141-068-0000
Purpose and Applicability

These rules:

(1) Govern the identification of State’s interest in historically filled lands by the Department of State Lands (Department).

(2) Govern the notification process of State’s interest in historically filled lands by the Department.

(3) Govern the process to clearing title to historically filled lands and new lands.

(4) Govern the sale, exchange and reservation of historically filled lands by the Department.

(5) Govern the creation, sale, exchange and reservation of new lands by the Department.

(6) Do not govern the land sale or exchange of state-owned trust lands, or mineral and geothermal resource rights as administered in OAR 141-067.

(7) Do not govern the issuance of state leases, easements or other local, state or federal permits for historically filled lands and new lands.

(8) Do not govern the placement of rip-rap; structures constructed by a drainage or diking district; tidegates; wharves; or other uses of state-owned submerged and submersible lands as administered in OAR 141-082.

(9) Do not govern the placement of bridges or other crossings of state-owned submerged and submersible lands as administered in OAR 141-122 or OAR 141-123.

(10) Do not govern the removal or fill of material in waters of the state as administered in OAR 141-085.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 5-2020, minor correction filed 05/12/2020, effective 05/12/2020
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0010
Definitions

(1) "Abutting" means immediately adjacent to or facing.

(2)"Affected Property Owners" refers to those people listed in the records of the county assessor as owners of property fronting, abutting or underlying, or having a recorded easement allowing access to a waterway segment at the time that the Department undertakes a State’s interest study of the subject waterway.

(3) "Applicant" is any person who submits a written request to the Department to create, purchase or exchange land or interests in land.

(4) "Appraisal" or "Appraisal Report" means a written statement setting forth an opinion as to the market value of the lands or interests in lands as of a specific date(s) prepared by a qualified appraiser in accordance with the Uniform Standards of Professional Appraisal Practices (USPAP) standards.

(5) "Deed" means a written, legal instrument that conveys an estate or interest in real property when it is properly executed and delivered.

(6) “Department” means the Department of State Lands.

(7) "Declaration" is a written statement by the Land Board concerning the nature and extent of the state's interest to historically filled lands in a waterway segment under study.

(8) "Director" means the Director of the Oregon Department of State Lands or designee.

(9) "Easement" is an authorization granted that gives a person the use of a specifically designated parcel of land for a specific purpose and length of time. An easement does not convey any proprietary or other rights of use to the holder other than those specifically granted in the easement authorization.

(10) “Fair Market Value” means the most probable price, as of a specified date, in cash, or in terms equivalent to cash for which the specified property rights should sell after reasonable exposure in a competitive market under all conditions requisite to a fair sale, with the buyer and seller acting prudently, knowledgeably, and assuming that neither is under undue duress.

(11) “Geothermal Resources” as defined in ORS 522.005 means the natural heat of the earth, the energy, in whatever form, below the surface of the earth present in, resulting from, or created by, or that may be extracted from, the natural heat, and all minerals in solution or other products obtained from naturally heated fluids, brines, associated gases, and steam in whatever form, found below the surface of the earth, exclusive of helium or of oil, hydrocarbon gas or other hydrocarbon substances, but including, specifically:

(a) All products of geothermal processes, including indigenous steam, hot water and hot brines;

(b) Steam and other gases, hot water and hot brines resulting from water, gas, or other fluids artificially introduced into geothermal formations;

(c) Heat or other associated energy found in geothermal formations; and

(d) Any by-product derived from them.

(12) “Highest and Best Use of Filled Land” means to treat the land (not including improvements) as if it were a part of the adjacent, or larger upland parcel, rather than an isolated land-locked parcel, unless the parcel is solely created by filled land. Filled land must be appraised with this definition unless the Department has given specific instructions to the contrary.

(13) “Historically Filled Lands” as defined in ORS 274.905, means those lands protruding above the line of ordinary high water, whether or not connected with the adjoining or opposite upland or riparian lands on the same side of the body of water that were created upon submersible or submerged lands by artificial fill or deposit before May 28, 1963. Historically filled lands does not include bridges, wharves and similar structures constructed upon submersible or submerged lands by other than artificial fill or deposit.

(14) “Interest” means right, title, or legal share in something.

