Chapter 11.04 Acquisition, Management and Disposal of Municipal Land
Chapter 11.04
ACQUISITIONS, MANAGEMENT AND DISPOSAL OF MUNICIPAL LAND
Sections:
11.04.010 Rights and powers of the city.
11.04.020 Acquisition of land.
11.04.030 Economic development sites.
11.04.040 Temporary use of city lands.
11.04.050 Casual use of city lands.
11.04.060 Disposal of real property.
11.04.070 Methods of disposal.
11.04.080 Leases.
11.04.090 Easements.
11.04.100 Notice of disposal.
11.04.110 Definitions.
11.04.010. Rights and powers of city.
The city shall have and may exercise all rights and powers in the acquisition, ownership, holding and disposal of real property in any manner not prohibited by law.
11.04.020. Acquisition of land.
A. The city may acquire, own, and hold real property or any interest in real property inside or outside the city boundaries by purchase, lease, exchange, transfer, donation, condemnation or declaration of taking under the city’s power of eminent domain, or any other legal method. Unless otherwise directed by the city council, the mayor has authority to negotiate the terms of acquisitions, subject to council approval. Except as provided in sub-sections B of this section, and unless otherwise provided by law, all acquisitions shall be by resolution approved by a majority vote of the total membership of the city council. Real property shall be held in the name of “City of Anderson”.
B. The city may exercise the powers of eminent domain and declaration of taking the performance of a power or function of the city in accordance with AS 09.55.240 and AS 09.55.460. The exercise of the power of eminent domain or declaration of taking shall be by ordinance which shall be submitted to the qualified voters at the next regularly scheduled general election or a special election called for that purpose. A majority of the votes on the question is required for approval of the ordinance.
C. The city council may approve and authorize the purchase of real property or interest in real property by contract of sale, deed of trust or lease.
D. Prior to approval of the purchase or property under sub-section C of this section, the mayor shall furnish the city council with an abstract of title, an appraisal of the real property, and a review of any problems in acquisition. The validity of any acquisition or purchase of real property by the city is not affected by the failure to furnish the city council with such materials.
11.04.030. Economic development sites.
The city may acquire, own and hold real property, either inside or outside the city boundaries, as sites available for new industries, which will benefit the city.
11.04.040. Temporary use of city lands.
The mayor has the authority to issue special land use permits for the temporary use of city lands. A special land use permit does not convey an interest in the land and may be revoked for cause with 30 days notice. Unless otherwise agreed to in writing, the land will be restored to its original condition upon expiration or revocation of the permit. Easements will not be granted under a special land use permit.
Public comment shall be sought before the issuing of a special land use permit in those situations where, in the opinion of the mayor, a hazardous or obnoxious use might significantly affect the surrounding area. Notice of the proposed action shall be published and a period for public comment shall be provided. When significant adverse comment is received, a public hearing shall be held.
A special land use permit shall not be granted for a term exceeding one year. Special land use permits are neither transferable nor renewable. Upon expiration, a special land use permit may be re-issued for a term not exceeding one year.
If a fee is charged for the issuance of a special land use permit, the fee schedule shall be established by the city council.
11.04.050. Casual use of city land.
A. No permit or lease is required for casual uses of city land.
B. Any use under this section is at the risk of the user. The city assumes no responsibility for such use.
C. The city shall notify the public of the location of city lands that are not open to casual use.
11.04.060. Disposal of real property.
A. The city may dispose of real property or an interest in real property, which has been found to be no longer necessary for municipal purposes. All disposals shall be by a non-code ordinance. The ordinance shall include:
1. A finding that the real property or interest in real property is no longer necessary for municipal purposes and a statement of facts upon which such a finding is based;
2. A legal description of the property;
3. The type of interest in theproperty that will be disposed of;
4. The purpose of the disposal;
5. The method of disposal;
6. The value of the property or the value of the interest in property as determined under subsection B of this section; and
7. The procedure for conducting the disposal.
B. Unless provided otherwise in Title 11.04 or in the non-code ordinance making the disposal, the value of the property or the value of the interest in the real propertyat which the property or the interest in real property is disposed shall be fair market value as determined by an appraisal prepared by a qualified appraiser, or as determined bythe city council by any other means the city council deems appropriate.
11.04.070. Method of disposal.
A. All disposals shall be conducted in a fair and impartial manner. Procedures for conducting all disposals shall be set out in the non-code ordinance authorizing each disposal. All land disposals shall be advertised for a minimum of 1 year prior to disposing of land for economic development.
