Gianforte releases budget, addresses attack on the capitol building

At a press conference Thursday Gov. Greg Gianforte presented his state budget for the coming biennium which includes $100 million in reduced government spending, and addressed the attempted insurrection at the Capitol Building by Pro-Trump protesters earlier this week.

"Yesterday was a sad, sad day for America," Gianforte said, " ... our very democracy was under siege."

Gianforte condemned the attack on the capitol, and said watching it was a surreal and jarring experience, having been a congressman only a few weeks ago.

He asked people to pray for Montana and the country.

Gianforte said he was glad the electoral college's votes were counted and confirmed and President-Elect Joe Biden's victory was ratified. He said it is time for the country to move on.

When asked if the president had any responsibility for the events, he said he's glad the president eventually told the protesters to go home, but could have made a stronger statement.

When asked if the president should be removed from office for his role in the event he did not answer the question.

Gianforte was one of more than 100 Republican members of Congress who filed a brief in a lawsuit filed by the Republican attorney general of Texas, Ken Paxton, challenging the results in Georgia, Michigan, Pennsylvania and Wisconsin. The U.S. Supreme Court declined to hear the case.

Gianforte presented in the press conference Thursday his proposed biennium budget for Montana.

He thanked Budget Director Kurt Alme, his colleagues and team for the work they did putting the new budget together, and called it the road map to Montana's economic recovery including $50 million in targeted tax reduction tax relief.

He said more than half of Montanans would see their taxes decrease in the coming years, cutting the state income tax to 6.75 percent, with more tax cuts planned throughout the years to come.

"With our budget, Montanans will keep more of what they earn," he said.

Democratic leaders said Gianforte's proposal will allow budget discussions to begin.

"The governor's proposal is the starting point of a lengthy legislative budget process," Senate Minority Leader Jill Cohenour, D-Helena, and House Minority Leader Kim Abbott, D-East Helena said in a statement. "Democrats are committed to creating jobs and opportunity for all Montanans, and that means holding the line on unnecessary cuts made on the backs of working families to pay for tax breaks for the wealthy."

Gianforte said his plan also includes exemptions for up to $200,000 of the business equipment tax per business through the BIG Jobs Act.

In a meeting latter that day Alme said this would mean half of the business that now pay the business equipment tax, about 4,000 business owners, will no longer have to worry about paying it.

Gianforte said during his press conference that the tax reductions would draw businesses to the state.

"For all job creators out there, Montana is open for business," he said.

He said the plan also includes $3 million in relief to lower income Montanans, including seniors and disabled veterans, to assist with rising property taxes.

He said the new budget is more fiscally responsible than his predecessor's and features less than 1 percent of general fund growth per year.

"After a decade of out-of-control spending increases this budget brings fiscal responsibility back to state government while providing essential services," he said.

Gianforte said his budget cuts $100 million in spending increases over the biennium compares to the previous administration, and eliminates the proposed transfers from the Budget Stabilization Fund.

In one of former Montana Governor Steve Bullock's last press conferences he said the budget he proposed involved no tax increases and no cuts because there was no need, and that any changes made to it would be a reflection of ideology, not necessity.

He also said the Budget Stabilization Fund was set up specifically for scenarios like a worldwide pandemic.

"That's what it's there for," he said at the time.

Gianforte said his budget estimates an ending reserve of $450 million.

The budget also created incentives for school boards to raise starting teacher pay through the TEACH Act, he said, which seeks to address the fact that the state has the worst starting teacher pay in the country.

Gianforte said the budget also boosts trades education by $1 million by providing businesses a credit for employee education and training.

His proposal also cuts out $10 million Bullock proposed for early education, pre-kindergarten programs.

Gianforte said he's especially excited for the part of the budget that commits an additional $23.5 million in state and federal money to substance abuse prevention and treatment.

Gianforte said the HEART Fund, which seeks to fill the gaps in the system related to addiction treatment, will see an infusion of funds from tax revenue made from marijuana products and part of the Tobacco Tax Settlement.

He said the state will also be funding five of the 31 drug courts in the state, as well more probation officers to address the states rise in violent crime and reduce prison recidivism.

Gianforte also briefly addressed recent changes made to the state's vaccine distribution plan.

He said anyone in Phase 1B, including people 75 and older and those with severe underlying health conditions, should get in touch with their local public health official to set up an appointment for the vaccine.

In a subsequent meeting later that day Alme said part of the cuts will come from correcting overcontributions to the health insurance plans and pension plans for the state and university system by taking a few month holiday from contributing to the funds to address a funding surplus.

He said the budget also directs agencies to absorb a 4 percent vacancy savings, which he said will save $24 million in spending over the biennium.

Vacancy savings is a term generally used about agencies using less than what was budgeted due to turnover and vacancies.

Alme also mentioned that Gianforte has decided to pay for his own plane travel which will free up a bit more money in the governor's office itself.