10_25 Proposed discussion of draft resolution.pdf

Subject: Proposed discussion of draft resolution to establish an income qualified, senior tax exemption to be applied to City of Pine Lake property tax levies

From: Council Member Tom Ramsey

Date: May 23, 2025

Dear Colleagues, In light of the recent corrections made to the latest Strategic Performance Report by City Manager Hawthorne, on the topic of property tax calculations as related to School, County, and City of Pine Lake Taxes, it is now clearly established that the burden of City taxes on the elderly with limited resources is substantial.

As such, I would like to resubmit my request that City Council consider the possibility of an income qualified, senior tax exemption to be applied to City Taxes. I ask that this be placed on the agenda for earliest possible upcoming work session, once the City Manager has had the opportunity to study impact of implementation. Impact could be assessed by finding out how many City Residents have qualified for the DeKalb County H-4 senior exemption.

We now know that City Taxes represent approximately 34% of a gross bill before exemptions are applied. In fact, for an elderly resident already receiving both the basic homestead exemption (available to all residents), and the income qualified, H-4 or H-9 exemptions, City Taxes represent approximately 74% of their annual property tax bill.

Most cities in DeKalb County do offer some form of income qualified, senior tax relief that is applied to City Taxes. I have attached below, a listing extracted from the DeKalb County Tax Commissioners website that shows what each city offers to their senior residents.

I have made significant changes to the draft resolution (attached below), to minimize the processing and record keeping burden on City of Pine Lake staff. Once approved by Council and approved by the state legislature and passed by referendum, the entire process would be automatic when a resident applies and qualifies for the DeKalb County

H-4 senior exemption, since the qualification requirements would be identical.

Thank you for your consideration.

Sincerely, Tom Ramsey

Other Local Exemptions

City of Atlanta - Exemptions are granted along with County exemption.

City of Avondale - Local exemptions are not awarded.

City of Brookhaven - Exemptions are granted along with the County exemptions.

• Basic homestead exemption of $40,000 plus city assessment freeze (if applicable).

• Senior Exemption (age 65 and meeting county requirements) receive $160,000 plus city assessment freeze - if applicable).

City of Chamblee - The basic homestead exemption is granted along with County exemption. Elderly exemptions are applied for with the City of Chamblee.

• Basic homestead exemption of $50,000 off assessed value.

• Elderly residents 65 and older and disabled residents that are 100 percent disabled can receive a 100 percent exemption from ad valorem taxes.

City of Clarkston - Seniors age 65 may apply for additional $20,000 exemption from the assessed value of their property when they qualify for homestead exemption.

City of Decatur - Exemptions are applied for with the city of Decatur.

City of Doraville – Exemptions are awarded along with the County exemptions. Elderly exemptions are applied for with the City of Doraville.

http://www.atlantaga.gov/index.aspx?page=956 http://www.atlantaga.gov/index.aspx?page=956 http://www.atlantaga.gov/index.aspx?page=956 https://www.avondaleestates.org/ https://www.avondaleestates.org/ https://www.avondaleestates.org/ https://www.avondaleestates.org/ http://www.brookhavenga.gov/home http://www.brookhavenga.gov/home http://www.brookhavenga.gov/home http://www.chambleega.gov/ http://www.chambleega.gov/ http://www.chambleega.gov/ http://clarkstonga.gov/ http://clarkstonga.gov/ http://clarkstonga.gov/ http://www.decaturgatax.com/ http://www.decaturgatax.com/ http://www.decaturgatax.com/ http://www.doravillega.us/ http://www.doravillega.us/ http://www.doravillega.us/

• Basic homestead exemption of $10,000 and a 2.5 mil reduction off assessed value.

• Elderly residents age 70 and older can receive 100 percent city tax exemption.

City of Dunwoody - Exemptions are awarded along with the County exemptions.

• Basic exemption - $10,000 off assessed value plus a 1 mill reduction off assessed value.

