http://www.georgia.gov/00/channel_title/0,2094,4802_1361924,00.html Georgia State Legislature]
 
*[http://www.georgia.gov/00/channel_title/0,2094,4802_1361924,00.html Georgia State Legislature]
 
*[http://www.showmethespending.org/uploads/Taxpayer_Transparency_Act.pdf Taxpayer Transparency Act]
 
*[http://www.showmethespending.org/uploads/Taxpayer_Transparency_Act.pdf Taxpayer Transparency Act]
 
*[http://www.audits.ga.gov/NALGAD/36812-6.html Georgia Department of Audits and Accounts]
 
*[http://www.audits.ga.gov/NALGAD/36812-6.html Georgia Department of Audits and Accounts]
{{colend (Sunshine Review)}}
 
  
==Additional reading==
+
===Additional reading===
*[http://gov.georgia.gov/00/press/detail/0,2668,78006749_78013037_135993463,00.html ''Gov. Perdue'',"Governor Perdue Signs Amended FY09 Budget," March 13,2009]
+
*[http://www.nytimes.com/2014/02/03/us/battles-loom-in-many-states-over-what-to-do-with-budget-surpluses.html?hp&_r=0 ''The New York Times'', "Battles loom in many states over what to do with budget surpluses," February 3, 2014]
*[http://www.opb.state.ga.us/media/9848/2009-01-26_web_fy2010_state%20of%20georgia%20budget.pdf ''Gov. Perdue'',"FY 2010 budget," accessed June 3,2009]
+
*[http://uspirg.org/reports/usp/following-money-2014 ''U.S. PIRG'', "Report: Transparent & Accountable Budgets," April 8, 2014]
  
 
==References==
 
==References==
Line 362: Line 435:
 
{{Georgia}}
 
{{Georgia}}
  
[[Category:Georgia]]
+
[[category:Georgia]]
 
[[Category:Budget information by state]]
 
[[Category:Budget information by state]]

Revision as of 09:07, 17 April 2014

Georgia budget and finances
Policypedia Budget Policy-logo-no background.png
General information
Budget calendar:
Annual
Fiscal year:
2014
State credit rating:
AAA
Current governor:
Nathan Deal
Financial figures
GF expenses[1]:
$18.3 billion
All funds expenses:
$41.1 billion
Spending % change:
Green Arrow Up Darker.svg20.4%[2]
% from federal funding:
38.06%
State debt:
$115,193,862,000
Per capita state debt:
$11,612
Other state budgets
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Horizontal-Policypedia logo-color.png
Total state expendituresState debtTax policy in Georgia
Note: This page utilizes information from a variety of sources. As such, the currency of the information varies somewhat. The information presented on this page reflects the most recent data available as of February 2015.
This page contains information about budget processes and policy issues in Georgia, including:
  • A summary of the budget drafting process
  • Trends in expenditures and revenues
  • Current and past fiscal year budget developments
  • Financial transparency measures

Between fiscal year 2009 and fiscal year 2013, Georgia's total expenditures increased by approximately $400 million, from $40.7 billion in 2009 to $41.1 billion in 2013. This represents an 0.8 percent increase, below the cumulative rate of inflation during the same period (9.06 percent, calculated using the Consumer Price Indices for January 2009 and January 2013).[3][4]

Budget process

The state operates on an annual budget cycle.[5] The sequence of key events in the budget process is as follows:[6]

  1. In July of the year preceding the start of the new fiscal year, the governor sends budget instructions to state agencies.
  2. In September agencies submit their budget requests to the governor.
  3. Budget hearings are held with state agencies in November and December.
  4. Public hearings are held in late January.
  5. In January the governor submits his or her proposed budget to the state legislature.
  6. The legislature adopts a budget in March or April, effective for the fiscal year beginning in July. A simple majority is required to pass a budget.

The governor is constitutionally required to submit a balanced budget to the legislature. In turn, the legislature must pass a balanced budget, and any budget signed into law by the governor must be balanced.[6]

Georgia is one of 44 states in which the governor has line item veto authority.[6]

Expenditures

Definitions

Although each state executes its budget process differently, the National Association of State Budget Officers (NASBO) breaks down state expenditures into four general categories. This allows for comparisons among the 50 states. NASBO's categories are as follows:[7]

  • General fund: "The predominant fund for financing a state’s operations. Revenues are received from broad-based state taxes. However, there are differences in how specific functions are financed from state to state."[7]
  • Other funds: "Expenditures from revenue sources that are restricted by law for particular governmental functions or activities. For example, a gasoline tax dedicated to a highway trust fund would appear in the 'Other funds' column. For Medicaid, other state funds include provider taxes, fees, donations, assessments, and local funds."[7]
  • Federal funds: "Funds received directly from the federal government."[7]
  • Bonds: "Expenditures from the sale of bonds, generally for capital projects."[7]

2013 expenditures

Breakdown of expenditures in FY 2013.
Source: National Association of State Budget Officers

The table below breaks down expenditures for fiscal year 2013 (comparable figures from surrounding states are provided to give additional context).[7] Figures for all columns except "Per capita expenditures" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita expenditures" have not been abbreviated.

