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Sen. Mike Lang recounts 65th Montana legislature

The 65th Montana legislature ended in late April by balancing a $10.3 billion-dollar- budget for the biennium of 2018 and 2019. My first session was in 2013 and we had about $550 million of general fund cash on hand. However, because spending was not curtailed and the revenue projections did not materialize, at the end of May 2017 only $76M remains in the general fund cash balance. A year ago at this time we had a balance of $343M. The budget is based on revenue and expenditure estimations. If estimations deviate then you are not balanced. Basically, revenues are generated after the two tax cycles, April 15 and October 31 of each year. This creates peaks and valleys of revenues which must be managed through the biennium by controlling expenditures or creating cuts by the executive branch and our Montana agencies. We kept the biennial budget growth to .6%, however, because of increase in agency costs of wages, pensions, health care, law driven expenditures and entitlements, this small increase could only be maintained by cuts in programs. We asked for a 5% voluntary cut of the agencies. We received very little help, so we had to initiate non-voluntary cuts. Intention was to cut costs in Helena, but it looks like they will just cut services elsewhere. There is hope that in 18 months a general fund balance will be very much stronger.

To accomplish this, we developed the “Budget Stabilization Plan” for the government to follow. This is to give a governor a plan to follow and it will have necessary trigger cuts if revenues do not materialize. When the necessary cuts are made, there is money, $2 of cuts gives authority to access $1, available to keep programs functioning. There is $900M of taxpayers’ dollars within the state agencies which the legislature has not figured out how to access. The down fall of this is that more services may be cut if revenues are short. However, you cannot run anything without money.

Infrastructure programs have been created. In the next biennium $500M of general fund dollars will be used to match federal dollars such that $1.77B of infrastructure will be created in Montana. A very sore subject this session was the denial of HB 8—water projects around the state. While I did not support an additional $98.5M in bonds, I would have supported additional cash, approximately $33M, for local infrastructure projects. This process was held up by the minority legislators and the governor.

Two missions I had for the session was to help the long-term care facilities and create a path for reasonable air ambulance service for eastern Montana. Stat Air in Glasgow is the star in the air ambulance business and is taking care of us better than any other service in the state. There will be additional reimbursement funds for long term care and possibly wage increase for long term care workers. HB 17 helps with funds for the disabled, but is under the management of SB 261, Budget Stabilization.

We created an incentive for doctors to practice in rural Montana and for teachers to attain their national accreditation standards. There are local and state dollars involved.

We funded K-12 education early, so schools can plan for the next year. Your local school board will receive authority through SB 307 to issue non-voted levies, so stay involved with local control.

HB 473 created the fuel tax. Locally our city councils and county commissioners will have more dollars to invest in local roads and transportation needs. Montana Department of Transportation will receive more funds also. We need to follow this money and make sure our area, which has more primary roads and needs than any other area in the state, receives our share. We need to audit MDT to make sure the funds are used for construction only. Legislation may be needed next session to make the revenues accountable to us.

Two new appointees that I am excited about are Ben Thomas as Director of Ag in MT and Logan Brower, FWP commissioner for our region. Two industries which have great influence in eastern Montana.

Your Representative for HD 34, Speaker Austin Knudsen, served valiantly, back to back, as Speaker of the House. Speaker Knudsen also served on the House State Administration and Energy, Technology and Federal Relation committees. He managed the House formalities and sponsored HB 585 which lets the board of investments make loans for support of the coal industry.

Casey Knudsen, Representative for HD 33, served on the House Fish, Wildlife and Parks, Judiciary and Energy, Technology and Federal Relation committees. He moved 3 bills to law which helped our area by: HB 256, Revise legal fence laws; HB 527, Revise archaeological survey requirements; and HB 338, Revise livestock transportation permit laws. Rep. Knudsen did a great job.

As a first time Senator, I moved legislation to become laws, which dealt with; SB 285, Creating a producer driven pulse advisory committee and statutory appropriation; SB 155, Prohibit local government regulation of agricultural seeds; SB 172, Prohibit sale of fishing or hunting license if child support in arrears; SB 180, Revise laws regarding taxation of certain airlines; SB 182, Require MDT to inform the public regarding certain highway construction; SB 284, Revise Sage Grouse law.

The legislative process has many checks and balances. Bills only move forward from: committees, if they receive a majority yes vote; once on the chamber floor where the bill started, they again must receive the votes necessary to move the type of bill presented; if there is a fiscal note on the bill, it is referred to the chamber fiscal committee, where it receives a yes or no vote; then back to the chamber floor for acceptance or rejection. If the bill is still receiving more yes votes, it moves to the opposite chamber and goes through the same process again; when the bill passes both chambers, it is sent to the Governor to become law or vetoed.

The new biennium and many laws become effective on July 1, 2017. I will follow these changes and report in later communications. Thanks to all who provided inspiration for a bill request, contacted me during the session, a special thanks to all who came to Helena to testify in committees and especially those students and advisors who came to see the legislative process in action. If you have questions or opinions please contact me a [email protected] .

Gratefully,

Senator Mike Lang, MT SD 17

Info. Office: (406)444-4800

Montana Senate

PO Box 200500

Helena, MT 59620-0500

[email protected]

 

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