HB833: HB833 Cherokee County; school district ad valorem tax; provide homestead exemption

Cherokee County homeowners currently pay school district property taxes based on their home's assessed value, which can rise each year as property values increase. This bill would create a homestead exemption that caps how much of that increase is taxable for school tax purposes. Each year, the taxable value would only grow by an inflation-adjusted amount rather than the full market increase, with adjustments allowed for major additions or improvements. The exemption applies only to Cherokee County school district taxes for education, not state, county, municipal, or independent school district taxes, and does not apply to bond debt taxes. It would not stack with other base-year homestead exemptions already covering the school district; homeowners get whichever is more beneficial. Because it involves a local tax exemption, the bill needs a two-thirds vote in the General Assembly and must be approved by Cherokee County school district voters in a November 2025 referendum before taking effect January 1, 2026. If voters reject it, the entire Act is automatically repealed a year after the election.

• Creates a homestead exemption limiting annual increases in taxable home value for Cherokee County school district ad valorem (property) taxes.
• Bases the exemption on an 'adjusted base year assessed value' that grows only by an inflation rate set by the Cherokee County tax commissioner, plus the value of substantial property changes.
• Requires homeowners to apply for the exemption, but automatically carries it over for people who already had a 2025 homestead exemption and remain eligible in 2026.
• Excludes state, county, municipal, and independent school district taxes, and bonded debt taxes, from the exemption's effect.
• Requires approval by two-thirds of the General Assembly and by voters in a Cherokee County school district referendum on November 4, 2025, before the exemption can take effect.
• Sets automatic repeal of the entire Act 365 days after the referendum if voters reject it or if the election is not properly held.

Homeowners in the Cherokee County school district who claim a homestead exemption, the Cherokee County tax commissioner's office, the Cherokee County election superintendent, and the Cherokee County school district, which relies on the affected ad valorem tax revenue for education funding.

If approved, eligible Cherokee County homeowners would see slower growth in the taxable value of their homes for school tax purposes, potentially limiting future school tax bill increases even as home values rise, while the school district's taxable base would grow more slowly than actual property values.

• Section 1(a) defines key terms including 'ad valorem taxes,' 'adjusted base year assessed value,' 'base year assessed value,' 'homestead,' 'inflation rate,' and 'substantial property change.'
• Section 1(b) grants the exemption equal to the difference between a homestead's current assessed value and its previous adjusted base year assessed value, and states the exemption does not transfer to new owners.
• Section 1(c) and (d) set application requirements, automatic carryover for 2025 exemption holders, and automatic annual renewal without new applications.
• Section 1(e) excludes state, county, independent school district, and municipal taxes from the exemption and bars stacking it with other base-year homestead exemptions for the same school district.
• Section 1(f) directs the Cherokee County tax commissioner to establish a standardized inflation index method, which may use the federal Consumer Price Index.
• Section 1(g) applies the exemption starting with taxable years on or after January 1, 2026.
• Section 2 requires a two-thirds majority vote in both legislative chambers under the Georgia Constitution's local tax provisions.
• Section 3 requires a Cherokee County school district referendum on November 4, 2025, with automatic repeal of the Act 365 days later if voters reject it or the election is not held as required.

1. 2025-03-27House Second Readers (House)
2. 2025-03-25House First Readers (House)
3. 2025-03-25House Hopper (House)

• Jordan Ridley (R, HD-022)Primary sponsor
• Brad Thomas (R, HD-021)
• Mitchell Scoggins (R, HD-014)
• Charlice Byrd (R, HD-020)
• Mandi Ballinger (R, HD-023)
• Jan Jones (R, HD-047)

• property taxes
• homestead exemption
• Cherokee County
• school funding
• local referendum