I'm not sure how I feel about this, on one hand, 2,000 wolves is a very small number, and allowing the possibility of 500 wolves to be killed is 25% of that population, which is a ridiculous number. (note: I haven't looked at the actual hunting schedule so this could easily be an over estimate).
Of course as someone who grew up in a family who relied on livestock for it's income, I also understand that ranchers in those areas are going to be affected by this ruling by losing additional livestock.
I guess I fall on the side of the environmentalist more so than the government on this one. If only because seeing a wolf in the wild is honestly one of the most incredible experience you can have. I just hope that people realize that it is decisions like this that can help contribue to rising food costs. It's a price we all pay, and I feel that is is worth it.
Here is a link to a more local story,
Helena Independent Record - Notes that Montana was looking at moving wolves from endangered to in need of management at time of this ruling.