^^^
s«.^,°^.!*^* STATE LIBRARY
Mooun. Con.i„u,,o„.,Con„„uon. 1971.
Illllllllll
3 0864 00040754
•JJW 2 3 1993
LEASE RETURN
PATE DOCUMENTS COLLECTION
NOV 4 1982
MONTANA STATE LIBRARY
930 E Ly,idal9 Ave.
Helena, Montana 59601
.^45
CONTENTS
Vol. I
Foreword '
The Movements for Statehood and
Constitutional Revision in Montana, lSti()-U)7li v
Enabling Act 1
Convention Rules ti
Delegate Information
Procedural Committees 21
Substantive Committees li'J
Alphabetical List of Committee Assignments - 1
Convention Officers -9
Delegate Biographies ■''
Map of Delegate Districts 'i-'
Delegates By District ^^
Convention Staff ^^-^
Bibliography ' '
Delegate Proposals ' ■'
Committee Proposals
Suffrage and t^lections •^•^•^
Constitutional Revision ■^'^^
Legislative '^^^
4'^q
hxecutive
J udiciarN
Vol. II
Committee Proposals (cont.)
Natural Resources and Agriculture •'■^ '
Revenue and Finance ^''^
Bill of Rights ^^'^
Public Health. Welfare, Labor and Industry <^fil
Education and Public Lands ' '-^
Local Government ' ' '
General Government '
Compact with the United States
Reports of Committee on Style, Drafting, Transition, and Submission
Suffrage and Election
Constitutional Revision
. , . >4
r NVIHON^E^T ANC NAtufAI FESCUFCiS
3 ►'c tier 1. trcteC-icr ard Erharc^viTPnt 554
S-cticr. ^. . Ptciamaticr 555
Section 3. Water Fights 556
Secticn '^. Cultural Fr-scuiCj^s 558
TEXl OF fAJCniY EFCFC^^AI.
AGF.ICnnUEE 559
CCPfENIS CN KAJCFII^ FIiCPCSAl
AGSICULTURF 560
TEXT Cr MINOFITY FHCPCSAL 561
COMMENTS 0\' MINOR! I Y PFCFCEAL
3-cticn 1 562
Secticn ^ 562
A E E K N r, r X
Cress reteiPRCt cr fc^sent aisc croposs'l Article 563
C'^leqatt prcpcsals ccnsidet^d by ccffirittee 564
Witr, esoes heard by ccffliritte? 566
Pell calls 572
Ha jori t V
Natural R-ascurces 572
Acriculture 573
Natural Resources and Agriculture Committee 549
:i i 11 c L 1 1 y ')1\
550
KCNTANfl CCNSlllLlICNAl CC^VENTIC^
Date: Pfetruat> 17, 1^72
Tc: f.CKIflKA CON ST 11 CI IC N A L CCNVENTICN
Frcui: ^atur3l T'tscurcts and Agriculture Ccmoiitte?
Ladies and Gen t leiiier.:
The Natural resources and Agriculture Ccmniittee herewith
sutiritE a prcpcsed h-iv Article cc "The Envircnuent and Natural
Sescurc-'£" 3r.d a proposed new Article en Agriculture. The latter
Articl-? is intend^^d to replace reference tc Agriculture in
section 1, Article XVIII in the present Ccrstitut icn, and the
words relating tc the special levy CE livestock in Article XII,
section 9.
As a result of i-t-s d el iberat ic ts , the ccuiEittee has drawn up
a rew jrcpcsed Article en envirortnent and ratural resources.
The Article requires that: the state and each perscr naictain
and enhance the environment; legislative respccsitilit y; and a
provision fcr protection.
Separate sections dealing with land reclamation, water and
cultural resources are part of the new proposed Article.
The environmental and natural resources prcpcsal is sutoait-
ted as a majority report as is the new proposed Article cr Agri-
cult u re.
The irincrity report, a proposed last section tc the new
Article on the environment and natural lescurces, would provide a
Montana resident with a right tc appropriate legal proceedings
Natural Resources an
551
agairst a .3cv.= r niri>:'r. t aqer.cy chargec by liw with the i bj. 1 caenta-
ticn jr. d enter ceaent cf s-jid ftcvisicc.
Th^ iii'^n.ters ct this Ccnttittee, by signing the aajcrity
report, do not necet^-irily sancticc tach and every stdtemert con-
tained in this Evffcrt. The aincrity tef-Cit is an expression ct
these tt3inb^t£ who feel that such expressicr, while ditferir.g trcm
that cf thfr najority, merits cor, siceraticr. by the cciEittfp cf
the hhcle.
Th9 t^stimcny cf 95 witnesses in ^(:l appearances nas util-
ized by the commi tt-j-. (See Appendix C)
The cciBtBittee hishes te thank its Fesearch Analyst, Charles
Sullivar.; its Secretary, Elaine Fung; Student Intern, Pcna
Earley; and tave and Lee Ann Jersey.
/s^_Ci_Lccis§_Crcss^
Cha ir aan
ZIZ_li_Si_m_Cisler ,
Vice ChairBac
552
MC^TA^fl CCNSTITDIICNAL CCNVENTICS
i:AJCtIlY_E FCFCS AL
EE IT FFOPCSEE EY THE NATUF^l FPSCUPCfS ANE AGRICULTURE CCfMIT-
TEF:
That there te a nev Article en the En vircrisent and Agricul-
ture to i?ad as fellows:
ABTICLE
fNVI.^ONMENT ANC NATOFAL RESOURCES
Secticr. 1. FbCTECTICN ANE EMHANCERENT. (1) The State cf
Montana and each person must mairtair, ard enhance the environment
of the state for present and future generations.
(2) Ihe legislature
entcrceKent ct this duty.
lust provide for the adninistratic r. ard
(3) The legislature is directed te provide adequate reme-
dies for th-^ protection cf the envircnnental life support system
from degredatioE and tc provide adequate retedies to prevent
unreasonable depletion of natural resources.
Section 2. BECLAMATICN. All lands disturbed by the taking
of natural resources must be reclaimed tc as gccd a ccrditicr cr
use as prior to the disturbance. The ccndition or use tc which
the land is to be reclaimed and the method cf ecfcrcement cf the
ceclamaticr. must be established ty the legislature.
Section 3. HATER RIGHTS. (1) All existing rights to the use
of any waters in this state for any useful or beneficial purpose
are hereby recognized and cccfirmed.
(2) The use of ail water row appropriated, cr that may
hereafter be appropriated for sale, rental, distribution, or
other beneficial use, and the right-cf-way over the lards cf
others, for all ditches, drains, flumes, canals, and aqueducts,
necessarily used in connection therewith, as well as the sites
for reservoirs necessary for collecting anc storing the same,
shall be held tc te a public use.
(3) All surface, underground, flocd, and atmospheric waters
within the boundaries of the state cf Kcntana are declared tc he
the property of the state for the use cf its people and subject
to appropriation for beneficial uses as provided by law.
(4) senficial uses include, but are not limited tc, dcaes-
tic, municipal, agriculture, stcc kwatering , industry, recreation,
scenic waterways, and habitat for wildlife, and all ether uses
presently recognized by law, together with future beneficial uses
Natural Resources and Agriculture Cormiittee 553
as det<3iiriDed by the l^qisla+iure or couLts cf Mcntana. A diver-
sion cr d9V9lofa)ent work is net required fcr future acquisition
of a fcater right fcr the fcregcirg uses. The legislature shall
determine the nethcd cf establishirg these future water rights
which dc not require a div-srsion and nay designate priorities fcr
those future rights if recessary.
(5) Priority cf appropr iat icr fcr beneficial uses shall
give the better right. Nc appropr iat ic r shall te denied exc«=pt
when such denial is demanded by the public interests.
(6) The legislature shall provide fcr the administration,
control and regulation cf water richts and shall establish a sys-
tem ct centralized records.
Section U. CULTUEAL 5E5CDFCES. The legislature must pro-
vide fcr the identification, acquisiticr, restcraticn, enhance-
oent and preservation cf scenic, historic, archeclogic, scien-
tific, cultural and rGcreaticnal areas, sites and objects, atd
their use and enjoynent ty the people.
Z§Z_l:2i}i§S_Clcss
Chaiman
^s/_E._Si_^lrv^_G^£l€t
Vice Chairaan
ZsZ_G€cffr€i_L._Brazier__ ZsZ_Henri_li_Sider ius_
lsi_Jchu_ti^_AiidetscLj__JZs_ Z§Z-*i_2i-£§lil£^i
ZsZ_Ecualas_Celanei__ ZsZ_Charles_E^_PcNeil_
Z§Z_£££3i^-^-3-
554
MGNIANA COhSTIIUlIChAL CCK^EMICN
COMMENTS ON MAJCraTY EBCECSAL
AE'IICLE
LNV IR0N.1EN1 Mi L NAIUFAI FESCUBCE5
Stcticr. 1. EFCIFCIICN AND ENhANCEHENT. (1) The
State of Mcntana ard each perscr irust ndintair, and
eiihanc; the envircrKent ct tht state fci present and
futuit qtn.- rations.
(^) The i-gislature iru£t provide for
i?traticn and =ntific, cultural and recreational areas,
sites and objects ycur cciririttee prc{.cse£ this
self--.^ xplanatcr y section. The ccoiiBittee felt that such a
section was appropriate in an article prcvidicg for pro-
tection cl cur total environment for this and future gener-
ations.
Natural Resources and Aqriculture Committee '^59
KAJCFITY FliCFCSM
BF II FBCEOSIC EY THE NATUPAl EESCUFCES ANC AGMCULTHRI CCM-
HITTEE :
That there te a new Article or Agriculture to read as
f cllcws :
AFIICLE
AGBICUITURE
Section 1. DEEAaTf«ENI CF AG6ICUILUPF. The legislative
asseably must frcvide for a Eepartaent of Agriculture and
enact laws and provide apprcpriaticns to protect, enhaEce
and develop all agriculture of the state.
Section 2. RIGHT TC SEECIAI LEVIES. A special levy
may te made on livestock and on agricultural ccHtrcdities for
the purpose of disease ccntrol and indemnification, predator
control, livestock inspection and protection, agricultural
ccminodity inspection and protection, livestock and agricul-
tural coininodity research and prcmotior.
Chairman
/s/_E^_Si_!lErv'2_Gjsler
Vice Chairiran
Z§Z_Geoff£e2_L^_Bra2i€r__ ^sz.Henri.U.Siderius
ZsZ_Jchn.H^_Ander£cn,_Jr^ Zs^.A^.w^.K^bcot
ZsZ_Cou3las_Delane:Z ZSZ_Charles.B,.«cileil
560
MONTANA CCNSininiCNAL CCNVENTICK
COMMENTS CN fAJOFIlTf FFCECSAL
Stcticr. 1. CEPAPIJIZN'I Ci AGFICUITUFF. The legis-
1 a t i V -i a
cult Utr-
prortct ,
S + a t -J .
ssGBibly must
and enact
enharce ar.d
provide fcr a d^partaent of flgii—
laws and provide ap prcpriaticns tc
develop all aqiiculture cf the
CCMKENTS
Your ccKiLitte'r telievss that it is necessary tc recognize
the largest and most ircpcrtant industry in the state by retainirg
the Ccnstitutiondl provision for a Department of Agriculture and
tc rT-quirj tb^t the legislature provide a pprcpriaticns and
authoritif^-s tc adequately protect, enhance and develop the agri-
cultural industry of the state.
This new section is irtended tc reacve any reference tc
agriculture frca Article XVIII, section 1 cf cur Ccnstitution and
to be the lirst section cf a new article on agriculture.
Section 2. BIGHT TC SIECIAl LEVIES. A special levy
may te aade cc livestock and on agricultural ccmtBodi-
ties fcr th'^ purpose of disease control and indemri-
ficatior, predator ccntrcl, livestock inspection and
protection, agricultural comirodity irspecticn and ptc-
tection, livestcck and agricultural ccirircdity research
and proDioticr. .
CCfMENTS
This section is a ravisicn cf Article XII, section Q.
Because cf the excsllent results cf the livestcck mill levy, your
ccmirittee believes all cf agriculture should benefit frcu this
method of self-help taxaticr. However, your cdrmittee feels that
setting th-? rate, as was previously dene, is a legislative func-
tion to be exercised in response tc icdustry needs.
Natural Resources and Agriculture Committee 561
I'.INCEIIY FPCt-CSAL
EE n tROPCSEC BY THr NATURAL FtSCOFCES ANE AGRICULTUHE CCI-riT-
TEE:
Ihat the fcllcwinq subst^cticn te added as subsecticn (U) tc
section 1 ot the t nvir cnire r t ard Natural Rescuices Majority Fro-
pcsa 1 ;
Secticn (U) . Any Montana resident has the riqht to appro-
priate legal prcceedings against any gave r r otertal agency charged
ty law with the i a p leir.en taticr and enfcrcenent ct any prevision
of this Article.
ZSZ_Ci_Loui£e_Crc£s_
Chairman
/E^_Char les_Ei_ncNeil.
/£/_Henr_y_Li_Siderius_
562
PCNTAhA CCNSTIIOIICNJL CCNVtNTICN
COMKEMS C^ f INC FIT Y P BO PC SAL
Stcticn (U) . Any Kcr.tana resident has the right tc
appropriate legal frcceedircs against any governciental
agency charged ty lavi with the i ir plp nerta ticn and
en tcrceinr-:nt ct any jrcvisicn of this Article.
