The Ada County Board of Commissioners voted 2-1 Wednesday to limit the county’s property tax levy increase to 3% for the 2027 fiscal year, a decision that commissioners say will save the average Ada County homeowner approximately $85 annually compared to the state-allowed maximum increase. The vote marks the second consecutive year the board has voluntarily capped its levy below the legal limit.
The decision came after a two-hour public hearing at the Ada County Courthouse on Front Street in downtown Boise, where more than 30 residents testified — the majority urging restraint on property tax growth. Ada County’s rapid population growth and rising property values have pushed tax bills higher for many long-time residents, even as the county’s overall tax rate has remained relatively stable.
What the Property Tax Cap Means for Ada County Homeowners
Under Idaho law, counties are permitted to increase their property tax levy by up to 5% annually, plus an additional amount for new construction. By capping the increase at 3%, Ada County will forgo approximately $4.2 million in potential revenue that would have otherwise been collected from Ada County property owners.
For a homeowner with a property assessed at $450,000 — close to the current Ada County median — the cap translates to roughly $85 in annual savings compared to a full 5% increase. Commission Chair Tom Dayley framed the decision as a commitment to fiscal responsibility.
“Ada County residents are already dealing with rising costs across the board — groceries, insurance, utilities,” Dayley said during the hearing. “County government should be tightening its belt, not reaching deeper into taxpayers’ pockets. We can deliver essential services without maximizing every dollar we’re legally allowed to take.”
Budget Impact and Department Priorities
The 3% cap means Ada County departments will need to prioritize spending and find operational efficiencies to absorb the reduced revenue. County Administrator Jan Bennetts told commissioners that the cap is manageable but will require careful budget management, particularly in departments experiencing increased demand due to population growth.
The Ada County Sheriff’s Office, which accounts for the largest share of the county budget, had requested funding for 12 additional deputies to serve growing unincorporated areas. Under the capped budget, the sheriff will receive funding for 8 new positions — fewer than requested but still a significant expansion.
Commissioner Kendra Kenyon cast the lone dissenting vote, arguing that the reduced revenue could strain public safety resources at a time when Ada County’s population continues to grow by thousands of new residents each year. “Fiscal restraint is important, but so is public safety,” Kenyon said. “I’m concerned we’re cutting too close to the bone in areas that directly protect our residents.”
Property Tax Trends Across Ada County
Ada County property values have increased an average of 8-12% annually over the past five years, driven by strong demand for housing in Boise, Meridian, Eagle, and surrounding communities. While the county’s tax rate has not increased proportionally, the higher assessed values mean homeowners are paying more in total dollars even when rates remain flat.
The Ada County Assessor’s office reported that the average residential property assessment increased 9.3% for the 2026 tax year, bringing the median assessed value to approximately $462,000. Homeowners who believe their assessment is too high have until June 23 to file an appeal with the Ada County Board of Equalization.
What Comes Next
The final Ada County budget will be adopted in September following additional public hearings. Residents can review the proposed budget on the Ada County website and submit comments during the public review period. The county’s budget hearing schedule is posted at adacounty.id.gov. Taxpayers with questions about their individual property tax bills can contact the Ada County Treasurer’s office at 208-287-6800.