SENATE BILL NO. 184
INTRODUCED BY L. GROSFIELD, B. STORY, S. BARTLETT, S. DOHERTY, B. GLASER, M. HALLIGAN, J. HARP, L. MCCULLOCH, M. NOENNIG, S. ORR, S. STANG, F. THOMAS, M. WATERMAN
AN ACT GENERALLY REVISING PROPERTY TAX LAWS; ESTABLISHING A PROCEDURE BY WHICH MILL LEVIES MUST BE ESTABLISHED IN ORDER TO COMPLY WITH TAX LIMITATIONS; PROVIDING AN EXEMPTION FOR A PORTION OF THE VALUE OF CERTAIN CLASS FOUR PROPERTY; PHASING IN THE VALUE CHANGE IN CLASS FOUR PROPERTY OVER 4 YEARS; PHASING IN A RATE REDUCTION FOR CLASS TEN PROPERTY; ALLOWING AN EXTENSION OF 1999 STATUTORY DEADLINES RELATING TO PROPERTY TAXES; PROVIDING FOR PERIODIC REAPPRAISAL ON A 6-YEAR CYCLE AND THE PHASING IN OF NEW VALUES; PROVIDING FOR REIMBURSEMENT TO LOCAL GOVERNMENTS, SCHOOLS, AND TAX INCREMENT DISTRICTS FOR LOSS OF PROPERTY TAX REVENUE; PROVIDING FOR AN INTERIM LOCAL GOVERNMENT FUNDING AND STRUCTURE STUDY COMMITTEE AND AN INTERIM COURT FUNDING AND STRUCTURE STUDY COMMITTEE; PROVIDING APPROPRIATIONS; AMENDING SECTIONS 2-9-212, 7-1-112, 7-1-114, 7-1-2103, 7-1-4123, 7-3-184, 7-3-1104, 7-3-1227, 7-3-1310, 7-3-1311, 7-6-2319, 7-6-2321, 7-6-2501, 7-6-2502, 7-6-2511, 7-6-2512, 7-6-2513, 7-6-2522, 7-6-4232, 7-6-4259, 7-6-4261, 7-6-4401, 7-6-4406, 7-6-4407, 7-6-4421, 7-6-4438, 7-6-4452, 7-6-4453, 7-11-1106, 7-11-1112, 7-14-111, 7-14-232, 7-14-1111, 7-14-1131, 7-14-2101, 7-14-2205, 7-14-2501, 7-14-2502, 7-14-2503, 7-14-2801, 7-14-2807, 7-14-4703, 7-14-4713, 7-14-4734, 7-15-4281, 7-15-4324, 7-16-101, 7-16-2102, 7-16-2108, 7-16-2109, 7-16-2205, 7-16-2411, 7-16-2423, 7-16-2431, 7-16-2443, 7-16-4105, 7-16-4113, 7-16-4114, 7-21-3203, 7-21-3410, 7-21-3432, 7-21-3433, 7-22-2142, 7-22-2222, 7-22-2306, 7-22-2432, 7-22-2512, 7-32-4117, 7-33-2109, 7-33-2209, 7-33-4111, 7-33-4130, 7-34-102, 7-34-2122, 7-34-2133, 7-34-2417, 7-35-2122, 13-13-230, 15-1-402, 15-2-301, 15-6-134, 15-6-143, 15-6-201, 15-7-102, 15-7-103, 15-7-111, 15-7-403, 15-8-111, 15-10-204, 15-10-205, 15-10-401, 15-10-402, 15-16-117, 15-16-203, 15-23-214, 15-24-1402, 15-24-1501, 15-24-1603, 15-36-323, 20-3-205, 20-3-324, 20-7-705, 20-7-714, 20-9-131, 20-9-141, 20-9-142, 20-9-151, 20-9-152, 20-9-168, 20-9-331, 20-9-333, 20-9-360, 20-9-404, 20-10-147, 20-15-305, 20-15-311, 20-15-313, 20-15-314, 20-15-326, 20-25-423, 20-25-439, 22-1-304, 22-1-316, 23-4-303, 41-5-1804, 50-2-111, 50-2-114, 53-2-322, 53-2-813, 53-20-208, 67-10-402, 67-11-201, 67-11-301, 67-11-302, 75-10-112, 76-1-111, 76-1-403, 76-1-404, 76-1-405, 76-1-406, 76-1-407, 76-2-102, 76-5-1116, 76-6-109, 76-15-501, 76-15-516, 76-15-518, 76-15-623, 81-8-504, 85-3-422, 85-7-206, 85-7-307, 85-7-1953, 85-7-1973, 85-7-2104, 85-7-2117, 85-7-2134, 85-7-2136, 85-8-601, 85-8-615, 85-8-618, 90-5-112, AND 90-6-403, MCA; AMENDING SECTION 1, SENATE BILL NO. 79, 1999; REPEALING SECTIONS 7-6-2514, 7-6-4405, AND 15-10-412, MCA; PROVIDING AN IMMEDIATE EFFECTIVE DATE, A TERMINATION DATE, AND A RETROACTIVE APPLICABILITY DATE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Procedure for calculating levy. (1) A governmental entity that is authorized to impose mills may impose a mill levy sufficient to generate the amount of property taxes actually assessed in the prior year, even if that levy is greater than the levy established by law. The maximum number of mills that a governmental entity may impose is established by calculating the number of mills required to generate the amount of property tax actually assessed in the governmental unit in the prior year based on the current year taxable value, less the value of newly taxable property.
(2) A governmental entity may apply the levy calculated pursuant to subsection (1) plus any additional levies authorized by the voters to all property in the governmental unit, including newly taxable property.
(3) For purposes of this section, newly taxable property includes:
(a) annexation of real property and improvements into a taxing unit;
(b) construction, expansion, or remodeling of improvements;
(c) transfer of property into a taxing unit;
(d) subdivision of real property;
(e) reclassification of property;
(f) transfer of property from tax-exempt to taxable status; and
(g) revaluations caused by expansion, addition, replacement, or remodeling of improvements.
(4) Subsection (1) does not apply to school district general fund levies and the school district levy for tuition obligations established in 20-5-324(5).
(5) For purposes of subsection (1), taxes imposed do not include net or gross proceeds taxes received under 15-6-131 and 15-6-132.
(6) In determining the maximum number of mills in subsection (1), the governmental entity shall take into account any change from the prior year in the amount of statutory reimbursements for changes in the property tax laws. It may increase the number of mills to account for a decrease in reimbursements and shall decrease the number of mills to fully account for any increase in reimbursements.
(7) The department shall calculate the number of mills to be imposed for purposes of [section 1 of Senate Bill No. 79], 20-9-331, 20-9-333, 20-9-360, 20-25-423, 20-25-439, and 53-2-813. However, the number of mills calculated by the department may not exceed the mill levy limits established in those sections.
(8) The department may adopt rules to implement this section. The rules may include a method for calculating the percentage of change in valuation for purposes of determining the elimination of property, new improvements, or newly taxable property in a governmental unit.
Section 2. Section 2-9-212, MCA, is amended to read:
"2-9-212. Political subdivision tax levy to pay premiums. Notwithstanding any provisions of law to the contrary
Subject to [section 1], a political subdivision, except for a school district, may levy an annual property tax in the amount
necessary to fund the premium for insurance, deductible reserve fund, and self-insurance reserve fund as herein authorized
in this section and to pay the principal and interest on bonds or notes issued pursuant to 2-9-211(5), even though as a result
of such levy the maximum levy as otherwise restricted by law is exceeded thereby, provided that the revenues derived
therefrom may not be used for any other purpose."
Section 3. Section 7-1-112, MCA, is amended to read:
"7-1-112. Powers requiring delegation. A local government with self-government powers is prohibited the exercise of the following powers unless the power is specifically delegated by law:
(1) the power to authorize a tax on income or the sale of goods or services, except that, subject to [section 1], this
section shall may not be construed to limit the authority of a local government to levy any other tax or establish the rate of
any other tax;
(2) the power to regulate private activity beyond its geographic limits;
(3) the power to impose a duty on another unit of local government, except that nothing in this limitation shall affect
affects the right of a self-government unit to enter into and enforce an agreement on interlocal cooperation;
(4) the power to exercise any judicial function, except as an incident to the exercise of an independent self-government administrative power;
(5) the power to regulate any form of gambling, lotteries, or gift enterprises."
Section 4. Section 7-1-114, MCA, is amended to read:
"7-1-114. Mandatory provisions. (1) A local government with self-government powers is subject to the following provisions:
(a) all state laws providing for the incorporation or disincorporation of cities and towns; for the annexation, disannexation, or exclusion of territory from a city or town; for the creation, abandonment, or boundary alteration of counties; and for city-county consolidation;
(b) Title 7, chapter 3, part 1;
(c) all laws establishing legislative procedures or requirements for units of local government;
(d) all laws regulating the election of local officials;
(e) all laws that require or regulate planning or zoning;
(f) any law directing or requiring a local government or any officer or employee of a local government to carry out any function or provide any service;
(g) any law regulating the budget, finance, or borrowing procedures and powers of local governments, except that the
mill levy limits established by state law do not [section 1] apply;
(h) Title 70, chapters 30 and 31.
(2) These provisions are a prohibition on the self-government unit acting other than as provided."
Section 5. Section 7-1-2103, MCA, is amended to read:
"7-1-2103. County powers. A county has power to:
(1) sue and be sued;
(2) purchase and hold lands within its limits;
(3) make such contracts and purchase and hold such personal property as that may be necessary to the exercise of its
powers;
(4) make such orders for the disposition or use of its property as that the interests of its inhabitants require;
(5) subject to [section 1], levy and collect such taxes for the purposes under its exclusive jurisdiction as that are
authorized by this code or by special statutes law."
Section 6. Section 7-1-4123, MCA, is amended to read:
"7-1-4123. Legislative powers. A municipality with general powers has the legislative power, subject to the provisions of state law, to adopt, amend, and repeal ordinances and resolutions required to:
(1) preserve peace and order and secure freedom from dangerous or noxious activities;
(2) secure and promote the general public health and welfare;
(3) provide any service or perform any function authorized or required by state law;
(4) exercise any power granted by state law;
(5) subject to [section 1], levy any tax authorized by state law;
(6) appropriate public funds;
(7) impose a special assessment reasonably related to the cost of any special service or special benefit provided by the municipality or impose a fee for the provision of a service;
(8) grant franchises; and
(9) provide for its own organization and the management of its affairs."
Section 7. Section 7-3-184, MCA, is amended to read:
"7-3-184. Financial administration. (1) A study commission shall prepare a budget for each fiscal year it is in existence and submit it to the local governing body for approval.
(2) (a) For the support of the study commission Subject to [section 1], for each fiscal year the study commission is in
existence, each local government under study shall may appropriate an amount necessary to fund the study, not to exceed 1
mill, and the local government may levy up to 1 mill in excess of all other mill levies authorized by law to fund the
appropriation for the support of the study commission.
(b) The local government shall provide office and meeting space and clerical assistance to the study commission. The
cost of clerical assistance and other in-kind services provided by the local government may be used to partially fulfill the
appropriation requirement provision of subsection (2)(a).
(c) The local government may in its discretion provide additional funds and other assistance.
(3) The study commission may apply for and accept available private, state, and federal money and may accept donations from any source.
(4) All money received by the study commission shall must be deposited with the local government finance
administrator. The finance administrator is authorized to disburse appropriated money of the study commission on the study
commission's order after approval of the budget by the governing body. Unexpended money of the study commission does
not revert to the general fund of the local government at the end of the fiscal year but carries over to the study commission's
appropriation for the following fiscal year. Upon termination of the study commission, unexpended money reverts to the
general fund of the local government."
Section 8. Section 7-3-1104, MCA, is amended to read:
"7-3-1104. General powers of consolidated local governments. A consolidated local government shall have has and
may exercise all powers that are conferred on counties, cities, or towns by the constitution and laws of the state. The
Subject to [section 1], the consolidated local government may levy all taxes which that counties, cities, and towns are
authorized to levy."
Section 9. Section 7-3-1227, MCA, is amended to read:
"7-3-1227. Petition for initiative. (1) Any proposed ordinance, except an ordinance making a tax levy or an
appropriation, may be submitted to the commission by petition signed by 10% of the qualified electors of the municipality
whose names appear on the register of voters on the date when the proposed ordinance is submitted to the commission.
(2) All petition papers circulated with respect to any proposed ordinance shall must be uniform in character and shall
must contain the proposed ordinance in full.
(3) Proposed ordinances for repealing any existing ordinance or ordinances, in whole or in part, may be submitted to the commission as provided in 7-3-1227 through 7-3-1229 for initiating ordinances."
Section 10. Section 7-3-1310, MCA, is amended to read:
"7-3-1310. Limitation on tax levy. (1) No An ordinance, conforming to [section 1], making the annual tax levy shall
must be passed fixing the rate to be levied upon all property within the municipality to defray current expenses, including
salaries otherwise unprovided for, in excess of the maximum levies prescribed by law for general fund purposes in the
county and the cities and towns which have been consolidated into a single government.
(2) The tax limit provided by subsection (1) shall apply only to taxes for the purposes therein specified. Taxes required
by this part or part 12 to be levied on account of the debt of the municipality or any district thereof and special taxes
authorized by this part or part 12 or by the general laws of the state shall are not be affected by such the limits, nor shall
such taxes be considered in determining the limits of taxation fixed by subsection (1)."
Section 11. Section 7-3-1311, MCA, is amended to read:
"7-3-1311. Authority for special taxes and special service districts. (1) The Subject to [section 1], a municipality
shall have the power and authority to may levy special taxes for all purposes which that counties, cities, and towns are
authorized to levy by general laws of the state, and all of the provisions of such those laws shall be are applicable to and
shall govern and control the municipality in the levying and collection of such the special taxes.
(2) The Subject to [section 1], the commission may by ordinance designate clearly specified districts in or for which
special services are to be performed and may levy upon the property in any such the district such a tax, in addition to any
taxes authorized by 7-3-1310(1), as may be necessary with other available funds and grants to pay the cost of such the
special service or services. The boundaries of special service districts shall must be regularly reviewed by the
commissioners and may be adjusted upon recommendation by an authorized planning body in response to changing
population patterns. In no case shall such An additional levy under this section may not be more than 20 mills."
Section 12. Section 7-6-2319, MCA, is amended to read:
"7-6-2319. Determination of fund requirements to be met by tax levy -- exception. (1) Following the determinations required by 7-6-2318, the board shall determine the amount to be raised by tax levy for each fund by adding the cash balance in the fund at the close of the preceding fiscal year and the amount of the estimated revenue to accrue to the fund during the current fiscal year. It shall then deduct the total amount obtained from the total amount of the appropriations and authorized expenditures from the fund as determined by the board. The amount remaining is the amount necessary to be raised for the fund by tax levy during the current fiscal year.
(2) The board may add to the amount necessary to be raised for any fund by tax levy during the current fiscal year an additional amount as a reserve to meet expenditures to be made from the fund during the months of July to November of the next fiscal year. The amount that may be added to any fund as the reserve may not exceed one-third of the total amount appropriated and authorized to be spent from the fund during the current fiscal year, after deducting from the amount of the appropriations and authorized expenditures the total amount appropriated and authorized to be spent for election expenses and payment of emergency warrants.
(3) The total amount to be raised by tax levy for any fund during the current fiscal year, including the amount of the
reserve and any amount for payment of election expenses and emergency warrants, may not exceed the total amount which
that may be raised for the fund by a tax levy which that does not exceed the maximum levy permitted by law to be made for
the fund and that complies with [section 1].
(4) This section does not apply to a county that has adopted the alternative accounting method provided for in Title 7, chapter 6, part 6."
Section 13. Section 7-6-2321, MCA, is amended to read:
"7-6-2321. Fixing of tax levy -- exception. (1) On or before the second Monday in August and after the approval and
adoption of the final budget, the board of county commissioners shall fix the tax levy for each fund at a rate which that will
raise the amount set out in the budget as the amount necessary to be raised by tax levy for the fund during the current fiscal
year. The taxable valuation of the county for the current fiscal year must be the basis for determining the amount of the tax
levy for each fund. Each Subject to [section 1], each tax levy must be at a rate not higher than is required on that basis,
without including any amount for anticipated tax delinquency, to produce the amount set out in the budget, without
including any amount for anticipated tax delinquency, that is the amount to be raised by tax levy.
(2) The tax levy must be made in the manner provided by 15-10-201.
(3) This section does not apply to a county that has adopted the alternative accounting method provided for in Title 7, chapter 6, part 6."
Section 14. Section 7-6-2501, MCA, is amended to read:
"7-6-2501. Authorization for county mill levy. The Subject to [section 1], the board of county commissioners has
jurisdiction and power, under such limitations and reservations as are prescribed by law, to may levy such a tax annually on
the taxable property of the county for county purposes as may be necessary to defray the current expenses thereof, including
the salaries otherwise unprovided for, not exceeding 27 mills on each dollar of the taxable valuation for any one 1 year for
counties of the fourth, fifth, sixth, and seventh classes and 25 mills on each dollar of the taxable valuation for any one 1
year for counties of the first, second, and third classes and to may levy such taxes as are required to be levied by special or
local statutes."
Section 15. Section 7-6-2502, MCA, is amended to read:
"7-6-2502. Responsibility of county commissioners to fix tax rate and levy tax. The Subject to [section 1], the board
of county commissioners of each county must shall, on the second Monday in August, fix the rate of county taxes and
designate the number of mills on each dollar of valuation of property for each fund and must shall levy taxes upon the
taxable property of the county."
Section 16. Section 7-6-2511, MCA, is amended to read:
"7-6-2511. County levy for district court expenses. The Subject to [section 1], the governing body of each county
may each year levy and collect a tax on the taxable property of the county for all district court costs, except those listed in
3-5-211, 3-5-213, and 3-5-215. The tax may not exceed 6 mills in the first- and second-class counties, 5 mills in third- and
fourth-class counties, and 4 mills in fifth-, sixth-, and seventh-class counties. These expenses District court costs include
but are not limited to salary and benefits for court clerks, court reporters, youth probation officers, and other employees of
the district court."
Section 17. Section 7-6-2512, MCA, is amended to read:
"7-6-2512. County tax levy for health care facilities. (1) The Subject to [section 1], the board of county
commissioners may, annually at the time of levying county taxes, fix and levy a tax, not to exceed 10 mills on each dollar
of taxable valuation of property, upon all property within the county to erect, furnish, equip, expand, improve, maintain,
and operate county-owned or county-operated health care facilities created under 7-8-2102, 7-34-2201, and 7-34-2502.
"Health care facilities" as used in this section has the meaning as defined in 7-34-2201. The combined total number of mills
levied under this section and for the county poor fund under 53-2-322 may not exceed 18 mills. A higher levy may be made
upon compliance with 7-6-2531 through 7-6-2537, [section 1], or 53-2-322. If a hospital district is created under Title 7,
chapter 34, part 21, the mill levy authorized by this section may not be imposed on property within that hospital district.
(2) If a county issues bonds under 7-34-2411 to finance or refinance the costs of a health care facility, the board of county commissioners may covenant to levy the tax authorized by this section during the term of the bonds, to the extent necessary, and to apply the collections of the tax to the costs of erecting, furnishing, equipping, expanding, improving, maintaining, and operating the health care facility or facilities of the county or the payment of principal of or interest on the bonds. The pledge of the taxes to the payment of the bonds may not cause the bonds to be considered indebtedness of the county for the purpose of any statutory limitation or restriction. The pledge may be made by the board only upon authorization of a majority of the electors of the county voting on the pledge at a general or special election as provided in 7-34-2414."
Section 18. Section 7-6-2513, MCA, is amended to read:
"7-6-2513. County public safety levy -- purpose. The Subject to [section 1], the board of county commissioners may,
annually at the time of levying county taxes, fix and levy a tax on all property within the county for the purpose of
providing for the public safety of citizens. The tax must be used to support county law enforcement services and to
maintain county detention centers. Money received from the tax must be placed in a special account to be used for the
purposes of this section."
Section 19. Section 7-6-2522, MCA, is amended to read:
"7-6-2522. All-purpose levy -- maximum. (1) The all-purpose levy is an annual levy upon the taxable value of all
property in the county subject to taxation for county purposes in lieu of the levies specified in 7-6-2523. The Subject to
[section 1], the all-purpose levy may not exceed the lesser of:
(a) 55 mills on the dollar; or
(b) the total number of mills levied in the prior year pursuant to the levies set forth in 7-6-2523 as certified by the department of revenue under 15-10-202.
(2) If the county governing body determines that the interests of the county would be served by an all-purpose levy, it shall specify its intent to impose the all-purpose levy in the resolution approving and adopting the annual budget."
Section 20. Section 7-6-4232, MCA, is amended to read:
"7-6-4232. Fixing of tax levy -- exception. (1) On or before the second Monday in August and after the approval and adoption of the final budget, the council shall, subject to [section 1], fix the tax levy for each fund at a rate, not exceeding limits prescribed by law, that will raise the amount set out in the budget as the amount necessary to be raised by tax levy for that fund during the current fiscal year. The taxable valuation of the city for the current fiscal year must be the basis for determining the amount of the tax levy for each fund, and each tax levy must be at a rate not higher than is required on that basis, without including any amount for anticipated tax delinquency, to raise the amount set out in the budget.
(2) If the council considers that a levy made for a bond sinking or interest fund will not provide a sufficient amount to pay all bond principal and interest becoming due during the current fiscal year or within 6 months after the current fiscal year because of anticipated tax delinquency, the council may fix the levy at a rate it considers necessary to raise the amount for making the payments of principal and interest over and above the anticipated tax delinquency.
(3) Each levy must be made in the manner provided by 15-10-201.
(4) This section does not apply to a municipality that has adopted the alternative accounting method provided for in Title 7, chapter 6, part 6."
Section 21. Section 7-6-4259, MCA, is amended to read:
"7-6-4259. Budgets of appointed boards and commissions -- exemption for bonds. (1) With Subject to [section 1]
and with respect to tax and fee money, the proposed budget of and the number of mills to be assessed by any board,
commission, or other governing entity, except a board of trustees of a public library and an airport authority, appointed by a
local government are subject to approval by that local government.
(2) If a board, commission, or other governing entity, other than a port authority created under Title 7, chapter 14, part
11, issues bonds and pledges to the payment of the bonds, those taxes, revenue, or fees in accordance with the statutes
authorizing the issuance of the bonds, the taxes, revenue, or fees and the levy or appropriation of the taxes, revenue, or fees
are not subject to approval by the local government appointing the board, commission, or governing entity."
Section 22. Section 7-6-4261, MCA, is amended to read:
"7-6-4261. Determination of fund requirements to be met by tax levy. (1) Following the determinations required by
7-6-4260, the governing body shall determine the amount to be raised for each fund for which a tax levy is to be made by
adding the cash balance in excess of outstanding unpaid warrants at the close of the preceding fiscal year and the amount of
the estimated revenues revenue, if any, to accrue to the fund during the current fiscal year. It shall then deduct the total
amount obtained from the total amount of the appropriations and authorized expenditures from the fund as determined by
the governing body in the budget adopted and approved. The amount remaining is the amount necessary to be raised for any
fund by tax levy during the current fiscal year.
(2) The Subject to [section 1], the governing body may add to the amount necessary to be raised for any fund by tax
levy during the current fiscal year an additional amount as a reserve to meet expenditures to be made from the fund during
the months of July to November of the next fiscal year. The undesignated amount held as a reserve may not exceed one-half
of the total amount appropriated and authorized to be spent from the fund during the current fiscal year, after deducting
from the amount of the appropriations and authorized expenditures the total amount appropriated and authorized to be spent
for election expenses and payment of emergency and other outstanding warrants.
(3) The total amount to be raised by tax levy for any fund during the current fiscal year, including the amount of the reserve, may not exceed the total amount that may be raised for the fund by a tax levy that does not exceed the maximum levy permitted by law to be made for the fund.
(4) This section does not apply to a municipality that has adopted the alternative accounting method provided for in Title 7, chapter 6, part 6."
Section 23. Section 7-6-4401, MCA, is amended to read:
"7-6-4401. General taxing power of municipalities. The Subject to [section 1], the city or town council has power to
may levy and collect taxes for general and special purposes on all property within the town or city or town subject to
taxation under the laws of the state."
Section 24. Section 7-6-4406, MCA, is amended to read:
"7-6-4406. Authority to levy special taxes and assessments. The Subject to [section 1], the council may also assess
and levy the special taxes or assessments provided for in this title."
Section 25. Section 7-6-4407, MCA, is amended to read:
"7-6-4407. Resolution to fix annual tax levy. (1) The Subject to [section 1], the council must shall:
(a) on or before the second Monday of August of each year, by resolution determine the amount of the city or town taxes for all purposes to be levied and assessed on the taxable property in the city or town for the current fiscal year; and
(b) on or before the fourth Monday of August of each year, by resolution determine the amount of school district taxes for all purposes to be levied and assessed on the taxable property in the city or town for the current fiscal year.
(2) (a) Except as provided in subsection (2)(b), the city or town clerk must shall at once certify to the county clerk a
copy of the resolution, and the county treasurer must shall collect the taxes as provided in this part.
(b) In cities where the council has provided by ordinance for the collection of the taxes by the city treasurer, the city
clerk must shall certify a copy of the resolution to the city treasurer."
Section 26. Section 7-6-4421, MCA, is amended to read:
"7-6-4421. Authorization for tax levy and collection by municipality. (1) The Subject to [section 1], the council has
power to annually levy and collect taxes on all the property in the city or town taxable for state and county purposes and
may by ordinance provide for the levy and collection of the same taxes.
