10_25 Request for Proposal Property Tax Relie.pdf

Request for Proposal: Cost/Benefit Study of a Proposed Property Tax Relief Program for Senior Citizen Property

Owners in Pine Lake, Georgia

1. Introduction The City of Pine Lake, Georgia is seeking a proposal from a qualified firm or institution to conduct a comprehensive cost/benefit study of a proposed property tax relief program aimed at assisting senior citizen property owners within the City of Pine Lake. The goal of this study is to provide a detailed analysis of the financial and social impacts of implementing such a program, informing policy decisions and ensuring its effectiveness and sustainability. A copy of the proposed property tax relief program by Council Member Tom Ramsey is enclosed.

2. Background Property taxes can represent a significant financial burden for senior citizens, many of whom live on fixed incomes. While Georgia and DeKalb County offers some property tax exemptions for seniors, such as an additional exemption for those 65 or older who meet income limitations and qualify for the homestead exemption, further relief options are being considered. This study addresses the need for a thorough evaluation of the potential costs and benefits of a new program to provide additional property tax relief to senior citizen homeowners in Pine Lake, Georgia.

3. Scope of work Review existing senior property tax relief programs: Analyze the effectiveness, eligibility criteria, and impacts of current senior citizen exemptions in DeKalb County and the State of Georgia.

Explore different program structures, such as tax credits, deferrals, homestead exemptions tailored for seniors, or other mechanisms, taking into account factors like income thresholds, property value limits, and the possibility of indexing such limits to inflation.

A. Determine eligibility criteria: Evaluate various approaches to define eligible senior citizens, including potential age and income requirements, considering the impact of household income on eligibility.

B. Estimate program costs: Quantify the financial impact on the City of Pine Lake, Georgia in terms of lost tax revenue, legal and administrative expenses associated with implementing and managing the program, and any other relevant costs.

C. Assess program benefits: Evaluate the potential benefits for senior citizen property owners, including reduced tax burdens, increased disposable income, enhanced financial stability, and the potential to remain in their homes.

D. Consider broader economic and social impacts: Analyze potential ripple effects on the local economy, property values, and community well-being, while acknowledging that a thorough evaluation needs to go beyond economic efficiency to include social values and community needs.

E. Develop a financial model: Create a model to project the financial implications of different program scenarios over a defined timeframe (e.g., 5, 10, 20 years), accounting for factors like the number of eligible seniors, property value changes, and inflation.

F. Conduct sensitivity analysis: Evaluate the robustness of the findings by analyzing how the results change under different assumptions about key variables, such as the small size of the Pine Lake community, participation rates, income levels, and property value appreciation, to assess the uncertainty associated with cost/benefit estimates.

G. Review and outline tax benefits offered to senior citizens by The One Big Beautiful Bill Act (OBBBA) recently passed by the 119th United States Congress.

H. Prepare a comprehensive report: Present the study findings in a detailed report with clear conclusions, actionable recommendations, and a summary of the cost/benefit analysis, addressing both quantifiable and qualitative considerations.

4. Proposal Requirements

A. Executive Summary: A concise overview of the proposed approach and key qualifications.

B. Understanding of the Project: Demonstrate a clear understanding of the project objectives and the specific challenges associated with evaluating property tax relief programs for seniors.

C. Methodology and Work Plan: Detail the proposed methodology for conducting the cost/benefit analysis, including data collection, analysis techniques, and the steps involved in completing each task described in the Scope of Work, emphasizing the importance of comprehensive analysis beyond conventional welfare economics.

D. Deliverables: Specify the expected deliverables, including the format and timing of interim reports, presentations to the Pine Lake staff and elected officials, and the final comprehensive report.

E. Timeline: Provide a realistic timeline for completing the project, including key milestones and deadlines.

F. Team Qualifications: Provide resumes and relevant experience of the project team, highlighting expertise in public policy analysis, economics, property tax systems, and demographic studies.

G. Cost Proposal: Provide a detailed breakdown of the project costs, including personnel costs, expenses, and any other relevant fees.