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Rules Governing The Sale, Exchange And Purchase Of Land


Published: 2015

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The Oregon Administrative Rules contain OARs filed through November 15, 2015

 

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DEPARTMENT OF STATE LANDS




 


DIVISION 67
RULES GOVERNING THE SALE, EXCHANGE AND PURCHASE OF LAND

141-067-0130
Purpose and Applicability
These rules:
(1) Establish procedures for the sale, exchange, and purchase of all types and classifications of land and other interests including mineral and geothermal resource rights in land managed or to be managed by the State Land Board and the Department of State Lands in order to comply with all Constitutional and statutory requirements including, but not limited to: Oregon Constitution Article VIII, Section 5(2), and ORS 270, 271, 272, 273, and 274.
(2) Do not pertain to the leasing of lands or the granting of easements across lands managed by the State Land Board and the Department of State Lands, which are governed by other Department administrative rules.
(3) Apply to all land transactions (for example, sales, exchanges and purchases) for the South Slough National Estuarine Research Reserve as established in ORS 273.553.
(4) Do not apply to:
(a) The sale of submerged, submersible or new lands fronting upon the Pacific Ocean, or
(b) Land sold by the Department under the administrative rules of Procedure for the Recovery of Escheat Property (OAR chapter 141 division 030) or the Administration of Estates -- Probate (OAR chapter 141 division 035)
(c) Contracts for the sale of timber or other forest products.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0150
Definitions
(1) "Abutting" means immediately adjacent to or facing.
(2) "Apparent Successful Purchaser" is the person who is the highest acceptable bidder and who has agreed to the terms and conditions of a land sale prior to the final approval of the sale by the State Land Board.
(3) "Applicant" is any person who submits a written request to the Department to purchase or exchange state land or interests in land.
(4) "Appraisal" or "Appraisal Report" means a written statement setting forth an opinion as to the market value of the lands or interests in lands as of a specific date(s) prepared by a qualified appraiser in accordance with the Uniform Standards of Professional Appraisal Practices (USPAP) standards.
(5) "Asset Management Plan" or “AMP” is the plan adopted by the State Land Board that provides the policy direction and management principles to guide both the short and long term management by the Department of State Lands of its real estate assets.
(6) "Bargain" is a process by which the Department and another person attempt to agree to a final sale price of state land or interests in state land.
(7) "Bargain and Sale Deed" is a form of a deed that conveys real property from a seller to a buyer but does not guarantee clear title.
(8) "Bid" means a written or oral monetary commitment to purchase land or interest in land offered at the specified time and place by a person determined by the Department as provided in OAR 141-067-0220 of these rules to be eligible to participate in an auction process.
(9) "Deed" means a written, legal instrument that conveys an estate or interest in real property when it is properly executed and delivered.
(10) "Director" means the Director of the Oregon Department of State Lands or designee.
(11) “Department” means the Department of State Lands.
(12) "Department Estimate of Value" is the monetary value of a land parcel established by the Department and approved by the State Land Board based on a critical review of the appraisal report; any review appraisal information; and other relevant or supporting data. The value may be derived, at the discretion of the Director, by considering factors or costs as are appropriate and applicable to the transaction.
(13) "Easement" is an authorization granted by the Department that gives a person the use of a specifically designated parcel of state-owned land for a specific purpose and length of time. An easement does not convey any proprietary or other rights of use to the holder other than those specifically granted in the easement authorization.
(14) “Filled Lands” as defined in ORS 274.705 (1) means submerged and submersible lands reclaimed artificially through raising such lands above the highest probable elevation of the tides to form dry land, by placement of a fill or deposit of earth, rock, sand or other solid imperishable material.
(15) “Formerly Submerged and Submersible Lands” are lands such as de-watered channels that once were part of the submerged and submersible lands of a navigable body of water but are no longer part of the waterway due to the dynamic forces of the waterway.
(16) “Geothermal Resources” as defined in ORS 522.005 means the natural heat of the earth, the energy, in whatever form, below the surface of the earth present in, resulting from, or created by, or that may be extracted from, the natural heat, and all minerals in solution or other products obtained from naturally heated fluids, brines, associated gases, and steam in whatever form, found below the surface of the earth, exclusive of helium or of oil, hydrocarbon gas or other hydrocarbon substances, but including, specifically:
(a) All products of geothermal processes, including indigenous steam, hot water and hot brines;
(b) Steam and other gases, hot water and hot brines resulting from water, gas, or other fluids artificially introduced into geothermal formations;
(c) Heat or other associated energy found in geothermal formations; and
(d) Any by-product derived from them.
(17) "High Bid" means the highest monetary commitment to purchase land offered by a person eligible to participate in a land sale auction.
(18) "Highest and Best Use" means the reasonably probable and legal use of vacant or an improved property which is physically possible, appropriately supported, financially feasible, and that results in the highest value.
(19) “Historical Filled Lands” are new lands created by the federal government on land owned by the state before October 5, 1973 and the adjoining or opposite upland or riparian land on the same side of the body of water is owned by other than a public body (i.e. a nonpublic riparian owner).
(20) "Individual Person" means a natural person and does not include such entities as a corporation, public agency, political subdivision or association.
(21) “Land Acquisition Evaluation” is an analytical review of land or interest being considered for acquisition by the Department to determine whether or not the land or interests should be acquired by purchase or exchange. The review includes:
(a) An examination of the physical, land management, financial, natural resource, recreational and cultural resource aspects of the land or interest; and
(b) A comparison of the information from (a) above, with the acquisition criteria and strategies of the Asset Management Plan.”
(22) “Land Disposal Evaluation” is an analytical review of state land or interest being considered for sale or exchange to determine whether or not the land or interest should be retained or disposed. The review includes:
(a) An examination of the physical, land management, financial, natural resource, recreational and cultural resource aspects of the land or interest; and
(b) A comparison of the information from (a) above, with the disposal criteria and strategies of the Asset Management Plan.
