Montana Legislature enacts temporary suspension on Fox Hills-Hell Creek aquifer permits

House Bill 935, introduced on March 31, 2025, by a bipartisan group of Montana legislators, aims to address critical water management issues concerning the Fox Hills-Hell Creek aquifer. The bill proposes a temporary suspension or closure of new groundwater appropriations from this aquifer, particularly targeting applications that seek to extract 3,000 gallons per minute or more. This measure is intended to balance the ongoing development needs of Montana's water resources with the protection of existing water rights.

Key provisions of the bill include the authority for the state department to suspend or close permit applications for groundwater extraction in specified administrative boundaries. Additionally, the bill mandates a feasibility study on groundwater availability to be conducted by the Bureau of Mines and Geology, ensuring that future water management decisions are informed by comprehensive data.

The bill has sparked notable discussions among stakeholders, particularly regarding the implications of restricting new water appropriations. Proponents argue that the measure is essential for sustainable water management and protecting existing rights, while opponents express concerns about potential impacts on agricultural and industrial development in the region. The proposed funding of $5,000 from the general fund for the feasibility study has also been a point of contention, with some legislators questioning its adequacy for a thorough assessment.

Economically, the bill could have significant implications for sectors reliant on groundwater, such as agriculture and energy production. As Montana continues to face challenges related to water scarcity and climate change, the outcomes of this bill may set a precedent for future water management policies in the state.

As the legislative process unfolds, experts suggest that the bill's passage could lead to stricter regulations on groundwater use, potentially reshaping the landscape of water rights in Montana. The immediate effective date and the planned termination date for the bill's provisions will also be critical factors to monitor as discussions progress.