Bill Text: OR SB600 | 2011 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to the Department of State Lands.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2011-08-03 - Effective date, January 1, 2012. [SB600 Detail]

Download: Oregon-2011-SB600-Introduced.html

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     76th OREGON LEGISLATIVE ASSEMBLY--2011 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 1873

                         Senate Bill 600

Sponsored by Senator JOHNSON

                             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 as
introduced.

  Modifies provisions related to lease of submersible lands.
Modifies provisions related to easements over submersible lands.
Modifies provisions related to certain privately owned floats and
docks. Creates new exemptions related to submerged and
submersible lands. Modifies provisions related to kelp fields.

                        A BILL FOR AN ACT
Relating to the Department of State Lands; creating new
  provisions; and amending ORS 274.040, 274.043, 274.060, 274.885
  and 274.895.
Be It Enacted by the People of the State of Oregon:

                               { +
LEASES AND EASEMENTS + }

  SECTION 1. ORS 274.040 is amended to read:
  274.040. (1) Except as provided in ORS 274.043   { - (1) to
(3) - } , in ORS 274.085 for leases of submersible lands acquired
as an investment for the Common School Fund, in ORS 274.530 (1)
for leases of submersible lands of less than one year's duration,
in ORS 274.530 (3) for licenses of less than three years'
duration and in subsections (2) and (3) of this section,
submersible lands owned by the State of Oregon may be leased only
to the highest bidder, bidding at least the minimum amount
designated by the Department of State Lands under subsection (6)
of this section for the lease of any such lands, after being
advertised not less than once each week for two successive weeks
in one or more newspapers of general circulation in the county in
which the lands are situated. However, any owner of lands
abutting or fronting on such submersible lands shall have the
preference right to lease the lands unless the submersible lands
are occupied by a person claiming the right of occupancy under a
conveyance recorded before January 1, 1981, from the present
owner or predecessor in interest of lands abutting or fronting
the submersible lands. If so, the occupant of the submersible
lands shall have the preference right to lease the lands. An
easement or license related to utility service on the submersible
lands does not establish a preference right under this
subsection. The lands shall be leased for the amount designated
by the department under subsection (6) of this section as the
minimum amount for the lease of any such lands. The preference
provided in this subsection applies to any lease of submersible
land for one year or more offered or issued under ORS 274.530.
The preference provided in this subsection does not apply
to { + :
  (a) + } Any lease offered or issued by the department under ORS
274.705 to 274.860.
   { +  (b) The renewal of an existing lease where the lessee is
not in compliance with all the terms and conditions of the
lease. + }
  (2) Submersible lands owned by the State of Oregon that are
determined by the State Land Board to be available for sale may
be sold only to the highest bidder, after being advertised not
less than once each week for two successive weeks in one or more
newspapers of general circulation in the county in which the
lands are situated. However:
  (a) No such lands shall be sold for less than for a fair
appraised value as determined by an appraiser appointed by the
department.
  (b) All sales of such submersible lands shall be approved by
the State Land Board.
  (c) Any owner of lands abutting or fronting on such submersible
lands shall have the preference right to purchase such lands for
the fair appraised value provided that the sale of such lands be
approved by the State Land Board.
  (3)(a) The department may grant, to any person holding a permit
from the Water Resources Director authorizing the impoundment for
beneficial use of the waters of any lake or stream, easements
over  { + submerged and + } submersible lands for flowage and
storage of waters, and for the construction, maintenance and
operation of any structures or facilities necessary for the use
of the water under the terms of the permit upon payment of just
compensation by the grantee.
  (b) In addition to the authority of the department under
paragraph (a) of this subsection to grant easements over
 { + submerged and + } submersible lands, a person holding a
water right permit, water right certificate, proposed or final
order approving a water right permit or court decree evidencing a
water right may occupy state-owned  { + submerged and + }
submersible lands for the construction, maintenance and operation
