HB 772: Norcross, City of; ad valorem tax; raise homestead exemption amounts

Norcross homeowners currently get a homestead exemption that reduces the value of their home subject to city property taxes, with a smaller general exemption and a larger one for residents 65 and older. This bill rewrites the 1990 law that created those exemptions to raise the amounts significantly. The general homestead exemption would rise from $9,000 to $45,000 of home value, and the exemption for residents 65 and older would rise from $18,000 to $90,000. Because this changes a local tax exemption, Georgia's constitution requires the bill to pass by a two-thirds vote in both legislative chambers and then be approved by Norcross voters in a referendum. That vote is set for November 2025. If voters approve, the higher exemptions apply starting with tax years after December 31, 2025. If voters reject it or the election is not held as required, the whole Act is automatically repealed a year after the election date.

• Raises the City of Norcross homestead exemption from city property taxes (ad valorem taxes based on property value) from $9,000 to $45,000 of a home's value for residents who own and occupy their homes.
• Raises the exemption for Norcross residents age 65 or older from $18,000 to $90,000 of home value.
• Requires the change to be approved by a two-thirds vote in the Georgia House and Senate before it can take effect, as Georgia's constitution requires for this type of local tax law.
• Requires Norcross to hold a referendum in November 2025 letting voters approve or reject the higher exemptions.
• Automatically repeals the entire Act if voters reject it or if the election required by the bill is not properly conducted.
• Sets the new exemption amounts to apply starting with tax years beginning after December 31, 2025, if voters approve.

Homeowners in the City of Norcross who own and occupy their residences, especially those aged 65 and older, who would see a larger portion of their home's value shielded from city property taxes. Norcross city government and its election superintendent, who must run the referendum, are also directly affected.

If approved by voters, eligible Norcross homeowners would owe city property tax on a much smaller share of their home's value, lowering their tax bills starting in 2026. Because the exemption depends on a public vote, the outcome is not guaranteed even though the legislature passed the bill.

• Section 1 rewrites Section 2 of the 1990 Norcross homestead exemption law, setting the general exemption at $45,000 and the senior exemption at $90,000 of home value.
• Section 2 requires a two-thirds majority vote in both chambers of the General Assembly, as Georgia's constitution mandates for this kind of local tax exemption change.
• Section 3 requires the Norcross municipal election superintendent to hold a referendum on the Tuesday after the first Monday in November 2025, with a specific yes/no ballot question, and sets automatic repeal if voters reject it or the election is not properly held.
• Section 3 allows any Norcross voter to seek a court order (writ of mandamus) forcing the election superintendent to conduct the required election if they fail to do so.
• Section 4 makes the Act effective upon the Governor's signature (or becoming law without signature), except for the referendum timing set in Section 3.

1. 2025-05-14Effective Date
2. 2025-05-14Act 325
3. 2025-05-14House Date Signed by Governor (House)
4. 2025-04-07House Sent to Governor (House)
5. 2025-03-31Senate Passed/Adopted (Senate)
6. 2025-03-31Senate Committee Favorably Reported (Senate)
7. 2025-03-25Senate Read and Referred (Senate)
8. 2025-03-21House Passed/Adopted (House)

• Ruwa Romman (D, HD-97)Primary sponsor
• Arlene Beckles (D, HD-96)
• Marvin Lim (D, HD-98)

1. PassedHouse voteMarch 21, 2025

   158 yea, 0 nay (9 not voting, 13 excused)

   Local Calendar: House Vote #293

2. PassedSenate voteMarch 31, 2025

   49 yea, 0 nay (5 not voting, 2 excused)

   LOCAL CONSENT CALENDAR: Senate Vote #339

• property taxes
• homestead exemption
• Norcross
• local referendum
• Gwinnett County