(23) “Land Exchange” means a simultaneous conveyance of land or interest in state land for land or interest in land of another entity of equal value (either appraised or Department-estimate of value).
(24) “Land Exchange Agreement” is a non-binding agreement between the Department and another party that sets out the terms of the exchange proposal and the responsibilities of each party to complete the exchange. The agreement, at a minimum, describes the lands to be exchanged; assigns responsibility for completion of and payment for appraisals, surveys, land use applications, advertising, closing and any special studies including environmental audits; and establishes a reasonable time schedule for completion.
(25) "Lease" means a valid enforceable contract executed by the Department and signed by the lease applicant (called lessee) allowing the use of a specific area of state land for a specific use under specific terms and conditions specified in the lease contract and these rules.
(26) “Lessee” refers to any person having a valid lease issued by the Department.
(27) "Market Value" or "Fair Market Value" means the most probable price in cash, or terms equivalent to cash, which land or interests in land should bring in a competitive and open market under all conditions requisite to a fair sale, where the buyer and seller each acts prudently and knowledgeably, and the price is not affected by undue influence.
(28) "Mineral and Energy Resource Potential Analysis" is an analysis of the mineral and geothermal interests of a parcel to determine if any minerals or energy resources exist in commercially valuable and extractable abundance.
(29) “Mineral and Geothermal Resource Rights” are all mineral rights as defined in ORS 273.775(1), including soil, clay, stone, sand, and gravel, and all geothermal resources, as defined in 273.775(2), together with the right to make use of the surface as may be reasonably necessary for prospecting for, exploring for, mining, extracting, reinjecting, storing, drilling for, and removing, such minerals, materials, and geothermal resources.
(30) "Minimum Bid" is the lowest monetary commitment to purchase land offered from a person eligible to participate at a land sale auction that the Department will accept.
(31) "New Lands" as defined in ORS 274.905 means those lands protruding above the line of ordinary high water, whether or not connected with the adjoining or opposite upland or riparian land on the same side of the body of water, which have been created upon submersible or submerged lands by artificial fill or deposit and not including bridges, wharves and similar structures constructed upon submersible or submerged lands by other than artificial fill or deposit.
(32) "Non-Trust Land" or "Statutory Land" is state-owned land managed by the Department other than Trust Land. Examples of Non-Trust Land include state-owned Swamp Land Act Land, and submerged and submersible land (land below the line of ordinary high water) under navigable waterways.
(33) "Person" includes individuals, corporations, associations, firms, partnerships, limited liability companies and joint stock companies as well as any state or other governmental or political subdivision or agency, public corporation, public authority, or Indian Tribe.
(34) "Public Body" means the State of Oregon or any port organized under the laws of Oregon or dock commission of any city of this state.
(35) “Public Trust Values” are the rights and interests held by the public to use and enjoy submerged and submersible lands and waters of the state for fishing, navigation, recreation and commerce (also termed “jus publicum rights”).
(36) “Qualified Appraiser” is a person who is a state-certified appraiser, or a salaried public employee of the federal government, the State of Oregon or a political subdivision of the federal government or the State of Oregon engaged in the performance of the duties of the employee as defined in ORS 674.100(2)(h).
(37) "Quitclaim Deed" is a form of deed in which any interest the grantor possesses in the property described in the deed is conveyed to the grantee without warranty of title.
(38) "Rangelands" means Trust and Non-Trust Lands that are classified by the Department for management primarily for livestock grazing largely on uncultivated forage areas with limited improvements or development.
(39) "Reserved Interest" means an interest in the land that is retained by the Department from a conveyance of the title to the state land.
(40) "South Slough National Estuarine Research Reserve" is a component of the National Estuary Reserve System situated at South Slough (Coos County) established under ORS 273.553.
(41) "South Slough Management Commission" is the public body established in ORS 273.554 for the purpose of directing the management of the South Slough National Estuarine Research Reserve.
(42) "State Forester" is as described in ORS 526.005(03).
(43) "State Land" means real property, including improvements, or any interest in real property (for example, timber or minerals) managed by the State Land Board and the Department of State Lands as Trust or Non-Trust Land.
(44) "State Land Board" or "Board" means the constitutionally created body consisting of the Governor, Secretary of State and the State Treasurer that is responsible for managing the assets of the Common School Fund as well as for additional functions placed under its jurisdiction by law.
(45) “Submerged Land” means land lying below the line of ordinary low water of all title navigable and tidally influenced waters within the boundaries of the State of Oregon.
(46) “Submersible Land” means land lying between the line of ordinary high water and the line of ordinary low water of all title navigable and tidally influenced waters and all islands, shore lands or other such lands held by or granted to this state by virtue of her sovereignty, wherever applicable within the boundaries of the State of Oregon.
(47) "Trust Lands" or "Constitutional Lands" is all land granted to the state for the use of schools upon its admission into the Union, or obtained by the state as the result of an exchange of Trust Land, or obtained in lieu of originally granted Trust Land, or purchased with trust funds, or obtained through foreclosure of loans using trust funds.
[Publications: Publications referenced are available from the agency.]
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 – 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0155
Policies
(1) Pursuant to Article VIII, Section 5(2) of the Oregon Constitution, the State Land Board has a constitutional responsibility to manage all land (Trust and Non-Trust) under its jurisdiction “with the object of obtaining the greatest benefit for the people of this state, consistent with the conservation of this resource under sound techniques of land management.”
(2) In order to achieve the constitutional mandate described above and to maximize the financial return to the Common School Fund from Trust Lands, the Department will seek to obtain the full fair market value for any land or interests in land sold or exchanged.
(3) Trust Lands will be sold or exchanged in a manner that complies with state law while ensuring absolute adherence to both constitutional and Admission Act trust responsibilities as determined by the State Land Board and subject to review by the courts.
(4) The Department will follow the guiding principles and resource-specific management prescriptions contained in the Asset Management Plan.
(5) In order to carry out the directives of the Asset Management Plan the Department may initiate efforts, subject to approval of the State Land Board, to purchase, sell or exchange Trust and/or Non-Trust Lands.
