Taxation, Budget & Finance Committee

Regarding Policy Statements . . .

Committee policy statements are a compilation of various issues/beliefs that members have identified as major concerns and goals of county government. A “policy statement” provides guidance to staff, legislators, and the public on MACo’s position regarding possible legislation and/or issues that may arise during a legislative session and the Interim.

Tax, Budget & Finance Committee Policy Statements

MACo believes that local government is best able to provide programs and services that are responsive to unique local needs. Local governments should have broad authority to finance these services. This requires a revenue base that is stable and will provide adequate funding. Any method the State uses to generate revenue directly affects local governments. In the interest of maintaining the partnership between all levels of government, we expect the State and the federal government to honor existing commitments to local governments.

1. MACo supports local and statewide alternative revenue sources that will decrease the need to burden local property owners and help stabilize the tax base.
2. MACo supports the authority of local governments to have budget flexibility to meet the rising costs and demands for traditional, as well as additional, services.
3. MACo believes that local governments should be adequately compensated for all non-renewable resources extracted to meet current and future impacts of affected counties.
4. MACo supports greater flexibility in the fee setting authority of county government which adequately reflects the real costs of providing services.
5. MACo supports reimbursement to counties for lost property taxes as a result of the acquisition of real property, or property held in trust, by either the State or Federal government.
6. MACo supports working in cooperation with the Montana Secretary of State’s Office to pursue additional State and Federal funding sources to supplement local government election administration costs.
7. MACo supports amending the Impact Fee Act to remove barriers to adoption and implementation of impact fees (i.e., the 10-year useful life requirement; the requirement that one member of the impact fee advisory committee be a certified public accountant; the 5% cap on the administrative fee that may be retained by the unit of local government; a rational point of nexus where the impact fee can be collected).
8. MACo supports protecting counties from reduced funding and cost shifting from the State to County Government, and MACo supports protection of important programs and funding mechanisms, such as the Entitlement Share, MCEP, renewable resource grants, Big Sky Trust Fund, and others, which allow counties to perform statutorily mandated duties and responsibilities.
9. MACo supports efforts to implement pension reform policies to provide equitable long-term funding and member benefit stability for the Montana Public Employees Retirement Systems affecting county employees, to achieve and maintain solvency and actuarial soundness and equity among beneficiaries and contributors to the systems.
10. MACo believes that all volunteer firefighters and EMT’s should be covered under the Montana Workers’ Compensation Act.
11.  MACo supports the full and long-term funding of the Montana State University Local Government Center within the university system budget.
12. MACo supports the continuation of the six-mill levy to provide the basis of state financial support for the support, maintenance, and improvement of the Montana University System.
13. MACo supports the extension of the sunset of the statutory appropriation for the distribution of metal mines license tax funds allocated to impacted counties.
14. MACo supports the statutory obligation of the State of Montana through the State Tax Appeal Board appropriation to fund the incidental expenses for the County Tax Appeal Board as stated in 15-15-101 (b)(3), MCA.
15. MACo will work with the Montana County Treasurers Association and the Montana Department of Revenue to clearly explain the information provided to taxpayers on their tax assessment notice.
16. MACo supports allowing counties the option of dedicating a portion of their junk vehicle funds to the towing, recycling, and disposing of non-motorized vehicles and mobile homes.
17. MACo supports the Legislature adjusting residential, commercial, and agricultural rates to at—or near—taxable value neutral as provided by the Department of Revenue and using tax year 2023 as the benchmark rate for adjustment moving forward in order to alleviate large swings in tax shifts due to reappraisal.
18. MACo supports that any revenue from a tax on luxury goods and services go to a reduction in property tax—reducing school mills first—with a shared portion of the revenue distributed to low or non-revenue generating counties, thereby providing property tax relief.