Understanding The New Tax Laws

Tax Laws
March 15, 2026•1 min read

◀️ Return to Learning Hub

Understanding the New Tax Laws
By COS Reads

COS Reads recently learned about some state bills that were passed in 2024 and how they might affect library funding. We reached out to PPLD to see how these changes could alter budget and operations. The following is the explanation that PPLD's controller sent us regarding bills SB24-233 and HB24B-1001 and their impact on library funding.

SB24-233 and HB24B-1001: How Will It Affect PPLD?

We discussed the passage of two bills in 2024: SB24-233 and HB24B-1001.

SB24-233 passed a 10% reduction of the taxable value of a home up to $700,000, as well as locked in the 6.8% assessment rate for residential properties. The example discussed a home valued at $500,000.

2025:
Assessed value calculation is: $500,000*6.25 = $31,250
Taxes due: (Library District's portion) $31,250*(2.938Mills/1000) = $91.81

Starting in 2026, the same house valued at $500,000 would now have a 10% reduction

Finding the new actual value: $500,000*10% = $50,000 reduction, new actual value is $450,000
Assessed valuation: $450,000*6.8 = $30,600
Taxes due: (Library District's portion) $30,600* (2.938 mills/1000) = $89.90

Creating a difference in amounts collected for the District on this particular home of $1.91.

HB24B-1001 placed a 10.5% revenue growth cap (on organizations that are de-tabored) that can be spread over two years. This will likely cause issues for those organizations that are de-tabored, as it puts a growth limit on them now.

Below are links to some additional resources for you to review:

Back to Blog