(6) Any Trust Land or interest in Trust Land may be exchanged for other land or interest in land, of equal or superior value. The newly acquired land or interest in land shall become Trust Land.
(7) The Director may, with State Land Board approval, purchase, sell or exchange lands in any such size, configuration or class (e.g. forest, agriculture, commercial).
(8) The State Forester may initiate and process land exchanges involving Common School Forest Lands under its management as allowed in the management agreement between State Land Board, the Department of State Lands and the State Forester. Such land exchanges require the approval of the State Land Board.
(9) Qualified persons and agencies may apply to purchase or exchange state land or interests in state land at any time. An application fee, as required by these rules, shall be included with each application. The Department reserves the right to accept or reject any application as well as to prioritize land sale and exchange projects according to available agency funds and income potential.
(10) The Department will not sell or exchange state-owned submerged land except to facilitate remedial action conducted pursuant to a plan approved by the Oregon Department of Environmental Quality (DEQ) or the U.S. Environmental Protection Agency (EPA) and with DEQ or EPA oversight. In instances when the Department chooses to sell or exchange submerged lands under circumstances as stated in these rules, such transaction shall occur only upon a finding that the transaction will provide a net gain in public trust values to the people of Oregon when viewed alone or in conjunction with other nearby or related sites. The State Land Board must approve all sales or exchanges of state-owned submerged land.
(11) The Department recognizes that uncertainty exists as to the extent of the State’s ownership of filled lands and some formerly submerged and submersible lands. Actions to determine and assert the State’s interest, if any, in filled lands or formerly sub-merged and submersible land should be done in a prompt and orderly manner and as funding allows. The State Land Board authorizes the Department to negotiate settlements in lieu of litigation, when and where appropriate, with regard to the ownership of filled lands and formerly submerged and submersible lands.
(12) The Department may exchange or sell submersible lands subject to the approval of the State Land Board, based on its finding that the proposed transaction will accrue a net gain of public trust values to the people of Oregon when viewed alone or in conjunction with other nearby or related lands within the control of the applicant.
(13) The State Land Board authorizes the Director or designee to issue such certificates of sale, deeds or conveyances as are necessary to carry out the land transactions approved by the State Land Board in conformance with these rules. Such instruments shall include, but not be limited to bargain and sale, limited warranty and quitclaim deeds, and be drawn in a manner to transfer any and all rights and interests to the buyer/exchange partner that the Department may hold or has agreed to convey.
(14) Land or interest in land sold to another state agency or political subdivision under the provisions of ORS 270.100 shall be used for public purpose or benefit, and not be sold for resale to a private purchaser. Restrictions to further this policy shall be included in the deed and be enforceable through such terms as, but not limited to, reversionary clauses.
(15) The State Land Board shall recognize and adhere to all terms and conditions of valid existing leases and easements as they affect proposed land sales or exchanges.
(16) The State Land Board shall retain all mineral and geothermal resource rights (as defined) except as allowed under OAR 141-067-0320.
(17) The Department will seek certification of these rules by the Department of Administrative Services (DAS) as permitted under OAR 125-045-0210. These rules are intended to carry out land transactions in a manner consistent with DAS rules for the Disposition and Acquisition of Real Property Interests (OAR 125-045).
(18) DAS approval is not required for:
(a) Sale of Non-Trust Land (except those lands sold at less than the appraised value);
(b) Sale of New Land, where ORS 274.905 to 274.940 gives a person or public body a right to purchase New Lands;
(c) Sale of Trust Land;
(d) Any land exchange;
(e) Any release, sale or exchange of mineral and geothermal resource rights.
Stat. Auth.: OAR 141-167-0005 – 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0160
Eligibility to Apply to Purchase or Exchange Land
Unless otherwise indicated in these rules, any person who is at least 18 years of age and who is a citizen of the United States or who has declared an intention to become a citizen, may apply to purchase or exchange state land
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0165
Application and Application Processing Fees
(1) An application to buy or exchange land subject to these rules must be submitted on a form provided by the Department.
(2) Each land sale applicant must submit with the application a correct and concise description of the land(s) involved in the requested transaction.
(3) A single application may include multiple land parcels.
(4) The appropriate application fee must be included with the application.
(5) The application fee for all land sales or land exchanges is $750 per application. However, the Director may determine additional application fees are necessary for applications covering multiple parcels.
(6) The fee for the assignment of a certificate of sale is $750.
(7) The application fee for the release of mineral or geothermal resource rights to a qualified owner under OAR 141-067-0320 of these rules is $150.
(8) All application processing fees are non-refundable except as noted in these rules.
(9) Incomplete applications or those received from ineligible applicants will be returned.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0170
Land Exchanges
(1) Except as provided in OAR 141-067-0300 or as limited by 141-067-0155, the Department may exchange any lands or interests in lands (including New Lands and submerged and submersible lands) for any other lands to meet objectives of the Asset Management Plan or the South Slough National Estuarine Research Reserve Management Plan. Exchanges shall be made on the basis of value. The Department may accept a monetary payment or reserve rights as part of the consideration to the extent required for a fair transaction.
(2) The Department may initiate a land exchange without requiring that an application be submitted.
(3) Any person, eligible to do so, may submit an application to the Department to initiate a land exchange. The application must be submitted on a form provided by the Department.
(4) The Department will notify the lessee, if any, by registered or certified mail and the applicant of receipt of the land exchange application. Within a reasonable time after receipt of the land exchange application, the Director will conduct an initial review of the application and determine the action to be taken including but not be limited to:
(a) Rejecting the application. A rejected application shall be returned to the applicant with the reasons for its rejection clearly stated. The lessee, if any, will also be notified. An additional non-refundable application fee will not be required for an application that is resubmitted within 120 calendar days of its rejection.
(b) Accepting the application for further processing; or
(c) Requesting more information.
(5) Following initial review and acceptance of the application, the Department will:
(a) Complete a Land Disposal Evaluation and Land Acquisition Evaluation of the lands involved in the exchange;
(b) Initiate the applicable elements of the public interest review process.
