72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 2383
 
                           B-Engrossed
 
                         House Bill 2739
                  Ordered by the Senate June 24
 Including House Amendments dated April 24 and Senate Amendments
                          dated June 24
 
Sponsored by Representative GILMAN; Representatives ANDERSON,
  GARRARD, KNOPP, PATRIDGE, RICHARDSON, P SMITH, WESTLUND,
  Senator HARPER
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure.
 
  Directs state agencies to sell, exchange, convey or lease all
real property not needed for public use unless agency determines
by written findings that doing so is not in public interest { +
or is not consistent with trust responsibilities of state or
agency + }.  { + Directs advisory committee to Oregon Department
of Administrative Services to review inventory of state-owned
property annually. Requires department to report summary of
review to Legislative Assembly. + }
 
                        A BILL FOR AN ACT
Relating to state real property; amending ORS 270.110, 270.120,
  270.180 and 366.395.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 270.110 is amended to read:
  270.110. (1) Except as provided in subsection (2) of this
section, whenever the state or any agency thereof possesses or
controls real property not needed for public use, or whenever the
public interest may be furthered, the state or its agency
 { - may - }  { +  shall, unless the state or agency determines
and documents by written findings that to do so is not in the
public interest or is not consistent with the trust
responsibility of the state or agency, + } sell, exchange, convey
or lease for any period not exceeding 99 years all or any part of
its interest in the property to or with the state or any
political subdivision of the state or the United States or any
agency thereof or private individual or corporation. Except where
the state is exchanging real property, the consideration for the
transfer or lease may be cash or real property, or both.
  (2) If the ownership, right or title of the state to any real
property set apart by deed, will or otherwise for a burial ground
or cemetery, or for the purpose of interring the remains of
deceased persons, is limited or qualified or the use of such real
property is restricted, whether by dedication or otherwise, the
state or its agency may, after first declaring by resolution that
such real property is not needed for public use, or that the
sale, exchange, conveyance or lease thereof will further the
public interest, file a complaint in the circuit court for the
county in which such real property is located against all persons
claiming any right, title or interest in such real property,
whether the interest be contingent, conditional or otherwise, for
authority to sell, exchange, convey or lease all or any part of
such real property. The resolution is prima facie evidence that
such real property is not needed for public use, or that the
sale, exchange, conveyance or lease will further the public
interest. The action shall be commenced and prosecuted to final
determination in the same manner as an action not triable by
right to a jury. The complaint shall contain a description of
such real property, a statement of the nature of the
restrictions, qualifications or limitations, and a statement that
the defendants claim some interest therein. The court shall make
such judgment as it shall deem proper, taking into consideration
the limitations, qualifications or restrictions, the resolution
and all other matters pertinent thereto. Neither costs nor
disbursements may be recovered against any defendant.
  (3) The authority to lease property granted by this section
includes authority to lease property not owned or controlled by
the state at the time of entering into the lease. Such lease
shall be conditioned upon the subsequent acquisition of the
interest covered by the lease.
  (4) Except for airspace leases negotiated by the Oregon
Department of Aviation, leases of state forestlands, and leases
of property controlled by the Division of State Lands, Department
of Higher Education or the legislative or judicial branches of
state government, any lease of state real property exceeding five
years must be approved in advance by the Oregon Department of
Administrative Services.
  SECTION 2. ORS 270.120 is amended to read:
  270.120. (1) In exercising certain of its functions under ORS
184.634, 270.005 to 270.015, 270.100 to 270.190, 273.416, 273.426
to 273.436 and 273.551, the Oregon Department of Administrative
Services shall be advised by an advisory committee consisting of
seven members appointed by the Governor.
  (2) The advisory committee appointed under subsection (1) of
this section shall consist of two members of the Legislative
Assembly, one person who is licensed under ORS 696.020, two
persons who serve in the executive branch of state government,
one person qualified as a land use planner, and one person
qualified as a real estate management expert.
  (3) Members of the advisory committee shall meet at such times
and places and elect such officers and make such rules for the
conduct of committee business as the committee may specify.
  (4) Members of the advisory committee who are not members of
the Legislative Assembly are entitled to compensation under ORS
292.495. Members of the advisory committee who are members of the
Legislative Assembly shall be paid compensation and expense
reimbursement as provided in ORS 171.072, payable from funds
appropriated to the Legislative Assembly.
