Ballot Amendments Explained

An amazing article by Georgia Public Radio:

http://www.gpb.org/news/2010/10/27/ballot-amendments-explained

Ballot Amendments Explained By Courtney Ward Updated: 7 hours ago
ATLANTA — Voters will decide on five amendments to the state constitution (Image courtesy CL Atlanta)On November 2, Georgia voters will make decisions on five amendments to the state constitution and a referendum. The purpose of Amendent 1, 2, 3, 4, and 5 and Referendum A are explained.

Amendment 1: Making non-compete agreements more binding

“Shall the Constitution of Georgia be amended so as to make Georgia more economically competitive by authorizing legislation to uphold reasonable competitive agreements?”

By: Orlando Montoya

Supporters and opponents of little-known ballot questions are trying to get their voices heard as November nears.

Of this year’s five ballot questions, the first would amend the state constitution to address non-compete contracts.

This could affect worker-employee relations in Georgia.

So-called “non-competes” are contracts that some employees have to sign as a condition of being hired.

They basically say that if a worker leaves his or her job, he or she cannot directly compete with his or her former employer.

Amendment One would strengthen such contracts.

Atlanta-based employment lawyer Cheryl Lagare opposes the amendment, whose ballot language states that it will make Georgia “more economically competitive.”

In fact, Lagare says, the amendment would make Georgia less competitive to new businesses by restricting whom companies can hire and where employees can work.

“If you’re the best at what you do, but you’re subject to a non-compete with your employer, you won’t be able to work for the new company nor will you be able to become an entrepreneur,” Lagare says. “Current businesses in Georgia don’t want competition.”

Non-competes are a pain to some workers, including, it must be noted, to many in broadcast media, where the contracts are common.

(Many news anchors are prohibited from appearing on rival television stations for certain periods of time after they leave one station.)

But other industries employ them, as well, including those that rely on technical and sales expertise.

Cynthia Reichard of the Marietta-based fragrance company Arylessence says, she uses non-compete contracts to protect her investment.

“If I bring in an employee and then they move and they jump ship and go to another company, they take all of our contacts and all of our customers and potentially can take that business away from the company.”

Reichard uses the example of a business owner who takes the risk of signing over his or her home to start a business, only to be undercut by a defecting employee.

Both sides say the other is overstating just how much the amendment would affect worker-employer relations.

That’s because the amendment actually deals with the role of judges in non-compete litigation.

The amendment would give judges more of a say in deciding whether the terms of these agreements are fair.

Right now, if a judge deems a non-compete unfair, the judge must strike down the entire contract.

If the amendment passes, judges could strike down only the unfair portions of the contract, allowing the rest to stand.

That has the effect of strengthening the contracts.

But as to whom that benefits, again, there is disagreement.

“Employers would rather draft non-competes as broadly as possible and see what sticks in court,” says Lagare, the employment lawyer. “It’s going to be all judges that decide what these contracts mean.”

“I think it benefits both,” Reichard says. “Just as there are unscrupulous employees, there are unscrupulous employers.”

Voters will settle the question in November.

Amendment 2: Providing funding for trauma centers

“Shall the Constitution of Georgia be amended so as to impose an annual $10.00 trauma charge on certain passenger motor vehicles in this state for the purpose of funding trauma care?”

By: Noel Brown

Amendment 2 would add a $10 fee to the annual car tag.

The money would then be placed in a trust fund to help pay for Georgia’s trauma care network.

That includes adding more level 1 trauma care centers around the state.

They specialize in treating the most severe trauma cases such as head injuries resulting from car accidents.

Currently the state only has 4: in Atlanta, Macon, Savannah and at the Medical College of Georgia in Augusta.

Regina Modeiros is the Trauma Coordinator for MCG Health.

She says the money would insure that Georgian’s living outside those areas get the critical help they need within the hour.

“Because we have limited resources a lot of places are outside that window where they can receive that definitive high level of care within that 60 minutes,” Modeiros said.”

Georgia has 17 trauma centers equipped to deal with less severe injuries.

By: Melissa Stiers

Over a hundred people rallied at the state capital in Atlanta Tuesday to support an amendment which would raise money for the state’s trauma care network. Amendment 2 would create an annual ten dollar tag fee to fund the ailing system.

Most of the Amendment 2 supporters on the steps of the capital were health care providers. They pointed out Georgia has just 16 trauma care centers and most of them are in the metro-Atlanta area.

Chad Black is a paramedic in north Georgia. He says throughout the course of his 26-year career, he’s seen firsthand how serious the demand for more trauma care is.

“It’s been very difficult watching people die that shouldn’t die… lying in an emergency room three to four hours in rural Georgia,” says Black. “That they couldn’t get accepted into a trauma center is not acceptable to me.”

Amendment 2 would raise $80 million a year designated for a trauma care fund.

Charlotte Laverty is voting for it. Her 17-year old son died in a car accident five months ago. She says despite his death, he was given all the care he needed at a Columbus trauma care center, and all Georgians should have the same access to care.

“Just think it could be your neighbor, it could be your son, it could be your mother, it could be your best friend. Ten dollars, please vote yes,” says Laverty.

Opponents of the amendment say the details are unclear of exactly where the money would be spent.

Amendment 3: Change in transportation funding

“Shall the Constitution of Georgia be amended so as to allow the Georgia Department of Transportation to enter into multiyear construction agreements without requiring appropriations in the current fiscal year for the total amount of payments that would be due under the entire agreement so as to reduce long-term construction costs paid by the state?”

By: Orlando Montoya

Supporters and opponents of little-known ballot questions are trying to get their voices heard as November nears.

Of this year’s five ballot questions, the first would amend the state constitution to address non-compete contracts.

This could affect worker-employee relations in Georgia.

