The Wyoming Senate passed a bill Friday morning that seeks to extend the long-term homeowners' property tax exemption into perpetuity.

Homeowners who are at least 65 years old, have paid property taxes in the state for at least 25 years and live in their home at least eight months per year are eligible for the long-term homeowner exemption, first adopted by the Wyoming Legislature in 2024.

In Sheridan County, 2,175 residents have applied for the long-term homeowner exemption through Friday afternoon.

The exemption is currently set to sunset on July 1, 2027.

Senate File 39, “Long-term homeowner tax exemption-amendments,” would remove the sunset date. 

Senators also voted to add two provisions to the bill during the Committee of the Whole, the first opportunity for the entire body to review and work the bill, on Wednesday.

One would modernize long-term homeowner exemption applications. 

Requirements for the initial application would remain the same: eligible homeowners must file paperwork swearing they have paid property taxes for at least 25 years and are at least age 65. In subsequent years, the new provision would allow eligible homeowners to reach out to their respective county assessor’s office to request a continued exemption, rather than submitting additional paperwork.

The other provision added would cap the value eligible for the 50% exemption at the first $3 million of a property’s fair market value. As it stands, the exemption does not have a cap.

“What I’m trying to do is catch all the people that really deserve, seniors that really deserve this tax break, but then ask folks that have a little bit more to pay a little bit more,” Sen. Mike Gireau, D-Jackson, said while explaining his amendment. 

During debate on the third and final reading, Sen. Cale Case, R-Lander, expressed opposition to the bill and the long-term homeowner exemption more broadly. He said the exemption is unconstitutional as it unfairly values properties owned by long-time Wyomingites. Case added the long-term exemption also “jams up” Wyoming’s housing market by allowing older residents to remain in their homes.

Sen. Barry Crago, R-Buffalo, the sponsor of SF39, said the long-term exemption is intended to provide property tax relief for Wyomingites who need it most and the Wyoming Constitution allows the Legislature to prescribe tax exemptions.

“That’s what we’re doing with this,” Crago said.

After brief conversation on the bill’s third and final reading, the Senate voted 21-1 — with nine senators, including Case, declaring a conflict — to send the bill down the hall to the House of Representatives.