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Cherokee County readies HOST referendum ask, weighs CPI cap and hotel-motel tax with state delegation
Summary
County leaders prepared materials for a Dec. 11 meeting with state legislators to seek authority for a HOST referendum and other changes, including tweaks to HOST timing, support for a hotel-motel tax increase, and guidance on a CPI cap opt-out. Officials framed the HOST option as a way to fund homeowner tax rollback and road capital needs.
Cherokee County commissioners on Dec. 3 finalized the list of priorities they will present to the county's legislative delegation, including a request for enabling legislation to allow a HOST (homeowner-prioritized sales tax) referendum and a separate ask to raise the county's hotel-motel tax.
Chair opened the discussion saying the delegation had set aside Dec. 11 for a meeting in Woodstock and that staff had prepared a fact sheet with updated estimates. The fact sheet shows a 1 percentage-point HOST generating roughly $65,000,000 in total receipts; under the exhibit, 1% would send 1% to the state, allocate 20% for capital projects (roads among the likely uses) and leave the remainder to support a homeowner-prioritized rollback for the county's maintenance-and-operations (M&O) property-tax rate.
"A host would generate what do we got? $65,000,000," the Chair said in explaining the estimate and the proposed allocation. He added the county's share of the capital portion would be roughly $8.5 million after city allocations.
Commissioners discussed two technical changes they will ask the delegation to consider if the HOST referendum moves forward: (1) permit the county to use proceeds earlier for a homeowner-prioritized rollback (instead of waiting a full calendar year of collections), or (2) shorten the post-referendum statutory waiting period (from 90 days to something closer to 50 days, as currently used for a different local-sales tax vehicle, the FLOS). "If I can't do that, at least cut the waiting period from 90 days to 50 days," the Chair said.
The board also debated House Bill 581, a proposed CPI-based cap on assessment increases for homestead property. The Chair noted Cherokee County already uses an absolute freeze for M&O homestead assessments and several commissioners indicated they saw no need to opt out. "I don't see any need for us to opt out," one commissioner said, arguing the county's existing freeze made the cap unnecessary for their taxpayers.
Separately, staff and commissioners expressed support for seeking state permission to increase the hotel-motel tax from 6% to 8% (the state cap); staff estimated the increase would yield about $200,000 annually for tourism-related purposes, including grants for nonprofits and support for the county conference center.
The board agreed to present these items to the delegation and to prepare a letter package and flyers for members. The Chair said the board could adopt a formal resolution later if needed to strengthen the request.
What happens next: County staff will deliver the briefing materials to delegation members on Dec. 11; board members signaled support for asking the legislature to advance enabling language for HOST and for the hotel-motel tax increase, along with the technical HOST-timing changes described above.