(2) Until the passage of such the ordinance, the levy and collection of municipal taxes are and the proceedings for such
those purposes must be as provided in this part."
Section 27. Section 7-6-4438, MCA, is amended to read:
"7-6-4438. Tax levy and expenditures for municipal and administrative purposes when limits on municipal
indebtedness exceeded. (1) All Subject to [section 1], taxes levied and collected for municipal and administrative purposes
by any city or town in which the indebtedness equals or exceeds the limit allowed by statute may be used in payment of
current expenses during the fiscal year for which the taxes were levied, as if a special levy had been made for each of the
purposes. The council of any such the city or town may designate the amount of the general levy applicable to each of the
purposes. The amount so designated constitutes a special fund for the special purpose of paying the expenses incurred for
the purpose. The expenses shall be are payable only out of the fund and not otherwise.
(2) However, the aggregate of all taxes authorized for general municipal and administrative purposes may not exceed
1.5% annually of the taxable value of all property subject to taxation in the city or town.
(3)(2) Any Subject to [section 1], a city, the indebtedness of which equals or exceeds the limit allowed by statute, may
levy and collect special taxes for municipal and administrative purposes, and the city council in making special levies shall
designate the amount thereof for each of the purposes, and each. Each tax, when collected, constitutes a fund out of which
the expenses incurred for the purpose for which the tax was levied shall must be paid. The expenses incurred for any
particular purpose shall may be paid only out of the specified fund provided therefor and not otherwise."
Section 28. Section 7-6-4452, MCA, is amended to read:
"7-6-4452. Maximum all-purpose mill levy. Except Subject to [section 1] and except as provided elsewhere by law,
the cities and towns of the state of Montana may make an all-purpose annual levy upon the taxable value of all the property
in the cities and towns subject to taxation for municipal purposes in lieu of the multiple levies now authorized by statute.
The total of the all-purpose levy may not exceed 65 mills on the dollar."
Section 29. Section 7-6-4453, MCA, is amended to read:
"7-6-4453. Certain special mill levies also available. (1) The all-purpose mill levy shall not and may does not include
the levies imposed for bonded indebtedness, to pay judgments or tax protest refunds, or for special improvement district
revolving funds of municipalities,. which Subject to [section 1], additional levies may be made in addition to the
all-purpose levy, as provided in subsection (2). Sections 7-6-4451 through 7-6-4455 shall may not be construed as repealing
those statutes providing for multiple separate levies.
(2) Extraordinary levies otherwise authorized to pay for bonded indebtedness, judgments, tax protest refunds, or special
improvement district revolving funds may be made by such municipalities in addition to such the all-purpose levy provided
for in 7-6-4451 through 7-6-4455.
(3) In a third-class city or town, the all-purpose mill levy may not include the special tax levy for the firefighters' disability and pension fund provided for in 19-18-503. This special tax levy must be made in addition to the all-purpose mill levy."
Section 30. Section 7-11-1106, MCA, is amended to read:
"7-11-1106. Ordinance and petition requirements. An ordinance or petition for an ordinance to authorize a multijurisdictional service district must include:
(1) the name of the proposed district;
(2) the services to be provided by the proposed district;
(3) a statement of convenience and necessity;
(4) a boundary map of the proposed district;
(5) estimated costs of services and methods of financing the district;
(6) the method of administering the proposed district; and
(7) subject to [section 1], the maximum property tax mill levy for property taxes in the district."
Section 31. Section 7-11-1112, MCA, is amended to read:
"7-11-1112. Financing. (1) Local Subject to [section 1], local governments organizing a multijurisdictional service
district are authorized to levy property taxes in an amount not to exceed that authorized for the district in 7-11-1106, and to
appropriate funds derived from other than general tax revenues for the operation of the district. Property Subject to [section
1], property taxes levied for a library established under this part as a multijurisdictional service must be added to taxes
levied under 22-1-304.
(2) A property tax levied for the purpose of financing the district must, for all agricultural property having an area
greater than 10 acres, be levied only on the principal residential dwelling, if any, on such the property."
Section 32. Section 7-14-111, MCA, is amended to read:
"7-14-111. Transportation for senior citizens and persons with disabilities. (1) A Subject to [section 1], a county,
urban transportation district, or municipality may, in addition to all other property tax levies authorized by law, levy up to 1
mill of property taxes to fund special transportation services for senior citizens and persons with disabilities.
(2) The proceeds of the levy may be used to:
(a) contract with public or private transportation providers for services to senior citizens and individuals with disabilities; or
(b) augment or subsidize provisions for the transportation of senior citizens and individuals with disabilities provided by public transportation providers.
(3) If the taxing jurisdiction determines that it is not in the best interest of senior citizens and individuals with disabilities to use the tax levy as provided for in subsection (2), the taxing jurisdiction may use the proceeds of the levy to establish and operate an independent transportation system for senior citizens and individuals with disabilities.
(4) Counties, urban transportation districts, and municipalities are encouraged to enter into interlocal agreements to provide regional transportation services to senior citizens and persons with disabilities and may create regional advisory committees to coordinate regional transportation services."
Section 33. Section 7-14-232, MCA, is amended to read:
"7-14-232. Mill levy authorized -- limitation. (1) The Subject to [section 1], the commissioners shall annually, at the
time of levying county taxes, fix and levy a tax in mills upon all property within said the transportation district clearly
sufficient to raise the amount certified by the board.
(2) The tax so levied for all district purposes other than payment of bonded indebtedness shall may not in any year
exceed 12 mills on each dollar of taxable valuation of property within said the district."
Section 34. Section 7-14-1111, MCA, is amended to read:
"7-14-1111. General powers of authority. An authority has all the powers necessary or convenient to carry out the purposes of this part, including but not limited to the power to:
(1) subject to [section 1], request annually the amount of tax to be levied by the governing body for port purposes, which request the governing body may in its discretion approve for port purposes;
(2) sue and be sued, have a seal, and have perpetual succession;
(3) execute such contracts and other instruments and take such other action as that may be necessary or convenient to
carry out the purposes of this part;
(4) plan, establish, acquire, develop, construct, purchase, enlarge, improve, maintain, equip, operate, regulate, and
protect transportation, storage, or other facilities. For such these purposes an authority may, by purchase, gift, devise, lease,
or otherwise, acquire real or personal property or any interest therein in property, including easements.
(5) establish comprehensive port zoning regulations in accordance with the laws of this state;
(6) acquire, by purchase, gift, devise, lease, or otherwise, existing transportation, storage, or other facilities as that may
be necessary or convenient to carry out the purposes of this part. However, an authority may not acquire or take over any
transportation, storage, or other facility owned or controlled by another authority, county, municipality, or public agency
without the consent of such the authority, county, municipality, or public agency.
(7) provide financial and other support to organizations in its jurisdiction, including corporations organized under the provisions of the development corporation act in Title 32, chapter 4, whose purpose is to promote, stimulate, develop, and advance the general welfare, economic development, and prosperity of its jurisdiction and of the state and its citizens by stimulating, assisting in, and supporting the growth of all kinds of economic activity, including the creation, expansion, modernization, retention, and relocation of new and existing businesses and industry in the state, all of which will tend to promote business development, maintain the economic stability and prosperity of the state, and thus provide maximum opportunities for employment and improvement in the standards of living of citizens of the state."
Section 35. Section 7-14-1131, MCA, is amended to read:
"7-14-1131. Municipal tax levy. The Subject to [section 1], the port authority may request annually from the
governing bodies the amount of tax to be levied by each municipality participating in the creation of the port authority, and
the municipality may levy the amount requested, pursuant to provisions of law authorizing cities and other political
subdivisions of this state to levy taxes. The levy made may not exceed the maximum levy permitted by 67-10-402 for port
purposes or any lower limit that may have been established by the municipality or municipalities in the resolution creating
the authority. The municipality shall collect the taxes requested by a port authority that it has authorized in the same manner
as other taxes are levied and collected and make payment to the port authority. The proceeds of such the taxes when and as
paid to the port authority must be deposited in a special account or accounts in which other revenues revenue of the
authority are is deposited and may be expended by the authority as provided for in this part. Prior to the issuance of bonds
under 7-14-1133 and 7-14-1134, the port authority or the municipality may by resolution covenant and agree that the total
amount of such taxes then authorized by law, or such the portion thereof as of the taxes that may be specified by the
resolution, will be requested, levied, and deposited annually as provided in this section until the bonds and interest thereon
are fully paid."
Section 36. Section 7-14-2101, MCA, is amended to read:
"7-14-2101. General powers of county relating to roads and bridges. (1) The board of county commissioners, under
such limitations and restrictions as are prescribed by law, may:
(a) (i) lay out, maintain, control, and manage county roads and bridges within the county;
(ii) subject to [section 1], levy taxes therefor for county roads and bridges within the county as provided by law;
(b) (i) in the exercise of sound discretion, jointly with other counties, lay out, maintain, control, manage, and improve
county roads and bridges in adjacent counties, wholly or in such part as may be agreed upon between the boards of the
counties concerned;
(ii) subject to [section 1], levy taxes therefor for roads and bridges in adjacent counties as provided by law;
(c) (i) enter into agreements for adjusted annual contributions over not more than 6 years toward the cost of joint highway or bridge construction projects entered into in cooperation with other counties, the state, or the United States;
(ii) subject to [section 1], place such a a joint project in the budget and levy taxes therefor for the project as provided by
law.
(2) (a) Unless the context requires otherwise, county road means any public highway opened, established, constructed, maintained, abandoned, or discontinued by a county in accordance with this chapter.
(b) Unless the context requires otherwise, bridge includes rights-of-way or other interest in land, abutments, superstructures, piers, and approaches except dirt fills."
Section 37. Section 7-14-2205, MCA, is amended to read:
"7-14-2205. Construction of bridge in municipality -- election. (1) Before undertaking the construction in any city or town of any bridge, the cost of which exceeds $10,000, the board of county commissioners shall submit to the qualified electors of the county at a general election or a special election held in conjunction with a regular or primary election the question of whether the bridge is to be constructed and paid for by the county.
(2) (a) If the electors vote in favor of construction, the board may issue and sell bonds of the county in the amount authorized for the construction of the bridge. Bonds must be issued under the regulations that apply to other bonds of the county.
(b) The bridge must be constructed using the proceeds of the bond sale.
(3) If Subject to [section 1], if the cost of the bridge does not exceed the amount authorized to be raised by a special tax,
it may be levied as provided in 7-14-2503."
Section 38. Section 7-14-2501, MCA, is amended to read:
"7-14-2501. General road tax authorized. (1) To Subject to [section 1] and to raise revenue for the construction,
maintenance, or improvement of public highways, each board of county commissioners may levy a general tax upon the
taxable property in the county of not more than 20 mills, except in counties of the fourth, fifth, sixth, and seventh class
counties, which may levy not more than 23 mills, payable to the county treasurer. The tax from freeholders shall must be
collected the same as other taxes, and from nonfreeholders, as the board may direct.
(2) This section shall does not apply to incorporated cities and towns which that by ordinance provide for the levy of a
like tax for road, street, or alley purposes.
(3) All money collected under this section shall belong to must be deposited in the county road fund."
Section 39. Section 7-14-2502, MCA, is amended to read:
"7-14-2502. Special bridge tax authorized -- combined ferry and bridge fund. (1) Each Subject to [section 1], a
board may levy a special tax not to exceed 8 mills on all taxable property in the county for the purpose of constructing,
maintaining, and repairing free public bridges, which includes those bridges within the municipalities.
(2) An Subject to [section 1], an additional levy for these purposes may be made under the following conditions:
(a) In any county where the taxable value of property in that county is $20 million or less, the board may, if necessary, levy 1 mill.
(b) In counties where the taxable value of property in that county is not less than $20 million or more than $40 million, the board may, if necessary, levy 2 mills.
(3) For the purposes of this section, a free public bridge is defined as any drainage structure located on, over, or through any road or highway.
(4) These taxes must be levied and collected in the same manner as other taxes. Except when the county has a combined
ferry and bridge fund, the money shall must be kept as a special bridge fund, subject to the order of the board for use as
herein provided in this section, and shall may not be transferable to any other fund.
(5) If a county owns or operates a public ferry, the board may combine into a single fund the revenue from the county public ferry tax levy authorized in 7-14-2807, the revenue from the special municipal bridge levy authorized in 7-14-2503, and the revenue from the levy authorized by this section. The fund may be used for any lawful purpose authorized for bridges in this part or in Title 7, chapter 14, part 22, or for public ferries in Title 7, chapter 14, part 28."
Section 40. Section 7-14-2503, MCA, is amended to read:
"7-14-2503. Special municipal bridge tax authorized. Each Subject to [section 1], a board may levy a special tax not
to exceed 5 mills on the taxable property in the county to defray the costs of any bridge required to be constructed and
maintained by the county in any city or town."
Section 41. Section 7-14-2801, MCA, is amended to read:
"7-14-2801. General powers of county relating to ferries. The board of county commissioners, under such
limitations and restrictions as are prescribed by law, may:
(1) lay out, maintain, control, and manage county ferries within the county and, subject to [section 1], levy taxes
therefor for county ferries as provided by law;
(2) in the exercise of sound discretion, jointly with other counties, lay out, maintain, control, manage, and improve
county ferries in adjacent counties, wholly or in such part as may be agreed upon between the boards of the counties
concerned, and subject to [section 1], levy taxes therefor as provided by law."
Section 42. Section 7-14-2807, MCA, is amended to read:
"7-14-2807. Tax levy for public ferry -- combined ferry and bridge fund. (1) If Subject to [section 1], if a county
owns or operates a public ferry, the board of county commissioners may levy a special tax, not to exceed 2 mills on the
dollar, on the taxable property of the county for the purpose of constructing, maintaining, and repairing public ferries.
(2) The board may combine the revenue from the tax authorized in this section with revenues revenue from taxes to
support bridges as provided in 7-14-2502."
Section 43. Section 7-14-4703, MCA, is amended to read:
"7-14-4703. Provision for payment of damages due to creation of pedestrian mall. When the public interest or
convenience requires, the governing body of a municipality may pay, from general funds of the municipality or other
available money or from the proceeds of assessments levied on lands benefited by the establishment of a pedestrian mall,
the damages, if any, allowed or awarded to any property owner by reason of the establishment of a pedestrian mall. The
resolution of intention must contain a statement that, subject to [section 1], an assessment will be levied to pay the whole or
a stated portion of such damages, if any, allowed or awarded to any property owner by reason of the establishment of such
the pedestrian mall."
Section 44. Section 7-14-4713, MCA, is amended to read:
"7-14-4713. Estimates of expenses -- tax levy. (1) The governing body shall:
(a) make annual statements and estimates of the expenses of the district which shall be that are provided for by the levy
and collection of ad valorem taxes upon the taxable value of all the real and personal property in the district;
(b) publish notice thereof of the estimates; and
(c) have hearings on the statements and estimates and adopt them as provided for incorporated cities and towns by 7-12-4104, 7-12-4106, 7-12-4110, 7-12-4112, 7-12-4113, and 7-12-4117.
(2) The Subject to [section 1], the governing body, on or before the second Monday in August of each year, shall fix,
levy, and assess the amount to be raised by ad valorem taxes upon all of the property of the district. All statutes providing
for the levy and collection of state and county taxes, including the collection of delinquent taxes and sale of property for
nonpayment of taxes, shall be are applicable to the district taxes provided for under this section."
Section 45. Section 7-14-4734, MCA, is amended to read:
"7-14-4734. Expense estimate -- assessments and tax levy. (1) The governing body shall:
(a) make annual statements and estimates of the expenses of the district which shall be that are provided for by the levy
and collection of ad valorem taxes upon the assessed value of all the real and personal property in the district;
(b) publish notice thereof of the estimates; and
(c) have hearings thereon and adopt an ordinance thereon on the estimates at the times and in the manner provided for
incorporated cities and towns by the applicable portions of 7-12-4175.
(2) The Subject to [section 1], the governing body, on or before the second Monday in August of each year, shall fix,
levy, and assess the amount to be raised by ad valorem taxes upon all of the property of the district. All statutes providing
for the levy and collection of state and county taxes, including the collection of delinquent taxes and sale of property for
nonpayment of taxes, are applicable to the district taxes provided for under this section.
(3) No An assessment for district purposes against the property within such the district may not exceed 12 mills upon
each dollar of taxable valuation in any tax year."
Section 46. Section 7-15-4281, MCA, is amended to read:
"7-15-4281. Financial authority in connection with urban renewal. (1) Every A municipality shall have power to:
(a) borrow money and apply for and accept advances, loans, grants, contributions, and any other form of financial assistance for the purposes of this part and enter into and carry out contracts in connection with the financial assistance from:
(i) the federal government;
(ii) from the state, a county, or any other public body; or
(iii) from any sources, public or private, for the purposes of this part and enter into and carry out contracts in connection
therewith;
(b) (i) appropriate such funds and make such expenditures as may be necessary to carry out the purposes of this part;
and
(ii) subject to [section 1] and in accordance with state law, levy taxes and assessments for such the purposes of this part;
(c) invest any urban renewal project funds held in reserves or sinking funds or any such funds which that are not
required for immediate disbursement in property or securities in which mutual savings banks may legally invest funds
subject to their control;
(d) adopt, in accordance with state law, annual budgets for the operation of an urban renewal agency, department, or office vested with urban renewal project powers under 7-15-4231;
(e) enter, in accordance with state law, into agreements, which may extend over any period, with agencies or
departments vested with urban renewal project powers under 7-15-4231 respecting action to be taken by such the
municipality pursuant to any of the powers granted by this part or part 43 or this part;
(f) close, vacate, plan, or replan streets, roads, sidewalks, ways, or other places and plan or replan, zone or rezone any part of the municipality in accordance with state law.
(2) A municipality may include in any application or contract for financial assistance with the federal government for an
urban renewal project such the conditions imposed pursuant to federal laws as that the municipality may deem consider
reasonable and appropriate and which that are not inconsistent with the purposes of this part and part 43 and this part."
Section 47. Section 7-15-4324, MCA, is amended to read:
"7-15-4324. Special bond provisions when tax increment financing is involved. (1) Bonds issued under this part for
which a tax increment is pledged pursuant to 7-15-4282 through 7-15-4292 shall must be designed to mature not later than
25 years from their date of issue and shall must mature in such years and amounts so that the principal and interest due on
the bonds in each year shall may not exceed the estimated tax increment, payments in lieu of taxes or other amounts agreed
to be paid by the property owners in a district, and other estimated revenues revenue, including proceeds of the bonds
available for payment of interest thereon on the bonds, pledged to their payment to be received in such that year.
(2) The governing body, in the resolution or ordinance authorizing the bonds, shall determine the estimated tax
increment, payments in lieu of taxes or other amounts agreed to be paid by the property owners in a district, and other
revenues revenue, if any, for each year the bonds are to be outstanding. In calculating the costs under 7-15-4288 for which
the bonds are issued, the municipality may include an amount sufficient to pay interest on the bonds prior to receipt of tax
increments pledged and sufficient for the payment thereof of the bonds and to fund any reserve fund in respect of the
bonds."
Section 48. Section 7-16-101, MCA, is amended to read:
"7-16-101. Creation of funds for recreational and other activities of elderly by local governments. (1) The Subject
to [section 1], the governing body of a city, county, town, or municipality may in its discretion establish a fund to promote,
establish, and maintain recreational, educational, and other activities of the elderly by a levy of up to 1 mill on each dollar
of taxable property,. which The tax levy shall be is in addition to all other tax levies.
(2) The governing body shall have the power may, by resolution, to make expenditures from the fund as it may from
time to time determine. Expenditures shall must be made for the promotion and development of recreational, educational,
and other activities of the elderly, including motivation of the use of the talents of the elderly.
(3) The governing body may make payment of expenditures to nonprofit corporations or associations engaged in aiding the activities."
Section 49. Section 7-16-2102, MCA, is amended to read:
"7-16-2102. Authorization for tax levy for parks and certain cultural, social, and recreational facilities. (1) The
Subject to [section 1], the board of county commissioners may annually levy on the taxable property of the county, in the
same manner and at the same time as other county taxes are levied, a special tax, not to exceed 2 mills on each dollar of the
taxable valuation for any one 1 year, for the purpose of maintaining, operating, and equipping parks, cultural facilities, and
any county-owned civic center, youth center, recreation center, recreational complex, or any combination thereof of
purposes, parks, and facilities.
(2) (a) The board of county commissioners must shall submit the question of imposing or the continued imposition of
the property tax mill levy provided in subsection (1) to the electors of the county at the next general election if a petition
requesting such an election, signed by at least 15% of the resident taxpayers of the county, is filed with the county clerk.
The petition must be filed with the county clerk at least 90 days prior to the date of the general election.
(b) The question will must be submitted substantially as follows:
[] FOR the imposition (or continued imposition) of a property tax, not to exceed 2 mills, for county parks and for county-owned cultural, social, and recreational facilities.
[] AGAINST the imposition (or continued imposition) of a property tax for county parks and for county-owned cultural, social, and recreational facilities.
(c) The board of county commissioners shall levy such a the tax for the 2 subsequent fiscal years if the question for the
imposition of the tax is approved by a majority of the electors voting on the question.
(3) All laws applicable to the collection of county taxes shall apply to the collection of the tax provided herein for in
this section."
Section 50. Section 7-16-2108, MCA, is amended to read:
"7-16-2108. Authorization to levy tax and establish fund for establishment and maintenance of programs and
employee training for day-care facilities. (1) The Subject to [section 1], the governing body of a county, city, town, or
municipality may in its discretion establish a fund to establish and maintain programs for the operation of licensed day-care
centers and homes within the geographic boundaries of the governing body by a levy of up to 1 mill on each dollar of
taxable property of said governing body within the county, city, town, or municipality. The tax levy shall be is in addition to
all other tax levies.
(2) The governing body shall have the power may, by resolution, to make expenditures from the fund as it may from
time to time determine, provided that expenditures shall must be made solely for the establishment, maintenance, and
development of programs for and training of operators and employees of day-care centers and homes."
Section 51. Section 7-16-2109, MCA, is amended to read:
"7-16-2109. Single tax for county fair activities, county parks, and certain cultural, social, and recreational
facilities -- restriction. (1) Except Subject to [section 1] and except as provided in subsection (2), the county
commissioners of a county who have levied taxes pursuant to both 7-16-2102 and 7-21-3410 before January 1, 1993, may
combine the two taxes into a single tax that may not exceed 3 1/2 mills on each dollar of the taxable valuation for any 1
year for the purpose of maintaining, operating, and equipping county fair activities, county parks, cultural facilities, and any
county-owned civic center, youth center, recreation center, recreational complex, or any combination thereof of purposes,
activities, and facilities. The money collected may be distributed among the activities and facilities as determined by the
county commissioners.
(2) (a) The board of county commissioners shall submit the question of imposing or continuing the imposition of the single tax provided for in subsection (1) to the electors of the county at the next general election if a petition requesting a vote on the single tax, signed by at least 15% of the resident taxpayers of the county, is filed with the county clerk at least 90 days prior to the date of the general election.
(b) The question must be submitted substantially as follows:
[] FOR imposition (or continued imposition) of a property tax, not to exceed 3 1/2 mills, for county fair activities, county parks, and county-owned cultural, social, and recreational facilities.
[] AGAINST imposition (or continued imposition) of a property tax, not to exceed 3 1/2 mills, for county fair activities, county parks, and county-owned cultural, social, and recreational facilities.
(c) The board of county commissioners shall levy the tax for the 2 subsequent fiscal years if the imposition or continued imposition of the single tax is approved by a majority of the electors voting on the question."
Section 52. Section 7-16-2205, MCA, is amended to read:
"7-16-2205. Authorization for mill levy. (1) The board of county commissioners of any county owning, acquiring, contributing, or making a grant to any museum, facility for the arts and the humanities, or collection of exhibits as set forth in 7-16-2202:
(a) (i) may make an appropriation in its annual budget for the upkeep, care, maintenance, operation, and support of the museum, facility, or collection;
(ii) may make an appropriation in its annual budget for a grant program for private, nonprofit museums and private, nonprofit facilities for the arts and the humanities; and
(b) in order to meet and take care of fund the appropriation or grant program, may, subject to [section 1], annually levy
a tax not to exceed 2 mills on each dollar of the taxable valuation of the property subject to taxation in the county.
(2) The levy must be made at the same time as other levies are made for county and school purposes.
(3) The proceeds from the collection of the levy must be kept in a special fund by the county treasurer and used, at the discretion of the board of county commissioners, solely for the purpose for which the levy was made."
Section 53. Section 7-16-2411, MCA, is amended to read:
"7-16-2411. Creation of county park district. (1) Proceedings for the creation of a county park district may be initiated by:
(a) a petition signed by not less than 10% of the qualified electors of the proposed park district; or
(b) a resolution of intent adopted by the county governing body, calling for the creation of a county park district.
(2) The petition or resolution must contain:
(a) the boundaries of the proposed district;
(b) subject to [section 1], the proposed maximum property tax mill levy that could be levied on property owners within the district for the operation of the district; and
(c) the proposed number of members of the county park district commission. The number of members must be an odd number and may not be less than three.
(3) When the territory to be included in the proposed district lies in more than one county, a petition must be presented to the governing body of each county in which the territory lies. Each petition must be signed by not less than 10% of the qualified electors of the territory within the county proposed to be included in the district.
(4) Upon receipt of a petition for the creation of a county park district, the county clerk shall examine it and within 15 days either reject the petition if it is insufficient under the provisions of subsection (1), (2), or (3) or certify that the petition is sufficient and present it to the county governing body at its next meeting.
(5) The text of the petition or resolution must be published as provided in 7-1-2121 in each county in which the territory of the proposed district lies.