CCHPENIS
Iht- [rincrity report, a proposed sutsecticn tc section 1 of
the new \rticle cr the envircnment and natural resources, would
provide a f.ontana resident with a right tc appropriate legal pro-
ceedings against a government agency charged ty law with the
iaiplcmer.taticn and enforcetcent cf said prcvisicr.
This is intended tc grant an individual a Constitutionally
guaranteed direct legal remedy tc compel the perfcrirance ly state
agencies of the duty tc inplement and enforce the provisions of
the Environment section.
Natural Resources and Agriculture Committee
563
SPFENCIX A
CIiCSS FEF£FFh:CE£
PRCPCSEI SECTIONS CF
ENVI FCNMENI Al A ST I CLE
1
2
3
1+
here
PFESENl A&TICLE 5 SECTION
None
Ncne
III, 15, Mith
revision
Ncre
XIX, 3
PRCFCSEE SECIICNS OF
AGhlCUITUF.E ABIICLE
PPESES'I ARTICLE S SFCTICN
XVIII, 1, kith
tevisicr
XII, 9, with
r^: visicr.
564 MONTANA CCNSl TTUTIC N AL CCN^ENTICN
APPENDIX b
P ROPOSALS CONSIDERED BY COMMITTEE
The following delegate proposals were examined and
considered by the Natural Resources and Agriculture
Committee during its deliberations:
Number of
Prop osal Chief Sponsor Subject Matter Disposition
1 Berthelson Establishing Rejected
Public Policy on
Environmental
Quality
2 Berthelson Providing for Adopted in
Water Rights part
12 Cate Protecting the Rejected
Environment
20 McNeil Providing a Adopted in
Public Policy of part
a Quality Environ-
ment
21 McNeil Guaranteeing an Adopted in
Individual ' s part
Right to a Qual-
ity Environment
48 Etchart Providing for Adopted in
Water Rights part
83 Jacobsen Providing for Adopted in
Acquisition of part
Historic Sites
93 Siderius Providing for Referred to
a Collective Bill of Rights
Bargaining Committee with
Affirmative
Recommendation
Natural Resources and Agriculture Comnittee 565
Nunibtjr of
Propos al Chief Sponsor , .. -t Matter :^ ^^ition
9. 96 Erdmann Irrigatinq and Adopts, xii
Water Rights part
10. 104 Kelleher Reserving to the Rejected
People of Montana
All Subsurface
Rights Except Under
School & Indian
Lands
11. 114 Bugbee Public Sightli- Rejected
ness and Good
Order
12. 117 Bates Providing for a Adopted in
Department of part
Agriculture
13, 127 Davis Providing for Adopted in
Water Rights part
14, 135 Davis Providing for Referred to
the Exchange of Education and
Public Lands Public Lands
Committee
15, 162 Cross Environment as Rejected
Public Trust
566
MCNTANfl CCNSTITUIICNAL CCbVEKTICN
APE END IX C
WITNESSES aiAFC EY CCKKIITEE
^a5e_r_:51iiiiSticn_-_?€sidfDce_-_ Subject
1. Gary J. hicks - ChairHan, Cepartment of Natural
Pesources - Helena - Duties ard Prcblems of department.
2. James T. tlarriscn, Jr. - Counsel, CepartBect of Natural
Resources - Helena - I nf or icat icr atcut Cepartaert cf
Natural Resources.
3. Fcnald J. Gus^ - Eaplcyee cf Cepartipect cf Natural
Resources - Helena - Irf cr maticn atcut Cepartnert cf
Natural Resources.
U. Elans L. EillG - Errplcyee cf Cepartffert cf Natural
Resources - Helena - Infcriraticr atcut Cepartuert cf
Natural Resources.
5. Mike Schwirder - Eirplcyee cf Departnert cf Natural
Resources - Helena - Icf crmaticn atcut Departnert cf
Natural Resources.
6. James losewitz - Eirectcr - Eivis4cr for E nvircctrental
Protection, Department cf Eish and Game - Helena -
Duties and background cf divisicr.
7. Ted Schwinden - Ccaicissicner cf Public Lards — Helena -
Duties cf Cffice.
8. Catc Butler - Public InforHaticn Officer, Cepartmert cf
Aqricultura - Helena - Duties and prcblsis cf depart-
ment of Agriculture.
9. Jack Rehberg - Montana Eetrcleum Producers - Billings -
Pclluticn cf urdeigrcuod waters.
1C. John Goers - Geologist, Department cf Public lands -
Helena - Mining and minerals laws.
11. P. R. KcEcnald - Anaconda Cciapany - Butte - Envircc-
ment .
12. Dcuglas Siiith - Agriculture Cccrdiratcr - Helena -
Agriculture .
13. Eill Cheney - Executive Cfficer, Eepartient of Live-
stock - Helena - Livestock aill levy.
Natural Resources and Agriculture Committee 567
14. i-zT: wake - Acirinistra tcr , Livisicr. of 5 r. vircnnien tal
Sciences, Cepdrtirer.t ct iiealth R Znv ircrir'^rtal Sciences
- H€l-ena - fiir.
15. Jchr C. Spindler - Anaconda Ccnfary - Eutte - Hater.
16. Fred JchnstcE - Lawyer-rancher - C-reat palls - Lessee
cf stdt€ lands.
17. Dclcr?s Cclbery - Superintendpnt cf [ublic Ins tr LCt icn
- Helena - Putlic Lands.
18. Maurice Hickey - Directcr ct Eield Services, fcntana
£ducaticnal Asscciaticn - Helena - Use cf state lanes
ror public scbccls.
19. Fletcher NewLy - 2xecutive Lirectcr, En vircnnen tal
Cuality Ccuncil - helena - En vir cr Cc eta 1 quality.
2C. C. E. Anderson - Fart-time prcfesscr at Western rcrtara
Ccileg- - Lillcn - State lards.
21. Al Kin-jton - Chief Forester, Divisicn of Forestry
fcrt Harrison - Operaticns ct 0*= f artir ent .
22. Jchn Bcunds - Anaconda Weed Products Ccafary - Ecnner -
Cperaticns cf plant.
23. Lester Ischannen - Evans Ercducts Co. - Missoula - For-
ests and timcer.
2U, Jonn Schultz - Tree Loggers, Ire. - Missoula - Forests
and titrter.
25. Chet rreher - P.epresin tat ive of Ccrgresscan Shcup
Helena - Envircnoient .
26. Paul Richards - Governor's Ccrference en Youth - Helena
- Envircnoient.
27. Irving Boettger - Engineer with private concern - East
Helena - Envircnoient.
28. Pill Cunninghait - frcfessor. University cf Montana For-
estry School - Missoula - Public trust and environ-
ment.
29. William C. Hcllentaugh - Frcfessor, University cf Hcr-
tana Forestry School - Missoula - Environment.
30. Gecrga Earrow - P epresentative , Yellowstone Ccunty,
District 6 - Eillings - Environment.
568
nONlANA CC^STI'IU^ICNAL CCNVENTICN
31. 1-ofcert t. Lc'FrcuE'r - Anaccnrla Ccifary - Hisscula -
Lrvirorii'fr.t.
32. Cecil Garland - Private bosiness - Lirccln
[rent.
En vircn—
33. Ldrl«=n-; L. C-rcve - Hcusehif? - Helena - Environment.
3*t. «avis fiCKelvty - league cf Wciter. Voters - Misscula -
E rvi r cniren t .
35. William D . Tooilinscn - Montana Wildlife Eedsraticn -
Misscula - Lnvitcnir^nt.
36. Cale Fredlund - Prcfesscr, Departirent cf Anthropclogy ,
University cf Montana - Misscula - Cultural resources.
37. Kichard L. Redder - Montana Agriculture Exferisent Sta-
tion - Eozeaan - Keclairaticn.
3G. Erank J. Laird, Jr. - Araccnda Ccaipany - Eutte - Follu-
tier.
39, Gene A. Tuira - Peabcdy Ccal Ccwpany - Forsyth - Becla-
maticn.
UO. Leonard Camptell - Regional Counsel, Envir cnmental Prc-
tection Agency - Denver, Cclcradc - En vircnaient .
41. Irwin Eickstein - Env ircrae rtal Frotecticn Agency -
Denver - Ervircnment.
42. Fctert EeSpain - Envircniren ta 1 Protection Agency -
Denver - Environment.
43. heitb Schwat - 2rvir cnirental Protection Agency - Denver
- Envircnment .
44. Dave Wagoner - En vircnmental Frotecticn Agency - Denver
- Envircnment .
45. Eatricia Antonick - Housewife - Helena - Ervircrment.
46. Sam Gillully - Director, Montana Historical Society -
Helena - Cultural resources,
47. Richard Reese - Chairman, Eepartnent cf Pclitical
Science, Carrcll College - Helena - Envircnment.
48. George Lackman - Contmissicner cf Agriculture - Helena -
Departnent cf Agriculture.
49. Larry Blazing - Forester - Misscula - Forests and
timber.
Natural Resources and Aariculture Committee
569
5C. .larvin ^■cf1ichelH - Mcntara Weed Frciucts Asscciation
Misscula - i'crests ami limter.
51. Fred W'^tzstecn - Earner - Sula - Water tights.
52. Albert W. Stcne - ProlGsscr, University ct Mcntana -
F. issoula - Water use anc richts.
53. rimer Cox - PresidGnt, Mcntara Naticral Farmers Orga-
nizaticfj - Fcrt Eentcn - Hatfr rights ar.d use.
54. Charles Bowman - Head of Agricultural Exferiuent Sta-
tion - Pczeuan - Water.
55. James A. Stewart - Mcntana Quality Ccnncdities , Ir.c.
Glasgow - Water.
56. Alex Kcgan - Mcntana Quality frocucts. Ire. - Glasgow -
Water .
57. Clyde Jarvis - President of Montana Farmers Onion -
Great falls - Water.
58. Senator Gcrdcc KcGcwar - Pancher 8 Secatcr - Highwocd -
Water.
59. Senator McCraLer - Rancher 8 Senator - Water.
60. ?!cns Teigen - Secretary, Kcntana Stockgrcwers Associa-
tion - Helena - Water.
61. David A. Smith - Secretary-Treasurer, Kcntana Wool
Growers Association - Helena - Water.
62. Philip tonally - Montana Weed Control Association -
Superior - Pesticides.
63. Jim Kallin - Montana heed Control Association -
Misscula - Pesticides.
64. Viggo Anderson - Grain Farmer - Great Falls - Agricul-
ture.
65. Jim Stephens - Pres., Montana Grain Growers Assn. -
Button - Agriculture.
66. Gretchen Billings - Helena - Executive Secretary, Mon-
tana council of cooperatives - Depart-ert of Bgricol-
ture.
67. Clifford Stoltz - Grain acd livestock operator - Valier
- Department of Agriculture.
570
MONIANA CCNSinDIICNftL CCNVENTICN
68. Crcrqe SKdria - U'ht^dt farirer - Center - Cs pa ttiiient of
flgiicultur?.
69. Harv€y Griffir - harchcr - Fo^eiran - Water.
7C. Jchn C. t'au^^ - F archer - Billings ij Sheridan - land.
72. Jchn Kay - leacher - Hairiltcr - fcat=r riqhts.
7?. Dt. Clancy Gordon - Prcfsssor, University cf Montana -
Kissoula - Kn vironment and pclluticn.
7U. fcill baird - Real estate - Eillirgs - Land.
75. Gene Picotte - Attcrney, representing Pcrtana - Lakota
Utilities - Helena - Delegate Frcpcsal #162.
76. Senator Le? M^tcalf - Senator for Montana - Bashingtcr,
D. C. - Eelegate Proposal «(162.
77. Eill L-aaphart - Ssnior at C cf [^ Lav* School - Pissoula
Eublic Trust in Eelegate Eropcsal #162.
78. Patricia Eee ['eier - GASP - Kissoula - Eelegate Prc-
pcsal )t162.
79. Ray Gardner - Society cf Airericar Foresters - Kalispell
- Delegate Proposal #162.
80. Lr. James N. Brogger - Western t^crtara Fish and Gaoe
Association - Misscula - Delegate Frcpcsal #162.
81. Robert E. Watt - Montana Student President Association
- Helena - Eelegate Proposal #162.
82. DorisiXilner - Citizens cf Ravalli Ccurty - Hamilton -
eelegate Proposal #162.
83. Mrs, Gene Allen - Rancher - Eruirncrd - Public Trust
(Eelegate Proposal «162).
8U. Hubert G. Hhite - f'.cntana Water Eevelcpnent Association
- Townsend - Water.
85. Ray GulicK. - tamer - Jcplin - Agriculture.
86. lerry Kurphy - Representative and fariter - Cardwell -
Agr icu Iture .
87. Edward J. Melby - Farmer - Melt - Agriculture.
88. Gordon Watbescn - Grain Faraier - Conrad - Agriculture.
Natural Resources and Agriculture Committee 571
89. Ecb Ward - Farir er-r ar.cher - Pczenan (Gallatin Valley) -
flgr iculture .
9C. Fd Linhardt - High Line Ditch Cctnpany - Pillinqs -
Water rights.
91. Oill Stil=y - Pig Citch Ccmfany - Eillirgs - Wat^r
rights.
92. Hans Bcffler - Society American Foresters - Missoula
Tioiter .
93. lim Hichmcnd - AnaccDda Forest Frcducts - Misscula -
1 ifflter .
9U. Paul Kipf - Forester, Bureau of Indian Affairs - Bill-
ings - Timter.
95. larry Hagcre - Plum Creek luifter Ccnfany - Hhitefish -
Tifflter.
