RULES AND REGULATIONS

BOARD OF LAND COMMISSIONERS

Chapter 4

Grazing and Agricultural Leasing

TABLE OF CONTENTS

Section 1. Authority 4-1

Section 2. Definitions 4-1

Section 3. Lease Purposes 4-1

Section 4. Term of Leases 4-1

Section 5. Applications 4-2

Section 6. Rentals 4-2

Section 7. Assignments 4-3

Section 8. Subleases and Other Contracts 4-4

Section 9. Security Interests in Lease 4-4

Section 10. Improvements 4-4

Section 11. Cancellation 4-4

Section 12. Payment for Weed and Pest Control 4-5

Section 13. Surface Impact Payments 4-6

RULES AND REGULATIONS

BOARD OF LAND COMMISSIONERS

Chapter 4

Grazing and Agricultural Leasing

Section 1. Authority

(a) This chapter is promulgated under the authority of W.S. 36‑2‑107.

Section 2. Definitions

As used in this chapter:

(a) "AUM" means an "animal‑unit‑month," which is equivalent to the quantity of forage necessary to sustain one cow and one calf for one month.

(b) "Board" means the Board of Land Commissioners.

(d) "Office" means the Office of State Lands and Investments.

(e) “Parity Ratio” means a measure of price received for agricultural products divided by the parity index. The parity ratio is an indication of the per unit purchasing power of agricultural commodities generally in terms of the goods and services currently bought by agriculturalists, in relation to purchasing power of agricultural products in the 1910 - 1914 base period.

(f) “Surface impact payment” means money paid by a user of state lands in compensation for potential negative impacts to the fee simple or leasehold estate, including, but not limited to, destruction of forage, disruption of grazing, agricultural, or commercial operations, nuisance, inconvenience, and for incidental use of the land surface.

(g) "Vacant land" means land not currently subject to a grazing and agricultural lease from the Board.

Section 3. Lease Purposes

(a) The Board may lease suitable state land for the grazing of livestock, production of crops, or other agricultural purposes under the provisions of this chapter.

Section 4. Term of Leases

(a) Leases for grazing or agricultural purposes shall be for a term of ten years, unless a shorter term is designated in special circumstances by the Board.

Section 5. Applications

(a) Forms. All applications to lease lands for grazing or agricultural purposes shall be made on forms furnished by the Office. Application forms must be completed in full. Any false or incomplete statement willfully made that materially affects the application will be considered as fraud, deceit, or misrepresentation and shall be cause for the rejection of the application.

(b) Signature. If an application is signed by a party other than the lessee, the legal instrument authorizing such signature, e.g., power of attorney, letters of administration, letters testamentary, final decree of distribution, etc., together with the required filing fee must accompany the application.

(i) For land under an expiring lease, applications shall be accepted for a period of 90 days prior to the expiration of the lease. If the expiration date falls on Saturday, Sunday or legal holiday, applications shall be accepted on the following workday. At least 90 days prior to the expiration of a lease, the Office shall mail a lease application form to the lessee or his authorized agent.

(ii) Specific filing periods for particular tracts of vacant land may be established by advertisement. Otherwise, applications to lease vacant land shall be accepted at any time. Applications received during an advertised filing period shall be considered "conflicting applications" under the provisions of subsection (d) of this section.

(d) Conflicting applications. If two or more applications to lease the same land for grazing and agricultural purposes are filed within the filing periods established in subsection (c) of this section, they shall be considered to be in conflict and shall be handled under the provisions of W.S. 36‑3‑102, 36-5-105, and 36-5-108 and Chapter 1 of these rules.

Section 6. Rentals

(a) The annual rental for all leases shall be:

(i) The amount bid by the applicant, if accepted by the Board, or

(ii) As set by the Board as part of its decision in a case of conflicting applications.

However, in no event shall the annual rental be less than the minimum rate established in subsection (b) of this section.

