House Taxation Committee advances Senate Bill 542 with $400 rebate and new property-rate structure

Senate Bill 542, a broad property-tax bill carrying multiple amendments, passed the House Taxation Committee on a 21–0 vote after the committee adopted several amendments that reshape rates and add a short-term rebate.

Miss Moore, the amendment sponsor, summarized the key provisions at committee: "this amendment includes a $400 rebate in tax year 2025 for 2024 taxes paid. It moves the agricultural property tax rate to 2.05% beginning in tax year 2025. For residential property in 2025, it has a rate structure similar to that of House Bill 155, except that it starts at .076% and goes up to 2.2%." Her explanation also said the bill includes a charter fixed-levy provision to allow certain local entities to retain revenue.

Committee members repeatedly described the amendment as a product of compromise among competing proposals. One sponsor said the package "brings together elements of a variety of different bills" and called it a step toward structural reform of property taxes. Representative Carlin said the measure was tailored to differing district economies and called it "a fair proposal." Representative Weber, a committee freshman and former county commissioner, said she was pleased the plan preserves some revenue for smaller counties.

Not all members supported every element: Representative Solnakoff said she appreciated the rebate but announced she would vote no on the amendment, stating concerns that the changes could "penalize" owners of multiple homes and shift tax burden in undesirable ways.

The committee adopted amendment 542.001.009 (which contains the rebate and rate structure) by roll call, 19–2. The committee later adopted two additional amendments. Amendment 542.001.011 — a coordination instruction specifying that if House Bill 528 and this act both pass then HB 528 would be void — was adopted by voice vote (reported 21–0). Representative Fitzpatrick moved amendment 542.001.012 to allow retroactive homestead claims for missed filers; Fitzpatrick said it "will allow you to go back and get a refund if you would be owed money if you would qualify for a homestead" and that it enables an eligible person to "go back and claim 1 year's worth of homestead." That amendment passed by voice vote (reported 21–0).

After adopting the amendments the committee voted to concur in SB 542 as thrice amended; the chair reported 21 ayes and 0 nos, and the bill passed out of the House Taxation Committee.

The committee closed executive action on SB 542 and assigned a carrier for floor action. The bill now advances with the adopted amendments; further consideration will occur as the bill moves through the House process.

The record of the committee notes the key enacted changes: a one-time $400 rebate for tax year 2025 (for 2024 taxes paid), an agricultural property tax rate change to 2.05% beginning in 2025, a tiered residential rate structure phased through 2025–2026, and a provision allowing one-year retroactive homestead claims for missed filers.