by Ken Toole | May 16, 2025 | Appraisal, Corporations, Taxes
In this post we are focusing on the games large corporations play on property taxes and “appraised values.” We’ve already written about Calumet’s shenanigans in receiving reductions in property taxes with the help and support of local Republican legislator Steve Fitzpatrick and Attorney Kim Beatty, wife of the Director of the Department of Revenue. https://wtf406.com/2025/04/calumets-got-lawyers-and-politicians/
The Goal of All Property Appraisal is to Establish the Market Value Of The Property
The first step in determining how much you will owe in property taxes is determined by the appraised value of your home, land, business, or rental. That value is determined by the Montana Department of Revenue’s appraisal process. The most common way the Department of Revenue determines the value of your home is to identify comparable property in your area that has sold. It is determining the “market value” by looking at sales of similar property.
Three Methods of Appraisal to Determine How Much a Property Is Worth
It is harder to find “comparable sales” for large industrial facilities like Calumet, because they do not sell as often and there are far fewer of them to use as comparisons. There are other ways to establish the market value. In addition to the comparable sales method, there is also the “cost approach” which adds the cost of land, buildings and other improvements and adjusts for condition of facilities to determine the total value. The third method is the “income approach.” In this system the appraiser looks at the income and expenses generated by the property. Calumet and other refineries are generally appraised using the “cost approach.”
Here’s The Game They Play. . .
If a property owner does not agree with the Department of Revenue’s appraisal, there is an appeal process through the Montana Tax Appeals Board. That process allows the Department of Revenue and the appellant (say, Calumet) to negotiate a voluntary settlement. Calumet and other refineries in Montana routinely appeal their valuations and routinely enter settlements with the Department of Revenue which result in lowering their taxes. None of the negotiation meetings are public. And when their taxes are lowered, your taxes go up. For a complete explanation of how this works, follow the link below. https://dailymontanan.com/2023/07/26/big-corporations-get-tax-benefits-while-montana-resident-get-higher-property-taxes/
2012 Showdown In A Legislative Committee
Dan Bucks, the Department of Revenue Director under former Governor Brian Schweitzer, refused to play this game. Instead, he defended the appraised values by the Department of Revenue rather than entering settlements. Not surprisingly, big corporate taxpayers, like refineries, didn’t like Buck’s approach. In September 2012, three refineries attempted to set him up in front of the legislative interim committee on Revenue and Transportation in a failed attempt to apply political pressure.
At the same time, Connacher Oil and Gas Limited, the previous owners of the Great Falls refinery, reached a deal with Calumet to sell the refinery for $120 million. That purchase established the actual market value of the refinery. The Department of Revenue had appraised the value of the refinery at $70 million, and Connacher Oil had appealed that appraisal, arguing it was too high even though it was $50 million below the actual purchase price paid by Calumet. Below is an audio clip of Bucks explaining the issue to the legislative committee.
https://sg001-harmony.sliq.net/00309/Harmony/en/PowerBrowser/PowerBrowserV2/20120914/-1/20693?startposition=20120914072325&mediaEndTime=20120914072507&viewMode=3&globalStreamId=4
Our Local Elected Officials Need to Represent Us, not Big Corporations
Too often local elected officials pander to these big corporations. Beware of politicians who talk about the economic benefits of “industrial development.” Too often we get taxes shifting more and more to residential and small business and underfunded public services. We need more people in government like Dan Bucks. We won’t get them if we (the public) don’t demand that the tax system is equitable and transparent and companies like Calumet pay their fair share.
by Ken Toole | May 9, 2025 | Featured
Northern Plains Resource Council is looking for a community organizer to work in Great Falls and Helena. Details below.
https://northernplains.org/helena-and-great-falls-community-organizer/
by Ken Toole | May 5, 2025 | City, Elections
Great Falls Republican Senator Jeremy Trebas has filed to run for the open District 1 Public Service Commission (PSC) seat currently held by Randy Pinocci. Pinocci is term limited and cannot run again.
PSC District One, An Open Seat For The Hi-Line and Beyond
District 1 covers north central and eastern Montana. The City of Great Falls and Havre are the largest cities in the district. Public Service Commissioners are among the highest paid state employees, drawing an entry salary over $114,000 per year plus full state benefits. Commissioners make more than the State Auditor, Secretary of State and Lieutenant Governor. Check out this editorial from 2018 explaining PSC Commissioner Salaries. ( https://www.havredailynews.com/story/2018/09/07/opinion/time-to-stop-the-gravy-train-at-the-public-service-commission/520333.html )
Republican Control Of The PSC, A Three-Ring Circus
Under Republican leadership, the PSC has become a three-ring circus of malfeasance and incompetence. Commissioners have sued each other and the state in petty rivalries. Staff have quit and successfully sued the Commission. A legislative audit found numerous questionable transactions made by commissioners and staff. Far-right gadfly, Commissioner Randy Pinocci, attracted attention for his brushes with Cascade County law enforcement (see below). All of this while the commissioners have approved numerous rate increases for residential consumers. The largest recently was an increase of approximately 28% in the fall of 2023.
https://wtf406.com/2024/04/pinocci-dodges-two-felonies-still-a-corrupt-asshole/
https://wtf406.com/2023/10/more-republican-police-blotter-pinocci-arrested-again/
https://wtf406.com/2024/07/randy-randy-randy-what-now/
From The Color Purple To Ruby Red
Historically PSC District 1 has elected Republicans and Democrats. Pinocci held the seat for the last eight years. Before him, Chinook Democrat Greg Jergeson held the seat for eight years. When Jergeson was chair of the PSC, he guided the effort to rebuild Montana’s troubled electric system after the Republican Legislature and Governor Marc Racicot subjected the state to the failed electric deregulation experiment. The Republican deregulation legislation caused the bankruptcy of the Montana Power Company. It ushered in years of chaos and increasing power bills for electric customers in Montana. Montana still has the highest electric rates in our region after years of enjoying some of the lowest power rates in the nation.
