SB263 is a bill in the Montana Legislature (2025 Regular Session): Revise state ownership of water rights on state lands.

What is the status of SB263?

Failed as of May 23, 2025. Latest action: (H) Died in Committee (May 23, 2025).

Where is the official record for SB263?

On the Montana Legislature website: https://bills.legmt.gov/#/laws/bill/2/LC0970

Montana legislation · 2025 Regular Session

Montana SB263: Revise state ownership of water rights on state lands

Q: What does SB263 do?

In its own words: A bill for an act entitled: "an act revising state ownership of lessee water rights used on state lands; revising authorized improvement on state lands related to water rights; providing for restrictions on state ownership of water rights; providing a process for the land board to decide whether to authorize legal assertions by the state of ownership of privately owned water rights used temporarily on state lands; providing for department reporting; providing rulemaking authority; amending section 77-6-301, mca; and providing an immediate effective date.".

Status: Failed, May 23, 2025

What the bill says

A bill for an act entitled: "an act revising state ownership of lessee water rights used on state lands; revising authorized improvement on state lands related to water rights; providing for restrictions on state ownership of water rights; providing a process for the land board to decide whether to authorize legal assertions by the state of ownership of privately owned water rights used temporarily on state lands; providing for department reporting; providing rulemaking authority; amending section 77-6-301, mca; and providing an immediate effective date.".

From the engrossed text:

A BILL FOR AN ACT ENTITLED: "AN ACT REVISING STATE OWNERSHIP OF LESSEE WATER RIGHTS USED ON STATE LANDS; REVISING AUTHORIZED IMPROVEMENT ON STATE LANDS RELATED TO WATER RIGHTS; PROVIDING FOR RESTRICTIONS ON STATE OWNERSHIP OF WATER RIGHTS; PROVIDING A PROCESS FOR THE LAND BOARD TO DECIDE WHETHER TO AUTHORIZE LEGAL ASSERTIONS BY THE STATE OF OWNERSHIP OF PRIVATELY OWNED WATER RIGHTS USED TEMPORARILY ON STATE LANDS; PROVIDING FOR DEPARTMENT REPORTING; PROVIDING RULEMAKING AUTHORITY; AMENDING SECTION 77-6-301, MCA; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE." BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA: Section 1. Section 77-6-301, MCA, is amended to read: "77-6-301. Improvements authorized. (1) A lessee of state lands may place upon on the lands a reasonable amount of improvements directly related to conservation of the land or necessary for proper utilization of it. These improvements may consist of fences, cultivation, improvement of the land itself, irrigation ditches, sheds, wells, reservoirs, water rights, and similar improvements. (2) A water right owner with a state land lease may put water from a well, STREAM, or developed spring, OR GROUND WATER DEVELOPMENT with a ground water development works located on private land to beneficial use on state trust land for the duration of a state land lease. The lessee may remove associated stock tanks and other stock water …

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Montana SB263: Revise state ownership of water rights on state lands

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