CLO ditches appraisal actions on 2 leases north of Okarche
State Commissioners of the Land Office “disapproved” their staff taking further action on property north of Okarche during a Wednesday morning meeting, which had drawn the attention of several county residents.
The commissioners’ action dealt with “the appraisal of land subject to 4 agricultural leases and 1 commercial lease located in Section 16-15N-7WIM in Kingfisher County,” according to the agenda.
That land sits about five miles north of Okarche and includes the rail yard previously built and owned by Solaris.
Commissioners voted during an executive session at the state Capitol in Oklahoma City. The commissioners were allowed to discuss and take the action on that matter in closed session because the state Open Records Act allows an exception for “the purchase or appraisal of real property.”
The board’s vote count was also not made public.
Which Commissioners at Dec. 3 Meeting?
Phone calls to the Land Office about which “voting” commissioners attended that meeting were not answered Thursday.
Members are: Governor Kevin Stitt, chairman; Lt. Governor Matt Pinnell, vice chairman; State Auditor and Inspector Cindy Byrd; Superintendent of Public Instruction Lindel Fields; and Blayne Arthur, president of the Board of Agriculture.
It was still unknown at deadline which board members attended the meeting.
Horizon Rail is the New Lessee
A long-term commercial lease with Solaris was recently transferred and the new lessee wants to “allow for a business expansion beyond what is permitted by that lease,” the commissioners were told during their June meeting.
That new lessee, Horizon Rail Group LLC (located in Davenport), also asked “to include the remnants agricultural land surrounding the rail yard leased area in the exchange (trade),” according to the minutes of that commissioner meeting.
David Dollar of Hennessey lists Horizon Rail Group in Davenport on his recent DEQ application for commercial waste pits north of Hennessey.
Dollar also lists these companies in which he has an interest in: Lightle Farms LLC, Dollar Real Estate Holdings LLC, Dollar Transportation Inc., Dollar Capital Management, Acme Drilling LLC, Dollar Farms LLC, Dollar Trucking LLC and Lightle Sand and & Construction LLC, all in Hennessey.
During that June state meeting, it was recommended to get an appraisal to determine if it was in the best interest of the trust to consider sale by exchange (trade).
Governor Asks Questions Stitt asked for clarification on the acreage, county and who requested the change.
He was told the previous leaseholder was Solaris and they’d brought in fracking sand.
That 30-year long-term lease has certain restrictions, which prevents Horizon Rail “for a business expansion beyond what is permitted by the lease.”
The governor also wanted to know in June what plans the requestor had for the property.
The staff didn’t have the details about plans for the property, according to the meeting minutes.
They did know the “current annual rent for the rail lease is approximately $175,000 per year over 20 years left on the lease.”
Commissioner Arthur said she “understands why the lessee would want to own the rail yard property, but is not supportive of the requestor wanting to add on the four other agricultural tracts surrounding the commercial leased property in question.”
Also, according to the minutes, “Governor Stitt asked for clarification that the requesting party would have to agree to reimburse the CLO for the cost of the appraisal, even if it was decided not to proceed with an exchange.
“CLO Staff confirmed that the requestor would have to sign an agreement to that effect.”
Oct. 8 School Land Auction At the School Land Lease Auction on Oct. 8, 2025, in Enid, Horizon Rail outbid local farmers for the 280 acres of farmland that surrounds the rail yard.
Horizon Rail will have a five-year agricultural lease starting Jan. 1, 2026.
The minimum bid on all three separate leases totaling 175 acres was $4,600 and Horizon’s winning bid was $16,000.
The minimum bid on the 104 acres agricultural lease allowed a minimum bid of $4,800. Horizon got the bid for $7,400.
Horizon Rail Group LLC had requested to purchase the full section of State School Land from the CLO, instead of leasing it which would have given them control of the entire section, including the rail yard.