**** 69th Legislature 2025 SB 11.1 - 1 - Authorized Print Version – SB 11 1 SENATE BILL NO. 11 2 INTRODUCED BY F. MANDEVILLE 3 BY REQUEST OF THE STATE ADMINISTRATION AND VETERANS' AFFAIRS INTERIM COMMITTEE 4 5 A BILL FOR AN ACT ENTITLED: “AN ACT GENERALLY REVISING LOCAL GOVERNMENT BALLOT 6 ISSUES; PROVIDING DEFINITIONS; PROVIDING REQUIREMENTS AND PROCEDURES FOR LOCAL 7 GOVERNMENT BALLOT ISSUES; PROVIDING PROCEDURES FOR SIGNATURE GATHERING AND 8 SIGNATURE VERIFICATION; AMENDING SECTIONS 3-10-101, 3-11-101, 7-1-4130, 7-3-1204, 7-5-131, 7-6- 9 1504, 13-10-612, 13-27-611, 16-1-205, 16-12-301, AND 16-12-311, MCA; REPEALING SECTIONS 7-5-132, 7- 10 5-133, 7-5-134, AND 7-5-135, MCA; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE AND AN 11 APPLICABILITY DATE.” 12 13 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA: 14 15 NEW SECTION. Section 1. Purpose. 16 referendum in a local government unit is guaranteed by Article XI, section 8, of the Montana constitution and 17 may be exercised through adherence to the procedures established in [sections 1 through 13]. 18 19 NEW SECTION. Section 2. Definitions. As used in [sections 1 through 13], unless the context 20 clearly indicates otherwise, the following definitions apply: 21 (1) "Local government" means any city, town, county, or consolidated city-county. 22 (2) "Local government's next election held in accordance with Title 13, chapter 1, part 4" means a 23 primary or general election that includes the regularly scheduled nomination or election of officers of that local 24 government unit. 25 26 NEW SECTION. Section 3. Requirements for ballot issues referred by local government or by 27 28 election must: (Primary Sponsor) **** 69th Legislature 2025 SB 11.1 - 2 - Authorized Print Version – SB 11 1 (1) embrace only a single comprehensive subject; 2 (2) set out fully the ordinance sought, the ordinance to be amended and the proposed amendment, 3 or the ordinance to be repealed; 4 (3) be in the form provided by [sections 1 through 13]; and 5 (4) contain transition provisions if the measure changes terms of office or forms of government. 6 7 NEW SECTION. Section 4. Procedure for election on local government petition. (1) Except as 8 provided in 7-5-131, the electors of a local government may, by petition, request an election on whether to 9 enact, repeal, or amend an ordinance. 10 (2) Except as provided in [section 9(3)], a petition under [sections 4 through 10] signed by at least 11 15% of the local government's qualified electors is sufficient to require an election. In order to determine the 12 number of signatures needed on a petition to meet the percentage requirements of this subsection, the number 13 of electors must be the number of individuals registered to vote at the preceding general election for the local 14 government. 15 (3) Before a petition may be circulated for signatures, a sample petition must be submitted in the 16 form in which it will be circulated to the county election administrator. On receiving the sample petition, the 17 county election administrator shall promptly refer a copy of the sample petition to the attorney for the relevant 18 local government unit. 19 (4) (a) The local government attorney shall review the sample petition for proper form and 20 compliance with 7-5-131 and [sections 1 through 13]. 21 (b) If the sample petition is rejected as to form, within 21 days after submission of the sample 22 petition, the local government attorney shall send written notice and a statement of the reasons for rejection to 23 the person who submitted the sample petition and the county election administrator. 24 (c) If the sample petition is approved as to form, within 21 days after submission of the sample 25 petition, the local government attorney shall send written notice to the person who submitted the sample 26 petition and the county election administrator. This notice must include the statement of purpose and the 27 statements of implication prepared by the local government attorney pursuant to subsections (5) and (6) of this 28 section. **** 69th Legislature 2025 SB 11.1 - 3 - Authorized Print Version – SB 11 1 (5) If the sample petition is approved as to form, the local government attorney shall prepare a 2 concise statement of purpose not exceeding 135 words. The statement of purpose must be an accurate and 3 impartial explanation of the purpose of the proposed ballot issue in plain, easily understood language. The 4 statement may not be an argument and may not be written so as to create prejudice for or against the issue. 