572
MONTANA CCNSTITOTICNAL CCh^ENTICN
OJ
Ul ••
CB O
Q Z
CD
4-1 ••
CO O
P Z
-
>^
>-
Z
>-
>^
>^
>-
>^
00
t— 1
O
Q
nj o
M
kJ
Q Z
X
o
^
M
'
Q
►n
:d
Z
W
P-
<
r^
^
o
g
4_j ..
>'
>-
t-
>■
?"
>^
>-
>^
a^
°
C
en
>'-.
Q Z
►J
<
<
^
CJ>
W
CN
1
o
o
0)
4J ••
>^
>^
z
>-
z
>-
>H
>- >-
^
o-i
c
s
Oi
1— 1
>
w
« O
Q Z
1
1
1
1
i-l • •
z
>-
J"
>H
>-
>"
>-
>^
2
r~^
r\i
o
cfl
w
Q 2
H
o
>
C
kJ
O
^J
•H
1
H
<
4-)
z
u
u
w
^J
Hi
1
^
<
CO
pa
>-
^
<
o
1
02
i
1
1
z
CO
(
1
oi
o
OS
>-'
H
^
^
ct
CO
w
fcj
O
1 1
t— 4
C3
CO
CO
M
§
o
z
^
oi
w
i
►J
<
H
O
H
s
o
Qi
CO
Q
03
w
Q
r
2
CO
w
a:
c
h- 1
CO
NATURAL RESOURCES AND AGRICULTURE COMMITl^EE
X!
i-l
Q
a
fd
C/1
<
u
o
Pi
Date:
No:
4-1 ••
S
(1)
TO
Q 2
0)
TO O
O
■u ••
TO O
G Z
w
w
H
H
h- 1
O
C)
TO
Q ■Z
H
hJ
o
oi
c
<
1
1
1
w
CSl
u ••
TO O
C 2
Z
>-
>^
z
S-
>^
>-
>H
z
\C
C^
o
1— 1
4-J ••
TO O
Q Z
>-
>-
>■
t-
>-
>-
>^
>
>-
0^
O
o
o
>
►J
<
a
o
Z
o
^-'
E-
U
in
oi
w
cc
X
a:
O
Di
a
z
o
w
Q
>-
Q
H
O
o
w
z
u
<
S
Q
Hi
CO
<
>•
f-
5
z
to
<
1
574
KCNIANA CCNSTITUllCNAL CCKMEMICN
Q
X
-'
H
o
o
CO
<
u
hJ
o
Pi
<;
s^
>-
t— 1
ffl
M
O
O.
o
u
o
•r-)
(/I
0)
u
n
en
QJ
3
u
4-J
C
O
■H
>
w
o
1
>>
H
z
z
z
Z
>^
t"
>-
-^
lO
o
z
o
1— 1
H
u
w
CO
PS
w
oa
c
e
CO
o
Di
•H
w
CO
z:
c
ir.
Di
W
M
oa
w
Q
H
O
O
z
u
<
CO
CO
>-*
Pi
C
h- 1
CO
1
i
<
Z
w
CO
03
C FO S A L 584
COMMENTS ON riAJORIlY PRCtCSAL 588
Secticn 1. Put lie Pui;fc:s«= 588
Surrsr.d-r Clause 588
t'lcp-rtj Tax Acirir. istraticr.... 588
E^ual Valuaticn 590
Stcticn ". Ftcp^r*:^ Tax Fx-infticns 590
Sr-Ction t. liiyhway Earirark 591
Section 7. Tax A]:t?alf Lcard 592
Section ■'. Stat^ InJettcaii-zss 594
B a 1 a r. c t d P u d y 9 t 595
L c c a 1 G o V f? r r, ff p, T: t 1 1; d € b t € d n •' s s 595
5e-ctior. 11. Us- at Ecrrcw = d Furcs 595
Section ! 2 . Strict A c c c ur. t a i. i 1 i ^ y 596
Section ' 3 . I r. v .; s t ir j r t ci F u L I i c F u :; '1 £ 596
S'-:cticn la. Agiicuitural L^^vi^s 597
MINCFITY CC^fFM G N FROFOSFE SECTICN ": 599
MINCFITY COi-IMINl .\ PDCFCSSC SECTICN 13 602
S .; c 1 1 c n
ST^cticr.
Xevsnue and fin arcs Ccntrittee 577
APFENEIX
Fell Ciii Vct-:^ en Majority Prcfc:;al 604
r-rct;o£als Consider -id ty Cciirittte 605
A i t r. ? ? p V s R 'i a r 1 t y C c m m i * t e ^ 606
i;rticr aii c
the basic go ver rtr^r tal structure and legal
tf. Thi guiding principle during these dvl
n a clean, simple dccunert, liBited tc those
doctrines iiTipcrtant encugh tc te frczen ir C
cire cciririttees, ct rtcessity, had tc coire up
articles. Ihe Executive, Legislative and Jud
tc establish the basic frairefccik for those
F;ill cf Rights CcB
nches of gcvernirent. Tte .-^^^ -. -
ccrtair fur. dairental principles and right? g
pie by their gcverraert
h a r g e d
dccu-
ibe ra-
basic
erst i-
vith
iciary
three
cittee
uaran-
:he Fevenuf
:-ut
stituticr.
and finance Ccfftuittee apprcached its task fcith a
diffsr^ut attitude, -roir a pure, theoretical viewpcint, the Ccn-
stituticr. dees net have tc say a tbirg abcut -taxation. That sug-
gesticr was tnade to the conin)ittee cr. at least twc cccasicrs. The
reason is siieple — tha pcher to tax is an inherent power cf the
state, a power already possessed ty the state hithcut
of authcrity. Anything in a state Ccnstit ut icr
taxation is either redundant (reiterating a
sessed by the state) or restrictive.
ary grant
n the subject cf
power already pos-
Ihe
aa jcrit y
report contains previsions cf both
philcscphies. Scire cf the proposed sections sioply state a power
already possessed by the legislature — but repeated because cf its
importance to proper gcverrir.ental operation cr to the protection
of the people. Cther sections were sptcifically ircltcec tc
restrict th= state's taxing cr revenue powers.
The majority report reflects the ccairitte^'s approach to its
deliberaticns. Assigned three articles frcir the present
Constitution — ccrtaining 42 sections — the ccmnittee recomirends a
condensec, single article cf only 14 sections. Naturally, that
means the coBinittee eliminatec or abandoned nsary sections in the
present Ccnstituticn. For the convenience cf the ccnventicn, the
following anuiceration shows what happened to these secticrs and
why.
AFTICLE XII
Section
power tc levy
^. Ivliirinated . The state already possesses the
particular kinds of taxes and license fees. The
Constitution does not need tc list those tax programs. The ccb-
iBittee also did not feel that the ccnstituticn should require
taxation cf all property.
for SC years, the Constitution required taxaticr cf all
property. That nandate was difficult tc live up to. The reporting
procedure utilized for taxation cf household property did net
insure its complete taxation. Stocks and bonds frequently escaped
580
MCNTANii CCN£TITI]1ICN?L CCKVEMICK
detection. The require (rent cf ccirflete picperty taxation often
encouraged dishcneEty. The proposed article removes those
problems — the legislature shall decide what property to tax and
how tc tax it. The Ipgislature may decide that ether types cf
taxaticii are icore equitatle ard nay reach kinds cf property not
touched by tha property tax nov».
Section_Ja. fclitninated. figair, it is unnecessary to specify
particular tax programs in the Constituticn.
Th'i provision earuarkirg inccffe tax revenues for education
and thi general fund was removed for twc reasons: 1) the comoiit-
tee wanted tc avoid -jarinarking cf funds as Buch as possible, and
2) the present language does not specify hew nuch cf the inccme
tax r'^venu3s should go tc education. By statute, 25 percent cf
these funds are presently dedicatee, but technically, cne dollar
of the total inccnie tax revenues vculd satisfy the Section la
requirement. The committee felt the earmark had little fcrce and
was best eliminated.
Sec t i cn__1 b . Ptoposea section 6, «ith modifications, covers
this section.
£2£li£2_2. Proposed section 5, with scire changes, covers
tax exempt prop-rty.
S^£tion_J. Eliminated. The legislature should determine
methods and procedures for taxing minerals. The committee heard
conflicting testimony on the most equitable kind cf tax to impose
on metal min°s, coal, oil and gas. Therefore, the decision should
be left to legislative de te r mina ticn.
The ccminittee recommends that the legislature give serious
consideration tc retention of the present statute prcviding for a
net proceeds tax in lieu cf the property tax on minerals in
place. The legislature has done a good jot cf developing fair and
equitable taxation of {Montana ninerals. It should be given full
discretion tc continue that program. The ccimittee also recog-
nizes the iiportance of legislative flexibility tc aeet the needs
of changing times. If the legislature shocld decide that net
proceeds are no longer the test method cf mineral taxation, it
should also remember the dislocation to local gcvercment revenues
that would be caused by such a charge.
Sec ticn_a
local governme
wants to assis
should not ha
not have to cr
system, to fee
fee exception
trouble for th
system; and tr
revenue progr
Eliminated. The prch
nts is no longer justif
t local governments, it s
ve tc rescrt to subterfug
eate artificial Iccphcles
d tax money tc local gove
to the present state
e legislature when it tri
outles the courts when th
am is really a license s
ibit
ied.
hcul
e.
, 1
rnme
aid
es t
ey 1
yste
icn on
If th
d be fre
The legi
ike the
nt units
prohibit
o establ
ust deci
B. The 1
state
e legi
e to do
slature
licer
. That
icn has
ish a
de whet
egislat
aid to
slature
sc and
should
se fee
license
caused
license
her the
ure has
Bevenue and Finarce Ccimitt'^e
581
also tried tc get arcund the ^cchititicr by cr-. atinj programs cf
d "stite ucvarncB'ent a I nature" such as th? rcc=rt neweiaqf treat-
ment r^id t^rograir. That ccnc^pt is a nebulous cr-^ature, ani may
thwart otherwise acceptable prcqrairs that tail tc attair. the
proper state governirjnt stature.
The gu-£ticn cf local goverrirent taxing authority is covered
by tne Local Gcvernment ConEittee. Nothing in the proposed
revenue article is meant to restrict the 1-gislature frctr grant-
ing taxing authority tc Iccal govemaitnts or cf. Iccal governments
frcm having such authority.
Si£tion_b. Thfc question cf local gcverrnert taxing pcwcrs
is covered by the Lccal Gcvernnitnt Connitte;. The second clause
of this section is covered by proposed section U.
S€cticn_&. Ihe intent of this secticn is covered by pro-
posed section 2.
iS£ii£II_Z' "^^'^ intent of this s-icticn is ccvered ty pro-
posed section 2.
Section_8. This guarantee is already estafclishec in the
Federal'conitituticr , the supreme law cf the lard. Bepetiticr cf
the guarantee at the state level is urrecessary.
S§cticn_9. The thc-iaill liaiitaticn cr state property taxes
has been~remcved, primarily in an effort to comply with the
S§II'^I<^ school finance case frcm California. Although Serrano is
not yet the law in the United States, and a similar decisicr has
not been upheld in Montana courts, the Ccrstituticn is not a doc-
ument tor today only. The framers of this Ccrstituticn must be
forward-looking and future-oriented.
The committee has heard ccnflictirg testiBcny on the Serrano
case and its application tc the Montana situation. Eut the
overwhelming weight of the evidence indicates its applicability.
The committee siirply had to tdce the fcssibility that Montana nay
have to levy a statewide property tax for educational purposes.
That possibility was strengthened ty the acceptance cf the
Serrano doctrine in Texas, Mirrescta and New Jersey.
The comaiitte^ was also concerned with the present use of the
two-mill statewide property tax levy. The levy is used row as a
back'-top measure, imposed to bring in additional revenues when
other methods fail. Quite cften the decision tc iupose the levy
is made for political, rather than eccncmic, reasons.
The intents of the fcur-mill livestock levy is covered in
proposed secticr 14.
Section ^O. Eliminated. Ihe intent cf this section is cov-
ered, "in" iiniral terms, in proposed secticr 12. Specifics are
better left ro the legislature, however.
582
KCKTANA CChST IIDIICNAL CGNVENTICN
Secticn__1__1 . Th.- first HcntencG is rcw picpcsed secticn 1.
The unifcrndty philosophy in th<; second senter.ce was elia.inated,
piimatily b^ic^use uniformity of taxation is already required cf
the states through the lath Anendicent to the Cnited States Con-
stitution. Th-e proviso also unnecessarily thwarts taxaticn prc-
qratns, and has caused considerat !•= cc r ster n aticn in other states.
The ['^nnsy 1 vania Supreme Court invalidated an inheritarce tax
prociraff as violative of the unitcrmity provision. The Illinois
uniformity clause was inttcpteted tc prohibit a graduated irccnre
tax in that state,
SectioTi_22. The "balanced tudget" philosophy cf this section
is retain^'d in proposed section '^ .
Section__13 . fliicinated. The intent cf this secticn is cov-
ered, in general tertrs, in prcpcsed section 12, Details should be
left re th-; legislature.
Secticn_2U. /limirdted. The intent of this section is cov-
ered, in general terH'S, in proposed secticr. 12. The legislature
should establish the procedures by statute.
Secticn_J5. Property taxaticn procedures are covered in
prcpcsed section 3 — the state is now responsible for appraisal,
assessment and equalization. Provisions concerning the structure
of the property taxaticn systen are better left to the legis-
lature. Only that body can judge the needs cf future taxpayers,
and establish procedures that best suit those needs. It is unnec-
essary to freeze such administrative detail in a Constitution.
