MONTANA BANKERS ASSOCIATION
62nd Legislative Session (2011)
MBA Legislative Watch List
HOUSE Bill No. 19
Monitor
Chapter Number Assigned 3/16/2011
Sponsor: Diane Sands
Subject: Clarify that the Clean Indoor Air Act applies to smoking medical marijuana
Summary: This bill adds to the definition “smoke” in the Clean Indoor Air Act to clarify that it
includes marijuana for medical use.
HOUSE Bill No. 29
Monitor
(H) Conference Committee Appointed
3/18/2011
Sponsor: J. McNiven, by the Request of the State Auditor
Subject: Expand criteria for extraordinary event exceptions to uses of credit information.
Summary: This bill includes “divorce or military service” as new extraordinary events to be
considered for underwriting or rating exceptions in regard to credit reports. This bill has broad
support from credit industry.
HOUSE Bill No. 43
Support
(S) Committee Executive Action – Bill
Concurred as Amended 3/22/2011
Sponsor: G. MacLaren, D. Sands, by the Request of the Children, Families, Health and Human
Services Interim Committee
Subject: Clarifying employer’s rights related to employee use of medical marijuana
Summary: This bill was one of several that came out of the Interim Committee’s multi-meeting
process of addressing medical marijuana. This bill clarifies employer rights related to workers’
compensation as it relates to drug testing and disciplinary action involving an employee’s
medical use of marijuana and expands the types of employees covered by the workforce drug
and alcohol testing act. It also creates employment-related exceptions to the protections of the
Medical Marijuana Act.
HOUSE Bill No. 44
Monitor
Chapter Number Assigned 3/16/2011
Sponsor: B. Hoven
Subject: Repeal Montana Capital Company Act
Summary: An act repealing the Montana Capital Company Act including but not limited to Title
90 chapter 8 and sections 101 through 313.
HOUSE Bill No. 68
Monitor
Hearing - Human Services 1/21/2011
Sponsor: D. Sands, G. MacLaren, by the Request of the Children, Families, Health and Human
Services Interim Committee
Subject: Revise Medical Marijuana Act and create regulatory structure for industry
Summary: This bill is the product of many hearings from the Interim Committee and focuses on
the fact that Montana voters approved Initiative 148 in 2004 to give Montanans with debilitating
medical conditions protection under the law if they use marijuana to alleviate their symptoms.
The bill notes that 7,339 Montanans held cards on 12/31/09 and on 6/30/10, 19,635 Montanans
held cards – which is a 167% increase in cardholders. This bill revises the Medical Marijuana
Act and creates a licensing and regulatory system for people who grow, manufacture, distribute
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or sell medical marijuana requiring Montana residency to obtain a registry identification card or
license. The bill clarifies the requirements for physicians who provide written certification,
including that the physicians be in a Montana-established office, must meet a newly-defined
standard of care and requiring two physicians certify a patient with pain symptoms. The bill
provides local government authority to regulate medical marijuana licensees and establishes a
prohibition on the medical use of marijuana by certain people, including felons. The bill expands
the limitations on the medical use of marijuana and provides definitions necessary to enforce the
law.
HOUSE Bill No. 80
Monitor
(S) Sent to Enrolling 3/22/2011
Sponsor: E. Arntzen and by the request of the Department of Labor and Industry
Subject: Revised unemployment insurance law.
Summary: This bill is an omnibus bill for Department of Labor that revises laws related to
unemployment insurance and clarifies that certain exclusions from wages do not apply for selfemployed workers and owners. The bill removes certain exemptions from the definition of
“employment” and makes unemployment benefits uniform and corrects an issue for lottery
winners of allowing an offset of payment of unemployment benefits.
HOUSE Bill No. 81
Monitor
(H) Signed by Speaker 3/17/2011
Sponsor: D. Roberts and by the Request of the State Auditor
Subject: Create a securities restitution fund.
Summary: This bill creates a Securities Restitution Assistance Fund Act of Montana to provide
restitution assistance to victims who were awarded restitution in a final order issued by the
commissioner or were awarded restitution in the final order in a legal action initiated by the
commissioner and have not received the full amount of restitution ordered before the application
for restitution assistance is due. The bill specifies a maximum award of $25,000 or 25% of the
unpaid portion of a restitution award and eligibility requirements for claimants and provides
penalties for false, incomplete or misleading applications.
HOUSE Bill No. 82
Monitor
(H) Returned from Enrolling 3/21/2011
Sponsor: Diane Sands
Subject: Require reporting of complaints on physician practices related to medical
marijuana
Summary: This bill requires the board of medical examiners to report annually the number of
complaints it has received on physician practices related to medical marijuana.
HOUSE Bill No. 87
Monitor
Tabled in Committee 2/03/2011
Sponsor: C. Hunter
Subject: Revise Workers’ Compensation laws to implement recommendations of the Labor
Management Advisory Council
Summary: This bill is the product of the Economic Affairs Interim Committee’s work between
2009 and 2011. The bill encapsulates the recommendations of the Labor Management Advisory
Council and estimated cost savings to businesses without the national rating agency (NCCI)
determining a percentage or dollar decrease in costs. The bill also cut fees to the medical
providers and was not supported by the medical provider committee. Representative Hunter
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presented on this bill and then asked for the bill to be tabled as he knew it would not pass the
Legislature.
HOUSE Bill No. 90
Monitor
(S) Scheduled for 2nd Reading 3/23/2011
Sponsor: W. McNutt, by the Request of the Department of Administration
Subject: Amend Montana mortgage broker and mortgage lender licensing act.