(15) “Interested persons” means any person that has requested to be notified of certain Department actions within an area, or who has previously provided comment on a similar agency action.

(16) “Line of Ordinary High Water” as defined in ORS 274.005, means the line on the bank or shore to which the high water ordinarily rises annually in season.

(17) “Line of Ordinary Low Water” as defined in ORS 274.005, means the line on the bank or shore to which the low water ordinarily recedes annually in season.

(18) "New Lands" as defined in ORS 274.905 means those lands protruding above the line of ordinary high water, whether or not connected with the adjoining or opposite upland or riparian land on the same side of the body of water, that were created upon submersible or submerged lands by artificial fill or deposit on or after May 28, 1963 and not including bridges, wharves and similar structures constructed upon submersible or submerged lands by other than artificial fill or deposit.

(19) "Person" includes individuals, corporations, associations, firms, partnerships, limited liability companies and joint stock companies as well as any state or other governmental or political subdivision or agency, public corporation, public authority, or Indian Tribe.

(20) “Public Interest” as used in ORS 274.940 includes the values, rights and interests that the public holds in historically filled lands for recreation, conservation of resources, or navigation.”

(21) "Quitclaim Deed" is a form of deed in which any interest the grantor possesses in the property described in the deed is conveyed to the grantee without guaranteeing that interest or its title.

(22) "Real Market Value" or “RMV” means the current real market value of the property (not including improvements) assigned to the land or comparable tax lot by the county tax assessor.

(23) "Reserved Interest" means an interest in the land that is retained by the Department from a conveyance of the title to the state land.

(24) "State Land Board" or "Board" means the constitutionally created body consisting of the Governor, Secretary of State and the State Treasurer that is responsible for managing the assets of the Common School Fund as well as for additional functions placed under its jurisdiction by law.

(25) “Submerged Lands” as defined in ORS 274.005, means lands lying below the line of ordinary low water of all navigable waters within the boundaries of this state as heretofore or hereafter established, whether such waters are tidal or nontidal.

(26) “Submersible Lands” as defined in ORS 274.005, means lands lying between the line of ordinary high water and the line of ordinary low water of all navigable waters and all islands, shore lands or other such lands held by or granted to this state by virtue of her sovereignty, wherever applicable, within the boundaries of this state as heretofore or hereafter established, whether such waters or lands are tidal or nontidal.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0020
General Provisions

(1) Pursuant to Article VIII, Section 5(2) of the Oregon Constitution, the State Land Board has a constitutional responsibility to manage all land (Trust and Non-Trust) under its jurisdiction “with the object of obtaining the greatest benefit for the people of this state, consistent with the conservation of this resource under sound techniques of land management.”

(2) Pursuant to Oregon law as defined in ORS 274, all tidally influenced and title navigable waterways (referred to as state-owned submerged and submersible land) have been placed by the Oregon State Legislature under the jurisdiction of the State Land Board and the Department, as the administrative arm of the State Land Board.

(3) State-owned submerged and submersible lands are managed to ensure the collective rights of the public, including riparian owners, to fully use and enjoy this resource for commerce, navigation, fishing, recreation and other public trust values. These rights are collectively referred to as “public trust rights.”

(4) All references in these rules to “state-owned submerged and submersible lands” include state-owned submerged lands or submersible lands or both.

(5) The Department recognizes that uncertainty exists as to the extent of the State’s interest in historically filled lands. Actions to determine and assert the State’s interest, if any, in historically filled lands should be done in a prompt and orderly manner and as funding allows. The State Land Board authorizes the Department to negotiate settlements in lieu of litigation, when and where appropriate, with regard to the ownership of historically filled lands.

(6) The State Land Board authorizes the Director to issue land sale contracts, deeds or conveyances as are necessary to carry out the land transactions approved by the State Land Board in conformance with these rules. Such instruments shall include, but not be limited to quitclaim deeds, and be drawn in a manner to transfer any and all rights and interests (excluding mineral and geothermal resource rights) to the buyer/exchange partner that the Department may hold or has agreed to convey.

(7) Administrative fees delineated in these rules shall be adjusted on January 1 of every year based on Portland-Salem, OR-WA Consumer Price Index for All Urban Consumers for All Items as published by Labor Statistics of the US Department of Labor. The calculated adjustment shall be rounded up to the nearest dollar.

