HB317: HB317 Workforce and Residential Infrastructure District for Georgia Act; enact

Georgia currently has limited tools for financing infrastructure inside new residential and commercial developments. This bill would add a new chapter to state law (O.C.G.A. Title 36) called the Workforce and Residential Infrastructure District for Georgia Act. It sets up a uniform process for landowners to petition a county or city to create a 'community development district,' a special-purpose local government run by an elected board of supervisors that can build and maintain roads, water and sewer systems, parks, security features and other facilities within its boundaries. The district would be able to borrow money, issue bonds, and impose special assessments or, once its board is elected rather than appointed, ad valorem (property) taxes on land inside the district to pay for these improvements. Landowners are only liable for debts tied to their own property. Contracts to sell land inside a district must disclose the taxing power in bold print. The bill would only take effect on January 1, 2027, and only if voters ratify a constitutional amendment authorizing these districts at the November 2026 statewide election; otherwise it is automatically repealed.

• Creates a new type of local special district, a 'community development district,' that counties and cities can approve by resolution to finance infrastructure for new developments.
• Establishes a five-member board of supervisors, initially appointed and later elected by landowners or qualified electors, to run each district.
• Authorizes districts to issue bonds, bond anticipation notes, and other debt, and to levy special assessments or ad valorem property taxes on land inside the district to repay that debt.
• Gives districts specific powers to build and maintain roads, water and sewer systems, parks, drainage, security features, and other community facilities, subject to local governments' zoning and permitting authority.
• Requires disclosure to buyers of property inside a district, including bold-print language in sale contracts warning of the district's taxing power.
• Makes the entire Act contingent on Georgia voters approving a constitutional amendment for these districts at the November 2026 election, with automatic repeal if the amendment fails.

The bill affects landowners and developers who might petition to form a district, residents and future home buyers within such districts, county and municipal governments that must review petitions and hold hearings, local school boards, and service delivery providers such as water, sewer, and fire departments that interact with district infrastructure.

If enacted and approved by voters, the bill would give developers a new financing tool: districts could borrow money for roads, water, and sewer systems and repay it through property taxes or assessments on residents, shifting infrastructure costs from developers or local governments onto property owners inside the new district.

• Code Section 36-93-4 sets the petition and public hearing process a general purpose local government must follow before creating a district, including required disclosures about land, facilities, and tax impact.
• Code Section 36-93-5 establishes the five-member board of supervisors, initially chosen by the developer-petitioner, transitioning to landowner and later qualified-elector elections over six to ten years.
• Code Section 36-93-9 and 36-93-10 list the district's general and special powers, including infrastructure projects, borrowing, and contracting, subject to local zoning and permitting control.
• Code Section 36-93-14 caps general obligation bonds at 35 percent of the district's taxable property value and requires voter approval within the district for most such bonds.
• Code Section 36-93-16 authorizes districts to impose special assessments and, once elected, ad valorem taxes on district property to fund construction and maintenance.
• Code Section 36-93-27 requires a bold, conspicuous disclosure statement in property sale contracts warning buyers that the district can tax or assess the property.
• Section 2 makes the entire Act effective January 1, 2027 only if voters ratify a related state constitutional amendment in November 2026, and repeals it automatically if they do not.

1. 2026-03-06House Committee Favorably Reported (House)
2. 2025-04-04House Withdrawn, Recommitted (House)
3. 2025-03-20House Committee Favorably Reported (House)
4. 2025-02-18House Withdrawn, Recommitted (House)
5. 2025-02-11House Second Readers (House)
6. 2025-02-10House First Readers (House)
7. 2025-02-06House Hopper (House)

• Ron Stephens (R, HD-164)Primary sponsor
• Lynn Smith (R, HD-070)
• Gerald Greene (R, HD-154)
• Al Williams (D, HD-168)
• Mack Jackson (D, HD-128)

• community development districts
• local government financing
• property taxes and assessments
• infrastructure bonds
• real estate development