Non-Linear Land Use Authorization Rent Schedule for Non-Energy Sites up to 25Acres

Program Area: Lands and Realty Program

Purpose: This Instruction Memorandum (IM) provides revised guidance and replaces WY IM 2015-020 for the Minimum Rental for Non-linear Right-of-Way (ROW) and Land Use Authorizations (LUA). This IM implements the BLM Wyoming Small Land Use (<25 Acres) Authorization Rent Schedule 2020 (rent schedule).

Administrative or Mission Related: Administrative

Policy/Action: This policy revises the annual rental rate for non-linear ROW and LUA up to 25 acres in size, by county and by encumbrance factor. The encumbrance factor reflects the intensity of the proposed use and corresponding impact on the land. Section 102(9) of the Federal Land Policy and Management Act of 1976, as amended states, “The United States receive fair market value of the use of public lands and their resources”.

The Bureau of Land Management (BLM) realty staff will use the attached rent schedule to determine the rent for land use authorizations, primarily for permits under 43 CFR§2920 regulations, and when applicable for non-linear ROW grants under 43 CFR§2800 for site-specific projects up to 25 acres. This rent schedule is to be used for authorizations that are without existing rent schedules and where individual appraisals are not economically warranted. The intent of this rent schedule is to provide a fair and reasonable market valuation for rent, implement sound business management principles by streamlining the authorization process and provide a uniform rent approach.

New grants and authorizations issued with a Rental Determination Decision Letter are appealable decisions. Existing grants and authorizations include a rental clause that states the authorized officer, whenever necessary, can update the rental to reflect changes in the fair market rental value, in accordance with comparable commercial practices; payment is required if a rental adjustment is made. When this rental clause is included in the grant or authorization, updating the rental is not an appealable decision.

The realty staff will calculate the rent by using the table labeled Annual Rental Schedule for BLM Land Use Authorizations Tracts of Land Up to 25 Acres in Wyoming, select the appropriate county or counties, identify the acreage range, and select the severity of the impact to arrive at the annual rent for the authorized use.

Billing for non-linear ROWs shall follow the ROW rental business rules. Billing for LUA shall pay annually or otherwise as determined by the authorized officer. Rental shall be paid in advance. If the authorization is less than 12 months, the realty staff will prorate the rent using a part-year factor. For example, the annual rent for moderate use within the acreage range of up to 5 acres in Albany County is $74.46. The authorization is for six months. The part-year factor for 6 months is 0.5000 multiplied by $74.46 = $37.23. If the authorization is more than 1 year, rent should be adjusted starting with calendar year 2021 by using the 2.1% IDP-GDP adjustment discussed in the rent schedule. The calculation for rent cannot be less than one month.

Examples of authorized uses could include cabin sites, metering stations along pipelines, substations for transmission lines, regenerating sites for fiber optic lines, cathodic protection sites, or temporary use permits for staging areas. The rent schedule is not intended for filming, linear ROWs, solar, wind, communication sites, special recreation use permits, mineral, hydroelectric, geothermal, oil and gas, or related uses, which already have established rent schedule or requires a separate appraisal.

Realty staff should exercise reasonable judgment in assessing the impact to the proposed use to determine the rent. The rent schedule should be read before determining the rent. The case file must be documented with a description of how the rent was determined. Decisions issued to the holder should clearly explain how rent was established.

Realty staff must enter the rent determination in LR2000 by using Action Code 315 Rental Rate Det/Adj. The decision for the rental rate determined date is the same date as the authorization issued (permit, temporary use permit, or short-term ROW grant) for the action date. In the action remarks column, the rent amount must be entered (i.e., $74.46;) and the term after the semi-colon (i.e., 6 MOS).This rent schedule is publicly available. The review completed by the Appraisal and Valuation Services Office in support of the schedule is an internal document and the public may request it in accordance with the Freedom of Information Act.

Timeframe: This IM is in effect on the date of issuance. The rental schedule will remain in effect until replaced by an updated schedule. It is recommended this schedule be updated with the next NASS Census data publication in 2022 for billing in 2026.

Budget Impact: This rent schedule reduces the costs for individual appraisal requests to the Appraisal and Valuations Services Office and time to process and manage a case. Applications affected by this guidance are subject to cost recovery, unless exempt. Background: Individual appraisal reports for small non-linear ROWs, under most circumstances, exceed the amount of rent collected and increase the processing time and the administrative burden. By using the rent schedule, the BLM can improve customer service, reduce costs, and streamline processes.

Manual/ Handbook Sections Affected: This IM replaces IM No. WY-2015-020 and affects sections at 43 CFR 2920 and 2800.Coordination: This rental policy was coordinated with the Headquarters, Branch Chief for Rights-of-Way (HQ-350), Wyoming State Office, Office of Communications (WY-912) and Branch of Lands, Realty and Renewable Energy (WY-925), Appraisal and Valuation Services Office, and the Rocky Mountain Solicitor’s Office.

Contact: If you have any questions concerning the content of this IM, contact Keesha Clay, Realty Specialist at 307-775-6189 or by email at kclay@blm.gov, or Jennifer Weber, Realty Specialist at 307-261-7513 or by email at jaweber@blm.gov.

Signed by: Authenticated by: Duane Spencer Jessica Camargo Deputy State Director State Director’s Office Minerals and Lands 2 Attachment:1 - BLM Wyoming Small Land Use (<25 Acres) Authorization Rent Schedule 2020, dated November 24, 2020, prepared by Joshua Robinson, AVSO (28 pp)2 - Minimum Rent Consultation – BLM State Offices (3 pp)Distribution Field Managers 1 (w/attchs) Realty Specialist 1 (w/attchs) CF2 (w/attchs)