HB 581

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What is HB 581?:
Georgia House Bill 581, which takes effect January 1, 2025, introduces a statewide homestead exemption that caps the annual increase in property values for tax purposes. This exemption limits how much the assessed value of homestead properties can increase each year, based on the prior year's inflation rate. This means property taxes for homeowners will be more predictable and potentially lower. While the bill aims to provide property tax relief, it will also significantly limit the funds available for our schools, affecting resources and programs. The projected school system’s revenue loss under HB 581 for the period of 2025 to 2029 is approximately $61,665,768.00 based upon estimates provided by the Office of Tax Commissioner.


What are the effects of HB 581?:
This large reduction in revenue will likely result in consideration of numerous budgetary cuts including but not necessarily limited to reducing the instructional calendar for students, increasing class sizes for teachers, discontinuing some discretionary specialty programs and services for students, assigning furlough days for employees, freezing annual step increases for employees, and eliminating the 2% Alternative Retirement Benefit for employees. An additional measure to recoup lost revenue could include indefinitely delaying a transition to semi-monthly pay for employees which was seen as a viable means of recruiting and retaining highly qualified personnel and heavily favored by staff. Such a significant loss of revenue will likely have an impact on the district’s ability to be optimally competitive with recruitment and retention of highly qualified teachers among surrounding districts and the majority of districts state-wide that are opting out and will not have such budgetary constraints.


Permanent, One-Time Decision by March 1st:
This decision has long-term effects, as school districts have only one opportunity to opt out of this exemption. To do so, they must follow a specific process, including holding public hearings and passing a resolution by March 1, 2025.


Scheduled Hearings:
The Rockdale County Board of Education intends to opt out of the statewide adjusted base year ad valorem homestead exemption for Rockdale County Public Schools. All concerned citizens are invited to the public hearings on this matter to be held in the Board Room, 960 Pine Street, Conyers, GA 30012 on Thursday, February 13, 2025, at 10:00 a.m. and 5:15 p.m.

The Rockdale County Board of Education intends to opt out of the statewide adjusted base year ad valorem homestead exemption for Rockdale County Public Schools. All concerned citizens are invited to the public hearing on this matter to be held in the Board Room, 960 Pine Street, Conyers, GA 30012 on Thursday, February 27, 2025, at 6:30 p.m. The regular session will follow at 7:00 p.m.

Note: The above language of the formal notice of public hearings is prescribed by statute and cannot be altered by any governmental entity. Ultimately, the intent of the Rockdale County Board of Education will be determined by a vote on the HB 581 Resolution to Opt Out.