Or. Admin. Code § 736-019-0100

Current through Register Vol. 63, No. 10, October 1, 2024

Section 736-019-0100 - Acquisition Practices

(1) The Department will:

(a) Engage in land purchases and land sales in which the value of the land is established by an up-to-date appraisal prepared by an independent professional appraiser or a qualified government employee.

(b) Obtain an independent review of appraisals when the appraised value exceeds $250,000.00.

(c) Consult with local taxing entities of government when a land purchase has potential to cause a significant loss of property tax revenue.

(d) Seek to purchase from willing sellers as the preferred method of buying land.

(e) Exercise the greatest of restraint in using the power of eminent domain consistent with the spirit and intent of the laws authorizing such power.

(f) Acquisitions and exchanges shall be made only with approval of the Commission.

(g) The Director may pay up to $10,000.00 for an option or earnest money agreement if there is a high degree of certainty, without committing a future Legislature, that the funds to complete the subject purchase will be forthcoming. Option payments in excess of $10,000.00 shall only be made if approved by the Commission.

(h) The Department will utilize sound business principles in securing appraisals and conducting negotiations, and shall complete its due diligence in connection with all real property acquisitions and exchanges, including the request for and review of title searches, hazardous material assessments, agreements with third parties intended to facilitate an acquisition by the Department, and any other documents necessary to make the best decision regarding a land purchase or exchange.

(i) Appraisals upon which the Department makes an offer must be dated as close in time to the expected closing as possible, and not be older than one year.

(j) The Department will require the appraiser to consider the new, anticipated, or intended use, income, or zone, if the Grantee proposing an exchange or sale intends, or is likely to pursue, a different highest and best use than the Department's current use or zone.

(k) Submit an Agency Surplus Real Property Notification to the Department of Administrative Services and request the notification of adjacent cities, appropriate counties and all state agencies for the sale, transfer, or exchange of any real property right from Department ownership.

(l) Conduct a visual inspection and check the records for historical uses of any land considered for acquisition. If either the visual inspection or historic records provide information the Department determines merits further investigation of environmental issues, the Department will engage in additional environmental review.

(2) In addition to the practices describe in section (1) of this rule, when acquiring ownership of or interests in lands abutting, adjacent or contiguous to the ocean shore for state recreation areas or access where such lands are held in private ownership, the department will also consider the criteria provided in ORS 390.630.

Or. Admin. Code § 736-019-0100

PRD 11-2004, f. & cert. ef. 9-15-04; PRD 3-2011, f. & cert. ef. 3-30-11

Stat. Auth.: ORS 390.121 & 390.124

Stats. Implemented: ORS 390.112 & 390.121