  (5) Expenses of the committee shall be paid from funds
appropriated to the department to carry out subsection (6) of
this section.
  (6)(a) The advisory committee shall advise the department on
the acquisition, exchange or disposal of real property valued at
$100,000 or more.
  (b) The department may request the advice of the committee
involving any real property transaction valued less than
$100,000.
   { +  (7) The advisory committee shall annually review the
inventory of state-owned real property, including surplus real
property inventoried under ORS 270.180 (1), and advise the
department on the adequacy of the surplus real property
disposition process and on the adequacy of the inventory
submitted to the department under ORS 270.180 (2). Prior to
January 1 of each odd-numbered year, the department shall submit
a report to the Legislative Assembly that summarizes the review
conducted by the advisory committee and the inventory and status
of surplus real property. + }
  SECTION 3. ORS 270.180 is amended to read:
  270.180. (1) The Oregon Department of Administrative Services
shall maintain and keep current an inventory of all state-owned
real property and shall classify all such property   { - on the
basis of current use, value, idle - }   { + as currently used,
needed for future use + } or surplus to agency need. The
department shall establish categories of real property necessary
for management of state-owned real property. Land owning agencies
shall provide status information, as requested by the department,
of agency owned land for the department to carry out its
clearinghouse function.
  (2) On or before October 1 of each   { - even-numbered - }
year, a state agency shall submit to the department a revised and
updated inventory of any surplus real property that it owns. The
inventory shall list separately any surplus real property located
within an urban growth boundary.
  (3) The department may apportion to each state agency owning
real property its contribution to reimburse the department for
the costs incurred in maintaining the real property inventory set
forth in subsections (1) and (2) of this section.
  (4) Contributions apportioned by the department under
subsection (3) of this section are continuously appropriated to
the department to reimburse it for its costs incurred in
maintaining the real property inventory.
  (5) The department shall adopt rules to assess state land
owning agencies for administration of the state lands management
program.
  SECTION 4. ORS 366.395 is amended to read:
  366.395. (1) The Department of Transportation may sell, lease,
exchange { +  for property, cash or services + } or otherwise
dispose or permit use of real or personal property, including
equipment and materials acquired by the department, title to
which real or other property may have been taken either in the
name of the department, or in the name of the state, and which
real or personal property is, in the opinion of the department,
no longer needed, required or useful for department purposes,
except that real property may be leased when, in the opinion of
the department, such real property will not be needed, required
or useful for department purposes during the leasing period.
  (2) The department may sell, lease, exchange  { + for property,
cash or services + } or otherwise dispose of such real or
personal property in such manner as in the judgment of the
department will best serve the interests of the state and will
most adequately conserve highway funds or the department's
account or fund for the real or personal property. In the case of
real property, interest in or title to the same may be conveyed
by deed or other instrument executed in the name of the state, by
and through the department. All funds or money derived from the
sale { + , + }   { - or - }  lease { + , exchange or other
disposal + } of any such property shall be paid by the department
to the State Treasurer with instructions to the State Treasurer
to credit such funds or moneys:
  (a) To the highway fund; or
  (b) To the department's account or fund for the property. The
State Treasurer shall credit the funds and moneys so received as
the department shall direct.
  (3)(a) Before offering forest products for sale the department
shall cause the forest products to be appraised.
  (b) If the appraised value of the forest products exceeds
$15,000, the department   { - shall - }   { + may + } not sell
them to a private person, firm or corporation except after a
public auction to receive competitive bids. Prior to such
auction, the department shall give notice thereof not less than
once a week for three consecutive weeks by publication in one or
more newspapers of general circulation in the county in which the
forest products are located and by such other media of
communication as the department deems advisable. The minimum bid
price and a brief statement of the terms and conditions of the
sale shall be in the notice.
  (c) Notice and competitive bidding under paragraph (b) of this
subsection   { - shall not be - }   { + is not + } required if
the Director of Transportation declares an emergency to exist
that requires the immediate removal of the timber. If an
emergency has been so declared:
  (A) Then the timber, regardless of value, may be sold by a
negotiated price; and
  (B) The director shall make available for public inspection a
written statement giving the reasons for declaring the emergency.
  (4) The department's account or fund for the forest product
shall be credited with the proceeds of the sale.
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