37-205. Due diligence costs related to
disposition of land
A. In addition to other fees required by this title, and instead of the department
performing advance due diligence pursuant to section 37-110, subsection A, the
commissioner may require or allow an applicant to advance or incur the costs of the
department's evaluating and processing an application and otherwise preparing land for a
sale, lease, right-of-way or other use permit. Monies that are advanced by the applicant
to the department pursuant to this subsection shall be deposited in a separate account of
the state land department fund.
B. If the successful bidder at an auction is not the applicant, the successful
bidder shall reimburse the applicant for fees and costs paid pursuant to this section in
amounts and on terms the commissioner directs in the auction notice. After receiving the
reimbursement amounts, the commissioner shall remit them to the applicant.
C. If an auction does not occur or a transaction is otherwise not completed as a
result of a mistake or circumstances caused by the department, including issues arising
out of concerns over title, misidentification of the parcel and factors affecting the
commissioner's view of the timeliness or desirability of disposing of the parcel, then
the commissioner, on the timely written request of an applicant, may reimburse or cause
to be reimbursed to the applicant, on terms that the commissioner considers reasonable
and appropriate, from monies of the department all or part of the costs paid pursuant to
this section and application fees paid pursuant to section 37-107. Reimbursement for
costs paid pursuant to this section may only be for costs that the commissioner
determines to represent an enhancement of knowledge about the parcel or that tangibly or
intangibly enhance the value of the parcel. The commissioner may refuse any reimbursement
request for any reason.
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