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Bill Summary · HB 40

Legislative bill overview

HB 40 revises how Montana manages public water supply fee accounts, modifying the structure, handling, and accounting procedures for fees collected from public water systems. The bill has already been signed into law by Governor Gianforte as of May 5, 2025. Specific technical changes to fee account management will now be codified in Montana law.

Why is this important

Public water systems rely on fee revenue to maintain infrastructure, conduct testing, and ensure safe drinking water delivery. How these fees are collected, allocated, and tracked directly affects water system operations and can influence costs passed to consumers. Changes to account management procedures can impact transparency, fund availability, and administrative efficiency across Montana's water utilities.

Potential points of contention

  • Fee allocation transparency: Unclear how revised accounting may change the visibility of where water fees are directed and whether consumers have adequate access to this information
  • Administrative burden: Water system operators may face new compliance requirements or different accounting procedures that require staff training and system updates
  • Rate implications: Modifications to fee account structures could eventually influence how—and how much—water system operators must charge ratepayers to maintain adequate reserves and operations

Compiled from official sources — confirm details with the bill’s official record.

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