Missoula County's Budget Surprise: What You Need to Know About the 4.2% Property Tax Hike!

In a significant move that has stirred conversations across the community, the Missoula County commissioners recently approved a 2025 budget featuring a surprising 4.2% increase in property taxes. This rise, higher than many anticipated, comes as a result of lower-than-expected growth in the county’s taxable value. Read on to uncover how this decision will impact homeowners and what it means for the community at large.

Understanding the Tax Impact

So, what does this increase mean for local homeowners? Here’s a quick breakdown:

• For a home valued at $300,000, residents within city limits will see an annual increase of approximately $30.45.
• Homeowners with properties valued at $600,000 can expect their taxes to rise by about $60.90.
• Residents outside Missoula city limits will face similar increases, with additional costs of $38.61 for $300,000 homes and $77.23 for $600,000 homes.

This increase in property tax will fund crucial services including county roads, the health department, and animal control. Commissioner Dave Strohmaier commented on the disparity between city and county services, explaining, “My taxes will be higher than if I was residing in a similarly priced home outside city limits because I’m paying for additional city services.”

How Will the Budget Be Allocated?

The budget outlines a plan for $256.8 million in spending, with an anticipated revenue of $282.9 million. The increase in revenue is partly due to reimbursements from previous fiscal years. Here are some key allocations of this budget:

1. Funding for the Johnson Street homeless shelter: $909,800
2. Stormwater upgrades at the Missoula Development Park: $400,000
3. Security upgrades at the courthouse: $150,000

Additionally, the county has seen a rise in property tax expenses, jumping from $70.6 million to $73.6 million, which includes a significant increase in contributions to the Sheriff’s Retirement System.

What’s Behind the Numbers?

Despite the overall increase in mill value by a mere 0.8%, which is considerably lower than the typical growth rates, officials have expressed confusion over these figures. Commissioner Josh Slotnick stated, “It seems strange to me that this is a very, very small increase in taxable value,” highlighting the disconnect between perceived real estate growth and actual taxable assessments.

Notably, the county experienced a 0.3% decrease in taxable value when excluding the city, a trend that raises eyebrows among local leaders. The discrepancy may be attributed to the annexation of properties into city limits, but many wonder why the county’s value hasn’t reflected the robust development seen in other areas.

Future Outlook

Looking ahead, both Commissioners Slotnick and Strohmaier are advocating for property tax reform in the upcoming legislative session. “If that happens, all of this will be greatly improved,” Slotnick expressed, remaining cautiously optimistic about potential changes.

What do you think?

• Do you believe the tax increase is justified given the services provided?
• What are your thoughts on the county's budgeting process?
• Should property tax reforms be prioritized in the legislative agenda?
• How do you feel about the disparity in tax increases between city and county properties?
• Is the county's growth being accurately reflected in the taxable values?

Your insights are valuable! Share your thoughts in the comments below as we navigate the implications of this budget decision together.