President: Alicia Serra www.ggfoa.org 1st Vice President: Mike Bush

April 2015

Hello Fellow GGFOA Members!

Spring has sprung and I hope you are all getting out and enjoying the warmer weather! I

know I am! I had the opportunity, along with our Conference Committee Chair, to take a

tour of the newly built and renovated hotels that we will be contracting with for our 30th

Annual Conference; and, I believe you will all be pleased with this year’s conference

accommodations, not to mention the location! I know that our conference committee has

been hard at work planning a wonderful conference to commemorate 30 wonderful years

of this organization. The survey made available to the membership for session topics

supplied the committee with many excellent ideas, and they are in the final stages of

confirming the agenda. I’d like to thank those members who participated in this survey. I

hope you are all able to attend the conference to see your peers’ suggestions come to

fruition.

Speaking of conferences, GFOA’s national conference is just around the corner! This year’s

conference will be held in Philadelphia from May 31st through June 3rd. GGFOA will be

hosting a reception for all Georgia attendees. Reception details are provided on page 11. I

look forward to seeing and mixing with all the Georgia representatives.

With the planning well under way for the annual conference, I’d like to turn my attention to

all the other great things our committees have been hard at work on. Our Career

Development team has done a wonderful job continuing the Wednesday’s News You Can

Use sessions. If you didn’t have a chance to attend the greatly informative session on

Understanding Tax Abatements held on April 8th, don’t fret! You can access this session

along with all of our other sessions that have been held at any time on our website at

www.ggfoa.org.

You may notice when accessing the sessions that our website has a new look! We have

rolled out the new website that has many new features that will benefit you. New features

include: online membership renewal, a list serv, and individual login information that will

give you access to your member profile where you can add, change, or update your

personal information. More information on setting up your new profile will be sent shortly.

So, when you have a moment stop by the new site and look around. I’m sure you’ll be

pleasantly surprised with the new layout.

I’d also like to take a moment to congratulate the two recipients of the GFOA’s Advanced Government Finance Institute scholarship. Every other year

GFOA conducts the Advanced Government Finance Institute, an intensive week-long program that provides GFOA members from across the United

States and Canada an opportunity to enhance their leadership skills and focus on emerging trends within the public finance community. Our two

recipients, who are named on page 9, will be able to attend this training free of charge thanks to GGFOA’s commitment to ensuring our members have

access to scholarship opportunities like this. So please, stop by our website and check out all of the scholarships and awards we have to offer you.

As you can see, there is a lot going on within the organization. These are only a handful of the benefits you as member have access to. However, none of

these things would be possible without the commitment of our members and sponsors who volunteer their time and efforts to make it happen. If you

are interested in becoming involved with the board or committees, don’t hesitate to reach out to us. We are always looking for volunteers! A complete

list of all board and committee chairs can be found on our website.

Regards,

Alicia Serra

President

President’s Corner

INSIDE THIS ISSUE

Executive Education Program for

Public Finance Professionals

3

Georgia General Assembly Legislative

Update

4

GASB Statement No. 72, Fair Value

Measurement and Application

7

What Happens When Interest Rates

Rise?

8

Transportation Funding in Georgia 10

AGFI Scholarship Recipients

Announced!

11

INSIDE EACH ISSUE

Member Spotlight 9

Excel Tip 12

GGFOA Committee Descriptions 13

Committee News 14

GGFOA Contacts 16

Page 2

WHAT: GFOA 109th Annual Conference

WHERE: Pennsylvania Convention Center in Philadelphia

WHEN: May 31 – June 3, 2015

Join fellow finance professionals to gain practical advice and

learn effective techniques to meet the continuing challenges

facing the public- and private-sector during GFOA’s 109th

annual conference, Innovation and Resilience. The GFOA annual

conference offers comprehensive coverage of all the latest

developments, trends, and best practices in each major facet of

public finance. Click here to view this year’s conference

sessions.

If you have not yet signed up, register now to join your peers!

More details are available here.

There’s still time to register for GFOA’s 109th Annual Conference!

Now in its second year, the Center for State and Local Finance at Georgia State University is gearing up for a new slate of courses tailored for public sector CFOs, and those who aspire to be CFOs. The center’s mission is to develop the people and ideas for next generation public finance, and executive education is a key component. Dr. Carolyn Bourdeaux, CSLF director, sat down for quick interview on the program and how it is helping public finance professionals be the best in their field.

1. Why was the Center for State and Local Finance created? We created the

Center for State and Local Finance to focus on next generation public finance.

We want to be front and center in educating the next generation of leaders in

public finance as well be leaders ourselves in researching and developing next

generation solutions to public policy challenges.

2. What inspired you to create an executive education program? When we were designing the center, we talked with

CFOs at the state and local level in Georgia and around the country, and we heard over and over again that they

needed executive education for those who are new CFOs or are aspiring to move into leadership positions in public

finance.

