Groups filed a lawsuit against the state and the Department of Natural Resources and Conservation Wednesday in Lewis and Clark County District court. They’re fighting a law that allows small wells to be drilled outside of the typical permitting process, a loophole plaintiffs claim is often abused.
“It’s all about protecting the resource,” said JM Peck, a rancher near Dillon.
Peck is with plaintiff Montana Farm Bureau Federation and said the Exempt Well law allows developers to ignore the permitting process, environmental conditions and existing water users - until it’s too late.
“A positive outcome for me that I see would be that we adopt a framework to manage growth in our communities and how we manage our water,” said Peck.
Plaintiffs including environmental groups, local governments and agricultural producers are asking the court to find the law originally written in the 1970s unconstitutional as a violation of state property, water rights and other protections under the Montana State Constitution.
During the 2025 Montana state legislature, a bill was proposed to restrict the use of exempt wells in some of Montana’s fastest growing areas, but failed.
YPR reached out to the Department of Natural Resources and Conservation and a spokesperson said the agency is reviewing the legal challenge and does not generally comment on active litigation.