MontanaSB 3669th Legislature, Regular Session (2025)SenateWALLET

Remove expired contingency language related to generating unit closure

Sponsored By: Daniel Emrich (Republican)

Became Law

EnergySchools and EducationSchool Finance

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Bill Overview

Analyzed Economic Effects

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

School block grants after coal closures

The Office of Public Instruction provides a closure mitigation block grant to certain school districts. A district qualifies if its FY2017 taxable value included a coal plant of at least 200 megawatts, placed in service before 1980, that retired or was planned to retire by July 1, 2022. The grant equals what the district’s general fund received from FY2017 block grants under the former law. The grant is entered as expected revenue in the district’s general fund using the state reporting system. Each year, 70% pays in December and 30% pays in May, when guaranteed tax base aid is paid.

Repayment rules for coal plant owners

When a coal plant owner makes a payment under a retirement plan approved by the Department of Environmental Quality or under a transition agreement with the Governor and Attorney General, and part goes to a school district for funding cost shifts, that portion must repay the state general fund for block grant costs. The repayment rate depends on the closure date: before June 30, 2018—100%; FY2019—90%; FY2020—80%; FY2021—70%; FY2022 or July 1, 2022—60%. The schedule is set in a discounted agreement with the state. Repayment cannot be more than the part of the owner’s payment that went to the district.

Sponsors & Cosponsors

Sponsor

Daniel Emrich
Republican • Senate

Cosponsors

Mark Thane
Democrat • House

Roll Call Votes

All Roll Calls

Yes: 295 • No: 0

Senate vote • 3/29/2025

Do Concur

Yes: 96 • No: 0

Senate vote • 3/28/2025

Do Concur

Yes: 99 • No: 0

Senate vote • 1/21/2025

Do Pass

Yes: 50 • No: 0

Senate vote • 1/20/2025