5 The statement prepared pursuant to this subsection, unless altered by court order, must be used as the petition 6 title and the ballot statement if the issue is placed on the ballot. For the purposes of this subsection (5), the 7 word limit does not apply to additional statements required on the ballot by law, including those provided in 7-7- 8 111 and 15-10-425(3). 9 (6) At the time the statement of purpose is prepared, the local government attorney shall prepare a 10 statement of the implication of a vote for and a statement of the implication of a vote against the ballot issue. 11 Unless otherwise provided by law, each statement of implication may not be more than 25 words and must be 12 in simple, impartial language that clearly explains the meaning of a vote for or a vote against the issue. Each 13 statement of implication prepared pursuant to this section, unless altered by a court order, is to be used on the 14 petition and the ballot if the issue is placed on the ballot. The statements of implication must be placed beside 15 the diagram provided for marking of the ballot in a manner similar to the following example: 16 17 18 19 NEW SECTION. Section 5. Form of petition. (1) A local government petition must be substantially in 20 the form provided by [sections 4 through 10]. Clerical or technical errors that do not interfere with the ability to 21 judge the sufficiency of signatures on the petition do not render a petition void. 22 (2) (a) Petition sheets may not exceed 8 1/2 x 14 inches in size. Separate sheets of a petition may 23 be fastened in sections of not more than 25 sheets. 24 (b) Near the top of each sheet containing signature lines must be printed the number of the 25 ordinance referred or the petition title. If signature lines are printed on both the front and back of a petition 26 sheet, the information required above must appear on both the front and back of the sheet. 27 (c) The complete text of the issue proposed or referred must be attached to or contained within 28 each signature sheet if sheets are circulated separately. The text of the issue must be in the format prescribed **** 69th Legislature 2025 SB 11.1 - 4 - Authorized Print Version – SB 11 1 by the governing body pursuant to 7-5-103(1) and, unless otherwise provided by the governing body of the local 2 government, use the style and language and form guide of the most recent edition of the bill drafting manual 3 furnished by the legislative services division. If sheets are circulated in sections, the complete text of the issue 4 must be attached to each section. 5 (3) An internet posting of petition language must include a statement that the petition language 6 and format may not be modified. An internet posting must include an affidavit in substantially the same form as 7 provided in [section 6]. 8 (4) Unless otherwise provided by law, the following is substantially the form for a local government 9 petition calling for approval or rejection of an ordinance: 10 PETITION TO PLACE [ORDINANCE NO.____ OR PROPOSED ORDINANCE NO. 20_-_] 11 ON THE ELECTION BALLOT 12 (a) If [insert appropriate percentage of voters or appropriate number of voters] of [insert 13 appropriate local government unit] voters sign this petition, this proposal will appear on the election ballot of 14 [insert appropriate local government entity] to be conducted on [insert date of election]. If a majority of voters 15 vote for this proposal at that election it will become law. 16 (b) We, the undersigned [insert appropriate local government entity] voters, propose that the 17 county election administrator place the following proposal on the election ballot: 18 (Petition title written in conformity with [section 4]) 19 (Statements of implication written in conformity with [section 4]) 20 (c) Voters are urged to read the complete text of the proposal, which appears (on the reverse side 21 of, attached to, etc., as applicable) this sheet. A signature on this petition is only to put the proposal on the 22 ballot and does not necessarily mean the signer agrees with the proposal. 23 (d) 24 WARNING 25 A person who purposefully signs a name other than the person's own to this petition, who signs more 26 than once for the same issue at one election, or signs when not a legally registered Montana voter is subject to 27 a $500 fine, 6 months in jail, or both. 28 (e) Each person is required to sign the person's name and list the person's address or telephone **** 69th Legislature 2025 SB 11.1 - 5 - Authorized Print Version – SB 11 1 number in substantially the same manner as on the person's voter registration form or the signature will not be 2 counted. 