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HB0016 • 2023

State land leasing-improvements.

AN ACT relating to state lands; increasing the monetary threshold for improvements to leased state lands that do not require permission of the director of the office of state lands; replacing the standard to determine payment for the use and benefit of improvements; and providing for an effective date.

Agriculture Water
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Agriculture
Last action
2023-02-27
Official status
enrolled
Effective date
7/1/2023

Plain English Breakdown

The official bill text does not provide specific details on the consequences if a lessee cannot afford the current market value of improvements.

Improvements to Leased State Lands

This law changes how much money lessees can spend on improvements to leased state lands without needing permission from a director and sets new rules for paying for existing improvements.

What This Bill Does

  • Increases the amount of money that lessees can use to make improvements on leased land without getting approval from the Office of State Lands Director from $2,000 to $4,000 per improvement.
  • Changes how much a new lessee must pay for existing improvements. The payment is now based on the current market value unless both parties agree on another amount.

Who It Names or Affects

  • People and businesses leasing state lands in Wyoming
  • The Office of State Lands and Investments

Terms To Know

Lessee
A person or business that rents land from the government.
Current market value
How much it would cost to replace an improvement at today's prices, considering how long it will last.

Limits and Unknowns

  • The law does not specify what happens if a lessee cannot afford the current market value of improvements.
  • It is unclear how this change might affect future leasing agreements or land values.
  • This act only applies to state lands in Wyoming and may not apply elsewhere.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HB0016H2001

2nd reading • Representative Harshman

Withdrawn

Plain English: The amendment modifies existing laws to clarify requirements for leasing state lands for residential and recreational purposes, extend lease lengths, and adjust how improvements on leased land are valued.

  • Clarifies the rules for leasing state lands for residential and recreational uses.
  • Increases the maximum length of leases from seventy-five years to ninety-nine years.
  • Changes the method for determining the value of improvements on leased land.
  • The amendment text is complex, and some parts may require further explanation or context not provided in this summary.
HB0016H3001

3rd reading • Representative Harshman

Withdrawn

Plain English: The amendment modifies existing laws to clarify requirements for leasing state lands for recreational purposes and extends lease terms, while also changing how improvements on leased land are valued.

  • Clarifies the requirements for leases of state lands intended for recreational use.
  • Extends the maximum length of certain leases from seventy-five years to ninety-nine years.
  • Modifies the process for determining the value of improvements on state lands when such lands are sold.
  • The amendment text is complex and includes technical legal language that may be difficult to fully interpret without additional context.
HB0016HW001

Committee of the Whole • Representative Eklund

Adopted

Plain English: The amendment adds a new law that requires buyers of state lands with certain improvements to pay the current market value for those improvements and get a receipt.

  • Adds a new section (36-9-105) to the bill, which sets rules for how much a buyer must pay for improvements on state land being sold.
  • Specifies that buyers must give receipts for payments made to owners of improvements, irrigation works, or water rights.
  • Directs the board to appraise these improvements and requires the receipt to be delivered to the director before the buyer can receive ownership documents.
  • The amendment text does not specify how the monetary threshold for improvements is increased as mentioned in the bill title.
HB0016JC001

Conference Committee

H Adopted, S Adopted

Plain English: The amendment changes how improvements on leased state lands are valued and when permission from the director of the office of state lands is needed.

  • Adds a definition for 'current market value' as the replacement cost of an improvement at the time the lease transitions, taking into account the remaining useful life of the improvement.
  • Removes certain sections that were previously added by another amendment.
  • The exact impact on lessees and the director's decision-making process is not fully explained in the provided text.
HB0016HS001

Standing Committee • House Agriculture, State and Public Lands & Water

Adopted

Plain English: The amendment changes the wording in a bill about state land leasing to update how improvements are valued and who can make certain decisions.

