3.0 HRSR 12-07-2015 - Laserfiche WebLink

Home Browse Search

RELEVANT LINKS: D. Real estate contracts with a city official Minn.Stat.§ 15.054. A city is specifically prohibited from selling city land to one of its officials. Minn.Stat.§471.87-.89. See also LMC information Likewise, conflict of interest statutes do not appear to allow a city council to memo official Conflict of contract for the purchase land from one of its council members. Interest. Minn.Stat.§471.88,subd.5. One exception to the conflict of interest law is for contracts that are not Minn.Stats.§471.345,subd. 2.Also see Part I-H-Lease- required to be competitively bid. This exception applies only to contracts for purchase agreements. goods and services, and real estate does not fall into these categories. Therefore, this exception does not apply. A.G.Op.469-a-12(Aug.30, The attorney general has also concluded that cities may NOT contract to 1961).A.G.Op.90-a-1(Sep. 28,1955). purchase land from or sell land to their city council members. See Part I-E-Eminent If a city must acquire land from one of its council members, it may need to domain. exercise its power of eminent domain. Cities should contact the League and their city attorneys for further information on eminent domain. E. Title encumbrances A city should thoroughly investigate land it will be acquiring for any possible title encumbrances(such as liens, deed restrictions, special assessments,unpaid taxes, etc.). A title search or title opinion will usually uncover these encumbrances. F. Competitive bidding Minn.Stat.§471.345,subd. Real estate sales and purchases are not included in the definition of 2. "contract"for the purpose of the competitive bidding law. Accordingly, buying and selling real estate usually does not require competitive bidding. A.G.Op.469-a-15(Feb. 18, The Attorney General has repeatedly concluded that competitive bidding is 1955).A.G.Op.469-a-15 (Jul. 16,1947).A.G.op.59- not required for the sale of real property,but has not considered the issue of a-40(Nov. 19,1946).A.G. land purchases. Op.59-a-40(Nov.26,1946). A.G.Op.622-j-3(Jun.3, 1975).A.G.Op.59-b-14 (May 1,1967). Some home rule charters may have competitive bidding requirements for land transactions. These cities may need to follow these provisions in order to sell real property. Home rule charter cities should check their city charters for such requirements. G. Getting permission to buy or sell land Generally, a city does not have to get permission from anyone, including residents, in order to buy or sell land. However,there are a few exceptions to this general rule. League of Minnesota Cities Information Memo: 1/22/2015 Purchase and Sale of Real Property Page 19