Georgia governor tries to put a firmer grip on tax proposals | www.myajc.com

Gov. Nathan Deal is trying to exert more control over the flurry of costly tax proposals that inevitably pop up every election year.

He gathered a panel of high-powered executives and influential bankers Monday to vet each proposal and come up with a range of findings to guide lawmakers next year and influence whether he signs or scuttles legislation.

But the revival of the “competitiveness” panel also raised concerns from critics who fear it’s simply a pretext to give extra juice to tax proposals he favors and short-circuit those he doesn’t.

“We worry this will be used selectively,” said Taifa Butler, a deputy director with the left-leaning Georgia Budget & Policy Institute. “If you look at this business-dominated group, it doesn’t really come off as a group that can act objectively. And their recommendations will carry significant weight.”

The panel first convened in 2011, and its findings supported tax breaks such the repeal of the state sales tax on energy used in manufacturing. Deal has credited that measure with landing recent carpet expansions in North Georgia, and he said Monday that it could help land Georgia more business in Japan and Germany, where there’s concern about energy supply.

But next year Deal and his GOP allies will face a more frenzied tug of war over finances in the run-up to the 2014 elections.

Eager for a piece of a surplus that could top $600 million, industries and nonprofits are vying for new or extended tax breaks. And state School Superintendent John Barge’s bid to unseat Deal likely means there will be an increased focus on education policy and an emboldened call for the first teacher pay raises since shortly after the start of the Great Recession.

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