(1) Any interested person may request notice of the expiration of any lease or license. Such requests shall be in writing and shall include an adequate description of the state land involved and the address of the person requesting notice. An application and bid form will be mailed to the last known address of each person requesting no notice, allowing reasonable time for response.

(2) A person who desires to lease or obtain a license on state land currently under lease or license shall apply for such lease or license in the manner specified in ARM 36.25.115, and the application shall be accepted under the same conditions as specified in that section. An application fee will be required and applications for land currently under lease or license will only be accepted after December 1 of the year preceding the expiration of the current lease. Application forms must be postmarked on or before January 28 of the year in which the lease expires. Only applications on the standard application form will be accepted.

(3) Any person who desires to bid must submit such bid along with his completed application form. The bid shall be in writing on the form prescribed by the department and then in current use. Blank forms may be secured from the department at no cost. Once a bid has been submitted to the department and opened it may not be withdrawn except for good cause as determined by the department. All bids shall be sealed bids and will not be opened until a specified time and place. A certified check, cashier's check, or money order in an amount equal to $1 per acre for each acre of agricultural land and 20% of the annual rental bid for grazing and all other leases or licenses must be submitted as a deposit with any bid along with the nonrefundable lease or license application fee. The deposit of any unsuccessful bidder shall be returned when the lease or license is issued. The deposit or a portion thereof may be forfeited if the department determines that the bid which has been submitted is frivolous, forged, a bad faith bid, or a bid submitted for purposes of harassment.

(4) The high bidder for the lease or license of the land described in the application shall be deemed to have leased or licensed such land at the rental price bid by him, subject to the preference right of the current lessee as described in ARM 36.25.117; however, the board may withdraw any land from further leasing or licensing for such period as the board determines to be in the best interests of the state.

(5) All lessees of licensees shall sign and return the lease to the department within 30 days of receipt of the lease. Failure to return the lease or license within 30 days may be cause for cancellation and re-advertisement.