Wyoming lawmakers are considering one of the most sweeping tax changes in state history — a constitutional amendment that would eliminate all residential property taxes. While this proposal is framed as financial relief for homeowners, the potential consequences for Teton County are enormous.
According to new estimates from the Teton County Assessor’s Office, the county could lose at least $181 million every year currently generated by residential property taxes. More than $141 million of that funding supports Teton County schools, including contributions to the State School Foundation and school district recreation programs. Without this revenue, the state and district would need alternative funding sources — none of which are currently guaranteed.
Local services would also face significant cuts. The county’s general fund would lose $25 million, approximately one-third of its entire operating budget. St. John’s Health would see a $9 million reduction, and Teton County Weed & Pest would lose $3.2 million. County Treasurer Katie Smits warns these losses can’t simply be replaced by raising sales taxes.
To offset the repeal, lawmakers are exploring a 2% increase in the Wyoming sales tax, bringing Teton County’s rate from 7% to 9%. Yet even that would generate only $50 million annually, and much of it wouldn’t directly return to local services — nor would any of it fund public schools. Sales tax increases also disproportionately affect lower-income residents, raising concerns about regressive impacts.
With ongoing tax exemptions already reducing Teton County revenue by $44 million this year, residents now face two major 2026 ballot measures: a 50% residential tax cut initiative and potentially the complete elimination of residential property taxes.
These decisions will shape the future of education, public services, and community stability in Teton County. Residents should stay informed — the financial stakes could not be higher.
