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Committee tables bill to raise food‑service and pool licensing fees after lengthy debate

Senate Business, Labor and Economic Affairs · April 15, 2025
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Summary

Lawmakers heard hours of testimony from public‑health officials, restaurant groups and local officials on House Bill 853, which would raise and reclassify license fees for food establishments, pools, mobile vendors and campgrounds; the committee ultimately voted to table the bill after objections on timing, mobile‑vendor categories and process.

Representative (sponsor) opened House Bill 853, describing the proposal as an overdue "right‑sizing" of license fees for food establishments, public accommodations, trailer courts, campgrounds, pools and spas. The sponsor said fee schedules had not been updated in roughly 15 years and that stakeholders negotiated category changes, adding a "medium" food‑establishment tier and a new mobile‑food category.

Brad Griffin, executive director of the Montana Restaurant Association, and Gina Miller for the Montana Environmental Health Association described months of stakeholder work; Griffin said the proposal was built around collaboration and encouraged a due pass. "We went back and forth with some ideas, and what you see in front of you is the direct result of that work," he told senators.

Local health officers and county officials said fees currently cover a small share of inspection program costs and that increasing user fees would shift some burden away from property taxes. "We found that the current fees cover about 17% of program expenses," Gina Miller testified, citing a county survey of 37 respondents representing about 88% of the state population. Candace Payne, a Lewis and Clark County commissioner, said the proposal would relieve pressure on property taxpayers.

Small business owners and mobile‑food operators raised concerns about new categories and seasonality. One committee member who said she owned two mobile‑food licenses objected to the proposed jump in license fees for mobile vendors and noted many such businesses are seasonal or operate only a few months a year. Missoula and other local health staff explained the operational challenges of mobile inspections — finding vendors who move around, inspecting commissary kitchens as well as trucks, and occasional reinspection workloads.

Committee members questioned specific fee levels, the data and assumptions used to project a roughly $1.3 million revenue increase, and whether the state special revenue account would be used appropriately. Sponsors and supporters emphasized that fees would go into state special revenue earmarked for local environmental health program work, not the general fund.

After extensive testimony and a roll‑call vote on concurrence that produced more "no" than "yes" votes, a motion to table HB 853 passed. Senators who opposed the measure said they supported inspections but objected to the timing, detailed fee choices and inability to amend the bill on the same day; supporters said the fee update was long overdue and would reduce the property tax burden for local governments.

The committee tabled HB 853 for future consideration; proponents said they would continue stakeholder work and potentially return with amendments.