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HELENA, Mont. (AP) — The Montana State Fund board of directors has voted to withdraw its lawsuit challenging a management fee passed during the special legislative session to help pay for the state’s record fire season.

The board voted 5-2 Wednesday to drop the complaint. The temporary 3 percent management fee on state fund assets above $1 billion is expected to raise nearly $30 million over the next two years.

Board members voted 6-0 earlier this month to lobby against the proposed bill and to take legal action if it passed.

Gov. Steve Bullock appointed two new board members and re-appointed two others the day after the special session ended. All four voted Wednesday to withdraw the lawsuit. One of those had not voted earlier this month.

Supporters of continuing the lawsuit argued the board has a financial duty to policyholders.


This version corrects that earlier board vote was 6-0 in favor of lobbying against the bill