(1) In accordance with the provisions of 15-7-202, MCA, contiguous parcels of land under one ownership as defined in ARM 42.20.601 160 acres or larger in size shall be valued as agricultural land, provided that no portion of the ownership meets the criteria for forest land classification and there are no covenants, easements, deed restrictions, or other operations of law that prohibit the land from being used as agricultural, or the land is not used for residential, commercial, or industrial purposes.

(2) Under this rule, an ownership or the portion of an ownership meeting the criteria for forest land classification set forth in ARM 42.20.156, 42.20.705, and 42.20.710 shall be classified and valued as forest land.

(3) Any remaining acreage in the ownership parcel will be classified and assessed as agricultural land provided the land is not used for residential, commercial, or industrial purposes, and that the land doesn't have stated restrictive covenants, easements, deed restrictions, servitudes, conservations easements, or other legal encumbrances that when enforced effectively prohibit agricultural use. If the remaining acreage in the ownership parcel is either used for residential, commercial, or industrial purposes, or has stated covenants or other restrictions that effectively prohibit agricultural use, the remaining acreage will be classified and valued as class 4 land.

(4) For contiguous parcels of land that are 160 acres or larger in size, and under one ownership as defined in ARM 42.20.601, any acreage exceeding that which meets the criteria for forest land set forth in ARM 42.20.156, 42.20.705, and 42.20.710, or has stated restrictions that effectively prohibit agricultural use, or is used for residential, commercial, or industrial purposes, shall be assessed and taxed as land not specifically included in another class in accordance with 15-6-134(1)(a), MCA.

(5) Land under the CRP, the Integrated Farm Management (IFM) program, or any other program that reimburses the landowner to remove the land from the current agricultural use and places it in a different agricultural use shall be classified and valued in the same land use category the acreage was in when it became eligible for the programs.