Gov. Sonny Perdue on Tuesday signed legislation on Tuesday designed to funnel $428 million in state dollars to the homeowner tax relief grant this year. The grant is worth about $200 to $300 per household.

An infusion of cash from the federal stimulus package will help pay for the grants.

Local officials had warned that they would have to send out supplemental tax bills without the state money. Even as he signed the bill on Tuesday, Perdue has called the grants "ineffective" in keeping property taxes down.

Perdue also lowered the state's revenues by $450 million for the current fiscal year. He is ordering state agencies to cut an additional 1 percent from their budgets.