Where a sale is contemplated, as
determined by the completion and approval of the THRUWAY TRANSACTION
ANALYSIS/RECOMMENDATION (TTAR) form (TA-N5516), unless otherwise authorized by
the Executive Director, a permit will not be issued in advance of completion of
the sale. See SOP-OCCUPANCY PERMITS
(500-2-02.5) and SOP-WORK PERMITS (500-2-02.6).
The Board shall approve all sales of real property
under the Authority’s jurisdiction, except as otherwise delegated. Sales of real property may need to be resubmitted
to the Board in the following circumstances:
· If
the sale is not completed within one year of Board authorization, the proposed
sale will be resubmitted to the Board.
· If the
circumstances change following Board action and the approved terms and
conditions cannot be followed, the proposed sale must be resubmitted to the
Board for reconsideration.
· If
the background information about the sale presented to the Board changes in any
material way, the Executive Director, in consultation with the Contracting
Officer, will determine whether the item should be resubmitted to the
Board.
· If a Board approved sale
cannot be progressed, a report must be provided to the Board detailing the
reasons that the item is not being progressed. In limited circumstances, as determined by the
Executive Director in consultation with the Contracting Officer, an item may be
submitted to the Board withdrawing the prior authorization.
4. Procedure
4.1. Processing the Proposed
If the proposed sale is initiated
by the Authority and there is no applicant, go to Section 4.2.
4.1.1. Upon receipt of an inquiry for the sale of real property under
the jurisdiction of the Authority, the Division Permit Coordinator (DPC) will
follow SOP-TRANSACTION ANALYSIS PROCESS (500-2-02.1) to record the inquiry and
send out the application package.
Upon receipt of the completed
application, the DPC will assign a Transaction Reference Number, forward the
application fee and appraisal and survey deposit to Finance for deposit, and
send a receipt to the applicant.
Note: Once
a Transaction Reference Number has been assigned, it should be indicated on all
subsequent correspondence associated with the proposed sale (e.g., transmittal
forwarding checks to Finance, receipt sent to applicant, etc.).
4.1.2. The DPC, in consultation with the Division Real Estate Specialist,
will complete the TTAR
form and the review and approval process will be done in
accordance with SOP-TRANSACTION ANALYSIS PROCESS (500-2-02.1). If the proposed sale is rejected at any point
during the review and approval process, the Division Director (DD) will send a
REJECTION LETTER1 notifying the applicant and will coordinate with
Finance, the refund of the appraisal and survey deposit. The DD will send a copy of the letter and
the original TTAR to the Bureau of Real Property Management (BRPM) for the Transaction
Record and copies of each will be placed in the Division file. Procedure stops here.
4.1.3. Following approval by the Contracting Officer on the TTAR form, a
SALE REVIEW LETTER2 will be sent to the applicant from BRPM stating
that the sale will be progressed through a negotiated process or that a
competitive process is required.
4.1.4. For a sale where the estimated property value is greater than
$15,000, see Executive Instruction INAPPROPRIATE LOBBYING INFLUENCE IN
AUTHORITY/CORPORATION PROCUREMENTS for requirements.
4.1.4.1. For negotiated sales, the SALE REVIEW LETTER shall
identify the “official contacts” for the Authority and shall indicate that the “restricted
period” will commence upon the date the applicant receives the SALE REVIEW
LETTER.
4.1.4.2. For a competitive process, the SALE REVIEW
LETTER will indicate that the “restricted period” will begin with the request
for proposal (RFP) or auction advertisements and that the “official contacts” for
the Authority during the disposal process will be identified in the RFP or
auction advertisement.
1
Exhibit 1
2
Exhibit 2
4.2. Processing
an Authority Initiated
Where
the proposed sale is Authority initiated and there is no applicant, the DPC, in
consultation with the Division Real Estate Specialist, will complete the TTAR
form and the review and approval process will be done in accordance with
SOP-TRANSACTION ANALYSIS PROCESS (500-2-02.1).
If rejected, the
DD will send BRPM the original TTAR and a note for the Transaction Record and keep
a copy of both for the Division file.
Procedure stops here. If
the proposal to dispose of the real property via a sale is approved by the
Contracting Officer on the TTAR form, BRPM will coordinate the necessary
processes for completing the transaction.
4.3. Review
of the Proposed
4.3.1. Where a survey and/or appraisal are required,
BRPM will follow SOP-APPRAISALS AND SURVEYS (500-2-02.2). In most cases, the survey should be completed
prior to the appraisal.
