SB 561 revises how members of the Montana Public Service Commission are selected, shifting the commission from a five-member body elected from five districts to a mixed structure with two elected commissioners and three appointed commissioners. The bill also changes districting rules, ties commission districts to congressional districts, and sets out transition provisions for current officeholders and future elections and appointments. It would make the appointed commissioners subject to gubernatorial nomination and Senate confirmation by a two-thirds vote, while also imposing qualification, residency, and conflict-of-interest requirements on both appointed and elected commissioners.
The bill further establishes detailed eligibility standards intended to limit industry influence over the commission. Appointed commissioners must have at least four years of separation from regulated entities, cannot have certain financial interests held by themselves or immediate family members, must be U.S. citizens, and must have lived in Montana for at least two years. Elected commissioners must also meet separation requirements from regulated entities. The bill includes vacancy-filling procedures, term limits, filing requirements, and a phased implementation schedule that would convert some current districts to appointed seats over time.
Impact
SB 561 would substantially amend Title 69, chapter 1, MCA, by rewriting the statutes governing Public Service Commission composition, districting, terms, vacancies, and appointment procedures. It would reduce the number of elected PSC seats, create a governor-appointed and Senate-confirmed majority, and add new statutory qualifications and ethics restrictions for commissioners. The bill would also alter how PSC districts are aligned, moving them toward congressional district boundaries and establishing transition rules for existing commissioners and future elections.
Sentiment
The bill appears to have had mixed but meaningful support in the Senate, advancing out of the Energy, Technology & Federal Relations Committee and passing second and third reading in the Senate. However, the failed motion to amend on second reading suggests there was significant disagreement over the bill’s details. In the House, the bill was sent to table in State Administration and ultimately died in standing committee, indicating that support was not sufficient to move it through the House process.
Contention
The main points of contention are the shift from an elected to a partly appointed commission, the governor’s expanded role in selecting commissioners, and the reduced role of voters in choosing PSC members. Opponents likely objected to concentrating appointment power in the executive branch and to the Senate’s ability to confirm or reject nominees on broad criteria. Supporters appear to have favored the bill’s emphasis on expertise, independence from regulated utilities, and stronger ethics safeguards, including restrictions on industry ties and financial interests.