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HB37 • 2025

Revise property tax information required in preliminary budgets

Revise property tax information required in preliminary budgets

Budget Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Greg Oblander
Last action
2025-04-07
Official status
Chapter Number Assigned
Effective date
Not listed

Plain English Breakdown

The official source material does not provide specific details on how local governments should update forms or if residents are directly affected.

Update Property Tax Information in Local Budgets

This law changes how local governments must show property tax information in their budget plans.

What This Bill Does

  • Requires local governments to include the amount of property taxes collected last year and the estimated amount for this year when making preliminary budgets.
  • If a government entity intends to increase property taxes, it must include the amount by which property taxes will increase on homes valued at $100,000, $300,000, and $600,000.

Who It Names or Affects

  • Local government officials who make budgets

Terms To Know

preliminary annual operating budget
A plan that shows how a local government expects to spend money in the coming year before it is finalized.
ad valorem property tax
A type of tax based on the value of property, like houses and land.

Limits and Unknowns

  • The bill does not specify how local governments should use this new information.
  • It is unclear if all local government entities will follow these requirements equally.

Bill History

  1. 2025-04-07 HOUSE

    (H) Signed by Governor

  2. 2025-04-07 HOUSE

    Chapter Number Assigned

  3. 2025-04-01 SENATE

    (S) Signed by President

  4. 2025-04-01 HOUSE

    (H) Transmitted to Governor

  5. 2025-03-28 HOUSE

    (H) Signed by Speaker

  6. 2025-03-21 HOUSE

    (H) Returned from Enrolling

  7. 2025-03-20 SENATE

    (S) Scheduled for 3rd Reading

  8. 2025-03-20 SENATE

    (S) 3rd Reading Concurred

  9. 2025-03-20 HOUSE

    (H) Sent to Enrolling

  10. 2025-03-19 SENATE

    (S) Scheduled for 2nd Reading

  11. 2025-03-19 SENATE

    (S) 2nd Reading Concurred

  12. 2025-03-18 SENATE

    (S) Committee Report--Bill Concurred

  13. 2025-03-17 SENATE

    (S) Committee Executive Action--Bill Concurred

  14. 2025-02-14 SENATE

    (S) Hearing

  15. 2025-01-21 SENATE

    (S) First Reading

  16. 2025-01-21 SENATE

    (S) Referred to Committee

  17. 2025-01-20 HOUSE

    (H) Scheduled for 3rd Reading

  18. 2025-01-20 HOUSE

    (H) 3rd Reading Passed

  19. 2025-01-20 HOUSE

    (H) Transmitted to Senate

  20. 2025-01-17 HOUSE

    (H) Scheduled for 2nd Reading

  21. 2025-01-17 HOUSE

    (H) 2nd Reading Passed

  22. 2025-01-15 HOUSE

    (H) Committee Executive Action--Bill Passed

  23. 2025-01-15 HOUSE

    (H) Committee Report--Bill Passed

  24. 2025-01-14 HOUSE

    (H) Committee Executive Action--Bill Passed

  25. 2025-01-06 HOUSE

    (H) First Reading

  26. 2025-01-06 HOUSE

    (H) Hearing

  27. 2024-12-20 HOUSE

    (H) Referred to Committee

  28. 2024-12-06 HOUSE

    (LC) Draft Delivered to Requester

  29. 2024-12-06 HOUSE

    (H) Introduced

  30. 2024-11-18 HOUSE

    (LC) Draft Ready for Delivery

  31. 2024-11-15 HOUSE

    (LC) Draft in Assembly

  32. 2024-11-08 HOUSE

    (LC) Draft in Final Drafter Review

  33. 2024-10-07 HOUSE

    (LC) Draft in Input/Proofing

  34. 2024-09-26 HOUSE

    (LC) Draft in Edit

  35. 2024-09-16 HOUSE

    (LC) Draft in Legal Review

  36. 2024-09-11 HOUSE

    (LC) Drafter Assigned

Official Summary Text

Revise property tax information required in preliminary budgets

Current Bill Text

Read the full stored bill text
****
69th Legislature 2025 HB 37
- 1 - Authorized Print Version – HB 37
ENROLLED BILL
AN ACT REVISING LOCAL GOVERNMENT PRELIMINARY BUDGET REQUIREMENTS TO INCLUDE PRIOR
BUDGET YEAR TAX AMOUNTS AND CURRENT BUDGET YEAR ESTIMATED TAX AMOUNTS; AND
AMENDING SECTION 7-6-4020, MCA.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Section 7-6-4020, MCA, is amended to read:
"7-6-4020. Preliminary annual operating budget. (1) A preliminary annual operating budget must
be prepared for the local government.
(2) This part does not provide for the consolidation or reassignment, but does not prohibit
delegation by mutual agreement, of any duties of elected county officials.
