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Women in Agriculture Risk Management Education Conference. Oklahoma City April 1 & 2, 2008. Planning for the Passing of Native American Lands to Avoid Further Fractionation. American Indian Probate Reform Act of 2004 (AIPRA). Risk Management Agency.
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Women in Agriculture Risk Management Education Conference Oklahoma City April 1 & 2, 2008
Planning for the Passing of Native American Lands to Avoid Further Fractionation
Risk Management Agency Community Outreach and Assistance Partnership Program
Marsha GoettingMSU Extension Family Economics Specialist Kristin RuppelMSU Native American Studies Department Keri Hayes MSU Extension Publications Assistant Project Facilitators
Verna BilledeauxMSU Blackfeet Reservation Extension Agent Tamara BirdsbillBlackfeet MSU Extension Student Assistant Blackfeet, MT
Don AddyMSU Fort Belknap Reservation Extension Agent Tony Little OwlFort Belknap MSU Extension Student Assistant Fort Belknap, MT
Carrie Sue ArchdaleFort Peck Community College Floyd Azure IIFort Peck MSU Extension Student Assistant Fort Peck, MT
Marilyn BischoffUniversity of Idaho-Boise Center Extension Family Economics Specialist Danielle GunnUniversity of Idaho Fort Hall Extension Agent Carol PabacaroFort HallIdaho State University Extension Student Assistant Fort Hall, Idaho
Fact sheets News articles Seminars & Workshops Team Decision
AIPRA Probate Sections • Effective for persons who pass away on or after June 20, 2006
AIPRA • State law no longer applies to Trust Property when a person passes away without a will.
Definition • Fractionation • An increasing number of owners for a land parcel with each passing generation
Fractionation • 6 generation family
1stGeneration Original Allottee
2nd Generation Original Allottee 1/3 1/3 1/3
3rd Generation Original Allottee 1/3 1/3 1/3 1/9 1/9 1/9
4th Generation Original Allottee 1/3 1/3 1/3 1/9 1/9 1/9 1/36 1/36 1/36 1/36
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
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 ? ? ?
6thGeneration 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 1/432
Fractionation by $$$$ • Example • Lease Dollar Amounts
1st Generation $1,002 Annual Income
2nd Generation $1,002 Annual Income $334 $334 $334
3th Generation $1,002 Annual Income $334 $334 $334 $111.33 $111.33 $111.33
4th Generation $1,002 Annual Income $334 $334 $334 $111.33 $111.33 $111.33 $27.83 $27.83 $27.83 $27.83
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
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
Montana • For “fee” land on our reservations: • Montana law applies if you pass away without a will.
Personal Property • AIPRA does not affect: • Checking Accounts • Saving Accounts • Vehicles • State of residence or tribal probate laws apply
AIPRA distribution among eligible heirs: • Depends on percentage of undivided interest owned by the person who passed away
Use I T I Report to determine % of ownership • 5% or more? • Less than 5%?
.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 Example: ITI Report
Single Heir Rule • Undivided interest of less than 5% • passes to one person in following order…..
Single Heir Rule (less than 5% & no will) • First priority: • Oldest surviving eligible child
Survivors: Husband & Children(less than 5% & no will) Husband 0 Wife Child Age 18 0 Child Age 22 0 Child Age 24 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%) 24 year old receives all
Fact Sheet #6 • Your Undivided Interest: 5% or more • What Happens If You Pass Away Without a Written Will?
Parents inherit equally Mother 1/2 Father 1/2 Single Person Passed Away (5% or more, no will)
Equal Amounts to Sisters Father Mother Single person passed away after Father & Mother 1/3 1/3 1/3 (5% or more, no will)
Two Brothers Survive Sisters passed away before brother (5% or more & no will)
Equally to Living Brothers (5% or more & no will)
Property goes to Tribe (5% or more no will)
Child passed away before parent What does grandchild receive, if any? (5% & more, no will) Grandchildren
Child passed away before parent Grandchild inherits by right of representation (5% & more, no will) Grandchildren
Two children passed away before parent Survivors: Child & Grandchildren (5% & more, no will) Grandchildren
Two children passed away before parent Survivors: Child & Grandchildren (5% & more, no will) Grandchildren
Survivors: Child & Grandchildren (5% & more, no will) Grandchildren
Survivors: Child & Grandchildren (5% & more, no will) Grandchildren
Survivors: Grandchildren All children passed away before parent (5% & more, no will) Grandchildren