A proposal to give all D.C. homeowners a property tax cut worth more than $400 a year hit a roadblock on Tuesday after lawmakers expressed concern with the overall price tag and debated whether they could better target tax relief to households who need it most.

The bill, introduced by Ward 4 Councilmember Brandon Todd, would have increased the city’s homestead deduction—the amount every homeowner can deduct from the value of their home before property taxes are calculated—from $74,850 to $125,000.

Under the bill, a D.C. resident whose home is assessed at $500,000 would only pay property taxes on $375,000 worth of value, instead of the current $425,150. That would result in a property tax bill of $3,187.50, as opposed to the current $3,613.77. Todd said the bill would provide homeowners with needed tax relief, especially in a city where property values are rising consistently.

But the bill faced pushback from progressive groups that said its annual cost — $38 million — would mean less money for other services, especially as they city faces flat revenue growth because of the recent partial government shutdown. The groups also argued that an across-the-board property tax cut would help wealthy homeowners less in need of relief from high housing costs.

Those concerns were echoed by various members of the D.C. Council on Tuesday, who pushed for more targeted assistance for low- and moderate-income homeowners and renters. At-Large Councilmember Robert White drafted an amendment that would have replaced the increased homestead deduction with higher caps and income eligibility for Schedule H, a tax credit that benefits renters and homeowners alike.

“It would cost the city less, it would hit more people, and help more people at the lower end of the income spectrum,” White said.

Todd said he opposed the amendment, and with the bill facing an uncertain prospect heading into a planned Council vote, Chairman Phil Mendelson opted instead to send the measure back to the finance committee for further debate.

Compared to other parts of the Washington region, D.C. residents shoulder a relatively low property tax burden. But with the city’s hot real estate market, property values have been rising consistently in recent years. D.C. already offers qualifying senior citizens reduced property tax rates.

This story was originally on WAMU.