S.F. No. 0039

Grand Teton National Park-transfer of state lands.

Sponsored By: Senator(s) Christensen and Representative(s) Petroff

AN ACT relating to state lands; authorizing the board of land commissioners to exchange certain land parcels as specified; creating the state land exchange advisory panel; providing for panel membership and duties; providing a definition; providing guidelines for valuation of the lands; extending the date for the transfer of lands as specified; and providing for an effective date.

1/7/2014 Bill Number Assigned

2/10/2014 S Received for Introduction

2/11/2014 S Introduced and Referred to S05

ROLL CALL

Ayes: Senator(s) Anderson, JD S02, Anderson, JL S28, Barnard, Bebout, Burns, Case, Christensen, Coe, Cooper, Craft, Dockstader, Driskill, Emerich, Esquibel, F., Geis, Hastert, Hicks, Hines, Johnson, Landen, Meier, Nicholas, P., Nutting, Perkins, Ross, Rothfuss, Schiffer, Scott and Von Flatern

Nays: Senator(s) Peterson

Ayes 29 Nays 1 Excused 0 Absent 0 Conflicts 0

2/14/2014 S05 Recommended Amend and Do Pass

ROLL CALL

Ayes: Senator(s) Driskill, Emerich, Geis, Hicks and Johnson

Ayes 5 Nays 0 Excused 0 Absent 0 Conflicts 0

2/14/2014 S Placed on General File

SF0039SS001/ADOPTED

Page 1-line 3 After "specified;" insert "providing a definition; extending the date for the transfer of lands as specified;".

Page 2-line 17 After "value." insert "The board may accept a combination of cash and title to a parcel or combination of parcels if the total value of the cash and the parcels is of equal or greater value to the exchanged parcel as specified under this section.".

Page 3-after line 5 Insert and renumber:

"(d)  The board of land commissioners shall, to the extent practicable, ensure that parcels received from the federal government under this section consist of both the surface estate and the mineral estate. The board may accept parcels that consist only of the surface estate if the receipt of the surface estate otherwise meets state trust land management objectives.

(e)  As used in this section, "parcel" may include the surface estate, the mineral estate or both.

Section 2.  The authorization of the board of land commissioners to convey parcels pursuant to section 1 of this act shall expire on December 31, 2016.

Section 3.  2011 Wyoming Session laws, Chapter 51, Section 3 is amended to read:

Section 3. The authorization of the board of land commissioners to convey the parcels pursuant to section 1 of this act shall expire on January 5, 2016 December 31, 2016.".

Page 3-line 7 Delete "2" insert "4". GEIS, CHAIRMAN

2/21/2014 S Passed COW

SF0039S2001/ADOPTED

Page 2-line 17 After "value." and before the Senate Standing Committee Amendment (SF0039SS001/A) to this line insert "The fair market value of the parcels shall be determined using a certified appraiser for the surface estate as well as a certified mineral appraiser giving consideration to the methodology set out in subsection (d) of this section for the mineral estate.".

Page 3-after line 5 In the Senate Standing Committee Amendment (SF0039SS001/A) to this line in subsection (d) added by that section after "objectives." insert "The board shall adopt a net present value for the exchange of any mineral rights based on proven and producing mineral reserves with a regular cash flow and net present value return, using a discount rate of at least thirteen percent (13%) over no more than five (5) years, using commodity price estimates no greater than the most recent consensus revenue estimating group commodity price projection for one half (1/2) of the total anticipated federal mineral royalties.". NICHOLAS, BEBOUT

2/24/2014 S Passed 2nd Reading

SF0039S3001/ADOPTED (CORRECTED COPY)

Page 2-line 17 In the Nicholas second reading amendment (SF0039S2001/A) to this line, delete "methodology" insert "criteria".

Page 3-after line 5 Delete the Nicholas second reading amendment (SF0039S2001/A) to this line.  CHRISTENSEN, HICKS, HINES, COOPER, ANDERSON, JD S02, DOCKSTADER, EMERICH, DRISKILL

SF0039S3002/ADOPTED

Page 1-line 3 After "specified;" and before the Senate standing committee amendment (SF0039SS001/A) to this line, insert: "creating the state land exchange advisory panel; providing for panel membership and duties;".

