SENATE BILL 475
49th legislature - STATE OF NEW MEXICO - first session, 2009
INTRODUCED BY
Stephen H. Fischmann
AN ACT
RELATING TO STATE LANDS; PROVIDING FOR A PRIOR REVIEW BY THE ATTORNEY GENERAL OF CERTAIN LEASES FOR REAL ESTATE PLANNING OR DEVELOPMENT PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
Section 1. Section 19-7-9 NMSA 1978 (being Laws 1971, Chapter 93, Section 1, as amended) is amended to read:
"19-7-9. SALE AND LEASE OF STATE LANDS--CONVEYANCE FOR TERM OF YEARS--TERMS AND CONDITIONS.--Any state lands offered for sale by the commissioner of public lands may be sold at the commissioner's discretion for cash or upon payment of not less than one-tenth of the purchase price in cash and payment of the balance in [amortize] amortized installments for any period up to thirty years with interest on the principal balance at a rate to be set by the commissioner in the notice of auction pertaining to the particular sale in advance. Additional payments on the principal may be made at any time, but such payments shall not be effective for credit until the date the next installment is due. The purchase contract shall be upon a form prescribed by the commissioner prior to publication of the notice of auction and shall contain the terms and conditions the commissioner may deem to be in the best interest of the state and consistent with law. Should a purchaser die before completing [his] the contract, the due date of the next installment payment shall, upon written application, be deferred by the commissioner for one year. In addition, the commissioner is authorized to convey for any period of time state lands under [his] the commissioner's jurisdiction having value for commercial development or public use purposes, [providing] provided that:
A. all of the requirements for the disposition of lands set forth in the constitution of New Mexico and the New Mexico Enabling Act are complied with, including but not limited to those pertaining to appraisal at true value, advertising and public auction; [and that]
B. the term and nature of the estate to be conveyed is set forth in the public notice of auction pertaining to the particular conveyance; and
C. if the conveyance is a business lease for real estate planning or development purposes, the commissioner shall comply with the provisions of Section 19-7-9.1 NMSA 1978."
Section 2. A new Section 19-7-9.1 NMSA 1978 is enacted to read:
"19-7-9.1. [NEW MATERIAL] LEASES FOR REAL ESTATE PLANNING OR DEVELOPMENT PURPOSES--PRIOR REVIEW BY ATTORNEY GENERAL AND BENEFICIARY.--
A. Except as provided in Subsection D of this section, no business lease for real estate planning or development purposes shall be effective unless it has been reviewed by the attorney general and the beneficiary pursuant to this section.
B. Before entering into the lease, the commissioner of public lands shall submit a copy of the proposed lease to the attorney general and to each beneficiary of the lands to be included in the lease. The attorney general shall review the proposed lease and issue an opinion as to whether the proposed lease:
(1) is in compliance with the applicable statutes and the Enabling Act for New Mexico; and
(2) is in the best interests of the beneficiaries of the lands to be included in the lease.
C. The attorney general shall post the opinion on the attorney general's web site and shall deliver a copy of the opinion to each beneficiary and the commissioner. The commissioner shall consider the attorney general's opinion before entering into the lease.
D. If, within forty-five days of submitting a lease pursuant to this section, the commissioner has not received an opinion from the attorney general, the commissioner may enter into the proposed lease."
Section 3. APPLICABILITY.--The provisions of this act apply to all business leases for real estate planning or development purposes entered into by the commissioner of public lands on or after July 1, 2009.
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