New Jersey Administrative Code › Title 16 - TRANSPORTATION › Chapter 65 - TRANSPORTATION UTILITIES › Subchapter 4 - PETITIONS AND RIGHT OF FIRST REFUSAL › Section 16:65-4.5 - Petitions for the approval of the sale or lease of property

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Prior
				Department approval is not required when the sale, conveyance, easement, or
				lease is to the Federal government, the State, county, or municipality, or any
				State agency or authority for the purpose of public use.
(b) The sale, conveyance, or lease of real
				property or personal property located within the State of New Jersey, or the
				granting of an easement, or like interest therein, which has been dedicated for
				use by this chapter for a transportation utility, including an interstate or
				freight railroad that has abandoned a line pursuant to the Surface
				Transportation Board's regulatory procedures, shall have prior approval by the
				Department. Determinations shall be issued within 90 days after receipt of the
				completed petition for Department approval. The petition for Department
				approval shall contain the following information:
1. A description of real property, showing
				the location, by municipality and county, a metes and bounds or other adequate
				description including, but not limited to, tax lot and block descriptions and
				descriptions in prior deeds, and a description of personal property, including
				sufficient information to identify the property;
2. Name of transferee or lessee, the
				consideration or rental and method of payment thereof, and rights reserved by
				the transferror or lessor;
3. A
				copy of the written agreement if any. If there is no written agreement, the
				petition shall so state;
4. A
				certified copy of the resolution of the board of directors or other authority
				authorizing the conveyance or lease;
5. The purpose for which the property was
				originally acquired, the date of acquisition, the use made of the property for
				transportation utility purposes, the date when the circumstances under which it
				ceased to be useful for such purposes, the present use, the possible
				prospective use by the buyer or tenant, and the identity of the official or
				officials who determined that the property is not now or prospectively required
				or useful for transportation utility purposes;
6. The basis of the price or rental as
				determined by assessed valuation, appraisal, comparable sales, or other basis,
				and whether the consideration is the best attainable. The best attainable
				consideration is the fair market or comparable value as determined by the
				utility. Appraisals, if any, shall be included;
7. Whether the consideration or rental is, or
				is equivalent to, the fair market value or fair market rental value of the
				property;
8. How the property was
				marketed, and if bids were solicited, the names of bidders and the
				consideration or rental offered;
9.
				Whether the relationship between the parties is other than that of transferor
				and transferee or lessor and lessee, and if so, describe the
				relationship;
10. The cost of the
				property as of the date of acquisition, and the cost and description of any
				improvements made since acquisition;
11. The amount at which the property is now
				carried on the utility's books;
12.
				Copies of proposed journal entries to record the transaction when the
				consideration is more than $ 50,000;
13. If the property is income producing,
				include the carrying charges, taxes, and assessed valuation;
14. If the property is encumbered by a
				mortgage, describe the terms of the mortgage, state the amount of the
				obligation secured by the mortgage, and the time required to obtain a
				discharge, satisfaction or release of the mortgage;
15. When the property to be sold or leased
				involves the transfer of certificates, the petitioner shall comply with
				16:65-4.3, to the extent
				applicable;
16. If an advertisement
				is required by (c) below, include a copy of the advertisement and a proof of
				publication;
17. Railroads shall
				show the distance to the nearest railroad track or structure; and
18. If the property is a railroad and it is
				sold for non-railroad use, the applicant must provide proof of
				abandonment.