3. What makes the center’s executive education program different from others? Our classes are small; they focus

on problem-solving and are taught by our nationally recognized faculty and seasoned practitioners. The Andrew Young

School is one of the top-ranked programs in the country in public finance, and our curriculum has been developed by

the faculty that give us this top ranking. Our faculty are not just sitting in the “ivory tower.” For example, our lead

faculty member who teaches debt finance currently sits on the Municipal Securities Review Board.

4. What do your courses cover? We developed our courses around the content knowledge needed to become a GFOA

Certified Public Finance Officer, but we know leaders need more than the descriptive knowledge required to pass a

multiple-choice test. We take our classes further, and focus on analytic and strategic thinking around these topics. For

example, while students learn best practices in budgeting, they also are given a framework to systematically analyze the

strengths and weaknesses of their own budget documents. They are then asked to present their analysis to a panel of

faculty and CFOs. Our goal is for participants to leave our classes ready to tackle real-world challenges with skill and

confidence.

5. What changes can participants expect in this second year? Are there specific benefits for GGFOA members?

Our program will now be offered in three- and four-day courses throughout the year, and by popular request, we have

added a class on leadership. A scholarship also is available for two, three-day courses for GGFOA members. In

addition, we are now registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor

of continuing professional education.

To learn more about CSLF’s executive education program, visit the center’s website. Article contributed by: The Center for State and Local Finance

The Center for State and Local Finance offers cutting-edge executive

education program for public finance professionals

Page 3

Dr. Carolyn Bourdeaux

The General Assembly adjourned the 2015 Session on April 2nd and we can all rest a little easier until next year. This year,

significant changes were made to transportation funding, the property tax appeals process and other laws that will impact

local governments across the state. The Governor has 40 days to determine the final outcome of passed legislation, but most

are anticipated to become law. Government finance officials should educate themselves on several pieces of legislation that

could have an impact on the revenues, finances and operations of their government. The following is a list of passed

legislation important to finance officials.

Local Government Investment Pool (HB 95):

Beginning July 1, this legislation authorizes the state treasurer to place the local funds invested in the local government investment pool in a trust fund separate from state funds.

Legalization of Fireworks (HB 110):

Beginning July 1, all fireworks not prohibited by federal law will be authorized for sale. Local governments can charge a special use permit not to exceed $100 for the use of fireworks at a time of day not provided for under state law. Local governments can also collect a license fee of $500 per location for a temporary fireworks retail stand. The fees must be spent on public safety purposes.

Transportation Investment Act (HB 170 and HB 106):

Beginning July 1, state sales tax on motor fuel will end and the motor fuel excise tax will be increased to 26 cents per gallon for gasoline and 29 cents per gallon for diesel. Local governments will pay approximately 9 ½ cents more per gallon in state tax on gasoline and 11 cents more per gallon for diesel. Local governments will also be required to pay an annual fee of $50 for vehicles weighing between 15,000 - 26,000 lbs. and a $100 fee for vehicles weighing more than 26,001 lbs. Local sales tax will remain in place on motor fuel and it will not be restricted to transportation purposes. However, the rate will not increase once the price of fuel goes above $3.00 per gallon. Increases to Georgia Department of Transportation (GDOT) revenues should increase Local Maintenance and Improvement Grants (LMIG) by about $40 million per year. The legislation also creates a new local option transportation sales tax. Local governments that have a special purpose local option sales tax (SPLOST) but are not participating in a regional transportation special purpose local option sales tax (TSPLOST) will be able to ask their voters for approval of a single county TSPLOST beginning July 1, 2016 for Metropolitan Atlanta Georgia Regional Transportation Authority (GRTA) counties and July 1, 2017 for the remainder of the state. A more detailed summary of this legislation is available here.

Required Purchasing/Credit Card Policies (HB 192):

Beginning January 1, 2016, local governments that issue purchasing cards or credit cards to their elected officials must have a written policy and an adopted ordinance in place. The policy must restrict card usage for public duties only, designate the officials authorized to use the card, require the user to sign a cardholder agreement, set transaction limits, describe purchases that are authorized and not authorized, designate a card administrator, and set procedures for addressing violations of card policies and penalties for violations. Penalties for violations include revocation of card privileges and misdemeanor prosecution.

Timber Harvesting – Revision of Notice, Bond and Fee Procedures (HB 199):

Beginning July 1, 2015, timber harvesters will be required to give the local government notice within 24 hours of entering the property where they will harvest timber. They will also be required to give notice when the harvesting operation is complete. Only one $5,000 bond will be required of the harvester in each county regardless of the number of tracts being harvested. However, if the bond is called, a harvester with multiple tracts must secure another bond within five business days. Lastly, local governments cannot require any kind of fee for receiving a harvest notification.

Page 4

Georgia General Assembly Legislative Update

Continued…

Page 5

Georgia General Assembly Legislative Update, continued

Property Tax Appeals and Administration Reform (HB 202):

Beginning January 1, 2016, several changes will be made to the property tax appeal, collection and public notification requirements in law. These changes should be discussed with the county tax assessor, tax commissioner and superior court clerk. A summary of these changes is available here (see Appendix E).