(b) The minimum annual rental shall be:

(i) For grazing land, as established by formula as follows:

Private land lease rate on a per AUM basis, average for the five years preceding the current year, as estimated by the Wyoming Agricultural Statistics Service; times the five year weighted average “parity ratio” for beef cattle per cwt. as established by the National Agricultural Statistics Service as an adjustment for changing resource conditions, market demand and industry viability; less 20% to reflect contributions made by the lessee.

(ii) For hay and dry cropland, the average production shall be converted to AUM's and assessed at the rate established in paragraph (i) of this subsection.

(iii) Rental for irrigated cropland shall be based on fair market value for the same or similar use of the land, less the value of lessee’s interest in the irrigation system and improvements, as determined by an economic analysis.

The Board shall review the above minimum annual rental determinations on an annual basis.

(c) All rental rates are subject to change upon reappraisal, reclassification of the land, or change in the minimum annual rental in subsection (b) of this section.

(d) Upon notice provided not less than thirty (30) days prior to the anniversary date of a lease, all rentals accruing to the state, except those for the first year, shall become due and payable at the Office on the anniversary date of the lease. If the rent is not paid on the anniversary date, the Director shall notify the lessee or his authorized agent by certified mail that the lease will be canceled if the rent and a late fee equal to ten percent (10%) of the annual rental is not received within thirty days following the date of the notice. The Director shall prepare an informational board matter pursuant to Chapter 1. If the lease is canceled, the Director shall as soon as possible, thereafter, advertise the lands in the county where located, as vacant and subject to lease.

Section 7. Assignments

(a) Any grazing or agricultural lease assigned without the approval of the Director, is subject to cancellation. Lessees shall request approval of assignments, pursuant to W.S. 36‑5‑105(b), on a form provided by the Office. The Director shall prepare an informational board matter pursuant to Chapter 1.

(b) If a request for approval of an assignment is signed by a party other than the lessee, the legal instrument authorizing such signature must accompany the request.

Section 8. Subleases and Other Contracts

(a) Any grazing and agricultural lease is subject to cancellation if the lessee subleases the leased premises or enters into any contract or agreement of any kind concerning the leased premises, except "price support and production adjustment" contracts of the Farm Service Agency, without the approval of the Director. Lessees shall request approval of subleases or other contracts, pursuant to W.S. 36‑5‑105(b), by submitting a copy of the sublease or other agreement to the Office. The Director shall prepare an informational board matter pursuant to Chapter 1.

(b) If the annual rental under a sublease agreement is a share of production, the lessee shall report annual production to the Office on a form furnished by the Office. The Office shall calculate the additional rental due.

Section 9. Security Interests in Leases

(a) Whenever a security interest in a leasehold is created or released, the secured party shall notify the Office on a form provided by the Office.

Section 10. Improvements

(a) Lessees shall request permission to construct or make improvements in excess of $2,000.00 in value per section by submitting to the Office a completed application form furnished by the Office.

(b) The Director shall have authority to grant permission to construct improvements in excess of $2,000.00 per section for fencing, water development, livestock handling facilities and range enhancements. However, any improvement, regardless of value, which will restrict existing public access or alter existing multiple use of the lands must be approved by the Board. The Director shall prepare an informational board matter pursuant to Chapter 1.

(d) Any applicant applying to lease state land shall pay to the Director the contributory value of improvements of any kind authorized under Section (b) of this section or the owner of the improvement may upon giving notice to the Director, in writing, remove only those improvements, within a 120 day period, which will not cause injury to the land.

Section 11. Cancellation

(a) The Office shall investigate any allegation of fraud, deceit, or misrepresentation in the procurement of leases and shall monitor all leases for violations of lease covenants. When grounds for cancellation exist under W.S. 36-5-113 or the terms and provisions of the lease, the Director shall request that the Board cancel leases under the procedure at Chapter 1, Section 9, of these rules.

Section 12. Surface Impact Payments

(a) Anyone desiring to enter upon the leased premises shall contact the lessee prior to entry, unless otherwise provided in subsection (c) of this section.