The coDimittee does recommend a comprehensive review proce-
dure tor Montana taxpayers in proposed secticn 7. The reccnuenda-
ticn establishes an appeal board separate and distinct from the
tax administrative agencies. Eecause this independent appeal pro-
gram is new tc Montana, the committee's reccamendation en that
part of the state tax structure is relatively detailed.
Secticn_16. Proposed section 3 covers the assessment cf
property. The detail in this section is no longer necessary.
ion_j.7. Eliminated. The philcscphy cf the proposed arti-
venue and finance is faith in the Icng-term judgeiient cf
Sect
cle on re
future legislatures in
matters
S ec t i o n _ J 8 . Eliminated,
possesses that power.
The legislative assembly already
AFTICLE XIII
Oevenue and finance Ccimittee
583
2§£tj.on_2. The "lerding ct cieclit" t^cvisc is essentially a
public purpose questicn. The fcr.tara Supreme Court has equated
the two concepts in its rumerous inter pre taticrs of the "lending
of credit" clause. Eublic purpose is covered in proposed secticr
1. The remainder of this secticr is ccncerned with government
0¥nership of ccrporate stocks and bends. That concept is an
investment question, which is covered in prcpcsed section 13.
Sgction_2. The new state indebtedness prevision is covered
in prcfcsed section 8.
S£cticn_3. The intent of this section is covered ir prc-
posed secticr 11.
SSSii2a_H« Eliminated, The ccmmittee felt that the legis-
lature should net be bound in this way. After much consideration
by the committee, it was concluded that if the state were fermit-
ted to back local governirent bonds with its (the state's) full
faith and credit, the interest rates en those bonds could be
lower.
Section_5. Local governirent indebtedness is covered by pro-
posed section 10.
Section_6 . Local government indebtedness is covered by pro-
posed section 10.
ABTICLI XXI
inves
place
In fa
Const
ated
money
exist
not b
aooun
state
Becau
the s
The CO
tment o
s all o
ct, it
itution
three
grants
ed, pr
e distr
ts. ($
simply
se of
ections
mmitte
f publ
f Arti
has be
in 19
perman
of at
incipa
ibuted
100 m
were
the
that
e IS
ic fun
cle XX
en lar
2^, As
ent re
least
lly b
until
illicn
not wi
nonexi
refer
propos
ds, a s
I. That
gely us
origin
venue f
$25C.
ecause
the pr
and
lling t
stent n
to them
mg
hort
art
eles
ally
unds
Th
the
inci
$500
ti
atur
in
a E
prov
icle
s sin
esta
for
cse
irte
pal r
Bill
e the
e of
Artie
enti
isic
is
ce i
blis
the
thre
rest
each
lion
ir B
thos
le X
rely n
r that
utdated
ts incl
hed; Ar
state t
6 fund
f r c m t
ed ridi
) . Eene
oney up
e three
XI are
ew sec
ccmplet
and ob
usicE
tide X
c be f u
s have
he fund
culcusl
factors
in tha
funds,
useless
tion on
ely re-
solete .
in the
XI cre-
nded ty
never
E could
y high
to the
t way.
all of
If the public school fund and ether land grant funds had not
been added tc the Trust and Legacy Fund in 1938, the entire arti-
cle would presently have nc affect. But that inccr poration did
give the article heretofore invisible life. Treatirent of the
public school fund is already taken care of in Article XI and the
Enabling Act, however, so the ccmmittee saw nc reason to retain
the Constitutional status of an otherwise hollow Trust and Legacy
Fund. The fund will not be elininated entirely by its removal
from the Constitution. It will still exist by statute.
584
MCNTAN? CCNSinCl ICNAL CCNVENTICN
MAJCfllY fEPCET
BE II FOCPOSED EY 'Ihc. I^EVENOE AND EINANCE C C f f 11 T E F :
That there be a Dtw Article c r. Eeverue and Einancp tc read
as fcllcws:
APTICLE
fiEVEMJE AKE FINANCE
Section 1. FUBIIC EUBECSE. Taxes shall te levied by general
laws tcr public put^-os-s.
Section 2. SUFEENDER CLAUSE. The power ot taxation shall
never te surrendered, suspended, cr ccntrectec auay.
S'^cticn 3. PBOPERTY TAX A C f I MSTE AIICN . Property which is
to te taxed shall be appraised, assessed ard equali2ed by the
state in the manner prescribed by law.
Section 4. EQUAI VMUATIC^. The assessed valuation cf prop-
erty to be taxed ir any taxing jurisdiction shall be the same
valuation as the valuation for state and county purposes.
Unit
trie
exeni
may
tion
and
prof
taxa
ticn
iiBpr
nanc
ther
Sec
ed S
ts,
pt f
be
al p
pl^
it,
ticn
. Th
oveiD
e of
ef or
ticn
tate
fflun
rom
tax
urpo
ces
i nst
. Ce
e Le
ent
cap
ag
£, th
icipa
taxat
ed s
ses ,
of
i tuti
r t a i n
gisla
dist
itdl
a inst
PECFERT
e state
1 corp
ion, hu
e p a r a t e
places
burial
ons of
classe
tive As
ricts
improv
tax ex
1 T
, CO
orat
t an
ly.
for
not
pure
E of
semt
tor
em en
enp t
AX EXE
unties,
ions ,
y priva
Proper
actual
used or
ly publ
p icper
ly itay
capita
ts and
proper
PFTI
cit
and
te i
ty u
reli
hel
ic c
t y IE
auth
1 iB!
th
ty d
CNS.
ies,
publ
nte re
sed e
gicus
d for
har it
ay be
orize
prove
e as
irect
The
tew
ic
St i
xclu
wc
pri
ex
ere
ffen t
sess
ly b
pro
ns,
libra
n su
sivel
rship
vate
ay be
empt
ation
s and
itent
enef i
pert
schc
r ies
ch
y f c
. h
or c
exe
fro
of
the
cf
ted
y cf
cl
ira
prop
red
cspi
cr pc
upt
ff t
spe
mai
cha
ther
the
dis—
y be
erty
uca-
tals
rate
f rcffl
axa-
cial
nte-
rges
eby.
sales
line,
propul
weight
incurr
Bainte
for c
bridge
safety
tive a
ection
and us
fuel
sion o
fees
ed for
nance
ount y ,
s, art
, dii
nd col
t, H
e taxe
and
f vehi
, shal
ccnst
of pub
city
er the
ver e
lectio
IGHWAY
s , f re
ether
cles
1 be u
r uctic
lie hi
and
deduc
ducati
n cost
EAB
n) e xc
energ
n pu
sed £
n, re
ghway
town
ticn
on, t
s as
^?ABK
ise
y so
blic
olel
ccns
cfc
of f
cur i
auth
E
and
urce
hi
y f
true
tree
liga
urds
st p
oriz
e v e n u a ,
lice rse
s deriv
ghways,
r the p
ticn, r
ts, roa
ticns
f cr en
roiDOtic
ed by t
except
taxati
ed as a
and g
aynent o
epair, c
ds and
on stree
f crcemen
n and fo
he legis
r rom
on o
resul
ross
f otl
perat
brid
ts, r
t cf
r ada
lativ
gen
c g
t cf
veh
igat
icn ,
ges
cads
hig
iris
€ as
eral
asc-
the
icle
ions
and
and
and
hway
tra-
sea-
Pevenue and finance Ccmrittee
585
bly. Py a three-tifths vet-? cf the irenbers cf each hcu£€ cf the
legislativa assetrbly cr ty initiated neasure apf.rcved ty a irajcr-
ity cf the electorate, such dedicated funds iray be appropriated
fcr ether purpcsss.
S
and A
appoin
the S
shall
in pc
reside
office
have b
perscn
unexpi
bers
terms
ing y
bers,
merobei
of fflC
pcliti
fflember
shall
other
of ary
and ea
a f ul
ticn.
■=10 ti
ppea
ted
^nat
divi
pula
nt c
f c
een
ap
red
appo
by 1
ear
shal
s sb
re
cal
sh
net
ccc
pel
ch in
1, d
en 7 . 1
Is shal
t y the g
^ (Legi
de the s
ticn of
t each o
r a te
appointe
pointed
terir in
inted t
ot sc th
thereat
1 be as
all be s
than th
party c r
all dev
hold any
upat ion
itical p
effiber sh
etailed
Ay APPEALS EOAPC. The State Ecard cf Tax Audit
1 be ccupcsed cf five meitbers, whc shall be
cverncr, by and with the advice and consent cf
slative Assembly). The Legislative Assembly
tdte into five districts as equal as practical
citizens and a nemher cf such board shall be a
f said districts. Each ireirber shall hold his
rro of five years, ard until his successor shall
d and qualified. In case cf a vacancy, the
to fill such vacancy shall held office fcr the
which the vacancy occurs. Ihs first five nei-
c said beard shall deteririne their respective
at a term cf office shall expire each succeed-
ter. Other gualif icaticns , ard salaries of Dies-
provided by law; provided, however, that such
c appcirted that the board will not be ccmposed
ree members whc are affiliated with the saae
crganizaticn ; provided, further, that each
cte his ertire time to his duties cf office and
position cf trust cr profit, or engage ir ary
or business, cr serve cr. cr under any coir.mittee
'irty or organization cr cardidate fcr office,
all file with the Secretary ct State, annually,
and ccKplete disclosure cf his financial condi-
late
adirini
Sectio
admini
the u n
lant's
shall
other
and ex
boar c
ascert
erty
lative
by sue
law,
where
or as
he St
juris
strat
c 3 o
stere
derva
pro
also
divi
cise
shal
ain i
to b
Asse
h Boa
Hiay
the p
the c
ate
diet
i ve
f th
d ac
luat
pert
have
sion
taxa
1 h
nsta
e t
tnbly
rd a
be
rcpe
ase
Bear
ion
agen
is a
cord
ion
1,
app
s c
tion
ave
nces
axed
may
nd m
ad ju
rty
Bay
d cf
of
cy o
rtic
ing
and
cr
ella
f s
as
the
of
an
pre
ay p
dica
is 1
be.
Tax
indi
f th
ie i
to 1
over
any
te j
tate
aiay
ri
undo
d pu
scri
rovi
ted
ocat
Aud
vidu
e St
n cr
aw.
va lu
cth
uris
and
be p
ght
rval
bias
te b
de t
by a
ed.
it a
al a
ate
der
Such
atic
er
diet
Ice
rovi
to
uati
h it
y la
hat
sir
or t
nd A
ppea
carr
to i
ind
nan
taxp
ion
al a
ded
audi
on o
s fi
w ct
nine
gle
he t
ppea
Is c
ying
nsur
ivid
d as
ayer
of i
gerc
the
t ad
rev
nd in
her
rap
Bear
axpa
Is s
f al
cut
e th
ual
c ^ c c
•s p
ndi v
ies
St
mini
er va
gs t
duti
peal
d me
ying
hall
1 divi
the p
at all
appeal
Bent c
rcpert
idual
relate
ate b
strati
luat ic
hereof
es to
s, as
n ter i
citiz
have
sicn
rovi
ta
s ira
f th
y. T
app
d to
y 1
en a
n c
. Th
be p
def
n th
en
s of
sicn
xes
y te
e ap
he b
eals
lie
a*,
gene
f \
e Ie
erf c
iced
e CO
r esi
pel-
the
s cf
are
for
pel-
card
of
ense
The
y to
rop-
gis—
rued
by
unty
des.
Section 8. STATE INDEBTEDNESS. No state debt shall te cre-
ated unless authorized ty a three-fifths vote cf the lembers of
both houses cf the Legislative Asseably. State debt cannot be
created to cover deficits incurred when appropriations exceed
586
MCNIANfl CONSTnUlIOKftL CCNVEKTICN
anticipated revenue during any tudcet period.
Section 9. BALANCED EUDGEI. A f pro pr iaticns ty the legis-
lative Assembly shall net exceed anticipated revenues duricg any
tudget perica.
Section 10. LOCAL GCVEENI^ENI I K CE El EEN ESS. The legislative
Assenbly shall enact limits of indebtedness fcr sutdivisicns and
districts of the state.
Section 11. USE CF LCAK EFCCEECS. fill itcney borroiied by or
on behalf cf the state, or any sutdivisicr cr district of the
state, shall be used only fcr the purpose or purposes specified
in th-e law authorizing the lean.
Section 12. STPICT
shall enact the necessary law
all revenues received and
and districts thereof.
ACCCUKIABILIIY. The Legislative Assembly
to insure strict accountability of
cney spent by the state, subdivisicrs
Section 13. INVESTMENT CF PUELIC fONDS. The Legislative
Assembly shall provide for a unified investment prcgraa fcr
public funds and prescribe the rules and regulations therefor,
including the supervision of investment cf surplus funds cf all
subdivisions and districts of the state. The separate existence
and identity of each and every fund involved as a part cf the
unified investment program shall be strictly aaintained. An audit
of the investment progran shall be ccndccted at least annually
and submitted to the Governcr, Legislative Assembly and Chief
Justice of the Supreme Court.
Section 14. AGR ICCLI CE AL LEVIES. A special levy ffay te made
on livastock and agricultural ccumcdities for the purpcse cf dis-
ease control and indemnification, predator control, livestock
inspection and protection, agricultural irsfecticn and pro-
tection, livestock and agricultural ccmmodity research and prc-
moticn .