(3) (a) Before June 1 of each year, the county clerk and recorder shall notify the county
commission and each board, office, regional resource authority, or official that they are required to file
preliminary budget proposals for their component of the total county budget.
(b) Component budgets must be submitted to the county clerk and recorder before June 10th or on
a date designated by the county commission and must be submitted on forms provided by the county clerk and
recorder.
(c) The county clerk and recorder shall prepare and submit the county's preliminary annual
operating budget.
(d) Component budget responsibilities as provided in this subsection (3) include but are not limited
to the following:
(i) The county surveyor or any special engineer shall compute road and bridge component
budgets and submit them to the county commission.
(ii) The county commission shall submit road and bridge component budgets.
****
69th Legislature 2025 HB 37
- 2 - Authorized Print Version – HB 37
ENROLLED BILL
(iii) The county treasurer shall submit debt service component budgets.
(iv) The county commission shall submit component budgets for construction or improvements to
be made from new general obligation debt.
(4) The preliminary annual operating budget for each fund must include, at a minimum:
(a) a listing of all revenue and other resources for the prior budget year, current budget year, and
proposed budget year;
(b) a listing of all expenditures for the prior budget year, the current budget year, and the proposed
budget year. All expenditures must be classified under one of the following categories:
(i) salaries and wages;
(ii) operations and maintenance;
(iii) capital outlay;
(iv) debt service; or
(v) transfers out.
(c) a projection of changes in fund balances or cash balances available for governmental fund
types and a projection of changes in cash balances and working capital for proprietary fund types. This
projection must be supported by a summary for each fund or group of funds listing the estimated beginning
balance plus estimated revenue, less proposed expenditures, cash reserves, and estimated ending balances.
(d) a detailed list of proposed capital expenditures and a list of proposed major capital projects for
the budget year;
(e) financial data on current and future debt obligations;
(f) schedules or summary tables of personnel or position counts for the prior budget year, current
budget year, and proposed budget year. The budgeted amounts for personnel services must be supported by a
listing of positions, salaries, and benefits for all positions of the local government. The listing of positions,
salaries, and benefits is not required to be part of the budget document.
(g) all other estimates that fall under the purview of the budget.
(5) The preliminary annual operating budget for each fund for which the local government will levy
an ad valorem property tax must include the estimated amount to be raised by the tax.
(6) If a government entity intends to increase property taxes, including an increase authorized
****
69th Legislature 2025 HB 37
- 3 - Authorized Print Version – HB 37
ENROLLED BILL
under 15-10-420(1), the preliminary budget must include the amount by which property taxes will increase on
homes valued at $100,000, $300,000, and $600,000.The preliminary annual operating budget must include the
property taxes levied on $100,000 of residential property value from all mills levied by the government entity in
the prior budget year and the estimated property taxes to be levied under the preliminary annual operating
budget on $100,000 of residential property value from all mills the government entity will levy in the current
budget year."
- END -
I hereby certify that the within bill,
HB 37, originated in the House.
___________________________________________
Chief Clerk of the House
___________________________________________
Speaker of the House
Signed this _______________________________day
of____________________________________, 2025.
___________________________________________
President of the Senate
Signed this _______________________________day
of____________________________________, 2025.
HOUSE BILL NO. 37
INTRODUCED BY G. OBLANDER
BY REQUEST OF THE LOCAL GOVERNMENT INTERIM COMMITTEE
AN ACT REVISING LOCAL GOVERNMENT PRELIMINARY BUDGET REQUIREMENTS TO INCLUDE PRIOR
BUDGET YEAR TAX AMOUNTS AND CURRENT BUDGET YEAR ESTIMATED TAX AMOUNTS; AND
AMENDING SECTION 7-6-4020, MCA.