The Bulloch County Board of Education announced at their work session Thursday evening that they plan to roll back the millage rate slightly, but the school system will still collect more money in property taxes thanks to higher property assessments.
The 2024 tax digest published Thursday shows that the school system anticipates collecting $2,007,821 more for the 2024 tax year than they did in 2023. The increase amounts to a 7.94% increase over the previous year and a total tax collection of $27,297,442.
According to the Board of Education, the proposed millage rate of 7.932, which is a .374 mill increase over the rollback rate (7.558 mills), will increase school M&O property taxes on a homestead property with a fair market value of $250,000 by approximately $36.65 and on a non-homestead property with a fair market value of $250,000 by approximately $37.40.
Because the school system will still collect more than it did in 2023, the rate is considered a tax increase and public hearings must be held.
The Board of Education has decreased the millage rate slightly every year for the last five years with the exception of 2022, but has still collected more money every year because of the property assessments. With homes valued higher, the amount collected continues to increase despite a decrease in the millage rate.
No Further Rule Back Due to Strings Attached to State Funds
The Board is limited in how much the millage rate can be rolled back unless it opts to refuse state funds that are provided as part of the equalization funds program by the Georgia Department of Education.
In accordance with Georgia law (OCGA 20-2-165), boards of education must maintain an equivalent millage rate of at least 14 mills to prevent a loss of their state equalization grant funding. Currently, Bulloch County Schools’ state equalization grant funding totals more than $7.4 million. For Bulloch County Schools, the 14-mill calculation requirement is composed of the property tax millage rate that the Board must adopt annually along with the equivalent mills produced by the Local Option Sales Tax that the school district collects for maintenance and operations purposes. Â
The Board of Education has also stated that the state grants more equalization funding to systems with millage rates greater than 14 mills.
Already an Excess of Needed Funds
During a meeting in early July, the school board heard a report from Superintendent Charles Wilson regarding tax relief thanks to legislation passed in the Georgia General Assembly earlier this year. The extent of that relief is limited to a forthcoming cap on property value assessments.
The discussion followed a May 2024 financial report which indicated that at the completion of 91.67% of the 2024 fiscal year, the Board of Education had collected 110.8% of its expected revenues, or 113.94% of the annual budget. The result was the collection of $4 million more in property taxes over what was budgeted and $1 million more in ad valorem taxes.
Additionally, the school system is already in a draw down of sorts for the ‘fund balance’ or a rainy day fund. As part of a five-year plan, the school system is spending money from the equivalent of a ‘savings’ fund on an annual basis so as not to continue to accrue more than is necessary by law.
Hearings Scheduled
The hearings are scheduled for:
- Thursday, August 9, 2024 at 9:00 a.m.
- Thursday, August 15, 2024 at 11:30 a.m.
- Thursday, August 15, 2024 at 6:00 p.m.
A regularly scheduled board meeting will also be held on August 8, 2024 at 6:30 p.m. While the meeting is not a ‘public hearing’ for the millage rate, members of the public can still address the board during public comment.
View the presentation slides on the millage rate.
