Difference between revisions of "236.5 Property Management"

Realty Asset Management addresses the management of Commission-owned land and interests in land. The goal of Realty Asset Management is to retain a minimum of excess property, while pursuing the best value for every dollar spent for the properties that are leased or conveyed, and to effectively relinquish roadways that are excess to the state highway system.

The parameters of this pursuit include, Revised Statutes of Missouri, at RSMo 227.290; the Code of Federal Regulations, at CFR Title 23, Part 710, Subpart D, the Missouri Constitution, at Article 1, Section 27, and Commission Policy, as captured in the Commission Minutes, including the Delegation of Authority and Execution of Documents Policy (particularly Section E).

While RSMo 227.290 purports to grant to the Missouri Highways and Transportation Commission (MHTC) the discretion to convey at no cost to any federal, state, or local governmental entity any land or leasehold estate, such assets can be viewed as road funds, and as such, are constitutionally prohibited from being diverted from the stated purpose of such funds. All proposed conveyances of realty assets shall demonstrate an offsetting benefit to the transportation system, regardless of the grantee, unless approved by the Right of Way Director prior to any agreement otherwise. Commission delegation of authority policy requires that any proposal to grant a property to an agency without cost, in accordance with this statute, shall be approved by Commission Minute. Additionally, if federal funds were used in the acquisition of the parcel, Title 23, Part 710, Subpart D, Section 403(d1) requires such proposals to be approved by the Federal Highway Administration (FHWA).

RSMo 227.290 requires that excess land and leasehold estates be sold or exchanged for approximate fair market value. Notwithstanding the above-noted exception, the consideration received by the Commission for each parcel shall be shown to represent the approximate fair market value.

It is important to note that all conveyances of real property interests must be executed by the Chair or Vice-Chair of the MHTC.

236.5.1.1 Federal Highway Administration (FHWA) Oversight

The Code of Federal Regulations, particularly at Title 23, Part 710, Subpart D, establishes additional parameters for the conveyance, relinquishment, or leasing of realty within the Interstate System (IS), or realty otherwise acquired with Federal funds. The Right of Way Division will secure FHWA concurrence prior to the consummation of any transaction requiring FHWA oversight.

FHWA shall have oversight on all proposed conveyances, roadway relinquishments, and new leases of land within the limits of the IS. Said oversight shall include the determination of the land as excess to the system, or otherwise available for a specific use by lease or airspace agreement, as well as the consideration to be received. Parcels acquired as uneconomic remnants as part of an IS project and not incorporated into the IS do not require FHWA approval for disposal.

All proposed conveyances of land outside of the IS limits acquired with Federal funds shall be submitted to FHWA for concurrence as to the proposed transaction conforming to Title 23, Part 710, Subpart D, Section 403(d1) when the consideration is less than the approximate fair market value. Relinquishments of roadways outside the limits of the IS are not subject to FHWA oversight.

If FHWA requires additional terms or conditions to concur with a transaction, the district will be advised of, and will address, the required terms or conditions. Also, if the Right of Way Division provides approval to deviate from the department's policy as set forth in this article, or conditions of the disposal or new lease are revised subsequent to FHWA approval, FHWA approval shall be secured prior to consummation of the transaction.

236.5.1.2 Missouri Highways and Transportation Commission Approval and Commission Delegated Approvals

Right of Way Director Approval (Tier 1)

The Right of Way Director shall approve property appraised at or below $50,000:

1. Fee simple and greater than 75% of the appraised value

2. Less than fee simple and greater than 50% of the appraised value

The Right of Way Director shall approve property appraised at or below $10,000.

Note: Approval outside of these parameters is elevated to the next tier for approval.

Right of Way Director, Controller, Assistant Chief Counsel, and Director of Program Delivery Approval (Tier 2)

Property appraised for more than $50,000 requires approval from the Right of Way Director, Controller, Assistant Chief Counsel, and Director of Program Delivery.

The sale of all properties owned by the Commission, which appraises for values of $200,000 or more must be approved by specific Commission action. Tier 2 approvals must be executed prior to the inclusion as a Commission agenda item.

Missouri Highways and Transportation Commission Approval (Tier 3)

As allowed under the Commission’s June 14, 2006 policy regarding disposition of Commission-owned property or property rights, the sale of all properties owned by the Commission which appraised for values of $200,000 or more must be approved by specific Commission action.

The Right of Way Division reviews all documents and submits to FHWA (if applicable.)

236.5.2 Realty Asset Inventory

Real property owned by the Commission is managed with the use of an application/system within the Transportation Management System (TMS) that provides an inventory of all Commission-owned realty assets. The application is known as the Realty Asset Inventory (RAI).

To keep the system current, the districts shall provide a completed RAI for each conveyance, each new lease, and each new remnant acquired or excess parcel created. Roadway relinquishments are to be accounted for within the RAI as well. Any parcel previously classified as excess that is reclassified to an active parcel in the highway system must also be submitted on the RAI Form for reclassification in the RAI System. Instructions for completing the RAI Form are available.

236.5.3 Asset Management Committee

Each district shall establish an Asset Management Committee (Committee). The district right of way manager may be the chairperson of this Committee. In addition to the district right of way manager, the Committee shall include at least one member each from district design, planning, maintenance, traffic, construction and materials, area engineer or operations engineer, and the assistant district engineer or district engineer. The Committee may include additional members, as the district deems appropriate. The district utilities engineer and the district’s professional land surveyor shall serve either as members or at least ex officio members. If the asset is classified as a capital improvement, district general services shall be included on the committee.

The Committee is to review each request not only for the excess issue, but also to ensure that any issues related to a Change in Route Status Report (CRSR) and Change in Route Marking Report (CRMR) that is tied to the excess issue is addressed at the same time.

The Committee is to review each request to purchase excess property, including capital improvement sites and uneconomic remnants. The district Asset Management Committee will also review requests to lease Commission-owned property or to use the Commission-owned property in such a manner as to make an airspace agreement appropriate. The Committee shall decide if it is in the best interest of the Commission and MoDOT to dispose of or lease the requested property. In all cases, consideration must be given to any possible need to retain the area for a future highway project.

The Committee will also review requests for annexations, roadway relinquishments, breaks in access, as well as other proposals affecting Commission real property.

236.5.4 Origin of Request & Processing Fee

When a requestor is interested in acquiring Commission-owned property, district personnel indicates that a processing fee of $250 is required and does not apply toward the purchase price. No processing fee is charged if the department initiates the sale, if it is determined that the asset must be sold by public sale (i.e. sealed bid, auction, division between abutters, etc.), if the request comes from a governmental agency, or if the asset is being conveyed to the original donor. The $250 processing fee is only refunded when the Asset Management Committee denies a request or the request becomes eligible for a public sale (see 236.5.6.1 Refund Request Guidelines). Once the processing fee is received, complete a Receipt-Transmittal of Money Form and submit it to district business & benefits services (see 236.5.22 Transaction Submittal to Right of Way Division).

236.5.5 MoDOT Employees Purchasing Excess Property

Should an employee of the department, as an adjacent owner, request to purchase any department-owned excess property, the district’s asset management committee shall provide all facts to the Right of Way Director who shall review the request for approval. Employees shall have the right to bid on any excess property that is being sold by public sale except those employees with prior knowledge of the approved values of said excess property. (See Personnel Policy 2514 – Conflict of Interest.)

236.5.6 Handling of Funds Received

When district right of way receives a Receipt-Transmittal of Money Form from the district business & benefit support for the sale of improvements, excess property, rent, etc., they shall immediately fill in the lower half of the form with the following information:

1. Route

2. County

3. Project number

4. Excess number or file number

5. Reason for payment

6. Grantee or lessee

7. Dollar amount

8. What step in the process the payment represents

9. History of any previous payments transmitted for the transaction

10. Date the monies were received

11. Contact person and telephone number of person who can answer questions in reference to the transaction

Forward the receipt and one copy back to the district business & benefits support for further processing. A copy of the receipt shall be placed in the district right of way file and a copy forwarded to the Lotus Notes Group, RW RAI. If the property is a capital improvement site, General Services Facilities Management in the Central Office shall also be copied on the email.

Where cash is provided, the remitter shall be given a cash receipt by the person accepting the payment and a Receipt-Transmittal of Money Form shall be filled out in full. The cash, along with the original and one copy of the Receipt-Transmittal of Money Form, shall be taken to district business & benefits support for further processing. Also a copy of the Receipt-Transmittal of Money Form shall be placed in the district right of way file and a copy shall be forwarded to the Lotus Notes Group RW RAI.

236.5.6.1 Refund Request Guidelines

1. Any refund request of monies received toward the sale or lease of realty assets shall be emailed to the Controller’s Division, Accounts Receivable section with a copy to the RW RAI email group. The following information shall be included in the email:Transmittal number and date of transmittal

2. Grantee/Buyer of Record/Lessee

3. Remittance name and address

4. Type of real estate transaction (i.e. sale or lease)

5. Dollar amount and what step it represented (i.e. $250 for processing fee; $1,000 for *10% down payment)

6. County

7. Route

8. Acquisition Job or Project Number (If capital improvement, include job number, i.e. TJ number

9. Parcel Number, E Number, and/or File Number

Once processed, the Controller’s Division will respond by email that the check has been issued.

236.5.7 Identifying Excess Realty Assets

Any parcel of realty owned by the Commission might potentially become excess in time. Until it obtains an excess status as determined by the Asset Management Committee, all real property, including capital improvements, uneconomic remnants, permanent easements, mitigation sites, etc., is considered to be active.

236.5.7.1 Annual Review of Commission Land for Excess

Excess and future project land shall be periodically evaluated to determine whether the various parcels should be reclassified, conveyed, leased, or retained. The Realty Asset Inventory (RAI) shall be maintained to accurately reflect the true classification of each parcel. Land identified as excess, or available for lease, shall be marketed as such.

On an annual basis, the district Asset Management Committee shall review the excess inventory as well as land owned for future projects, and provide the Right of Way Division with a Work Plan by July 1 of each year. This Work Plan shall include the parcels that will be marketed and sold during the upcoming fiscal year.

236.5.7.2 Marketing Real Estate for Sale and Lease

Each district shall aggressively and expeditiously market property that is available for disposal or lease. When the Asset Management Committee determines that such properties are available, district right of way will proceed to actively market and sell the properties. Marketing shall go beyond merely working to sell parcels for which a request has been made. Examples of acceptable marketing venues include:

1. Internet Advertisements

2. Newspaper Advertisements

3. Use of Realtors

4. Sealed Bids

5. Open Houses

6. Public Auction

7. Special Signing

236.5.8 Marketing Guidelines

If a public sale is needed, a sale venue appropriate to the parcel shall be chosen based on the specific property and its potential value. Options include an auction, listing with a real estate broker, in-house marketing, or a competitive bid process.

For a public sale, formal advertising is required. The minimum requirements for any realty offered via public sale are:

1. Legible sign for at least 30 days indicating the property is for sale and a phone number or web address. This provides a minimal assurance of exposure.

2. Internet advertising is available through coordination with the Right of Way Division. The parcel can be submitted to central office for the web with the Web Detail Sheet.

Advertisements and signs shall indicate the contact information needed to obtain the sale details. Potential advertising methods include the internet, newspaper, printed material, media, real estate agents, national marketing firms, etc. Advertising costs shall be considered with the property sale potential in establishing a marketing plan.

236.5.9 Uneconomic Remnants

236.5.9.1 Definition

An uneconomic remnant is any area of real property in which the owner is left with an interest after the partial acquisition of the owner’s property, and in which the acquiring agency has determined that the area has little or no value or utility to the owner.

236.5.9.2 Disposal of Uneconomic Remnants During Negotiations

The district is authorized to negotiate for the exchange (trade) of Commission-owned uneconomic remnants for other property or rights needed for the project from adjoining property owners in accordance with procedures in Section 236.7 Negotiation.

236.5.9.3 Sale of Uneconomic Remnants Prior to Clearance of the Project

Prior to clearance of the project, the district is authorized to negotiate for the outright sale of any uneconomic remnants that were purchased and not traded during negotiations, in accordance with procedures set out in 236.5.26 Acquired Improvements.

236.5.9.4 Final District Action Involving Uneconomic Remnants

When negotiations are complete on a project, the asset management committee shall review all uneconomic remnants purchased and not disposed of to determine whether or not these uneconomic remnants will be retained as active real property or as excess property.

