Senate Bill No. introduced by J. Trebas seeks to revise Montana's property tax laws by adjusting tax rates for various property classes and updating local government levy limits. The bill proposes that local governments can levy mills equal to the 2025 mill levy plus an inflation adjustment. Key changes include reducing the taxable percentage for Class Two, Class Three, and Class Five properties from 3% to 1.65%, while Class Four residential property tax rates are adjusted from 1% to 1.25%. The bill also introduces new definitions and clarifies the classification and taxation of properties, including agricultural and industrial, while establishing a tiered tax structure for Class Eight property.

Additionally, the bill amends various sections of the Montana Code Annotated to update tax rates and exemptions for energy and infrastructure properties, including new classifications for energy storage facilities and renewable energy production. It modifies tax rates for several classes, reducing them to 1.65% for Class fourteen to eighteen properties, while maintaining a lower rate for certain carbon sequestration equipment. The bill emphasizes compliance with prevailing wage standards during construction and introduces specific provisions for green hydrogen facilities, ensuring they are locally assessed and taxed appropriately. Furthermore, it modifies the calculation of mill levies for governmental entities to include an inflation adjustment based on prior property taxes, with new provisions taking effect for property tax years beginning after December 31, 2025.

Statutes affected:
LC Text: 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(1): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(2): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(3): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(4): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(5): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(6): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1(7): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_1: 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(1): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(10): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(11): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(12): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(13): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(14): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(15): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(16): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(17): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(2): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(3): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(4): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(5): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(6): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(7): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(8): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2(9): 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420
SB0032_2: 15-6-132, 15-6-133, 15-6-134, 15-6-135, 15-6-137, 15-6-138, 15-6-141, 15-6-145, 15-6-156, 15-6-157, 15-6-158, 15-6-159, 15-6-162, 15-6-163, 15-10-420