Wye Water System

UPDATED APRIL 22, 2026

WYE WATER SYSTEM PURCHASE

Overview

Missoula County is taking the final steps to finalize purchase of the Wye Water System. The final steps include action on April 23 to hold a hearing on extending the termination date of the Wye Targeted Economic Development District (TEDD) beyond the 15th year, and on April 30 to sign an Asset Purchase Agreement and pass a bond resolution to pay for the system. The outcome of these actions will allow the county to purchase the Wye Water System. Closing with the title company is anticpated in mid-May.

April 23

On February 6, 2025, the Missoula County commissioners approved spending $5.3 million in Tax Increment Financing from the Wye I Target Economic Development District (TEDD) for the construction of a water system at the Wye. Per this approval, Missoula County now intends to issue tax increment bonds to pay for the purchase of the Wye Water System. Issuing tax increment bonds would extend the termination date of the Wye Targeted Economic Development District (TEDD) beyond the 15th year. In accordance with state statute, the Board of County Commissioners will hold a public hearing on Thursday, April 23, 2026, at 2:00 p.m. in the Sophie Moiese Roose at the Missoula County Courthouse Annex, 200 W. Broadway, to determine whether fulfillment of the Comprehensive Development Plan of the Wye TEDD requires pledging tax increment to the payment of bonds. In accordance with statute, notification was mailed to the affected taxing jurisdictions on April 2, 2026, and published in the Missoulian on April 7 and April 14, 2026.

April 30

On April 30, the Board of County Commissioners will hold a public meeting on Thursday, April 30, 2026, at 2:00 p.m. in the Sophie Moiese Roose at the Missoula County Courthouse Annex, 200 W. Broadway on the final two items to complete the purchase of the Wye Water System. The first is an Asset Purchase Agreement, which outlines the terms and conditions of the purchase, as well as all assets included in the purchase and the purchase price of the system. Per the Purchase Agreement, the developer of the system, Grass Valley Industrial, LLC, has provided all the required documentation, including necessary permits and approvals, paid invoices totaling the purchase price, assigned contracts, and real and personal property to be included in the purchase of the system. The second item, is a bond resolution which is needed to pay for the purchase. The final price of the water system totals $5,225,953.82 with an estimated $33,267.40 in outstanding invoices to be paid after closing.

WYE WATER SYSTEM OVERVIEW:

On February 6, 2025 Missoula County commissioners approved the use of $5.3 million in Tax Increment Financing to reimburse Grass Valley Industrial for the construction of a water system south of Interstate 90 at the Wye. In this public-private partnership, Grass Valley Industrial is financing and construct the system in 2025, after which ownership and operation will transfer to the County in 2026. Once under county ownership, Missoula County Public Works manage the system and costs for operation and maintenance will be assessed to the users of the system through a special district.

The system will initially serve two properties: Grass Valley Industrial Subdivision, an 18-lot industrial development, and Montana Knife Company, which plans to build a 60,000-square-foot manufacturing facility. The core system in Wye I Targeted Economic Development District (TEDD) will be TIF-funded, while extensions to Montana Knife Company in the Wye II TEDD will be privately financed. Property owners nearby the initial system will be able to connect to the system but will not be required to.

The system includes a well, a 500,000-gallon storage tank, booster pumps and distribution mains. It meets fire suppression requirements and supports future development in the area. The design allows for future expansion to connect additional properties and create a regional water network.

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