District design will assure that final plans are revised to incorporate uneconomic remnants retained as active real property. District right of way shall ensure that district design is aware of the changes that need to be made.

236.5.10 Excess by Change in Route Status

See 236.14.1.4 Change in Route Status Report (CRSR)).

236.5.11 Future Excess Property

When a project involves the realignment of a roadway, the existing roadway and associated property may become future excess property. Future excess properties may be appraised at the same time the property for the project is being appraised. The district may then negotiate for the exchange (trade) of Commission-owned future excess property for other property or rights needed for the project from adjoining property owners in accordance with procedures in 236.7.2.14 Payment Prior to Possession. If the deed is delivered prior to completion of the new project, the new deed shall include the following paragraph:

"The Missouri Highways and Transportation Commission retains full, free, and uninterrupted use and possession of the land herein conveyed until completion of construction and acceptance of the project for the construction of Route__________________ by the Commission’s District Engineer."

236.5.11.1 Disposal of Future Excess Not Traded During Negotiations

Upon completion of the project, the district shall attempt to sell all remaining excess not traded during negotiations. Procedures in 236.5.9.4 Final District Action Involving Uneconomic Remnants are to be used as a guide for the disposal of this remaining excess.

236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities

All conveyances and relinquishments of Commission-owned property shall be evaluated for the existence of any regulated utility facilities located within the areas to be conveyed or relinquished. Regulated utility facilities consist of the regulated utilities as defined by the Public Service Commission. By law, regulated utilities have the right to locate within Commission-owned property. Therefore, a conveyance or relinquishment of Commission-owned property may have implications to the utility facilities, and the utility providers who own such facilities, when the Commission no longer controls the property. It is important to maintain the continuity of utility facilities for the general public; therefore, to identify and minimize potential impacts, MoDOT shall involve utility providers in the conveyance and relinquishment processes.

236.5.12.1 Excess Land Conveyances Utilities

MoDOT shall only recommend that a property be declared excess upon satisfactorily addressing the utility impacts. Whether MoDOT or an external party initiates the conveyance of excess property, utility impacts shall be addressed by using one of the following methods:

1. Each utility will be relocated by permit into a new utility corridor retained by the Commission.

2. Each utility will remain in place with the benefit of a non-exclusive permanent utility easement.

If the Commission holds fee simple title to the property, the Commission shall convey a non-exclusive permanent utility easement to each utility provider.

If the Commission holds a less than fee simple title interest in the property, MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider.

3. Each utility will be relocated to another portion of the property being conveyed.

If the Commission holds fee simple title to the property, the Commission shall convey a non-exclusive permanent utility easement to each utility provider.

If the Commission holds a less than fee simple title interest in the property, MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider.

4. Each utility will be relocated onto a portion of the property already owned by the party acquiring the Commission-owned property, with the benefit of a non-exclusive permanent easement. (MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider.)

5. A three-party negotiated settlement taking into consideration the overall value of the proposed transaction.

6. Additional options to address utility impacts may be utilized with approval from the right of way director.

236.5.12.2 Road Relinquishment Utilities

MoDOT shall only recommend the relinquishment of roadways through the Change in Route Status Report upon satisfactorily addressing the utility impacts. If the roadway will be relinquished to a local public transportation authority, with the intent that it continues to be used as a public roadway, the following clause shall be included in the deed from the Commission to the local public transportation authority:

"Grantee, by acceptance of this conveyance, covenants and agrees for itself, its successors and assigns, to allow known or unknown utility facilities currently located on the property, whether of record or not, to remain on the property, and to grant the current and subsequent owners of those facilities the right to maintain, construct and reconstruct the facilities and their appurtenances over, under, and across the land herein conveyed, along with the right of ingress and egress across the land herein conveyed to and from those utilities."

Proposed roadway relinquishments to private entities shall be reviewed in a manner consistent with the conveyance of excess property described in 236.5.3 Asset Management Committee.

236.5.13 Utility Easements Across Commission Property

Utility easements across Commission property located outside of the land limits of the highway system may be granted without compensation if it offers a net benefit to the Commission property or Commission project. Such an easement shall otherwise require approximate fair market value. Such compensation may be determined to be offset by the value added to the site. The district may accept the valuation provided by the utility company if it appears reasonable. The district may value such easement based solely on the difference between the before and after values of the subject parcel. Even when it is in conjunction with a MoDOT project, the easement area shall be designed to limit the impact on the realty asset’s value. For instance, allowing a utility facility to be placed diagonally across a remnant should generally be avoided.

Easements are to be submitted on Form RW13, which must be approved as to form by the Chief Counsel's Office prior to Commission execution. The document is to be executed by the utility provider/grantee prior to submittal. Since the document conveys a realty interest, it will also be executed by the Commission’s Chair or Vice-Chair. Once fully executed, the district shall ensure that the document is recorded at the county recorder of deeds office. The submittal of the easement to the Right of Way Division shall include a plan sheet or site plan depicting the easement area, as well as a memo outlining the request with the value of the easement and/or, where appropriate, justification for not charging the utility provider. If the site contains a capital improvement, such as a maintenance building, the memo shall demonstrate concurrence from district general services. A property inventory record is not needed.

Easements shall not be granted within the land limits of the highway system.

All approved easement agreements, as a conveyance of a real property interest, shall be executed on behalf of the Commission by the Chairman or Vice-Chairman and attested to by the Commission Secretary.

236.5.14 Release of Temporary Easements and Retention Clauses

Occasionally a property owner will request that a temporary easement that is no longer in effect or retention of possession and use clause in a deed be released. This request is usually made at such time as the owner is selling the property and the easement or clause causes a cloud on the title. This release can be accomplished by one of the following, depending upon which method is acceptable to the title company handling the title work for the owner.

1. A letter stating that the project is complete and the easement is no longer in effect. The letter is to be signed by the district engineer.

2. An affidavit signed by the district engineer attesting to the completion of the project and release of the easement.

3. A quitclaim deed executed on behalf of the Commission by the Chairman or Vice-Chairman.

Quitclaim deeds to clear up clouds on titles created by temporary easements or retention clauses shall be executed by the Chairman or Vice-Chairman and attested to by the Secretary. No processing fee is charged in these situations.

236.5.14.1 Release of Permanent Easements

Permanent easements acquired by the Commission for special uses such as slope maintenance and drainage shall be processed the same as other excess as defined in 236.5.4 Origin of Request & Processing Fee.

236.5.15 Methods for Disposal

A. Fee simple interest is held; all types of excess property

When the Commission holds an excess stand-alone parcel in fee, the site shall be made available to any potential buyer and disposed of by public sale. However, if the parcel is determined to be non-stand-alone, the excess can be sold directly to the abutting property owner(s). If there is more than one abutting owner, each must be contacted to determine each owner’s interest in acquiring the area being considered for disposal or any part thereof. If all owners express an interest in the area, it should be disposed of by a competitive bid sale among the interested parties. However, it is possible for each abutting owner to purchase only a portion of the excess, or for one abutting owner to purchase the entire excess. If each owner agrees in writing to an apportionment of the excess, or if all but one of the abutting owners waives their interest by signing a waiver, a competitive bid need not be pursued and the single owner can be dealt with individually.

B. Stand alone excess; less than fee simple interest is held

1. Offer to sell the excess to the fee holder(s) based on an appraisal and proceed in good faith negotiations toward the sale of the Commission’s interest.

2. If the sale of the Commission’s interest to the fee-holder cannot be negotiated, the district shall negotiate a three-party agreement with the fee-holder and buyer whereby the sale proceeds are to be split between the Commission and the fee-holder. The district may then proceed to sell the excess by competitive bid or other public sale.

3. With prior approval of the right of way director, the three-party agreement may be waived and the property offered by public or directed sale as stipulated in said approval.

C. Non-stand-alone excess; less than fee simple interest is held

1. Offer to sell the property to the adjoining owner holding the fee at a price based on an appraisal and proceed in good faith negotiation toward the sale of the Commission’s interest.

2. Where the excess is a frontage strip, and no abutter holds the fee, divide the excess at right angles to the centerline at the existing abutters’ property corners. Offer to sell the property to the respective abutters and proceed in good faith negotiation toward the sale of the Commission’s interest.

3. When the property is valued at $10,000 or less, it may be conveyed to the adjoining owner for a $1 consideration, for the established value, or at an amount between $1 and the established value.

Other options may be pursued if each owner agrees in writing to an apportionment of the excess. If all but one of the abutting owners waives their interest by signing a waiver, there is no need for a competitive bid sale and the abutting owner can be dealt with individually.

The purchasers shall be advised of the Commission’s interest in the property, and that another party might hold the underlying fee interest. They are also to be advised that the Commission is willing to release its interest in the property; however, it will be the responsibility of the purchasers to explore the title to their satisfaction.

236.5.16 Legal Opinion of Title

Once the Committee has approved disposal of the excess, district regional counsel shall determine if the Commission has fee simple interest or less than fee simple interest in the area.

236.5.16.1 Fee Simple vs. Less Than Fee Simple Interest

This distinction represents the level of the Commission’s ownership in a parcel.

Excess conveyances require a legal opinion as to title to proceed. The Commission’s ownership interest in the property is to be determined. Relinquishments do not require a legal opinion as to title as long as the roadway will continue to be used as a public roadway.

The Realty Asset Sale Legal Opinion Memo may be provided for regional counsel’s use, or the district may use another format. The format shall clearly indicate the Commission’s ownership interest in each parcel that makes up the excess site.

All of the relevant acquisition documents are to be provided to regional counsel to establish a legal opinion of title. If the fee holder is to be identified, plan sheets of the acquisition project(s) are relevant, as well.

Alternatively, the district may obtain a title commitment from an approved vendor of title services. The title exceptions and requirements shall be carefully reviewed.

Where the Commission owns the fee, the title is not a limitation on the market potential (or pool of prospective purchasers) of the parcel. In this case, an appraisal will be the primary guide in determining the market for the property. See “Stand Alone” vs. “Non-Stand Alone” below.

Where the Commission owns less than fee, the title can present limitations on the market potential of the parcel. It is generally most preferable to deal with the fee holder, unless such a sale would create a “spite strip” or otherwise affect the rights of the abutters not holding the fee interest. Where the adjoiner is the fee holder, a direct negotiated sale to the fee owner shall be pursued.

236.5.16.2 Stand-Alone vs. Non-Stand-Alone

This distinction represents the market potential of a property. If the field of potential purchasers of a parcel is limited to the adjoining owner(s) by factors such as access, size, shape, value, etc., that makes its purchase unfeasible to any other member of the public, it is generally a non-stand alone property. If the field of potential purchasers reasonably extends beyond the adjoining owner(s), the parcel is a stand-alone property. This distinction is to be indicated in the appraisal.

If the Highest and Best Use is determined to be assemblage, the property can be considered to be non-stand-alone. Stand-alone parcels are to be marketed publicly to ensure a sale at approximate fair market value, whereas non-stand-alone parcels may be sold directly through good faith negotiations (based on an appraisal) to the adjoining owner(s).

236.5.16.3 Adjoining Ownership

RSMo 227.290 requires that in all instances, where the original grantor of excess to MHTC is still in possession of the adjoining property, that property owner shall be notified in writing before the consummation of any sale of the excess. Where that still-adjoining owner donated the property without cost to MHTC, the property shall be conveyed back to owner without cost.

236.5.17 Valuing Excess Property

RSMo 227.290 stipulates that the Commission is to obtain approximate fair market value for excess realty, except as addressed in this article (236.5 Property Management). For the purpose of this chapter in meeting requirements established in state statute and in the CFR, “approximate fair market value” shall include that prices (in money or exchange) concluded as follows: a) for excess parcels that are non-stand-alone or owned as less-than fee; through direct negotiation with the entire market for the property, such as all adjoining owners, or the fee owner; or, b) for marketable stand-alone excess parcels; through an open public sale process based upon the appraised value and subsequent good faith negotiations, a public auction, or other competitive bid process. The documentation submitted to the Right of Way Division shall demonstrate how the transaction represents the approximate fair market value of the parcel. For more on valuing excess property, see 236.6.3.7 Realty Asset Valuation.

The appraisal and the title opinion together help define the sale process most appropriate to the parcel. The appraisal is used to determine the potential market (stand alone or not) and the title opinion (fee or less than fee) may further define the field of potential purchasers.

