House Resolution 1244
By: Representatives McCollum of the 30th, Oliver of the 84th, Olaleye of the 59th, Panitch of
the 51st, Gullett of the 19th, and others
A RESOLUTION
Proposing an amendment to the Constitution of the State of Georgia so as to provide that any
business enterprise, including, but not limited to, private equity, having an interest in 1,000
or more single-family residential properties within this state used primarily for purposes of
generating rental income shall be subject to an ad valorem tax assessment of 100 percent; to
provide for the subclassification of business enterprise property for ad valorem taxation
purposes; to require that any proceeds from the ad valorem taxation of business enterprise
property be used to reduce the ad valorem property tax bill on homesteads in the taxing
jurisdiction within which such business enterprise property is located before such proceeds
may be used for any other purpose; to provide for related matters; to provide for submission
of this amendment for ratification or rejection; and for other purposes.
BE IT RESOLVED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
Article VII, Section I, Paragraph III of the Constitution is amended by adding a new
subparagraph to read as follows:
<ins>"(f.2)(1)(A) The General Assembly shall be authorized by general law to establish a
separate class of property for ad valorem taxation purposes that includes only tangible
real property that is owned, wholly or partially, by a business enterprise that holds an
</ins>
<ins>interest in 1,000 or more single-family residential properties within this state which are
used for the primary purpose of generating rental income and meets such further
requirements as may be prescribed by general law. Such property shall be known as
'business enterprise property.' The General Assembly may provide by general law for
definitions of the terms 'affiliate,' 'business enterprise,' 'business enterprise property,'
'homestead,' and any other terms necessary to effectuate the terms of this subparagraph.
(B) Business enterprise property shall be assessed at 100 percent of its fair market
value and shall be taxed on a levy made by each respective taxing jurisdiction
according to 100 percent of the property's fair market value; provided, however, that
the proceeds from any tax collected on such property shall be used to reduce the ad
valorem property tax bill on homesteads in the taxing jurisdiction within which the
business enterprise property is located before such proceeds may be used for any other
purpose.
(2) The only purposes authorized by the subclassification of business enterprise
property as provided by this subparagraph shall be to allow the General Assembly by
general law to:
(A) Provide that the Department of Revenue or its successor shall appraise business
enterprise property at its fair market value using any combination of appraisal
methodologies otherwise provided by general law for establishing the fair market value
of real property, provided that such methodology is not subject to an exception
authorized by subparagraph (b), (c), (d), (e), (f), (f.1), or (g) of this Paragraph;
(B) Provide for a separate system by which to appeal appraisals of and determinations
made related to business enterprise property;
(C) Require that any proceeds collected from an ad valorem tax on business
enterprise property be primarily used to reduce the ad valorem property tax bill on
homesteads in the taxing jurisdiction; and
(D) Provide for penalties and other means of enforcement."
</ins>
SECTION 2.
The above proposed amendment to the Constitution shall be published and submitted as
provided in Article X, Section I, Paragraph II of the Constitution. The ballot submitting the
above proposed amendment shall have written or printed thereon the following:
"( ) YES Shall the Constitution of Georgia be amended so as to provide that any
business enterprise, including, but not limited to, private equity, having an
( ) NO interest in 1,000 or more single-family residential properties within this state
used primarily for purposes of generating rental income shall be subject to
an ad valorem tax assessment of 100 percent, the proceeds of which would
be required to be used to reduce Georgians' residential property taxes?"
All persons desiring to vote in favor of ratifying the proposed amendment shall vote "Yes."
All persons desiring to vote against ratifying the proposed amendment shall vote "No." If
such amendment shall be ratified as provided in said Paragraph of the Constitution, it shall
become a part of the Constitution of this state.