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H0755aaS...................................................by STATE AFFAIRS
MINERAL RIGHTS - Amends existing law to permit the sale of mineral
interests reserved by the state; and to provide rights and liabilities of
the purchaser of a mineral estate who is not the owner of the surface
estate.
02/24 House intro - 1st rdg - to printing
02/25 Rpt prt - to 2nd rdg
02/26 2nd rdg - to 3rd rdg
03/01 3rd rdg - PASSED - 62-2-6
AYES -- Andersen, Barraclough, Barrett, Bauer, Bayer, Bedke, Black,
Block, Boe, Bolz, Bradford, Campbell, Cannon, Clark, Collins, Cuddy,
Deal, Denney, Douglas, Eberle, Edmunson, Ellsworth, Eskridge,
Field(18), Field(23), Gagner, Garrett, Harwood, Henbest, Jaquet,
Jones, Kellogg, Kulczyk, Lake, Langford, Langhorst, Martinez,
McGeachin, McKague, Meyer, Miller, Mitchell, Naccarato, Nielsen,
Pasley-Stuart, Raybould, Ridinger, Ringo, Roberts, Robison, Rydalch,
Sali, Sayler, Shepherd, Skippen, Smith(30), Smylie, Snodgrass,
Stevenson, Trail(Bennett), Wood, Mr. Speaker
NAYS -- Moyle, Smith(24)
Absent and excused -- Bell, Crow, Ring, Schaefer, Shirley, Wills
Floor Sponsor - Stevenson
Title apvd - to Senate
03/02 Senate intro - 1st rdg - to Res/Env
03/17 Rpt out - to 14th Ord
Rpt out amen - to 1st rdg as amen
03/18 1st rdg - to 2nd rdg as amen
Rls susp - PASSED - 33-1-1
AYES -- Andreason, Bailey, Brandt, Bunderson, Burkett, Burtenshaw,
Calabretta, Cameron, Compton, Darrington, Davis, Gannon, Geddes,
Goedde, Hill, Ingram, Kennedy, Keough, Little, Lodge, Malepeai,
Marley, McKenzie, McWilliams, Noh, Pearce, Richardson, Sorensen,
Stegner, Stennett, Sweet, Werk, Williams
NAYS -- Schroeder
Absent and excused -- Noble
Floor Sponsor - Little
Title apvd - to House
03/19 House concurred in Senate amens - to engros
Rpt engros - 1st rdg - to 2nd rdg as amen
03/20 2nd rdg - to 3rd rdg as amen
Rls susp - PASSED - 55-5-10
AYES -- Andersen, Barraclough, Bedke, Bell, Black, Block, Boe, Bolz,
Bradford, Campbell, Cannon, Collins, Crow, Cuddy, Deal, Denney,
Douglas, Edmunson, Eskridge, Field(18), Field(23), Gagner, Garrett,
Henbest, Jaquet, Jones, Kellogg, Lake, Langford, Langhorst, Martinez,
McGeachin, McKague, Meyer, Miller, Mitchell, Naccarato, Nielsen,
Pasley-Stuart, Raybould, Ring, Ringo, Robison, Rydalch, Sayler,
Schaefer, Shepherd, Shirley, Skippen, Smith(30), Smylie, Snodgrass,
Stevenson, Wills, Mr. Speaker
NAYS -- Barrett, Bayer, Kulczyk, Moyle, Sali
Absent and excused -- Bauer, Clark, Eberle, Ellsworth, Harwood,
Ridinger, Roberts, Smith(24), Trail, Wood
Floor Sponsor - Stevenson
Title apvd - To enrol - Rpt enrol - Sp signed
03/20 Pres signed
03/22 To Governor
03/23 Governor signed
Session Law Chapter 271
Effective: 07/01/04
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-seventh Legislature Second Regular Session - 2004
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 755
BY STATE AFFAIRS COMMITTEE
1 AN ACT
2 RELATING TO STATE LANDS; AMENDING SECTION 47-711, IDAHO CODE, AS AMENDED BY
3 SECTION 2, HOUSE BILL 510, ENACTED BY THE SECOND REGULAR SESSION OF THE
4 FIFTY-SEVENTH IDAHO LEGISLATURE, TO PERMIT THE SALE OF MINERAL INTERESTS
5 RESERVED BY THE STATE TO THE OWNER OF THE SURFACE ESTATE.
6 Be It Enacted by the Legislature of the State of Idaho:
7 SECTION 1. That Section 47-711, Idaho Code, as amended by Section 2,
8 House Bill 510, enacted by the Second Regular Session of the Fifty-seventh
9 Idaho Legislature, be, and the same is hereby amended to read as follows:
10 47-711. SALE OF STATE LANDS CONTAINING MINERAL DEPOSITS. (1) Lands in
11 which minerals are contained and the surface of which has a value for other
12 purposes may be sold as a single estate under the provisions of chapter 3,
13 title 58, Idaho Code, relating to the sale of state lands, when the state land
14 is identified as having the potential highest and best use for development
15 purposes, such as residential, commercial or industrial purposes.