236.5.18 Categorical Exclusion (CE) Review

A Categorical Exclusion (CE) is required for realty asset conveyances, leases, airspace agreements, and road relinquishments.

Full disclosure of the exceptions or conditions noted in the CE report shall be made to potential purchasers when conveying realty assets (provide a summary of the CE exceptions, not a copy of the form itself). All requirements included within the CE report shall be addressed prior to consummation of the transaction.

District right of way completes Section A of the Categorical Exclusion Form, and submits it with attachments to Environmental Unit, Design Division, Central Office. The environmental unit researches the request to make the CE determination and completes Section B of the CE form and returns it to District Right of Way.

236.5.19 Survey Requirements

To ensure compliance with Section 327.272 RSMo with regard to the disposition of right of way, the property description within each conveyance, if different from the property description within the acquisition document, must be reviewed by a professional land surveyor (PLS). The PLS may determine that the conveyance property may be adequately described without a survey, or that a survey is required for the conveyance.

Properties may be conveyed without additional surveys when the property descriptions are obtained from the last deed or deeds of record and are conveyed as a whole, without subdivision or alteration. If the Grantee is to provide the survey as part of the transaction, district right of way and a PLS shall review the survey to ensure that it encompasses the area approved by the Asset Management Committee and does not include land or features that the Committee intended to be retained.

District right of way makes a request to the Central Office Survey Staff for surveys of realty assets shall include the following:

1. The most current highway plans distinctively indicating the areas to be conveyed

2. The highway plans of the original acquisition parcels

3. The complete documents of acquisition for the excess area, whether deed or Report of Commissioners, with legible recording information

4. The last deeds of record for all adjoining properties, complete documents, with legible recording information

5. The complete title opinion for the property, and if available, any title commitments or insurance policies

6. The asset management committee’s approval as excess, particularly including any definition or clarification by the Committee as to the area to be excess. This may be accomplished by a plan sheet altered by district design to indicate the area to be conveyed.

7. Any other documentation gathered that pertains to the areas to be conveyed and/or surrounding the areas to be conveyed

236.5.20 Realty Transactions

Realty transactions involve an agreement, or contract, for the transfer of realty interests, and the fulfillment of the terms thereof, which usually includes the delivery of a deed.

236.5.20.1 Exchanges

Excess land may be negotiated in exchange for land needed for an MHTC project as described in 236.7.2.11 Uneconomic Remnants and Future Excess Right of Way. The value of a remnant in an exchange may be much greater than the diminished uneconomic value attributed to it when acquired and the best value shall be sought in an exchange.

Although a separate appraisal is not required in such an exchange, the value in exchange shall be shown to be the approximate fair market value and the details of the exchange provided in the Negotiator Report or Administrative Settlement for the acquired property. These documents are to be provided with the excess conveyance submittal.

A CE must be acquired for exchange parcels if one has not been specifically completed for conveyance of the parcel. If the appraised value of the excess parcel is $200,000 or more, the exchange will require Commission approval by Commission Minute. All excess can be used in the negotiations for the acquisition of land required for a project. The deed for the excess may be executed and delivered prior to project completion. If any part of it may be needed during the project, but the deed is to be delivered prior to project acceptance, continued possession shall be assured by the use of the retention of possession clause. Utilities shall be addressed in any exchange in the same manner detailed in 236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities. An RAI Form must be completed and submitted for both the excess and the acquired parcels in an exchange.

Other exchanges are possible, as long as the value received for the excess can be shown to be the approximate fair market value. Exchanges must comply with the NEPA process as far as obtaining clearance prior to acquiring a parcel.

236.5.20.2 Transaction Agreements

Whether by Sales Agreement or other agreement, all transactions shall include some evidence of the commitment by the grantee. While it will most often be in the form a Sales Agreement (RW22), other possibilities include a Roadway Relinquishment Agreement (RW 27), a Cost Share Agreement, a County or Municipal Agreement, or some other form approved by CCO. If the appraised value of an excess parcel is $200,000 or more, the authority to execute the document is to be established by Commission Minute, unless CCO determines such authority is granted otherwise in the delegation of authority policy.

District right of way shall use the Sales Agreement (RW22) on all sale transactions in the amount of $5,000 or more. When using the sales agreement, a 10% security deposit shall be collected at the signing of the agreement. The security deposit is in addition to the processing fee. The balance due at closing will reflect the settlement price minus the security deposit. A cashier's check, personal check, or money order tendered by the requesting party and made payable to "Director of Revenue - Credit State Road Fund" shall be required. Upon receipt of the security deposit, district right of way shall process a transmittal to District Business & Benefits Services as described in 236.5.6 Handling of Funds Received. The Sales Agreement Form RW22A may be used for nominal disposals where neither the Commission nor the grantee holds the fee interest.

The district engineer has the authority to execute sales agreements, which are contingent upon further Commission approval. However, any sales agreements with parcels having an appraised value of $200,000 or more must be presented to the Commission for consideration prior to execution.

In cases where the sale is unable to close on the date set out in the Sales Agreement, an Extension of Closing Date Addendum (Form 5-20.2), can be used to extend the closing date. Both the buyer and the district engineer shall sign the addendum. The extension agreement can be used as many times as necessary to extend the closing date, as long as both parties are agreeable to the extension. If either party is not agreeable to the extension, the contract is void. If the buyer is in default, the processing fee and security deposit shall be retained as per the agreement. If MoDOT is unable to deliver an executed deed, as per the agreement, the purchaser's processing fee and security deposit will be refunded.

Care shall be taken to address all of the specifics of the transaction. The Sales Agreement shall address access if it is limited, the billboard restriction if on a controlled route and fee is held, any easement reservations, and any further Committee stipulations, such as drainage plan approval. Additional conditions to the sale required by the CE shall be incorporated into the agreement. If the property is classified as a capital improvement, or otherwise includes structures to be included in the sale, district right of way will request an Asbestos Survey Report and Painted Concrete Report from the Materials Division.

236.5.20.3 Property Description in Sales Agreement

The sales agreement may provide that the Commission or purchaser provide the exact property description to be included in the deed. Alternatively, if the property description is included in the Sales Agreement, it shall be prepared in accordance with 236.4.6 The Description.

236.5.21 The Conveyance Document

All conveyances of real property or real property rights shall be executed by the Chair or Vice-Chair of the Missouri Highways and Transportation Commission.

A Quitclaim Deed, (Form RW1) is used to convey the Commission’s property interest. A Warranty Deed, (Form RW3), may only be used for capital improvement sites that were acquired in fee simple title by warranty deed, or with approval by regional counsel. The use of a general warranty deed is extremely limited. Concurrence to do so shall be sought from the Right of Way Division and regional counsel.

It is important to be thorough in addressing all issues that need to be in the deed. The Sales Agreement should be the primary point of focus for the deed. If done properly, the sale agreement will address all items that need to be within the deed. It is imperative that the deed writer ensures that the property description in the deed conforms to the survey requirements.

236.5.21.1 Billboard Clause

In compliance with Commission Policy, of August 9, 1996, the following billboard clause is required in all deeds of conveyance of excess realty owned in fee simple title where the property lies along the national highway system or designated scenic byways, unless specifically waived by the Commission. If you are unsure of a specific route, check with the outdoor advertising specialist in that area. Use the correct gender for grantee, either singular or plural.

"Grantee, for itself, its successors and assigns, by acceptance of this conveyance, covenants and agrees, and it is made a condition of this conveyance, that the property herein described shall not be used for the construction, erection or maintenance of billboards or advertising signs other than signs advertising activities conducted on the property or services and products therein provided. This shall be a covenant running with the land and is binding upon Grantee, its successors and assigns. Upon a breach of this covenant and after 10 days' written notice to Grantee or its assigns to remove said offending sign as described above, Grantor retains the right to enter the property herein conveyed and remove said sign at the sole expense and liability of Grantee or its successors and assigns."

236.5.21.2 Controlled Access

When no access or a specific access break is to be granted along with the conveyance of an excess property, an access clause shall be included in the conveyance document.

236.5.21.3 Utilities

Utilities shall be addressed according to 236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities.

236.5.21.4 Retention of Possession

It is possible to sell or exchange excess prior to project acceptance. When the deed is delivered prior to completion of the new project, the deed shall include the following paragraph”

"The Missouri Highways and Transportation Commission retains full, free, and uninterrupted use and possession of the land herein conveyed until completion of construction and acceptance of the project for the construction of Route_________________ by the Commission’s District Engineer."

236.5.21.5 Reversion of Property to the Commission

There may be situations when it is in the best interest of the Commission to convey property to another party with conditions that would result in the property reverting to the Commission’s possession. When instances like this occur, a reversionary clause shall be included in the deed. Contact the district’s regional counsel’s office for assistance with developing a reversionary clause appropriate to the specific situation.

236.5.21.6 Public Use

There are situations when it is in the Commission’s best interest to convey property to a city, county, or other political subdivision that is to be used solely for public purposes. In conveyances such as these, the conveyance deed shall include a clause that results in the property reverting to the Commission should the property cease to be used for public purposes. Consult with the district’s regional counsel’s office for assistance with developing language appropriate to the specific situation.

236.5.21.7 Acceptance of Conveyance

When excess property is conveyed to a city, county, or other political subdivision, the district shall obtain an Acceptance of Conveyance (Form RW42) document executed on behalf of the city, county, or political subdivision.

236.5.22 Transaction Submittal to Right of Way Division

All conveyances and relinquishments shall be reviewed and approved in the district prior to submittal to the Right of Way Division. Once reviewed and approved by the district, a parcel packet shall be saved to the RAI FTP site as a subfolder labeled with the packet’s “E” number within the district’s folder. When the parcel packet has been saved to the FTP site, the district shall send an email to the “RW RAI” group stating that the parcel is ready for processing. Parcel packets shall include the following:

1. Transaction Memo, which describes the chain of events leading to the transaction submittal (RWmemo.doc)

2. Copy of executed agreement, if applicable (SlsAgrmnt. pdf)

3. Quitclaim deed or other deed of conveyance (Deed.doc)

4. Categorical Exclusion Review (CE.pdf)

5. Appraisal of the property (Appraisal.pdf)

6. Title Opinion or Commitment, including acquisition documents (Title.pdf)

7. Highway Plan as acquired with a depiction of the excess (AcqPlan.pdf)

8. Current highway plan with a depiction of the excess (ExstPlan.pdf)

9. RAI Form (RAI.doc)

10. Survey of the parcel (Survey.pdf)

11. Asset Management Committee Minutes (AMC.pdf)

12. Utility determinations and correspondence (Utilities.pdf)

13. Maps or aerials showing the property (Maps.pdf)

14. Administrative Settlement on property exchanged, if applicable (AdmStlm.pdf)

15. Copy of advertisement, if sold by a competitive bidding process

16. Other relevant documents (Misc.pdf)

236.5.23 Agreement Approval and Deed Execution

The Right of Way Division will review the submittal. Upon concurrence that the proposal is in the best interest of the Commission, the Right of Way Division shall pursue Commission approval of the conveyance, as prescribed in the Commission’s Execution of Document Policy or by specific Commission Minute. The Sales Agreement (RW22) is contingent upon such approval. When in accordance with 236.5.1.1 Federal Highway Administration (FHWA) Oversight, FHWA concurrence is required for the transaction. The Right of Way Division shall seek FHWA approval when required. Commission approval shall not be obtained without the required concurrence by FHWA.

With the required approvals of the request, the deed of conveyance will be forwarded to the Commission Secretary for execution by the Chair or Vice-Chair on behalf of the Commission. If approved by the Commission, the deed will be executed on behalf of the Commission.

236.5.24 Closing Sale

Upon receiving the executed instrument, the district shall arrange the closing of the sale. The closing can either be handled in person or by mail. If handled in person, it is recommended that a department representative meet the buyer at the County Recorder’s Office. The buyer shall tender the balance of the purchase price by either cashier’s check or money order. Upon receiving the balance of the purchase price, the district representative will deliver the deed to the buyer and have the buyer record the deed. If the closing is handled by mail, the buyer shall be advised to send the district a cashier’s check or money order for the balance of the purchase price along with a check made payable to the county recorder for the recording fee. The district will mail the deed aloing with the check for recordation to the recorder’s office with a request the deed be returned to MoDOT. When the recorded deed is returned, copies shall be made as required and the original recorded deed shall be sent to the grantee.

