FINAL BILL REPORT

HB 1616

                                   C 79 L 88

BYRepresentatives Sprenkle, Ballard, K. Wilson, Sutherland, Jones, Vekich, Miller, Haugen, Basich, O'Brien, Sayan, Spanel and Unsoeld

Authorizing purchase of certain state trust lands for parks use.

House Committe on Natural Resources

Senate Committee on Environment & Natural Resources and Ways & Means

SYNOPSIS AS ENACTED

BACKGROUND:

Since 1981 the Legislature has three times authorized the Department of Natural Resources (DNR) to sell property to the State Parks and Recreation Commission.  Thirty-six parcels of land are currently under contract.  Purchase prices are based on the fair market value of the land and timber, with a market interest rate applied to the unpaid balance.

The commission pays about $3 million a biennium to DNR in principal and interest.  By the late 1990's the commission will have obtained title to all the land and timber on the 36 parcels currently under contract.

In order to maintain the trust land base DNR will use the funds from the land sales to obtain replacement property.  While subject to the Budget and Accounting Act, DNR does not need a legislative appropriation to spend money for acquiring replacement property.  Expenditures need the authorization of the Board of Natural Resources.

When the 1985 Legislature authorized DNR to sell five parcels to the Parks and Recreation Commission, it directed the two agencies to review trust lands to identify parcels that may be appropriate for acquisition by the commission.  The study identified 22 parcels totalling 6,626 acres.  Estimated value of both the land and timber is approximately $15 million.  The Legislature authorized sale of seven of the 22 parcels in 1987.

SUMMARY:

The Board of Natural Resources and the Parks and Recreation Commission will negotiate the sale of 15 parcels of land managed by the Department of Natural Resources (DNR).  These parcels were identified in a joint study authorized in 1985.  The parcels cover about 5,600 acres.

Funds for acquisition will come from the Trust Land Purchase Account.  This account obtains its funding from state park entrance fees.

DNR shall use the funds from the Trust Land Purchase Account to acquire property to replace the property sold to the Parks and Recreation Commission.

Adding new property to the existing list of land scheduled for acquisition from DNR by the State Parks and Recreation Commission delays income to various trust accounts.  In recognition of the impact on management the Board of Natural Resources and Parks and Recreation Commission shall prepare a report to the Legislature on methods to accelerate reimbursement to the trusts.  The report is due no later than December 15, 1988.

VOTES ON FINAL PASSAGE:

      House 95   0

      Senate    47     0

EFFECTIVE:June 9, 1988