3 (5) Numbered lines must follow the heading. Each numbered line must contain spaces for the 4 signature, date, residence address, and printed last name and first and middle initials of the signer. In place of a 5 residence address, the signer may provide the signer's post-office address or the signer's home telephone 6 number. An address provided on a petition by the signer that differs from the signer's address as shown on the 7 signer's voter registration form may not be used as the only means to disqualify the signature of that petition 8 signer. 9 10 NEW SECTION. Section 6. Affidavit to accompany signatures. An affidavit, in substantially the 11 form provided in 1-6-105 or in the following form, must be attached to each petition sheet or petition section 12 submitted to the county official: 13 I, (name of person who is the signature gatherer), swear that I gathered the signatures on the petition 14 to which this affidavit is attached on the stated dates, that I believe the signatures on the petition are genuine, 15 are the signatures of the person whose names they purport to be, and are the signatures of [insert appropriate 16 local government unit] electors who are registered at the address or have the telephone number following the 17 person's signature, and that the signers knew the contents of the petition before signing the petition. 18 ________________________________ 19 (Date on which the first signature was gathered) 20 ________________________________ 21 (Signature of petition signature gatherer) 22 ________________________________ 23 (Address of petition signature gatherer) 24 Subscribed and sworn to me this ___ day of ____, 20__ 25 Seal 26 _______________________________ 27 (Person authorized to take oaths) 28 _______________________________ **** 69th Legislature 2025 SB 11.1 - 6 - Authorized Print Version – SB 11 1 (Title or notarial information) 2 3 NEW SECTION. Section 7. Petition signatures. (1) A petition approved as to form may not be 4 circulated for the purpose of signature gathering more than 1 year prior to the final date for filing the signed 5 petition with the county election administrator. 6 (2) A local government petition may be signed only by a qualified elector of the local government. 7 (3) A person gathering signatures for a petition may not be paid anything of value based on the 8 number of signatures gathered. 9 (4) Signatures may be withdrawn from a petition up to the time of final submission of petition 10 sheets. 11 (5) Signatures must be verified in the manner provided in 13-27-103. 12 13 NEW SECTION. Section 8. Governing body review of petition. (1) The governing body may, within 14 60 days of receiving the petition, take the action called for in the petition. If the action is taken, the question 15 need not be submitted to the electors. If the county election administrator has already certified the ballot issue 16 pursuant to [section 9], the results of the election are void. 17 (2) If the governing body does not within 60 days take the proposed action and the ballot issue is 18 certified by the county election administrator, then the question must be submitted to the electors at the election 19 specified in the petition. 20 21 NEW SECTION. Section 9. Submission of signatures -- certification -- election. 22 sheets or sections of petitions with original signatures must be: 23 (a) collected and filed with the official responsible for the registration of electors in the county in 24 which the signatures were obtained within 90 days of the date of the notice that the petition was approved as to 25 form pursuant to [section 4]; and 26 (b) submitted no later than 4 weeks before the certification date specified in subsection (2) of this 27 section. 28 (2) The county election administrator shall certify a local government ballot issue for a local **** 69th Legislature 2025 SB 11.1 - 7 - Authorized Print Version – SB 11 1 government election no later than 85 days before the election. 2 (3) Subject to [section 7(1)] and subsections (1) and (2) of this section, an election on an approved 3 petition containing sufficient signatures held pursuant to [sections 1 through 13] must be conducted in 4 conjunction with the local government's next election held in accordance with Title 13, chapter 1, part 4. 5 However, if the petition requests a special election, is signed by at least 25% of the qualified electors, and 6 otherwise complies with the requirements of subsections (1) and (2) of this section, a special election must be 7 held on the date specified in the petition. In order to determine the number of signatures needed on a petition to 8 meet the percentage requirements of this subsection (3), the number of electors must be calculated as provided 9 in [section 4(2)]. 