1. (1) If, after final decree in the respective administrative basin, the department determines that an appropriation was completed in substantial accordance with a permit, including any reduction or modification of the permit pursuant to 85-2-313, MCA, or change authorization, it shall issue a certificate of water right.
2. (2) If the department determines that an appropriation was not completed in substantial accordance with a permit, including any reduction or modification of the permit pursuant to 85-2-313, MCA, or change authorization, the department shall send the completed verification abstract to the appropriator. The verification abstract shall include a statement of the department’s proposed action.

3. (3) Within 60 days of issuance of the verification abstract, the appropriator may:

   1. (a) provide the department with a written plan to comply in substantial accordance with the authorization; or
   2. (b) file a written request for a show cause hearing in accordance with 85-2-314, MCA, to show why the authorization should not be revoked or modified.

4. (4) If the department does not receive notice of the appropriator’s decision in (3) within 60 days of issuance of the verification abstract, the department will proceed with the proposed action in (2).

   1. (a) If the proposed action is to modify the permit or change, the department will complete the modification and issue a certificate of water right.
   2. (b) If the proposed action is to revoke the permit or change, the department will complete the action, and no certificate of water right will be issued.

5. (5) If the appropriator submits a plan pursuant to (3)(a), the department shall issue a written decision approving or denying the plan within 30 days.

   1. (a) Written approval of a plan may suspend action on verification of the permit or change authorization for up to two years and must include a deadline for the appropriator to submit written certification that the plan achieved compliance with the authorization within the time provided for by the department, along with any other requirements deemed necessary by the department.
   2. (b) If the department denies the plan or determines that the certification pursuant to (5)(a) does not establish the appropriation was completed in substantial accordance with the authorization, the appropriator may request a show cause hearing in accordance with 85-2-314, MCA, to show why the authorization should not be revoked or modified within 30 days of the department’s denial or determination.

6. (6) If the appropriator does not request a show cause hearing pursuant to (3)(b) or (5)(b), the department will proceed with its recommendation to revoke or modify the authorization.

   1. (a) If the proposed action is to modify the permit or change, the department will complete the modification and issue a certificate of water right.
   2. (b) If the proposed action is to revoke the permit or change, the department will complete the action, and no certificate of water right will be issued.
7. (7) If an owner of record finds an error in the department verification of a permit or change authorization, they may provide written notice of the error and what correction is needed on a form provided by the department. The department may evaluate the notice and correct the error.

Authorizing statute(s): 85-2-113, 85-2-402, MCA

Implementing statute(s): 85-2-313, 85-2-314, 85-2-315, 85-2-402, MCA

History: NEW, 2025 MAR, Notice No. 2025-157, Eff. 10/1/25.