HB 861: Calhoun, City of; school district ad valorem tax; increase homestead exemption for certain residents

Since 2006, Georgia law has given homeowners in the City of Calhoun independent school district a break on property taxes for a primary home (a homestead exemption) tied to age: $40,000 off assessed value for residents 65 to 69, and $100,000 off for those 70 and older, applied only to school taxes for educational purposes. This bill raises those amounts and adds a new tier. Residents 65 to 69 would get a $50,000 exemption, residents 70 to 74 would get $115,000, and a new category for residents 75 and older would get $125,000. Because the Georgia Constitution requires local tax changes like this to go to voters, the bill would only take effect if approved by City of Calhoun independent school district voters in a referendum on the November 2025 general election date, becoming effective January 1, 2026 if approved. If voters reject it or no election is held, the bill repeals itself 365 days after the election date.

• Raises the property tax break for homeowners in the City of Calhoun independent school district aged 65 to 69 from $40,000 to $50,000 of assessed home value.
• Raises the property tax break for homeowners aged 70 to 74 from $100,000 to $115,000 of assessed home value.
• Creates a new property tax break for homeowners 75 and older of $125,000 of assessed home value, a category that did not previously exist.
• Requires a two-thirds vote in both the Georgia House and Senate for the change to become law, per the state constitution.
• Sends the measure to a referendum of City of Calhoun independent school district voters on the November 2025 election date, with a January 1, 2026 effective date if approved.
• Automatically repeals the exemption increase 365 days after the election if voters reject it or no election occurs.

Homeowners aged 65 and older who live in the City of Calhoun independent school district and pay school property taxes, the Calhoun election superintendent who must run the referendum, and Gordon County's official legal newspaper, which must publish notice of the election.

If approved by voters, older homeowners in the district would owe less in school property taxes, with the biggest reduction going to those 75 and older who would newly qualify for a $125,000 exemption. If voters reject it, current exemption amounts stay in place and the increase never takes effect.

• Section 1 rewrites subsection (b) of the 2006 Act to set three age-based exemption tiers: $50,000 for ages 65-69, $115,000 for ages 70-74, and $125,000 for ages 75 and up.
• Section 2 requires a two-thirds majority vote in both chambers of the General Assembly for the Act to become law, as required by the Georgia Constitution for local tax measures.
• Section 3 directs the Calhoun election superintendent to hold a referendum on the November 2025 general election date, specifies the ballot question wording, and sets the exemption's effective date at January 1, 2026 if approved.
• Section 3 also provides that if the referendum fails or is not held, the Act is automatically repealed 365 days after the election date.
• Section 3 allows any elector to seek a court order (writ of mandamus) forcing the election superintendent to hold the election if they fail to do so.
• Section 4 sets the general effective date as upon the Governor's approval or the Act becoming law without signature, except where Section 3 controls.

1. 2025-05-14Effective Date
2. 2025-05-14Act 352
3. 2025-05-14House Date Signed by Governor (House)
4. 2025-04-08House Sent to Governor (House)
5. 2025-04-02Senate Passed/Adopted (Senate)
6. 2025-04-02Senate Committee Favorably Reported (Senate)
7. 2025-03-31Senate Read and Referred (Senate)
8. 2025-03-31House Passed/Adopted (House)

• Matt Barton (R, HD-5)Primary sponsor
• Jason Ridley (R, HD-6)

1. PassedHouse voteMarch 31, 2025

   165 yea, 0 nay (10 not voting, 5 excused)

   Local Calendar Without HBs 851 & 852: House Vote #342

2. PassedSenate voteApril 2, 2025

   55 yea, 1 nay

   SUPPLEMENTAL LOCAL CONSENT CALENDAR: Senate Vote #400

• property taxes
• homestead exemption
• senior citizens
• Calhoun schools
• local referendum