36-5-101. Qualifications of lessees; lease terms; rental.
(a) No person shall be qualified to lease state lands unless that person has reached the age of majority, and is a citizen of the United States, or has declared an intention to become a citizen of the United States. No person or legal entity shall be qualified to lease state lands unless he or it has complied with the laws of this state and is authorized to transact business in this state.
(b) The rental of any lease awarded shall be based on an economic analysis and shall reflect at least the fair market value for the same or similar use of the land based upon a formula adopted by the board using the following criteria:
(i) Readily available data averaged over an adequate number of years to remove any radical fluctuations;
(ii) Factors which reasonably reflect the true market value of state leases;
(iii) Parameters within which the board can be responsive to changing resource conditions, market demand and industry viability;
(iv) Factors which reasonably reflect the contributions made by the lessee.