When Atlanta Public Schools’ new superintendent was sworn in on Monday, he told the audience that he wants little fanfare in his first 100 days.
“There won’t be a ton of words,” Bryan Johnson told those gathered at APS headquarters. “There’ll be a ton of work.”
Hours later, Johnson learned that there could be lots of both. Johnson appeared at the first of three Atlanta Board of Education hearings, where district officials will discuss finalizing the millage rate for the schools portion of Atlanta’s property tax for the next fiscal year. It’s a mundane process that has some parents concerned and could be the first difficult issue that Johnson navigates in his new role.
APS, like most public school districts, is primarily funded by collecting a portion of local property taxes, which it depends on to pay teacher salaries, for educational and support programs, and many other functions. But while a well-funded public school system is generally considered a valuable asset for homeowners, for many Atlanta homeowners already struggling with higher costs, it could mean paying more to fund the schools next year since property values are on the rise.
“Now is just not the time for an increase,” said Atlanta resident Wykeshia Howe, who attended Monday’s hearing.
APS’ budget for fiscal year 2024-2025 proposes keeping the current rate flat at 20.5 mills; one mill is equal to $1 in tax per every $1,000 of assessed property value. It’s the same rate as APS’ 2023 fiscal year, APS Chief Financial Officer Lisa Bracken told board members. But because it will be applied to properties that have increased in value, the district is required by law to advertise the stay as a tax rate increase to its constituents, she said.
A home valued at $325,000 by the Fulton County tax assessor and carrying a homestead exemption would see about a $66 increase in taxes this year, Bracken said.
The projected increase in revenue would allow the district to provide resources for students such as the AP African American history course that State Superintendent Richard Woods rejected late last month, only to reverse that decision days later. That course will continue for students at four APS high schools.
Howe told Johnson and other APS officials that a tax increase right now for Atlanta residents would add pressure to families during a time when many are struggling to make ends meet.
“I want you guys to think about the grandparents who are raising their grandchildren that are struggling right now to keep a roof over their head, pay taxes and provide food and other things to raise their family,” Howe said.
A recent study on the impact of rising tax burdens as the result of higher property values supports her point. The report, compiled by the Lincoln Institute of Land Policy, examined property taxes paid in 2023 in the largest cities in all 50 states and found that Atlanta was among the five cities with the steepest increase in residential effective property tax rates in the country.
Effective tax rate measures a property’s tax bill as a percentage of its market value. That means a city can have overall millage rates that are low or stagnant, as in the budget proposal for Atlanta’s school tax, yet homeowners would still see increases in their tax bills if property values are rising.
The median sale price of homes in metro Atlanta has increased 57% since 2020, according to Georgia Multiple Listing Services. In Atlanta and many other jurisdictions, the millage rate charged by the school district is only one part of a total property tax bill that also includes taxes from the county and municipal government.
Katie Howard, the APS district 1 board member, who sits on the district’s budget committee said initiatives like an 11% teacher salary increase and reducing central office staff to redirect funds directly to schools requires a budget like the $1.8 billion plan that the district just passed this June.
“That’s why we are taking the action we are taking around the millage rate,” Howard said. “We appreciate feedback from the public and encourage everyone to look at any homestead exemptions that are available. We are very sensitive to where people are in the city of Atlanta with the increase.”
The next two millage hearings will be held on Aug. 12 at 10 a.m. and 6 p.m. The meetings are open to the public and will be streamed on the board’s Facebook and YouTube page.
