This joint resolution requests an interim study to assess the impacts of recent and potential changes to federal funding on the Montana Department of Environmental Quality (DEQ). The DEQ currently relies heavily on federal funding, with 63.4% of its budget coming from state dollars and 1236.6% from federal sources. The resolution highlights the importance of federal funding for various DEQ programs and the potential consequences of funding changes, including the need for budget adjustments, program modifications, and support for state employees whose positions may be affected.

The resolution mandates that the Legislative Finance Committee review federal directives affecting the DEQ since January 20, 2025, and analyze their implications for agency operations, budgets, and personnel. The committee is tasked with examining how revenue losses could impact agency functionality and the effects of a reduced federal workforce on DEQ projects. The findings of this study are to be presented to relevant interim committees and reported to the 70th Legislature by September 15, 2026.