Senate Bill 0144e1

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    CS for SB 144                                  First Engrossed



  1                      A bill to be entitled

  2         An act relating to Murphy Act lands; amending

  3         s. 253.82, F.S.; providing for conveyance of

  4         all Murphy Act transportation easements to the

  5         governmental entity currently having title to

  6         the adjacent roadway; requiring the

  7         establishment of a procedure for review of

  8         deeds containing Murphy Act transportation

  9         reservations; setting requirements for the

10         review process; providing for compensation of

11         certain property owners if the reservation

12         denies the property owner the current economic

13         use of the property; amending s. 712.04, F.S.;

14         providing for reservations of easements in

15         deeds by the Board of Trustees of the Internal

16         Improvement Trust Fund to be extinguished on a

17         specified date, subject to certain limitations;

18         providing applicability; amending s. 712.05,

19         F.S.; providing procedures by which a

20         governmental entity may preserve a road

21         reservation; requiring notice; providing an

22         effective date.

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24  Be It Enacted by the Legislature of the State of Florida:

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26         Section 1.  Subsection (6) is added to section 253.82,

27  Florida Statutes, to read:

28         253.82  Title of state or private owners to Murphy Act

29  lands.--

30         (6)(a)  All reservations of easements on deeds by the

31  Board of Trustees of the Internal Improvement Trust Fund


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    CS for SB 144                                  First Engrossed



  1  conveying land acquired under chapter 18296, Laws of Florida,

  2  1937, are hereby vested by operation of law and without the

  3  necessity of instruments of conveyance from the Board of

  4  Trustees of the Internal Improvement Trust Fund, in the

  5  governmental entity having right and title to the road to

  6  which the reservations are adjacent. All reservations adjacent

  7  to a road that was designated as a state road at the time of

  8  the reservation and which road is currently held by the state

  9  are conveyed to the Department of Transportation. All

10  reservations adjacent to a road that was designated as a state

11  road at the time of the reservation and which is not held by

12  the state and which is located in an unincorporated area of a

13  county or on a road held by the county within any incorporated

14  area are conveyed to the respective counties. All other

15  reservations within incorporated areas adjacent to a road that

16  was designated as a state road at the time of the reservation

17  and which are not otherwise conveyed to the state or the

18  county are conveyed to the incorporated area. The conveyance

19  includes all right, title, and interests in the reservation

20  held by the Board of Trustees of the Internal Improvement

21  Trust Fund.

22         (b)  Every entity holding title to Murphy Act

23  reservations must establish a procedure for review of any deed

24  containing a reservation when a review is requested or a road

25  project is anticipated. The review process must provide for:

26         1.  A determination of whether the language of the deed

27  created a reservation at the time of the original conveyance.

28         2.  Review of any release of the reservation provided

29  by the property owner.

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    CS for SB 144                                  First Engrossed



  1         3.  The recording of a notice of the nonexistence of a

  2  reservation if reservation language in the deed does not

  3  impact the property.

  4         4.  A determination of whether any or all of the

  5  reservation may be released, and a form for recording the

  6  release.

  7         5.  A process to allow for review through mediation if

  8  requested by the property owner or through binding arbitration

  9  pursuant to the process in chapter 44.

10         6.  Any administrative fee charged not to exceed the

11  actual cost to review the deed, with no fee to exceed $300.

12  The property owner shall be responsible for the payment of any

13  recording fees the property owner incurs. The property owner

14  and governmental entity shall be responsible for their

15  respective fees to perform an appeal or participate in

16  mediation or arbitration as provided in this subsection. A

17  governmental entity may waive administrative fees upon a

18  determination by the governmental entity of the property

19  owner's economic hardship.

20         (c)1.  Any owner of property encumbered by a Murphy Act

21  reservation who has been denied a release pursuant to this

22  section of all or part of the reservation or who has received

23  notice of a governmental entity's intent to preserve the

24  reservation under s. 712.05, may appeal to the entity and show

25  that the reservation substantially denies the property owner

26  the current economic use of the property held by the owner.

27  For purposes of this determination, the term "current economic

28  use" means the use of the property on the date notice of the

29  easement is filed under s. 712.05 or, if notice has not been

30  received, upon the date the property owner applies for release

31  of the easement.