(6) At the hearing, the county governing body shall hear:
(a) testimony of all interested persons on whether a county park district should be created;
(b) testimony regarding the proposed boundary, property tax mill levy, and number of members of the district commission; and
(c) any other matter relating to the proposed district.
(7) After the hearing, if the county governing body determines that the proposed park district should be created, it shall by resolution set the boundaries of the proposed park district, the maximum mill levy for the proposed park district, and the number of members to be on the district commission. The resolution must also call for an election on the question of whether to create the county park district. The election must be held in conjunction with a regular or primary election, provided that at least 75 days have elapsed between the adoption of the resolution and the election."
Section 54. Section 7-16-2423, MCA, is amended to read:
"7-16-2423. Powers of county park district commission. A county park district commission has all powers necessary for the betterment, operation, maintenance, and administration of park and recreation land within the territory of the district. In the exercise of this general grant of powers, the county park district commission may:
(1) employ or contract with administrative, professional, and other personnel necessary for the operation of the district;
(2) lease, purchase, or contract for the purchase of personal property, including property which that after purchase
constitutes a fixture on real property;
(3) lease, purchase, or contract for the purchase of buildings and facilities on lands controlled by the district and equip,
operate, and maintain such the buildings and facilities;
(4) adopt by resolution rules for the operation and administration of all parks and recreational facilities under its control;
(5) impose by resolution and collect charges for such services and facilities provided by the district as that the
commission considers necessary for the prudent operation of the district;
(6) subject to [section 1], establish a property tax mill levy for the operation of the district as provided in 7-16-2431;
(7) enter into agreements with any public or private entity or person for the operation of parks or recreational areas either by the district on behalf of the landowner or by another entity on behalf of the district;
(8) with the concurrence of the county governing body or bodies, accept donations of land or recreational-type easements on land within the district for park or recreational purposes on behalf and in the name of the county or counties;
(9) accept donations and devises of money or personal property."
Section 55. Section 7-16-2431, MCA, is amended to read:
"7-16-2431. District budget -- property tax levy. (1) The county park district commission shall annually prepare a budget for the ensuing fiscal year and present the budget to the governing body of each county with territory included in the district at the regular budget meetings as prescribed in Title 7, chapter 6, part 23, and certify the amount of money necessary for the operation of the district for the ensuing fiscal year.
(2) The Subject to [section 1], the county governing body shall, annually at the time of levying county taxes, fix and
levy a tax in mills on all taxable property within the district sufficient to raise the amount certified by the county park
district commission. The tax levied may not in any year exceed the maximum amount approved by the electorate in
7-16-2411 or 7-16-2432."
Section 56. Section 7-16-2443, MCA, is amended to read:
"7-16-2443. Effect of dissolution. (1) If dissolution of a county park district is authorized by a majority of the electorate of the district, the county governing body shall order the dissolution and file the order with the county clerk. The dissolution is effective upon the earlier of the following:
(a) 6 months after the date of filing of the order; or
(b) certification by the members of the county park commission that all debts and obligations of the district have been paid, discharged, or irrevocably settled.
(2) If debts or obligations of the district remain unsatisfied after the dissolution of the district, the county governing
body shall, subject to [section 1] and for as long as necessary, levy a property tax, in an amount not to exceed the voted
maximum authorized by the district, on all taxable property that is in the territory formerly comprising the district, to be
used to discharge the debts of the former district. If the electors of the district lowered the maximum amount to be levied
for the operation of the district within 2 calendar years prior to the election authorizing the dissolution, the county
governing body is authorized to may, subject to [section 1], levy a property tax not to exceed the maximum levy authorized
prior to the reduction of the maximum levy for the discharge of the district's obligations.
(3) Any assets of the district remaining after all debts and obligations have been discharged become the property of the county."
Section 57. Section 7-16-4105, MCA, is amended to read:
"7-16-4105. Authorization to levy tax for various cultural, social, and recreational facilities. For Subject to
[section 1] and for the purpose of procuring, equipping, and maintaining public parks, swimming pools, skating rinks,
playgrounds, civic centers, youth centers, museums, and combinations thereof combination of purposes and facilities, the
council or commission in any city or town may levy, in addition to the levy for general municipal or administrative
purposes, an amount not exceeding 7 mills on the dollar on the taxable value of the property to be taxed of in the city or
town."
Section 58. Section 7-16-4113, MCA, is amended to read:
"7-16-4113. Tax levy for band concerts. For Subject to [section 1] and for the purpose of providing band concerts, the
council or other governing body in any city of the first, second, or third class or of any incorporated town may assess and
levy, in addition to the levy for general municipal or administrative purposes, an amount not to exceed 1 mill on the dollar
on the taxable value of the property of the city or town subject to taxation."
Section 59. Section 7-16-4114, MCA, is amended to read:
"7-16-4114. Authorization to levy tax and establish fund for establishment and maintenance of programs and
employee training for day-care facilities. (1) The Subject to [section 1], the governing body of a county, city, town, or
municipality may in its discretion establish a fund to establish and maintain programs for the operation of licensed day-care
centers and homes within the geographic boundaries of the governing body by a levy of up to 1 mill on each dollar of
taxable property of said governing body in the county, city, town, or municipality. The tax levy shall be is in addition to all
other tax levies.
(2) The governing body shall have the power may, by resolution, to make expenditures from the fund as it may from
time to time determine, provided that expenditures shall must be made solely for the establishment, maintenance, and
development of programs for and training of operators and employees of day-care centers and homes."
Section 60. Section 7-21-3203, MCA, is amended to read:
"7-21-3203. Support of extension work in agriculture and home economics. (1) The county commissioners of any
county may appropriate money from the general funds of the county treasury or from funds provided by special levy, which
the county commissioners are hereby authorized to make at the same time as other levies for county purposes, for the
purpose of carrying on extension work in agriculture and home economics within the county in cooperation with Montana
state university-Bozeman and the United States department of agriculture. Subject to [section 1], the county commissioners
may impose the levy for the purpose of this section at the same time as other levies for county purposes are imposed.
(2) The amount of such an appropriation in any county, its method of expenditure, the responsibility for the direction of
the work, and the procedure of appointing agents and the compensation and conditions of service of such agents shall must
be covered in memoranda of agreement between the county commissioners and Montana state university-Bozeman."
Section 61. Section 7-21-3410, MCA, is amended to read:
"7-21-3410. Funding of county fair activities. (1) The board of county commissioners of their respective counties
may appropriate annually, out of the general fund of the county treasury and to the county fair commission, a sum not to
exceed $3,500, to be expended by the county fair commission for the purpose of holding a county fair and/or or junior fair
and for advertising the products and resources of their the county.
(2) In Subject to [section 1] and in addition to the appropriation above provided for or in lieu thereof of the
appropriation provided for in subsection (1), the county commissioners of any county in Montana shall have the power to
may levy an ad valorem tax of 1 1/2 mills or less on each dollar of taxable property in such the county for the purpose of
securing, equipping, maintaining, and operating a county fair and/or or a junior fair, including the purchase of land for such
purposes and the erection of such buildings and other appurtenances as may be necessary.
(3) The funds derived from such the appropriation or tax levy shall must be kept in a separate fund by the county
treasurer and shall must be paid out by the treasurer on order signed by the president and secretary of the fair commission."
Section 62. Section 7-21-3432, MCA, is amended to read:
"7-21-3432. Effect of failure of county commissioners to meet or take action. If the county commissioners fail to
hold the joint meeting or fail to take any action, then the budget certified by the secretary of the fair district shall be is
approved without further action and, subject to [section 1], the sums of money apportioned to the county shall must be the
sums to be raised by special levy for this purpose."
Section 63. Section 7-21-3433, MCA, is amended to read:
"7-21-3433. Authorization for mill levy. (1) For the purpose of raising the revenues revenue provided for in
7-21-3432, the board of county commissioners of each county in the district shall, subject to [section 1], annually make a
levy to raise the required sum apportioned to the respective county.
(2) However, the The levy shall provided for in subsection (1) may not exceed 1 mill on the dollar of the taxable value
of all the taxable property in the county, except in the case of the county in which the fair is being conducted. In this that
county, the levy shall may not exceed 1 1/2 mills on the dollar of taxable property in the county."
Section 64. Section 7-22-2142, MCA, is amended to read:
"7-22-2142. Sources of money for noxious weed fund. (1) The commissioners may create the noxious weed fund and provide sufficient money in the fund for the board to fulfill its duties, as specified in 7-22-2109, by:
(a) appropriating money from the general fund of the county;
(b) subject to [section 1] and at any time fixed by law for levy and assessment of taxes, levying a tax not exceeding 2 mills on the dollar of total taxable valuation in the county. The tax levied under this subsection must be identified on the assessment as the tax that will be used for noxious weed control.
(c) levying a tax in excess of 2 mills if authorized by a majority of the qualified electors voting in an election held for this purpose pursuant to 7-6-2531 through 7-6-2536.
(2) The proceeds of the noxious weed control tax must be used solely for the purpose of managing noxious weeds in the county and must be designated to the noxious weed fund.
(3) Any proceeds from work or chemical sales must revert to the noxious weed fund and must be available for reuse within that fiscal year or any subsequent year.
(4) The commissioners may accept any private, state, or federal gifts, grants, contracts, or other funds to aid in the management of noxious weeds within the district. These funds must be placed in the noxious weed fund."
Section 65. Section 7-22-2222, MCA, is amended to read:
"7-22-2222. Mill levy authorized. To administer and implement a rodent abatement program, the governing body may, subject to [section 1], levy a tax, not to exceed 2 mills, on the taxable value of the horticultural, farming, grazing, forest, and railroad lands within the district. The proceeds of the levy are to be placed in the district fund."
Section 66. Section 7-22-2306, MCA, is amended to read:
"7-22-2306. Financing of insect pest control program. (1) The governing body of the county shall annually determine the amount of the warrants drawn on the general fund for the purposes of controlling insect pests under a control program approved by the department of agriculture.
(2) In Subject to [section 1], in the succeeding year, the governing body shall levy a tax for the purpose of insect pest
extermination sufficient to reimburse the general fund for the money paid out on the warrants. The tax shall must be levied
upon all the property in the county and shall may not exceed 3 mills on each dollar of taxable value.
(3) If there is no money in the general fund with which to pay such the warrants, they shall must be registered and bear
interest in the same manner as other county warrants. In this case, the interest shall must be computed and added to the
amount for which such the tax is levied."
Section 67. Section 7-22-2432, MCA, is amended to read:
"7-22-2432. Financing of mosquito control district -- levy of district taxes -- limit on mill levy -- fee on structures.
(1) The Subject to [section 1], the board of county commissioners of any county within which a mosquito control board has
been created shall finance the operation of the district by levying a tax not exceeding 5 mills on the dollar of the total
taxable valuation in the district on all property situated within the district at the time fixed by law for levy and assessment
of taxes.
(2) Instead of or in addition to imposing the levy authorized in subsection (1), the county commissioners may, upon an affirmative vote of a majority of the qualified voters residing in the mosquito control district, collect an annual fee from the owners of structures that are benefited by the mosquito control services offered by the district. The schedule of fees is as follows:
(a) up to $20 per single-unit dwelling;
(b) up to $20 per unit in a duplex dwelling;
(c) up to $5 per unit in a multiple-unit dwelling;
(d) up to $75 per commercial establishment;
(e) up to $50 on each irrigated parcel of property that does not contain a dwelling; and
(f) up to $15 on each nonirrigated parcel of property that does not contain a dwelling.
(3) A countywide mosquito control district may be financed by a property tax pursuant to subsection (1) or a fee under subsection (2), but not by both a tax and a fee.
(4) The fees provided for in subsection (2) must be collected with the general taxes of the county. The assessments are a lien on the property assessed.
(5) The proceeds from the tax and the fees must be placed in a separate fund with the county treasurer of the county and must be used solely for the purpose for which the mosquito control district was created."
Section 68. Section 7-22-2512, MCA, is amended to read:
"7-22-2512. Financing of vertebrate pest management program -- tax. (1) A governing body may:
(a) appropriate from the county general fund an amount not in excess of $10,000 annually and transfer it to the county vertebrate pest management fund; and
(b) subject to [section 1], levy a vertebrate pest management tax not to exceed 2 mills on the taxable valuation of all
agricultural, horticultural, grazing, and timber lands and their improvements. Land within a rodent control district may not
be taxed in any given year under both 7-22-2222 and this section for the control of rodents as defined in 7-22-2207. Land
within a rodent control district may be taxed under this section only a dollar amount that is proportional to the part of the
vertebrate pest program's projected fiscal year budget which that is allocated to the management and suppression of
vertebrate pests other than rodents.
(2) The tax provided for in subsection (1) must be collected as other county taxes and credited to the county vertebrate pest management fund."
Section 69. Section 7-32-4117, MCA, is amended to read:
"7-32-4117. Group insurance for policemen police officers -- funding. (1) Cities of all classes, if they provide
insurance for other city employees under Title 2, chapter 18, part 7, shall:
(a) provide the same insurance to their respective policemen police officers;
(b) notwithstanding Title 2, chapter 18, part 7, pay no less than the premium rate in effect as of July 1, 1980, for
insurance coverage for policemen police officers and their dependents;
(c) provide for collective bargaining or other agreement processes to negotiate additional premium payments beyond the amount guaranteed by subsection (1)(b).
(2) In compliance with 1-2-112 and subject to [section 1], the administration of this section is declared a public purpose of a city, which may be paid out of the general fund of the governing body and financed by a levy not to exceed 2 mills on the taxable value of property within the city or town."
Section 70. Section 7-33-2109, MCA, is amended to read:
"7-33-2109. Tax levy, debt incurrence, and bonds authorized. (1) At the time of the annual levy of taxes, the board of county commissioners may, subject to [section 1], levy a special tax upon all property within a rural fire district for the purpose of buying or maintaining fire protection facilities and apparatus, including emergency response apparatus, for the district or for the purpose of paying to a city, town, or private fire service the consideration provided for in any contract with the council of the city, town, or private fire service for the purpose of furnishing fire protection service to property within the district. The tax must be collected as are other taxes.
(2) The board of county commissioners or the trustees, if the district is governed by trustees, may pledge the income of the district, subject to the requirements and limitations of 7-33-2105(3), to secure financing necessary to procure equipment and buildings to house the equipment.
(3) In addition to the levy authorized in subsection (1), a district may borrow money by the issuance of bonds to provide funds for the payment of all or part of the cost of buying or maintaining fire protection facilities and apparatus, including emergency response apparatus, for the district.
(4) The amount of debt incurred pursuant to subsection (2) and the amount of bonds issued pursuant to subsection (3) and outstanding at any time may not exceed 18% of the taxable value of the property in the district as ascertained by the most recent assessment for state and county taxes prior to the incurrence of debt or the issuance of the bonds.
(5) The bonds must be authorized, sold, and issued and provisions must be made for their payment in the manner and subject to the conditions and limitations prescribed for the issuance of bonds by counties under Title 7, chapter 7, part 22."
Section 71. Section 7-33-2209, MCA, is amended to read:
"7-33-2209. Finance of fire control activities. (1) The county governing body is authorized to may appropriate funds
for the purchase, care, and maintenance of firefighting equipment or for the payment of wages in prevention, detection, and
suppression of fires.
(2) If Subject to [section 1], if the general fund is budgeted to the full limit, the county governing body may, at any time
fixed by law for levy and assessment of taxes, levy a tax of up to 2 mills or at a rate that will raise $15,000, whichever is
higher."
Section 72. Section 7-33-4111, MCA, is amended to read:
"7-33-4111. Tax levy for volunteer fire departments. For the purpose of supporting volunteer fire departments in any
city or town which that does not have a paid fire department and for the purpose of purchasing the necessary equipment for
them, the council in any city or town may, subject to [section 1], levy, in addition to other levies permitted by law, a special
tax not exceeding 4 mills upon all of the property of the city or town subject to taxation."
Section 73. Section 7-33-4130, MCA, is amended to read:
"7-33-4130. Group insurance for firefighters -- funding. (1) Cities of the first and second class, if they provide insurance for other city employees under Title 2, chapter 18, part 7, shall:
(a) provide the same insurance to their respective firefighters;
(b) pay no less than the premium rate in effect as of July 1, 1980, for insurance coverage for firefighters and their dependents notwithstanding the provisions of Title 2, chapter 18, part 7;
(c) provide for collective bargaining or other agreement processes to negotiate additional premium payments beyond the amount guaranteed by subsection (1)(b).
(2) Those Subject to [section 1], those incorporated cities and towns which that require additional funds to finance the
provisions of this section may levy on property, by the amount required to meet these provisions, a tax not to exceed 2 mills
on the dollar upon all property in the respective city or town. This levy shall must be collected in the same manner and at
the same time as other taxes are levied."
Section 74. Section 7-34-102, MCA, is amended to read:
"7-34-102. Special mill levy permitted. (1) In Subject to [section 1] and in addition to all other levies authorized by
law, each county, city, or town may levy an annual tax up to 1 mill on the dollar of the taxable value of all taxable property
within the county, city, or town to defray the costs incurred in providing ambulance service.
(2) In addition to the levy authorized by subsection (1), a county, city, or town may levy an additional 2 mills for the support of ambulance services if, at a regularly scheduled election, the electorate of the county, city, or town approves the imposition of the additional levy."
Section 75. Section 7-34-2122, MCA, is amended to read:
"7-34-2122. Powers of district. A hospital district shall have has all powers necessary and convenient to the
acquisition, betterment, operation, maintenance, and administration of such hospital facilities as that its board of trustees
shall deem considers necessary and expedient. Without limitation on the foregoing In addition to the general grant of
powers, a hospital district, acting by its board of trustees, may:
(1) employ nursing, administrative, and other personnel, legal counsel, engineers, architects, accountants, and other
qualified persons, who may be paid for their services by monthly salaries, hourly wages, and pension benefits or by such
fees as that may be agreed upon;
(2) cause reports, plans, studies, and recommendations to be prepared;
(3) lease, purchase, and contract for the purchase of real and personal property by option, contract for deed, or otherwise and acquire real or personal property by gift;
(4) lease or construct, equip, and furnish, and maintain necessary buildings and grounds and maintain the same;
(5) adopt, by resolution, rules for the operation and administration of any and all hospital facilities under its control and
for the admission of persons thereto to the facilities;
(6) impose by resolution and collect charges for all services and facilities provided and made available by it;
(7) subject to [section 1], levy taxes as hereinafter prescribed in this part;
(8) borrow money by the issuance of its bonds as hereinafter prescribed in this part;
(9) borrow money by the issuance of notes;
(10) procure insurance against liability of the district or its officers and employees, or both, for torts committed within the scope of their official duties, whether governmental or proprietary, and against damage to or destruction of any of its facilities, equipment, or other property;
(11) sell or lease any of its facilities or equipment as may be deemed considered expedient;
(12) cause audits to be made of its accounts, books, vouchers, and funds by competent public accountants; and
(13) provide educational benefits to qualified individuals, including the payment of tuition, room and board, educational materials, and stipends and the repayment of student loans in return for an agreement by those persons to provide services to the district."
Section 76. Section 7-34-2133, MCA, is amended to read:
"7-34-2133. Levy of district taxes -- limit on mill levy. (1) The Subject to [section 1], the board of county
commissioners must shall, annually at the time of levying county taxes, fix and levy a tax (in mills) upon all property within
said the hospital district clearly sufficient to raise the amount certified by the board of hospital trustees under 7-34-2132.
(2) The tax so levied for all hospital district purposes other than payment of bonded indebtedness shall may not in any
year exceed 3 mills on each dollar of taxable valuation of property within said the district."
Section 77. Section 7-34-2417, MCA, is amended to read:
"7-34-2417. Special tax levy authorized. In the event the bonds are not paid or are not expected to be paid from ordinary revenue of the facility, a county that has issued bonds under 7-34-2411 for a health care facility may, subject to [section 1], levy taxes on all taxable property within the county in the manner provided for public hospital districts under 7-34-2133, 7-34-2134, 7-34-2135(1), and 7-34-2136, up to a maximum of 3 mills not submitted to a vote of the people and 3 additional mills approved by a vote of the people."
Section 78. Section 7-35-2122, MCA, is amended to read:
"7-35-2122. County tax levy. The Subject to [section 1], the board of county commissioners must shall, annually at the
time of levying county taxes, fix and levy upon all property within the cemetery district an amount sufficient to raise the
amount certified by the board of cemetery trustees to be raised by a tax on the property of the district. The tax may not
exceed 4 mills on each dollar of taxable valuation on the property of the district."
Section 79. Section 13-13-230, MCA, is amended to read:
"13-13-230. Authorization to increase county mill levy. Each Subject to [section 1], a county may levy an amount
not exceeding 1 mill as may be necessary to finance the additional cost of administering a special absentee election board
program pursuant to 13-13-225 through 13-13-229. Such The mill levy may not be included as part of any existing mill
levy or special mill levy assessed by the county. The amount of any mill levy adopted under this section must be reasonably
related to the actual cost of providing services as required by 13-13-225 through 13-13-229."
Section 80. Section 15-1-402, MCA, is amended to read:
"15-1-402. Payment of taxes under protest. (1) The person upon whom a property tax or fee is being imposed under this title may, before the property tax or fee becomes delinquent, pay under written protest that portion of the property tax or fee protested. The protested payment must:
(a) be made to the officer designated and authorized to collect it;
(b) specify the grounds of protest; and
(c) not exceed the difference between the payment for the immediately preceding tax year and the amount owing in the tax year protested unless a different amount results from the specified grounds of protest, which may include but are not limited to changes in assessment due to reappraisal under 15-7-111.
(2) A person appealing a property tax or fee pursuant to chapter 2 or 15 shall pay the tax or fee under protest when due in order to receive a refund. If the tax or fee is not paid under protest when due, the appeal may continue but a tax or fee may not be refunded as a result of the appeal.
(3) If a protested property tax or fee is payable in installments, a subsequent installment portion considered unlawful by the state tax appeal board need not be paid and an action or suit need not be commenced to recover the subsequent installment. The determination of the action or suit commenced to recover the first installment portion paid under protest determines the right of the party paying the subsequent installment to have it or any part of it refunded to the party or the right of the taxing authority to collect a subsequent installment not paid by the taxpayer plus interest from the date the subsequent installment was due.
(4) All property taxes and fees paid under protest to a county or municipality must be deposited by the treasurer of the county or municipality to the credit of a special fund to be designated as a protest fund and must be retained in the protest fund until the final determination of any action or suit to recover the taxes and fees unless they are released at the request of the county, municipality, or other local taxing jurisdiction pursuant to subsection (5). This section does not prohibit the investment of the money of this fund in the state unified investment program or in any manner provided in Title 7, chapter 6. The provision creating the special protest fund does not apply to any payments made under protest directly to the state.
(5) The governing board of a taxing jurisdiction affected by the payment of taxes under protest in the second and subsequent years that a tax protest remains unresolved may demand that the treasurer of the county or municipality pay the requesting taxing jurisdiction all or a portion of the protest payments to which it is entitled, except the amount paid by the taxpayer in the first year of the protest. The decision in a previous year of a taxing jurisdiction to leave protested taxes in the protest fund does not preclude it from demanding in a subsequent year any or all of the payments to which it is entitled, except the first-year protest amount.
(6) (a) If action before the county tax appeal board, state tax appeal board, or district court is not commenced within the time specified or if the action is commenced and finally determined in favor of the department of revenue, county, municipality, or treasurer of the county or the municipality, the amount of the protested portions of the property tax or fee must be taken from the protest fund and deposited to the credit of the fund or funds to which the property tax belongs, less a pro rata deduction for the costs of administration of the protest fund and related expenses charged the local government units.
(b) If the action is finally determined adversely to the department of revenue, a county, a municipality, or the treasurer of a county or a municipality, then the treasurer shall, upon receiving a certified copy of the final judgment in the action from the state tax appeal board or from the district or supreme court, as appropriate, if the final action of the state tax appeal board is appealed in the time prescribed, refund to the person in whose favor the judgment is rendered the amount of the protested portions of the property tax or fee deposited in the protest fund, and not released pursuant to subsection (5), as the person holding the judgment is entitled to recover, together with interest from the date of payment under protest, at the greater of:
(i) the rate of interest generated from the pooled investment fund provided for in 17-6-203 for the applicable period; or
(ii) 6% a year.
(c) If the amount retained in the protest fund is insufficient to pay all sums due the taxpayer, the treasurer shall apply the available amount first to tax repayment, then interest owed, and lastly to costs.
(d) If the protest action is decided adversely to a taxing jurisdiction and the amount retained in the protest fund is insufficient to refund the tax payments and costs to which the taxpayer is entitled and for which local government units are responsible, the treasurer shall bill and the taxing jurisdiction shall refund to the treasurer that portion of the taxpayer refund, including tax payments and costs, for which the taxing jurisdiction is proratably responsible.
(e) In satisfying the requirements of subsection (6)(d), the taxing jurisdiction is allowed not more than 1 year from the beginning of the fiscal year following a final resolution of the protest. The taxpayer is entitled to interest on the unpaid balance at the greater of the rates referred to in subsections (6)(b)(i) and (6)(b)(ii) from the date of payment under protest until the date of final resolution of the protest and at the combined rate of the federal reserve discount rate quoted from the federal reserve bank in New York, New York, on the date of final resolution, plus four percentage points, from the date of final resolution of the protest until refund is made.
(7) A taxing jurisdiction may satisfy the requirements of this section by use of funds from one or more of the following sources:
(a) subject to [section 1], imposition of a property tax to be collected by a special tax protest refund levy;
(b) the general fund, except that amount generated by the all-purpose mill levy, or any other funds legally available to the governing body; and
(c) proceeds from the sale of bonds issued by a county, city, or school district for the purpose of deriving revenue for
the repayment of tax protests lost by the taxing jurisdiction. The governing body of a county, city, or school district is
authorized to issue the bonds pursuant to procedures established by law. The bonds may be issued without being submitted
to an election. Property Subject to [section 1], property taxes may be levied to amortize the bonds."
