Coweta County's proposed millage rate is lower — so why is it advertising a tax increase?

Coweta County is required by state law to advertise a property tax increase this year — even though the millage rate it is proposing is the lowest it has been in recent memory, and most property owners are expected to pay less.

The Coweta County Board of Commissioners announced its intention to set the General Maintenance and Operations millage rate at 4.011 mills for tax year 2026. That figure is 16.7% lower than last year's rate of 4.817 mills — a reduction the county says will decrease property taxes for most owners depending on their assessed value.

The catch: 4.011 mills is still 0.255 mills above the calculated rollback rate of 3.756 mills, which is the rate that would produce exactly the same total tax revenue as last year after accounting for property reassessments. Under Georgia law — specifically O.C.G.A. § 48-5-32.1 — any millage rate set above the rollback rate legally constitutes a tax increase, regardless of how it compares to the prior year's rate. That triggers a mandatory process: the county must advertise the increase and hold at least three public hearings before commissioners can adopt a final rate.

The rollback rate itself shifted significantly this year due to two factors. First, the Board of Tax Assessors reassessed properties countywide to reflect rising market values, which expanded the total taxable digest. Second, and more unusually, the rollback rate calculation incorporates five months of Floating Local Option Sales Tax (FLOST) collections totaling $10.9 million — money that offsets what the county needs to collect through property taxes. Without the FLOST offset, the rollback rate would be 4.755 mills. With it, the rate drops to 3.756 mills. For tax year 2027, a full twelve months of FLOST will be applied, which will push the rollback rate even lower.

In plain terms: the county is collecting more in sales tax revenue, which reduces its reliance on property taxes. The proposed 4.011 mill rate sits between the old rate (4.817) and the new rollback rate (3.756) — lower than last year, but not as low as it theoretically could go while still keeping revenue flat.

The proposed fiscal year 2027 budget, which will be presented to commissioners on August 25, 2026, requires a millage rate higher than the rollback rate — making the advertisement and hearing process unavoidable under state law.

Three public hearings are scheduled, all in Commission Chambers at 37 Perry Street in Newnan, Georgia, with final millage rate adoption planned for August 25, 2026, at 6:00 p.m. All concerned residents are invited to attend and comment.

The proposed millage rates do not include separate levies set by municipalities or the school system. The rates also do not apply to residents of Chattahoochee Hills, Newnan, or Palmetto for the Special Service District portion of the levy.

Why it matters — Most Coweta County property owners are likely to see lower tax bills in 2026 despite the legally required tax increase advertisement — but residents have until August 25 to weigh in at public hearings before the rate is locked in.

Reported by ga.us, times-herald.com, law.justia.com