House Bill No. introduced by G. Parry and others aims to revise the taxation framework for coal and electrical energy production in Montana by establishing the State Energy Resource Severance Act. The bill introduces a new tax on electrical energy production, set at a rate of 2% of the sale price, while exempting coal-generated electricity from this tax. It also creates special revenue accounts for the distribution of tax revenue, which will be allocated to local government infrastructure projects traditionally funded by coal. The bill includes provisions for the administration and enforcement of the new tax by the Department of Revenue, as well as penalties for non-compliance.

Additionally, the bill outlines the creation of a state energy resources trust account and a Montana energy authority operations account, which will receive portions of the tax revenue to support state projects and the operations of a potential energy authority. The effective date for the act is set for January 1, 2026, with certain provisions applying to new contracts for electricity sales entered into after the act's effective date. The bill also includes a contingent termination clause that ties the continuation of certain provisions to the establishment of a state energy authority.

Statutes affected:
LC Text: 15-35-103
HB0326_1(1): 15-35-103
HB0326_1(2): 15-35-103
HB0326_1(3): 15-35-103
HB0326_1(4): 15-35-103
HB0326_1(5): 15-35-103
HB0326_1(6): 15-35-103
HB0326_1: 15-35-103
HB0326_2(1): 15-35-103
HB0326_2(2): 15-35-103
HB0326_2(3): 15-35-103
HB0326_2(4): 15-35-103
HB0326_2(5): 15-35-103
HB0326_2(6): 15-35-103
HB0326_2(7): 15-35-103
HB0326_2(8): 15-35-103
HB0326_2(9): 15-35-103
HB0326_2: 15-35-103