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In 2007, Region 3 of the US Forest Service (encompassing all national forests in Arizona and New Mexico) implemented a new policy to require the use of adaptive management in the administration and management of grazing allotments. This policy change was intended to increase flexibility and responsiveness to unpredictable environmental changes such as short- and long-term drought and wildfires thereby improving environmental, economic, and social outcomes. Resource users and on-the-ground managers have a significant impact on the success or failure of resource management policy. To evaluate how the US Forest Service adaptive management policy has been implemented and its success in improving social outcomes on-the-ground, we interviewed ranchers and forest district staff in Arizona and New Mexico. Interviews explored the management approach used on allotments, the relationship between the US Forest Service and permittees, and the impact of implementation of adaptive management policies on relationships between US Forest Service personnel and permittees. We hypothesized that implementation of adaptive management would have a positive impact on relationships between US Forest Service personnel and permittees because adaptive management provides for greater management flexibility and a context for improved communication about resource challenges and solutions. Our results show the policy has had positive social impacts in some parts of the region, but that these outcomes are variable and dependent on staff turnover in forest district offices, trust between US Forest Service personnel and permittees, and pre-existing conflicts unrelated to adaptive management policy.