Montana Attorney General Austin Knudsen this week announced that the state will join 13 others in filing a lawsuit to protect the well-established authority of states to lower taxes for their citizens from being violated by the ‘American Rescue Plan Act of 2021’.
“ARPA, the American Rescue Plan Act is the big stimulus money that the federal government is sending out to all the states,” said Knudsen. “It’s a huge amount of money and Montana got just shy of $3 billion, but here’s the catch. The fed is telling us that you can’t lower taxes if you take this money, and that’s blatantly unconstitutional. You don’t get to tell the individual states that they can or cannot raise taxes and then hold us hostage with federal money, so that’s what we’ve sued over.”