4.3.2. BRPM will provide the Thruway Real Property
Management Committee (TRPMC) with a complete sale application package that
includes materials listed in the TRPMC SALES PACKAGE CHECKLIST1. The
TRPMC will review the proposed sale and will make a recommendation, including
any modifications and/or conditions. BRPM
will review and as appropriate, incorporate any modifications or conditions
recommended by the TRPMC.
4.3.3. If the TRPMC rejects the proposed sale, BRPM
will send a letter notifying the applicant and will coordinate with Finance the
refund of any deposit and/or the appraisal and survey cost. BRPM will place a copy of the letter in the
Transaction Record and a copy of the letter to the DD for the Division file. Procedure stops here.
4.3.4. If the TRPMC recommends that the sale be
progressed, the Contracting Officer will keep the Board apprised of the
proposed sale, including when an Explanatory Statement is required. If an Explanatory Statement is required for a
negotiated sale, BRPM will coordinate the preparation and distribution of the Explanatory
Statement using the EXPLANATORY STATEMENT2 form.
4.3.5. If a competitive process is required for the
sale, the procurement policies and procedures would be followed, or for a sale by
auction, see Section 4.4.
1 Exhibit 3
2 Exhibit 4
4.3.6. For a sale where the property value exceeds $10,000, a
determination of responsibility for the proposed awardee is required. BRPM will coordinate the responsibility
determination. The process for a
negotiated sale continues in Section 4.5.
4.4. Real Property Auctions
4.4.1. Developing Auction
Conditions and Terms of the
4.4.1.1. BRPM, the Bureau of Purchasing, the Contracting
Officer, and the Legal Department will develop the Auction Plan including the terms
and conditions of the sale, registration and deposit requirements, auction bid
package, and Advertising Plan based on considerations in this section. The auction process may include a voice bid
auction (where all bids are made orally in a competitive manner), sealed bids,
“live” internet auctions or other means.
4.4.1.2. The
Contracting Officer will approve the Auction Plan prior to implementation.
4.4.1.3. This procedure describes the typical voice
bid auction process. If external auctioneers
are to be used, the auctioneers will be hired in conformance with procurement
contracting procedures.
4.4.2. Developing the Auction
Bid Package
The
auction bid package should contain at a minimum the following information:
· Auction time, date and location (including
directions)
· Inspection information (if applicable)
· Property information such as location, size,
site map, survey map, the legal description, any known environmental issues
· Pre-auction terms, conditions and general
information
· Terms and conditions of the auction
including the minimum bid
· Post-auction terms and conditions
· Copy of the agreement for sale
· Bidder registration form
· Required disclosures
· Lobbying Law requirements
4.4.3. Developing the
4.4.3.1. The Authority will publicly advertise for
bids, unless otherwise approved by the Contracting Officer. When publicly advertising for bids, the
following requirements apply:
· The advertisement for bids shall be made
prior to the auction, through such methods, and on such terms and conditions as
shall permit full and free competition consistent with the value and nature of
the property;
· All bids shall be publicly disclosed at the
time and place stated in the advertisement; and
· The award shall be made with reasonable
promptness by notice to the responsible bidder whose bid, conforming to the
invitation for bids, will be most advantageous to the State and the Authority,
price and other factors considered; provided, that all bids may be rejected
when it is in the public interest to do so.
4.4.3.2. If public advertising for bids is not done,
the disposal must meet one of the exceptions described in SOP-TRANSACTION
ANALYSIS PROCESS (500-2-02.1) and an Explanatory Statement is required to be
submitted at least 90 days before the auction for real property that exceeds
$100,000 in fair market value.
4.4.3.3. For disposals of real property with a value
greater than $15,000, the “restricted period” will begin with the auction
advertisements. The official contact
during the procurement process will be identified in the RFP or auction
advertisement.
4.4.3.4. The
· Time,
place and location of the auction
· Registration
time
· A
description of the property being auctioned including address, description and
other property information
· Other
relevant information and pertinent provisions of the terms of sale
· Requirement
for deposits, registration and payment
· Any
inspection hours
· Contact
information for the auction bid package and further information
· Notice
that all bids may be rejected when it is in the public interest to do so, such
as when the minimum bid is not met
4.4.3.5. The Advertising Plan will be developed based
on the fair market value and potential interest in the property. The Authority’s goal is to identify and reach
as many potentially interested parties as possible to permit full and free
competition consistent with the value and nature of the property.
The Advertising
Plan must include:
· Advertisements
in newspapers in the county or locality in which the property is located
· Letters
to individuals or others who have expressed interest in the property
The Advertising
Plan may also include:
· Placing
information on the Authority’s website
· Advertisements
in trade journals or other publications including the NYS Contract Reporter
· Letters to neighboring properties, the local
municipality, and other agencies with an interest in development or that have
property in the area
· “For
· Brochures
· News releases
4.4.4. Distributing the Auction Bid Package to Interested Parties
BRPM will coordinate
the mailing of the auction bid package, which will be sent to all who contact
the Authority requesting a package, as well as any other party the Authority
has reason to believe may have an interest in seeing it.