Section 81. Section 15-2-301, MCA, is amended to read:
"15-2-301. Appeal of county tax appeal board decisions. (1) The county tax appeal board shall mail a copy of its decision to the taxpayer and to the property assessment division of the department of revenue. If the appearance provisions of 15-15-103 have been complied with, a person or the department on behalf of the state or any municipal corporation aggrieved by the action of the county tax appeal board may appeal to the state board by filing with the state tax appeal board a notice of appeal within 30 calendar days after the receipt of the decision of the county board. The notice must specify the action complained of and the reasons assigned for the complaint. Notice of acceptance of an appeal must be given to the county tax appeal board by the state tax appeal board. The state board shall set the appeal for hearing either in its office in the capital or the county seat as the board considers advisable to facilitate the performance of its duties or to accommodate parties in interest. The board shall give to the appellant and to the respondent at least 15 calendar days' notice of the time and place of the hearing.
(2) At the time of giving notice of acceptance of an appeal, the state board may require the county board to certify to it the minutes of the proceedings resulting in the action and all testimony taken in connection with its proceedings. The state board may, in its discretion, determine the appeal on the record if all parties receive a copy of the transcript and are permitted to submit additional sworn statements, or the state board may hear further testimony. For the purpose of expediting its work, the state board may refer any appeal to one of its members or to a designated hearings officer. The board member or hearings officer may exercise all the powers of the board in conducting a hearing and shall, as soon as possible after the hearing, report the proceedings, together with a transcript or a tape recording of the hearing, to the board. The state board shall determine the appeal on the record.
(3) On all hearings at county seats throughout the state, the state board or the member or hearings officer designated to conduct a hearing may employ a competent person to electronically record the testimony received. The cost of electronically recording testimony may be paid out of the general appropriation for the board.
(4) In connection with any appeal under this section, the state board is not bound by common law and statutory rules of evidence or rules of discovery and may affirm, reverse, or modify any decision. To the extent that this section is in conflict with the Montana Administrative Procedure Act, this section supersedes that act. The state tax appeal board may not amend or repeal any administrative rule of the department. The state tax appeal board shall give an administrative rule full effect unless the board finds a rule arbitrary, capricious, or otherwise unlawful.
(5) The decision of the state tax appeal board is final and binding upon all interested parties unless reversed or modified by judicial review. Proceedings for judicial review of a decision of the state tax appeal board under this section are subject to the provisions of 15-2-303 and the Montana Administrative Procedure Act to the extent that it does not conflict with 15-2-303.
(6) Sections 15-6-134 and 15-7-111 may not be construed to prevent the department from implementing an order to change the valuation of property."
Section 82. Section 15-6-134, MCA, is amended to read:
"15-6-134. Class four property -- description -- taxable percentage. (1) Class four property includes:
(a) subject to 15-6-201(1)(z) and (1)(aa) and subsections (1)(f) and (1)(g) of this section, all land, except that specifically included in another class;
(b) subject to 15-6-201(1)(z) and (1)(aa) and subsections (1)(f) and (1)(g) of this section, all improvements, including trailers, manufactured homes, or mobile homes used as a residence, except those specifically included in another class;
(c) the first $100,000 or less of the taxable market value of any improvement on real property, including trailers, manufactured homes, or mobile homes, and appurtenant land not exceeding 5 acres owned or under contract for deed and actually occupied for at least 7 months a year as the primary residential dwelling of any person whose total income from all sources, including net business income and otherwise tax-exempt income of all types but not including social security income paid directly to a nursing home, is not more than $15,000 for a single person or $20,000 for a married couple or a head of household, as adjusted according to subsection (2)(b)(ii). For the purposes of this subsection (1)(c), net business income is gross income less ordinary operating expenses but before deducting depreciation or depletion allowance, or both.
(d) all golf courses, including land and improvements actually and necessarily used for that purpose, that consist of at
least nine holes and not less than 3,000 lineal yards; and
(e) subject to 15-6-201(1)(z), all improvements on land that is eligible for valuation, assessment, and taxation as agricultural land under 15-7-202, including 1 acre of real property beneath improvements on land described in 15-6-133(1)(c). The 1 acre must be valued at market value.
(f) (i) single-family residences, including trailers, manufactured homes, or mobile homes;
(ii) rental multifamily dwelling units;
(iii) appurtenant improvements to the residences or dwelling units, including the parcels of land upon which the residences and dwelling units are located and any leasehold improvements; and
(iv) vacant residential lots; and
(g) (i) commercial buildings and the parcels of land upon which they are situated; and
(ii) vacant commercial lots.
(2) Class four property is taxed as follows:
(a) (i) Except as provided in 15-24-1402 or 15-24-1501 and subsection (2)(a)(ii) of this section, property described in
subsections (1)(a), (1)(b), and (1)(e), (1)(f), and (1)(g) of this section is taxed at 3.86% 3.794% of its taxable market value
in tax year 1999.
(ii) The taxable percentage rate in subsection (2)(a)(i) must be adjusted downward by subtracting 0.022 0.0835
percentage points each year until the tax rate is equal to or less than 2.78% 3.46%.
(b) (i) Property qualifying under the property tax assistance program in subsection (1)(c) is taxed at the rate provided in subsection (2)(a)(ii) of its market value multiplied by a percentage figure based on income and determined from the following table:
Income Income Percentage
Single Person Married Couple Multiplier
Head of Household
$0 - $ 6,000 $0 -$ 8,000 20%
6,001 - 9,200 8,001 - 14,000 50%
9,201 - 15,000 14,001 - 20,000 70%
(ii) The income levels contained in the table in subsection (2)(b)(i) must be adjusted for inflation annually by the department of revenue. The adjustment to the income levels is determined by:
(A) multiplying the appropriate dollar amount from the table in subsection (2)(b)(i) by the ratio of the PCE for the second quarter of the year prior to the year of application to the PCE for the second quarter of 1995; and
(B) rounding the product thus obtained to the nearest whole dollar amount.
(iii) "PCE" means the implicit price deflator for personal consumption expenditures as published quarterly in the Survey of Current Business by the bureau of economic analysis of the U.S. department of commerce.
(c) Property described in subsection (1)(d) is taxed at one-half the taxable percentage rate established in subsection (2)(a)(i).
(3) Within the meaning of comparable property, as defined in 15-1-101, property assessed as commercial property is comparable only to other property assessed as commercial property and property assessed as other than commercial property is comparable only to other property assessed as other than commercial property."
Section 83. Section 15-6-143, MCA, is amended to read:
"15-6-143. Class ten property -- description -- taxable percentage. (1) Class ten property includes all forest lands as defined in 15-44-102.
(2) Class ten property is taxed at 0.79% of its forest productivity value in tax year 1999, and the rate is reduced by 0.11% each year until the property is taxed at 0.35% of its forest productivity value."
Section 84. Section 15-6-201, MCA, is amended to read:
"15-6-201. Exempt categories. (1) The following categories of property are exempt from taxation:
(a) except as provided in 15-24-1203, the property of:
(i) the United States, except:
(A) if congress passes legislation that allows the state to tax property owned by the federal government or an agency created by congress; or
(B) as provided in 15-24-1103;
(ii) the state, counties, cities, towns, and school districts;
(iii) irrigation districts organized under the laws of Montana and not operating for profit;
(iv) municipal corporations;
(v) public libraries; and
(vi) rural fire districts and other entities providing fire protection under Title 7, chapter 33;
(b) buildings, with land that they occupy and furnishings in the buildings, that are owned by a church and used for actual religious worship or for residences of the clergy, together with adjacent land reasonably necessary for convenient use of the buildings;
(c) property used exclusively for agricultural and horticultural societies, for educational purposes, and for nonprofit health care facilities, as defined in 50-5-101, licensed by the department of public health and human services and organized under Title 35, chapter 2 or 3. A health care facility that is not licensed by the department of public health and human services and organized under Title 35, chapter 2 or 3, is not exempt.
(d) property that is:
(i) owned and held by an association or corporation organized under Title 35, chapter 2, 3, 20, or 21;
(ii) devoted exclusively to use in connection with a cemetery or cemeteries for which a permanent care and improvement fund has been established as provided for in Title 35, chapter 20, part 3; and
(iii) not maintained and operated for private or corporate profit;
(e) property that is owned or property that is leased from a federal, state, or local governmental entity by institutions of purely public charity if the property is directly used for purely public charitable purposes;
(f) evidence of debt secured by mortgages of record upon real or personal property in the state of Montana;
(g) public museums, art galleries, zoos, and observatories that are not used or held for private or corporate profit;
(h) all household goods and furniture, including but not limited to clocks, musical instruments, sewing machines, and wearing apparel of members of the family, used by the owner for personal and domestic purposes or for furnishing or equipping the family residence;
(i) truck canopy covers or toppers and campers;
(j) a bicycle, as defined in 61-1-123, used by the owner for personal transportation purposes;
(k) motor homes;
(l) all watercraft;
(m) motor vehicles, land, fixtures, buildings, and improvements owned by a cooperative association or nonprofit corporation organized to furnish potable water to its members or customers for uses other than the irrigation of agricultural land;
(n) the right of entry that is a property right reserved in land or received by mesne conveyance (exclusive of leasehold interests), devise, or succession to enter land with a surface title that is held by another to explore, prospect, or dig for oil, gas, coal, or minerals;
(o) (i) property that is owned and used by a corporation or association organized and operated exclusively for the care of persons with developmental disabilities, persons with mental illness, or persons with physical or mental impairments that constitute or result in substantial impediments to employment and that is not operated for gain or profit; and
(ii) property that is owned and used by an organization owning and operating facilities that are for the care of the retired, aged, or chronically ill and that are not operated for gain or profit;
(p) all farm buildings with a market value of less than $500 and all agricultural implements and machinery with a market value of less than $100;
(q) property owned by a nonprofit corporation that is organized to provide facilities primarily for training and practice for or competition in international sports and athletic events and that is not held or used for private or corporate gain or profit. For purposes of this subsection (1)(q), "nonprofit corporation" means an organization that is exempt from taxation under section 501(c) of the Internal Revenue Code and incorporated and admitted under the Montana Nonprofit Corporation Act.
(r) the first $15,000 or less of market value of tools owned by the taxpayer that are customarily hand-held and that are used to:
(i) construct, repair, and maintain improvements to real property; or
(ii) repair and maintain machinery, equipment, appliances, or other personal property;
(s) harness, saddlery, and other tack equipment;
(t) a title plant owned by a title insurer or a title insurance producer, as those terms are defined in 33-25-105;
(u) timber as defined in 15-44-102;
(v) all trailers as defined in 61-1-111, semitrailers as defined in 61-1-112, pole trailers as defined in 61-1-114, and travel trailers as defined in 61-1-131;
(w) all vehicles registered under 61-3-456;
(x) (i) buses, trucks having a manufacturer's rated capacity of more than 1 ton, and truck tractors, including buses, trucks, and truck tractors apportioned under Title 61, chapter 3, part 7; and
(ii) personal property that is attached to a bus, truck, or truck tractor that is exempt under subsection (1)(x)(i); and
(y) motorcycles and quadricycles;
(z) the following percentage of the market value of residential property as described in 15-6-134(1)(e) and (1)(f):
(i) 16% for tax year 1999;
(ii) 23% for tax year 2000;
(iii) 27.5% for tax year 2001; and
(iv) 31% for tax year 2002 and succeeding tax years;
(aa) the following percentage of the market value of commercial property as described in 15-6-134(1)(g);
(i) 6.5% for tax year 1999;
(ii) 9% for tax year 2000;
(iii) 11% for tax year 2001; and
(iv) 13% for tax year 2002 and succeeding tax years; and
(bb) the percentage of valuation of land calculated pursuant to 15-7-111(4).
(2) (a) For the purposes of subsection (1)(e), the term "institutions of purely public charity" includes any organization that meets the following requirements:
(i) The organization qualifies as a tax-exempt organization under the provisions of section 501(c)(3), Internal Revenue Code, as amended.
(ii) The organization accomplishes its activities through absolute gratuity or grants. However, the organization may solicit or raise funds by the sale of merchandise, memberships, or tickets to public performances or entertainment or by other similar types of fundraising activities.
(b) For the purposes of subsection (1)(g), the term "public museums, art galleries, zoos, and observatories" means governmental entities or nonprofit organizations whose principal purpose is to hold property for public display or for use as a museum, art gallery, zoo, or observatory. The exempt property includes all real and personal property reasonably necessary for use in connection with the public display or observatory use. Unless the property is leased for a profit to a governmental entity or nonprofit organization by an individual or for-profit organization, real and personal property owned by other persons is exempt if it is:
(i) actually used by the governmental entity or nonprofit organization as a part of its public display;
(ii) held for future display; or
(iii) used to house or store a public display.
(3) The following portions of the appraised value of a capital investment in a recognized nonfossil form of energy generation or low emission wood or biomass combustion devices, as defined in 15-32-102, are exempt from taxation for a period of 10 years following installation of the property:
(a) $20,000 in the case of a single-family residential dwelling;
(b) $100,000 in the case of a multifamily residential dwelling or a nonresidential structure."
Section 85. Section 15-7-102, MCA, is amended to read:
"15-7-102. Notice of classification and appraisal to owners -- appeals. (1) (a) The department shall mail to each owner or purchaser under contract for deed a notice of the classification of the land owned or being purchased and the appraisal of the improvements on the land only if one or more of the following changes pertaining to the land or improvements have been made since the last notice:
(i) change in ownership;
(ii) change in classification;
(iii) except as provided in subsection (1)(b), change in valuation; or
(iv) addition or subtraction of personal property affixed to the land.
(b) After the first year, the department is not required to mail the notice provided for in subsection (1)(a)(iii) if the change in valuation is the result of an annual incremental change in valuation caused by the phasing in of a reappraisal under 15-7-111 or the application of the exemption under 15-6-201 or caused by an incremental change in the tax rate.
(c) The notice must include the following for the taxpayer's informational purposes:
(i) the total amount of mills levied against the property in the prior year; and
(ii) a statement that the notice is not a tax bill.
(d) Any misinformation provided in the information required by subsection (1)(c) does not affect the validity of the notice and may not be used as a basis for a challenge of the legality of the notice.
(2) (a) Except as provided in subsection (2)(c), the department shall assign each assessment to the correct owner or purchaser under contract for deed and mail the notice of classification and appraisal on a standardized form, adopted by the department, containing sufficient information in a comprehensible manner designed to fully inform the taxpayer as to the classification and appraisal of the property and of changes over the prior tax year.
(b) The notice must advise the taxpayer that in order to be eligible for a refund of taxes from an appeal of the classification or appraisal, the taxpayer is required to pay the taxes under protest as provided in 15-1-402.
(c) The department is not required to mail the notice of classification and appraisal to a new owner or purchaser under contract for deed unless the department has received the transfer certificate from the clerk and recorder as provided in 15-7-304 and has processed the certificate before the notices required by subsection (2)(a) are mailed. The date of mailing is the date reported to the county tax appeal board pursuant to 15-15-101.
(3) If the owner of any land and improvements is dissatisfied with the appraisal as it reflects the market value of the property as determined by the department or with the classification of the land or improvements, the owner may request an assessment review by submitting an objection in writing to the department, on forms provided by the department for that purpose, within 30 days after receiving the notice of classification and appraisal from the department. The review must be conducted informally and is not subject to the contested case procedures of the Montana Administrative Procedure Act. As a part of the review, the department may consider the actual selling price of the property, independent appraisals of the property, and other relevant information presented by the taxpayer in support of the taxpayer's opinion as to the market value of the property. The department shall give reasonable notice to the taxpayer of the time and place of the review. After the review, the department shall determine the correct appraisal and classification of the land or improvements and notify the taxpayer of its determination. In the notification, the department shall state its reasons for revising the classification or appraisal. When the proper appraisal and classification have been determined, the land must be classified and the improvements appraised in the manner ordered by the department.
(4) Whether a review as provided in subsection (3) is held or not, the department may not adjust an appraisal or classification upon the taxpayer's objection unless:
(a) the taxpayer has submitted an objection in writing; and
(b) the department has stated its reason in writing for making the adjustment.
(5) A taxpayer's written objection to a classification or appraisal and the department's notification to the taxpayer of its determination and the reason for that determination are public records. The department shall make the records available for inspection during regular office hours.
(6) If any property owner feels aggrieved by the classification or appraisal made by the department after the review provided for in subsection (3), the property owner has the right to first appeal to the county tax appeal board and then to the state tax appeal board, whose findings are final subject to the right of review in the courts. The appeal to the county tax appeal board must be filed within 30 days after notice of the department's determination is mailed to the taxpayer. A county tax appeal board or the state tax appeal board may consider the actual selling price of the property, independent appraisals of the property, and other relevant information presented by the taxpayer as evidence of the market value of the property. If the county tax appeal board or the state tax appeal board determines that an adjustment should be made, the department shall adjust the base value of the property in accordance with the board's order."
Section 86. Section 15-7-103, MCA, is amended to read:
"15-7-103. Classification and appraisal -- general and uniform methods. (1) It is the duty of the department of revenue to implement the provisions of 15-7-101 through 15-7-103 by providing:
(a) for a general and uniform method of classifying lands in the state for the purpose of securing an equitable and
uniform basis of assessment of said lands for taxation purposes;
(b) for a general and uniform method of appraising city and town lots;
(c) for a general and uniform method of appraising rural and urban improvements;
(d) for a general and uniform method of appraising timberlands.
(2) All lands shall must be classified according to their use or uses and graded within each class according to soil and
productive capacity. In such the classification work, use shall must be made of soil surveys and maps and all other pertinent
available information.
(3) All lands must be classified by parcels or subdivisions not exceeding 1 section each, by the sections, fractional sections, or lots of all tracts of land that have been sectionized by the United States government, or by metes and bounds, whichever yields a true description of the land.
(4) All agricultural lands must be classified and appraised as agricultural lands without regard to the best and highest value use of adjacent or neighboring lands.
(5) In any periodic revaluation of taxable property completed under the provisions of 15-7-111 after January 1, 1986, all
property classified in 15-6-134 must be appraised on the taxable portion of its market value in the same year. The
department shall publish a rule specifying the year used in the appraisal.
(6) All sewage disposal systems and domestic use water supply systems of all dwellings may not be appraised, assessed, and taxed separately from the land, house, or other improvements in which they are located. In no event may the sewage disposal or domestic water supply systems be included twice by including them in the valuation and assessing them separately."
Section 87. Section 15-7-111, MCA, is amended to read:
"15-7-111. Periodic revaluation of certain taxable property. (1) The department of revenue shall administer and
supervise a program for the revaluation of all taxable property within classes three, four, and ten. All other property must be
revalued annually. The revaluation of class three, four, and ten property is complete on December 31, 1996. The amount of
the change in valuation from the 1996 base year for each property in classes three, four, and ten must be phased in each year
at the rate of 2% 25% of the total change in valuation from December 31, 1998, to the appropriate percentage of taxable
market value for each class.
(2) The department shall value and phase in the value of newly constructed, remodeled, or reclassified property in a manner consistent with the valuation within the same class and the values established pursuant to subsection (1). The department shall adopt rules for determining the assessed valuation and phased-in value of new, remodeled, or reclassified property within the same class.
(3) Beginning January 1, 2007 2001, the department of revenue shall administer and supervise a program for the
revaluation of all taxable property within classes three, four, and ten. A comprehensive written reappraisal plan must be
promulgated by the department. The reappraisal plan adopted must provide that all class three, four, and ten property in
each county is revalued by January 1, 2010 2003, and each succeeding 3 6 years. The resulting valuation changes must be
phased in for each year until the next reappraisal. If a percentage of change for each year is not established, then the
percentage of phasein for each year is 16.66%. The department shall furnish a copy of the plan and all amendments to the
plan to the board of county commissioners of each county.
(4) (a) If the value of an individual property is equal to or less than 75% of the appraised value of the improvements situated on the land, then the assessed value of the land is the land's appraised value as phased in under subsection (1) and the other provisions of subsection (1) do not apply.
(b) Subject to subsection (4)(c), if the value of an individual property is greater than 75% of the appraised value of the improvements situated on the land, then the value of the land must be determined as follows:
(i) the department shall calculate the average value of improvements in the state;
(ii) if the value of the improvements on an individual property is greater than the state average value of improvements, then the land is valued at 75% of the appraised value of the improvements situated on the land and the remainder of the land value is exempt from taxation; and
(iii) if the value of the improvements on an individual property is less than or equal to the state average value of improvements, then the land is valued at 75% of the appraised value of the improvements situated on the land and the remainder of the land value is exempt from taxation.
(c) The value of land upon which improvements are situated may not exceed the phased-in value of the land.
(5) For purposes of subsection (4), the following definitions apply:
(a) "average value of improvements" means the statewide arithmetic mean of the appraised value of all improvements that have a market value in excess of $7,500;
(b) "improvements" means residential dwellings and includes housetrailers, mobile homes, and manufactured homes;
(c) "land" includes contiguous parcels or lots under single ownership up to 5 acres."
Section 88. Section 15-7-403, MCA, is amended to read:
"15-7-403. Rollback tax -- computation. (1) (a) If Subject to [section 1], if land and improvements appraised as
residential as a result of an application filed under 15-7-402 are changed to industrial or commercial use, the property is
subject to a rollback tax in addition to the property tax levied on the property. The rollback tax is a lien on the property and
is due and payable by the owner of the property at the time of the change in use.
(b) As used in this section, "rollback" means the period preceding the change in use, not to exceed 5 years, during which the property was appraised as residential.
(2) The department shall determine the amount of rollback tax due on the property by:
(a) determining the taxable value of the property as industrial or commercial property;
(b) multiplying this value by the sum of the annual mill levies applied in the taxing jurisdiction in which the land is located during the rollback period; and
(c) subtracting from this figure the actual property tax paid on the property during this period."
Section 89. Section 15-8-111, MCA, is amended to read:
"15-8-111. Assessment -- market value standard -- exceptions. (1) All taxable property must be assessed at 100% of its market value except as otherwise provided.
(2) (a) Market value is the value at which property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or to sell and both having reasonable knowledge of relevant facts.
(b) If the department uses construction cost as one approximation of market value, the department shall fully consider reduction in value caused by depreciation, whether through physical depreciation, functional obsolescence, or economic obsolescence.
(c) Except as provided in subsection (3), the market value of special mobile equipment and agricultural tools, implements, and machinery is the average wholesale value shown in national appraisal guides and manuals or the value before reconditioning and profit margin. The department shall prepare valuation schedules showing the average wholesale value when a national appraisal guide does not exist.
(3) The department may not adopt a lower or different standard of value from market value in making the official assessment and appraisal of the value of property, except:
(a) the wholesale value for agricultural implements and machinery is the average wholesale value category as shown in Guides 2000, Northwest Region Official Guide, published by the North American equipment dealers association, St. Louis, Missouri. If the guide or the average wholesale value category is unavailable, the department shall use a comparable publication or wholesale value category.
(b) for agricultural implements and machinery not listed in an official guide, the department shall prepare a supplemental manual in which the values reflect the same depreciation as those found in the official guide; and
(c) as otherwise authorized in Titles 15 and 61.
(4) For purposes of taxation, assessed value is the same as appraised value.
(5) The taxable value for all property is the percentage of market or assessed value established for each class of property.
(6) The assessed value of properties in 15-6-131 through 15-6-133 15-6-134 and 15-6-143 is as follows:
(a) Properties in 15-6-131, under class one, are assessed at 100% of the annual net proceeds after deducting the expenses specified and allowed by 15-23-503 or, if applicable, as provided in 15-23-515, 15-23-516, 15-23-517, or 15-23-518.
(b) Properties in 15-6-132, under class two, are assessed at 100% of the annual gross proceeds.
(c) Properties in 15-6-133, under class three, are assessed at 100% of the productive capacity of the lands when valued for agricultural purposes. All lands that meet the qualifications of 15-7-202 are valued as agricultural lands for tax purposes.
(d) Properties in 15-6-134, under class four, are assessed at the applicable percentage of market value minus any portion of market value that is exempt from taxation under 15-6-201(1)(z), (1)(aa), and (1)(bb).
(d)(e) Properties in 15-6-143, under class ten, are assessed at 100% of the forest productivity value of the land when
valued as forest land.
(7) Land and the improvements on the land are separately assessed when any of the following conditions occur:
(a) ownership of the improvements is different from ownership of the land;
(b) the taxpayer makes a written request; or
(c) the land is outside an incorporated city or town."
Section 90. Section 15-10-204, MCA, is amended to read:
"15-10-204. Resolution or ordinance for increase over certified millage. No millage Millage in excess of the
department of revenue's certified millage may not be levied until a resolution or ordinance is approved by the governing
board of the taxing authority, which. The resolution or ordinance must be approved by the taxing authority according to the
following procedure:
(1) The taxing authority shall publish notice of its intent to exceed the department's certified millage in the same manner that it gives notice of hearings on its preliminary or proposed budget for the forthcoming fiscal year. The notice must state that the taxing authority will meet on a day, at a time and place fixed in the notice, which must be approximately 7 days after the day that the notice is published, for the purpose of hearing comments regarding the proposed increase and to explain the reasons for the proposed increase. The meeting may coincide with the meeting on the tentative budget as required by law.
