Governor Schweitzer Presents 2012-2013 State Budget

Press Release

Today Governor Brian Schweitzer submitted the state budget for fiscal year 2012-2013 as required by law.

"This budget puts people first by creating high paying jobs, cutting taxes, educating our kids, protecting our seniors, and keeping our communities safe. Unlike almost all other states, we have "cash in the "bank'-- currently over $330 million. Our state's finances are sound," said Governor Brian Schweitzer.

The Governor's budget for 2012-2013 is balanced. It is pro-job, pro-family and pro-growth. It puts people first by funding essential core serves. It provides the necessary funding for educating our children, protecting our seniors and keeping our communities safe.

Budget highlights include:

Cutting Taxes

* The Schweitzer Administration proposes raising the current $20,000 threshold for paying the business equipment tax to a $200,000 threshold in 2012, and then to $500,000 in 2013, and then to $1 million thereafter. Previous efforts removed over 13,000 small businesses from the business equipment tax rolls -- this will remove another 17,500 small businesses by 2014.

* For homeowners, the Schweitzer Administration recommends allocating $36 million to reduce homeowners property taxes through a refundable homeowner's income tax credit.

Keeping Money in the Bank

* The Administration is recommending an ending fund balance of $125 million for FY 2013.

Maintaining Our Good Business Climate and Successful Job Creation Partnerships

* This budget continues to fund: new worker training, small business development centers and small business innovation research, growth through agriculture, foreign trade assistance, Montana manufacturing support, energy development support, and other key economic development efforts.

Education -- Path to Good Jobs, Growing Economy & Competitive State

* This budget proposes putting $50 million more into K-12 education and $39 million more into higher education.

Putting People First

* This budget puts people first by funding essential core services: educating our kids, protecting our seniors, and keeping our communities safe. In addition to the education funding discussed above, two state agencies, the Department of Corrections and Department of Public Health & Human Services (DPHHS) provide the core services of public safety and protecting our seniors and others. The Schweitzer budget proposes that both of these agencies receive more total funding dollars than was in their 2010 base budgets.

The complete 2012-2013 State Budget will be available online at: budget.mt.gov

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