Women in Agriculture
Risk Management
Education Conference
Oklahoma City
April 1 & 2, 2008
1

Planning for the
Passing of Native
American Lands to
Avoid Further
Fractionation
2

3

Risk Management Agency
Community Outreach and Assistance
Partnership Program
4

Project Facilitators
• Marsha Goetting
MSU Extension Family Economics Specialist
• Kristin Ruppel
MSU Native American Studies Department
• Keri Hayes
MSU Extension Publications Assistant
5

Blackfeet, MT
• Verna Billedeaux
MSU Blackfeet Reservation Extension
Agent
• Tamara Birdsbill
Blackfeet
MSU Extension Student Assistant
6

Fort Belknap, MT
• Don Addy
MSU Fort Belknap Reservation
Extension Agent
• Tony Little Owl
Fort Belknap
MSU Extension Student Assistant
7

Fort Peck, MT
• Carrie Sue Archdale
Fort Peck Community College
• Floyd Azure II
Fort Peck
MSU Extension Student Assistant
8

Fort Hall, Idaho
• Marilyn Bischoff
University of Idaho-Boise Center
Extension Family Economics Specialist
• Danielle Gunn
University of Idaho
Fort Hall Extension Agent
• Carol Pabacaro
Fort Hall
Idaho State University Extension Student Assistant
9

Team Decision
• Fact sheets
• News articles
• Seminars &
Workshops
10

AIPRA Probate
Sections
• Effective for persons who pass away on or after
June 20, 2006
11

• State law no longer applies to
Trust Property when a person passes away without a will .
12

• Fractionation
 An increasing number of owners for a land parcel with each passing generation
13


6 generation family
14

1st Generation
15

2nd Generation
Original
Allottee
1/3 1/3
1/3
16

3rd Generation
Original
Allottee
1/3 1/3
1/3
1/9
1/9 1/9
17

4th Generation
Original
Allottee
1/3 1/3 1/3
1/9 1/9 1/9
1/36 1/36 1/36 1/36
18

5th Generation
Original
Allottee
1/3 1/3 1/3
1/9 1/9 1/9
1/36 1/36 1/36 1/36
1/144 1/144 1/144 1/144
19

6th Generation
Original
Allottee
1/3 1/3 1/3
1/9 1/9 1/9
1/36 1/36 1/36 1/36
1/144 1/144 1/144 1/144
?
?
?
20

6th Generation
Original
Allottee
1/3 1/3 1/3
1/9 1/9 1/9
1/36 1/36 1/36 1/36
1/144 1/144 1/144 1/144
1/432 1/432

Fractionation by
$$$$
• Example
 Lease Dollar Amounts
22

1st Generation
$1,002
Annual Income
23

2nd Generation
$1,002
Annual Income
$334 $334 $334
24

3th Generation
$1,002
Annual Income
$334 $334 $334
$111.33
$111.33
$111.33
25

4th Generation
$1,002
Annual Income
$334 $334 $334
$111.33
$111.33
$111.33
$27.83
$27.83
$27.83
$27.83
26

5th Generation
$1,002
Annual Income
$334 $334 $334
$111.33
$111.33
$111.33
$27.83
$27.83
$27.83 $27.83
$6.96 $6.96
$6.96
$6.96
27

6th Generation
$1,002
Annual Income
$334 $334 $334
$111.33
$111.33
$111.33
$27.83
$27.83
$27.83
$27.83
$6.96
$6.96
$6.96
$6.96
$2.32
$2.32
$2.32
28

Montana
• For “ fee” land on our reservations:
 Montana law applies if you pass away without a will.
29

Personal Property
• AIPRA does not affect:
 Checking Accounts
 Saving Accounts
 Vehicles
• State of residence or tribal probate laws apply
30

AIPRA distribution among eligible heirs:
• Depends on percentage of undivided interest owned by the person who passed away
31

Use I T I Report to determine % of ownership
•
•
32

Example: ITI Report
• .0173661111 = 1.7% Ft Peck
• .1562500000 = 15.6% Ft Belknap
• .0078125000 = 0.8% Blackfeet
• .1145833333 = 11.5% Ft Peck
• .0078125000 = 0.8% Standing R
• .0260416667 = 2.6% Ft Hall
33

