(1) Initial recommendations from the Real Property Sales Committee and review by Executive Committee:

(a) A Real Property Sales Committee shall be established by the commission to review real properties for possible sale, and to make initial recommendations on such sales to the Executive Committee. Members of the Real Property Sales Committee shall be appointed by the Commission Chair. At any time in the review process, the Real Property Sales Committee may request commission staff to assist in preparation of reports, or in other capacities.

(b) Such recommendations will take into consideration the criteria outlined in ARM 8.112.202.

(c) The Real Property Sales Committee may make real property sale recommendations to the Executive Committee at any meeting properly noticed and with the discussion of sales included on the agenda. All recommendations will include a review of the extent to which the proposed sale meets the criteria in ARM 8.112.202. The Real Property Sales Committee shall prepare its recommendation to the Executive Committee in writing.

(d) On each real property sale under consideration, the Executive Committee shall decide whether to:

(i) proceed to the next level of review as detailed in (2);

(ii) request additional information regarding the criteria in ARM 8.112.202;

(iii) forward a recommendation directly to the commission for its consideration; or

(iv) deny the recommendation.

(e) The Real Property Sales Committee shall report to the commission as needed on all real properties managed by the commission, identifying which, if any, properties are currently being reviewed by the Real Property Sales Committee or are scheduled to be reviewed.

(2) Detailed review of real properties approved by the Executive Committee to be further considered for sale:

(a) For real properties approved by the Executive Committee to proceed to the next level of review, the Real Property Sales Committee shall prepare a written report for each property that addresses the following:

(i) The report shall address the quality of the significance of the property in Montana history, including, but not limited to, the following:

(A) association with events that have made a significant contribution to Montana history and prehistory;

(B) association with the lives of a person or persons who were significant in Montana history;

(C) embodiment of distinctive characteristics of a type, period, or method of construction representing an event, way of life, groups of persons, or trends in Montana history;

(D) whether the property has yielded or is likely to yield information important to Montana history or prehistory;

(E) the property's authenticity and integrity of location, design, setting, materials, workmanship, age, and its aesthetic or historic sense of place or period of time; and

(F) whether the sale would have indirect adverse effects to the property proposed for sale, or to any remaining property acquired or managed by the commission.

(ii) The report shall assess whether the property can become self-supporting, including consideration of:

(A) the location of the property and its proximity to population centers, to other areas of historical and popular interest, and to standard tourist routes;

(B) the difficulty or ease in access to the property;

(C) the likelihood of individual, corporate, or other financial support;

(D) the estimated cost of restoration, rehabilitation, or maintenance of the property;

(E) the degree of popular and educational interest in the property; and

(F) the current and projected revenues and expenses associated with the property.

(iii) The report shall assess the economic and social benefits the property provides to the public in its current use, compared with potential economic and social benefits to the public possible with private ownership. The assessment shall compare public availability of educational/interpretive aspects of the property, and economic advantages/disadvantages of public versus private ownership.

(iv) The report shall identify whether the property is an educational resource for the study and interpretation of Montana history, assessed in the context of other existing or planned interpretive programs wherever possible, and including a discussion of any existing or unique interpretive factors associated with the property.

(v) The report shall identify local governments and state agencies with operations or facilities in the area of the proposed sale. The report shall identify how these government entities would be affected by the sale, how they were notified of the potential sale, and shall include a copy of any comments or responses received from these entities.

(vi) The report shall consider the need for any preservation covenants in a proposed sale agreement to preserve the historic qualities of the property after transfer to private ownership, who would enforce the covenants, and how any maintenance or other costs required thereunder would be paid.

(vii) The report should discuss whether and why any design review ordinances established by Virginia City should be incorporated into a proposed sale agreement for the property.

(viii) The report shall include a written letter of support by the Director of the Montana Historical Society, or an explanation of why such support has not been obtained.

(ix) The report shall include a record of compliance with the Montana Antiquities Act (22-3-421, et seq., MCA), including a letter signed by the State Historic Preservation Officer indicating whether he/she supports or does not support the proposed sale and a summary of the rationale for that decision.

(b) The Real Property Sales Committee shall present the report and their recommendations to the Executive Committee in writing at any meeting properly noticed and with the discussion of sales included on the agenda.

(c) The Executive Committee shall decide whether to:

(i) proceed to the public notice and hearing process specified in these rules; (ii) request additional information regarding the criteria in ARM 8.112.202; or

(iii) deny the recommendation.

(3) Commission decision to proceed or not to proceed with a proposed sale:

(a) The commission shall make a decision to proceed or not proceed with a proposed sale at a properly noticed meeting, after an opportunity for public comment has been provided, based upon consideration of the criteria in ARM 8.112.202 as set forth in the report(s) required herein, any comments from affected local government officials, recommendations from professional historians, and comments from the public at large.

(b) For approved proposals for the sale of real property, the commission shall recommend the approved proposal, together with any covenants or conditions attached thereto, to the Board of Land Commissioners, per 22-3-1003 and 77-2-301, et seq., MCA.