MontanaHB 4769th Legislature, Regular Session (2025)House

Revise state building energy conservation program

Sponsored By: Katie Zolnikov (Republican)

Signed by Governor

EnergyState GovernmentAppropriations

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

Clearer costs and agency roles for projects

The law defines project costs to include planning, design, construction, installation, and DEQ administrative work. It defines energy cost savings to include utility and related operation and maintenance savings. DEQ can transfer money and authority to the Department of Administration or other agencies to buy, design, and build cost‑effective improvements, train maintenance staff, and monitor results. Beginning July 1, 2025, these definitions and roles apply.

New accounts and savings paybacks for state buildings

The law creates an energy conservation program account for program costs. It sets up a repayment account to receive agency energy savings, interest, and transfers; the money can fund energy analyses, administration, and, when needed, procurement, design, construction, and monitoring. If unencumbered funds in the repayment account exceed $2,000,000 at the end of a biennium, the excess moves to the energy conservation capital projects account. Money in the capital projects account is available by appropriation to buy and install energy‑saving equipment in state buildings. A debt service account remains, and the old rule sending extra money to the major repair account is removed. The Department of Administration pays project costs from the general fund or the capital projects account. Beginning July 1, 2025, these funding flows apply.

Low-interest funding for state buildings

The law ends bond financing for state building energy projects. DEQ now sets one annual interest rate by July 1 each year, capped at 3%. Participating agencies must transfer their estimated energy cost savings into repayment or debt service accounts until project costs plus interest on the unpaid balance are paid. This ties project payback to measured utility and maintenance savings. Beginning July 1, 2025, these rules apply to state‑owned buildings.

Sponsors & Cosponsors

Sponsor

Katie Zolnikov
Republican • House

Cosponsors

Theresa Manzella
Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 296 • No: 0

Senate vote • 4/14/2025

Do Concur

Yes: 48 • No: 0

Senate vote • 4/12/2025

Do Concur

Yes: 49 • No: 0

House vote • 1/14/2025

Do Pass

Yes: 100 • No: 0

House vote • 1/13/2025