Augusta-Richmond County reviews HB 581 ‘floating’ homestead exemption and local sales-tax option

Augusta-Richmond County officials held a public information session on the state law commonly called HB 581 and its “floating” homestead exemption, explaining how the exemption would limit assessed-value increases for eligible homesteads, shift tax burdens among property owners, and require local votes on a new sales-tax option to offset revenue changes.

The discussion matters because the exemption would affect roughly 31,000 homes in Richmond County—about 38% of all property owners and roughly half of homeowners—change how the county’s net digest is calculated, and could force a higher millage (rollback) rate for nonbenefitting property owners unless the county secures a voter-approved local sales tax. The commission must make a decision by March 1 whether to opt out of the state-created homestead freeze or remain subject to it.

County staff outlined how the floating homestead works: the exemption increases annually based on a prior-year consumer price index (CPI) determined by the Georgia Department of Revenue, and it is added on top of existing homestead exemptions rather than replacing them. Scott (staff member) said disabled-veteran exemptions are not affected and that the floating exemption “works by increasing the value of that homestead exemption to offset inflation based…