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Bill

LC 914

Allow revocation of agricultural covenant on lands annexed into municipality

2025 Regular Session

Bill allows Montana landowners to revoke agricultural covenants when their land is annexed into a municipality, prioritizing property flexibility over permanent conservation restrictions.

(LC) Draft Ready for Delivery
#agriculture(seealso:livestock;taxation--agriculture/livestock) #localgovernment(seealso:citysubjects;countysubjects) #planninganddevelopment
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Bill Summary · LC 914

Legislative bill overview

LC 914 would allow Montana landowners to revoke agricultural covenants on their property if that land becomes annexed into a municipality. Agricultural covenants are legal restrictions that typically require land to remain in farm or ranch use. This bill would provide an exemption mechanism when incorporated city or town boundaries expand to include previously rural agricultural land.

Why is this important

As municipalities grow and annex surrounding areas, landowners may face conflicts between agricultural covenant obligations and new municipal zoning or development opportunities. This bill addresses a practical problem: farmers and ranchers could be caught between covenant restrictions requiring agricultural use and municipal pressures or incentives to develop land differently. The outcome will affect the balance between preserving agricultural land use protections and allowing property rights flexibility during urbanization.

Potential points of contention

  • Agricultural preservation vs. property rights: Environmental and farming groups may argue covenants protect irreplaceable farmland, while property rights advocates contend owners should control their land once it's in municipal jurisdiction
  • Municipal planning conflicts: Cities relying on covenant protections to maintain greenspace or agricultural buffers may oppose losing this tool, versus developers and annexed landowners wanting development flexibility
  • Scope and definition issues: Unclear whether the bill applies to all covenants or specific types, and whether partial annexation or full municipal incorporation triggers revocation rights

Compiled from official sources — confirm details with the bill’s official record.

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