HR 942 - Ed funding; counties impose sales tax; reduce ad valorem tax - CA

First Reader Summary

A RESOLUTION proposing an amendment to the Constitution so as to authorize the counties to impose, levy, and collect a sales and use tax for educational purposes; and for other purposes.

Tolbert, Scott (25th) Rogers, Carl (20th) Harbin, Ben (113th)
Burkhalter, Joseph Mark (41st) Williams, Robin L (114th)
Status Summary HC: W&M SC: LA: 02/04/98 H - Read 2nd Time
Page Numbers - 1/ 2/ 3
House Action Senate
2/3/98 Read 1st Time
2/4/98 Read 2nd Time

HR 942                                             LC 26 0658 
                             A RESOLUTION 
  1- 1  Proposing an amendment to the Constitution so as to 
  1- 2  authorize the counties to impose, levy, and collect a sales 
  1- 3  and use tax for educational purposes; to provide for 
  1- 4  adjustment of millage rate limitations; to provide for 
  1- 5  procedures, conditions, and limitations; to provide for the 
  1- 6  submission of this amendment for ratification or rejection; 
  1- 7  and for other purposes. 
  1- 9                           SECTION 1. 
  1-10  Article VIII, Section VI of the Constitution is amended by 
  1-11  adding at the end thereof a new Paragraph V to read as 
  1-12  follows: 
  1-13      "Paragraph V. Sales tax for educational purposes. (a) 
  1-14    Any county may by resolution impose, levy, and collect a 
  1-15    sales and use tax for use for educational purposes by each 
  1-16    county school district and independent school district 
  1-17    located within such county.  This tax may be levied at a 
  1-18    rate up to that which will cause the projected proceeds of 
  1-19    such tax to equal the proceeds of the ad valorem tax 
  1-20    millage rate levied against property taxable for education 
  1-21    purposes within the county, but in all other respects, 
  1-22    except as otherwise provided in this Paragraph, shall 
  1-23    correspond to, and be levied and terminated in the same 
  1-24    manner as, the tax provided for by Article 2 of Chapter 8 
  1-25    of Title 48 of the Official Code of Georgia Annotated, 
  1-26    relating to the joint county and municipality sales and 
  1-27    use tax. 
  1-28      (b) The ad valorem tax millage rate limitation 
  1-29    applicable to each county school district under Section VI 
  1-30    of the Constitution and any ad valorem tax millage rate 
  1-31    limitation now or hereafter applicable to any independent 
  1-32    school district shall be reduced for every taxable year 
  1-33    beginning on or after January 1, 1999, by a millage rate 
  1-34    which, if levied against property taxable for educational 
  1-35    purposes within each school district, would produce an 
  1-36    amount of revenue equal to the proceeds of the local sales 
  2- 1    and use tax received by that school district in the 
  2- 2    immediately preceding taxable year. 
  2- 3      (c) Said school districts shall also comply with the 
  2- 4    provisions of Code Section 48-8-91 as if they were 
  2- 5    counties or municipalities within the meaning of that Code 
  2- 6    section and as if the tax provided for under this 
  2- 7    Paragraph were levied pursuant to Article 2 of Chapter 8 
  2- 8    of Title 48 of the Official Code of Georgia Annotated. 
  2- 9      (d) Nothing in this Paragraph shall prohibit a county 
  2-10    and those municipalities located in such county from 
  2-11    imposing as an additional tax a local sales and use tax 
  2-12    authorized by general law. 
  2-13      (e) The tax imposed pursuant to this Paragraph shall not 
  2-14    count with respect to any general law limitation regarding 
  2-15    the maximum amount of local sales and use taxes which may 
  2-16    be levied in any jurisdiction in this state. 
  2-17      (f) A county which elects to collect the sales tax 
  2-18    provided for in this Paragraph is authorized to contract 
  2-19    or otherwise provide for the collection and administration 
  2-20    of the tax required to be imposed under this Paragraph. 
  2-21      (g) The net proceeds of the tax shall be distributed 
  2-22    between the county school district and the independent 
  2-23    school districts in such county according to the ratio the 
  2-24    population in each school district bears to the total 
  2-25    population of the county or upon such other formula for 
  2-26    distribution as may be determined by local law. 
  2-27      (h) The tax authorized by this Paragraph may be imposed, 
  2-28    levied, and collected as provided in this Paragraph 
  2-29    without further action by the General Assembly, but the 
  2-30    General Assembly shall be authorized by local law to 
  2-31    control the subject matter of this Paragraph and to 
  2-32    further define and implement its provisions. This 
  2-33    authority may be exercised by the General Assembly 
  2-34    notwithstanding any general law heretofore or hereafter 
  2-35    enacted dealing with the subject matter of this Paragraph 
  2-36    and any local law adopted pursuant to the authority of 
  2-37    this Paragraph shall control that subject matter 
  2-38    notwithstanding the provisions of any conflicting general 
  2-39    law." 
  3- 1                           SECTION 2. 
  3- 2  The above proposed amendment to the Constitution shall be 
  3- 3  published and submitted as provided in Article X, Section I, 
  3- 4  Paragraph II of the Constitution. 
  3- 5  The ballot submitting the above proposed amendment shall 
  3- 6  have written or printed thereon the following: 
  3- 7    "(  ) YES Shall the Constitution be amended so as to 
  3- 8              authorize the counties to impose, levy, and 
  3- 9     (  ) NO  collect a sales and use tax for the purpose of 
  3-10              lowering or eliminating property taxes for 
  3-11              schools?" 
  3-12  All persons desiring to vote in favor of ratifying the 
  3-13  proposed amendment shall vote "Yes."  All persons desiring 
  3-14  to vote against ratifying the proposed amendment shall vote 
  3-15  "No." 
  3-16  If such amendment shall be ratified as provided in said 
  3-17  Paragraph of the Constitution, it shall become a part of the 
  3-18  Constitution of this state. 

Clerk of the House
Robert E. Rivers, Jr., Clerk
Last Updated on 04/20/98