Oregon Administrative Rules
Chapter 141 - DEPARTMENT OF STATE LANDS
Division 82 - RULES GOVERNING THE MANAGEMENT OF, AND ISSUING OF LEASES, LICENSES AND REGISTRATIONS FOR STRUCTURES ON, AND USES OF STATE-OWNED SUBMERGED AND SUBMERSIBLE LAND
Section 141-082-0300 - Subleasing and Assignment of Leases and Public Facility Licenses
Universal Citation: OR Admin Rules 141-082-0300
Current through Register Vol. 63, No. 9, September 1, 2024
(1) Subleasing
(a) The holder of a lease may not sublease
any portion of the authorized area without the prior written consent of the
Department, unless subleasing is specifically permitted under the lease or by
these rules. The Department may terminate a lease where any portion of the
authorized area has been sublet without the Department's written consent.
(b) Notwithstanding any provisions
in the lease to the contrary, the holder of a lease shall comply with the
process set forth below in subleasing any portion of an authorized area where
Department's consent is required by the lease or by these rules. In order to
sublease any portion of an authorized area where the Department's consent is
required, the holder must submit an application to the Department, on a form
provided by the Department, together with a copy of the proposed sublease for
review and approval and a non-refundable application fee of $750 payable to the
Department. The application, proposed sublease, and application fee must be
submitted to the Department no less than 60 calendar days prior to the date of
the proposed subletting.
(c) The
holder of a lease may grant a sublease to another person without prior consent
of the Department when:
(A) The lease
specifically authorizes subleasing without the Department's prior written
consent, or
(B) The sublease
authorizes use of less than the entire authorized area and the use allowed
under the sublease is included in the authorized use of the lease (for example,
the rental of boat slips).
(2) Assignment of a Lease:
(a) The holder of a lease shall not assign
the lease without the prior written consent of the Department, unless
assignment without the Department's consent is specifically permitted under the
lease or by these rules.
(b)
Notwithstanding any provisions in the lease to the contrary, the holder of a
lease shall comply with the process set forth below in assigning the lease
where the Department's consent to assignment is required by the lease or by
these rules. In order to assign a lease where the Department's consent is
required by the lease or by these rules, the holder of a lease must submit an
application to the Department, on a form provided by the Department, together
with a non-refundable application fee of $750 payable to the Department. The
application and application fee must be submitted to the Department no less
than 60 calendar days prior to the date of the proposed assignment.
(c) The Department may reject an application
for assignment of a lease if the Department determines, in its sole discretion,
that:
(A) The proposed assignee's financial
status or past business/management practices or experience indicates that they
may not be able to fully meet the terms and conditions of a lease;
(B) The proposed assignee is in default on
any other authorization granted to them by the Department.
(d) If the application for
assignment is approved by the Department, the Department shall prepare an
assignment form for the signature of the lessee, the proposed assignee, and the
Department. The assignment shall be effective on the date of signature by all
parties.
(e) As part of the
consideration for the Department's consent to the assignment, the Department
shall have the right to require amendment to the terms and conditions of the
lease prior to the assignment.
(f)
Lessee shall remain liable for the performance of all obligations under the
lease following assignment, unless the Department consents, in its sole
discretion and in writing, to release lessee from liability.
(g) To assign a lease to a spouse or child on
the death of the holder, the spouse or child must submit an application to the
Department, on a form provided by the Department. There is no application fee
associated with the assignment of a lease to the holder's spouse or child on
the death of the holder.
(3) Assignment of a Public Facility License
(a) The holder of a public facility license
shall not assign the public facility license without the prior written consent
of the Department, unless assignment without the Department's consent is
specifically permitted under the public facility license or by these rules.
(b) In order to assign a public
facility license where Department's consent is required by the public facility
license or by these rules, the holder of a public facility license must submit
an application to the Department, on a form provided by the Department.
(c) There is no application fee
required for an assignment of a public facility license to another public
agency.
(d) If the application for
assignment is approved by the Department, the Department shall prepare an
assignment form for the signature of the licensee, the proposed assignee, and
the Department. The assignment shall be effective on the date of signature by
all parties.
(e) As part of the
consideration for the Department's consent to the assignment, the Department
shall have the right to require amendment to the terms and conditions of the
license prior to the assignment.
(f) Licensee shall remain liable for the
performance of all obligations under the license following assignment, unless
the Department consents, in its sole discretion and in writing, to release
licensee from liability.
Stat. Auth.: ORS 183, 273, 274
Stats. Implemented: ORS 274
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