Policy Manual   University of North Texas

Classification                     Number: 10.3.2                        Page 1 of  2                Date Issued: 7/01

SUBJECT: REAL PROPERTY ACQUISITION-EMINENT DOMAIN

APPLICABILITY: TOTAL UNIVERSITY

1. The University of North Texas System Board of Regents ("Board" or "Board of Regents") has sole authority to exercise the power of eminent domain to acquire real property for the use of the components of the University of North Texas System (the "System").¹An eminent domain proceeding shall be initiated only upon direction of the Board and in accordance with state law. Title to each property condemned shall be held in a manner consistent with statutory authority in existence at the time of condemnation.

2. The Board of Regents shall identify all real property to be acquired through eminent domain proceedings on behalf of the University of North Texas (the "University") as dictated by the University's Master Plan, unless otherwise specified.

3. Costs incurred relating to condemnation of real property will be charged to the University unless otherwise specified by the Chancellor of the University of North Texas System.

4. The following factors shall be considered and procedures followed in conjunction with the acquisition of property by eminent domain on behalf of the University:

a. All activities involving the condemnation of real property shall be consolidated in and coordinated by the Office of Vice President for Administrative Affairs.

b. Survey and title policy will be provided at the time of acquisition.

c. After Board approval of the acquisition, endorsement or approval of the acquisition shall be obtained by the Texas Higher Education Coordinating Board ("Coordinating Board"), if necessary, as required by state law and regulations.^2,3 Request for endorsement or approval shall comply with rules promulgated by the Coordinating Board.⁴

d. All acquisitions by condemnation, excluding acquisition of mineral interest, will be supported by two appraisals. The Office of the Vice President for Administrative Affairs will determine the type of appraisal to be conducted based upon the complexity of the subject. Minimum certification requirements will be in accordance with rules promulgated by the Coordinating Board.⁵

e. Interest in real property with restrictive covenants or other deed restrictions will not be acquired if such encumbrances could reasonably result in a loss or derogation of the System's title in the property, except in circumstances deemed reasonable by the Board.

f. All real property to be condemned must be inspected, or caused to be inspected, by the Vice President for Administrative Affairs or his/her appointee prior to board approval. An environmental audit shall be conducted in an effort to minimize liability. At a minimum, the audit will make reasonable inquiry into the previous ownership and uses of the property consistent with good commercial or customary practice.

g. Legal forms and documents for all transactions related to the exercise of eminent domain shall be reviewed and approved for legal form and sufficiency by the Office of the Vice Chancellor and General Counsel. Legal documents shall be reviewed and filed by the Office of Attorney General as required by state law.

h. Recommendations from the following officials are required before submission to the Board:

i. Vice President for Administrative Affairs
ii. President of the Institution
iii. Chancellor

i. After closing, a "Property Acquisition Information Sheet" is completed and submitted to the Office of Purchasing and Payment Services along with a file containing all pertinent information covering the transaction. The permanent file will be stored in the Office of Purchasing and Payment Services - Property and Inventory. The Office of Purchasing and Payment Services will be responsible for any prior taxes due after closing.