Montana Code 70-31-301. Appraisal, negotiation, and other condemnation policies mandated
70-31-301. Appraisal, negotiation, and other condemnation policies mandated. An agency that acquires real property for a program or project (for which federal financial assistance will be available to pay all or any part of the cost of the program or project) shall comply with the following policies:
Terms Used In Montana Code 70-31-301
- Agency: means a department, agency, or instrumentality of the state of Montana or of a political subdivision of the state, a department, agency, or instrumentality of two or more states or two or more political subdivisions of the state or of two or more states, or a person who has the authority to acquire property by eminent domain as provided in Title 70, chapter 30. See Montana Code 70-31-102
- Appraisal: A determination of property value.
- Appraisal: means a written statement, independently and impartially prepared by a qualified appraiser, setting forth an opinion of defined value of an adequately described property as of a specified date and supported by the presentation and analysis of relevant market information. See Montana Code 70-31-102
- Business: means any lawful activity, except a farm operation, conducted:
(a)primarily for the purchase, sale, lease, and rental of personal and real property and for the manufacture, processing, or marketing of products, commodities, or any other personal property;
(b)primarily for the sale of services to the public;
(c)primarily by a nonprofit organization; or
(d)solely for the purposes of paying moving or related expenses to assist in the purchase, sale, resale, manufacture, processing, or marketing of products, commodities, personal property, or services by the erection and maintenance of an outdoor advertising display or displays, whether or not the display or displays are located on the premises on which any of the activities included as a business are conducted. See Montana Code 70-31-102
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- Farm operation: means any activity conducted solely or primarily for the production of one or more agricultural products or commodities, including timber, for sale or home use and customarily producing agricultural products or commodities in sufficient quantity to be capable of contributing materially to the operator's support. See Montana Code 70-31-102
- Federal financial assistance: means a grant, loan, or contribution provided by the United States, except any federal guarantee or insurance. See Montana Code 70-31-102
- Person: means any individual, partnership, corporation, or association. See Montana Code 70-31-102
- Property: means real and personal property. See Montana Code 1-1-205
- Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
- Real property: means lands, tenements, hereditaments, and possessory title to public lands. See Montana Code 1-1-205
(1)The agency shall make every reasonable effort to expeditiously acquire real property by negotiation.
(2)Real property must be appraised before the initiation of negotiations, and the owner or the owner’s designated representative must be given an opportunity to accompany the appraiser during the appraiser’s inspection of the property. The head of the agency may prescribe a procedure to waive the appraisal in cases involving the acquisition by sale or donation of property with a low fair market value.
(3)Before the initiation of negotiations for real property, an amount must be established that is reasonably believed to be just compensation for the property or interest taken, and that amount must be offered for the property. The amount may not be less than the approved appraisal of the fair market value of the property. Any decrease or increase in the fair market value of real property prior to the date of valuation caused by the public improvement for which the property is acquired or by the likelihood that the property would be acquired for the improvement, other than an amount due to physical deterioration within the reasonable control of the owner, must be disregarded in determining the compensation for the property. The owner of the real property to be acquired must be provided with a written statement of and summary of the basis for the amount established as just compensation. When appropriate, the just compensation for the real property acquired and for damages to remaining real property must be separately stated.
(4)An owner may not be required to surrender possession of real property before the agreed purchase price is paid or before there is deposited with the court, in accordance with applicable law, for the benefit of the owner, an amount not less than the approved appraisal of the fair market value of the property or the amount of the award of compensation in the condemnation proceeding of the property.
(5)The construction or development of a program or project (for which federal financial assistance will be available to pay all or any part of the cost of the program or project) must be scheduled so that, to the greatest extent practicable, a person lawfully occupying real property is not required to move from a dwelling (assuming a replacement dwelling will be available) or to move the person’s business or farm operation without at least 90 days’ written notice of the date by which a move is required.
(6)If an owner or tenant is permitted to occupy the real property acquired on a rental basis for a short term or for a period subject to termination by the acquiring agency on short notice, the amount of rent required may not exceed the fair rental value of the property to a short-term occupier.
(7)The time of condemnation may not be advanced, negotiations or condemnation and the deposit of funds in court for the use of the owner may not be deferred, and any other action coercive in nature may not be taken to compel an agreement on the price to be paid for the property.
(8)If an interest in real property is to be acquired by exercise of the power of eminent domain, formal condemnation proceedings must be instituted as provided in Title 70, chapter 30. The acquiring agency may not intentionally make it necessary for an owner to institute legal proceedings to prove the fact of the taking of the owner’s real property.
(9)If the acquisition of only part of the property would leave its owner with an uneconomic remnant, an offer to acquire the uneconomic remnant must be made.
(10)A person whose real property is being acquired may, after being fully informed of the person’s right to receive just compensation, donate to an agency the property, any interest in the property, or any compensation received for the property.