Disposal and Sale of Land

BY-LAW Number: 
2003-042
Summary: 

 

BEING A BY-LAW TO REPEAL BY-LAW 95-5 AND TO

ESTABLISH A PROCEDURE GOVERNING THE SALE OF LAND

BY THE TOWN OF COLLINGWOOD


 

 

WHEREAS Section 268 of the Municipal Act, S.O. 2001, as amended, provides that every municipality and local board with authority to sell land shall pass a by-law establishing procedures, including the giving of notice to the public, governing the sale of land;
 
AND WHEREAS Section 10 of the Act provides that a by-law under the Municipal Act may be general or specific in its application and may differentiate in any way and on any basis a municipality considers appropriate;
 
NOW THEREFORE the Council of The Corporation of the Town of Collingwood hereby enacts as follows:
 
1.        DEFINITIONS
 
In this By-law,
 
a)       "Act" means the Municipal Act, S.O. 2001, as amended;
 
b)       "appraisal" means an opinion of the fair market value;
 
c)       "Council" means the Council of The Corporation of the Town of Collingwood or a Standing Committee of Council delegated responsibility for municipal property matters;
 
d)       "newspaper" means a printed publication in sheet form, intended for general circulation to all or part of the Town of Collingwood, published at regular intervals, consisting in part of news or articles of general interest to the public.
 
e)       "published" means published in a newspaper that, in the opinion of the Clerk, has such circulation within the Town of Collingwood as to provide reasonable notice to those affected by, or interested in the land sale, and "publication" has a corresponding meaning;
 
f)       "surplus land" shall mean any land of the Town of Collingwood declared surplus under this By-law; and
 
g)       "Town" shall mean The Corporation of the Town of Collingwood.
 
2.      DECLARATION OF SURPLUS LAND
 
Before selling any land, Council shall, by a resolution or by-law, declare the land to be surplus to the needs of the Town.
 
3.        PROCEDURE FOR SALE OF SURPLUS LAND
 
3.1      Prerequisites for Sale of Land
 
3.1.1 Appraisal
 
Before selling any surplus land, the Town shall:


a)      obtain an appraisal of the fair market value of the land from:
 
i.   an independent qualified appraiser who shall be a registered member in good standing of the Appraisal Institute of Canada, or
ii.   a real estate brokerage firm or an independent real estate agent, or
iii. any other person deemed by the Town to be qualified for this purpose, including a qualified land assessor in the Province of Ontario.
 
b)       Notwithstanding the above, the Town shall not be required to obtain an appraisal with respect to the sale of any class of land, or sale of land to any public body exempt exempt from the requirement under any provisions of the Act, including:
 
i.   land 0.3 metres or less in width acquired in connection with an approval or decision under the Planning Act.
ii.   Closed highways if sold to an owner of land abutting the closed highways.
iii.  land formerly used for railway lines if sold to an owner of land abutting the former railway land.
iv.  land that does not have direct access to a highway if sold to the owner of land abutting that land.
v.  land repurchased by an owner in accordance with section 42 of the Expropriations Act.
vi.  land sold under sections 107, 108 and 109 of the Act.
vii.Easements granted to public utilities or to telephone companies. A municipality.
vii.A local board, including a school board and a conservation authority. The Crown in right of Ontario or Canada and their agencies.
viii. Any land sold to a local board, including a school board, and a conservation authority, the Crown in right of Ontario, or Canada, and their agencies.
 
3.1.2  Notice
 
Before selling any surplus land, the Town shall give Notice to the public of the proposed sale.  Notice shall be published not less than twenty (20) days prior to the date of the Council meeting at which it is intended that the proposed sale be considered by Council.  Additional Notice, including publication in newspapers which provide regional coverage within or beyond the geographic area of the County of Simcoe, shall be at the discretion of Council.
 
The Notice include the following:
a)       A brief description of the purpose of the sale;
 
b)       The date, time and location of the meeting where Council will consider the land sale;
 
c)       A legal description, municipal address and/or key map which in the opinion of the Clerk is sufficient to identify the lands to be sold;
 
d)       When and where information pertaining to the land sale will be available for public viewing; and
 
e)       Name and contact information of the person handling the land sale and/or the deadline for any written submissions to the Town.
 


3.1.3 Survey
 
Before selling any surplus land, the Town shall obtain a survey of the land from an independent surveyor in accordance with the laws of the Province of Ontario. Council may, by resolution, waive the requirement for a survey, if an existing survey is available.
 
3.1.4 Other Approvals
 
Before selling any surplus land, the Town shall obtain approval from any other agencies, as required by law.
 
3.2      METHOD OF SALE
 
Council shall determine the appropriate method of sale, and depending on the method, determined by Council, the following procedures shall be followed:
 
3.2.1 Tender or Quotations
 
Where the method of sale is by Tender or Quotations, the Town shall:
 
a)       estimate the costs incurred or required to dispose of the surplus land including appraisal, public notice, survey, legal fees, encumbrances, improvements or such other costs associated with the land sale;
 
b)       determine a reserve bid amount based on the appraised value plus estimated costs above;
 
c)       prepare an Invitation to Tender or Request for Quotations which shall be reviewed by the Chief Administrative Officer before publication;
 
d)       include in all Invitations to Tender or Request for Quotations the statement that "the highest or any offer may not necessarily be accepted"; and
 
e)       give notice by way of posting on the Town Website and publishing at least one (1) newspaper not less than twenty (20) days prior to the date when the Tenders or Quotations will be considered by Council.
 
