MOULTRIE – The Colquitt County Board of Education tentatively set its millage rate, which will increase property taxes by 11.58%, and plans to adopt it at a Sept. 5 meeting, after a final hearing, at 5:30 p.m.

Colquitt County School District Chief Financial Officer Jeremy Jones presented two options to the board at its August meeting:

Option 1: A 17.21 mill increase if the district loses the GaDOE Equalization Grant value of approximately $24,356,344

Option 2: An 0.85 mill increase that will allow the school system to stay eligible for the GaDOE Equalization Grant resulting in an approximate tax increase of $1,202,996 shared among all taxpayers.

The GaDOE Equalization Grant, according to the Georgia Board of Education’s website, is a grant that is intended to narrow the gap between systems in terms of property tax wealth per pupil.

“We have received our 2024 tax digest from the tax commissioner,” Jones told the board and he reminded them that official Georgia code required a minimum millage rate to qualify for the equalization funds and the rate was 14 mills.

The 2023 property tax digest was $1,239,231,735 and the 2024 digest is $1,415,289,685. The property tax digest is a listing of all personal property that’s been assessed for taxation in the county.

“The reason why I’m mentioning this is because this official Georgia code is the reason the school board, this year, cannot take a full roll-back rate,” he said.

He advised the board to take the option that would keep the school system eligible for the equalization grant instead of putting the 17.21 increase to the local taxpayers.

“So, what does that look like?” said Jones. “Fair market value of a homestead house of $100,000. The proposed tax increase would be $32. A $200,00 homestead would be $66 and $300,000, for a homestead, would be $100.”

He said that even with the millage rate of 14, the school system would have the lowest millage rate in the region and the sixth lowest for a county school district in the state.

“There has not been a tax increase for the millage since 2013,” he said.

State Rep. Chas Cannon, of Moultrie, introduced a bill in the most recent General Assembly to lower the millage required for the equalization grant from 14 mills to 10, Jones said.

“The bill passed the House but it did fail in the Senate,” he said and added that they hope the bill would be reintroduced the next legislative session and pass so that the code could be amended.

He said this was an issue that they saw coming and they work with local legislators to try and have a solution.

After Jones’ presentation, School Board Member Jon Schwalls, “You said that property taxes have not increased since 2013 but the mill rate has been increased lots of times. We’ve increased it every year I’ve been on this board.”

He went on to say that the consequence of decreasing the mill rate was that a taxpayer had no higher property tax on their property after it was valuated at a higher rate.

“We’ve ran out of room with that. So, to be in compliance with the state and get our equalization funds, which are $27 or $28 million … $24 million or whatever it was. For us to be in compliance, we cannot go below 14,” Schwalls said and added that the consequence of that was that valuations had gone up again.

He said that the school system could come out of compliance and lose that $24 million or they could stay in compliance, which would have a $1.2 million effect on the county, $32 per $100,000 to the home owner.

“When you look across the county, I just think it’s important for people to understand that this is not a particular position of raising taxes or lowering taxes, it’s a compliance issue. To get the equalization funding from the state, we must stay in compliance,” Schwalls said.

He asked Jones, “And you’re telling us, we will remain in compliance, as long as we go with this? We’re doing a rollback but we’re not doing a full rollback. We’re rolling back to the point in which we have to rollback to and still stay in compliance?”

Jones confirmed Schwalls’ question in the affirmative and said if the Georgia code was not in place, they wouldn’t have to do it.

“But we’re going to stay in compliance with the Georgia code and not risk $24.3 million in state dollars and pass that on to our local taxpayers,” he concluded.