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Bill would let counties transfer unowned subdivision open space to intended homeowners associations
Summary
Rep. Alana Griffith’s HB233 would create a limited process for counties to record transfers of platted, unowned open-space to the homeowners association indicated on the plat, addressing insurance, maintenance, and title problems in many Montana subdivisions.
Representative Alana Griffith (District 60) told the House Judiciary Committee HB233 is a narrow fix for unowned open space in platted subdivisions that remains titled to neither the developer nor the homeowners association. Griffith said the bill would allow county commissioners — after notice and a hearing and with specific findings tied to the subdivision plat or preliminary plat — to file a transfer to the intended owner, typically an HOA.
The bill targets parcels shown on plats as open space where developers never completed a deed transfer. Griffith said the problem creates practical issues: insurance companies question coverage for parkland not owned by any association and associations cannot carry out maintenance or make use of those parcels. She said quiet-title suits are often prohibitively expensive and slow, so the bill provides a streamlined administrative pathway limited to platted subdivisions and to parcels that the plat demonstrates were intended for HOA ownership.
Supporters who testified included Stephanie Baucus, an attorney from Billings, who said the bill’s HOA definition closely matches the existing statutory definition and that the process would be useful statewide. Amanda Knutson, an attorney in Bozeman, reserved judgment pending sponsor amendments and said the proposed amendments will be important for her later written comments.
Committee members asked whether property taxes would change after transfer and who would pay them. Griffith responded that most such open space is treated as parkland and not taxed; if taxes apply, the homeowners association would assume them after transfer. Members also asked whether third parties could “snipe” unowned parcels; Griffith said she has litigated examples and that restricting the remedy to platted parcels tied to explicit plat language reduces that risk.
Griffith said two amendments were forthcoming to clarify retroactivity and to ensure the process does not apply where the parcel remains in the declarant’s name. She closed asking for a yes vote. The committee took no final action at the hearing; the bill will proceed through amendment drafting.
The hearing record contains legal references and industry terms described by witnesses, including a citation the sponsor used for existing HOA definitions.
