Letters To The Editor

Support HB 490: Crucial Step For Safety, Resilience

As general managers of Montana’s electric cooperatives, we urge our state senators and communities to support House Bill 490 (HB 490). This vital piece of legislation ensures our state is better prepared to face the growing threat of wildfires and that our member-owned cooperatives can continue to serve our communities without the risk of being held liable for fires outside of their control.

Understanding HB 490

First, HB 490 requires that utilities adopt and implement comprehensive wildfire mitigation plans. These publicly available plans include proactive measures to manage vegetation, assess and upgrade equipment, and regularly report on mitigation efforts. Wildfire risk will thus be substantially reduced.

Second, the bill prevents utilities from being automatically found at fault for fires, as has occurred in some other states. Under HB 490, utilities can be held liable for fires caused due to their negligence, but our members are protected from paying the high costs of wildfires where our cooperatives were not at fault.

Bipartisan Support and Effective Collaboration HB 490 is the result of a long-term collaborative effort. We extend our thanks to bill sponsor Rep. Amy Regier and bi-partisan co-sponsors. HB 490 passed the House of Representatives unanimously with strong bipartisan support. Much more work remains, however, to get this bill passed.

Clarifying Liability and Cost Shift Claims Importantly, HB 490 does NOT shield utilities from liability. We will remain fully committed to being held accountable if we are negligent. This bill prohibits the utility from automatically being found at fault, which would unfairly burden our members with the costs of wildfires when their electric utility was not negligent.

Some opponents describe the bill as a cost shift. This is simply not true. The bill is an effort to reduce overall costs by preventing wildfires. By investing in wildfire mitigation, utilities can minimize the risk of wildfires, ultimately saving money for every party involved.

A Path Forward

Utilities are obligated to serve, meaning we are required to provide power to our entire service areas, including areas with high wildfire risk. We don’t get to pick and choose who we serve and we can’t “drop” high risk members.

HB 490 fairly addresses a real risk that could bankrupt Montana’s locally owned electric cooperatives, leaving them unable to continue serving their local communities. It is also important to remember that electric cooperatives are not-for-profit utilities owned by our members. We do not have deep pockets; we only have the pockets of the community members we serve.

We need healthy communities, healthy forests, and healthy utilities — in the face of growing risks in each area, this bill provides a path forward. We ask our co-op members and our state senators to support House Bill 490 and help us create a safer, more resilient Montana.

Sincerely, Gary Wiens, CEO, Montana Electric Cooperative’s Association Scott Westlund | Sheridan Electric Cooperative And the general managers of all 25 rural electric cooperatives serving Montana