(2) After the public hearing has been held in accordance with the above procedures provided in subsection (1), the
taxing authority may, subject to [section 1], adopt a resolution or ordinance levying a millage rate in excess of the certified
millage. If the resolution or ordinance adopting such the millage rate is not approved on the day of the public hearing, the
day, time, and place at which the resolution or ordinance will be scheduled for consideration and approval by the taxing
authority must be announced at the public hearing. If the resolution or ordinance is to be considered at a day and time that is
more than 2 weeks from the public hearing, the taxing authority must shall again publish notice in the same manner as
provided in subsection (1)."
Section 91. Section 15-10-205, MCA, is amended to read:
"15-10-205. Approval and copies of resolution or ordinance. The resolution or ordinance approved in the manner provided for in this part must be forwarded to the county treasurer and the department. Millage in excess of the department's certified millage may not be levied until the resolution or ordinance to levy required in 15-10-204 is approved by the governing board of the taxing authority and as provided in [section 1] and is submitted to the department."
Section 92. Section 15-10-401, MCA, is amended to read:
"15-10-401. Declaration of policy. (1) The state of Montana's reliance on the taxation of property to support education and local government has placed an unreasonable burden on the owners of all classes of property described in Title 15, chapter 6, part 1.
(2) Except as provided in 15-10-412 [section 1], the people of the state of Montana declare that it is the policy of the
state of Montana that no further property tax increases be imposed on property. In order to reduce volatility in property
taxation and in order to reduce taxpayer uncertainty, it is the policy of the legislature to develop alternatives to market value
for purposes of taxation."
Section 93. Section 15-10-402, MCA, is amended to read:
"15-10-402. Property tax limited to 1996 levels. Except as provided in 15-10-412 [section 1], the amount of taxes
levied on property described in Title 15, chapter 6, part 1, may not, for any taxing jurisdiction, exceed the amount levied for
tax year 1996."
Section 94. Section 15-16-117, MCA, is amended to read:
"15-16-117. Personal property -- treasurer's duty to collect certain taxes. (1) The county treasurer shall demand
payment of poor fund taxes, authorized by 53-2-322, and road taxes, authorized by 7-14-2206 or 7-14-2501 through
7-14-2504, of every from each person liable for the taxes whose name does not appear on the property tax record. On the
neglect or refusal of a person to pay the taxes, the treasurer shall collect the taxes by seizure and sale of any property owned
by the person.
(2) These Subject to [section 1], these taxes must be added in the property tax record to other property taxes of persons
paying taxes upon real and personal property and must be paid to the county treasurer at the time of payment of other taxes.
(3) The procedure for the sale of property by the county treasurer for the taxes is regulated by 15-16-119 and 15-17-911.
(4) The provisions of this section do not apply to property for which delinquent property taxes have been suspended or canceled under the provisions of Title 15, chapter 24, part 17."
Section 95. Section 15-16-203, MCA, is amended to read:
"15-16-203. Assessment of property previously exempt. (1) Real Subject to [section 1], real property or
improvements exempt from taxation under Title 15, chapter 6, that during a tax year become the property of a person
subject to taxation must be assessed and taxed from the date of change from a nontaxable status to a taxable status.
(2) As provided in subsection (3), the county treasurer shall adjust the tax that would have been due and payable for the current year on the property under 15-16-102 if the property was not exempt.
(3) To determine the amount of tax due for previously exempt property, the county treasurer shall multiply the amount of tax levied and assessed on the original taxable value of the property for the year by the ratio that the number of days in the year that the property will be in taxable status bears to 365.
(4) If the property has not been assessed and taxed during the taxable year because of exemption, the department shall prepare a special assessment for the property and the county treasurer shall determine the amount of taxes that would have been due under subsection (2).
(5) Upon determining the amount of tax due, the county treasurer shall notify the person to whom the tax is assessed, in the same manner as notification is provided under 15-16-101(2), of the amount due and the date or dates on which the taxes due are payable as provided in 15-16-102."
Section 96. Section 15-23-214, MCA, is amended to read:
"15-23-214. Determination of tax -- payment. (1) On Subject to [section 1] and on or before the third Monday in
October, the department of revenue shall compute the tax on railroad car company property by multiplying the taxable
value of the property by the average levy.
(2) After determining the tax, the department shall send to the last-known address of each railroad car company subject to taxation a written notice, postage prepaid, showing the amount of taxes due for the current year and any delinquent amount for prior years. The notice must include the taxable value of the property and the average levy used to compute the tax.
(3) The tax is due and payable to the department under the provisions of 15-16-102. A tax not received by the department within the time requirements of 15-16-102 is delinquent and subject to penalty and interest under that section."
Section 97. Section 15-24-1402, MCA, is amended to read:
"15-24-1402. New or expanding industry -- assessment -- notification. (1) In the first 5 years after a construction
permit is issued, qualifying improvements or modernized processes that represent new industry or expansion of an existing
industry, as designated in the approving resolution, must be taxed at 50% of their taxable value. Each Subject to [section 1],
each year thereafter, the percentage must be increased by equal percentages until the full taxable value is attained in the
10th year. In subsequent years, the property must be taxed at 100% of its taxable value.
(2) (a) In order for a taxpayer to receive the tax benefits described in subsection (1), the governing body of the affected county or the incorporated city or town must have approved by separate resolution for each project, following due notice as defined in 76-15-103 and a public hearing, the use of the schedule provided for in subsection (1) for its respective jurisdiction. The governing body may not grant approval for the project until all of the applicant's taxes have been paid in full. Taxes paid under protest do not preclude approval.
(b) The Subject to [section 1], the governing body may end the tax benefits by majority vote at any time, but the tax
benefits may not be denied an industrial facility that previously qualified for the benefits.
(c) The resolution provided for in subsection (2)(a) must include a definition of the improvements or modernized processes that qualify for the tax treatment that is to be allowed in the taxing jurisdiction. The resolution may provide that real property other than land, personal property, improvements, or any combination thereof is eligible for the tax benefits described in subsection (1).
(3) The taxpayer shall apply to the department for the tax treatment allowed under subsection (1). The application by the taxpayer must first be approved by the governing body of the appropriate local taxing jurisdiction, and the governing body shall indicate in its approval that the property of the applicant qualifies for the tax treatment provided for in this section. Upon receipt of the form with the approval of the governing body of the affected taxing jurisdiction, the department shall make the assessment change pursuant to this section.
(4) The tax benefit described in subsection (1) applies only to the number of mills levied and assessed for local high school district and elementary school district purposes and to the number of mills levied and assessed by the governing body approving the benefit over which the governing body has sole discretion. The benefit described in subsection (1) may not apply to levies or assessments required under Title 15, chapter 10, 20-9-331, 20-9-333, or 20-9-360 or otherwise required under state law.
(5) Prior to approving the resolution under this section, the governing body shall notify by certified mail all taxing jurisdictions affected by the tax benefit."
Section 98. Section 15-24-1501, MCA, is amended to read:
"15-24-1501. Remodeling, reconstruction, or expansion of buildings or structures -- assessment provisions -- levy limitations. (1) Subject to [section 1] and the authority contained in subsection (4) of this section, remodeling, reconstruction, or expansion of existing buildings or structures, which increases their taxable value by at least 2 1/2% as determined by the department, may receive tax benefits during the construction period and for the following 5 years in accordance with subsections (2) through (4) and the following schedule. The percentages must be applied as provided in subsections (3) and (4) and are limited to the increase in taxable value caused by remodeling, reconstruction, or expansion:
Construction period 0%
First year following construction 20%
Second year following construction 40%
Third year following construction 60%
Fourth year following construction 80%
Fifth year following construction 100%
Following years 100%
(2) In order to confer the tax benefits described in subsection (1), the governing body of the affected county or, if the
construction will occur within an incorporated city or town, the governing body of the incorporated city or town must shall
approve by resolution for each remodeling, reconstruction, or expansion project the use of the schedule provided for in
subsection (1) or a schedule adopted pursuant to subsection (4).
(3) The tax benefit described in subsection (1) applies only to the number of mills levied and assessed for high school district and elementary school district purposes and to the number of mills levied and assessed by the local governing body approving the benefit. The benefit described in subsection (1) may not apply to statewide levies.
(4) A local government may, in the resolution required by subsection (2), modify the percentages contained in subsection (1) that apply to the first year following construction through the fourth year following construction. A local government may not modify the percentages contained in subsection (1) that apply to the fifth year following construction or years following the fifth year. A local government may not modify the time limits contained in subsection (1). The modifications to the percentages in subsection (1) adopted by a local government apply uniformly to each remodeling, reconstruction, or expansion project approved by the governing body."
Section 99. Section 15-24-1603, MCA, is amended to read:
"15-24-1603. Historic property tax abatement -- levy limitations. (1) A Subject to [section 1], a historic property
undergoing rehabilitation, restoration, expansion, or new construction that meets criteria established by the review process
described in 15-24-1605 or 15-24-1606 may receive a tax abatement during the construction period, not to exceed 12
months, and for up to 5 years following completion of the construction in accordance with subsections (2) and (3). The tax
abatement is limited to 100% of the increase in taxable value caused by the rehabilitation, restoration, expansion, or new
construction.
(2) In order to confer the tax benefits described in subsection (1), the governing body of the county or incorporated city or town where the improvement occurs shall establish by resolution the process for the use of the tax abatement provisions described in subsection (1).
(3) Property that receives a tax benefit under this part is not entitled to any other exemption or special valuation provided by Montana law during the period of the abatement.
(4) (a) The tax abatement applies only to the number of mills levied:
(i) for high school and elementary school district purposes; and
(ii) by the local governing body approving the abatement.
(b) The abatement may not apply to statewide levies."
Section 100. Section 15-36-323, MCA, is amended to read:
"15-36-323. Calculation of unit value. For the purposes of distribution of oil and natural gas production taxes to county and school taxing units for production from pre-1985 wells, the department shall determine the unit value of oil and natural gas for each taxing unit as follows:
(1) Subject to the conditions of subsection (3), the unit value for oil for each taxing unit is the quotient obtained by dividing the net proceeds taxes calculated on oil produced and sold in that taxing unit in calendar year 1988 by the number of barrels of oil produced in that taxing unit during 1988, excluding post-1985 wells.
(2) Subject to the conditions of subsection (3), the unit value for natural gas is the quotient obtained by dividing the net proceeds taxes calculated on natural gas produced and sold in that taxing unit in calendar year 1988 by the number of cubic feet of natural gas produced in that taxing unit during 1988, excluding post-1985 wells.
(3) The amount of net proceeds taxes calculated under subsections (1) and (2) may not include the amount of taxes that
are attributable to a voted levy, as described in 15-10-412(7), for which additional mills were levied in fiscal year 1990."
Section 101. Section 20-3-205, MCA, is amended to read:
"20-3-205. Powers and duties. The county superintendent has general supervision of the schools of the county within the limitations prescribed by this title and shall perform the following duties or acts:
(1) determine, establish, and reestablish trustee nominating districts in accordance with the provisions of 20-3-352, 20-3-353, and 20-3-354;
(2) administer and file the oaths of members of the boards of trustees of the districts in the county in accordance with the provisions of 20-3-307;
(3) register the teacher or specialist certificates or emergency authorization of employment of any person employed in the county as a teacher, specialist, principal, or district superintendent in accordance with the provisions of 20-4-202;
(4) act on each tuition and transportation obligation submitted in accordance with the provisions of 20-5-323 and 20-5-324;
(5) file a copy of the audit report for a district in accordance with the provisions of 20-9-203;
(6) classify districts in accordance with the provisions of 20-6-201 and 20-6-301;
(7) keep a transcript and reconcile the district boundaries of the county in accordance with the provisions of 20-6-103;
(8) fulfill all responsibilities assigned under the provisions of this title regulating the organization, alteration, or abandonment of districts;
(9) act on any unification proposition and, if approved, establish additional trustee nominating districts in accordance with 20-6-312 and 20-6-313;
(10) estimate the average number belonging (ANB) of an opening school in accordance with the provisions of 20-6-502, 20-6-503, 20-6-504, or 20-6-506;
(11) process and, when required, act on school isolation applications in accordance with the provisions of 20-9-302;
(12) complete the budgets, compute the budgeted revenues revenue and tax levies, file final budgets and budget
amendments, and fulfill other responsibilities assigned under the provisions of this title regulating school budgeting
systems;
(13) submit an annual financial report to the superintendent of public instruction in accordance with the provisions of 20-9-211;
(14) monthly, unless otherwise provided by law, order the county treasurer to apportion state money, county school money, and any other school money subject to apportionment in accordance with the provisions of 20-9-212, 20-9-335, 20-9-347, 20-10-145, or 20-10-146;
(15) act on any request to transfer average number belonging (ANB) in accordance with the provisions of 20-9-313(3);
(16) calculate the estimated budgeted general fund sources of revenue in accordance with the general fund revenue provisions of the general fund part of this title;
(17) compute the revenues revenue and, subject to [section 1], compute the district and county levy requirements for
each fund included in each district's final budget and report the computations to the board of county commissioners in
accordance with the provisions of the general fund, transportation, bonds, and other school funds parts of this title;
(18) file and forward bus driver certifications, transportation contracts, and state transportation reimbursement claims in accordance with the provisions of 20-10-103, 20-10-143, or 20-10-145;
(19) for districts that do not employ a district superintendent or principal, recommend library book and textbook selections in accordance with the provisions of 20-7-204 or 20-7-602;
(20) notify the superintendent of public instruction of a textbook dealer's activities when required under the provisions of 20-7-605 and otherwise comply with the textbook dealer provisions of this title;
(21) act on district requests to allocate federal money for indigent children for school food services in accordance with the provisions of 20-10-205;
(22) perform any other duty prescribed from time to time by this title, any other act of the legislature, the policies of the board of public education, the policies of the board of regents relating to community college districts, or the rules of the superintendent of public instruction;
(23) administer the oath of office to trustees without the receipt of pay for administering the oath;
(24) keep a record of official acts, preserve all reports submitted to the superintendent under the provisions of this title, preserve all books and instructional equipment or supplies, keep all documents applicable to the administration of the office, and surrender all records, books, supplies, and equipment to the next superintendent;
(25) within 90 days after the close of the school fiscal year, publish an annual report in the county newspaper stating the following financial information for the school fiscal year just ended for each district of the county:
(a) the total of the cash balances of all funds maintained by the district at the beginning of the year;
(b) the total receipts that were realized in each fund maintained by the district;
(c) the total expenditures that were made from each fund maintained by the district; and
(d) the total of the cash balances of all funds maintained by the district at the end of the school fiscal year; and
(26) hold meetings for the members of the trustees from time to time at which matters for the good of the districts must be discussed."
Section 102. Section 20-3-324, MCA, is amended to read:
"20-3-324. Powers and duties. As prescribed elsewhere in this title, the trustees of each district shall:
(1) employ or dismiss a teacher, principal, or other assistant upon the recommendation of the district superintendent, the county high school principal, or other principal as the board considers necessary, accepting or rejecting any recommendation as the trustees in their sole discretion determine, in accordance with the provisions of Title 20, chapter 4;
(2) employ and dismiss administrative personnel, clerks, secretaries, teacher aides, custodians, maintenance personnel, school bus drivers, food service personnel, nurses, and any other personnel considered necessary to carry out the various services of the district;
(3) administer the attendance and tuition provisions and govern the pupils of the district in accordance with the provisions of the pupils chapter of this title;
(4) call, conduct, and certify the elections of the district in accordance with the provisions of the school elections chapter of this title;
(5) participate in the teachers' retirement system of the state of Montana in accordance with the provisions of the teachers' retirement system chapter of Title 19;
(6) participate in district boundary change actions in accordance with the provisions of the districts chapter of this title;
(7) organize, open, close, or acquire isolation status for the schools of the district in accordance with the provisions of the school organization part of this title;
(8) adopt and administer the annual budget or a budget amendment of the district in accordance with the provisions of the school budget system part of this title;
(9) conduct the fiscal business of the district in accordance with the provisions of the school financial administration part of this title;
(10) subject to [section 1], establish the ANB, BASE budget levy, over-BASE budget levy, additional levy, operating reserve, and state impact aid amounts for the general fund of the district in accordance with the provisions of the general fund part of this title;
(11) establish, maintain, budget, and finance the transportation program of the district in accordance with the provisions of the transportation parts of this title;
(12) issue, refund, sell, budget, and redeem the bonds of the district in accordance with the provisions of the bonds parts of this title;
(13) when applicable, establish, financially administer, and budget for the tuition fund, retirement fund, building reserve fund, adult education fund, nonoperating fund, school food services fund, miscellaneous programs fund, building fund, lease or rental agreement fund, traffic education fund, impact aid fund, interlocal cooperative agreement fund, and other funds as authorized by the state superintendent of public instruction in accordance with the provisions of the other school funds parts of this title;
(14) when applicable, administer any interlocal cooperative agreement, gifts, legacies, or devises in accordance with the provisions of the miscellaneous financial parts of this title;
(15) hold in trust, acquire, and dispose of the real and personal property of the district in accordance with the provisions of the school sites and facilities part of this title;
(16) operate the schools of the district in accordance with the provisions of the school calendar part of this title;
(17) establish and maintain the instructional services of the schools of the district in accordance with the provisions of the instructional services, textbooks, vocational education, and special education parts of this title;
(18) establish and maintain the school food services of the district in accordance with the provisions of the school food services parts of this title;
(19) make reports from time to time as the county superintendent, superintendent of public instruction, and board of public education may require;
(20) retain, when considered advisable, a physician or registered nurse to inspect the sanitary conditions of the school or the general health conditions of each pupil and, upon request, make available to any parent or guardian any medical reports or health records maintained by the district pertaining to the child;
(21) for each member of the trustees, visit each school of the district not less than once each school fiscal year to examine its management, conditions, and needs, except trustees from a first-class school district may share the responsibility for visiting each school in the district;
(22) procure and display outside daily in suitable weather on school days at each school of the district an American flag that measures not less than 4 feet by 6 feet;
(23) provide that an American flag that measures approximately 12 inches by 18 inches be prominently displayed in each classroom in each school of the district, except in a classroom in which the flag may get soiled. This requirement is waived if the flags are not provided by a local civic group.
(24) adopt and administer a district policy on assessment for placement of any child who enrolls in a school of the district from a nonpublic school that is not accredited, as required in 20-5-110;
(25) upon request and in compliance with confidentiality requirements of state and federal law, disclose to interested parties school district student assessment data for any test required by the board of public education; and
(26) perform any other duty and enforce any other requirements for the government of the schools prescribed by this title, the policies of the board of public education, or the rules of the superintendent of public instruction."
Section 103. Section 20-7-705, MCA, is amended to read:
"20-7-705. Adult education fund. (1) A separate adult education fund must be established when an adult education program is operated by a district or community college district. The financial administration of the fund must comply with the budgeting, financing, and expenditure provisions of the laws governing the schools.
(2) Whenever the trustees of a district establish an adult education program under the provisions of 20-7-702, they shall establish an adult education fund under the provisions of this section. The adult education fund is the depository for all district money received by the district in support of the adult education program. Federal and state adult education program money must be deposited in the miscellaneous programs fund.
(3) The Subject to [section 1], the trustees of a district may authorize the levy of a tax of not more than 1 mill on the
district, except that trustees of a county high school district may, whether or not the county high school district is unified
with an elementary district under the provisions of 20-6-312, authorize a levy of not more than 2 mills on the district and a
K-12 school district formed under the provisions of 20-6-701 may authorize a levy of not more than 3 mills on the district,
for the operation of an adult education program.
(4) Whenever the trustees of a district decide to offer an adult education program during the ensuing school fiscal year, they shall budget for the cost of the program in the adult education fund of the final budget. Any expenditures in support of the adult education program under the final adult education budget must be made in accordance with the financial administration provisions of this title for a budgeted fund.
(5) When a tax levy for an adult education program is included as a revenue item on the final adult education budget, the county superintendent shall report the levy requirement to the county commissioners on the fourth Monday of August and a levy on the district must be made by the county commissioners in accordance with 20-9-142."
Section 104. Section 20-7-714, MCA, is amended to read:
"20-7-714. County adult literacy programs -- authorization to levy tax and establish fund. (1) (a) The Subject to
[section 1], the governing body of a county may, in its discretion, establish a fund and levy up to 1 mill on each dollar of
taxable property in the county for the support of county literacy programs that give first priority to providing direct
instruction to adults. The tax levy is in addition to all other tax levies and is subject to limitations on property taxes set forth
in 15-10-402.
(b) The fund may be used only for the support of adult literacy programs within the county.
(2) (a) If a county levies a property tax for adult literacy programs, the county governing body shall appoint a county adult literacy board to administer the expenditure of funds from the county adult literacy fund established in subsection (1).
(b) The county adult literacy board shall coordinate all adult literacy programs receiving county adult literacy funds. The board may adopt policies concerning program standards and financial accountability for organizations receiving adult literacy funds. The board may require that adult literacy programs match adult literacy funds with federal, state, or private money. The board may, with the concurrence of the appropriate county officials, arrange for county in-kind services to support adult literacy programs.
(c) County adult literacy funding may be expended only on literacy programs for persons who are 16 years of age or older and who are not regularly enrolled, full-time pupils for the purposes of ANB computation."
Section 105. Section 20-9-131, MCA, is amended to read:
"20-9-131. Final budget meeting. (1) On the second Monday in August, at the time and place noticed pursuant to 20-9-115, the trustees of each district shall meet to consider all budget information and any attachments required by law.
(2) The trustees may continue the meeting from day to day but shall adopt the final budget for the district and, subject to [section 1], determine the amounts to be raised by tax levies for the district not later than the fourth Monday in August and before the fixing of the tax levies for each district. Any taxpayer in the district may attend any portion of the trustees' meeting and be heard on the budget of the district or on any item or amount contained in the budget."
Section 106. Section 20-9-141, MCA, is amended to read:
"20-9-141. Computation of general fund net levy requirement by county superintendent. (1) The Subject to
[section 1], the county superintendent shall compute the levy requirement for each district's general fund on the basis of the
following procedure:
(a) Determine the funding required for the district's final general fund budget less the sum of direct state aid and the special education allowable cost payment for the district by totaling:
(i) the district's nonisolated school BASE budget requirement to be met by a district levy as provided in 20-9-303; and
(ii) any general fund budget amount adopted by the trustees of the district under the provisions of 20-9-308 and 20-9-353, including any additional funding for a general fund budget that exceeds the maximum general fund budget.
(b) Determine the money available for the reduction of the property tax on the district for the general fund by totaling:
(i) the general fund balance reappropriated, as established under the provisions of 20-9-104;
(ii) amounts received in the last fiscal year for which revenue reporting was required for each of the following:
(A) tuition payments for out-of-district pupils under the provisions of 20-5-321 through 20-5-323, except the amount of tuition received for a pupil who is a child with disabilities in excess of the amount received for a pupil without disabilities, as calculated under 20-5-323(2);
(B) revenue from taxes and fees imposed under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537,
and 67-3-204;
(C) anticipated oil and natural gas production taxes and reimbursements for lost taxes;
(D) interest earned by the investment of general fund cash in accordance with the provisions of 20-9-213(4);
(E) revenue from corporation license taxes collected from financial institutions under the provisions of 15-31-702; and
(F) any other anticipated revenue received during the school fiscal year that may be used to finance the general fund,
excluding including any reimbursements for property tax reductions but not including any guaranteed tax base aid; and
(iii) pursuant to subsection (4), anticipated revenue from coal gross proceeds under 15-23-703;
(iv) anticipated revenue from reimbursements for property tax reductions; and
(v) anticipated revenue from taxes imposed under 61-3-504 and 61-3-537.
(c) Notwithstanding the provisions of subsection (2), subtract the money available to reduce the property tax required to finance the general fund that has been determined in subsection (1)(b) from any general fund budget amount adopted by the trustees of the district, up to the BASE budget amount, to determine the general fund BASE budget levy requirement.
(d) Subtract any amount remaining after the determination in subsection (1)(c) from any additional funding requirement to be met by an over-BASE budget amount, a district levy as provided in 20-9-303, and any additional financing as provided in 20-9-353 to determine any additional general fund levy requirements.
(2) The Subject to [section 1], the county superintendent shall calculate the number of mills to be levied on the taxable
property in the district to finance the general fund levy requirement for any amount that does not exceed the BASE budget
amount for the district by dividing the amount determined in subsection (1)(c) by the sum of:
(a) the amount of guaranteed tax base aid that the district will receive for each mill levied, as certified by the superintendent of public instruction; and
(b) the taxable valuation of the district divided by 1,000.
(3) The net general fund levy requirement determined in subsections (1)(c) and (1)(d) must be reported to the county commissioners on the fourth Monday of August by the county superintendent as the general fund net levy requirement for the district, and a levy must be set by the county commissioners in accordance with 20-9-142.
(4) For each school district, the department of revenue shall calculate and report to the county superintendent the amount of revenue anticipated for the ensuing fiscal year from revenue from coal gross proceeds under 15-23-703."
Section 107. Section 20-9-142, MCA, is amended to read:
"20-9-142. Fixing and levying taxes by board of county commissioners. On the fourth Monday in August, the
county superintendent shall place before the board of county commissioners the final adopted budget of the district. It
Subject to [section 1], it is the duty of the board of county commissioners to fix and levy on all the taxable value of all the
real and personal property within the district all district and county taxation required to finance, within the limitations
provided by law, the final budget."
Section 108. Section 20-9-151, MCA, is amended to read:
"20-9-151. Budgeting procedure for joint districts. (1) The trustees of a joint district shall adopt a budget according
to the school budgeting laws and send a copy of such the budget to the county superintendent of each county in which a part
of the joint district is located. After approval by the trustees of the joint district the final budgets of joint districts shall must
be filed in the office of the county superintendent of each county in which a part of a joint district is located.
