Bill Summary – FastDemocracy

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68th Legislature 2023                                                                                            SB 521.1
                                                SENATE BILL NO. 521
                                   INTRODUCED BY S. VANCE, J. ELLSWORTH
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  A BILL FOR AN ACT ENTITLED: “AN ACT GENERALLY REVISING LAWS RELATED TO BROADBAND
  DEPLOYMENT AND RIGHT-OF-WAY; REVISING LAWS RELATED TO BROADBAND DEPLOYMENT ON
  STATE HIGHWAYS OR INTERSTATE RIGHTS-OF-WAY; ALLOWING APPLICANTS TO SEEK AN
  EXCEPTION TO PAYING THE FAIR MARKET VALUE SUBJECT TO APPROVAL; DEFINING "FAIR MARKET
  VALUE"; REVISING DEFINITIONS; PROVIDING A FEE; AMENDING SECTIONS 60-4-501 AND 60-4-601,
  MCA; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE.”
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  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
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           Section 1. Section 60-4-501, MCA, is amended to read:
           "60-4-501.    Broadband deployment. (1) The department shall maintain a list of entities working on
  broadband deployment in the state.
           (2)      When the department plans a state highway construction project or a project authorized under
  60-4-601 involving construction methods suitable for installing broadband conduit in the state or interstate
  highway right-of-way or conducive to accessing the utility right-of-way, the department shall notify entities
  working on broadband deployment of the project to encourage collaborative broadband installation.
           (3)      The department may adopt administrative rules to implement this section.
           (4)      As used in this section, "entities working on broadband deployment" includes but is not limited
  to local governments, nonprofit organizations, cable television companies, and telephone companies, and
  broadband providers eligible for the installation of broadband infrastructure."
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           Section 2. Section 60-4-601, MCA, is amended to read:
           "60-4-601.    Interstate right-of-way -- department role. (1) The department of transportation may
  grant a right-of-way use agreement for the use of longitudinal right-of-way along interstate highways in the state
  for eligible projects that:
                                                               -1-                       Authorized Print Version – SB 521
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68th Legislature 2023                                                                                             SB 521.1
          (a)      provide evidence that construction and completion will result in a significant investment, a
  documented positive significant fiscal impact, or both, to the Montana economy within the first year of operation;
          (b)      are in the public interest; and
          (c)      are approved by the federal highway administration.
          (2)      To request a right-of-way use agreement in accordance with this section, the owner of an
  eligible project must submit an application to the department that demonstrates compliance with subsection (1).
  The applicant must pay an application fee of $100. The department shall work with the applicant and the federal
  highway administration throughout the review process and approve or deny the application within 90 days of
  final approval by the federal highway administration.
          (3)      (a)   The Except as provided in subsections (3)(b) and (3)(c), the department and the applicant
  shall agree to the payment of the fair market value of the portion of the right-of-way where the project will be
  located prior to the right-of-way use agreement being granted.
          (b)      Applicants who seek an exception to paying the fair market value shall submit a request and
  justification to the department. The department shall submit to the federal highway administration the fair
  market value exception request for approval. If approved, the department may not charge the applicant for the
  right-of-way use agreement.
          (c)      An applicant may propose to the department an alternative to payment of fair market value by
  offering a comparable in-kind contribution.
          (4)      The department shall allow approved applicants for eligible projects to use the right-of-way for
  the construction and maintenance of project facilities in a safe and efficient manner as set forth in the right-of-
  way use agreement.
          (5)      Any relocation of facilities occupying the right-of-way is subject to 60-4-403. The department
  shall work with applicants to minimize the potential for any future project impacts that may require the relocation
  of facilities occupying the right-of-way.
          (4)(6)   The department may adopt rules necessary for the administration of this section, including
  application fees to be paid by an applicant seeking a right-of-way use agreement and any rules necessary to
  ensure the state is not prevented from receiving federal funds for highway purposes.
          (5)(7)   For the purposes of this section:
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68th Legislature 2023                                                                                            SB 521.1
          (a)      "Eligible project" means a pipeline, or fiber optic or other communications-type cables, wireless
  facility, and associated infrastructure, and dedicated power sources.
          (b)      "Fair market value" means $100 a mile for each year, or $3,000 a mile for a 30-year term right-
  of-way use agreement. Applicants may choose to pay annually or in a lump sum for the full length of the term.
          (b)(c)   "Public interest", including the determination of clean energy and connectivity projects that
  provide connectivity to Montana citizens, is determined by state policy and federal highway administration
  guidance and regulation, including but not limited to 23 CFR 710.403. Deployment of broadband infrastructure
  and clean energy and connectivity projects are in the public interest."
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          NEW SECTION. Section 3.        Effective date. [This act] is effective on passage and approval.
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                                                              -3-                      Authorized Print Version – SB 521
Statutes affected: 
SB0521_1.pdf: 60-4-501, 60-4-601
SB0521_2.pdf: 60-4-501, 60-4-601
SB0521_X.pdf: 60-4-501, 60-4-601
Amended: 60-4-501, 60-4-601
Introduced: 60-4-501, 60-4-601