AN ACT APPROPRIATING OIL OVERCHARGE MONEY FOR PROGRAMS ADMINISTERED BY THE STATE OF MONTANA; AND PROVIDING AN EFFECTIVE DATE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:

Section 1. Policy. [Sections 1 through 13] implement the policy stated in 90-4-210.

Section 2. Definitions. As used in [sections 1 through 13], the following definitions apply:

(1) "Carryover" means unspent oil overcharge funds previously appropriated and incorporated into an approved program plan for one of the federal energy conservation programs, but not included in unspent project funds as defined in subsection (8).

(2) "Cities service payments" means the oil overcharge payments made to the U.S. treasury for distribution to the state of Montana pursuant to the consent agreement between cities service oil and gas and the U.S. department of energy, as affirmed by the federal energy regulatory commission, and any interest accrued on the payments.

(3) "Diamond shamrock payments" means the oil overcharge payments made to the U.S. treasury for distribution to the state of Montana as the result of the final settlement agreement in the U.S. district court for the southern district of Ohio eastern division in civil action No. C2-84-1432 and any interest accrued on the payments.

(4) "Exxon payments" means the oil overcharge payments made by the exxon corporation to the U.S. treasury for distribution to the state of Montana pursuant to the order of the U.S. district court for the District of Columbia in civil action No. 78-1035 and any interest accrued on the payments.

(5) "Getty oil payments" means the oil overcharge payments made to the U.S. treasury for distribution to the state of Montana pursuant to the order of disbursement issued in civil action No. 77-347 (MMS) in the U.S. district court for the district of Delaware and any interest accrued on the payments.

(6) "Stripper well payments" means the oil overcharge payments made to the U.S. treasury for distribution to the state of Montana as the result of the final settlement agreement in the U.S. district court for the district of Kansas, Cause No. M.D.L. 378, and any interest accrued on the payments. The term also includes but is not limited to cities service payments, as defined in subsection (2), getty oil payments, as defined in subsection (5), texaco payments, as defined in subsection (7), and any unspent project funds, as defined in subsection (8).

(7) "Texaco payments" means the oil overcharge payments made to the U.S. treasury for distribution to the state of Montana pursuant to the texaco final consent order, 53 Fed. Reg. 32929, August 29, 1988, and any interest accrued on the payments.

(8) "Unspent project funds" means stripper well payments that were not expended or otherwise legally obligated during the 1999 biennium but were appropriated for the 1999 biennium in Chapter 526, Laws of 1997, in:

(a) section 4;

(b) section 5;

(c) section 6;

(d) section 7;

(e) section 8;

(f) section 9;

(g) section 10;

(h) section 11;

(i) section 12; and

(j) section 13.

Section 3. Deposit of oil overcharge revenue. All funds from stripper well and exxon payments must be deposited by the state treasurer in the federal special revenue fund. All interest earned on any of these funds or payments also must be deposited in the federal special revenue fund.

Section 4. Matching funds for low-income energy assistance -- appropriation. (1) There is appropriated $300,000 from the stripper well payments contained in the federal special revenue fund to the department of public health and human services for the purpose described in subsection (2) and under the restrictions contained in subsection (3).

(2) The department of public health and human services shall match private contributions to energy share, inc. to be used to address home heating emergencies encountered by households with incomes between 0% and 150% of federal poverty guidelines who are not eligible for federal low-income energy assistance or who have not received federal low-income energy assistance in the current program year. All of the funds appropriated to the department for this purpose under subsection (1) must be used for clients' emergency energy needs.

(3) In the event a combination of the oil overcharge funds appropriated in subsection (1) and universal system benefits funds designated to energy share, inc. exceeds $400,000 in fiscal year 2000 or in fiscal year 2001, the excess amount must be subtracted from the appropriation of oil overcharge funds provided in subsection (1) for that fiscal year and a like amount shall be added to the oil overcharge funds appropriated in [section 5] for low-income home weatherization, except that the biennial appropriation for low-income home weatherization provided in [section 5] shall not exceed $695,000 under any condition.

Section 5. Low-income home weatherization -- appropriation. There is appropriated $500,000 from the stripper well payments contained in the federal special revenue fund to the department of public health and human services for use in the home weatherization program created in 90-4-201.

Section 6. Affordable, efficient housing plan book -- appropriation. There is appropriated $40,000 from the stripper well payments contained in the federal special revenue fund to the department of environmental quality to assist in the preparation, production, and distribution of a plan book containing affordable, energy-efficient house designs developed in cooperation with the Montana building industries association, the department of commerce, local building code officials, and other entities.