B. Competitive disposal. The city may conduct the following types of competitive disposal:
1. Sealed bid auction. The minimum bid for a sealed bid auction shall be the fair market value of the property or interest in property as determined under section 11.04.060 B.
2. Public outcry auction. The minimum bid for a public outcry auction shall be the fair market value of the property or interest in property as determined under section 11.04.060 B.
3. Lottery. In the case of a lottery, the price of the property or interest in property may be established by the city council.
4. Any other method of competitive disposal that the city council determines to be appropriate.
C. Over the Counter Sales. The procedure for over-the-counter sales shall be as follows:
1. Land not sold by public auction under subsection 11.04.070 B, 1 or 2may be sold to an eligible buyer after the auction.
2. Land sold over-the-counter shall be subject to the same terms of sale (i.e. price, acreage, etc) as the land sold by public auction and in accordance with the ordinance providing for the public auction.
D. Disposal for public services.
The city council may dispose of real property or an interest in real property to a municipality, state, or federal entity or to a non-profit corporation or association, or a native tribal entity; or to another entity similar in character to the previously described entities, when the recipient is providing a necessary public service to residents of the city, without seeking bids and for less than the fair market value of the real property or interest in real property. If a disposal is made under this sub-section, the non-code ordinance authorizing the disposal must include in addition to the requirements in section 11.04.060A:
1. A finding that the disposal to the entity is for provision of a necessary public service and a statement of facts upon which such a finding is based;
2. A requirement that the conveyance languageinclude a condition that the title will revert to the city in the event the property is no longer used for the necessary public service justifying the disposal;
3. In the event that the entity receiving the property or property interest is a native tribal entity, a requirement that the native tribal entity waive any immunity from suit for the purpose of enforcing the reversion provisionor any other provision in the conveyance document; and
4. Any other requirements that the city council deems appropriate to advance the necessary public service.
E. Disposal for economic development.
The city council may dispose of real property or an interest in real property to any person or entity in furtherance of local trade or industry without seeking bids and for less than the fair market value of that real property or interest in real property. If a disposal is made to further economic development, the non-code ordinance or resolution authorizing the disposal must include in addition to the requirements in section 11.04.060A:
1. A finding that the property or property interest which is thesubject of the disposal will be used in furtherance of local trade or industry;
2. A requirement that the conveyance of the property or property interest disposed of shallinclude a condition that title will revert to the municipality in the event the property is no longer used for the local trade or industry justifying the disposal; and
3. Any other requirements that the city council deems appropriate to advance the local trade or industry.
F. Miscellaneous disposals.
1. The city council may settle disputed claims or litigation by authorizing disposal of real property or an interest in real property under terms the city council deems appropriate to settle the claims or litigation.
2. The city council may also dispose of real property or an interest in real property for other reasons that will benefit the public interest in accordance with Section 11.04.060. If a disposal is made under this subsection, the non-code ordinance authorizing the disposal must include in addition to the requirements in Section 11.04.060:
a. A finding that the property or property interest which is the subject of the disposal is no longer necessary for municipal purposes and will benefit the public interest.
b. A description of what the property or interest in property will be used for.
c. A statement of the facts on which the finding was based.
d. Any other requirement that the city council deems appropriate to advance the public interest.
G. Disposal to settle claims of equitable interest.
Upon a finding by the city council that it is in the public interest, the city may convey real property or an interest in real property for less than fair market value to a person who has a valid claim or equitable interest in the property or in a substantial improvement located upon the property. That finding shall be incorporated in and made a part of the non-code ordinance that accomplishes the conveyance.
H. Disposal for residential purposes.
Upon a finding by the city council that there is a current residential housing shortage in the community and that making land available for residential purposes at less than market value is in the public interest, the city may convey real property or an interest in real property for less than fair market value to a city resident who seeks the parcel for development and use as a personal place of residence. That finding shall be incorporated in and made a part of the non-code ordinance that accomplishes the conveyance. When real property or an interest in real property is disposed of pursuant to this subsection, the deed or lease must contain a condition subsequent, which ensures that if the land is used for any use other than residential use for a period of 3 (three) years after the disposal, title will revert to the city. In addition, disposals under this subsection shall include a requirement for the construction of a habitable dwelling within 3 (three) years after the disposal or title will revert to the city.
11.04.080. Leases.
A disposal of interest in real property by lease shall follow the requirements of sections 11.04.060 and 11.04.070. The terms and conditions of leases shall be established by the city council for each such disposal.
11.04.090. Easements.
The disposal of interest in real property by grant of easement shall follow the requirements of sections 11.04.070 and 11.04.080. The terms and conditions of easements shall be established by the city council for each such disposal.
