Senate · Passed · 2025-2026 Regular Session
SB 432: Education; nonlapsing revenue of institutions of the University System of Georgia and units of the Technical College System of Georgia; extend automatic repeals
Last action May 11, 2026 · Effective Date
A Georgia Senate bill extends, from 2026 to 2031, the deadlines before certain university and technical college revenue rules and a state debt write-off rule automatically expire.
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 Enrolled version, the latest the General Assembly's website lists.
In plain language
Current Georgia law lets University System of Georgia institutions keep a portion of tuition, fees, and related revenue instead of having it lapse back to the state, and it lets the Technical College System of Georgia do the same. Both of these nonlapsing revenue provisions are set to automatically repeal on July 1, 2026 unless extended. A related law lets state agencies write off small uncollectable debts, with a higher $3,000 threshold for university and technical college institutions; that provision is also set to expire in 2026. This bill pushes all three automatic repeal dates back five years, to July 1, 2031, so the nonlapsing revenue rules and the debt write-off rules keep operating without a gap. It does not change the underlying dollar limits, percentages, or reporting requirements, only the sunset dates. The law would take effect as soon as the Governor signs it or it becomes law without his signature.
What the bill does
- Extends the automatic repeal date for the University System of Georgia's nonlapsing tuition and fee revenue rule (O.C.G.A. § 20-3-86) from July 1, 2026 to July 1, 2031.
- Extends the automatic repeal date for the Technical College System of Georgia's nonlapsing revenue rule (O.C.G.A. § 20-4-21.1) from July 1, 2026 to July 1, 2031.
- Extends the repeal date for the state's small debt write-off rule (O.C.G.A. § 50-16-18), which lets agencies discharge small uncollectable debts, from July 1, 2026 to July 1, 2031.
- Keeps unchanged the existing dollar caps: $100 for most state agencies and $3,000 for University System and Technical College System institutions.
- Keeps unchanged the 3 percent cap on nonlapsing tuition revenue for university system institutions and the 15 percent cap for technical college institutions.
- Sets the law to take effect immediately upon the Governor's signature or upon becoming law without signature.
Who it affects
University System of Georgia institutions, Technical College System of Georgia institutions, the Board of Regents, the State Board of the Technical College System, and state agencies and departments that write off small uncollectable debts owed to the state.
Why it matters
Without this extension, university and technical college systems would lose their ability to retain tuition and fee revenue that would otherwise lapse, and state agencies would lose their higher $3,000 debt write-off threshold for these institutions starting in mid-2026. The bill keeps these financial tools in place through 2031.
Key provisions
- Section 1 revises O.C.G.A. § 20-3-86 to move the University System nonlapsing revenue rule's repeal date from 2026 to 2031, and clarifies the section 'stands repealed and reserved,' preserving its future re-enactment status.
- Section 2 revises O.C.G.A. § 20-4-21.1 to move the Technical College System nonlapsing revenue rule's repeal date from 2026 to 2031.
- Section 3 revises O.C.G.A. § 50-16-18(b) to move both the higher $3,000 threshold provision for university and technical college institutions and the general $100 threshold provision's repeal and effective dates from 2026 to 2031.
- Section 4 makes the Act effective immediately upon the Governor's approval or upon becoming law without his signature.
- Section 5 repeals any conflicting laws.
From the bill
“the obligation or charge in favor of the institution under the Board of Regents of the University System of Georgia or the institution of the Technical College System of Georgia may be $3,000.00 or any lesser amount”
Discussed in meetings (12)
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.
Senate Finance Committee, February 11, 2026
From 0:24:06 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The sponsor said the measure would extend existing authority for the University System of Georgia and Technical College System of Georgia to carry certain revenues into future years for five years, through 2031. It would also extend authority to write off uncollectible amounts below $3,000 after diligent collection efforts. The sponsor said a substitute only corrected section numbering. The sponsor argued that reserves discourage year-end spending simply to avoid losing funds and help cover emergencies and longer-term projects. Asked about balances, the sponsor reported roughly $505 million for universities and $76.6 million for technical colleges. In response to questions about the funds’ age and sources, the university system’s chancellor described rolling balances and clarified that the money comes from tuition, fees, research-related income and services, not state appropriations. The chancellor said annual reports document its use, reserves earn interest, and collection efforts continue after debts are written off. The technical college commissioner said reserves bridge funding delays between academic and fiscal years and help accommodate enrollment growth before formula funding catches up. The committee unanimously approved the substitute.
Senate Rules Committee, February 17, 2026
From 0:19:29 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: In an earlier presentation, the sponsor said SB 432 would extend until July 1, 2031, the authority of the University System of Georgia and Technical College System of Georgia to carry forward a percentage of their funds rather than have those funds lapse. In response to the chair, the sponsor described these as strategic reserve carry-forward funds. A committee member later selected the bill for floor consideration. The committee unanimously approved a calendar containing this bill and two others.
