Missoula City to Increase Business License Fees

Missoula city council voted 8-2 this past Monday to increase business licensing fees. The increases target specific types of businesses such as secondhand stores, pawn shops, transient vendors, wineries and breweries.

Council members justified the licensing increases by citing results of a study conducted by Wohlford Consulting which showed that the city has been running a $110,000 deficit annually in the area of business licensing. The consulting company compared the cost of city services to businesses with the revenue generated by business license fees. Surprisingly, licensing revenue didn’t come close to covering the city’s costs in regulating businesses.

"So it's kind of a catch-up," says Missoula Finance Director Brentt Ramharter, quoted from Missoula News.

License fee increases apply only to businesses earning at least $6,000 in gross revenue annually. The increases go into effect July 6, 2011.

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