HB540: HB540 Gwinnett County; ad valorem tax for educational purposes; expand additional homestead exemption to certain veterans and employees

In 2023 Gwinnett County created an additional homestead exemption worth $2,000 of assessed home value on school district property taxes for certain 'public service employees,' such as firefighters, peace officers, hospital staff, and military members. This bill rewrites the definition of who qualifies. It adds disabled veterans (as defined under Georgia law) and broadens the school employee category to include all employees of the Gwinnett County School District and the Buford City School District, not just certain ones. Because this changes a local homestead tax exemption, the bill must get a two-thirds vote in the General Assembly and then go to Gwinnett County voters in a referendum during the 2026 general primary. If a majority vote yes, the expanded exemption takes effect January 1, 2027. If voters reject it or no election is held, the bill's exemption change never takes effect and automatically repeals itself a year after the election date.

• Expands the existing $2,000 Gwinnett County school district homestead tax exemption to include disabled veterans as defined by Georgia law (O.C.G.A. § 48-5-48).
• Broadens the exemption to cover all employees of the Gwinnett County School District and the Buford City School District, rather than only certain public service employees.
• Requires a countywide referendum during the 2026 general primary before the expanded exemption can take effect.
• Sets the exemption's effective date at January 1, 2027 if voters approve it, and automatically repeals the Act 365 days after the election if voters reject it or no election occurs.
• Requires the change to pass with a two-thirds majority vote in both the House and Senate to comply with Georgia's constitutional rules on local tax exemptions.

Homeowners in the Gwinnett County school district who are disabled veterans or who work for the Gwinnett County School District or Buford City School District, along with the Gwinnett County election superintendent, who must run the referendum, and county taxpayers who fund the election.

If voters approve it, more homeowners, including disabled veterans and all school district employees, would pay less in school property taxes starting in 2027. If voters reject it, the current narrower exemption for certain public service employees stays in place.

• Section 1 rewrites the definition of 'public service employee' in the 2023 Gwinnett County homestead exemption law to add disabled veterans under O.C.G.A. § 48-5-48 and all Gwinnett County and Buford City school employees.
• Section 2 requires a two-thirds majority vote in both legislative chambers because the bill changes a local tax exemption under the Georgia Constitution.
• Section 3 requires a Gwinnett County referendum during the 2026 general primary, sets the ballot language, and makes the exemption effective January 1, 2027 if approved.
• Section 3 also provides that if voters reject the measure or no election occurs, the Act is automatically repealed 365 days after the scheduled election date.
• Section 3 allows any Gwinnett County school district voter to seek a court order (writ of mandamus) forcing the election superintendent to hold the vote if they fail to do so.
• Section 4 makes the rest of the Act effective upon the Governor's signature or upon becoming law without signature.

1. 2025-05-13Effective Date 2025-05-13
2. 2025-05-13Act 202
3. 2025-05-13House Date Signed by Governor (House)
4. 2025-04-07House Sent to Governor (House)
5. 2025-03-21Senate Passed/Adopted (Senate)
6. 2025-03-21Senate Committee Favorably Reported (Senate)
7. 2025-03-06Senate Read and Referred (Senate)
8. 2025-03-04House Passed/Adopted (House)

• Matt Reeves (R, HD-099)Primary sponsor
• Reynaldo Martinez (R, HD-111)
• Chuck Efstration (R, HD-104)
• Jasmine Clark (D, HD-108)
• Segun Adeyina (D, HD-110)
• Dewey McClain (D, HD-109)

1. PassedHouse voteMarch 4, 2025

   172 yea, 0 nay (6 not voting, 2 absent)

   Local Calendar : House Vote #148

2. PassedSenate voteMarch 21, 2025

   53 yea, 0 nay (2 not voting, 1 absent)

   Local Consent Calendar: Senate Vote #265

• property taxes
• homestead exemption
• Gwinnett County
• veterans benefits
• school district employees