---
title: HB 1582. Fayette County; school district ad valorem tax; provide homestead exemption
collection: bills
id: 2025-2026/hb1582
cite_as: HB 1582, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hb1582
md_url: https://georgiacommons.org/bills/2025-2026/hb1582.md
text_url: https://georgiacommons.org/bills/2025-2026/hb1582/text
source_url: https://www.legis.ga.gov/legislation/74261
date: 2026-05-12
status: passed
corpus_version: bills-2026-09-13
license: Public record of the Georgia General Assembly, via LegiScan; see about.md
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
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omitted: votes and history
omitted_chars: 887
omitted_url: https://georgiacommons.org/bills/2025-2026/hb1582.md?full=1
bill_number: HB 1582
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: bill
status_date: 2026-05-12
last_action: Effective Date 2026-05-12
sponsors:
  - Josh Bonner
  - Karen Mathiak
  - Derrick Jackson
  - Debra Bazemore
text_version: Enrolled
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HB1582/2025
upstream_id: 2136361
summaries_model: claude-sonnet-5
topic_tags:
  - property taxes
  - homestead exemption
  - Fayette County schools
  - local referendum
  - school district funding
---

# HB 1582. Fayette County; school district ad valorem tax; provide homestead exemption

## Text

House Bill 1582 (AS PASSED HOUSE AND SENATE)
By: Representatives Bonner of the 73rd, Mathiak of the 82nd, Jackson of the 68th, and
Bazemore of the 69th
A BILL TO BE ENTITLED
AN ACT
To provide a homestead exemption from Fayette County school district ad valorem taxes for
educational purposes in a floating proportional amount based upon any increased property
tax collections that exceed the value of property taxes collected in tax year 2025; to provide
for definitions; to specify the terms and conditions of the exemption and the procedures
relating thereto; to provide for applicability; to provide for compliance with constitutional
requirements; to provide for a referendum, effective dates, automatic repeal, mandatory
execution of election, and judicial remedies regarding failure to comply; to provide for
related matters; to repeal conflicting laws; and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
(a) As used in this Act, the term:
(1) "Ad valorem taxes for educational purposes" means all ad valorem taxes for
educational purposes levied by, for, or on behalf of the Fayette County school district,
including, but not limited to, any ad valorem taxes to pay interest on and to retire county
school district bonded indebtedness.
(2) "Base year" means the taxable year beginning on January 1, 2025.
(3) "Homestead" means homestead as defined and qualified in Code Section 48-5-40 of
the O.C.G.A., as amended.
(b) Each resident of the Fayette County school district is granted an exemption on such
person's homestead from Fayette County school district ad valorem taxes for educational
purposes in an amount authorized by and calculated pursuant to subsection (c) of this section
as determined by the tax commissioner of Fayette County in coordination with the Fayette
County Board of Education. Such homestead exemption shall commence on January 1,
2027. The value of that property in excess of such exempted amount shall remain subject to
taxation.
(c)(1) In any tax year subsequent to the base year, the tax commissioner of Fayette County
shall determine the amount of ad valorem taxes for educational purposes collected from all
properties that is in excess of the ad valorem taxes for educational purposes collected from
all properties in the base year.
(2) If the excess amount of ad valorem taxes for educational purposes collected from all
properties in a particular tax year exceeds 100 percent of the ad valorem taxes for
educational purposes collected from all properties in the base year, the full value of such
tax collections exceeding such amount shall be segregated from all other proceeds of the
ad valorem taxes for educational purposes collected in such tax year, and such segregated
funds shall be maintained to offset the cost of the exemption provided by this Act in the
next subsequent tax year. As soon as the tax digest for the next subsequent tax year is
approved, the Fayette County Board of Education in coordination with the tax
commissioner of Fayette County, shall calculate the dollar value to be equally applied to
all properties receiving the exemption provided for by this Act in such next subsequent tax
year. The value of the exemption to be provided each year shall be at the discretion of the
Fayette County Board of Education and which value may be set at an amount that does not
use all of the segregated funds provided for in this paragraph. In the event that the value
of the exemption set in a particular year does not use all of the segregated funds, the
remainder of such funds shall be deposited in the general fund of the school district. In no
event shall the value of the exemption be set at an amount that would exceed the value of
the segregated funds provided for in this subparagraph for a particular year. The tax
commissioner of Fayette County shall then provide such segregated amount from the
previous tax year, plus any interest earned on such segregated funds, to the Fayette County
