BLM-MT, Zortman/Landusky Water Treatment and Reclamation, State Office | L17AS00003

Opportunity Information: Apply for L17AS00003

The grant opportunity titled "BLM-MT, Zortman/Landusky Water Treatment and Reclamation, State Office" (Funding Opportunity Number L17AS00003) is a Bureau of Land Management (BLM) discretionary funding opportunity focused on continuing water treatment and related reclamation support at the abandoned Zortman and Landusky mine sites in Montana. It is structured as a cooperative agreement, meaning the BLM expects to have substantial involvement in the project alongside the recipient rather than simply issuing a hands-off grant. The funding activity is categorized under the environment (CFDA 15.236). The opportunity was open to unrestricted applicants, with an original closing date of January 17, 2017. The maximum award amount listed is $400,000, and the BLM anticipated making one award.

The underlying problem this program is meant to address stems from the legacy impacts of hardrock mining at Zortman and Landusky. The mines were originally permitted in the early 1980s, and responsibility for reclamation and ongoing water treatment shifted to public agencies after the operator, Pegasus Gold Corporation, entered bankruptcy in 1999. Since that time, the Montana Department of Environmental Quality (DEQ) has jointly overseen reclamation in cooperation with the BLM. Early work and ongoing operations were funded through a mix of reclamation and water treatment bonds posted by the mining company, supplemented by public funds. Over time, however, the financial assurances proved insufficient for the long-term realities of the site. The reclamation bonds have been exhausted, and the water treatment bond was described as covering less than half of annual operating costs and being set to expire in 2017. Adding to the urgency, unexpected water quality problems emerged after the bankruptcy at certain mine facilities, creating long-term management needs that were not predicted and therefore not adequately funded by the original bonds. Extreme precipitation events further worsened conditions by damaging seepage interception infrastructure and pushing contaminated water storage facilities toward capacity, which increases both environmental risk and operational costs.

The core objective of the project is to keep contaminated water treatment functioning at the abandoned mine sites so that polluted seepage and runoff do not degrade nearby streams and aquifers. The program emphasizes removal of heavy metals and other contaminants, framing this as essential to protecting public water resources and the water resources of nearby Native American tribes. The specific objectives include, first, intercepting and retaining all contaminated seepage and runoff that would otherwise pollute local surface waters and connected groundwater. Second, the project calls for treating and discharging intercepted water with the goal of meeting all Montana water quality standards, as well as additional requirements referenced in Appendix 4 of the BLM's September 2006 Engineering Evaluation/Cost Analysis (EE/CA) for water management at the Zortman and Landusky mines. Third, the effort aims to reduce the amount of contaminated water generated. Fourth, it seeks to reduce the overall volume of water that must be treated each year, which can lower operating costs and reduce the chance of system overload during major storm events.

The public benefit is described in straightforward, practical terms: people living near the Zortman/Landusky area, along with adjacent Native American tribes, rely on surrounding land and water for basic supply needs, agriculture, and recreation. Continued operation and improvement of interception, storage, and treatment systems is expected to improve water quality and prevent further contamination, which in turn supports public health protections and broader environmental safeguards. In short, the opportunity is designed to keep a long-term, bond-insufficient mine water problem from becoming a larger regional water quality and community health issue by funding the continued capture, treatment, and compliant discharge of contaminated mine-impacted waters while also pushing for reductions in the volume of water requiring treatment over time.

• The Bureau of Land Management in the environment sector is offering a public funding opportunity titled "BLM-MT, Zortman/Landusky Water Treatment and Reclamation, State Office" and is now available to receive applicants.
• Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 15.236.
• This funding opportunity was created on 2016-11-18.
• Applicants must submit their applications by 2017-01-17. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
• Each selected applicant is eligible to receive up to $400,000.00 in funding.
• The number of recipients for this funding is limited to 1 candidate(s).
• Eligible applicants include: Unrestricted.

Apply for L17AS00003

[Watch] Creating a grant proposal using the step-by-step wizard inside the applicant portal: