American
Indian Probate
Reform Act
of 2004
(AIPRA)
1
Floyd H. Azure II
Montana State University
Extension Undergraduate
Student Assistant
Marsha A. Goetting
Montana State University
Extension Family Economics
Specialist;
Department of Agricultural
Economics & Economics
2
Purpose
of AIPRA
• To Prevent Further
Fractionation of Trust
Lands.
• To Encourage
Consolidation of Indian
Land Ownership.
3
AIPRA: Probate
Sections
•Effective for
persons who pass
away on or after
June 20, 2006
4
AIPRA
• State law no
longer applies to
Trust Property
when a person
passes away
without a will.
5
14 Fact Sheets
• Highlight
• Describe
• Illustrate
6
AIPRA distribution among
eligible heirs:
• Depends on percentage
of undivided interest
owned by the person
who passed away
7
Do you own:
5% or more?
Less than 5%?
8
Fact Sheet #4
•Your Individual
Trust Interest
(ITI) Report:
How to read it
9
Where do I get my
ITI Report?
•Local BIA Office
Realty Department
Fort Peck
406-768-5112
10
Where do I get my
ITI Report?
• BIA Regional Office
Rocky Mountain Region
Billings 406-247-7943
11
Important fact on
ITI Report:
• Amount of
undivided
interest owned
in each parcel.
12
ITI Report
AGGREGATE DECIMAL
• Right side,
lower middle
• Decimal C
– .0173611111
13
Because AIPRA uses
percent
Convert C
Decimal to %
•.0173611111
=1.7%
14
Example: ITI Report
•
•
•
•
•
•
.0173661111 = 1.7%
.156250000 = 15.6%
.0078125000 = 0.8%
.114583333 = 11.5%
.0078125000 = 0.8%
.0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
15
Use ITI Report to
determine % of
ownership
•5% or more?
•Less than 5%?
16
Fact Sheet #7
 If your undivided interest
in each allotment is:
less than 5%
 What Happens If You Pass
Away Without Writing a
Will?
17
Single Heir Rule
• Undivided interest of
less than 5%
passes to one person
in following order…..
18
Single Heir Rule
(less than 5% & no will)
• First priority:
 Oldest
surviving
eligible child
19
Single Heir Rule
(less than 5% & no will)
• If no surviving
eligible child
 Oldest surviving
eligible grandchild
20
Single Heir Rule
(less than 5% & no will)
• If no surviving eligible
grandchild
Oldest surviving
eligible greatgrandchild
21
Single Heir Rule
(less than 5% & no will)
• If no surviving eligible
child, grandchild or
great-grandchild
Tribe
22
Single Heir Rule
(less than 5% & no will)
• If tribe does not have
jurisdiction
 Equal shares to
Co-owners
23
Single person-•Never married
•Widowed
•Divorced
•Common Law
(less than 5% & no will)
24
Example 1:
• Person has no
written will
 No Spouse
 No Children
 No Grandchildren
 No Great
Grandchildren
25
ITI Report
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
26
Single Heir Rule
(no will)
• Undivided interest of less
than 5% passes to:
Tribe with
jurisdiction
27
Tribe Inherits
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
28
Example 2: Single,
no spouse
•Has living
Children
(less than 5% & no will)
29
Children defined
(AIPRA)
•Biological
•Legally
adopted
30
Example 2: Dad passes
Survivors: 2 kids
DAD
Child
Age 19
Child
Age 29
(less than 5% & no will)
31
Dad’s ITI Report
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
32
Single Heir Rule
•All interests
pass to oldest
surviving
eligible child
(less than 5% & no will)
33
Which child receives?
