Bill Text: NY S00059 | 2023-2024 | General Assembly | Introduced


Bill Title: Establishes a right of first refusal in municipalities for state land to be sold at public auction.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-05-21 - REPORTED AND COMMITTED TO FINANCE [S00059 Detail]

Download: New_York-2023-S00059-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                           59

                               2023-2024 Regular Sessions

                    IN SENATE

                                       (Prefiled)

                                     January 4, 2023
                                       ___________

        Introduced  by Sen. HARCKHAM -- read twice and ordered printed, and when
          printed to be committed to the Committee on Investigations and Govern-
          ment Operations

        AN ACT to amend the public lands law,  in  relation  to  establishing  a
          right  of first refusal in municipalities for state land to be sold at
          public auction

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Section 33 of the public lands law, as amended by chapter
     2  360 of the laws of 1983, subdivision 2 as amended by chapter 119 of  the
     3  laws  of  2000, paragraph (b) of subdivision 2 as amended by chapter 702
     4  of the laws of 2022, subdivision 3 as separately amended by chapters 360
     5  and 471 of the laws of 1983 and subdivision 5 as added by chapter 95  of
     6  the laws of 2000, is amended to read as follows:
     7    § 33. Sale  of  unappropriated  state  lands;  right of first refusal;
     8  notice and place of public sales. 1. [The] (a) Prior to the public  sale
     9  of  unappropriated state land, the office of general services must first
    10  offer to sell such land to the local governments in which it is  located
    11  subject to the following conditions:
    12    (i) if the local government intends to use such land in perpetuity for
    13  park  and/or  municipal recreation purposes, the commissioner of general
    14  services shall offer the land to the local government for the sum of one
    15  dollar;
    16    (ii) if the local government intends to use such land for other munic-
    17  ipal purposes, the commissioner of general services shall offer the land
    18  to the local government for a sum equal to the current  appraised  value
    19  determined  by  such commissioner or for no more than the same consider-
    20  ation for which it is proposed to be sold to a person or private entity,
    21  whichever is less;

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01530-01-3

        S. 59                               2

     1    (iii) the deed conveying unappropriated state land to a local  govern-
     2  ment  pursuant  to  subparagraph  (i)  or  (ii)  of this paragraph shall
     3  include a clause specifying the purpose for  which  the  land  is  being
     4  conveyed  and  reverting the land to the state if it is not utilized for
     5  the specific purpose enumerated or the specifically enumerated use ceas-
     6  es;
     7    (iv)  the governing body of such municipality shall exercise its right
     8  to purchase unappropriated state land for a purpose set forth in subpar-
     9  agraph (i) or (ii) of this paragraph within ninety days after receipt of
    10  such written offer from the office of general  services  or  within  any
    11  greater  length  of time that may be provided for in a written agreement
    12  between the office of general services and such local government;
    13    (v) the offer to purchase any such unappropriated state land  made  to
    14  any  municipality  in  which  such  real  property is situated shall not
    15  constitute a right to purchase and such offer may be  withdrawn  by  the
    16  commissioner of general services at any time.
    17    (b) If the unappropriated state land is located within an incorporated
    18  village,  the  commissioner  of  general services shall first offer such
    19  land to the incorporated village. The governing  body  of  such  village
    20  shall  exercise  its right to purchase such land for a purpose set forth
    21  in subparagraph (i) or (ii) of paragraph (a) of this subdivision  within
    22  ninety  days  after  receipt  of  such  written offer from the office of
    23  general services or within any  greater  length  of  time  that  may  be
    24  provided  for  in  a  written  agreement  between  the office of general
    25  services and such village. If the incorporated village does not exercise
    26  its right to purchase such land within said time frame, then the commis-
    27  sioner of general services shall offer the unappropriated land for  sale
    28  to the town in which such land is located.
    29    (c)  If  the  unappropriated  state  land is located within a town but
    30  outside of the borders of any incorporated village or is  located  in  a
    31  village  but  the  village  does  not exercise its right as set forth in
    32  paragraph (b) of this subdivision, the commissioner of general  services
    33  shall offer such land to the town. The governing body of such town shall
    34  exercise  its  right  to  purchase  such land for a purpose set forth in
    35  subparagraph (i) or (ii) of paragraph (a)  of  this  subdivision  within
    36  ninety  days  after  receipt  of  such  written offer from the office of
    37  general services or within any  greater  length  of  time  that  may  be
    38  provided  for  in  a  written  agreement  between  the office of general
    39  services and such town. If the town  does  not  exercise  its  right  to
    40  purchase  such  land  within  said  time frame, then the commissioner of
    41  general services shall offer the unappropriated land  for  sale  to  the
    42  county in which such land is located.
    43    (d)  If  the  unappropriated  state land is located within a city, the
    44  commissioner of general services shall first  offer  such  land  to  the
    45  city.  The  governing  body  of  such  city  shall exercise its right to
    46  purchase such land for a purpose set forth in subparagraph (i)  or  (ii)
    47  of paragraph (a) of this subdivision within ninety days after receipt of
    48  such  written  offer  from  the office of general services or within any
    49  greater length of time that may be provided for in a  written  agreement
    50  between  the  office of general services and such city. If the city does
    51  not exercise its right to purchase the unappropriated state land  within
    52  said  time  frame, then such commissioner shall offer the unappropriated
    53  land for sale to the county in which such land is located.
    54    (e) The governing body of such county  shall  exercise  its  right  to
    55  purchase  unappropriated  state land for a purpose set forth in subpara-
    56  graph (i) or (ii) of paragraph (a) of  this  subdivision  within  ninety

