HB299INTRODUCED Page 0 CYLPQJ-1 By Representatives Smith, Shedd, Crawford, McCampbell RFD: Transportation, Utilities and Infrastructure First Read: 12-Apr-23 1 2 3 4 5 CYLPQJ-1 04/11/2023 CMH (L)bm 2023-1453 Page 1 SYNOPSIS: Under existing law, the Director of Transportation may order the relocation of a utility facility when the relocation is necessary as a result of various circumstances. This bill would specify that the Director of Transportation may order the relocation of utilities located within the public right-of-way and would clarify the process for a utility receiving a reimbursement for its relocation expenses. A BILL TO BE ENTITLED AN ACT Relating to highways; to amend Section 23-1-5, Code of Alabama 1975, to further provide for the relocation of utilities; and to further provide for the reimbursement process for various expenses associated with the relocation. BE IT ENACTED BY THE LEGISLATURE OF ALABAMA: Section 1. Section 23-1-5, Code of Alabama 1975, is amended to read as follows: "§23-1-5 (a)(1) Whenever the Director of Transportation shall 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 HB299 INTRODUCEDHB299 INTRODUCED Page 2 determine and order determines and orders that the relocation of any utility facility then located within the state right-of-way is necessitated by the construction of any project on the national system of interstate and defense highways, including the extensions thereof within urban areas, the utility owning or operating the utility facility shall relocate the facility to another location within the state right-of-way in accordance with the order of the Director of Transportation. (2) Notwithstanding the foregoingsubdivision (1), if the cost of the utility facility relocation is eligible and approved for reimbursement by the federal government, the cost of the relocation of the utility facility shall be paid by the state as a part of the cost of the construction of the project out of the funds then or thereafter available for the highway construction after the utility has furnished the Director of Transportation with alla verified statement of the costs of the relocation and any other papers, records, or otherand supporting documents as are required by the directorfederal law. After the final federal Bureau of Public Roads' audit, the utility shall repay to the state the differenceexcess, if any, between the total amount paid by the state to the utility for the relocation and the total amount collected by the state from federal participation on the utility relocation, plus the state's matching share of the federal participation. (b)(1) Whenever the Director of Transportation shall determine and order determines and orders that the relocation of any utility facility then located within a state 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 HB299 INTRODUCEDHB299 INTRODUCED Page 3 right-of-way is necessitated by the construction of any highway, road, or street, other than the highways that are a part of the national system of interstate and defense highways referred to in subsection (a) of this section , the utility owning or operating the facility , including any utility owned or operated by a corporation organized pursuant to Article 8, Chapter 50, of Title 11, shall relocate the facility to another location within the state right-of-way in accordance with the order of the Director of Transportation .at its own expense (2) The utility shall be reimbursed for its costs of relocating the utility facility after the utility has furnished the Director of Transportation with a verified statement of the costs of relocation. The reimbursement shall be paid by the state as a part of the cost of the construction of the project. The Department of Transportation shall make adequate provision for the costs of relocation in the costs of the construction of the project . (3) Notwithstanding the foregoingsubdivision (2), if the utility facilities to be relocated are owned by any utility whichthat had a gross income of more than two hundred fifty million dollars ($250,000,000) or less for the calendar year immediately preceding the relocation, or in the case of utilities which may be hereafter organized and created, whichthathavehas a gross income of more than two hundred fifty million dollars ($250,000,000) or less in their first complete year of operation or in the calendar year immediately preceding the relocation or, in the casecosts of utilities 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 HB299 INTRODUCEDHB299 INTRODUCED Page 4 owned or operated by a corporation organized pursuant to Article 8, Chapter 50, Title 11, the cost of the relocation of the utility facility shall not be paid by the state as a part of the cost of the construction of the project out of the funds then or thereafter available for the highway construction after the utility has furnished the Director of Transportation with all papers, records, or other supporting documents required by the director. After the final federal Bureau of Public Roads' audit, the utility shall repay to the state the difference, if any, between the total amount paid by the state to the utility for the relocation and the total amount collected by the state from federal participation on the utility relocation, plus the state's matching share of the federal participation . (c) The Director of Transportation may enter into contracts or agreements and conform any existing contracts or agreements with utilities in order to effectuate the purposes of this section. (d) The word "utility" shall include publicly, privately, and cooperatively owned utilities. The words cost"costs of relocation," as used in subsection (b), shall include the entire amount paid by the utility properly attributable to the relocation of facilities in the state right-of-way when the area of relocation is in excess of one-half mile of roadway and after deducting therefrom any increase in the value of the new facility and any salvage value derived from the old facility. The words "national system of interstate and defense highways " mean the national 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 HB299 INTRODUCEDHB299 INTRODUCED Page 5 system of interstate and defense highways or interstate system described in subsection (d) of Section 103 of Title 23, United States Code23 U.S.C. § 103(b) ." Section 2. This act shall become effective on the first day of the third month following its passage and approval by the Governor, or its otherwise becoming law. 113 114 115 116 117 118