The purpose of the amendments is to respond to recent changes in statute and changes in Board of Trustees policy and delegations of authority; to implement recommendations the Auditor General’s Office made in a June 2005 operational audit; and to ...

BOARD OF TRUSTEES OF INTERNAL IMPROVEMENT TRUST FUND

RULE NO: RULE TITLE
18-2.017: Definitions
18-2.018: Policies, Standards, and Criteria for Evaluating, Approving or Denying Requests to Use Uplands
18-2.020: Payments and Consideration
PURPOSE AND EFFECT: The purpose of the amendments is to respond to recent changes in statute and changes in Board of Trustees policy and delegations of authority; to implement recommendations the Auditor General’s Office made in a June 2005 operational audit; and to improve consistency, adequacy, and clarity regarding the disposition and management of state land, especially in the area of appraisals.
SUMMARY: The amendments: add or amend appraisal-related and other definitions; conform appraisal-related terms; add appraiser selection criteria and procedures; replace competitive bidding with appraisals for pricing upland leases; provide consistency in use of appraisals with Chapter 18-1; delete provisions that require submittal of appraisals with bids; and remove the necessity for a full legal description when noticing surplus state land sales.
THIS RULEMAKING IS SEPARATE AND DIFFERENT FROM THE RULEMAKING ADVERTISED IN THE JUNE 1, 2007, ISSUE OF FAW FOR THIS RULE.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS: No Statement of Estimated Regulatory Cost was prepared.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
SPECIFIC AUTHORITY: 253.03(7), 253.034(6) FS.
LAW IMPLEMENTED: 253.03, 253.034, 253.0341, 253.111, 253.115, 253.42, 253.421, 253.47-.60 FS.
IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:
DATE AND TIME: August 21, 2007, 10:00 a.m. EDT
PLACE: Conference Room A, Marjory Stoneman Douglas Building, D.E.P. 3900 Commonwealth Blvd., Tallahassee Florida
Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 5 days before the workshop/meeting by contacting: Kerry Drakes, below. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Kerry Drakes, DEP, Division of State Lands, Bureau of Appraisal, MS 110, 3900 Commonwealth Blvd., Tallahassee FL 32399-3000, [phone], Kerry [e-mail]

THE FULL TEXT OF THE PROPOSED RULE IS:

18-2.017 Definitions.

When used in this rule chapter, the following shall have the indicated meaning unless the context clearly indicates otherwise:

(1) “Activity” means any use of uplands which requires Trustees’ approval under Sections 253.03(1) and 253.77, F.S, such as a letter of authorization for consent of use, lease, management and use agreements, easement, disposal, exchange, or transfer of any interest, including sub-surface, in uplands.

(2) “Agency” means any governmental entity including the United States of America an official, officer, commission, authority, council, committee, department, division, bureau, board, section, or another unit or entity of government.

(3) No change.

(4) “Appraisal” means a formal narrative statement or report setting forth and documenting an opinion of value of real property as of a specific date.

(4) “Appraisal services” has the same meaning as provided in Rule 18-1.002, F.A.C.

(5) “Approved appraisal” has the same meaning as provided in Rule 18-1.002, F.A.C.

(5) through (31) renumbered (6) through (32) No change.

(33)(32) “Letter of authorization Consent” means a nonpossessory form of authorization that allows the applicant the right to erect specific structures or conduct specific activities on uplands.

(33) through (34) renumbered as (34) through (35) No change.

(36)(35) “Market vValue” has the same meaning as provided in Rule 18-1.002, F.A.C means the most probable price for which the appraised property will sell in a competitive market under all conditions requisite to fair sale, with the buyer and seller each acting prudently and knowledgeably, and assuming that neither is under undue duress.

(36) through (60) renumbered (37 through (61) No change.

(62) “Supplemental Standards” has the same meaning as provided in Rule 18-1.002, F.A.C.

(61) through (64) renumbered (63) through (66) No change.

(67) USPAP has the same meaning as provided in Rule 18-1.002, F.A.C.

(68)(65) No change.

Specific Authority 253.03 FS. Law Implemented 253.03, 253.034, 259.035 FS. History–New 6-4-96, Amended________.

 

18-2.018 Policies, Standards, and Criteria for Evaluating, Approving or Denying Requests to Use Uplands.

Applications to use Trustees-owned uplands and decisions to approve or reject such applications will be based on all of the following:

(1) No change.

(2) General Policies.

(a) through (i) No change.

(j) The successful bidder shall pay all costs of legal advertisement, appraisal, title work, taxes or assessments for any activity requiring such items.