4.4.5. Conducting the Auction
4.4.5.1. All prospective bidders (or their authorized
agents upon presentation of a duly executed power of attorney in full force and
effect) will register on the date and at the place of the auction, unless
otherwise decided. A bidder must
complete a registration form, and present for inspection a bank or certified
check payable to the bidder that is no less than the required earnest-money
deposit. No cash and/or uncertified
checks will be accepted. An
identification number will be assigned to each bidder.
4.4.5.2. The registration forms will contain the
Lobbying Law requirements and the bidder must sign acknowledging their
understanding and compliance with the requirements.
4.4.5.3. The
auction will be conducted.
4.4.6. Conducting Post Auction Activities
4.4.6.1. Immediately at the conclusion of the bidding,
the Authority representative will have the highest bidder sign the sale
agreement with the highest acknowledged bid.
A photo identification should be shown by the bidder. The sale agreement shall make clear that the
sale is contingent upon a responsibility determination, authorization of the
Board, and where applicable, the Office of the Attorney General (OAG) and the
Office of the State Comptroller (OSC).
4.4.6.2. The highest bidder will pay the Authority
representative the required earnest-money deposit. The Authority representative at the auction
will be responsible for forwarding the deposit to Finance for processing.
4.5. Authorizing the
4.5.1. Once a proposed buyer has been identified via a competitive
process, or for a negotiated sale, 90 days after any required Explanatory
Statement has been distributed and upon receipt of any required determination
of responsibility, the proposed sale can be presented to the Board for their
review and authorization to proceed with the preparation of sale
documents. The Contracting Officer,
assisted by BRPM, will prepare a Board Agenda Item to place the proposed sale
on the agenda of the Board.
4.5.2. The Contracting Officer will provide the Board with a brief
overview of the application and the process of review, including any
recommendations from Division, TRPMC, local, regional or State agencies,
comments received in response to an Explanatory Statement where applicable, the
result of any competition, and responsibility determinations where required.
4.5.3. The Board will approve or reject the proposed sale.
4.5.4. BRPM will notify the applicant or competitive process awardee, DD,
and applicable Authority personnel of the Board’s approval or rejection. If the Board rejects the sale, BRPM will send
a letter notifying the applicant/awardee and will coordinate with Finance the
refund of any deposit and/or appraisal and survey cost. BRPM will place a copy of the letter in the Transaction
Record and send a copy to the DD for the Division file. The procedure stops here.
4.5.5. If the Board approves
the sale and the awardee is not the applicant, BRPM will coordinate with
Finance the refund of any deposits and/or appraisal and survey cost to the
applicant.
4.6. Executing
the
4.6.1. Upon Board approval, BRPM will enter the transaction information
on the LIST OF REAL PROPERTY WITH A FAIR MARKET VALUE IN EXCESS OF $15,000 THAT
THE AUTHORITY/CORPORATION INTENDS TO DISPOSE OF IN 20XX.1
4.6.2. Upon Board approval of the sale and authorization to prepare the sale
documents, BRPM, in consultation with the Legal Department, will prepare the
draft sale agreement.
4.6.3. BRPM will send a copy of the draft sale agreement to the
applicant/awardee for review and comment, and with Legal approval, may make
changes requested by the applicant/awardee.
4.6.4. Once the sale is ready for execution, BRPM will send five (5) counterparts
of the sales agreement and COVER LETTER2 to the applicant/awardee. For sales where the property value is over $10,000,
the Legal Department will inform the applicant/awardee that the sale is not
final until approved by the AOG and OSC. The letter will direct the applicant/awardee
to sign the sale agreement, and return it to the Authority.
4.6.5. Upon return of the five (5) counterparts of the sales agreement
executed by the proposed buyer, BRPM will send the sale agreement to the Legal
Department, Contracting Officer and/or the Chief Financial Officer and the
Executive Director for signatures.
1 Exhibit 5
2 Exhibit 6
4.6.6. For
sales where the contract amount is over $10,000, the Legal Department will
assist BRPM in preparing a package for submittal to the OAG and the OSC
following SOP- SUBMITTALS TO THE OFFICES OF THE ATTORNEY GENERAL AND THE STATE
COMPTROLLER (500-2-02.3). BRPM will
transmit the package to the OAG for approval as to form.
