PROPERTY CONVEYANCE; JACKSON COUNTY H.B. 4135:

SUMMARY OF HOUSE-PASSED BILL

IN COMMITTEE

House Bill 4135 (as passed by the House)

Sponsor: Representative Sarah Lightner

House Committee: Appropriations

Senate Committee: Local Government

Date Completed: 10-21-25

CONTENT

The bill would allow the State Administrative Board to authorize the Department of Technology, Management, and Budget (DTMB) to convey a parcel of approximately 81 acres in Leoni Township in Jackson County from the Department of Corrections to Jackson County for $1. The property is the site of the former Dalton Road Landfill.

Further, if Jackson County did not opt to receive the property within two years, the DTMB could instead transfer the property through one of the following methods:

-- Competitive bid.

-- Public auction.

-- Use of real estate brokerage services.

-- Value-for-value conveyance for another property that maximizes value for the State.

-- Sale to a local unit of government.

-- Conveyance to a land bank.

If the property were conveyed for less than fair market value to Jackson County or another local unit of government, the bill would require that the terms of the conveyance abide by the following conditions:

-- The property would have to be used exclusively for a public purpose.

-- The DTMB would have to retain first right of refusal for repurchase of the property if the local unit of government intended to convey the property within one year of the transfer authorized under the bill; if the State did not exercise this right, the original recipient of the property would have to remit 100% of the difference in the price for which the original recipient received the property from the State and the price for which the original recipient sold the property.

Finally, the bill would require that any conveyance of the property would entitle the State to 50% of any oil, gas, or mineral revenue if such development were pursued on the property. The State also would retain rights to any aboriginal antiquities discovered on the site.

FISCAL IMPACT

The bill would have no direct fiscal impact on the State or local units of government, as the bill would not specifically require the property to be conveyed but rather allow such a conveyance. No current appraisal for the property exists, so it is unknown what the proceeds from sale of the property for fair market value could generate; however, the bill would specify that those proceeds be credited to the State General Fund.

Analyst: Josh Sefton

SAS\S2526\s4135sa

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.