Wyoming Legislature 2023: Revenue Committees Lead Discussion On Property Tax Relief

Becky Farrell/AARP Wyoming

2023 Joint Revenue Committee
Committee Chairs (click to meet the committee):

Senate - Bo Biteman
House - Steve Harshman

Senate committee members - Tim French, Bob Ide, Stephen Pappas, Troy McKeown
House committee members- John Bear, Andrew Byron, Tony Locke, David Northrup, Ember Oakley, Liz Storer, Tomi Strock, Dan Zwonitzer

All eyes will be on the Joint Revenue Committee during the 2023 session, which had a very high-profile 2023 interim as it tackled property tax relief and Medicaid Expansion.

While the Joint Revenue Committee agreed to sponsor a bill that would allow for Medicaid Expansion in Wyoming during the 2023 interim, the election and subsequent committee appointments have resulted in a far different Revenue Committee for the 2023 Legislative Session than was seen in 2022.

On the House side, Rep. Steve Harshman (pictured above) remains the House chair of this committee, along with Senate Revenue committee chair, Bo Biteman, who is in his first year of chairmanship. Biteman says his biggest focus is the work the committee will do on Property Tax Relief. 

“I would like to tell your members that I am committed to getting meaningful property tax relief done this session and we will start the process of long-needed reforms to the whole property tax system in Wyoming,” Biteman says.

“I believe the people are ready for us to make substantial changes as the property tax system is not working for our seniors, or anyone for that matter. I am looking for new ideas and I am looking forward to getting to work with my new committee. I have a great team on the Senate Revenue Committee.”

During the 2022 session, the Wyoming Legislature funded the Property Tax Refund Program. State Revenue Department Director Brenda Henson reports that the program received 4,395 applications last year, with 3,085 of them qualifying for $1.856 million in state funded refunds. That is far more than the 1,411 applications the program saw in 2019, the last year it was offered. The interest encouraged the Joint Appropriations Committee to add $4 million to that program this year. 

The effort confirmed Legislator’s plans for a more holistic effort to seek property tax relief solutions during the interim.  As a result, the Revenue Committee brought forth a number of measures that will be considered in 2023. Among those ideas are additional funding and relaxed requirements for the Property Tax Refund program, allowing for an income allowance of 125% of the median county or state household income level as well as an asset level per adult of $150,000.

A bill sponsoring a Homestead Exemption in which the first $50,000 of value is exempted from tax has also passed into the 2023 session; as will a constitutional amendment to make residential property its own class of real estate for future tax purposes. 

According to Henson, the Homestead Exemption and change to the Property Tax Refund Program’s eligibility would be easy to implement and could take effect next year if the Legislature is looking for short-term property tax relief for Wyomingites. Harshman was at the center of the interim workaround Property Tax Relief. He says the Property Tax Refund program is the  best bang for Wyoming’s buck.

“The refund program is number one for getting the most money into the hands of those that need it,” Harshman says, “We expanded that eligibility in a sponsored bill this interim and it could help more people take advantage of that program.”

While there has been some talk about studying a tax system based on the cost of acquisition for a home, it does appear that it would cost the state somewhere around $300 million per year in lost revenue. Harshman says, “California is the only state in the Union to adopt such a system and there is a reason there is only one state.  It is unfair and doesn’t work”. 

Property tax isn’t the only issue this committee will address in 2023. During the 2023 interim, the committee voted to sponsor a bill that would expand Medicaid in Wyoming. However, the election and subsequent changes to committees have left the Revenue Committee far more conservative than it was previously, which might make expansion a non-starter for the current Revenue Committee. Harshman says he thinks there is a solid majority in favor of Expansion on the House side.

“I think it will be up to the speaker to assign a committee for Medicaid Expansion, but it will start in the House and see how it goes,” says Harshman. “I think putting it in the budget is appropriate as well. Across America and in Wyoming, Medicaid is a huge benefit to seniors before the age 65 and to the working poor. Two-thirds of those who would be newly eligible are women and two-thirds are working. In addition, similar to in Montana, it will provide much-needed stability for our rural critical access care.”

Whatever committee hears the Medicaid Expansion bill will hear proponents point out expansion would provide healthcare coverage to 19,000 Wyomingites who do not currently carry health insurance. Polling, paid in part by AARP Wyoming and performed by New Bridge Strategies suggests 65% of those it surveyed in 2021 want their state legislator to support Medicaid Expansion, including 58% of Republicans surveyed. If enacted, the Department of Health suggests Medicaid Expansion would bring $54 million of federal funding into Wyoming and cut into the $120 million in uncompensated care delivered by the state’s hospitals, according to the Wyoming Hospital Association. According to the Wyoming Department of Health, more than of those who would be covered by Medicaid Expansion would be low-income women. 

Harshman mentioned The Revenue committee will also address funding for the state’s 988 Suicide Prevention line. He says the committee hopes to set up a trust fund to pay for that service by putting away money that would fund the program in perpetuity. Finally, he says the Revenue Committee will also look at gaming during the 2023 session, including whether to limit skilled-based amusement games to places that serve alcohol and in truck stops.