(6) If the Director determines to proceed with the land exchange proposal, the Department will negotiate a Land Exchange Agreement with the applicant. The State Land Board shall approve the Land Exchange Agreement.
(7) The Department may group together similar land exchange applications for more efficient processing. The willingness of applicants or other interested parties to pay for or share in the cost of appraisals, surveys, public notices or other expenses may be a factor in the Department’s prioritization of land exchange proposals.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0180
Public Interest Review Process; Public Meetings and Hearings
(1) After an application has been accepted for further processing or at anytime the Department decides to sell or exchange land the Department will notify, in writing, all affected lessees (by registered or certified mail) and adjacent lessees of a potential land sale or land exchange.
(2) Lessees affected by a land exchange proposal will be given notice that if a written protest is submitted by an affected lessee to the Department within 20 calendar days of the mailing a public hearing will be held on the exchange proposal. Such a hearing will be scheduled as described in OAR 141-067-0180(7).
(3) Notify, in writing, all adjacent landowners, and all affected school districts, city and county governments, including the county board of commissioners of a potential land sale or land exchange. The notice will offer all entities and persons an opportunity to comment on the proposal.
(4) Notify, in writing, those individuals and public interest groups that have indicated, through prior contact with the Department, an interest in potential land sales or land exchanges.
(5) Notify the Department of Administrative Services as described in OAR 141-067-0190.
(6) The Department may hold a public meeting on any land sale or exchange proposal to solicit public comment and explain the proposal. The Department will give 45 calendar days notice of any such meeting(s) to adjacent land owners, lessees, interested parties, agencies and local governments by mail and press releases or public notice in a newspaper of general circulation within the county in which the proposal is located. The public meeting information will also be posted on the Department’s website.
(7) The Department will hold a public hearing on the proposal if it receives a timely written protest of a land exchange proposal from an affected lessee. The hearing will be cancelled or not scheduled if, anytime after the lessee’s written protest is received, the Department rejects the land exchange proposal or the applicant withdraws the application. The hearing will be held at least 45 calendar days, but not more than 90 calendar days, after the written protest has been received by the Department. All affected lessees of land considered for exchange will be notified of the hearing by certified or registered mail. All others will be given notice in the same manner as described in OAR 141-067-0180(6). All comments by the lessees or their representatives and all other interested parties will be recorded and compiled in the hearing record for review by the State Land Board or Director. The affected lessee and all registered public hearing attendees will be notified of any decision of the Director or the State Land Board resulting from the public hearing.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0190
Compliance with the Department of Administrative Service (DAS) Rules for the Disposition and Acquisition of Real Property
(1) Before acquiring any land by purchase or exchange or selling or exchanging any land or interests in land, the Department will notify the Department of Administrative Services Facilities Division (DAS) on an approved form. DAS will notify all state agencies and political subdivisions of the anticipated transaction.
(2) The Department will seek certification of these rules (OAR 141-067) as permitted by 125-045-0210.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0195
Resolving Ownership of Filled Lands or Formerly Submerged and Submersible Lands
(1) Any person interested in resolving ownership of filled lands or formerly submerged and submersible lands may meet with the Department to discuss the facts concerning the creation and ownership of the lands in question.
(2) Based on the facts presented, as well as the Department’s own investigation, the Department may do the following:
(a) Agree that the Department has no interest in the filled land or formerly submerged or submersible land;
(b) Determine who is entitled to purchase the filled lands under these rules;
(c) Enter into litigation to resolve the ownership issue, including but not limited to a suit to quiet title;
(d) Enter into negotiation in lieu of litigation with the person to resolve the ownership question;
(e) Request more information from the landowner or person; or
(f) Pursue other actions aimed at resolving the ownership question.
(3) Factors the Department may weigh in determining its course of action include but are not limited to:
(a) The chronological history of the creation of the filled lands;
(b) The identity of the person(s) who created the filled lands;
(c) The past actions of the Department regarding the sale of submersible lands;
(d) The identity of the current riparian owner;
(e) The cause for the change in the location of the waterway; and
(f) The relative strength of the Department’s ownership claim.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0200
Sale of New Lands
(1) The provisions of OAR 141-067-0200 apply to those New Lands described in ORS 274.905 to 274.940.
(2) New Lands will be sold in a manner consistent with ORS 274.905 to 274.940 after review of each application and approval of the State Land Board.
(3) Any public body or person, as defined in these rules with rights to purchase New Lands, as provided for in ORS 274.905 to 274.940, must submit an application on a form provided by the Department. A non-refundable application fee in the amount shown in OAR 141-067-0165 must be included with the application.
(4) Following receipt of the application, the Department will notify the applicant of receipt of the application. Within a reasonable time after receipt of the application, the Department will review the application for completeness and determine if the applicant qualifies under ORS 274.905 to 274.940 to purchase the New Lands and make a preliminary estimation of the extent of the State’s ownership. Next the Department will take, but not be limited to, the following actions:
(a) Reject the application. A rejected application will be returned to the applicant with the reasons for its rejection clearly stated. An additional non-refundable application fee will not be required for an application that is resubmitted within 120 calendar days of its rejection;
(b) Accept the application for further processing; or
(c) Request more information.
(5) Upon acceptance of the application for further processing, the Department will:
(a) Complete a Land Disposal Evaluation including an analysis of the Public Trust Values of the New Lands and vicinity and a determination of the State’s ownership; and
(b) Complete the applicable elements of the public interest review, including notifying DAS in accordance with OAR 141-067-0190.
(6) If the results of the Department’s Land Sale Evaluation and analysis of Public Trust Values do not justify the sale of the New Lands, the Director shall notify the applicant and cease processing the application.
(7) If the Department’s Land Sale Evaluation and analysis of Public Trust Values justify the sale of the New Lands, the Department will meet with the applicant to negotiate the following items to be included in a sales agreement to be approved by the State Land Board:
(a) The area of New Lands to be purchased;
(b) The schedule for the completion of appraisals, surveys and other aspects of the transaction as required by ORS 274.905 to 274.940; and
(c) The costs to be borne by the applicant and those administrative costs to be reimbursed to the Department by the applicant.
