Legislative Notes
Montana Land should belong to Montanans, not foreign entities
courtesy photo
Senator Ken Bogner
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In Montana, the following statement rings true now more than ever: “Whiskey is for drinking, and water is for fighting.” Although the quote is often misattributed to Mark Twain, the adage’s creator was highlighting a perennial issue in governance out west – water rights. In 2025, exempt wells are in the spotlight.
For those unfamiliar, an exempt well allows a person to utilize a groundwater well or developed spring while avoiding the extensive permitting process to claim rights for that well. Historically, exempt wells have been an important tool for agricultural operations and developers.
However, concerns have arisen as the number of exempt wells in the state grows. Recent studies show that some exempt wells are reducing surface water, to the detriment of senior water rights users. The struggle boils down to the question of where we draw the line.
For the past 15 months, the Montana Department of Natural Resources and Conservation (DNRC) administered a working group to develop strategies that could improve the operation and supervision of exempt wells. The group found that, although exempt wells are an effective water supply option for much of the state, their extensive use in high-growth areas could prove problematic. Wells could be regulated without burdening DNRC to review them on a case-by-case basis, the group concluded.
After consulting with members of the working group, I have incorporated many of their recommendations into Senate Bill 358, which separates the state into three categories for regulating water rights: closure areas, monitoring areas, and remaining areas.
In closure areas, exempt wells would be prohibited, with rare exceptions. The closure would immediately apply to the aquifers in the Bitterroot, Gallatin, Helena, and Missoula valleys. Additionally, the bill creates legal and scientific criteria as an objective standard for determining if an area shifts to a point where closures are needed to protect existing water rights.
In monitoring areas, aquifers are somewhat impacted by exempt wells but do not currently meet the closure thresholds under the scientific and legal criteria. The bill classifies the Billings Terrace Aquifer and the Flathead Valley Aquifer as monitoring areas. People could continue to use exempt wells in these areas, but all new water use in these zones would be subject to metering and reporting conditions.
For the remaining area – the vast majority of the state – the bill handles divided and undivided property separately. The model will remain mostly the same for undivided land, but an exempt well cannot be issued for a divided development with more than 24 lots. If a subdivision has more than 24 lots, then it will need to obtain a permit from DNRC or connect to a public system. For subdivisions with fewer than 24 lots, exempt wells are permitted with clear allocations.
SB 358 has the support of developers, agricultural producers, and conservationists alike. We have worked hard to craft a durable framework that recognizes the need for more housing, strong environmental protections, and the ability for farmers and ranchers to thrive.
Montana’s land is more than just acres on a map; it’s our heritage, our livelihood, and our future. Yet, for too long, our tax deed process has left the door wide open for foreign entities to scoop up property at the expense of Montanans. With Senate Bill 306, we’re taking a stand to ensure that our land remains in the hands of those who live, work, and contribute to our country.
Under current law, when property owners fail to pay their taxes, counties auction off tax liens to the highest bidder. That’s a necessary process to ensure local governments can fund essential services. But here’s the problem: foreign entities, including those with ties to adversarial governments, have been able to exploit this system by acquiring Montana land through tax deeds. These absentee owners have no stake in our communities and no commitment to our way of life. That needs to change.
SB 306 strengthens Montana’s tax deed process by prohibiting companies not based in the U.S. or subject to U.S. jurisdiction from purchasing tax liens that could lead to property ownership. This ensures our land remains in the hands of those who respect and uphold Montana values.
This issue isn’t just about protecting property, it’s about protecting our sovereignty. Across the country, we’ve seen alarming instances of foreign actors acquiring American land, particularly near strategic infrastructure and agricultural assets. Montana must not be naïve about the risks posed by such ownership. We should be leading the charge in securing our land for Montanans first.
SB 306 aligns with a broader commitment to safeguarding our state’s economic and national security interests. I believe that Montanans, not foreign investors, should control Montana land. This legislation is a necessary step to ensure our communities, resources, and industries remain in the hands of those who have a direct stake in our state’s success.
But let’s be clear: this is about more than dollars and cents. It’s about ensuring that Montana’s land isn’t turned into an investment tool for foreign governments or offshore entities with no ties to our state. Our local governments will continue to have the resources they need, and we’ll do it without selling our land to foreign interests.
I urge my colleagues in the legislature to stand with Montana taxpayers and property owners by supporting SB 306. Our land should belong to those who cherish it, work it, and call it home—not to foreign investors with their own interests in mind. Let’s put Montanans first. Let’s protect our sovereignty and economy. Let’s keep Montana, Montana.
Senator Ken Bogner, R-Miles City, is the President Pro Tempore of the Montana Senate and a U.S. Marine Corps veteran. R-Martinsdale, is the Chair of the State Senate Natural Resources Committee.
