835-RICR-30-00-2
835-RICR-30-00-2. Rules for the Acquisition of Property or Rights (version Amendment, 04/13/2018 to 01/04/2022)
2.1 Purpose
To establish a defined
procedure for the Narragansett Bay Commission (hereinafter called the
“Commission”) for the acquisition of property or rights.
2.2 Authority
This regulation is
promulgated pursuant to the authority granted in R.I. Gen. Laws §§
46-25-1 et seq. and 37-6-1 et seq.
2.3 Appraisals
The Commission's Appraiser
shall prepare and submit to the Commission separate Appraisals for
each parcel of property that will be affected by the Project.
2.4 Project Approval from State
Properties Committee
A. Any Project that involves
the condemnation of property must be approved by the State Properties
Committee before the initiation of negotiations.
B. Approval Procedure
1. When approved appraisals
have been received that establish the fair market value for each
parcel that is affected, a request shall be sent to the State
Properties Committee seeking approval to acquire the property by
eminent domain and for approval of each individual claim. The request
shall be made in accordance with the Rhode Island Department of
Administration’s "Rules and Regulations of the State
Properties Committee," 600-RICR-00-00-1.
2.5 Negotiation with Property
Owners
A. Notification of Property
Owner: After the appraisals have been completed and approval has been
received from the State Properties Committee, every reasonable effort
shall be made to contact personally each property owner. This will be
done by sending a letter to each owner advising them generally about
the project and requesting that they meet with a representative of
the Commission to discuss the matter in detail. All correspondence by
the Commission to property owner(s) shall be sent by certified mail,
return receipt requested. If contact by mail is unsuccessful, then
other reasonable alternative methods may be used to contact each
property owner.
B. First Meeting with Property
Owner: During the first meeting, the property owner(s) shall be
provided with the following information:
1. Explanation of the "One
Offer System": At the first meeting, the Commission will make
its initial Compensation Award offer to the property owner in writing
for the full amount of the approved fair market value of the
property, interest or right to be taken. This will ensure the
equitable treatment of all property owner(s).
2. Statement of Just
Compensation: The full approved amount of just compensation must be
presented in writing by the Commission's representative. In addition
to delineating the fair market value established, it also shall
delineate separately any damages assigned to the remaining property
as a result.
3. Letter of Rights: The
Commission's representative will present a letter of rights
explaining a property owner's rights, privileges, and options. He/she
will also explain the following options to the property owners:
a. Full Release
b. Advance Payment Release
c. Escrow Deposit into the
Registry of the Rhode Island Superior Court.
4. Plat Map or Other
Description of Land to be Affected: The property owner will be
provided with a plat map and/or other legal description and a map of
the owner's land area(s) that is/are affected.
5. Revised Offer: In the event
that a revised offer must be made to the property owner, this revised
offer will be made in writing by a Revised Statement of Just
Compensation.
C. Additional Meetings with
Property Owners: In most cases, additional meetings are necessary to
obtain the property owner's decision regarding the acceptance of the
just compensation established.
D. Negotiating with an
Attorney: When a property owner informs the Commission that he/she
will be represented by an attorney or authorized representative, the
Commission will request a letter of representation from either the
property owner, his attorney, or his/her authorized representative
stating they will be the exclusive agent during the acquisition
process. The Commission will then deal solely with the authorized
representative.
E. Tenant Owned Improvements:
If the Commission must acquire any tenant owned improvements, the
tenant(s) shall receive the same rights and privileges as that of a
real property owner. If a lease is in existence, it must be
thoroughly reviewed. In order for the tenant to receive direct
payment, the real property owner must sign a disclaimer. If the
property owner refuses to sign this disclaimer, one hundred (100%)
percent of the amount established as just compensation for the tenant
owned improvement shall be deposited in the Registry of the Superior
Court in an escrow account under both the owner and the tenant's
name.
2.6 Settlement Procedures
(Completion of Negotiations)
A. When negotiations are
successfully completed, a written agreement must be prepared to the
effect that this agreement embodies all consideration agreed upon
between the Commission and the property owner(s). This written
statement will take the form of a Release.
1. Full Release: When an offer
is accepted by a property owner as full and just compensation, a Full
Release must be signed by the property owner witnessed by a third
party and dated. In doing so, the property owner received payment of
100% of the offer of just compensation and releases all rights to
file a petition in court for the assessment of damages.
2. Advance Payment Release:
When an offer is not accepted by a property owner as full and just
compensation, the property owner may choose to sign an Advance
Payment Release. The signature(s) must be witnessed by a third party.
In doing so, the property owner receives payment of 100% of the offer
of just compensation and retains the right to petition the court for
assessment of damages with one (1) year from the date of
condemnation.