(8) The real market valuations described in OAR 141-068-0070(9), (10), and (11) rules shall be adjusted on January 1 of every year based on Portland-Salem, OR-WA Consumer Price Index for All Urban Consumers for All Items as published by Labor Statistics of the US Department of Labor. The calculated adjustment shall be rounded up to the nearest $10 dollars.

(9) The State Land Board authorizes the Director to (without further State Land Board approval) issue land sale contracts, deeds or conveyances as are necessary to carry out the land transactions, in conformance with these rules, for:

(a) Historically filled lands where no State interest is determined to exist; and

(b) Historically filled lands that are determined to be of low value and low public interest values are present per OAR 141-068-0080(5)(d).

(10) The State Land Board shall recognize and adhere to all terms and conditions of valid existing leases and easements as they affect proposed land sales or exchanges.

(11) The State Land Board shall retain all mineral and geothermal resource rights (as defined) except as allowed under OAR 141-067-0320.

(12) It is the policy of the State Land Board that public access to a waterway shall be preserved to the extent practicable. The Department may require a public easement to, or along the waterway, as a condition of a land sale.

(13) Pursuant to ORS 274.950, the State Land Board shall not assert title to historically filled lands after December 31, 2025 unless the Board had made a declaration of State’s interests prior to the date.

(14) Excluded from OAR141-068-0020(13) are:

(a) Historically filled lands over which the State Land Board asserted title prior to January 1, 2016;

(b) Historically filled lands fronting upon the Pacific Ocean; or

(c) Lands in the portion of the Lower Willamette River that includes the Portland Harbor Superfund Site as delineated by the United States Environmental Protection Agency.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0030
Identification of State’s Interest in Historically Filled Lands

(1) Upon direction from the Board to determine whether any interest remains or is vested in the State of Oregon with respect to historically filled lands in a segment of a waterway, the Department shall take the following steps:

(a) Post a public notice on the Department’s website;

(b) Submit a press release to media in the study area; and

(c) Inform affected property owners, affected local, state and federal agencies, state legislators representing the district where the segment is located, any local port district, any local federally recognized tribes, any local watershed councils, national estuary programs and soil and water districts, and other interested persons.

(2) In conducting a study the Department shall take, at a minimum, the following steps:

(a) Analyze existing filled lands inventories, plat maps and deeds, historic low and high water lines as reported by the United States Army Corps of Engineers, aerial photography and tax lot information as compiled and digitized by the Department;

(b) Identify the purpose and date that the fill was placed, if possible;

(c) Identify the current site characteristics and use; and

(d) Evaluate any new information that can be collected by researching the local property records, or that may be provided by affected property owners or other stakeholders.

(3) Upon completion of a study the Department shall prepare and submit to the Board a draft report setting forth the Department’s findings and conclusions as to whether any historically filled lands are located within the area under study.

(4) Upon completion of the draft report, the Department shall:

(a) Post a public notice on the Department’s website;

(b) Submit a press release to media in the study area; and

(c) Provide appropriate public notice to affected property owners, affected local, state and federal agencies, any local port district, , any local federally recognized tribes, any local watershed councils, national estuary programs and soil and water districts, and other interested persons concerning the draft report.

(5) The Department shall provide an opportunity for the public to submit written comments on the draft report and to submit other evidence concerning the presence of historically filled lands.

(6) The Department may post a notice of a draft report and opportunity to comment at a local government building, public library, or other appropriate locations in order to ensure that minority and low-income communities are included and aware of a study and draft report. The Department shall make paper copies of materials available to any person upon request.

(7) The Department shall hold public workshops and informational meetings in the study area as appropriate.

(8) The Department shall hold a public hearing in the area of affected lands if it receives a written request within thirty (30) days after the posting of notice of the draft report by the Department.

(9) Following the notification and opportunity for a public hearing, the Board may adopt the draft report as final, or the Board may refer the report to the Department for further action.

(10) Upon adoption of a final report, the Board shall declare the nature and extent of the State’s claim to any interest that remains vested in the State of Oregon as identified in the final report.

