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House committee OKs interim study of local government consolidation and cooperation

House Local Government Committee · April 15, 2025
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Summary

The House Local Government Committee voted to ask the interim committee to study consolidation and deconsolidation of counties, cities and special districts, aiming to craft a framework for cooperation, dissolution procedures and fiscal impact analysis to report to the Seventieth Legislature.

Representative Steve Gist on Tuesday asked the House Local Government Committee to approve House Joint Resolution 47, a request for an interim study of cooperation and consolidation among local government entities.

Gist, sponsor of HJ 47, told the committee the study would examine counties, municipalities and a broad range of special districts — including fire, water and sewer, road, housing and hospital districts — to identify where greater intergovernmental cooperation or consolidation could benefit communities. “It’s going to be any entity that’s a local government entity,” Gist said, describing the effort as a way to develop a framework for consolidation and for deconsolidation so services can continue with minimal disruption.

The resolution asks the Local Government Interim Committee to review existing intergovernmental cooperation mechanisms, study fiscal impacts of consolidations and dissolutions, and consider methods other states use. Representative Joy questioned how a statewide study would be coordinated across 56 counties; Gist said the interim committee would set priorities and could invite the Montana Association of Counties and the League to contribute expertise.

No proponents or opponents registered in the hearing, and after brief questions the committee moved to executive action. By voice and proxy vote the committee reported passage of HJ 47, with the clerk recording 17 ayes. The committee’s approval sends the resolution to the interim study process; the committee will determine the study’s scope and timing and the findings will be reported to the Seventieth Legislature.

The interim study is intended to build practical guidance — what Gist described as a “prenuptial” framework — to help local governments that seek to merge or later separate while protecting services and taxpayers. The Local Government Interim Committee will set next steps for staff work and stakeholder outreach.