Solutions needed for property tax relief

The frustration over Montana’s skyrocketing property taxes reached crisis status last week after the Montana Supreme Court sided with Gov. Greg Gianforte’s office in a dispute over the state’s school equalization levy.

In their ruling, the court said county governments must levy the full 95 mills requested by the state Department of Revenue. This after 49 counties — including Flathead, Lincoln and Lake — decided to collect a lower 77.9 mills in a valiant effort to keep tax bills down following draw-dropping property appraisals. 

In many cases, taxable values have doubled since the last reappraisal cycle — leaving homeowners with real anxiety about whether they can afford to stay in their homes.

In a statement praising the court’s decision, Gianforte pointed to property tax rebates issued this year as providing the average Montana homeowner with relief that “more than offsets property tax increases this year and next.”

That’s probably not true for many homeowners in high-growth areas with soaring values like Flathead and Gallatin counties. Flathead, with a 2023 median residential value of $444,700, saw values spike by 45%. Gallatin, with a median value of $646,400, saw a 59% increase.

There’s no doubt that wealthy newcomers to these areas have helped drive up home values, but it’d be shameful to write off the legion of longtime locals stuck paying these monstrous tax bills just because they live in a desirable part of the country.

Permanent relief is needed for these folks — and now.

The Montana Freedom Caucus’ call for a special session to discuss the state’s property tax structure is a step in the right direction.

The caucus last month asked the Office of the Secretary of State to poll legislators on whether to hold a special session come January. A majority is needed for legislators to convene.

On the caucus’ agenda is a rebate of what they estimate as a $230 million budget surplus, as well as a discussion about levy laws and property taxes.

“We have a problem, and that problem is property taxes,” said caucus member Rep. Bob Keenan of Bigfork. “It is a problem that the people of Montana expect us to solve.”

Democrats should take note.

Minority leaders have said they will decline the caucus’ calls for a special session, pointing to the Democrats’ own failed request for a special session in July where they hoped to head off property tax sticker shock.

“Had we gotten after it then, we wouldn’t be facing these staggering bills right now,” Minority Leader Pat Flowers said.

He’s 100% right on that point, but punting an invitation to take part in the discussion now would be nothing more than petty politics.

It’s time for legislators on both sides to grab a seat at the table, set aside the partisan jabs, and hash out real solutions for real Montanans.