67th Legislature HB 450.1
1 HOUSE BILL NO. 450
2 INTRODUCED BY S. GUNDERSON
3
4 A BILL FOR AN ACT ENTITLED: β€œAN ACT REVISING LAWS RELATED TO DIVISIONS OF LAND EXEMPT
5 FROM SUBDIVISION REVIEW; PROVIDING THAT DIVISIONS OF LAND EXEMPT FROM SUBDIVISION
6 REVIEW MUST ADHERE TO APPLICABLE ZONING REGULATIONS; AND AMENDING SECTION 76-3-201,
7 MCA.”
8
9 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
10
11 Section 1. Section 76-3-201, MCA, is amended to read:
12 "76-3-201. Exemption for certain divisions of land -- fees for examination of division. (1) Unless
13 the method of disposition is adopted for the purpose of evading this chapter, the requirements of this chapter
14 may not apply to any division of land that:
15 (a) is created by order of any court of record in this state or by operation of law or that, in the absence
16 of agreement between the parties to the sale, could be created by an order of any court in this state pursuant to
17 the law of eminent domain, Title 70, chapter 30;
18 (b) subject to subsection (3) (4), is created to provide security for mortgages, liens, or trust indentures
19 for the purpose of construction, improvements to the land being divided, or refinancing purposes;
20 (c) creates an interest in oil, gas, minerals, or water that is severed from the surface ownership of real
21 property;
22 (d) creates cemetery lots;
23 (e) is created by the reservation of a life estate;
24 (f) is created by lease or rental for farming and agricultural purposes;
25 (g) is in a location over which the state does not have jurisdiction; or
26 (h) is created for rights-of-way or utility sites. A subsequent change in the use of the land to a
27 residential, commercial, or industrial use is subject to the requirements of this chapter.
28 (2) An exempt division of land as provided in subsection (1) is not considered a subdivision under this
-1- Authorized Print Version – HB 450
67th Legislature HB 450.1
1 chapter but is subject to applicable zoning regulations pursuant to Title 76, chapter 2.
2 (2)(3) Before a court of record orders a division of land under subsection (1)(a), the court shall notify
3 the governing body of the pending division and allow the governing body to present written comment on the
4 division.
5 (3)(4) An exemption under subsection (1)(b) applies:
6 (a) to a division of land of any size;
7 (b) if the land that is divided is not conveyed to any entity other than the financial or lending institution
8 to which the mortgage, lien, or trust indenture was given or to a purchaser upon foreclosure of the mortgage,
9 lien, or trust indenture. Except as provided in subsection (4) (5), a transfer of the divided land, by the owner of
10 the property at the time that the land was divided, to any party other than those identified in this subsection
11 (3)(b) (4)(b) subjects the division of land to the requirements of this chapter.
12 (c) to a parcel that is created to provide security as provided in subsection (1)(b). The remainder of
13 the tract of land is subject to the provisions of this chapter, if applicable.
14 (4)(5) If a parcel of land was divided pursuant to subsection (1)(b) and one of the parcels created by
15 the division was conveyed by the landowner to another party without foreclosure before October 1, 2003, the
16 conveyance of the remaining parcel is not subject to the requirements of this chapter.
17 (5)(6) The governing body may examine a division of land to determine whether or not the
18 requirements of this chapter apply to the division and may establish reasonable fees, not to exceed $200, for
19 the examination."
20 - END -
-2- Authorized Print Version – HB 450

Statutes affected:
HB0450_1.pdf: 76-3-201
HB0450_2.pdf: 76-3-201
HB0450_X.pdf: 76-3-201
Amended: 76-3-201
Introduced: 76-3-201