Enteric methane emission is a major greenhouse gas from livestock production systems worldwide. Dietary manipulation may be an effective emission-reduction tool; however, the associated costs may preclude its use as a mitigation strategy. Several studies have identified dietary manipulation strategies for the mitigation of emissions, but studies examining the costs of reducing methane by manipulating diets are scarce. Furthermore, the trade-off between increase in dietary costs and reduction in methane emissions has only been determined for a limited number of production scenarios. The objective of this study was to develop an optimization framework for the joint minimization of dietary costs and methane emissions based on the identification of a set of feasible solutions for various levels of trade-off between emissions and costs. Such a set of solutions was created by the specification of a systematic grid of goal programming weights, enabling the decision maker to choose the solution that achieves the desired trade-off level. Moreover, the model enables the calculation of emission-mitigation costs imputing a trading value for methane emissions. Emission imputed costs can be used in emission-unit trading schemes, such as cap-and-trade policy designs. An application of the model using data from lactating cows from dairies in the California Central Valley is presented to illustrate the use of model-generated results in the identification of optimal diets when reducing emissions. The optimization framework is flexible and can be adapted to jointly minimize diet costs and other potential environmental impacts (e.g., nitrogen excretion). It is also flexible so that dietary costs, feed nutrient composition, and animal nutrient requirements can be altered to accommodate various production systems.