(8) In determining the final value for the sale of the New Lands, the Department may adjust the appraisal by considering factors or costs it deems appropriate, including:
(a) The relative strength of the state’s ownership claim;
(b) The environmental condition of the property;
(c) The cost of various alternatives for addressing environmental or other conditions of the property;
(d) Access or lack of; and
(e) The amount of any property taxes based on the assessed value of the New Lands, excluding that portion of the annual tax assessment attributed to improvements, paid by the applicant in support of K-12 public schools during the duration of the applicant’s use of the New Lands.
(9) The Department will not convey any rights to minerals, oil, gas or sulfur on New Lands.
(10) The State Land Board may reserve New Lands from sale, transfer, lease or exchange if upon notice and hearing it determines that the public interest requires such land to be preserved for recreational, conservation of fish and wildlife, or the development of navigation facilities, but in case of such reservation, the adjoining or opposite upland or riparian owner shall be allowed reasonable access across such reserved New Lands to navigable water.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0215
Sale of Submerged and Submersible Lands, and New Lands Not Qualifying For Sale under the New Land provisions of OAR 141-067-0200 and ORS 274.905 to 274.940 including Historical Filled Lands
(1) Any person may submit an application to purchase submerged and submersible land and New Lands that do not qualify for sale under the new land provisions of OAR 141-067-0200 and ORS 274.905 to 274.940 including Historical Filled Lands. The application must be submitted on a form provided by the Department. A non-refundable application fee in the amount shown in OAR 141-067-0165 must be included with the application.
(2) The sale of submerged lands is limited to lands subject to remedial environmental action pursuant to a plan approved by DEQ or EPA.
(3) Applications will be processed in accordance with the applicable provisions of OAR 141-067-0220 and 141-067-0155.
(4) The applicant will be required to acknowledge the character of the land being applied for and the title interest in the land held by the Department. Further, the applicant must waive all claims against the State, including but not limited to claims for the return of the purchase price, if all or part of the land are determined to not belong to the Department.
(5) Following notice that the land is available for sale, the applicant, at their own expense, shall have a survey of the land prepared. The survey must:
(a) Be prepared by a registered land surveyor approved by the Department in writing before the start of the survey work;
(b) Connect and conform to adjacent surveys acceptable to the Department, to the extent reasonably practicable; and
(c) Be notarized and submitted to the Department along with a hard copy map that is also notarized and electronic file in a format of the Department’s choosing.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - RS 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0220
General Procedures for Land Sales (Except OAR 141-067-0200 and 0215)
(1) These general procedures apply to the processing of all land sale applications, except sales of New Lands (under ORS 274.905 to 274.940 and OAR 141-067-0200), sales of formerly submerged and submersible land (under 141-067-0300), and release of mineral and geothermal resource rights to owners of residential real property (under 141-067-0320). The Department may offer land for sale at any time without having first received an application from an individual or person. (Refer to 141-067-0230 for additional requirements for the sale of rangelands.)
(2) Any person who is eligible to do so as described in OAR 141-067-0160, may submit an application to purchase state land.
(3) Upon receipt of the application, the Department will conduct an initial review of the land sale application, including but not limited to:
(a) A determination whether or not the land described in the land sale application is a legal lot of record as described in ORS Chapter 92;
(b) A determination, of the Department 's rights and interests in the land or interests in land described in the land sale application, based, if necessary, on a preliminary title report by the Department or its agent;
(c) A Land Disposal Evaluation of the lands described in the land sale application;
(d) The results of the DAS notice process, if applicable, as described in OAR 141-067-0190;
(e) The applicable elements of the public interest review process as described in OAR 141-067-0180 of these rules; and
(f) A determination of whether the proposal is consistent with the policies set forth in OAR 141-067-0155.
(4) The Department will notify the lessee, if applicable (by registered or certified mail) and the applicant of receipt of the land sale application. Within a reasonable time after receipt of the sale application and following completion of the initial review, the Director will determine the action to be taken including, but not limited to:
(a) Rejecting the application. A rejected application shall be returned to the applicant with the reasons for its rejection clearly stated. The lessee, if any, will also be notified. An additional non-refundable application fee will not be required for an application that is resubmitted within 120 calendar days of its rejection;
(b) Accepting the application for further processing; or
(c) Requesting more information.
(5) The Department may group together similar land sale applications for more efficient processing and to attract more buyer interest. The willingness of applicants or other interested parties to pay for or share in the cost of appraisals, surveys, advertising or other expenses may be a factor in the Department 's prioritization of land sales applications for processing.
(6) If following the initial review of the land sale application is accepted for further processing, the Director will within a reasonable time:
(a) Classify as "available for sale" the land under consideration; or
(b) Not classify the lands under consideration as "available for sale." If the decision is to not classify the land as "available for sale" the Department will terminate further processing of the land sale application. As soon as possible after the Director's determination, the Department will notify the applicant and, if applicable, the lessee (by registered or certified mail) of the Director’s decision.
(7) If the lands are classified as "available for sale":
(a) The Director will determine the method of sale for the land as described in OAR 141-067-0270 and request the State Land Board’s approval of the land sale;
(b) The Department, its agent, or the applicant will, take such action as is necessary to obtain a legal lot of record determination as described in ORS 92 before the final closing of the sale;
(c) The Department will exercise the its authorities under any applicable lease contract provisions allowing for the land to be sold without the encumbrance of the lease;
(d) The Department, its agent, or the applicant, will obtain a land appraisal in accordance with the provisions of OAR 141-067-0310; and
(e) The Department will determine the Department Estimate of Value as the minimum bid, reserve price or final purchase price, as applicable, depending on the approved method of sale.
(8) The Department will conduct the sale in accordance with the method of sale established by the Director and approved by the State Land Board.
