HB 780: Greensboro, City of; ad valorem tax for municipal purposes; provide homestead exemption

This bill creates a homestead exemption for Greensboro homeowners against the city's ad valorem (property) taxes used for municipal purposes, though it would not apply to school, county, or state property taxes. Instead of taxing a home's full current assessed value each year, the exemption freezes a home's taxable value at a 'base year' amount and only allows it to rise gradually, tied to an inflation index set by the state revenue commissioner, plus a small cushion. Any value added by home improvements would still be taxed. Homeowners must apply once, and the exemption then renews automatically as long as they keep living there; it also carries over to a surviving spouse but not to a new owner if the home is sold. Because this changes how Greensboro can tax property, the Georgia Constitution requires the bill to pass by a two-thirds vote in both legislative chambers and then be approved by Greensboro voters in a November 2025 referendum before it can take effect on January 1, 2026.

• Creates a homestead exemption that caps how much a Greensboro homeowner's assessed home value can increase for city tax purposes each year.
• Ties the annual increase to an inflation rate set by the state revenue commissioner, plus 25 basis points, rather than the full market value jump.
• Requires homeowners to apply once, after which the exemption renews automatically each year without a new application.
• Extends the exemption to a surviving spouse who continues living in the home, but ends it when the home is sold to a new owner.
• Requires the exemption to go before Greensboro voters in a November 2025 referendum before it can take effect.
• Automatically repeals the entire Act if voters reject it or if the election is not properly held.

Homeowners in the City of Greensboro who claim the property as their primary residence (homestead), the city government and its tax officials who administer the exemption, the Greensboro election superintendent who must run the referendum, and surviving spouses of exemption holders who keep living in the home.

If approved, Greensboro homeowners could see their municipal property tax bills grow more slowly even as their home's market value rises quickly, since only the capped 'adjusted base year' value would be taxed. This would not reduce school, county, or state property taxes, only the city's municipal portion.

• Section 1 defines key terms including 'adjusted base year assessed value,' which limits annual taxable value growth to the prior year's value plus an inflation-based amount, plus any value from real improvements.
• Section 1(b) grants the exemption equal to the difference between a home's current assessed value and its adjusted base year value, for city ad valorem taxes only.
• Section 1(c) requires an initial application but automatically carries forward the 2025 exemption into 2026 for those already qualified, without a new filing.
• Section 1(e) clarifies the exemption does not apply to state, county, or school taxes and cannot be combined with another base-year homestead exemption; the more beneficial one applies.
• Section 1(g) sets the exemption to apply to taxable years beginning on or after January 1, 2026.
• Section 2 requires the Act to pass by a two-thirds majority vote in both the House and Senate under the Georgia Constitution.
• Section 3 requires a Greensboro voter referendum on the Tuesday after the first Monday in November 2025, with automatic repeal of the Act 365 days later if voters reject it or the election is not held.
• Section 4 makes the Act effective upon the Governor's approval, except for the referendum timing set in Section 3.

1. 2025-05-09Effective Date
2. 2025-05-09Act 104
3. 2025-05-09House 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. 2025-03-28Senate Read and Referred (Senate)
8. 2025-03-27House Passed/Adopted (House)

• Trey Rhodes (R, HD-124)Primary sponsor
• Noel Williams, Jr. (R, HD-148)

1. PassedHouse voteMarch 27, 2025

   164 yea, 0 nay (12 not voting, 4 excused)

   Local Calendar: House Vote #317

2. PassedSenate voteMarch 31, 2025

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

   LOCAL CONSENT CALENDAR: Senate Vote #339

• property taxes
• homestead exemption
• Greensboro
• local referendum
• municipal taxes