Idaho Republicans adopted a sweeping new plank at their state party convention this month, endorsing the elimination of property taxes statewide — a proposal that backers call a generational reform but that critics warn could leave public schools scrambling to replace more than $400 million in annual funding.
The platform addition was championed by Scott Herndon, who defeated incumbent Sen. Jim Woodward, R-Sagle, in the May GOP primary. Herndon led the floor effort at the Idaho GOP State Convention, where delegates approved the property tax elimination plank by a wide margin — roughly 475 of the 600 delegates present stood in support, representing approximately 80 percent approval.
What the Proposal Would Do
Rather than eliminating property taxes and replacing the lost revenue with higher sales or income tax rates, Herndon’s approach is built on the idea of redirecting state economic growth into expanded public revenue. The platform language calls for replacing property taxes with “revenue sources that do not place a lien on a citizen’s home” — a phrase designed to capture the frustration many Idaho homeowners feel about losing property to unpaid tax bills.
Herndon envisions scaling up two bills passed in recent legislative sessions: House Bill 292 from 2023 and House Bill 521 from 2024. The latter established the $1.5 billion School Modernization Facilities Fund, which was intended to help districts pay for capital construction without relying as heavily on local levies and bonds. Under Herndon’s vision, school districts would also gain access to a local option sales tax specifically designated for capital projects.
The overall strategy would shift the burden of school funding away from local property taxes and toward state-level mechanisms — a structural change that supporters argue would bring more equity to Idaho’s education finance system, where property-wealthy districts currently have significant advantages over rural and lower-income communities.
Herndon defended the ambition of the plan by drawing a historical comparison. “Was going to the moon realistic? Humans are capable of doing anything they set their minds to,” he said.
The Funding Gap Concern
The central challenge facing any property tax elimination plan is math. According to Idaho State Tax Commission data, counties levied and distributed roughly $404.4 million in property taxes for public schools during fiscal year 2025. Eliminating that revenue source without an immediate replacement of equivalent size would leave a gap approaching $400 million annually in school budgets across the state.
House Minority Leader Ilana Rubel, D-Boise, was sharply critical of the reliance on future economic growth to fill that hole. “Maybe money will magically appear, and we’ll be fine. That is not a budget plan. That’s preposterous,” she said.
The school funding question resonates deeply across rural Idaho, where districts are already navigating a difficult financial landscape. Many communities have struggled to pass the local levies and bonds that supplement state funding — a challenge that has intensified as property values rise and voter fatigue with recurring ballot measures grows. Rural Idaho schools have recently seen double ballot failures that underscored just how fragile local school finance can be, and a mixed levy and bond election cycle earlier this year left some districts still short of full capital funding.
Viki Purdy, the newly elected first vice chair of the Idaho GOP and an Adams County Commissioner, was among the convention delegates backing the platform change. Her support reflects broader grassroots enthusiasm for property tax relief among Idaho conservatives, particularly in rural counties where fixed-income landowners and farm families have faced escalating tax bills tied to rising land values rather than rising incomes.
What Comes Next
Adopting a plank in the state party platform does not automatically translate into legislation, and Idaho’s property tax system would require significant statutory changes before any elimination could take effect. Herndon, now positioned as a leading voice on the issue after his primary win, would need to advance concrete legislation during the next session and build coalitions with colleagues who may have concerns about the revenue gap.
Whether the growth-driven funding model can realistically fill a $400 million hole — or whether a more detailed replacement mechanism will emerge — remains the defining question for the proposal’s future. Statewide coverage of Idaho’s fiscal and legislative landscape continues at idahonews.co.