| 1 | A bill to be entitled |
| 2 | An act relating to acquisition of state and state-owned |
| 3 | lands; amending s. 253.025, F.S.; providing for appraisal |
| 4 | process consistency; clarifying the appraisal requirement |
| 5 | to require two appraisals when the estimated value of a |
| 6 | parcel exceeds $500,000; requiring a second appraiser to |
| 7 | be selected by the Department of Agriculture and Consumer |
| 8 | Services; requiring a third appraiser to be selected by |
| 9 | the Department of Financial Services under certain |
| 10 | circumstances; requiring the review appraiser to be |
| 11 | selected by the Department of Financial Services; limiting |
| 12 | the amount paid by the state in joint acquisitions with a |
| 13 | local government or other entity apart from the state; |
| 14 | amending s. 259.041, F.S.; conforming appraisal |
| 15 | requirements; providing an effective date. |
| 16 |
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| 17 | Be It Enacted by the Legislature of the State of Florida: |
| 18 |
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| 19 | Section 1. Paragraphs (a) and (c) of subsection (6) and |
| 20 | paragraph (e) of subsection (7) of section 253.025, Florida |
| 21 | Statutes, are amended to read: |
| 22 | 253.025 Acquisition of state lands for purposes other than |
| 23 | preservation, conservation, and recreation.-- |
| 24 | (6) Prior to negotiations with the parcel owner to |
| 25 | purchase land pursuant to this section, title to which will vest |
| 26 | in the board of trustees, an appraisal of the parcel shall be |
| 27 | required as follows: |
| 28 | (a) Each parcel to be acquired shall have at least one |
| 29 | appraisal. Two appraisals are required when the estimated value |
| 30 | of the parcel exceeds $500,000 $1 million. When two appraisals |
| 31 | are required, one appraiser shall be selected by the Department |
| 32 | of Agriculture and Consumer Services. When both appraisals |
| 33 | exceed $500,000 and differ significantly, a third appraisal |
| 34 | shall be obtained, with the Department of Financial Services |
| 35 | selecting the third appraiser. Two appraisals shall be |
| 36 | considered to differ significantly if the higher of the two |
| 37 | values exceeds 120 percent of the lower value. When the |
| 38 | estimated value of the parcel exceeds $500,000, the review |
| 39 | appraiser shall be selected by the Department of Financial |
| 40 | Services. To provide for payment by the agency selecting the |
| 41 | second and third appraisers and review appraiser, as required by |
| 42 | this section, the Department of Environmental Protection shall |
| 43 | enter into interagency agreements with the Department of |
| 44 | Agriculture and Consumer Services and the Department of |
| 45 | Financial Services, whereby funds will be transferred to those |
| 46 | agencies for that purpose upon direction of the selecting |
| 47 | agency. When a parcel is estimated to be worth $100,000 or less |
| 48 | and the director of the Division of State Lands finds that the |
| 49 | cost of an outside appraisal is not justified, an appraisal |
| 50 | prepared by the division may be used a comparable sales analysis |
| 51 | or other reasonably prudent procedures may be used by the |
| 52 | division to estimate the value of the parcel, provided the |
| 53 | public's interest is reasonably protected. The state is not |
| 54 | required to appraise the value of lands and appurtenances that |
| 55 | are being donated to the state. |
| 56 | (c) The board of trustees shall adopt by rule the minimum |
| 57 | criteria, techniques, and methods to be used in the preparation |
| 58 | of appraisal reports. Such rules shall incorporate, to the |
| 59 | extent practicable, generally accepted appraisal standards. Any |
| 60 | appraisal issued for acquisition of lands pursuant to this |
| 61 | section must comply with the rules adopted by the board of |
| 62 | trustees. A certified survey must be made which meets the |
| 63 | minimum requirements for upland parcels established in the |
| 64 | Minimum Technical Standards for Land Surveying in Florida |
| 65 | published by the Department of Business and Professional |
| 66 | Regulation and which accurately portrays, to the greatest extent |
| 67 | practicable, the condition of the parcel as it currently exists. |
| 68 | The requirement for a certified survey may, in part or in whole, |
| 69 | be waived by the board of trustees any time prior to submitting |
| 70 | the agreement for purchase to the Division of State Lands. When |
| 71 | an existing boundary map and description of a parcel are |