        S. 59                               3

     1  days  after  receipt  of  such  written offer from the office of general
     2  services or within any greater length of time that may be  provided  for
     3  in  a  written  agreement between the office of general services and the
     4  county.  If the county does not exercise its right to purchase the unap-
     5  propriated state land within said time frame, then the  commissioner  of
     6  general  services may dispose of said land in accordance with all appli-
     7  cable laws.
     8    (f) The procedure set forth in this subdivision shall  supplement  any
     9  other  procedures  in  effect  with regard to the sale of unappropriated
    10  state land.
    11    2. Subject to the provisions of subdivision one of this  section,  the
    12  commissioner  of  general services may, from time to time, sell unappro-
    13  priated state lands at public auction or by sealed bids in such  parcels
    14  as he deems for the best interests of the state. Previous to every sale,
    15  he  or  she  shall fix the lowest sum at which each lot may be sold, and
    16  shall designate at least one newspaper in the county where the lands  to
    17  be  sold  are  situated, in which the commissioner shall cause notice of
    18  the time, place and description of sale to be published, at least once a
    19  week for four weeks, successively, before the sale. Such notice need not
    20  be published in any other paper or papers,  and  any  statute  requiring
    21  additional publication of notices or advertisements by state officers or
    22  a  department,  board, bureau or commission of the state shall not apply
    23  to such notice. The commissioner may designate a representative  of  his
    24  or  her office to conduct such sale. All such sales shall be held at the
    25  county seat of the county where the property is situated, unless  other-
    26  wise directed by the commissioner.
    27    Upon  such  sales of unappropriated state land to a purchaser procured
    28  by any licensed real estate broker and the payment of the purchase price
    29  in the amount offered by such broker in behalf  of  the  purchaser,  the
    30  commissioner  of  general services is authorized to pay, subject to such
    31  terms and conditions as the commissioner may prescribe, a commission  to
    32  such  broker  out of monies available therefor. Uniform rates of commis-
    33  sion shall, from time to time, be fixed by the  commissioner  but  shall
    34  not  exceed six [percentum] per centum of the purchase price. No commis-
    35  sion shall be paid for the procuring of  any  sale  unless  (1)  written
    36  authority  of  the broker to make such offer on a form acceptable to the
    37  commissioner, signed by the person for whom he or she is  acting,  shall
    38  be filed with the commissioner before the day of the sale and unless (2)
    39  the  broker  shall furnish to the commissioner evidence in such form and
    40  extent as he may require establishing that the purchaser was procured as
    41  the result of the broker's services. In no event shall a broker  who  is
    42  paid  a  commission  by  the  commissioner as herein provided accept any
    43  other commission or fee from any person or source for brokerage services
    44  relating to the sale of such unappropriated state land.
    45    [2.] 3. (a) Whenever a street or highway, including any adjacent  land
    46  acquired or held by the state in connection with such street or highway,
    47  the  title  to the bed of which is in the state, shall have been legally
    48  abandoned or closed, in whole or in part, the  commissioner  of  general
    49  services  may sell and convey at public auction or by sealed bids at not
    50  less than the appraised value, in such parcels as he or she directs, all
    51  the right, title and interest of the state in such abandoned  or  closed
    52  street  or highway, or the part so abandoned or closed, and in any adja-
    53  cent land acquired or held by the state in connection with  such  street
    54  or  highway;  and  where, in the judgment of such commissioner, a public
    55  auction is not for the best interests of the state the commissioner,  in
    56  his or her discretion, may sell and convey such parcels of said lands at