Total state expenditures, FY 2013 ($ in millions)[7]
State General fund Federal funds Other funds Bonds Total Per capita expenditures
Georgia $18,303 $11,752 $10,211 $808 $41,074 $4,110.62
Alabama $6,897 $9,541 $7,490 $189 $24,117 $4,989.32
Florida $24,717 $24,737 $18,437 $2,084 $69,975 $3,578.76
South Carolina $6,350 $7,792 $8,158 $0 $22,300 $4,670.31
Tennessee $12,622 $13,055 $5,394 $382 $31,453 $4,841.92
Per capita figures are calculated by taking the state's total expenditures and dividing by the number of state residents according to United States Census estimates.[8][9]
Source: National Association of State Budget Officers

Expenditures by function

Breakdown of expenditures by function in FY 2012.
Source: National Association of State Budget Officers

State expenditures in Georgia can be further broken down by function (elementary and secondary education, public assistance, etc.). Fiscal year 2012 data is included in the table below (information from neighboring states is provided for additional context). Figures are rendered as percents, indicating the share of the total budget spent per category.

Expenditures by function, FY 2012 (as percents)[7]
State Elementary and secondary ed. Higher ed. Public assistance Medicaid Corrections Transportation Other
Georgia 24.0% 18.7% 0.1% 21.5% 3.7% 5.2% 26.8%
Alabama 20.9% 20.1% 0.2% 23.3% 2.5% 6.1% 27%
Florida 18.8% 7.1% 0.3% 30.6% 4.2% 11% 28.1%
South Carolina 15.9% 21.0% 0.4% 21.7% 2.7% 6.6% 31.7%
Tennessee 17.7% 12.8% 0.4% 30.7% 2.7% 6.4% 29.3%
Source: National Association of State Budget Officers

Expenditure trends

Between 2008 and 2012, state expenditures for higher education and Medicaid rose significantly. During the same time, expenditures for elementary and secondary education fell by 3.7 percent. The table below details changes in expenditures from 2008 to 2012.[7][10][11][12][13] Figures are rendered as percents, indicating the share of the total budget spent per category.

Expenditures from 2008 to 2012 (as percents)
Year Elementary and secondary ed. Higher ed. Public assistance Medicaid Corrections Transportation Other
2012 24.0% 18.7% 0.1% 21.5% 3.7% 5.2% 26.8%
2011 25.2% 17.1% 1.2% 20.5% 3.0% 4.7% 28.2%
2010 24.6% 17.1% 1.4% 19.5% 3.0% 6.2% 28.3%
2009 24.2% 14.9% 1.3% 19.5% 3.0% 6.5% 30.7%
2008 27.7% 7.9% 1.5% 19.6% 3.3% 5.9% 34.2%
Change in % -3.7% 10.8% -1.4% 1.9% 0.4% -0.7% -7.4%
Source: National Association of State Budget Officers

Revenues

2013 revenues

Breakdown of general fund revenue sources in FY 2013.
Source: National Association of State Budget Officers

The table below breaks down general fund revenues by source in fiscal year 2013 (comparable figures from surrounding states are also provided to give additional context).[7] Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.

Revenue sources in the general fund, FY 2013 ($ in millions)[7]
State Sales tax Personal income tax Corporate income tax Gaming tax Other taxes and fees Total Per capita revenue**
Georgia $5,226 $8,486 $706 $0 $3,562 $17,980 $1,799.41
Alabama $1,945 $3,104 $376 $2 $1,887 $7,314 $1,513.12
Florida $18,302 $0 $2,233 $242 $4,244 $25,021 $1,279.66
South Carolina $6,643 $126 $1,083 $0 $3,551 $11,403 $1,755.39
Tennessee $2,448 $2,796 $265 $0 $742 $6,251 $1,309.15
Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates for 2013.[8]
Source: National Association of State Budget Officers

Revenue trends

The table below details the change in revenue sources in the general fund from 2009 to 2013.[7][10] Figures for all columns except "Per capita revenue" are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000). Figures in the column labeled "Per capita revenue" have not been abbreviated.

