72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
Enrolled
Senate Bill 923
Sponsored by COMMITTEE ON RULES (at the request of Oregon
Association of Realtors)
CHAPTER ................
AN ACT
Relating to state interests in land; creating new provisions; and
amending ORS 273.785.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 273.785 is amended to read:
273.785. { + (1) + } Excluded from the operation of ORS
273.551 and 273.775 to 273.790 are:
{ - (1) - } { + (a) + } Soil, clay, stone, sand and gravel
acquired or used by state agencies for the purpose of
constructing or repairing roads or other state facilities, or the
proceeds from such materials;
{ - (2) - } { + (b) + } Any mineral or geothermal resource
rights or proceeds therefrom acquired and held by the State Fish
and Wildlife Commission pursuant to Public Law 415, 75th Congress
(50 Stat. 917, 16 U.S.C. 777); or if other disposition is
required by federal rules or regulations or any agreement entered
into at the time of acquisition of the mineral or geothermal
resource rights by the state;
{ - (3) - } { + (c) + } Proceeds of mineral and geothermal
resource rights acquired by the state pursuant to ORS 530.010 and
530.030, other than those distributed under ORS 530.110 (1)(c);
{ - (4) - } { + (d) + } Any mineral or geothermal resource
rights or proceeds therefrom acquired { + after January 1,
1974, + } for the state by the Director of Veterans' Affairs
pursuant to ORS 88.720, 406.050 (2), 407.135 or 407.145. After
consultation, the Division of State Lands and the Director of
Veterans' Affairs shall enter into an interagency agreement
governing consultation between them concerning mineral and
geothermal resource values on properties acquired for the state
by the director. The Director of Veterans' Affairs shall also
adopt rules relating to the release of mineral and geothermal
rights on such properties { - . The exclusion under this
subsection shall be effective for such rights or proceeds
acquired by the director after January 1, 1974 - } ; and
{ - (5) - } { + (e) + } Any mineral or geothermal resource
rights or proceeds therefrom given by a donor to any institution,
department or activity under the control of the State Board of
Higher Education that are acquired or held for the state by the
State Board of Higher Education pursuant to ORS chapters 351 and
567. In managing mineral or geothermal resource leases, the State
Board of Higher Education shall consult with the Division of
State Lands in accordance with an interagency agreement
Enrolled Senate Bill 923 (SB 923-INTRO) Page 1
established by the division and the State Board of Higher
Education governing consultation between the division and the
State Board of Higher Education and governing management of such
mineral or geothermal resources.
{ + (2) Notwithstanding ORS 273.780 (3), when the Division of
State Lands offers real property for sale, the division may not
retain the right to mineral or geothermal resources if:
(a) On the effective date of this 2003 Act, the real property
was 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; and
(b) The value, if any, of the right to the mineral or
geothermal resources is included in the total sale price of the
real property. + }
SECTION 2. { + Section 3 of this 2003 Act is added to and made
a part of ORS 273.775 to 273.790. + }
SECTION 3. { + (1) As used in this section:
(a) 'Owner' means:
(A) The record holder of 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 Division of State Lands 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 division for release and transfer
of the rights to mineral or geothermal resources reserved by the
State of Oregon.
(3) Upon application by the owner, the division shall release
and transfer to the owner the reserved rights to mineral and
geothermal resources within 30 days after the first board meeting
that is at least 60 days after the division received the
completed application for release and transfer of the rights,
unless the board finds that a significant mineral or geothermal
resource exists. If the board finds that a significant mineral or
geothermal resource exists, the owner may:
(a) Offer to purchase the resource for the value of the
resource; or
(b) Withdraw the application.
(4) If the board finds that a significant mineral or geothermal
resource exists under subsection (3) of this section and the
owner offers to purchase the resource for the value of the
resource:
(a) The board shall determine the value of the resource on the
basis of an appraisal conducted by a state certified appraiser
certified under ORS 674.310 or by a geologist who is registered
under ORS 672.505 to 672.705 and qualified to assess the value of
mineral and geothermal deposits.
(b) The board may not:
(A) Require an owner to obtain an appraisal under this section;
or
(B) Require an owner to pay the cost of an appraisal conducted
at the request of the board under this section.
(5) The division may charge a reasonable fee, not to exceed
$150, to process an application under this section.
(6) The division may adopt rules to implement this section. + }
Enrolled Senate Bill 923 (SB 923-INTRO) Page 2
SECTION 4. { + The amendments to ORS 273.785 by section 1 of
this 2003 Act apply to a sale of property that closes on or after
the effective date of this 2003 Act. + }
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Passed by Senate July 22, 2003
...........................................................
Secretary of Senate
...........................................................
President of Senate
Passed by House August 8, 2003
...........................................................
Speaker of House
Enrolled Senate Bill 923 (SB 923-INTRO) Page 3
Received by Governor:
......M.,............., 2003
Approved:
......M.,............., 2003
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2003
...........................................................
Secretary of State
Enrolled Senate Bill 923 (SB 923-INTRO) Page 4