10 11 NEW SECTION. Section 10. Delay of effective date of ordinance -- suspension of emergency 12 (1) If an approved petition containing sufficient signatures is filed prior to the ordinance's effective 13 date or within 60 days after the passage of the ordinance, whichever is later, a petition requesting an election 14 on whether to amend or repeal the ordinance delays the ordinance's effective date until the ordinance is ratified 15 by the electors. 16 (2) If an approved petition containing sufficient signatures is filed within 60 days after the effective 17 date of an emergency ordinance, the emergency ordinance is suspended until it is ratified by the electors. 18 19 NEW SECTION. Section 11. Ballot issue referred by governing body of local government. (1) A 20 governing body of a local government may refer an existing or proposed ordinance to a vote of the people by 21 resolution. 22 (2) Unless otherwise provided by law, an ordinance referred to a vote of the people by the 23 governing body of a local government must comply with the statement of purpose requirements of [section 4(5)] 24 and the statements of implication requirements provided by [section 4(6)]. 25 (3) The governing body of the local government shall transmit a local government ballot issue 26 referred to a vote of the people according to the requirements of Title 13, chapter 1, part 4. 27 28 NEW SECTION. Section 12. Effective date of local government ballot issue. **** 69th Legislature 2025 SB 11.1 - 8 - Authorized Print Version – SB 11 1 people voting on the question of a local government ballot issue conducted pursuant to [sections 1 through 13] 2 approve the proposal, the local government ballot issue becomes effective when the election results are 3 officially declared, unless otherwise stated in the proposal. 4 5 NEW SECTION. Section 13. Suit to determine validity and constitutionality of petition and 6 7 government to determine whether the proposed action is valid and constitutional. The suit must be initiated 8 within 14 days of the date a petition is approved as to form under [section 4]. 9 (2) An action brought under this section takes precedence over other cases and matters in the 10 district court. The court shall render a decision as soon as possible as to whether the proposed action is valid 11 and constitutional. 12 (3) If the defendant prevails, the defendant is entitled to be reimbursed by the local government for 13 costs and reasonable attorney fees incurred. 14 (4) The 90-day period during which petition signatures must be collected under [section 10] begins 15 on the date of the court order resolving the suit. 16 17 Section 3-10-101, MCA, is amended to read: 18 "3-10-101. Number and location of justices' courts -- authorization to combine with city court -- 19 20 be located at the county seat. The board of county commissioners shall designate the number of justices in 21 each justice's court. 22 (2) The board of county commissioners of each county of the state may establish: 23 (a) one additional justice's court located anywhere in the county; and 24 (b) one additional justice's court located in each city having a population of over 5,000, as provided 25 in subsection (3). 26 (3) A city having a population of over 5,000 may, by resolution, request the board of county 27 commissioners to constitute a justice's court in the city. A justice's court must be established in the city if the 28 board of county commissioners approves the request by resolution. **** 69th Legislature 2025 SB 11.1 - 9 - Authorized Print Version – SB 11 1 (4) A justice of the peace of a court established pursuant to subsection (3) may act as the city 2 judge upon passage of a city ordinance authorizing the action and upon approval of the ordinance by resolution 3 of the board of county commissioners. If the ordinance and resolution are passed, the city and the county shall 4 enter into an agreement for proportionate payment of the justice's salary, as established under 3-10-207 and 3- 5 11-202, and for proportionate reimbursement for the use of facilities. 6 (5) A county may establish the justice's court as a court of record. If the justice's court is 7 established as a court of record, it must be known as a "justice's court of record" and, in addition to the 8 provisions of this chapter, is also subject to the provisions of 3-10-115 and 3-10-116. The court's proceedings 9 must be recorded by electronic recording or stenographic transcription and all papers filed in a proceeding must 10 be included in the record. A justice's court of record may be established by a resolution of the county 11 commissioners or pursuant to 7-5-131 through 7-5-135 and 7-5-137 and [sections 1 through 13]." 