5509.11_20
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FOREST SERVICE HANDBOOK
ALASKA REGION (REGION 10)
JUNEAU, ALASKA
FSH 5509.11 – TITLE CLAIMS, SALES AND GRANTS HANDBOOK
CHAPTER 20 – SALES
Supplement No.: 5509.11-2007-2
Effective Date: October 26, 2007
Duration: This supplement is effective until superseded or removed.
Approved: Paul K. Brewster (for)
DENNIS E. BSCHOR
Regional Forester
Date Approved: 10/04/2007
Posting Instructions: Supplements are numbered consecutively by Handbook number and
calendar year. Post by document; remove the entire document and replace it with this
supplement. Retain this transmittal as the first page(s) of this document. The last supplement to
this Handbook was 5509.11-2003-1.
New Documents
5509.11_20
13 Pages
Superseded Document(s)
by Issuance Number and
Effective Date
5509.11-2003-2
13 Pages
Digest:
26.04 – Updates responsibilities for the Regional Director of Recreation, Lands, and Minerals.
Adds responsibilities for the Assistant Director of Lands and the Regional Property Management
Officer.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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FSH 5509.11 – TITLE CLAIMS, SALES AND GRANTS HANDBOOK
CHAPTER 20 – SALES
21- SMALL TRACTS ADJUSTMENTS
21.03 – Policy
1. The use of interchange to improve the National Forest System (NFS) land ownership
pattern is preferred over sales. It may also be used to acquire road rights-of-way and other
partial interests when resolving encroachments qualifying under the Small Tracts Act (Public
Law 97-455).
2. The Small Tracts Act (STA) may be used as an alternative means of resolving
qualifying title claims cases when requested by the claimant.
3. Aggressively pursue a permanent resolution to chronic encroachments, as opposed to
issuing special use authorizations that require ongoing management administration and annual
billing.
21.04 – Responsibility
See FSM 5504 and FSM 5404.
21.1 – Land Subject to Conveyance
1. Some examples of qualifying improvements under 35 CFR 254.32 are buildings,
driveways, landscaped lawns, and developed subdivision lots. Dilapidated structures that should
be destroyed or those with minimal value that could easily be moved should not be considered as
qualifying.
2. Lands within the National Wilderness System, National Wild and Scenic Rivers
System, National Trails System, and National Monuments are excluded from conveyances under
this authority. (36 CFR 254.35).
21.22 - Special Considerations Applicable to Encroachment Cases.
An applicant will generally be considered to have had advance notice if:
1. The encroachment occurred across readily discernible NF boundary line, or
2. The applicant received written notice that their preliminary construction activities may
have been encroaching on NFS land. A certified mail notice is preferred. Exclusion based on
other factors will seldom be justified.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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FSH 5509.11 – TITLE CLAIMS, SALES AND GRANTS HANDBOOK
CHAPTER 20 – SALES
3. An application form for STA applicants can be found in 21.22 – Exhibit01. It can be
downloaded from the directives site on the internet and emailed or printed as needed. However,
the applicant must submit it to the Forest Service with original signatures.
21.23 - Action on Proposal
1. The Small Tracts Act Process Steps Checklist, 21.23 -Exhibit 01, is provided as a
means for tracking process steps to ensure a complete and orderly case file is assembled.
2. A short, descriptive narrative is acceptable in cases where the encroachment resulted
from a Forest Service survey error or actions that could reasonably be interpreted by others as an
indication of the true property line. Documentation for other proposals depends on the facts of
the particular case. All reports should include maps at appropriate scales to accurately show the
lands under application for sale or interchange.
3. The area subject to conveyance is limited to the area occupied or under use that also
conforms to local zoning. The only exception is straightening a meandering use line for
purposes of establishing an administratively acceptable boundary. The Small Tracts Act limits
the area to be conveyed by the United States to a maximum of 10 acres.
4. Land exchange will not be used as a method of resolution if the case qualifies as an
interchange, since interchange accomplishes the same objective in a more cost effective manner.
5. Cost reimbursement (does not include land value) is waived in cases resulting from
Forest Service error that mislead the applicant.