Board of Education to be utilized as provided for in this subparagraph.
(3) If the excess amount of ad valorem taxes for educational purposes collected from all
properties in a particular tax year is negative or does not exceed 100 percent of the ad
valorem taxes for educational purposes collected from all properties in the base year, the
value of the homestead exemption provided by this Act for the next subsequent tax year
shall be zero dollars.
(d) A person shall not receive the homestead exemption granted by subsection (b) of this
section unless such person or person's agent files an application with the tax commissioner
of Fayette County, giving such information relative to receiving such exemption as will
enable the tax commissioner of Fayette County to make a determination regarding the initial
and continuing eligibility of such person for such exemption. The tax commissioner of
Fayette County shall provide application forms for this purpose.
(e) The exemption shall be claimed and returned as provided in Code Section 48-5-50.1 of
the O.C.G.A., as amended. The exemption shall be automatically renewed from year to year
so long as the person granted the homestead exemption under subsection (b) of this section
occupies such residence as a homestead. After a person has filed the proper application as
provided in subsection (d) of this section, it shall not be necessary to make application
thereafter for any year, and such exemption shall continue to be allowed to such person. It
shall be the duty of any person granted the homestead exemption under subsection (b) of this
section to notify the tax commissioner of Fayette County in the event that such person for
any reason becomes ineligible for such exemption.
(f) The exemption granted by subsection (b) of this section shall not apply to or affect any
state ad valorem taxes, county ad valorem taxes for county purposes, municipal ad valorem
taxes for municipal purposes, or independent school district ad valorem taxes for educational
purposes. The homestead exemption granted by subsection (b) of this section shall be in
addition to and not in lieu of any other homestead exemption applicable to Fayette County
school district ad valorem taxes for educational purposes.
(g) The exemption granted by subsection (b) of this section shall apply to all taxable years
beginning on or after January 1, 2027.
SECTION 2.
In accordance with the requirements of Article VII, Section II of the Constitution of the State
of Georgia, this Act shall not become law unless it receives the requisite two-thirds' majority
vote in both the Senate and the House of Representatives.
SECTION 3.
The election superintendent of Fayette County shall call and conduct an election as provided
in this section for the purpose of submitting this Act to the electors of the Fayette County
school district for approval or rejection. The election superintendent shall conduct that
election on the Tuesday following the first Monday in November, 2026, and shall issue the
call and conduct that election as provided by general law. The election superintendent shall
cause the date and purpose of the election to be published once a week for two weeks
immediately preceding the date thereof in the official organ of Fayette County. The ballot
shall have written or printed thereon the words:
"( ) YES Shall the Act be approved which provides a homestead exemption from
Fayette County school district ad valorem taxes for educational purposes in
( ) NO a floating proportional amount based upon the amount of property taxes
collected in a particular tax year that exceeds the value of property taxes
collected in tax year 2025?"
All persons desiring to vote for approval of the Act shall vote "Yes," and all persons desiring
to vote for rejection of the Act shall vote "No." If more than one-half of the votes cast on
such question are for approval of the Act, Section 1 of this Act shall become of full force and
effect on January 1, 2027. If the Act is not so approved or if the election is not conducted
as provided in this section, Section 1 of this Act shall not become effective, and this Act shall
be automatically repealed on the 365th calendar day following the election date provided for
in this section. The expense of such election shall be borne by Fayette County. It shall be
the election superintendent's duty to certify the result thereof to the Secretary of State. The
provisions of this section shall be mandatory upon the election superintendent and are not
intended as directory. If the election superintendent fails or refuses to comply with this
section, any elector of the Fayette County school district may apply for a writ of mandamus
to compel the election superintendent to perform his or her duties under this section. If the
court finds that the election superintendent has not complied with this section, the court shall
fashion appropriate relief requiring the election superintendent to call and conduct such
election on the date required by this section or on the next date authorized for special
elections provided for in Code Section 21-2-540 of the O.C.G.A.
SECTION 4.
Except as otherwise provided in Section 3 of this Act, this Act shall become effective upon
its approval by the Governor or upon its becoming law without such approval.
SECTION 5.
All laws and parts of laws in conflict with this Act are repealed.