Investing Public Pension Assets in Mutual Funds (HB 217):

Beginning July 1, 2015, state law will clearly authorize local government retirement programs to invest pension assets in mutual funds. A recent letter by the Attorney General’s Office to the Department of Audits cast doubt on whether this is a statutorily-authorized practice. This legislation will ensure that this practice is upheld if subjected to a judicial challenge.

New Regulation and Registration Process of For Hire Transportation Drivers (HB 225):

Beginning July 1, 2015, the registration, regulation and licensing of all limousine, taxicab, and ride-share services like Uber and Lyft that begin operation after July 1, 2014, will be moved to the Department of Public Safety. Local governments will be prohibited from adopting an ordinance requiring a certificate of public necessity or a medallion for taxicab, limousine, or ride share services beginning operation after July 1, 2014. The provision for an annual registration fee in lieu of collecting sales tax will not go into effect until a distribution formula has been approved by the legislature. In the interim, taxicabs, limousines, and ride-share services will pay state and local sales tax.

New Allocation of Local Taxes on Apportionable Vehicles (SB 82):

Beginning August 1, 2015, the Department of Revenue will send the alternative ad valorem tax on apportioned vehicles (interstate trucks) to the counties, cities and schools based upon the amount they received under the previous system for taxing these vehicles. Allocation based upon historical amounts received by each taxing jurisdiction will be phased out over the next five years. All remaining revenues during the phase out and all revenues after the phase out will be allocated based upon the number of apportioned vehicles in each county and between local governments based upon their proportional share of the aggregated county tax digest. In future years, the annual distribution will take place on April 1.

Pay Wages by Credit to Payroll Card (SB 88):

Upon signature of the Governor, employers will have the option to pay employees by making a credit to a prepaid debit card.

Eligible for SPLOST – Repairs to Damage Caused By a Natural Disaster and State Projects (SB 122):

Beginning July 1, 2015, local governments can set aside a portion of revenues passed in their next SPLOST referendum as contingency for repair work necessary because of a natural disaster. Local governments will also be able to include state projects in future SPLOST referendums without having to use intergovernmental agreements.

Change in Reporting Requirements for Law Enforcement Agencies Using Radar (SB 134):

Beginning July 1, 2015, counties and cities will be required to include speeding fine revenue in their annual finance report submitted to the Department of Community Affairs. This information will be used to determine if the local government is exceeding the maximum 35% of the law enforcement agency’s budget that can come from speeding fines derived from citations less than 20 miles over the established speed limit.

Article contributed by:

Clint Mueller, Legislative Director, ACCG

Page 6

Save the Date! GGFOA’s 30th Annual Conference

October 4 - 7, 2015

GGFOA will be celebrating its 30th Annual Conference this year and your conference committee has selected an

ideal venue, the only oceanfront Convention Center space in the Southeast! The conference will be held October

4 – 7, 2015 at the Jekyll Island Convention Center located at 110 Ocean Way, Jekyll Island, Georgia, 31527.

The Jekyll Island Convention Center is not only beautiful; the Center is a state-of-the-art facility that will

accommodate all the general and breakout sessions. We will kick the conference off with a 30 Years of

Memories Sunday President’s Reception complete with ways to make and capture new memories and even take

home a keepsake caricature.

Jekyll Island boasts a 240-acre riverfront National Historic Landmark District, more than 10 miles of sandy

beaches, maritime forest and marshland, the largest public golf resort in the state, and so much more. In addition

to the multitude of attractions the Island offers to you individually, group activity options will be available

through GGFOA on Monday afternoon.

Special thanks to the Conference Committee for the planning efforts that are underway to make this conference

a success!

More information will follow closer to conference dates.

Page 7

In February 2015, Governmental Accounting Standards Board (GASB) issued Statement No. 72, Fair Value Measurement and Application.

This Statement establishes general principles for measuring fair value for assets and liabilities measured at fair value, which primarily

applies to investments made by state and local governments. This new statement responds to the need for greater clarity regarding the

fair value standards and for improved consistency and comparability in governments’ fair value measurements and disclosures. Prior to

the issuance of Statement 72, state and local governments have been required to disclose how they arrived at their measures of fair value

if not based on quoted market prices. Under the new guidance, those disclosures have been expanded to categorize fair values according

to their relative reliability and to describe positions held in many alternative investments.

Under the new Statement, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability between

buyers and sellers at the measurement date. The measurement date is defined as the date of which the fair value of an asset or liability is

determined. A notable change to the definition is the focus on a price to sell an asset or transfer a liability, rather than on an exchange.

The new definition emphasizes that fair value is an exit price, whereas the previous definition was unclear as to whether fair value is a

seller’s price or a buyer’s price. The exit price is defined as the price that would be received to sell an asset or paid to transfer a liability.

