ENROLLED
H. B. 4007
(By Delegates Beane, Cann and Walters)
[Passed March 10, 2006; in effect ninety days from passage.]
AN ACT to amend and reenact §20-1A-4 of the Code of West
Virginia, 1931, as amended, relating to updating appraisal
standards employed by the Public Land Corporation to
determine fair market value of public lands.
Be it enacted by the Legislature of West Virginia:
That §20-1A-4 of the Code of West Virginia, 1931, as
amended, be amended and reenacted to read as follows:
§20-1A-4. Public land corporation to conduct sales of public
lands by competitive bidding, modified competitive bidding
or direct sale.
(a) Sales, exchanges or transfers of public lands under this
article shall be conducted under competitive bidding procedures.
However, where the secretary determines it necessary and proper
in order to assure the following public policies, including, but
not limited to, a preference to users, lands may be sold by
modified competitive bidding or without competitive bidding. In
recognizing public policies, the secretary shall give
consideration to the following potential purchasers:
(1) The local government entities which are in the vicinity
of the lands; and
(2) Adjoining landowners.
(b) The policy for selecting the methods of sale is as
follows:
(1) Competitive sale is the general procedure for sales of
public lands and shall be used in the following circumstances:
(A) Wherever in the judgment of the secretary the lands are
accessible and usable regardless of adjoining land ownership; or
(B) Wherever the lands are within a developing or urbanizing
area and land values are increasing due to the location of the
land and interest on the competitive market.
(2) Modified competitive sales may be used to permit the
adjoining landowner or local governmental entity to meet the high
bid at the public sale. Lands otherwise offered under this
procedure would normally be public lands not located near urban
expansion areas, or not located near areas with rapidly
increasing land values, and where existing use of adjacent lands
would be jeopardized by sale under competitive bidding
procedures.
(3) Direct sale may be used when the lands offered for sale
are completely surrounded by lands in one ownership with no
public access, or where the lands are needed by local
governments.
(4) In no event shall lands be offered for sale by "modified
competitive sales" or "direct sale" unless and until the corporation makes a written finding of justification for use of
an alternative bidding procedure.
(5) Subject to the bidding procedures set forth herein, the
corporation is authorized, at its discretion, to sell public
lands subject to rights-of-way, restrictive covenants or
easements retained by the corporation, limiting the use of such
lands to purposes consistent with the use of adjoining or nearby
lands owned by the corporation.
(c) When lands have been offered for sale by one method of
sale and the lands remain unsold, then the lands may be reoffered
by another method of sale.
(d) Except as provided herein, public lands may not be sold,
exchanged or transferred by the corporation for less than fair
market value. Fair market value shall be determined by an
appraisal made by an independent person or firm chosen by the
public land corporation. The appraisal shall be performed using
the principles contained in the current "Uniform Appraisal
Standards for Federal Land Acquisitions" published under the
auspices of the Interagency Land Acquisition Conference:
Provided, That public lands may be sold, exchanged or transferred
to any federal agency or to the state or any of its political
subdivisions for less than fair market value if, upon a specific
written finding of fact, the corporation determines that such a
transfer would be in the best interests of the corporation and
state.
(e) The corporation may reject all bids when such bids do not represent the corporation's considered value of the property
exclusive of the fair market value.
(f) The corporation shall promulgate rules, in accordance
with the provisions of chapter twenty-nine-a of this code,
regarding procedures for conducting public land sales by
competitive bidding, modified competitive bidding and direct
sales.