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The purchase of Point Molate by EBRPD was supposed to close on January 15, 2025, but it didn't happen. On January 14, 2025, the Guidiville Tribe entered into a contract amendment with EBRPD, extending closing through April 30, 2025, to provide time to try to resolve two significant outstanding issues, which EBRPD claims are conditions precedent to closing the deal.
Old Republic - a reputable local company - refused to provide title insurance for the transaction, so they pulled out of escrow and the parties are shopping for a new title insurer to work with them.
The first problem is the application of the Nonintercourse Act, which requires federal approval, in the form of a treaty, for any transfer of land held by a federally recognized Tribe. Guidiville currently owns Pt. Molate - having purchased it from the City for $400 - and is a federally recognized tribe. Whether or not the Nonintercourse Act is applicable to lands not held in trust by the federal government is a source of debate, making the issue even more confusing.
The second problem is the lis pendens filed by Suncal, placing a cloud on the title to the property until their multi-million-dollar lawsuit is resolved. At this point that could take years and millions of dollars in public funds - and is likely to result in a substantial judgment against the City.
The City continues to hide the ball and obfuscate, but it remains concerning how unwilling local media has been to dive into this - or to cover what is going on at all, other than to cheer on the proposed sale and future park.
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