(9) The Department, its agent or the applicant will give public notice of the proposed land sale by publication in a local newspaper of general circulation within the county where the proposed land sale is located and on the Department 's website. The newspaper notice will be published for at least one day per week for at least three consecutive weeks prior to the sale. The Department will notify all landowners and lessees of land adjacent to the land being offered for sale of the sales procedure and all pertinent information concerning the proposed land sale.
(10) The Department may, at any time prior to the closing, withdraw from the sale process any or all of the lands subject to the land sale. If lands are withdrawn from sale under these rules, any monetary deposit on the land withdrawn will be refunded to the owner.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0230
Sale Procedures for Rangelands/Common School Grazing Lands
(1) After rangeland is determined to be "available for sale" as described in OAR 141-067-0220, if a forage lessee of the land has not already done so, the forage lessee may apply, on a form prescribed by the Department, to purchase the lands.
(2) A forage lessee is qualified to purchase rangeland it leases if the forage lessee meets all of the following requirements:
(a) The forage lessee is an individual person;
(b) The forage lessee is a resident of Oregon; and
(c) The forage lessee owns, in fee simple, land immediately adjacent to the land classified as "available for sale" (lands are considered to be adjacent if their boundaries are common or intersect at a common point); and
(A) The forage lessee is in compliance with all lease terms and conditions; or
(B) The forage lease affords the lessee an opportunity to purchase the leasehold.
(3) Based on the forage lessee's representation of eligibility as shown on the application form, the Director will certify that the forage lessee is qualified to purchase rangeland under OAR 141-067-0230(2). The Department will promptly notify the forage lessee of the Director's decision by registered or certified mail. The Director will advise the forage lessee of deficiencies in the event the forage lessee is not certified as eligible in the land sale process as described in 141-067-0230(2).
(4) If a qualified eligible forage lessee does not respond to the Department 's notice as described in OAR 141-067-0220(4) within 90 calendar days of the sending date of the registered or certified mail notice, then the forage lessee will be ineligible to participate in the land sale process described in 141-067-0270(2)(e).
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0250
Type of Deed; Payments for Land Purchases; Contracts; Default Issuance of Deed; Certificates of Sale; Assignments; Recording
(1) The Department will offer the type of deed (for example: quitclaim deed or bargain and sale deed) it deems to be the most legally defensible and best represents the known rights and interests held by the State Land Board in the land or interest in land being conveyed in the transaction.
(2) The Department may impose additional requirements or conditions on the issuance of the deed, including but not limited to indemnification of and waiver of claims against the Department and State of Oregon.
(3) When the land sale or land exchange process has been completed, including the payment of the purchase price or fulfillment of the terms of the land sale or land exchange agreement, the Director will execute and deliver to the purchaser a deed in a manner and form prescribed by these rules. The Department may choose to conduct closing through an escrow agent.
(4) When a purchaser of land (other than rangeland) desires to make payments in installments the Department or its agent shall, upon receipt of one-fifth or 20 percent of the purchase price of the land, deliver to the purchaser a certificate that the purchaser has contracted to purchase the land. Upon performance under the contract or payment of three-fifths or 60 percent of the purchase price and the receipt and documentation of a note or loan, and upon surrender of the certificate of sale, the purchaser, or their heirs or assigns of the purchaser, shall be issued a deed for the property by the Department or its agent.
(5) A purchaser of rangeland deemed eligible under OAR 141-067-0230 must pay at least 10% of the purchase price at the time of purchase, and may then enter into a 10-year land sale contract with the Department to pay the remainder in 10 equal annual installments with the interest rate fixed by the Department in accord with ORS 327.425.
(6) All assignments of certificates of sale shall be executed and acknowledged in the same manner as a deed to land or real property. All requests for assignment of certificates shall be in writing. Written consent of the Department is required for any assignment. The Department shall issue the deed to the assignee upon full payment of the purchase price or the remaining balance of the land sale contract, and receipt of the certificate of sale.
(7) The Department will record, in the appropriate county office, any and all deeds it receives as a result of a land exchange or purchase.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0260
Disposition of Funds Received for Trust Land Sales and Funds from Trust Land Exchanges
The proceeds of any Trust land sale or from land exchange equalization payments for Trust lands shall be deposited in the land revolving fund of the Common School Fund as established in ORS 273.413, unless directed otherwise by the Director.
Stat. Auth.: OAR 141-167-0005 – OAR 141-067-0120, OAR 125-045, ORS 270.005 – ORS 270.190, ORS 273.045, ORS 273.245 – ORS 273.247, ORS 273.251 – ORS 273.311, ORS 273.316 – ORS 273.321, ORS 273.413 – ORS 273.456, ORS 274.040, ORS 274.905 – ORS 274.940, ORS 274.960 – ORS 274.985

Stats. Implemented: OAR 141-167-0005 – OAR 141-067-0120, OAR 125-045, ORS 270.005 – ORS 270.190, ORS 273.045, ORS 273.245 – ORS 273.247, ORS 273.251 – ORS 273.311, ORS 273.316 – ORS 273.321, ORS 273.413 – ORS 273.456, ORS 274.040, ORS 274.905 – ORS 274.940, ORS 274.960 – ORS 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02
141-067-0270
Methods for Conducting Land Sales
(1) The director shall recommend to the State Land Board the method for conducting a land sale based upon the policies described in OAR 141-067-0155 and as set forth in these rules.
(2) The following methods shall be used:
(a) Direct sale at Department Estimate of Value. This method is generally used for the sale of: New Lands, as directed in OAR 141-067-0200 and ORS 274.905 to 274.940; and for the sale of certain Trust and Non-Trust land transactions involving agencies of the federal government with powers of eminent domain.
(b) Direct sale at Department Estimate of Value with reversionary rights, existing leases or other reserved interests, limitations and encumbrances. This method is used principally for land sales to state agencies and political subdivisions and is aimed at assuring that the land will continue to be used for public purposes after it has been transferred.
(c) Direct sale to a qualified lessee, or if not applicable, to an adjacent landowner at a sale price based on a Department Estimate of Value.