Summary: This bill is brought by the Division of Banking as described to make sure they are in
compliance with federal law (SAFE Act) for the mortgage lenders licensing act which is referred
to in this bill as the Nationwide mortgage licensing system and registry for mortgage brokers,
mortgage lenders, mortgage servicers, and mortgage loan originators. The bill revises definitions
and provides for the licensing and regulation of mortgage servicers. The bill revises application
and licensing requirements, record keeping and reporting. It also revises bonding and disclosure
requirements. The bill prohibits certain acts mortgage lenders and servicers.
HOUSE Bill No. 105
Monitor
Tabled in Committee 2/16/2011
Sponsor: R. Driscoll, by the Request of the State Auditor
Subject: Provide Insurance Commissioner authority to review and approve health
insurance premiums.
Summary: This bill is in concert with the federal health care act that requires the health insurance
rates, fees, dues and other charges for the product to be filed with the state auditor for review 60
days before use by members or insureds. The Auditor’s office may disapprove the filing or
withdraw approval of the filing. Premium rates may be used if accompanied by a minimum loss
ratio guarantee.
HOUSE Bill No. 110
Monitor
(S) Returned to House w/ Amendments 3/18/2011
Sponsor: J. Welborn, by the Request of the Department of Labor and Industry
Subject: Generally revise workers’ compensation laws.
Summary: This bill pertains to workers’ compensation statutes that require registered
construction contractors to provide proof of workers’ compensation insurance. The bill requires
insurers to act promptly on claims, to use the proper fee schedule and when using a third-party
agent to calculate the payment rate based on Montana fee schedules. The bill clarifies the
grounds on which an independent contractor exemption certificate may be revoked.
HOUSE Bill No. 124
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: C. Hunter, by Request of the State Auditor
Subject: Create a state-level health insurance exchange.
Summary: This is one of the State Auditor’s bills to comply with the federal health care act
passed and allows for the creation of a state-level health insurance exchange authority. It is
created as a quasi-governmental entity that is treated as a non-profit, subject to the supervision of
the commissioner and to facilitate qualified health plans under a state exchange. If Montana does
not enact a state-level health insurance exchange and no changes are made to the federal health
care act then there will be a federal exchange created. The board of directors consists of seven
directors and the commissioner has the authority to appoint three and the governor has the
authority to appoint four members. There is also a 15 member advisory committee created by the
commissioner to offer input on proposed rules, plan of operation for the exchange authority and
other related topics.
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HOUSE Bill No. 125
Monitor
(S) Returned to House w/ Amendments 3/22/2011
Sponsor: H. Klock, by Request of the State Auditor
Subject: Generally revise insurance and securities laws.
Summary: This bill is the Auditor’s ‘housekeeping’ bill that makes changes to multiple areas of
law, including the following: captive insurance companies, small business health insurance
purchasing pool and tax credit program, revising judicial review of a securities commissioner’s
order, removing regulation of excess deposits by insurers and applying risk-based capital
reporting requirements to captive risk retention groups.
HOUSE Bill No. 128
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: P. Noonan, by Request of the State Auditor
Subject: Revise health insurance laws
Summary: This bill revises the health insurance laws to prohibit preexisting condition exclusions
for children under 19 years of age and provides open enrollment periods for 30 days for children
under 19 years of age, except it does not apply to grandfathered plan coverage for individual
health insurance. The bill also created a prohibition on lifetime and annual limits and reinstates
coverage if it was lost previously for imposed lifetime limit, with the same exemption as above
for individual health insurance. The bill requires for coverage for preventive services, including
immunizations and evidence based items. The bill defines “essential benefits” that must be
offered and other terms used within the new law. The bill increases coverage for various
specialty health illnesses, mammograms and well-child visits. Finally, the bill states a health
insurance issuer may not deny or restrict coverage for a child who is under 26 years of age.
HOUSE Bill No. 129
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: G. MacLaren, by Request of the State Auditor
Subject: Create state-level external review process for health insurance.
Summary: This bill adopts standards and criteria for the operation of utilization review and
benefit determination processes designed to facilitate ongoing assessment and management of
health care services. The bill also limits liability for independent review organizations for
decisions made in external reviews and requires health insurance issuers to pay the costs of an
external review.
HOUSE Bill No. 161
Monitor
(S) Committee Vote Failed; Remains in
Committee 3/14/2011
Sponsor: Mike Milburn
Subject: Repeal Medical Marijuana Law
Summary: This bill repeals the Medical Marijuana Act that is located at Title 50 Chapter 46 of
the Montana Code Annotated and was passed by initiative and then put into law. This is Speaker
Milburn’s bill and will be passed by the House and may become part of the package of bills that
is passed by the Legislature on the subject of medical marijuana.
HOUSE Bill No. 175
Monitor
(H) Hearing – Human Services 3/21/2011
Sponsor: Keith Regier
Subject: Submit Repeal of Medical Marijuana Act to the voters of Montana
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Summary: This bill is identical to HB 161 – as it repeals the Medical Marijuana Act- then it also
submits repealing the Medical Marijuana Act to the voters in November 2012. This bill has not
had a hearing to date.
HOUSE Bill No. 183
Support
Committee Report – Bill Passed as Amended
3/21/2011
Sponsor: C. Smith
Subject: Provide for high deductible health insurance through reimbursements and tax
credits.
Summary: This bill is entitled the Affordable High-Deductible Health Insurance Plan Act. The
bill enacts various tax incentives and states that wellness programs by insurers should not be
considered engaging in unfair trade practices. The commissioner of insurance shall develop
flexible guidelines for this type of coverage. There are tax credits for employers of less than 50
qualifying employees of $250 per employee.
HOUSE Bill No. 184
Monitor
Committee Report – Bill Passed as Amended
3/21/2011
Sponsor: C. Smith
Subject: Healthcare tax credits for individuals and out-of-pocket expenses.
Summary: This bill creates a “Health Care Tax Relief and Equity Act” which creates a credit for
qualified healthcare expenses paid by an individual for the care of the individual and qualifying
family members during the tax year. The credit is equal to seven percent of the amount of
expenses allowed the claimant and family members.
