Committee advances bill restricting ‘natural asset’ companies; amendment narrows definition to avoid affecting conservation programs

The House Agriculture Committee voted to advance House Bill 1453, a measure aimed at restricting so-called "natural asset" companies and certain contracts involving them, after approving an amendment that narrows the bill’s definition.

Representative Hoke, who led the committee discussion on the amended language, said the key change is adding the phrase "and monetize the value of natural assets." He told members the qualifier is intended to make the definition an "and" clause so that common conservation activities would not be swept in: "So when we're talking about a USDA CRP program or a Ducks Unlimited program, they're not monetizing the natural asset ... that's not how they're monetizing your payment," Hoke said.

Committee members discussed the drafting process with Legislative Council and the Department of Agriculture. Legislative Council advised against inserting an 11-page proposed rule into statute because it is not a finalized rule. The committee also removed language at the request of the Secretary of State that would have addressed permitting for natural asset companies, on the grounds that the bill prohibits such companies from operating in the state and thus the permitting language was redundant.

Several members raised concerns about potential unintended consequences for mitigation programs and private landowners. Representative Freibergak said she remained "uncomfortable" and worried the language could affect mitigation groups that manage wetlands or other habitat. Representative Schreiberbeck recorded a “no” vote on both the amendment and the final do-pass as amended, citing concerns about unresolved issues and the need for additional stakeholder input.

Representative Anderson moved the amendment; Representative Rios seconded. The amendment passed by roll call (13–1). Later, Representative Rios moved that the committee give House Bill 1453 a do-pass recommendation as amended; Representative Henderson seconded. The committee approved the bill as amended on a roll call with the same recorded dissent (13–1).

Committee members said the bill sponsor had worked with Legislative Council and the Department of Agriculture to condense proposed regulatory language into statutory definitions rather than embedding an unfinalized rule. Members acknowledged outstanding questions and said the Senate could address technical issues if needed.

Votes at a glance - Amendment ("Mine 11"): Motion to adopt amendment adding "and monetize" to the definition — Mover: Representative Anderson; Second: Representative Rios. Committee outcome: approved (13–1). - House Bill 1453 as amended: Motion to do pass as amended — Mover: Representative Rios; Second: Representative Henderson. Committee outcome: approved (13–1).