It’s official. The Richmond County Board of Education is opting out of a tax break favored by more than 60% of voters.
The board advertised its intent Thursday to hold three required public hearings – Jan. 14, 21 and 27 – needed to officially disregard House Bill 581, which created the tax break.
The break comes in the form of a “floating” homestead exemption, which would automatically void tax increases tied to owner-occupied home reassessments. Those are the new values assigned by the tax assessor’s office each year based on a neighborhood’s comparable sales or other factors.
Some 62% of Richmond County voters favored the break, which passed in a statewide referendum by a similar margin.
“The hubris of the Richmond County Board of Education is unmatched,” challenged former Mayor Bob Young, who said Thursday he was “pretty steamed” by the board’s decision, calling it “a slap in the face” for local homeowners.
“Homestead exemptions are there for a reason, to maximize the value of home ownership,” Young said. “The board wants to take that advantage away by squeezing every cent they can from homeowners.”
The school district declined to comment. The board voted at a November retreat to hold the hearings and has had no public discussion about the bill’s impact, such as on the system’s finances.
District spokeswoman Haley Lacuesta said any discussion would have to come at the hearings advertised for the purpose of opting out.
“There will be a full presentation on the floating homestead exemption and our board will discuss it at length during the open public hearings,” she said in a statement.
The Columbia County School District, which also announced its plans to opt out, has similarly said the public hearings will provide “an opportunity to have that discussion.”
According to information gathered for the Augusta Commission, the tax break will impact about 38% of Richmond County properties – that’s the number of owner-occupied houses already claiming a homestead exemption and eligible for the break.
The remainder of taxed properties are commercial, industrial or residential owned by third parties.
The city commission, as well as the Columbia County Commission, haven’t formally announced if they will accept the tax break or choose to opt out.
Some opponents of the floating homestead say it will shift the homeowners’ savings onto properties not subject to the exemption, when local governments raise tax rates to make up the difference. The issue brought representatives from the Augusta Metro Chamber of Commerce to a recent commission workshop.
Young said the business community won’t like the freeze, because businesses, not homeowners, “will bear the brunt of uncontrolled spending.” The same community said nothing when the school board raised property taxes last year, he said.
Every jurisdiction – cities, counties and school districts – that currently offers a homestead exemption is subject to the new exemption unless its opts out by March 1.
One former Augusta commissioner questioned the wisdom of opting out.
“The 32% is 100% your voters,” said former Commissioner Moses Todd. “The intent was to help me have a home. If I was a politician I wouldn’t go against the voters.”
