No new property tax cut: Wyoming voters defeat Proposition 1

Wyoming voters on Tuesday defeated Proposition 1, a sweeping tax relief ballot initiative that opponents warned would devastate budgets for local county governments, special districts and education. 

Though it came to the ballot with more than 30,000 signatures, the measure’s defeat illustrates the appetite for drastic property tax cuts did not extend to a majority of voters on Election Day. 

Proposition 1 would have exempted 50% of a primary residence’s assessed value from property taxation, resulting in annual property tax revenue decreases estimated at anywhere from $92.6 million to $124.8 million. 

The measure needed approval from more than 50% of those voting in the general election to pass. Ballots left blank counted as no votes.

As of 2:04 a.m. Wednesday, AP results showed that with 82% of the vote counted, 55% of voters opposing Prop 1, with 42% backing the measure. Laramie County was not included in that total, but results there showed Prop 1 failing by similar margins.

Its loss comes on the heels of a well-funded and organized movement to defeat Proposition 1. Opponents ranged from organizations such as the Wyoming Hospitals Association and the Wyoming Education Association to prominent figures like former Gov. Dave Freudenthal, a Democrat, and Republican Gov. Mark Gordon. 

“The voters have spoken and tonight was a big win for the hard-working families of Wyoming,” Kim Amen, chair of the Vote No on Prop 1 Coalition, said in a statement. “We hope and trust that state lawmakers will listen to the will of the voters, who said loudly that critical services like our public schools, first responders, road repairs, and libraries should receive the funding they need and that Wyoming families deserve.”

The Wyoming Taxpayers Association — which bills itself as Wyoming’s “tax watchdog” — was among critics. That’s because Proposition 1 would have weakened Wyoming’s economy, disproportionately hurt counties not rich in minerals and forced reductions in essential services, the association said in campaign materials.

If Proposition 1 had passed, counties like Lincoln, Park and Fremont would have faced revenue cuts of more than 40%, according to the association.  

“Prop 1 is not sound fiscal policy,” reads a post from the association’s website. 

Homeowner relief vs. local budgets

Proposition 1 was among a raft of efforts to relieve property owners after COVID-era real estate trends pushed up residential values. That resulted in spiking tax bills for many Wyoming homeowners; increases varied by county. In Park County, the average homeowner saw their tax bills jump over 60% in three years. 

In October of 2023, two-time gubernatorial candidate Brent Bien, along with his former campaign manager Rich Weber and former Wyoming Republican Party state committeewoman Cheryl Aguiar, secured approval to begin collecting signatures to get a 50% exemption on the ballot, with no cap on the value.

Secretary of State Chuck Gray certified the initiative in January 2025 after verifying more than 30,000 signatures. 

The numbers indicated high interest — at least when the signature collecting was happening between late 2023 and early 2025. Wyoming lawmakers also passed several property tax relief measures after signature collecting began, including five bills in 2024 and a 2025 bill that created a 25% exemption on the first $1 million of a primary residence’s fair market value.

That 25% exemption shrank revenue pools for public education, municipalities and special districts such as hospitals. Some county governments implemented hiring freezes and mandated departmental budget cuts. Some closed libraries, others stopped maintaining parks and many dipped into reserves. 

These results were cast as cautionary tales — examples of painful consequences brought on by property tax cuts. Over the last year, a chorus of opposition has swelled against Proposition 1 — voices that include county treasurers, fire chiefs, education advocates and perhaps most notably, prominent Republicans. 

If Proposition 1 passed, they say, the damages would have spiralled out of control. 

The “Vote No on Prop 1” PAC was well-resourced. Campaign finance filings show nearly $2 million in contributions; the National Education Association has donated $1.4 million. Bien, Weber and Aguiar’s PAC, BCR Voter Initiatives, meanwhile, reported contributions of less than $4,000.

Proposition 1’s supporters, including many who align with the far-right Wyoming Freedom Caucus, said misinformation capitalizing on fear blew the impact of the tax reduction out of proportion. Opponents ignored important nuances of the measure and used a “chicken little” strategy of predicting calamity, Prop 1 supporters argued. 

The loss is another blow to the Freedom Caucus. After years of consolidating power in Wyoming’s Legislature, the bloc in the August primaries lost majority control of the House and backslid in the Senate.