HB772: HB772 Norcross, City of; ad valorem tax; raise homestead exemption amounts

Since 1990, City of Norcross homeowners have gotten a break on property taxes (a homestead exemption) for their primary residence, with a bigger break for residents 65 and older. This bill raises those exemption amounts substantially: the general homestead exemption would go from $9,000 to $45,000 of a home's value, and the senior exemption would go from $18,000 to $90,000. The value of a home above the exempted amount would still be taxed as usual. Because it changes a local tax exemption, the Georgia Constitution requires the change to be approved by a two-thirds vote in both chambers of the General Assembly and then by Norcross voters in a referendum. That vote is set for November 2025. If approved, the new exemption amounts take effect January 1, 2026 and apply to tax years starting after December 31, 2025. If voters reject it or the election is not held as required, the increase never takes effect and the bill is automatically repealed a year after the election date.

• Raises the City of Norcross homestead property tax exemption for regular homeowners from $9,000 to $45,000 of a home's value.
• Raises the homestead exemption for Norcross residents age 65 and older from $18,000 to $90,000 of a home's value.
• Requires a two-thirds majority vote in both the Georgia House and Senate before the change can become law, as required by the state constitution for local tax exemptions.
• Requires a November 2025 referendum in the City of Norcross where voters must approve the increase before it takes effect.
• Sets the new exemption amounts to apply starting with tax years after December 31, 2025, with an effective date of January 1, 2026 if approved.
• Automatically repeals the increase if voters reject it or if the required election does not happen as specified.

Homeowners who live in and own their residences within the City of Norcross, especially those age 65 or older, who would see a larger portion of their home's value shielded from city property taxes. The Norcross municipal election superintendent and Gwinnett County election officials are also affected by the referendum requirement.

If voters approve it, Norcross homeowners would pay city property taxes on a smaller taxable share of their home's value, potentially lowering their tax bills, with an even bigger reduction for residents 65 and older. If voters reject the measure, the current lower exemption amounts stay in place.

• Section 1 rewrites Section 2 of the 1990 Act to set the new exemption amounts: $45,000 for all resident homeowners and $90,000 for those 65 and older, applying to tax years after December 31, 2025.
• Section 2 requires the bill to receive a two-thirds majority vote in both the House and Senate to comply with the Georgia Constitution's rules on local tax exemptions.
• Section 3 orders a Norcross referendum on the Tuesday after the first Monday in November 2025, specifies the ballot language, and sets January 1, 2026 as the effective date if approved.
• Section 3 also provides that if voters reject the measure or the election is not properly held, the exemption increase never takes effect and the whole Act is automatically repealed 365 days after the election date.
• Section 3 allows any Norcross elector to seek a court order (writ of mandamus) forcing the election superintendent to hold the election 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.
• Section 5 repeals any conflicting laws.

1. 2025-05-14Effective Date 2025-05-14
2. 2025-05-14Act 325
3. 2025-05-14House Date Signed by Governor (House)
4. 2025-04-07House Sent to Governor (House)
5. 2025-03-31Senate Passed/Adopted (Senate)
6. 2025-03-31Senate Committee Favorably Reported (Senate)
7. 2025-03-25Senate Read and Referred (Senate)
8. 2025-03-21House Passed/Adopted (House)

• Ruwa Romman (D, HD-097)Primary sponsor
• Arlene Beckles (D, HD-096)
• Marvin Lim (D, HD-098)

1. PassedHouse voteMarch 21, 2025

   158 yea, 0 nay (9 not voting, 13 absent)

   Local Calendar : House Vote #293

2. PassedSenate voteMarch 31, 2025

   49 yea, 0 nay (5 not voting, 2 absent)

   Local Consent Calendar: Senate Vote #339

• property taxes
• homestead exemption
• Norcross
• Gwinnett County
• local elections