Investments, which generally are measured at fair value, are defined as a security or other asset that governments hold primarily for the

purpose of income or profit and the present service capacity of which are based solely on their ability to generate cash or to be sold to

generate cash.

The Statement requires governments to measure fair value in a manner consistent with one of three approaches: the market approach, the

cost approach, and the income approach. The market approach to measure fair value uses prices and relevant market information to

determine a measurement. Using quoted market prices is a technique that is consistent with the market approach. The cost approach

reflects the amount that would be required to replace the asset and its service capacity. From the perspective of a seller, the price that

would be received for the asset is based on the cost to a buyer to acquire or construct a substitute asset that is comparable, adjusted for

obsolescence. Obsolescence can be physical, technological, or economic (external). The income approach converts future amounts, such

as cash flows, into a single current amount. When the income approach is used, the fair value measurement reflects current market

expectations about those future amounts.

Measuring fair value requires a government to collect information about the asset or liability it is measuring. Statement 72 uses the fair

value hierarchy. The hierarchy differentiates three levels of inputs based on the objectivity and reliability of the information:

Level 1 inputs are quoted prices in active markets for assets or liabilities identical to the ones being measured by the

government. Examples of markets that may be observable include exchange markets, dealer markets, brokered markets, and

principal-to-principal markets.

Level 2 inputs are observable for similar assets or liabilities. Adjustments to Level 2 inputs will vary depending on factors

specific to an asset or liability, such as condition or location of the asset.

Level 3 inputs are unobservable inputs; for example, management’s assumption of the default rate among underlying mortgages

of a mortgage-backed security.

As previously noted, Statement 72 requires that most investments be measured at fair value. Certain exceptions to that requirement, such

as for investments in external pools and money market investments, would continue. The Statement also would change how governments

place a value on donated capital assets, donated works of art and historical treasures, and capital assets received in service concession

arrangements. From now on, those assets will be measured at acquisition value—the price that would be paid to acquire an asset with

equivalent service potential, rather than at fair value. Acquisition value is an entry price, whereas fair value is an exit price, as mentioned

previously.

The new disclosure requirements reflect some of the key provisions introduced by the Statement. The disclosures require a discussion of

the fair value measurements, the level of inputs used in the measurements, and a discussion of the valuation techniques used.

For more information, please refer to www.GASB.org. This website has the full text of the pronouncement as well as a summary. Article contributed by: Beth Grimes, C.P.A. Beth Grimes is a partner with Bates, Carter & Co., LLP. She specializes in audits of

local and state governments.

GASB Statement No. 72, Fair Value Measurement and Application

Page 8

You have probably seen in the news lately that the economy is making gradual improvements. In particular, the job market is looking

healthy as the unemployment rate continues to fall. While these are welcome developments, speculation continues about what will happen

to interest rates as the economy moves forward, as well as about when the Federal Reserve may begin to raise short-term interest rates

from the current record-low levels. Since interest rates have stayed consistently low since the 2008 financial crisis, rising rates would surely

usher in a changing market environment. It’s important to know how these changes can affect your fixed-income investments and how

you can navigate this environment.

Bond Yields and Bond Prices

The first step in understanding the effects of rising interest rates is to recognize the relationship between bond yields and bond prices.

Bond prices move inversely to bond yields; when bond yields rise, bond prices fall. A bond’s sensitivity to rising rates is a lso known as

interest rate risk, and is just one of several risks to which investors are exposed when they invest in bonds. Other risks could include

credit risk, call risk, and inflation risk, to name a few.

The “modified duration” of a bond or a portfolio of bonds (akin to average maturity, but more mathematically precise) measures

sensitivity to changes in interest rates, and determines how much a bond’s price will rise or fall based on a decrease or increase in market

yields. For example, a security or portfolio with a modified duration of 2.0 implies that the value of the security or portfolio will increase

approximately 2% in market value for every decline of 100 basis points (or 1%) in market yields. Conversely, the value of this security or

portfolio will decrease 2% in market value for every 1% increase in market yields. Longer-maturity bonds have longer durations than shorter-

maturity bonds, which means they have greater sensitivity to changes in interest rates.

What Does This Mean for You?

If rates rise, the market value of a bond or portfolio would fall. The negative impact of market value changes is offset, to some extent, by

the additional income earned on a portfolio over a period of time. In today’s near-zero interest rate environment, the protection offered

from income earnings is low, but the yield curve is steep, so yield and income can be increased by extending maturity. This is the

continuous challenge faced by bond investors—to capture higher yields by investing in longer maturities, or to protect against market

value changes by investing in shorter maturities. These sensitivities can be evaluated based on one’s expectations about future interest

rates, but of course, there is no way to predict future rates with certainty. Maturity selection should be determined by each investor’s cash

needs, long-term objectives, investment horizon, and risk tolerance.

Your investment time horizon can significantly affect your

overall investment strategy. The table below shows what

can potentially happen to bond returns from a total return

perspective when interest rates rise or fall over both a

three-month horizon and a one-year horizon. The one-

year U.S. Treasury return over the one-year time horizon

always returns 0.26% no matter what happens to interest

rates because it is held to maturity, and the only source of

return is the coupon payment received by the investor.

