House Bill 547 (COMMITTEE SUBSTITUTE)
By: Representatives Cannon of the 172nd, Dickey of the 134th, Corbett of the 174th, Meeks
of the 178th, Huddleston of the 72nd, and others
A BILL TO BE ENTITLED
AN ACT
To amend Article 1 of Chapter 5 of Title 48 of the Official Code of Georgia Annotated,
relating to general provisions regarding ad valorem taxation of property, so as to revise the
definition of bona fide conservation use property to include carbon sequestration; to permit
the combination of multiple covenants of a single owner into a single, new, ten-year
covenant; to provide for exceptions; to provide for the change of forest land use assessment
property to current use assessment property after a transfer of ownership; to provide for
related matters; to provide for an effective date and applicability; to repeal conflicting laws;
and for other purposes.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Article 1 of Chapter 5 of Title 48 of the Official Code of Georgia Annotated, relating to
general provisions regarding ad valorem taxation of property, is amended in Code Section
48-5-7.4, relating to preferential assessment for bona fide conservation use property and bona
fide residential transitional property, by revising subparagraph (a)(1)(F) and adding a new
subsection to read as follows:
"(F) The primary purpose described in this paragraph includes land conservation and
ecological forest management in which commercial production of wood and wood fiber
products may be undertaken primarily for conservation and restoration purposes rather
than financial gain. <ins>Such property may, in addition, have as a secondary use carbon
sequestration in accordance with the Georgia Carbon Sequestration Registry or a carbon
sequestration program;</ins> or"
<ins>"(e.1)(1) A single owner, as described in subparagraph (a)(1)(C) of this Code section,
who has multiple parcels of bona fide conservation use property that are collectively
subject to more than one valid covenant under this Code section may combine such
parcels and covenants in whole under a single, new, ten-year covenant for bona fide
conservation use without constituting a breach of any of the covenants, provided that all
such property would be otherwise eligible to be placed under a renewal covenant under
this Code section by the owner upon the natural expiration of the original covenant.
(2) The provisions of this subsection shall not be permitted or be construed to:
(A) Allow any portion of property held under a covenant to be removed from the
covenant without being combined into the new covenant;
(B) Change any requirements for what constitutes qualified property; or
(C) Change any requirements for what constitutes qualifying use for purposes of this
Code section.
(3) A single owner, as described in subparagraph (a)(1)(C) of this Code section, desiring
to proceed with combining parcels pursuant to paragraph (1) of this subsection shall first
file a real property tax return with the appropriate board of tax assessors on or before the
deadline to file a real property tax return.
(4) Parcels on which delinquent taxes are owed shall not be eligible to be combined
pursuant to paragraph (1) of this subsection."
</ins>
SECTION 2.
Said article is further amended in Code Section 48-5-7.7, relation to preferential assessment
for forest land conservation use property, by revising subsection (f) as follows:
"(f)(1) A qualified owner shall not be authorized to make application for and receive
conservation use assessment under this Code section for any property which at the time
of such application is receiving preferential assessment under Code Section 48-5-7.1 or
current use assessment under Code Section 48-5-7.4; provided, however, that, if any
property is subject to a covenant under either of those Code sections, it may be changed
from such covenant and placed under a covenant under this Code section if it is otherwise
qualified. Any such change shall terminate the existing covenant and shall not constitute
a breach thereof. No property may be changed more than once under this paragraph.
(2) Any property that is subject to a covenant under this Code section and subsequently
fails to adhere to the qualifying purpose, as defined in paragraph (5) of subsection (b) of
this Code section, may be changed from the covenant under this Code section and placed
under a covenant provided for in Code Section 48-5-7.4 if the property otherwise
qualifies under the provisions of that Code section. In such a case, the existing covenant
under this Code section shall be terminated, and the change shall not constitute a breach
thereof. No property may be changed more than once under this paragraph.
<ins>(3) A qualified owner under this Code section may obtain ownership of property
receiving preferential assessment under Code Section 48-5-7.1 or current use assessment
under Code Section 48-5-7.4 and have 180 days from the time ownership is acquired to
change from such covenant and place under a covenant under this Code section if it is
otherwise qualified and would not constitute a breach thereof even if the qualified owner
does not qualify for the preferential assessment under Code Section 48-5-7.1 or current
use assessment under Code Section 48-5-7.4."
</ins>
SECTION 3.
This Act shall become effective upon its approval by the Governor or upon its becoming law
without such approval and shall be applicable to all taxable years beginning on or after
January 1, 2027.
SECTION 4.
All laws and parts of laws in conflict with this Act are repealed.