(2) The county superintendents receiving the budget of a joint district shall jointly compute the estimated budget
revenues revenue and determine the number of mills which that need to be levied in the joint district for each fund for
which a levy is to be made. The superintendent of public instruction shall establish a communication procedure to facilitate
the joint estimation of revenues revenue and determination of the tax levies.
(3) After determining, in accordance with law and subject to [section 1], the number of mills which that need to be
levied for each fund included on the final budget of the joint district, a joint statement of the required mill levies shall must
be prepared and signed by the county superintendents involved in the computation. A copy of the statement shall must be
delivered to the board of county commissioners of each county in which a part of the joint district is located not later than
the Friday immediately preceding the second Monday in August."
Section 109. Section 20-9-152, MCA, is amended to read:
"20-9-152. Fixing and levying taxes for joint districts. (1) At the time of fixing levies for county and school purposes
on the second Monday in August, the board of county commissioners of each county in which a part of a joint district is
located shall, subject to [section 1], fix and levy taxes on that portion of the joint district located in such each board's
county at the number of mills for each such levy recommended by the joint statement of the county superintendents.
(2) The board of county commissioners shall include in the amounts to be raised by the county levies for schools all the amounts required for the final budget of each part of a joint district located in the county, in accordance with the recommendations of the county superintendent."
Section 110. Section 20-9-168, MCA, is amended to read:
"20-9-168. Emergency budget amendment tax levy. When a budget amendment has been adopted by the board of trustees under 20-9-161(2) and a district does not have sufficient funds, including insurance proceeds and reserves, to finance the budget amendment, the district may, subject to [section 1], levy a tax in the ensuing school year to fund the expenditures authorized by the budget amendment. The amount levied may not exceed the unfunded amount of the budget amendment."
Section 111. Section 20-9-331, MCA, is amended to read:
"20-9-331. Basic county tax for elementary equalization and other revenue for county equalization of elementary
BASE funding program. (1) The Subject to [section 1], the county commissioners of each county shall levy an annual
basic county tax of 33 mills on the dollar of the taxable value of all taxable property within the county, except for property
subject to a tax or fee under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537, and 67-3-204, for the
purposes of elementary equalization and state BASE funding program support. The revenue collected from this levy must
be apportioned to the support of the elementary BASE funding programs of the school districts in the county and to the
state general fund in the following manner:
(a) In order to determine the amount of revenue raised by this levy that is retained by the county, the sum of the estimated revenue identified in subsection (2) must be subtracted from the total of the BASE funding programs of all elementary districts of the county.
(b) If the basic levy and other revenue prescribed by this section produce more revenue than is required to repay a state advance for county equalization, the county treasurer shall remit the surplus funds to the state treasurer for deposit to the state general fund immediately upon occurrence of a surplus balance and each subsequent month, with any final remittance due no later than June 20 of the fiscal year for which the levy has been set.
(2) The revenue realized from the county's portion of the levy prescribed by this section and the revenue from the following sources must be used for the equalization of the elementary BASE funding program of the county as prescribed in 20-9-335, and a separate accounting must be kept of the revenue by the county treasurer in accordance with 20-9-212(1):
(a) the portion of the federal Taylor Grazing Act funds distributed to a county and designated for the elementary county equalization fund under the provisions of 17-3-222;
(b) the portion of the federal flood control act funds distributed to a county and designated for expenditure for the benefit of the county common schools under the provisions of 17-3-232;
(c) all money paid into the county treasury as a result of fines for violations of law, except money paid to a justice's court, and the use of which is not otherwise specified by law;
(d) any money remaining at the end of the immediately preceding school fiscal year in the county treasurer's accounts for the various sources of revenue established or referred to in this section;
(e) any federal or state money distributed to the county as payment in lieu of property taxation, including federal forest reserve funds allocated under the provisions of 17-3-213;
(f) gross proceeds taxes from coal under 15-23-703;
(g) oil and natural gas production taxes;
(h) anticipated local government severance tax payments for calendar year 1995 production as provided in 15-36-325; and
(i) anticipated revenue from property taxes and fees imposed under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537, and 67-3-204."
Section 112. Section 20-9-333, MCA, is amended to read:
"20-9-333. Basic county tax for high school equalization and other revenue for county equalization of high
school BASE funding program. (1) The Subject to [section 1], the county commissioners of each county shall levy an
annual basic county tax of 22 mills on the dollar of the taxable value of all taxable property within the county, except for
property subject to a tax or fee under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537, and
67-3-204, for the purposes of high school equalization and state BASE funding program support. The revenue collected
from this levy must be apportioned to the support of the BASE funding programs of high school districts in the county and
to the state general fund in the following manner:
(a) In order to determine the amount of revenue raised by this levy that is retained by the county, the sum of the estimated revenue identified in subsection (2) must be subtracted from the sum of the county's high school tuition obligation and the total of the BASE funding programs of all high school districts of the county.
(b) If the basic levy and other revenue prescribed by this section produce more revenue than is required to repay a state advance for county equalization, the county treasurer shall remit the surplus funds to the state treasurer for deposit to the state general fund immediately upon occurrence of a surplus balance and each subsequent month, with any final remittance due no later than June 20 of the fiscal year for which the levy has been set.
(2) The revenue realized from the county's portion of the levy prescribed in this section and the revenue from the following sources must be used for the equalization of the high school BASE funding program of the county as prescribed in 20-9-335, and a separate accounting must be kept of the revenue by the county treasurer in accordance with 20-9-212(1):
(a) any money remaining at the end of the immediately preceding school fiscal year in the county treasurer's accounts for the various sources of revenue established in this section;
(b) any federal or state money distributed to the county as payment in lieu of property taxation, including federal forest reserve funds allocated under the provisions of 17-3-213;
(c) gross proceeds taxes from coal under 15-23-703;
(d) oil and natural gas production taxes;
(e) anticipated local government severance tax payments for calendar year 1995 production as provided in 15-36-325; and
(f) anticipated revenue from property taxes and fees imposed under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537, and 67-3-204."
Section 113. Section 20-9-360, MCA, is amended to read:
"20-9-360. State equalization aid levy. There Subject to [section 1], there is a levy of 40 mills imposed by the county
commissioners of each county on all taxable property within the state, except property for which a tax or fee is required
under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527, 61-3-529, 61-3-537, and 67-3-204. Proceeds of the levy must be
remitted to the state treasurer and must be deposited to the credit of the state general fund for state equalization aid to the
public schools of Montana."
Section 114. Section 20-9-404, MCA, is amended to read:
"20-9-404. Contracts and bonds for joint construction. The trustees of a school district may enter into a contract with the trustees of any school district within the county or with any school district in an adjoining county to provide for the joint construction of a facility upon terms and conditions mutually agreed upon between the districts. The trustees of any district executing a contract in accordance with this section may, subject to [section 1], levy taxes and issue bonds for the purpose of constructing the facilities authorized by this section."
Section 115. Section 20-10-147, MCA, is amended to read:
"20-10-147. Bus depreciation reserve. (1) The trustees of a district owning a bus or a two-way radio used for purposes of transportation, as defined in 20-10-101, or for purposes of conveying pupils to and from school functions or activities may establish a bus depreciation reserve fund to be used for the conversion, remodeling, or rebuilding of a bus or for the replacement of a bus or radio.
(2) Whenever a bus depreciation reserve fund is established, the trustees may include in the district's budget, in accordance with the school budgeting provisions of this title, an amount each year that does not exceed 20% of the original cost of a bus or a two-way radio. The amount budgeted may not, over time, exceed 150% of the original cost of a bus or two-way radio. The annual revenue requirement for each district's bus depreciation reserve fund, determined within the limitations of this section, must be reported by the county superintendent to the county commissioners on the fourth Monday of August as the bus depreciation reserve fund levy requirement for that district, and subject to [section 1], a levy must be made by the county commissioners in accordance with 20-9-142.
(3) Any expenditure of bus depreciation reserve fund money must be within the limitations of the district's final bus depreciation reserve fund budget and the school financial administration provisions of this title and may be made only to convert, remodel, or rebuild buses or to replace the buses or radios for which the bus depreciation reserve fund was created.
(4) Whenever the trustees of a district maintaining a bus depreciation reserve fund sell all of the district's buses and consider it to be in the best interest of the district to transfer any portion or all of the bus depreciation reserve fund balance to any other fund maintained by the district, the trustees shall submit the proposition to the electors of the district. The electors qualified to vote at the election shall qualify under 20-20-301, and the election must be called and conducted in the manner prescribed by this title for school elections. If a majority of those electors voting at the election approve the proposed transfer from the bus depreciation reserve fund, the transfer is approved and the trustees shall immediately order the county treasurer to make the approved transfer."
Section 116. Section 20-15-305, MCA, is amended to read:
"20-15-305. Adult education tax levy. A community college shall be is considered a district for the purposes of adult
education and under the provisions for adult education may, subject to [section 1], levy a 1-mill tax for the support of its
adult education program when the superintendent of public instruction approves such the program."
Section 117. Section 20-15-311, MCA, is amended to read:
"20-15-311. Funding sources. The annual operating budget of a community college district shall must be financed
from the following sources:
(1) the estimated revenues revenue to be realized from student tuition and fees, except those revenue related to
community service courses as defined by the board of regents;
(2) subject to [section 1], a mandatory mill levy on the community college district;
(3) subject to [section 1], the 1-mill adult education levy authorized under provisions of 20-15-305;
(4) the state general fund appropriation;
(5) an optional voted levy on the community college district that shall must be submitted to the electorate in accordance
with general school election laws;
(6) all other income, revenue, balances, or reserves not restricted by a source outside the community college district to a specific purpose;
(7) income, revenue, balances, or reserves restricted by a source outside the community college district to a specific
purpose. Student fees paid for community service courses as defined by the board of regents shall be are considered
restricted to a specific purpose;
(8) income from a political subdivision that is designated a community college service region under 20-15-241."
Section 118. Section 20-15-313, MCA, is amended to read:
"20-15-313. Tax levy. On the second Monday in August, the board of county commissioners of any county where a
community college district is located shall, subject to [section 1], fix and levy a tax on all the real and personal property
within the community college district at the rate required to finance the mandatory mill levy prescribed by subsection (1)(b)
of 20-15-312(1)(b) and the voted levy prescribed by subsection (5) of 20-15-311(5) if one has been approved by the voters.
When a community college district has territory in more than one county, the board of county commissioners in each county
shall fix and levy the community college district tax on all the real and personal property of the community college district
situated in its county."
Section 119. Section 20-15-314, MCA, is amended to read:
"20-15-314. Tax levy for community college service region. A Subject to [section 1], a governing body designating a
community college service region as provided in 20-15-241 may levy a tax on all real and personal property within the
region at a rate required to finance the services offered by a community college district for the region. The levy is in
addition to any other levies allowed by law and is not subject to any statutory or charter limitations on levies other than
[section 1]. The levy must be made at the same time and in the same manner as the general levy of the political subdivision
designating the region is made, and the revenues revenue generated thereby must be collected at the same time and in the
same manner. Within 30 days of collection, the appropriate revenues revenue must be transmitted to the participating
community college district."
Section 120. Section 20-15-326, MCA, is amended to read:
"20-15-326. Determination of available financing -- fixing and levying property taxation for emergency budget. (1) After the last day of the fiscal year for which an emergency budget has been adopted, the board of trustees shall determine the amount of the cash balance that is available to finance the emergency budget's outstanding warrants or registered warrants for each fund included on the emergency budget. The available amount of the cash balance of each fund must be determined by deducting from the county treasurer's yearend cash balance for the fund the outstanding warrants or registered warrants issued under the regularly adopted final budget for the fund and the cash reserve for the fund that the trustees have established, within the limitations of law, for the following fiscal year.
(2) The county treasurer shall prepare and deliver a statement on the financial cash status of each fund included on an emergency budget for a district that had an emergency budget during the preceding year to the board of county commissioners by the first Monday in August. The statement for each district emergency budget must include:
(a) the total amount of emergency warrants that are registered against each fund of the district; and
(b) the additional amount of money that is required to finance the registered warrants and interest on the warrants and that must be raised by a tax levy.
(3) For each fund of the emergency budget of each district requiring a tax levy as established by subsection (2)(b), the board of county commissioners shall, subject to [section 1] and at the time all other district and county taxes are fixed and levied, levy a tax on the taxable property of each applicable district that will raise sufficient financing to pay the amount established by the county treasurer."
Section 121. Section 20-25-423, MCA, is amended to read:
"20-25-423. State tax levy -- support of public education institutions. The Subject to [section 1], the legislature shall
levy a property tax of not more than 6 mills on the taxable value of all real and personal property each year for 10 years
beginning with the year 1999. All revenue from this property tax levy must be appropriated for the support, maintenance,
and improvement of the Montana university system."
Section 122. Section 20-25-439, MCA, is amended to read:
"20-25-439. Vocational-technical education -- mill levy required. (1) The Subject to [section 1], the boards of
county commissioners of Cascade, Lewis and Clark, Missoula, Silver Bow, and Yellowstone Counties shall in each
calendar year levy a tax of 1 1/2 mills on the dollar value of all taxable property, real and personal, located within the
respective county.
(2) The funds from the mill levy must be deposited in the general fund and must be distributed for vocational-technical education on the basis of budgets approved by the board of regents."
Section 123. Section 22-1-304, MCA, is amended to read:
"22-1-304. Tax levy -- special library fund -- bonds. (1) The Subject to [section 1], the governing body of any city or
county which that has established a public library may levy in the same manner and at the same time as other taxes are
levied a special tax in the amount necessary to maintain adequate public library service, not to exceed 5 mills on the dollar,
upon all property in such the county which that may be levied by the governing body of such the county and not to exceed 7
mills on the dollar upon all property in such the city which that may be levied by the governing body of such the city.
(2) (a) The governing body of any city or county may by resolution submit the question of exceeding the maximum tax
levy provided in subsection (1) to a vote of the qualified electors thereof at the next general appropriate election. Such The
resolution must be adopted at least 75 days prior to the general election at which the question will be voted on.
(b) Upon a petition being filed with the governing body and signed by not less than 5% of the resident taxpayers of any
city or county requesting an election for the purpose of exceeding the maximum mill levy, the governing body shall submit
to a vote of the qualified electors thereof at the next general election the question of exceeding the maximum mill levy.
Such The petition must be delivered to the governing body at least 90 days prior to the general election at which the
question will be voted on.
(c) The question shall must be submitted by ballots upon which the words "FOR exceeding the ... mill maximum levy
and authorizing an additional ... mill(s) for the library" and "AGAINST exceeding the ... mill maximum library levy" shall
appear, with a square before each proposition and a direction to insert an "X" mark in the square before one or the other of
the propositions.
(d) The votes cast for the adoption or rejection of the question must be canvassed, and:
(i) if a majority of the voters voting on the question vote to exceed the maximum mill levy, the governing body shall levy the additional tax for the year in which the vote was taken; or
(ii) if a majority of the voters voting on the question vote to not exceed the maximum mill levy, the maximum mill levy may not be exceeded.
(3) The municipal tax authorized in this section is in addition to all other taxes authorized by law and is not within the all-purpose mill levy established by 7-6-4451 through 7-6-4453.
(4) The proceeds of such the tax shall constitute a separate fund called the public library fund and shall may not be used
for any purpose except those of the public library.
(5) No money shall Money may not be paid out of the public library fund by the treasurer of the city or county except by
order or warrant of the board of library trustees.
(6) Bonds may be issued by the governing body in the manner prescribed by law for the erection and equipment of
public library buildings and the purchase of land therefor for public library buildings."
Section 124. Section 22-1-316, MCA, is amended to read:
"22-1-316. Joint city-county library. (1) A county and any city or cities within the county, by action of their respective governing bodies, may join in establishing and maintaining a joint city-county library under the terms of a contract agreed upon by all parties.
(2) The expenses of a joint city-county library shall must be apportioned between or among the county and cities on
such a the basis as shall be agreed upon in the contract.
(3) The Subject to [section 1], the governing body of any city or county entering into a contract may levy a special tax
as provided in 22-1-304 for the establishment and operation of a joint city-county library.
(4) The treasurer of the county or of a participating city within the county, as shall be provided in the contract, shall
have has custody of the funds of the joint city-county library, and the other treasurers of the county or cities joining in the
contract shall transfer quarterly to him the designated treasurer all moneys money collected for the joint city-county library.
(5) The contract shall must provide for the disposition of property upon dissolution of the joint city-county library."
Section 125. Section 23-4-303, MCA, is amended to read:
"23-4-303. Licensee's right to withhold deposits. In the event any Subject to [section 1], if a government or
governmental agency imposes a levy on a licensee by a special tax on the money so deposited under the parimutuel system
or upon or against his a licensee's receipts therefrom, the said licensee may withhold in addition to the aforesaid percent and
breakage provided for in 23-4-302 the amount of the tax so levied."
Section 126. Section 41-5-1804, MCA, is amended to read:
"41-5-1804. Regional detention facilities. (1) Two or more counties may, by contract, establish and maintain a regional detention facility.
(2) For the purpose of establishing and maintaining a regional detention facility, a county may:
(a) issue general obligation bonds for the acquisition, purchase, construction, renovation, and maintenance of a regional detention facility;
(b) subject to [section 1], levy and appropriate taxes, as permitted by law, to pay its share of the cost of equipping, operating, and maintaining the facility; and
(c) exercise all powers, under the limitations prescribed by law, necessary and convenient to carry out the purposes of 41-5-1803 and this section.
(3) Contracts authorized under subsection (1) must be made pursuant to the Interlocal Cooperation Act, Title 7, chapter 11, part 1.
(4) Contracts between counties participating in a regional detention facility must:
(a) specify the responsibilities of each county participating in the agreement;
(b) designate responsibility for operation of the regional detention facility;
(c) specify the amount of funding to be contributed by each county toward payment of the cost of establishing, operating, and maintaining the regional detention facility, including the necessary expenditures for the transportation of youth to and from the facility;
(d) include the applicable per diem charge for the detention of youths in the facility, as well as the basis for any adjustment in the charge; and
(e) specify the number of beds to be reserved for the use of each county participating in the regional detention facility."
Section 127. Section 50-2-111, MCA, is amended to read:
"50-2-111. City-county board appropriations. If a city-county board is created, it is financed by one of the following methods:
(1) (a) The county commissioners and governing body of each participating city may mutually agree upon the division of expenses.
(b) The county's part of the total expenses is financed by an appropriation from the general fund of the county after approval of a budget in the way provided for other county offices and departments under Title 7, chapter 6, part 23.
(c) Each participating city's part of the total expenses is financed by an appropriation from the general fund of the city after approval of a budget in the way provided for other city offices and departments under Title 7, chapter 6, part 42.
(d) All money must be deposited with the county treasurer who shall disburse the money as county funds.
(2) (a) The county commissioners and governing body of each participating city may mutually agree upon the division of the expenses.
(b) The Subject to [section 1], the county's part of the total expenses is financed by a special levy of not more than 5
mills on the taxable valuation of all property outside the incorporated limits of each participating city after approval of a
budget in the way provided for other county offices and departments under Title 7, chapter 6, part 23. If the 5-mill levy is
not sufficient to fund the county's share, the county commissioners may supplement it with an appropriation from the
county general fund.
(c) Each Subject to [section 1], each participating city's part of the total expenses is financed by a special levy of not
more than 5 mills on the taxable valuation of all property within the incorporated limits of the city after approval of a
budget in the way provided for other city offices and departments under Title 7, chapter 6, part 42.
(d) All money must be deposited with the county treasurer who shall disburse the money as county funds.
(e) The special levies authorized by this subsection are in addition to all other levies authorized by law."
Section 128. Section 50-2-114, MCA, is amended to read:
"50-2-114. Special mill levy. If Subject to [section 1], if the general fund of a city or county is not sufficient to meet
the approved budget, a levy of not more than 1 mill may be made on the taxable valuation of all property in the city or
county in addition to all other levies authorized by law. This section does not apply when the board has been financed under
50-2-111(2)."
Section 129. Section 53-2-322, MCA, is amended to read:
"53-2-322. County to levy taxes, budget, and make expenditures for public assistance activities. (1) The Subject to
[section 1], the board of county commissioners in each county shall levy 13.5 mills for the county poor fund as provided by
law or so much of that amount as may be necessary. The board may levy up to an additional 12 mills if approved by the
voters in the county. A Subject to [section 1], a county shall levy sufficient mills to reimburse the state for any
administrative or operational costs in excess of the administrative and operational costs for the previous fiscal year. The
department of public health and human services shall notify the counties of the number of mills required to be levied. Once
an additional levy has been approved, the amount of the approved levy may continue to be levied without voter approval.
(2) The board shall budget and expend so much of the funds in the county poor fund for:
(a) public assistance as necessary to reimburse the department for the county's proportionate share of the administrative costs and of all public assistance costs;
(b) salaries, travel expenses, and indirect costs, as provided in 52-1-110, of protective services employees of the department; and
(c) the county's proportionate share of any other public assistance activity that may be carried on jointly by the state and the county.
(3) The amounts set up in the budget for the reimbursements to the department must be sufficient to make all of these reimbursements in full. The budget must make separate provision for each public assistance activity and for salaries, travel expenses, and indirect costs for protective services activities of the department. Proper accounts must be established for the funds for all the activities.
(4) The department shall submit to the counties, no later than May 10, the most current county participation percentages that are necessary to establish preliminary county budgets. As soon as the county proposed budget provided for in 7-6-2315 has been agreed upon, a copy must be mailed to the department, and at any time before the final adoption of the budget, the department shall make recommendations with regard to changes in any part of the budget relating to the county poor fund as considered necessary in order to enable the county to discharge its obligations under the public assistance laws.
(5) The department shall promptly examine the county proposed budget in order to ascertain if the amounts provided for reimbursements to the department are likely to be sufficient and shall notify the county clerk of its findings. The board shall make changes in the amounts provided for reimbursements, if any are required, in order that the county will be able to make the reimbursements in full.
(6) The board of county commissioners may not make any transfer from the amounts budgeted for reimbursing the department without having first obtained a statement in writing from the department to the effect that the amount to be transferred will not be required during the fiscal year for the purposes for which the amounts were provided in the budget.
(7) The county poor fund, irrespective of the source of any part of the fund, may not be used directly or indirectly for the
erection or improvement of any county building so as long as the fund is needed for paying the county's proportionate share
of public assistance and protective services, as described in 52-1-110, or its proportionate share of any other public
assistance activity that may be carried on jointly by the state and the county. Expenditures for improvement of any county
buildings used directly for care of the poor, except a county hospital or county nursing home, may be made out of money in
the county poor fund, whether the money was produced by the mill levy provided for in subsection (1) or from any
additional levy authorized by law. The expenditure may be authorized only when any county building used for the care of
the poor must be improved in order to meet legal standards required for the building by the department and when the
expenditure has been approved by the department.
(8) Money in the county poor fund may be used as matching funds for the receipt of federal money."
Section 130. Section 53-2-813, MCA, is amended to read:
"53-2-813. Mill levy for counties transferring public assistance and protective services. (1) For the purpose of this part and subject to [section 1], 9 mills must be levied annually in those counties opting for state assumption.
(2) For a county electing state assumption, the proceeds of the mill levy established in subsection (1) must be deposited in the state special revenue fund in the state treasury to the credit of the department of public health and human services."
Section 131. Section 53-20-208, MCA, is amended to read:
"53-20-208. Contributions of counties and municipalities. (1) The boards of county commissioners of the several
counties and the governing bodies of municipalities of this state may, in their discretion, contribute to any developmental
disabilities facility approved by the department, without regard to whether they are the facility is within or outside of their
respective jurisdictions. The Subject to [section 1], the boards of county commissioners of the counties may levy a tax up to
but not to exceed 1 mill on each dollar of taxable property within the county,. which shall be The tax is in addition to all
other county tax levies. All proceeds of the tax, if levied, shall must be used for the sole purpose of support of
developmental disabilities services.
(2) For the purpose of carrying out the provisions of this section, boards of county commissioners and governing bodies of municipalities may appropriate out of the general fund of their respective counties or municipalities."
Section 132. Section 67-10-402, MCA, is amended to read:
"67-10-402. Tax levy. (1) For Subject to [section 1] and for the purpose of establishing, constructing, equipping,
maintaining, and operating airports, landing fields, and ports under the provisions of this chapter and as provided in Title 7,
chapter 14, part 11, the county commissioners or the city or town council may each year assess and levy, in addition to the
annual levy for general administrative purposes or the all-purpose levy authorized by 7-6-4451 and 7-6-4452, a tax on the
dollar of taxable value of the property of said county, city, or town:
(a) not to exceed 2 mills for airports and landing fields; and
(b) not to exceed 2 mills for ports.
(2) In the event of a jointly established airport, landing field, or port, the county commissioners and the council or
councils involved shall determine in advance the levy necessary for such those purposes and the proportion each political
subdivision joining in the venture must is required to pay.
(3) No property Property within any political subdivision may not be subject to a tax pursuant to this section at an
annual rate in excess of 2 mills for airports, landing fields, or ports unless it is found that the levy is insufficient for the
purposes enumerated. In such a that case the commissioners and councils acting are authorized and empowered to contract
an indebtedness on behalf of such the county, city, or town, as the case may be, upon the credit thereof by borrowing money
or issuing bonds for such those purposes,. provided that no However, bonds may not be issued for such purpose until the
proposition has been submitted to the qualified electors and approved by a majority vote cast therefor, except as provided in
subsection (4).
(4) For the purpose of establishing a reserve fund to resurface, overlay, or improve existing runways, taxiways, and ramps, the governing bodies may set up annual reserve funds in their annual budget if:
(a) the reserve is approved by the governing bodies during the normal budgeting procedure;
(b) the necessity to resurface or improve said runways by overlays or similar methods every so many years is based
upon competent engineering estimates; and
(c) the funds are expended at least within each 10-year period.
