HB 1145: Ad valorem tax; state-wide homestead exemption for certain public service employees; provisions

Georgia law lets local governments and voters approve various homestead exemptions, but there is no statewide exemption specifically for public service workers. This bill would add one. It would exempt from property taxes the portion of a home's assessed value that grows beyond its value in the year before the exemption was first granted, essentially freezing the taxable value for eligible homeowners. It would not apply to new improvements or added land, and it would not carry over to a new owner if the home is sold. To qualify, a person must earn 150 percent or less of the area median income and work as a firefighter, paramedic, peace officer, teacher, school employee, or hospital employee or staff member. Homeowners would apply once with their local tax office and the exemption would renew automatically. Because it is a statewide exemption, the bill needs a two-thirds vote in both chambers and voter approval in a statewide referendum set for around November 2026, taking effect January 1, 2027 if approved.

• Creates a new statewide homestead exemption (O.C.G.A. § 48-5-57) that freezes the taxable value of a qualifying employee's home at its base year assessed value.
• Limits eligibility to firefighters, paramedics, peace officers, teachers, school staff, and hospital employees earning 150 percent or less of the area median income.
• Excludes new home improvements and added land from the frozen value, and adjusts the base value if property is removed from the homestead.
• Requires a one-time application with the local tax receiver or commissioner, after which the exemption renews automatically each year.
• Blocks the exemption from transferring to a new owner if the home is sold, and makes it replace rather than stack with other homestead exemptions.
• Requires statewide voter approval in a November 2026 referendum before the exemption can take effect on January 1, 2027.

Firefighters, paramedics, peace officers, and other law enforcement employed by federal, state, or local government; teachers, paraprofessionals, and administrators at Georgia schools; and hospital employees or staff, as long as their income is at or below 150 percent of the area median income. County tax offices and school districts are also affected.

Eligible public service workers with rising home values could see their property tax bills grow more slowly, since the taxable value of their homes would be frozen at a base year figure. Because the exemption depends on a statewide referendum, it will not take effect unless Georgia voters approve it in November 2026.

• New Code Section 48-5-57(a) defines 'qualifying public service employee' by job category and an income cap of 150 percent of area median income.
• Subsection (b) grants the exemption equal to the difference between a home's current assessed value and its base year assessed value, excluding new improvements or added land.
• Subsection (b)(2) specifies the exemption does not transfer to a subsequent owner if the home is sold.
• Subsection (c) and (d) set up the one-time application process through local tax receivers or commissioners, with automatic annual renewal.
• Subsection (e) makes the exemption exclusive of other homestead exemptions rather than stackable with them.
• Section 2 requires a two-thirds vote in both the House and Senate for the measure to become law under the state constitution.
• Section 3 sets a statewide referendum no later than the Tuesday after the first Monday in November 2026, with the exemption effective January 1, 2027 if approved, and automatic repeal if rejected.
• Subsection (f) applies the exemption to taxable years beginning on or after January 1, 2027.

1. 2026-02-04House Second Readers (House)
2. 2026-02-03House First Readers (House)
3. 2026-02-02House Hopper (House)

• Miriam Paris (D, HD-142)Primary sponsor
• Mary Oliver (D, HD-084)
• Scott Holcomb (D, HD-101)
• Spencer Frye (D, HD-122)
• Rob Leverett (R, HD-123)
• Tangie Herring (D, HD-145)

• property taxes
• homestead exemption
• public service employees
• teacher pay and benefits
• first responders