6. In all the other cases, the applicant is expected to pay for the customary items required
in private market transactions. These items include all reasonable administrative costs, appraisal
costs, title opinion costs, and survey costs. All other costs are to be covered by the United States.
A Collection Agreement will be prepared, negotiated, and executed (FSM 1584, FSH 1509.11, or
21.23 - Exhibit 02 in this supplement). The Agreements Coordinator should be notified. If the
applicant performs all the work, document this in a letter.
7. The Forest Supervisor or District Ranger will prepare the appropriate form of NEPA
documentation for the signature of the responsible official. Many of these cases may qualify for
categorical exclusions.
8. Forest Officers advise the responsible official whether the decision should be
immediately implemented or delayed for 45 days to allow time for possible appeals.
Public notice is not required unless STA land is to be sold by public sale.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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FSH 5509.11 – TITLE CLAIMS, SALES AND GRANTS HANDBOOK
CHAPTER 20 – SALES
21.5 – Property Valuation
1. The Regional Appraiser will make appraisals and valuation statements.
2. Improvements added by the applicant will not be included in the final value estimate.
Water front properties will be compared to sales of undeveloped water front tracts. Comparisons
should be made with the size class most prevalent in the market area.
3. Values estimated for special use fee determination and values estimated for Small
Tracts Act conveyances for the same property may differ. The value for special use fee
determination is based on the permitted use, whereas the small tracts value is the property value
determined by the highest and best use of typical comparable tract sales in the area.
21.51 – Approximate Equal Value
Valuation statements may be used to document findings of approximately equal value for
interchanges. This statement will address the items in 36 CFR 254.42 and be prepared by a
qualified appraiser. The applicant must signify acceptance of the value determination by signing
and dating the valuation statement.
21.9 - Reporting
1. Form. Completed form FS-5500-3 (Small Tracts Report), is required once the case is
closed.
2. National Data File. Use the following method to establish tract numbers for all Small
Tracts Act cases. The tract number is a 6-digit number, such as JA0191. The first two digits are
the first two letters of the applicant's last name or proper name in case of a city, borough, or
state. The third and fourth digits in this example represent the first case started in FY 1991; the
fifth and sixth digits represent the fiscal year the case was started. The second case started in FY
1991 would be numbered 0291, the third case 0391, and so forth. The first case started in FY
1992 would revert back to 01 and add the fiscal year "92" for a tract number of 0192, the second
case would be 0292, and so forth.
3. Completed Cases. Forest Supervisors shall submit individual case information for
completed cases to the Regional Forester, which includes the following:
1.
2.
3.
4.
5.
6.
7.
8.
Transmittal letter
Quitclaim Deed (recorded copy)
Survey plat, if applicable
Corporate/Signatory Authority, if applicable
Proof of Payment (Bill for Collection marked PAID)
Administrative Review Report with associated NEPA reports
Appraisal Waiver/Report
Eligibility Determination
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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FSH 5509.11 – TITLE CLAIMS, SALES AND GRANTS HANDBOOK
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9. Application
10. Proof of ownership of adjacent property
11. Collection Agreement, if applicable
12. Federal Land Status Report
13. Forest Service Hazardous Waste Report
14. HAZMAT Certificate signed by STA Proponent
15. Water Rights Information
16. Mineral Rights survey or certification (if needed)
The following items (17-20) need to be supplied after the case is closed and the deed is
recorded.
17.
18.
19.
20.
Proof of payment.
Deed recordation information.
Original recorded deed to the non-Federal land for interchanges.
Supplemental Certificate of Possession (5400-38).
26.04 – Responsibilities
The Regional Director of Recreation, Lands, and Minerals is hereby delegated the authority to
execute the duties listed in FSH 5509.11, section 26.04b, paragraphs a. through i. In the absence
of the Regional Director of Recreation, Lands, and Minerals, the Assistant Director of Lands
may carry out these duties. In the absence of both the Regional Director of Recreation, Lands
and Minerals, and the Assistant Director of Lands, the Regional Property Management Officer
may approve carry out those duties.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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FSH 5509.11 – TITLE CLAIMS, SALES AND GRANTS HANDBOOK
CHAPTER 20 – SALES
21.22 – Exhibit01
UNITED STATES
DEPARTMENT OF AGRICULTURE
FOREST SERVICE
SMALL TRACT ACT APPLICATION
Applicant wishes to acquire title to National Forest System lands under provisions of the
act of January 12, 1983 (96 Stat. 2535; 16 U.S.C. 521C).