HOUSE Bill No. 188
Support as Amended
Scheduled for 2nd Reading
3/23/2011
Sponsor: C. Loney
Subject: Provide licensure and regulation of real estate appraisal management companies.
Summary: This bill generally revises the laws of real estate appraisers and defines terms used for
professional appraisal services. The bill requires regulation of appraisal management companies
and governs relationships between appraisal management companies and appraisers. This bill
gives unlimited power to the appraisal board and is more onerous than other states have passed.
HOUSE Bill No. 190
Oppose
Missed Deadline for General Bill Transmittal
Sponsor: B. Bennett
Subject: Prohibit collection agency reporting medical debt to credit rating agency.
Summary: This bill creates a prohibition on reporting medical debts by any collection agency
that is attempting to collect from an individual.
HOUSE Bill No. 222
Monitor
Tabled in Committee 2/11/2011
Sponsor: D. Barrett
Subject: Provide withholding of taxes on gain from sale of real estate by non-residents.
Summary: This bill requires withholding of taxes on property equal to 2.5% of the sales price if
over $250,000 on the sale of property after December 31, 2011.
HOUSE Bill No. 239
Monitor
Tabled in Committee 3/23/2011
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Sponsor: C. Smith
Subject: Mandated benefits by Insurance Commissioner for Legislation.
Summary: This bill provides for a review of a proposed mandated health insurance benefit, a
proposed change to a mandated benefit and existing ones by the Insurance Commissioner. This
bill also requires the commissioner to regularly review existing mandated benefits and report to
the legislature which of these have costs that exceed the benefit and recommend repeal.
HOUSE Bill No. 249
Support
(S) Hearing – Business, Labor, & Economic
Affairs 3/17/2011
Sponsor: S. Fitzpatrick
Subject: Limit shareholder liability for corporation’s acts and debts.
Summary: This bill adds language “unless the corporate veil is pierced or the shareholder agrees
in writing to assume personal liability.”
HOUSE Bill No. 264
Monitor
(S) Tabled in Committee 3/17/2011
Sponsor: G. Vance
Subject: Allow any person to file complaint with insurance commissioner.
Summary: This bill allows any person to file a complaint with the insurance commissioner
regarding an actual or alleged violation of Title 33, Ch. 1, Part 3. These sections address the
Commissioner/Department’s general powers and duties.
HOUSE Bill No. 268
Support
Transmitted to Governor 3/14/2011
Sponsor: H. Klock
Subject: Reverse laws associated with bad check fees.
Summary: This bill removes the “reasonableness” standard from the check fee collection
language. All but three states, Montana, Oregon and Texas have this language in this bill.
HOUSE Bill No. 271
Monitor
(S) Committee Report – Bill Concurred as
Amended 3/21/2011
Sponsor: K. Kerns
Subject: Exception to concealed weapon offense if eligible to apply.
Summary: This bill revises the offense of carrying a concealed weapon and states a person may
carry one if he/she has a permit in Montana or in other states.
HOUSE Bill No. 284
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: Tom Burnett
Subject: Discontinue state employee efforts related to federal health care reform
Summary: This bill states that taxpayers have become subject to new expenses due to passage of
the Patient Protection and Affordable Care Act (PPACA) of 2010; therefore, no state employee
shall work to implement PPACA.
HOUSE Bill No. 306
Support
(S) Hearing – State Administration 3/16/2011
Sponsor: T. Berry
Subject: Eliminate requirement for notary public to keep and maintain a journal
Summary: This bill eliminates the requirement for a notary public to keep and maintain an
official notary journal and subsequently transfer it to the office of clerk and recorder.
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HOUSE Bill No. 325
Monitor
Hearing – Taxation 2/02/2011
Sponsor: K. Regier
Subject: Eliminate class 8 business equipment property tax
Summary: This bill repeals the tax on certain business personal property classified as class eight
property. It exempts from property taxes that property previously classified as class eight
business personal property. The bill adjusts the appropriate taxable value determination for
classification of counties.
HOUSE Bill No. 333
Monitor
(H) Sent to Enrolling 3/22/2011
Sponsor: S. Reichner
Subject: Include bank possessions in property reappraisal
Summary: This bill requires the Department of Revenue to include the sales of residential
property that has been sold because of nonpayment of mortgage when using the comparable sales
method of determining the market value of residential property.
HOUSE Bill No. 334
Support
(S) Hearing – Business, Labor, & Economic
Affairs 3/23/2011
Sponsor: S. Reichner
Subject: Generally Revise Workers Compensation
Summary: This bill is supported by the Montana Republican House leadership. This bill has an
estimated savings by NCCI (the national rate analysis) of 20 to 40% by July 1, 2011. The bill
allows for closure of medical benefits 60 months from the date of injury or date of diagnosis of
injury with a limited reopening provision after a medical panel review. The bill provides for
greater settlements of nondisputed medical benefits. In all the bills, including this one there is
reference to savings from rules applying the implementation of medical utilization and treatment
guidelines. This bill requires class 2 (moderate) or more impairment rating before receiving PPD
benefits, including payment of the impairment rating, the wage loss benefit, and other benefits.
This bill provides that the insurer designates the treating physician, allows for physicians to opt
into the treating physician role and receive 10% higher reimbursement rates, or allows them to
opt out and receive 10% lower reimbursement rates. The bill increases the number of PPD weeks
from 375 to 400 and retroactively pays back the four-day waiting period for TTD after 21 days
of wage loss. Finally, the bill prohibits claims for work comp benefits in cases where employees
are on breaks off the employer premises and at company recreational activities.
HOUSE Bill No. 338
Support
(S) Scheduled for 2nd Reading 3/23/2011
Sponsor: J. Esp
Subject: Revise the document standards law
Summary: This bill revises the standards and fees for documents submitted to clerks for
recording purposes, including margins to be used and blue ink allowed.