12 13 Section 3-11-101, MCA, is amended to read: 14 "3-11-101. City court established -- city court of record. (1) A city court is established in each city 15 or town. A city judge shall establish regular sessions of the court. On judicial days, the court must be open for 16 all business, civil and criminal. On nonjudicial days, as defined in 3-1-302, the court may transact criminal 17 business only. 18 (2) A city may establish the city court as a court of record. If the city court is established as a court 19 of record, it must be known as a "city court of record". The court's proceedings must be recorded by electronic 20 recording or stenographic transcription, and all papers filed in a proceeding must be included in the record. A 21 city court of record may be established by a resolution of the city commissioners or pursuant to 7-5-131 through 22 7-5-135 and 7-5-137 and [sections 1 through 13]." 23 24 Section 7-1-4130, MCA, is amended to read: 25 "7-1-4130. Petition. 26 establishes different criteria, the petition is subject to 7-5-131 through 7-5-135 and 7-5-137 and [sections 1 27 through 13]." 28 **** 69th Legislature 2025 SB 11.1 - 10 - Authorized Print Version – SB 11 1 Section 7-3-1204, MCA, is amended to read: 2 "7-3-1204. Petition for city-county consolidated government -- election required. (1) The 3 question of the abandonment and termination of the separate corporate existence and government of a county 4 and of each city and town therein within the county and the consolidation and merging of the existence and 5 government of the county and each of the cities and towns therein within the county into one municipal 6 corporation and government under the provisions of this part and part 13 shall must be submitted to the 7 registered electors of the county if a petition is filed in the office of the election administrator of the county, 8 signed by at least 20% of the electors of the county whose names appear on the official register of voters of the 9 county on the date of the filing of the petition, requesting that such the question be submitted to the registered 10 electors of the county. 11 (2) The petition shall must be substantially in the form and shall must be signed, verified, and filed 12 in the manner prescribed in 7-5-132 through 7-5-135 and 7-5-137 and [sections 1 through 13] for initiative and 13 referendum petitions and shall must designate therein within the petition the name by which the consolidated 14 government is to be known, which must be either that of the county or of some one of the cities or towns therein 15 within the county." 16 17 Section 7-5-131, MCA, is amended to read: 18 "7-5-131. Right of initiative and referendum. (1) Except as provided in subsection (2), the powers of 19 initiative and referendum are reserved to the electors of each local government. Resolutions and ordinances 20 within the legislative jurisdiction and power of the governing body of the local government may be proposed or 21 amended and prior resolutions and ordinances may be repealed in the manner provided in 7-5-132 through 7-5- 22 135 and 7-5-137 and [sections 1 through 13]. 23 (2) The powers of initiative do not extend to the following: 24 (a) the annual budget; 25 (b) bond proceedings, except for ordinances authorizing bonds; 26 (c) the establishment and collection of charges pledged for the payment of principal and interest 27 on bonds; 28 (d) the levy of special assessments pledged for the payment of principal and interest on bonds; **** 69th Legislature 2025 SB 11.1 - 11 - Authorized Print Version – SB 11 1 (e) the prioritization of the enforcement of any state law by a unit of local government; or 2 (f) the regulation of auxiliary containers, defined in 7-1-121(4), as prohibited by 7-1-121(2)." 3 4 Section 7-6-1504, MCA, is amended to read: 5 "7-6-1504. Resort tax -- election required -- procedure -- notice. (1) A resort community, resort 6 area, or resort area district may not impose or, except as provided in 7-6-1505, amend or repeal a resort tax 7 unless the resort tax question has been approved by a majority of the qualified electors voting on the question. 8 (2) The resort tax question may be presented to the qualified electors of: 9 (a) a resort community by a petition of the electors as provided in 7-5-131, 7-5-132, 7-5-134, 7-5- 10 135, and 7-5-137 and [sections 1 through 13] or by a resolution of the governing body of the resort community; 11 (b) a resort area by a resolution of the board of county commissioners, following receipt of a 12 petition of electors as provided in 7-6-1508; 13 (c) an existing resort area district by a resolution of the board of directors of the resort area district 14 in accordance with special district election procedures provided in 13-1-501 through 13-1-505. 15 (3) If a proposed resort area is in more than one county, the resort tax question must be presented 16 to and approved by the qualified electors in the resort area of each county. 