CFR > Title 32 - National Defense > SUBTITLE A—Department of Defense > CHAPTER V—DEPARTMENT OF THE ARMY (parts 400 to 668) > SUBCHAPTER J—REAL PROPERTY (parts 641 to 645) > PART 644—REAL ESTATE HANDBOOK > SUBPART C—Acquisition (§644.61 to §644.168) > 644.85—General negotiation procedures.

644.85—General negotiation procedures.

(a) Provisions of Military Construction Appropriation Act. (1) Section 108 of the Military Construction Appropriation (MCA) Act of 1978 (Pub. L. 95-101) provides that no part of the funds provided in the Act shall be used for purchase of land or easements in excess of the value as determined by the Corps of Engineers, except:
(i) Where there is a determination of value by a Federal Court; or
(ii) Purchases negotiated by the Attorney General or his designee; or
(iii) Where the estimated value is less than $25,000; or
(iv) As otherwise determined by the Secretary of Defense to be in the public interest.
(2) The above wording, except for paragraph (a)(1)(iv) of this section, constitutes a limitation on accepting or submitting a recommendation for approval of a counteroffer in excess of the appraised value. Paragraph (a)(1)(iv) brings military acquisition within the general acquisition policy required under Pub. L. 91-646. Future MCA Acts should be carefully examined to determine if any limitations on acquisition have been restored.
(b) Local cooperation projects. The participation of a non-Federal agency in a federally-assisted project will be in accord with section 221 of Pub. L. 91-611 and subpart J (to be published). Acquisition of real property by a non-Federal agency will be in accord with sections 210 and 305 of Pub. L. 91-646 and this chapter.
(c) Negotiations on the basis of ownership; “Package-Deal” negotiations. (1) Normally, negotiations for all interests in all tracts which are being acquired from one parent ownership will be negotiated at one time. These tracts will usually consist of all those to which the same basic tract number has been assigned. Exceptions may be made only where negotiations for some of the tracts in a series must be accomplished to obtain possession, or for other critical reasons. Piecemeal acquisition must be avoided if at all possible.
(2) When more than one tract is operated by the owner as a unit, negotiations should take place on the two or more tracts or groups of tracts, whether or not they bear the same basic tract number.
(3) In cases where an owner insists on a “package-deal” negotiation on all tracts in the same ownership, or having at least one common owner, the negotiations will be considered as one transaction.
(4) Tracts which are in the same ownership, but which are not operated as a unit, should, unless the owner desires otherwise, be negotiated separately, on the basis of the separate appraisals which would be prepared in this type of case.
(5) Under paragraphs (c)(1), (2), and (3) of this section, the limitations of authority to accept counteroffers will be applied to the entire transaction.
(d) Acquisition by condemnation if negotiations fail. As soon as it is determined that a satisfactory agreement cannot be reached after full consideration of all reasonable counteroffers received, action will be promptly taken to acquire the property by condemnation proceedings, including the filing of a declaration of taking, in order to make funds available to the landowner and to maintain the project acquisition schedule. The landowner should be advised in writing, sufficiently in advance of the submission of the condemnation assembly to the Chief of Engineers, that condemnation proceedings will be recommended and the reason therefor. Condemnation assemblies will include copies of the Negotiator's Reports or other written records of negotiations. The estimated compensation to be deposited in the registry of the Federal District Court with the filing of a declaration of taking will be in the amount of the approved appraisal.