Peach Tree Times

Most taxpayers and voters in Georgia are unaware of how their property taxes are utilized. A system of tax inequity has emerged, burdening donor counties such as DeKalb, Fulton, and Cobb while benefiting others. This situation is driven by the Equalization Fund and the Sparsity Grant, which create what some describe as "tax enslavement." Donor counties contribute more than they receive, leading to higher property taxes for homeowners.

Georgia's school funding relies heavily on property taxes. Counties like DeKalb, Fulton, and Cobb generate significant revenue due to higher property values and tax rates. However, a portion of these funds is redistributed to other counties through programs like the Equalization Fund and Sparsity Grant.

DeKalb, Fulton, and Cobb pay more in taxes than they receive back. These donor counties must levy high millage rates to meet their educational needs while subsidizing other areas. Gwinnett County benefits significantly from the Equalization Fund despite its size and resources.

The Equalization Fund aims to balance funding between districts by redistributing money from wealthier counties to poorer ones. In practice, it places a disproportionate burden on donor counties like DeKalb County. The Sparsity Grant supports rural districts with low student populations but also takes money from donor counties.

Georgia currently has a $16 billion surplus; however, education remains underfunded due to an outdated Quality Basic Education (QBE) formula that hasn't been updated since the 1980s.

Homeowners in donor counties face higher property taxes as these areas impose higher millage rates to compensate for funds being redirected elsewhere. Local schools remain underfunded as a result.

To address this issue:

- Reforming the QBE Formula: Modernize education funding calculations.

- Retaining Local Revenues: Keep property tax dollars within donor counties.

- Leveraging the Budget Surplus: Use Georgia’s surplus to fill funding gaps.

Every taxpayer in Georgia deserves a fair tax system that does not penalize successful counties.