Rent for Non-linear Rights-of-Way and Permits

2800/2920 (WY921) P
January 26, 2015
EMS TRANSMISSION: 1/26/2015
Instruction Memorandum No. WY-2015-20
Expires: 09/30/2017
To: District Managers
From: Deputy State Director, Minerals and Lands
Subject: Rent for Non-linear Rights-of-Way and Permits
Program Area: Lands and Realty
Purpose: This Instruction Memorandum (IM) transmits information regarding minimum rent
analysis and schedule for rental fees for land use authorizations/non-linear rights-of ways for
each of the Bureau of Land Management’s (BLM) Wyoming (WY) Districts.
Policy/Action: The BLM WY realty staff will use the attached document, 2014 LAND USE
AUTHORIZATION RENT STUDY - Small Uses up to 25 Acres (schedule) to administratively
establish the rental rates to charge for non-linear rights-of-way and permit authorizations located
in rural and/or low intensity land use areas where individual appraisals are not economically
warranted. By using the schedule, the BLM WY will provide consistent and fair values to the
public for the use of Federal lands and the BLM and the Department of the Interior, Office of
Valuation Services (OVS) will save time and a substantial amount of appraisal costs.
Timeframe: This policy is effective immediately.
Budget Impact: Minimal
Background: Recently, the Division of Lands, Minerals and Cadastral Survey, Washington
Office (WO), asked the OVS to prepare a nationwide rental fee schedule to eliminate the need
for, and expense associated with, individual requests for appraisals. These appraisals are used to
determine rents for the various types of land use authorizations provided under Section 302, and
when applicable, under Section 504 of the Federal Land Policy and Management Act of 1976, as
amended.
Regulations at 43 CFR § 2920.8 direct the BLM to collect rent based either upon the fair market
value of the rights authorized in the land use authorization or as determined by competitive
bidding. Regulations at 43 CFR § 2806.50 direct the BLM to establish fair market rent for
United States Department of the Interior
BUREAU OF LAND MANAGEMENT
Wyoming State Office
P.O. Box 1828
Cheyenne, Wyoming 82009-1828
IN REPLY REFER TO:
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right-of-way grants that are not appropriate under the linear or communication site schedules. In
no case shall the rental be less than fair market value.
Per WO request, and consistent with the above regulations, the OVS completed the
2014 LAND USE AUTHORIZATION RENT STUDY - Small Uses up to 25 Acres (schedule) that
provides a rental fee for land use authorizations/non-linear rights-of-way for each of BLM WY’s
District Offices (delineated by county) in order to maintain a consistent approach in determining
fees for annual rentals for minimum land use authorizations on Federal lands throughout the
State for areas of 25 acres or less. The nationwide template schedule utilizes information from
the National Agricultural Statistical Service (NASS) that reports agricultural land values by State
and County and is published every 5 years. The OVS used the latest report and adjusted the
values to appropriately reflect public land rent values. For a more detailed explanation of how
the rent values were derived, please read the attached schedule and accompanying OVS
memorandum.
Each county has a per acre rent value which is adjusted depending on the intensity of the use:
50 percent for minimum impact, 75 percent for moderate impact, and 100 percent for high
impact. The realty specialist will select the appropriate county, identify the range of acreage the
use falls within and select the severity of the impact to arrive at the estimated annual rental for
the proposed use.
The examples provided under the minimum, moderate or high impact uses are not inclusive.
The realty specialist may use the schedule for any use that is determined appropriate, for
example to resolve certain trespass issues or apiary sites.
The realty specialist must exercise discretion in assessing the impact to the proposed rental sites.
While the schedule provides exact values within the acreage ranges, there is leeway granted to
interpret the category of use and degree of impact. If the values shown in the schedule are low
or high compared to previous annual rents, the realty specialist may consult with the OVS or
request a formal appraisal through the Interior Valuation Information System (IVIS).
This schedule is not intended to be used for filming, linear rights-of-way, special recreation use
permits, mineral, hydroelectric, geothermal, oil and gas or related uses that may require a higher
annual rent or have established schedules. For sites not covered by this schedule, continue to
implement the existing schedule under WY-IM No. 2009-017 until further notice. The market
study attached to WY-IM No. 2009-017 is being reviewed and will be updated if needed.
Manual/Handbook Sections Affected: None.
Coordination: The BLM WY State Office has coordinated the issuance of this IM with OVS.
This office requests constructive feedback throughout the first year of implementation to provide
OVS with comments to improve this schedule where necessary. After the first year, it is
recommended the BLM update this schedule upon the 2019 publication of the NASS report.
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Contact: If the realty specialist is unsure of which schedule to use, contact Sharee (Dani) Smith,
OVS at 307-775-6284 or Janelle Wrigley at 307-775-6257. If you have any questions regarding
this IM or wish to provide feedback, you may contact Janelle Wrigley, Wyoming State Office
Realty Officer at 307-775-6257.
Signed by: Authenticated by:
Duane W. Spencer Sherry Dixon
Acting Deputy State Director, Support Services Assistant
Minerals and Lands
1-Attachment
1 – Minimum Rent Analysis & Schedule – Wyoming 2014 (15 pp)
Distribution
Director (350), 20 M Street 1 (w/atch.)
OVS Client Manager 1 (w/atch.)
Field Managers 1 (w/atch.)
CF 2 (w/atch.)