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House panel advances bill tying limited well use to groundwater studies to preserve housing options

House Judiciary · March 4, 2025
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Summary

After hours of testimony from developers, water-rights groups and conservationists, the House Judiciary Committee voted to advance HB 704, which temporarily limits exempt-well use in targeted areas while commissioning hydrological studies to assess connectivity with surface water and impacts on senior water rights.

Representative Mike Vinton said HB 704 seeks a legislative solution to the court rulings that have complicated development tied to exempt wells and described the bill as pairing temporary limits with a scientific study from the Bureau of Mines and Geology. "This bill allows development to continue in the red areas where they are being studied, but limits to only one half acre-foot per lot," Vinton said.

Proponents, including the Montana Association of Realtors and the Montana Building Industry Association, said the bill balances the need for affordable housing with conservation. Daniel Cox of the Realtors said HB 704 "offers a scientific and balanced approach, that will help provide the water necessary for housing development while safeguarding senior water right holders." Rhonda Wiggers, representing water-well drillers, emphasized using the state's Groundwater Investigation Program to avoid overbroad permanent closures.

Opponents argued the bill sidesteps the state's prior-appropriation doctrine and could harm senior users. John Tubbs of Upper Missouri Waterkeeper said the bill "fails to protect existing water uses, senior water rights, by focusing on expanding the exception to the Water Use Act." Brian Thompson, representing the Senior Water Rights Coalition, warned that groundwater and surface water are often connected and that the measure could reallocate water rights without due process.

Committee members pressed on grandfathering, metering and the legal-versus-physical availability distinction. DNRC's staff attorney noted the Horse Creek Hills decision required closer attention to how phased development and combined appropriations are handled.

In executive action the committee moved HB 704 do pass; the roll call recorded 11 yes and 9 no and the motion passed. The committee record shows substantial public opposition from conservation and agricultural groups and also strong support from housing and development stakeholders. The bill now proceeds to the next stage in the legislative process.