NC SENATE CREATES PROEPRTY TAX REFORM COMMITTEE

As reported in The Carolina Journal on 09/18/2026:

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Senate Leader Phil Berger, R-Rockingham, announced Thursday [9/7/2026] the creation of a new Senate committee tasked with examining additional changes to North Carolina’s property tax system.

The Senate Select Committee on Property Tax Reform will evaluate proposals addressing rising property tax bills and the process local governments use to set tax rates, according to Berger’s office.

“The General Assembly passed several measures to address concerns about rising property taxes during the short session, but there is more to do for long-term relief,” Berger said. “This committee will provide valuable insight and feedback as we rein in local policies that drive up property tax rates and consider proposals to ease the tax burden for all North Carolinians.”

The announcement comes less than seven weeks before voters will decide whether to amend the North Carolina Constitution to require limits on property tax increases by local governments.

Donald Bryson, CEO and president of the John Locke Foundation, said the committee’s creation reflects lawmakers preparing for the possibility that voters approve the amendment in November.

“Every poll that has come out has shown strong support for the constitutional amendment, so it makes sense for lawmakers to begin considering what implementation would look like. But the devil is always in the details,” Bryson said. “A levy limit is not a budget cut. It does not force local governments to reduce spending or require school funding to decrease. It simply places reasonable guardrails on how fast property tax collections can grow, tying that growth to inflation and population.”

The latest Carolina Journal Poll, released Sept. 17, found that 65.6% of likely North Carolina voters support the amendment, while 21.2% oppose it. Support crosses party lines, including 82% of Republicans, 61% of independents, and 54% of Democrats.

Sens. Lisa Barnes, R-Nash; Tom McInnis, R-Moore; and Buck Newton, R-Wilson, will chair the new Senate committee.

The committee will also include Republican Sens. Ted Alexander, Bob Brinson, Jim Burgin, Kevin Corbin, Dave Craven, Carl Ford, Brent Jackson, Steve Jarvis, Michael Lazzara, Tim Moffitt, Benton Sawrey, and Eddie Settle; along with Democratic Sens. Dan Blue, Jay Chaudhuri, Julie Mayfield, Gladys Robinson, and Caleb Theodros. 

The new committee builds on several property tax proposals that lawmakers considered during the 2026 short session.

The most significant long-term proposal was House Bill 1089, which placed the property tax amendment on the Nov. 3 ballot. The measure passed the House 73-46 and the Senate 31-15 in May. 

The amendment itself would not establish a specific cap. Instead, it would add language to the state constitution requiring the General Assembly to enact statewide laws limiting how much the property tax levy of a county, municipality, or other local government may increase. 

If a majority of voters approve the amendment, lawmakers would still have to return to Raleigh and determine the formula, limits, and potential exceptions through subsequent legislation. 

Lawmakers also approved a temporary response to counties undergoing property reappraisals.

Senate Bill 889, signed by Gov. Josh Stein in June, delayed implementation of 2026 property reappraisals in certain counties for one year, requiring affected counties to continue using values from their previous reappraisal for the 2026-27 tax year. 

The Senate also advanced a separate transparency proposal that remains unfinished.

Senate Bill 992, dubbed “Truth in Taxation,” would establish additional requirements for local governments seeking to set a property tax rate above the revenue-neutral rate during a reappraisal year.

Under the measure, a local government would have to hold a public hearing, publish an advance notice, directly notify property owners, and provide estimates showing what a taxpayer would owe under both the revenue-neutral rate and the proposed rate. A majority vote of the governing board would also be required to exceed the revenue-neutral rate. 

The Senate approved SB 992 by a 38-4 vote in June, but the House did not take a final vote on the measure before lawmakers adjourned. 

The Senate is scheduled to reconvene on Nov. 16.