FINAL BILL REPORT

SB 5502

                              C 148 L 89

BYSenators Amondson, Kreidler, Smith and Owen

Revising advertising and sale requirements for valuable materials.

Senate Committee on Environment & Natural Resources

House Committe on Natural Resources & Parks

SYNOPSIS AS ENACTED

BACKGROUND:

The Department of Natural Resources has the responsibility to manage state-owned trust and grant lands, and to generate income from these lands to support the trust beneficiaries.  One of the ways the department generates income is by the sale of valuable materials from these lands.  Valuable materials most often include plants, soil, gravel and small amounts of timber.

Minimum advertising requirements for the sale of valuable materials and maximum dollar amounts the department may collect on the day of the sale is set by the Legislature.  On occasion, income to the trust has been reduced when newspapers have failed to meet advertising schedules required by law.  Administration costs and risks of loss are increased on some occasions due to the limited dollar amount the department may collect on the day of the sale.  By modifying procedures, the department would be more responsive to the public and would lower preparation costs on many sales.  An additional volume of timber should be made available to smaller purchasers and to local mills.

SUMMARY:

The Department of Natural Resources may require full payment on the day of sale for small sales.  The department is given more advertising flexibility for the sale of valuable materials.  The maximum dollar amount for the sale of valuable materials that the department may sell without direct Board of Natural Resources approval is raised from $20,000 to $100,000.

VOTES ON FINAL PASSAGE:

     Senate   46    0

     House 96  0

EFFECTIVE:July 23, 1989