| 72 | determined by the division to be sufficient for appraisal |
| 73 | purposes, the division director may temporarily waive the |
| 74 | requirement for a survey until any time prior to conveyance of |
| 75 | title to the parcel. The fee appraiser and the review appraiser |
| 76 | for the agency shall not act in any way that may be construed as |
| 77 | negotiating with the property owner. |
| 78 | (7) |
| 79 | (e)1. The board of trustees shall adopt by rule the method |
| 80 | for determining the value of parcels sought to be acquired by |
| 81 | state agencies pursuant to this section. No offer by a state |
| 82 | agency, except an offer by an agency acquiring lands pursuant to |
| 83 | s. 259.041, may exceed the value for that parcel as determined |
| 84 | pursuant to the highest approved appraisal or the value |
| 85 | determined pursuant to the rules of the board of trustees, |
| 86 | whichever value is less. |
| 87 | 2. In the case of a joint acquisition by a state agency |
| 88 | and a local government or other entity apart from the state, the |
| 89 | joint purchase price may not exceed 150 percent of the value for |
| 90 | a parcel as determined in accordance with the limits prescribed |
| 91 | in subparagraph 1. The state agency share of a joint purchase |
| 92 | offer shall may not exceed the difference between the appraised |
| 93 | value, as determined by the state, and the sum of the |
| 94 | contributions of the other parties what the agency may offer |
| 95 | singly as prescribed by subparagraph 1. |
| 96 | 3. The provisions of this paragraph do not apply to the |
| 97 | acquisition of historically unique or significant property as |
| 98 | determined by the Division of Historical Resources of the |
| 99 | Department of State. |
| 100 | Section 2. Subsections (1) and (3) and paragraphs (b) and |
| 101 | (d) of subsection (7) of section 259.041, Florida Statutes, are |
| 102 | amended, and paragraph (e) is added to subsection (2) of that |
| 103 | section, to read: |
| 104 | 259.041 Acquisition of state-owned lands for preservation, |
| 105 | conservation, and recreation purposes.-- |
| 106 | (1) Neither the Board of Trustees of the Internal |
| 107 | Improvement Trust Fund nor its duly authorized agent shall |
| 108 | commit the state, through any instrument of negotiated contract |
| 109 | or agreement for purchase, to the purchase of lands with or |
| 110 | without appurtenances unless the provisions of this section have |
| 111 | been fully complied with. Except for the requirements of |
| 112 | subsections (3), (7), (14), and (15), the board of trustees may |
| 113 | waive any requirements of this section, may waive any rules |
| 114 | adopted pursuant to this section, notwithstanding chapter 120, |
| 115 | or may substitute other reasonably prudent procedures, provided |
| 116 | the public's interest is reasonably protected. The title to |
| 117 | lands acquired pursuant to this section shall vest in the board |
| 118 | of trustees as provided in s. 253.03(1), unless otherwise |
| 119 | provided by law, and all such titled lands shall be administered |
| 120 | pursuant to the provisions of s. 253.03. |
| 121 | (2) The board of trustees has authority to adopt rules |
| 122 | pursuant to ss. 120.536(1) and 120.54 to implement the |
| 123 | provisions of this section, including rules governing the terms |
| 124 | and conditions of land purchases. Such rules shall address with |
| 125 | specificity, but not be limited to: |
| 126 | (e) Special requirements when multiple purchasers are |
| 127 | involved in an acquisition. |
| 128 | (3) No agreement to acquire real property for the purposes |
| 129 | described in this chapter, chapter 260, or chapter 375, title to |
| 130 | which will vest in the board of trustees, may bind the state |
| 131 | unless and until the agreement has been reviewed and approved by |
| 132 | the Department of Environmental Protection as complying with the |
| 133 | requirements of this section and any rules adopted pursuant to |
| 134 | this section. When the state is a party to a joint acquisition |
| 135 | in which another entity is contributing to the agreed contract |
| 136 | price, the state contribution shall not exceed the difference |
| 137 | between the appraised value, as determined by the state, and the |
| 138 | sum of the contributions of the other parties. Where any of the |
| 139 | following conditions exist, the agreement shall be submitted to |
| 140 | and approved by the board of trustees: |
| 141 | (a) The purchase price agreed to by the seller exceeds the |
