by WTF 406 Staff | Oct 4, 2023 | Energy/Utilities, Taxes
State Senator and Republican Majority Leader, Steve Fitzpatrick, wants the personal financial information of his political opponents in the legislature. In a statement given to Lee Papers on Monday, October 2, Fitzaptrick said he was filing an “information request” with the Department of Revenue requesting confidential information on Democratic legislators’ taxes.
Fitzpatrick’s request is apparently motivated by the fact that opponents of the Republicans’ big residential tax increase held a rally at the Capitol featuring Jane Weber, former Cascade County Commissioner and current legislative candidate and former Governor Brian Schweitzer. The rally was organized by Big Sky 55+ a group dedicated to economic security for older Montanans. The event attracted an estimated 200 people and garnered state-wide press coverage. https://helenair.com/news/state-regional/government-politics/rally-in-capitol-rotunda-calls-for-special-session-over-property-tax-hike/article_26fc829e-6165-11ee-aa98-63e547ef326e.html
On its merit’s Fitzpatrick has to know that there is virtually no way his request will be enforced by the courts in Montana. So put this one in the “political stunt” category. But maybe making tax information for legislators public isn’t such a bad idea. We’d sure like to be able to see Fitzpatrick’s tax returns and other personal documents. Maybe then we could have a clear picture of who his legal clients are and how much they pay him. And why stop at his personal records. It would be nice to see who the clients of his law firm are and if the client list overlaps the topic of legislation Fitzpatrick introduces.
Consider this reported by the Missoula Current last March. “Republican Senator Steve Fitzpatrick of Great Falls is the sponsor of three bills which would greatly increase the utility costs of NorthWestern Energy’s customers. The three bills are SB 265, SB 266 and SB 379. Fitzpatrick is also the son of the former NorthWestern Director of Government Affairs.” Hmmmm.
KT
by Jasmine Taylor | Oct 1, 2023 | Taxes
Tomorrow, October 2nd, citizens are meeting at the Capital to rally for tax fairness. Recent property tax evaluations how Montanans worrying how they will make ends meet. Big Sky 55+ has organized this rally to demand action from elected officials. For many of us, tax fairness will mean the difference between staying in our homes or ending up on the streets. Let’s join them tomorrow!
by Jasmine Taylor | Sep 19, 2023 | E-City Beat Watch, Elections, Taxes
Tryon has long championed the proposed safety levy, despite its astronomical price tag. When first presented with tier options for the levy, Tryon vocally supported the largest price tag, coming out to about a 191% property tax increase. Having angered Republicans and Democrats alike, Tryon tried to walk back his big-tax dreams, instead opting for the current version of the safety levy.
The proposed safety levy includes a massive tax increase for property owners. The City Commission settled on a whopping 65% property tax increase, and sent that proposal to the ballot. They also authorized spending $150,000 of OUR tax money to convince voters to support the levy.
Technically the city commission is non-partisan. Although that may be the structure of the race, it’s quite laughable to act as if the political affiliations of our commissioners aren’t already known. Tryon is a Republican-supposedly the party of “small government.” So how does Tryon’s attempt to raise our property taxes 65% align with the Republican party’s platform?
Combined with the state’s alarming new property tax valuations and the deepening housing crisis in Great Falls, residents are being priced out of their homes. Poverty and housing issues undoubtedly affect crime rates. Passing the safety levy could, in fact, worsen crime in Great Falls. As WTF406 has previously reported, research shows that increasing police budgets doesn’t decrease serious crime. Tryon expresses no understanding that the safety levy does nothing to combat addiction. If we want to decrease crime in Great Falls, folks need access to substance use treatment and mental health centers. The safety levy doesn’t provide those resources, or do anything to prevent crime. Instead of identifying and funding real solutions, the City Commission is asking voters to approve a huge tax increase in the moment we can least afford it.
As Tryon seeks re-election, will his high tax policies effect his popularity with Republicans? What’s happened to the “tighten-your-belts” narrative that Tryon and his party ascribe to?
Has Tryon and his tax increase finally become too extreme for Great Falls Republicans? The answer will likely determine if you can afford to pay your taxes next year.
