ENTRY NO. 28 – CLAIM FILED FOR ACQUISITION OF PROPERTY UNDER CONDEMNATION PROCEEDINGS - 10528

(Revised: 12/2021)

Purpose: To record the payment against the agency/department's fund and appropriation in settlement of a condemnation proceeding for acquisition of real property.

In settlement of some condemnation proceedings, payment is made to the grantor (property owner) from the agency/department's fund and appropriation prior to return of the deposit from the Condemnation Deposits Fund. In these cases, the State Controller's Office (SCO) is requested to transfer the amount of the deposit back to the agency/department's fund and appropriation. At this time, the actual cost of the capital assets is recorded. Since the amount deposited was recorded as an appropriation expenditure, only the difference between the amount of the deposit and the amount of the final settlement is now recorded as an appropriation expenditure or abatement.

 

If a claim for settlement has been filed on or before June 30, but the deposit has not been returned by that date, the amount to be returned will be reported to the SCO as an abatement accrual.

 

References: SAM sections 6866 and 8610.6.

Reverse Prepayment of Funds in Condemnation Deposits Fund

Debit/ Credit	Account	Legacy Account	Account Description	Note
Debit	3509000	5390	Reserves – Other	a
Credit	1903000	2730	Deposits in Condemnation Proceedings	a
Debit	124xxxx	1400	Due From Other Funds or Appropriations	b
Credit	5xxxxxx	9000	Appropriation Expenditures	b
Debit	5xxxxxx	9000	Appropriation Expenditures	c
Credit	1104000	1140	Cash in State Treasury	c

Note:

1. Reverse prepayment amount transferred to the Condemnation Deposits Fund.
2. Amount of abatement due from the Condemnation Deposits Fund as of June 30.
3. Amount paid from agency/department fund and appropriation for condemnation proceedings.

 

See SAM section 10537 to record the acquisition of capital assets.