  • Changes 'depreciated' to 'current market' when discussing the value of improvements on leased state lands.
  • Replaces 'new lessee' with 'applicant' in the text.
  • The amendment does not provide details about how these changes will affect the overall process or outcomes for leasing state lands.
HB0016S3001

3rd reading • Senator Steinmetz

Adopted

Plain English: The amendment changes how improvements to leased state lands are valued by using 'depreciated market value' instead of 'current' value.

  • Replaces the term 'current' with 'depreciated' in several places where the monetary threshold for improvements is discussed.
  • Defines 'depreciated market value' as the replacement cost of an improvement at the end of its useful life when a lease transitions.
  • The exact impact on lessees and the state's finances is not detailed in this amendment text.

Bill History

  1. 2023-02-27 LSO

    Assigned Chapter Number 120

  2. 2023-02-27 Governor

    Governor Signed HEA No. 0059

  3. 2023-02-23 Senate

    S President Signed HEA No. 0059

  4. 2023-02-22 House

    H Speaker Signed HEA No. 0059

  5. 2023-02-22 LSO

    Assigned Number HEA No. 0059

  6. 2023-02-15 Senate

    S Appointed JCC01 Members

  7. 2023-02-14 House

    H Appointed JCC01 Members

  8. 2023-02-14 House

    H Concur:Failed 0-61-1-0-0

  9. 2023-02-13 House

    H Received for Concurrence

  10. 2023-02-13 Senate

    S 3rd Reading:Passed 29-0-0-0-2

  11. 2023-02-09 Senate

    S 2nd Reading:Passed

  12. 2023-02-08 Senate

    S COW:Passed

  13. 2023-02-08 Senate

    S Placed on General File

  14. 2023-02-08 Senate

    S05 - Agriculture:Recommend Do Pass 5-0-0-0-0

  15. 2023-01-31 Senate

    S Introduced and Referred to S05 - Agriculture

  16. 2023-01-17 Senate

    S Received for Introduction

  17. 2023-01-17 House

    H 3rd Reading:Passed 60-0-2-0-0

  18. 2023-01-16 House

    H 2nd Reading:Passed

  19. 2023-01-13 House

    H COW:Passed

  20. 2023-01-12 House

    H Placed on General File

  21. 2023-01-12 House

    H05 - Agriculture:Recommend Amend and Do Pass 9-0-0-0-0

  22. 2023-01-10 House

    H Introduced and Referred to H05 - Agriculture

  23. 2023-01-06 House

    H Received for Introduction

  24. 2022-12-05 LSO

    Bill Number Assigned

Official Summary Text

Bill Summary - 23LSO-0133
Bill No.:

HB0016

Effective:

7/1/2023

LSO No.:

23LSO-0133

Enrolled Act No.:

HEA No. 0059

Chapter No.:

120

Prime Sponsor:

Joint Agriculture, State and Public Lands & Water Resources Interim Committee

Catch Title:

State land leasing-improvements.

Subject:

Lessee improvements on leased state lands and payment for those improvements.

Summary/Major Elements:

This act increases the monetary threshold over which improvements to leased state lands require permission from the director of the Office of State Lands and Investments.

The threshold is raised from two thousand dollars ($2,000.00) to four thousand dollars ($4,000.00) per improvement.

This act also amends the standard used to determine the payment required for the use of an existing improvement on leased state lands.

The payment required is the current market value of the improvement unless a different value is agreed between the owner of the improvement and the new applicant. "Current market value" is defined in this act.

The above summary is not an official publication of the Wyoming Legislature and is not an official statement of legislative intent.

While the Legislative Service Office endeavored to provide accurate information in this summary, it should not be relied upon as a comprehensive abstract of the bill.

Current Bill Text

Read the full stored bill text
23LSO-0133

ORIGINAL House

ENGROSSED
Bill No
.
HB0016

ENROLLED ACT NO. 59,

HOUSE OF REPRESENTATIVES

SIXTY-SEVENTH LEGISLATURE OF THE STATE OF WYOMING
2023 General Session

AN ACT relating to state lands; increasing the monetary threshold for improvements to leased state lands that do not require permission of the director of the office of state lands; replacing the standard to determine payment for the use and benefit of improvements; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1.

