Oklahoma Supreme Court Blocks Property Tax Elimination Plan in 5-4 Ruling

The Oklahoma Supreme Court ruled 5-4 on Monday that State Question 843, an initiative to phase out homestead property taxes by 2029, is unconstitutional. The majority found the proposal violates Article X, Section 8 of the Oklahoma Constitution, which requires real property to be assessed for ad valorem taxation between 11% and 13.5% of fair cash value. The ruling blocks a measure that supporters pitched as major relief for homeowners, renters, farmers, and business owners.

The decision followed a challenge from ten Oklahoma residents filed before signature collection even began. Writing for the majority, the justices held the initiative clearly and manifestly conflicts with the constitution, with one describing it as an attempt to amend the constitution by statute, which cannot be done. Justices Winchester, Edmondson, Combs, Gurich, and Darby formed the majority. Chief Justice Rowe, Vice Chief Justice Kuehn, Justice Kane, and Special Justice Blackwell dissented. The court did not address other arguments raised in the case.

For Lawton-area residents, the practical effect is simple: property tax bills are not going away, and the revenue that funds local schools, roads, and county services stays intact for now. The proposal was sponsored by Sen. Shane Jett, Rep. Jay Steagall, and former Rep. Mike Reynolds, and Senate Pro Tempore Lonnie Paxton was among those critical of the plan. With the vote this close, property tax reform is likely to stay on the agenda at the Capitol. What would meaningful property tax relief look like for your family?