Three Constitutional Amendments are on the ballot
this year. The following analysis is provided by the Georgia
School Boards Association (GSBA).
Amendment 1 - Shall the Constitution of
Georgia be amended so as to provide that the General Assembly
by general law shall encourage the preservation, conservation,
and protection of the state's forests through the special
assessment and taxation of certain forest lands and assistance
grants to local governments?
If passed, this would provide a tax break to individuals
and corporations that preserve land as forests rather than
develop it. The property owner must enter into a 15 year
conservation use covenant, and the land is then taxed based on
current use rather than the potential development value.
The state is to reimburse local governments and school
boards for most of the lost revenue. If the overall tax digest
for a local government is reduced by 3% or less with this
change, the state will reimburse them for half the loss. For
any loss above 3%, cities, counties and school are to receive
full reimbursement from the state.
During testimony on the bill, it was stated that the
potential cost to the state for reimbursements would be $34
million. Local governments and school boards would have an
non-reimbursed cost of $20 million. This amendment obviously
affects some areas of the state more than others. Many school
boards are concerned about the state's ability to fund these
reimbursements over the long term. Therefore, GSBA opposes
this amendment.
Amendment 2 - Shall the Constitution of Georgia
be amended so as to authorize community redevelopment and
authorize counties, municipalities, and local boards of
education to use tax funds for redevelopment purposes and
programs?
If passed, this would allow local boards of education to
participate in tax allocation districts (TADs). TADs are an
economic development financing tool that freezes the property
values within the district for a fixed number of years, while
the taxes on the appreciated values are used to pay for
redevelopment of the property. The Georgia Supreme Court ruled
in February 2008 that it was unconstitutional for school funds
to be used in this way. The Constitution currently restricts
use of funds raised for education to be used for educational
purposes. If this amendment passes, use of school funds is
extended to include redevelopment.
GSBA does not have a position on this. Supporters believe
the redevelopment could provide an increase in the future tax
base. The local board can negotiate the terms of the
agreement. Objections usually center around diverting school
taxes for redevelopment, and/or diverting public money for
private projects.
Amendment 3 - Shall the Constitution of Georgia
be amended so as to authorize the General Assembly to provide
by general law for the creation and comprehensive regulation
of infrastructure development districts for the provision of
infrastructure as authorized by local
governments?
Special infrastructure development districts (IDDs)
could be created to pay for infrastructure within a
development area. Fees are assessed to those who live within
the IDD for those improvements. There is no loss of revenue to
local school boards when an IDD is created. GSBA does not have
a position on this.