N.M. Admin. Code § 1.5.23.8

Current through Register Vol. 35, No. 24, December 23, 2024

Section 1.5.23.8 - ACQUISITION OF REAL PROPERTY

A. Public bodies requiring board approval before acquiring real property include, but are not limited to, the following:

(1) general services department;

(2) department of game and fish for expenditures from the game and fish capital outlay fund;

(3) the state for state parks or recreational areas pursuant to Subsection J of Section 16-11 NMSA 1978.

B. In order to attain approval for acquisition of real property, the board requires that the following information be provided at the time of submission to the board:

(1) the form of general warranty deed by which the public entity will take title in fee simple absolute containing legal description of the property and warranty covenants; reversions or other forfeiture provisions in the deed shall be accepted only under extraordinary circumstances; special warranty deeds will be accepted only under extraordinary circumstances; when the seller is a public body, transfer of title shall be by quitclaim deed;

(2) a copy of a current appraisal report completed by a general certified appraiser for commercial property or a general certified appraiser or a residential certified appraiser for residential property and report of review from the property tax division of the taxation and revenue department if the appraisal was not done by the property tax division; the public entity seeking property tax division review must submit necessary information to the property tax division within the time frame specified by the property tax division; when the seller is another governmental entity, neither an appraisal nor property tax division review is required;

(3) full sized site improvement survey plat to verify legal description and to identify the existence of recorded easements and encroachments, if applicable;

(4) a description of the proposed use;

(5) sources of funds used for the purchase;

(6) current title binder evidencing clear title with no non-standard exceptions, and:

(a) agreement by the title company of the inclusion of exceptions and statements verbatim as set forth in 13.14.5.10 NMAC;

(b) for any special exceptions listed in Schedule B, an explanation of each exception and measures the public body is taking to mitigate any risks associated with the exception;

(7) purchase agreement, if applicable, containing a statement making the purchase and any amendments to the agreement subject to board approval;

(8) phase 1 environmental assessment for all properties; phase II environmental assessment if recommended by the phase I assessment; explanation of any recognized environmental conditions contained in such assessments and statement of how recognized environmental conditions will impact intended use of the property;

(9) resolution or minutes of the governing body, if applicable, authorizing the purchase and containing a provision making the acquisition subject to approval by the board; and

(10) approval of the disposition by the local government division of the department of finance and administration pursuant to Subsection D of Section 3-54-2 NMSA 1978 if the entity selling, exchanging or donating the real property is a municipality

C. Acquisition of real property for more than fair market value, as determined by the requirements of Paragraph (2) of Subsection B of 1.5.23.8 NMAC, is not permitted.

N.M. Admin. Code § 1.5.23.8

1.5.23.8 NMAC - N, 2-14-2001; A, 6-28-2002; A, 9-30-2004; A, 3-15-2010; A, 8-15-2011, Adopted by New Mexico Register, Volume XXXV, Issue 24, December 23, 2024, eff. 12/23/2024