State Legislature 2024: HD45-Denise Baum (D) - Billings Chamber of Commerce

What are your three most important policy priorities? What do you hope the impact of implementing these policies will be?

Removing the sunset on Medicaid Expansion so that the program can continue, addressing public safety/crime prevention and ensuring proper funding for our public schools. The federal government picks up 90% of expansion costs and had done so for over 10 years. Medicaid expansion keeps rural hospitals open, and uncompensated costs down. Employers also benefit from Medicaid because Expansion supports businesses who are too small or cannot afford to offer their workers’ health insurance. Six in 10 Montana businesses employ a worker on expansion and it helps businesses retain workers by providing their employees with healthcare; a healthy workforce leads to a healthy economy. I will be introducing bills again in the 2025 legislative session addressing public safety and crime prevention which focuses on holding violent offenders accountable and deterring juvenile gun violence. In order to keep kids in school, and out of the criminal justice system, our public schools must be provided the financial support and resources to provide a quality education. Expanding trades education will help grow a skilled workforce. I hope the impact of implementing these policies will allow Montanans to feel they have hope for their future.

In a recent survey of our members, an overwhelming portion of respondents (96%) agreed or strongly agreed with the statement: “Reducing the cost of doing business in Montana generally benefits all Montanans.” What do you hope the Legislature will do to reduce the cost of doing business in Montana?

One way to reduce the cost of doing business is by having a skilled workforce. Investing in education and job training programs helps keep employee training costs down. I will continue to support legislation that further expands trades education in our high schools along with expanding STEM programs, such as Project Lead the Way, in elementary and middle schools. Reducing healthcare costs for businesses is a significant focus. Expanding Medicaid and supporting policies that lower insurance premiums can help businesses save on employee healthcare expenses. Lastly, investing in infrastructure such as transportation and broadband can reduce the operational costs for businesses, especially those in rural areas.

In our recent survey, public safety was identified as the number one policy issue for our members. During the 2023 Session, important bills to update the antiquated Youth Court Act and revise theft laws both narrowly failed. We expect those and other safety bills to come up during the 2025 Session. What legislative changes would you suggest to address safety issues in Billings and around the state?

The legislature could allocate additional funding to local departments to hire more law enforcement personnel, purchase equipment and improve training. Expanding access to substance abuse treatment programs and increasing funding for mental health services would provide support and help reduce the strain on law enforcement.

Last session, the Montana Legislature passed numerous bipartisan housing bills, reforming onerous regulations that restrict housing supply and appropriating an historic amount of funding for housing. Considering how much was accomplished, it was dubbed the “Montana Miracle.” However, the work is not done, and more recommendations are coming forward from the Governor’s Housing Task Force. Which recommendations to add housing supply and make housing more affordable will you consider supporting?

I would disagree with the assertation that housing bills passed by the 2023 Legislature were a “Montana Miracle” since lawmakers failed to adequately address affordability or any long-term solutions to the housing crisis. The was a $2.5 billion surplus in the state budget, but the legislature chose not to pass several affordable housing measures and instead spent almost half of it on tax cuts and rebates.

Over the last two sessions, the Montana Legislature took significant steps to reduce the business equipment tax, relieving 502 Yellowstone County businesses from the burden of paying this tax. Would you be supportive of further reductions, allowing even more businesses to keep more of their hard-earned dollars?

I understand that lowering the business equipment tax can stimulate economic growth, job creation and increase a business’s competitiveness. However, I’m concerned about short-term revenue loss for the state especially in light of, yet again, tax cuts for the wealthy and large corporations which has caused a tax shift to residential property owners and renters. Business equipment is one class of property that since 1989 has seen nine reductions either through reduced rates or expanded exemptions. Lower income earners pay more of their income towards property taxes than the wealthy. I would favor a fairer tax structure in which everyone pays their fair share of taxes.

Reauthorizing Medicaid Expansion will be a major topic of debate in the upcoming session. Originally passed in 2015, the program provides significant benefits to Yellowstone County, creating over 1,500 jobs and providing healthcare coverage to approximately 10% of our local workforce. Are you supportive of reauthorization? With changes? Not at all?

I am absolutely in support of lifting the sunset on Medicaid expansion with no changes.

Tax Increment Financing (TIF) is consistently a topic at the Legislature, with supporters arguing it is one of the only economic development tools available to local communities in Montana, while some opponents contend it should be eliminated. The Billings Chamber has long been a strong supporter but acknowledges there could be room for improvement. What are your thoughts on TIF?

I support Tax Increment Financing as it allows the city to use future tax revenues to fund infrastructure and attract private investment. Then as improvements are made, property values within the TIF district increase making for a more vibrant economy. TIF can also provide a funding source for much needed infrastructure improvements such as roads, utilities and public spaces without raising taxes or reallocating existing budget resources. A win-win.

Considering the concern over recent property tax increases, the Governor established a Property Tax Task Force to offer recommendations for dealing with increasing property taxes. Which of the 12 recommendations, or other solutions, would you support to address property tax concerns?

I would support legislation that creates tax fairness and would require everyone, including the wealthy, to pay their fair share in taxes. Montana’s regressive tax system continues to burden low and moderate income earners as they are required to pay a greater percentage of their income in property taxes. Further, renters pay property taxes through their rent. Enacting a True Homestead Exemption would provide immediate tax relief by reducing the taxable value or residential properties and small businesses. Secondly, establishing a Housing Fairness Credit would support Montana families with lower or moderate incomes as it targets those most impacted by rising property taxes.