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69th Legislature 2025 HB 833
- 1 - Authorized Print Version – HB 833
ENROLLED BILL
AN ACT PROVIDING FUNDING FOR ADDITIONAL CORRECTIONAL CAPACITY; ESTABLISHING THE
FUTURE OF CORRECTIONS FUND; PROVIDING LEGISLATIVE CONSENT TO CONSTRUCT
CORRECTIONAL FACILITIES; AUTHORIZING AGREEMENTS TO SECURE ADDITIONAL CORRECTIONAL
CAPACITY; ESTABLISHING REPORTING REQUIREMENTS; PROVIDING FOR A TRANSFER OF FUNDS;
PROVIDING APPROPRIATIONS; AUTHORIZING AN OPTIONAL LEASE-TO-OWN AGREEMENT; AND
PROVIDING AN IMMEDIATE EFFECTIVE DATE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
Section 1. Future of corrections fund. (1) There is an account in the state special revenue fund
established in 17-2-102 to be known as the future of corrections fund. The department of corrections shall
administer the fund.
(2) Eligible uses of the fund include:
(a) securing an additional correctional facility, which may include build-to-lease or lease-to-own
agreements; and
(b) securing additional correctional capacity through agreements with private correctional facilities
as provided for in 53-30-601.
(3) Use of the funds for the purposes identified in subsection (2) are exempt from the provisions of
2-17-101(5).
(4) The administrative rules adopted by the department of corrections pursuant to 53-30-604 apply
to this section.
Section 2. Appropriation. There is appropriated $4 million from the general fund to the department
of corrections on passage and approval of [this act] through the biennium beginning July 1, 2025, to pay for the
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following eligible uses:
(1) assessment of the current prison system;
(2) transitional costs;
(3) planning, operation, construction, or other contract expenses associated with managing the
prison population;
(4) security related technology; and
(5) studying and planning of the development of a comprehensive correction system.
Section 3. Transfer of funds. No later than June 30, 2027, the state treasurer shall transfer $246
million from the general fund to the capital developments long-range building program account provided for in
17-7-209.
Section 4. Appropriation for capital projects -- appropriation for operations and maintenance.
(1) On [the effective date of this act], there is appropriated $246 million to the department of administration from
the capital developments long-range building program account in the capital projects fund type provided for in
17-7-209 for construction of additional state correctional facilities, for renovation of existing state facilities, and
for an option to purchase a building to renovate for correctional capacity.
(2) Pursuant to 17-7-210, if construction of a new facility requires an immediate or future increase
in state funding for program expansion or operations and maintenance, the legislature may not authorize the
new facility unless it also appropriates funds for the increase in state funding for program expansion and
operations and maintenance. To the extent allowed by law, at the end of each fiscal year following approval of a
new facility but prior to receipt of its certificate of occupancy, the appropriation made in subsection (3) reverts to
its originating fund. The appropriation is not subject to the provisions of 17-7-304.
(3) (a) The amount of $3.5 million is appropriated for the biennium beginning July 1, 2025, from the
general fund to the department of corrections for program expansion or operations and maintenance for the
indicated new setting.
(b) It is the intent of the legislature that the appropriation in this subsection (3) become part of the
base budget for the department of corrections for the biennium beginning July 1, 2027.
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Section 5. Contingent transfer and appropriation. (1) (a) If the budget director concludes that state
construction of additional state correctional facilities, renovation of existing state facilities, or an option to
purchase and renovate is not in the state's best interests, the director shall authorize the state treasurer to
transfer $246 million from the capital developments long-range building program account provided for in 17-7-
209 to the fund provided for in [section 1].
(b) In determining the state's best interests, the budget director shall consider whether the location
has the appropriate workforce required to maintain the programming necessary for inmate rehabilitation and re-
entry.
(2) If the budget director transfers funds from the capital developments long-range building
program account provided for in 17-7-209 to the fund provided for in [section 1], then:
(a) the amount transferred of the appropriation in [section 4] is void; and
(b) the amount transferred is appropriated from the fund provided for in [section 1] to the
department of corrections on [the effective date of the act], for the purposes set forth in [section 1]. This
appropriation is authorized to continue until the construction of a correctional facility is completed as determined
by the budget director and all leases, if any, have terminated. Any unexpended or unobligated funds must
revert to the general fund.
Section 6. Planning and design. The department of administration may proceed with the planning
and design of capital projects using existing contracts in [section 4] prior to the receipt of other funding sources.
The department may use interentity loans in accordance with 17-2-107 to pay planning and design costs
incurred before the receipt of other funding sources.
Section 7. Reporting. (1) A report containing the expenditures and obligations related to securing or
constructing correctional facilities as provided in [sections 1 and 4] must be submitted by the department of
corrections at each quarterly meeting of:
(a) the legislative finance committee established by 5-12-201;
(b) the judicial branch, law enforcement, and justice interim budget committee established by 5-12-
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501; and
(c) the long-range planning interim budget committee established by 5-12-501.
(2) This requirement to report terminates when the construction of correctional facilities is
completed and the department of corrections notifies the committees of its completion.
Section 8. Legislative intent. The appropriation authorized in [section 4] constitutes legislative
consent for the capital projects contained in [section 4] within the meaning of 17-7-201 and 18-2-102.
Section 9. Coordination instruction. If [this act] is passed and approved without a vote of two-thirds
of the members of each house of the legislature, [section 1] must read as follows:
"Section 1. Future of corrections fund. (1) There is an account in the state special revenue fund
established in 17-2-102 to be known as the future of corrections fund. The department of corrections shall
administer the fund.
(2) Eligible uses of the fund include:
(a) securing an additional correctional facility, which may include build-to-lease agreements; and
(b) securing additional correctional facilities through agreements with private correctional facilities
as provided for in 53-30-601.
(3) Use of the funds for the purposes identified in subsection (2) are exempt from the provisions of
2-17-101(5).
(4) The administrative rules adopted by the department of corrections pursuant to 53-30-604 apply
to this section."
Section 10. Two-thirds vote required. Because [section 1] authorizes a lease-to-own agreement,
18-3-101 requires a vote of two-thirds of the members of each house of the legislature for passage.
Section 11. Effective date. [This act] is effective on passage and approval.
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I hereby certify that the within bill,
HB 833, originated in the House.
___________________________________________
Chief Clerk of the House
___________________________________________
Speaker of the House
Signed this _______________________________day
of____________________________________, 2025.
___________________________________________
President of the Senate
Signed this _______________________________day
of____________________________________, 2025.
HOUSE BILL NO. 833
INTRODUCED BY J. FITZPATRICK
AN ACT PROVIDING FUNDING FOR ADDITIONAL CORRECTIONAL CAPACITY; ESTABLISHING THE
FUTURE OF CORRECTIONS FUND; PROVIDING LEGISLATIVE CONSENT TO CONSTRUCT
CORRECTIONAL FACILITIES; AUTHORIZING AGREEMENTS TO SECURE ADDITIONAL CORRECTIONAL
CAPACITY; ESTABLISHING REPORTING REQUIREMENTS; PROVIDING FOR A TRANSFER OF FUNDS;
PROVIDING APPROPRIATIONS; AUTHORIZING AN OPTIONAL LEASE-TO-OWN AGREEMENT; AND
PROVIDING AN IMMEDIATE EFFECTIVE DATE.