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Section 4: Sale of Right of Way (Fee Simple) No Longer Needed for State Highway Purpose to a GE under the Statutory Priority

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Overview

When the state owns fee simple title to right of way that is going to be sold, the statute requires that it must first be offered to a GE, subject only to the advance acquisition and repurchase rights described in Section 3 above. TxDOT sends notice to a GE that the GE has a priority right to purchase the right of way. TxDOT may provide a time frame by which the GE must exercise its priority right or consider it waived. TxDOT may impose a deadline for the GE to close a purchase after receiving notification that TxDOT is ready to close. If two or more GEs exercise their priority, a sealed bid between the exercising GEs will be conducted and the highest bid amount will determine the purchaser.

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ROW Division Headquarters

ROW Division Headquarters will do the following:

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  • prepare and submit a minute order for the Commission to consider the sale and conveyance of the right of way interest
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  • prepare the appropriate conveyance document
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  • if the sale amount is $10,000 or less, send the document to the Executive Director for signature
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  • if the sale amount is more than $10,000, the Executive Director will concur by signing the document. ROW Division headquarters will forward the document to the Attorney General, who then forwards the document to the Governor’s General Counsel for review. The Governor and Secretary of State sign the document, and it is returned to ROW Division Headquarters.
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  • notify the purchaser to send funds for purchasing the right of way to the FIN Division for deposit into the state highway fund or send prepared documents to the appropriate escrow company
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  • If no escrow company is used, after the FIN Division notifies ROW Division headquarters that the funds have been deposited, send the document to the TxDOT contact for recording and delivery to the purchaser.
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