MT SB1

Revises the definition of "blighted area" for urban renewal and tax increment financing (TIF) purposes, reducing qualifying conditions from 15 factors to 8 more specific criteria focused on structural deterioration, inadequate infrastructure, environmental remediation needs, tax delinquency, and excessive vacancies

Requires municipalities to document at least three qualifying conditions to designate a blighted area, with new criteria emphasizing building condition analyses and demonstrable infrastructure deficiencies

Removes subjective factors from the prior definition including "diversity of ownership," "improper subdivision," "faulty lot layout," and "inappropriate or mixed uses of land"

Limits eminent domain use for urban renewal to areas meeting specific blight criteria (buildings endangering safety, tax delinquency exceeding fair value, or excessive vacancies) and prohibits municipalities from using eminent domain to acquire property for transfer to private entities

Takes effect immediately upon passage and applies to municipal blighted area resolutions adopted after the effective date