Section 5: Transfer of Right of Way No Longer Needed for a State Highway Purpose to a GE with Waiver of Payment to the State
Overview
The Commission has the authority to waive payment when transferring a right of way interest no longer needed for a state highway purpose to a GE 1) if savings to the state for future maintenance costs equals or exceeds the fair value of the property; or 2) applicable to highway right of way only, the GE assumes or has assumed jurisdiction, control and maintenance for public road purposes and the deed contains a reservation providing that if the property ceases to be used for public road purposes, the property shall immediately and automatically revert back to the state. This type of transaction is primarily used where a segment of highway is being removed from the state highway system and transferred to a GE for continued use as a roadway.
In Lieu of Future Maintenance
In addition to the submission requirements in
, TxDOT personnel will coordinate with the appropriate area office or maintenance section to compute the future maintenance costs. The future maintenance costs must equal or exceed the fair market value of the right of way in order for ROW Division Headquarters to prepare a minute order for Commission consideration.
GE Assumption for Public Road Purposes
A transfer under this provision requires a reservation in the conveyance document to the GE providing that if the property being transferred ceases to be used for public road purposes, the property shall immediately and automatically revert to the state.
For guidance on this type of transaction, please contact ROW Division Headquarters.