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Surplus Property Policy

Real Property Services

Real Property Services manages all City-owned real property and rights of way. The City of Tacoma owns real property and rights of way in five counties in Washington State. All City property is acquired in order to provide services or for future expansion of services to our customers and residents.

 

City-owned real property includes, but is not limited to:

  • City buildings and operational facilities
  • Parks
  • Active and Passive Open Spaces
  • Tidelands
  • Libraries
  • Senior centers
  • Public assembly facilities and centers for performing arts
  • Utility property (ex. Substations, treatment plants)

City-owned rights of way include, but are not limited to:

  • Streets
  • Unimproved rights of way
  • Rail right of way
  • Utility corridors and rights of way
  • Trails
  • Sidewalks

Most City properties are necessary for municipal and/or utility operations. While some property may appear to be vacant or unused, there are most often uses on the site which are not visible. These include stormwater treatment and mitigation, tree canopy requirements, underground utilities and wetland preservation. Some also have future public purpose for services, such as utility expansions.

 

Surplus Property

The City’s only objective in owning real property is to use that property for public service or necessity. In the rare event we no longer need a property for public purpose, the City will declare that property surplus to our needs and may dispose of the property.

If a property is declared surplus, the City has policies and processes for disposition of both General Government and Tacoma Public Utility Properties.

 

The City has three established processes for disposing of City-owned real property:

  1. Direct negotiated disposition
  2. Request for proposal process
  3. Bid sale to the highest bidder

Having several tools for the disposition of City property gives the City useful options and flexibility when disposing of property to meet the needs of the City and community. Which process is used is determined by:

  • What funds were used to purchase the property (Utility funds vs other funds)
  • Land Use Designation
  • Assessed Value
  • Size of parcel
  • Significance of the real property to the City as a whole

All City real property must be sold for market value. However, there is an exception granted by Washington State for the purpose of affordable housing authorized under house bill 2382 (2017-2018 regular session).

 

General Government Surplus Real Property Policy

Tacoma Public Utilities Surplus Real Property Policy 

 

Frequently Asked Questions

 

What is the difference between Real Property and Right of Way?

Right of way is typically an easement over real property for purposes of utilities or public travel. Real property is parceled land.

 

The more formal definitions are:

  • The public right of way is typically an easement over the land of the abutting property owner. According to our TMC 8.30.020, public right of way includes the area of land, the right to possession of which is secured by the City for right-of-way purposes and includes the traveled portion of the public streets and alleys, as well as the border area, which includes, but is not limited to, any sidewalks, planting strips, traffic circles, or medians.
  • Real Property is parceled land.


The City has real properties that appear to be vacant, are these surplus?

No, they are not surplus. The City maintains non-surplus properties that are identified to be necessary for municipal and/or utility operations. While some property may appear to be vacant or unused, there are most often uses on the site, which are not visible. These include stormwater treatment and mitigation, tree canopy requirements, underground utilities and wetland preservation. Some also have future public purpose for services, such as utility expansions.

 

 

When does the City surplus real properties?

The City’s only objective in owning real property is to use that property for public service or necessity. In the rare event we no longer need a property for public purpose, the City will declare that property surplus to our needs and may dispose of the property.

 

 

What does “Surplus” mean?

The City uses the term surplus to describe property when there is no longer an identified, present or future need or use for the real property. It is rare for real property owned by the City to become surplus.


Does the City have a lot of surplus real property?

No. City properties are necessary for municipal and/or utility operations. While some property may appear to be vacant or unused, there are most often uses on the site, which are not visible. These include stormwater treatment and mitigation, tree canopy requirements, underground utilities and wetland preservation. Some also have future public purpose for services, such as utility expansions.

 

In the rare event we no longer need a property for public purpose, the City will declare that property surplus to our needs and may dispose of the property.

 

If a property is declared surplus, the City has policies and processes for disposition of both General Government and Tacoma Public Utility Properties.

 

Can the City give me real property for free?

The City must adhere to City, State and Federal regulations regarding the disposition of public property. The City is prohibited from gifting public funds. The only exceptions at law are transfers between government entities and transfers for affordable housing developments. For no cost transfers for affordable housing purposes, there are both legal and policy requirements which must be strictly adhered to in order to retain the property once it is transferred.

 

The City has three established processes for disposing of City-owned real property:

  1. Direct negotiated disposition
  2. Request for proposal process
  3. Bid sale to the highest bidder


Can I use City property for free?

It depends. The City owns properties that are used for libraries, public parks, campgrounds and walking trails are free for use by residents and visitors. The City also owns buildings that are open to the public for conducting City business, such as the Tacoma Municipal Building, Tacoma Recovery and Transfer Center and Tacoma Public Utilities Headquarters; services in these buildings are open during regular business hours for the public. Properties like the Tacoma Dome, the Convention Center, vacant land or office spaces require paid rental, lease or license. The majority of properties owned by the City are not available for public use as they are required for operational uses.

 

 



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