W.S. 36
‑
5
‑
110(a), 36
‑
5
‑
111 and 36
‑
9
‑
105 are amended to read:

36
‑
5
‑
110.

Right to make and remove improvements.

(a)

A lessee of state lands shall have the right to construct or make improvements upon state lands in an amount not to exceed
two thousand dollars ($2,000.00)
four thousand dollars ($4,000.00)
per section for each separate improvement, without first obtaining permission. If the lessee or any other person desires to construct or make improvements upon state lands in excess of the value of
two thousand dollars ($2,000.00)
four thousand dollars ($4,000.00)
per section for each separate improvement, he shall file an application for permission to construct or make the improvements with the director, which shall be subject to allowance or rejection as the best interests of the state require. The director shall have authority to grant permission to construct improvements in excess of
two thousand dollars ($2,000.00)
four thousand dollars ($4,000.00)
per section for each separate improvement for fencing, water development, livestock handling facilities and range enhancements. Any other improvement in excess of
two thousand dollars ($2,000.00)
four thousand dollars ($4,000.00)
per section for each separate improvement shall be applied for under a special use permit. Unless permission has been obtained in the manner provided by this section or the improvement has been registered as provided in subsection (b) of this section, the owner of any improvement in excess of the value of
two thousand dollars ($2,000.00)
four thousand dollars ($4,000.00)
per section at the time of construction of the improvement shall not be entitled to compensation therefor as provided by W.S. 36
‑
5
‑
111 and 36
‑
9
‑
105, and upon the expiration of the lease the
improvements
improvement
shall forfeit to and become the property of the state; except, that within one hundred twenty (120) days from the date of the expiration of the lease, the owner may remove
such improvements
the improvement
in a manner
which
that
minimizes injury to the land.

36
‑
5
‑
111.

Payment for or removal of existing improvements.

Any applicant applying to lease state lands upon which there are fences, buildings, reservoirs, ditches, dams, wells, or other improvements of any kind, belonging to or made by another, or for which water rights or proportionate interests in irrigation reservoirs, canals, or systems, have been acquired, shall before receiving the lease, pay to the director for the use and benefit of the owner or maker of any improvements at the time of the execution of the lease, the
contributory
current market
value
of the improvements unless a different value is agreed to between the owner of the improvements and the applicant
thereof as finally determined by the board in accordance with its rules and regulations
.
; or

Alternatively,
the owner of the improvements shall, upon giving notice to the director in writing within the time fixed by board rule and regulation, have the right to remove those improvements in a manner which minimizes injury to the land; provided, that the improvements be removed within a period of one hundred twenty (120) days from the date of the expiration of the lease.

For purposes of this section,
"contributory value" means the increased value of the property after the lessee's improvements are considered
"current market value" means the replacement value of the lessee's improvement at the time of transition of the lease, after the remaining useful life of the improvement is considered
.

36
‑
9
‑
105.

Purchaser to pay owner appraised value of improvements; receipt.

If any state lands are sold upon which surface improvements, including irrigation works of any kind, have been made by a lessee, or for which water rights or proportionate interests in irrigation, reservoirs, canals, or systems, have been acquired, the improvements, irrigation works and water rights shall be appraised under the direction of the board. The purchaser of the lands, upon which improvements and irrigation works have been made, or for which water rights have been acquired as herein provided for, shall pay the owner of such improvements, irrigation works or water rights, as the case may be, the
contributory
current market
value
of the improvements unless a different value is agreed to between the owner of the improvements and the applicant
thereof, and take a receipt therefor, and shall deliver the receipt to the director before he shall receive a patent or certificate of purchase. All such receipts shall be filed and preserved in the office of state lands and investments.

For purposes of this section,
"contributory value" means the increased value of the property after the lessee's improvements are considered
"current market value" means the replacement value of the lessee's improvement at the time of transition of the lease, after the remaining useful life of the improvement is considered
.

Section 2
.

This act is effective July 1, 2023
.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the House.

Chief Clerk

1