HELENA – State officials are considering a new formula for calculating rent for the 800 people who lease state cabin sites.
Mary Sexton, director of the Montana Department of Natural Resources and Conservation, says the plan is designed to treat lessees fairly yet get full market value for the properties.
The new proposal would tie rents to current real estate values, but would not factor in 2009 appraised values. Under the proposed formula, rent would be calculated by setting the 2009 value at its 2003 value, plus an annual 6.5 percent increase.
The cabin-site leases generated $1.57 million last year for the universities and public schools.
Sexton says the proposal would kick in if approved by the state Land Board. The board is scheduled to consider the plan next week.
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