Section 4: Sale of Surplus Right of Way (Fee Simple) to an LPA
Anchor: #i1003664Overview
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 an LPA, which is either a city or county. The District sends a letter, along with a sketch or copy of the appropriate right of way map, to an LPA advising that the LPA has the first oppportunity to purchase the right of way. The District’s letter should state that the LPA will have thirty days to notify the District if the LPA wants to purchase the right of way. If the LPA donated the original right of way to the state, Commission policy is to sell the right of way. However, see Section 5 regarding the transfer of surplus right of way to an LPA for the savings to the state of future maintenance costs.
If the LPA is interested in acquiring the surplus right of way interest, the LPA must provide the District with a sealed survey, including a plat. An LPA does not pay a service fee for the sale.
Anchor: #CHDJHCIJDistrict Submission Requirements
The District’s written recommendation to the ROW Division must include:
- district engineer’s statement advising that the surplus right of way is not needed for a state highway purpose and recommending the sale; the memo can be signed by an authorized designee of the district engineer
- a copy of the original conveyance document(s) to the state
- a survey, which includes an approved metes and bounds description on letter-size paper signed and sealed by an RPLS clearly showing the surplus right of way and including a preamble citing the original conveyance document(s) and recording information. If the surplus right of way is on a controlled access highway, the metes and bounds description must include an appropriate control of access clause. This clause should describe where access is denied. Refer to the appendix of TxDOT’s Right of Way Manual Vol. 4 - Eminent Domain, for guidance in preparing control of access clauses.
- a letter-size survey plat prepared by an RPLS. The plat should show the right of way interest, including metes and bounds, north arrow, scale, legend, full width of the highway clearly indicated, ownership of all adjoining land, control of access lines (if applicable), and any existing drainage structures or utilities in the surplus right of way.
- a letter-size area location map with north arrow.
Division Procedure
When all the required information is received, the ROW Division will notify the District to have the surplus right of way appraised.
The LPA or District will choose a state certified appraiser from TxDOT’s approved list and will require that TxDOT approved forms be used. The LPA will contract with and pay the appraiser directly. The District approves the recommended value for the surplus right of way without review from the ROW Division, and sends a copy of the approved value form to the ROW Division.
The ROW Division will do the following:
- prepare and submit a minute order for the Commission to consider the sale and conveyance of the surplus right of way interest
- prepare the appropriate conveyance document
- if the sale amount is $10,000 or less, send the document to the Executive Director for signature
- if the sale amount is more than $10,000, the Executive Director will concur by signing the document. ROW Division 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.
- notify the purchaser to send funds for purchasing the surplus right of way to the FIN Division for deposit into the state highway fund
- after the FIN Division notifies ROW Division that the funds have been deposited, send the document to the District for recording and delivery to the purchaser.
Completion of Transaction
After the purchaser receives the recorded conveyance document, the District will follow procedures outlined under Closing Procedures and Map Notations.