(d) Sale to the highest bidder via oral or sealed bid auction or combination thereof; minimum bid or reserve price approved by the Director. This method is used for all classes of Trust and Non-Trust land except as otherwise described in these rules.
(e) Sale to the highest bidder via oral or sealed bid auction with an eligible lessee having the right to bid last to exceed the final high bid; minimum bid or reserve price established by the Director based on Department Estimate of Value. This method is used for qualified rangeland lessees as described in OAR 141-067-0230 or for those lessees with lease contract terms and conditions that clearly and explicitly provide this opportunity.
(f) Negotiated sale. This method allows the Department to negotiate or bargain for the highest sale price possible from among interested parties.
(g) Brokered Sale. This method allows for the Department to offer land through a State of Oregon licensed real estate broker at a fair market value and to negotiate the final sale price with a buyer through the broker. A brokerage fee may be paid to the Department’s broker or the buyer’s agent or both in accordance with generally accepted real estate practices. This method is used when local real estate market conditions indicate and the land being offered best fits disposal through a more traditional marketing approach.
(3) The Department reserves the right, but not the obligation, to offer all property to lessees, followed by adjacent landowners and others when the Director determines that doing so will provide the greatest benefit for the people of the state and not conflict with the Department 's constitutional and statutory obligations.
(4) The Director will report to the State Land Board the land sale method chosen for each sale and the reasons supporting the choice of sale method. The land sale method must be approved by the State Land Board.
(5) If the sale method selected involves an auction, the Department will establish the sale procedures to be followed including, but not limited to: the form and schedule for bid submittals; the amount of deposit required; the time and location of the bid openings and/or oral auction; the minimum bid or reserve price; preliminary terms and conditions of sale; payment options and any additional costs to be borne by the successful purchaser. The Department will fully disclose these procedures and all other pertinent information to the public as well as give ample advance public notice of the auction.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0300
Procedures for Resolving Claims to Formerly Submerged or Submersible Land (does not apply to lands described in OAR 141-067-0200 or 0215)
(1) The Director may issue a quitclaim deed to resolve a cloud of title over formerly submerged and submersible land. Such land may be, but is not limited to, areas that once were submerged or submersible land but are no longer connected to or a part of a state-owned (navigable) body of water due to the dynamic forces of the waterway. Such lands may be disposed of after the Department has completed a review of the facts and determined the extent, if any, of the state's ownership interest in the land.
(2) Any person may submit an application to resolve a claim to formerly submerged and submersible land. The application must be submitted on a form provided by the Department and include the appropriate application fee. Upon receipt of the application, and in order to determine the extent, if any, of the state’s ownership claim, the Department will conduct an initial review of the application, including but not limited to:
(a) A determination whether or not the parcel(s)/lot(s) described in the land sale application are legal lots of record as described in ORS Chapter 92;
(b) A determination, based, if necessary, on a preliminary title report conducted by the Department or its agent, of the Department 's rights and interests in the land or interests in land described in the land sale application; and
(c) A Land Sale Evaluation of the lands involved in the application;
(d) The results of the DAS notice process, if applicable, as described in OAR 141-067-0190;
(e) The applicable elements of the public interest review process as described in OAR 141-067-0180.
(3) The Department will notify any lessees (by certified or registered mail) and the applicant of the receipt of the sale application within 90 calendar days. Based on the initial review of the application, the Director will take, but not be limited to, the following actions:
(a) Reject the application. A rejected application will be returned to the applicant with an explanation of the reasons for its rejection clearly stated. An additional non-refundable application fee will not be required for an application that is resubmitted within 120 calendar days of its rejection;
(b) Accept the application for further processing; or
(c) Request more information and later determine the merit of the application based on the information submitted.
(4) Upon acceptance of the application for further processing the Department and the applicant will meet to negotiate an agreement establishing the terms and conditions of the transaction, the responsibilities of each party and the transaction schedule. The Department may impose additional requirements or conditions on the issuance of the deed, including but not limited to indemnification of waiver of claims against the Department and the State of Oregon.
(5) The Department may, where feasible and deemed to be in the best interests of the public to do so, require the quitclaim grantee to issue a similar quitclaim to the Department for the existing submerged and submersible land fronting and abutting the grantee's land on the waterway as it exists at the time of the transaction.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0310
General Requirements for Appraisals
(1) Appraisals conducted
for land sales, purchases or exchanges shall comply with the following requirements:
(a) Be conducted
by a State of Oregon-licensed appraiser familiar with the type of property to be
appraised and in accordance with the Uniform Standards of Professional Appraisal
Practice (USPAP) standards.
(b) Unless
directed otherwise by the Department, the appraisal shall estimate the fair market
value of the property based on its highest and best use, taking into account the
contributory value of all offered interests in the property such as water rights,
minerals, or timber to the extent that such interests are consistent with the highest
and best use of the property.
(c) The appraisal
report must include sufficient description of the property, highest and best use
analysis, valuation methodology and support materials to fully document and justify
the appraiser’s estimate of fair market value.
(d) The Department
may, based on the particular use of the appraisal, impose additional requirements
or conditions on the appraisal.
(2) For land
sales, purchases or exchanges where the estimated fair market value of the lands
or interest in lands is $100,000 or less, the Department may utilize a “desk
appraisal” or a “letter opinion of value” as the Appraisal required
under these rules.
(3) For purposes
of this section, a “desk appraisal” is a written statement setting forth
an opinion as to the market value of the lands or interest in lands as of a specific
date. A desk appraisal conducted for land sales, purchases or exchanges shall comply
with the following requirements:
(a) The desk
appraisal must be conducted by an employee of the Department. A desk appraisal need
not be prepared in accordance with the Uniform Standards of Professional Appraisal
Practice (USPAP), as desk appraisals performed by an employee of the Department
are not required to be performed by State of Oregon-licensed appraiser pursuant
to ORS 674.100(2)(h).
