HB1503: HB1503 Covington, City of; ad valorem tax for municipal purposes; provide homestead exemption

26 LC 62 0324/AP House Bill 1503 (AS PASSED HOUSE AND SENATE) By: Representatives Fleming of the 114th and Crowe of the 118th A BILL TO BE ENTITLED AN ACT To provide a homestead exemption from City of Covington ad valorem taxes for municipal1 purposes for the total amount of the assessed value of the homestead for residents of that city;2 to provide for definitions; to specify the terms and conditions of the exemption and the3 procedures relating thereto; to provide for applicability; to p rovide for compliance with4 constitutional requirements; to provide for a referendum, effective dates, automatic repeal,5 mandatory execution of election, and judicial remedies regardin g failure to comply; to6 provide for related matters; to repeal conflicting laws; and for other purposes.7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 SECTION 1.9 (a) As used in this Act, the term:10 (1) "Ad valorem taxes for municipal purposes" means all ad valorem taxes for municipal11 purposes levied by, for, or on behalf of the City of Covington, including, but not limited12 to, any ad valorem taxes to pay interest on and to retire municipal bonded indebtedness.13 (2) "Homestead" means homestead as defined and qualified in Code Section 48-5-40 of14 the O.C.G.A., as amended.15 H. B. 1503 - 1 - 26 LC 62 0324/AP (b) Each resident of the City of Covington is granted an exemp tion on such person's16 homestead from City of Covington ad valorem taxes for municipal purposes for the total17 amount of the assessed value of such homestead.18 (c) A person shall not receive the homestead exemption granted by subsection (b) of this19 section unless such person or person's agent files an application with the governing authority20 of the City of C ovington, or the des ignee thereof, giving such information relative to21 receiving such exemption as will enable the governing authority of the City of Covington,22 or the designee thereof, to make a determination regarding the initial and continuing23 eligibility of such person for such exemption. The governing a uthority of the City of24 Covington, or the designee thereof, shall provide application forms for this purpose.25 (d) The exemption shall be claimed and returned as provided in Code Section 48-5-50.1 of26 the O.C.G.A., as amended. The exemption shall be automatically renewed from year to year27 so long as the person granted the homestead exemption under subsection (b) of this section28 occupies such residence as a homestead. After a person has filed the proper application as29 provided in subsection (c) of this section, it shall not be nec essary to make application30 thereafter for any year, and such exemption shall continue to be allowed to such person. It31 shall be the duty of any person granted the homestead exemption under subsection (b) of this32 section to notify the governing authority of the City of Covington, or the designee thereof,33 in the event that such person for any reason becomes ineligible for such exemption.34 (e) The exemption granted by subsection (b) of this section shall not apply to or affect any35 state ad valorem taxes, county ad valorem taxes for county purp oses, or county or36 independent school district ad valorem taxes for educational pu rposes. The homestead37 exemption granted by subsection (b) of this section shall be in addition to and not in lieu of38 any other homestead exemption applicable to City of Covington a d valorem taxes for39 municipal purposes.40 (f) The exemption granted by subsection (b) of this section shall apply to all taxable years41 beginning on or after January 1, 2027.42 H. B. 1503 - 2 - 26 LC 62 0324/AP SECTION 2.43 In accordance with the requirements of Article VII, Section II of the Constitution of the State44 of Georgia, this Act shall not become law unless it receives the requisite two-thirds' majority45 vote in both the Senate and the House of Representatives.46 SECTION 3.47 The municipal election superintendent of the City of Covington shall call and conduct an48 election as provided in this section for the purpose of submitting this Act to the electors of49 the City of Covington for approval or rejection. The municipal election superintendent shall50 conduct that election on the Tuesday after the first Monday in November, 2026, and shall51 issue the call and conduct that election as provided by general law. The municipal election52 superintendent shall cause the date and purpose of the election to be published once a week53 for two weeks immediately preceding the date thereof in the off icial organ of Newton54 County. The ballot shall have written or printed thereon the words:55 "( ) YES56 57 ( ) NO 58 Shall the Act be approved which provides a homestead exemption from City of Covington ad valorem taxes for municipal purposes for the total amount of the assessed value of the homestead for residents of that city?" All persons desiring to vote for approval of the Act shall vote "Yes," and all persons desiring59 to vote for rejection of the Act shall vote "No." If more than one-half of the votes cast on60 such question are for approval of the Act, Section 1 of this Act shall become of full force and61 effect on January 1, 2027. If the Act is not so approved or if the election is not conducted62 as provided in this section, Section 1 of this Act shall not become effective, and this Act shall63 be automatically repealed on the first day of January immediate ly following that election64 date. The expense of such election shall be borne by the City of Covington. It shall be the65 municipal election superintendent's duty to certify the result thereof to the Secretary of State. 66 The provisions of this section shall be mandatory upon the municipal election superintendent67 and are not intended as directory. If the municipal election s uperintendent fails or refuses68 H. B. 1503 - 3 - 26 LC 62 0324/AP to comply with this section, any elector of the City of Covingt on may apply for a writ of69 mandamus to compel the municipal election superintendent to per form his or her duties70 under this section. If the court finds that the municipal elect ion superintendent has not71 complied with this section, the court shall fashion appropriate relief requiring the municipal72 election superintendent to call and conduct such election on the date required by this section73 or on the next date authorized for special elections provided for in Code Section 21-2-54074 of the O.C.G.A.75 SECTION 4.76 Except as otherwise provided in Section 3 of this Act, this Act shall become effective upon77 its approval by the Governor or upon its becoming law without such approval.78 SECTION 5.79 All laws and parts of laws in conflict with this Act are repealed.80 H. B. 1503 - 4 -