Land Board authorizes Attorney General to negotiate settlement in Talon Northwestern Energy case

The Montana Board of Land Commissioners on April 20 authorized the Attorney General's Office and its designees to participate in a court-approved mediation conference in State of Montana v. Talon Northwestern Energy (cause No. CV-00035-DLC) and granted full settlement authority to negotiate past-due rentals, rental rates and future lease terms.

Brian Bramblett, DNRC chief legal counsel, provided a quarterly litigation update preceding the motion. James Brown moved that the Board —authorize the Attorney General's Office and his designees to participate in the court approved mediation conference of State of Montana versus Talon Northwestern Energy cause number CV-00035-DLC, United States District Court, scheduled in this matter with full settlement authority on behalf of the State Board of Land Commissioners to negotiate the terms of any past due rentals owed. As well as authority to negotiate and settle the rental rates and any future lease terms with the parties. And should settlement in this matter be successful to come back to the Board to request approval of the same at a future meeting upon due notice to the public for review and comment.— The motion was seconded by Susie Hedalen and carried unanimously.

Why it matters: the motion gives the Attorney General's Office and its designees explicit negotiating and settlement authority in federal litigation that concerns state trust land leases and potential revenue owed to the state. The minutes do not specify dollar amounts or settlement parameters; the Board required that any settlement be returned for public review and formal Board approval.

What's next: DNRC and the Attorney General's Office may participate in the scheduled mediation; if a settlement is reached, it will be presented to the Board at a future meeting with notice to the public before any approval vote.