Wyoming’s community colleges are closely monitoring Senate File 69, a bill that proposes a significant reduction in property taxes for residential homeowners.
While the reduction could bring relief to many residents, community colleges, which rely on property tax revenue, are concerned about the potential financial impact.
Property tax revenue constitutes one of the three key revenue sources for Wyoming’s community colleges. Senate File 69, which has passed the Senate and is undergoing further debate in the House, proposes a 50% reduction in property taxes for the first $1 million of fair market value on single-family residential structures and associated improved land.
Dr. Walter Tribley, President of Sheridan College, spoke about the potential impact of the bill, noting that the specifics of the financial effects are not yet clear. However, he explained that the proportion of property tax revenue derived from residential properties in Wyoming is high—about 76% in many counties. This means that a reduction in property taxes, particularly for residential properties, could significantly affect the funding available to the community colleges.
The bill has already undergone extensive debate, and while it passed the Senate by a vote of 23-8, it is now being considered in the House. The House has proposed amendments to the original bill, such as including a $200 million backfill to offset some of the revenue loss for local governments and schools. If Senate File 69 passes the House, it will move to Governor Mark Gordon for final approval.
Despite the bill’s intention to offer tax relief to homeowners, there are concerns that the reductions could strain funding for essential services, including education. Community colleges, already facing reliance on a limited number of funding sources, may experience challenges in maintaining programs and services if property tax revenues decline. These potential financial difficulties come at a time when the state is also discussing other property tax reform measures, further complicating the budgetary outlook for these institutions.
With input from Sheridan Media, Wyoming Tribune Eagle, the Sheridan Press, and Cowboy State Daily.