HOUSE Bill No. 341
Support
(S) Committee Executive Action – Bill
Concurred as Amended 3/22/2011
Sponsor: C. Smith
Subject: Revise interest payments in civil cases
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Summary: This bill revises the interest that may be awarded on civil judgments. It makes clear
that the change in rate does not apply to situations other than civil judgments.
HOUSE Bill No. 348
Monitor
(H) Signed by Speaker 3/22/2011
Sponsor: S. Malek
Subject: Revise outdated reference for interest rates and provide alternate prime rate
Summary: This bill provides a change from the prime rate to be used of the major NY banks
published in the Wall Street Journal to that of the Federal Reserve System’s H-15 selected
interest rate for bank prime loans within 7 days prior to the date of sale.
HOUSE Bill No. 357
Monitor
Committee Report – Bill Passed 3/21/2011
Sponsor: G. MacLaren
Subject: Provide tax credit for employer contribution to employee health savings account
Summary: This bill provides a tax credit for the employer who contributes into an employee’s
health savings account. The credit may not exceed $600 per employee in any given year.
HOUSE Bill No. 358
Monitor
Committee Report – Bill Passed 3/21/2011
Sponsor: G. MacLaren
Subject: Revise Montana medical savings account contribution limits
Summary: This bill would increase the maximum exclusion for deposits to a Montana medical
savings account from $3,000 to $6,000. This would reduce income tax revenue by about $90,000
per year and the impact will begin in 2011’s tax year.
HOUSE Bill No. 359
Monitor
(H) Transmitted to Governor 3/14/2011
Sponsor: G. Vance
Subject: Revise workers' compensation law on settlements & lump-sum payments
Summary: The bill allows for the settlement of future medical benefits under the following
conditions: The claimant has reached maximum medical improvement (MMI). The insurer and
claimant mutually agree to a settlement. The claimant indicates by a signed acknowledgement an
understanding of what medical benefits will terminate upon settlement. All three conditions must
be met for a settlement of future medical benefits to occur and may result in some savings in the
overall system costs in Montana. This amount is undeterminable currently.
HOUSE Bill No. 368
Oppose
Missed Deadline for General Bill Transmittal
Sponsor: W. Warburton
Subject: Allow keeping firearm in parked vehicle
Summary: This bill would allow an employee to keep a firearm in a parked vehicle on the
employer’s property.
HOUSE Bill No. 374
Support
(H) Signed by Speaker 3/22/2011
Sponsor: K. Hansen
Subject: Implement the Uniform Power of Attorney model law
Summary: This bill replaces the Montana statutory power of attorney act with the Uniform
Power of Attorney Act (UPOAA). The UPOAA allows for penalties to be applied in a cause of
action where there has been an intentional dissipation of an estate through a power of attorney
action. Currently, Montana law does not allow for charges to be brought against an individual
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who purposely dissipates an estate while the individual who is the subject of the POA is still
alive and needing the assets of the estate.
HOUSE Bill No. 384
Oppose
(S) Tabled in Committee 3/21/2011
Sponsor: K. Kerns
Subject: Revise carrying concealed weapon in prohibited places
Summary: This bill creates a defense for a person to carry a concealed weapon into a bank or bar
if the person has a valid permit or if the person is a peace officer on duty and has the power of
arrest.
HOUSE Bill No. 399
Monitor
(H) Transmitted to Governor 3/17/2011
Sponsor: Elsie Arntzen
Subject: Allow transfer for salvage title work without notary signature
Summary: This bill allows for an electronic signature to be used to title transfers or on a limited
power of attorney without a notary signature to an insurance company.
HOUSE Bill No. 419
Support
(H) Transmitted to Governor 3/17/2011
Sponsor: B. Beck
Subject: Generally revise captive insurance law
Summary: This bill generally revises captive insurance company law. It revises definitions and
minimum capital surplus requirements. It also establishes requirements for the operation of
captive insurance companies and the interaction between these companies and their protected
cells. Finally, it revises the qualification for protected cell sponsors and participants.
HOUSE Bill No. 428
Monitor
(S) Scheduled for 2nd Reading 3/23/2011
Sponsor: T. Berry
Subject: Revise business filing with Secretary of State
Summary: This bill revises the business filing with the Secretary of State to allow a person doing
business in Montana to contest the registration of an assumed business name and allows for the
modification of the existing contest of registration of a name process.
HOUSE Bill No. 432
Support
(H) Returned from Enrolling 3/23/2011
Sponsor: T. Berry
Subject: Allow banks to offer debt cancellation programs
Summary: Currently federally chartered banks are allowed to offer debt cancellation or
suspension programs and this bill simply allows for state chartered banks to offer the same
service if authorized by the department of administration. This bill clarifies that debt cancellation
and suspension programs offered by banks are not insurance products subject to Montana
insurance.
HOUSE Bill No. 436
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: S. Fitzpatrick
Subject: Revises homestead laws- attaches by operation of law
Summary: This bill revises homestead laws and provides that a homestead attaches by operation
of law. This bill provides that the homestead exemption attaches to identifiable cash proceeds
from a sale of homestead property and requires a single designation when multiple properties
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could be homestead property. The changes to MCA70-32-202 in this bill have a couple of
unintended consequences. First, the complete elimination of the exception at 202(3) raises a
question about all of the affected mortgages of record prior to adoption of the new action.
Second, there does not seem to be any exception for mortgages existing at the time the
homestead right could arise, which was the purpose of 202(3). MBA will recommend that 202(2)
and (3) be amended to protect the status of mortgages that exist on the premises at the time the
person takes title to the property and protect the status quo prior to adoption of the act.
