OAR 736-007-0045: Conversion Requirements

The purpose of this rule is to provide requirements that County Opportunity Grant Fund recipients must meet for maintaining grant program-assisted sites and facilities in public outdoor recreation use. (1) Property developed with County Opportunity Grant Program assistance shall be retained and used for public outdoor recreation for a minimum of 25 years. (a) Property acquired with County Opportunity Grant Program assistance shall be retained and used for public outdoor recreation in perpetuity. (b) Leases for projects on federally owned property must be at least 25 years. If the current lease is within 5 years of termination, the department will require the project sponsor to provide a letter of intent to renew the lease from the federal agency. (2) Project sponsors must ensure that the land within the project boundary will be used only for park and recreational purposes, project sponsor controls or will control the land, and that the project sponsor will not change the use of, sell, or otherwise dispose of land within the project boundary as required in section (1), except upon written department approval. (3) If the project sponsor converts land within the project boundary to a use other than public outdoor park and recreation purposes or disposes of such land by sale or otherwise, project sponsor must provide replacement property within 24 months of either the conversion or the department or project sponsor’s discovery of the conversion. Replacement property must meet the following requirements: (a) The fair market value of the replacement property is of at least equal fair market value to that of the converted property, as established by an appraisal prepared in accordance with OAR 736-007-0030(4)(b); and (b) Replacement property is of reasonably equivalent usefulness and location as the property being converted or lost. (4) If replacement property cannot be obtained within 24 months, the project sponsor will provide payment of the grant program's prorated share of the current fair market value to the department. The prorated share is that percentage of the original grant (plus any amendments) as compared to the original project cost(s). (5) If conversion should occur through processes outside of the project sponsor's control, such as condemnation or road placement or realignment, the department will require the project sponsor to pass the prorated share of whatever consideration is provided to the project sponsor by the entity that caused the conversion through to the department. The monetary value of whatever consideration provided by the taking entity will normally consist of the fair market value of the property established by an appraisal. (6) Project Sponsors that have not addressed or submitted documentation to the department for review and remediation of an active conversion through the Local Government Grant Program or the County Opportunity Grant Program are not eligible to apply for County Opportunity Grant Program assistance. (7) Project sponsors who have addressed a conversion at the local level and have submitted documentation to the department, NPS, or both for review and approval of the conversion through the department’s recreation grants programs may apply for funding assistance.