Title 10 United States Code (USC) 2695 authorizes the collection of administrative expenses for certain real estate transactions. This authority allows administrative fees to be collected and credited as a reimbursement to the appropriation from which the expense is incurred. U.S. Army Corps of Engineers (Corps) reservoirs within the South Atlantic Division (SAD) began assessing administrative fees to cover administrative expenses for issuing licenses authorizing facilities and activities associated with the Shoreline Management Program in 2006. Shoreline Use Permit fees of $35 and fair market value fees (rent) have been collected since 1974. With Implementation of Division Regulation SADR 1130-1-15 dated 1 December 2015, Shoreline Management at South Atlantic Division Civil Works Projects, all new permits and licenses issued on or after 1 January 2016 are issued as separate documents; a permit for floating facilities and a real estate license to authorize certain land-based activities on Federal lands.
What: Revised Fee Schedule for real estate license administrative fees.
- Total cost to individuals is $835. The costs include a $35 fee for a Shoreline Permit (under 36 CFR § 327.31) and an $800 administrative fee for the Real Estate License.
- This is the first fee increase since 2006.
- Although the fee must be made in a single payment at the beginning of the process, the payment equates to a cost of $13.92/month or $167/year to the permit/license holders over the five-year term of the instruments.
- The fair market value fee will no longer be charged. These fees generally ranged from $20-$67 for each land based facility.
- Any modification request will result in issuance of a new permit/license at the full fee of $835.
Where: All SAD projects with a shoreline management program. Click on the link at right or below to find contact information for the lake that pertains to you. The new fee will apply to reservoirs and waterways in the following states:
Why: The increase in administrative fee reflects increased costs incurred by the government over the initial 2006 rate.
- Allows projects to meet acceptable levels of customer service and regulatory compliance to ensure good stewardship of public lands.
- Allows for investment in automated tools to improve timely and efficient license issuance and database maintenance consistently within the region.
- Implementation of this administrative fee increase ensures that the individual benefiting from the use of public property bears the cost incurred by the government for issuing these instruments.
When: Revised fee schedule goes into effect on 1 January 2020. The fee schedule will be implemented as below:
New License Holders A new license holder is defined to be an applicant that is requesting a real estate license for private facilities on government property where a real estate license or consolidated permit/license does not currently exist, or is requesting a change of ownership on an existing license. If the Corps receives all paperwork and payment from an applicant for a new license before close of business on December 31, 2019, the application will be processed under the current fee schedule. All applications for a new license received on or after January 1, 2020 will be processed under the new fee schedule.
Existing License Holders An existing license holder is defined to be an applicant that currently holds a real estate license or a consolidated permit/license for private facilities on government property and would be requesting to modify or renew their current license. The procedures provided below are applicable until the new fee schedule goes into effect on 1 January, 2020:
- Renewal –
- expiration date on or before 31 December, 2019: If the Corps receives all paperwork and payment from an existing license holder and that license is set to expire on or before December 31, 2019, the application will be processed under the current fee schedule and assigned a new five year term.
- expiration date on or after 1 January, 2020: Renewal notifications will be sent to license holders 90 day prior to expiration. If an office receives paperwork before this 90 day window, the entire package will be returned to sender with instruction to wait for renewal notice. Once inside the 90 day window, the license will be processed according to the new fee schedule and assigned a new five year term according to standard procedure.
- Modifications –
- expiration date on or before 31 December, 2019: If the Corps receives all paperwork and payment from an existing license holder and that license is set to expire on or before December 31, 2019, the modification will be addressed during their renewal process under the current fee schedule and assigned a new five year term.
- expiration date on or after 1 January, 2020: If the Corps receives all paperwork and payment from an existing license holder to alter or add land based facilities and that license is set to expire on or after 1 January, 2020, the application will be processed under the current fee schedule but will not be assigned a new five year term and shall maintain the existing expiration date.
Modification – future state: Any modification request after implementation date of 1 January, 2020 will result in issuance of a new real estate license according to the new fee schedule and assigned a new five year term.