HOUSE Bill No. 445
Monitor
Committee Report – Bill Passed 3/21/2011
Sponsor: C. Smith
Subject: Allow health care choice thru out-of-state policies
Summary: This bill allows for an option of purchasing out-of-state individual or group health
insurance policies and removes certain regulatory requirements for policies sold in the state by
out-of state insurers. The bill also gives in-state insurers a waiver to provide similarly limited
policies under certain conditions. There is a fiscal note for this bill that is not available at this
time.
HOUSE Bill No. 472
Monitor
Tabled in Committee 3/18/2011
Sponsor: G. Hendrick
Subject: Conduct an interim study to generally revise tax laws
Summary: This bill creates an interim tax reform study committee to study eliminating part or all
of the existing tax structure and to consider alternative forms of taxation. This tax reform study
committee is tasked to develop an inventory of state and local taxes including property taxes,
individual and corporate income taxes, excise and use taxes, and natural resource taxes including
energy production and transmission taxes. It will consider alternative methods of taxation from
existing sources, as well as different sources of revenue, with the focus on replacing some or all
of the existing state and local taxes with an excise tax on the final sale of goods and services
entering the economy for the first time and with a tax on income from investments related to
commerce. The committee will evaluate alternative methods and different sources as well.
HOUSE Bill No. 476
Oppose
Missed Deadline for General Bill Transmittal
Sponsor: R. Hollandsworth
Subject: Allow a landlord lien on ag crop production, clarify ag lien priorities
Summary: This bill changes the priority of liens and allows for a landlord lien to have priority.
The bill creates the new hierarchy of liens. Liens against crops have priority over all competing
security interests and over all agricultural liens in the following order: (a) a landlord's lien has
priority over all agricultural liens in the crop produced on the land that is the subject of the lease
agreement and on all of the products or proceeds of the crop; (b) a thresher's lien, provided for in
71-3-804; (c) a lien for seed or grain, provided for in 71-3-702; (d) a lien for spraying or dusting,
provided for in 71-3-904; (e) a lien for farm labor, provided for in 71-3-401; and (f) a lien for a
purchase money mortgage, provided for in 71-3-114.
HOUSE Bill No. 487
Monitor
(S) Hearing – Business, Labor, & Economic
Affairs 3/24/2011
Sponsor: C. Clark
Subject: Provide life insurance for certain nonspecified discretionary groups
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Summary: This bill allows for the insurance commissioner to approve life insurance coverage
from insurers for nonspecified discretionary groups that meet certain requirements.
HOUSE Bill No. 513
Monitor
(H) Committee Report – Bill Passed as Amended
3/17/2011
Sponsor: B. Wagner
Subject: Require state to back transactions of state business with gold & silver coin
Summary: This bill allows the state of Montana to conduct financial transactions in gold and
silver. The bill has a large fiscal note and its costs are due in part to its requiring that the state
create an electronic gold currency exchange as an alternative means of receiving and making
payments.
HOUSE Bill No. 538
Monitor
(S) Committee Report – Bill Concurred as
Amended 3/19/2011
Sponsor: K. Peterson
Subject: Providing for sale of bonds at public or private sale
Summary: This bill allows local governments to sell bonds at private sales rather than by
competitive sale, which will increase the salability of bonds for local governments, including
school districts. The bonds must be sold at not less than 97% of the principal amount of the
bonds if the governing body determines that a sale at that price is in the best interests of the
political subdivision.
HOUSE Bill No. 540
Oppose
Missed Deadline for General Bill Transmittal
Sponsor: J. O’Neill
Subject: Revise law related to administration of control of alcoholic beverages
Summary: This bill defines “financial interest” for state- issued alcoholic beverage licenses.
HOUSE Bill No. 545
Monitor
Tabled in Committee 3/23/2011
Sponsor: J. Read
Subject: Create study committee to design manual of emergency preparedness
Summary: This bill directs the Division of Disaster and Emergency Services to assign a
committee to create a manual of emergency preparedness for nontraditional emergency
responders.
HOUSE Bill No. 555
Support
(S) Hearing – Business, Labor & Economic
Affairs 3/16/2011
Sponsor: S. Fitzpatrick
Subject: Providing for nonduplication of health insurance benefits
Summary: This bill provides for nonduplication of benefits under individual, group, or other
health insurance coverage, including governmental employee health plans. It also provides for
information gathering from insureds and health care providers. Finally, it makes available
refunds or credits if health care providers receive duplicate payments.
HOUSE Bill No. 573
Monitor
(H) Returned from Enrolling
Sponsor: C Hunter
Subject: Generally revise health insurance laws for data and analysis generation
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Summary: This bill requires the Insurance Commissioner to study the creation of a statewide allpayer, all-claims database for healthcare. It also requires the use of an advisory council.
HOUSE Bill No. 596
Monitor
Hearing – Taxation 3/23/2011
Sponsor: T. McGillvray
Subject: Abolish income tax with replacement sales tax
Summary: This bill repeals the Montana Individual Income Tax and eliminates certain credits. It
eliminates, among other credits, the credit for an employer to use premiums paid from a medical
care savings account as a deduction under section 83 of the bill.
HOUSE Bill No. 598
Monitor
Committee Report – Bill Passed as Amended
3/18/2011
Sponsor: A. Knudsen
Subject: Revise tax laws by conforming to federal law for net operating losses
Summary: This bill changes the tax law to allow for a net operating loss deduction to the
acquiring or parent corporation for its net operating losses sustained prior to the merger or
consolidation.
HOUSE Bill No. 601
Monitor
Hearing – Business & Labor 3/11/2011
Sponsor: C. Edmunds
Subject: Revise business and labor law to limit use of credit history in employment
Summary: This bill would allow for a consumer report to be used to deny employment. If the
consumer report was used to deny employment the name and address of the consumer reporting
agency shall be given to the consumer.
