Who can bid at an auction?

Bidders need to be of legal age (19) or a legal entity authorized to do business in Nebraska, owe no money to the Board, and must have a certified check, bank draft, money order or cashier's check payable to the Board of Educational Lands and Funds in an amount equivalent to or greater than the first year's annual rent on the particular tract they wish to bid.

What do I need to bring to the lease auction?

A certified check, bank draft, money order or cashier's check for the full first year's rent for the tract you want to bid on. Cash will not be accepted. These checks can be given to the Field Representative upon arriving at the lease auction or held until you are ready to offer a bid. If there is a bonus bid, these are due at the end of the auction and can be paid with a personal check.

How will the auction be conducted?

Tracts will be offered for sale in the same order as advertised. The Field Representative will call on all qualified bidders and ask for a bid. Other bidders can participate at any time by providing the required funds. There will be a minimum of two rounds of bidding with a brief recess between rounds. There can be additional rounds of bidding, if necessary.

What is bonus bidding?

The annual rent for the first year of each lease is set by the Board. If there is more than one eligible bidder willing to pay the first-year rent, they will bid a bonus which is a payment over and above the first-year rent. The bidder offering the highest bonus bid will sign the lease document after the auction. The bonus is a one-time payment due at the auction. These can be paid with a personal check.

Do I get my check back if I'm unsuccessful at the auction?

Checks are returned to the unsuccessful bidders immediately after the auction. These checks can be returned to the remitting bank.

Do I have to be present at the auction to bid?

Yes; however, if you are unable to attend, a representative can bid on your behalf. BELF Field Representatives cannot act as representatives in this manner. The representative will need to either (a) provide an executed Power of Attorney giving them the authority to sign on your behalf or (b) sign the lease personally the day of the auction then transfer the lease to you or your entity after the auction. Fees for lease assignments are waived when completed within 30 days of the auction.

Am I required to buy the improvements on the property?

The list of improvements (and growing crops, if applicable) owned by the previous lessee are included in the advertisement with their appraised value. Successful bidders are required to purchase these improvements at the advertised value within 30 days from the date of Board approval. You are not required to purchase any items listed as “personal property” as these are subject to removal by the previous lessee. Any items listed as “Trust owned” will remain with the School Land Trust.

Can I make additional improvements to the property?

Lessees wanting to place improvements on the property must apply for and receive permission from the Board in writing before doing so.