Property tax reduction measure passes another legislative hurdle

By Clayton Murphy | UM Community News Service

HELENA — Another approach to reducing property taxes is narrowly making its way through the Montana Legislature. Senate Bill 117 would require local governments to roll 25 percent of newly taxable residential property value into reducing rates and would increase the money those governments receive for inflation adjustments.

The bill passed a major hurdle in the House on April 15 with a 56-44 vote and must pass one more vote before being sent to the governor.

Rep. Katie Zolnikov, R-Billings, is carrying the bill in the House.

“This is a long-term solution,” Zolnikov said. “This bill, if we pass it today, I think is one of the few bills that we can look [at] 10, 20, 30 years in the future and look back to this day and say, wow, we really did something.”

There was little vocal argument during the House floor debate Tuesday, but the bill barely passed by an 8-vote margin.

The bill comes at a time of extreme stress for lawmakers — 75 days in and with at most 15 to go, none of the major property tax bills proposed this session have made it to the governor’s desk.

Three major relief bills are still alive, but not without some finagling. The two flagship Republican efforts, including the governor’s “Homestead Act,” were originally tabled, but successful motions brought them back to life. One of the two main Democratic efforts is also still on the field.

At a press conference earlier that day, House Minority Leader Katie Sullivan, D-Missoula, said her party is continuing to push for relief that doesn’t rely on credits or rebates — Sullivan said those strategies are not long-term solutions.

“We’re open to being part of any conversation,” Sullivan said. “We just wanna get a bill across [by] the deadline, before next week and we are here to negotiate. We’re here for it. We are here for the Montanans who sent us here to negotiate on this important subject.”

The 90-day Legislative session is scheduled to wrap up on or before May 5.

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.

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Jenn Rowell