2015 Minimum Damage Acquisitions Change

Acquisition Law Change

Minimum Damage Acquisitions now increased to $25,000 from $10,000. https://www.revisor.mn.gov/laws/?id=75&year=2015&type=0#laws.2.3.0

This change means that counties, cities and other acquiring authorities can avoid the cost of a full blown appraisal for many strip takings. However, as is true for most things, be careful because you might just get what you pay for. A careful analysis should be completed before embarking on too many acquisitions solely relying on minimum damage acquisition reports. Proximity to structures, impacts on parking, access changes, and other severance damage matters might be overlooked if the damage analysis is too cursory and focused solely on the small parcel of land acquired. Those involved in acquisitions also need to remember that appraisals and minimum damage acquisition reports should not be developed solely to meet statutory acquisition requirements. These reports serve an explanatory purpose for property owners. Too often we forget that property owners want to understand how the number was calculated and what was considered in the calculation. It also appears that minimum damage acquisitions can be used at a commissioners hearing. Another warning flag should go up here. Just because you have the ability to do something does not always mean that it is the smart way to do it.

© 2015 Rinke Noonan

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