The district shall place either a copy of the recorded deed, or a copy of the executed deed with the recording information written on it, in the district deed file. It shall be filed with the deed by which the property was originally purchased. A copy of the executed deed, plat, plan sheet, and area map shall be furnished to district maintenance and the Design Division.

236.5.25 Leases and Airspace License Agreements

All non-highway use of Commission property is to be administered through an approved agreement. The use of Commission real property is generally addressed with a Lease (RW14) or Airspace License Agreement (RW28).

Leasing excess Commission real property is generally not desirable, and should only be done as an interim solution to selling the excess.

The Asset Management Committee shall decide if an area is available for non-highway use, subject to an environmental review. An approved use must be consistent with the continued operation, maintenance, and safety of the facility, and such use shall not result in the exposure of the facility’s users or others to hazards. The committee shall also recommend the duration period of the agreement. The terms of any agreement are subject to approval by the right of way director, and for areas within the Interstate System, concurrence from FHWA.

The committee shall be presented with all of the relevant details of a proposed use. If the requested area is beneath a highway structure, the Security Assessment for Leased Areas shall be provided as completed for review of the security requirements. It is incumbent upon the committee to provide for the direction needed to address all relevant factors of a request, including the oversight of proposed tenant improvements, if any.

On-premise signs, displays, or devices indicating the type of on-premise activities may be erected independently or upon structures occupying highway airspace. Nothing classified as outdoor advertising shall be permitted. Local ordinances and requirements shall apply. Uses allowed by lease or license agreements shall not include the manufacture or storage of flammable, explosive, or hazardous material or any occupation that is deemed by MoDOT to be a hazard.

236.5.25.1 Application/Request for Leases

The application or request may be generated internally or externally. A $250 processing fee is required for new lease and license requests. The fee is not to be applied to the rental payments, but is refundable should the request be denied. Requests from governmental agencies for non-proprietary uses may be processed without charge and without a processing fee.

Each of the following items must be included in an application:

1. Identification of the party requesting the use, as well as any others who may be responsible for developing, occupying, and maintaining the airspace

2. A general statement of the proposed use

3. The proposed design for the use of the space, including any facilities to be constructed, if any

4. Maps, plans, or sketches to adequately demonstrate the relationship of the proposed project to the highway facility, with the level of detail in proportion to the complexity of the request

236.5.25.2 Environmental Review for Leases

A Categorical Exclusion (CE) shall be obtained prior to any new lease or license agreement , but is not required for a lease renewal as long as the use remains the same. Any special terms of the CE shall be incorporated into the lease or license agreement.

236.5.25.3 Valuation – Compensation for Leases

If a non-proprietary use (as agreed by Counsel) is proposed by a political subdivision of the state, or other governmental entity, the district engineer may authorize such a lease or license agreement without charge. No appraisal is needed if this option is pursued. FHWA concurrence is required for properties within the Interstate System.

The value of the lease or agreement shall otherwise be established in accordance with the 236.6.1 Overall Operating Policies. The lessee shall be charged the value as so established, or another amount logically reasoned to be in the best public interest and approved by the Right of Way Director.

236.5.25.4 Marketing Properties for Lease

Leases for areas that have only one prospective tenant may be directly negotiated without marketing or a bid process. If there is more than one prospective lessee, it shall be shown that all prospective adjoining property owners are afforded the opportunity to bid on the lease. Dividing the lease area between interested parties may be an option. Those areas that have a market potential beyond the adjoining property owners shall be made available to the public through a competitive bidding process. The level of advertising is at the district’s discretion, but it shall not preclude the notification of the adjoining owners. A real estate broker may be enlisted as with marketing excess properties.

236.5.25.5 Risk Assessment

The standard lease insurance limits are $500,000 per individual and $3 million per occurrence. A reduction or waiver of the standard insurance limits may be permitted through a Risk Assessment Form. The district engineer may sign the assessment. The risk assessment form shall be included with the lease submittal to Central Office when the required insurance is reduced. A copy is to be forwarded to the Risk Management Director for quality assurance tracking and review. See Risk Management Ch 9 and 10/05/06 Blanket Exception –(2)Leases.

236.5.25.6 Security Assessment for Leased Areas

When the proposed agreement includes an area beneath a highway structure or it proposes a structure to be placed above or beneath a highway facility, a Security Assessment Form shall be completed by a district bridge representative. The security provisions established shall be incorporated into the agreement. The Security Assessment form shall be provided to the Right of Way Division with the lease submittal.

Additionally, when the lease is intended to allow automobiles to be driven or parked in an area beneath a highway structure that includes piers supporting the structure, as a minimum precaution, a Bridge Column Protection for Vehicular Traffic diagram shall be attached as Exhibit A-1 and the following shall be added to the lease :

"At Lessee's expense, Lessee will provide and maintain wheel stops around Lessor's concrete piers located in the leased area. The exact specification concerning said wheel stops are contained in Exhibit A-1, which is attached to this lease agreement and made a part thereof. Lessee will maintain during the term of the lease said wheel stops in good condition and appearance. Ownership of the wheel stops around the concrete piers of the viaduct and any surface improvements, shall pass to the Lessor absolutely at the end of the term of the lease."

When the lease is intended to allow for truck traffic beneath a highway structure, as a minimum precaution, a Bridge Column Protection for Truck Traffic diagram shall be attached as Exhibit A-2 and the following shall be added to the lease:

"At its own expense, Lessee will provide and maintain corrugated metal jackets backfilled with sand around Lessor's concrete piers located in the leased area. The exact specifications concerning these protective jackets are contained in Exhibit A-2, which is attached to this lease agreement and made a part thereof. Lessee will maintain, during the term of the lease, said protective devices in good condition and appearance. Ownership of the protective corrugated metal jackets around the concrete piers of the viaduct and any surface improvements, shall pass to the Lessor absolutely at the end of the term of the Lease."

All stipulated security measures shall be inspection items for the continued maintenance of the lease.

236.5.25.7 Lease of Premises

The Lease of Premises (RW14) addresses the minimum required provisions for a lease without further review by CCO. Additional stipulations by the Asset Management Committee, the CE, or the Security Assessment shall be incorporated into the lease when appropriate. Revisions to the standard form are to be approved by CCO. This form is for a distinct period not to exceed five (5) years, unless prior approval has been obtained from the Right of Way Division.

Where the leased area crosses the plane of a highway facility improvement, such as the lease of space beneath a highway structure, the property description shall adequately address the three-dimensional aspects of the leased area. At a minimum, the area description shall include the following:

"The vertical dimensions of the described property leased herein stops at and shall not extend above a plane horizontal to and eight (8) feet below the underside of the viaduct carrying said (Route) passing along and above the described premises."

Leases of Commission property are to be approved and executed by the right of way director.

236.5.25.8 Airspace License Agreements

Airspace is that space within the boundaries of the highway system not physically occupied by the highway facility. Although a lease (RW14) of airspace is technically an “airspace agreement,” the Airspace License Agreement (RW28) allows for a more permanent use, generally to accommodate a specific structure or improvement to be constructed, used, and maintained by the licensee. Examples of situations in which an airspace agreement is applicable are:

1. tunnels under the highway,

2. overhead walkways,

3. trails,etc.

Form RW28 is more of a template than most forms and the final agreement will require extensive collaboration between the district and CCO.

Because each Airspace License Agreement is specific to the requestor, exploring other prospective users or marketing options is not needed.

236.5.25.9 Lease/Airspace License Submittals to Right of Way Division

Airspace License Agreements and complex new leases shall be submitted to the Right of Way Division prior to execution by the licensee for concurrence by the right of way director. Non-complex leases, such as those with no form revisions, for appraised value, to the only eligible lessee, do not require prior submittal.

Airspace License Agreements and new leases on the Interstate System must be reviewed and approved by FHWA as described in 236.5.1.1 Federal Highway Administration (FHWA) Oversight prior to execution.

All supporting documents of each request are to be transmitted electronically via the ftp site as described in 236.5.22 Transaction Submittal to Right of Way Division and are to include the following items:

1. Transaction Memo, which describes the chain of events leading to the lease submittal.

2. Asset Management Committee Minutes

3. RAI Form

4. Current highway plans of the area

5. Highway plans of the area as acquired

6. Appraisal or other valuation documents

7. Categorical Exclusion determination

8. Security Assessment, if applicable

9. Risk Assessment, if applicable

10. Insurance binder for the required coverage amount, naming MHTC as an additional insured

11. Copy of the request from leassee/licensee

In addition to these electronic submittals, four (4) originals of the agreement (one each for the district, the Right of Way Division, Controller, and lessee) executed by the lessee/licensee shall be submitted to Central Office for review and execution. When needed, execution by CCO for approval as to form will be obtained through Central Office. However, the district must ensure that the document has been approved by CCO prior to execution by the lessee/licensee.

The Right of Way Division reviews all proposed leases and airspace agreements. When required within the parameters outlined in 236.5.1.1 Federal Highway Administration (FHWA) Oversight, the Right of Way Division shall submit the proposal to the FHWA for concurrence. Additional support or revisions may be required for approval.

When a lease is approved, and necessary CCO approval as to form is obtained, and FHWA concurrence is obtained, the right of way director will execute the lease. (See the Execution of Documents Policy).

Once approved and executed, the district shall receive two executed agreements. The district shall retain an original and deliver the other to the lessee/licensee. A copy of the insurance certificate shall be collected and a copy forwarded to the Right of Way Division. District maintenance shall also be advised of the lease agreement.

Upon approval of the agreement, Accounts Receivable will coordinate rent billing and collection. Thereafter, lease payments should be sent by the lessee/licensee directly to the Controller.

236.5.25.10 Initial Inspection & Annual Inspections

Upon establishment of a lease or airspace license agreement, the district must establish initial compliance with any conditions of the agreement, including security measures.

The district shall inspect each leased or licensed site at least once a year to ensure compliance with the terms of the lease and/or license, which will be tracked in the RAI.

236.5.25.11 Renewal of Lease Agreements

The District Asset Management Committee shall review all renewals.

Prior to the expiration of a lease, a determination shall be made by the district whether the lease may be renewed to the current leasee, or will be remarketed. If only one party is interested, district right of way may negotiate an acceptable rental arrangement. In all cases, a current rental study shall be prepared.

After preparation of the new lease, four (4) original copies executed by the lessee, along with two (2) copies of the rental estimate and a letter summarizing the district's review shall be forwarded to the Right of Way Division for approval and execution. The submittal letter shall state if this is a new lease or a renewal.

236.5.25.12 Cancellation of Lease or Airspace Agreement

If a lease agreement is not renewed, or if either party desires to terminate a lease or airspace agreement, a letter shall be forwarded by the district to the lessee/licensee detailing the expiration, cancellation, or termination including the date of repossession of the property. The district shall concurrently forward the letter electronically to the Right of Way Division and the Controller to advise of the action. The district shall also forward the notice to all appropriate district personnel.

An inspection of the property to ensure possession and condition of the property shall be relayed to the Right of Way Division and any appropriate district personnel.

236.5.26 Acquired Improvements

236.5.26.1 Inventory

All improvements that can be removed intact or razed from property and/or property rights acquired shall be included in an inventory compiled by project and parcel. Such improvement information should be assembled from the appraisal documents, Negotiator's Report, appropriate legal documents, or by field inspection.

The improvement inventory record shall be maintained by each right of way office on the Improvement Inventory Form (Form 5-26.1) and shall be placed in each project file.

When outdoor advertising is acquired, the outdoor advertising specialist shall be notified through the Outdoor Advertising Profile Report.

236.5.26.2 Asbestos Inspection Request

Prior to the sale or demolition of any improvements acquired as part of a project, the Construction and Materials Division is to perform an asbestos inspection. Requesting the inspection is the responsibility of district design. Upon receiving possession of all improvements on a project, or at least a sufficient number to make efficient use of inspection time, district right of way shall provide the following information to district design:

1. Job number

2. Tract numbers of properties to be inspected

3. Addresses of properties to be inspected

4. Plan sheets showing location of the properties

5. Appraisal floor plan sketches of ALL buildings to be inspected

236.5.26.3 Rodent Control

Upon possession of improvements, district personnel shall inspect the premises and determine if rodents are present. Where such inspection reveals the presence of rodents, immediate action shall be taken to provide proper extermination, except where the improvement is to be immediately removed by a demolition contractor and extermination is a part of the contract. The Missouri Pesticide Act restricts the purchase and application of restricted-use pesticides to individuals who are certified through the Department of Agriculture. MoDOT does not have certified personnel to handle these restricted-use pesticides and a state-certified professional rodent exterminator should be contacted. Where land and improvements are acquired adjacent to or as part of a sanitary landfill and evidence of rodents exist, the district should notify the Right of Way Division that they will coordinate the extermination through the Division of Health.