## Summaries written by Georgia Commons

The following was written by claude-sonnet-5 from the text above and is not part of the bill. Quote the text, not the summary.

House Bill 1582 would give Fayette County school district homeowners a new floating property tax break, sized each year based on how much school tax collections grow beyond 2025 levels, pending voter approval in November 2026.

### Plain-language summary

This bill creates a new homestead exemption (a break on property taxes for a primary home) from Fayette County school district property taxes. Unlike a fixed-dollar exemption, its value would change each year depending on how much total school tax collections rise above what was collected in the 2025 base year. If collections in a given year grow by more than 100 percent of the 2025 amount, the extra money gets set aside and used the following year to fund the exemption, with the Fayette County Board of Education deciding the exact per-homeowner amount. If collections do not grow enough, the exemption would be set at zero for that year.
The exemption would not apply to state, county, municipal, or independent school district taxes, only Fayette County school district taxes. Because it affects local taxing power, Georgia's constitution requires the change go before Fayette County school district voters in a November 2026 referendum, and it needs a two-thirds vote in both legislative chambers. If approved, it starts January 1, 2027; if rejected or the election isn't held, the tax provision is automatically repealed a year after the election date.

### What it does

- Creates a homestead exemption from Fayette County school district property taxes whose dollar value floats each year instead of staying fixed.
- Ties the exemption's size to how much school tax collections in a given year exceed collections from the 2025 base year, with the Board of Education setting the exact amount.
- Sets the exemption to zero for any year in which school tax collections do not grow enough compared to the 2025 base year.
- Requires homeowners to apply once with the Fayette County tax commissioner, after which the exemption renews automatically each year.
- Requires a November 2026 referendum of Fayette County school district voters before the tax change can take effect, with automatic repeal if voters reject it or no election occurs.

### Who it affects

Homeowners in the Fayette County school district who claim a homestead exemption, the Fayette County tax commissioner's office, the Fayette County Board of Education, and the county election superintendent, who must organize and certify the November 2026 referendum.

### Why it matters

Eligible Fayette County homeowners could see part of their school district property tax bill reduced, but only in years when total school tax collections grow substantially above 2025 levels; in slower growth years the exemption could be worth nothing, making the tax break unpredictable year to year.

### Key provisions

- Section 1 defines key terms including 'ad valorem taxes for educational purposes,' the 2025 'base year,' and 'homestead,' and grants the exemption starting January 1, 2027.
- Section 1(c) sets the formula: excess tax collections above 100 percent of the 2025 base year amount are segregated and used to fund the next year's exemption, capped at the segregated amount.
- Section 1(d) and (e) require a one-time application with the Fayette County tax commissioner, after which the exemption renews automatically unless the homeowner becomes ineligible.
- Section 1(f) excludes state, county, municipal, and independent school district taxes from the exemption, limiting it to Fayette County school district taxes only.
- Section 2 requires a two-thirds majority vote in both the House and Senate for the Act to become law, per Georgia's constitution.
- Section 3 requires a Fayette County school district referendum on the Tuesday after the first Monday in November 2026, with automatic repeal one year later if voters reject it or the election isn't held.
- Section 4 makes the Act effective upon the Governor's approval, except for the referendum-dependent tax provisions in Section 1.

## Status

- Status: Passed (2026-05-12)
- Last action: Effective Date 2026-05-12 (2026-05-12)
- Sponsors: Josh Bonner, Karen Mathiak, Derrick Jackson, Debra Bazemore
- Official page: https://www.legis.ga.gov/legislation/74261

> The history, votes, and amendments (887 characters) are at https://georgiacommons.org/bills/2025-2026/hb1582.md?full=1