By: Dan Shaw, [email protected]//July 9, 2014//
Two members of the state Building Commission sent a letter to a top state official Wednesday reminding him of his duty to provide appraised values for state property that could be up for sale.
The letter referred to a state-budget provision that made the state Department of Administration responsible for identifying public buildings and other assets that might be sold and then using appraisals to determine the fair market value of those properties. The appraisal information, along with a list of properties, was to be submitted to the state Building Commission by July 1, according to the budget.
But the commission members received only the list, no appraisals. According to a letter to the commission dated June 30 and attributed to DOA Secretary Mike Huebsch, “Fair market value is not provided in this correspondence due to the complexity of such a determination as well as the negative impact premature disclosure of such information could have on any future negotiating process.”
In response, the offices of two Building Commission members, state Rep. Gordon Hintz, D-Oshkosh, and state Sen. Fred Risser, D-Madison, sent a letter Tuesday contending the failure to provide fair market values could hinder the state’s attempts to sell state assets using a “competitive and transparent process.”
The phrase “competitive and transparent” became a subject of dispute when lawmakers were writing the budget in 2013. Many critics, mostly Democrats, complained the language was too vague and asked for a requirement that public bidding be used.
According to the building commission members’ Tuesday letter, “Since the State has authority to negotiate sales without a public bidding process, it is essential that our ‘competitive and transparent process’ include disclosure of fair market value.”
A DOA representative could not be immediately reached for comment.
Among the assets Huebsch identified as candidates for sale were underused acres near the Hill Farms State Transportation Building on Madison’s west side and various heating and cooling plants throughout the state. The money raised from any sale would go toward the retirement of debt. Follow @TDR_WLJDan