Montana Water Rights – A Precious Commodity for Ranching
The presence and status of Montana water rights not only influence the feasibility and intrinsic worth of a land parcel but also serve as a critical gauge of its resilience in the face of droughts and adverse weather conditions. Montana, being one of the states most susceptible to drought, heavily relies on its water resources to sustain its cattle ranching and agricultural sectors.
In this article, we take a closer look into the intricacies of water rights in Montana, shedding light on how they shape the viability of land and impact its resilience against droughts and adverse weather conditions.
The Foundation of Montana Water Rights
Before we explore the details, it's crucial to grasp the fundamental principles behind Montana's water rights system. The key principle is that all of Montana's waters, encompassing both groundwater and surface water, are owned by the state. This means that individuals or entities are not water owners but rather water rights holders. They have the privilege to utilize the water, governed by state regulations.
The focal point of these regulations is the Montana Water Use Act of 1973, which instituted an adjudication process to formalize water rights that predate July 1, 1973. This process is overseen by the Montana Water Court, and the Reserved Water Rights Compact Commission negotiates arrangements with federal agencies and tribal councils regarding water usage on reservations. All claims made after 1973 mandate the submission of a permit application through the Water Rights Bureau. Additionally, specific provisions reserve water for consumptive use and instream flows. Users must secure permits before constructing surface water infrastructure and for groundwater use exceeding 35 gallons per minute or a total of 10 acre-feet per year.
Validating the Legitimacy of Water Rights in Montana
Montana's water rights adhere to the principle of prior appropriation, commonly expressed as "first in time, first in right." The priority date establishes the order of access to water resources. While a second user can claim water not used by the first rights holder, the original user maintains priority, even in conditions of drought or abnormally dry years. Merely knowing that a piece of land has an associated water right is insufficient. One must consider the circumstances, including the priority date of the water right and the reliability of the water source. To verify the legitimacy of a water right, you can search by Basin Code and WRN number, owner, or Geocode. Each record provides crucial information such as priority date, source, point of diversion, place of use, purpose of use, period of use, and quantity.
Finding and Acquiring Montana Water Rights
Water rights are inherently tied to the land. When a property changes hands, the seller has the option to transfer or retain water rights. It's also possible to lease water rights temporarily under the 2013 regulation. Therefore, if a property evaluation reveals a risk of water scarcity, it doesn't necessarily render the land unsuitable for farming. Additional water rights within the basin can be found and purchased. For investors, factoring water risk into land transactions enhances the soundness of their investments. This approach enables agriculturalists to make informed decisions about crop selection, irrigation methods, and the timing of water rights purchase or sale.
Understanding the Essentials of Montana's Water Rights System
Transparent and comprehensive data is the key to navigating the intricate landscape of water rights. In the world of Montana ranching, water rights are more than just a legal framework; they are the lifeblood that sustains a thriving agricultural community. Understanding Montana's water rights system is essential for those seeking to invest in this challenging landscape.
Tanner Anderson, with his deep understanding of ranching and water rights, plays a pivotal role in the success of land deals. His ability to evaluate property values, highlight their strengths, and align them with buyer interests is a testament to his expertise in the field.