Press release, 2018 March 27

For immediate release March 27, 2018

Office of Communications (404) 651-7774

Deal announces additional funding for education, transit in FY19 budget
State to fully fund K-12 education

Gov. Nathan Deal today announced an increase in the FY 2019 state revenue estimate by more than $194 million over initial projections, bringing the new revenue estimate to more than $26.2 billion. As a result, Deal amended his budget recommendation initially presented in January to include an additional $167 million for K-12 education. These funds will ensure the state is fully funding the Quality Basic Education (QBE) funding formula and providing local school systems with 100 percent of the state's share in financing for local schools.
"Georgia's strong economic growth in recent years has allowed us to invest heavily in education, transportation, public safety and health care," said Deal. "These investments have in turn helped to create more economic growth by helping Georgia achieve and maintain its state as the No. 1 state in which to do business. This year, as a result of stronger-thananticipated state revenue performance and federal tax reform, I'm amending my FY 2019 budget to include additional funding in a number of areas, including education and transit, two areas that companies often cite as important factors in determining where they wish to grow and expand their businesses.
"The addition of $167 million to K-12 education will bring total funding for education to $9.6 billion. This investment will give local school systems the opportunity to provide the programs necessary to improve struggling schools and enhance student performance. During my time as governor, I have consistently heard from educators who have cited a lack of funding as a barrier to achieving success in their classroom. This additional $167 million will ensure the state is fully doing its financial part to address their concerns. Finally, fully

funding QBE provides a stronger foundation to lawmakers and stakeholders to reform this outdated formula to accommodate the needs of today's students and 21st century classrooms.
"In keeping up with the demands of a 21st century economy and workforce, and in agreement with House and Senate leadership, we are allocating $100 million in bonds for transit funding. This investment will go a long way in reforming and addressing our transit system needs. Pending passage of a transportation bill I can sign, this funding will go into effect.
"I look forward to final passage of a budget that prioritizes the long-term economic health of our state by fully funding our K-12 schools and improving transit opportunities for Georgians statewide. These additional investments, along with my other budget priorities, will continue to keep Georgia the top place to live, work and raise a family."
Read the FY19 budget amendment letter here.
Jen Talaber Ryan jen.ryan@georgia.gov
John Vaughan john.vaughan@georgia.gov

Nathan Deal
GOVERNOR

STATE OF GEORGIA
OFFICE OF THE GOVERNOR
ATLANTA 30334-0900

The Honorable TeiTy England, Chairman House Appropriations Committee Georgia House of Representatives 245 State Capitol Atlanta, Georgia 30334
The Honorable Jack Hill, Chairman Senate Appropriations Committee Georgia State Senate 234 State Capitol Atlanta, Georgia 30334

March 26, 20 18

Dear Chairmen:
The Fiscal Year 2019 Budget Repmt presented to the General Assembly in January of this year included a revenue estimate for FY 2019 based on 3.8% tax growth over Amended FY 2018. Federal Internal Revenue Code reforms coupled with stronger than estimated current year revenue performance since that time have subsequently impacted the factors used in developing the initial revenue estimates. Therefore, I am increasing my revenue estimate for Fiscal Year 2019 by $194,759,788 from $26,032,155,186 to $26,226,914,974.
In conjunction with the increase in estimated revenues, I am also amending my budget recommendation for FY 2019 to include the following:
$166,747,626 for the Department of Education's Quality Basic Education (QBE) program to fully fund the QBE program;
$203,395 for the Department of Economic Development's Global Commerce program to meet projected expenditures;
$8,146 for the Department of Economic Development's Rural Development program to meet projected expenditures;
$89,616 for the State Forestry Commission's Commission Administration program to meet projected expenditures;
$291,097 for the Office of the State Inspector General to provide a workload adjustment to meet caseload needs;
$750,000 for the Georgia Student Finance Commission to provide an increase in funds for the Georgia National Guard service cancelable loan program;
$2,000,000 for the Technical College System of Georgia's Departmental Administration program to further expand marketing efforts to promote educational oppmtunities available at our technical institutions;
$4,388,500 for the Depmtment of Corrections' Private Prisons program for an increase in the operations rate;

Nathan Deal
GOVERNOR

STATE OF GEORGIA
OFFICE OF THE GOVERNOR
ATLANTA 30334-0900

$408,600 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $4,500,000 20-year taxable bond for the Lake Lanier Islands Development Authority to design and construct a new conference center;
$181,600 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $2,000,000 20-year taxable bond for the Depmtment ofNatural Resources to renovate the bathrooms at Unicoi State Park;
Remove the $5,000,000 from the land acquisition bond for the preservation of wildlife and natural resources and use $5,000,000 in bonds to purchase a Department of Natural Resources helicopter ($729,000);
$681,000 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $7,500,000 20-year taxable bond for the Georgia World Congress Center for the construction of a pedestrian mall, Atlanta, Fulton County;
$214,000 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $2,500,000 20-year tax-exempt bond for the Board of Regents for the design, construction, and equipment for the renovation of and addition to Library North, Georgia State University, Atlanta, Fulton County;
$426,760 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $4,700,000 20-year taxable bond for the Bomd of Regents for property acquisition, University of North Georgia, Dahlonega;
$908,000 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $10,000,000 20-year taxable bond for the Board of Regents for renovations and equipment of the facilities at the Augusta University Cyber campus;
$744,560 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $8,200,000 20-year taxable bond for the Technical College System of Georgia for the design and construction of a new academic facility, Athens Technical College, Elbe1t County;
$2 I5,196 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $2,370,000 20-year taxable bond for the Teclmical College System of Georgia for the design, construction, and equipment for Renovation and Backfill of Griffin Campus, Southern Crescent Technical College, Griffin, Spalding County;
$180,692 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $1,990,000 20-year taxable bond for the Technical College System of Georgia for the design, construction, and equipment for VECTR Industrial Lab Facility Expansion, Central Georgia Technical College, Warner Robins, Houston County;
$1,992,000 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $15,000,000 10year tax-exempt bond for the Department of Education for the purchase school buses, local school districts, statewide; and

Nathan Deal
GOVERNOR

STATE OF GEORGIA
OFFICE OF THE GOVERNOR
ATLANTA 30334-0900

$13,600,000 for the General Obligation Debt Sinking Fund's GO Bonds New program for a $100,000,000 I0year taxable bond for the State Road and Tollway Authority for transit needs statewide.
Sincerely,

Nathan Deal

c:

The Honorable Casey Cagle, Lieutenant Governor

The Honorable David Ralston, Speaker of the House of Representatives

Chris Riley, Governor's Office

Teresa MacCartney, Governor's Office of Planning and Budget