City adjusting some licensing, fees to comply with state law change

The city is updating its process for development and contractor licensing to comply with changes made by the Montana Legislature in 2023.

The changes go into effect Jan. 1, 2025.

Beginning in January, all current development and trades license holders in the city must reapply using the new application forms, which are available online or in the city’s planning office at the Civic Center.

The city sent letters to all current license holders on Nov. 15 notifying them of the changes.

The changes are specific to development or trades licenses and do not impact the city’s safety inspection certificate program managed by Great Falls Fire Rescue.

Trades licenses are affected, including drain layers, plumbers, electricians, etc. and are captured under a contractor license verification form.

State lawmakers passed Senate Bill 262 in 2023, prohibiting local governments from requiring additional licensing when the state is the original license, resulting in the city’s inability to require individual business licenses for tradespeople, which was previously done to ensure those requesting development permits were properly licensed, insured and bonded, according to the city.

City planning staff worked with the legal department to determine that the city can require an annual license verification from specialty contractors in the trades rather than the business licenses as “it is still the city’s duty to ensure that individuals carrying out trade work within the city limits hold a valid state license,” according to an Oct. 15 City Commission staff report. “The city is responsible for authorizing and overseeing work conducted within its jurisdiction, with the obligation to safeguard its residents, property and interests.”

The new verification includes an application and a $45 fee per license. City staff will process the verification requests to ensure the applicant holds the appropriate state licensure, insurance and bond.

The changes that go into effect on Jan. 1 include the non-resident vendor licenses, which apply to out of town businesses operating within the city limits.

Previously, there were multiple license types in this category that are now combined, with an updated application, but no change to the existing fee, according to Lonnie Hill, deputy city planning director.

Home occupation licenses also have a new fee but their application remains the same, Hill said.

Commissioners approved that change in October.

Staff determined a fee increase was needed to cover the cost of processing and issuing home occupation certificates. The fee hadn’t been increased since 2007.

Commissioners approved a $35 fee for processing a renewal and increased the fee from $55 to $100 for a new issuance of a home occupation certificate.

During their October meeting, commissioners also eliminated a license and fees for coin-operated devices depicting sexual activities as that type of business is now obsolete within the city limits.

Staff said that if a request for such a business was made in the future, it would be categorized under the land use codes for sexual-oriented businesses, which have location requirements and go through the standard SIC process.

Commissioners approved the elimination of false alarm and alarm permit agent fees from the land use fees as they’re now addressed under the city’s fire code handled by GFFR.

All of these applications are available on the city’s website or can be picked up in person in the planning office in Room 112 of the Civic Center. City planning staff can be reached by phone at 406-455-8430.

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Jenn Rowell