(11) A declaration by the Board is not a final agency order.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0040
Notification of a State Land Board Declaration

(1) Following a Board declaration, the Department shall:

(a) Post a public notice on the Department’s website;

(b) Submit a press release to media in the study area; and

(c) Provide notice to affected local, state and federal agencies, state legislators representing the district where the study area is located, any local port district, any local federally recognized tribes, any local watershed councils, national estuary programs and soil and water districts, and other interested persons.

(2) The Department shall give notice by registered mail or by certified mail, return receipt requested, to each owner of record of land identified as having a State interest in the property. This notice shall include a copy of the declaration made with respect to the land and a statement informing the owner of record of a point of contact at the Department and options available to the owner of record based on the notice.

(3) The notice shall use common description and maps shall be designed to identify the land or waterway in a manner intelligible to the layperson and useful in establishing the exact location of the state claim in relation to existing descriptions.

(4) The Department shall record the declaration with the county of record for parcels determined to have a State interest.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0050
Resolving Ownership of Historically Filled Lands prior to State Land Board declaration and New Lands

(1) Notwithstanding the provisions of OAR 141-068-0030 through OAR 141-068-0040, any person with a potential interest in a property that wishes to resolve ownership of historically filled lands prior to declaration (including those lands excluded per OAR 141-068-0020(14)), or new lands may meet with the Department to discuss the facts concerning the creation and ownership of the lands in question.

(2) The Department shall charge an investigation fee of $250 if requested to complete a Strength of Claim checklist. The director has the discretion to waive this fee. A waiver must be in writing and explain the rationale for the waiver.

(3) The Department shall take the steps listed in OAR 141-068-0030(2) when completing an investigation.

(4) The Department shall complete a Strength of Claim checklist that summarizes the findings of the Department’s investigation.

(5) Based on the facts presented, as well as the Department’s own investigation, the Department may do the following:

(a) Agree that the Department has no interest in the historically filled land and offer to provide a conveyance that clears title to the lands as allowed under these rules;

(b) Begin the process to sell or clear title to the historically filled lands as provided under these rules;

(c) Enter into litigation to resolve the ownership issue, including but not limited to a suit to quiet title;

(d) Enter into negotiation in lieu of litigation with the person to resolve the ownership question;

(e) Request more information from the landowner or person; or

(f) Pursue other actions aimed at resolving the ownership question.

(g) A conveyance issued under OAR 141-068-0050(5)(a) may be carried out by the Director, and does not require further State Land Board approval.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0060
Land Sale Application Requirements

(1) An application to clear title, buy or exchange land subject to these rules must be submitted on a form provided by the Department.

(2) Each land sale applicant must submit with the application a correct and concise description of the land(s) involved in the requested transaction.

(3) A single application may include multiple contiguous land parcels.

(4) The application fee for historically filled land, and existing new lands sales or land exchanges is $500 per application.

(5) An application to create new lands under OAR 141-068-0100 shall serve as the application fee to purchase if approved by the State Land Board.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0070
Application Review Process

(1) Upon receipt of an application, the Department will determine whether it is complete. In order to be complete, an application must meet the requirements of OAR 141-068-0060 (all sections of the application must be correctly filled out), and must be signed and dated by the applicant. Applications determined to be incomplete will be returned to the applicant with a written explanation of the reason(s) for rejection.

(2) If a rejected application is resubmitted within 120 calendar days from the date the Department returned it to the applicant, no additional application fee will be assessed.

(3) The Department will prioritize the processing of complete applications based on the following factors:

(a) An impending transaction or financing of the property in question;

(b) Department resources available to process the application requests;

(c) Other factors as delineated by the Director.

(4) If determined by the Department to be complete, the application shall be circulated to affected local, state, and federal agencies; holders of valid authorizations granted by the Department in the requested area; any local port district, any local federally recognized tribes, any local watershed councils, national estuary programs and soil and water districts, and other interested persons. As a part of this review, the Department will specifically request comments concerning:

(a) The presence, type and location of state or federally listed species (including threatened, endangered, candidate and sensitive species), and archeological and historic resources within the lands;

(b) Current or historic use of the lands for fishing or recreation;

(c) Existing public access to the water from lands, road, or right of way across the lands;

(d) Importance of the lands to existing or future navigational needs.

(5) The Department may post a notice of an application and opportunity to comment at a local government building, public library, or other appropriate locations in order to ensure that minority and low-income communities are included and aware of a proposed action. The Department shall make paper copies of an application available to any person upon request.