(b) For all entries, the lessee may negotiate a surface impact payment provided that any payment is consistent with payments for impacts to adjacent lands. By separate checks or money orders, the payor shall remit the lessee’s share of the surface impact payment directly to the lessee and the Board’s share of the surface impact payment directly to the Office, in accordance with the following schedule:

(i) For the first five thousand dollars ($5,000), the lessee’s share shall be forty percent (40%), and the Board’s share shall be sixty percent (60%).

(ii) For that portion of a payment exceeding five thousand dollars ($5,000), through ten thousand dollars ($10,000), the lessee’s share shall be thirty percent (30%), and the Board’s share shall be seventy percent (70%).

(iii) For that portion of a payment exceeding ten thousand dollars ($10,000), the lessee’s share shall be twenty percent (20%), and the Board’s share shall be eighty percent (80%).

(iv) For annual payments, the lessee’s share shall be twenty percent (20%), and the Board’s share shall be eighty percent (80%). For purposes of this section, “annual payments” means any portion of a surface impact payment remitted subsequent to the initial remittance on periodic basis, regardless of the length of the period.

(i) The Board and its representatives when entering for purposes of management or administration of state lands.

(ii) Members of the public when entering for purposes of hunting and fishing and casual recreational use pursuant to the provisions of Chapter 13 of these rules.

(iii) Applicants for, or holders of, an easement issued under Chapter 3 of the Board’s rules.

(iv) Applicants for, or holders of, a temporary use permit issued under Chapter 14 of the Board’s rules.

(d) If the person desiring entry upon state lands is unable to reach an agreement with a lessee regarding a surface impact payment after having negotiated with the lessee in good faith for a period of ninety (90) days, the person desiring entry or the lessee may submit evidence to the Office to establish the surface impact payment.

(i) The evidence will be analyzed by the Director, whereupon, the

Director will enter an order establishing the surface impact payment and recommend the decision to the Board for final approval.

(ii) Either party may appeal the Director’s decision. The petition shall be treated as a contested case pursuant to W.S. 16-3-107 et seq. A hearing officer shall preside over the contested case hearing and make a recommended decision. The decision of the Board establishing the surface impact payment shall constitute final agency action.

(iii) The person desiring entry may immediately enter the state lands while negotiations with the lessee are proceeding, upon providing the Office with a deposit for the surface impact payment in an amount determined by the Office. When the Director enters an order establishing the surface impact payment, the Office shall forward the lessee’s share of the surface impact payment to the lessee and return any excess money on deposit to the petitioner, without interest.

(iv) The costs of the contested case hearing, including hiring a hearing officer, shall be paid in equal shares by the person desiring entry and the lessee.

RULES AND REGULATIONS

BOARD OF LAND COMMISSIONERS

Chapter 4

Grazing and Agricultural Leasing

TABLE OF CONTENTS

Section 1. Authority 4-1

Section 2. Definitions 4-1

Section 3. Lease Purposes 4-1

Section 4. Term of Leases 4-1

Section 5. Applications 4-2

Section 6. Rentals 4-2

Section 7. Assignments 4-3

Section 8. Subleases and Other Contracts 4-4

Section 9. Security Interests in Lease 4-4

Section 10. Improvements 4-4

Section 11. Cancellation 4-4

Section 12. Payment for Weed and Pest Control 4-5

Section 13. Surface Impact Payments 4-6

(iii) Applicants for, or holders of, an easement issued under Chapter 3 of the Board’s rules.

(iv) Applicants for, or holders of, a temporary use permit issued under Chapter 14 of the Board’s rules.

(ii) The evidence will be analyzed by the Director, whereupon, the

Director will enter an order establishing the surface impact payment and recommend the decision to the Board for final approval.

(iv) The costs of the contested case hearing, including hiring a hearing officer, shall be paid in equal shares by the person desiring entry and the lessee.