Senate floor session, February 18, 2026 (legislative day 20)
From 1:46:40 · Watch on the General Assembly's Vimeo channel · Confirmed by the bill's status history (Senate Engrossed)
Summary by Georgia Commons: The sponsor said SB 432 would extend for five years the University System of Georgia’s and Technical College System of Georgia’s authority to carry unused earned revenue into later years, rather than lose it at year-end. The sponsor said the current authority expires July 1, 2026. The sponsor described tuition, technology fees, service revenue and other receipts as sources of these reserves, saying they help institutions avoid rushed spending and pay for repairs, parking facilities, technology and smaller projects without returning to the legislature. The sponsor also said the bill would continue authority to write off uncollectible amounts up to $3,000 while collection efforts continue. One supporting senator emphasized that the reserves were not state appropriations. A second supporting senator said financial flexibility could prevent delays and higher long-term costs. No substantive questions were asked. The Senate first voted 30-21 on a joint motion to prevent floor amendments to this measure and SB 446. The Senate then adopted the Finance Committee substitute without objection and passed SB 432 by 47-0.
House Higher Education Committee, March 11, 2026
From 0:26:47 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The sponsor said SB 432 would extend for five years authority for the University System of Georgia and Technical College System of Georgia to carry certain unspent revenue into later fiscal years. The sponsor said this authority expires June 30, 2026, excludes state appropriations, and limits tuition revenue carried forward to 3% for the university system and 15% for technical colleges. The sponsor described reserves as useful for long-term grants, maintenance and unexpected expenses. The bill would also extend authority to write off debts of $3,000 or less after collection efforts, which the chair clarified was already in law. Asked why the authority should expire periodically rather than become permanent, the sponsor said renewal gives lawmakers an opportunity to review its use. Another member asked whether reserves helped keep tuition flat. The sponsor said reserves provide financial flexibility and help reduce pressure to raise tuition. The committee waived its usual policy against acting at a first hearing and approved a do-pass recommendation to the Rules Committee by voice vote. No opposing votes were heard.
House Rules Committee, March 16, 2026
From 0:33:07 · Watch on the General Assembly's Vimeo channel
Summary by Georgia Commons: The sponsor said SB 432 would extend for five years the authority of the University System of Georgia and Technical College System of Georgia to carry forward some funds as strategic reserves. The sponsor said the practice began in 2003 and had been renewed about six times. No questions were asked. The committee later placed the bill on the floor calendar without objection.
House floor session, March 16, 2026 (legislative day 32)
From 1:31:52 · Watch on the General Assembly's Vimeo channel · Confirmed by the 2026 House Journal, p. 2650
Summary by Georgia Commons: The presenter said SB 432 would extend an expiration date from July 2026 to July 2031. The presenter explained that the provision, in place since 2003, allows the university and technical college systems to retain certain tuition and fee revenues rather than let them expire, subject to a limit of 3% of tuition collected. There were no questions. The House passed the bill 153-2.
- Read aloud: Senate floor session, January 29, 2026 (legislative day 9), 0:42:19
- Read aloud: Senate floor session, February 12, 2026 (legislative day 18), 0:25:20
- Read aloud: Senate floor session, February 17, 2026 (legislative day 19), 0:35:00
- Read aloud: House floor session, February 19, 2026 (legislative day 21), 0:34:16
- Read aloud: House floor session, February 20, 2026 (legislative day 22), 0:44:44
- Read aloud: House floor session, March 12, 2026 (legislative day 31), 0:48:36
Status timeline
- Effective Date
- Act 471
- Senate Date Signed by Governor (Senate)
- Senate Sent to Governor (Senate)
- House Passed/Adopted (House)
- House Third Readers (House)
- House Committee Favorably Reported (House)
- House Second Readers (House)
Show full history (16 actions)
- House First Readers (House)
- Senate Passed/Adopted By Substitute (Senate)
- Senate Third Read (Senate)
- Senate Engrossed (Senate)
- Senate Read Second Time (Senate)
- Senate Committee Favorably Reported By Substitute (Senate)
- Senate Read and Referred (Senate)
- Senate Hopper (Senate)
Sponsors
- Larry Walker, III (R, SD-20)
- Jason Anavitarte (R, SD-31)
- Max Burns (R, SD-23)
- Billy Hickman (R, SD-4)
- Harold Jones II (D, SD-22)
- Matt Brass (R, SD-6)
- Randy Robertson (R, SD-29)
- Bo Hatchett (R, SD-50)
- Shawn Still (R, SD-48)
- Ben Watson (R, SD-1)
- Chuck Hufstetler (R, SD-52)
- Chuck Payne (R, SD-54)
- Bill Cowsert (R, SD-46)
- Kay Kirkpatrick (R, SD-32)
- Frank Ginn (R, SD-47)
- Sonya Halpern (D, SD-39)
- Nan Orrock (D, SD-36)
- Jan Jones (R, HD-47)
Votes
- Senate voteFebruary 18, 2026
30 yea, 21 nay (1 not voting, 2 excused)
- Senate voteFebruary 18, 2026
47 yea, 0 nay (4 not voting, 3 excused)
- House voteMarch 16, 2026
153 yea, 2 nay (6 not voting, 15 excused)
Topics
- higher education funding
- University System of Georgia
- Technical College System of Georgia
- state debt collection
- tuition revenue