Hungry Horse news., 1955-07-29
Tax Base To Have Hollow Feature

kALlSPELL-The F'lathead cOun-
ty tax base will be set on the basis
of the Anaconda Aluminium Co. tax
base being the 80 per cent figure or
81 ,663, $50 and not $1,437, 1878 on the
7 per cent basis.
Flathead county commissioners
Reu Carr and H. w. Irwin told the
Hungry Horse News they had been
advised by Ed Schroeder, county at
torney that the 80 per cent basis
should be used.
Waiting to be heard by the Mon
tana Supreme Court scheduled
for early 1956-is an appeal from
the Silver Bow district court that
ruled Montana law that granted
new industry a 7 per cent instead
of the customary 80 per cent tax
basis unconstitutional. The law had
been passed, largely at Flathead in
stigation, to help the Harvey Mach
inc Co.
AAC paid the difference between
a 7 and 80 per cent tax base-$56, 819
under protest last year. The mon
ey paid under protest cannot be
spent. If the law is held unconsti-
tutional it will be distributed to gov
erning agencies. If constitutional,
AAC receives its check back. AAC
assessed valuation in the Flathead
was SIG, 200, 440 compared to 1862
$50 year ago.
Result of the decision to establish
the Flathead county and school dis
trlct 6 tax bases on a 80 per cent
| AAC valuation will see mill levies
fall short of raising anticipated rev.
enueS.
i District 6 is most seriously at.
fected reports Lulu Barnard, coun.
| ty superintendent.
! The mill levy will be based on q
tax base for district 6 of $7,818, 49,
preliminary figure) compared t(
$3,751, 1868 last year as a result Of
the AAC tax base of $4,663, $50.
A mill in the district should raise
$7,818 instead of $3,751 as it did las
: year.
!. However with AAC protesting ;
: 80 per cent payment, the effectiv,
tax base will be $4,692,47O.
( The single mill that would ordin
. arily raise $7,818 will actually brin
: in S4,692 of money that can be spent
S This is also more than the presen
I mill rate of $3,751. Result is that tn
local millage for school purposes wi
) drop considerably since the levy wi
a be based on the 1888 figure. Blu
), that money is not likely going
:. be paid, so an emergency bulge
t, lacking the shortage onto mex
r years taxes will be declared. How
t. ever district will lose equalizatio
s. funds because of its legally hig
e, tax base.
5. Miss Barnard and District 6 Sup
l. Dulane Fulton agree that the resu
will likely see declaration of {
emergency budget. AS funds ia
short during the next term, the en-
Urgency budget will bring reven,
to be paid for through taxes to
paid in 1956-57ls AkA
pr If the law is held unconstitutiop;
X the protested funds will revert
nd the district and other governil
in bodies concerned, and would redu
re future taxes. If the law is constit
A. tional, the money returns to AAC.
m IN FLATHEAD COUNTY
The same situation to lesser {
re tent confronts Flathead coun
cv Grant Campbell, county assess
air lists the county's tax base subj'
10 to slight revision as sci, 1913, ISL co
at pared to SIT ,672, 1893 last year. A N
as should raise $21, 1878 compared
SIT, 672 last year.
ct However if AAC protests its p;
de ment, the mill levied for $21, 1913 v
nd actually return $18,752 The coul
for too will be spending money it d.
mot have and an emergency budl
vii is likely. The millage will be do
ax- this year and up next, unless
yo- Montana Supreme court sustains
Silver Bow decision that the Z
. stead of 80 per cent tax base for n
industry is not legal,
The Hungry Horse News has
detailed tax stories in its July
and % issues. The actual levy
be set by the county commission
August 8.