(6) If the Department does not find evidence of significant public interests per ORS 274.940, then the Department may determine that there are “low” public interests in the lands.

(7) If the Department finds that there are recreational, navigational, or fish and wildlife interests (per ORS 274.940) in the property, the Department may determine that there are “moderate” to “high” public interests in the lands.

(8) The Department shall evaluate the value of the State’s interest in the lands under review. The valuation shall be based on the Real Market Value (RMV) of the property’s land, not including structures, as determined by the County Assessor. This process for valuation shall be applied to determine parcels eligible for settlement under OAR 141-068-0080(4).

(9) Land where the State’s interest in the property is determined to be less than $20,000 shall be considered “low value”.

(10) Land where the State’s interest in the property is determined to be greater than $20,000 and less than $100,000 shall be considered “moderate value”.

(11) Land where the State’s interest in the property is determined to be greater than $100,000 shall be considered “high value”.

(12) If the RMV is found to be artificially depressed for any extenuating circumstance, the Department may select another comparable tax lot(s) as the basis for establishing the valuation.

(13) The Department shall complete an Evaluation Form that provides:

(a) The results of the Department’s due diligence;

(b) The results from the valuation of the State’s interests in the lands;

(c) The applicable elements from the public review and comment period; and

(d) A determination of whether the proposal is consistent with the general provisions set forth in OAR 141-068-0020.

(14) The review requirements of this section do not apply for a person requesting a conveyance that clears title when the Department has determined that there is no State interest in the historically filled land.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0080
Land Sale Approval Process

(1) An applicant and the Department may enter into a negotiated sale at any time. A negotiated sale shall include:

(a) An appraisal or appraisal report must be completed on the land if the initial evaluation determines the value to be over $100,000. If the initial Department evaluation determines the property to be under $100,000 in value, the RMV is used to establish the value; and

(b) A schedule of the costs to be borne by the applicant and those administrative costs to be reimbursed to the Department by the applicant.

(2) A negotiated sale may include factors including, but not limited to:

(a) The relative strength of the state’s ownership claim;

(b) Access or lack of access;

(c) The potential loss of public interest values by extinguishing the State’s interest in the property;

(d) An evaluation of any existing authorizations or property rights either on, or adjacent to the land; and

(e) Any requirement to impose deed restrictions or issue easements in order to protect public interest values.

(3) The Department may participate in a negotiated sale for:

(a) A parcel determined to be of “high value” as described in OAR 141-068-0070(11); or

(b) Upon public review and findings, the Department determines that there are “moderate” to “high” public interests in the lands.

(4) All negotiated sales shall go to the State Land Board for final approval.

(5) The Department shall provide the following sale options for historically filled lands determined to have “low” public interest values, and to be of “low value” to “moderate value”:

(a) The Department shall offer to provide a conveyance that clears title to the lands as allowed under these rules.

(b) No compensation is required for the issuance of a conveyance that clears title for a parcel that is determined to be of “low value” as described in OAR 141-068-0070(9).

(c) The Department shall offer to issue a conveyance that clears title for compensation at 50% of real market value of the State’s interest in the property for a parcel that is determined to be of “moderate value” as described in OAR 141-068-0070(10).

(d) A conveyance issued under OAR 141-068-0080(5)(b) may be carried out by the Director and does not require further approval from the State Land Board.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 3-2017, f. & cert. ef. 2-9-17
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0090
Land Sale Conditions

(1) The Department will offer the type of deed (for example: quitclaim deed or bargain and sale deed) it deems to be the most legally defensible and best represents the known rights and interests held by the State in the land or interest in land being conveyed in the transaction.

(2) The Department may enter into a land sale contract that allows the applicant to make annual installment payments over no more than five years when purchasing the property.

(3) The Department and an applicant may agree to enter into a land sale contract where payment to the Department is made through a lien against the property if:

(a) The applicant is over the age of 65; or

(b) The applicant has a level of income that is less than 80% of the median income in the county where the property is located.

(4) Any land sale contract negotiated under OAR 141-068-0090(2) or (3) shall include an interest rate as defined in ORS 82.010, set at the time of the agreement.

