You can control the visibility of the frame that represents the extents of the DGN underlay or the visibility of the frame that is defined by the clipping boundary.
You can hide DGN underlay frames. A frame is a visual border that shows the extents of the DGN underlay, or the clipped boundary of the DGN underlay. Hiding the underlay frame prevents the boundary from being plotted or displayed. When underlay frames are hidden, clipped underlays are still displayed to their specified boundary limits; only the frame is affected. Showing and hiding underlay frames affects all underlays attached to your drawing.