Utilities Presently Located on Interstate Right of Way

Under provisions of Minute Order No. 47268, the State will participate in the cost of utility work on the National System of Interstate and Defense Highways in accordance with provisions contained in Transportation Code Section 203.092. Under those provisions, the State is required to reimburse utilities for all adjustments eligible for Federal participation on the National System of Interstate and Defense Highways. The cost of adjusting facilities, or portions thereof, presently occupying public right of way by statutory right has, therefore, been declared eligible for State cost participation. A ruling by the United States Supreme Court states, however, that if a relocating utility is presently in the State’s right of way, the State is not required to purchase right of way for ownership by the utility for relocation of its facilities. This ruling would not affect a joint-use agreement previously entered between the State and the utility.