/s^_Sterlin5_E^aa
Chair irar
^s^_Maurice_Crisccll
Vice Chairffar
^^_hilliam_Artz_
Z§Z_£Sssell_McC enough
FevenuG and finance Ccirinittec
587
^_£/_Ea tl_Parthelson
^s^_f ike_Pcf ^cn
^£/_Ca ve_Druii!_
Z§Z_££f^£E_ii32IiI.
^s/_Noel_^ar lcr2_
588
MONTANA CC^S1ITU1ICNAL CONVENTION
CCMKENTS CN TFE PAJCBIIY FBCPOSJL
Secticr. 1. laxei: shall te levied ty general laws tcr
i;ublic purfcses.
CCMPENIS
Th^ bread languaqt ct f:roccsed Section 1 is meant: to replace
the specific tax bas-i prcvisicrs in pitsent Article XII. The n = w
section speaks crly cf "taxes". Frcvisicns in the present Ccrsti-
tuticn spcify particular kinds ct revenue Hieasures like property
taxes, license fees, inccme taxes and isinirg taxation. That kind
on enuoieration is ur.recessary ; the state already possesses the
pcvier to l^vy any kind cf tax it wants to. Enumeration cf spe-
cific kir.as of tax programs is also urwise. Courts, as a rule cf
cc nstr ucticn , often hold that the listed treasures cr previsions
are in li^u cf all unlisted measures. In other words, the list
tends tc beccme exclusive.
The proposed section also establishes two well-reccgnized
and important protections-requireiren ts that taxes be established
ty il€neral_l aws for £ubl ic_£ur£cse s crly.
The requirsiriert of general laws for public purposes extends
to all tax programs, bctb stats and Iccal. Although those two
requirements are already imposed on the state by the federal
Constitution, repetition in the state docuttsnt emphasizes their
impcrtance.
Section 2. Th^ power cf taxation shall
rendered, suspended, or contracted away.
never be sur-
CCMHENTS
The shortened language cf frcposed Secticr 2 replaces the
detailed previsions of present sections 6 and 7 in Article XII.
The prcpcsed section is frequently found in newer Constitutions,
and is included as a reuinder to the legislative assembly. The
power cf fixation is the most important power a governirental bcdy
possesses, and should not be lightly dismissed cr bargained away.
The provision is net intended to prevent the state frcm del-
egating taxing pew-rs tc local gcvermrents. Nor is this section
meant to deprive the legislature of its discretion to tax or not
to tax cr exempt classes cf property.
Section 3. Property which is tc be taxed shall be
appraised, assessed, and equali2ed by the state in the
manner prescribed by law.
Fevenue and finance Ccicmittec
589
CCMKEN1S
This new section is a frog
ticn provisions. It emtcdies
property tax adirin istraticn , wh
great detail in pr-^sent Sec
section, which established a
equalization and review, wculd
teiB of appraisal, assessment an
that property tax system are
frcm the specificity of present
tax administration system sh
which is best qualified to deve
fair system necessary for the n
tion should he established ty t
the executive tranch of gov
board which is immune to contro
ment and immune trcn ccrtrcl ty
enshrined board is less ans
freer to ignore the mandates an
assembly .
ressive charge ficm
the cciTirittee • E rec
ich was previously
tior. 15 of Article
twc-tier system o
be replaced by a st
d equalization. Th
net spelled cut, aga
Section 1^. Iha d
culd be left tc th
lop the ircst efficie
eeds of the day. Ta
he legislature and a
ercnent, cot by a
1 by all three bra no
the people. P Co
werable for its act
6 directives cf th
present taxa—
cirmenda ticD en
set out in
XII. That eld
f assessment,
ate-level sys-
e details cf
in a departure
etails cf any
e legislature,
nt, modern and
x administra-
dfficistered by
Const itut ional
hes cf gcvern-
nstituticrally
ivities ard is
e legislative
Property appraisal and property tax assessment
tion must be conducted by a stat
heard reams cf testimony
ment and tax equalization in the state,
tee is that this change will establish
appraisal and appraisal procedures, and
ticn cf taxes across the entire state.
and equaliza-
e agency, however. The ccinBittee
ccrcerninq the inadequate job of assess—
Ihe intsnt cf the ccamit-
qualified, professional
will insure the equaliza-
Hcpefully, the inequalities that presently exist within
taxing districts and betweer taxing districts can be avoided if
accountability is in some state agency. lestiacny also leads the
committee tc believe that pressures ard temptations for
undervaluation and under-assesEment presently exist at the local
level. Ihe current operation of the school foundation program
encourages undervaluation of local property, When such
undervaluation exists, the state pours in acre money for educa-
tional purposes.
Hand-in-hand with the concept cf a prcfessionalized, respon-
sive tax aditinistrator is the need fcr independent review cf the
administrator's actions. Ihe ccmmittee has created the machinery
fcr that review function in its proposed section 7. That prcpcsal
is a sharp change from the present Corstit uticnal tax administra-
tion structure which combines both the administratiwe and adjudi-
cating functions in one agency. True eguity requires the separa-
tion cf those responsibilities.
The need for statewide administration of the property tax
was probably brought into sharpest focus by the torrent of testi-
mony on Serrano v. Priest. If the state has to go into funding
of governmental prcgraosT particularly education, through a
590
MCNTANfl CCKSI nUIICNAL CCNVENTICN
stdti^wide {.rot-rty tax, tht n^?d fcr efficient, equitable
api-uaisal and ass^ssui^nt will te intensified.
Section U. Ihe assessed valuaticn ct property tc he
taxed in any taxing jurisdicticn shall te the saue
valuaticii as th'j valuaticn fcr 5;tate and ccunty pur-
poses .
C C M .M E N 1 S
The proposed s-^ction is siffilar ir language and intent to
pres-ent Section 6 of Article XTI. The prcvisicr guarantees that
property will te assessed at the sane value, despite the govern-
ment that is Levying the tax. In ether words, frcperty iiill fce
taxed at the saire assessment for state, ccur.ty cr school district
purposes. A school district cannot assess at a higher value.
Such "equal" valuaticn between local qcvernicerts is so important,
^he cctrmit-^ee feels, that it should te guaranteed in the Consti-
tution .
Section 5. The property of the Urited States, the
state, ccuntitis, cities, towns, school districts,
municipal cor poraticns , and public libraries tcay te
exettpt Eroir taxation, but any private interest in such
prcp'=>rty may te taxed separately. Property used exclu-
sively fcr tducaticnal purfcses, places for actual
religious worship, hospitals and places of burial ret
used or held for private cr corporate profit, insti-
tutions of purely putlic charity, nay te exempt frcai
taxation. Certain classes cf property may be exeaipt
from taxation. The legislative asseictly may authcriae
creation of special iirprcveirert districts for capital
iaprcvemen ts and the maintenance cf capital improve-
ments aud the assessirent of charges therefor, against
tax exeirpt property directly terefited thereby.
CCKKENTS
in a
are
gage
taxa
stit
exem
in
Cons
spec
Cons
many
The pro
t least
retaine
s are de
tion if
ut icnal
p t i n . T
gover nme
titution
ial imp
titution
such as
posed
four w
d — agr
leted .
the Le
listi
he new
rt-cwn
. The
ro veme
ality
sessile
section
ays. Kos
icultura
Those c
gislatur
ng does
section
ed prop
propose
nt distr
of such
nts are
en p
t cf
1 an
lass
e so
no
per
erty
d pr
ict
char
paid
rcpe
the
d ho
es c
req
t r
irits
, cl
c vis
char
ges
ann
rty tax
prese
r t icult
f prope
uired .
eitove
taxati
csing a
ion als
ges en
is pres
ually c
exe
nt
ural
rty
Eele
them
on c
Ice
c pe
tax-
er.tl
E t
m p t i o n
proper
socie
could
ticn f
from
f £riv
phcle
rff its
exempt
y in d
ax-exe
s is d
ty ex
ties a
be exe
rom t
pcten
ate i
in the
assess
prope
outt,
Bipt p
afferent
espticns
r. d IE o r t—
apt f rem
he Con-
tial tax
nterests
present
ment cf
rty. The
although
icperty.
Revenue and Finance Cciirittee
591
The new fiovisicn simply legit iuatizes that {^ractice.
The most iffipcrtant change in the prcpcsed section is the
non-exclusive nature of the tax exenpt list. Orliice the present
Cocstituticn , the proposed article en Eevecue and Finance does
not require that all property te taxed. The proposed provisions
are silent on the subject, leaving the sccpe and nature of taxa-
tion prcgranss up to the Legislature. Property nay te taxed or
may be exeinpted by the legislature. The pernissible list of
exemptions is not exclusive. The legislature may add tc the list.
Section 6. Bevenue, except from general sales and
use taxes, frctc excise and license taxation on gaso-
line, fuel and other energy sources derived as a result
of the propulsion of vehicles en public highways, and
gross vehicle weight fees, shall be used solely fcr the
payment of obligations incurred for ccnstructicr ,
reconstruction, repair, operatior, and aaintenance of
public highways, streets, roads and bridges ard fcr
county, city atd town obligations on streets, roads and
bridges, after the deduction of funds for enfcrcemect
of highway safety, drivers education, tcurist promotion
and for administrative and collection costs as author-
ized by the legislative assectly. By a three-fifths
vets of the members of each hcuse of the legislative
assembly or by initiated measure approved by a majority
of the electorate, such dedicated funds say be appro-
priated for other purposes.
CCMPENTS
The proposed section on earisarking of funds for highway pur-
poses is similar to present Secticc 16 of Article XII in lost
respects. Three substantial changes have been made in the scope
and effect of that eld section, however:
1.) The amount of money earmarked fcr the highway fund has
been changed. The old section dedicated funds frcB fuel
taxes, gross vehicle weight fees registration fees ard fees
on the sale of new cars. The proposed section only earmarks
gasoline and fuel taxes, and gross vehicle weight fees.
2.) The permissible uses of highway earmarked fucds have
been expanded to include local gcvernaect road and street
systems, highway safety programs and driver education pro-
grams. The reiroval of the state aid to local government
restriction insures that these road funds can te used tc
finance local government road and street systems. The
legislature will now be free to make direct grants tc local
governments instead of developing complicated bookkeeping
devices tc get around the prchititicn.
592
HCNTA.NA CC^SII1U^ICNAL CONVENTION
;.) Ihc tunds dz-, ret dedicated frcir new ai iltinituffi, cr
until rep-3al Ly attt^ndirent cr by a ret her Ccnstitutional Con—
■VHrjticn. Ihe proposed section pernits diversicn of the
earinarhed fur.ds tc ether [;urpcses if each hcuse cf the
Legislative Assembly by a three-fifths tuajority, approves
such expenditure. In ether words, th'=> primary responsibil-
ity tcr r-ivi^h, assessment . . . and eventually, alloc a-
t:i.cn ... of hi^jhway fur.ds rests with the Legislature.
That bcdy is free to change the eaiitark.
f-lt that
retention cf the anti-d i version
Eccessary at the present time. Ihe aaerdnert is a
the Constituticr, cverwh^liringly approved by
A large amount cf federal iratchirg ffcney is
still pouring into the state to *^--'"-'- *i-- ^ r.^.-. ^r~^.. ^^ ^
The ccmnittee
amendm-nt was
recent addition to
the voters in 1956.
the
finance the interstate systeir, and
■^he local primary and seccnaary highway systems. Extensive testi-
mony indicates its exclusion aay well jeopardi2e the final prod-
net cf *his Convention.
gasc
orig
mitt
mitt
long
that
to
ticn
prog
tc
an e
fu;l
to s
fund
The
line
inall
ee f e
ee r
er ne
case
d i m i n
like
rams
fund
ft ort
tax
t r e n g
com
and
y c
It t
eali
■^ded
tht
ish.
th^
and
the
tc
i S
then
m 1 1 1 e
c c t c r
reate
nat o
zes t
, at
gaso
Th
ciga
bene
Long
encou
when
legi
e w
f uc
d to
rigi
hat
leas
line
e CO
rett
fits
Bang
rage
t h e 1
slat
as als
i tax r
tenefi
a a 1 pur
the tiff
t not a
and f u
mmittee
e tax,
for ve
e Euild
the el
r usefu
i v e c c n
c c
eve n
t th
pcs*^
£ ira
t th
el t
wcu
wbic
tera
ing
iiiir
Ines
trol
n c e r n
ues. T
e Stat
s h c u 1
y cone
e leve
axes s
Id hat
h was
ns. I
Froqra
a tier
s is u
and
ec
hose
e hi
d be
whe
1 cf
heul
e tc
or ig
hat
m an
cf t
F, t
all
with
tax
ghwa
mai
n hi
cur
d pe
ere
iral
tax
d th
he g
he c
ccat
the
ing
y sy
ntai
ghwa
rent
r hap
ate
ly s
has
e Ge
asol
cmiri
ion
proper
program
stem. 1
ned. Th
y funds
progra
s be
another
St up t
now bee
neral F
i n e and
ttee ha
ever
use cf
s were
he com-
e ecu-
are no
ffs. In
allcwed
situa-
fund
n moved
u r d . In
Eotor
s tried
hignway
Section 7. The State Beard of Tax Audit and Afpeals
shall be ccirpcsed cf five meitbers, who shall be
appointed by the governor, by and with the advice ard
consent of the Senate (Legislative Assembly). The
legislative assembly shall civide the state into five
districts as equal as practical in population of citi-
zens and a member of such board shall be a resident cf
each of said districts. Each aember shall acid his
oftica for a term of five years, and until his succes-
sor shall have been appointed and qualified. In case
of a vacancy, the person appointed tc fill such vacancy
shall hold office for the unexpired tera in which the
vacancy occurs. The first five members appointed tc
said board shall determine their respective terms by
let so that a term of office shall expire each succeed-
ing year thereafter. Other qualifications, and sal-
aries of members, shall be as provided by law; pro-
vided, however, that such members shall te so appointed
that the board will not be composed of more than three
Revenue ar. d Bindncr CccDittee
593
iLenibe
party
ffiemte
of fie
prof i
or £e
party
p € T. L e
ally,
fin an
rs
cr
r
•£ a
t,
ev-
er
a
cia
organ
shall
n d s ii a
cr en
en or
crgar
shall
fall,
1 c n 1
are afriliatnrj witn the sams political
izaticn; provided, further, that each
devct? his entire time to his duties of
11 not held any position cf trust cr
gage in any cthar cccupaticn cr business.
u'.id';r any coma it tee c:
any political
izaticn oi candidate tcr office, and each
file with the Secretary of State, annu-
detailed and complete disclcsure cf his
iticr .
