Wyoming voters on Tuesday approved a constitutional amendment to segregate residential real estate from other forms of property for taxation purposes.
Set into motion by lawmakers in 2023, about 54% of voters supported a measure to recategorize property-tax classes, according to unofficial results from the Wyoming Secretary of State’s office.
Until now, the Wyoming Constitution grouped residential with commercial and agricultural property. That’s made it difficult for lawmakers to respond to surging home values in much of the state with changes that only addressed how homes are taxed. Instead, lawmakers have relied on more short-term fixes, including expanding the state’s property tax refund program, creating new exemptions for certain homeowners and boosting an existing exemption for veterans.
With the success of the amendment, lawmakers will have one fewer constraint to contend with. What exactly the Legislature does next remains to be seen, but the measure also grants them the option to create a subclass for owner-occupied, primary residences.
The legislation that put the amendment before voters on the general election ballot received the requisite two-thirds support in both the House and the Senate. But even some of those who voted in favor of it expressed concern that it would open the door to higher taxes. Other opponents held that the amendment would create an unfair and unnecessarily complex system for taxpayers.
Supporters, meanwhile, argued that it would enable the Legislature to address property taxes without starving essential public services — property taxes fund education and local governments.
Support for the amendment saw significant financial backing from a political action committee tied to a statewide realtors group. According to campaign finance records, the 4 Wyoming PAC spent more than $544,000 on advertising since late September — an extraordinary amount of money for Wyoming elections in a short period of time.
The measure is the 14th amendment to the Wyoming Constitution approved by voters since 2000.
It is now time for the members of the Wyoming Legislature to deal with this issue, to set aside their differences and do the hard work of governing. If the factions in the legislature remain polarized and continue to display the animosity that has prevailed in recent sessions, a long-term property tax solution will not happen. Homeowners need tax relief, local governments and schools need a revenue source to make up shortfalls that may result. I believe that consumption taxes need to be studied. Tourists and others who use our roads and infrastructure to travel through Wyoming should pay a much larger share of our state budget and homeowners need tax relief. The ball is in your court, Wyoming Legislature. Pull together and come up with a solution.
if you want to attract retirees to the state lower property taxes are a big draw . retirees have money to spend that will create job creation and a broader tax base
The legislature could also lower taxes on commercial properties to further entice the Amazons, Microsofts, etc., to bring more facilities into the state.
A sub-class for second homes also seems likely, so look for tax rates on second homes and cabins to be higher than they are currently.
It’ll certainly be interesting to see how the Freedom Caucus, who recently decided they didn’t want the power to make these changes after helping to get them on the ballot, will respond to voters that think they just voted themselves a tax cut.
How about no, you want that?, you go there where they are.