October 1, 2010
10 USC 2695, Chapter 159 (Appendix C) as amended by the Defense Authorization Act of 1998, Section 2813(a) enabled acceptance of funds to cover administrative expenses for the exchange of real property, the lease or license of real property, and the granting of an easement.
10 USC 2695(b) as amended by the Defense Authorization Act of 1999, Section 2813, enabled acceptance of funds to cover administrative expenses related to real property disposals.
The party benefiting from the real property transaction is responsible for the costs of that transaction. Administrative fees are all of the costs incurred by the Corps in the review, assessment, approval, and monitoring of a real estate transaction.
If there is no direct benefit to a U.S. Army Corps of Engineers project, the applicant is charged both the administrative fee and fair market value of the real estate or interest.
If there is a public benefit, but the applicant has a reasonable opportunity to generate income from the transaction, both the administrative fee and fair market value of the real estate or interest will be charged.
State, tribal, regional or local government agencies will be charged both the administrative fee and the fair market value for those transactions providing a public benefit with no direct benefit to a U.S. Army Corps of Engineers project.
Unless there is a mutual benefit to the government in disposal transactions, the recipient of the property will be charged an administrative fee and the fair market value of the real estate or interest.
EXCEPTIONS TO PAYMENT OF ADMINISTRATIVE FEES:
Other federal agencies will not pay administrative fees but may be required to complete a portion or all of the environmental diligence requirements.
Disposal actions not performed by the U.S. Army Corps of Engineers.
Encroachments when there is culpable negligence by the federal government.
Actions directed by special legislation that specifically state they will be at no cost to the grantee/recipient, or when funding is specifically provided from another source.
The application process has two phases.
The initial phase requires submission of an application and the initial fee. The application will be reviewed to ensure it is complete, the Corps will assess whether the property is available for the intended use, and the Corps will develop an estimate of the costs to complete the transaction. Payment of the initial phase fee is due when the application is made.
Payment of the second phase fee is due once the applicant is notified of the estimated cost for that phase. The second phase includes all of the reviews, analysis, coordination, and preparation required to complete the transaction.
A copy of the application is available here. (Application)
If you have any question regarding the administrative fee process, please contact the Walla Walla District Real Estate Division at (509) 527-7320 or by email at email@example.com