However, for the other maturities and time horizons,

changes can vary and may either result in positive or

negative returns over time. You can see from looking at

the three-month time horizon that the impact of rising

rates over a short investment horizon can be detrimental

to returns. While a small rise in interest rates can result in

negative returns for longer-duration portfolios, the impact

is less detrimental for portfolios with longer time

horizons. Therefore, the longer you are invested, the less

impact a rise in interest rates will have on your investment.

What Happens When Interest Rates Rise?

Interest Rate

Shock -10 No Change +20 +50 +100

3-Month Time Horizon

1yr UST 0.21 0.14 -0.02 -0.24 -0.62

3yr UST 0.80 0.53 -0.02 -0.85 -2.22

5yr UST 0.99 0.52 -0.41 -1.80 -4.13

1-Year Time Horizon

1yr UST 0.26 0.26 0.26 0.26 0.26

3yr UST 2.12 1.92 1.52 0.92 -0.08

5yr UST 2.71 2.31 1.51 0.31 -1.70

Source: Bloomberg

Continued…

The good news is that, as interest rates rise, future income should also increase as new investments are made at higher yields. If you

invest in a short-term pooled fund, you should see an increase in your investment income during periods of rising interest rates. For

longer-term investors, the immediate impact might be negative in terms of falling market values, but investors will potentially see positive

returns due to the higher income. An active fixed-income manager can help you plan ahead for rising interest rates and share ideas for

attractive investment opportunities.

Article written by:

D. Scott Stitcher, CFA, Senior Managing Consultant and Steven Alexander,

CTP, CGFO, CPPT, Managing Director, PFM Asset Management LLC

Nina Robinson Mallard is the Accounting Supervisor for the City of College Park, Georgia. The city,

originating from a land grant awarded in 1846, has the fourth largest urban historic district in Georgia with

867 structures on the Historic Register. The hometown community is close in proximity to Atlanta and the

Hartsfield-Jackson Atlanta Airport. The City is home to 13,942 residents.

A Passion for People

On the afternoon of March 13th, I had the pleasure of speaking with Nina Robinson Mallard, a highly-

educated, successful woman with a career track-record in financial management for organizations with missions that span the gamut of

animal refuge to history preservation to gorilla protection to lifestyle education. Currently, Nina serves the residents of College Park as

the Accounting Supervisor for the City of College Park. Though the organizations in which Nina has served are very diverse in their

services, Nina’s passion of helping people is the common denominator among them.

When Nina graduated from the University of Georgia with a degree in Accounting, she went to work for a large manufacturing company

in the 1980’s. Soon thereafter, she had a family along with the opportunity to work for Zoo Atlanta for five years, much to the delight of

her children who took advantage of frequent visits to the 40-acre zoo featuring 1,500 animals across 220 different species. Next, her

career led her to the Atlanta History Center where she served as Controller for two years. Though our conversation was over the

telephone, I easily sensed the sparkle in Nina’s eyes as she spoke with passion and fervor about the magnificent programs such as From

Sheep to Shawl and numerous outdoor exhibits offered by the organization to the public. Nina has been able to use her education and

experience in accounting to connect with her community.

After a three year stint with the City of College Park from 2004 to 2007, Nina had the opportunity to work with the Dian Fossey Gorilla

Fund for six years. In this role, Nina traveled to Rwanda for a two week mission focused on educating Rwandans on protecting and

preserving the gorillas that take refuge in their communities. Specifically, Nina applied her financial experience to aid locals in

improvements to reporting required to obtain and sustain grant funding. In all that she does, Nina seeks to help people through

education and information sharing.

Legendary Leadership

Nina’s legacy is and will continue to be her ability to connect with others to maximize her gift of sharing her experience and knowledge.

Not only is Nina an accounting expert, she is also an educator. In our brief one-hour conversation, Nina succeeded in teaching me a very

important lesson: Connection before content (even for those of us who consider ourselves back-office support for our organizations)!

Thank you, Nina, for your dedication and commitment to giving to others.

Article written by:

Jenny Payne-Simpkins, GGFOA Communications Committee Co-Chair

What Happens When Interest Rates Rise? continued

Member Spotlight: Nina Robinson Mallard

Page 9

Page 10

The Georgia General Assembly completed the mission it embarked upon last fall with the passage of House Bill 170 and

House Bill 106 in the final two days of the 2015 Legislative Session. Over the course of the session, the many changes to the

bill resulted in varying levels of impact to local governments. However, the final version that passed placed a larger emphasis

on generating a billion dollars in state revenue than providing sweeping changes at the local level. With that said, there are a

few provisions of note for local governments that will impact future revenues and operations.

