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Department of Commerce details bed-tax programs, awards and priorities for biennium

January 08, 2025 | 2025 Legislature MT, Montana


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Department of Commerce details bed-tax programs, awards and priorities for biennium
Mandy Rambo, deputy director of the Montana Department of Commerce, briefed the Senate Local Government Committee on the department’s 2025 biennium goals and several bed-tax-funded programs aimed at supporting tourism, local infrastructure, and business development.

Rambo outlined that 52% of bed-tax revenue administered by Commerce is distributed directly back to communities as grants or loans and that an additional more than 17% goes to tourism regions and destination marketing organizations, amounting to roughly 70% of bed-tax receipts flowing to local entities. She described several programs: a $24 million tourism revolving loan fund distributed to local economic development organizations; a $2.7 million pilot communities program that selected seven communities; regional assistance for tourism regions and CVBs/DMOs; a staggered tourism events grant designed to make events self-sustaining after three years; the Montana Emergency Tourism Assistance Program (METAP); agritourism grants recently awarded; and an expanded Big Sky Film Grant program tied to prior legislation.

Rambo said the tourism revolving loan fund’s $24 million was placed with local development organizations so local decisionmakers can tailor loans to community needs. On film incentives, she referenced changes under last year’s legislation: "through Senate Bill 540, that you all passed last year, we have a renewed focus on Montana Film Productions," she said. Rambo also described Commerce’s 2027 biennium goals as continuing work to create higher-paying jobs, improve customer service and program efficiency, and modernize technology and grant portals.

The deputy director outlined that Commerce has implemented new programs created by the 2023 Legislature, such as the State Local Infrastructure Partnership Act (SLPA) and recently launched grant programs funded from lodging facility-use taxes. Rambo offered contact information and told the committee staff would provide links to Commerce’s marketing plans and additional materials.

Committee members had no substantive questions during the presentation; Commerce staff said they will stand for questions as bills are scheduled.

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