Over $80 million will be needed for major projects, plus millions in upgrades
By Jen Clancey STAFF WRITER
Three sewer districts in Big Sky outlined collective needs totaling over $80 million at a Big Sky Resort Area District meeting July 8. Johnny O’Connor, executive director of the Big Sky County Water and Sewer District, explained that each project is connected.
“These are not separate infrastructure projects,” O’Connor said. “They are one connected system protecting drinking water, ground water, the Gallatin River, public health, affordable housing and Big Sky’s future.”
Residents may recognize the major projects that address Gallatin Canyon sewer needs, Firelight Meadows’ failing septic systems and BSCWSD’s Water Resource Recovery Facility capacity. The report identified the funding needed to meet water and sewer demand in Big Sky, and marked BSCWSD’s involvement in bringing all the pieces of the water puzzle together.
The report shared engineering estimates that put the canyon sewer project at $51 million, the Firelight Meadows’ connection to a central sewer line at $3.5 million or more, and Big Sky’s second phase of its water facility at $26 million. Other improvements down the line include upgrades to well capacity and Sweetgrass Hill tanks. Pumping—the ability to move water to meet demand—is expected to reach its capacity in Meadow Village by 2029, and in Mountain Village by 2029, O’Connor explained.
“So that means upgrades need to happen,” O’Connor said.
Mace Mangold, VP of infrastructure at the WGM Group, spoke on behalf of the canyon sewer team about a memorandum of understanding between the districts.
“Ultimately we do have a joint MOU circulating with this vision commitment to one connected system … and the board is fully on board from a canyon district standpoint,” Mangold said. He expressed hope that projects are tackled with the understanding that each improvement impacts the other.
“That’s the final attack—is to tackle this as one big project essentially,” Mangold said.
Finding funding sources is also putting pressure on project deadlines. BSRAD executive director Daniel Bierschwale thanked the districts for its communication, and explained that other funds like a targeted economic development district and tax increment financing should be explored.
“Its going to require more additional funding mechanisms that we haven’t been able to utilize to date, TEDD/TIF being one of those,” Bierschwale said. “And I would expect that the board would be seeing an application jointly from all three parties in this upcoming grant cycle for moving this project forward.”
The canyon sewer project needs to have a solid finance plan before July 2027 for it to move forward, and the county did not approve a TEDD/TIF option in October 2025.
“This is our final push and we’re going to need a tsunami of support from this community to actually make this thing happen,” Bierschwale said.
In the discussion, BSRAD Board Chair Kevin Germain reminded the board and the districts to continue factoring in housing SFEs, the units set aside for homeowners, as the water and sewer district projects expand, to which Big Sky Community Housing Trust Executive Director David O’Connor agreed. O’Connor described the preserving of water for residents as “a way to slow things down and carve out a spot for the people that make Big Sky operate.”
A $600,000 sum will help estimate costs, coordinate with entities
Despite daunting price tags and planning ahead, there is a bright side for canyon sewer: BSRAD approved the district’s $600,000 draw from a $12 million fund to better understand costs. The $12 million is made up of 1% resort tax collections that voters approved for canyon sewer use in 2020. The draw, representing 5% of the pool’s total, will help the district understand costs when, if funding is successful, the project starts in 2028, BSCWSD Board Member Al Malinowski said.
“The $12 million cost that was voted on in 2020 has gone up since then,” Malinowski said. “What we want to do is identify what the number is in 2028.”
He said cost estimator services, permitting and pre-construction will focus on Montana Highway 64 and what work the district needs to do with Montana Department of Transportation and other government entities like U.S. Forest Service.
Malinowski noted that the sewer project will keep natural resources clean and healthy, and pointed toward the success of the first phase of the Big Sky’s sewer facility.
“It’s almost unbelievable the treatment level we’re accomplishing right now, and that’s something we should be proud of,” Malinowski said. “But … it doesn’t come without cost, and that cost at times is very expensive.”
In two months on September 14, the BSCWSD will hold a “state of the district” meeting to educate the public about projects, finances and address any questions.
