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Bill to Split DEQ Fee Account Wins Support From Agency, Proponents Say It Improves Transparency
Summary
Representative John Fitzpatrick and Department of Environmental Quality officials told the committee House Bill 40 would separate two fee streams in a single DEQ account—public water system connection fees and plan-review fees—to improve transparency and avoid cross-subsidization.
Representative John Fitzpatrick introduced House Bill 40 at the request of the Department of Environmental Quality, saying the measure would split a single DEQ account into two separate accounts so fees for different programs are tracked independently. ‘‘All this bill does is basically take that account and break it into 2 pieces,’’ Fitzpatrick said.
Sonia Nowakowski, director of DEQ, told the committee splitting the accounts will allow the agency to analyze revenue and prepare recommended fee changes for a future legislative session. ‘‘By splitting these accounts, this will allow us to be more fiscally responsible to analyze what's happening with both of these accounts,’’ she said, adding DEQ would be better prepared to return to the Legislature in 2027 with any needed fee-structure changes.
Water Quality Division Administrator Lindsey Kavaruchka (spelled in the record) distributed a handout and briefly summarized the bill’s mechanics, saying the change is intended to make accounting for permit and plan-review fees clearer to both agencies and fee payers. Ben Rigby of Montana ReWater and a small-systems advocate also testified in favor, saying the split would help clarify where funding is directed for rural water systems.
No opponents spoke, and there were no committee questions. Representative Fitzpatrick closed and the hearing on HB 40 was concluded.
No committee vote was taken on HB 40 during this session.
