Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations
Montana politics, elections and legislative news

Lawmakers Hear Case for Dollar-Based Local Levies

The House Taxation Committee meets on Jan. 7 to discuss House Bills 17, 20 and 25. The first three bills the committee discussed this session all concerned property tax and land use.
Photo by Clayton Murphy/UM Legislative News Service
/
Photo by Clayton Murphy/UM Legislative News Service
The House Taxation Committee meets on Jan. 7 to discuss House Bills 17, 20 and 25. The first three bills the committee discussed this session all concerned property tax and land use.

Lawmakers are considering a bill that would make local agencies ask voters for a specific dollar amount of property tax increases on ballot levies rather than rely on mills — a property tax-based increase that can help account for inflation and changes in property values.

Local levies are often used for public services like libraries or fire stations. The bill would still allow mills for public schools.

Supporters of House Bill 20 told lawmakers in the House Taxation Committee Tuesday that the change would stabilize local property taxes and clear up confusing language.

Sen. John Fuller speaks at the first meeting of the Senate Judiciary Committee on Jan. 7 in Helena.
Photo by Emma White/UM Legislative News Service
/
Photo by Emma White/UM Legislative News Service
Sen. John Fuller speaks at the first meeting of the Senate Judiciary Committee on Jan. 7 in Helena.

Bob Story, executive director of the Montana Taxpayers Association, said the bill helps voters better understand the transfer of taxpayer dollars.

“You shouldn’t allow governments to profit from growth in value due to reappraisals and inflation,” Story said. “If they want more money, they should ask the voters for more money.”

Executive director of the Montana League of Cities and Towns Kelly Lynch opposed the bill at the hearing, saying mills are necessary for local governments to fund growing communities.

“We have to retain those police officers, we have to retain those firemen over time,” Lynch said. “We have to pay for maintenance and operation of those facilities over time — a set dollar amount does not allow us to do that.”

Sens. Vince Ricci, Barry Usher and Andrea Olsen listen to testimony at the starting meeting of the Senate Judiciary Committee on Jan. 7 in Helena. Usher is the chair of the Judiciary Committee, and Ricci and Olsen are the vice chairs.
Photo by Emma White/UM Legislative News Service
/
Photo by Emma White/UM Legislative News Service
Sens. Vince Ricci, Barry Usher and Andrea Olsen listen to testimony at the starting meeting of the Senate Judiciary Committee on Jan. 7 in Helena. Usher is the chair of the Judiciary Committee, and Ricci and Olsen are the vice chairs.

Lynch said the League will support the bill if the dollar amounts are allowed to be fully adjusted for inflation. Currently, the bill only allows adjustment to half the rate of inflation.

Clayton Murphy is a reporter with the UM Legislative News Service, a partnership of the University of Montana School of Journalism, the Montana Broadcasters Association, the Montana Newspaper Association and the Greater Montana Foundation. Murphy can be reached at clayton.murphy@umconnect.umt.edu.

Become a sustaining member for as low as $5/month
Make an annual or one-time donation to support MTPR
Pay an existing pledge or update your payment information