CHEYENNE - Wyoming legislators are considering a number of proposals to provide property tax relief to certain people, but a new bill would extend relief to many more.

In spite of opposition from county government and other officials, the Senate Revenue Committee voted 3-2 Tuesday for a bill to reduce the tax rate on all property except minerals.

Senate File 79, sponsored by Sen. Charles Scott, R-Casper, would reduce the assessment rate on residential, commercial and agricultural property from 9.5 percent to 7.5 percent. It also would cut the rate on industrial property from 11.5 percent to 10.5 percent of assessed value.

"This is a pure cut in property taxes," Scott said.

He said increases in property values over the past two years are creating a hardship for homeowners.

"There has been a giant tax increase laid on our citizens by rising property values," Scott said.

For a homeowner with a house valued at $200,000, the bill would mean a savings of about $260 annually if taxed at the state average of 67 mills.

It would mean a loss of about $65 million a year in tax revenues for county governments and $14 million for the School Foundation Fund. County and other officials opposed the bill because of that reduction.

Converse County Treasurer Joel Schell, representing the Wyoming County Treasurers' Association, said the group's concern is erosion of the revenue base.

Schell and Terry Cram, a Sheridan County commissioner, said the industrial rate for refineries, power plants and mining equipment is more important than the residential assessment rate in terms of revenue.

Scott said the industrial rate must also be reduced because it is tied to the rate for residential and other property.

Also opposed, Erin Taylor, director of the Wyoming Taxpayers Association, pointed out the state's property tax relief programs are based on the current rate system.

Sen. Grant Larson, R-Jackson, supported the bill.

"I don't think the rate is the only problem, but it is one thing the Legislature can do without a constitutional amendment," he said.

The committee members questioned whether the bill could originate in the Senate. The Wyoming Constitution specifies that all bills raising revenue start in the House.

Scott said he is confident the bill passes muster, as it reduces, not raises, revenue.

Voting for the bill were Sens. Kit Jennings, R-Casper, Jim Anderson, R-Glenrock, and Cale Case, R-Lander.

Voting "no" were Sens. Jayne Mockler, D-Cheyenne, and Tony Ross, R-Cheyenne.

The bill will be reported to the Senate floor for debate.

Contact Joan Barron at joan.barron@trib.com or by phone at 307-632-1244.