(k) Appraisal services shall be obtained through the Division in accordance with the procedures and requirements provided in Chapter 18-1, F.A.C., except as follows:

1. For single family or platted lots, any state-certified appraiser can be solicited and used for appraisal services.

2. The appraisal service fee shall be paid by the applicant and is non-refundable. No appraisal work will proceed until the Division receives the appraisal fee. When appraisal services are required prior to an applicant being identified, funding will be provided by the requesting agency or the Division and shall be reimbursed to that agency or the Division by the purchaser, lessee or sublessee. Appraisals shall be utilized to establish market value and said appraisals shall be reviewed and accepted by the division as being a reasonable approximation of market value.

(l) through (p) No change.

(3) Standards and Criteria.

(a) No change.

(b) Disposal of Trustees-owned Uplands.

1. Examples of conditions under which the Trustees may convey an upland parcel include:

a. The parcel was vested in the state pursuant to Chapter 18296, Laws of Florida, 1937 (Murphy Act), and is 10 5 acres or less in size and has a market value of $250,000 $100,000 or less; or

b. through c. No change.

2. No change.

3. Conveyance of property pursuant to this section shall be in accordance with the following requirements:

a. No change.

b. The cost of title insurance, documentary stamp tax, recording fees, any property taxes due, abstract, title certificate, survey, appraisal, legal advertisement and purchaser’s legal fees shall be the responsibility of the purchaser.

c. through d. No change.

4. through 6. No change.

(c) through (e) No change.

(f) Letters of authorization consent.

1. Letters of authorization consent are issued, pursuant to Chapter 18-2, F.A.C., upon receipt by the Division of a written request for an incidental, one-time use, and a determination by the Division that the requested activity which will result in no permanent alteration of Trustees-owned uplands, and will not adversely affect the management of the land.

2. Letters of authorization consent shall contain a condition that the grantee accept all liability associated with the proposed use and shall be countersigned by the grantee.

Specific Authority 253.03(7)(a) FS. Law Implemented 253.001, 253.02, 253.03, 253.04, 253.034, 253.111, 253.115, 253.42-.44, 253.47, 253.51-.61, 253.62, 253.77, 253.82, 259.035, 270.07, 270.08, 270.11 FS. History–New 6-4-96, Amended 4-17-02,_________.

 

18-2.020 Payments and Consideration.

(1) Leases.

(a) Consideration for private leases shall be based upon an appraisal services obtained as provided in Chapter 18-1, F.A.C., except for oil and gas leases, and shall be competitively bid.

(b) through (e) No change.

(2) Disposal.

(a) For parcels with an estimated value in excess of $100,000, tThe sale price consideration for the disposal of uplands shall take into consideration be based upon an appraisal services as provided in Chapter 18-1, F.A.C.

(b) Disposal of surplus land shall be competitively bid except that parcels 5 acres or less in size or with a market value of $100,000 or less may be sold by any reasonable means, including open or exclusive listing with real estate sales services, competitive bid, auction, and negotiated direct sales. In no case shall a real estate brokerage fee or auction fee exceed 10% of the purchase price.

(c) No change.

(d) The value of the private land for exchange purposes shall be no more than 100% of an appraisal of market value or average if two appraisals are used or the average of the two closest appraisals if more than two are used. A new appraisal shall not be required if the private parcel is already under a Trustees option or purchase contract. In such cases, the exchange price of such land shall be no more than the contracted purchase price.

(d)(e) No change.

(3) through (5) No change.

(6) Letters of authorization consent.

(a) Appraisals and competitive bidding are not required for letters of authorization consent.

(b) Consideration for letters of authorization consent shall be negotiated based on the type of activity.

(7) Competitive Bidding Procedures.

(a) When competitive bidding is required, notice to bidders shall be given by publication in a newspaper published in the county in which the lands are located not less than once a week for three consecutive weeks. The notice shall provide the following:

1. A complete legal description and Llocation of the parcel by Section, Township and Range, or by tax identification number;

2. through 3. No change.

4. Any restrictions as to the use of the lands;

5. through 10. renumbered 4. through 9. No change.

(b) No change.

(c) Upon request, applicants will be sent a bid specification packet which shall include the following information:

1. Materials, instructions and deadline for submitting bids and;

2. A copy of the proposed lease or sales contract.; and

3. A statement of the appraised value.

(d) No change.

(e) Deposits for unsuccessful or rejected bids shall be returned within 10 5 working days after the awarding of the bid by the Trustees.

(8) No change.

Specific Authority 253.03 FS. Law Implemented 253.03, 253.034, 253.42, 253.51-.54, 253.571, 270.11 FS. History–New 6-4-96, Amended________.

NAME OF PERSON ORIGINATING PROPOSED RULE: Kerry Drakes, above
NAME OF SUPERVISOR OR PERSON WHO APPROVED THE PROPOSED RULE: Board of Trustees of the Internal Improvement Trust fund of the State of Florida
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: June 12, 2007
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: January 5, 2007