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Utah County approves contract with U.S. Department of the Interior to clear mortgage on 0.08-acre boundary sliver
Summary
The county approved a contract accepting a federal condemnation of a 0.08-acre sliver so the mortgage affecting that tiny parcel can be cleared; the federal government plans to return the parcel to the county after resolving the mortgage cloud and will compensate the county.
Utah County commissioners approved a contract with the U.S. Department of the Interior that accepts federal condemnation of a 0.08-acre sliver of county-owned land so a recorded mortgage can be removed from the parcel.
Unidentified Speaker 6 explained that a prior boundary line agreement associated with a county road led to the county acquiring a small 0.08-acre portion that nevertheless remained subject to a mortgage recorded against the larger parcel. Century Title (title company reference in packet) and the mortgage company had been unable to remove the mortgage from that sliver. According to Unidentified Speaker 6, the Department of the Interior has sought to condemn the 0.08-acre portion to remove the mortgage encumbrance; following condemnation the federal government’s intention is to have the mortgage cleared and return the parcel to the county. The county would receive compensation for the condemned portion.
Commissioners asked clarifying questions about why the mortgage remained on the county-held sliver; staff explained the mortgage had been recorded as part of a greater parcel before the boundary change. Unidentified Speaker 2 moved approval of the contract; the board voted in favor, 3-0.
The action was framed as resolving a title/mortgage cloud to restore unencumbered county ownership of the small parcel. The prior owners and the mortgage company were described as having worked with the county; the mortgage company was the remaining obstacle to clearing the title and the federal condemnation was pursued after those negotiations failed.
