HOUSE BILL NO. 334
INTRODUCED BY J. QUILICI
A BILL FOR AN ACT ENTITLED: "AN ACT REVISING THE FUNDING FOR THE OFFICE OF THE CONSUMER COUNSEL AND THE DEPARTMENT OF PUBLIC SERVICE REGULATION TO CONFORM TO ARTICLE VIII, SECTION 17, OF THE MONTANA CONSTITUTION; AMENDING SECTIONS 69-1-223, 69-1-224, 69-1-402, AND 69-1-403, MCA; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE."
WHEREAS, Article XIII, section 2, of the Montana Constitution requires that the Legislature provide for the funding of the Office of the Consumer Counsel by a special tax on the net income or gross revenue of regulated companies.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Section 69-1-223, MCA, is amended to read:
"69-1-223. Funding of office of consumer counsel -- public service commission. (1) There is an account in the state special revenue fund to which all fees collected under 69-1-402 and this section must be deposited and from which all appropriations to the office of the consumer counsel and some appropriations to the department of public service regulation must be paid. An appropriation to the office of the consumer counsel may consist of a base appropriation for regular operating expenses and a contingency appropriation for expenses due to an unanticipated caseload.
(2) In addition to all other licenses, fees, and taxes imposed by law, all regulated companies shall:
(a) within 30 days after the close of each calendar quarter, file with the department of public service regulation and the department of revenue a statement, in a form that the commission and department may determine, showing the gross operating revenue from all activities regulated by the commission within the state for that calendar quarter of operation or portion of a quarter, separately stating gross revenue from sales to other regulated companies for resale; and
(b) at that time pay to the department of revenue a fee based on a percentage of the gross operating revenue reported, as
determined by the department of revenue under provided in 69-1-224.
(3) The amount of money which may be raised by the fee on the regulated companies pursuant to 69-1-224 during a
fiscal year may not be increased, except as provided in 69-1-224(1)(c), from the amount appropriated, including both base
and contingency appropriations, by the legislature for that fiscal year used for any purpose other than funding the office of
the consumer counsel. Any additional money required for operation of the office of the consumer counsel must be obtained
from other sources in a manner authorized by the legislature."
Section 2. Section 69-1-224, MCA, is amended to read:
"69-1-224. Determination of fee Fee. (1) On or before August 31 of each year, the The department of revenue shall:
(a) determine the impose a fee of 0.1% on the total gross operating revenue generated by all regulated activities within
this state for all regulated companies for the previous fiscal year.;
(b) compute the percentage, subject to revision as provided in subsection (2), of the amount determined in subsection
(1)(a) that will produce an amount equal to the current appropriation to the office of the consumer counsel, except that a
regulated company owned and operated by any municipal corporation within this state may not be required to pay a sum in
excess of 0.06 of 1% of its gross operating revenue;
(c) adjust the percentage multiplier computed in subsection (1)(b) to ensure that sufficient funds are generated to meet
the appropriation and that excess funds are not generated or retained by:
(i) determining the appropriation to the office of the consumer counsel for the previous fiscal year and comparing it to
the fees collected from the previous fiscal year;
(ii) reducing or increasing the percentage determined in subsection (1)(b) for the current year in order to account for any
difference determined in subsection (1)(c)(i); and
(iii) if necessary, reducing the revenue to be collected for the current year by any funds remaining unspent at the close
of the prior fiscal year; and
(d) give notice by mail to each regulated company of the percentage to be applied to the gross operating revenue
reported under 69-1-223(2) to determine the amount of the fee to be paid.
(2) (a) The department of revenue shall adjust the percentage multiplier if the department considers a change necessary
to meet or to not exceed the amount to be raised by the fee because of:
(i) fluctuations in the actual gross operating revenue subject to the fee; or
(ii) submission and approval of a budget amendment authorizing the spending of money from a contingency
appropriation included in the appropriation measure for the office of the consumer counsel and authorized to be raised by
means of the fee.
(b) Adjustments of the percentage multiplier are subject to the exception provided in subsection (1)(b) for municipally
owned and operated regulated companies.
(c) Regulated companies must be given at least 30 days' notice of any change in the percentage multiplier.
(d) Any change in the percentage multiplier is effective at the beginning of the next calendar quarter.
(3) In the event that the fee charged in 1 year is in excess of the amount actually expended in that year, the excess must
be deducted from the amount required to be raised by the fee for the next year before the determination required by
subsection (1) is made. Money remaining unspent at the close of the fiscal year must be used to reduce the percentage
calculated in subsection (1) in the subsequent fiscal year.
(4) All fees paid by a regulated company pursuant to this section are immediately recoverable by the regulated company
in its rates and charges. Within 30 days after the issuance by the department of revenue of the notice required by subsection
(1), the The public service commission shall by separate order authorize each regulated company to fully recover in its rates
and charges, on an annual basis, the fees levied by this part."
Section 3. Section 69-1-402, MCA, is amended to read:
"69-1-402. Funding of the department of public service regulation. (1) All fees collected under this section must be
deposited in an the account in the state special revenue fund to the credit of the department provided for in 69-1-223. An
appropriation to the department may consist of a base appropriation for regular operating expenses and a contingency
appropriation for expenses due to an unanticipated caseload.
(2) In addition to all other licenses, fees, and taxes imposed by law, all regulated companies shall, within 30 days after
the close of each calendar quarter, pay to the department of revenue a fee based on a percentage of gross operating revenue
reported pursuant to 69-1-223(2)(a), as determined by the department of revenue under as provided in 69-1-403.
(3) The amount of money that may be raised by the fee on the regulated companies during a fiscal year may not be
increased, except as provided in 69-1-224(1)(c), from the amount appropriated to the department by the legislature for that
fiscal year, including both base and contingency appropriations. Any If the money in the account provided for in 69-1-223
is insufficient to fund the appropriations for the office of the consumer counsel and the department, then any additional
money required for operation of the department must be obtained from other sources in a manner authorized by the
legislature."
Section 4. Section 69-1-403, MCA, is amended to read:
"69-1-403. Determination and collection of fee. (1) The fee provided for in 69-1-402 to be paid by regulated
companies must be determined in the manner set forth in 69-1-224 for determining is 0.25% on the total gross operating
revenue of the consumer counsel fee regulated companies, as defined in 69-1-401(2), except that gross revenues revenue
from sales to other regulated companies for resale, as calculated by the public service commission, must be excluded from
the determination of the total gross operating revenue pursuant to 69-1-224.
(2) The department of revenue shall give notice by mail to each regulated company of the percentage determined
pursuant to 69-1-224 and this section to be applied to gross operating revenues revenue reported under 69-1-223, excluding
gross revenues revenue from sales to other regulated companies for resale.
(3) The fee provided for in 69-1-402 may be computed and collected in the manner provided in 69-1-225 through
69-1-227.
(4) All fees paid by a regulated company pursuant to this section are immediately recoverable by the regulated company
in its rates and charges. Within 30 days after the issuance by the department of revenue of the notice required by
69-1-224(1), the The public service commission shall by separate order authorize each regulated company to fully recover
in its rates and charges, on an annual basis, the fees levied by this part.
(5) If the fee charged in 1 year is in excess of the amount actually expanded in that year, the excess must be used in the subsequent fiscal year."
NEW SECTION. Section 5. Contingent voidness. If Constitutional Initiative No. 75, enacting Article VIII, section 17, of the Montana constitution, is declared invalid, then [this act] is void.
NEW SECTION. Section 6. Effective date. [This act] is effective on passage and approval.
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Latest Version of HB 334 (HB0334.01)
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Status of this Bill
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