HB 142: Ad valorem tax; extension of preferential assessment periods for certain historic properties; provide

Georgia law already gives owners of rehabilitated historic properties and landmark historic properties a preferential (lower) property tax assessment for nine years, under O.C.G.A. §§ 48-5-7.2 and 48-5-7.3. After nine years, that special treatment normally ends unless the owner does new rehabilitation work. This bill would add an option for county governments: if a county's governing authority approves, the special assessment period for income-producing real property (buildings used to generate income, such as rental or commercial space) could continue for up to an additional 12 years beyond the original nine, without requiring new rehabilitation. This change applies to both the rehabilitated historic property program and the landmark historic property program. The bill does not automatically extend anyone's tax break; it requires the local county government to sign off first. It also repeals any conflicting laws.

• Allows counties to extend the preferential property tax assessment period for rehabilitated historic income-producing property by up to 12 additional years, if the county governing authority approves.
• Applies the same optional 12-year extension to landmark historic income-producing property under a separate but similar tax incentive program.
• Leaves the existing nine-year preferential assessment period as the default, only adding an extension option rather than replacing the current rule.
• Limits the extension option to income-producing real property, meaning owner-occupied or non-income-generating historic property would not qualify for the extension.

Owners of historic properties that generate income, such as rental buildings or commercial space that have been rehabilitated or designated as landmark historic property; county governing authorities, who would decide whether to approve the extension; and county tax assessors who administer these preferential assessments.

For owners of income-producing historic buildings, this could mean many more years of reduced property tax assessments if their county agrees, potentially affecting how much tax revenue local governments collect from those properties and shaping incentives for maintaining historic buildings.

• Section 1 amends O.C.G.A. § 48-5-7.2 (rehabilitated historic property) to add a county-approved extension of up to 12 years for income-producing real property beyond the standard nine-year period.
• Section 2 amends O.C.G.A. § 48-5-7.3 (landmark historic property) with the same up-to-12-year extension option for income-producing real property, subject to county approval.
• Section 3 repeals any conflicting laws, a standard closing provision.

1. 2025-01-30House Second Readers (House)
2. 2025-01-29House First Readers (House)
3. 2025-01-28House Hopper (House)

• Mark Newton (R, HD-127)Primary sponsor
• Robert Dickey (R, HD-134)
• Bruce Williamson (R, HD-112)
• Jaclyn Ford (R, HD-170)
• Debbie Buckner (D, HD-137)

• property taxes
• historic preservation
• county government
• ad valorem tax