SB432: SB432 Education; nonlapsing revenue of institutions of the University System of Georgia and units of the Technical College System of Georgia; extend automatic repeals

Under current Georgia law, University System of Georgia institutions and Technical College System of Georgia institutions are allowed to keep (rather than lose, or 'lapse') certain revenue from tuition, fees, and service sales. That permission was set to expire on July 1, 2026. This bill pushes that expiration date back five years, to July 1, 2031, for both systems. The bill also touches a separate law about writing off small unpaid debts owed to the state (O.C.G.A. § 50-16-18). Right now, state agencies can write off debts of $100 or less, while University System and Technical College System institutions can write off debts up to $3,000, but that higher $3,000 threshold was set to expire in 2026 and drop to the standard $100 limit. This bill delays that drop, keeping the $3,000 threshold in place until July 1, 2031. The changes take effect as soon as the Governor signs the bill or it becomes law without a signature.

• Extends from July 1, 2026 to July 1, 2031 the rule letting University System of Georgia institutions keep nonlapsing revenue from tuition, fees, and service sales.
• Extends the same nonlapsing revenue rule for Technical College System of Georgia institutions to July 1, 2031, keeping the tuition cap at 15 percent.
• Delays until July 1, 2031 the reduction of the small-debt write-off threshold for University System and Technical College System institutions from $3,000 back down to $100.
• Keeps in place the existing annual reporting requirement that requires university and technical college boards to report nonlapsing revenue details to the Governor and legislative budget leaders by October 15 each year.

University System of Georgia institutions, Technical College System of Georgia institutions, students paying tuition and fees at those schools, and state agencies and departments that manage small unpaid debts owed to the state.

Without this extension, university and technical college systems would have lost the ability to retain certain tuition and fee revenue starting in mid-2026, and their higher debt write-off threshold would have dropped sharply, changing how they manage budgets and uncollectible small debts.

• Section 1 amends O.C.G.A. § 20-3-86 to push the repeal date for the University System's nonlapsing revenue rule from 2026 to 2031, keeping the tuition cap at 3 percent.
• Section 2 amends O.C.G.A. § 20-4-21.1 to push the repeal date for the Technical College System's nonlapsing revenue rule from 2026 to 2031, keeping the tuition cap at 15 percent.
• Section 3 amends O.C.G.A. § 50-16-18(b) to delay until 2031 the drop from a $3,000 to a $100 threshold for writing off small debts owed to University System and Technical College System institutions.
• Section 4 makes the Act effective immediately upon the Governor's signature or upon becoming law without signature.
• Section 5 repeals any conflicting laws.

1. 2026-05-11Effective Date 2026-05-11
2. 2026-05-11Act 471
3. 2026-05-11Senate Date Signed by Governor (Senate)
4. 2026-04-10Senate Sent to Governor (Senate)
5. 2026-03-16House Passed/Adopted (House)
6. 2026-03-16House Third Readers (House)
7. 2026-03-12House Committee Favorably Reported (House)
8. 2026-02-20House Second Readers (House)

• Larry Walker (R, SD-020)Primary sponsor
• Jason Anavitarte (R, SD-031)
• Max Burns (R, SD-023)
• Billy Hickman (R, SD-004)
• Harold Jones (D, SD-022)
• Matt Brass (R, SD-006)
• Randy Robertson (R, SD-029)
• Bo Hatchett (R, SD-050)
• Shawn Still (R, SD-048)
• Ben Watson (R, SD-001)
• Chuck Hufstetler (R, SD-052)
• Chuck Payne (R, SD-054)
• Bill Cowsert (R, SD-046)
• Kay Kirkpatrick (R, SD-032)
• Frank Ginn (R, SD-047)
• Sonya Halpern (D, SD-039)
• Nan Orrock (D, SD-036)
• Jan Jones (R, HD-047)

1. PassedSenate voteFebruary 18, 2026

   30 yea, 21 nay (1 not voting, 2 absent)

   Motion To Engross: Sb 432, Sb 446: Senate Vote #553

2. PassedSenate voteFebruary 18, 2026

   47 yea, 0 nay (4 not voting, 3 absent)

   Passage By Substitute: Senate Vote #554

3. PassedHouse voteMarch 16, 2026

   153 yea, 2 nay (6 not voting, 15 absent)

   Passage: House Vote #707

• higher education funding
• University System of Georgia
• Technical College System of Georgia
• state debt collection
• tuition revenue