Revenue sources in the general fund, Georgia ($ in millions)[7][10]
Year Sales tax Personal income tax Corporate income tax Gaming tax Other taxes and fees Total Per capita revenue**
2013 $5,226 $8,486 $706 $0 $3,562 $17,980 $1,799.41
2012 $5,304 $8,142 $591 $0 $3,233 $17,270 $1,741.69
2011 $5,081 $7,659 $670 $0 $3,149 $16,559 $1,687.94
2010 $4,865 $7,016 $685 $0 $2,650 $15,216 $1,566.52
2009 $5,307 $7,815 $695 $0 $2,951 $16,767 $1,705.83
Change in % -1.5% 7.9% 1.6% N/A 17.2% 6.7% 5.2%
Per capita figures are calculated by taking the state's total revenues and dividing by the number of state residents according to United States Census estimates.[8][9]
Source: National Association of State Budget Officers

State budgets by year

Fiscal year 2014

Georgia state budget -- 2014
Georgia State Legislature
Text:HB 106
Legislative history
Introduced:January 17, 2013
House:March 12, 2013
Vote (lower house):159-15
Senate:March 22, 2013
Vote (upper house):51-0
Conference:March 28, 2013
Conference vote (upper house):54-0
Conference vote (lower house):175-1
Governor:Nathan Deal
Signed:May 7, 2013

The fiscal year 2014 budget was signed into law by Governor Nathan Deal on May 7, 2013.[14] The budget cut $1 billion from the Quality Basic Education (QBE) program, which is the source of most state money for local districts. The budget did protect other educational funds, such as school nutrition and technology centers as well as professional development and classroom technology swap programs.[15]

Fiscal year 2013

See also: Georgia state budget (2012-2013)

Fiscal year 2012

See also: Georgia state budget (2011-2012)

Fiscal year 2011

See also: Georgia state budget (2010-2011)

Fiscal year 2010

See also: Georgia state budget (2009-2010)

Historical spending

State budget historical spending below was compiled by the National Association for State Budget Officers. Figures reflect the reported "Total Expenditures" in Table 1. Figures for all columns are rendered in millions of dollars (for example, $2,448 translates to $2,448,000,000).[7][11]

Historical state spending in Georgia ($ in millions)
Fiscal year General Fund Other funds Federal funds Bonds Budget totals
Total % of Budget Total % of Budget Total % of Budget Total % of Budget
2011-2012 $17,240 42% $10,786 26% $12,469 30% $632 2% $41,127
2010-2011 $16,476 40% $10,218 25% $13,273 33% $858 2% $40,825
2009-2010 $14,561 36% $10,381 25% $14,641 36% $1,165 3% $40,748
Averages: $16,092 39% $10,462 26% $13,461 33% $885 2% $40,900

State debt

According to a January 2014 report by the nonprofit organization State Budget Solutions, Georgia had a state debt of over $11 billion. Its state debt per capita was $11,612. The report revealed that state governments faced a combined $5.1 trillion in debt, 33 percent of annual gross state product. The obligation amounts to $16,178 per capita in the nation. A bulk of the state debt -- 79 percent -- was linked to unfunded public pensions.[16][17]

Total state debt in Georgia[18]
Type Totals U.S. rank
Total state debt $115,193,862,000 11
Per capita debt $11,612 39
State and other fund expenditures $18,198,000,000 5

Public pensions

See also: Georgia public pensions and Georgia public employee salaries

A 2012 report from the Pew Center on the States noted that Georgia's pension system was funded at 85 percent at the close of fiscal year 2010, above the 80 precent funding level experts recommend. Consequently, Pew designated the state's pension system as a "solid performer."[19]

The funding ratio for the state's pension system decreased from 94.53 percent in fiscal year 2007 to 82.43 percent in fiscal year 2011, a 12.1 percent drop. Likewise, unfunded liabilities increased from just under $4 billion in fiscal year 2007 to more than $14.8 billion in fiscal year 2011.

Credit ratings

States sometimes sell general obligation bonds to investors in order to finance large-scale undertakings (e.g., road construction and other public works projects). Credit rating agencies, such as Standard and Poor's, assign grades to states, evaluating their ability to pay the principal and interest on such bonds. Standard and Poor's grades range from AAA, the highest available, to BBB, the lowest. Generally speaking, a higher credit ranking indicates lower risk for an investor, which in turn lowers costs for taxpayers.[20]

The table below lists the Standard and Poor's credit ranking for Georgia from 2001 to 2012 (grades from surrounding states are provided for additional context).[20]

