Even though the DeKalb County School District is rolling back its millage rate in its proposed 2026 fiscal year budget, DeKalb residents will see an increase in their annual tax bills.
During a series of hearings related to adopting a 2025 millage rate of 22.78 mills – a tenth of a mill lower than last year – DeKalb County School officials said that in order to have a revenue-neutral impact on taxpayers, the rollback would need to be 22.15 mills. The rollback would offset rising taxes generated by increases in property values.
For a home worth $400,000, this tax increase would add about $109 to a homeowner’s annual bill. A $800,000 home would see bills rise by an estimated $200 annually.
“Because Georgia taxes property on 40 percent of market value, the dollar impact remains modest while ensuring reliable funding for safe facilities, competitive teacher pay, and dependable student transportation, which are investments that support local property values and economic growth,” an announcement by DCSD said.
Three public hearings on the tax increase were held on May 30, June 2 and June 9.
During the June 2 hearing, Byron Scheuenman, the district’s chief financial officer, said external and internal increases in expenses total more than five percent of the school’s proposed $2.1 billion budget, but the expected 22.78 millage rate represents a 2.9 percent increase in revenues.
Rising external expenses of about $38 million include higher costs for the teacher’s retirement program, about $10 million, and increases of about $24 million to the district’s benefit plan.
Internal costs of about $31 million will fund 55 more special education teacher and provide more supply resources for schools. In addition, the end of pandemic-related funding is another consideration that will affect the bottom line, Scheuenman said.
The system is also monitoring the possibility of federal funds, currently around $200 million, being reduced or eliminated, as threatened by the Trump Administration. In order to close the gap between the system’s budget and expenses, about $24 million will be drawn from the school’s fund balance, he said.
“For fiscal year 2026, we are really dealing with a flattening tax base,” Scheueman said.
Several DeKalb County-area cities, including Dunwoody and Tucker, are discussing true-revenue neutral millage rates that will see no increase in the city’s homesteaded residential tax bills, unless the property has been reassessed.
In Brookhaven, because of the revaluation of real property tax assessments, the proposed 2.74 millage rate is projected to result in an increase in property tax by 0.073 mills over the rollback millage rate.
The majority of taxpayers will feel the pinch most significantly with the DCDS portion of the total tax bill, which is the lion’s share of DeKalb homeowners’ overall total – sometimes up to 75 to 80 percent.