(5) As part of a negotiated sale, the Department may request additional requirements or conditions on the issuance of a deed, including but not limited to indemnification of and waiver of claims against the Department and State of Oregon.

(6) An offer by the Department to enter into a land sale or exchange is valid for 12 months. If the transaction is not completed within 12 months, the Department may:

(a) Revoke the offer and require a new application and fee in order to continue; or

(b) The Director may extend the deadline in writing to an agreed upon timeframe.

(7) When the land sale or land exchange process has been completed, including the payment of the purchase price and fulfillment of the terms of the land sale or land exchange agreement, the Director will execute and deliver to the purchaser a deed in a manner and form prescribed by these rules. The Department may choose to conduct closing through an escrow agent.

(8) All assignments of land sale contracts shall be executed and acknowledged in the same manner as a deed to land or real property. All requests for assignment of land sale contracts shall be in writing. Written consent of the Department is required for any assignment. The Department shall issue the deed to the assignee upon full payment of the purchase price or the remaining balance of the land sale contract.

(9) The Department shall record, in the appropriate county office, any and all deeds it receives as a result of a land exchange or purchase.

(10) The grantee shall record any conveyance issued by the Department it received as a result of a land exchange or purchase. A copy of the recorded document shall be submitted to the Department.

(11) The Department may, where feasible and deemed to be in the best interests of the public to do so, require the grantee to issue a similar deed to the Department for the existing submerged and submersible land fronting and abutting the grantee's land on the waterway as it exists at the time of the transaction.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0100
Permission to Create New Lands

(1) Pursuant to ORS 274.920, no one other than the United States, while engaged in the promotion of navigation, shall artificially create new lands by fill or deposit upon submersible or submerged lands without the approval of the owner of such lands and the owner of the adjoining or opposite upland on the same side of the body of water.

(2) Any person requesting to create new lands from state-owned submerged and submersible lands shall meet with Department staff to discuss the proposed project and use before submitting an application to the Department. This meeting may be in person or through other means acceptable to the Department. The Department may invite other government entities to take part in a pre-application meeting.

(3) Any person requesting to create new lands from state-owned submerged and submersible lands shall apply for permission to create the new lands.

(4) The application fee for requesting to create new lands is $1,000 per application. A single application may include multiple contiguous land parcels.

(5) An application to create new lands shall be circulated to affected local, state, and federal agencies; holders of valid authorizations granted by the Department in the requested area; any local port district, any local federally recognized tribes, any local watershed councils, national estuary program and soil and water districts, and other interested persons. As a part of this review, the Department will specifically request comments concerning:

(a) The presence, type and location of state or federally listed threatened and endangered species (including threatened, endangered, candidate and sensitive species), and archeological and historic resources within the lands;

(b) Current or historic use of the lands for fishing or recreation;

(c) Existing public access to the water from lands, road, or right of way across the lands;

(d) Importance of the lands to existing or future navigational needs.

(6) The Department may waive the circulation requirement described in OAR 141-068-0100(5) if the action or development has been previously reviewed by the listed agencies and other interested persons, and the results are documented by the Department.

(7) The Department may post a notice of an application and opportunity to comment at a local government building, public library, or other appropriate locations in order to ensure that minority and low-income communities are included and aware of a proposed action. The Department shall make paper copies of an application available to any person upon request.

(8) A request to create new lands may be taken to the State Land Board for review and approval. If a request for approval is submitted to the State Land Board, then the Department shall provide findings and a recommendation for the Board’s consideration.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0110
Sale or Exchange of New Lands

(1) The Department shall follow the provisions of ORS 274.925 to ORS 274.937 when offering an eligible person the right to purchase certain new lands.

(2) Notwithstanding the provisions of OAR 141-068-0110(1), any person may apply to purchase or exchange new lands per OAR 141-068-0060. The application shall be processed and reviewed per OAR 141-068-0070.

(3) Notwithstanding the provisions of OAR 141-068-0110(1), the sale or exchange of new lands shall be a negotiated sale subject to the provisions of OAR 141-068-0080 and OAR 141-068-0090.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0120
Reservation of New and Historically Filled Land

(1) Pursuant to ORS 274.940, the Department may reserve new and historically filled lands from sale, transfer or lease where upon notice and hearing the Department determines that the public interest requires the lands to be preserved for recreation, conservation of fish and wildlife or the development of navigation facilities. But in case of such reservation, the adjoining or opposite upland or riparian owner shall be allowed reasonable access across such reserved historically filled lands to navigable water.