First, beginning July 1, 2015, local governments’ sales tax revenue on motor fuel will be capped at $3.00 per gallon for both

gasoline and diesel. By comparison, the current average price of gas is $2.59 per gallon and $3.16 for diesel. The average price

of motor fuel will be adjusted again in July and will likely go down based on the average fuel prices over the last six months.

If the average price of diesel drops to $3.00 or less per gallon, there will be no immediate fiscal impact to local governments

due to the cap. However, once the average price of gas or diesel goes over $3.00 per gallon, the inability of local governments

to collect on anything above that rate will result in a loss of potential revenue. If diesel stays at $3.16 per gallon, the projected

revenue impact will be a loss of one-half of one cent per gallon for a jurisdiction with a 3% local sales tax rate.

The final version of the bill makes two changes to the Transportation Investment Act (TIA) by authorizing a self-start of the

regional transportation special purpose local option sales tax (TSPLOST) process and a single county special purpose local

option sales tax (SPLOST) for transportation purposes that can be levied at a fractional rate up to 1% in increments of .05 in

counties that are not currently in a TIA region. The self-start provision for regions wishing to adopt a regional TSPLOST

only requires the adoption of a resolution by a majority of the counties in the region. The region can also decide to levy a

fractional rate in .05% increments up to a 1% max which is a change from the first regional TSPLOST. All other processes

for regional TSPLOST remain the same and the law does not currently provide an opt-out for counties who do not wish to

participate.

With regard to the single county SPLOST for transportation purposes (TSPLOST 2), there are certain requirements that

must be met before calling for the referendum. First, only those counties that are not currently in a TIA region and have

either a current SPLOST, 2% LOST or MARTA tax in place can consider TSPLOST 2. Also, there is not a requirement that

the county enter into an intergovernmental agreement (IGA) with its cities. However, the absence of an IGA will cap the

rate of TSPLOST 2 at .75%. Otherwise, the IGA will determine the project list and the max rate up to 1% which must

account for at least 30% of the projected revenues to be spent on projects identified in the statewide transportation

improvement plan (STIP). The maximum number of years for the TSPLOST 2 is five. There is also a provision that allows

cities to call for a referendum if 90% or more of the county is municipalized and 60% of the municipal population adopts the

resolution. Currently, this only applies to Fulton County. Counties in the Metro Atlanta Region can call the referendum after

July 1, 2016. Counties throughout the rest of the state can call the referendum after July 1, 2017.

Lastly, there are a couple of state provisions that will impact local revenues, which include the heavy vehicle fee and the

increase in state motor fuel excise taxes. The law does not provide for a government exemption of the heavy vehicle fee,

which means local governments and schools will have to pay the $50 for all vehicles weighing between 15,000 and 26,000 lbs.

or a $100 annual fee for all vehicles weighing in excess of 26,000 lbs. Also, with the increase in state motor fuel excise tax,

local governments will pay more in state excise taxes for gas and diesel. Conversely, the increase in state motor fuel excise

revenue will benefit local governments through increased funding of the Local Maintenance and Improvement Grant

(LMIG) program. The state has projected a $60 million increase in revenue for every cent per gallon generated by the state

motor fuel excise tax. The law requires a minimum appropriation of 10% for the LMIG program with the average funding

percentage being between 11-13%. With a 7 cent per gallon increase in the state motor fuel excise tax projected to generate

an additional $420 million in revenue, local governments should see a minimum of $42 million in additional funding for

LMIG, which is about a 30% increase over current funding for the program.

Transportation Funding in Georgia

Continued…

The fiscal impact to local governments will be difficult to assess given the inability to forecast long term gas prices, however

retaining flexibility with current local sales taxes, generating more funding for LMIG, and the authorization to levy a single

county SPLOST for transportation purposes are positive tools that local governments may use to improve their local

transportation network.

Additional Transportation Funding Provisions in HB 170 and HB 106:

Convert to a straight excise tax at the state level by removing motor fuel from the sales tax base and increasing the

excise tax to 26 cents per gallon for gas and 29 cents per gallon for diesel;

Authorize an annual alternative fuel vehicle fee of $200 for personal and $300 for commercial use;

Authorize a state $5 per night hotel/motel fee, which will be required to be paid by local governments whose

officials are on local government business; and

Repeal the jet fuel tax exemption and the electric vehicle tax credit.

Article contributed by:

Shaun Adams, Associate Legislative Director for Economic Development and

Transportation, ACCG

The GGFOA Scholarship/Awards Committee is pleased to announce the two recipients of the Advanced

Government Finance Institute Scholarship:

Laurie Puckett and Tina Wetherford will attend the 2015 Government Finance Officers Association (GFOA) Advanced Government Finance Institute to be held July 26-31, 2015 at the University of Wisconsin – Madison. Please wish them well as they represent GGFOA at the institute. We look forward to their report at the annual conference.

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Transportation Funding in Georgia, continued

Advanced Government Finance Institute Scholarship Recipients Announced!

