We manage 4.7 million acres of State Trust Lands for agriculture and grazing leases. These lands play a vital role in supporting the state’s agricultural economy while simultaneously generating revenue for the trusts. This sustainable approach ensures long-term benefits for both Montana’s farmers and ranchers and our educational system.
2025 Montana State Land Grazing Rate
Each year, we set the minimum grazing rate for state trust lands using a formula established by state law (§77-6-507(2), MCA). This formula is based on the average price per pound of beef cattle in Montana from the previous year, as reported by the Montana Agricultural Statistics Service (USDA NASS), and a multiplier set by the Board of Land Commissioners.
For 2025, the average market price of beef cattle used in the calculation is $2.1948 per pound. The current multiplier, set by the Land Board in 2011, is 10.48. Using these figures, the 2025 grazing rate is calculated as follows:
$2.1948 per lb×10.48 = $23.00 per Animal Unit Month (AUM)
This rate applies to all state trust grazing leases for the 2025 grazing season
4.2 Million Acres
of classified grazing and forest lands
Agricultural and Grazing Lands
Surface Leasing
The Surface Leasing Program oversees agricultural and grazing lease agreements on Montana’s state trust lands. Leases are typically offered for terms of 5 or 10 years, with about 1,000 leases coming up for renewal annually. In addition to renewals, the program manages a variety of related activities, including:
- Processing rental payments
- Approving assignments. pasturing, custom farming, and sublease agreements
- Managing competitive bid applications for vacant tracts
Land Management
The Land Management Program is dedicated to the responsible stewardship of agricultural and grazing resources on state trust lands. Key responsibilities include:
- Evaluating and assessing rangeland and cropland conditions
- Administering archaeological, paleontological, and historical sites located on trust lands
- Addressing noncompliance issues related to land use
- Coordinating participation in federal Farm Programs
- Overseeing the development and management of water resources and water rights
These programs work together to ensure that Montana’s state trust lands are managed sustainably for the benefit of current and future generations, while generating revenue to support public schools and other trust beneficiaries.
Quick Facts
- We manage approximately 8,000 grazing agreements covering 4.2 million acres of state trust land across Montana.
- The grazing program supports nearly 1 million animal unit months (AUMs) annually.
- Revenue generated from these leases supports Montana’s public schools and other trust beneficiaries