Department of Livestock

For Immediate Release

January 18, 2008

CONTACT: Steve Merritt
Public Information Officer
Montana Department of Livestock
406-444-9431

Livestock Owners Reminded to Pay Per Capita Fees

It's time for livestock owners to start counting.

On February 1, livestock owners in the state are required to report the number of livestock they own to county or state revenue offices. Those counts will then be used to determine how much livestock owners owe for the Montana Department of Livestock's per capita fee, which is used to fund animal health programs and other important department operations.

"The per capita fee is without a doubt the single most important funding mechanism the department has," said Christian Mackay, executive officer for the Board of Livestock.

Per capita fees fund animal health programs, brands enforcement, theft investigation and recovery, and predator control.

"There really isn't any aspect of the department's operations that aren't affected by per capita fee revenues," Mackay said.

Authorized by Montana Code Annotated 15-24-921, per capita fees are assessed on "all poultry and bees, all swine three months of age or older, and all other livestock nine months of age or older." The fees generated $3,543,392 in FY 2007.

Mackay said the per capita fee is a user-generated fee, dating back to territorial times, that is used for tasks identified by the livestock industry and codified by the state legislature.

"The livestock industry has long understood the importance of sound animal health programs, and producers have been very supportive of the per capita fee," Mackay said. "It's a testament to the industry that they have taken it upon themselves to fund programs that ultimately benefit public health."

Seventy-three percent of the department's legislatively authorized budget is funded with state special revenues – funds paid by the livestock industry – with the remainder derived from federal funds (15 percent) and state general funds (12 percent). In addition to the per capita fee, other state special revenues are derived from inspection and control fees, such as brand enforcement revenues, animal health fees, lab testing fees and milk inspection fees.

One challenge with the per capita fee system, Mackay said, is that the fee is primarily self-reported.

"It's essentially an honor system, and some livestock owners ­­-- especially horse owners -- might not know about the fee," Mackay said. "It's really pretty simple – if you own livestock, you're responsible for reporting your numbers and paying the fee. You don't have to be a big-time cattle rancher."

The department is reaching out to horse owners because of changing demographics.

"There are more people owning horses now than ever before, and the number of urban and suburban horse owners is rapidly growing," Mackay said. "Our staffers have talked to a lot of horse owners who have never heard of the per capita fee, let alone the kinds of programs it enables the department to provide."

Benefits provided to horse and other non-production livestock owners by the per capita fee revolve around animal health, which includes disease monitoring as well as educational outreach efforts to livestock owners, veterinarians and other service technicians about diseases like West Nile virus, equine infectious anemia, equine viral arteritis and sleeping sickness.

"The per capita fee also pays for animal brands and transfer programs," said state veterinarian Dr. Marty Zaluski. "Being able to track animal movements, and to monitor and restrict imports, is absolutely essential for limiting exposure to potentially devastating diseases."

Horse and other livestock owners who learn about the per capita fee between now and the November 30 due date should contact their local Department of Revenue offices, generally located at the county courthouse, to report the number of livestock they own. Fees totaling less than $5 are not charged.

Nonpayment of the per capita fee can result in interest charged on the unpaid balance, which can be deducted from tax returns or result in collection efforts.

For additional information on the per capita fee, contact the Montana Department of Livestock at 406-444-9431.

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