BILLINGS — Billings city leaders must tackle a significant budget problem Monday night after lawmakers delivered property tax relief for Montanans.
Billings leaders are concerned that these measures could have unintended consequences for the state’s largest city, potentially amounting to an $8 million shortfall.
The issue arises from Billings' charter, which limits the number of property tax mills the city can levy.
As a result, the city could face a massive budget shortfall that puts critical public safety positions at risk.
The legislative tax relief will permanently reduce property tax rates for many residents while shifting the tax burden to short-term rentals, high-value second homes, and large corporations.
The meeting starts at 5:30 p.m. In a work session, the Council plans to give staff directive on how to build a balanced budget.
“We have not come to a consensus. And candidly, I don't think we will come to a large consensus on this. There is a broad range of opinions about what could and should be done. And it's going to be a long negotiation and discussion with Council to determine what's in the best interest of our community,” City council member Scott Aspenleider said Monday afternoon.
