SB 77: City of Cartersville; independent school district ad valorem taxes for educational purposes; provide a homestead exemption

Right now, homeowners in the City of Cartersville independent school district can see their taxable property value climb every year as assessments go up, which increases their school property tax bill. This bill creates a homestead exemption that limits taxable growth to an inflation-adjusted amount each year, exempting the difference between a home's current assessed value and its adjusted base year value from school taxes. The exemption applies only to City of Cartersville independent school district taxes, not state, county, or municipal taxes. It does not transfer to a new owner when a home is sold. The exemption applies to tax years 2026 through 2030, after which it sunsets. Because it changes property taxation, the bill needs a two-thirds vote in the General Assembly and must be approved by City of Cartersville voters in a November 2025 referendum before it takes effect on January 1, 2026.

• Creates a homestead exemption for City of Cartersville independent school district property taxes based on the difference between current assessed value and an inflation-adjusted base year value.
• Limits how much a homestead's taxable value can grow each year for school tax purposes by tying growth to an annual inflation rate set by the City.
• Requires homeowners to apply for the exemption, but automatically carries over the exemption for people who already had a 2025 homestead exemption on the same property.
• Excludes the exemption from applying to state, county, or municipal property taxes, and from bonded debt taxes within the school district.
• Sets the exemption to apply only to tax years 2026 through 2030, after which it expires.
• Requires a November 2025 referendum of City of Cartersville independent school district voters and a two-thirds vote in the General Assembly before it can take effect.

Homeowners with a homestead in the City of Cartersville independent school district, the City of Cartersville governing authority, which must set inflation rates and run the exemption program, and the municipal election superintendent, who must hold the required referendum.

If approved, eligible homeowners in the district would see their school property tax bills grow more slowly, since taxable value increases beyond an inflation-based cap would be exempted. The change would not affect state, county, or municipal taxes, and it would automatically expire after the 2030 tax year unless renewed.

• Section 1 defines key terms including 'adjusted base year assessed value,' 'base year assessed value,' and 'inflation rate,' which determine how much of a home's value growth is exempt each year.
• Section 1(b) grants the exemption equal to the difference between a homestead's current assessed value and its previous adjusted base year assessed value.
• Section 1(c) and (d) set application procedures, including automatic carryover for people who held a 2025 homestead exemption on the same property.
• Section 1(e) clarifies the exemption applies only to City of Cartersville independent school district taxes and does not apply on top of other base-year homestead exemptions for the same district.
• Section 1(g) limits the exemption to tax years 2026 through 2030.
• Section 2 requires a two-thirds majority vote in both chambers of the General Assembly for the Act to become law, per the Georgia Constitution.
• Section 3 requires a November 2025 referendum in the City of Cartersville independent school district, with automatic repeal if voters reject it or if the election is not held.
• Section 4 sets the effective date as upon the Governor's approval, except for the referendum-dependent provisions in Section 3.

1. 2025-05-09Effective Date
2. 2025-05-09Act 107
3. 2025-05-09Senate Date Signed by Governor (Senate)
4. 2025-04-07Senate Sent to Governor (Senate)
5. 2025-03-27House Agreed Senate Amend or Sub (House)
6. 2025-03-21Senate Agreed House Amend or Sub As Amended (Senate)
7. 2025-03-04House Passed/Adopted By Substitute (House)
8. 2025-03-04House Third Readers (House)

• Chuck Hufstetler (R, SD-52)Primary sponsor
• Ed Setzler (R, SD-37)
• Matthew Gambill (R, HD-15)

1. PassedSenate voteFebruary 19, 2025

   51 yea, 0 nay (2 not voting, 3 excused)

   LOCAL CONSENT CALENDAR: Senate Vote #62

2. PassedHouse voteMarch 4, 2025

   172 yea, 0 nay (6 not voting, 2 excused)

   Local Calendar: House Vote #148

3. PassedSenate voteMarch 21, 2025

   55 yea, 0 nay (0 not voting, 1 excused)

   AGREE TO HOUSE SUBSTITUTE AS AMENDED BY AMENDMENT #2: Senate Vote #274

• property taxes
• homestead exemption
• Cartersville schools
• Bartow County
• school funding