Land Code of Russia
Land Code of the Russian Federation is part of the Russian law. Russia’s 1993 Constitution did lay out the right to private land ownership. But subsequent efforts to give specific form to that language – including Presidential Decrees, chapters in the Civil Code enacted in 1994 and 1995, and disparate pieces of legislation. The Soviet legislation fills the gap where no Russian laws enacted.
History
Most privatized enterprises initially held the lands they occupied under the right of permanent (perpetual) use, a Soviet-era form of land tenure, which granted its holder a right to use and build on a parcel but not to dispose of it through, for instance, sale to an-other party. This form of land tenure, re-enumerated in the Russian Civil Code of 1995, was characterized as permanent only because a termination date was not specified. If the government did dispossess a permanent use holder of its lands, it faced a legal obligation to provide compensation at market value. Many Russian enterprises continue to this day to hold their land under permanent (perpetual) use rights; requiring them to pay a tax, determined by the land’s assigned cadastral value, at the same rate as land owners.
In May 1997, a new presidential decree granted regional administrations near full discretion in establishing land sale prices. Thereafter, land prices began to vary signifi-cantly across Russia’s territorial subjects. With prohibitively high prices in many regions, the pace of enterprise land privatization decreased dramatically, with many large cities remaining committed to a regime of continued state allocation and ownership. Since local administrations were given greater control to set lease rates on state-owned land than tax rates on enterprise-owned land, they had an incen-tive to make land privatization procedures complex, expensive and time consuming. In 32 regions, land privatization was banned either by laws that contradicted federal legislation, by popular referendum, or by provisions added to the region’s constitution. In Moscow, the city Duma passed a resolution that land plots occupied by privatized enterprises could be leased but not sold. Most privatized enterprises initially held the lands they occupied under the right of permanent (perpetual) use, a Soviet-era form of land tenure, which granted its holder a right to use and build on a parcel but not to dispose of it through, for instance, sale to another party. This form of land tenure, re-enumerated in the Russian Civil Code of 1995, was characterized as permanent only because a termination date was not specified. If the government did dispossess a permanent use holder of its lands, it faced a legal obligation to provide compensation at market value.
2001 land code reform
A breakthrough in the enterprise land privatization process occurred in 2001 when the Putin administration successfully pushed through the State Duma the Russian Federation Land Code. Designed to reinvigorate the process begun in the mid-1990s, it laid out mechanisms to force divestiture of state lands under privately owned structures and to unify titles to land and buildings. For instance, it called for the ownership of real estate objects to henceforth follow ownership of the attached land plot; it granted exclusive right to purchase or lease state-owned land to the owner of the attached real estate object; it gave to private owners of buildings on land plots owned by other private parties the pre-emptive right to purchase the land; and it prohibited the future privatization of real estate objects without the concurrent privatization of the attached plot.
See also
References
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