Montana St lost to SDSU and Montana should've been beaten solidly by UND, with both of those games taking place in Montana. Montana hasn't played anyone other than UND this season and Mt State's best win is probably Northern Arizona. They aren't it unless those earlier games against SDSU and UND were anomalies.
I don't think they care about conference matchups, but if you played each other in the regular season they're supposed to avoid having you play each other in round 1.