Utility Payment Process - Right of Way Sub-process Activity XIII

  • Participants
  1. LPA
  2. Utility Representative
  3. TxDOT Utility Liaison
  4. TxDOT Utility Portfolio Section Audit
  5. TxDOT ROW Program Office
  6. TxDOT Finance Division
  7. State Comptroller
  • Objectives
  1. Reimbursement of eligible utility adjustment costs.
  2. Minimize citations of ineligible costs.
  • Activity Narrative
  1. TxDOT utility cost participation is founded in the concept of just compensation being provided in return for the acquisition of real property interests. Payment by TxDOT for eligible utility adjustment costs will be made to the utility except when reimbursement is made to the LPA under the terms of the Contractual Agreement for Right of Way Procurement (Local Government). When payment is requested by the LPA, certification and appropriate documentation is required to indicate that they have made the appropriate reimbursement to the utility.
  2. Utility billings should be prepared and submitted in a format that is compatible with the approved estimate and in sufficient detail for analysis and documentation. The utility billing should follow the order of items in the estimate as closely as possible. The totals for labor, overhead, construction cost, travel, transportation, equipment, materials, supplies or other services will be shown in such a manner regarding permit comparison with the approved estimate. The billing will set out the approved eligibility ratio, appropriate credits and the correct Personal Identification Number (PIN), including the mail code for payment delivery.
  3. Payments are made commensurate with work performed. A variety of payment methods are available which include monthly partials, pre-approved lump sum or a single final billing upon completion of work. Partial payments may be made as frequently as each month, in an amount not to exceed 90% of the approved estimated cost of work completed to date. Lump sum will be one payment of the amount stated in the approved utility adjustment assembly and is not subject to audit. Payment is most frequently based on a single final billing submitted upon completion of the utility work. This payment is subject to 10% retention pending completion of a TxDOT audit. All payment requests shall be accompanied by supporting documentation.
  4. Final billing will not be processed until compensable interest issues are resolved and documented through the use of Utility Joint Use Agreement, Quitclaim Deed, Release of Easement or Subordination of Mineral Lease as applicable.
  5. The utility will provide a final bill within one year following completion of the utility work, otherwise previous payments may be considered final.