Page 3-after line 5 In the Senate standing committee amendment (SF0039SS001/A) to this line, after subsection (e) created by that amendment, insert:

"(f)  In evaluating land exchanges pursuant to this section, the board of land commissioners shall consider the advice provided by the state land exchange advisory panel, which is hereby created. The state land exchange advisory panel shall be composed of two (2) persons appointed by the governor and one (1) person appointed jointly by the president of the senate and the speaker of the house of representatives. Persons appointed to the panel shall have expertise in mineral production, mineral development, mineral valuation and real estate valuation. The panel shall evaluate potential land and mineral exchanges for the Grand Teton parcels and provide its evaluation and opinion to the board of land commissioners before the board authorizes any exchange for the Grand Teton parcels."  CHRISTENSEN

2/25/2014 S Passed 3rd Reading

ROLL CALL

Ayes: Senator(s) Anderson, JD S02, Anderson, JL S28, Barnard, Case, Christensen, Coe, Cooper, Craft, Dockstader, Driskill, Emerich, Esquibel, F., Hastert, Hines, Johnson, Nutting, Rothfuss and Scott

Nays: Senator(s) Bebout, Burns, Geis, Hicks, Landen, Meier, Nicholas, P., Perkins, Peterson, Ross, Schiffer and Von Flatern

Ayes 18 Nays 12 Excused 0 Absent 0 Conflicts 0

2/26/2014 H Received for Introduction

2/26/2014 H Introduced and Referred to H02

2/28/2014 H02 Recommended Amend and Do Pass

ROLL CALL

Ayes: Representative(s) Blikre, Burkhart, Esquibel, K., Moniz, Nicholas, B. and Stubson

Nays: Representative(s) Harshman

Ayes 6 Nays 1 Excused 0 Absent 0 Conflicts 0

2/28/2014 H Placed on General File

SF0039HS001/ADOPTED (CORRECTED COPY) (TO ENGROSSED COPY)

Page 1-line 5 After "definition;" insert "providing guidelines for valuation of the lands;".

Page 2-line 17 Delete "and" insert ","; after "sales" insert "and appraisals".

Page 2-line 21 Delete "a" insert "an MAI"; delete "surface" insert "entire".

Page 2-lines 22 and 23 Delete entirely.

Page 2-line 24 Delete the line through "mineral".

Page 3-line 14 After "deed" insert ", in a form reasonably acceptable to the state,".

Page 3-After line 24 Insert:

"(e)  The value of the mineral estate shall be established in accordance with industry standards and in the normal method used for valuing unproven mineral resources, and shall account for the state's existing proportionate share of the federal mineral royalty on proven and producing minerals.

(f)  In evaluating any proposed exchange, the board of land commissioners shall consider the reasonably foreseeable appreciative value of the Teton County exchange parcels as well as their potential to generate a quick sale at full fair market value. The loss of the foreseeable appreciative value of the Teton County parcels and their marketability may be offset by the potential for mineral or other development of parcels with which an exchange is proposed.".

Page 4-line 2 Delete "(e)" insert "(g)".

Page 4-line 5 Delete "(f)" insert "(h)".

Page 4-line 14 Delete "and" insert "or". HARSHMAN, CHAIRMAN

3/3/2014 H Passed COW

SF0039H2001/ADOPTED (TO ENGROSSED COPY)

Page 3-After line 24 In the standing committee amendment (SF0039HS001/ACE) to this line after "proposed." insert:

"(g)  In determining values of parcels subject to an exchange under this section, the board shall use the highest of the value determined by the following appraisal approaches:

(i)  The cost approach;

(ii)  The comparison approach; and

(iii)  The income approach.".

Page 4-line 2 In the standing committee amendment (SF0039HS001/ACE) to this line delete "(g)" insert "(h)".

