Committee hears competing views on placing natural-gas pipelines in public rights of way under HB122

The House Energy, Technology and Federal Relations Committee held a hearing on House Bill 122 on Oct. 12, 2025. The bill would affirm that natural-gas pipelines are utility facilities that may be located or constructed in public rights of way similar to electric and telephone lines.

Sponsor Representative Larry Brewster described the bill as "very small" and said it "adds using natural gas in distribution right of ways." He told the committee he expected to offer an amendment to remove broadband from the bill after stakeholders raised concerns.

Opponents included the Montana League of Cities and Towns and environmental groups. Jennifer Olson, government affairs director for the Montana League of Cities and Towns, testified in opposition and said the association's main concern was that "broadband is not a publicly regulated utility," arguing the bill would diverge from typical practice governing utilities in public right of way. The Northern Plains Resource Council urged care on safety and environmental considerations and requested amendments if existing statutes do not address inspection, safety standards and public notification.

Northwestern Energy and Montana-Dakota Utilities spoke in favor. Jan Rouse of Northwestern Energy said HB122 is a "simple cleanup amendment" to clarify that natural gas pipelines are utility facilities that can be sited in public rights of way and said existing statutory language requires construction that "must be constructed so as not to inconvenience or endanger the public." Amy Grimales, representing Montana-Dakota Utilities, said the bill removes outdated language and emphasizes public-safety construction standards.

Company representatives and committee members discussed regulatory and permitting regimes. Alan Olson of Northwestern Energy explained that intrastate natural-gas pipelines are regulated by the Public Service Commission and follow federal PHMSA standards: "Natural gas pipelines are highly regulated in Montana... they follow under PHMSA standards," he said. Committee members asked about environmental reviews, permitting thresholds and whether major-facility or siting rules apply; staff and the PSC's pipeline safety program representative said large projects may fall under the Major Facility Siting Act (projects meeting size thresholds) and that the PSC participates in federal pipeline safety inspections but is not a general permitting agency.

Members pressed on safety incidents and leak detection practices; company witnesses described routine leak detection and inspection programs and said pipeline integrity management focuses on high-consequence areas and environmental protections such as seasonal timing near sensitive wildlife habitat.

Broadband stakeholders said they had not been consulted before the bill was filed and did not take a position on inclusion; the sponsor indicated he would pull broadband from the bill via amendment. The hearing concluded without a committee vote; the sponsor reserved the right to close and the committee did not act during the session.