CHEROKEE COUNTY, Ga. — An audit commissioned by the Cherokee County Board of Education to study revenue changes related to a homestead exemption law “validated” the choice to opt out, according to a newly released report.
The audit focused on how not opting out of the new homestead exemption created by last year’s House Bill 581 could have impacted the school district’s funding.
HB 581 set an increase limit based on regional Consumer Price Index data, or inflation rates.
[DOWNLOAD: Free WSB-TV News app for alerts as news breaks]
TRENDING STORIES:
- These Georgia universities are among the 50 best in the country
- ‘Deeply offensive’: People show up in blackface at HS volleyball game in Fayette County
- Marjorie Taylor Greene says former colleague George Santos is being tortured in prison
The audit, undertaken by Team SPD on behalf of the district, found that if the district had not opted out of the exemption, property assessments would be limited to 2.4% annually, while the overall market was assumed to have a 6% annual growth.
According to the report’s findings, which were discussed at a Sept. 18 board meeting, choosing to opt out of the exemption meant homestead assessments would not be limited by the increase cap.
Based on their projections, “the district could generate up to $250.8 million in additional tax revenue between 2025 and 2030,” by opting out.
The audit said that “this represents a significant increase compared to the district’s initial estimate of approximately $54.9 million, and highlights an opportunity to refine the original financial model.”
"Our financial analysis indicates that, under the selected assumptions, remaining under HB 581 would have reduced CCSD’s school tax revenue by approximately $250.8 million between 2025 and 2030. This figure is $195.9 million higher than the district’s initial estimate of $54.9 million," the report says.
As supplied to the district, the audit “validates” their opting out of the homestead exemption in order to avoid lost revenue for the district’s needs over the next five years.
[SIGN UP: WSB-TV Daily Headlines Newsletter]
©2025 Cox Media Group