4.6.7. Upon approval by the Attorney General’s Office, BRPM will forward the sales package to the OSC.
4.6.8. If rejected by the AOG or the OSC, BRPM will send a letter notifying
the applicant or competitive process awardee and will coordinate with Finance,
the refund of any deposit and/or the appraisal and survey cost. BRPM will place a copy of the letter in the
Transaction Record and send a copy to the DD for the Division file. Upon approval by the State Comptroller, BRPM
will notify the Legal Department, and the Legal Department will coordinate the
closing.
4.6.9. After closing, the Legal Department will forward a copy of the instrument
of conveyance to BRPM, Engineering Real Property Unit (ERPU) and Finance. Legal
also send the payment check delivered at closing, to Finance. BRPM will maintain the original document in
the Transaction Record.
4.6.10. BRPM will notify ERPU to update Authority maps and databases to
reflect the sold property and BRPM will also notify the Division of the sale.
5. Complying with §139-j
and §139-k of the State Finance Law (Lobbying Law)
Any contact (inquiry, etc.) made regarding
a real property transaction following the TTAR form approval for negotiated
sales and subsequent to the first notice of a competitive process for disposal
of such real property (solicitation, RFP, etc.) is subject to the Lobbying Law
and must be recorded. See the Executive
Instruction entitled INAPPROPRIATE LOBBYING INFLUENCE IN AUTHORITY/CORPORATION
PROCUREMENTS.
6. Responsibilities
BRPM will coordinate the sale application
approval process including contacts the preparation and distribution of any
required Explanatory Statements, the abandonment process, auction process, and
submittals to the Office of the State Comptroller. In consultation with the Legal Department, BRPM will draft sale
agreement. BRPM will coordinate reviews
by the OAG and the OSC.
The Board will authorize sales of real
property under the jurisdiction of the Authority, except those under the
contracts program.
The Contracting Officer is responsible for
compliance with and enforcement of the Canal Real Property Management Policy as
it applies to disposals, including sales.
The Contracting Officer will present the proposed sale to the Board for
authorization or rejection and keep the Board apprised of the progress of the
sale. The Contracting Officer, Legal Department,
and Executive Director will sign sale agreements on behalf of the Authority.
The DPC will coordinate the review and
initial processing of the sales application.
The Executive Director, Contracting
Officer and/or the Chief Financial Officer, and Legal Department will sign sale
agreements on behalf of the Authority.
Finance will coordinate the deposit of
fees and monies received from applicants and any required refunds.
ERPU will update maps and databases
following the sale.
The Legal Department will assist in the
development of the Auction Plan, the preparation of the sale agreements, the
coordination of reviews by the OAG, and will oversee closings. The Legal Department, Contracting Officer
and/or Chief Financial Officer and Executive Director will sign sale agreements
on behalf of the Authority.
The TRPMC will review proposed sales and
make recommendations to approve or reject the transaction.
7. Flowchart
EXHIBIT 1
REJECTION LETTER
This
letter will be used to notify the applicant that the proposed sale has been
rejected.
EXHIBIT 2
Page
1 of 5
Sent
to an applicant following approval of the proposed sale by the Contracting
Officer on the TTAR form. This letter is
for sales in excess of $15,000 that will result in a public auction.
Page
2 of 5
Sent
to an applicant following approval of the proposed sale by the Contracting
Officer on the TTAR form. This letter is
for sales in excess of $15,000 that will result in a Request For Proposal
(RFP).
Page
3 of 5
Sent
to an applicant following approval of the proposed sale by the Contracting
Officer on the TTAR form. This letter is
for sales in excess of $15,000 that will result in a negotiated sale.
SALE
REVIEW LETTER
Page
4 of 5
Sent to an applicant following
approval of the proposed sale by the Contracting Officer on the TTAR form. This letter is for sales of $15,000 or less
that will result in a public auction without bids.
Page
5 of 5
Sent
to an applicant following approval of the proposed sale by the Contracting
Officer on the TTAR form. This letter is
for sales of $15,000 or less that will result in a negotiated sale.
EXHIBIT 3
TRPMC
SALES PACKAGE CHECKLIST
This checklist
contains the list of information that shall be in a package submitted to the TRPMC
for review.
Content under development
EXHIBIT 4
SAMPLE
EXPLANATORY STATEMENT
The form gives the
information that should be contained in any required Explanatory Statement.
Content under development
EXHIBIT 5
LIST OF
REAL PROPERTY WITH A FAIR MARKET VALUE IN EXCESS OF $15,000 THAT THE CORPORATIION/AUTHORITY
INTENDS TO DISPOSE OF IN 20XX
List is used to track data necessary for
required annual reporting.
EXHIBIT 6
COVER LETTER FOR SALES AGREEMENT
The cover letter is sent to the buyer with the
sales agreement for signature.
Content under
development