§166-11 - Lease negotiation.
[§166-11] Lease negotiation. (a) Thedepartment of agriculture may negotiate and enter into leases with any personwho:
(1) As of July 1, 1996, holds a revocable permit foragricultural purposes; or
(2) Has formerly held an agricultural lease which expiredwithin the last ten years preceding July 1, 1996, and has continued to occupythe state land; and
(3) Does not own agriculturally-zoned land oftwenty-five acres or more in the State, individually or jointly with a spouse,or whose spouse does not own twenty-five acres or more of agriculturally-zonedland in the State.
(b) The land eligible for lease negotiationsunder this section are limited to those lands:
(1) Zoned and used for agricultural purposes;
(2) Set aside by governor's executive order to thedepartment of agriculture for agricultural uses only; and
(3) Not needed by any state or county agency for anyother public purpose.
(c) In negotiating and executing a lease asauthorized, the board of agriculture shall:
(1) Require the appraisal of the parcel to determinethe fair market value;
(2) Require the payment of annual lease rent based onthe fair market value established by appraisal;
(3) Require the payment of a premium, computed attwenty-five per cent of the annual lease rent, with the premium to be added tothe annual lease rent for each year of the lease equal to the number of yearsthe lessee has occupied the land, except that the premium period shall notexceed four years; and
(4) Recover from the lessee the costs of expendituresrequired by the department to convert the parcel into leasehold.
Within six months from July 1, 1996, thedepartment shall notify in writing the permittees of lands eligible for leasenegotiations under this section and shall inform the permittees of the terms,conditions, and restrictions provided by this section. Any permittee may applyfor a lease; provided that the application shall be submitted to the departmentin writing within thirty days from the date of receipt of notification;provided further that the department may require documentary proof from anyapplicant to determine that the applicant meets eligibility and qualificationrequirements for a lease as specified by this section. [L 1996, c 88, §2]
Revision Note
"July 1, 1996," substituted for "the effectivedate of this Act" and "the effective date of this section".