of any structure or facility necessary for the use of water if
the proposed use under the permit, certificate, order or decree
is for irrigation or domestic use.  The department may not charge
for the occupation of state-owned  { +  submerged and + }
submersible lands pursuant to this paragraph, nor may the
department require that a person obtain written documentation to
substantiate the permission granted under this paragraph. Upon
request by the Department of State Lands, the Water Resources
Department shall provide information to the Department of State
Lands regarding any change of use of the water right. A person
may continue to occupy state-owned  { + submerged and + }
submersible lands pursuant to this paragraph until:
  (A) The water right permit is canceled pursuant to ORS 537.260;
  (B) The water right is canceled pursuant to ORS 540.641; or
  (C) The water is no longer being applied to irrigation or
domestic use.
  (c) An easement or the permission granted under this subsection
may not be construed to be a sale or lease of the  { +  submerged
and + } submersible lands within the meaning of subsections (1)
and (2) of this section.
  (d) A person granted an easement or permission to use or occupy
state-owned  { + submerged and + } submersible lands under this
subsection shall indemnify and hold harmless the state from all
liability and claims arising from or attributable to the use or
occupation.
  (4) All easements or the permission granted pursuant to
subsection (3) of this section shall be subject to conditions
that will ensure the safety of the public and the preservation of
economic, scenic and recreational values and to lawful rules
promulgated by state agencies affected by the activities of the
grantee.
  (5) Nothing in this section affects the provisions of ORS
509.505, 509.510, 511.606 to 511.806, 622.270 or 622.320 to
622.350.
  (6) The Department of State Lands shall designate the minimum
acceptable amount for the lease of any  { + submerged and + }
submersible lands otherwise authorized by law, other than any
lease offered or issued by the department under ORS 274.705 to
274.860.
  (7) For the purpose of sale, the value of state-owned  { +
submerged and + } submersible lands shall be determined by an
appraiser appointed by the department.
  (8) The act of any person entering into an agreement with the
department under this section or ORS 274.530 for the lease of
 { +  submerged and + } submersible lands shall not be considered
a waiver by such person of any claim of ownership in the
 { + submerged and + } submersible lands described in the
agreement.
  SECTION 2. ORS 274.043 is amended to read:
  274.043. (1) A privately owned float or dock occupying an area
of 200 square feet or less is exempt from the leasing
requirements of ORS 274.040 if:
  (a) The structure belongs to the immediately adjacent riparian
landowner; and
  (b) The float or dock is uncovered, unenclosed and open on all
sides.
  (2) A privately owned float or dock constructed prior to
September 29, 1991, and exempted under ORS 274.042 (1989 Edition)
is exempt from the provisions of ORS 274.040.
    { - (3) The Department of State Lands may, by rule, provide
for additional exemptions to the leasing requirements of ORS
274.040. - }
    { - (4) Any float or dock described in subsections (1) to (3)
of this section shall be registered with the department. - }
   { +  (3) Any float or dock described in subsections (1) and
(2) of this section shall be registered with the Department of
State Lands.
  (4) The following are exempt from provisions related to
easements, leases and registration under this chapter:
  (a) Structures on state-owned submerged and submersible lands
maintained by a drainage district organized under the provisions
of ORS chapter 547.
  (b) Riprap, as that term is defined in ORS 196.815, used to
stabilize the banks along state-owned submerged and submersible
lands.
  (c) Voluntary habitat restoration work on state-owned submerged
and submersible lands.
  (5) The department by rule may allow the use of specific
state-owned submerged or submersible lands without charge if the
department determines that the use is minimally intrusive to any
public rights of navigation, fishery or recreation. + }

                               { +
CONFORMING AMENDMENTS + }

  SECTION 3. ORS 274.060 is amended to read:
  274.060. (1) Nothing in ORS 274.040 prevents the Legislative
Assembly from providing for regulation of the building of wharves
or other improvements in any bay, harbor or inlet of this state,
subject to ORS 780.060, or grants the exclusive right to any
person to use the natural oyster beds of this state.
  (2) The grantee of any  { + submerged or + } submersible lands
under ORS 274.040 shall hold the same subject to the easement of
the public, under the provisions and restrictions of law, to
enter thereon and remove oysters and other shell fish therefrom.

