Sponsor
The bill funds and enables construction of regional water systems that will substantially improve rural water access and local control, but it shifts significant long‑term operating costs and financial risk onto local authorities, ratepayers, and federal taxpayers while constraining some financing and implementation flexibility.
Rural residents and homeowners in the listed counties gain materially improved access to safe, adequate municipal, rural, and industrial water through new or expanded regional water infrastructure (pumping, treatment, storage, pipelines).
The federal government provides substantial capital support (up to 75% of construction costs and an initial $602 million authorization for FY2027–2037 with inflation adjustments), reducing upfront costs and legal barriers so projects that might otherwise be unaffordable can proceed.
Completed Water Systems vest with the local Authority and must be built as not-for-profit, Secretary‑approved cooperatives, preserving local ownership, governance, and public‑benefit delivery of water services.
Taxpayers and local ratepayers may face higher costs: the federal government bears large construction shares and authorized appropriations can be increased, while local customers may see higher water rates or taxes to cover remaining costs.
Ongoing operation, maintenance, replacement, power charges, and non‑Federal delivery costs remain the responsibility of the local Authority or its customers, creating sustained local fiscal burdens that can raise water rates.
Federal contributions are non‑returnable and non‑reimbursable, and the Secretary can lower the federal percentage in feasibility reviews, which can shift costs to local authorities, complicate financing, and lead to project delays or scaling back.
Based on analysis of 7 sections of legislative text.
Authorizes construction of the Dry-Redwater regional water system, provides up to 75% federal cost-share, and authorizes $602M (FY2027–FY2037) with indexing and cost adjustments.
Representative · R-MT
Official title: To authorize the Dry-Redwater Regional Water Authority System in the State of Montana, and for other purposes.
Introduced May 12, 2026 by Troy Downing · Last progress May 12, 2026
Authorizes construction of the Dry-Redwater Regional Water Authority System to deliver municipal, rural, and industrial water to specified counties in eastern Montana and part of McKenzie County, North Dakota. The bill directs the Interior Department’s Bureau of Reclamation to implement the project under terms of an agreed feasibility study, caps the federal share for planning/design/construction at 75% (unless lowered), requires a cooperative agreement with the local authority, and authorizes $602 million (FY2027–FY2037) with indexing and limited Secretary adjustments for cost changes. It preserves state water law and gives the Authority title to the system while directing Western Area Power Administration to supply needed firm power at firm power rates, with the Authority paying power charges and transmission upgrade costs.