16 (2) For lands in which the surface estate previously has been sold with a
17 reservation of the mineral estate, for which there is no lease of such mineral
18 estate to any person other than the owner of the surface estate, and for which
19 the potential highest and best use is for development purposes such as resi-
20 dential, commercial or industrial purposes, the mineral estate may be sold for
21 its appraised value to the surface estate owner under the provisions of chap-
22 ter 3, title 58, Idaho Code, but without bidding or auction.
23 (3) In the sale of the surface estate of all other state land, there
24 shall be reserved to the state all mineral deposits and the right of the pur-
25 chaser shall be subject to the conditions and limitations prescribed by law
26 providing for the state or persons authorized by it to prospect for, mine and
27 remove such deposits and to occupy and use so much of the surface of such land
28 as may be required for all purposes reasonably incident to the mining and
29 removal of such deposits therefrom.
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-seventh Legislature Second Regular Session - 2004
Moved by Little
Seconded by Burtenshaw
IN THE SENATE
SENATE AMENDMENT TO H.B. NO. 755
1 AMENDMENT TO SECTION 1
2 On page 1 of the printed bill, delete lines 21 and 22, and insert: "its
3 appraised value under the provisions of chapter 3, title 58, Idaho Code. The
4 purchaser of a mineral estate who is not the owner of the surface estate shall
5 have the same rights and liabilities with regard to the surface estate as
6 identified in section 47-708, Idaho Code.".
7 CORRECTION TO TITLE
8 On page 1, in line 5, delete "TO THE OWNER OF THE SURFACE ESTATE" and
9 insert: "AND TO PROVIDE RIGHTS AND LIABILITIES OF THE PURCHASER OF A MINERAL
10 ESTATE WHO IS NOT THE OWNER OF THE SURFACE ESTATE".
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]]
Fifty-seventh Legislature Second Regular Session - 2004
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 755, As Amended in the Senate
BY STATE AFFAIRS COMMITTEE
1 AN ACT
2 RELATING TO STATE LANDS; AMENDING SECTION 47-711, IDAHO CODE, AS AMENDED BY
3 SECTION 2, HOUSE BILL 510, ENACTED BY THE SECOND REGULAR SESSION OF THE
4 FIFTY-SEVENTH IDAHO LEGISLATURE, TO PERMIT THE SALE OF MINERAL INTERESTS
5 RESERVED BY THE STATE AND TO PROVIDE RIGHTS AND LIABILITIES OF THE PUR-
6 CHASER OF A MINERAL ESTATE WHO IS NOT THE OWNER OF THE SURFACE ESTATE.
7 Be It Enacted by the Legislature of the State of Idaho:
8 SECTION 1. That Section 47-711, Idaho Code, as amended by Section 2,
9 House Bill 510, enacted by the Second Regular Session of the Fifty-seventh
10 Idaho Legislature, be, and the same is hereby amended to read as follows:
11 47-711. SALE OF STATE LANDS CONTAINING MINERAL DEPOSITS. (1) Lands in
12 which minerals are contained and the surface of which has a value for other
13 purposes may be sold as a single estate under the provisions of chapter 3,
14 title 58, Idaho Code, relating to the sale of state lands, when the state land
15 is identified as having the potential highest and best use for development
16 purposes, such as residential, commercial or industrial purposes.
17 (2) For lands in which the surface estate previously has been sold with a
18 reservation of the mineral estate, for which there is no lease of such mineral
19 estate to any person other than the owner of the surface estate, and for which
20 the potential highest and best use is for development purposes such as resi-
21 dential, commercial or industrial purposes, the mineral estate may be sold for
22 its appraised value under the provisions of chapter 3, title 58, Idaho Code.
23 The purchaser of a mineral estate who is not the owner of the surface estate
24 shall have the same rights and liabilities with regard to the surface estate
25 as identified in section 47-708, Idaho Code.
26 (3) In the sale of the surface estate of all other state land, there
27 shall be reserved to the state all mineral deposits and the right of the pur-
28 chaser shall be subject to the conditions and limitations prescribed by law
29 providing for the state or persons authorized by it to prospect for, mine and
30 remove such deposits and to occupy and use so much of the surface of such land
31 as may be required for all purposes reasonably incident to the mining and
32 removal of such deposits therefrom.
STATEMENT OF PURPOSE
RS 14174
This bill allows the state to sell mineral rights lying under a
surface estate it has sold previously (and for which the mineral
rights were retained by the state as required by law) if the
highest and best use of the land is for development purposes.
The sale may be made only to the owner of the surface estate and
must be for the appraised value.
Earlier this Session the Legislature approved House Bill 510
which allows the state to sell both surface and mineral rights
together if the highest and best use of the land is for
development purposes. That bill did not deal with the
circumstance in which the surface rights have already been sold
by the state. This bill would allow title to the already severed
surface and subsurface rights to be merged under the same
circumstances
FISCAL IMPACT
This bill will have no impact on the General Fund. It is very
unlikely that mineral rights lying under developed ground ever
will be leased. The sale of those rights is likely to generate a
return to the endowment funds that otherwise would not be
experienced. The amount of that return will depend entirely on
the number and value the mineral rights sold.
Contact
Name: Ken McClure
Phone: 388-1200
STATEMENT OF PURPOSE/FISCAL NOTE H 755