Page 4-line 5 In the standing committee amendment (SF0039HS001/ACE) to this line delete "(h)" insert "(j)".

Renumber as necessary. Lubnau

3/4/2014 H Passed 2nd Reading

3/5/2014 H Passed 3rd Reading

ROLL CALL

Ayes: Representative(s) Barlow, Berger, Blake, Blevins, Blikre, Brown, Burkhart, Byrd, Campbell, Cannady, Coleman, Connolly, Davison, Eklund, Esquibel, K., Filer, Freeman, Gay, Gingery, Goggles, Greear, Greene, Halverson, Harshman, Harvey, Hunt, Jaggi, Kasperik, Kirkbride, Kroeker, Krone, Larsen, Lockhart, Loucks, Lubnau, Madden, Mader, McKim, Miller, Moniz, Nicholas, B., Northrup, Patton, Paxton, Petroff, Piiparinen, Reeder, Semlek, Sommers, Stubson, Teeters, Throne, Walters, Watt, Wilson, Winters, Zwonitzer, Dn. and Zwonitzer, Dv.

Nays: Representative(s) Baker and Hutchings

Ayes 58 Nays 2 Excused 0 Absent 0 Conflicts 0

3/5/2014 S Received for Concurrence

3/5/2014 S Did Not Concur

ROLL CALL

Ayes: Senator(s) Anderson, JL S28, Barnard, Christensen, Cooper, Craft, Dockstader, Driskill, Esquibel, F., Hicks, Johnson, Landen, Nutting, Rothfuss, Schiffer and Von Flatern

Nays: Senator(s) Anderson, JD S02, Bebout, Burns, Case, Coe, Emerich, Geis, Hastert, Hines, Meier, Nicholas, P., Perkins, Peterson, Ross and Scott

Ayes 15 Nays 15 Excused 0 Absent 0 Conflicts 0

3/5/2014 S Appointed JCC01 Members

Senator(s) Christensen, Bebout, Nicholas, P.

3/6/2014 H Appointed JCC01 Members

Representative(s) Lubnau, Brown, Petroff

3/6/2014 S Adopted SF0039JC01

SF0039JC01/A ADOPTED

Delete the following House amendments:

SF0039H2001/AE

SF0039HS001/ACE

Further amend the ENGROSSED COPY as follows:

Page 1-line 5 After "definition;" insert "providing guidelines for valuation of the lands;".

Page 2-line 17 Delete "and" insert ","; after "sales" insert "and appraisals".

Page 2-line 21 Delete "a" insert "an MAI"; after "appraiser" insert "." and delete balance of line.

Page 2-lines 22 and 23 Delete.

Page 2-line 24 Delete through "estate.".

Page 3-line 14 After "deed" insert ", in a form reasonably acceptable to the state,".

Page 3-after line 24 Insert and renumber:

"(e)  In evaluating any proposed exchange, the board of land commissioners shall take into consideration the appreciative value of the Teton County parcels, their potential to generate a cash sale at full fair market value if the parcels were sold and the capacity for the cash obtained to produce future investment income. The lost opportunity associated with the Teton County parcels may be offset by the potential for reasonably anticipated mineral development of parcels to be received by the state in any proposed exchange. The board shall use the highest value of the Teton County parcels as determined by the following appraisal approaches:

(i)  The cost approach;

(ii)  The comparison approach; and

(iii)  The income approach.

(f)  In determining the value of any parcels to be received by the state in any proposed exchange, the board of land commissioners shall:

(i)  Give preference to properties which include both the surface and mineral estate with high probability to produce mineral income in the future which will offset against the future loss speculative value of the Teton County parcels;

(ii)  Value the mineral estate in accordance with customary practices for buying and selling agricultural land with unproven mineral resources; and

(iii)  Take into consideration the existing proportionate share of any potential federal mineral royalty that the state would be entitled to receive if the minerals were to be produced.".

Page 4-line 2 Delete "(e)" insert "(g)".

Page 4-line 5 Delete "(f)" insert "(h)".

