HOUSE BILL NO. 7
INTRODUCED BY CALLAHAN
BY REQUEST OF THE DEPARTMENT OF NATURAL RESOURCES AND CONSERVATION AND THE OFFICE OF BUDGET AND PROGRAM PLANNING
AN ACT PROVIDING FOR RECLAMATION AND DEVELOPMENT GRANTS; TEMPORARILY AUTHORIZING ADDITIONAL USES OF THE RECLAMATION AND DEVELOPMENT GRANTS STATE SPECIAL REVENUE ACCOUNT; APPROPRIATING MONEY TO THE DEPARTMENT OF NATURAL RESOURCES AND CONSERVATION FOR GRANTS FOR DESIGNATED PROJECTS UNDER THE RECLAMATION AND DEVELOPMENT GRANTS PROGRAM; PRIORITIZING GRANTS AND AMOUNTS; ESTABLISHING CONDITIONS FOR GRANTS; TRANSFERRING FUNDS; TEMPORARILY REVISING THE USE OF THE RECLAMATION AND DEVELOPMENT GRANTS ACCOUNT; AMENDING SECTION 90-2-1104, MCA; AND PROVIDING AN EFFECTIVE DATE AND TERMINATION DATES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Appropriations for reclamation and development grants. (1) The amount of $4.9 million is appropriated to the department of natural resources and conservation from the reclamation and development grants special revenue account established in 90-2-1104 from funds allocated for the purpose of making grants from the interest income of the resource indemnity trust fund as set forth in Title 15, chapter 38.
(2) The funds appropriated in this section must be awarded by the department to the entities listed in [section 2] for the prescribed purposes and in the prescribed grant amounts, subject to the conditions provided in [sections 2 through 5].
Section 2. Approved grants and projects. (1) The legislature approves the grants listed in subsection (2), to be made in the order of priority as indicated within the following list of projects and activities. If the conditions in [sections 3 and 4] are met, funds must be awarded up to the amounts approved in this section in order of priority until available funds are expended. Funds not accepted by grantees or funds not used by higher-ranked projects and activities must be provided for projects and activities lower on the priority list that would not otherwise receive funding. Descriptions of the various projects and activities and specific conditions established for each project and activity are contained within the department of natural resources and conservation's reclamation and development grants program report to the 59th legislature for the 2007 biennium.
(2) The following are the grants program prioritized projects and activities:
Applicant/Project 0; &# 160; Grant Amount
Montana Board of Oil and Gas Conservation
(2005 Eastern District Orphaned Well Plug and Abandonment) 0; $300,000
Montana Board of Oil and Gas Conservation
(2005 Northern District Orphaned Well Plug and Abandonment) 0; $300,000
Montana Department of Environmental Quality
(Bluebird Mine Reclamation) 0; &# 160; $300,000
Montana Department of Environmental Quality
(Frohner Mine Reclamation) 0; &# 160; $300,000
Montana Department of Environmental Quality
(Buckeye Mine and Millsite Reclamation) 0; $300,000
Lewistown, City of
(Reclamation of Brewery Flats on Big Spring Creek) 0; &# 160;$300,000
Montana Department of Natural Resources and Conservation
(St. Mary Studies and Design) 0; &# 160; $900,000
Butte-Silver Bow Local Government
(Belmont Shaft Failure and Subsidence Mitigation) & #160; $300,000
Pondera County
(Oil and Gas Well Plug and Abandonment) 0; &# 160; $100,000
Custer County Conservation District
(Yellowstone River Resource Conservation Project) 0; &# 160;$299,965
Teton County
(Oil and Gas Well Plug and Abandonment) 0; &# 160; $50,000
Toole County
(Plugging and Abandonment Aid to Small Oil Operators) & #160; $150,000
Montana Department of Environmental Quality
(Zortman Mine--Completion of Reclamation Alternative Z6) & #160; $300,000
Butte-Silver Bow Local Government
(Excelsior Reclamation) 0; &# 160; $129,800
Powell County
(Wetland Reclamation and Redevelopment) 60; & #160; $240,850
Montana Department of Environmental Quality
(MTS Tire Recyclers Cleanup) 60; & #160; $300,000
Montana Department of Environmental Quality
(Former Harlem Equity Co-Op Bulk Plant) 0; $285,572
(3) To the entities listed in this section, this appropriation constitutes a valid obligation of these funds for purposes of encumbering the funds within the 2007 biennium pursuant to 17-7-302.
Section 3. Coordination of fund sources for grants program projects. A sponsor of a grants program project who has applied for a grant for that project under both the reclamation and development grants program and the renewable resource grant and loan program may not receive duplicate funding.
Section 4. Condition of grants. Disbursement of grant funds under [sections 1 through 5] is subject to the following conditions that must be met by the project sponsor:
(1) A scope of work and budget for the project must be approved by the department of natural resources and conservation. Reduction in a scope of work or budget may not affect priority activities or improvements.
(2) Other funds required for project completion must have been committed, and the commitment must be documented.
(3) The project sponsor shall show satisfactory completion of conditions described in the recommendation section of the project narrative of the reclamation and development grants program report to the legislature for the 2007 biennium.
(4) An agreement between the department and the project sponsor must be executed in a timely manner, taking into consideration any changed conditions or circumstances that govern the administration and disbursement of funds.
(5) Any other specific requirements considered necessary by the department must be met to accomplish the purpose of the grant as evidenced from the application to the department or as defined by the legislature.
Section 5. Other appropriations. There is appropriated to any entity of state government that receives a grant under [sections 1 through 4] the amount of the grant upon award of the grant by the department of natural resources and conservation. Grants to state entities from a prior biennium are reauthorized for completion of contract work.
Section 6. Fund transfers. On July 1, 2005, there is transferred from the reclamation and development grants special revenue account established in 90-2-1104:
(1) $57,115.94 to the environmental contingency account established in 75-1-1101; and
(2) $400,000 to the renewable resource grant and loan program state special revenue account created in 85-1-604.
Section 7. Section 90-2-1104, MCA, is amended to read:
"90-2-1104. Reclamation and development grants account. (1) There is a reclamation and development grants special revenue account within the state special revenue fund established in 17-2-102.
(2) There must be paid into the reclamation and development grants account money allocated from:
(a) the interest income of the resource indemnity trust fund under the provisions of 15-38-202;
(b) the resource indemnity and ground water assessment tax under provisions of 15-38-106;
(c) the metal mines license tax proceeds as provided in 15-37-117(1)(d); and
(d) the oil and gas production tax as provided in 15-36-331.
(3) Appropriations After the fund transfers in [section 6] are made, appropriations may be made from the reclamation and development grants account for the following purposes:
(a) grants for designated projects; and
(b) administrative expenses, including salaries and expenses for personnel, equipment, office space, and other expenses necessarily incurred in the administration of the grants program. These expenses may be funded before funding of projects.
(4) For the biennium beginning July 1, 2005, appropriations may be made from the reclamation and development grants special revenue account for administrative expenses, including salaries and expenses for personnel and equipment, office space, and other expenses necessarily incurred in natural resource-related programs."
Section 8. Severability. If a part of [this act] is invalid, all valid parts that are severable from the invalid part remain in effect. If a part of [this act] is invalid in one or more of its applications, the part remains in effect in all valid applications that are severable from the invalid applications.
Section 9. Effective date. [This act] is effective July 1, 2005.
Section 10. Termination. (1) [Section 7(3)] terminates July 30, 2005.
(2) [Section 7(4)] terminates June 30, 2007.
- END -
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