        S. 59                               4

     1  private  sale  to the owners of adjacent lands for a price not less than
     2  the appraised value and on such terms and conditions as the commissioner
     3  may impose.
     4    (b)  The  commissioner of general services may sell and convey parcels
     5  of unappropriated state land which (i) do not constitute legal  building
     6  lots  in  the  municipality  in  which they are located and (ii) have an
     7  appraised value of less than fifty thousand dollars each at private sale
     8  to any owner of adjacent lands. Consideration for such  sales  shall  be
     9  for  a price not less than the appraised value and such additional terms
    10  and conditions as the commissioner may deem necessary.
    11    [3.] 4. The commissioner of general services is authorized in  his  or
    12  her  discretion  to  sell and convey at private sale upon such terms and
    13  conditions as he or she may deem proper, and to remise and quitclaim all
    14  the right, title and interest of the state in and to any  unappropriated
    15  state  lands  acquired by or through tax sale where it shall appear that
    16  such lands are and have been privately occupied  under  color  of  title
    17  continuously  for ten years or where the applicant has, in good faith, a
    18  continuous chain of title going back more than ten years from  the  date
    19  of  application.  Any  such  sale,  if  made,  shall be to the person or
    20  persons claiming title because of such occupation or under such chain of
    21  title, and shall be for a consideration not less than  the  fair  market
    22  value of the state's interest as determined by the commissioner.
    23    [4.]  5.  Where a petition is presented to a surrogate's court of this
    24  state for an order directing the sale of a decedent's real property  for
    25  any  of  the  purposes provided for in section one thousand nine hundred
    26  two of the surrogate's court procedure act or otherwise,  and  there  is
    27  reason  to  believe  that  such  real property may have escheated to the
    28  people of the state of New York, and a final judgment in  an  action  by
    29  reason of such escheat, as provided for in section two hundred [and] one
    30  of the abandoned property law, has not been entered, the commissioner of
    31  general services may, if it is deemed to be in the best interests of the
    32  state,  authorize  the attorney general to consent to such order for the
    33  sale of such real property, either at public auction or by  sealed  bids
    34  or private sale. A deed thereupon executed and delivered pursuant to the
    35  terms  and  provisions  of such order, upon such consent of the attorney
    36  general, shall be deemed a bar to any claim of title of  the  people  of
    37  the  state  of  New  York, by virtue of such escheat, in the property so
    38  sold, but shall not be deemed to affect any rights that  the  people  of
    39  the  state  of  New  York  may  have in or to the proceeds of such sale.
    40  Consent, however, to such an order shall not be given in the  event  the
    41  price  offered  on a proposed private sale of such real property is less
    42  than the appraised value thereof as determined by  the  commissioner  of
    43  general services.
    44    [5.]  6.  (a) The commissioner of general services may sell and convey
    45  improved, unappropriated state  lands  by  competitive  solicitation  of
    46  offers through a request for proposals or similar method where in his or
    47  her  judgment,  a  public  auction  is  not in the best interests of the
    48  state. Such solicitation shall  document  the  minimum  qualitative  and
    49  quantitative factors in addition to sale price to be used as criteria in
    50  the  evaluation of offers and the general manner in which the evaluation
    51  process and selection of the most responsive and responsible offeror  is
    52  to be conducted. Clarifications may be sought from offerors for purposes
    53  of  assuring  a full understanding of responsiveness to the solicitation
    54  requirements. Where provided for in the solicitation, revisions  may  be
    55  permitted  from  all  offerors  determined  to  be  eligible  for award.
    56  Disclosure of the content of competing offers,  other  than  statistical

        S. 59                               5

     1  tabulations  of  offers  received  or of any clarifications or revisions
     2  thereto, shall be prohibited prior to award.  All  offers  or  separable
     3  parts thereof may be rejected.
     4    (b) Establishment of the minimum sale price for the competitive solic-
     5  itation shall be based upon a certified appraisal or certified appraisal
     6  report as defined in article six-E of the executive law.
     7    (c)  The commissioner of general services shall designate at least one
     8  newspaper in the county where the lands to be offered  are  situate,  in
     9  which he or she shall cause a notice of the solicitation to be published
    10  at  least  once  a  week for four weeks successively before the date set
    11  forth for receipt of offers.
    12    § 2. This act shall take effect immediately.
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