$16.6 billion State Budget
The Montana State Legislature concluded its business for the 2025 session. It passed over eight hundred bills, many of which await action by the Governor. Over the last 20 years, the average number of bills adopted was 614. The legislators approved a $16.6 billion budget, which is about 15% more than the 2023 budget. It includes raises for state employees, two new district court judges for Yellowstone County, additional spending on health and human services, and a $500 million recruitment and retention fund for state employees, housing lending program and child care. While it remained questionable, right up to the last hours of the session, the legislators finally passed property tax “relief” which will shift the property tax burden from homes and long-term rentals to secondary properties and businesses.
The budget relies upon about $5 billion from the General Fund, which is drawn from state income taxes.
About $60 million in tax revenue collected from taxes on recreational marijuana will be shifted from the general fund and directed more specifically to environmental rehabilitation projects on private lands under the Fish, Wildlife and Parks department. The shift draws funding away from funds previously directed to support treatment for substance abuse and health disorders, and support of law enforcement efforts and homelessness.
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