The Montana Land Use Planning Act (MLUPA)

Montana's New Land Use Playbook: What MLUPA Means For You

If you live in Montana, you don’t need a report to tell you that homes have gotten much more expensive over the past few years. Across the state and right here in the Flathead Valley, these climbing costs are squeezing family budgets, making it difficult for local workers to live in the communities they serve, and changing the feel of our towns.

For years, outdated and restrictive local regulations have made it hard to build the kinds of homes that Montanans need — but that’s finally starting to change.

The Montana Land Use Planning Act (MLUPA), passed in 2023, is a game-changing piece of legislation that provides a new land use playbook for the largest and fastest-growing cities in the state, including all three cities in the Flathead Valley: Columbia Falls, Kalispell, and Whitefish. MLUPA is a common-sense approach designed to:

  • Establish clear rules for building more homes.

  • Create more vibrant neighborhoods.

  • Ensure our towns can grow in a smart, quality-of-life improving way.

Have we piqued your curiosity? Here’s what you need to know about how it works.


The Big Idea: proactive Planning and Predictable development

At its core, MLUPA encourages Montana’s fastest-growing cities to plan for growth proactively. Instead of reacting to development proposals one by one, the law requires them to create a clear, predictable “game plan" that allows for more homes to be built more quickly to meet projected future population needs.

This is a major shift away from the restrictive, often unpredictable zoning of the past. The goal is simple: make it legal to build more of the homes we need, in the places we need them.

For residents, this means more choices, better affordability, and more people-friendly communities.

The Bottom Line: Predictability is Key

Cities will set the rules about development upfront. Then, development projects that meet those clear, predetermined rules will be able to be built without additional public meetings, after-the-fact negotiations, or unnecessary delays.

This dramatic improvement in predictability for everyone in the community is the engine that will improve affordability over the medium- and long-term.


How MLUPA works in practice:

The law has two important requirements for Montana’s large, fast-growing cities:

1. Plan for 20 Years of Growth

Cities must estimate their population growth over the next 20 years. This estimation must be included in the land use plan and must outline how the jurisdiction will accommodate that projected population and the expected impacts of new development.

The population projections must be based on:

  • Demographics published by the Department of Commerce;

  • Locally generated estimates; or

  • Projections produced by a professional firm. (76-25-203, MCA)

What does this mean? Simply put: cities must plan for the future, generally based on historical growth averages, and be transparent about it.

2. Zone for Needed Homes "By-Right"

Once the population needs are established, the city must act:

“A local governing body shall identify and analyze existing and projected housing needs for the projected population of the jurisdiction and provide regulations that allow for the rehabilitation, improvement, or development of the number of housing units needed…” (76-25-206, MCA)

What does this mean? Cities must update their zoning regulations to allow the number of needed homes to be built by-right.

  • “By-right" means that these homes do not require public hearings or discretionary, case-by-case processes.

  • This is how virtually all standard single-detached homes are currently treated: Want to build something? Does it meet the zoning? Great, here’s your building permit.

How is this different from the current process?

To meet future home needs, cities will likely have to permit buildings like duplexes, fourplexes, or midrise apartments by-right in areas where these types of buildings would currently be subjected to public hearings or other constraints.

The Crucial Distinction: Cities (and citizens) will decide where these types of homes can and should be built in advance, while updating the Land Use Plan (which is happening right now in Columbia Falls, Kalispell, and Whitefish).

Fewer discretionary approvals = more PREDICTABILITY.

By making the process more efficient, the law also reduces holding costs and uncertainty for builders, which helps lower the final cost of homes. It ensures that good projects that follow the rules can get approved and built faster, delivering homes to the market when they are needed most.


What Zoning Changes Can Cities Make?

The Act introduces several pro-homes strategies, but cities can go well beyond these minimum standards. For instance, if a city wishes to reduce its sprawl into surrounding agricultural lands and open space, it might consider zoning changes that go above and beyond these minimum standards.

For decades, many neighborhoods have been zoned exclusively for single-detached homes, making it illegal to build anything else. MLUPA changes that by requiring cities to adopt policies from a list designed to increase the supply of homes. Many of these reforms are targeted at so-called “missing middle" housing—like duplexes, fourplexes, and accessory dwelling units (ADUs).

Cities must incorporate at least 5 of the following 14 options within their updated zoning codes:

  • A. Duplexes: Allow, as a permitted use, for at least a duplex where a single-unit dwelling is permitted.

  • B. Density Near Centers: Zone for higher density housing near transit stations, places of employment, higher education facilities, and other appropriate population centers.

  • C. Parking Reduction: Eliminate or reduce off-street parking requirements to require no more than one parking space per dwelling unit. (HB 492, passed in 2025, will require MLUPA cities to meet this strategy)

  • D. Impact Fee Relief: Eliminate impact fees for Accessory Dwelling Units (ADUs) or developments that include multi-unit dwellings, or reduce the fees by at least 25%.

  • E. Accessory Dwelling Units (ADUs): Allow, as a permitted use, for at least one internal or detached ADU on a lot with a single-unit dwelling occupied as a primary residence.

  • F. Single-Room Occupancy: Allow for single-room occupancy developments.

  • G. Triplexes/Fourplexes: Allow, as a permitted use, a triplex or fourplex where a single-unit dwelling is permitted.

  • H. Lot Size Reduction: Eliminate minimum lot sizes or reduce the existing minimum lot size required by at least 25%.

  • I. Form-Based Code: Eliminate aesthetic, material, shape, bulk, size, floor area, and other massing requirements for multi-unit dwellings or mixed-use developments, or remove at least half of those requirements.

  • J. Tiny Houses: Provide for zoning that specifically allows or encourages the development of tiny houses (as defined in Appendix Q of the International Residential Code).

  • K. Setback Reduction: Eliminate setback requirements or reduce existing setback requirements by at least 25%.

  • L. Height Increase: Increase building height limits for dwelling units by at least 25%.

  • M. Mixed-Use/Commercial Lots: Allow multi-unit dwellings or mixed-use development as a permitted use on all lots where office, retail, or commercial are primary permitted uses.

  • N. Multi-Unit by Right: Allow multi-unit dwellings as a permitted use on all lots where triplexes or fourplexes are permitted uses.

    (76-25-302, MCA)


What This Means for Your Community: Your Voice Matters

The Montana Land Use Planning Act sets the statewide standard, but the real work now happens at the local level. Your city or town is responsible for updating its local zoning codes and regulations to comply with the new law.

This is where your voice is crucial.

As your local government finishes this process, it's the perfect time to get involved.

  • Attend city council and planning board meetings.

  • Write to your local representatives.

  • Voice your support for a future with more housing options, more affordable choices, and more people-centered communities.

The housing crisis was caused by decades of restrictive policies. MLUPA gives us the tools to fix it. Let's work together to make sure our communities use them.


Take Action Today

Learn more about what’s happening in your community by clicking the links below:

Columbia Falls

Kalispell

Whitefish

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Columbia Falls Growth Policy Update