MT HB579

Local governments must establish and fund a capital reserve account by September 30 of odd-numbered years to be eligible for Renewable Resource Grant and Loan Program or Montana Coal Endowment Program funding

Capital reserve accounts require deposits of 10% of revenues from water supply fees, wastewater fees, or water delivery fees; water storage dam owners must contribute $5 per acre-foot of storage capacity

Funds from capital reserve accounts may only be spent on projects with a total estimated cost of at least $50,000

Projects will be prioritized using a ratio of local match to total project cost, with higher ratios receiving preference over lower ratios

Local governments may not create special districts or improvement districts solely to fund the required capital reserve accounts