17 (4) The petition or resolution referring the taxing question must state: 18 (a) the rate of the resort tax; 19 (b) the duration of the resort tax; 20 (c) the date when the tax becomes effective, which date may not be earlier than 35 days after the 21 election; and 22 (d) the purposes that may be funded by the resort tax revenue. If the petition or resolution includes 23 the additional tax provided for in 7-6-1503(1)(b)(i), the revenue from the additional tax must be designated for 24 infrastructure and the specific uses must be identified in the petition or resolution. The additional levy for 25 infrastructure authorized under this subsection (4)(d) terminates when the specified infrastructure debts and 26 project costs are paid unless the board submits and the qualified electors approve another levy for 27 infrastructure. 28 (5) On receipt of an adequate petition, the governing body shall hold an election in accordance **** 69th Legislature 2025 SB 11.1 - 12 - Authorized Print Version – SB 11 1 with Title 13, chapter 1, part 5. 2 (6) (a) Before the resort tax question is submitted to the electorate of a resort community or resort 3 area, the governing body of the resort community or the board of county commissioners in the county in which 4 the resort area is located shall provide notice of the goods and services subject to the resort tax by a method 5 described in 13-1-108. 6 (b) The notice must be given two times, with at least 6 days separating the notices. The first notice 7 must be no more than 45 days prior to the election, and the last notice must be no less than 30 days prior to the 8 election. 9 (7) Notice of the election must be given as provided in 13-1-108 and include the information listed 10 in subsection (4) of this section. 11 (8) The question of the imposition of a resort tax may not be placed before the qualified electors 12 more than once in any fiscal year. 13 (9) The governing body, as defined in 7-6-1505, of a resort area, resort area district, or resort 14 community that already imposes a resort tax may submit to the qualified electors of the resort area, resort area 15 district, or resort community the question of whether to levy the additional resort tax provided for in 7-6- 16 1503(1)(b)(i). The election must be noticed as provided in this section and conducted as provided in 13-1-501 17 through 13-1-505." 18 19 Section 13-10-612, MCA, is amended to read: 20 "13-10-612. Violations -- penalties. A person who knowingly makes a false entry on a petition or 21 affidavit under this part required by Title 13, chapter 27, or [sections 1 through 13] or who knowingly signs a 22 petition to qualify the same political party for the same primary election more than once is guilty of unsworn 23 falsification or tampering with public records or information, as appropriate, and is punishable as provided in 45- 24 7-203 or 45-7-208, as applicable." 25 26 Section 13-27-611, MCA, is amended to read: 27 "13-27-611. Physical prevention of obtaining signatures or physical intimidation of signature 28 A person may not knowingly or purposefully physically prevent an individual from **** 69th Legislature 2025 SB 11.1 - 13 - Authorized Print Version – SB 11 1 obtaining signatures or attempting to obtain signatures on a petition for a statewide or local government ballot 2 issue or physically intimidate another individual when that individual is obtaining or attempting to obtain 3 signatures on a petition for a statewide or local government ballot issue. A person who violates this section is 4 guilty of a misdemeanor and upon on conviction shall be punished by a fine of not more than $500, by 5 imprisonment for not more than 90 days, or by both a fine and imprisonment." 6 7 Section 16-1-205, MCA, is amended to read: 8 "16-1-205. Local option. The electors of a county may, by approving an initiative as provided under 9 7-5-131 through 7-5-135 and 7-5-137 and [sections 1 through 13], prohibit the sale and consumption of liquor or 10 of all alcoholic beverages within the county. If the initiative is presented to the board of county commissioners, 11 the board may not approve it but shall submit the proposal to the people as provided in 7-5-132 [section 4]." 12 13 Section 16-12-301, MCA, is amended to read: 14 "16-12-301. Local government authority to regulate -- opt-in requirement in certain counties -- 15 (1) (a) Except as provided in subsection (1)(b), a marijuana business may 16 not operate in a county in which the majority of voters voted against approval of Initiative Measure No. 190 in 17 the November 3, 2020, general election until: 18 (i) the category or categories of license that the marijuana business seeks has or have been 19 approved by the local jurisdiction where the marijuana business intends to operate as provided in subsection 20 (3) or (4); and 21 (ii) the business is licensed by the department pursuant to this chapter. 