Irrigation Development Grant 2025 Biennium

Please read the Program Grant Application Guidelines thoroughly before applying. 

Grant Applications Due by January 12, 2025  by 5 p.m. 

PROGRAM OVERVIEW

The Department of Natural Resources and Conservation (DNRC) Irrigation Development Grant (IDG) Program supports irrigation projects that increase or sustain irrigated agriculture in Montana. Projects must address a need that will result in a benefit to irrigated agriculture.

 Irrigation is the dominant commercial use of Montana’s water and is a key component of Montana’s economy, accounting for 96% of surface and groundwater withdrawals. The IDG Program was created to increase the value of irrigated crops while preserving natural resources and the environment for future generations. 

ELIGIBLE APPLICANTS

The following are considered eligible applicant types in this grant program:

• Individuals/Private Persons
• Associations
• Partnerships
• Corporations

ELIGIBLE PROJECTS

Eligible projects are those that:

• Measurably conserve, manage, develop, or preserve resources. 
• Provide public benefits. (MCA 85-1-609 (1)(g))) 
• Address development or sustainment of Montana's irrigated agriculture. 
• Initiate or increase the applicant’s water conservation or measurement efforts. 
• Are constructed, developed, and operated within the State of Montana.

Example ELIGIBLE project types in this program:

• Advancement of farming practices that reduce agricultural chemical use
• Land leveling 
• Planning 
• New development
• Repair and upgrades 
• Measurement 

INELIGIBLE PROJECTS

The following project types are ineligible in this program:

• Irrigation projects for lawns or domestic use.
• Irrigation for alfalfa or hay for personal use (MCA 90-9-102, 90-9-401).
• Projects resulting in adverse effects to renewable resources. 

ELIGIBLE EXPENSES

DNRC generally cannot reimburse expenses incurred prior to the DNRC grant award letter date.

DNRC may consider reimbursing project expenses the applicant has incurred prior to the award letter date on a case-by-case basis; however, DNRC cannot reimburse any costs incurred before July 1, 2023.

Example expenses ELIGIBLE for reimbursement in this program:

• Contracted technical or engineering services.
• Contracted construction services.
• Purchase of equipment or materials.

Eligible expenses must be approved by DNRC, tie directly to a DNRC-approved project scope, and be incurred within the grant period of performance.

INELIGIBLE EXPENSES

The following expense types are considered INELIGIBLE for reimbursement in this grant program.

• Grant administration costs
• Program costs and/or indirect costs
• Purchase of resalable or moveable equipment (e.g., pivots or pumps) 
• Political lobbying or litigation
• Land or property acquisition
• Food or beverages
• Activities that limit lawful access to property (MCA 85-1-602 (4))

GRANT FUNDING LIMIT

Irrigation Development Grants may reimburse 50% of the total project costs up to $50,000.

MATCH REQUIREMENT

A 50% cost share is required for non-government entities, MCA 85-1-614 (b). Matching contributions may be in the form of in-kind services or cash from local, state or federal sources. However, all contributions must be targeted for expenditure on the project specifically identified in the application. Matching funds must be substantiated by accounting records and costs that would normally be considered eligible as meeting program requirements. See APPENDIX A – TERMS for more information regarding Match Requirements. 

Eligible in-kind contributions are those project-specific contributions associated directly with project implementation. If your budget includes in-kind labor, always reference the source for your labor value estimate. It may be helpful to use the U.S. Bureau of Labor Statistics website to estimate labor values for Montana: https://www.bls.gov/oes/current/oes_mt.htm. 

PROJECT ELIGIBILITY AND RANKING 

DNRC considers the following criteria for project eligibility and ranking: 

• The extent and desirability of public benefits: a) Irrigated acreage impacted by the project and b) Economic impacts of the project. 
• A water-related project that will be used as part of a family farm must be given preference. A family farm is one devoted primarily to agriculture under the ownership and operation of a resident Montana family. 
• A water-related project that will utilize or develop water reserved under 85-2-316 must be given preference. 
• Geographic balance in the promotion of renewable resource grant projects. 
• The extent to which the project will effectively utilize water resources and promote the conservation and efficient use of the water resource. 
• Projects that could not be accomplished without the assistance of a loan or grant must be given preference. 
• Financial feasibility. Committed cash match will receive a higher preference than uncommitted match or in-kind match. 
• Technical feasibility, the thoroughness and feasibility of the project’s implementation plan and schedule. 
• If a project is determined to have adverse environmental impacts that cannot be mitigated and does not preserve the state's renewable resources per 85-1-601, MCA, it is ineligible for a grant.

NOTIFICATION OF AWARD

DNRC will issue an award letter to successful applicants. The applicant will be responsible for providing documentation to DNRC to meet start-up conditions, including a procurement plan, within the timeframe identified in the award letter. Failure to meet start-up conditions within a 12-month period will result in a rescinded award.

DNRC generally cannot reimburse expenses incurred prior to the DNRC grant award letter date.

PROGRAM CONTACT

Ann L. Kulczyk

• Phone: 406-228-4129
• Email: akulczyk@mt.gov