After five weeks into the 2025 Legislative session, I now have a sense of the rhythm and pace of policymaking. I arrived in Helena with four priorities – lower homeowner property taxes; renew Medicaid; boost public education funding; ease the housing crisis. These were the issues on taxpayers’ minds when I knocked doors during the campaign, and I intend to honor their wishes.
It’s about freedom, fairness and affordability. As a Democrat, I am proud to be voting to improve the lives of Montanans.
Property Taxes
In the last reappraisal cycle, homeowners shouldered 58% of the property tax burden. In contrast, the proportionate tax share for corporate entities owning power transmission lines, electrical generation, telecom, railroads, wind and mining decreased. Article VIII. Section 3 of the Montana Constitution, reads “the state shall appraise, assess and equalize the valuation of all property . . .” Since 2021, the Legislature has failed to equalize property taxes.
Serving on the House Taxation Committee has allowed me a front seat to hearings and details on the property tax relief proposals. Two property tax proposals passed on the House Floor this past week on second reading.
I favor HB 155, sponsored by Mark Thane (D) of Lolo-Missoula, because it offers a rebalancing of the tax burden to near 2021 levels and a true Homestead tax exemption. If passed, the first $50,000 value of a primary residence (Class 4) would be exempted; thereafter, property tax rates are applied on a graduated scale dependent on the home value. Homeowners would see $135 million in tax relief. HB 155 is targeted tax relief – proportionately increasing property tax rates for high-end homes while reducing the rate for low-moderate properties. Additionally, all other classes of property tax assessment would be rebalanced so corporate entities who enjoyed tax relief in the 2024 cycle pay their fair share in the future, equalizing the valuation of all property. HB 155 passed second reading 79-21.
HB 231, sponsored by Llew Jones (R) of Conrad, is a good start but needs more work to accomplish true tax equity. With HB 231, the property tax conundrum would be resolved solely with adjustments to residential (Class 4) properties. Property taxes would increase for second homeowners and out-of-state homeowners to backfill revenues lost by the savings to primary homeowners. However, a deeper dive into HB 231 reveals very little relief for Montana homeowners in the next tax cycle. An analysis of HB 231 projects a reduction of 15% in residential property taxes. But with property appraisals projected to rise another 22% in 2025 and the DOR predicting an 11% statewide property tax increase, the REAL reduction will only be 4%. This reduction will be erased by the inflationary increases allowed to finance local government. Homeowners will likely see no savings when they open their 2026 tax bill. HB 231 passed second reading 75-25.
If both bills pass third reading, they will be transmitted to the Senate for consideration where I hope a blending of the two will result in meaningful tax relief.
Medicaid Renewal
Access to healthcare is a human right. However, many employers do not provide health insurance for their employees, or premiums cost more than an employee can afford. Over 85% of Montanans enrolled in Medicaid are employed. Others are either permanent care providers for a family member (without pay) or students. It is time to make Medicaid permanently available to Montanans by removing the sunset clause that has required this debate every five years. Data confirms the Medicaid expansion program has been successful; it keeps our rural hospitals and nursing homes viable; it literally saves lives; and it keeps Montanans on the job. More importantly, it is the right thing to do.
As a member of the House Human Services Committee, I had the good fortune to attend the hearing where over 100 Montanans testified as proponents on two Medicaid renewal bills – HB 230 by Mary Caferro (D) of Helena and HB 245 by Ed Buttrey (R) of Great Falls.
I preferred Caferro’s HB 230 for several reasons, this bill proposed reopening ten of the seventeen Offices of Public Assistance closed by the 2021 Legislature. Without these offices, client responsiveness and service has been tough for folks living in our rural communities. Urban offices have been overwhelmed, absorbing that additional workload. During the hearing, committee members learned some Montanans had to resubmit their applications three times because their fiscal information had ”timed out” before the OPA rendered a decision. That’s simply unacceptable. Caferro’s HB 230 would have reopened in-person OPA offices; reduced customer service wait times; and eliminated barriers to health care by reducing unnecessary paperwork and bureaucracy. HB 230 would also have made Medicaid expansion permanent by eliminating the 5-year sunset provision.
When HB 230 failed in committee, I immediately supported HB 245, Ed Buttrey’s bill. With one exception, Buttrey’s bill does not make any major changes to the program. Like Caferro’s bill, HB 245 eliminates the sunset clause so this debate would not be repeated every other legislative cycle.
Last Friday, as a Democrat, I proudly cast my vote in favor of HB 245 on the House Floor. I will continue to support Medicaid renewal because Montanans deserve access to healthcare and Democrats believe in fairness and affordability for all.
Paid for by Weber for HD 19