(2) The Department shall use the comments received during public review and other findings when considering whether lands shall be reserved from sale.

(3) The Department shall hold a public hearing in the affected community prior to reserving the new or historically filled lands from sale.

(4) The Department will give 30 calendar days’ notice of a public hearing to adjacent land owners, lessees, interested persons, agencies and local governments by mail or e-mail, and press release. The public hearing information will also be posted on the Department’s website.

(5) A determination that the public interest requires new and historically filled lands to be reserved is not a final agency order.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0130
Compliance with the Department of Administrative Service (DAS) Rules for the Disposition and Acquisition of Real Property

(1) Before acquiring any land by purchase or exchange or selling or exchanging any land or interests in land, the Department will notify the Department of Administrative Services Facilities Division (DAS) on an approved form. DAS will notify all state agencies and political subdivisions of the anticipated transaction.

(2) The Department will seek certification of these rules (OAR 141-068) as permitted by 125-045-0210.

(3) DAS approval is not required for the sale of New Land, where ORS 274.905 to 274.940 gives a person or public body a right to purchase New Lands.

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16

141-068-0140
General Requirements for Appraisals

(1) Appraisals conducted for land sales, purchases or exchanges shall comply with the following requirements:

(a) Be conducted by a State of Oregon-licensed appraiser familiar with the type of property to be appraised and in accordance with the Uniform Standards of Professional Appraisal Practice (USPAP) standards.

(b) Unless directed otherwise by the Department, the appraisal shall estimate the fair market value of the property based on its Highest and Best use, taking into account the contributory value of all offered interests in the property such as water rights, minerals, or timber to the extent that such interests are consistent with the highest and best use of the property.

(c) The appraisal report must include sufficient description of the property, highest and best use analysis, valuation methodology and support materials to fully document and justify the appraiser’s estimate of fair market value.

(d) The Department may, based on the particular use of the appraisal, impose additional requirements or conditions on the appraisal.

(2) For land sales, purchases or exchanges where the estimated fair market value of the lands or interest in lands is $100,000 or less, the Department may utilize a “desk appraisal” or a “letter opinion of value” as the Appraisal required under these rules.

(3) For purposes of this section, a “desk appraisal” is a written statement setting forth an opinion as to the market value of the lands or interest in lands as of a specific date. A desk appraisal conducted for land sales, purchases or exchanges shall comply with the following requirements:

(a) The desk appraisal must be conducted by an employee of the Department. A desk appraisal need not be prepared in accordance with the Uniform Standards of Professional Appraisal Practice (USPAP), as desk appraisals performed by an employee of the Department are not required to be performed by State of Oregon-licensed appraiser pursuant to ORS 674.100(2)(h).

(b) Unless directed otherwise by the Department, the desk appraisal shall estimate the fair market value of the property based on its highest and best use, taking into account the contributory value of all offered interests in the property such as water rights, minerals, or timber to the extent that such interests are consistent with the highest and best use of the property.

(c) The desk appraisal must include a sufficient description of the characteristics of the property, a highest and best use analysis, a description of the valuation methodology, and a description of the support materials utilized to fully document and justify the estimate of fair market value. The description of the characteristics of the property, and description of the characteristics of properties used as comparison to the property, may be based on aerial and topographic photographs and maps and on generally accepted property data resources, such as the United States Department of Agriculture — Natural Resources Conservation Service, county assessor tax lot information, multiple listing services, and similar resources. Field inspections of the property and of the properties used as comparison to the property are not required as part of the desk appraisal.

(4) For purposes of this section, a “letter opinion of value” is a written statement from a real estate professional licensed under ORS 696 setting forth an opinion as to the market value of the lands prepared in accordance with the requirements of OAR 863-015-0190(3).

Statutory/Other Authority: ORS 183, 273 & 274
Statutes/Other Implemented: ORS 274.905-274.956
History:
DSL 2-2017, f. & cert. ef. 1-12-17
DSL 2-2016, f. 5-13-16, cert. ef. 6-1-16