The State
appellate ju
divisions o
carrying out
cle in crie
accord icy to
the underva
the appellan
property. Ih
t i c n of i n i
and local ag
ticn as aia
the right to
ascertain i
cf property
thereof. Th
ether duties
vide that jii
adjudicated
where the p r
resides, or
Board of lax iiudit and
risdicticn of individual
f the administrative a
the provisions cf Sectio
r to insure that all taxe
lata. Such individual app
luaticn and overvaluation
t's property, cr any
e toard shall alsc have a
ividual appeals of other
encies related to license
y fce provided by la*. Th
audit the state adffiris-^
nstarces of under valua tic
to be taxed and publ
e legislative asseably ira
to be performed by such
ncr appeals, as defined
by a single bcarc me
op-rty is located, or the
as the case inay be.
Appeals shall have
appeals cf all
gency of the state
n 3 cf this arti-
s are administered
eals (ray be for
and assessment cf
other taxpayer's
ppellate jurisdic-
divisicns cf state
and excise taxa-
6 beard shall have
ration agency to
n or c vervaluaticn
ish its firdirgs
y prescribe by law
beard and cay prc-
by law, may be
Eber in the ccurty
taxpaying citizen
CCMMENT
The ccoiKittee realizes the ieipcrtance cf a shcrt document.
The introduction tc this lepcrt eirphasized the ccmmittee • s con-
cern for brevity and clarity. But this proposed Section 7 cre-
ates a new protection for the Kcrtara taxpayer, an independent
tax appeal beard. Because the prevision provides a new right, the
structure, function and jurisdiction cf the board are spelled cut
in some detail.
beca
taxp
gove
Boar
prec
proc
that
non-
paye
tor
The
use
ayer
r nme
d o
edur
edur
th
part
r ne
or
pre
it
s. D
ntal
f E
€s a
^s.
e p
ial,
eds
the
sent
est
nder
bod
qual
Iso
Ove
roce
Ob
SOBS
CO
sec
abli
the
ies
izat
sit
rwhe
dure
ject
ave
urts
tion
shes
pre
(Cou
ion)
in j
Imin
d
ive
nue
. to
is proposed for a new Constitution
a guarantee never provided fcr Mcrtana
sent tax aduinistraticn program, the same
nty Boards of Equalization and State
that establish revenue policies and
udgorent en the i ffplemen tation of those
g testimony to the cciritittee indicates
oes net Si^SS^ntee an independent,
review cf tax decisicns. The Montana tax-
of recourse, besides the tax administra-
evaluate his tax treatffent. The prcfcsed
594
MONTANA CC^STIIUTTCNAL CCNVfNTICN
secticn acccmplishcs that ctjfctive by estatlisbirg an independ-
ent r€vi<=w procedure.
Ihe Constitution should net specify details of tax adminis-
traticn. Pref-^nt Section 15 of Article XII of the Mcrtana Consti-
tution creates an elaborate method of property tax administraticn
for the state, and demonstrates the futility of including such
detail in a Constitution, fchen the Constitution was fcritten in
1889, prcp'^rty taxes were the sole source cf revenue for the
state. But like the fraoiers of 1889, this convention cannot
forsee all the changes in the state's revenue structure. The
details cf that revenue administration should te left to the
legislature, which can evaluate changes and create the test
structure to administer revenue programs.
Secticn 8. Ko state dett shall be created urless
authorized by a three-fifths vote cf the members cf
both houses cf the legislative assembly. State dett
cannot te created tc cover deficits incurred when
appropriations exceed anticipated reverue durirg aty
tudcet period.
CCMMENIS
This section replaces the present state debt limitation
established by Article XIII, Secticn 2. That eld secticn created
a $1CC,000 debt limit for the state, with additional indettedness
as authorized by the electorate. The proposed secticn leaves
the question cf indebtedness entirely up to the legislature,
requiring a three-fifths majority cf the members-elect to create
debt. Ihe extraordinary majority requireiert should insure care-
ful consideration of any indebtedness proposal, and should pre-
vent unnecessary programs.
The ccmmittee felt that some dett restriction should be
placed on the legislature. A fixed dcllar limit, like the
present $1 00,OCO-ceiling , is unrealistic and only encourages cir-
cumvention.
The second sentence of this proposed secticn prevents the
legislature from creating dett to balance the budget, While dett
say be a viable tool in cases cf catastrophy or extraordinary
circumstances, the legislative assembly should not be free to
thwart the "balance budget" intent cf proposed Secticn 9.
Eevenue and Finance CcniHiittet 595
Section 9. Apprcpriat ic r s ty the leqislatiwe asseir-
bly shall net excesa anticipated revenues during ar.y
tudcet pt?ricd.
C C ?* K E N 1 S
Ihis prctc£cd secticn is siiilar in effect to present
Secticr. 12 cf Article XII. It requires tbe state to operate
under a "balanced tudget" philcscphy, tut establishes that doc-
trine in much siirpler language. fllthcugh the state lay have
trouble operating ir the black, since it can cnly estimate the
afflcunt ct revenues cciring ir any budget period, this section
requires the legislative assembly to stay withir these estimated
limits when it appropriates funds.
Section 10. The legislative assenbly shall enact
liinits cf indebt3dness for sutdivisiccs and districts
of the state.
C C R M E N 7 S
This proposed section leaves the question cf local govern-
ment indebtedness, and licits en that indebtedness, up tc the
legislative assembly. Ihis bread grant of authority is utilized
because of the uncertain nature of any fixed debt littitaticn.
The legislature should be free to encourage econcEic devel-
opiEent in local governaect units. The history of the last 8C
years indicates that the legislature has been frugal in eapoMer-
ing local governirent indebtedness. The proposed provisions
restores that control. The prcpcsed section would leave the
legislature free, if it so decided, tc pledge the full faith and
credit of local govsrnnient units to tack indebtedness. Such a
pledge should result in lower interest rates and a savings tc the
people cf Montana.
Section 11. All money borrowed by or on behalf cf the
state, or any subdivision or district cf the state,
shall be used only for the purpose or purposes speci-
fied in the law authorizing the lean.
CCMMENIS
This section is practically identical tc Article XIII,
Section 3. The section guarantees accountability and proper Ean-
agement of borrowed funds, and should prevent Bisuse or diversion
of that money. The section is self-explanatory and is an iaper-
tant guarantee for the people.
596
MCMANA CCNSTnUIICNAL CCKVENTICK
Secticn 12. The lecisiative asseirtly shall enact the
necessary laws to insure strict accountability cf all
revenu~£ received and ncney spent ly the state, sut-
divisicrs and districts thereof.
CCaPlENTS
ground
It al
by Sec
nues 1
tional
accoun
ments,
Consti
and m
ized b
f ranpr
inform
prcvis
to.
he pr
as t
so CO
tion
s net
sta
ting,
etc
tutio
oneta
y the
s.
a t i o n
icDs
oposed
he pre
n veys
K. Th
dimin
t us i
f rcce
. , ha
n siirp
r y fie
state
The n
alsc
on d
sec
sert
the
e im
ishe
n t
dure
ve
ly c
Ids.
wer
eed
was
epos
tion
det
inte
pert
d — i
his
s, d
to t
anno
The
e be
for
net
its ,
, tho
ailed
nt cf
ance
ndeed
pro
epcsi
e lef
t ant
ccn: p
yond
det
antic
cash
ugh tro
sectic
"speci
of accc
, that
posed
ts, cas
t to tb
icipate
uterize
the wi
ailed
if ated.
flew a
ad i
ns 1
fie
urtd
rati
sect
h fl
e 1
cha
d te
Ides
and
The
nd r
n sc
3 an
appr
bili
cnal
icn.
cw,
egis
nges
chni
t d
ccn
pre
epcr
epe,
d 14
opri
ty f
a is
BU
rep
lati
ir
ques
ream
scli
se Et
ting
ccve
cf A
at icn
or s
give
t the
ortin
ve as
the
pres
s of
dated
Ccn
are
rs t
rtic
E" r
tate
r. Cc
det
g t
sernt
ace
sntl
th
re
stit
net
be sane
le XII.
equired
reve-
rstitu-
ails of
equire-
ly. The
cunting
y util-
e 1889
porting
utional
adhered
The comiEittee recomfends that the legislature take inEediate
steps to establish unified acccuntirg procedures for all govern-
mental units in the state. Though statutory in nature, the cos—
mittee feels the importance of such a prcgratp is essential to
proper accour.tirg and data functions.
Secti
for a u
prescri
the su
s u b d i v i
?xisten
as a
strictl
shall b
the gov
the sup
en 13
nitie
be th
pervi
sions
ce an
part
y mai
e con
erncr
reme
. Th
d in
e ru
sicn
and
d id
of
ntai
duct
, iG
ccur
e leg
vesttce
les an
of i
distr
ent ity
the u n
ned . A
ed at
gislat
t.
isla
Dt p
d re
nves
icts
cf
if ie
E au
leas
ive
tive
rcgr
gula
tffec
of
each
d in
dit
t an
asse
as
a in f
ticn
t cf
the
and
vest
cf t
nual
Bibly
seffib
or p
s th
sur
Stat
eve
sent
he i
ly a
and
ubli
eref
plus
e.
ry f
pre
nves
rd
chi
shal
c f
or,
fun
The
und
gram
tinen
subiB
ef j
1 pr
unds
incl
ds o
sep
inv
sha
t pr
itte
usti
ovide
and
udirg
f all
arate
elved
11 be
ogram
d to
ce ef
CCKKENT
The proposed section en investments replaces all cf Arti-
cle XXI in the present Ccnstitutiet. Most of the provisions in
that article are obsolete — in fact, if the public schccl fund had
not teen added to the Kcrtana Trust and legacy Fund in 1938, the
article would have no effect whatever. The proposed section
stresses the importance of a unified icvestiEent prcgram fcr
Fevenue and finance Ccaiirittee
597
public funas. Such a proqrait has teen sought ir Hcntana sir.ce
1924, and has only recently beer accc irplished through Executive
f^ecrganizaticii. The ccniniittee feels that the iapcrtarce cf
unity, prof ess icna 1 treatnent and £up*^rvisicn cf public fund
investments should b= stressed at the Ccnstituticnal level.
Because public iron^^y is such an iirpcrtant trust for the people of
Montana, the investment prcgraB should te audited at least annu-
ally.
The sentence on separate identity cf funds in the public
fund investment piograc! vas added to insure frcper distribution
of interest to the individual funds. Although public funds should
be invisted as a unit to insure a larger return, the irterest
frcffi that unified prograir should be distributed on a pro rata
basis, depending or. the size cf the individual funds. The "sep-
arate fund" sentence should insure that dist r itut icn.
and
Ihe regulation
the administrative structure c
up to the legislative assemtly.
limitation cf the investnent prcgrair, and
f the investcect prograni, is left
At least two restrictions en the
remain in force i r. the Const it ut icn .
cle XT and The Enabling Act, deal with
investiiert prcgraa
Those previsions, in
land grant money.
will
Arti-
The legislature is test equipped to irake decisions ccncern-
ing investment opportunities tor state money. The obsolete nature
of Article XXI illustrates the futility cf trying to prescribe an
investment program and investaent details at the Constitutional
level. The scope of the legislature's supervision shculc also
include surplus funds at the local level. Although the legis-
lature may well leave the handling and investment of such funds
in the hands of local governments, its superviscry fowers will
insure their careful hardlirg and treatisert.
Section ^^. A special levy lay be irade on livestock
and agricultural ccmmocities for the purfcse of disease
control and indemrif icaticn , predator ccntrcl, live-
stock inspection and protection, agricultural inspec-
tion and protection, livestock and agricultural commod-
ity research and prcmoticn.
CCKMENTS
The proposed language retains
regarding livestock mil levies, and
list of industries and uses fcr such a
are net a pure earmark. They are
accounting procedure.
the intent cf Section 9
expands the peririssible
statewide levy. The levies
mere cf a tcckkeefing and
The provision, in explicit tens sinilar to present
Section 9, is no Icngar necessary. The unifcraity clause has been
598
KCKTANfl CCNSllIUTIONAL CCKVIKTICN
removed from tlit proposed Article; and the statewide property tax
liffiit lias disc teen deleted. Eut the inpcrtance of agriculture to
the Ilcr. tana economy should not te und*;resti sated — in tact, it
should be emphasized.
Ihe coiBDBittee also thought it shculd ercccEage taxpayers who
are willing to fcear the turden cf a tax tc iaprcve the eccncniic
future of their industry.
