These are the Montana counties with the lowest cost of living.
Missoula's proposed 2025 budget would increase property taxes by roughly 16%, but a majority of that comes from a voter-approved fire levy that passed in June.
Mayor Andrea Davis presented her first budget as the city's top executive Monday night, which would increase city property taxes by $307 per $450,000 in home value.
In total, the city's preliminary budget increased from $203 million in 2024 to $217 million in 2025, mostly from expansion of the city's fire department, police department wage increases and more funding for urban camping programs. Missoula's budget increased taxes by 9.71% in 2024.
Davis also said the city has made significant cost-saving steps, including switching workers compensation providers, but she said that has not been enough to catch up with inflation and city spending.
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"This is no news to anybody, I inherited a pretty challenging budget structure, a budget deficit quite frankly," Davis said. "I knew that coming into office, and it has been an area of focus that I intend to work on."
Much of the deficit comes from the loss of one-time federal funding from the American Rescue Plan Act, which has been largely exhausted.
The Monday night presentation is just the start of the budget process, as the city council will meet four more times to deliberate and propose changes.
Big ticket items
The largest increase in the budget comes from a $7 million levy voters approved in June that will allow the city's fire department to add a sixth station and hire 20 additional firefighters.
Davis said at the budget presentation that the city will use $4.2 million of the levy for fiscal year 2025.
The city also proposes increasing the police department fund by more than $1 million to raise police salaries, city council President Amber Sherrill said. The exact figure was not available at the meeting.
Johnson Street Emergency Shelter will cost $1.8 million, but the city and county plan to split that with help from the Missoula Development Agency.
In total, MRA would return $4.5 million to the city, county and other nearby taxing authorities, a process used often to balance the city's budget.
Two land-use decisions will also cost the city. The Scott Street-Ravara project, currently underway, is expected to cost $9 million over time, and the city also plans to purchase a 10-acre plot near Southgate Mall for $6 million.
Other proposed increases are expected for the city's Crisis Intervention Team, additional urban forest resources, and digital outreach, among other things.
Fees for renting out parks, getting a business license, water bills and most other city services are expected to increase by 5-7%. More information on the fee increases will be presented to city council on Aug. 7.
Small cuts
For urban camping, Davis proposed a $650,000 budget to fund camp sweeps and cleanups, city services like bathrooms for the homeless and a vehicle registration system for people living in their vehicles.
Previously, city staff proposed a $1 million budget to address urban camping after the city council approved a new law that restricts where and when people can sleep outside.
Davis said she slimmed down the requests to make them more manageable.
Another place Davis trimmed from is the Justice, Equity, Diversity and Inclusion (JEDI) program, which Davis said will mostly be absorbed into the city Human Resources Department.
Instead, she proposed a single "community experience and culture" position that will cost roughly $122,000. The JEDI program was approved for about $147,000 in the 2024 budget.
"The diversity equity and inclusion work that we do internally as a city can be handled by our human resources staff, and this position is really evolving into a inclusion focus in the parks department," Davis said. "It really is meeting people where they are at, helping people in Missoula be better included and easily access all the city services."
Davis also announced potential funding cuts for the city's partnership with Arts Missoula and Partnership Health Center.
The council opened its budget hearing on Monday night, and will continue to deliberate through August. The council will continue debate on Wednesday morning, followed by public hearings on Aug. 12 and Aug. 19.
The city plans to approve its 2025 budget on Aug. 19. For more information on the city's budget, visit engagemissoula.com/fy25budget.
Griffen Smith is the local government reporter for the Missoulian.
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