CLYDE PARK, Mont. — A new golf course at Crazy Mountain Ranch has ignited a fierce dispute over water rights in the Shields Valley, an agricultural region long resistant to the luxury real estate boom transforming neighboring communities.
Local ranchers allege that Crazy Mountain Ranch, acquired in 2021 by Lone Mountain Land Company, a subsidiary of CrossHarbor Capital Partners, has been illegally diverting water from Rock Creek to irrigate its 18-hole golf course. Montana law requires state approval for any change in water use or diversion.
According to locals, despite lacking legal authorization, ranch employees began irrigating the golf course in 2023, prompting formal complaints from neighboring irrigators who fear the diversion threatens both their livelihoods and the local ecosystem.
Some irrigators worry that taking water directly out of the Rock Creek water system will impact those downstream, primarily ranches. Neighbors even filed official complaints with the Department of Natural Resources and Conservation.
NBC Montana reached out to multiple people from the area — they all recommended we speak with rancher Tim Sundling.
“It doesn’t matter whether you’re CrossHarbor, Crazy Mountain Ranch or you’re just the farmers and ranchers out here on the ground in the Shields Valley,” Sundling told NBC Montana. “The rules are the same for everyone.”
Sundling believes some of the blame lies with the DNRC, saying the department didn’t act on the change application.
He also believes the change will be approved and irrigating the golf course will be handled the proper way.
“I believe that Crazy Mountain wants to be a good neighbor, it maybe just didn’t start out that right way,” Sundling said.
The DNRC confirmed it is investigating complaints of illegal water use. The agency can fine violators up to $1,000 per day. DNRC communications director Moira Davin said Crazy Mountain Ranch submitted two applications on May 23, 2025.
NBC Montana visited the Crazy Mountain Ranch, where we were told nobody was available to speak with us.
Peter Scott, a Bozeman attorney representing the Crazy Mountain Ranch, said the ranch is not seeking additional water or diverting from other users, and its water rights date back to the late 1800s.
According to Scott, in March 2023, the ranch filed three water right change applications with the DNRC then withdrew and revised them after meeting with neighbors. Two new applications were submitted in May 2025 to address local concerns, proposing to shift irrigation to a small, previously unproductive area where the golf course is located.
To offset golf course irrigation, Scott said the ranch voluntarily stopped irrigating 292 acres elsewhere and installed monitoring technology.
“(Crazy Mountain Ranch’s) use of water is not a new diversion.,” Scott said in an email to NBC Montana. “(Crazy Mountain Ranch) holds substantial decreed water rights and is using less water than it is legally entitled to divert. Thus, there are no impacts to assess.”
Scott also noted the ranch’s commitment to keeping the property a working ranch, with the golf course occupying less than 1% of the 18,000-acre property and supporting local jobs and the economy.
Scott said there is no increased water demand for the golf course versus agriculture.
Still, some neighbors are worried.
“I still, like, very principally believe that if you’re coming into a small community like Clyde Park, you have to respect your neighbors and respect water rights above all else,” said Keegan Nashan, a concerned citizen.
Nashan also worries about the impacts this ranch will have on the identity of the area.
“Montana has very few ways of parsing out these capital investment funds and treating them as separate entities from individuals who are working this land,” Nashan said.
The attorney for the ranch said the new owners have been clear they want to preserve the property as a working ranch and the golf course will occupy a small unproductive area.
Meantime, the Montana DNRC recently released a 2025 drought report that says 59% of the state is experiencing moderate to extreme drought — putting even more pressure on the subject of water use.
“I want them to follow the rules. I want them to have their permits in line. They told me they’ve got 11 environmental lawyers on this case and if you’ve got 11 environmental lawyers and more money than God and you actually genuinely want to be a good neighbor, then you should do it the right way,” Nashan said.