B. Corporately Owned Property:
When property to be acquired is held in title of a corporation, the
Commission will require a letter of corporate authority from the
property owner. This letter shall verify the fact that the officer
executing the release is a duly authorized officer of the corporation
and is the party authorized by the corporation to execute the release
form.
C. Vouchering: Upon receipt of
the executed full or advance release form, the Commission shall
prepare a voucher for payment to the property owner.
D. Escrow (Registry of the
R.I. Superior Court): In the event the property owner does not wish
to sign either an Advance Payment Release or a Full Release, 100% of
the offer of just compensation will be deposited in the registry of
the Rhode Island Superior Court for their benefit. It shall be held
by the Court in an escrow account while compounding interest. The
property owner retains the right to petition the Court for assessment
of damages within one (1) year from the date of condemnation.
1. Escrow Procedures: The
payment shall be vouchered in the name of the "Registry of the
Superior Court or the property owner." The property owner may
execute a Full or Advance Payment Release at any time prior to the
deposit of the just compensation in the Registry of the Rhode Island
Superior Court.
2.7 Mortgage and Lien Holders
A. If there are any
outstanding mortgages, liens, or encumbrances, the Commission shall
contact each party and inquire if they desire any consideration in
the settlement.
1. If the mortgage or lien
holder does desire consideration, it must be deducted from the amount
of consideration being paid to the property owner on either the Full
or the Advance Payment Release. An authorized representative of the
mortgagee or lien holder must execute the release and have his/her
signature witnessed by a third party. Separate payment checks for the
owner and each lien holder desiring consideration will then be
processed.
2. If a mortgage or lien
holder does not require any consideration from the settlement, it
must be documented on the Full or Advance Payment Release. An
authorized representative of the mortgagee or lien holder is required
to sign the release or other document indicating that they do not
desire any consideration.
2.8 Administrative Settlements
A. Definition: An
administrative settlement is any settlement made and authorized by
the Board of Commissioners or its designee(s) of the Narragansett Bay
Commission that is in excess of the original statement of just
compensation.
B. An administrative
settlement may be approved when reasonable efforts to negotiate an
agreement at the amount offered as just compensation have failed and
the Board of Commissioners or its designee(s) approves such
administrative settlement as being reasonable, prudent, and in the
public interest. A written justification shall be prepared, which
indicates that available information (e.g. appraisals, recent court
awards for similar type property, estimated trial costs, or valuation
problems) supports such a settlement.
C. Administrative Settlements
(Approval Procedure): When the State Properties Committee has
approved the settlement, the Commission will prepare the offer and
have a Full Release executed by the property owner(s).
2.9 Condemnation Plats Filing
Procedures
The procedures set forth in
R.I. Gen. Laws § 37-6-1 et seq. shall be followed.
2.10 Voluntary Transfers
Nothing herein shall preclude
the Commission from acquiring property or rights in property by
voluntary transferor purchase or use agreements.
2.11 Payment Procedures
A. Upon receipt of check by
the Commission, the check should be hand-delivered (whenever
possible) by a representative of the Commission. No checks shall be
delivered to the property owner or filed with the Registry of the
Superior Court until the condemnation is filed with the local city
clerk.
B. Check Receipt: The property
owner or authorized agent will be required to sign a form
acknowledging receipt of the check.
C. Delivery by Mail: If it is
not possible for the payment check to be hand-delivered, it may
be delivered by certified mail, return receipt requested.
2.12 Right of Entry During Design
or Construction
A. Applicability: All owners
of lands, waters, or premises that may be the subject of NBC design
construction projects must, upon notification and payment in
accordance with §§ 2.12(B) and (C) of this Part below, allow NBC
authorized agents and employees to enter upon their private
properties for the purposes of making surveys, soundings, test pits,
drillings, borings, and examinations in accordance with R.I. Gen.
Laws § 46-25-24.1.
B. Notice: The Commission
shall provide the owner/s with written notification of its intent to
enter upon such property at least fifteen (15) days prior to initial
entry. Said notice shall include the amount of compensation the
Commission proposes to pay to the owner as just compensation for
entry.
C. Compensation: In accordance
with public rule-making procedures as provided for by R.I. Gen. Laws
§ 42-35-1 et seq. , the Commission has set just compensation
for entrance upon private lands for the purposes of making surveys,
soundings, test pits, drillings, borings, and examinations at $50 for
the right of entry and $100 per boring or test pit.
D. Restoration/Damages: Within
a reasonable time after entry, the Commission shall restore the
property to its prior condition or reimburse the owner for any actual
damage resulting to such lands, waters, and premises as a result of
such activities, at the Commission's discretion.
E. Appeal: Any appeal with
regard to just compensation shall be made to the Rhode Island
Superior Court.