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    CS for SB 144                                  First Engrossed



  1         2.  Upon a determination by the governmental entity

  2  that the reservation substantially denies the property owner

  3  the current economic use of the property held by the owner,

  4  the entity must purchase the real property and improvements

  5  not retained by the property owner in fee simple title or

  6  release all or part of the reservation as necessary to allow

  7  for the current economic use of the property.

  8         3.  Where the governmental entity and the property

  9  owner are unable to agree as to whether the reservation

10  substantially denies the current economic use of the property

11  or as to the purchase price, the property owner may request

12  mediation, and, if mediation is unsuccessful, the property

13  owner may demand binding arbitration pursuant to the process

14  in chapter 44 to resolve these issues.

15         4.  Prior to the payment of any compensation, the

16  property owner must provide the governmental entity copies of

17  any title insurance policies and notice of any compensation

18  received from a title company related to the easement, and the

19  amount of any compensation received or due as a result of such

20  title insurance policies shall be offset against the amount of

21  compensation paid by the governmental entity.

22         (d)  The process for release of any reservation covered

23  by this section or payment for property impacted by the use of

24  a reservation covered by this section shall be solely in

25  accordance with this section. Any action for the condemnation

26  or inverse condemnation of property related to road

27  construction is separate and distinct from any proceedings

28  pursuant to this section.

29         (e)  The governmental entity is not liable for

30  attorney's fees or costs incurred by the owner in establishing

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    CS for SB 144                                  First Engrossed



  1  substantial denial of the current economic use or in

  2  establishing the purchase price of the property.

  3         (f)  The provisions of this subsection apply only to

  4  reservations of easements on deeds for roads and shall not

  5  apply to any other reservations, including canal, oil, gas, or

  6  mineral reservations.

  7         Section 2.  Section 712.04, Florida Statutes, is

  8  amended to read:

  9         712.04  Interests extinguished by marketable record

10  title.--Subject to the matters stated in s. 712.03, such

11  marketable record title shall be free and clear of all

12  estates, interests, claims, or charges whatsoever, the

13  existence of which depends upon any act, title transaction,

14  event or omission that occurred prior to the effective date of

15  the root of title.  All such estates, interests, claims, or

16  charges, however denominated, whether such estates, interests,

17  claims, or charges are or appear to be held or asserted by a

18  person sui juris or under a disability, whether such person is

19  within or without the state, whether such person is natural or

20  corporate, or is private or governmental, are hereby declared

21  to be null and void, except that this chapter shall not be

22  deemed to affect any right, title, or interest of the United

23  States, Florida, or any of its officers, boards, commissions,

24  or other agencies reserved in the patent or deed by which the

25  United States, Florida, or any of its agencies parted with

26  title. However, all reservations of easements in deeds by the

27  Board of Trustees of the Internal Improvement Trust Fund

28  conveying land acquired under chapter 18296, Laws of Florida,

29  1937, and not preserved in accordance with s. 712.05(3), shall

30  be extinguished by the Marketable Record Title Act on July 1,

31  2002, subject to the matters under s. 712.03, and further


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    CS for SB 144                                  First Engrossed



  1  subject to the right of any governmental entity holding title

  2  to the reservations to preserve such reservations that are

  3  necessary for future transportation projects in adopted

  4  transportation plans by filing notice under s. 712.05(3),

  5  before July 1, 2002.

  6         Section 3.  Subsection (3) is added to section 712.05,

  7  Florida Statutes, to read:

  8         712.05  Effect of filing notice.--

  9         (3)  Any governmental entity claiming a road

10  reservation pursuant to a deed conveyed pursuant to the Murphy

11  Act may preserve the reservation or any portion thereof

12  necessary for future transportation projects in adopted

13  transportation plans and protect it from extinguishment by the

14  operation of this chapter by filing for the record, prior to

15  July 1, 2002, a notice, in writing, in accordance with the

16  provisions of this chapter. The notice will have the effect of

17  preserving the reservation or portion thereof for a period of

18  10 years if, prior to the end of the 10 years, the reservation

19  is used or identified by the governmental entity in the plans

20  of a road project scheduled for construction to begin prior to

21  the end of the 10 years. Any reservation used or identified in

22  the final design plans of a road project scheduled for

23  construction to begin before the end of the 10 years is not

24  extinguished.

25         Section 4.  This act shall take effect upon becoming a

26  law.

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