One former and two current state lawmakers are leading an effort to gradually reduce residential property taxes to zero by the end of the decade.
State Question 841, filed with the Oklahoma Secretary of State’s office on Nov. 21, looks to eliminate residential property taxes in Oklahoma by 2029. A 33.5% reduction would take effect in 2027, followed by a 67% decrease in 2028.
School district, municipal and county bonds passed prior to Dec. 31, 2026 would be exempt from State Question 841. Upon full implementation, the proponents estimate a fiscal impact of $1.2 billion in lost state revenue.
FormerStateRep.MikeReynolds, a Republican from Oklahoma City who served from 2002 to 2014, is the main proponent.
State Rep. Jay Steagall, R-Yukon, and Sen. Shane Jett, R-Shawnee, are also signed on as proponents of the measure. Both voted in favor of Senate Bill 1027, a bill enacted in May that adds several hurdles to the initiative petition process.
Reynolds told Oklahoma Voice the measure would encourage homeownership and discourage corporate purchasing of single-family residences. He said the Legislature would have years to make up for the $1.2 billion of lost funding.
Critics, including Oklahoma County Commissioner Jason Lowe, argue the measure would put municipalities, counties and school districts in a difficult spot even if the Legislature finds a way to recoup the lost revenue.
Most of the money Oklahoma homeowners pay in property taxes goes to public schools, with the remainder trickling down to county government operations and other public services. Oklahoma had the nation’s 25th highest property rate in 2023, according to estimates from The Tax Foundation.