SPRINGFIELD, Ga. — Effingham County commissioners have approved a resolution that could significantly reduce school property taxes for qualifying senior citizens by increasing the county’s existing senior homestead exemption from $20,000 to $100,000.
The resolution, approved unanimously Oct. 7, begins the process of putting the proposed change before Effingham County voters in 2027.
The exemption, known as S4, is an income-based property tax break for homeowners 65 and older. Seniors must have less than $10,000 in earned income, not counting Social Security and retirement income.
About 2,400 parcels currently receive the exemption, according to Effingham County Tax Commissioner Daniel Rodewolt. The proposed increase would eliminate school taxes for an estimated 76% of seniors currently receiving the S4 exemption and greatly reduce the tax for most of the rest.
Rodewolt said the proposal is intended to help seniors living on fixed incomes who have limited ability to absorb rising property taxes.
“Those are the people that I see that need the help the most,” Rodewolt said during an interview after the commission meeting. “They can't go work an extra weekend, or you know, they get their Social Security or their retirement check, and that's what they have. And as taxes rose, you know, it kind of put them in a little bit of a bind.”
What the change means
The additional $80,000 exemption would apply to the taxable value of a home for school taxes.
Rodewolt used a $367,000 home as an example. Under the current $20,000 S4 exemption, about $127,000 of the home's value remains subject to the school tax.
Under the proposed $100,000 exemption, that taxable value would fall to $27,000.
Using the current school millage rate of 16.45 mills, the school tax in that example would drop from roughly $2,000 to about $445.
Finding a way to pay for it
The proposed exemption could reduce school tax collections by about $2.4 million, but Rodewolt said the school system would not necessarily have to make up the entire amount.
Rodewolt is working with the county, Effingham County Industrial Development Authority and Board of Education on ways to cover the lost revenue without shifting the burden to other property owners.
Among the ideas discussed were having the county fully fund school resource officers, which Rodewolt estimated would cover about $1.1 million, and having the IDA fully fund the Effingham College & Career Academy, which he estimated at about $3.3 million.
Rodewolt also asked that portions of future payments from businesses receiving tax incentives be directed to the school system through payment-in-lieu-of-tax agreements.
Those are funding options rather than final agreements, he said.
Rodewolt said continued growth in Effingham County also will help cover the lost school tax revenue.
“There’s more than enough to cover the less than half a mil that it would take to do that,” he said, pointing to growth in the county, including the OpenAI data center project.
OpenAI could speed relief
The senior exemption proposal was not created because of OpenAI.
Rodewolt said he has been working on increasing the exemption since taking office in 2025. But the county’s growth, including OpenAI’s $20 billion data center project, could speed up the effort to provide tax relief.
“OpenAI speeds that up with the tax revenue that they will pay, sales tax and property tax,” Rodewolt said. “They speed a lot of our tax relief up.”
The proposal comes after Effingham County property owners received significant tax relief this year connected to the sale of land for the OpenAI project.
Rodewolt said the land sale has already contributed to lower tax bills for county property owners this year.
“We're seeing about a 30% reduction on most of the bills this year,” Rodewolt said.
Voters would decide
Tuesday’s action does not immediately change the exemption.
The resolution now goes to the county’s state legislative delegation, Rodewolt said. If approved by the Legislature, the measure would go to Effingham County voters in the 2027 general election.
Voters would have to approve the increase before the larger exemption could take effect.
Rodewolt said the process also gives the county time to make sure eligible seniors understand how to apply for the exemption.
The S4 exemption is not automatic. Eligible seniors must apply through the county and provide documentation showing they meet the income requirements.
The tax office provides exemption information when property is purchased and includes information with annual tax bills. Information also is available through the county’s website.
Rodewolt encouraged senior homeowners to check with the county to make sure they are receiving all exemptions for which they qualify.
