A new proposal in the Michigan Legislature could provide significant property tax relief for families without children in K-12 public schools, but educators warn the plan could harm students who remain in the system.
- Tax Relief Proposal: Michigan GOP Rep. Steve Carra's bill would exempt families without K-12 students from education property taxes, starting with 40% reduction in 2027 and phasing out completely by 2031.
- Potential Savings: Homeowners could save thousands - a $200,000 home in Lansing School District could see about $7,000 in savings if fully implemented.
- Funding Concerns: Educators warn the plan could harm public schools since about 16% of school aid funding comes from property taxes, potentially worsening Michigan's 44th-place reading ranking.
Republican state Representative Steve Carra's bill would exempt families without dependents in K-12 from the portion of their property taxes that funds government education. The proposal would start with a 40% reduction in 2027, then phase down by 15% each year until that portion is completely eliminated by 2031.
The cuts would apply to state education taxes, local school millages and sinking funds. For a home in the Lansing School District valued at $200,000, that could mean savings of about $7,000.
WATCH: MICHIGAN BILL WOULD CUT PROPERTY TAXES FOR FAMILIES WITHOUT K-12 STUDENTS
"Any family who doesn't have a dependent in K-12 would be exempt from their portion of property taxes that goes to K-12 government education," Carra said.
Israel Wayne, a homeschool parent in Michigan, supports the proposal. He said despite funding already going to public schools, student outcomes aren't improving. Michigan currently ranks 44th in the nation for reading, according to the 2025 Kids Count report.
"I think it's been a conversation for a long time," Wayne said. "So it gives us an opportunity to receive tax relief."
However, educators and public school advocates warn the plan could come at a significant cost for students who remain in schools. About 16% of school aid funding comes from school-based property taxes.
"In my opinion, it is an attempt to further erode the agreement that we all had in society that education, public education, is a collective good," said Rachelle Crow-Hercher, an educator who has children in public schools.
Crow-Hercher acknowledges there are problems in the education system but said funding cuts aren't the solution.
"The most egregious failures we have are because of a lack of funding and this would only compound that issue," Crow-Hercher said.
For Carra, the proposal is about easing financial pressure on property owners during challenging economic times.
"And with the difficult times we have in the economy, this is much needed relief," Carra said.
The bills must go through committee before heading to each chamber for a vote.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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