The Natural Resource Damage Program (NRDP), administratively attached to the Department of Justice, briefed the subcommittee on its role in assessing environmental injuries from hazardous releases and on the Reed Point train derailment on the Yellowstone River.

Doug Martin, NRDP administrator, summarized the program’s mission: perform injury assessments, recover damages from responsible parties and use settlement funds for restoration of affected natural resources. He said NRDP has about 12 of 13 FTE funded and is primarily funded by restoration‑dedicated state special revenue that cannot be used for recovery assessment work; that legal/recovery work historically requires one‑time general‑fund authority when injury assessments and negotiations arise.

Martin described the Reed Point derailment (2023): Montana Rail Link experienced a train failure, 17 cars derailed, 10 cars entered the Yellowstone River, and about 400,000 pounds of liquid asphalt were released; the railroad recovered roughly 60 percent of the asphalt, but NRDP estimates the remaining material and riparian impacts at roughly 180,000 pounds and is negotiating natural‑resource damages with the railroad. Martin said natural‑resource damage assessments and settlements of similar releases commonly take multiple years: the transcript cites examples (a 2011 oil release that settled in 2016; a 2015 spill that settled in 2021) and noted the Clark Fork settlements took many years.

NRDP told the committee it has spent a little over half of a $1,000,000 one‑time appropriation provided in the 2023 session. The program estimated it will spend about $750,000 of that amount by the end of the current fiscal year and that roughly $250,000 could revert to the general fund. NRDP requested continued one‑time funding for the next biennium to allow the program to complete recoveries and negotiations. NRDP also said that if and when it secures settlements and recovers costs, the receipts would flow into a state special revenue account the program can use for restoration work in the future.

Committee members asked about the status of the in‑river asphalt, coordination with DEQ and EPA on cleanup responsibilities, and the timeline for settlement negotiations. Martin said he and staff coordinate closely with the Department of Environmental Quality on cleanup actions and that settlement negotiations can be lengthy; he said the program would continue work and noted the potential to reimburse assessment costs from future recoveries when settlements are reached.

The committee recorded NRDP’s request and questions; NRDP offered to provide the committee additional documentation about work performed and receipts when available.