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New law lets Montanans lease water rights short-term, aiming to ease shortages

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BILLINGS — In Montana, water is as valuable as gold, and a new law aims to make sharing it easier.

The law took effect in October and allows short-term leasing of water, letting water holders temporarily share their supply without permanently giving up their rights.

Watch supporters discuss the new law:

New law lets Montanans lease water rights short-term, aiming to ease shortages

The sponsor of the bill, Sen. Sue Vinton, R-Billings, calls it a good neighbor bill that encourages cooperation among water users.

"It allows people who hold a water right to help out their neighbor should the situation arise where they need water," Vinton said. "It’s top of mind for everyone in our state."

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Billings lawmaker and sponsor of the bill, Sue Vinton

The measure is an update to a previous 2013 leasing program originally created to support the Bakken oil fields, which expired in 2019.

Vinton said the new law received widespread support from agricultural producers, conservationists and industry groups.

Clayton Elliot with Montana Trout Unlimited said the timing could not be better.

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Clayton Elliot with Montana Trout Unlimited

"It seems that every year is at a historic low," Elliot said. "We are having tremendous challenges around water flow and fish populations. We saw this as a tool that would both help water and agriculture and put water in streams during those critical periods."

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The new law allows temporary leases of up to 40 days a year —for five years within a 10-year span.

The law allows temporary leases for up to 40 days per year for as many as five years within a 10-year span.

That flexibility could benefit a range of users, from irrigators to industrial projects.

One potential beneficiary is Crazy Mountain Ranch near Clyde Park, which has been purchasing municipal water to keep its golf course irrigated.

In a statement to MTN News, David Hardwick, general manager at Crazy Mountain Ranch, said:

"CMR will not lease water this year under the new Montana water-leasing law. We are evaluating how the water-leasing law may assist us temporarily in future years, but remain focused on getting approval for our pending change-in-place-of-use applications before the DNRC."

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The Crazy Mountain Ranch, near Clyde Park

For ranchers, conservationists and lawmakers alike, the effort marks a rare moment of consensus over one of Montana’s most contentious resources.

"This bill checked all the boxes," Elliot said.

Supporters hope the law helps keep taps running, crops growing and streams flowing, ensuring Montana’s most vital resource is shared for generations to come.

Related:
'Instantly upset:' Big Timber residents rage at city's water sale to Crazy Mountain Ranch
Rebuffed by Big Timber, Crazy Mountain Ranch sourcing water from Boulder- 117 miles away
Big Timber City Council votes to halt water sales to Crazy Mountain Ranch