11.04.100. Notice of disposal.
1. Unless the city council establishes a shorter period for notice in the non-code ordinance authorizing a disposal, a notice of the disposal shall be posted in three conspicuous public places within the city not less than 14 (fourteen) days before the anticipated date of the disposal of the property, or if the disposal is made in accordance with section 11.04.070B 1,2,or 3, the anticipated date of the bid opening, auction or lottery.
C. The notice shall include:
1. A legal description of the property and the type of interest to be disposed.
2. The method of disposal;
3. The estimated value of the property or interest in property;
4. The date of the proposed disposal and the time, place, and manner in which the proposed disposal shall occur.
11.04.110. Definitions.
As used in this Chapter:
Abstract of title: A condensed history of the title to land together with a statement of all liens, charges, or liabilities to which the land may be subject.
Appraisal: An estimation of value of property by a qualified appraiser.
Casual Use: The temporary, safe, non-exclusive and non-surfacing-disturbing use of city land and includes but is not limited to such uses as: hiking, hunting, fishing, short-term camping, picnicking, skiing, snow machining or berry picking.
City boundaries: The city limits, established when the city is incorporated, inside which all city ordinances are enforceable.
Competitive disposal: A disposal of property wherein no preference is shown to any prospective bidder or group of bidders.
Condition subsequent: An event that occurs after transfer of title which will act to restore title to the maker of the condition.
Contract of sale: A contract between a willing seller and a willing buyer to transfer title to property.
Deed of trust: An instrument taking the place and serving the uses of a mortgage, by which legal title to real property is placed in a trustee, to secure the repayment of a sum of money or the performance of other conditions.
Disposal: The act of giving away or selling the transfer of interest in property.
Disputed claims: Claim for property that is protested by another, orclaim for property which is also claimed by another.
Resident: One who has resided in the city for at least the thirty days previous, maintains an address in the city, and intends to make the city his/her permanent residence.
Easement: A right or privilege in another’s land, such as the right to cross for a specific purpose. Easements allow passage across real property without granting any other ownership rights in that property.
Economic development: To promote the growth of the local economy; and/or to increase the personalincome of residentsor city revenues.
Eminent domain: The power of a municipality to convert private property to a public use.
Equitable interest: A claim (in property or other) which should be recognized in the interest of fairness or equity.
Evaluate: To judge the quality of.
Fair Market Value Fair market value is the price that property would
sell for on the open market. It is the price that
would be agreed on between a willing buyer and a
willing seller, which neither being required to act,
and both having responsible knowledge of the
relevant facts.
Federal entity: The Federal government or an agency thereof.
Hazardous use: A use involving danger; perilous; risky to human health and well-being.
Interestin property: A right, claim, title, or legal share in property, which may be transferred or conveyed. Methods of transfer include but are not limited to deed, lease or easement.
Inventory: A list of property, containing a description of each article of property.
Lease: Leases are used to dispose of specific interests in real property without transferring ownership of that property. A contract for exclusive or non-exclusivepossession of lands or tenements for a determinate period.
Legal Description: That part of a conveyance document which identifies the land or premises intended to be affected by that conveyance.
Litigation: Contest in a court of justice for the purpose of establishing a right.
Lottery: A plan whereby the right to obtain interest in property, either by purchase or gift, is decided by luck or chance through some type of drawing of names.
Municipality: A unit of local government organized under the laws of the State of Alaska.
Non-code ordinance: An ordinance that is not part of the permanent city code.
Non-profit corporation: An organization formed under the laws of the State of Alaska not to obtain a profit, but to supply an essential service to its constituents.
Obnoxious use: A use which people may find objectionable; disagreeable; offensive; displeasing.
Public interest: Something in which the public, the community at large, has some pecuniary interest (having to do with money), or some interest by which their legal rights or liabilities are affected.
Public outcry auction: Sale of property to the highest bidder, at a public auction, where each prospective buyer has the right to enter successive bids until a price is reached at which no higher subsequent bid is made.
Public service: Activities and enterprises which specially serve the needs of the general public.
Referendum: A method of submitting an important measure to the direct vote of tie whole people.
Revert: With respect to Property, title to go back to and lodge in former owner.
Sealed bid: A written offer to purchase property, placed in an envelope, and opened along with all other bids (if any) at a public bid opening.
State: The State of Alaska or an agency thereof.
Substantial Improvement: Completion of 75% of conceptual plan and projected cost.
Temporary uses: A use of city land, which has duration of one year or less and involves minimal disturbance to the land and does not allow permanent structures.
Valid Claim: A legally enforceable claim by a third party.
(Prior code AO §8.00.20, Ord. 04-04, April 2004)