236.5.26.4 Extension of Possession

When the proposed letting schedule permits, an owner or tenant may be authorized an extension of possession based on a monthly rental rate, as hereinafter set out. An Extension of Possession Agreement shall be used when the original occupant is allowed to extend possession up to one year. If it is necessary to extend possession beyond the one year time period, the Extension of Possession Agreement shall be cancelled and replaced with a Lease of Premises Agreement. An extension of possession that is expected to last beyond one year is to be written on a Lease of Premises Agreement rather than an Extension of Possession Agreement. The district engineer can execute an Extension of Possession Agreement but only the director of program delivery, or the right of way director can execute a Lease of Premises Agreement for MHTC real property on behalf of the Commission. Several requirements with reference to preparing this agreement are set forth in 236.8.1.14(e). After execution, a copy of the Extension of Possession Agreement is to be forwarded to the Right of Way Division.

When an owner or a tenant is granted an extension of possession, a monthly rental rate shall be established and collected in advance for each monthly period of extension. The rental value for owner-occupied and tenant-occupied property will be determined as follows:

1. Owner-Occupied

The monthly rental rate for an owner-occupied improvement will be based on one of two methods: (a) 80 percent of the economic rental rate as determined from the market for comparable units, or (b) two-thirds of one percent of the agreed purchase price of the property when market rental data is not readily available. It will be necessary to apply the "carve out" method if only a portion of the property is to be rented, with the rate being established to the nearest dollar.

2. Tenant-Occupied

The monthly rental rate for tenant-occupied property will be 80% of the actual rent being paid by the tenant when the property is acquired. In rare cases where tenants are not paying rent, the monthly rental rate will be 80% of the economic rental rate for similar property within the area. All rates shall be computed to the nearest dollar.

3. Free Extension

Sometimes as a result of an approved administrative settlement, an extension of possession may be granted at no cost.

4. Cancellation

When either party cancels an Extension of Possession Agreement, the district shall advise the Controller’s Division by letter of such action with a copy to the Right of Way Division and any appropriate district offices.

If the Extension of Possession Agreement is being replaced with a Lease of Premises Agreement, it is not necessary to notify the Controller’s Division. Four copies of the Lease of Premises Agreement are to be submitted to the Right of Way Division with an explanation that the lease is replacing the Extension of Possession Agreement.

236.5.26.5 Acquisition and Disposal of Mobile Homes

The Department of Revenue in Jefferson City has advised that state agencies are not required to hold title and can purchase mobile homes on a bill of sale. The bill of sale must be notarized. At the time of disposal, a new bill of sale should be used and the title and a copy of the original bill of sale given to the buyer, who, in turn, will take it to the Department of Revenue for transfer of title. The title will actually transfer from the previous owner to the new owner. With a copy of the bill of sale in hand indicating the state held the title until transfer, the new owner will not have a penalty to pay.

At the time of disposal, the district engineer can sign the title for the sale of the mobile home as provided in the Execution of Documents Policy.

236.5.26.6 Disposal of Improvements

Districts are authorized to dispose of improvements by public sale after asbestos testing and abatement action has been completed (see 127.8 Hazardous and Solid Waste for more specific guidelines). Public sale can be either by auction or sealed bid. When conditions warrant, prior approval may be obtained from the Right of Way Division to dispose of improvements without a public sale. If the improvements are salvaged back to the owner, asbestos testing and abatement is not required.

When sealed bids are taken for the disposal of improvements, a 10% deposit in the form of a cashier's check, personal check or money order shall be required along with the bid. This 10% deposit shall be part of the purchase price for the successful bidder. As soon as the bids are in and the improvement awarded to the successful bidder, all other deposits will be returned. Prior to submitting a bid, all prospective bidders shall be made aware that if the successful bidder declines the purchase of the improvement, the deposit will be forfeited.

Those improvements subject to vandalism should be disposed of as soon as possible after possession. If prompt disposal of such improvements is not possible, the property should be secured (boarding up all doors and windows) by maintenance personnel or by an independent contractor. If independent contractors are used, they shall be employed by competitive bidding or in emergency or hazardous situations by securing estimates from known contractors.

Every attempt must be made to allow the public adequate notice of the sale. The district can either advertise in local newspapers in the area with general circulation or place a for-sale sign on the property. The advertisement or sign should provide instructions of where to obtain more information about the property for sale. If the sale is advertised in a local newspaper, the Controller’s Division requires an affidavit to accompany the statement and a copy of the advertisement before payment will be made.

The purchaser of any improvement shall be required to execute the Sale of Improvement and Performance Bond Agreement (Form 5-26.6). The agreement is to be signed by the district engineer or designated representative. The amount of the performance bond should cover any cost the Commission would incur if the purchaser fails to comply with the terms of the agreement. This agreement may be revised for special situations subject to approval by the Right of Way Division and the Chief Counsel's Office. Checks for improvements are to be made payable to the "Director of Revenue-Credit State Road Fund." Checks for performance bonds are to be made payable to the "Director of Revenue-Credit State Road Fund-Escrow Account." Submit performance bond by separate check.

All receipts and performance bonds shall be submitted directly to district controller’s office with a copy of the transmittal to the Right of Way Division.

236.5.26.7 Transferring Improvements or Fixtures

When it is determined that other departments have a need for certain improvements or fixtures from a right of way project, a transfer of such improvements or fixtures must be documented by the district and prior approval of the transfer must be received from the district engineer of the district initiating the transfer request. When all approvals are secured, the Right of Way Division will process the proper paper charge documents through the Controller’s Division thereby transferring the improvement or fixture to the requesting department. District right of way shall take appropriate action to record such transfers on the project Improvement Inventory Form.

236.5.26.8 Removal by Demolition Contract

When the district determines that it is in the public interest to raze improvements on a given project, district design will be responsible for administering this activity. District right of way shall advise district design when legal and physical possession of the improvements is obtained. District right of way shall take appropriate action to record such action on the Improvement Inventory Form.

All preconstruction demolition charges shall be a part of the right of way project.

236.5.26.9 Backfilling

When considered necessary by the district engineer, MoDOT will backfill basements, swimming pools, etc., either by state personnel or contract. All such contracts will be awarded based on competitive bids. Each district shall use the following documents Specifications for Filling Basements and/or Foundations (Form 5-26.9) and Contract Agreement (Form 5-26.9a) (the specifications and a contract) on a county, route, and project basis. Advertising for bids shall be in local newspapers and all persons qualified to accomplish this work shall be furnished copies of the bid proposal. Contractor's Notice to Proceed shall be issued at the earliest possible date.

Supervision of backfilling will normally be the responsibility of the Construction and Maintenance Division. Each district should develop internal procedures for such inspections.

236.5.26.10 Plugging Wells

Measures must be taken immediately following possession of the property to ensure that uncapped wells do not become contaminated by surface water or debris prior to the final plugging during the construction stage. This can be done by one of the following methods:

1. Proceed immediately to plug the well in accordance with Standard Special Provision.

2. Proceed immediately to spot weld a steel plate across the top of the steel well casing to temporarily protect the well from contamination until it is finally plugged by the roadway contractor.

Care should be taken to ensure that wells are not contaminated by debris when the house is moved from the site. The well is subject to contamination from the time the pump is removed and steps should be taken to prevent contamination as early as possible.

District construction is responsible for assuring wells are plugged in the proper manner and that the affidavit of plugging is furnished to the Clean Water Commission.

236.5.27 Removal for Public Safety

If hazardous conditions are created by burned-out buildings, cisterns, ponding in basements, or through vandalism that are of an immediate danger to public safety, districts must take corrective action to eliminate the hazard. Upon written requests from the district, the Right of Way Division will authorize corrective action without the benefit of competitive bids. All costs incurred in correcting hazardous conditions shall be charged as incidental costs to the right of way project involved.

236.5.27.1 Billboards Disposal Process

Districts shall determine a salvage value for a billboard as part of the parcel appraisal process and offer the structure back to the original owner. Salvage value is the probable sale price of an item if offered for sale to knowledgeable buyers, including the previous structure owner, with the requirement that it be removed from the property at a buyer’s expense. This includes items for re-use as well as items with components that can be reused or recycled when there is no reasonable prospect for sale except on this basis. The salvage value for billboard structures shall address the previous owner’s ability to utilize or move the salvaged item.

If the previous owner elects not to salvage the billboard, districts are authorized to dispose of the improvement by public sale. When conditions warrant, prior approval may be obtained from the Right of Way Division to dispose of improvements without a public sale.

In order to facilitate negotiations, district right of way may agree to leave a sign in place for a specific period of time by use of an Extension of Possession Agreement, (Form RW12), for the structure and the site. The agreement shall specify a definite date of expiration and physical possession. The term of the agreement shall in no way reference the project schedule.

It is imperative, in all instances, when outdoor advertising is acquired, the Outdoor Advertising Unit of the Right of Way Division must be notified. District right of way will contact the ODA specialist to schedule an “ODA Structure Inventory.” This inventory will be conducted during the conceptual plan/location study stage. The district right of way representatives and the ODA representative will travel the project while conducting an ODA inventory of potential impacted structures that are located near the preferred alignment. Pictures and notes will be taken at this time.

The ODA specialist will generate the profile form located in theTravelway Management System (TMS) and forward to district right of way. District right of way will place the forms in the General file.

If the structure is to be removed by district maintenance, upon acquisition, an email will be generated by the negotiator and sent to the appropriate area engineer, resident engineer, shed supervisor, and ODA specialist, notifying them of the acquisition. The request should ask that the structure be removed. This email will serve as the notification to ODA and no additional billing statement will be sent to the former owner of the sign. Upon removal by maintenance staff, a return email from the area engineer will be sent to the ODA specialist and the project manager verifying removal. ODA will track and monitor the removal. If the project manager is informed promptly after removal, structures will not be included in the contract.

If the structure is to be removed by a contractor, upon acquisition, the negotiator will complete the form and place a copy in the tract file and send the original to ODA.

The ODA specialist will track the removal of the structure. The ODA specialist will follow-up with the resident engineer to determine the approximate timeframe prior to removal.

236.5.27.2 Improvement Removal by Road Contractors

All improvements that remain on the right of way and are to be removed should be reported to district design prior to awarding the construction contract. These items will be included as a part of the construction contract. The project Improvement Inventory should be completed to indicate these items are included for removal in the prime construction contract.

236.5.28 Access Rights

236.5.28.1 Purpose

This information establishes procedures for the preparation of deeds and/or appraisals for changes in granting access rights on limited or fully controlled highways.

236.5.28.2 Entrance "Widening" or "Widening and Shift"

Access control is the responsibility of the Traffic Division. Shifts and/or the widening of entrances and the granting of access rights are handled by agreements prepared by the Traffic Division. These agreements are recorded.

1. Conveyance from MHTC

District right of way shall prepare a quitclaim deed on any entrance shift, widening, widening and shift, or granting of access rights on limited access highways at the request of district traffic. The deed shall be sent to district traffic as soon as possible, and they, in turn, will forward it to the Traffic Division. The Traffic Division will present the deed along with the agreement to the Commission for consideration. When the Commission has executed the agreement and deed, they will be returned to district traffic. District traffic will give the agreement and deed to district right of way for recording. If the agreement is approved before the deed is prepared from the Commission to the property owner, the deed, when prepared, shall be forwarded to the Traffic Division who will forward it to the Commission Secretary for execution on behalf of the Commission by the Chairman or Vice Chairman of the Commission.

2. Conveyance to MHTC

Should the property owner have to execute a general warranty deed to the Commission releasing the existing access rights, it shall be recorded at the same time as the agreement and deed from the Commission to the property owner.

NOTE: In situations where the new access rights overlap the existing access rights, the deed releasing the existing access rights must be recorded first.