                               { +
KELP FIELDS + }

  SECTION 4. ORS 274.885 is amended to read:
  274.885.   { - (1) - }  The Department of State Lands may lease
submerged lands owned by the State of Oregon for the purpose of
harvesting kelp and other seaweed after consultation with the
State Fish and Wildlife Commission.
    { - (2) The lease may be for a term of not to exceed 50 years
and shall provide for the payment to the State of Oregon of a sum
to be fixed by the department for all kelp or other seaweed
harvested under the lease, to be paid at the end of each year.
Not more than 40 miles of coast line shall be leased to one
person. - }
  SECTION 5. ORS 274.895 is amended to read:
  274.895. Except in the case of a person harvesting or removing
less than 2,000 pounds of  { + wet + } kelp each year for the
purposes of human consumption  { + for the person's personal
use + },   { - no person shall - }   { + a person may not + }
harvest or remove any kelp or other seaweed from any submerged
lands owned by the State of Oregon unless the person has first
obtained a lease from the Department of State Lands.

                               { +
MISCELLANEOUS + }

  SECTION 6.  { + (1) The amendments to ORS 274.040 (1) by
section 1 of this 2011 Act apply to leases issued by the
Department of State Lands before, on and after the effective date
of this 2011 Act.
  (2) The amendments to ORS 274.040 (3)(a) by section 1 of this
2011 Act apply to permits authorizing the impoundment of waters
for beneficial use that are issued by the Water Resources
Director before, on or after the effective date of this 2011 Act.
  (3) The amendments to ORS 274.040 (3)(b) by section 1 of this
2011 Act apply to:
  (a) Water right permits or water right certificates issued
before, on or after the effective date of this 2011 Act.
  (b) Proposed or final orders approving a water right permit
issued before, on or after the effective date of this 2011 Act.
  (c) Court decrees evidencing a water right entered before, on
or after the effective date of this 2011 Act.
  (4)(a) The amendments to ORS 274.043 by section 2 of this 2011
Act apply to:
  (A) Structures constructed on state-owned submerged and
submersible lands before, on or after the effective date of this
2011 Act by drainage districts organized under the provisions of
ORS chapter 547.
  (B) Riprap used to stabilize the banks along state-owned
submerged and submersible lands before, on or after the effective
date of this 2011 Act.
  (C) Voluntary habitat restoration work conducted on state-owned
submerged and submersible lands before, on or after the effective
date of this 2011 Act.
  (b) Any easement, lease or registration under ORS chapter 274
entered into before the effective date of this 2011 Act related
to:
  (A) Structures on state-owned submerged and submersible lands
maintained by drainage districts organized under the provisions
of ORS chapter 547 need not be renewed, or may be terminated
before the date of renewal, by the grantee, lessee or registrant
on or after the effective date of this 2011 Act.

  (B) Riprap used to stabilize the banks along state-owned
submerged and submersible lands need not be renewed, or may be
terminated before the date of renewal, by the grantee, lessee or
registrant on or after the effective date of this 2011 Act.
  (C) Voluntary habitat restoration work conducted on state-owned
submerged and submersible lands need not be renewed, or may be
terminated before the date of renewal, by the grantee, lessee or
registrant on or after the effective date of this 2011 Act.
  (c) Any person who does not renew, or who terminates before the
date of renewal, an easement, lease or registration as described
in paragraph (b) of this subsection may not claim reimbursement
from the Department of State Lands for any amounts paid by the
person related to the easement, lease or registration prior to
the date of nonrenewal or termination.
  (5) The amendments to ORS 274.885 by section 4 of this 2011 Act
apply to leases renewed, or first entered into, by the Department
of State Lands on or after the effective date of this 2011
Act. + }
  SECTION 7.  { + The unit captions used in this 2011 Act are
provided only for the convenience of the reader and do not become
part of the statutory law of this state or express any
legislative intent in the enactment of this 2011 Act. + }
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