SB3084 HD3

Report Title:

Lands Having Value as a Resource to the State; Appraisals

Description:

Clarifies the appraisal process for state acquisitions of "Lands Having Value as a Resource to the State"; permits the Board of Land and Natural Resources to purchase land at a cost higher than appraisal if it determines the higher cost is justified; and exempts donated lands from the appraisal requirements. Effective date July 1, 2020. (SB3084 HD3)

THE SENATE	S.B. NO.	3084
TWENTY-THIRD LEGISLATURE, 2006		S.D. 2
STATE OF HAWAII		H.D. 3

A BILL FOR AN ACT

 

Relating to real property.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 173A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§173A- Appraisal of land. (a) The appraisal of land to be acquired by the State under this chapter may be performed as follows:

(1) The board may review, approve, and accept an existing appraisal if:

(A) The appraisal was completed within one year before the decision by the board approving the acquisition of the land; and

(B) The board finds that the appraisal was performed according to accepted professional standards for appraisals of land;

or

(2) The board may contract for independent appraisals from no more than three disinterested appraisers.

No land shall be purchased for a sum greater than the highest value fixed by the appraiser or appraisals; provided that the board, after review of the appraisals by the appraiser or appraisers, may purchase the land at a value greater than the highest value if, after consultation with another independent appraiser, the higher value is determined by the appraiser to be justified and within the range of market value; provided further that this limitation shall not apply where acquisition is by condemnation. After the land has been acquired or the board abandons the acquisition, the appraisal reports shall be available for inspection and copying by the public.

(b) No appraisal shall be required under this section in the event that an interest in land is donated to the State."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2020.