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69th Legislature reviews HB 933 regulating railroad crossing fees and agreements

March 31, 2025 | Introduced House Bills, 2025 House and Senate Bills, Montana Legislation Bills, Montana


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69th Legislature reviews HB 933 regulating railroad crossing fees and agreements
Montana's House Bill 933, introduced on March 31, 2025, aims to streamline the process for utilities to establish crossings over railroad rights-of-way, a move that could significantly impact infrastructure development across the state. The bill outlines specific provisions regarding crossing fees, which are one-time payments utilities must make to railroads for the right to construct, operate, or maintain facilities that cross or run alongside railroad lines.

Key features of the bill include a defined "crossing fee" structure, capped at either $3,000 or $10 per linear foot of the occupied railroad right-of-way. This fee structure is designed to provide clarity and predictability for utilities, potentially reducing delays in infrastructure projects that rely on crossing railroad properties. Additionally, the bill addresses "disused rail crossings," allowing for easier access to areas where railroad lines are no longer operational.

The introduction of HB 933 has sparked discussions among stakeholders, particularly regarding the balance between facilitating utility expansion and protecting railroad interests. Some lawmakers have raised concerns about the potential for increased utility encroachment on railroad properties, while proponents argue that the bill will enhance public infrastructure and promote economic growth by simplifying the permitting process.

Experts suggest that if passed, HB 933 could lead to a surge in utility projects, particularly in rural areas where access to essential services like water, electricity, and telecommunications is critical. The bill's implications extend beyond immediate infrastructure improvements; it may also foster economic development by attracting new businesses that rely on robust utility services.

As the legislative session progresses, the bill will likely undergo further scrutiny and debate, with potential amendments aimed at addressing concerns raised by both utility companies and railroad operators. The outcome of HB 933 could set a precedent for how Montana manages the intersection of utility expansion and railroad operations, making it a significant focus for lawmakers and community stakeholders alike.

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