Property tax discussions in Wyoming’s Senate are intensifying as lawmakers debate potential reforms aimed at alleviating tax burdens for homeowners.
While one proposal to extend a tax exemption program for long-term, senior homeowners failed, another bill offering broader relief remains under consideration.
Senate File 67, which sought to extend a 50% property tax reduction for homeowners aged 65 and older who have paid taxes in Wyoming for at least 25 years, was defeated in a 15-13 vote. The current program is set to expire in 2027.
Opponents, including Sen. Cale Case (R-Lander), raised concerns about the cost and fairness of continuing the program without clear financial projections.
“It’s a bad idea to extend the program without knowing its full fiscal impact,” Case argued.
He noted the potential creation of unequal tax burdens among residents.
Another property tax relief measure, Senate File 69, passed its first reading after an amendment to offer a 50% property tax cut for single-family residential structures and associated land valued up to $1 million.
Sen. Troy McKeown (R-Gillette) supported the bill, calling it “the horse we want to ride” as the Senate’s main property tax relief proposal. McKeown argued that the estimated $252 million in lost revenue would not significantly impact state services, representing only a 2.5% cut to Wyoming’s $11.1 billion budget.
However, Sen. Larry Hicks (R-Baggs) pointed out that the state’s general fund and savings account amount to just $4.358 billion, meaning the actual impact would be closer to 10%.
A key point of contention is whether the state should “backfill” lost revenue to local governments. Sen. Chris Rothfuss (D-Laramie) emphasized that without backfill, essential services like police and fire departments would face budget cuts.
“This is a $250 million tax cut — that’s 10%, not 2.5%,” Rothfuss said.
Senate President Bo Biteman (R-Ranchester) opposed backfilling local budgets, arguing that property tax revenues had already increased by 65% in some counties since 2019.
“Fire trucks were running in 2019, police were running, and schools were funded,” Biteman said.
Meanwhile, a separate property tax reform bill in the House, led by Rep. Tony Locke (R-Casper), proposes shifting to a system based on a property’s purchase price rather than annual assessed value. Critics, including Rep. Liz Storer (D-Jackson), argue that this would disproportionately benefit wealthy second-home owners and threaten funding for local services.
Locke defended the proposal, describing it as a necessary step to create uniform taxation and address what he sees as an unfair system based on unrealized capital gains.
Wyoming Board of Equalization Chair Martin Hardsocg warned that Locke’s bill could be unconstitutional, as it undermines the board’s ability to ensure uniform and equal taxation. Assessors also expressed concerns about challenges in determining accurate acquisition values for homes in a non-disclosure state.
With input from Cowboy State Daily and Casper Star-Tribune.
