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The goal of American Prairie is to protect Montana land, not take it away.

One of the exhibits at the American Prairie National Discovery Center in downtown Lewistown, Montana (photo by Darrell Ehrlick of the Daily Montanan).

American Prairie recently announced two foreclosures in Phillips County, one of seven counties where we own properties. Chuck Denowh, policy director for United Property Owners of Montana, used the announcement to question our presence in Central Montana.

Denowh lists a “parade of horrors” for the American Prairie, accusing us of hastening the decline of the central Montana farm economy and communities, and threatening Montana’s general fund revenues with our nonprofit status. He even holds us responsible for rising food prices.

Mark Twain joked, “That’s is not What you do not know it gets You down troubles. This is it You know Down Bright This it’s just not like that.”

Here’s what we know:

About 62 percent of Montana’s land is devoted to agriculture, with more than 58 million acres devoted to farms and ranches. A recent article about the American Prairie in Gun Dog Magazine noted, “If the American Prairie is affecting the local economy, it’s not reflected in the data. In fact, unemployment in the region has been steadily declining since the American Prairie was formed, and the population has grown slightly. The agricultural sector is now at a 10-year high.”

In 2023, 89 percent of our total land base was leased to local cattle ranchers, supporting more than 7,000 head of cattle. On the lands where our herd of 900 bison graze, American Prairie pays per capita taxes 2.7 times higher than the cattle fees.

American Prairie pays property taxes on land, vehicles and equipment just like any other rancher. Employees and tenants living on American Prairie land or in nearby communities pay into their local tax bases. American Prairie contributes to the growth of lodging tax revenues as we continue to promote visitation to the region. Over the past four years, American Prairie has paid over $573,000 in taxes (actual, personal, use, etc.) to the counties where we own properties.

American farmers, the world’s most productive, produce a surplus of food every year that supported $175 billion in exports last year. The recent rise in food costs is an inflationary phenomenon fueled by a massive injection of federal money into the country’s economy.

Land prices are rising across the U.S., including ranches and farmland in Montana. The USDA’s 2022 Land Value Summary showed that the value of pastures in the state increased by 10.7% per acre from 2021 to 2022, slightly less than the national average increase of 11.5%. Data like this indicates that the American Prairie is not driving up land costs.

The development of the American Prairie has little impact on long-term demographic and economic trends in Central Montana. Prolonged drought, market fluctuations, international trade policies, personal family decisions, and global integrated agricultural markets have a much larger impact.

We buy land from willing sellers and are just one player in the market. We pay market rates and are restricted by IRS regulations from paying more than 10% over appraised value. Having an additional buyer in the market is certainly a benefit and we help families secure their future.

American Prairie is organized under Section 501(c)(3) of the Internal Revenue Code. As such, we are exempt from business income tax and our donors receive a tax deduction. Interestingly, Montana’s property tax system annually exempts over $50 million in property taxes for tax-exempt organizations and certain types of tax-exempt properties.

Montana nonprofits play important and often critical roles in our communities. They provide support for cultural and religious institutions, fill gaps in health care, and provide better educational opportunities. Instilled at our nation’s founding, our deeply rooted culture of philanthropy is the envy of the world. If Denowh wants to campaign to change that, I wish him luck.

One final note: Mr. Denowh represents an organization that supposedly supports property rights and limited government power. Yet he is a leader in an effort to use the power of the state to attack legitimate business practices on the American Prairie. Isn’t it ironic that a property rights group seeks to use the coherent power of government to intervene in the peaceful and voluntary transactions of consenting parties?

Pete Geddes is American Prairie’s vice president and chief external affairs officer. He has been with the organization since 2011.