Revenue Department: Drop in value of companies left Missoula short

The drop in expected value of companies such as NorthWestern Energy and Qwest Communications translated this year into less revenue for the city of Missoula, according to the Montana Department of Revenue.

The 2009 budget season just ended in Missoula, but the final months of stressful negotiations raised many questions at City Hall. City administration and Missoula City Council members were left wondering why projected revenue exceeded actual income this year and how the Revenue Department runs numbers.

At a Budget Committee of the Whole meeting Wednesday, state Revenue director Dan Bucks explained how the department makes its calculations and also said the problems were less about math and more about communication. He also said upgraded computers at the department have yielded more precise figures.
“I know there were some frustrations this year. I hope that I can satisfy you,” Bucks said at the meeting in Council Chambers.

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Ward 3 Councilwoman Stacy Rye questioned the taxable value of Montana Rail Link in Missoula. A Revenue Department handout listed it as $311,086 in 2007 with estimated taxes at $66,022.

“That has to be artificially low,” Rye said.

By KEILA SZPALLER of the Missoulian

Full Story: http://missoulian.com/articles/2008/10/02/news/local/news04.txt