Council reserves the right to accept a Tender or Quotation less than the reserve bid amount where, in the opinion of Council, it is in the best interests of the Town to do so.
 
3.2.2 Real Estate Firm or Broker
 
Where the method of sale is by way of a listing with real estate firm or broker, the Town shall:
 
a)       invite proposals from not less than three (3) Real Estate Firms or Brokers operating in the Town or part of the Town. Said proposals to include a recommendation to Council on the listing price based on an evaluation of the fair market value of the surplus land, the proposed term of the listing agreement, services to be provided and the real estate commission payable by the Town;
 
b)       ensure that the real estate agent posts at least one "For Sale" sign at the subject property including the name of the firm or broker and telephone number;
 
c)       ensure that the real estate agent lists the land for sale on the Multiple Listing Service;
 
d)       ensure that all prospective purchasers are made aware that the highest or any offer may not necessarily be accepted; and
 
 
e)    have all Offers to Purchase submitted to the Clerk for presentation to Council.
 
Council reserves the right to adjust the listing price in consultation with the listing agent and/or accept an offer to purchase less than the listing price where, in the opinion of Council, it is in the best interests of the Town to doso.
 
3.2.3 Sale of Closed Highway
 
Where the surplus land is a highway closed or being closed under the provisions of the Municipal Act, the Town shall:
 
a)       estimate the costs incurred or required to close and/or sell the highway including public notice, survey, legal fees, encumbrances, improvements or such other costs associated with the land sale;
 
b)       determine a sale price based on the value of the land plus estimated costs above. The Town may, at its sole discretion, place a nominal value on land where the purpose of the road closure and sale is to resolve a long standing encroachment on the highway or to bring a pre- existing building into compliance with the Town zoning by-law. Where the purpose of the proposed road closure and sale is to permit development of the lands either as part of an application under the Planning Act or the Building Code Act, the Town shall determine the value of the lands in a manner consistent with Section 3.1.1 of this By- law;
 
c)       give notice in the same time, form and method as set out in the Notice Procedures By-law, or such other By-law as Council may pass from time to time, for the purpose of giving notice of the permanent closure of a road under the Municipal Act. Where the sale of the road is being carried out in conjunction with the road closure, the Notice of Intent may be issued for both purposes provided that the form of the notice references both the closure and sale of the highway; and
 
d)       establish any special terms or conditions of the sale.
 
Council may reserve the right to adjust the sale price where, in the opinion of Council, it is in the best interests of the Town to do so.
 
3.2.4 Alternate Method
 
Where an alternate method of sale is used, Council shall provide for:
 
a)       a determination of the sale price based on the appraisal of the land value and any costs associated with the proposed method of sale;
 
b)       the method of publicnotice;
 
c)       where, when and who will receive the offers or bids; and
 
d)       any terms and conditions of the sale
 
Council may reserve the right to adjust the sale price where, in the opinion of Council, it is in the best interests of the Town to do so.
 
3.3      CLOSED SESSION
 
All tenders, quotations or offers to purchase surplus lands shall be presented to Council in Closed Session for deliberation unless Council directs Staff to negotiate the sale within certain terms, or an alternate method of sale approved by Council provides otherwise.
 
3.4      NO FURTHER NOTICE REQUIRED
 
If a final decision is not made at the Council meeting specified in a notice given under this By-law and Council defers consideration of the matter to a future meeting or refers the matter to future Councilor Committee meeting for discussion, no further notice is required provided that a resolution is passed to defer or refer the matter to a later meeting as specified. The provisions of this section shall also apply to any further deferrals or referrals of the matter, including a Committee recommendation to pass the By-law.
 
Notwithstanding the above, a land sale shall not be invalidated on the basis that Council or Committee failed to pass a resolution or a resolution failed to specify to which meeting the matter was referred or deferred provided that a public statement was made of the Town's intent to continue its deliberations on the matter.
 
4.        CLASSES OF PROPERTY EXEMPT FROM PROCEDURES
 
4.1    The provisions of Section 3 of this By-law shall apply to all classes of land owned by the Town, save and except:
 
a)       the sale of lands for the arrears of taxes which shall be subject to the procedures set out in Part XI of the Act;
 
b)       the sale of lands under the Expropriations Act; and
 
c)       the sale of the classes of land exempted under Section 268(10) of the Act as follows:
 
i.        land sold under Section 110 of the Act;
 
ii.       land to be used for the establishment and carrying on of industries and industrial operations and incidental uses.
 
5.           AUTHORIZING BY-LAW   
 
Any sale of land by the Town shall be ratified by a by-law authorizing the sale.
 
6.        CERTIFICATE OF COMPLIANCE
 
6.1      The Clerk shall issue a certificate with respect to a sale of land by the municipality verifying that to the best of his or her knowledge the requirements of the Act and this By-law which apply to the sale of land have been complied with.
 
6.2    The Clerk's Certificate shall be included in a deed or transfer of land and, unless a person to whom the land is sold has notice to the contrary, shall be deemed to be sufficient proof that this section has been complied with.
 
7.        CONFLICT WITH ACTS & REGULATIONS
 
a)       In the event the provisions of this By-law are inconsistent with the provisions of the Act, its Regulations or any other Act, the provisions of the Act or Regulation shall prevail.
 
b)       All by-laws and policies inconsistent with the provisions of this By-law are hereby repealed.
 
ENACTED AND PASSED this  20th  day of  May, 2003.
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03-42-Land Disposal.pdf1.37 MB