The following paragraph shall be included in all conveyances to property owners involving limited access changes at locations that could be affected by future facility upgrade to expressway or freeway standards in the right of way and construction program:

"The herein change in limited access between the property and the highway shall continue as long as the Missouri Highway and Transportation Commission does not upgrade the present highway to an expressway or freeway. If the Missouri Highway and Transportation Commission makes the decision that the highway should be upgraded to expressway or freeway standards, then the herein access change will cease and any access between the property and the highway will revert back to the access status which existed immediately prior to the execution of this document. This condition is a covenant running with the land and will be binding upon all successors and assigns of the parties herein. Further, the reversion to the earlier access status will be without any compensation to the holder of the access rights. The reversion to the earlier access status will not affect any compensation to be paid for the acquisition of additional right of way. The decision to upgrade the highway to expressway or freeway standards is in the sole discretion of the Missouri Highway and Transportation Commission."

236.5.28.3 Compensation for Changes in Access

1. Contiguous Properties

Compensation to the Commission for changes in access rights on contiguous property will be according to the Value Determination Schedule. It is the responsibility of district traffic to determine the amount of compensation in accordance with the schedule.

2. Noncontiguous Properties

Compensation for a shift in access rights between noncontiguous properties shall be determined by an appraisal, when there is a change in highest and best use, or a demonstrable change in density of use to the property to which the access rights are being shifted. The amount of compensation shall be based on the appraised enhancement value to the property receiving the break in access. If there is no change in highest and best use or density of use, the compensation is to be determined from the Value Determination Schedule.

3. Break in Access

Compensation for a break in access, in which no shifting of an entrance is involved, is to be determined by an appraisal. The compensation charged shall be the enhancement value to the property for the break in access or determined from the Value Determination Schedule, whichever is higher.

4. Responsibilities

With respect to the above, it is the responsibility of district right of way to advise district traffic of the appraised enhancement value to the subject property. The responsibility of district traffic is to collect the appraised enhancement value from the property owner.

236.5.29 Departure Provisions

Specific political subdivision regulations may necessitate deviation from the above policies. Where deviations are required, the district shall advise the Right of Way Division. The Right of Way Division must approve deviation to the established policy.

