Governor Gianforte, DNRC Approve $26 Million for St. Mary Canal Repair

Governor Gianforte, DNRC Approve $26 Million for St. Mary Canal Repair

• November 08 2024

HELENA, Mont. - Governor Greg Gianforte today announced the Montana Department of Natural Resources and Conservation (DNRC) recently entered into a $26 million loan agreement with the Milk River Joint Board of Control (MRJBOC) to support needed repairs on the St. Mary Canal.

"The State of Montana will continue to come alongside local and federal officials to ensure resources are available to make needed repairs to the damaged St. Mary and Halls Coulee siphons," Gov. Gianforte said. "The effect of the failure has been widespread, especially on water users and irrigators. With additional funding, we're supporting a complete and lasting repair on this critical infrastructure."

On June 17, a catastrophic failure of the St. Mary siphons led to concerns about potential impacts to drinking water for 14,000 Montanans and irrigation for over 18,000 water users. The lack of water provided by the St. Mary Canal has significantly impacted over 121,000 acres of irrigable land.

In late June, the governor sent a letter to Bureau of Reclamation Commissioner Camille Touton and Secretary of the Interior Deb Haaland requesting the federal government act under existing federal law to authorize federal funds to replace the siphons.

In July, Gov. Gianforte announced his request for federal assistance to respond to the St. Mary siphons failure was granted by Commissioner Touton. Federal law allows the Department of the Interior and Bureau of Reclamation to authorize federal funds to repair the siphons and was previously exercised by the federal agencies in response to the Drop 5 failure in 2020. The State of Montana funds combined with the federal funds will provide the amount needed to repair the damaged structures.

Earlier this week, DNRC Director Amanda Kaster finalized the loan agreement with the MRJBOC. The DNRC loan, funded through House Bill 6, provides funding for the repairs and only requires repayment of the interest. Interest repayments will be deposited into an operating and maintenance account designated for future repairs.

"When faced with infrastructure challenges, our team at DNRC sprang into action, working tirelessly to secure funding and restore water services to our fellow Montanans," Director Kaster said. "The collaborative efforts over the past few months have resulted in not only a plan to fix the immediate damage, but also establishing a funding mechanism for ongoing maintenance of the St. Mary's canal. This process is a testament to the power of partnerships and working together to build a more resilient future."

To read the full loan agreement, see here. To read updates from the MRJBOC, see here.

###