UPDATE: Oklahoma residents may soon have the opportunity to eliminate property taxes on their homes, as lawmakers announce a bold initiative just filed with the Oklahoma Secretary of State. The proposed measure, known as State Question 841, aims to phase out residential property taxes entirely by 2029, making it a critical issue for voters.
The initiative allows voters to decide on gradually reducing property taxes, starting with an exemption equal to 33% of the assessed value of their homes from January 1, 2027. This exemption would increase to nearly 67% in 2028 before the complete elimination of property taxes in 2029. The drastic change is projected to slash ad valorem revenue by $400 million in 2027, $800 million in 2028, and a staggering $1.2 billion in 2029.
The initiative was spearheaded by former Rep. Mike Reynolds, alongside Senator Shane Jett and Representative Jay Steagall. It will require 92,263 signatures to be placed on the November 2026 ballot.
Critics, including Oklahoma County Commissioner Jason Lowe, warn that the measure could devastate local governments, schools, and essential services, stating, “That would destroy county government,” and highlighting that property taxes are the only revenue source for Oklahoma County. The potential loss of funding raises concerns about how schools and municipalities would maintain infrastructure and services crucial for residents.
Despite the pushback, proponents argue that property taxes undermine homeownership. “For years, Oklahomans have never truly owned their homes because of ongoing property taxes,” said Steagall. “This measure encourages homeownership by reducing payments.”
The initiative does not eliminate property taxes for businesses or renters, focusing solely on homeowners. Reynolds emphasized that the timeframe allows local entities to find alternative revenue sources, stating, “This will give cities and counties time to adjust and find ways to replace lost revenue.”
A recent law making it more challenging to place issues on the ballot is currently being contested in the Oklahoma Supreme Court. Nevertheless, Reynolds remains optimistic about the initiative’s success, suggesting that public support for eliminating property taxes is widespread.
As the situation develops, Oklahoma residents are urged to consider the implications of this potentially game-changing initiative on their communities. The decision to phase out property taxes could transform the financial landscape for homeowners and local governments alike.
Stay tuned for updates as this story unfolds, and prepare to make your voice heard in the upcoming election.