22 (b) A former medical marijuana licensee that does not apply for licensure as an adult-use 23 dispensary may operate in its existing premises in compliance with rules adopted by the department pursuant 24 to 16-12-201(2) notwithstanding a local jurisdiction's failure to take action pursuant to subsections (3) through 25 (6). 26 (c) A former medical marijuana licensee that intends to apply for licensure as a cultivator, 27 manufacturer, adult-use dispensary, or testing laboratory may operate in compliance with rules adopted by the 28 department pursuant to 16-12-201(2) notwithstanding a local jurisdiction's failure to take action pursuant to **** 69th Legislature 2025 SB 11.1 - 14 - Authorized Print Version – SB 11 1 subsections (3) through (6), provided that the former marijuana licensee has remained in good standing with 2 the department. 3 (d) For the purpose of this section, the marijuana business categories that must be approved by a 4 local jurisdiction under subsections (3) through (6) in a county in which the majority of voters voted against 5 approval of Initiative Measure No. 190 in the November 3, 2020, general election before a business may 6 operate are: 7 (i) cultivator; 8 (ii) manufacturer; 9 (iii) medical marijuana dispensary, except as provided in subsection (1)(b); 10 (iv) adult-use dispensary; 11 (v) combined-use marijuana licensee; 12 (vi) testing laboratory; and 13 (vii) marijuana transporter facility. 14 (e) Marijuana businesses located in counties in which the majority of voters voted to approve 15 Initiative Measure No. 190 in the November 3, 2020, general election are not subject to the local government 16 approval process under subsections (3) through (6). 17 (2) (a) To protect the public health, safety, or welfare, a local government may by ordinance or 18 otherwise regulate a marijuana business that operates within the local government's jurisdictional area. The 19 regulations may include but are not limited to inspections of licensed premises, including but not limited to 20 indoor cultivation facilities, dispensaries, manufacturing facilities, and testing laboratories in order to ensure 21 compliance with any public health, safety, and welfare requirements established by the department or the local 22 government. 23 (b) A former medical marijuana licensee that does not apply for licensure as an adult-use 24 dispensary is exempt from complying with any local governmental regulations that are adopted under this 25 subsection after July 1, 2021, until its first license renewal date occurring after January 1, 2022, or the 26 expiration of any grace period granted by the locality, whichever is later. 27 (3) An election regarding whether to approve any or all of the marijuana business categories listed 28 in subsection (1)(d) to be located within a local jurisdiction may be requested by filing a petition in accordance **** 69th Legislature 2025 SB 11.1 - 15 - Authorized Print Version – SB 11 1 with 7-5-131 through 7-5-135 and 7-5-137 and [sections 1 through 13] by: 2 (a) the qualified electors of a county; or 3 (b) the qualified electors of a municipality. 4 (4) (a) An election held pursuant to this section must be called, conducted, counted, and 5 canvassed in accordance with Title 13, chapter 1, part 4. 6 (b) An election pursuant to this section may be held in conjunction with a regular election of the 7 governing body, general election, or a regular local or special election. 8 (5) If the qualified electors of a county vote to approve a type of marijuana business to be located 9 in the jurisdiction, the governing body shall enter the approval into the records of the local government and 10 notify the department of the election results. 11 (6) (a) If an election is held pursuant to this section in a county that contains within its limits a 12 municipality of more than 5,000 persons according to the most recent federal decennial census: 13 (i) it is not necessary for the registered qualified electors in the municipality to file a separate 14 petition asking for a separate or different vote on the question of whether to prohibit a category of marijuana 15 business from being located in the municipality; and 16 (ii) the county shall conduct the election in a manner that separates the votes in the municipality 17 from those in the remaining parts of the county. 18 (b) If a majority of the qualified electors in the county, including the qualified electors in the 19 municipality, vote to approve a category of marijuana business to be located in the county, the county may 20 allow that category of marijuana business to operate in the county. 