Read our previous evaluation of the safety levy here: https://wtf406.com/2023/03/city-commission-seeks-65-property-tax-increase-slates-150k-to-convince-voters/
by WTF 406 Staff | Sep 16, 2023 | Taxes
A new web-based calculator lets you figure out how much your property tax is going up and how much the property tax for big corporations are going down thanks to the Republican Legislature and the Gianforte administration.
There is lots of misinformation floating around about what is happening to residential property tax bills. Most of it is coming from Republicans in the legislature and the Gianforte Administration trying to shift the blame for what happened during the last legislative session. Here is an editorial we ran explaining what happened and why our property taxes are going up.
https://wtf406.com/2023/07/big-corporations-get-tax-benefits-while-montana-resident-get-higher-property-taxes/
Now you can see exactly how much your property taxes are going up and, even more important, how much the taxes for other classes of property are going down. Below is an example of a house in Anaconda. You can get the same information about your home by going to www.taxshiftmt.com Check it out!
by Guest Writer | Jul 27, 2023 | Taxes
By Ken Toole
I’m writing to respond to a recent opinion column from Brendan Beatty, the Montana Department of Revenue Director, explaining the property tax mess in Montana. I’m still trying to decide if he really doesn’t understand the property tax system or if he is engaging in an lame attempt to provide cover for the Republican legislature and Governor’s office.
Though everyone talks about how complicated property taxes are, the basic framework is simple. Your property tax is determined by the value of your property times the state tax rate times mills levied by state and local governments. We all understand that property values are going up dramatically, and there isn’t much we can do about that. Changing mills is also difficult, because many of the mills are statutory and the remainder depends on local governments acting.
But we can control the state tax rate people pay for residential property.
By doing nothing, the Governor and supermajority Republicans ensured that residential property taxes will increase while other classes, that are already getting hefty tax breaks from the 2023 Legislature, will see their taxes drop even more significantly.
We have seen rapid appreciation of values before. In the past, the legislature has addressed increased values by reducing the state residential property tax rate. Everyone knew this was coming, and there were several bills in the legislature to address the issue this way. In their wisdom, the Republican supermajority decided not to act.
Surprisingly, Beatty’s editorial only addressed the mills portion of the equation. There’s a reason for that.
There are currently 18 different classes of property in Montana. Each one is taxed at its own rate. Imagine a big pie with 18 slices. The increased residential values is essentially adding more filling to one piece of that pie – our residential property taxes. We can’t make the pie much bigger because of caps put in place by the legislature. The only option is to shuffle things around within the pie. But if you do that, you end up increasing the size of other pieces of pie, and their taxes go up. When the value of residential property increases like this and you leave the tax rate for residential property the same, other classes of property end up paying less.
By refusing to adjust the residential tax rate, the Governor and legislators protected corporate property payers like NorthWestern Energy and Burlington Northern while letting residential property taxes increase dramatically. Imagine that!
Now let’s talk a little about politics. There are numerous organizations dedicated to representing other classes of property. Those organizations have things like offices, budgets and lobbyists. Naturally these folks don’t want to see their state property tax rate go up. There is no organization for residential property taxpayers.
Importantly, the priority of the Republicans has always been to protect and promote corporate interests. They have reduced business equipment taxes, capital gains taxes, taxes on investment income, and on the list goes. All of these things have increased taxes on the rest of us and reduced the quality of our public services. The only tax they like is a general sales tax which falls heavily on consumers.
We can’t change the increase in residential property values. The state mill part of the equation is mostly statutory and difficult to change. If you eliminate the option of changing the tax rate for residential property because you don’t want to increase taxes on corporations, you are left with reducing local mills. That means pointing your finger at local governments, and somewhat ironically, the voters themselves.
That’s exactly what Republicans are doing.
Like cats in a litter box, the Gianforte administration and Republican legislative leadership are scrambling to cover their mess. The increase in residential property taxes isn’t a surprise. It isn’t an accident or oversight. They knew this was coming, and they refused to do anything about it, because their priority is taking care of corporate board rooms.
