Bill Text: NJ S1989 | 2010-2011 | Regular Session | Introduced
Bill Title: Establishes priority for certain municipalities, counties, and non-profit organizations to purchase State surplus real property prior to public auction; requires State to follow Green Acres fair market valuation process.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2010-05-27 - Introduced in the Senate, Referred to Senate State Government, Wagering, Tourism & Historic Preservation Committee [S1989 Detail]
Download: New_Jersey-2010-S1989-Introduced.html
Sponsored by:
Senator JENNIFER BECK
District 12 (Mercer and Monmouth)
SYNOPSIS
Establishes priority for certain municipalities, counties, and non-profit organizations to purchase State surplus real property prior to public auction; requires State to follow Green Acres fair market valuation process.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the sale of State surplus real property and amending various parts of the statutory law.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 4 of P.L.1997, c.135 (C.52:31-1.3a) is amended to read as follows:
4. a. Notwithstanding any other provision of law to the contrary, the sale or conveyance by the head or principal executive of any State department of all or part of the State's interest in any real property and the improvements thereon or the grant of an easement in or across such property shall require the approval of the State House Commission without regard to the value of the property or easement or to the means by which the property was acquired by the State, unless the sale or conveyance or grant is a disposition of public lands for recreation and conservation, farmland preservation, or any other public purpose.
b. Notwithstanding any other provision of law to the contrary, the sale by the head or principal executive of any State department of all or part of the State's interest in any real property and the improvements thereon shall require the performance of at least two independent real estate appraisals by qualified real estate appraisers, without regard to the value of the property or to the means by which the property was acquired by the State. The appraisers to be selected, the appraisal process to be followed, and the certified fair market value of each property offered for sale by the State shall be determined in accordance with rules and regulations applicable to Green Acres properties issued pursuant to the "Garden State Preservation Trust Act," P.L.1999, c.152 (C.13:8C-1 et seq.).
(cf: P.L.1997, c.135, s.4)
2. Section 1 of P.L.1985, c.201 (C.52:31-1.4) is amended to read as follows:
1. a. The State shall, prior to public auction to dispose of any land and improvements which it has acquired within 10 years of the final decision to dispose of the land and improvements at issue, or any interest therein or option therefor, notify and provide the owners of record of the property at the time of the acquisition the right to repurchase their interest at the current fair market value of that interest, as assembled to the former owner's property. The State shall notify the previous owner of record by certified mail to the most current address of record of that owner and by public notice in two newspapers of general circulation in the area wherein the land is located. The State Treasurer shall have the authority, through rules and regulations, to establish the period of time by which the previous owner of record must respond, following receipt of notice to the most current address of record of that owner. If the previous owner of record does not respond within the period of time established by the State Treasurer, the previous owner's right to repurchase the interest before it is disposed of at public auction shall expire. The owner of record shall not include the heirs or devisees of the owner of record.
b. If the previous owner of record does not exercise the right to repurchase the property pursuant to subsection a. of this section, or if the previous owner's right to repurchase has expired, the local governing body of each municipality where the property is located shall have the right to purchase the property, as provided herein. The State shall, prior to public auction to dispose of any land and improvements thereon, notify, by certified mail, the local governing body of each municipality where the land and improvements thereon are located, of the right to purchase the land and improvements thereon at fair market value pursuant to this subsection. The State Treasurer shall have the authority, through rules and regulations, to establish the period of time by which a municipal governing body must respond following receipt of the notice, and to establish criteria for determining which municipality may proceed to exercise the right to purchase in the event that more than one municipal governing body responds within the period of time established, when the land and improvements thereon are located in more than one municipality. If a municipal governing body does not respond within the period of time established by the State Treasurer, the municipality's right to purchase the land and improvements thereon before it is disposed of at public auction shall expire.
c. If neither the previous owner of record nor a municipality has exercised the right to purchase the property pursuant to subsections a. and b. of this section, the governing body of each county where the property is located shall have the right to purchase the property, as provided herein. The State shall, prior to public auction to dispose of any land and improvements thereon, notify by certified mail the governing body of each county where the land and improvements thereon are located, of the right to purchase the land and improvements thereon at fair market value pursuant to this subsection. Notice to each county pursuant to this subsection shall be sent at the same time notice is sent to each municipality pursuant to subsection b. of this section. The State Treasurer shall have the authority, through rules and regulations, to establish the period of time by which a county governing body must respond following receipt of the notice, and to establish criteria for determining which county may proceed to exercise the right to purchase in the event that more than one county governing body responds within the period of time established, when the land and improvements thereon are located in more than one county. If a county governing body does not respond within the period of time established by the State Treasurer, the county's right to purchase the land and improvements thereon before it is disposed of at public auction shall expire.
d. If neither the previous owner of record, nor a municipality, nor a county has exercised a right to purchase the property pursuant to subsections a., b. and c. of this section, a qualifying tax exempt nonprofit organization shall have the right to purchase the property, as provided herein. For the purposes of this section, a "qualifying tax exempt nonprofit organization" means the same as defined pursuant to section 3 of P.L.1999, c.152 (C.13:8C-3). The State shall, prior to public auction to dispose of any land and improvements thereon, notify by certified mail every qualifying tax exempt nonprofit organization which has ever received a grant pursuant to P.L.1999, c.152 (C.13:8C-1 et seq.) or from a Green Acres bond act for a project in the county in which the land and improvements thereon are located, of the right to purchase the land and improvements thereon at fair market value pursuant to this subsection. The State Treasurer shall have the authority, through rules and regulations, to establish the period of time by which a qualifying tax exempt nonprofit organization must respond following receipt of notice to the most current address of that organization, and to establish criteria for determining which organization may proceed to exercise the right to purchase in the event that more than one qualifying tax exempt nonprofit organization responds within the period of time established. If a qualifying tax exempt nonprofit organization does not respond within the period of time established by the State Treasurer, the organization's right to purchase the land and improvements thereon before it is disposed of at public auction shall expire.
e. Nothing in this act, P.L. , c. (pending before the Legislature as this bill), shall prohibit the State from the conveyance of a property at no cost to another State agency, municipal or county government, or non-profit land preservation organization for permanently dedicated public open space.
(cf: P.L.1985, c.201, s.1)
3. This act shall take effect immediately.
STATEMENT
This bill modifies the process governing the sale of State-owned surplus real property by establishing a right to purchase for a municipality or a county where the property to be sold is located, or for certain non-profit organizations. These entities would have priority to purchase the property, in that order, if the previous owner of record does not exercise the right to repurchase as provided by existing law. This bill also requires the State to conduct two independent real estate appraisals, and to select the appraisers, conduct the appraisal process, and determine the certified fair market value of each property in accordance with standards and procedures established by the rules and regulations applicable to Green Acres properties.
Under the bill, the first right to purchase is given to the municipality or municipalities where the State property being sold is located, and the second is given to the county or counties where the property is located. If neither a municipality nor a county exercises their right to purchase the property, the third right to purchase is given to any tax-exempt non-profit organization that has received a grant to acquire land for recreation, conservation, farmland, and historic preservation under the "Garden State Preservation Trust Act," P.L.1999, c.152 (C.13:8C-1 et seq.), or from any Green Acres bond act, for a project in the county where the State property being sold is located.
The bill directs the State Treasurer to notify each of these entities of their rights to purchase the property at fair market value prior to offering it for public auction, and to determine through rules and regulations the appropriate time by which each entity must respond to that notice before their right to purchase expires. The bill also directs the State Treasurer to develop criteria to determine which municipality, county, or non-profit organization may proceed to purchase the property when more than one eligible municipality, county, or non-profit organization has responded to the notice.