S&P credit ratings from 2001 to 2012
Georgia Alabama Florida South Carolina Tennessee
2012 AAA AA AAA AA+ AA+
2011 AAA AA AAA AA+ AA+
2010 AAA AA AAA AA+ AA+
2009 AAA AA AAA AA+ AA+
2008 AAA AA AAA AA+ AA+
2007 AAA AA AAA AA+ AA+
2006 AAA AA AAA AA+ AA+
2005 AAA AA AAA AA+ AA
2004 AAA AA AA+ AAA AA
2003 AAA AA AA+ AAA AA
2002 AAA AA AA+ AAA AA
2001 AAA AA AA+ AAA AA

Federal aid to state budget

See also: Federal aid to budgets in the 50 states

The chart below notes how much of the state’s general revenues come from the federal government. Figures were calculated by dividing each state’s federal intergovernmental revenue into its general revenue. The number in the rightmost column indicates the state's ranking in relation to the rest of the nation (e.g., if "1," the state receives the highest percentage of federal funding in the nation). Figures from neighboring states are included to provide additional context.[21]

State governments receive aid from the federal government to fund a variety of joint programs, such as Medicaid. Federal aid varies considerably from state to state. For example, Mississippi received approximately $7.7 billion in federal aid in 2012, which accounted for more than 45 percent of the state's general revenues. By contrast, Alaska received roughly $2.9 billion in federal aid in 2012, just under 20 percent of the state's general revenues.[21]

Federal aid to state budgets in 2012
State Federal aid as % of general revenue Total federal aid National rank
Georgia 38.06% $13,795 7
Alabama 36.50% $8,113 11
Florida 32.08% $22,851 30
South Carolina 32.45% $6,893 29
Tennessee 41.02% $11,199 3

Stimulus

Georgia received $6.1 billion in federal stimulus funding between February 2009 and June 2013.[22]

Budget transparency

Transparency evaluation
Open Georgia
Searchability P
Partial.png
Grants N
600px-Red x.png
Contracts N
600px-Red x.png
Line item expenditures N
600px-Red x.png
Dept./agency budgets Y
600px-Yes check.png
Public employee salaries Y
600px-Yes check.png
Last evaluated in 2012.
See also: Evaluation of Georgia state website and Constitutional provisions regarding reading of bills

Georgia's constitution and laws do not provide for a given period of time to review bills so that lawmakers and citizens can review them prior to lawmakers voting upon them.

The state's official spending transparency database, mandated by the Transparency in Government Act of May 2008, was launched in January 2009. It is available here.

House Bill 22 (2010) requires governments with annual budgets of more than $1 million to send an electronic copy of their spending plan to the University of Georgia, which posts them online.[23] The Atlanta Journal-Constitution reported that only 33 percent of cities, 57 percent of counties and 83 percent of school districts had submitted their budgets by the end of July 2012. Typically local budgets are approved June 30th.[24]

Government tools

The table to the right is helpful in evaluating the level of transparency provided by Open Georgia.

Multi-measure budget transparency profile

The Institute of Government and Public Affairs at the University of Illinois created a multi-measure transparency profile for Georgia, which measured state transparency as of September 2011 using indicators from a range of organizations. These indicators measured both website transparency and other recognized facets of governmental transparency. In addition, IGPA presented four unique indicators of non-transparency based on the observation that transfers or reassignments between general and special funds can obscure the true fiscal condition of a state.[25][26]

IGPA devised a budget transparency index based on information available from the National Association of State Budget Officers. Georgia tied for eighth in the nation with 11 other states, earning six out of eight possible points.[26]

Georgia - IGPA score for budget process, contents and disclosure
Budget transparency indicator Yes or no?
Performance measures
{{{1}}}
"Generally Accepted Accounting Principles" budget
{{{1}}}
Multi-year forecasting
{{{1}}}
Annual cycle
{{{1}}}
Binding revenue forecast
{{{1}}}
Legislative revenue forecast N
600px-Red x.png
Non-partisan staff N
600px-Red x.png
Constitution or statutory tax/spend limitations
{{{1}}}
TOTAL 6

In addition to the individual state profile, IGPA offers a 50-state comparison and profiles for other states.[26]

Accounting principles

See also: Georgia government accounting principles

The Georgia State Accounting Office was established on October 6, 2004 with an executive order signed by Governor Sonny Perdue.[27] Governor Perdue signed House Bill 293, which codified the realignment of the state's financial reporting and financial system responsibilities under a single State Accounting Officer (SAO). Gregg Griffin was appointed Georgia's State Accounting Officer in August 2008.[28] The SAO's duties include:

  • Establishing statewide accounting and reporting standards and practices.
  • Operating and improving statewide financial and human capital management systems.
  • Preparing the state's Comprehensive Annual Financial Report (CAFR), the annual audited financial statement for the entire state entity.
  • Providing statewide financial information on interim basis.
  • Training state accounting and payroll personnel in new polices, procedures and standards.
  • Improving accountability, efficiencies and internal controls.