HOUSE Joint Resolution No. 23 Support
Hearing – Appropriations 3/18/2011
Sponsor: R. Hollandsworth
Subject: Interim study of agriculture crop lien laws and policies
Summary: This joint resolution asks for an interim study to address Montana’s lien laws on
agricultural crops. The reason for the study is that these laws are outdated, unclear, and
overlapping and are potentially in conflict with each other. This study requests a thorough review
of the law and policies regarding and underpinning the establishment, prioritization, and
execution of liens on agricultural crops is in order.
HOUSE Joint Resolution No. 25 Oppose
Hearing – Business & Labor 3/23/2011
Sponsor: S. Malek
Subject: Interim study on establishment of state bank of Montana
Summary: This joint resolution asks for an interim study to address the issue of forming a state
bank in Montana similar to the state bank of North Dakota. The joint resolution states that the
Bank of North Dakota has provided that state with a source of economic development funds,
which has allowed partnering with most financial institutions and specific assistance to farms
and ranches, as well as mortgage assistance and helped to provide that state with a solid financial
base. The joint resolution relies upon the 1972 Constitution which directed a unified investment
program for public funds, a program that is assigned to the Board of Investments and that has
many of the functions of the Bank of North Dakota but approaches those functions in a different
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manner and the study would highlight the efficiency of consolidating these bond-issuing
functions in one agency.
SENATE Bill No. 19
Monitor
(S) Transmitted to Governor 3/16/2011
Sponsor: J. Shockley
Subject: Provide for filing of affidavits of death in non-probate real property transfers.
Summary: The bill provides that a surviving person with an interest in real property subject to a
beneficiary deed as provided in this section may execute an acknowledged statement that another
person with an interest in the property is deceased. This addresses the situation where a person
dies without a will – in a non-probate transfer of real property.
SENATE Bill No. 45
Oppose
Missed Deadline for General Bill Transmittal
Sponsor: D. Lewis, by Request of the Secretary of State
Subject: Revise notary laws
Summary: This bill generally revises the law relating to notaries public. The bill was a
‘clarifying’ bill according to the Secretary of State’s office but it had too many opponents and
issues and the bill sponsor pulled it from hearing on 1/11/11. The bill will likely be changed from
its current version which allows for changes to electronic filing of the notary public application,
clarifying the signer is required to appear in person, clarifying which notaries may make or
notice a protest, specifying the notary journal is a private document. The issue that MBA has
been concerned with is the requirement that the notary journal be transferred to the Secretary of
State upon termination from office. This would require a court order to obtain the journal if a
bank needed it to verify information that was recorded by the notary at the bank.
SENATE Bill No. 57
Monitor
(H) Committee Vote Failed; Remains in
Committee - Judiciary 3/08/2011
Sponsor: G. Vucovich, by Request of the Department of Justice.
Subject: Enhance penalty for consumer protection violations.
Summary: This bill provides for an additional civil penalty of $10,000 per violation if a court
finds there was unfair or deceptive acts committed against an elderly person (over the age of 60)
or a person with developmental disability.
SENATE Bill No. 60
Monitor
(S) Transmitted to Governor 3/14/2011
Sponsor: K. Gillan, by Request of the Department of Justice
Subject: Amend security credit freeze law to protect minors and incapacitated persons.
Summary: This bill amends the definition of “consumer” to allow a parent or guardian in the
case of a minor or of an incapacitated person to request a security freeze for a minor or an
incapacitated person with respect to credit reports.
SENATE Bill No. 63
Monitor
Chapter Number Assigned 3/18/2011
Sponsor: D. Steinbeisser, by Request of the Secretary of State
Subject: Revise business entity statutes.
Summary: This bill revises the business entity statutes by standardizing address references for
certain business entities and modifies the registration requirement for limited liability
partnerships.
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SENATE Bill No. 64
Support/Amended (S) Transmitted to Governor 3/14/2011
Sponsor: D. Steinbeisser, by Request of the Department of Administration
Subject: Revise the Montana Bank Act re: interstate banking and holding company
records.
Summary: This is a bill at the request of the Banking Division. The bill is necessary as it makes
Montana law come into compliance with the Dodd-Frank Act allowing of de novo interstate
bank branching. MBA supported the de novo branching language of this bill due to the
requirements of Dodd-Frank. MBA opposed one section of the bill at the hearing on 1/11/11
related to the proposed broad grant of authority to upstream the bank’s exam process to the
bank’s holding company. MBA’s position is that if the examiner has a compelling need to review
the holding company information it should be based on statutory described reasons. The bill
allows to go review parent company if the sub has issues.
SENATE Bill No. 70
Oppose
Tabled in Committee 2/01/2011
Sponsor: D. Wanzenreid, by Request of the Governor
Subject: Eliminate net operating loss carry back provisions.
Summary: This bill has been brought -- and failed to pass -- over the past few sessions. The bill
eliminates the net operating loss for corporation license tax purposes.
SENATE Bill No. 77
Monitor
Tabled in Committee 2/01/2011
Sponsor: G. Branae, by Request of the Department of Revenue
Subject: Equalize deduction for federal taxes between trusts and individual income
taxpayers.
Summary: This bill limits the amount of federal income tax paid or accrued that may be claimed
as a deduction by estates and trusts in computing net income. The fiscal note shows that it will
raise revenues of $1 million per year.
SENATE Bill No. 94
Oppose
Hearing – Taxation 1/19/2011
Sponsor: R. Erickson
Subject: Revise waters edge provisions of corporation taxes.
Summary: This bill has been brought forward and supported by the Department of Revenue over
the last few sessions- and failed to pass. The bill would include income from water’s edge group
with a reportable U. S. Source that would allegedly prevent income–shifting to foreign intangible
holding companies. MBA has opposed the bill in the past as regressive tax policy.
