Legal Dispute Heats Up Over Montana Governor's Veto Of Marijuana Revenue Bill

Legal hurdle around Montana Gov. Greg Gianforte's veto on a measure that sought to regulate how $50 million in recreational cannabis taxes would have been distributed statewide is heating up. Two lawsuits were filed recently by several entities against Gianforte and Secretary of State Christi Jacobsen related to the dismissal of Senate Bill 442, reported Daily Montanan.

Gianforte's move, which came just a day after the marijuana revenue bill passed the state Legislature in early May, has been criticized by a number of industry advocates and stakeholders, as well as policymakers.

Sen. Mike Lang, R-Malta, the bill's sponsor, said he will fight to override the governor's veto.

The Two Lawsuits

With its lawsuit filed on Wednesday, the Montana Association of Counties is asking Lewis and Clark District County Judge Kathy Seeley for either an order that would allow the legislature to vote on a veto override of Sen. Lang's bill, or declare the measure a part of the state law because the governor's office failed to follow veto procedures.

"The Constitution and implementing statutes do not identify any circumstance under which the Legislature is not empowered to consider, address, and override a veto," the lawsuit said. "In any situation, the governor's veto power is limited by the Legislature's power to override."

The association earlier said that the governor's veto "ignores 132 legislators from both parties who voted for SB 442," as well as "56 county commissions and numerous local governments who support the bill because it supported needed county road maintenance, enabling farmers and ranchers to get their products to market and EMTs to respond to emergencies."

The second lawsuit by Wild Montana and the Montana Wildlife Federation was filed in Lewis and Clark County District Court on Wednesday. Judge Mike Menahan is expected to weigh in on a proposal to return the veto and SB 442 to Jacobsen, who is then expected to poll lawmakers on a potential override. The bill's sponsor earlier said the measure would address both the state's wildlife and Montana residents "from our strongest to our weakest."

Noah Marion, state policy director for Wild Montana, said, "Montanans are disappointed in Gov. Gianforte's veto of SB 442, a wildly popular bipartisan bill that made historic investments in conservation, public access, and rural infrastructure."

He also urged the governor to "play by the rules," adding he "can't obstruct the Legislature's authority with procedural trickery."

Prior Efforts

A bipartisan group of lawmakers led by Sen. Lang recently urged the director of Legal Services and Montana's Code Commissioner, Todd Everts, to reconsider his original interpretation of the marijuana revenue bill veto.

"Your interpretation of the constitution, code, and legislative rule will deprive our co-equal branch of the government of practical and important methods to override a veto that the Constitution protects," the lawmakers wrote to Everts.

They pointed out that there was no evidence the veto was delivered to the Senate prior to the end of the 68th legislative session in Montana and that it needed to be formally read across the rostrum, leaving lawmakers without a chance to override it.

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