Effingham County leaders have unveiled a three-year proposal to eliminate the county government’s share of property taxes on qualifying homestead properties by fall 2028, but the plan depends on legislative action, local ordinances and voter-approved referendums.
The Board of Commissioners announced Project Zero July 13, saying the initiative would use two state-authorized tax relief tools to replace revenue now collected from homeowners. Effingham County School District taxes would remain because the programs apply only to county or city taxes.
The proposal’s main funding source is a 1% Local Homestead Option Sales Tax. Officials estimate it would generate about $17 million annually, compared with $15 million now collected through county taxes on qualifying homesteads. The county says commercial and industrial activity generates most local sales tax revenue. A Local Homeowners Incentive Adjustment Grant would let commissioners apply surplus revenue and available fund balance to homeowners’ tax bills.
Tax Commissioner Daniel Rodewolt said a $325,000 homesteaded home with a current $3,639 total property tax bill could receive about $1,528 in county relief, reducing the bill to approximately $2,111, the Effingham Herald reported. Officials estimate qualifying homeowners would save about 42% on average, though amounts would vary by home value and exemptions.
Under the county’s published Project Zero timeline, voters would first consider the grant program in November 2026. A separate referendum on the 1% sales tax is planned for November 2027, with collections beginning in January 2028 if approved.
The plan calls for converting existing fire and sanitation fees into ad valorem taxes so they could qualify for future relief. County officials say services would be maintained, but voters would ultimately decide whether to shift more of county government’s cost from homeowners to taxable purchases.
