House panel hears bill to give property-tax relief to first responders injured or killed on duty

Representative Curtis Schomer, sponsor of House Bill 140, opened the hearing before the Montana House Taxation Committee on a proposal to provide property-tax assistance for first responders injured in the line of duty and for surviving spouses of those killed in the line of duty. "In front of you today is House Bill 140. Now this is a very important piece of legislation," Schomer said.

The bill drew a string of proponents from law-enforcement and fire organizations who said property-tax relief would help families remain in their homes after catastrophic injuries or death. Heidi Paulson, whose husband was injured in the line of duty, told the committee that loss of overtime and secondary jobs, limits of workers' compensation and the costs of caregiving can rapidly erode household finances. "So all these things and financial burdens start to build up. So, one thing that we can do to help lessen that burden is give them a bit of a break on their property taxes, to help them be able to at least stay in the home that is home to them," Paulson said.

Dan Smith, executive director of the Montana Police Protective Association, and representatives from the Montana State Firefighters Association, Montana Highway Patrol, Montana Fire Alliance, Association of Montana Troopers and other organizations urged passage. Brian Thompson of the Montana Sheriffs and Peace Officers Association noted the bill includes income and ownership limits and said a surviving spouse must both meet an income test and own and occupy the property to receive assistance.

Opponents focused on who the bill excludes. Audrey Martin, a career firefighter, said the bill’s definitions as drafted would exclude volunteer and wildland firefighters and most emergency medical services personnel. "Based on the definitions alone in this bill, 254 departments and over 8,000 Montana volunteer firefighters are not included in this bill," Martin said, and she urged the committee to consider broader coverage.

Committee members asked technical questions. Paula Gilbert, administrator for the Department of Revenue’s Property Assessment Division, confirmed elements of eligibility described in the bill: the exemption would apply regardless of market value; a surviving spouse who remains in the home and does not remarry could retain the benefit for decades under the bill’s current language; and the surviving spouse could retain the exemption even if they later cohabited with a partner, because the bill ties the benefit to marital status language rather than to cohabitation.

Sponsor Schomer acknowledged concerns and told the committee he would work with members on amendments. "I absolutely would consider amendments and working with folks to make this bill right," he said. Schomer also said he has an amendment planned to align the income threshold with the disabled veterans threshold.

The committee did not take a recorded vote during the hearing. Witnesses and committee members requested follow-up materials and written letters that proponents supplied.

Ending: The hearing closed after members and witnesses discussed possible amendments and clarifications; Representative Schomer urged a "do pass" recommendation after working with stakeholders on fixes.