[Code of Federal Regulations]
[Title 43, Volume 2]
[Revised as of October 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 43CFR2711.3-2]

[Page 217-218]
 
                    TITLE 43--PUBLIC LANDS: INTERIOR
 
    CHAPTER II--BUREAU OF LAND MANAGEMENT, DEPARTMENT OF THE INTERIOR
 
PART 2710_SALES: FEDERAL LAND POLICY AND MANAGEMENT ACT--Table of Contents
 
                     Subpart 2711_Sales: Procedures
 
Sec. 2711.3-2  Modified bidding.

    (a) Public lands may be offered for sale utilizing modified 
competitive bidding procedures when the authorized officer determines it 
is necessary in order to assure equitable distribution of land among 
purchasers or to recognize equitable considerations or public policies.
    (1) Modified competitive bidding includes, but is not limited to:
    (i) Offering to designated bidders the right to meet the highest 
bid. Refusal or failure to meet the highest bid shall constitute a 
waiver of such bidding provisions; or

[[Page 218]]

    (ii) A limitation of persons permitted to bid on a specific tract of 
land offered for sale; or
    (iii) Offering to designated bidders the right of first refusal to 
purchase the lands at fair market value. Failure to accept an offer to 
purchase the offered lands within the time specified by the authorized 
officer shall constitute a waiver of his preference consideration.
    (2) Factors that shall be considered in determining when modified 
competitive bidding procedures shall be used, include but are not 
limited to: Needs of State and/or local government, adjoining 
landowners, historical users, and other needs for the tract. A 
description of the method of modified competitive bidding to be used and 
a statement indicating the purpose or objective of the bidding procedure 
selected shall be specified in the notice of realty action required in 
Sec. 2711.1-2 of this subpart.
    (b) Where 2 or more designated bidders exercise preference 
consideration awarded by the authorized officer in accordance with 
paragraph (a)(1) of this section, such bidders shall be offered the 
opportunity to agree upon a division of the lands among themselves. In 
the absence of a written agreement, the preference right bidders shall 
be allowed to continue bidding to determine the high bidder.
    (c) Where designated bidders fail to exercise the preference 
consideration offered by the authorized officer in the allowed time, the 
sale shall proceed using the procedures specified in Sec. 2711.3-1 of 
this subpart; and
    (d) Once the method of modified competitive or noncompetitive sale 
is determined and such determination has been issued, published and sent 
in accordance with procedures of this part, payment shall be by the same 
instruments as authorized in Sec. 2711.3-1(c) of this subpart.
    (e) Acceptance or rejection of any offer to purchase shall be in 
accordance with the procedures set forth in Sec. 2711.3-1 (f) and (g) 
of this subpart.

[45 FR 39418, June 10, 1980, as amended at 49 FR 29015, July 17, 1984]