Heading into the 2025 legislative session, Montanans were clear with state lawmakers: property tax relief is long overdue and sorely needed. Although some legislators proudly proclaim that we passed such tax “reform,” it is hardly relief.

Instead of reforming our tax system to lower the burden on families and businesses, Democrats and a breakaway group of self-proclaimed Republicans passed a tax welfare bill that just shifts the tax burden, ultimately raising costs on many hardworking Montanans. That is unacceptable. So, real Republicans are working to fix the problem. In fact, it is one of our three top priorities for this upcoming session.

The so-called reforms passed by the rogue legislative coalition last session are “inefficient, nonneutral, and uncompetitive,” according to a report from the nonpartisan Tax Foundation think tank. The legislation picks winners and losers by shifting the tax burden away from some properties (for now) and putting the cost on others. 

The tax shift will also catch Montanans off-guard. For example, many farmers and ranchers will pay lower taxes this year, only to have their bills raised back up next year. Many other Montanans and businesses will also see their tax bills increase under the new tiered-rate structure, which penalizes people who grew their businesses and invested in Montana properties. How discouraging for the entrepreneurs and successful Montanans our state wants and needs!

Increasing property values — and consequently, increasing property taxes — is not an issue that will go away anytime soon. Have you seen your recent increase in the notice of assessed value? You will also soon see your proposed tax increase this fall, far exceeding inflation, population, or income growth.

It is critical for the conservative majority elected by Montanans to tackle the problem next session. As such, the Montana Republican Party formed a new “Red Policy” committee to study the issue in the interim and suggest real solutions for legislators to pass into law in 2027.

The longer Democrats and their allies delay meaningful reforms to our property tax system, the longer Montana families will suffer. Republicans are hard at work trying to fix the problem, but we cannot do it alone. Montana voters need to hold legislators who block real tax reform accountable at the ballot box, lest our tax bills continue to grow.

Representative Steve Kelly

House District 9

Published in Lee Enterprises newspapers, August 23, 2025
https://helenair.com/opinion/column/article_a73f9813-4771-5403-86fa-4598581715f7.html