County cannot alter the state revenue commissioner's valuation of property owned by a statewide public utility.(Recent Court Decisions)

When the state revenue commissioner determines the total market value of all property held by a public utility in the state, apportions the value between counties, and sets a tax assessment ratio, a county can modify the assessment ratio but not the apportioned market value, according to the Supreme Court of Georgia.

In 2005, Georgia Power Company (GPC) provided the State Revenue Commissioner (Commissioner) with a return stating that the fair market value of all its real property in the state was approximately $8.8 billion. In accordance with the unit tax method applicable to public utilities, the Commissioner approved this valuation and apportioned it among all the counties in which GPC held real property. The Commissioner calculated the apportioned value of GPC's property in Monroe County (County) to be $229 million and then multiplied this value by a 36.27% assessment ratio, resulting in a property tax assessment of approximately $2 million for the County.

The Monroe County Board of Tax Assessors (Board) rejected the Commissioner's valuation and assessment ratio, finding the property's market value to be $701 million, which the Board assessed at a 40% ratio to conclude that GPC owed $5.98 million in property taxes. GPC filed suit to challenge the Board's assessment and lost in the trial court. The appellate court reversed, holding that the Board had the authority to alter the assessment ratio but lacked the authority to alter the Commissioner's determination of the property's fair market value. The County appealed.

On appeal, the state supreme court began by noting that ...