SB206: SB206 "South Georgia Energy Authority Act"; enact

This bill creates the South Georgia Energy Authority, a new public corporation that is a political subdivision of the state but not a state agency. It is meant to help the cities of Ashburn, Douglas, Fitzgerald, Ocilla, and Tifton secure natural gas supplies and build the pipelines and systems to transmit and sell gas, including directly to consumers. The Authority would be governed by an eight member board made up of each city's mayor or a mayoral appointee, plus three members chosen for economic development experience. It can issue revenue bonds to pay for gas projects, set its own rates and fees, and is exempt from regulation by the Georgia Public Service Commission and from state and local taxes. It has no power to tax anyone itself, cannot pledge the state's credit, and its property cannot be seized to satisfy debts. The Authority's main office and legal venue would be in Coffee County, and the bill takes effect upon passage.

• Creates the South Georgia Energy Authority as a public corporation and political subdivision of Georgia, separate from any state agency, to handle natural gas projects for five cities.
• Sets up an eight member governing board: one appointee from each of five city mayors, plus three members chosen for economic development experience, serving four year terms.
• Gives the Authority power to issue revenue bonds, borrow money, and pledge project revenues to pay off bonds, without obligating the state or any city's credit.
• Exempts the Authority's property, bonds, and operations from state and local taxes and from regulation by the Georgia Public Service Commission.
• Grants the Authority the same tort immunity as a municipality and lets it acquire property, including by condemnation, for gas projects.
• Denies the Authority any power to levy or collect taxes and sets Coffee County as its legal home and venue for lawsuits.

The five south Georgia cities of Ashburn, Douglas, Fitzgerald, Ocilla, and Tifton and their local governments; residents and businesses who receive natural gas service; bondholders who might invest in the Authority's revenue bonds; and Coffee County courts, which would handle related legal disputes.

The new Authority would let these five cities jointly secure natural gas supplies and build transmission systems, potentially affecting gas availability, pricing, and service for residents and businesses in the region, while creating a new bond-issuing government body operating outside standard Public Service Commission oversight.

• Section 2 establishes the Authority as a public body corporate and politic, exempt from certain state agency oversight laws, with perpetual existence.
• Section 4 states the Authority's purpose: acquiring natural gas supplies and transmitting and distributing them to the Cities' utilities and directly to consumers.
• Section 5 sets the eight member board structure, four year terms for appointed members, quorum rules, and unpaid service with expense reimbursement only.
• Section 6 lists broad general powers, including buying and condemning property, contracting for up to 50 years, and borrowing money through revenue bonds.
• Section 9 clarifies that Authority bonds do not pledge the state's or any city's credit and are payable only from Authority revenues.
• Section 17 sets Coffee County as the Authority's principal office and the required venue for lawsuits and bond validation actions.
• Section 18 exempts the Authority from Georgia Public Service Commission regulation, treating it like a municipality for gas transmission and distribution matters.
• Section 24 explicitly denies the Authority any power to levy, impose, or collect taxes.

1. 2025-05-13Effective Date 2025-05-13
2. 2025-05-13Act 245
3. 2025-05-13Senate Date Signed by Governor (Senate)
4. 2025-04-07Senate Sent to Governor (Senate)
5. 2025-03-28House Passed/Adopted (House)
6. 2025-03-28House Third Readers (House)
7. 2025-03-28House Committee Favorably Reported (House)
8. 2025-03-06House Second Readers (House)

• Carden Summers (R, SD-013)Primary sponsor
• Blake Tillery (R, SD-019)
• Noel Williams (R, HD-148)

1. PassedSenate voteMarch 3, 2025

   52 yea, 0 nay (4 not voting, 0 absent)

   Local Consent Calendar: Senate Vote #114

2. PassedHouse voteMarch 28, 2025

   160 yea, 0 nay (8 not voting, 12 absent)

   Local Calendar : House Vote #332

• natural gas
• public authorities
• south Georgia cities
• utility regulation
• municipal bonds