Commissioners must address PILT underpayments
We are disappointed, very disappointed but still hopeful. For a long time, we have wanted our local county commissioners to do two things. First of all, to proselytize for more management control of the public lands that the federal government was supposed to return to our state and, secondly, to negotiate and/or sue for higher Payment in Lieu of Taxes (PILT)payments in conjunction with our sister Northwest Montana counties Lincoln, Sanders and Mineral. Neither of these things have yet occurred.
Several months ago, we gave our local county commissioners information from the Enabling Document of 1889 and the Federal Land Act of 1976 clearly showing that the public land in the state really belongs to Montana and its citizens. When the federal government decided to retain ownership of these lands in 1976 they abrogated an implicit agreement contained within the Enabling Document which required these lands be given back to the state at some point in time.
In return for that take over they promised to pay Montana counties a “Payment in Lieu of Taxes” requiring at the same time that those payments must be “equitable to the local taxpayer.” For the record, PILT is not a form of governmental handout, it is required by law. Additionally, we believe that legislation is clear that it is up to county commissioners to negotiate with PILT to make certain these payments are reasonable to the local taxpayer.
However, it is abundantly obvious PILT severely under pays Northwest Montana counties to the point of ridiculousness. There is no justification for compensation of $1.40 per acre for Flathead County which, unfortunately, looks generous compared to the 95 cents per acre for Sanders County, 76 cents in Mineral County and a paltry 45 center per acre in Lincoln County. What is so galling to us are the payments to other similar counties which are so much higher — Missoula ($2.68), Gallatin ($2.91) and Glacier ($3.09) are examples.
The amount of additional funds per year we are talking about is staggering. If each Northwest Montana county received just $3 per acre the amount of additional annual PILT payments to each county would be Flathead ($3.9 million), Lincoln ($4.4 million), Mineral ($ 1.4 million) and Sanders ($ 2.7 million). We cannot imagine any reasonable excuse for not pursing these justifiable increases in PILT payments. Meanwhile, Flathead and our sister counties are robbed by these enduring PILT underpayments resulting in a chronic lack of funds for basic infrastructure needs such as roads, bridges, jails, reduced property taxes, etc., but particularly for schools.
Our local citizenry deserves to have these issues explored as it means so many additional millions of sorely needed dollars yearly to each Northwest Montana county. But this can only happen if we have commissioners with the heart and courage to pursue it. In today’s political environment, it seems hard to find those leadership qualities in elected officials. However, we certainly hope our commissioners are the exception to the rule.
Mark Agather represents Treasure State Advocates. He lives in Kalispell.