SENATE Bill No. 95
Monitor
(S) Transmitted to Governor 3/14/2011
Sponsor: Jim Shockley
Subject: Revise Notary Stamp Requirements
Summary: This bill allows for the notary stamp seal to be exempt from the margin requirements
of a document recorded with the clerk and recorder.
SENATE Bill No. 125
Monitor
(S) Returned from Enrolling 3/22/2011
Sponsor: A. Wittich
Subject: Prohibit state government from administering federal health insurance purchase
requirement.
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Summary: This bill prohibits the Montana state government and its agencies from administering
the health insurance purchase requirements as it finds that the enactment of the federal health
care law causes unneeded expense and inconvenience to persons without health insurance and to
certain employers.
SENATE Bill No. 146
Support
(H) Returned to Senate w/ Amendments
3/21/2011
Sponsor: B. Lake
Subject: Regulate the use of private transfer fee covenants
Summary: This creates a new section of law that declares private transfer fee covenants; impair
marketability and transferability of real property as an unreasonable restraint.
SENATE Bill No. 163
Oppose
Missed Deadline for General Bill Transmittal
Sponsor: B. Hawks
Subject: Clarify municipal authority to regulate outdoor lighting
Summary: This bill would give authority to municipalities to regulate lighting to reduce light
pollution. This bill was introduced in 2007 and 2009 and both times failed to pass out of
committee.
SENATE Bill No. 190
Monitor
Tabled in Committee 1/27/2011
Sponsor: J. Essman
Subject: Revise income tax- capital gains for held business-estate federal tax deduction
Summary: This bill limits the amount of federal income tax paid or accrued that may be claimed
as a deduction by estates and trusts in computing net income. This bill also allow for a capital
gains tax credit for sale of certain Montana business property or qualifying stock. This bill has a
negative general fund impact of $13 to 18 million per year.
SENATE Bill No. 191
Monitor
(H) Hearing – Local Government 3/15/2011
Sponsor: R. Erickson
Subject: Require septic system disclosure on property sale
Summary: This bill requires a new septic system disclosure statement listed on property sales
after the effective date of this bill passing.
SENATE Bill No. 201
Monitor
(H) 2nd Reading Concurred as Amended
3/22/2011
Sponsor: F. Walker
Subject: Require small business impact analysis prior to adoption of administration rule.
Summary: This bill requires a state agency, prior to the adoption of a proposed rule; determine
that the administrative rule will not adversely impact small businesses.
SENATE Bill No. 221
Monitor
(H) Committee Report – Bill Concurred as
Amended 3/17/2011
Sponsor: K. Gillan
Subject: Provide waiver for accountable care organizations in HMO laws
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Summary: This bill provides that the Commissioner of Insurance can waive HMO requirements
for Accountable Care Organizations (ACO) and expands the rulemaking authority of the
Commissioner.
SENATE Bill No. 224
Monitor
Hearing – Human Services 3/09/2011
Sponsor: Jason Priest
Subject: Require legislative action for grant application for patient protection act
Summary: This bill states that an agency may not apply for grant applications from the Patient
Protection and Affordable Care Act without express authorization of the legislature.
SENATE Bill No. 228
Monitor
Hearing – Business & Labor 3/10/2011
Sponsor: Jason Priest
Subject: Prohibit creation of state-based health insurance exchange
Summary: This bill states that a health benefit exchange, as described in the Patient Protection
and Affordable Care Act, may not be created to facilitate the purchase of qualified health plans
by individuals or provide for the establishment of a small business health option program for
small employers.
SENATE Bill No. 262
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: A.Blewett
Subject: Generally revise elder abuse laws
Summary: This bill was tabled in committee but would have allowed for double damages for an
elder (over 60) or a person with a developmental disability who suffers from abuse, neglect or
exploitation.
SENATE Bill No. 269
Monitor
Tabled in Committee 3/10/2011
Sponsor: E. Buttrey
Subject: Exempt certain nonprofit housing developers from manufactured housing
provisions
Summary: This bill exempts community housing development organizations from display lot
provisions under the manufactured home dealer licensing requirements.
SENATE Bill No. 273
Oppose
Tabled in Committee 3/12/2011
Sponsor: C. Williams
Subject: Extend statute of limitations for corporate tax reform auditing
Summary: This bill extends the statute of limitations for corporate tax reform auditing from 3
years to 5 years. This bill was supported by Montana Department of Revenue in theory to make
it an equal playing field as tax reform auditing for individuals is 5 years. The opponents argued
that all auditing should be reduced to 3 years- which is what the federal auditing look back is as
well.
SENATE Bill No. 298
Monitor
(H) Hearing – Local Government 3/24/2011
Sponsor: C. Vincent
Subject: Revise land use laws regarding wildland urban interface
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Summary: This bill provides that a governing body cannot deny a proposed subdivision solely
because the parcels within the subdivision have been labeled a wildland- urban interface
designation.
SENATE Bill No. 314
Monitor
Tabled in Committee 3/03/2011
Sponsor: L. Jent
Subject: Provide for realtor commission lien law
Summary: This bill creates a lien against an owner’s net sales proceeds from real property sales
or leases from which a realtor or appraiser is due monies.
SENATE Bill No. 324
Monitor
Committee Report – Bill Concurred 3/18/2011
Sponsor: J. Balyeat
Subject: Revise consumer protection laws and settlement proceeds
Summary: This bill revises the laws disposing of settlement proceeds and civil fines and directs
how to distribute the proceeds from consumer protection actions.
SENATE Bill No. 326
Monitor
Hearing – State Administration 3/28/2011
Sponsor: C. Larsen
Subject: Provide for a veterans home loan program
Summary: This bill states creates a Montana Veterans Home Loan Program. This bill allows for
the board of investments to administer $100 million of the permanent coal tax trust fund for the
purpose of the program.