| 142 | value as established pursuant to the rules of the board of |
| 143 | trustees; |
| 144 | (b) The contract price agreed to by the seller and |
| 145 | acquiring agency exceeds $1 million; |
| 146 | (c) The acquisition is the initial purchase in a project; |
| 147 | or |
| 148 | (d) Other conditions that the board of trustees may adopt |
| 149 | by rule. Such conditions may include, but not be limited to, |
| 150 | projects where title to the property being acquired is |
| 151 | considered nonmarketable or is encumbered in such a way as to |
| 152 | significantly affect its management. |
| 153 |
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| 154 | Where approval of the board of trustees is required pursuant to |
| 155 | this subsection, the acquiring agency must provide a |
| 156 | justification as to why it is in the public's interest to |
| 157 | acquire the parcel or project. Approval of the board of trustees |
| 158 | also is required for projects the department recommends |
| 159 | acquiring pursuant to subsections (14) and (15). Review and |
| 160 | approval of agreements for acquisitions for Florida Greenways |
| 161 | and Trails Program properties pursuant to chapter 260 may be |
| 162 | waived by the department in any contract with nonprofit |
| 163 | corporations that have agreed to assist the department with this |
| 164 | program. |
| 165 | (7) Prior to approval by the board of trustees or, when |
| 166 | applicable, the Department of Environmental Protection, of any |
| 167 | agreement to purchase land pursuant to this chapter, chapter |
| 168 | 260, or chapter 375, and prior to negotiations with the parcel |
| 169 | owner to purchase any other land, title to which will vest in |
| 170 | the board of trustees, an appraisal of the parcel shall be |
| 171 | required as follows: |
| 172 | (b) Each parcel to be acquired shall have at least one |
| 173 | appraisal. Two appraisals are required when the estimated value |
| 174 | of the parcel exceeds $500,000. When two appraisals are |
| 175 | required, one appraiser shall be selected by the Department of |
| 176 | Agriculture and Consumer Services. However, When both appraisals |
| 177 | exceed $500,000 and differ significantly, a third appraisal |
| 178 | shall may be obtained, with the Department of Financial Services |
| 179 | selecting the third appraiser. Two appraisals shall be |
| 180 | considered to differ significantly if the higher of the two |
| 181 | values exceeds 120 percent of the lower value. When the |
| 182 | estimated value of the parcel exceeds $500,000, the review |
| 183 | appraiser shall be selected by the Department of Financial |
| 184 | Services. To provide for payment by the agency selecting the |
| 185 | second and third appraisers and review appraiser, as required by |
| 186 | this section, the Department of Environmental Protection shall |
| 187 | enter into interagency agreements with the Department of |
| 188 | Agriculture and Consumer Services and the Department of |
| 189 | Financial Services, whereby funds will be transferred to those |
| 190 | agencies for that purpose upon direction of the selecting |
| 191 | agency. When a parcel is estimated to be worth $100,000 or less |
| 192 | and the director of the Division of State Lands finds that the |
| 193 | cost of obtaining an outside appraisal is not justified, an |
| 194 | appraisal prepared by the division may be used. The state is not |
| 195 | required to appraise the value of lands and appurtenances that |
| 196 | are being donated to the state. |
| 197 | (d) The fee appraiser and the review appraiser for the |
| 198 | agency shall not act in any way that may be construed as |
| 199 | negotiating with the property owner. |
| 200 |
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| 201 | Notwithstanding the provisions of this subsection, on behalf of |
| 202 | the board and before the appraisal of parcels approved for |
| 203 | purchase under this chapter, the Secretary of Environmental |
| 204 | Protection or the director of the Division of State Lands may |
| 205 | enter into option contracts to buy such parcels. Any such option |
| 206 | contract shall state that the final purchase price is subject to |
| 207 | approval by the board or, when applicable, the secretary and |
| 208 | that the final purchase price may not exceed the maximum offer |
| 209 | allowed by law. The consideration for such an option may not |
| 210 | exceed $1,000 or 0.01 percent of the estimate by the department |
| 211 | of the value of the parcel, whichever amount is greater. |
| 212 | Section 3. This act shall take effect July 1, 2008. |