For the legislative week ending March 13

Date: March 13, 2015

OSHA Bill Defeated
The much discussed bill that would have started Montana on the road to managing the federal Occupational Safety and Health Act (OSHA) program was defeated on the House floor on March 11 on a 41-to-59 vote.
NFIB/Montana supported House Bill 413, because it was only enabling legislation that would have started the Department of Labor down the road to drafting a program that would be acceptable to the federal government. There was no cost to the bill. 
NFIB/Montana viewed it as something that could address the safety problems the state has in workers’ compensation. Montana has the 4th highest workplace accident rate in the nation. If workers’ compensation premium rates are to come down in Montana, safety needs to be addressed. 
Opponents argued that while there was no cost now, there would be a cost when the approved program came back to the Legislature in 2017, and that was not acceptable. Also, opponents were fearful that a state-run OSHA program had the potential to enact safety standards higher than what are currently the standards of the federal government. 
Patent Troll Measure Advances
A bill that did make it out of the House, on March 13, was Senate Bill 39. This was a sleeper bill. It was called the “trolling for patent and copyright infringements.” It has come to light in the last year from the attorney general’s office that there are entities around the country that are buying up patents and copyrights and then surfing the web and publications of small businesses to find obscure incidents of potential infringements. 
They then write a letter charging the infringement and demanding money to be able to continue using their patent or copyright. They ask for small amounts of money, and target small businesses that do not have a legal department. Some small employers have chosen to pay the $1,000 or $1,500 fee rather than twice that to hire a good patent attorney. 
Attorney General Tim Fox has verified that a number of small businesses in Montana have fallen for this scam. SB 39 would put sideboards on any such letters claiming infringement, and provide enforcement and damages against those perpetrating such bad faith assertions. The bill passed a third reading in the House, March 14, 95 to 1. It previously passed the Senate 46-1. It now is headed for the governor’s office for signature.

Small Business Regulatory Impact
A major priority of NFIB/Montana this session is House Bill 396, sponsored by Rep. Don Jones (R) of Billings. This bill would take the sunset clause off a law that was passed in 2013 that requires any state agency to review any new administrative rules it may write to implement a law to see if there is an impact on small businesses. 
Small businesses are defined as under 50 employees. The sunset was put on the bill in 2013 to see how it would impact state agencies workload. HB 396 cleared the House several weeks ago 99 to 1, and this week was voted out of the Senate Business Committee 8 to 0. It will be on the Senate floor next week. 
Individual Income Tax Rates
Senate Bill 200 by Sen. Duane Ankney (R) of Colestrip would lower the individual income tax rates in Montana. This bill passed 2nd reading in the House 58 to 42 on a party-line vote, and it will come up for a 3rd and final vote this coming week. 
Fiscal Impact
On March 12, House Billl 449, which would require an impact statement on small businesses attached to every legislative fiscal note, passed out of Senate Business Committee 6 to 4 on a party-line vote. It hits the Senate floor this coming week. 

Upcoming Hearings
  • Monday, March 16, will be a big hearing day. House Bill 5 is up in House Appropriations Committee. This is the Gov. Steve Bullock’s “Build Montana Program.” He is proposing a total expenditure of nearly $400 million for statewide infrastructure projects, with one element of the plan for infrastructure work in the oil and gas Bakken Field section of eastern Montana. The Republican majority in the House and Senate are fashioning their own infrastructure bills to counter the governor’s plan, which has a large portion of the funding coming from issuing bonds. The Republican bills feature more cash and special revenue sources and a smaller portion in bonds.
  • House Bill 602 will be heard on Tuesday. This proposal would allow local governments to put oil and gas fees on lodging within their boundaries. It would not only be for oil and gas impacted areas like eastern Montana, but also any county in which a railroad or pipeline is located. This would include some 48 of the 56 counties in Montana. NFIB/Montana will be monitoring this bill on Tuesday, as it looks a lot like a version of a local-option sales tax, which is contrary to the position of NFIB/Montana. 
  • And, finally, comes Senate Bill 123 by Sen. Bruce Tutvedt (R) of Kalispell. It will be heard in the House Business Committee on Friday. SB 123 moves the Montana State Fund for workers’ compensation from legislative control to management under the Montana Insurance Commissioner (State Auditor). This would make the State Fund be under the same rules and demands as all private insurance providers of workers’ compensation. Proponents of this bill say it takes the political element out of the workings of the State Fund, and treats the fund like a private company. 
Stay tuned for next week’s report. The end is coming up fast. There are only 38 days remaining in this 64th session of the Legislature, including a few days off for Easter break. 
Getting Involved
Getting involved in the 2015 Legislature is easy. The best way to have your voice heard quickly is to phone 406-444-4800. Operators are on hand in the Capitol Building to take messages up to five legislators on each call, and delivery is within a half an hour. Those wanting more information on locating legislators, getting an e-mail address, looking to view committee meetings and floor sessions on television or over computers, and just to review all hearings and reading of the actual bills can go to www.leg.mt.gov and access everything electronically.
      
Past Reports

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