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Committee hears competing views on HB 122, which would allow natural gas pipelines in public rights of way

House Energy, Technology, and Federal Relations Committee · January 20, 2025
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Summary

At a hearing on HB 122, utility representatives said the bill simply clarifies that natural gas pipelines are utility facilities that can be placed in public rights of way; municipal and environmental groups raised safety, permitting and local-control concerns and asked for amendments, including removing broadband from the bill.

Helena — House Bill 122, which would clarify that natural gas pipelines are utility facilities that may be located or constructed in public rights of way, drew split testimony at the House Energy, Technology, and Federal Relations Committee.

Sponsor Representative Larry Brewster, who represents District 43, said the bill is a short "cleanup" to bring natural gas facilities onto the same footing as electric and telephone utilities. "This bill only has a couple of lines," Brewster told the committee, and he said he planned an amendment to remove broadband from the bill because broadband providers are not uniformly regulated.

Opponents raised safety and process concerns. Jennifer Olson, government affairs director for the Montana League of Cities and Towns, said the association stands opposed if the bill brings broadband into the statute because broadband is generally not a regulated utility and the bill would diverge from typical franchise processes. Edward Barta of the Northern Plains Resource Council said co-locating private gas pipelines in public rights of way "poses a danger to the public" and urged amendments to address safety standards, inspection requirements, environmental assessments and public notice.

Utility witnesses, including Jan Rouse of Northwestern Energy and Aimee Grimales for Montana-Dakota Utilities, supported HB 122 as a clarifying statute that would promote efficient planning and recognize natural gas pipelines as utilities in public rights of way. Rouse told the committee that natural gas now heats many Montana homes: "About half of Montana's households use natural gas as their primary energy source to heat their homes," she said.

Alan Olson, director of government affairs for Northwestern Energy, said natural gas pipelines in Montana are "highly regulated" and are inspected under PHMSA (Pipeline and Hazardous Materials Safety Administration) standards and state enforcement through the Public Service Commission's pipeline safety program. Committee members asked multiple technical and process questions about hazardous-material incidents, permitting thresholds under the Major Facility Siting Act, private easements versus public rights of way, and whether allowing pipelines in public rights of way would change franchise or permitting practices.

Broadband Montana's Bridger Mallum said his association had not been consulted before the bill's introduction and had no fixed position on broadband's inclusion; several legislators indicated they would pursue an amendment to remove broadband from the bill.

No vote was taken on HB 122 during the hearing; sponsor Brewster closed by urging support for efficient joint trenching and safety practices and the committee concluded business for the day.