Ken Toole served on the Senate Taxation Committee 2001 and 2003 and was the vice chair of that Committee in 2005. He also served on the Revenue and Transportation Interim Committee in 2005. He was elected to the Montana Public Service Commission in 2006. He was the founder and Executive Director of the Policy Institute, a Montana Non-profit group that worked on tax and energy policy in Montana. He now has a small farm outside Cascade and writes occasionally for WTF406.com a political blog in Great Falls.
Originally featured in The Daily Montanan here: https://dailymontanan.com/2023/07/26/big-corporations-get-tax-benefits-while-montana-resident-get-higher-property-taxes/
by WTF 406 Staff | Jul 10, 2023 | Taxes
WTF406.com has written numerous posts about Republican Senator Jeremy Trebas’ commercial property on 1st Avenue North. A quick recap:
–Trebas bought property at 1300 1st Avenue North in May 0f 2022. The property was classified as a church when he bought it. Trebas’ continued to enjoy the property tax classification as a church even though he did not qualify for the exemption. His annual property tax bill was just under $550 per year.
–The building was also in violation of fire codes, because it did not have an adequate fire suppression system. Rather than complete the needed work, Trebas introduced a bill in the Montana Senate that would have exempted his property. The bill was vehemently opposed by Fire Marshals across the state and died in the legislative process.
–After the legislative session (and his failed attempt to change the law to favor his pocket book) Trebas put the building on the market for $475,000.
Despite the fact that WTF406 notified the Department of Revenue of concerns about the misclassification of Trebas’ building, it appeared that no adjustments were made by May. WTF406 wrote a formal letter to the Department of Revenue and local officials on June 1st asking that the property be reclassified and that Trebas’ property tax obligation be adjusted accordingly. In a follow-up phone call, the Department of Revenue informed WTF406 that the building had been reclassified, and that Trebas’ property tax obligation for the coming tax year would be $6,343.32. That’s quite a jump from the $535 he had been paying.
A quick review of current real estate listings in Great Falls on July 10 reveals that the building is still for sale. Right after the legislative session, Trebas was seeking $475,000. Real Estate Dot Com on July 10 lists the property for sale for $281,227. Of course we don’t have access to the details of his finances, but it seems Trebas is trying to unload an albatross around his neck. Couldn’t happen to a nicer guy!
What The Funk sent the following letter to the Department of Revenue on June 1, 2023.
June 1, 2023
Montana Dept of Revenue
Great Falls Office
300 Central Ave # 520
Great Falls, MT 59401
Re: Misclassification of Senator Jeremy Trebas’ Property
Greetings,
I am writing regarding the misclassification of property owned by Republican Senator Jeremy Trebas (through Rear View Mirror LLC) at 1300 1st Avenue North in Great Falls. We notified you months ago that the property does not appear to qualify for a religious exemption from property taxes and provided the following article which gives the relevant information and details.
https://wtf406.com/2023/01/the-curious-case-of-jeremy-trebas-property-taxes/
As of May 28, 2023 we note that the property is still listed as exempt property on the Montana Cadastral Map, approximately a full year after Trebas purchased the property. He is currently paying $535.58 per year on a commercial property valued at $359,505. Far below what he should be paying.
We are surprised that the Department of Revenue has not adjusted his property tax classification. This is unfair to other taxpayers in the community and is depriving tax jurisdictions of revenue. Trebas also introduced a bill in the Senate attempting to exempt this property from needed repairs to bring it up to safety codes. Though the bill failed, it is quite apparent he is not above trying to play the system to his own advantage. https://wtf406.com/2023/01/jeremy-trebas-the-self-dealing-senator/
We request that you adjust his classification immediately and make sure he pays the difference for the year he has owned the property. If, for some reason, either the cadastral map or Webtax site are in error or you believe the property is properly classified as an exempt property, please let us know.
Sincerely,
WTF 406
CC: Property Tax Division Administrator, MT Department of Revenue,
Cascade County Commission, Mayor of Great Falls
Media
Below are links to our previous posts on this topic.
The Curious Case of Jeremy Trebas’ Property Taxes
Jeremy Trebas The Self-Dealing Senator
The Continuing Saga of Senator Trebas’ Dirty Real Estate Deal