Beverut and firarce Ccnaiittec
599
CCi^.MTTEE CN KlVENUi AND fINANCE
KING t IT Y EFCIC5AL 1
BE IT FPCPCSED:
That the fcllcwing t« sutstitut-^d fcr Secticr
Majority Proi-osdl trtitled "Prci-ertY Tax E xeirf tiers" :
5 cf the
The property of the United States, the state, coun-
ties, cities, towns, school districts, auricipal ccrfc-
rations, acd public litraries may be exenpt frcn taxa-
tion, but any private interest in such frcperty cay te
taxed separately.
Pro
plac-^
place
rate
house
other
and d
dwell
ected
purpo
reccr
Monta
the p
by su
cnay b
pert
s to
s cf
fro
bold
pe
CBies
ings
dis
ses;
d up
na ;
rope
ch s
e ex
y us
r ac
buri
fit;
gccd
r scna
tic p
and
abled
evi
on re
the
rty o
tocks
enipt
ed exci
tual re
a 1 not u
mstitu
sand f
1 prcper
urposes ;
personal
veteran
dences
a 1 or p e
stocks c
t such c
is with
frcm tax
usi V
ligi
sed
ticn
urni
ty u
cas
pre
s ; d
cf
rson
f an
ompa
in t
at ic
ely fcr
cus wc
or held
s cf
ture ,
sed by
h and
perty c
welling
debt s
al prop
y ccirpa
ny cr c
he Stat
n .
edu
rshi
fcr
pure
wear
the
ace
f to
s us
ecur
erty
ny c
crpc
e ar.
cat i
f;
Fri
ly p
ing
c wne
cunt
tall
6d f
ad b
in
r cc
rati
d ha
oral
hcspi
va te
ublic
appa
r fcr
s re
y ser
cr re
y incr
the
r pcra
en re
s bee
pur pcses ;
tals and
or corpo-
charit y ,
rel, and
personal
cei vable ;
viceccnn-
sident ial
tgaqes of
state c f
tier when
presented
n taxed.
The legislative assembly iray authorize creation cf
special improvement districts for capital improvements,
maintenance of capital improveffents ard the assessment
of charges therefcr, against tax exempt preperty
directly benefited thereby.
^s/_Mik€_McKeon
/E^_Wmi_Hi_Artz.
Z§Z_5i._Pll§££li:
CCBMENTS
The fflincrity report is in complete disagreenient with all
references in the rationale cf the majority report statirg that
all property may be exempted frcm tax by the legislature. We have
faith in the legislative process but are cf the cpinicr. that this
600
^.CNTANA CC^S'IIT^JTICNAL CCNVENTICN
is "cpeninq thf= deer too hide." Ir cur cpiricn, as upheld by
court decisicri£, cnly the items cf property listed atoue are eli-
gible to tax exemption ty the legislative process.
Wp agree that it is easier to entcrce collection of taxes on
scKe property than it is en other property tut cannot consider
this as a sufficient reason for rpinoval of this type of property
from the tax rolls. The Irterral Revenue Service has developed
procedures tor ferreting out incoffe frotc cash transactions. He
submit that the tax department of f.ontana should be able to
devf-lcp adequate techniques despite the fact that local gcverr-
ment authorities have been negligert for many years.
We dlso suhirit that tax equity requires that if certain
ncoip- producing property is taxed, then all inccie prcducirg
rcperty should be taxed. It is rot equitable to tax $1C,CC0 of
quipment which producss income subject to inccire tax and at the
,_„ ^ ,• „ , eliairite f13,3C0 cf irvestwents (e.q. tax-exeirpt
•■he income of which is not subject to
s a oi e tin;
securities)
inccine taxes.
Ve also submit that if the legislature should acquiesce to
pressur<='s tc elirainata stock and herd investments fron property
taxation because of the sc-called problems cf assessment a severe
injustice will be imposed on lower inccme citizens to the benefit
cf Diore affluent citizers. he cancct iiaagine the delegates cf the
Convention condoning such an inequity.
We justify
permissive list:
the addition of the follcwirg items tc the
1) Household goods and furniture, rearing apparel, and
other personal property used by the owner for perscral anc dcoies-
tic purposes:
a. Peccmmended ty Delegate Felt proposal #161.
b. lestimony received indicated that costs cf ccllec—
tiers are in many instances equal to tax received.
c. Property does not produce inccue.
2) Cash and accounts receivable.
a. Peccminended ty Delegate felt propcsal #161.
b. Not necessarily income prcducirg.
c. We agree that the term accounts receivable is very
broad tut have corfidecce that the legislative
assembly in its wisdom will develop legislation that
will rot violate the underlying principle that all
income producing property should te subject tc ftcp—
erty tax if any incoBie producing property is subject
tc property tax.
Revenue and finance Ccirniittec
601
3) Cwelling and personal {^ccpetty cf tctdlly servicsconn-
ected disabled veterans.
a.
t.
The ccimittee had testiiticry that there are apf rcxi oately
99,000 veterans of which dp^rcxima tely 387 would te
eligible for this tax relief.
We subirit that this tax exempticr is certainly justified
when the irental picture cf what tctal disatility is con-
sidered.
U) Dwellings used for residential purposes.
a. Dwellings do net produce icccne.
t. It is realized that the elimination of dwellings fron
the tax rolls could cause a terrific upheaval ic reve-
nues produced frcm property taxes on the local level.
This is a decision which has teen left to the judgoent
of the legislature by the permissive nature cf this
section.
5) Evidences of debt secured by raortgages of reccrd upon
real cr perscnal property in the state of Kontara.
a. Eliminates double taxation.
b. Contained in Article XII, Section 2, cf current Consti-
tut ion .
6) The stocks of any ccorpany cr ccrpcraticn when the prop-
erty cf such ccirpany or corporation represented by such stocks
is within the state and has been taxed.
a. EliiriEctes double taxaticr.
b. Contained in Article XII, Section 17, of current Consti-
tution.
602
nCNTANA CCKSinOlICNPL CCKVENTICN
COMMITTEE CN FEVtKDE PNE FINANCE
MINOFIT^ PFCrCSAI 2
EE IT PeCPOSEC:
That thp fcllcwir.g he substituted for Section 13 of the
Majority Fro{.osal entitled "Inv€st otpnt of Putlic Funds":
The legislative assemtly shall provide for a urified
investment prcjraa for puLlic fur.ds and prescrite the
rules and regulations therefor, including the super-
vision of investment of surplus funds of all sutdivi—
sicrs and districts of the state. The separate exist-
ence ind identity of each arc every fund involved as a
part of the unified investor^rt program shall te
strictly aiaintained. With the exception cf trccies ccn-
trifcuted by individuals to retireirert funds, no public
funds shall he invested in private corporate capital
stock .
Z§z_iliili§s_^£is
ZSZ_Wik€_McKeor,
^s^_f1aurice_Crisccll
CCKMENTS
We subirit that criteria for investttert of putlic trust
funds should be more stringent than the criteria for investment
of private funds.
We telieve that priorities should he in this order:
1) Security.
2) Funds should be invested in Pontaca as much as pcssitle.
3) Return on investtnent.
Much cf the testimony presented indicated that enphasis was
being placed on return on icvestnient rather than security. As an
Revenue =ind Finance Ccairittee
603
exaffiple: "Ycu don't find the tig red apples text tc the trunk cf
the tree — you find them rear the end cf the liirb," We are opposed
to gambling with state funds and taking a chance that the linb
might break.
Testimony has been offered that the stcck iiarket will act as
an offset to inflation, he offer that ircney invested at 5 3/4?
for 12 years can double.
The following cctrmuricaticn has received from a large organ-
ized group of citizens: "We confess a lack cf expertise in sug-
gesting adequate safeguards in the Ccrstituticr to govern the
legislature en drafting liberalized investoant laws. He do see
danger inherent in such liberalized laws and hcpe that ccnirittee
deliberations and convention debate will develcp 'behind the
record' guidelines for the legislature to fcllcw in liberalizing
the investment laws regulating the investcoent cf public funds."
he feel that the pressures exerted cr. the ccnmittee to
permit investment ir the stcck narke^- will be continued indefi-
nitely unless cur restriction is incorporated in the Ccrstitu-
ticn. Therefore, with a deep ccncerr for the safety of present
and future public trust funds, we earnestly reccmniend that favor-
able cor.sideraticc by the delegates be giver tc this icinority
report.
he also wish tc bring to ycur attenticr that ownership cf
voting stock of a private ccrpcraticn constitutes gcvernmect own-
ership cf private property — a form cf socialism. He also ouesticn
the propriety of the state voting the stcck of a private corpora-
tion fcr a variety of obvicus reascrs. Eut fcremcst is the risk
involved in trusting cur state funds to the caprice of volatile
market. It is with these considerations in lind that we reject
the najcrity proposal and submit the above ninciity proposal.
604
KONIANA CONSIIIUIICNAI CCSVENTICN
....^.^«.1^_.M>^^«-.^^^ — — — ^ — ^— —————— —■^-" .— — ■^-
i_-»_.i ^m-MM ^. J, l»i«. ■■^^™,™™ — 1 r
<:
1 ! '
o! o! O' o
1 1 _ j
1
L L_
L .
Eh 2
O
•<*
! 1
ol o| ^
i 1
r-H
in
ro
m
1
>H
7-H
in' in, iHi -vT
i i i
in
r-l ,H
1— 1
(N
i
2
1 1
to
1 '
>H >h1 2^ 2 2! >H
1 ' 1 1
2
2
1
1 ro H >h' ><| 2
I
>H
2
>H
2
>H
u:* rW oi
2
r !
>H
2
><
>H
2
j
>x>
r 1 ";
ro oj
>H
1 '1 ■ ■
>H
>H
>H
-. -
>H
oi ol
1 1
[ X- J
O -H
>H
>h' >h. >h| >h
1 ■ i
r
>H
1
i
1
1
i ^
J
o| oj
i 1
o
K o
>Hl >Hi >H| >H >^
>H >H
>H
>H
T i ^ "
1 C7^ oi
E-i
M 0>
l >1 >) >
!
> >1
>•
>.
a^
i i
oi ol
1
>^
I
>^
!
1
1
i
n 1
en
2 2
W O r-
>H
i
>^'. >h' 2- >^
>H
1
>H' 2
1
1
>H
1
i
r~
CN
O ^
>
S
^
! i
2
!
>H
! r~-
CM
(J
SC LD
2
>^
1
>i\ 2' >H
; t
2
>h! >h
2
in
'^
1
o|
1
>H
>H
>.| >.j ^
>H
^1 >.
>^
0.
! j
Oi
1
i !
>H
i
i
J 1
>H
>H
>H >H
! en
1
oi
!
i
-
>-l
>^ >^ >H >H
>H
^
>^
>H
1
1— 1
>H
>H >H| >hJ >H
i ! i
>H
>H
><
>^
c^
2
O
H
u
w
r -\
W
CQ
N
4-1
S-l
<
m
iH
0)
x:
4J
QJ
PQ
e
13
S-l
Q
C
<-i
U
4:
c
Q
U
C
u
U
c
>
rH
CO
-H
S-l
Q
(T3
>H
<:
Eh
2
-P
C
liir Stephens - President, Montana Grain Growers Association
- Euttcn - Article XII, section 9.
46. Donald Fester - Delegate - lewistcwn - Proposal #37 - Ear-
marking.
49. Thomas Ask - Delegate - Fcundup - Proposal # - Deletion
of section 3 cf Article XII.
5C. Jair,es Felt - Delegate - Fillings - Article XII, section 3.
51. Robert Ccrette - Attorney, Westerr Energy Company - Butte -
Article XII, section 3.
52. P. I. KacDonald - Anaconda Ccupany - Eutte - Article XII,
section 3.
Ed Quinn - Anaconda Company - Butte - Article XII, section
RcV'tT. ue and Financs Ccnuitte^
609
3.
54. Fred «.3tzsttCi. - Fcnt dca Fdtir ziure.-iu - Suld - Fet^Dticr cf
Anti-ii v^ rsicri A ire r ;lire rt .
55. S-.r.3,tcr Aillida B<;rtsch= - Great Falls - Ai^rdirent tc the
iir. ti-diversicr Picvisicr. .
5b. F. H. Eol'es - Kdlisp^li Chaiftf-i cf Ccir-ireice - Fetenticn of
An ti-3 iv- rsicr, A irif n 5m^n t .
57. r.-v.^ Gillette - Ccniad haticnal Pank - Kaiispsll - tt^ter-
ticn cf An ti-civ^isicn flaerdnert.
5 6. Pud "'.anicn - ^anicn's - Kalisj-cll
A:i ti-3i v-rsicn An-^ r das^r.t .
E-etenticn
of
59. Cecil Huascn - CraiLir cf Ccirn-trice - Ccluntia Falls -
h = t e :i t i o r- c f ."s n -ir. i - d i v € r £ i c r. A n ^ r d it = e t .
6C. Can i-iizner - Ex-^.cutive nir-^ctcr, flcntara league cf Cities
ana Icwns - Fel-na - batenticn cf An t i- Civarsicn Acerdment.
61. Lean Zirr.ecker - Fxccutive Secret aiy, f.cntana Asscciaticn
of County CcitiDiissior. cis — Htl^^na - n&t€nticr. cf
A nti- diversion Aciencjierit.
62. Harry ?;illiEcjs - lien tana AEL-CIC - fcplena - Fe + erticn cf
Anti-d ivi^rsicn Aatr.dnent.