(b) Unless
directed otherwise by the Department, the desk appraisal shall estimate the fair
market value of the property based on its highest and best use, taking into account
the contributory value of all offered interests in the property such as water rights,
minerals, or timber to the extent that such interests are consistent with the highest
and best use of the property.
(c) The desk
appraisal must include a sufficient description of the characteristics of the property,
a highest and best use analysis, a description of the valuation methodology, and
a description of the support materials utilized to fully document and justify the
estimate of fair market value. The description of the characteristics of the property,
and description of the characteristics of properties used as comparison to the property,
may be based on aerial and topographic photographs and maps and on generally accepted
property data resources, such as the United States Department of Agriculture —
Natural Resources Conservation Service, county assessor tax lot information, multiple
listing services, and similar resources. Field inspections of the property and of
the properties used as comparison to the property are not required as part of the
desk appraisal.
(4) For purposes
of this section, a “letter opinion of value” is a written statement
from a real estate professional licensed under ORS 696 setting forth an opinion
as to the market value of the lands prepared in accordance with the requirements
of OAR 863-015-0190(3).
Stat. Auth.: OAR
141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 -
273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905
- 274.940, 274.960 - 274.985

Stats. Implemented:
OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245
- 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905
- 274.940, 274.960 - 274.985

Hist.: DSL
2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09; DSL
1-2013, f. 2-14-13, cert. ef. 3-1-13
141-067-0320
Procedures for the Sale, Exchange or Release and Transfer of Mineral and Geothermal Resources
(1) For the purposes of OAR 141-067-0320(2) and (3):
(a) “Owner” means:
(A) The record holder of the fee title interest in residential real property; or
(B) The contract purchaser of residential real property.
(b) “Residential Real Property” means real property that is sold by the Department for the State Land Board and is located:
(A) Inside an urban growth boundary; or
(B) Within an area zoned for residential use on a lot or parcel that is three acres or smaller in size.
(2) An owner may apply to the Department for the release and transfer to the owner the reserved right to mineral and geothermal resources. Upon application by the owner, the Department will release and transfer to the owner the reserved rights to mineral and geothermal resources within 30 calendar days after the first Land Board meeting that is at least 60 calendar days after the Department received the completed application for the release and transfer of the rights, unless the Land Board finds that a significant mineral or geothermal resource exists. If the Land Board finds that a significant mineral or geothermal interest exists, the owner may:
(a) Offer to purchase the resource for the value of the resource; or
(b) Withdraw the application.
(3) If the Land Board finds that a significant mineral or geothermal resource exists and the owner offers to purchase the resource for the value of the resource:
(a) The Land Board will determine the value of the resource on the basis of an appraisal conducted by a state certified appraiser under ORS 674.310 or by a geologist who is registered under 672.505 to 672.705 and qualified to assess the value of mineral and geothermal deposits.
(b) The Land Board may not:
(A) Require an owner to obtain an appraisal, as described in (a) above; or
(B) Require an owner to pay the cost of an appraisal conducted at the request of the Land Board.
(4) The Department will charge a fee of $150 to process mineral resource release and transfer applications for owners.
(5) Except as provided in subsections (1) through (4), if the rights to mineral and geothermal resources are to be included in a proposed land sale or land exchange, or the owner of the surface interest requests that the Department release and transfer its reserved right to mineral or geothermal resources, the Department will determine the mineral or geothermal potential of the property.
(6) The Department of Geology and Mineral Industries may conduct the mineral and geothermal potential analysis for the Department.
(7) For proposed land exchanges, the mineral and geothermal potential of both the land exchange partner's land and the Department’s land are to be evaluated.
(8) When the Department deems it necessary, a mineral and geothermal appraisal may be required for a land exchange or land sale.
(9) The State Land Board may approve of the release and transfer of mineral and geothermal resources when the mineral potential evaluation (including an appraisal of values as required by the Director) reveals no or extremely limited resource potential in any lands being considered for sale or exchange; and the State Land Board deems that the disposal of mineral and geothermal resources is in the long term best interests of the Trust.
(10) When mineral or geothermal resources are part of a land exchange, the lands to be exchanged must have roughly equivalent mineral or geothermal resource potential.
(11) When mineral or geothermal resources are included in any sale they shall be accorded a monetary value and the Department shall be compensated for their sale.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0330
Procedures for Purchases including Donations of Land or Interests in Land
(1) Land or interests in land to be purchased for addition to the South Slough National Estuarine Research Reserve must be approved by the South Slough Commission and the State Land Board.
(2) Land or interests in land to be acquired by the Department through either purchase or donation must be approved in advance by the State Land Board and must be consistent with the policies set forth in the Asset Management Plan and OAR 141-067-0140.
(3) In acquiring land or interests in land by purchase, the Department will pay an amount equal to the price a prudent purchaser would pay under similar circumstances.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09
141-067-0340
Appeals
Any applicant may request reconsideration of a decision of the Department or the State Land Board relating to 141-067.
(1) The request must be received by the Director no later than 30 calendar days after the delivery of the decision.
(2) The Director will review the request within 60 calendar days after the date of delivery of the request.
(3) The Director may recommend to the State Land Board either that the decision be modified based on the merits of the request, or that the Land Board authorize initiation of a contested case proceeding.
(4) There is no opportunity to request reconsideration of a land sale or State land exchange after the transaction has occurred and title has passed from the State of Oregon to the purchaser or land exchange partner.
(5) If the Director recommends that the State Land Board initiate a contested case proceeding, the State Land Board will select a hearing officer and proceed pursuant to ORS 183.413 through 183.470.
Stat. Auth.: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Stats. Implemented: OAR 141-167-0005 - 141-067-0120, 125-045, ORS 270.005 - 270.190, 273.045, 273.245 - 273.247, 273.251 - 273.311, 273.316 - 273.321, 273.413 - 273.456, 274.040, 274.905 - 274.940, 274.960 - 274.985

Hist.: DSL 2-2002, f. 4-12-02, cert. ef. 7-1-02; DSL 6-2009, f. & cert. ef. 7-1-09


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