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Diverse plant communities have been shown to enhance ecological function. It has been hypothesized, that the ecological combining ability between grasses and forbs can be improved by selecting genotypes specifically for compatibility in a mixture. Our research has recently explored this hypothesis and shown that the genetic control of grass growth response in a mixture with legumes is different than that exhibited when grown in a monoculture. These results have implications for the future development of grasses used for rangeland restoration. Bluebunch wheatgrass is one such important native species used in many reseeding efforts of the Great Basin. The varieties used in these reseedings usually originate from the Palouse region, but increased interest to restore rangelands using regionally-adapted plant germplasm necessitates the development of Great Basin ecosytem-originated bluebunch wheatgrass. However, the dramatic and substantial degradation of this region, caused by invasive weeds and changed fire regimes, could seriously challenge the successful use of �local� seed sources and germplasms. Alternatively, Great Basin-originated varieties with enhanced adaptation to this changed environment, either through natural selection or plant breeding, could play a critical role in restoration of this region. This paper will discuss how the strategies of molecular genetics, seed transfer zones, and enhanced adaptation and mixture compatibility are being employed in our ongoing development of Great Basin-originated bluebunch wheatgrass varieties.