The Georgia Department of Audits is responsible for the state financial accountability.[29] The State Auditor is Greg Griffin.

The Institute for Truth in Accounting (IFTA) rated Georgia “Tardy” in filing the state’s Comprehensive Annual Financial Report (CAFR) – The annual report of state and local governmental entities.[30] IFTA rated 22 states timely, 22 states tardy, and 6 states as worst. IFTA did not consider Georgia’s CAFRs, and those of the other states, to be accurate representations of the state’s financial condition because the Generally Accepted Accounting Principles (GAAP) basis did not include significant liabilities for the pension plans and for other post employment benefits, such as health care.[31] Georgia's CAFRs are published online by the Georgia Department of Audits.[32]

Contact information

Governor's Office of Planning and Budget
270 Washington Street, S.W., 8th Floor
Atlanta, GA 30334
Phone: (404) 656-3820
Fax: (404) 656-3828

See also

External links

Additional reading

References

  1. Refers to General Fund spending. Typically in state budgets the General Fund is spending that is most directly controlled by state legislators.
  2. This figure is derived by calculating the percent difference between the prior two years' spending levels according to the National Association of State Budget Officers.
  3. Bureau of Labor Statistics, "CPI Detailed Report Data for February 2014," accessed April 9, 2014
  4. InflationData.com, "Cumulative Inflation Calculator," February 28, 2014
  5. National Conference of State Legislatures "State Experiences with Annual and Biennial Budgeting," updated April 2011
  6. 6.0 6.1 6.2 National Association of State Budget Officers "Budget Processes in the States, Summer 2008," accessed February 21, 2014
  7. 7.00 7.01 7.02 7.03 7.04 7.05 7.06 7.07 7.08 7.09 7.10 7.11 7.12 7.13 National Association of State Budget Officers, "State Expenditure Report, 2011-2013," accessed February 21, 2014
  8. 8.0 8.1 8.2 United States Census Bureau, "Annual Estimates of the Resident Population: April 1, 2010 to July 1, 2013," accessed February 26, 2014
  9. 9.0 9.1 United States Census Bureau, "Vintage 2009: Annual Population Estimates," accessed February 26, 2014
  10. 10.0 10.1 10.2 National Association of State Budget Officers, "State Expenditure Report, 2009-2011," accessed February 24, 2014
  11. 11.0 11.1 National Association of State Budget Officers, "State Expenditures Report, 2010-2012," accessed February 24, 2014
  12. National Association of State Budget Officers, "State Expenditure Report, 2009," accessed February 24, 2014
  13. National Association of State Budget Officers, "State Expenditure Report, 2008," accessed February 24, 2014
  14. Georgia General Assembly, "2013-2014 Regular Session - HB 106," accessed April 16, 2014
  15. Empowered Georgia Action, "Georgia Education Legislation Summation for the 2013 Session," accessed April 16, 2014
  16. State Budget Solutions, "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014
  17. Washington Examiner, "EXography: Unfunded public employee pensions drive state debts skyward," January 21, 2014
  18. State Budget Solutions "State Budget Solutions' Fourth Annual State Debt Report," January 8, 2014
  19. Pew Center on the States "Widening Gap Update: Georgia," June 18, 2012
  20. 20.0 20.1 Stateline: The Daily News Service of The Pew Charitable Trusts, "Infographic: S&P State Credit Ratings, 2001-2012," July 13, 2012
  21. 21.0 21.1 United States Census Bureau, "State Government Finances: 2012," accessed February 24, 2014
  22. Recovery, "Stimulus Spending by State"
  23. Georgia Legislative Summary (2010), Accessed July 24, 2012
  24. CBS Atlanta, Ga. governments fail to post electronic budgets, July 23, 2012
  25. Institute of Government and Public Affairs at University of Illinois, "Home page," accessed February 21, 2014
  26. 26.0 26.1 26.2 Institute of Government and Public Affairs at University of Illinois, "Budget Transparency Profiles - All 50 States," September 2011
  27. The Georgia State Accounting Office
  28. Georgia State Accounting Office Web site, retrieved October 15, 2009
  29. The Georgia Department of Audits
  30. The Institute for Truth in Accounting
  31. Institute for Truth in Accounting, “The Truth About Balanced Budgets—A Fifty State Study,” Page 35
  32. The Georgia Department of Audits Web site, retrieved October 15, 2009