On February 17, Legislative Services Director Kevin Kinnally submitted written testimony to the Economic Matters Committee in opposition to HB 652 – Property Tax – Homestead Property Tax Credit – First-Time Homebuyer.

This bill establishes a new Homestead Property Tax Credit for first-time homebuyers.

Promoting homeownership is a worthwhile goal. However, this bill imposes a significant unfunded mandate on county governments by requiring new property tax relief without local authority, local flexibility, or offsetting revenue. It directly reduces counties’ primary revenue source – property taxes – while counties remain responsible for funding essential public services such as education, public safety, infrastructure, and core community programs.

From MACo Testimony:

This bill also comes at a time when counties face heightened fiscal pressure from cost shifts and unfunded mandates. Counties face roughly $200 million in new or continued obligations across the last two budget cycles to help balance the State’s shortfall. Those costs fall directly on local budgets, even as counties face rising service demands and limited local revenue flexibility.

More on MACo’s Advocacy: 

• Follow MACo’s advocacy efforts during the 2026 legislative session on MACo’s Legislative Tracking Database
• Learn more about MACo’s 2026 Legislative Initiatives
• Read more General Assembly News on MACo’s Conduit Street blog