Single Heir Rule
• Undivided interest of less than 5%
 passes to one person in following order…..
34

Single Heir Rule
(less than 5% & no will)
• First priority:
 Oldest surviving eligible child
35

Survivors: Husband & Children
(less than 5% & no will)
Wife
Child
Age 18
0
Child
Age 22
0
Husband
0
Child
Age 24
All
36

24 year old receives all
 .
0173661111 = 1.7% Ft Peck
 .0156250000 = 1.6% Ft Belknap
 .0078125000 = 0.8% Blackfeet
 .0114583333 = 1.1% Ft Peck
 .0078125000 = 0.8% Standing R
 .0260416667 = 2.6% Ft Hall
(Each is less than 5%)
37

Fact Sheet #6
•
Your Undivided
Interest:
•
What Happens If
You Pass Away
Without a
Written Will?
38

Parents inherit equally
Mother
1/2
Father
1/2
Single
Person
Passed Away
(5% or more, no will)
39

Equal Amounts to Sisters
Father Mother
Single person passed away after
Father & Mother
1/3 1/3 1/3
(5% or more, no will)
40

Two Brothers Survive
Sisters passed away before brother
Brother
Sister Sister Brother Brother
Niece Nephew Nephew Nephew Nephew Nephew
(5% or more & no will)
41

Equally to Living Brothers
Bachelor
Brother
Sister Sister Brother
1/2
Brother
1/2
Niece
0
Nephew
0
Nephew
0
Nephew
0
Nephew
0
Nephew
0
(5% or more & no will)
42

Property goes to Tribe
Bachelor
Brother
Sister Sister Brother
1/2
Brother
Niece
0
Nephew
0
Nephew
0
Nephew
0
Nephew
0
Nephew
0
(5% or more no will)
43

Child passed away before parent o
? ?
What does grandchild receive, if any?
Parent
(5% & more, no will)
?
?
?
Grandchildren
?
?
?
44

Child passed away before parent
Grandchild inherits by right of representation
Parent
(5% & more, no will) o
1/3 1/3
1/3 0 0 0
Grandchildren
0 0
45

o
Two children passed away before parent
Survivors: Child &
Grandchildren
Parent
(5% & more, no will)
? ?
o
?
?
Grandchildren
?
? ?
46

1/3
Two children passed away before parent
Survivors: Child &
Grandchildren
Parent
(5% & more, no will) o 1/3
1/3 1/6 1/6 0
Grandchildren
0 0
47

Survivors: Child &
Grandchildren
Parent
Passes
Away
(5% & more, no will) o
?
?
?
o
? ?
Grandchildren
? ?
48

Survivors: Child &
Grandchildren
(5% & more, no will)
Parent
Passes
Away o
1/3 o
1/3 0 0 1/9 1/9 1/9
Grandchildren
49

Survivors:
Grandchildren
(5% & more, no will)
Parent
Passes
Away
All children passed away before parent o o o
1/3 1/6 1/6
Grandchildren
1/9 1/9 1/9
50

Who receives depends on % of ownership
•
•
51

14 Fact Sheets
• Highlight
• Describe
• Illustrate
52

Newspaper Articles
• Fort Peck Journal
• Wotanin-Wowapi
• Fort Belknap News
53

Packets Distributed
• As a result of:
– News articles 400
– Seminars 500
54

Evaluation Comment
“ W e have no access to a computer so appreciate the packets.”
55

CD PowerPoints
• Presentations by topics = 8
– 5% or more
– Less than 5%
– Fractionation
– ITI report
– Writing a will
56

Web Site
• Fact sheets
• Newspaper articles
• PowerPoints
• www.montana. edu/indianlands
57

Webtrends
• January 2008
– 1,376 visits
58

•
Web Site Linked by
Institute for
Indian Estate
Planning &
Probate
– Seattle School of
Law
59

Web Site Linked by
•
Indian Land
Tenure
Foundation
60

No Web Email Access
• Bureau of Indian
Affairs
• Office of Special
Trustee
61

Symposium
• Inheriting
Indian Lands
• 75 participants
 April 12 – 13, 2007
62

Symposium
• CD of speakers
• Available from goetting@montana.edu
63

Planning for the
Passing of Native
American Lands to
Avoid Further
Fractionation
64