Georgia CommonsHouse · Introduced · 2025-2026 Regular Session
HB 934: Banking and finance; transfer regulation of securities and commodities from Secretary of State to Department of Banking and Finance
Last action February 5, 2026 · House Committee Favorably Reported By Substitute
A House substitute bill would move regulation of securities and commodities in Georgia from the Secretary of State to the Department of Banking and Finance, effective July 1, 2026, along with the staff, records, and legal duties that come with it.
The summaries below were written by an AI model (claude-sonnet-5) from the text of the bill and are not part of it. Quote the text, not the summary. The stored text is the Comm Sub version, the latest the General Assembly's website lists.
In plain language
Currently, the Georgia Secretary of State regulates securities (investments like stocks and bonds) and commodities (contracts tied to goods like crops or oil) under Georgia's Uniform Securities law (O.C.G.A. Title 10). This bill shifts that entire regulatory function to the Department of Banking and Finance starting July 1, 2026. The bill creates new Code sections giving the department's commissioner the power to regulate securities and commodities, handle ongoing investigations, and set rules. It also creates a 12-member advisory board with at least one member experienced in securities and one in commodities to advise the commissioner. Existing rules, contracts, and legal obligations of the Secretary of State related to these functions transfer to the department, and Secretary of State employees who worked on these duties become department employees with their pay, benefits, and leave preserved. The bill also updates the legal definition of 'Commissioner' in the securities and commodities statutes and removes references to the Secretary of State's authority to designate agents for the Commissioner of Securities.
What the bill does
- Transfers all regulatory powers, functions, and duties over securities and commodities from the Secretary of State to the Department of Banking and Finance effective July 1, 2026.
- Creates a 12-member advisory board appointed by the commissioner to advise on securities and commodities regulation, serving at the commissioner's pleasure.
- Moves any pending securities and commodities investigations from the Secretary of State's office directly to the department.
- Transfers Secretary of State employees who worked on these functions to the department, preserving their pay, benefits, and accrued leave.
- Changes the legal definition of 'Commissioner' in Georgia's Uniform Securities Code (O.C.G.A. § 10-5-2) from the Secretary of State to the commissioner of banking and finance.
- Removes the Secretary of State's authority to designate agents to accept legal service on behalf of the Commissioner of Securities.
Who it affects
The Secretary of State's office and its employees who currently handle securities and commodities regulation, the Department of Banking and Finance and its commissioner, investors and companies subject to securities and commodities law, and any parties with active investigations, contracts, or leases tied to the current regulatory functions.
Why it matters
Georgians and businesses who deal with investment securities or commodity contracts would now interact with the Department of Banking and Finance instead of the Secretary of State's office for licensing, enforcement, and investigations, changing which state agency oversees compliance and complaints in this area.
Key provisions
- Section 1 adds new Code sections (7-1-1140 through 7-1-1143) to Title 7 transferring securities and commodities regulation duties, investigations, records, rules, contracts, real property, and employees to the Department of Banking and Finance.
- Section 1 creates a 12-member advisory board with required expertise in securities and commodities regulation, serving in an advisory-only role.
- Section 2 revises the definition of 'Commissioner' in O.C.G.A. § 10-5-2 to mean the commissioner of banking and finance instead of the Secretary of State.
- Section 3 shifts administration of Georgia's securities law (O.C.G.A. § 10-5-70) from the Secretary of State to the commissioner of banking and finance.
- Section 4 shifts administration of Georgia's commodities law (O.C.G.A. § 10-5A-24) from the Secretary of State's office to the commissioner of banking and finance.
- Section 5 removes the Secretary of State's power to designate agents for service of process on behalf of the Commissioner of Securities (O.C.G.A. § 45-13-26).
- Section 6 sets the effective date of the entire Act as July 1, 2026.
From the bill
“The powers, functions, duties, and obligations of the Secretary of State as they exist on June 30, 2026, with regard to securities regulation pursuant to Chapter 5 and commodities regulation pursuant to Chapter 5A of Title 10, are transferred to the department effective July 1, 2026.”
“On and after July 1, 2026, any ongoing securities and commodities investigations with the office of the Secretary of State shall immediately transfer to the department.”
“The commissioner shall appoint an advisory board, consisting of up to 12 members.”
Discussed in meetings (5)
The House and Senate meetings that took this bill up, from their machine transcripts. Each account was written by Georgia Commons with AI and is not part of the record; the video is what was said.
House Banks & Banking Committee, February 5, 2026
From 0:19:01 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The chair, serving as sponsor, said HB 934 would transfer securities and commodities regulation, ongoing investigations and related employees to the Department of Banking and Finance on July 1, 2026. The sponsor also described an advisory board of up to 12 members, including at least one with securities regulation experience. The assistant securities commissioner urged a study committee and fiscal estimate, warning of technology costs, disruption and possible loss of institutional knowledge. The official favored stronger coordination instead. Members questioned why the office had not investigated First Liberty earlier despite advertising. One member cited an SEC complaint alleging $140 million in investor harm. The official said the office received no earlier complaint or referral and opened an investigation after SEC notification on July 1. The senior enforcement attorney said staff had not seen the advertisements. Officials agreed to check reports of earlier bank inquiries and possible FDIC contacts. Supporters said the banking department had relevant expertise and favored oversight by an appointed commissioner who cannot receive campaign contributions. Another member favored studying the transfer and questioned political appointments to the advisory board. Members raised concerns about transition costs and the absence of a fiscal note. The sponsor said funding could be addressed with appropriations leaders. A question about possible nullification of earlier actions was deferred. The committee approved the bill by voice vote, with opposition heard and no count announced.
House Rules Committee, February 9, 2026
From 0:29:08 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The sponsor said HB 934 would transfer securities and commodities regulation from the Secretary of State to the Department of Banking and Finance, an arrangement used in 21 other states, to reduce fraud and abuse. One member asked whether it would hinder the First Liberty investigation, described by that member as a $140 million Ponzi scheme. The sponsor ultimately said no, explaining that staff would transfer on July 1, 2026. A second member said the SEC was leading the investigation and criticized state enforcement; the sponsor agreed about the SEC's role. A third member questioned the timing, budget concerns, staff protections and remaining workloads. The sponsor said a budget letter had been discussed in committee and acknowledged that the banking commissioner could make personnel changes after the transfer. Another member argued that scattered authority had contributed to the problem. A further member noted that the Secretary of State could already replace investigators and that both jobs and staff would move; the sponsor agreed. Asked about cemetery and funeral-director investigations, the sponsor said those would remain with the Secretary of State. No calendar action was taken.
Status timeline
- House Committee Favorably Reported By Substitute (House)
- House Second Readers (House)
- House First Readers (House)
- House Hopper (House)
Sponsors
- Noel Williams, Jr. (R, HD-148)
- Chuck Efstration (R, HD-104)
- Bruce Williamson (R, HD-112)
- Jan Jones (R, HD-47)
- James Burchett (R, HD-176)
- Carter Barrett (R, HD-24)
Topics
- securities regulation
- commodities regulation
- Department of Banking and Finance
- Secretary of State
- state government reorganization