Section 7. Food bank network transportation -- appropriation. There is appropriated $15,000 from the stripper well payments contained in the federal special revenue fund to the department of public health and human services for use in assisting the Montana food bank network with coordinated energy-efficient transportation of food to drop sites and local food banks statewide.

Section 8. Transportation to nutrition sites -- appropriation. There is appropriated $11,000 from the stripper well payments contained in the federal special revenue fund to the department of public health and human services for grants to the area agencies on aging to provide transportation for seniors to nutrition sites. The area agencies on aging shall apply to the department of public health and human services for these funds.

Section 9. Low-income weatherization -- appropriation. In addition to the appropriations in [sections 4 and 5], there is appropriated $200,000 from the stripper well payments contained in the federal special revenue fund to the department of public health and human services for use in the home weatherization program created in 90-4-201.

Section 10. Montana public and private organizations becoming consortium partners -- appropriation. There is appropriated $50,000 from the stripper well payments contained in the federal special revenue fund to the department of environmental quality to provide a grant to the national center for appropriate technology to initiate the formation of a Montana advanced transportation technologies consortium focusing on vehicles traditionally powered by two-stroke engines. The national center for appropriate technology will integrate its transportation technology development services with other western regional consortium and national programs, as recommended by the western governors' association and the western interstate energy board, to provide specialized business assistance, to attract development financing and production capital, and to promote regional industrial growth for the clean transportation technologies fostered by the consortium.

Section 11. Carryover -- reappropriations. There is reappropriated $28,000 from the stripper well payments, $51,000 from the exxon payments, and $66,000 from the diamond shamrock payments contained in the federal special revenue fund to the department of environmental quality to fund the state energy program administered by the department pursuant to 10 CFR 420. There is reappropriated up to $40,000 of stripper well payments contained in the federal special revenue fund at the department of administration to help establish a refueling infrastructure that will support the use of ethanol-fueled vehicles.

Section 12. Conditions applied to appropriations. (1) The appropriations made in [sections 4 through 10] are biennial appropriations. One-half of the total amount appropriated to each program in [sections 4 through 10] is appropriated in fiscal year 2000, and the remainder is appropriated in fiscal year 2001. As biennial appropriations, the unexpended funds appropriated in fiscal year 2000 may be carried forward within each program to fiscal year 2001, subject to the specific conditions governing each appropriation.

(2) The appropriations in [section 11] are limited to available funds. Expenditures of carryover funds for the state energy program may not exceed the actual amount of unspent funds available at the department of environmental quality. Total expenditures of stripper well funds to help establish a refueling infrastructure that will support the use of ethanol-fueled vehicles may not exceed $70,000 for the 1999 and 2001 biennia.

Section 13. Appropriations prioritized. (1) The appropriations in [sections 4 through 10] are approved in order of priority as they appear in [sections 4 through 10], with the appropriation in [section 4] having the highest priority and the appropriation in [section 10] having the lowest priority. If the U.S. department of energy does not approve one or more of the programs that are funded by [sections 4 through 10], any stripper well payments that are not used to fund the higher priority program must be provided to the lower-ranked program up to the amounts appropriated in [sections 4 through 10].

(2) If stripper well payments are insufficient to fully fund the appropriations made in [sections 4 through 10], allocations to the lowest ranking program must be reduced until the deficiency is eliminated. If the deficiency is in excess of the appropriation to the lowest ranking program, the next lowest ranking program must have its appropriation reduced until the deficiency is eliminated and so forth as the programs are prioritized. These priorities must be applied to one-half of the total amount appropriated in [sections 4 through 10] for fiscal year 2000 and to the remaining appropriation for fiscal year 2001.

(3) In order to provide continuity for the programs when establishing the appropriations for each fiscal year of the 2001 biennium, anticipated stripper well payments that will be received under terms of the stripper well agreement during the biennium may be considered as available to fund the activities.

(4) The expenditure of money appropriated by [sections 4 through 10] may not exceed the amount of the stripper well payments available in the biennium.

Section 14. Coordination instruction. If House Bill No. 12 is passed and approved, the stripper well payments appropriated in House Bill No. 12 have a higher priority than any appropriation of stripper well payments in [sections 4 through 11].

Section 15. Effective date. [This act] is effective July 1, 1999.

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I hereby certify that the within bill,

HB 0010, originated in the House.

Chief Clerk of the House

Speaker of the House

Signed this	day

of	, .

President of the Senate

Signed this	day

of	, .

HOUSE BILL NO. 10

INTRODUCED BY J. QUILICI

BY REQUEST OF THE OFFICE OF BUDGET AND PROGRAM PLANNING

AN ACT APPROPRIATING OIL OVERCHARGE MONEY FOR PROGRAMS ADMINISTERED BY THE STATE OF MONTANA; AND PROVIDING AN EFFECTIVE DATE.