§ 1. Definitions.

(a)

As used in this Act, the term:

(1)

"Ad valorem taxes for municipal purposes" means all municipal ad valorem taxes for municipal purposes, levied by, for, or on behalf of the City of Thunderbolt, except for taxes to pay interest on and to retire municipal bonded indebtedness.

(2)

"Adjusted base year assessed value" means an amount equal to the assessed value of such homestead for the base year, increased annually by the percentage of any increase in the Consumer Price Index for all Urban Consumers published by the Bureau of Labor Statistics of the United States Department of Labor from the base year to the current year. However, in the event that the assessed value for the current year is less than or equal to the assessed value for the base year, then the adjusted base year assessed value shall equal the current year assessed value.

(3)

"Base year" means the taxable year immediately preceding the taxable year in which the exemption under this Act is first granted to the current owner of such homestead.

(4)

"Homestead" means homestead as defined and qualified in Code Section 48-5-40 of the O.C.G.A., with the additional qualification that it shall include only the primary residence and not more than five contiguous acres of land immediately surrounding such residence.

(b)

Each resident of the City of Thunderbolt is granted an exemption on that person's homestead from all City of Thunderbolt ad valorem taxes for municipal purposes in an amount equal to the amount, if any, by which the assessed value of that homestead that exceeds its adjusted base year assessed value. This exemption shall not apply to taxes assessed on improvements to the homestead or additional land that is added to the homestead after January 1 of the base year. If any real property is removed from the homestead, the adjusted base year assessed value shall be calculated reflecting such removal. The value of that property in excess of such exempted amount shall remain subject to taxation.

(b.1)

(1)

In the case of an unremarried surviving spouse of a deceased spouse who had been granted the exemption provided for in subsection (b) of this section, if such unremarried surviving spouse applies for and is granted such exemption in the 2005 taxable year, notwithstanding any other provision of this Act to the contrary, the base year for that unremarried surviving spouse shall be the same as the base year of the deceased spouse, so long as that unremarried surviving spouse continues to occupy the home as a residence and homestead.

(2)

In all other cases, the unremarried surviving spouse of the deceased spouse who has been granted the exemption provided for in subsection (b) of this section shall continue to receive the exemption provided under subsection (b) of this section, so long as that unremarried surviving spouse continues to occupy the home as a residence and homestead.

(c)

A person who, as of December 31, 2000, has applied for and is eligible to receive the $2,000.00 state-wide homestead exemption granted under Code Section 48-5-44 of the O.C.G.A., as amended, shall be eligible automatically for the exemption granted by this Act without applying therefor. Otherwise, a person shall not receive the homestead exemption granted by subsection (b) of this section unless the person or person's agent files an application with the governing authority of the City of Thunderbolt, or the designee thereof, giving such information relative to receiving such exemption as will enable such governing authority or designee thereof to make a determination as to whether such owner is entitled to such exemption.

(d)

The governing authority of the City of Thunderbolt, or the designee thereof, shall provide application forms for the exemption granted by subsection (b) of this section which shall require such information as may be necessary to determine the initial and continuing eligibility of the owner for the exemption.

(e)

The exemption shall be claimed and returned as provided in Code Section 48-5-50.1 of the O.C.G.A. The exemption shall be automatically renewed from year to year as long as the owner occupies the residence as a homestead. After a person has filed the proper application as provided in subsection (c) of this section, it shall not be necessary to make application and file such affidavit thereafter for any year and the exemption shall continue to be allowed to such person. It shall be the duty of any person granted them homestead exemption under subsection (b) of this section to notify the governing authority of the City of Thunderbolt, or the designee thereof, in the event that person for any reason becomes ineligible for that exemption.

(f)

The exemption granted by this Act shall not apply to or affect state ad valorem taxes, county ad valorem taxes for county purposes, or school district ad valorem taxes for educational purposes. The homestead exemption granted by subsection (b) of this section shall be in addition to and not in lieu of any other homestead exemption applicable to municipal ad valorem taxes.

(g)

The exemption granted by subsection (b) of this section shall apply to all taxable years beginning on or after January 1, 2001.

(2001 Ga. Laws (Act No. 209), page 4434, § 1; 2004 Ga. Laws (Act No. 764), page 4315, § 1)