@@ Line 3: / Line 3: @@
 |'''Forms'''
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW28%20Airspace%20License%20Agreement.doc Airspace Agreement (Form 5-5.6, RW28)]
+|[http://wwwi/intranet/cc/contracts/RW/RW42%20%20Acceptance%20of%20Conveyance%20by%20County%20or%20Other.doc Acceptance of Conveyance (Form RW42)]
 |-
-|[http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot CE Determination (Form 3-1.2)]
+|[http://wwwi/intranet/cc/contracts/RW/RW13%20%20Agreement%20for%20Utility%20Easement.doc Agreement for Utility Easement]
 |-
-|[[media:236.5 Form 5-6.9a.doc|Contract Agreement (Form 5-6.9a)]]
+|[http://wwwi/intranet/cc/contracts/RW/RW28%20Airspace%20License%20Agreement.doc Airspace Agreement (Form RW28]
 |-
-|[[media:236.5 Form 5-4.5a RW22.doc|Extension of Closing Date Addendum (Form 5-4.5a)]]
+|[[media:236.5 Bridge Column Protection Truck Traffic.pdf|Bridge Column Protection Truck Traffic]]
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement (Form 5-6.4, RW12)]
+|[[media:236.5 Bridge Column Protection Vehicular Traffic.pdf|Bridge Column Protection Vehicular Traffic]]
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW03%20General%20Warranty%20Deed%20471A.doc General Warranty Deed (Form 5-7.2b, RW03)]
+|[http://epg.modot.mo.gov/forms/DE-Env&Cultural/Categorial%20Exclusion%20Form.dot CE Determination (Form 3-1.2)]
 |-
-|[[media:236.5 Form 5-6.1.doc|Improvement Inventory (Form 5-6.1)]]
+|[[media:236.5 Contract Agreement (Form 5-26.9a).doc|Contract Agreement (Form 5-26.9a)]]
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc Lease of Premises (Form 5-5.5, RW14)]
+|[[media:236.5 Extension of Closing Date Addendum (Form 5-20.2).doc|Extension of Closing Date Addendum (Form 5-20.2)]]
+|-
+|[http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement (RW12)]
+|-
+|[http://wwwi/intranet/cc/contracts/RW/RW03%20General%20Warranty%20Deed%20471A.doc General Warranty Deed (RW3)]
+|-
+|[http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record%20Instructions.dot Instructions for the Property Inventory Record]
+|-
+|[[media:236.5 Improvement Inventory (Form 5-26.1).doc|Improvement Inventory (Form 5-26.1)]]
+|-
+|[http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc Lease of Premises (RW14]
 |-
 |[[media:236.7 Form 7-2.13.doc|Negotiator's Report (Form 7-2.13)]]
 |-
-|[[media:236.5 Form 5-6.6.doc|Performance Bond Agreement (Form 5-6.6)]]
+|[http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot Property Inventory Record]
 |-
-|[http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot Property Inventory Record]
+|[http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473.doc Quitclaim Deed (RW1)]
+|-
+|[[media:236.5 Legal Opinion Memo.doc|Realty Asset Sale Legal Opinion Memo]]
+|-
+|[[media:236.5 Receipt Transmittal of Money.pdf|Receipt - Transmittal of Money Form]]
+|-
+|[http://lnapp1/RI/RIManual.NSF/a6c50f24e45a087a86256e4b006162f7/f656c7d8461f1dcd862572ff00642d59/$FILE/Risk%20Assessment%20Form%20-%20Leases.doc Risk Assessment Form]
+|-
+|[http://wwwi/intranet/cc/contracts/RW/RW27%20Road%20Relinquishment%20Agreement%20533.doc Road Relinquishment Agreement (RW27]
+|-
+|[http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement (Form CCO RW22]
 |-
-|[http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record%20Instructions.dot Property Inventory Record Instructions]
+|[[media:236.5 Sale of Improvement (Form 5-26.6).doc|Sale of Improvement (Form 5-26.6)]]
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473%20_w_grantor.doc Quitclaim Deed (Form 5-7.2a, RW01)]
+|[[media:236.5 Security Assessment Form.xls|Security Assessment Form]]
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW27%20Road%20Relinquishment%20Agreement%20533.doc Road Relinquishment Agreement (Form 5-3.3, RW27)]
+|[[media:236.5 Proposal for Filling Basements (Form 5-26.9).doc|Specifications for Filling Basements and/or Foundations (Form 5-26.9)]]
 |-
-|[http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement (Form 5-4.5, RW 22)]
+|[http://wwwi/intranet/cc/contracts/RW/RW22A%20%20Sales%20Agreeement%20(Nominal%20Consideration).doc The Sales Agreement Form RW22A]
 |-
-|[[media:236.5 Form 5-6.9.doc|Specifications for Filling Basements and/or Foundations (Form 5-6.9)]]
+|[[media:236.5 Web Detail Sheet.pdf|Web Detail Sheet]]
 |}
 ==236.5.1 General==
+Realty Asset Management addresses the management of Commission-owned land and interests in land.  The goal of Realty Asset Management is to retain a minimum of excess property, while pursuing the best value for every dollar spent for the properties that are leased or conveyed, and to effectively relinquish roadways that are excess to the state highway system.
+The parameters of this pursuit include, Revised Statutes of Missouri, at [http://www.moga.mo.gov/statutes/c200-299/2270000290.htm RSMo 227.290]; the Code of Federal Regulations, at [http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?c=ecfr&sid=e4a3575c49a4d4f97cc509a41337e829&rgn=div6&view=text&node=23:1.0.1.8.40.4&idno=23 CFR Title 23, Part 710, Subpart D], the Missouri Constitution, at [http://www.moga.mo.gov/const/A01027.HTM Article 1, Section 27], and Commission Policy, as captured in the [http://lnapp1/cs/minutes.nsf/main?openview Commission Minutes], including the [http://lnapp2/AO/Director.nsf/00000000000000000000000000000000/629df87043d25858862571d80062ddc4?OpenDocument#3.%20Delegation%20of%20Authority%3A%20The Delegation of Authority and Execution of Documents Policy] (particularly Section E).
-===236.5.1.1 Introduction===
+While [http://www.moga.mo.gov/statutes/c200-299/2270000290.htm RSMo 227.290] purports to grant to the Missouri Highways and Transportation Commission (MHTC) the discretion to convey at no cost to any federal, state, or local governmental entity any land or leasehold estate, such assets can be viewed as road funds, and as such, are constitutionally prohibited from being diverted from the stated purpose of such funds.  All proposed conveyances of realty assets shall demonstrate an offsetting benefit to the transportation system, regardless of the grantee, unless approved by the Right of Way Director prior to any agreement otherwise.  Commission delegation of authority policy requires that any proposal to grant a property to an agency without cost, in accordance with this statute, shall be approved by Commission Minute.  Additionally, if federal funds were used in the acquisition of the parcel, [http://www.access.gpo.gov/nara/cfr/waisidx_05/23cfr710_05.html Title 23, Part 710, Subpart D, Section 403(d1)] requires such proposals to be approved by the Federal Highway Administration (FHWA).
-The following requirements are a consolidation of Commission policies, Right of Way Division general policy direction and applicable sections of the Code of Federal Regulations.
+[http://www.moga.mo.gov/statutes/c200-299/2270000290.htm RSMo 227.290] requires that excess land and leasehold estates be sold or exchanged for approximate fair market value.  Notwithstanding the above-noted exception, the consideration received by the Commission for each parcel shall be shown to represent the [[236.5 Property Management#236.5.17 Valuing Excess Property|approximate fair market value]].
-===236.5.1.2 Federal Highway Administration Approval, Disposal and Leasing of Realty===
+It is important to note that all conveyances of real property interests must be executed by the Chair or Vice-Chair of the MHTC.
-Federal Regulations set forth various requirements for approval in the disposal or leasing of realty.  Securing this approval is the responsibility of the Right of Way Division and will be accomplished without direct involvement by the district.
+===236.5.1.1 [http://www.fhwa.dot.gov/modiv/index.htm Federal Highway Administration (FHWA)] Oversight===
-If, upon receiving the Federal Highway Administration's concurrence, additional conditions are set out therein, the district will be advised of the needed change.  Also, if for some reason there is Division approval to deviate from the department's policy as set forth in this article, or conditions of the disposal or lease are revised during negotiation, Federal Highway Administration approval will be secured prior to final approval and execution of the appropriate instruments by the Missouri Highway and Transportation Commission or its designated representative.
+The Code of Federal Regulations, particularly at [http://www.access.gpo.gov/nara/cfr/waisidx_05/23cfrv1_05.html Title 23, Part 710, Subpart D], establishes additional parameters for the conveyance, relinquishment, or leasing of realty within the Interstate System (IS), or realty otherwise acquired with Federal funds.  The Right of Way Division will secure FHWA concurrence prior to the consummation of any transaction requiring FHWA oversight.
-===236.5.1.3 MoDOT Property Inventory Record===
+FHWA shall have oversight on all proposed conveyances, roadway relinquishments, and new leases of land within the limits of the IS.  Said oversight shall include the determination of the land as excess to the system, or otherwise available for a specific use by lease or airspace agreement, as well as the consideration to be received.  Parcels acquired as uneconomic remnants as part of an IS project and not incorporated into the IS do not require FHWA approval for disposal.
-All property owned by the Commission, other than highway rights of way, shall be identified on a MoDOT [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot Property Inventory Record] (note [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record%20Instructions.dot instructions]) (see the Commission Minutes of August 9, 1996).  This includes the following site categories:  central office, district office, RE office, maintenance, stockpile, excess, beneath a structure, roadside park, leased area due to encroachment, remnant, pre-construction right of way, change in route status, highway patrol, weigh station, rest area, radio tower, tourist information center, etc.  Upon completion, a copy of the form shall be retained in the district with all pertinent backup material and a copy shall be forwarded to the Right of Way Division.  This information will be entered into a computer database, accessible to the districts.
+All proposed conveyances of land outside of the IS limits acquired with Federal funds shall be submitted to FHWA for concurrence as to the proposed transaction conforming to [http://www.access.gpo.gov/nara/cfr/waisidx_05/23cfrv1_05.html Title 23, Part 710, Subpart D, Section 403(d1)] when the consideration is less than the approximate fair market value.  Relinquishments of roadways outside the limits of the IS are not subject to FHWA oversight.
-If the property is enlarged, sold, leased, absorbed into right of way, etc., this additional information shall be added to the form in the district and a copy forwarded to the Right of Way Division along with the appropriate documents; i.e., payroll information, a deed conveying the property, a lease of premises agreement, etc.  The Right of Way Division shall be made aware of any change to a particular property.
+If FHWA requires additional terms or conditions to concur with a transaction, the district will be advised of, and will address, the required terms or conditions.  Also, if the Right of Way Division provides approval to deviate from the department's policy as set forth in this article, or conditions of the disposal or new lease are revised subsequent to FHWA approval, FHWA approval shall be secured prior to consummation of the transaction.
-===236.5.1.4 Employees Purchasing Excess Property from the Commission===
+===236.5.1.2 Missouri Highways and Transportation Commission Approval and Commission Delegated Approvals===
-Should an employee of the department, as an adjacent owner, request to purchase any department-owned excess property, the district Right of Way Management Committee shall provide all facts to the Director who shall review the request for approval as stated in MoDOT's Personnel Policy Manual [http://lnapp1/hr/hrman.nsf/8cbaa4218ec0dcda862562d900501a83/9a04dda33774d78a86256624004fd926/$FILE/2700%20(7-1-05).doc Policy or Procedure Number 2700 (Conflict of Interest)].
+'''Right of Way Director Approval (Tier 1)'''
-Employees shall have the right to bid on any excess property that is being sold by public sale except those employees with prior knowledge of the approved values of said excess property.
+The Right of Way Director shall approve property appraised at or below $50,000:
-===236.5.1.5 Handling of Funds Received===
+:1. Fee simple and greater than 75% of the appraised value
+:2. Less than fee simple and greater than 50% of the appraised value
-When district right of way receives a Receipt-Transmittal of Money Form from district controller’s office for the sale of improvements, excess property, rent, etc., they shall immediately fill in the lower half of the form with route, county, project number, excess number, reason for payment, etc., and forward the receipt and one copy back to district business & benefits support for further processing.  A copy of the receipt shall be placed in the district right of way file and a copy forwarded to the Right of Way Division.
+The Right of Way Director shall approve property appraised at or below $10,000.
-Where cash is provided, the remitter shall be given a cash receipt by the person accepting the payment and a Receipt-Transmittal of Money Form shall be filled out in full.  The cash along with the original and one copy of the Receipt-Transmittal of Money form shall be taken to district business & benefits support for further processing.  Also a copy of the Receipt-Transmittal of Money form shall be placed in the district right of way file and a copy shall be forwarded to the Right of Way Division.
+'''Note''':  Approval outside of these parameters is elevated to the next tier for approval.
-===236.5.1.6 Utility Easements Across Commission Property===
+'''Right of Way Director, Controller, Assistant Chief Counsel, and Director of Program Delivery Approval (Tier 2)'''
-At times the district receives a request from a utility company for an easement across commission-owned property other than right of way.  Requests for easements of this nature shall be forwarded to the Right of Way Division along with a plan sheet from the utility company and any other pertinent information concerning the request.  Commission approval of easement deeds to utility companies is not required.  Easements not submitted on the standard approved form must be approved as to form by the Chief Counsel's Office before execution.  All easement deeds will be executed on behalf of the Commission by the Chairman or Vice-Chairman and attested to by the Secretary.
+Property appraised for more than $50,000 requires approval from the Right of Way Director, Controller, Assistant Chief Counsel, and Director of Program Delivery.
-===236.5.1.7 Release of Temporary Easements and Retention Clauses===
+The sale of all properties owned by the Commission, which appraises for values of $200,000 or more must be approved by specific Commission action.  Tier 2 approvals must be executed prior to the inclusion as a Commission agenda item.
-Occasionally a property owner will request that a temporary easement that is no longer in effect or retention of possession and use clause in a deed be released.  This request is usually made at such time as the owner is selling the property and the easement or clause causes a cloud on the title.  This release can be accomplished by one of the following, depending upon which method is acceptable to the title company handling the title work for the owner.
+'''Missouri Highways and Transportation Commission Approval (Tier 3)'''
-:*A letter stating that the project is complete and the easement is no longer in effect.  The letter is to be signed by the district engineer.
+As allowed under the Commission’s June 14, 2006 policy regarding disposition of Commission-owned property or property rights, the sale of all properties owned by the Commission which appraised for values of $200,000 or more must be approved by specific Commission action.
-:*An affidavit signed by the district engineer attesting to the completion of the project and release of the easement.
+The Right of Way Division reviews all documents and submits to FHWA (if applicable.)
-:*A quitclaim deed executed on behalf of the Commission by the Chairman or Vice-Chairman.
+==236.5.2 Realty Asset Inventory==
-Quitclaim deeds to clear up clouds on titles created by temporary easements or retention clauses are not required to be submitted to the Commission for approval but must be submitted for execution by the Chairman or Vice-Chairman and attested to by the Secretary.  Also, no processing fee is charged in these situations.
+Real property owned by the Commission is managed with the use of an application/system within the Transportation Management System (TMS) that provides an inventory of all Commission-owned realty assets.  The application is known as the Realty Asset Inventory (RAI).
-===236.5.1.8 Asset Management Committee===
+To keep the system current, the districts shall provide a completed [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot RAI] for each conveyance, each new lease, and each new remnant acquired or excess parcel created.  Roadway relinquishments are to be accounted for within the RAI as well.  Any parcel previously classified as excess that is reclassified to an active parcel in the highway system must also be submitted on the RAI Form for reclassification in the RAI System.  [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record%20Instructions.dot Instructions for completing the RAI Form] are available.
-Each district is to establish a Asset Management Committee.  The district right of way manager may be the chairperson of this committee.  In addition to the district right of way manager, the committee should include at least one member each from district design, planning, maintenance, traffic, construction and materials, area engineer, and an assistant or district engineer.  The committee can include additional members, as the district deems appropriate.  The district utilities engineer and the professional land surveyor should serve either as a member or at least an ex officio member.  If the asset is classified as a capital improvement asset (i.e. maintenance site, stockpile, mixing board, etc.) inform district General Services Facilities Management and include them in the review.
+==236.5.3 Asset Management Committee==
-The committee is to review each request not only for the excess issue, but also to ensure that any issues related to a [[236.14 Change in Route Status Report|Change in Route Status Report (CRSR)]] or Change in Route Marking Report (CRMR) that is tied to the excess issue is addressed at the same time.
+Each district shall establish an Asset Management Committee (Committee).  The district right of way manager may be the chairperson of this Committee.  In addition to the district right of way manager, the Committee shall include at least one member each from district design, planning, maintenance, traffic, construction and materials, area engineer or operations engineer, and the assistant district engineer or district engineer.  The Committee may include additional members, as the district deems appropriate.  The district utilities engineer and the district’s professional land surveyor shall serve either as members or at least ex officio members.  If the asset is classified as a capital improvement, district general services shall be included on the committee.
-The committee is to review each request to purchase or lease excess right of way in a timely manner and to advise district right of way to proceed in accordance with the policies set out in this article.  The District Asset Management Committee will also review requests to lease Commission-owned property or to use the right of way in such a manner as to make an airspace agreement appropriate.
+The Committee is to review each request not only for the excess issue, but also to ensure that any issues related to a [[236.14 Change in Route Status Report#236.14.1.4 Change in Route Status Report (CRSR)|Change in Route Status Report (CRSR)]] and [[236.14 Change in Route Status Report#236.14.1.8 Change in Route Marking|Change in Route Marking Report (CRMR)]] that is tied to the excess issue is addressed at the same time.
-The committee will also review requests for entrance shifts, widening or breaks in access.  Review and assistance of the committee can be particularly helpful when access-related activities necessitate appraisals and transfer of property rights by deed.
