Resolve, Authorizing the Commissioner of Administrative and Financial Services To Enter into Long-term Ground Leases of Real Property and To Convey the Stone Buildings, the Administrative Building and the Center Building Formerly Occupied by the Augusta Mental Health Institute
Maine Legislature, Session 122, LD 1733
Committee: State and Local Government

Legislative Document 
No. 1733 
H.P.1241 
House of Representatives, January 3, 2006 
Resolve, Authorizing the Commissioner of Administrative and 
Financial Services To Enter into Long-term Ground Leases of Real 
Property and To Convey the Stone Buildings, the Administrative 
Building and the Center Building Formerly Occupied by the 
Augusta Mental Health Institute 
Submitted by the Department of Administrative and Financial Services pursuant to Joint 
Rule 204. 
Received by the Clerk of the House on December 28,2005. Referred to the Committee on 
State and Local Government pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint 
Rule 401. 
Presented by Representati ve BARSTOW of Gorham. 
Primed on recydet.l papt'r 
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MILUCENT M. MacFARLAND 
Clerk 
Sec. 1. Definitions. Resolved: That, as used in this resolve, the following terms 
have the following meanings. 
1. 
"Commissioner" means the Commissioner of Administrative and Financial 
Services. 
2. "State property" means the real and personal property described in sections 3 and 
of this resolve. 
For purposes of this resolve, the terms "lease" and "ground lease" are used 
interchangeably; and be it further 
Sec. 2. Authority to convey property. Resolved: 
That the State, by and 
through the commissioner, may: 
1. Enter into ground leases of the real property described in section 3; 
2. Convey title to the buildings described in section 4 subject to surrender to the 
State upon termination of the lease; and 
3. 
Negotiate, draft, execute and deliver any rights that, in the commissioner's 
discretion, may contribute to the value of a proposed lease or are essential to the 
operation of a building located on the leased property; and be it further 
Sec. 3. 
Property interests that may be leased. 
Resolved: 
That the 
commissioner may enter into ground leases for the following real property: 
the site 
formerly occupied by the Augusta Mental Health Institute on which stand the buildings 
known as the Stone Buildings, the Administration Building and the Center Building, 
together with such additional land and parking areas as may facilitate operation of the 
buildings and are not required by the State for operation of the East Campus 
The amount of land and the boundary of the state property leased or sold pursuant to 
this resolve must be determined by the commissioner, in the commissioner's sole 
discretion, to be in the best interest of the State. 
The state property may be leased for a term of up to 90 years in whole or in part, at 
the discretion of the commissioner, subject to such permits or approvals as may be 
required by law; and be it further 
Sec. 4. Buildings that may be conveyed. Resolved: 
That the following 
buildings may be conveyed: the Stone Buildings, the Administration Building, the Center 
Building and other buildings attached to or associated with the former Augusta Mental 
Health Institute complex. The buildings must be conveyed with restrictions on their use 
and subject to surrender to the State upon termination of the lease under section 3; and be 
it further 
Sec. 5. Property to be sold as is. Resolved: 
That the commissioner may 
negotiate and execute leases, ground leases and purchase and sale agreements upon terms 
the commissioner considers appropriate; however, the state property must be sold or 
leased "as is," with no representations or warranties. 
Title to the buildings must be transferred by bill of sale with no covenants and 
executed by the commissioner; and be it further 
Sec. 6. Exemptions. Resolved: That any lease pursuant to this resolve is exempt 
from any statutory or regulatory requirement that the property first be offered to the 
Maine State Housing Authority or another state or local agency; and be it further 
Sec. 7. Appraisal. Resolved: 
That the commissioner shall have the current 
market value of the state property determined by an independent appraiser. 
The 
commissioner may list the property for lease and buildings for sale with private real estate 
brokers, may solicit bids or proposals, may conduct a "Request for Qualification" process 
to select a developer or may enter directly into leases with tenants. The commissioner 
may reject any offers. 
The commissioner shall establish the rent and the terms of lease or sale. 
If the commissioner elects to solicit bids, proposals or qualifications, the 
commissioner shall publish notices sufficient to advertise the properties for lease and 
buildings for lease or sale. The commissioner may reject any bids; and be it further 
Sec. 8. Proceeds. Resolved: That any rental or lease proceeds that accrue to the 
State in excess of operating and capital costs must be deposited into the General Fund 
undedicated revenue account. 
Any proceeds from sale of the Stone Buildings, Administration Building and Center 
Building must be deposited into the Department of Administrative and Financial 
Services, Bureau of General Services capital repair and improvement account to be used 
for capital repairs and improvements as designated by the commissioner in the State's 
East Campus in Augusta as described in the Maine Revised Statues, Title 1, section 814, 
subsection 2, paragraph A; and be it further 
Sec. 9. Repeal. Resolved: That this resolve is repealed 5 years from the effective 
date. 
SUMMARY 
This resolve authorizes the Commissioner of Administrative and Financial Services 
to enter into long-term ground leases of the following sites and to convey the following 
buildings, subject to surrender to the State upon termination of the ground lease: the 
Stone Buildings, the Administration Building and the Center Building formerly occupied 
by the Augusta Mental Health Institute in Augusta.