1. Name of applicant(s):
2. Address:
name of applicant
address line 1
address line 2
City, State Zip Code
3. Contact Numbers: home: (xxx) xxx-xxxx
work: (xxx) xxx-xxxx
cell: (xxx) xxx-xxxx
4. Email (if available): username@provider.net
5. Applicant's proposal: Describe applicant's proposed acquisition or interchange in
detail. Include a map, photo, survey plat, or sketch with their proposal
6. Attach a copy of applicant's title document(s) to the claimed property.
7. Explain the reason for the encroachment. To the best of applicant's knowledge and
belief: Examples: results of an erroneous survey, title search or deed description. Or their survey
plat indicted their property boundary included part of this mineral survey fraction.
8. Applicant (or predecessor in title) first became aware of the encroachment on National
Forest System land on (Date) and State circumstances putting applicant on notice of
encroachment.
9. State date encroaching improvements were constructed.
10. Applicant understands that if this case is determined to be eligible for processing by
the United States, the applicant shall bear all reasonable costs of administration, survey, and
appraisal incidental to the conveyance.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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11. Applicant further understands that in consideration for a conveyance of lands the United
States may accept land, interest in land or cash, or any combination thereof, as payment for the
lands conveyed.
Signed this (day) day of (month), (year).
Signed: applicant's signature
Filed this (day) day of (month), (year), at (time) in the office of the (name) Ranger District,
(name) National Forest by
Signed: signature of Line Officer
Line Officer name (typed)
Title Line Officer (or other official)
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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21.23 – Exhibit01
Small Tracts Act
Process Steps Checklist
Applicant's Name
Case No. ________________
Ranger District,
T.
., R.
National Forest,
.,
State, ______
Meridian, Sec.
.
Process Step
1. Application received by Forest Officer.
2. Receipt of application acknowledged and applicant advised when
decision will be made on proposal. Additional information requested as
necessary.
3. Review application proposal, investigate history of case, and prepare a
Small Tracts Act report
4. Borderline or unique case documents and/or cost waiver requests sent to
Regional Forester for review.
5. Negotiate with applicant for a more suitable proposal—less acres,
interchange, and so forth, when necessary.
6. Investigate and obtain clearance on the following items from specialist:
a. Archaeology and Historic
b. Rare and Endangered Species
c. E.O. 22990 (Wetlands) and E.O. 11988 (Floodplain)
d. ANILCA Section 810
e. CZM
7. Prepare and execute Decision Notice and FONSI
8. Estimate costs for staff work to complete:
a. Survey - mark and post new boundaries, draft plat, and
description.
b. Appraisal.
c. Preparation and recording deeds.
d. Title Certificate or insurance policy for land to be acquired
(interchange).
Date Completed
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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9. Applicant notified that proposal is accepted or denied.
a. Denied - Follow instructions in FSH 5509.11, Section 21.23a.
b. Accepted - Follow instructions in FSH 5509.11, Section 21.23b.
10. Collection Agreement prepared, negotiated, and executed. If the
applicant is to perform all the work, document this in a letter.
a. Copy of Collection Agreement sent to Accounts Receivable Clerk.
b. Bill for Collection issued to applicant.
11. Payment for work to be performed by Forest Service received.
12. Preliminary Title Policy acquired for private land in interchange.
13. Survey, plat, and description completed, reviewed, and approved by
Forest Supervisor.
14. Appraisal or Statement of approximate equal value
determination completed, reviewed, and approved by Forest Service
15. Approximate equal value determination signed by the applicant in
interchange.
16. Deed(s) prepared.
17. Case documents sent to RO for review and execution of deed.
Items 18 through 22 pertain to Interchange.
18. Additional items to be submitted to RO for review.
a. Preliminary Title Insurance for private land.
b. Certificate of Possession (Form 5400-37).
c. Certificate of Use and Consent (Form 5400-29).
19. Acquisition Deed sent to applicant after preliminary title opinion has
been obtained.
a. Deed executed and acknowledged.
b. Executed deed to be received from applicant.
c. Deed to be recorded.