Laurie Puckett, CPA, Gwinnett

County Board of Commissioners

Tina Wetherford, City of

Gainesville

Excel Tip: Updating Links in Excel

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By J. Carlton Collins, CPA

January 1, 2015

Q: Our company has several dozen Excel 2013 workbooks loaded on our server with hundreds of links between them, and various employees keep these workbooks up to date. This solution works fairly well except that when our employees keep their workbooks open for extended periods of time, they occasionally forget to update their links and end up making decisions based on obsolete data. Could a macro be used to update our workbook links automatically on a periodic basis?

A: I would not recommend a macro approach to solving this problem. Instead, you should enable automatic link updates in Excel 2013 by selecting File, Options, Trust Center, Trust Center Settings, External Content, and under the section labeled Security settings for Workbook Links, select Enable automatic update for all Workbook Links, and then click OK.

Because this action grants automatic “write permissions” to all workbooks, Microsoft does not recommend this setting

(because this setting is riskier as it removes the security barrier requiring users to manually authorize updates); but if you

are confident that all of your workbooks are safe, this setting adjustment may help resolve your link update issues.

J. Carlton Collins (carlton@asaresearch.com) is a technology consultant, CPE instructor, and a JofA contributing editor.

Note: Instructions for Microsoft Office in “Technology Q&A” refer to the 2013, 2010, and 2007 versions, unless otherwise specified.

This article originally appeared in The Journal of Accountancy, Jan 2015. ©2015, AICPA. Reprinted by permission.

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Annual Conference Committee

Chairperson: Rachel Bembry

Responsible for organizing an informative, educational annual conference in which relevant issues concerning

cities, counties, and other governmental agencies are addressed.

Career Development Committee

Chairperson: Tracy Arner

Responsible for improving the professional and technical expertise of government finance officials and those

working with governments in various capacities through an expanded education program and other opportunities.

Communications Committee

Chairperson: Anna Payne

Responsible for providing a source of timely information concerning the organization, members, and any other

relevant topics that affect the membership. Distribute this current information on the website, in the newsletter,

and in special editions when appropriate. Provide for posterity, a written and photographic record including

GGFOA membership, offices, meetings, and other significant events.

Government Relations/Strategic Planning Committee

Chairperson: Peter Floyd

Responsible for providing input into the legislative, executive, and judicial policy processes at the state and federal

levels of government and focusing on laws and regulations that affect governmental finances. Committee also

monitors the implementation of the goals of the strategic plan on a five-year interval.

Membership Committee

Chairperson: Dan Defnall

Responsible for increasing membership and involvement in the Association by broadening the base of

participation and increasing awareness of the Association’s benefits.

Scholarship/Awards Committee

Chairperson: Linda Cook

Responsible for encouraging the participation of governmental entities in the Government Finance Officers

Distinguished Budget Presentation Award and Certificate of Achievement for Excellence in Financial Reporting

program, and for encouraging membership participation in GGFOA by providing a meaningful awards program

recognizing contributions of individual members. Scholarships will be awarded recognizing outstanding

performance by Georgia residents in undergraduate and/or graduate study in accounting/finance in order to

encourage careers in the public finance arena.

Technical Resources Committee

Chairperson: Peter Floyd

Responsible for serving the membership by initiating and developing information resources needed by the

government finance professional and by responding to technical inquiries and requests for information and

assistance.

GGFOA Committee Descriptions

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GGFOA will be celebrating its 30th Annual Conference this year and your conference committee has selected an

ideal venue, the only oceanfront Convention Center space in the Southeast! The conference will be held October

4 – 7, 2015 at the Jekyll Island Convention Center located at 110 Ocean Way, Jekyll Island, Georgia, 31527.

More information will follow closer to conference dates.

Career Development Committee News

The January 28, 2015 webinar presented by Kristi Hunt with Wells Fargo on Merchant Services - $$, Data and

Risk had 25 attendees.

The April 8, 2015 webinar presented by Dan McRae of Seyfarth Shaw LLP and John Hulsey of the Carl Vinson

Institute of Government on Understanding Tax Abatements had 25 attendees.

May 20, 2015 at 10 am Rachel Bembry and Laura Cook from JAT Consulting will present Grants Management

Strategies.

Registration is now open for the Grants Management Strategies webinar. Click here to register.

Members have free access to all previously recorded webinars and other resources by clicking here.

If you have ideas for 2016 webinar topics, email Tracy Arner, tarner@uga.edu.

Annual Conference Committee News

Communications Committee News

The newsletter distribution schedule for the remainder of 2015 is as follows:

7/15/15 – Articles, reports, news deadline

7/31/15 – Newsletter complete and distributed by email to membership

10/14/15 – Articles, reports, news deadline

10/30/15 – Newsletter complete and distributed by email to membership

If you have article contributions or topic suggestions for upcoming newsletters, please contact Anna Payne, Communications Committee Chair, at anna.payne@gwinnettcounty.com.

Technical Resources Committee News

GGFOA is excited to announce the launch of GGFOA’s new website! Please visit the site at www.ggfoa.org and

send your comments or suggestions to Peter Floyd, Technical Resources Committee Chair, at

peter.floyd@alston.com.

