Deal-Making Time as Montana Legislature Muscles Toward May 1 Adjournment

Date: April 12, 2019

Medicaid expansion bill a study in horse trading

State Director Riley Johnson reports from Helena on the small-business agenda for the legislative week ending April 12

As the Montana Legislature enters its 77th day of its 90-day session, it is the time of trading votes, targeting primary bills, and holding them up from consideration to bargain other bills for support or opposition. It is a time of scrambling and holding private meetings between competing lawmakers.

This is a tough time to lobby for or against bills for entities like NFIB.

The session has four days next week before a four-day Easter break, followed by eight days until the official end to the session. The end is scheduled for May 1. However, some leadership is expecting to end the session short of the 90 days, if possible.

Medicaid Expansion

A good example of what is going on in the Capitol halls: Look at what has happened to the Medicaid expansion bill, HB 658, by Rep. Ed Buttrey (R) of Great Falls.

This bill passed out of the House 61-37 the last day in March and moved to the Senate. It was approved by the Senate Finance Committee 10-9. It was amended in the Senate Finance Committee to remove the partial funding of the Medicaid expansion by charging a 2.75 percent tax on all workers’ compensation policies written by the Montana State Fund (MSF).

NFIB did not take a position on the Medicaid expansion, but it vigorously opposed the tax on MSF workers’ compensation policies. This would have raised the premiums on all MSF policies. So, NFIB then withdrew its opposition to HB 658 as it went to the Senate floor, yesterday. After a more than two-hour debate, the floor refused 25-25 to not endorse the bill. Because the Senate did not move to indefinitely postpone the bill, it can be placed back on the agenda for another vote. That should happen today, April 12, or tomorrow, April 13.

What happened?

Five Republican senators, who had signed on to support HB 658, yesterday voted no to pass the bill. One such senator was Sen. Tom Richmond (R) of Billings who authored SB 331 that is wallowing in the House. This bill would allow Northwestern Energy to purchase a larger share of the Colestrip Power Plant, avoid regulation by the Public Service Commission, and charge-back expenses of the purchase and environmental cleanup of Colestrip to the 320,000 ratepayers in Montana of Northwestern power.

Another no vote yesterday came from Sen. Duane Ankney (R) of Colestrip, who co-sponsored HB 658. Gov. Steve Bullock has concerns about SB 331. The five senators voting “no” yesterday want to “wait and see what happens to other bills of their interest” before acting again on HB 658.

If the five senators voting no yesterday get satisfied on other legislation, the bill would pass the Senate 30-20, which is the exact number of Republicans versus Democrats in the Senate.

Infrastructure

In other legislation of interest to NFIB, the infrastructure bills, HB 553 and HB 652, passed the House 99-0 and the senate 50-0. Both bills are now in the House for votes on the amendments put on them in the Senate.

Fuel Tax

The aviation fuel tax increase, HB 661, passed the House this week 70-28 and is awaiting floor action in the Senate.

Tax Policy

HJ 35, which would put an interim study of all statewide and local taxes and tax policy during the next two years between sessions, passed the House 94-3, passed the Senate committee 11-0, and is awaiting Senate floor action.

NFIB has a major interest in HJ 35 because it believes the state is being run on laws passed in the 1950s, not in the 21st Century.

Workers’ Compensation

SB 234, which would have allowed the state to bid out the workers’ compensation insurance to private companies, died on the House second reading 30-70. NFIB opposed this bill.

Liquor Tax

SB 339, the increase in liquor tax, was tabled in the Senate Tax Committee.

Rental Cars

And, SB 360, which would have increased the tax on rental cars by 50 percent, was tabled in the House Tax Committee.

Getting Involved

Getting involved in the 2019 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 for up to five legislators on each call, and delivery is within a half hour. For those wanting more information on locating legislators, getting a personal 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.

Previous Reports From the Capitol

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