HB 74: Dexter, City of; ad valorem tax; provide homestead exemption

This bill sets up a homestead exemption, a break on property taxes for a primary home, for residents of the City of Dexter. The exemption amount would be tied to how much money comes in each year from a new Local Homestead Option Sales Tax (LHOST), a 1 percent sales tax that would be collected across a special district covering all of Laurens County. Homeowners would need to apply once with the local tax official, and the exemption would then renew automatically each year as long as they remain eligible. The exemption applies only to city taxes, only within the special district, and stacks on top of any other homestead exemption a homeowner already has. Before any of this takes effect, Dexter voters must approve it in a referendum set for November 2026. If approved, the tax break runs from January 1, 2027 through the end of 2039; if rejected, the whole law is automatically repealed a year after the election.

• Creates a new homestead exemption from City of Dexter property taxes, sized each year to match the proceeds of a new 1 percent county sales tax (LHOST).
• Requires homeowners to apply once with the local tax official, after which the exemption renews automatically each year without a new application.
• Limits the exemption to city taxes only, to property inside the Laurens County special district, and makes it additional to any other homestead exemption already in place.
• Sets the exemption period to run from January 1 of the year after voter approval through December 31, 2039.
• Requires a November 2026 referendum in Dexter and automatically repeals the entire Act if voters reject it or if no election is held.
• Requires a two-thirds vote in both the House and Senate before the bill can become law, per the Georgia Constitution.

Homeowners in the City of Dexter who claim a homestead exemption, the city's tax official who processes applications, the Dexter election superintendent who must run the referendum, and Laurens County residents affected by the new countywide sales tax that funds the exemption.

If voters approve it, Dexter homeowners would see their city property tax bill reduced by an amount tied to new sales tax revenue collected across Laurens County, shifting some of the local tax burden from property owners to sales tax payers. If voters reject it, nothing changes and the law disappears.

• Section 1 defines terms like 'homestead property' and 'LHOST' and grants residents of the special district an exemption equal to the assessed value covered by LHOST proceeds each year.
• Section 1(c)-(d) sets the application process, allowing automatic renewal for people already receiving a similar exemption without reapplying.
• Section 1(e) limits the exemption to city taxes, to property within the special district, makes it additional to other exemptions, and sets it to run through December 31, 2039.
• Section 3 requires a two-thirds majority vote in both legislative chambers for the bill to become law, as required by the Georgia Constitution.
• Section 4 schedules a November 2026 referendum in Dexter, sets the ballot language, and provides that the law takes effect January 1, 2027 if approved, or is automatically repealed 365 days after the election if rejected.
• Section 4(c) allows any elector to seek a court order (writ of mandamus) forcing the election superintendent to hold the vote if they fail to do so.

1. 2026-06-23House Lost Reconsidered Bill/Resolution (House)
2. 2026-06-23House Reconsidered (House)
3. 2026-06-22House Notice to Reconsider (House)
4. 2026-06-22House Third Reading Lost (House)
5. 2026-06-22House Third Readers (House)
6. 2026-06-22House Committee Favorably Reported (House)
7. 2026-06-20House Second Readers (House)
8. 2026-06-18House First Readers (House)

• James Hatchett (R, HD-155)Primary sponsor

1. PassedHouse voteJune 22, 2026

   97 yea, 74 nay (2 not voting, 6 absent)

   Local Calendar: House Vote #8

2. PassedHouse voteJune 23, 2026

   97 yea, 72 nay (6 not voting, 4 absent)

   Previous Local Calendar: House Vote #16

3. PassedHouse voteJune 23, 2026

   97 yea, 72 nay (5 not voting, 5 absent)

   Local Calendar : House Vote #17

• property taxes
• homestead exemption
• local sales tax
• Dexter city government
• Laurens County