HB1558: HB1558 Palmetto, City of; ad valorem tax for municipal purposes; provide homestead exemption

This bill creates a new homestead exemption for senior residents of the City of Palmetto in Coweta and Fulton counties. Anyone 65 or older who owns and occupies a home in the city could apply to have the full assessed value of that homestead exempted from City of Palmetto ad valorem (property) taxes used for municipal purposes, such as paying off city bonds. Any value of the home above the exempted amount would still be taxed. The exemption would not apply to state, county, or school district property taxes, only city taxes. Homeowners must apply once and the exemption renews automatically as long as they still live there. Because this changes local tax law, the bill requires a two-thirds vote in the General Assembly and must be approved by Palmetto voters in a November 2026 referendum. If approved, the exemption starts January 1, 2027; if rejected or the election is not held, the bill repeals itself automatically.

• Creates a homestead exemption exempting the full assessed value of a home from City of Palmetto municipal property taxes for residents 65 or older.
• Requires eligible homeowners to file an application with the city's governing authority to prove age and eligibility before receiving the exemption.
• Makes the exemption automatically renew each year without a new application, as long as the person still lives in the home.
• Excludes state, county, and school district property taxes from the exemption, limiting it strictly to City of Palmetto municipal taxes.
• Requires Palmetto voters to approve the measure in a November 2026 referendum before it can take effect, and repeals the Act automatically if voters reject it or no election is held.

Senior homeowners age 65 and older who live in the City of Palmetto (spanning Coweta and Fulton counties), the city's governing authority which must process applications, and the municipal election superintendent who must run the referendum.

If voters approve it, qualifying senior homeowners in Palmetto would see their city property tax bill on their home eliminated, though state, county, and school taxes would stay the same. The city would lose some tax revenue from its senior homeowners starting in 2027 if the change takes effect.

• Section 1 defines key terms and grants residents 65 or older an exemption equal to the full assessed value of their homestead from City of Palmetto ad valorem taxes for municipal purposes.
• Section 1(c)-(d) requires an initial application with the city, after which the exemption renews automatically each year, and requires the person to notify the city if they become ineligible.
• Section 1(e) states the exemption applies only to city taxes, not state, county, or school district taxes, and replaces rather than adds to any other municipal homestead exemption.
• Section 1(f) sets the exemption to apply to taxable years beginning on or after January 1, 2027.
• Section 2 requires the Act to receive a two-thirds majority vote in both the House and Senate to become law, per the Georgia Constitution.
• Section 3 requires a City of Palmetto referendum in November 2026, with automatic repeal 365 days after the election if voters reject it or the election does not happen.
• Section 4 sets the effective date as the date of the Governor's approval, except for the referendum provisions in Section 3.

1. 2026-05-11Effective Date 2026-05-11
2. 2026-05-11Act 593
3. 2026-05-11House Date Signed by Governor (House)
4. 2026-04-10House Sent to Governor (House)
5. 2026-04-02Senate Passed/Adopted (Senate)
6. 2026-04-02Senate Committee Favorably Reported (Senate)
7. 2026-03-27Senate Read and Referred (Senate)
8. 2026-03-27House Passed/Adopted (House)

• Lydia Glaize (D, HD-067)Primary sponsor
• Robert Dawson (D, HD-065)

1. PassedHouse voteMarch 27, 2026

   153 yea, 0 nay (20 not voting, 3 absent)

   Local Calendar : House Vote #772

2. PassedSenate voteApril 2, 2026

   49 yea, 0 nay (3 not voting, 2 absent)

   Local Consent Calendar: Senate Vote #927

• property taxes
• homestead exemption
• senior citizens
• City of Palmetto
• local referendum