House revives fees on electric cars, minus hybrid tax

HELENA — A proposal to assess fees on Montanans who drive electric cars, along with liquefied natural gas dealers, passed an initial House vote Wednesday after it was revived last week.

A previous version of House Bill 205, sponsored by Rep. Alan Redfield, R-Livingston, would have also required the more than 6,000 hybrid owners in the state to pay an annual $30 fee, but that language has since been removed from the bill.

A House panel deadlocked on the measure in March, but reconsidered and narrowly passed it earlier this month.

Electric vehicle owners would pay $95 each year into the state highway fund, amounting to an estimated $43,000 per year by 2021. Redfield has argued that the fees would help the state recoup some of the gas-tax revenues that have been lost as vehicle fuel efficiency increases.

According to Montana Department of Justice records, 6,125 hybrids and 400 electric vehicles were registered in Montana as of July 2016.

The measure increased taxes on liquefied and compressed natural gas to generate an estimated $60,000 to $70,000 per year for the highway fund.

Since it was introduced, the bill was amended several times to reduce the proposed annual vehicle fees. An earlier version — proposing $90 for hybrids and $180 for electric vehicles — passed the House in February.

The bill will head to the governor’s desk if it passes a final vote by the House Thursday.

Reporter Sam Wilson can be reached at 758-4407 or by email at swilson@dailyinterlake.com.