20. Conveyance Quitclaim Deed for National Forest System land will be
returned to the Forest Supervisor to do the following:
a. Delivered to applicant after receipt of acquisition deed and any
payments due.
b. Record (option of landowner).
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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21. Final Title Insurance for private land acquired and sent to RO with the
following:
a. Original and recorded Warranty Deed.
b. Supplemental Certificate of Possession (Form 5400-38).
22. Final Title Opinion secured.
23. Case reported by RO in National ADP System.
24. Copy of deed(s) transmitted by the RO to BLM State Office
25. Status posted.
26. Title file prepared.
27. Case closed.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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CHAPTER 20 – SALES
21.23 – Exhibit02
COLLECTION AGREEMENT
Agreement No.
Between
(Name and address of Proponent)
and
(District, Forest)
(Name) National Forest, USDA, Forest Service
THIS COLLECTION AGREEMENT made and entered into by and between (Name of
Applicant), hereinafter referred to as the Applicant, and the Forest Supervisor (Name) National
Forest, USDA, Forest Service, hereinafter referred to as the Forest Service, under provisions of
Public Law 97-465 (16 U.S.C. 521d).
WITNESSETH:
WHEREAS, the sale or interchange of a tract of land, within the (Name) National Forest, is
necessary to (resolve an encroachment/land-line dispute/improve effective land management);
and
WHEREAS, the Applicant is required to bear all reasonable costs of administration, survey,
marking and posting boundary, and appraisal incidental to the conveyance as provided in Public
Law 97-465 (16 U.S.C. 521f); and
WHEREAS it is also required that the work and/or documents needed for consummation of the
sale or interchange be performed or prepared in conformance with Federal standards for
conveyance of Federal land and acquisition of private lands.
NOW, THEREFORE, in consideration of the above premises, the parties agree as follows:
A. The Applicant Shall:
1. Make advance payment, in the amount of $
as established by the Forest service, to
be used for the cost of a metes-and-bounds survey, monumentation of the corners created or
remonumented, and preparation of description and plats/preparation and recording of deed(s)
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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title evidence of insurance policy for lands to be conveyed to the U.S. in an interchange, all of
which will be performed to existing Federal Government standards. 1/
2. Make advance payment, in the amount of $
, for an appraisal of the tract to be
conveyed. Such an appraisal will also conform to current appraisal standards and must be
approved by the Forest Service.
3. Make advance payment in the amount of $
interchange. 2/
, for an equal value determination for an
B. The Forest Service Shall:
1. Bill the applicant in one lump sum for the estimated cost of the above projects at least 30
days in advance of the anticipated need for the funds.
2. Deposit all cash received from the Applicant into the Forest Service Cooperative Work
Fund.
3. Upon receipt of payment from the Applicant, perform the project(s) agreed to above.
C. It is Mutually Agreed That:
1. All funds deposited to the Cooperative Work Fund will be used only for the projects
identified by the Forest Service as necessary for completion of the project. Any unobligated
funds left in this account upon completion of the conveyance or termination of this agreement
will be refunded to the Applicant.
2. No member of, or Delegate to, Congress or Resident Commissioner shall be admitted to
any share or part of this agreement, or to any benefit that may arise therefrom; but this provision
shall not be construed to extend to this agreement if made with a corporation for its general
benefit.
3. This agreement shall be effective upon execution by both parties hereto.
4. Either party may terminate the agreement by providing 60 days written notice. Unless
terminated by written notice, this agreement will remain in force until conveyance of the tract in
question.
5. The United States shall not be liable for any damage incident to the performance of work
under this agreement to any depositors or landowners who are parties to the agreement.
1/ Omit underlined clause or any item in it if applicant elects to perform them. An exhibit should
be attached to show how costs were calculated for collection.
2/ Use this clause for interchanges.
R-10 SUPPLEMENT 5509.11-2007-2
EFFECTIVE DATE: 10/26/2007
DURATION: This supplement is effective until superseded or removed.
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IN WITNESS WHEREOF, the parties hereto executed this agreement as of the last date written
below.
Date:
Applicant:
Date:
Forest Supervisor