The bill directs substantial federal support and authorization to build a regional water system that will materially improve water access and reliability for named rural communities while shifting significant capital and long‑term operational costs, planning uncertainty, and some implementation risks onto local governments, ratepayers, and taxpayers.
Rural communities and nearby homeowners gain improved, reliable access to safe municipal, rural, and industrial water supplies through new regional water infrastructure (drinking, treatment, storage, transmission).
Projects receive substantial federal financial support (authorized $602 million FY2027–FY2037 and explicit cost-share assistance, up to 75% of project costs), lowering local capital burdens for planning, design, and construction.
The Dry-Redwater Water System will receive annual federal power allocations at firm power rates and clarified billing responsibilities, giving operators predictable electricity supply and cost treatment for system operations.
Local communities, authorities, and ratepayers (homeowners, rural customers) may face significant ongoing operation, maintenance, transmission, distribution, and upgrade costs because federal funds exclude O&M and non‑Federal delivery/upgrades.
Small or low‑income communities will need to provide at least a 25% local match (cap at 75% federal share), which could strain budgets, delay projects, or shift costs to local taxpayers and ratepayers.
Consumers could see higher water bills if the Authority passes through firm power rates, non‑Federal delivery charges, or local cost‑shares to customers.
Based on analysis of 7 sections of legislative text.
Authorizes federal planning, design, construction, and power support for a regional water system serving specified counties, and authorizes $602M (FY2027–FY2037) with cost adjustments.
Official title: Authorize the Dry-Redwater Regional Water Authority System in the State of Montana, and for other purposes.
Introduced May 12, 2026 by Steve Daines · Last progress May 12, 2026
Authorizes federal construction, planning, and power support for the Dry-Redwater Regional Water Authority System to deliver municipal, rural, and industrial water to specified counties in eastern Montana and a portion of McKenzie County, North Dakota. The bill directs the Bureau of Reclamation to carry out the project per a 2025 feasibility study, limits federal cost-share (generally up to 75%), requires a cooperative agreement with the local Authority, requires Western Area Power Administration to supply firm power at firm rates, and authorizes up to $602 million in appropriations for FY2027–FY2037 with index and market adjustments.