63. Edward A. Pill - Pcw<£li Ccunty ^ccr.caiic CcBHiissicr. - E^er
Xodqe - f^t^ntion cf Ant i-diversicn Airerdiient.
6U. Csl Siewart - Montana Chanter ci Ccairerce - Helena - Reten-
Ticn of Anti-div^rsicn AncrdBent.
65. bicharc ftceder - Delegate - Eczenan - Against Retention of
Anti-diVi-Tsicn Aai-^ndinent - Against iarn-arkinq.
66. Falph Ereyer - Uriv-rsity of fcrtana - Kisscula - Against
Farm ai king.
67. Dcrcthy £ck - Delegate - Bczeoar - Against Eanraikicg.
be, Fepresentatiwe Terry Murphy - Bancher - Cardwell - Against
Earmarking.
69. hepresentativfc Larry Fashender - h.ircher - Fcrt £hah - Gen-
eral Taxa t ion .
7C. Todd Lindterg - President, Pontana Society of ClPA's -
Helena - Auditing cf State Investments.
71, Howard Gaare - ^ontana Sccisty cf CPA's - Great falls -
610
KOK'IANil CCIvSI ITllTICMAL CCNV^N'tICN
A u d i. •*: i n '-i o t S t i t ■- I rj v "^ c t ir e r t s .
11. 'idiy ^ . Etmare.- - f'cntaca Scci-^ty cf CifA's - Helena -
/^ur'itir.j ci Stare Invcstir^rntf.
7J. J^^T'pn LcGii'Jcrr - f,cntai:d 5cci?*:y ot CFA's - helena -
Auni'-.irij cr Star? In v est ace iits .
■7u. Jack St-^viTiS - I'^crtana Scci.'fty cf CFA's - Great Falls -
;iuditir'q ct State Invests '^rts.
75, Stcii'-" Paulson, Jr. - Kciitana Society ct CPi^'s - Great Falls
- Auiirmj ot State Irv-stnrr. ts.
7*.. ^l^-gt;us Aash-:'iT' - Lcl3qat€ - Ant. elcp- - Pre pes al *11<3 - Spe-
cial Levies.
77. ■'.ax v'OT.cve-r
Levi: s.
.?l£gate - Eillin^s - Proposal #119 - Special
7d. Jercti;^ Lcendcif - L^legat- - Helena - Ercpcsal #173 - lax
i; xtriiiptions for Totally Disaoled Veterans.
79. Jchn Cadl^y - Fxicutxv= S'^cretary, f-'.cr.tana Autcniofcile £eal-
-rs Association - Hf-lena - Ercpcsal «66 - fee Systeii cf
Peqistraticn tor f:ctor yebicles.
ao. .""crs iciyen - Rxecutive Secretary, Pcntana Stockgrcuers
Asscciaticn - Helena - hster.ticn cf livestock Kill Levy.
81. Williaii Cheney - Fxecutive Cfficei, Livestock Ccnmissicn -
Helena - Ksterticr cf Livestock t'ill I^vy.
82. Archie Wilson - Delegate - Hysbani - Retjrticr cf livestock
fill L^vy.
83. L'ouulas Lelaney - Eelegate - Grass Farqe - Peterticn cf
Liv?stcck Kill Levy.
8U. W3sl?y w. w-'rt^ - Attorney - Helena - Goreral Finance and
Tdxat icn .
85. Kayor Laurence Bjcrneby - Kalispell - In support cf Bcmr.ey
Draft of Heverue- and Finance Article.
86. Mrs. John Nelson Fall - President, Great Falls City Council
- Gr->at Falls - In support cf Fciney Craft cf Revenue and
F inance Article.
87. Mayor John Kclaughlin - Great Falls - In support of Eomney
Craft cf Revenue and Finance Article.
88. Ward Sfanahar - Attorney representing Carroll College Board
cf Trustees - Helena - Airerdirent tc section 5 of Fough
-Jevenur a:iG Finance Ccanitt'^f
(Sll
ura r
f -
3 9. Paul K-'ll-^r - Chdnc-llci ct .':cntana Efi£cc[:al Ticcfse
n?l^n^ - Atr-'-ncra^iit tc sticticr. ^~ ct Pcuqh traft.
9C, I.-c wale u U.K. - Lcnij-tLcll?!, Cacrcll Ccliege
7 n: t r. d Hi f: n t xc i £ c ♦: i o r. *; ct f c u q ti L t j t t .
H«f le ra
91. K-:-i-t-a .^n1er£c:J - rxecutivt Vic: tresident, Mcntara Tat-
v^yc-rs Association - iisl^.ia - Few-cu? ard Finatce hcogh
Eraf *:.
9 2. Cavi^ Suiith - ixvcutiv-; ?--cr ctar y , fcr. tana l^cclqrcwtrs P.ssc-
ciaticn - Hjltna - FrV^ru^ 3rd tinar. c-j Pcucjl: Crait.
33. ilar: ;';izncr - txecutiv- CircCtci, fcntara League cf Citi-^s
and Towns - btier. a - P'r^vi^r. ut and firanc*; fcuqb Eiaft.
94. John !^rankinc - Oirectci, Wcr'rana Catuclic Ccnteri^nce -
Hiic^na - >'•(? v-jnti- 51 d Tiiiance Fcuql-. Eraft.
95. Cnadwick Snrith - Attcrnty, ;''crtara '3chccl Boards Associa-
tion ai.d Montana tlcspital Asscciaticn - Helena - Ancndait^iit
tc s.^cticn 5 cf tcuqh Cralt.
95. -od Gudcfci - f'crtara ^;ur£ir.q Hc[t:<5 Asscciaticn - P€l»-^na -
Sui-t'Ort ci fit. Smith's Antr.dffert tc section 5 of Fough
Lraf t .
97. Potert Kellth-r - Icl^gate - Sillir.gs - Ercposal S119 - II
cf £t3tfc in CO Be tax I'rturr tc fc--> donated to party cf
person's chcict.
98. Hank reschares - Missoula Chawtsr cf Ccirirerc? - fisscula -
Picpcsal #35 - Preferential "laxaticn.
99. David J. ^^aclay - Kissouia - Frcfcsal #35 - Preferential
laxaticn .
ICC. 5cy Eeirf-rt - Veterar's Ccuncil cf ?;cntana - Eelena -
Ercpasrti rf173 - lax Ex'^mpticns for Ictally Eisabled Vet-
erans.
1C1. Ecnald Gcttv,ig - Disabled Anerican Vetf^rars - Helena -
amending Proposal «173 - lax Fxempticns fcr Totally Cis-
acled Ve-terans.
1C2. Janes Felt - Delegate - Eillirgs - Ercpcsal SICI - Revenue
and Finance ir gereral.
103. Jack Grosser - Deputy Director, Cepartn-ent cf Administra-
txcn - Helena - State Investsprts.
10U. P. L. hacPcnald - Araccrda Ccapary - Butte - Reterticn cf
612
."CNTANA CC^:?TJ'Ii)lT.C^ AL CCNVENTICN
N "r" t b r c c e •? d s Tax.
V',rn Hillot - Stat^ Pcard ci rqudl izat icn - Htlera
At-frairing and AG£<^ssinq cf ric^erty.
1 G 6 . C ' d c r A r c n i«
Article XII.
neleyatt: - Shelty - Delete secticr. 3 cf
1C7. t'arry ttnjaitiin - Sielty - AEticl*; XII, secticn 3.
ICtt. Gtcry-. 'icGcatn - Silver ficv Ccurty - Eutte - Retain Net
':'rcci^r ds Tax.
1C9. Shag fill^^r - Pr.;£id€iit, Eutt- Charh-r cf Cccrir'^rce - Eu+t =
- Ft' tain Ket i rccecis Tax.
lie. Thcnid3 Joyc? - Delegate - Frutte - L-slgte section 3 cf Arti-
cle XII and hav- ai, "in li^u" tax tc be avera^jed out over
t h c V ■- J r .
111. [-iayor K. A. Micone - Butte - potair. li-.t Proceeds Ta?.
112. Lawr2nc-. G. Stiiratz - Ccunty Attorney - Silver Ecw Ccunty,
Eutt'^ - pptain Net Frcceeds Tax.
hcV^iiut and t inarct Cc c it i 1 1'^;-?
613
X
M
Q
2
M
o
cu
o
M
o
2
2
O
^4
u
o
<
t-l
<\
En
o
;i.
o
(>j
rsi
rsj
CN
o
(N
CN
o
H
>^
rs]
o
O
o
O
CN
o
o
(N
ro
>H
2
2
2
2
><
2
2
>^
ro
VD
rH
rNj
iH
iH
i-H
O
.H
CTi
CO
.
r-
H
S
2
2
2
>H
2
2
>H
ro
^
^
ro
r^j
rH
1
2
o
H
+J
Eh
c
U
(U
W
rO >
w
cn
m
Cn
:3
0) (O
>H 2
^
cc;
0)
C
c
>-i
O
<
w
N
-P
P.
O
1— 1
o
o
0)
0)
cn
O
-IJ
S-l
0)
PQ
u
Q
S-l
u
in
•H
Q
o
Eh
614
'.0M1ANA CCNSTIIUIICN AL CCNVENTICN
Fill cf hi^hti;- CccEi-tr?? irictcsal
615
HCKTANA ccNSII1CTI^^? 1 cc^vz^:Ic^
is'/i-is"/:
FILL GT^ tIGHlS CCJ'i'Tri^r JFCtCSfL
i\c. v:iT
Date Eeported: Fetruary 22, 1S72
/£/_J;adf _Ji_Ddhcc(l, Chairman
/s^_Ch€t_Elailcck, Vice Chaiman
616
MONIANfl CONSTITOITCNAL CCNVEhTICN
lAELE CF CCMEMS;
Page
LETTER Of T R A N S .•-, 3 T T A L 618
TEXT Cr CCHKITTEF EFCECS/,! 620
COMKENTS CF CC?«ITTEE PhCfCSAL 625
F T^ F fi f^ E L r 625
Secticr. 1. rcjulai 5cv-rrriqrit> 626
S e 1 r-G cveiniT'cr.t 626
Ir.aii-natie Picfcts 626
Tricividual Digr. ity. 628
Fre^doir of Etliqicr 629
F r ■? e .^.o ir c f A s s e tr 1 1 y 629
Fi'^-doni cf Sc?-ch, ^xpit^ssicr, ard Pr = ££ 629
right of Farticif aticn 630
Mcl-t tc Krck 631
bich*: cf Piivdcy 632
Search? £ and Seizut^s , 633
f ii.) ii t -^ c 'l e a r A r ir s 634
bight ^c Suffrage 634
A d i; 1 1 r i j h 1 1; . . 635
r>i<.!ht:3 c£ i-Tirscns IJndsr thi; Ac= cf ('iajcrity.. 635
Th^ AJministrarion cf Justice 636
rue Frcctss cf Lav>....... 637
Ncr-Iiiruiii'ry Frcn Suit 637
■;ial:*;ds Ccrput 638
Iiiitiaticn of rroc-;c:MnqF 639
L^ a i 1 639
Section 2 .
Section J .
Section 4.
S^cticn '• .
3 '? c t i n ( .
S -• c t i n 7 .
Section S.
Section -' .
Section 1 C
3:^ctior 11
Section 12
S - c 1 1 c n 1 -^
S^ctiCi! la
S'^ction I':
S'^rticn ■> b
S -? c t i r. 1 /
Section 1 ><
S ^-' c t i c n 1 J
S --: c t i c r. ZZ
Section 21
Pill cf Fights Cciraittop rrc[C£3l 617
Secticn 22. rxc^ssiv? Sanctions 640
Section 2 3. C-^t^r.tici MO
S^cticn 2U, liiqhts ot the-. A ecus- d 640
3-^cticn 25. Self-Ir.ciirrindticr. ar.d Ccuhlc J'^opatdy 641
Section 2 6. Trial ly Jury 641
Ssction 27. I n f r iscr.oj^n t fcr r = Lt 642
Secticr. 28. Fights ct th= CccviCr^d 642
S^fcticn 29. £ii!ia?-i-.t Lcnain. M:]
Secticr. 3C . Tr'^ascr. and E = £C-r.t cf fstat^s (i44
SocticR 31. '^ X Post facte, Ctligaticn cr Ccr.tracts anc
Irrevccatl? Frivileq€£ (i44
Section 32. Civilian Ccntrcl cf th^ ^'ilitaty 645
3 -metier 3 3. larcrtaticr. ct ?•, rir^d Perse r.s 64n
Section 3a. Un'9r!Uin€r:it=ad Fights ...64.")
AFEEKETX
Cross r€ftr'?nce of rreser.t and proposed Article 646
C -legate proposals ccnsidered by ccDirittet 647
V«itne3s=^s heard by ccroirittse • 6n0
Fell calls 658
618
MONTANA COtiSTI'TUTICNAL CC^VF^'^IC^
Date: rcLrudry ^i, 1972
■Ic: ^ON'IANA CCNSTITlillCNAL CC^VI^T1C^:
Frcr: Ltll cA Rights Ccir, iri'^ttc
L d d i . ; a r '1 " - n 1 1 1 ir. t' r. :
The Pill ct niqlits Cciruiii 1 1 f e sutniti herewith d ficpcscd nei
Declaidtion of -iqhts cf tho teci:lt- cf th€ Stat<5 cf f^cr.tara. "Ihe
prcpcE-d drticli is int6r;did tc fiplcic? i r its '^ntii^ty Article
III ct th> pirS-it Cci, stituticn. Ir. ccinc sc, thf ccniittfee
nctsrS tha