(5) The reserve fund may not exceed at any time a competent engineering estimate of the cost of resurfacing or
overlaying the existing runways, taxiways, and ramps of any one airport for each fund. The governing body of the airport or
port, if in its judgment it considers it advantageous, may invest the fund in any interest-bearing deposits in a state or
national bank insured by the FDIC or obligations of the United States of America, either short-term or long-term. Interest
earned from such the investments must be credited to the operations and maintenance budget of the airport or port
governing body. The above provisions, notwithstanding other budget control measures and due Due to the uniqueness of
the subject matter, the provisions of this section are declared necessary in the interests of the public health and safety."
Section 133. Section 67-11-201, MCA, is amended to read:
"67-11-201. General powers of authority. An authority shall have has all the powers necessary or convenient to carry
out the purposes of this chapter, including, subject to [section 1], the power to certify annually to the governing bodies
creating it the amount of tax to be levied by said the governing bodies for airport purposes and including but not limited to
the power to:
(1) sue and be sued, have a seal, and have perpetual succession;
(2) execute such contracts and other instruments and take such other action as may be necessary or convenient to carry
out the purposes of this chapter;
(3) plan, establish, acquire, develop, construct, purchase, enlarge, improve, maintain, equip, operate, regulate, and
protect airports and air navigation facilities, within this state and within any adjoining state, including the acquisition,
construction, installation, equipment, maintenance, and operation at such the airports or buildings and other facilities for the
servicing of aircraft or for comfort and accommodation of air travelers and the purchase and sale of supplies, goods, and
commodities as that are incident to the operation of its airport properties. For such the authorized purposes, an authority
may, by purchase, gift, devise, lease, eminent domain proceedings, or otherwise, acquire property, real or personal, or any
interest therein in property, including easements in airport hazards or land outside the boundaries of an airport or airport
site, as that is necessary to permit the removal, elimination, obstruction-marking, or obstruction-lighting of airport hazards
or to prevent the establishment of airport hazards.
(4) establish comprehensive airport zoning regulations in accordance with the laws of this state;
(5) acquire, by purchase, gift, devise, lease, eminent domain proceedings, or otherwise, existing airports and air
navigation facilities; provided, however, an authority shall may not acquire or take over any airport or air navigation facility
owned or controlled by another authority, a municipality, or public agency of this or any other state without the consent of
such the authority, municipality, or public agency;
(6) establish or acquire and maintain airports in, over, and upon any public waters of this state, or any submerged lands
under such public waters, provided that the authority has obtained the approval of the owner or agency that controls the
water, and construct and maintain terminal buildings, landing floats, causeways, roadways, and bridges for approaches to or
connecting with any such airport and landing floats and breakwaters for the protection thereof of the airport."
Section 134. Section 67-11-301, MCA, is amended to read:
"67-11-301. Municipal tax levy. The airport authority may certify annually to the governing bodies the amount of tax
to be levied by each municipality participating in the creation of the airport authority, and subject to [section 1], the
municipality shall levy the amount certified, pursuant to provisions of law authorizing cities and other political subdivisions
of this state to levy taxes for airport purposes. The levy made shall may not exceed the maximum levy permitted by the
laws of this state for airport purposes or any such lower limit as that may have been established by the municipality or
municipalities in the resolution creating the authority. The municipality shall collect the taxes certified by an airport
authority in the same manner as other taxes are levied and collected and make payment to the airport authority. The
proceeds of such the taxes when and as paid to the airport authority shall must be deposited in a special account or accounts
in which other revenues revenue of the authority are deposited and may be expended by the authority as provided for in this
chapter. Prior to the issuance of bonds under 67-11-303, the airport authority or the municipality may by resolution
covenant and agree that the total amount of such the taxes then authorized by law, or such the portion thereof of the taxes as
may be specified by the resolution, will, subject to [section 1], be certified, levied, and deposited annually as herein
provided until the bonds and interest thereon are fully paid."
Section 135. Section 67-11-302, MCA, is amended to read:
"67-11-302. County tax levy. In Subject to [section 1], in counties supporting airports or airport authorities, a levy as
provided for in 67-10-402 may be made for such airport authority purposes."
Section 136. Section 75-10-112, MCA, is amended to read:
"75-10-112. Powers and duties of local government. A local government may:
(1) plan, develop, and implement a solid waste management system consistent with the state's solid waste plan and propose modifications to the state's solid waste plan;
(2) upon adoption of the state plan by the board, pass an ordinance or resolution to exempt the local jurisdiction from complying with the state plan and subsequent rules implementing the state plan. The ordinance or resolution must include a means to provide solid waste disposal to the citizens of the jurisdiction as required in part 2 of this chapter.
(3) employ appropriate personnel to carry out the provisions of this part;
(4) purchase, rent, or execute leasing agreements for equipment and material necessary for the implementation of a solid waste management system;
(5) cooperate with and enter into agreements with any persons in order to implement an effective solid waste management system;
(6) receive gifts, grants, or donations or acquire by gift, deed, or purchase land necessary for the implementation of any provision of this part;
(7) enforce the rules of the department or a local board of health pertaining to solid waste management through the appropriate county attorney;
(8) apply for and utilize state, federal, or other available money for developing or operating a solid waste management system;
(9) borrow from any lending agency funds available for assistance in planning a solid waste management system;
(10) subject to [section 1], finance a solid waste management system through the assessment of a tax as authorized by state law;
(11) sell on an installment sales contract or lease to a person all or a portion of a solid waste management system that the
local government plans, designs, or constructs, for the consideration and upon the terms established by the local
governments and consistent with the loan requirements set forth in this part and rules adopted to implement this part;
(12) procure insurance against any loss in connection with property, assets, or activities;
(13) mortgage or otherwise encumber all or a portion of a solid waste management system when the local government finds that the action is necessary to implement the purposes of this part, as long as the action is consistent with the loan requirements set forth in this part and rules adopted to implement this part;
(14) hold or dispose of real property and, subject to agreements with lessors and lessees, develop or alter the property by making improvements or betterments for the purpose of enhancing the value and usefulness of the property;
(15) finance, design, construct, own, and operate a solid waste management system or contract for any or all of the powers authorized under this part;
(16) control the disposition of solid waste generated within the jurisdiction of a local government;
(17) enter into long-term contracts with local governments and private entities for:
(a) financing, designing, constructing, and operating a solid waste management system;
(b) marketing all raw or processed material recovered from solid waste;
(c) marketing energy products or byproducts resulting from processing or utilization of solid waste;
(18) finance an areawide solid waste management system through the use of any of the sources of revenue available to the implementation entity for public works projects, by the use of revenue bonds issued by the city or county, or by fees levied by a solid waste management district, whichever is appropriate;
(19) enter into interlocal agreements in order to achieve and implement the powers enumerated in this part;
(20) regulate the siting and operation of container sites."
Section 137. Section 76-1-111, MCA, is amended to read:
"76-1-111. Representation of county or additional cities or towns on existing boards. (1) Any city, county, or town
or any combination thereof of cities, counties, or towns wishing to be represented upon an existing planning board may, by
agreement of the governing body or bodies then represented upon on the board, obtain representation thereon on the board
and share in the membership duties and costs of the board upon a basis agreeable to the governing body or bodies creating
the board.
(2) The membership as well as the jurisdictional area of any board may be increased to provide for representation and planning of any additional cities, counties, or towns seeking representation.
(3) Any city, county, or town which that becomes represented upon an existing planning board pursuant to this section
may appropriate funds for expenses necessary to cover the costs of such representation. The Subject to [section 1], the
governing bodies of any represented city or county so being represented may levy on all property which that is added to the
jurisdictional area of an existing board by such representation a tax for planning board purposes under procedures set forth
in Title 7, chapter 6, part 23 or part 42, whichever is applicable;. provided such The tax shall may not exceed the maximum
levy authorized in 76-1-402 through 76-1-407."
Section 138. Section 76-1-403, MCA, is amended to read:
"76-1-403. Tax levy by county for certain county planning districts authorized. When a county planning board has
been established, the board of county commissioners may create a planning district which shall that must include that the
property which that lies outside the limits of the jurisdictional area as established pursuant to 76-1-504 through 76-1-507 or
as modified pursuant to 76-1-501 through 76-1-503 in counties where a city-county planning board has been established as
well as that property which that lies outside the limits of any incorporated cities and towns. The Subject to [section 1], the
board of county commissioners may levy on all property located within such the planning district a tax not to exceed the
maximum levy authorized by 76-1-405 for planning board purposes, under procedures set forth in Title 7, chapter 6, part
23."
Section 139. Section 76-1-404, MCA, is amended to read:
"76-1-404. Tax levy by county for city-county planning board authorized. When a city-county planning board has
been established, the board of county commissioners may create a planning district which shall that must include that the
property within the jurisdictional areas as established pursuant to 76-1-504 through 76-1-507 which that lies outside the
limits of any incorporated cities and towns. The Subject to [section 1], the board of county commissioners may levy on all
property located within such the planning district a tax for planning board purposes, under procedures set forth in Title 7,
chapter 6, part 23,. provided such The tax shall may not exceed the maximum levy authorized in 76-1-405."
Section 140. Section 76-1-405, MCA, is amended to read:
"76-1-405. Maximum county mill levy -- authorization for levy. The Subject to [section 1], the tax levy for planning
board purposes shall be is further limited as follows:
(1) A county of the first class, as defined in 7-1-2111, may levy a tax not to exceed 2 mills.
(2) A county of the second class may levy a tax not to exceed 3 mills.
(3) A county of the third class may levy a tax not to exceed 4 mills.
(4) A county of the fourth class may levy a tax not to exceed 5 mills.
(5) Counties of the fifth, sixth, and seventh classes may levy a tax not to exceed 6 mills."
Section 141. Section 76-1-406, MCA, is amended to read:
"76-1-406. Tax levy by municipalities authorized. The Subject to [section 1], the governing body of any city or town
represented upon on a planning board may levy a tax upon the property located within such the city or town for planning
board purposes, under procedures set forth in Title 7, chapter 6, part 42,. provided such The tax shall may not exceed the
maximum levy authorized in 76-1-407."
Section 142. Section 76-1-407, MCA, is amended to read:
"76-1-407. Maximum city mill levy. The Subject to [section 1], the tax levy for planning board purposes shall be is
further limited as follows:
(1) A city of the first class, as defined in 7-1-4111, may levy a tax not to exceed 2 mills.
(2) A city of the second class may levy a tax not to exceed 4 mills.
(3) A city of the third class may levy a tax not to exceed 6 mills.
(4) A town may levy a tax not to exceed 6 mills."
Section 143. Section 76-2-102, MCA, is amended to read:
"76-2-102. Organization and operation of commission. (1) The planning and zoning commission is to consist
consists of the three county commissioners, the county surveyor, and a county official appointed by the county
commissioners. Members of the commission shall serve without compensation other than reimbursement for duly
authorized expenses and must be residents of the county in which they serve.
(2) The commission may appoint necessary employees and fix their compensation with the approval of the board of county commissioners, select a presiding officer to serve for 1 year, appoint a secretary to keep permanent and complete records of its proceedings, and adopt rules governing the transaction of its business.
(3) The Subject to [section 1], the finances necessary for the transaction of the planning and zoning commission's
business and to pay the expenses of the employees and justified expenses of the members of the board must be paid from a
levy of not to exceed 1 mill on the taxable valuation of the real property within the district."
Section 144. Section 76-5-1116, MCA, is amended to read:
"76-5-1116. Determination of fees and charges. (1) In fixing such the rate, fee, toll, or rent for water furnished for
household use, domestic use, irrigation use, industrial use, and municipal use and for water used for streamflow
stabilization, the governing body shall charge a fee sufficient to pay the proportionate share of the repairs, maintenance, and
operating expenses as such the use bears in economic value to the total economic value of the total use of said the facilities
of the project or projects. The economic value is to be determined by the governing body.
(2) For the benefits received by areas within the boundaries of the project or projects for flood prevention, flood control,
and pollution abatement, the governing body shall determine a reasonable valuation or charge,. which The valuation or
charge shall must be certified by them the governing body to the county commissioners prior to the time general taxes are
levied and assessed. It shall be the obligation of Subject to [section 1], the county commissioners to shall levy a special
assessment as provided for in 76-5-1113 and 76-5-1114 against such the area or areas sufficient to provide revenues
revenue for the repairs, maintenance, and operating expenses of the project.
(3) For recreation use the governing body shall first determine the share of the costs of operation, repairs, and
depreciation to be charged against such recreation uses and from this figure shall subtract the estimated amount of fees and
tolls collected for such recreation uses. The deficiency, if any, shall must be certified to the county commissioners in the
same way as the charges for flood prevention, flood control, etc., and subject to [section 1], special assessments shall must
be levied by the county commissioners in the manner set out herein provided in this section."
Section 145. Section 76-6-109, MCA, is amended to read:
"76-6-109. Powers of public bodies. (1) A public body shall have has all the powers necessary or convenient to carry
out the purposes and provisions of this chapter, including the following powers in addition to others granted by this chapter:
(a) to borrow funds and make expenditures necessary to carry out the purposes of this chapter;
(b) to advance or accept advances of public funds;
(c) to apply for and accept and utilize grants and any other assistance from the federal government and any other public
or private sources, to give such security as may be required, to enter into and carry out contracts or agreements in
connection with the assistance, and to include in any contract for assistance from the federal government such conditions
imposed pursuant to federal laws as the public body may deem consider reasonable and appropriate and which that are not
inconsistent with the purposes of this chapter;
(d) to make and execute contracts and other instruments necessary or convenient to the exercise of its powers under this chapter;
(e) in connection with the real property acquired or designated for the purposes of this chapter, to provide or to arrange or contract for the provision, construction, maintenance, operation, or repair by any person or agency, public or private, of services, privileges, works, streets, roads, public utilities, or other facilities or structures that may be necessary to the provision, preservation, maintenance, and management of the property as open-space land;
(f) to insure or provide for the insurance of any real or personal property or operations of the public body against any risks or hazards, including the power to pay premiums on the insurance;
(g) to demolish or dispose of any structures or facilities which that may be detrimental to or inconsistent with the use of
real property as open-space land; and
(h) to exercise any or all of its functions and powers under this chapter jointly or cooperatively with public bodies of
one or more states, if they are so authorized by state law, and with one or more public bodies of this state and to enter into
agreements for joint or cooperative action.
(2) For the purposes of this chapter, the state or a city, town, other municipality, or county may:
(a) appropriate funds;
(b) subject to [section 1], levy taxes and assessments according to existing codes and statutes not to exceed 1 mill;
(c) issue and sell its general obligation bonds in the manner and within the limitations prescribed by the applicable laws of the state; and
(d) exercise its powers under this chapter through a board or commission or through such the office or officers as that
its governing body by resolution determines or as the governor determines in the case of the state."
Section 146. Section 76-15-501, MCA, is amended to read:
"76-15-501. Financial management. A conservation district and the supervisors thereof shall of the district have the
power to:
(1) borrow money and incur indebtedness and issue bonds or other evidence of such indebtedness;
(2) also refund or retire an indebtedness or lien that may exist against the district or property thereof of the district;
(3) fix and revise as necessary and collect rates, fees, tolls, rents, or other charges for the use of or for services,
facilities, and materials furnished or provided, and revenues revenue from these sources may be expended in carrying out
the purposes and provisions of this chapter;
(4) subject to [section 1], cause taxes to be levied in the same manner provided for in this part for the purpose of paying
any obligation of the district and to accomplish the purposes of this chapter in the manner herein provided in this chapter;
(5) apply for and receive federal revenue sharing funds in order to carry out the purposes and provisions of this chapter;
(6) establish a conservation practice loan program as provided in this part."
Section 147. Section 76-15-516, MCA, is amended to read:
"76-15-516. Levy of regular and special assessments. (1) The Subject to [section 1], the board of county
commissioners of each county in which any portion of the district lies may, annually at the time of levying county taxes,
levy an assessment on the taxable real property within the district. The levy must be known as the ".... (name of district)
conservation district regular assessment" and must be sufficient to raise the amount reported to the county commissioners in
the estimate of the supervisors.
(2) Subject to the conditions of [section 1], 76-15-531, and 76-15-532, the board of county commissioners of each county in which any portion of the district lies may, annually at the time of levying county taxes, levy an assessment on the taxable real property within the district. The levy must be known as the ".... (name of district) conservation district special administrative assessment" and must be sufficient to raise the amount reported to the county commissioners in the estimate of the supervisors.
(3) The Subject to [section 1], the board of county commissioners of each county in which any portion of a project area
lies may, annually at the time of levying county taxes, levy an assessment not to exceed 3 mills on the taxable real property
within the project area. The levy must be known as ".... (name of the project area) special assessment" and must be
sufficient to raise the amount reported to the county commissioners in the estimate of the supervisors."
Section 148. Section 76-15-518, MCA, is amended to read:
"76-15-518. Certification of assessment to department of revenue -- entry on property tax record. The Subject to
[section 1], the board of county commissioners of each county in which any portion of the district is situated may levy the
assessment provided in this part or part 6 or this part. The assessment must be certified to the department of revenue and
entered on the property tax record of each county."
Section 149. Section 76-15-623, MCA, is amended to read:
"76-15-623. Administration of special assessment. (1) When Subject to [section 1], when the board or boards of
supervisors have determined that a special assessment is necessary, the board of county commissioners of such the county
in which there lies any portion of a project area shall annually at the time of levying county taxes levy a special assessment
of the taxable real property in the project area, not to exceed 3 mills. It shall The levy must be known as the "....(name of
district) soil and water conservation district special assessment" and shall must be sufficient to raise the income reported to
it in the estimate of the supervisors.
(2) Each lot or parcel of land to be assessed shall must be assessed with that part of the amount of money required
which that its taxable valuation bears to the total taxable valuation of all the lands to be assessed."
Section 150. Section 81-8-504, MCA, is amended to read:
"81-8-504. Tax levy authorized. For the purpose of defraying the costs of such purebred livestock shows and such
purebred livestock sales, the county commissioners are authorized and empowered, subject to [section 1], to levy annually a
tax not to exceed one-fourth mill on the taxable property of the county, in excess of the amount levied for county purposes,.
which The taxes shall must be paid into the general fund of the county."
Section 151. Section 85-3-422, MCA, is amended to read:
"85-3-422. Tax certified by weather modification authority -- disposition of proceeds. (1) The authority may certify
annually to the board of county commissioners a tax of not to exceed 2 mills upon the taxable valuation of the property in
the county for a weather modification fund. The Subject to [section 1], the tax must be levied by the board of county
commissioners and may be levied in excess of the mill levy limit fixed by law for taxes for general county purposes. The
weather modification fund may be used only for weather modification activities as provided by 85-3-424. The tax certified
by the authority is limited to the period of existence of the authority.
(2) The money in the weather modification fund must be invested to earn interest at the rate most advantageous to the fund, consistent with law and prudent business practice."
Section 152. Section 85-7-206, MCA, is amended to read:
"85-7-206. Basis and apportionment of annual tax. The Subject to [section 1], the annual tax levy and the
apportionment and distribution of the total amount required to be raised in any year shall be had and done must be
determined and imposed in accordance with the provisions and limitations of law applicable to irrigation districts organized
under the provisions of parts 1 and 15 of this chapter."
Section 153. Section 85-7-307, MCA, is amended to read:
"85-7-307. Tax levy. The Subject to [section 1], the annual tax levy and the apportionment and distribution of the total
amount required to be raised in any year shall be had and done must be determined and imposed in accordance with the
provisions and limitations of law applicable to other irrigation districts organized under parts 1 and 15 of this chapter."
Section 154. Section 85-7-1953, MCA, is amended to read:
"85-7-1953. Amount owed United States -- lien and special tax. All amounts to be paid to the United States under
any contract made hereunder pursuant to this part between the district and the United States shall be are a general obligation
of the district, and said the amounts to be paid to the United States shall be are a lien upon the irrigation system of the
district. All Subject to [section 1], all lands now within the district or hereafter embraced within added to the district shall
must be subject to a special tax or assessment for the payment of all amounts to be paid to the United States under any such
the contract between the district and the United States,. and said The special tax or assessment shall constitute constitutes a
first and prior lien on the land against which the tax or assessment is levied to the same extent and with like force and effect
as taxes levied for state and county purposes."
Section 155. Section 85-7-1973, MCA, is amended to read:
"85-7-1973. Amount owed the state -- lien and special tax. All amounts owed to the state under any contract made
under 85-7-1971 through 85-7-1975 between the district and the state of Montana establish a general obligation of the
district for payment, and any amounts to be paid to the state of Montana constitute a lien upon the irrigation system of the
district. All Subject to [section 1], all lands now within the district or hereafter embraced within added to the district are
subject to a special tax or assessment for the payment of all amounts owed to the state under such the contract between the
district and the state of Montana,. and this The special tax or assessment constitutes a first and prior lien on the land against
which it is levied to the same extent and with the same force and effect as taxes levied for state and county purposes."
Section 156. Section 85-7-2104, MCA, is amended to read:
"85-7-2104. Annual tax levy -- apportionment when tracts divided. (1) (a) On or before the second Monday in July each year, the board of commissioners of each irrigation district organized under parts 1 and 15 shall ascertain:
(i) the total amount required to be raised in that year for the general administrative expenses of the district, including the cost of maintenance and repairs; and
(ii) the total amount to be raised that year for interest on and principal of the outstanding bonded or other indebtedness of the district for which bonds of the district have not been deposited with the United States as provided in 85-7-1906.
(b) The Subject to [section 1], the board shall levy against each 40-acre tract or fractional lot, as designated by United
States government survey, or platted lot if land is subdivided in lots and blocks (or where land is owned in less than 40-acre
tracts or in less than the platted lot, against each tract) of land in the district, that portion of the respective total amounts to
be raised which the total irrigable area of any tract or lot bears to the total irrigable area of the lands in the district, so that
each acre of irrigable land in the district is assessed and required to pay the same amount as every other acre of irrigable
land in the district, unless otherwise specifically provided by the board. The board may also charge the administrative
charge authorized in 85-7-2103(1).
(c) Indebtedness under subsection (1) includes debt incurred under any contract between the district and the United States but excludes any indebtedness incurred by the district on behalf of a subdistrict.
(2) (a) On or before the second Monday in July each year, the board of commissioners of each irrigation district organized under parts 1 and 15 for which a subdistrict has been created pursuant to 85-7-404 shall determine the total amount to be raised that year for interest and principal payments on the outstanding bonded or other indebtedness of the district incurred on behalf of the subdistrict.
(b) The board shall levy against each 40-acre tract or fractional lot, as designated by United States government survey, or platted lot if land is subdivided in lots and blocks (or where land is owned in less than 40-acre tracts or in less than the platted lot, against each tract) in the subdistrict, the portion of the total amount to be raised apportioned according to the ratio of the total irrigable area of the tract or lot to the total irrigable area of the lands in the subdistrict, so that each acre of irrigable land in the subdistrict is assessed and required to pay the same amount as every other acre of irrigable land in the subdistrict, unless otherwise specifically provided by the board. The board may also charge the administrative charge authorized in 85-7-2103(1).
(3) In the event that the ownership of any 40-acre tract or other subdivision of land in the district or subdistrict is divided after a special tax or assessment against the land has been levied, each of the owners of a tract or subdivision is entitled to have the special tax or assessment equitably apportioned to and against the divisions of the tract or subdivision, so that each owner is enabled to pay a special tax or assessment against the owner's portion of the tract or subdivision and have the land discharged from the lien. The charge against any separately owned tract of land may not be less than $5."
Section 157. Section 85-7-2117, MCA, is amended to read:
"85-7-2117. Conclusiveness of tax or assessment. In determining the proper and just tax or assessment to be levied
against any land for district purposes, the finding of the board of commissioners of the district, in the absence of fraud or
mistake and subject to [section 1], shall be are conclusive and final, except as herein otherwise provided in this part."
Section 158. Section 85-7-2134, MCA, is amended to read:
"85-7-2134. Levy of taxes and assessments by county commissioners. If for any reason a levy of taxes or
assessments shall is not be made for any irrigation district in any year by the board of commissioners of such the district
within the time provided by 85-7-2104, the board of county commissioners of the county in which such the district is
situated shall, not later than the second Monday in August, ascertain the total amount to be raised for all purposes of said
the district,. Subject to [section 1], the board of county commissioners shall make the levy which that should have been
made by the board of commissioners of such the district, and shall furnish the county clerk of such county with a list of the
lands and the amount of taxes or assessments as provided in 85-7-2136,. and such The levy so made shall have has the
same force and effect as though made by the board of commissioners of such the district. This section shall apply applies
only to irrigation districts having a bonded indebtedness and actually in possession of a dependable water supply system
and furnishing substantial amounts of water to bona fide users."
Section 159. Section 85-7-2136, MCA, is amended to read:
"85-7-2136. Collection of taxes or assessment. (1) On Subject to [section 1] and on or before the third Monday in
August of each year, the board of commissioners shall furnish to the department of revenue a correct list of all the district
lands in the county, together with the amount of the total taxes or assessments against the lands for district purposes. The
department of revenue shall immediately upon receipt of the list enter the assessment roll in the property tax record of the
county for each year.
(2) The county treasurer of each county in which any irrigation district is located, in whole or in part, shall collect and receipt for all taxes and assessments levied by the district, in the same manner and at the same time as is required in the collection of taxes upon real estate for county purposes as provided in 15-16-102. The treasurer shall receive from any taxpayer, at any time, the amount due on account of any district assessments of any kind, whether other taxes on the same real estate are paid or not.