Government Relations/Strategic Planning Committee News

The Government Relations/Strategic Planning committee continues to place updated 2015 GGFOA Legislative

Reports on GGFOA’s website. Click here for the most recent report.

Membership Committee News

Need Free Training?

GGFOA is offering the following scholarships (click on each to view requirements and application deadline):

· Annual College Scholarship

· Level 1 Certified Finance Officer Scholarship

· GGFOA Conference Stipend

Applications for these scholarships are posted on the website. If you need more information, please contact Linda Cook at lcook@putnamcountyga.us (706-485-1879).

Annual College Scholarship – Application Due August 1, 2015 GGFOA offers two scholarships (limited to $1,500 annually) to students who are pursuing studies in public finance or public administration or a career in government finance.

Requirements: 1) Full-time resident of the State of Georgia 2) Full-time student at a State of Georgia accredited college or university during the

2015 fall semester * 3) Provide a nomination in letter form by the head of the applicable program at their college or university 4) Provide an official transcript of grades from their college or university 5) Proof of admission at a state of Georgia accredited college or university

*Part-time students may apply if they are employed full-time by the State of Georgia, a State agency, or a local unit of government and they have been a continuous three-year GGFOA member.

Level 1 Certified Finance Officer Scholarship - Application Due August 1, 2015 Interested in becoming a Certified Finance Officer? If so, take advantage of one of three $1,800 scholarships being awarded for participants who are completing the Carl Vinson Institute of Government’s Level One Finance Officer Certification Program. Recipients have three years to complete the program.

Requirements: 1) Current GGFOA member 2) Must currently work in a unit of local government 3) Provide a statement regarding why you think the certificate would improve your performance

GGFOA Conference Stipend – Application Due August 1, 2015 GGFOA offers stipends for registration and lodging for two members of GGFOA to attend the annual conference.

Priority consideration will be given to those who have been unable to attend the GGFOA annual conference

Requirements: 1) Applicant must be at least a three-year continuous member of the GGFOA at the time of the application

2) Applicant must submit a statement why he/she should be awarded one of the stipends

3) Applicant must provide a letter of support to attend the conference from his/her

current employer

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GGFOA Membership Report as of 3/31/2015

Regular Members 556

Associate Members 60

Student Members 2

Educator Members 4

Total Members 622

Scholarship/Awards Committee News

GGFOA Contacts

Alicia Serra, President aserra@gainesville.org Mike Bush, 1st Vice President mbush@fayetteville-ga.gov Diane McNabb, 2nd Vice President dmcnabb@cherokeega.com Alisha Gamble, Treasurer agamble@gainesville.org Dena Bosten, Secretary dbosten@dawsoncounty.org Arleen Samuels, Director asamuels@maconwater.org Alisha Gamble, Director agamble@gainesville.org Chiquita Danzy, Director cdanzy@milledgevillega.us John Hulsey, Historian jhulsey@uga.edu James Pehrson, Past President jpehrson@cobbcounty.org

This is the quarterly newsletter of the Georgia Government Finance Officers Association (GGFOA).

You have received this copy of the newsletter because you are a GGFOA member or are currently in our database.

Please visit GGFOA’s website at www.ggfoa.org to obtain information regarding GGFOA, its services, and activities. Please send news

articles to Anna Payne at anna.payne@gwinnettcounty.com.

GGFOA is not liable for the use of or reliance on any information contained in this newsletter.

Georgia Government Finance Officers Association , P.O. Box 105377, Atlanta, GA 30348.

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GFOA - What is the CPFO Program?

Take your government and career to the next level by becoming a CPFO.

The Certified Public Finance Officers Program (Certification Program) of the Government Finance Officers Association of the United

States and Canada (GFOA) is a broad educational self-study program designed to verify knowledge in the disciplines of government

finance. The Certification Program is governed by the Council on Certification. Technical and administrative support for the program is

provided by Radford University's Governmental and Nonprofit Assistance Center.

To earn the designation of Certified Public Finance Officer (CPFO), candidates must pass a series of five examinations covering the

major disciplines of public finance. A candidate has seven years in which to successfully complete the program. Once earned, the

CPFO designation is maintained by participating in 30 hours of continuing professional education (CPE) each year or 60 hours of CPE

credit if the CPFO files over a two year period.

While GFOA certifies that an individual who passes one or more of GFOA’s certification examinations demonstrates certain

competencies, GFOA withholds an opinion as to the capabilities of any individual to successfully perform in a given position. GFOA

encourages prospective employers and employees to share information regarding the

requirements of the position and the capabilities of the candidate in a forthright manner

to promote sound employment and professional decisions.

GGFOA can proctor the exam at our annual conference. If you need to schedule

the exam, contact Tracy Arner at tarner@uga.edu or John Hulsey at

jhulsey@uga.edu. Visit www.gfoa.org for more information regarding this

program.