RULES AND REGULATIONS

BOARD OF LAND COMMISSIONERS

Chapter 28

Weed and Pest Control Program

TABLE OF CONTENTS

Section 1. Authority...................................................................... 28-1

Section 2. Definitions................................................................... 28-1

Section 3. General....................................................................... 28-2

Section 4. Payment for Weed and Pest Control............................. 28-2

Section 5 Payment under Special Management Project................. 28-3

RULES AND REGULATIONS

BOARD OF LAND COMMISSIONERS

Chapter 28

Weed and Pest

Section 1. Authority

This chapter is promulgated under the authority of W.S. 36-2-107

Section 2. Definitions

As used in this chapter:

(a) “Board” means the Board of Land Commissioners.

(b) “Director” means the Director of the Office of State Lands and Investments.

(d) “Control” means the process of containing and limiting weed and pest infestations.

(e) "Designated List" means the list defined by W.S. § 11-5-102 (a)(x), if approved by the Board and on file with the Office.

(f) "Designated noxious weeds" means the weeds, seeds or other plant parts that are considered detrimental, destructive, injurious or poisonous, either by virtue of their direct effect or as carriers of diseases or parasites that exist within this state, and are on the designated list.

(g) "Designated pests" means animals or insects which are on the designated list considered detrimental to the general welfare of the state.

(h) "District" means any county weed and pest control district.

(i) “EDRR” means Early Detection Rapid Response. EDRR may be utilized for control of noxious weeds and/or pests that are not known to exist in Wyoming, or if found in Wyoming are found in limited, isolated, or recently introduced infestations.

(j) “SMP” means Special Management Program. Criteria as defined in W.S. 11-5-301 et seq.

Section 3. General

(a) Pursuant to W.S. 11-5-101 et seq., landowners are required to control noxious weeds or pests on their land.

(b) Holders of Grazing Leases, Special Use Leases, Mineral Leases, Easement Holders and other permit holders on state lands are required, by contract, to participate in the control of designated noxious weeds and pests.

(c) Payments from the state, for control of noxious weeds and pests on state lands, shall be made on a reimbursement basis only and following receipt of applicable invoice(s) and a completed Request for Reimbursement form. Reimbursement payments shall be made to Districts only and shall not be made to state lessees.

(d) Leafy spurge and SMP’s formed with state land included shall receive priority for available funding.

Section 4. Payment for Weed and Pest Control

(a) Lessees of state land must work through the local Weed and Pest Control District to be eligible for assistance with control of designated noxious weeds and pests on state land.

(b) Districts may apply to the Office for reimbursement of certain costs of eradication and control of designated noxious weeds and pests on state land. To be eligible for reimbursement, the Office must approve the control project and estimated cost of treatment prior to implementation. Subject to available funding, reimbursement for control shall be made for the following:

(i) Leafy spurge (Euphorbia esula), up to the total cost of the project implemented on state land.

(ii) EDRR weeds and pests, up to the total cost of the project implemented on state land.

(iii) Russian-olive (Elaeagnus angustifolia), Saltcedar (Tamarix ramosissima), and Prairie dog (Cynomys, spp.),

(A) For chemical applications - the cost of materials and fifty (50) percent of application costs incurred on state land. Lessees of state land shall pay the remaining fifty (50) percent of the cost associated with chemical control measures.

(B) For mechanical or biological control measures - fifty (50) percent of the total cost incurred on state land. Mechanical and biological control measures must be pre-approved by the Office. Lessees of state land shall pay the

remaining fifty (50) percent of the cost associated with mechanical and biological control measures.

(iv) For all other noxious weeds and pests, the cost of materials only. Lessees of state land shall pay the application cost for control measures implemented on state land.

(v) For vacant state lands, up to the total cost of the project.

Section 5. Payment under SMP

Districts may form a SMP pursuant to W.S. 11-5-301. The Office shall participate in the SMP subject to available funding. Reimbursement shall be made for the total cost of treatment and control of designated noxious weeds and pests on state land treated within the SMP.