(3) During the water delivery season, as determined by the irrigation district commissioners, the county treasurer shall make available to the board of commissioners of an irrigation district notice of the receipt of payments of district assessments by 9 a.m. on the day following receipt of those payments.
(4) If requested in writing by a board of commissioners of an irrigation district, the county treasurer may receive assistance from an employee of the irrigation district or a commissioner of the district for the purpose of collecting district assessments as provided in 15-16-102, investing district funds as directed by the board of commissioners of the district, and preparing district assessment notices.
(5) When any real estate on account of which the district taxes and assessments have been levied has been sold to the
county and tax certificate of sale is held by the county, the taxpayer may pay to the treasurer at any time any semiannual
installment of the district tax or assessment, together with the penalty and interest to date of payment on the installment.
However, the payment may not be considered a redemption of the property from the tax sale but must be credited on
account of any redemption that may be made. In case of any payment pursuant to this subsection, a separate tax receipt
must issue, be issued showing exactly what assessments have been paid, and must show showing that no other tax on the
real estate has been received by the treasurer. The county treasurer may not collect, receive, or receipt for any taxes levied
for county purposes upon real estate situated wholly or in part within any irrigation district upon which an assessment for
the purposes of the irrigation district has been levied unless the assessment levied for irrigation district purposes is either
paid as permitted in this section and the receipt for the payment is presented to the county treasurer at the time the taxes are
paid, or paid at the same time the irrigation district taxes are paid."
Section 160. Section 85-8-601, MCA, is amended to read:
"85-8-601. Certification and collection of district taxes. (1) On Subject to [section 1] and on or before the third
Monday in August of each year, the commissioners shall certify to the department of revenue a correct list of all the district
lands in each county and the owners of the lands, together with a statement of the amount of the total tax or assessment
against the lands for district purposes for that year. The department of revenue shall immediately enter the assessment roll
in the property tax record of the county for each year.
(2) The county treasurer of each county in which a drainage district is located, in whole or in part, shall collect and
receipt for all taxes and assessments levied by the district, in the same manner and at the same time as is required in the
collection of taxes upon real estate for county purposes as provided in 15-16-102. However, the treasurer must receive from
any taxpayer, at any time, the amount due on account of any district assessments of any kind, whether other taxes on the
same real estate are paid or not. When any real estate on account of which the district taxes and assessments have been
levied has been sold to the county and tax certificate of sale is held by the county, the taxpayer may pay to the treasurer at
any time any semiannual installment of the district tax or assessment, together with the penalty and interest to date of
payment on the installment. However, the payment may not be considered a redemption of the property from the tax sale,
but must be credited on account of any redemption that may later be made. In case of any payment pursuant to this
subsection, a separate tax receipt must be issued showing exactly what assessments have been paid and showing that no
other tax on the real estate has been received by the treasurer. However, the county treasurer may not collect, receive, or
receipt for any taxes levied for county purposes upon real estate situated wholly or in part within any drainage district upon
which an assessment for the purposes of the drainage district has been levied unless the assessment levied for the drainage
district purposes is either paid as provided in this section and the receipt is presented to the county treasurer at the time the
real estate taxes are paid or paid at the time the drainage district taxes are paid."
Section 161. Section 85-8-615, MCA, is amended to read:
"85-8-615. Procedure to levy additional assessments. If Subject to [section 1], if in the first assessment for
construction the commissioners shall have reported to the court a smaller sum than is needed to complete the work of
construction or if in any year an additional sum is necessary to pay the lawful indebtedness of said the drainage district,
further or additional assessments on the land (including improvements where benefited) and corporations benefited,
proportioned on the last assessment of benefits which that has been approved by the court, shall must be made by the
commissioners of said the drainage district under the order of the court. or presiding judge thereof; provided, however
However, that the total assessments for original construction and any additional assessments, other than for maintenance,
incidental expense, and interest on bonds, shall, in no event, may not exceed the total assessments of benefits as provided in
85-8-342. Notice of the hearing of the application for such the additional assessment shall must be published at least once
each week for 3 consecutive weeks in one newspaper published in each county in which said the lands, or any part thereof
of the lands, within said the district are situated,. which The further or additional assessment may be made payable in
installments as specified in 85-8-611 and shall must be treated and collected in the same manner as the original assessments
for construction confirmed by the court in said the drainage district."
Section 162. Section 85-8-618, MCA, is amended to read:
"85-8-618. Assessment of unassessed, benefited lands. Whenever any lands from which surface or seepage water
enters any drain or upon which or through which surface or seepage water has been prevented from flowing because of the
construction of any drain have not been included within the drainage district which that constructed such the drains or drain
or the owner of any irrigation ditch or canal from which water seeps, drains, or wastes to, upon, or through lands included
within a drainage district has not been assessed for the cost of construction of the drainage system of said the drainage
district, the commissioners of such the district may report said the facts to the court and ask that said the lands, describing
them, be brought into said the district and assessed for their proportionate share of the cost of the drainage system. of said
drainage district and Subject to [section 1], the report may ask that the owner of any such irrigation ditch or canal be
assessed its proportionate share of the costs of construction of such the drainage system. Thereupon, the The same
proceedings as set out in 85-8-421 through 85-8-424 for the determination and levy of assessments against drained lands
outside of the drainage district receiving benefits from the drainage of said the district shall be had must be commenced to
determine the proper assessments, if any, to be levied against said the lands and the owner of such the irrigation ditch or
canal to aid in payment of costs of construction."
Section 163. Section 90-5-112, MCA, is amended to read:
"90-5-112. Economic development levy. (1) The Subject to [section 1], the governing body of a city, county, or town
is authorized to levy up to 1 mill upon the taxable value of all the property in the city, county, or town subject to taxation
for the purpose of economic development. The governing body may:
(a) submit the question of the mill levy to the qualified voters voting in a city, county, or town election; or
(b) approve the mill levy by a vote of the governing body.
(2) Funds derived from this levy may be used for purchasing land for industrial parks, constructing buildings to house manufacturing and processing operations, conducting preliminary feasibility studies, promoting economic development opportunities in a particular area, and other activities generally associated with economic development. These funds may not be used to directly assist an industry's operations by loan or grant or to pay the salary or salary supplements of government employees.
(3) The governing body of the county, city, or town may use the funds derived from this levy to contract with local development companies and other associations or organizations capable of implementing the economic development function.
(4) A tax authorized by a vote of the electorate, as provided in subsection (1)(a), may be levied for a period not to
exceed 6 years and is not subject to the provisions of Title 15, chapter 10, part 4.
(4) A tax authorized by a vote of the electorate, as provided in subsection (1)(a), may be levied for a period not to exceed 6 years."
Section 164. Section 90-6-403, MCA, is amended to read:
"90-6-403. Jurisdictional revenue disparity -- conditioned exemption and reallocation of certain taxable
valuation. (1) When an impact plan for a large-scale mineral development approved pursuant to 90-6-307 identifies a
jurisdictional revenue disparity, the board shall promptly notify the developer, all affected local government units, and the
department of revenue of the disparity. Except as provided in this section and 90-6-404 and this section, the increase in
taxable valuation of the mineral development that occurs after the issuance and validation of a permit under 82-4-335 is not
subject to the usual application of county and school district property tax mill levies. This increase in taxable valuation
must be allocated to local government units as provided in 90-6-404. The increase in taxable valuation allocated as
provided in 90-6-404 is subject to [section 1] and the application of property tax mill levies in the local government unit to
which it is allocated. The increase in taxable valuation allocated to the local government unit is considered newly taxable
property in the recipient local government unit as provided in [section 1].
(2) The Subject to [section 1], the total taxable valuation of a large-scale mineral development remains subject to the
statewide mill levies and basic county levies for elementary and high school BASE funding programs as provided in
20-9-331 and 20-9-333.
(3) The provisions of subsection (1) remain in effect until the large-scale mineral development ceases operations or until the existence of the jurisdictional revenue disparity ceases, as determined by the board."
Section 165. Extension of 1999 deadlines relating to property taxation. As a result of the change in the phasein of reappraisal for class three, four, and ten property enacted by the 56th legislature, it may not be possible to comply with certain statutory deadlines relating to appraisals, assessments, reimbursements, budgets, and collection of property taxes. The state appraisal and assessment process may be delayed, which in turn may cause delays for the tax appeal boards and local government taxing jurisdiction budgeting and collection processes. Therefore, for tax year 1999, all deadlines are extended as necessary and reasonable, except that the time limits allowed for filing an appeal remain the same as provided by law in order to allow for the orderly and efficient assessment and collection of taxes.
Section 166. Section 1, Senate Bill No. 79, 1999, is amended to read:
"Section 1. Tax levy for university system. Subject to the provisions of 20-25-423 and [section 1], there is levied upon the taxable value of all real estate and personal property subject to taxation in the state of Montana 6 mills or so much of 6 mills as is necessary to raise the amount appropriated by the legislature from the state special revenue fund for the support, maintenance, and improvement of the Montana university system, as provided in referendum measure No. 113, passed by a vote of the people at the general election held November 3, 1998. The funds raised from the levy must be deposited in the state special revenue fund."
Section 167. Reimbursement to counties, cities, towns, and consolidated city-county governments for losses in revenue. (1) (a) The department of revenue shall determine the amount of tax and other revenue lost by each local government unit as a result of the enactment of House Bill No. 128, House Bill No. 174, House Bill No. 420, House Bill No. 658, Senate Bill No. 200, and Senate Bill No. 530 for fiscal year 2000 and for fiscal year 2001. The determination must be made by August 15, 1999, for fiscal year 2000, and by March 15, 2000, for fiscal year 2001. The department shall use fiscal year 1998 as its base year for each determination.
(b) As used in this section, "local government unit" means a county, city, or town capable of levying mills, consolidated city-county government, school district, miscellaneous district, or other local district that levies mills. The term does not include the state.
(c) The department shall determine the amount of tax and other revenue due each local government unit for fiscal year 1998 from the following sources:
(i) property taxes levied by each local government unit within each county or consolidated city-county government for fiscal year 1998, but excluding any mills levied by the state pursuant to [section 1 of Senate Bill No. 79], 20-9-331, 20-9-333, 20-9-360, 20-25-439, and 53-2-813; and
(ii) oil and gas production taxes levied and distributed as provided for in Title 15, chapter 36.
(2) The department shall calculate for each local government unit for fiscal year 1998 the amount of tax and other revenue that would have been due each local government unit from the sources listed in subsection (1) if House Bill No. 128, House Bill No. 174, House Bill No. 420, House Bill No. 658, Senate Bill No. 200, and Senate Bill No. 530 had been in effect for fiscal year 1998.
(3) In making the calculation provided for in subsection (2), the department shall take into account any benefit to a local government unit that levied mills against electrical generation property in fiscal year 1998 from any increase in the assessed value of electrical generation property stemming from the sale of electrical generation assets subsequent to tax year 1997.
(4) (a) Each county, city, town, and consolidated city-county government that in aggregate lost tax revenue in a particular year, based on the difference between the calculation in subsections (1)(c) and (2), must receive the same percentage of the appropriation for local government reimbursements as the appropriation bears to the total amount of loss for all local government units in this state. Payments must be made in two similar installments for each fiscal year on or about December 15 and June 15. Each county, city, town, and consolidated city-county government is authorized to distribute the revenue received among its funds and districts according to current year mill levies. Except as provided in subsections (4)(b), each tax increment financing district must receive the benefit of the reimbursement based on the loss to the incremental taxable value of the district.
(b) A tax increment financing district that consists of an industrial district created under 7-15-4299 may not receive any reimbursement under subsection (4)(a).
(5) The amount of loss calculated in subsection (2), converted to taxable value by multiplying by the applicable mill levy, shall be added to the taxable value of taxing units to determine their bonding limits.
(6) (a) A charter form of local government that has a charter provision that prohibits an increase in the number of mills that may be levied to compensate for the loss of taxable value, as authorized in [section 1], is entitled to further reimbursement in addition to that computed under subsections (1) through (5) of this section.
(b) The amount of reimbursement is equal to the difference between the amount of the reimbursement calculated under subsections (1) through (5) and the amount of property tax imposed in tax year 1998. If the amount appropriated for the reimbursement under this subsection (6) is insufficient to fully fund all the jurisdictions entitled to reimbursement, the payments must be prorated to the jurisdictions. The payments must be made with the payments made under subsections (1) through (5).
Section 168. Local government and court funding and structure committees -- membership -- purpose. (1) There is an interim local government funding and structure committee composed of 10 members. The members must include:
(a) two members from the house of representatives, one from each party, appointed by the speaker of the house;
(b) two members from the senate, one from each party, appointed by the senate committee on committees; and
(c) the following members appointed by the governor:
(i) two representatives of counties;
(ii) two representatives of cities and towns;
(iii) one county treasurer; and
(iv) one member from the state executive branch of government.
(2) The names of the committee members must be certified to the department of administration by July 1, 1999.
(3) There is an interim court funding and structure committee composed of 10 members. The members must include:
(a) two members from the house of representatives, one from each party, appointed by the speaker of the house;
(b) two members from the senate, one from each party, appointed by the senate committee on committees;
(c) one member appointed by the chief justice of the Montana supreme court; and
(d) the following members appointed by the governor:
(i) one member representing cities and towns;
(ii) one member representing counties;
(iii) one member representing the Montana judges association;
(iv) one member representing the Montana magistrates association; and
(v) one clerk of court.
(4) The names of the committee members must be certified to the department of administration by July 1, 1999.
(5) (a) The members of each committee shall select a presiding officer and may appoint other officers as considered necessary.
(b) The committees may adopt rules of procedure for conducting meetings.
(c) The presiding officer of each committee shall schedule meetings and shall direct the staff of the department of administration to give notice of the time and place of meetings to the committee members and to the public.
(6) (a) The purpose of the committees is to conduct a study of funding local government, including the courts, to ascertain the best method of allocating current and future resources, while providing a complementary funding relationship between local government and state government. This complementary funding relationship must provide stable and reliable revenue streams to local governments, including the courts. The study must explore regional concepts, as well as further lifting of local government revenue restrictions and de-earmarking of revenue to local governments. The complementary funding relationship must meet the criteria set forth in the following vision statement, adopted by the local government funding and school finance visioning group:
"We are dedicated to partnerships among the state, counties, cities, and school districts that are based on mutual trust and respect for local authority. This partnership will enable all governments to respond to the demands of their citizens in the 21st century through a mix of taxes and fees that is understandable, equitable, stable, and adequate. The collection and distribution system for these taxes and fees will be simple, efficient, accurate, and timely."
(b) The committees shall coordinate their work and shall report to each other after each meeting. The two committees shall meet together at least once every 6 months.
(c) (i) The committees shall make interim reports to the governor, the chief justice, and the leadership of each house of the legislature every 6 months.
(ii) The committees shall submit a written report to the legislature not later than December 1, 2000, that must include recommendations and proposed bill drafts necessary to implement any legislative proposals to streamline the functions of local government, including courts and a complementary funding structure between state and local governments.
(7) (a) Each committee is authorized to request directly from any agency, board, or commission any relevant information, suggestions, estimates, and statistics, and each agency, board, or commission shall furnish requested information to the best of its ability.
(b) The committees are attached to the department of administration for administrative and staff purposes. Further, the committees may request assistance from or the use of the resources of the legislative, judicial, and executive branch agencies to accomplish their studies.
(8) (a) Except as provided in subsection (8)(b), members of the committees must be reimbursed in accordance with 2-18-501 through 2-18-503 for actual and necessary expenses incurred in attending meetings or conducting committee business.
(b) Legislators serving on the committees must be reimbursed and compensated as provided for in 5-2-302 for actual and necessary expenses incurred in attending meetings or conducting committee business.
Section 169. Funding -- appropriations. (1) The committees established in [section 168] may receive gifts, grants, and donations. The money received must be used for fulfilling the duties of the committees, for reimbursing the expenses of committee members, or for providing staff for the committees. The money received must be placed in a special revenue fund account to the credit of the department of administration.
(2) In addition to any funds received pursuant to subsection (1), there is appropriated $55,000 from the general fund to the committees created pursuant to the provisions of [section 168] for the biennium for the operating expenses and personnel expenses of the committees.
(3) There is appropriated to the office of public instruction from the general fund $1,980,000 for BASE aid for the biennium ending June 30, 2001.
(4) There is appropriated to the office of public instruction from the general fund $2,229,934 for state reimbursements for motor vehicle fee reductions under 61-3-509.
(5) There is transferred from the general fund $691,246 for the fiscal year ending June 30, 2000, and $1,774,042 for the fiscal year ending June 30, 2001, to the state special revenue fund referenced in [section 1 of Senate Bill No. 79].
(6) There is appropriated from the general fund $12,900,000 for the fiscal year ending June 30, 2000, and $54,934,392 for the fiscal year ending June 30, 2001, to the department of revenue for the reimbursements calculated in [section 167(1) through (5)].
(7) There is appropriated from the general fund $1.5 million for the biennium ending June 30, 2001, to the department of revenue for the costs of administration.
(8) There is appropriated from the general fund $2.15 million for the biennium ending June 30, 2001, to the department of revenue for the reimbursements calculated in [section 167(6)].
(9) There is appropriated from the general fund $600,000 to the department of revenue for the biennium ending June 30, 2001, for reimbursement to tax increment financing districts created pursuant to 7-15-4299.
(10) The governor shall include the sum of the reimbursements in this section in the present law base budget prepared for the 57th legislative session.
Section 170. Coordination instruction. (1) If any of the following is passed and approved in a form that contains a reimbursement mechanism for local government, then:
(a) in House Bill No. 128:
(i) [sections 19 and 20], third reading copy, are void;
(ii) [section 18] must read as follows:
"NEW SECTION. Section 18. Distribution of retail telecommunications excise tax revenue. After retaining an allowance for refunds, retail telecommunications excise tax revenue collected by the department must be deposited in the state general fund."
(b) in House Bill No. 174, [section 15] of the second reading second house copy is void; and
(c) in Senate Bill No. 200, [sections 1 and 26] of the enrolled bill, are void; and
(d) in House Bill No. 658 or Senate Bill No. 530, any section that contains a reimbursement mechanism for local government is void.
(2) If Senate Bill No. 260 and [this act] are both passed and approved, then [section 3] of Senate Bill No. 260, amending 61-3-509, must read as follows:
"61-3-509. Disposition of taxes. (1) Except as provided in subsection (2), the county treasurer shall, after deducting the district court fee, credit all taxes on motor vehicles and fees in lieu of tax on motorcycles, quadricycles, motor homes, travel trailers, campers, trailers, pole trailers, semitrailers, buses, trucks having a manufacturer's rated capacity of more than 1 ton, and truck tractors collected under 61-3-504, 61-3-521, 61-3-527, 61-3-529, and 61-3-537, to a motor vehicle suspense fund. At some time between March 1 and March 10 of each year and every 60 days after that date, the county treasurer shall distribute the money in the motor vehicle suspense fund. Except for taxes collected under 61-3-504, the county treasurer shall distribute the money in the fund in the relative proportions required by the levies for state, county, school district, and municipal purposes in the same manner as personal property taxes are distributed. For money in the fund collected under 61-3-504, the county treasurer shall disregard the statewide mills levied for the university system and the mills levied for state equalization aid under 20-9-360 in determining distribution proportions of the money and may not distribute money from 61-3-504 to the state for either levy. If the distribution of money collected under 61-3-504 to a school district general fund results in a lower revenue than the district received in fiscal year 1999 and the district has, for all years after fiscal year 1999, received less revenue than in fiscal year 1999, then the district general fund is entitled to state reimbursement for the amount of the difference between the fiscal year 1999 revenue and the prior school fiscal year revenue under 61-3-504. Prior to January 31, the office of public instruction shall distribute to each school district an amount equal to the state reimbursement for the prior school year.
(2) The county treasurer shall deduct as a district court fee 7% 10% of the amount of the 2% tax collected on light
vehicles under 61-3-504(1). The county treasurer shall credit the fee for district courts to a separate suspense account and
shall forward the amount in the account to the state treasurer at the time that the county treasurer distributes money from the
motor vehicle suspense fund. The state treasurer shall credit amounts received under this subsection to the state special
revenue fund to be used for purposes of state funding of district court expenses as provided in 3-5-901."
(3) If Senate Bill No. 260 and [this act] are passed and approved and amend 20-9-141, then section 20-9-141 in House Bill No. 90 is void and section 20-9-141 must read as follows:
"Section 20-9-141, MCA is amended to read:
"20-9-141. Computation of general fund net levy requirement by county superintendent. (1) The county superintendent shall compute the levy requirement for each district's general fund on the basis of the following procedure:
(a) Determine the funding required for the district's final general fund budget less the sum of direct state aid and the special education allowable cost payment for the district by totaling:
(i) the district's nonisolated school BASE budget requirement to be met by a district levy as provided in 20-9-303; and
(ii) any general fund budget amount adopted by the trustees of the district under the provisions of 20-9-308 and 20-9-353, including any additional funding for a general fund budget that exceeds the maximum general fund budget.
(b) Determine the money available for the reduction of the property tax on the district for the general fund by totaling:
(i) the general fund balance reappropriated, as established under the provisions of 20-9-104;
(ii) amounts received in the last fiscal year for which revenue reporting was required for each of the following: amounts
received in the last fiscal year for which revenue reporting was required for each of the following:
(A) revenue from taxes and fees imposed under 23-2-517, 23-2-803, 61-3-521, 61-3-527, 61-3-529, and 67-3-204;
(B) interest earned by the investment of general fund cash in accordance with the provisions of 20-9-213(4); and
(C) any other revenue received during the school fiscal year that may be used to finance the general fund, excluding any guaranteed tax base aid;
(A)(iii) anticipated tuition payments for out-of-district pupils under the provisions of 20-5-321 through 20-5-323, except
the amount of tuition received for a pupil who is a child with disabilities in excess of the amount received for a pupil
without disabilities, as calculated under 20-5-323(2);
(B)(iv) anticipated revenue from taxes and fees imposed under 23-2-517, 23-2-803, 61-3-504, 61-3-521, 61-3-527,
61-3-529, and 61-3-537, and 67-3-204 which for the fiscal year beginning July 1, 2000, may not be less than 75% of the
previous year's revenue from these sources;
(C)(v) anticipated oil and natural gas production taxes;
(vi) pursuant to subsection (4), anticipated revenue from coal gross proceeds under 15-23-703 and property tax reimbursements under 15-1-111, 15-1-112, and [section 167]; and
(D) interest earned by the investment of general fund cash in accordance with the provisions of 20-9-213(4);
(E)(vii) anticipated revenue from corporation license taxes collected from financial institutions under the provisions of
15-31-702; and
(F) any other revenue received during the school fiscal year that may be used to finance the general fund, excluding any
guaranteed tax base aid; and
(iii) pursuant to subsection (4), anticipated revenue from coal gross proceeds under 15-23-703.
(c) Notwithstanding the provisions of subsection (2), subtract the money available to reduce the property tax required to finance the general fund that has been determined in subsection (1)(b) from any general fund budget amount adopted by the trustees of the district, up to the BASE budget amount, to determine the general fund BASE budget levy requirement.
(d) Subtract any amount remaining after the determination in subsection (1)(c) from any additional funding requirement to be met by an over-BASE budget amount, a district levy as provided in 20-9-303, and any additional financing as provided in 20-9-353 to determine any additional general fund levy requirements.
(2) The county superintendent shall calculate the number of mills to be levied on the taxable property in the district to finance the general fund levy requirement for any amount that does not exceed the BASE budget amount for the district by dividing the amount determined in subsection (1)(c) by the sum of:
(a) the amount of guaranteed tax base aid that the district will receive for each mill levied, as certified by the superintendent of public instruction; and
(b) the current total taxable valuation of the district, as certified by the department of revenue under 15-10-202, divided by 1,000.
(3) The net general fund levy requirement determined in subsections (1)(c) and (1)(d) must be reported to the county commissioners on the fourth Monday of August by the county superintendent as the general fund net levy requirement for the district, and a levy must be set by the county commissioners in accordance with 20-9-142.
(4) For each school district, the department of revenue shall calculate and report to the county superintendent the amount of revenue anticipated for the ensuing fiscal year from revenue from coal gross proceeds under 15-23-703 and property tax reimbursements under 15-1-111, 15-1-112, and [section 167].""
(4) If Senate Bill No. 454 is passed and approved, but House Bill No. 622 is not passed and approved, then Senate Bill No. 454 [section 2 of the reference copy] must read as follows:
"NEW SECTION. Section 2. Review of state payments in lieu of taxes. The interim local government funding and structure committee created under [section 168 of the reference copy of Senate Bill No. 184] shall include in its study of funding local government a review of state payments in lieu of taxes to local governments from grazing, agricultural, and forest activities that are self-supporting or that compete with private enterprise."
(5) If House Bill No. 622 and [this act] are both passed and approved and both bills commission local government and court funding and structure studies that are substantially the same, then House Bill No. 622 is void.
Section 171. Repealer. Sections 7-6-2514, 7-6-4405, and 15-10-412, MCA, are repealed.
Section 172. Severability. If a part of [this act] is invalid, all valid parts that are severable from the invalid part remain in effect. If a part of [this act] is invalid in one or more of its applications, the part remains in effect in all valid applications that are severable from the invalid applications.
Section 173. Codification instruction. [Section 1] is intended to be codified as an integral part of Title 15, chapter 10, part 4, and the provisions of Title 15, chapter 10, part 4, apply to [section 1].
Section 174. Effective date. [This act] is effective on passage and approval.
Section 175. Retroactive applicability. [Sections 1 through 164] apply retroactively, within the meaning of 1-2-109, to tax years beginning after December 31, 1998.
Section 176. Termination. [Section 167] terminates December 31, 2001.
- END -
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