So-called “non-competes” are contracts that some employees have to sign as a condition of being hired.

They basically say that if a worker leaves his or her job, he or she cannot directly compete with his or her former employer.

Amendment One would strengthen such contracts.

Atlanta-based employment lawyer Cheryl Lagare opposes the amendment, whose ballot language states that it will make Georgia “more economically competitive.”

In fact, Lagare says, the amendment would make Georgia less competitive to new businesses by restricting whom companies can hire and where employees can work.

“If you’re the best at what you do, but you’re subject to a non-compete with your employer, you won’t be able to work for the new company nor will you be able to become an entrepreneur,” Lagare says. “Current businesses in Georgia don’t want competition.”

Non-competes are a pain to some workers, including, it must be noted, to many in broadcast media, where the contracts are common.

(Many news anchors are prohibited from appearing on rival television stations for certain periods of time after they leave one station.)

But other industries employ them, as well, including those that rely on technical and sales expertise.

Cynthia Reichard of the Marietta-based fragrance company Arylessence says, she uses non-compete contracts to protect her investment.

“If I bring in an employee and then they move and they jump ship and go to another company, they take all of our contacts and all of our customers and potentially can take that business away from the company.”

Reichard uses the example of a business owner who takes the risk of signing over his or her home to start a business, only to be undercut by a defecting employee.

Both sides say the other is overstating just how much the amendment would affect worker-employer relations.

That’s because the amendment actually deals with the role of judges in non-compete litigation.

The amendment would give judges more of a say in deciding whether the terms of these agreements are fair.

Right now, if a judge deems a non-compete unfair, the judge must strike down the entire contract.

If the amendment passes, judges could strike down only the unfair portions of the contract, allowing the rest to stand.

That has the effect of strengthening the contracts.

But as to whom that benefits, again, there is disagreement.

“Employers would rather draft non-competes as broadly as possible and see what sticks in court,” says Lagare, the employment lawyer. “It’s going to be all judges that decide what these contracts mean.”

“I think it benefits both,” Reichard says. “Just as there are unscrupulous employees, there are unscrupulous employers.”

Voters will settle the question in November.

Amendment 4: Allowing state multiyear contracts

“Shall the Constitution of Georgia be amended so as to provide for guaranteed cost savings for the state by authorizing a state entity to enter into multiyear contracts which obligate state funds for energy efficiency or conservation improvement projects?”

By: Melissa Stiers

A constitutional amendment to help the state save in utility costs will be on the November ballot.

Amendment Four would make it easier for the state to upgrade its buildings so they can be more water and energy efficient.

Right now the state is barred from entering in multi-year contracts with companies. The state constitution was written that way in order to prevent the state from incurring debt. Jason Rooks is heading up a campaign to make an exception to the rule when it comes to utility improvements.

“The state can not upgrade state buildings unless they pay for those savings upfront. Whereas in most situations in the private sector the building owner can finance upgrades and pay for it through the savings from the energy or water conservation,” says Rooks.

Rooks says Amendment 4 would lift the restriction solely for energy-efficient and water conservation projects that guarantee savings.

The state currently spends more than $200 million every year for utilities. Rooks says upgrades could cut that cost by a third.

Amendment 5: Allowing owners of industrial area property to get city services

“Shall the Constitution of Georgia be amended so as to allow the owners of real property located in industrial areas to remove the property from the industrial area?”

By Orlando Montoya

Voters across the state next month will decide a ballot measure that affects smalls areas of just two counties.

Amendment 5 deals with city annexation.

A small group of property owners in unincorporated Chatham County wants to be annexed into a nearby city.

That’s normally a matter for local government.

So why is the entire state voting on it?

Garden City State Rep. Bob Bryant says, it’s a legal quirk that deals with industrial areas, two of which were enshrined long ago in the state constitution.

“This is last one on the books,” says Bryant, who sponsored legislation in the General Assembly to put the amendment on the ballot. “And consequently, once we get this done, we’ll be finished with this type of action.”

Still, the amendment’s reach is amazingly small for the entire state to be voting on it.

When asked exactly what’s in the Chatham County industrial area that could be annexed into either Savannah or Garden City, Bryant says, “You have an Applebee’s, a weekly stay type hotel and a few trucking locations where they keep containers. However, most of it is just land that’s not being used.”

Bryant says, he sponsored the legislation because he was responding to his constituents, who want the choice of being annexed to access city services.

The other industrial area enshrined in the state constitution is in Jeff Davis county.

Amendment 5 has drawn little interest or controversy.

Referendum A: Removing the state inventory tax on Businesses

“Shall the Act be approved which grants an exemption from state ad valorem taxation for inventory of a business?”

By: Melissa Stiers
Georgians will vote on whether the state should tax businesses on their inventory come election day. Referendum A would get rid of the state inventory tax.

Kelly McCutcheon with the pro-business Georgia Public Policy Foundation says it would make the state more business-friendly.

“The inventory tax is something that makes Georgia uncompetitive particularly in distribution centers and warehouses where you see very often those being located across the border,” says McCutcheon.

The state collects about $2 million from the inventory tax every year. Referendum A applies only to the state inventory tax. Local government could still tax inventories.

Sarah Beth Gehl with the Georgia Budget and Policy Institute which is typically critical of business tax breaks in this down economy says the tax collects so little, it’s not a great loss to state revenue.

“Well it’s actually a very small amount especially in the scheme of the state budget,” says Gehl.

Georgia’s budget this year is $17 billion.

Georgia is the only southeastern state with a state-wide inventory tax.

This entry was posted in Uncategorized. Bookmark the permalink.

1 Response to Ballot Amendments Explained

  1. Emmanuel says:

    “Amendment 3: Change in transportation funding” was not explained in this article; the explanation for Amendment 1 was repeated twice.

Leave a comment