Montana Senator Pushes Constitutional Amendment to Cap Property Tax Growth at 2%

Sen. Wylie Galt, R-Martinsdale, launched a push Monday to place a constitutional amendment on the November ballot that would cap local property tax increases at 2% per year across every class of property in Montana, from residential homes to commercial buildings, agricultural land, industrial operations and timber holdings.

"Skyrocketing property taxes have made it harder for Montanans to make ends meet, especially for hardworking families and seniors on a fixed income," Galt said. "They shouldn't have to consider selling their home because their property tax bill is too high. We need to get property taxes under control so Montanans can afford to stay in their homes."

The proposed amendment would rewrite the Montana Constitution to limit local governments' authority to raise property taxes by more than 2% annually. For residential property, that cap would be calculated from whichever was lower: the amount paid in 2024 or 2025. The initiative would also limit increases to assessed values tied to property improvements, such as adding a deck, a garage or a pole barn, to the actual cost of those improvements rather than a broader market-driven valuation.

School funding is explicitly carved out. The measure would exclude school district mills and levies from the automatic cap and would preserve voters' ability to approve mill levies at the ballot box that exceed the 2% ceiling.

"I'm proud of the reforms we made with Governor Gianforte in 2025 to permanently cut property taxes for 80% of Montana homeowners, but we must do more," Galt said. "We need to cap property taxes to make things more affordable for Montanans."

Galt, a former Montana Speaker of the House, framed the initiative as a necessary next step beyond the 2025 legislative session, which produced one of the most fractious debates in recent Montana politics. That fight over residential property tax rates split the Republican caucus sharply, with intra-party tensions running high enough that some members who sided with Democrats faced calls for expulsion from the party. The proposed amendment could effectively preempt the same battle from reigniting when the Legislature reconvenes in 2027.

Republican leaders in the House moved quickly to embrace the idea. Speaker Brandon Ler and House Majority Leader Steve Fitzpatrick, R-Great Falls, both praised the proposal. "Property taxes have become one of the most consistent concerns we hear from Montanans across the state," Fitzpatrick said. "While the Legislature has taken meaningful steps to deliver relief, it is clear that more lasting solutions are needed. Capping property tax growth is a straightforward way to provide certainty and protect families, homeowners, and small" businesses.

Legislative Democrats had not yet staked out a position. A spokesperson said the caucus has not taken a stance on the proposal and is currently evaluating it.

Before the amendment can reach voters, it must clear a legal review by state officials and then gather sufficient petition signatures to qualify for the November ballot. The Secretary of State's office will be involved in that process if Galt's campaign moves forward with petitioning.