21 (c) (i) If a majority of the qualified electors in the municipality vote to approve a category of 22 marijuana business to be located in the municipality, the municipality may allow that type of marijuana business 23 to operate in the municipality. 24 (ii) If a majority of the qualified electors in the municipality vote to prohibit a category of marijuana 25 business from being located in the municipality, the municipality may not allow that type of marijuana business 26 to operate in the municipality. 27 (d) Nothing contained in this subsection (6) prevents any municipality from having a separate 28 election under the terms of this section. **** 69th Legislature 2025 SB 11.1 - 16 - Authorized Print Version – SB 11 1 (7) (a) A county or municipality that has voted to approve a category of marijuana business to be 2 located in the jurisdiction or a county in which the majority of voters voted to approve Initiative Measure No. 190 3 in the November 3, 2020, general election may vote to prohibit the previously approved or allowed operations 4 within the jurisdiction. 5 (b) A vote overturning the approval of a category of marijuana business or prohibiting the 6 previously permitted operation of marijuana businesses is effective on the 90th day after the local election is 7 held. 8 (8) A local government may not prohibit the transportation of marijuana within or through its 9 jurisdiction on public roads by any person licensed to do so by the department or as otherwise allowed by this 10 chapter." 11 12 Section 16-12-311, MCA, is amended to read: 13 "16-12-311. Local government excise tax-- election required -- procedure -- notice. (1) A county 14 that has permitted an adult-use dispensary or medical marijuana dispensary to operate within its borders 15 pursuant to 16-12-301 or a county in which the majority of voters voted to approve Initiative Measure No. 190 in 16 the November 3, 2020, general election, may not impose or, except as provided in this section, amend or 17 repeal a local-option marijuana excise tax unless the local-option marijuana excise tax question has been 18 approved by a majority of the qualified electors voting on the question. 19 (2) The local-option marijuana excise tax question may be presented to the qualified electors of a 20 county by a petition of the electors as provided in 7-5-131, 7-5-132, 7-5-134, 7-5-135, and 7-5-137 and 21 [sections 1 through 13] or by a resolution of the governing body of the county. 22 (3) The petition or resolution referring the taxing question must state: 23 (a) the rate of the tax, which may not exceed 3% of the retail value of all marijuana and marijuana 24 products sold at an adult-use dispensary or medical marijuana dispensary; 25 (b) the date when the tax becomes effective, which may not be earlier than 90 days after the 26 election; and 27 (c) the purposes that may be funded by the tax revenue. 28 (4) On receipt of an adequate petition, the county's governing body shall hold an election in **** 69th Legislature 2025 SB 11.1 - 17 - Authorized Print Version – SB 11 1 accordance with Title 13, chapter 1, part 5. 2 (5) Notice of the election must be given as provided in 13-1-108 and include the information listed 3 in subsection (3) of this section. 4 (6) The question of the imposition of a local-option marijuana excise tax may not be placed before 5 the qualified electors more than once in any fiscal year." 6 7 NEW SECTION. Repealer. 8 repealed: 9 7-5-132. Procedure for initiative or referendum election. 10 7-5-133. Processing of petition. 11 7-5-134. Signatures -- submission for approval -- statement of purpose and implication. 12 7-5-135. Suit to determine validity and constitutionality of petition and proposed action. 13 14 NEW SECTION. Section 26. Directions to code commissioner. Sections 13-10-612 and 13-27-611 15 are intended to be renumbered and codified as an integral part of Title 13, chapter 35, part 2. 16 17 NEW SECTION. Section 27. Codification instruction. [Sections 1 through 13] are intended to be 18 codified as an integral part of Title 13, and the provisions of Title 13 apply to [sections 1 through 13]. 19 20 NEW SECTION. Section 28. Saving clause. 21 matured, penalties that were incurred, or proceedings that were begun before [the effective date of this act]. 22 23 NEW SECTION. Section 29. Effective date. [This act] is effective on passage and approval. 24 25 NEW SECTION. Section 30. Applicability. [This act] applies to any local government ballot issue 26 submitted to a local government for placement on the ballot on or after [the effective date of this act]. 27 - END -