DAD
(less than 5% &
no will)
Child
Age 19
Child
Age 29
34
Oldest Child – Age 29
.017366111 = 1.7%
.015625000 = 1.6%
.007812500 = 0.8%
.011458333 = 1.1%
.007812500 = 0.8%
.026041666 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing
Ft Hall
(Receives <5% interest on
each reservation)
35
Married--AIPRA
• Includes
 Separated
 Legal
separation
36
Example 3: Married
(less than 5% & no will)
• Husband passes
away
• Survivor:
•Wife
 not living on a parcel
 No Children
37
Husband’s ITI Report
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
38
Single Heir Rule
(less than 5% & no will)
•There is no
surviving eligible:
 child or
 grandchild or
 great-grandchild
39
Example 3: Wife not on
parcel
• All interests
pass to Tribe.
•Spouse receives
nothing.
(less than 5% & no will)
40
Passes to Tribe where
interest is located
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
41
Example 4: (less than 5%
•Survivors:
& no will)
Husband
Not living on the parcel
 3 Children
42
Example 4:
Ages of Children
Wife
(less than 5%
& no will)
Husband
Child
Child
Child
Age 18 Age 22 Age 24
43
Mom’s ITI Report
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
44
Single Heir Rule (no will)
•Interests of less
than 5%
pass to oldest
surviving
eligible child
45
Survivors: Husband & Children
(less than 5% & no will)
Husband
Wife
0
Child
Age 18
Child
Age 22
0
0
Child
Age 24
All
46
24 year old receives all
 .0173661111 = 1.7%
 .0156250000 = 1.6%
 .0078125000 = 0.8%
 .0114583333 = 1.1%
 .0078125000 = 0.8%
 .0260416667 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing R
Ft Hall
(Each is less than 5%)
47
Family Example 5
•Survivors
Wife
•living on one of
the parcels
3 Children
(less than 5% & no will)
48
Spouse lives
on parcel
.017366111 = 1.7%
.015625000 = 1.6%
.007812500 = 0.8%
.011458333 = 1.1%
.007812500 = 0.8%
.026041666 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing
Ft Hall
(less than 5% & no will)
49
Children & Spouse
Husband
Child
Age 18
Spouse
Lives on
Fort Peck
parcel
Child
Child
Age 22 Age 24
50
Exception: Single Heir
Rule
• If spouse living on
parcel:
 He/she receives
life estate on that
parcel, including
the family home
(less than 5% & no will)
51
Life Estate
• Allows life tenant
to have possession
of property during
his/her lifetime
–But not ownership
of property
(less than 5% & no will)
52
Single Heir Rule: No will
• Oldest child receives:
 Remainder interest
 home
 land
Receives parcels with
interests of less than
5%.
53
Remainderman
•Person entitled
to property after
the life tenant
has passed away
54
Oldest Child
Spouse – life estate
 .017366111 = 1.7% Ft Peck
.015625000 = 1.6% Ft Belknap
.007812500 = 0.8% Blackfeet
.011458333 = 1.1% Ft Peck
.007812500 = 0.8% Standing
.026041666 = 2.6% Ft Hall
(less than 5% & no will)
55
Trust Land
(less than 5%& no will)
Husband
Child
Age 18
0
Wife
Life Estate
Child
Age 22
0
Child
Age 24
parcels
with less
than 5%
56
Spouse passes away
(less than 5% & no will)
Wife
Husband
Child
0
Child
0
Oldest
Child
Age 24
57
Upon Mother’s passing
oldest child receives:
• Remainder interest
–1.7% parcel Fort Peck
• Includes family home
58
Oldest Child Receives
remainder interest
.017366111 = 1.7%
.015625000 = 1.6%
.007812500 = 0.8%
.011458333 = 1.1%
.007812500 = 0.8%
.026041666 = 2.6%
Ft Peck
Ft Belknap
Blackfeet
Ft Peck
Standing
Ft Hall
(less than 5% & no will)
59
Summary: Less than 5%
(no will)
• Single Heir Rule:
 Less than 5% interests
pass to oldest child.
 Exception
 spouse living on
parcel receives life
estate.
60
More information:
•Fact Sheet #7
Your Undivided
Interest of less than
5%:
What Happens If You
Pass Away Without a
Written Will ?
61
American
Indian Probate
Reform Act
of 2004
(AIPRA)
62