Georgia Gov. Brian Kemp (R) delivered his final State of the State address, wrapping up his second term in office, with a focus on improving affordability for all Georgians. He began by announcing an income tax rebate and a call to reduce the state income tax.
“My budget proposal will include a fourth, one-time, 1-billion-dollar tax rebate this year that will return or save the average filer 250 dollars and a married couple up to 500 dollars,” he explained. “With this rebate, my administration and this General Assembly will have returned over 7.5 billion dollars in surplus revenue to the taxpayers of our state over the last four years.”
He also called for accelerating the reduction of the personal income tax. It currently stands at 5.19% and, if revenue conditions are met, it is to decrease annually by 0.10%, aiming at 4.99%.
Lowering the personal income taxes has been a priority for Kemp for more than four years. In 2022, he signed legislation instituting a flat rate. He now wants to reach the 4.9% goal this year.
“The reason we’ve been able to do this — and three years ahead of schedule — is because of our fiscal discipline. It’s also worth noting a few other important accomplishments from the last few years that may not make headlines or please those who constantly advocate for bigger government,” he said.
It is projected that the state’s rainy day fund and strategic reserves will top more than $10 billion by the time Kemp’s current term in office ends.
“Our state reserves are just one area that we have made historic strides in to set Georgia up for future success and prosperity,” he said. “From the 2024 budget through the proposed Amended 2026 budget, 4.1 billion dollars in capital projects have been funded through cash instead of debt. This strategic investment will save Georgia taxpayers and future state appropriators, 3.3 billion dollars in interest payments over the next 20 years.”
Kemp turned his attention to state employees, touting a reduction in the employee turnover rate of 25%. He proposed a one-time, $2,000 pay supplement for all state employees. The supplement, totaling $611 million, would include educators and law enforcement personnel.
He also announced additional funding for education and educational institutions. He said Georgia is a leader in providing financial support for merit-based assistance for students to pursue higher education. He pointed to the HOPE scholarship as one way students have achieved success. Now he wants to fund a scholarship program to meet the need-based financial challenges.
Therefore, my Amended budget proposal invests 325 million dollars in the University System of Georgia’s DREAMS Scholarship program, the first need-based scholarship of its kind in Georgia history,” said Kemp. “The DREAMS Scholarship will build on the incredible, unmatched legacy of the HOPE Scholarship and leave no stone unturned when it comes to student achievement in our state.”
As he closed his final State of the State address, Kemp acknowledged the role his family had played during his administration.
“Please know that it has been an incredible honor for Marty, the girls, and me to serve as your First Family. We’ve done this together every step of the way, and I’d like to take a moment and ask if you’d join me in again recognizing Marty and the girls for their service over the last seven years,” he said.
Kemp exhorted legislators to continue to provide their best service to make “communities safer, their dreams more achievable, their lives more prosperous, and their futures a little brighter.”
