Tax cuts, public infrastructure works to come in Gianforte’s budget

Governor Greg Gianforte is prioritizing tax relief and overspending on repairs and expansions to the state hospital and state prison, according to a statement outlining his 2023 budget priorities Thursday. . The full budget will be released on Tuesday.

The governor is the director of the state budget which must be considered by the legislature. The details of the budget to be submitted date from Thursday’s publication.

Gianforte’s budget proposes $1 billion in tax relief, $500 million from both property and income taxes, proposing to reduce the income tax rate that most Montanese pay by 6.5% to 5.9%. The statement said that when the governor took office, the top tax rate was 6.9%.

The governor said property taxes are used the most by local governments and that local governments should not be “taxing Montanese out of their homes.” His plan would be to demand greater transparency and accountability in local government spending and an option to pay property taxes monthly.

“As I meet with Montanans in every corner of our state, I hear repeated concerns about rising property taxes,” the governor said in the statement. “And they are right to be concerned. Property taxes are too high.

The governor’s budget also offers families a $1,200 child tax credit for children under six, as well as a $5,000 adoption tax credit.

Coupled with tax relief, governor proposes spending state’s $1.5 billion surplus on infrastructure repairs, doubling state’s rainy day fund, triggering fire suppression fund and investing $10 million a year in “active forest management.” The statement said the budget will also repay bond debt, making the state “debt-free in 2023.”

Governor’s budget invests $200 million to expand water and sewer infrastructure to help increase housing supply and Montanas’ access to affordable housing, plus $100 million to repair roads and bridges.

The $300 million will fund upgrades and repairs at Montana State Hospital, intensive behavioral health care and community services for outpatient care across the state. The Governor’s budget also increases funding by 50% for the Governor’s HEART Fund initiative and permanently funds eight drug treatment courts that are losing federal funding.

The budget makes the state of Montana debt-free in 2023, paying off all general obligation debt and saving taxpayers $40 million over the next two years.

The budget would also expand tax credits like the Commercial Equipment Tax Exemption from $300,000 to $1 million and nearly double Montana’s Trades Education Credit for employers to send employees to learn a trade. .

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The budget also funds 16 new highway patrol officers and criminal investigators, as well as six new prosecutors at the Montana Department of Justice. Judicial police officers will focus on drug trafficking, human trafficking, narcotics, major crimes and crimes against children.

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