The Bozeman Unified Development Code: Overview

Introduction

On December 16, 2025, the Bozeman City Commission officially adopted the revised Unified Development Code (UDC) through Ordinance 2151, marking a significant milestone in the city’s planning efforts. This comprehensive overhaul replaces the entirety of Chapter 38 in the municipal code, along with the associated zoning map. The new UDC is set to take effect on February 1, 2026, providing a fresh framework for land use, zoning, and development in Bozeman, Montana. Designed to align with the city’s long-term visions outlined in documents like the Bozeman Community Plan, Climate Action Plan, and affordable housing priorities, the UDC aims to balance growth with sustainability while complying with state laws such as the Montana Land Use Planning Act.

The UDC serves as the primary regulatory tool for guiding what types of development can occur where, through standards for zoning districts, building designs, subdivisions, and more. Its adoption comes after years of community input, revisions, and debates, reflecting Bozeman’s rapid population growth and the need for updated regulations to address housing shortages, environmental concerns, and urban expansion.

Background and Need for Update

Bozeman first adopted zoning regulations in 1935, with the original UDC implemented in 2003. By 2022, city officials recognized the need for a major update to accommodate the city’s booming population—Bozeman has been one of the fastest-growing micropolitan areas in the U.S.—while addressing modern challenges like climate change, housing affordability, and infrastructure strain. The update process was initiated to implement goals from the 2020 Bozeman Community Plan (also known as the Land Use Plan), which emphasizes sustainable development, diverse housing options, and preservation of neighborhood character.

Key drivers for the revision included compliance with new state laws, such as bills requiring cities to allow multi-unit housing in commercial zones and encouraging at least five housing strategies to boost supply. Additionally, the city aimed to improve the code’s usability, making it more accessible for residents, developers, and builders through better organization, clearer language, and streamlined processes. Prior to the update, about 50% of Bozeman’s land was zoned exclusively for single-family dwellings, with additional barriers like parking mandates, setbacks, and minimum lot sizes limiting denser development.

The Development Process

The UDC update began in the summer of 2022, involving extensive public engagement. City staff conducted surveys, forums, community chats, and meetings with advisory boards, gathering over 2,000 responses. An initial draft released in 2023 faced significant backlash, prompting a full rewrite. Supplemental engagement continued through winter 2024 and spring 2025, with the City Commission holding five work sessions to review alternatives and public input.

A revised draft was released on September 19, 2025, followed by updates for editorial corrections and minor revisions by November 24, 2025. Public hearings began on November 3, 2025, with the Community Development Board recommending approval with amendments on November 17. The City Commission held additional work sessions on November 10 and 18, then provisionally adopted the code on December 2, 2025, incorporating 24 amendments. Final adoption occurred on December 16, with one last modification: setting a maximum building height of 90 feet in the B-3 (central business) zoning district.

Throughout, tools like an interactive zoning map comparison viewer and summary tables of changes were made available online to facilitate public review. The process emphasized transparency, with materials posted on engage.bozeman.net/udc.

Key Features and Changes

The revised UDC introduces several transformative elements to promote sustainable, equitable growth. Key changes include:

Zoning District Consolidation and Updates

The code consolidates zoning districts to simplify regulations, separating the former R-A (residential-agricultural) zone into lower- and medium-density categories. This allows for a wider variety of housing types, such as triplexes, fourplexes, townhomes, and apartments in areas previously limited to single-family homes. A new B-3C district was created for Main Street between Grand and Rouse to tailor regulations for that area. Overall, zoning changes increase density to provide more housing opportunities while strengthening transitions between zones to preserve neighborhood character.

Housing Diversity and Affordability

To address housing shortages, the UDC permits multi-unit dwellings and mixed-use developments in commercial zones as required by state law. It reduces barriers like minimum lot sizes and setbacks, potentially allowing up to eight dwellings in 10,000-square-foot, three-story buildings in former single-family areas. Incentives for affordable housing, such as eliminating on-site parking requirements for projects with at least 50% affordable units, build on the 2022 Affordable Housing Ordinance. Density caps and occupancy limits were also incorporated to manage growth.

Sustainability and Environmental Protections

Revisions enhance wetland protections, riparian corridors, and wildlife migration paths, aligning with the recently adopted Sensitive Lands Protection Plan. The code promotes green building practices and integrates climate goals from the Climate Action Plan.

Parking and Transportation

Updates reduce parking minimums in certain areas to encourage walkable, transit-oriented development and free up land for housing.

Building Heights and Design Standards

Lower-density zones now have maximum height limits, with mass and scale standards refined to maintain aesthetic and functional harmony. Public notice provisions and review processes were updated for better community involvement.

Usability Improvements

The document features better formatting, organization, and clarity, making it easier for users to navigate.

Impact on Housing and Development

The UDC is expected to significantly influence Bozeman’s housing market and overall development landscape. By increasing allowable densities and diversifying housing types, it aims to boost supply amid high demand, potentially improving affordability. For instance, allowing triplexes and fourplexes in single-family zones could maximize land use, addressing the fact that 13% of land zoned for small apartments was effectively single-family due to restrictions. This aligns with state mandates to encourage multi-unit housing, which could help mitigate the doubling of short-term rentals between 2020 and 2023 that reduced long-term housing stock.

On the development side, streamlined processes and reduced parking requirements may lower costs for builders, spurring more projects. However, increased environmental scrutiny on sensitive lands could add layers to approvals, particularly for properties near wetlands or foothills. Overall, the code positions Bozeman for predictable, responsive growth, preserving natural beauty while accommodating expansion.

Controversies and Public Response

The UDC update was not without controversy. The 2023 draft drew criticism for potentially disrupting neighborhood character, leading to revisions focused on balancing density with protections like height limits and edge transitions. Some residents worried about displacement from denser developments or the loss of single-family exclusivity, while others advocated for more aggressive affordability measures. Public comments during hearings highlighted concerns over zoning in areas like Centennial Park and the need to preserve historic and affordable housing.

Despite divisions, city leaders praised the collaborative process. Outgoing Mayor Terry Cunningham noted that community engagement led to “better, more sustainable results.” Groups like the Bozeman Welcoming Neighbors Coalition supported the changes for promoting abundant, diverse housing, while the Better Bozeman Coalition raised alarms about impacts on single-family neighborhoods.

Conclusion

The adoption of the Bozeman Unified Development Code on December 16, 2025, represents a forward-thinking approach to managing growth in one of America’s most dynamic small cities. Effective February 1, 2026, it equips Bozeman with tools to foster inclusive, sustainable development while honoring community values. As the city implements the code, ongoing monitoring and adjustments will be crucial to ensure it meets its goals of affordability, environmental stewardship, and quality of life. Residents and developers alike can access the full code and resources at engage.bozeman.net/udc for further details.