• Senior exemption - age 65 with $15,000 or less GA NET income - $14,000 plus a 1 mill reduction off assessed value.

City of Lithonia - City exemptions are awarded with the County exemptions.

• Basic homestead exemption of $2,000 off assessed value.

• Elderly residents 65 and older and 100 percent disabled residents with net income less than $4,000 can receive an additional exemption of $2,000 off assessed value.

City of Pine Lake - Basic city exemption of $4,000 of assessed value is granted along with County exemption.

City of Stone Mountain - Local exemptions are applied for with the City of Stone Mountain. Elderly residents age 62 or older with an income of less than $10,000 can receive an exemption of $20,000 off assessed value for city operations.

City of Stonecrest - City exemptions are awarded with the County exemptions.

• Basic exemption - $10,000 off assessed value plus a 1 mill reduction off assessed value.

• Senior exemption - age 65 with $15,000 or less GA NET income - $14,000 plus a 1 mill reduction off assessed value.

City of Tucker- Exemptions are awarded along with the county exemptions.

https://www.dunwoodyga.gov/ https://www.dunwoodyga.gov/ https://www.dunwoodyga.gov/ https://www.dunwoodyga.gov/ https://lithoniacity.org/ https://lithoniacity.org/ https://lithoniacity.org/ https://lithoniacity.org/ http://www.pinelakega.com/ http://www.pinelakega.com/ http://www.pinelakega.com/ http://www.pinelakega.com/ http://www.stonemountaincity.org/index.php http://www.stonemountaincity.org/index.php http://www.stonemountaincity.org/index.php http://www.stonemountaincity.org/index.php http://www.stonecrestga.gov/ http://www.stonecrestga.gov/ http://www.stonecrestga.gov/ http://tuckerga.gov/ http://tuckerga.gov/ http://tuckerga.gov/

• Basic homestead exemption of $10,000 plus city assessment freeze (if applicable).

• Senior Exemption (age 65 and meeting county requirements) receive $14,000 plus city assessment freeze - if applicable).

Proposed Draft City Council Resolution No. [XXXX]

A Resolution to Establish a Property Tax Relief Program for Senior Citizens Based on a Qualified Income Level.

Whereas, the City Council acknowledges the financial pressures faced by senior citizens living on fixed or limited incomes; and

Whereas, rising property taxes have disproportionately impacted low- and moderate-income seniors, threatening their ability to remain in their homes; and

Whereas, the City Council is committed to promoting financial stability and equitable tax relief for seniors through an income qualified program;

Now, Therefore, Be It Resolved, by the City Council of Pine Lake, GA, as follows:

1. Eligibility and Tax Relief:

• Senior exemption - age 65 with $15,000 or less GA NET income - $14,000 reduction in assessed value, plus a 1 mil reduction off the City’s levy on assessed value.

• (This is the same as DeKalb County’s H-4 senior exemption qualifications for eligibility. The benefit relief provided is modeled after the City of Dunwoody senior exemption, but this could be adjusted to a benefit the City of Pine Lake could sustain.)

2. Application Process:

- Eligible residents must apply for and receive approval for the DeKalb County - H4 Senior Exemption. Once approved for the H-4 exemption, the DeKalb County Tax Office would automatically apply the City of Pine Lake’s senior tax exemption.

4. Program Implementation and Funding:

- The tax relief program shall be funded through [specific funding sources, e.g., municipal budget allocations, state grants, etc.].

- The program shall take effect on [specific date] and will be reviewed annually to assess its effectiveness and sustainability.

5. Public Awareness Campaign:

- The City Council shall ensure that information regarding the program, including eligibility criteria and application procedures, is widely distributed to senior residents through [specific channels, e.g., mail, online platforms, community centers, etc.].

Adopted this [day] of [month], [year], by the City Council of Pine Lake, GA.

Signed:

[Name], Mayor

[Name], City Clerk