Fiscal Responsibility
Read through this section to learn about budgets and finance.
The Trustee Essentials: Understanding Local Government Budgeting and Finance course covers this information in greater detail. Please consider taking that course to learn more.
Double Taxation?
This question was addressed in 47 Op. Att'y Gen. No. 6.
A city and a county may enter into an agreement to operate a joint city-county library under which both the city and the county may levy taxes on property located in the city.
Double taxation occurs when “the same property or person is taxed twice for the same purpose for the same taxing period by the same taxing authority.” (Lake Havasu City v. Mohave County, 675 P.2d 1371, 1381 (Ariz. Ct. App. 1983)).
Under this definition, there is no double taxation when two different local government entities impose a tax. There could be no double taxation because the county and the city are two separate taxing jurisdictions.
Neither the United States Constitution nor the Montana Constitution prohibits taxation by two different taxing jurisdictions for the same service.
A city and county may join to establish and maintain a joint city-county library. No parameters have been set by the legislature with respect to the funding of a city-county library. Per 22-1-316, MCA the expenses of the joint city-county library are apportioned between the city and the county on such a basis as shall be agreed upon in the contract establishing the joint library.
22-1-316. Joint city-county library. (1) A county and any city or cities within the county, by action of their respective governing bodies, may join in establishing and maintaining a joint city-county library under the terms of a contract agreed upon by all parties.
(2) The expenses of a joint city-county library must be apportioned between or among the county and cities on the basis agreed upon in the contract.
(3) Subject to 15-10-420, MCA the governing body of any city or county entering into a contract may levy a special tax as provided in 22-1-304, MCA for the establishment and operation of a joint city-county library.
(4) The treasurer of the county or of a participating city within the county, as provided in the contract, has custody of the funds of the joint city-county library, and the other treasurers of the county or cities joining in the contract shall transfer quarterly to the designated treasurer all money collected for the joint city-county library.
(5) The contract must provide for the disposition of property upon dissolution of the joint city-county library.