Committee tables bill to restrict class actions for local tax refunds after debate

A committee debated and then tabled House Bill 1360, a measure that would extend to counties and cities the state law that precludes class actions for tax refunds.

Chairman Tokas presented the bill and turned discussion to Aaron Kapler, who said the substitute and a newly offered subsection (h) would mirror OCGA 48-2-35 — the statute that already precludes tax-refund class actions against the state — and extend the same rule to local governments. Kapler argued class settlements can force taxpayers to pay refunds through bond issuances or millage increases while attorneys take large fees: "...with these class actions...the lawyers are getting 40%." He urged the committee to consider the change to avoid taxing neighbors to pay the costs of class settlements.

Opponents warned the change could limit access to relief for small property owners who cannot otherwise afford individual litigation; Representative Kelly and others said class actions allow efficient redress when many property owners were overassessed or harmed. Members also discussed whether valuation-appeal consolidation or other remedies might offer alternatives.

The committee ultimately voted to table the bill to give members more time to consider the policy and procedural implications.

What’s next: HB1360 was tabled and may be taken up at a later committee meeting; sponsors said more work is needed to address member concerns.