SENATE Bill No. 333
Monitor
(H) Referred – Taxation 3/17/2011
Sponsor: J. Shockley
Subject: Adopt Revisions to the Uniform Principle and Income Act
Summary: This bill conforms Montana law to the 2008 amendments to the Uniform Principal
and Income Act. It changes the marital deduction requirements to allow a trust to qualify for the
federal marital deduction requirements to allow for a trust to qualify for the federal marital
deduction requirements.
SENATE Bill No. 334
Monitor
Missed Deadline for General Bill Transmittal
Sponsor: J. Shockley
Subject: Repeal legality of medical marijuana
Summary: This bill repeals the Medical Marijuana Act and no longer allows for the use of
Medical Marijuana.
SENATE Bill No. 337
Monitor
Taken from 3rd Reading; Placed on 2nd Reading
3/21/2011
Sponsor: A. Blewett
Subject: Revise probate laws and laws relating to civil proceedings
Summary: This bill revises probate law and provides new provisions related to unsworn
statements and verification of pleadings. It also requires that an affidavit or verified petition be
accepted as evidence in an uncontested probate or trust proceeding and that probate proceedings
be signed by an attorney.
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SENATE Bill No. 339
Support
Missed Deadline for General Bill Transmittal
Sponsor: F. Moore
Subject: Revise agriculture lien laws
Summary: A lien for seed, hail insurance, threshing, labor, and warehouse services furnished for
the purpose of growing or handling the particular grain or crops is prior to all liens currently.
This bill changes the law to allow for ceiling of $50,000 of liens for labor or services performed
or material furnished with precedence over any mortgage, encumbrance, or other lien on the
grain or crops and after that the liens go to priority of a perfected security interest.
SENATE Bill No. 351
Monitor
(H) Scheduled for 3rd Reading 3/23/2011
Sponsor: R. Ripley
Subject: Revise laws governing managed care
Summary: This bill is in response to the Governor’s plan to form Medicaid managed care plans
for all medical services in a five county central Montana area. This bill will revise laws related to
Medicaid Managed Care contracts and require an advisory council be set up to review these
requests for managed care contracts and awarded contracts. It created oversight – outside of the
State Government- of managed care programs that currently does not exist.
SENATE Bill No. 358
Monitor
(S) Committee Report – Bill Passed as Amended
3/18/2011
Sponsor: E. Buttrey
Subject: Generally revise tax increment financing districts
Summary: This bill would revise existing laws relating to urban renewal and tax increment
financing by repealing technology, aerospace and industrial districts with targeted economic
development districts. It would allow city or town, county, or city-county consolidated local
governments to create targeted economic development districts.
SENATE Bill No. 370
Monitor
(H) Hearing – Human Services 3/18/2011
Sponsor: J. Priest
Subject: Require cost-benefit analysis of mandated health insurance coverage of service
Summary: This bill requires a cost- benefit analysis before enactment of health insurance
mandates and limits the initial mandates to state employee health benefit plans.
SENATE Bill No. 378
Oppose
Tabled in Committee 3/12/2011
Sponsor: R. Zinke
Subject: Notice required for recording instrument affecting title to real property
Summary: This bill requires mail notice before filing and instrument affecting the title to or
possession of real property. However, we are confused as to what problem this bill is trying to
address. It only applies to parties to an instrument who are not signatories to the instrument.
Does that mean the grantees of every deed, or the trustee and beneficiary of every trust
indenture? If it is intended to reach other parties, such as suggested by Bill, then it frankly
interferes with a party’s right to alienate or encumber their own property. Does the failure to
give the notice provide the signatories to the document a defense to enforceability, or a claim by
other creditors (or a trustee in bankruptcy) that the instrument is not properly recorded (and
therefore ineffective as constructive notice)? This seems like a completely unnecessary burden
on residential and commercial transactions in order to notify parties that didn’t sign the
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document (and are not bound). It may also hamper the timely recording of mortgages and deeds
of trust, which can create other problems. Fractional interests in real property are generally
alienable/lienable. This “notice” requirement serves no legitimate purpose and is an imposition
to Montana banks
SENATE Bill No. 392
Monitor
Tabled in Committee 3/14/2011
Sponsor: K Gillan
Subject: Revise tax laws related to class eight property tax exemptions
Summary: This bill increases the class eight business equipment aggregate tax exemption
amount; specifically in 2012 an exemption of $200,000 and 2013 $500,000. After 2013 class
eight property worth $1 million or less is exempted. The bill also provides a growth proxy for
taxable value related to county classification and school district bonding debt limits at various
levels starting in 2012 as described in Sections 1 and 2 of the bill. This bill requires that
legislation be passed to appropriate $6.9 million from the general fund and $8.8 million in 2013
or the bill is void.
SENATE Bill No. 393
Monitor
Tabled in Committee 3/18/2011
Sponsor: K. Van Dyk
Subject: Revise tax law by providing refundable tax credit for property taxes paid
Summary: This bill revises provisions related to the refundable income tax credit for the amount
of property taxes paid for a principal residence; starting with $50 for tax year 2011 and $100 for
tax year 2012. This bill allows for one credit of a claim to be made.
SENATE Bill No. 411
Monitor
Hearing – Taxation 3/22/2011
Sponsor: R. Erickson
Subject: Revise administration of tax interest, penalties, and delinquencies
Summary: This bill revises the Uniform Penalty assessments on delinquent taxes and amends the
waiver of interest. It also provides for penalties for substantial understatement of a tax or for
filing a fraudulent or frivolous return – making these penalties similar to federal penalties.
SENATE Bill No. 413
Monitor
Hearing – Taxation 3/22/2011
Sponsor: J. Balyeat
Subject: Revise tax laws
Summary: This bill changes the law in that if the due date of a tax return falls on a Federal
holiday not observed by Montana then the return is due the following business day.
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