Kemp approves property tax relief for Georgia homeowners amid concerns over local revenues, process

The governor has signed off on a bill designed to provide property tax relief to homeowners despite lingering concerns about the potential impact to local schools and services – and whether the bill would survive legal scrutiny because of how it was passed. 

“We have heard for years about the need for property tax relief in Georgia, and this bill delivers on that issue,” Republican Gov. Brian Kemp said at a bill signing ceremony at the state Capitol Monday. 

The bill was a priority for House Speaker Jon Burns this year and changed several times over the course of the session in an effort to win over support. After it was defeated in the Senate on the final day of the session, a legislative maneuver was used to strip out the wording of a Senate bill dealing with hemp and replace it with a dialed-back version of a property tax plan. 

The measure that passed caps property tax assessments at the rate of inflation and allows cities and counties to increase sales taxes to give homeowners additional property tax relief. The bill was part of the GOP’s election-year response to the affordability woes that voters say are top of mind. 

Rep. Scott Holcomb, an Atlanta Democrat and an attorney, has argued in two letters to Kemp that the bill, Senate Bill 33, is unconstitutional. Under Georgia’s state Constitution, revenue-raising bills must start in the House of Representatives because that chamber, with its smaller districts, is thought of as being closer to the people. 

“I write to implore you to take a second look at this issue,” Holcomb wrote to Kemp in a 13-page letter after hearing the governor was poised to sign the bill into law. “I take this action not from any partisan perspective or purpose but from a sense of responsibility to ensure that our state government complies with its own Constitution.” 

Holcomb said Monday it was “stunning” that Kemp would sign the bill anyway. 

“Complying with the Constitution is not optional or discretionary,” he said. 

Asked about the concerns Monday, Kemp said those lawmakers should take the matter up with legislative leaders. 

“We respect the decisions of the legislative branch, and all I can tell you is that branch sent us a bill to sign, and that’s what we’re going to do,” Kemp told reporters shortly before sitting down to sign the bill into law. 

As governor, Kemp has the power to veto legislation, and he has struck down bills over the years that he deems problematic. Tuesday is the deadline for him to sign bills this year. 

Burns argued that the property tax bill that was sent to the governor had been “well considered” by both chambers. 

“We’ll just have to see how that plays out,” he told reporters. 

Burns said the property tax bill is a way to ease the impact of rising property taxes due largely to climbing home values. 

And he said the state has a vested interest in a local government’s ability to provide basic services. 

“We represent local communities and local people just as they do,” Burns said. “We will make sure and we will not penalize our local governments. There will be pathways forward that ensures they can continue to provide essential services for our local citizens.”

Concerns had also been raised about another measure, House Bill 463, that will cut the state’s income tax rate to 4.99% this year, down from 5.19%, and continue to trim it over time to 3.99% if certain economic conditions are met. 

Rep. Debbie Buckner, a Junction City Democrat, said she has documented at least 30 cases where a page was left out of the version of the bill provided to House lawmakers for review just before the vote. The omitted page showed which tax exemptions would be eliminated to help pay for the tax cut. She argued that the “as passed House and Senate” printed at the top of the bill is false. 

Burns acknowledged that the missing page was “unfortunate” but says the printing goof did not undermine the process. 

“It was just a rush. And certainly it was an unfortunate missing page, but it was in the bill that the clerk had,” Burns said.

“Everyone in the House had an opportunity to look at that language, so we believe we’re in good standing,” he added.