CHRISTENSEN, BEBOUT, NICHOLAS, P., PETROFF, BROWN, LUBNAU

ROLL CALL

Ayes: Senator(s) Anderson, JD S02, Anderson, JL S28, Barnard, Bebout, Case, Christensen, Coe, Cooper, Craft, Dockstader, Driskill, Emerich, Esquibel, F., Geis, Hastert, Hicks, Johnson, Landen, Meier, Nicholas, P., Nutting, Perkins, Peterson, Ross, Rothfuss, Schiffer, Scott and Von Flatern

Nays: Senator(s) Burns

Excused: Senator(s) Hines

Ayes 28 Nays 1 Excused 1 Absent 0 Conflicts 0

3/6/2014 H Adopted SF0039JC01

SF0039JC01/AA ADOPTED

Delete the following House amendments:

SF0039H2001/AE

SF0039HS001/ACE

Further amend the ENGROSSED COPY as follows:

Page 1-line 5 After "definition;" insert "providing guidelines for valuation of the lands;".

Page 2-line 17 Delete "and" insert ","; after "sales" insert "and appraisals".

Page 2-line 21 Delete "a" insert "an MAI"; after "appraiser" insert "." and delete balance of line.

Page 2-lines 22 and 23 Delete.

Page 2-line 24 Delete through "estate.".

Page 3-line 14 After "deed" insert ", in a form reasonably acceptable to the state,".

Page 3-after line 24 Insert and renumber:

"(e)  In evaluating any proposed exchange, the board of land commissioners shall take into consideration the appreciative value of the Teton County parcels, their potential to generate a cash sale at full fair market value if the parcels were sold and the capacity for the cash obtained to produce future investment income. The lost opportunity associated with the Teton County parcels may be offset by the potential for reasonably anticipated mineral development of parcels to be received by the state in any proposed exchange. The board shall use the highest value of the Teton County parcels as determined by the following appraisal approaches:

(i)  The cost approach;

(ii)  The comparison approach; and

(iii)  The income approach.

(f)  In determining the value of any parcels to be received by the state in any proposed exchange, the board of land commissioners shall:

(i)  Give preference to properties which include both the surface and mineral estate with high probability to produce mineral income in the future which will offset against the future loss speculative value of the Teton County parcels;

(ii)  Value the mineral estate in accordance with customary practices for buying and selling agricultural land with unproven mineral resources; and

(iii)  Take into consideration the existing proportionate share of any potential federal mineral royalty that the state would be entitled to receive if the minerals were to be produced.".

Page 4-line 2 Delete "(e)" insert "(g)".

Page 4-line 5 Delete "(f)" insert "(h)".

CHRISTENSEN, BEBOUT, NICHOLAS, P., PETROFF, BROWN, LUBNAU

ROLL CALL

Ayes: Representative(s) Baker, Barlow, Berger, Blake, Blevins, Blikre, Brown, Burkhart, Byrd, Campbell, Cannady, Connolly, Davison, Eklund, Esquibel, K., Filer, Freeman, Gay, Goggles, Greear, Greene, Harshman, Harvey, Hunt, Jaggi, Kasperik, Kirkbride, Kroeker, Krone, Larsen, Lockhart, Loucks, Lubnau, Mader, McKim, Miller, Nicholas, B., Northrup, Patton, Paxton, Petroff, Piiparinen, Reeder, Semlek, Sommers, Stubson, Teeters, Throne, Walters, Wilson, Winters, Zwonitzer, Dn. and Zwonitzer, Dv.

Nays: Representative(s) Hutchings

Excused: Representative(s) Coleman, Gingery, Halverson, Madden, Moniz and Watt

Ayes 53 Nays 1 Excused 6 Absent 0 Conflicts 0

3/6/2014 Assigned Number SEA No. 0069

3/6/2014 S President Signed SEA No. 0069

3/6/2014 H Speaker Signed SEA No. 0069

3/7/2014 Governor Signed SEA No. 0069

3/7/2014 Assigned Chapter Number

Chapter No. 0048 Session Laws of Wyoming 2014