Republican Gerrymandering, Successful Despite Litigation
In 2022 the Republican legislature changed the boundaries of the PSC districts, tipping them to favor Republican candidates while skewing the population distribution in each district. A federal district court judge found that the PSC districts violated the constitutional principle of “one person one vote.” He changed the boundaries for the 2022 election. Then, in 2023, the Republican legislature changed the district boundaries clearly favoring Republican candidates again. Another lawsuit was filed challenging their action, except this time it was in state court. Last February, Helena District Court Judge Christopher Abbott agreed that the new districts favored Republican candidates but said the evidence failed to demonstrate that it was intentionally done to disadvantage Democratic candidates. Those gerrymandered districts will stand for the 2026 election, unless there is another, successful, challenge.
Trebas Knows He Can’t Get Re-Elected to the Senate
And that brings us back to Jeremy Trebas running for the open District 1 seat in 2026. He currently serves in the Montana Senate representing Senate District 10 in Great Falls. He could run for another term in the senate. He is choosing to run for PSC instead.
Trebas apparently sees the writing on the wall. Trebas faces strong opposition if he ran for Great Falls Senate District 10. Statistically this district is the most Democratic of the Cascade County senate seats. On top of that, historically the party of the president (Trump/Republican) typically loses support in the first midterm election. Given the chaotic nature of Trump’s administration and the damage he is doing to the economy and public institutions, it is even more likely that Republicans will not do well in the midterm elections.
Trebas Has a History Of Self Dealing and Extremism in the Senate
But Trebas’ problems are deeper than the Democratic opposition. He is a legislator who is more focused on fighting culture wars and promoting his own pocket book than representing the people in his district. He has placed himself firmly in the far-right Freedom Caucus faction of the local Republican Party. In the last election, there were concerted efforts to challenge the “Freedom Caucus” members in the Republican primary by Republicans and Democrats alike. As a result, County Commissioner Rea Grulkowski and legislators Lola and Steven Galloway (all incumbents) were defeated in the Republican primary. There have already been rumors that Ed Buttrey is going to run for Trebas’ current senate seat. (5-16-25 update– Great Falls Republican Melissa Nikolakakas filed for this seat)
On the other hand, the District 1 PSC seat leans Republican. Moreover, PSC races are far less likely to attract the kind of controversy Trebas would face in a local legislative race. Then, of course, there is the $114,000 paycheck and associated state benefits package. It’s not surprising that he would opt for the PSC seat.
WTF406 has posted numerous pieces about Trebas. Here are links.
https://wtf406.com/2023/01/jeremy-trebas-the-self-dealing-senator/
https://wtf406.com/2023/04/the-continuing-saga-of-senator-trebas-dirty-real-estate-deal/
https://wtf406.com/2023/01/the-curious-case-of-jeremy-trebas-property-taxes/
https://wtf406.com/2023/07/senator-trebas-tax-scam-turns-into-an-albatross-around-his-neck/
https://wtf406.com/2023/12/trebas-fails-to-apologize-for-anti-semitic-tweet/
https://wtf406.com/2025/01/surprise-jeremy-i-hate-local-government-trebas-is-at-it-again/
by Ken Toole | Apr 26, 2025 | City, Elections
On April 18th Jasmine Taylor filed to run for mayor, challenging incumbent Cory Reeves. In addition to being one of the founders and frequent contributor to WTF406.com, she is a life long resident of Great Falls and has been active in a number of progressive issues here in the electric city.
Jasmine Taylor running for Great Falls mayor in 2025
For those who complain that politicians are all the same, take heart, it is hard to imagine two candidates who are more different than Taylor and Reeves. These two have dramatically different positions on many of the problems facing Great Falls. The filing deadline for the Mayor’s race is June 16.
Taylor will be taking a “leave” from the blog for the duration of the campaign. We will still write about the city elections and take positions on the issues but Jasmine won’t be writing posts. Thanks for reading.
by Ken Toole | Apr 21, 2025 | Elections, Guest Articles
Ballots for the Great Falls School Board Trustee election will be coming out soon. There are
three positions to be filled, and four candidates. I’ve been asked by several folks in our
community who I support for these positions. These are my picks:
Gordon Johnson: incumbent, running for a third term. Gordon is our current board chair, one
of the best we’ve had. He is a strong supporter of public education, generously lending his time
and talents. He deserves a third term.
Paige Turoski: incumbent, running for a second term. Paige works with me on the Board
Budget and Policy committees. She’s a good hand. She is well-liked by our administrative
team. Her two sons are enrolled at Valley View Elementary. I support her re-election.
Craig Duff: newcomer, seeking to win the seat being vacated by Mark Finnicum. I’ve met and
spoken to Craig. He is retired law enforcement, and now volunteers at his son’s school,
Meadowlark Elementary, where he also serves on the school PTA. He has received the
endorsement of the local teacher’s union, and deservedly so, as he has a very strong commitment to our local schools.
Mail ballots will be coming out shortly. Please vote for Gordon, Paige and Craig.
Bill Bronson
Great Falls Public School Board Trustee
