HB 1137: MARTA; authority of local governing bodies to collect a 1 percent retail sales and use tax; extend sunset

Since 1965, the Metropolitan Atlanta Rapid Transit Authority Act has allowed local governments in the MARTA service area to collect a 1 percent retail sales and use tax to help fund transit operations. Under current law, that 1 percent rate is set to drop to 0.5 percent after June 30, 2057. This bill changes that sunset date. It amends Section 25 of the MARTA Act so the 1 percent rate continues until June 30, 2067, instead of 2057, before falling to 0.5 percent. No other part of the tax structure changes: it is still added on top of Georgia's regular state sales and use tax, and the State Revenue Commissioner still sets the collection rules. The change would take effect as soon as the Governor signs it or it otherwise becomes law.

• Extends the date when MARTA's 1 percent local sales and use tax rate is scheduled to drop to 0.5 percent, moving it from June 30, 2057 to June 30, 2067.
• Leaves the underlying 1 percent tax rate itself unchanged for the next several decades, only delaying its scheduled reduction.
• Keeps the tax structured as an add-on to Georgia's existing state sales and use tax (O.C.G.A. Title 48, Chapter 8).
• Leaves in place the State Revenue Commissioner's authority to set rules for collecting the tax in the affected areas.
• Sets the effective date as immediate upon the Governor's signature or the bill otherwise becoming law.

Residents and businesses in the local governments that participate in MARTA's sales tax district, who would keep paying the 1 percent rate for ten additional years, and MARTA itself, which relies on this tax for transit funding. The State Revenue Commissioner's office, which administers collection, is also involved.

Without this change, the MARTA sales tax would automatically drop from 1 percent to 0.5 percent after June 30, 2057, cutting transit funding in the metro Atlanta area. Extending the sunset to 2067 keeps that funding level steady for shoppers and local governments for another decade.

• Section 1 revises paragraph (1) of subsection (b) of Section 25 of the 1965 MARTA Act, changing the sunset date for the 1 percent tax rate from June 30, 2057 to June 30, 2067.
• Section 1 keeps the automatic reduction to 0.5 percent after the new sunset date, rather than eliminating the reduction entirely.
• Section 1 preserves the requirement that the tax be added to the state sales and use tax and that the State Revenue Commissioner set bracket-system collection rules.
• Section 2 makes the Act effective immediately upon the Governor's approval or upon becoming law without approval.
• Section 3 repeals any conflicting laws.

1. 2026-02-20House Committee Favorably Reported (House)
2. 2026-02-04House Second Readers (House)
3. 2026-02-03House First Readers (House)
4. 2026-02-02House Hopper (House)

• Deborah Silcox (R, HD-053)Primary sponsor
• Rick Jasperse (R, HD-011)
• Stacey Evans (D, HD-057)
• Inga Willis (D, HD-055)
• Long Tran (D, HD-080)
• Billy Mitchell (D, HD-088)

• MARTA
• sales tax
• public transit funding
• metro Atlanta