Officials at the Montana Department of Environmental Quality (DEQ) signed off on the wastewater and sanitary facilities for Territory 1889, a high-profile luxury resort planned for Lakeside. Formerly named the Flathead Lake Club, the 359-unit subdivision is a proposal from the multinational Discovery Land Company, which currently operates luxury clubs in Whitefish, Big Sky, and Shields Valley.
The state’s environmental assessment reviews the public water supply, wastewater collection system, and stormwater system for phase one of the project. The initial phase includes the first 79 residential lots ranging from one to 12 acres, open space parcels, roads, and utility infrastructure. Flathead County approved a preliminary plat for the development last year.
Although a law passed during the 2025 Legislature exempted subdivision sanitation approvals from undergoing a Montana Environmental Policy Act (MEPA) environmental review, DEQ officials wrote they elected to complete a MEPA environmental assessment due to substantial public interest in the project and to help the state better understand its potential impacts.
The proposed public water supply includes three wells – two existing and one new well – along with a pump station, water storage tank, and associated transmission and distribution mains for the 79 lots. A water rights application for the two existing wells is currently paused for administrative review after local environmental groups challenged the Department of Natural Resources and Conservation (DNRC)’s preliminary permit approval, citing unmet concerns about potential environmental impacts. A separate water rights permit needs approval from the DNRC for the new well.
The wastewater system will connect to an offsite sanitary sewer system at the existing collection and treatment facilities for the Lakeside County Water and Sewer District in Somers (pictured below). Though the district is in the middle of an expansion project, district documents show enough capacity in its existing facilities to handle wastewater from Territory 1889’s first phase. The stormwater system includes 12 onsite retention ponds, natural drainage ways, along with swales and culverts.
The ownership and operation of the wells will also be transferred to the district as a condition of the environmental assessment’s approval.
After reviewing the adequacy of the water supply, sewage disposal and storm drainage plans, DEQ officials wrote that approving the phase one facilities “would not result in significant adverse impacts to the Montana environment within DEQ’s scope of review.”
“Long-term operational impacts are expected to be minor and, in the case of water quality, the centralized wastewater and DEQ-8-compliant stormwater infrastructure would reduce risks compared to the alternative of individual onsite system,” DEQ Reviewer Angela Pugh wrote.
With DEQ’s standards met, officials for Territory 1889 said they will move forward with the next steps in the development process.
“Environmental protection is a priority for Territory 1889,” the development’s vice president Jeremy Pfile said. “We continue to work closely with DEQ and other regulatory agencies to meet or exceed Montana’s applicable environmental standards and ensure the project is developed responsibly and in accordance with all regulatory requirements.”
Zoë Buhrmaster here. Let’s dive into the rest of the roundup.
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