+The Committee is to review each request to purchase excess property, including capital improvement sites and uneconomic remnants.  The district Asset Management Committee will also review requests to lease Commission-owned property or to use the Commission-owned property in such a manner as to make an airspace agreement appropriate.  The Committee shall decide if it is in the best interest of the Commission and MoDOT to dispose of or lease the requested property.  In all cases, consideration must be given to any possible need to retain the area for a future highway project.
-==236.5.2 Uneconomic Remnant==
+The Committee will also review requests for annexations, roadway relinquishments, breaks in access, as well as other proposals affecting Commission real property.
-===236.5.2.1 Definition===
+==236.5.4 Origin of Request & Processing Fee==
-An uneconomic remnant is any area of real property in which the owner is left with an interest after the partial acquisition of the owner's property, and in which the acquiring agency has determined that the area has little or no value or utility to the owner.
+When a requestor is interested in acquiring Commission-owned property, district personnel indicates that a processing fee of $250 is required and does not apply toward the purchase price.  No processing fee is charged if the department initiates the sale, if it is determined that the asset must be sold by public sale (i.e. sealed bid, auction, division between abutters, etc.), if the request comes from a governmental agency, or if the asset is being conveyed to the original donor.  The $250 processing fee is only refunded when the Asset Management Committee denies a request or the request becomes eligible for a public sale (see [[236.5 Property Management#236.5.6.1 Refund Request Guidelines|236.5.6.1 Refund Request Guidelines]]).  Once the processing fee is received, complete a [[media:236.5 Receipt Transmittal of Money.pdf|Receipt-Transmittal of Money Form]] and submit it to district business & benefits services (see [[236.5 Property Management#236.5.22 Transaction Submittal to Right of Way Division|236.5.22 Transaction Submittal to Right of Way Division]]).
-===236.5.2.2 Easement for Utility Facility in Place or Relocated into the Uneconomic Remnant Area===
+==236.5.5 MoDOT Employees Purchasing Excess Property==
-If an uneconomic remnant is acquired subject to any rights of a utility company or agency, then said conveyance by the Commission is subject to said rights and the type of easement with recorded book and page number should be spelled out in the conveyance deed.  Sale of remnants with utility facilities relocated into the area, must be made subject to the utility as set out in [[236.5 Property Management#236.5.4.7 Transmittal to Right of Way Division|236.5.4.7]].
+Should an employee of the department, as an adjacent owner, request to purchase any department-owned excess property, the district’s asset management committee shall provide all facts to the Right of Way Director who shall review the request for approval.  Employees shall have the right to bid on any excess property that is being sold by public sale except those employees with prior knowledge of the approved values of said excess property.  (See [http://hr.modot.mo.gov/index.php/Policy_2514 Personnel Policy 2514 – Conflict of Interest].)
-===236.5.2.3 Disposal of Uneconomic Remnants During the Period of Right of Way Negotiations===
+==236.5.6 Handling of Funds Received==
-The district is authorized to negotiate for the exchange (trade) of department-owned uneconomic remnants for other property or rights needed for right of way purposes from adjoining property owners in accordance with procedures in [[236.7 Negotiation#236.7.2.11 Uneconomic Remnants and Future Excess Right of Way|236.7 Negotiation]].
+When district right of way receives a [[media:236.5 Receipt Transmittal of Money.pdf|Receipt-Transmittal of Money Form]] from the district business & benefit support for the sale of improvements, excess property, rent, etc., they shall immediately fill in the lower half of the form with the following information:
-===236.5.2.4 Sale of Uneconomic Remnants Prior to Clearance of the Project===
+:1. Route
+:2. County
+:3. Project number
+:4. Excess number or file number
+:5. Reason for payment
+:6. Grantee or lessee
+:7. Dollar amount
+:8. What step in the process the payment represents
+:9. History of any previous payments transmitted for the transaction
+:10. Date the monies were received
+:11. Contact person and telephone number of person who can answer questions in reference to the transaction
-Prior to clearance of the right of way project, the district is authorized to negotiate for the outright sale of any uneconomic remnants that were purchased and not traded during negotiations, in accordance with procedures set out in [[236.5 Property Management#236.5.4 Disposal of Excess Realty or Realty Rights|236.5.4]].  In these situations, it will not be necessary to obtain approval of the Right of Way Management Committee; however, the district utility engineer should be consulted to determine the possible need for utility adjustments in conjunction with the project.  It is also not necessary to appraise uneconomic remnants sold prior to placing them in inventory.  The amount paid for a remnant can be used to determine the value when it is sold prior to clearance of the right of way project.
+Forward the receipt and one copy back to the district business & benefits support for further processing.  A copy of the receipt shall be placed in the district right of way file and a copy forwarded to the Lotus Notes Group, RW RAI.  If the property is a capital improvement site, General Services Facilities Management in the Central Office shall also be copied on the email.
-===236.5.2.5 Final District Action Involving Uneconomic Remnants===
+Where cash is provided, the remitter shall be given a cash receipt by the person accepting the payment and a [[media:236.5 Receipt Transmittal of Money.pdf|Receipt-Transmittal of Money Form]] shall be filled out in full.  The cash, along with the original and one copy of the Receipt-Transmittal of Money Form, shall be taken to district business & benefits support for further processing.  Also a copy of the Receipt-Transmittal of Money Form shall be placed in the district right of way file and a copy shall be forwarded to the Lotus Notes Group RW RAI.
-When negotiations are complete on a right of way project, district right of way shall submit to district design a list of all uneconomic remnants purchased and not disposed of.  District design in consultation with district right of way shall make a determination as to whether or not these uneconomic remnants will be retained as permanent right of way or as excess property.
+===236.5.6.1 Refund Request Guidelines===
-After a determination is made, district right of way will advise the Right of Way Division by letter of the uneconomic remnants classified as excess, and placed in the excess property inventory.
+:1. Any refund request of monies received toward the sale or lease of realty assets shall be emailed to the Controller’s Division, Accounts Receivable section with a copy to the RW RAI email group.  The following information shall be included in the email:Transmittal number and date of transmittal
+:2. Grantee/Buyer of Record/Lessee
+:3. Remittance name and address
+:4. Type of real estate transaction (i.e. sale or lease)
+:5. Dollar amount and what step it represented (i.e. $250 for processing fee; $1,000 for *10% down payment)
+:6. County
+:7. Route
+:8. Acquisition Job or Project Number (If capital improvement, include job number, i.e. TJ number
+:9. Parcel Number, E Number, and/or File Number
-District design will assure that final plans are revised to incorporate uneconomic remnants retained as permanent right of way.
+Once processed, the Controller’s Division will respond by email that the check has been issued.
-==236.5.3 Excess by Change in Route Status==
+==236.5.7 Identifying Excess Realty Assets==
-===236.5.3.1 [[236.14 Change in Route Status Report#236.14.1.2 Methods of Removal |Relinquishment to LPA's]]===
+Any parcel of realty owned by the Commission might potentially become excess in time.  Until it obtains an excess status as determined by the Asset Management Committee, all real property, including capital improvements, uneconomic remnants, permanent easements, mitigation sites, etc., is considered to be active.
-Prior to submission of the Change in Route Status Report, [[236.18 Local Public Agency Land Acquisition|Local Public Agencies]] (LPA's) are contacted to determine their willingness to accept portions of old roads that fit into their systems.  Upon completion of the requirements in the [http://wwwi/intranet/cc/contracts/RW/RW27%20Road%20Relinquishment%20Agreement%20533.doc Road Relinquishment Agreement (RW27)], district right of way shall prepare a deed transferring the agreed upon portion to the LPA.  If applicable, the deed of conveyance shall include a utility clause and a billboard clause as set out in [[236.5 Property Management#236.5.4.7 District Right of Way Management Committee|236.5.4.7]], and a nondiscrimination clause in accordance with [[236.1 General Information#236.1.3.5 Property Management|236.1.3.5]].  If the deed is delivered prior to completion of the new project, the deed shall include the following paragraph:
+===236.5.7.1 Annual Review of Commission Land for Excess===
-:"The Missouri Highway and Transportation Commission retains full, free, and uninterrupted use and possession of the land herein conveyed until completion of construction and acceptance of the project for the construction of relocated _______________ by the Commission's District Engineer."
+Excess and future project land shall be periodically evaluated to determine whether the various parcels should be reclassified, conveyed, leased, or retained.  The Realty Asset Inventory (RAI) shall be maintained to accurately reflect the true classification of each parcel.  Land identified as excess, or available for lease, shall be marketed as such.
-The deed shall be forwarded to the Right of Way Division along with the [[236.14 Change in Route Status Report|Change in Route Status Report]].  The Right of Way Division will secure execution of the deed on behalf of the Commission by the chairman or vice-chairman and return the deed to the district.  The deed shall be recorded, with instructions to the recorder to return the deed to the district.  The recorded deed then shall be delivered to the LPA via a letter, which advises that all items in the Road Relinquishment Agreement have been complied with and the route is being transferred to the LPA.
+On an annual basis, the district Asset Management Committee shall review the excess inventory as well as land owned for future projects, and provide the Right of Way Division with a Work Plan by July 1 of each year.  This Work Plan shall include the parcels that will be marketed and sold during the upcoming fiscal year.
-A copy of the recorded deed shall be placed in the district deed file along with the deeds in which the right of way was originally acquired.
+===236.5.7.2 Marketing Real Estate for Sale and Lease===
-===236.5.3.2 Disposal to Adjoining Property Owner(s) During Negotiations===
+Each district shall aggressively and expeditiously market property that is available for disposal or lease.  When the Asset Management Committee determines that such properties are available, district right of way will proceed to actively market and sell the properties.  Marketing shall go beyond merely working to sell parcels for which a request has been made.  Examples of acceptable marketing venues include:
-Upon receiving approved right of way plans for a project that involves the relocation of the route that is being improved, district right of way shall review the [[236.14 Change in Route Status Report|Change in Route Status Report]] for any future excess right of way.  (If possible the future excess should be so designated on the right of way plans.)  The district shall determine which adjoining owner(s) have the underlying fee in order to determine how the excess should be sold.   If the underlying fee ownership does not adjoin the excess, the excess can be made available to the owners that do adjoin it.
+:1. Internet Advertisements
+:2. Newspaper Advertisements
+:3. Use of Realtors
+:4. Sealed Bids
+:5. Open Houses
+:6. Public Auction
+:7. Special Signing
-To determine who has the underlying fee, ownership information shall be obtained on adjacent properties. The ownership information shall be provided to district design to assist in the preparation of a plat of each excess parcel.  The plat along with other information on each excess parcel shall be placed in an excess parcel file.
+==236.5.8 Marketing Guidelines==
-The future excess parcel shall be appraised at the same time the right of way for the project is being appraised.  The district can then negotiate for the exchange (trade) of department-owned future excess right of way for other property or rights needed for right of way purposes from adjoining property owners in accordance with procedures in [[236.7 Negotiation#236.7.2.14 Payment Prior to Possession|236.7.2.14]].
+If a public sale is needed, a sale venue appropriate to the parcel shall be chosen based on the specific property and its potential value.  Options include an auction, listing with a real estate broker, in-house marketing, or a competitive bid process.
-If applicable, the deed of conveyance shall include a utility clause and a billboard clause, as set out in [[236.5 Property Management#236.5.4.7 Transmittal to Right of Way Division|236.5.4.7]].  If the deed is delivered prior to completion of the new project, the deed shall include the following paragraph:
+For a public sale, formal advertising is required.  The minimum requirements for any realty offered via public sale are:
-:"The Missouri Highway and Transportation Commission retains full, free, and uninterrupted use and possession of the land herein conveyed until completion of construction and acceptance of the project for the construction of relocated _______________ by the Commission's District Engineer."
+:1. Legible sign for at least 30 days indicating the property is for sale and a phone number or web address.  This provides a minimal assurance of exposure.
-===236.5.3.3 Disposal of Future Excess Not Traded During Negotiations===
+:2. Internet advertising is available through coordination with the Right of Way Division.  The parcel can be submitted to central office for the web with the [[media:236.5 Web Detail Sheet.pdf|Web Detail Sheet]].
-Upon completion of the project, the district shall attempt to sell all remaining excess not traded during negotiations.  The procedures in [[236.5 Property Management#236.5.4 Disposal of Excess Realty or Realty Rights|236.5.4]] are to be used as a guide for the disposal of this remaining excess.  Prior to attempting to sell the remaining excess, the district shall review the appraisals to determine if updates are necessary.  If updates are not necessary, a letter shall be placed in the file with a brief explanation.  A copy of the letter shall be forwarded to the Right of Way Division when the excess parcel is sold.
+Advertisements and signs shall indicate the contact information needed to obtain the sale details.  Potential advertising methods include the internet, newspaper, printed material, media, real estate agents, national marketing firms, etc.  Advertising costs shall be considered with the property sale potential in establishing a marketing plan.
-The district is authorized to negotiate for the best available price.  If it is advantageous to the Commission, the excess may be disposed of for one dollar ($1.00).  Justification for the one-dollar disposals must be fully explained in a letter of transmittal to the Right of Way Division.
+==236.5.9 Uneconomic Remnants==
-===236.5.3.4 Abandonment or Retention===
+===236.5.9.1 Definition===
-If the district is unable to dispose of excess in which the Commission holds less than fee simple title and when it is in the best interest of the Commission, the district shall make a request to the Right of Way Division for formal abandonment proceedings on the route.
+An uneconomic remnant is any area of real property in which the owner is left with an interest after the partial acquisition of the owner’s property, and in which the acquiring agency has determined that the area has little or no value or utility to the owner.
-If the Commission holds fee simple interest to the excess or if for other reasons the district determines that it is not necessary to request formal abandonment proceedings, the excess parcels shall be placed in the excess property inventory.
+===236.5.9.2 Disposal of Uneconomic Remnants During Negotiations===
-==236.5.4 Disposal of Excess Realty or Realty Rights==
+The district is authorized to negotiate for the exchange (trade) of Commission-owned uneconomic remnants for other property or rights needed for the project from adjoining property owners in accordance with procedures in [[236.7 Negotiation|Section 236.7 Negotiation]].
-===236.5.4.1 Purpose===
+===236.5.9.3 Sale of Uneconomic Remnants Prior to Clearance of the Project===
-This information defines a systematic method of review through which all requests for disposal of realty or realty rights, either inventoried as excess or termed as part of the permanent right of way, must flow for approval.
+Prior to clearance of the project, the district is authorized to negotiate for the outright sale of any uneconomic remnants that were purchased and not traded during negotiations, in accordance with procedures set out in [[236.5 Property Management#236.5.26 Acquired Improvements|236.5.26 Acquired Improvements]].
-===236.5.4.2 Types of Excess===
+===236.5.9.4 Final District Action Involving Uneconomic Remnants===
-Excess realty and/or realty rights come from various sources.  For the purpose of disposal, they are categorized as follows:
+When negotiations are complete on a project, the asset management committee shall review all uneconomic remnants purchased and not disposed of to determine whether or not these uneconomic remnants will be retained as active real property or as excess property.
-:*Excess right of way or uneconomic remnants that can stand-alone.
+District design will assure that final plans are revised to incorporate uneconomic remnants retained as active real property.  District right of way shall ensure that district design is aware of the changes that need to be made.
-The excess can stand alone if it has adequate size, shape and access and can be used without assembling it with adjoining property.
+==236.5.10 Excess by Change in Route Status==
-:*Excess right of way or uneconomic remnants that cannot stand-alone.
+See [[236.14 Change in Route Status Report#236.14.1.4 Change in Route Status Report (CRSR)|236.14.1.4 Change in Route Status Report (CRSR)]]).
-The excess is either not adequate in size, shape or access to stand-alone.  It must be assembled with an adjoining property.
+==236.5.11 Future Excess Property==
-:*Non-right of way excess.
+When a project involves the realignment of a roadway, the existing roadway and associated property may become future excess property.  Future excess properties may be appraised at the same time the property for the project is being appraised.  The district may then negotiate for the exchange (trade) of Commission-owned future excess property for other property or rights needed for the project from adjoining property owners in accordance with procedures in [[236.7 Negotiation#236.7.2.14 Payment Prior to Possession|236.7.2.14 Payment Prior to Possession]].  If the deed is delivered prior to completion of the new project, the new deed shall include the following paragraph:
-This includes maintenance sites, stockpile sites, project office sites, etc.  Note that although these sites are being classified as non-right of way excess, they might have been originally acquired in part or in total as right of way.
+:''"The Missouri Highways and Transportation Commission retains full, free, and uninterrupted use and possession of the land herein conveyed until completion of construction and acceptance of the project for the construction of Route__________________ by the Commission’s District Engineer''."
-===236.5.4.3 Origin of Request===
+===236.5.11.1 Disposal of Future Excess Not Traded During Negotiations===
-A request for the sale or disposal of excess right of way may either come from the general public or from within the department as part of normal operations.  A request from the general public should be in writing accompanied by a processing fee of $250, as set out in [[236.5 Property Management#236.5.4.8 Deed Forms and Clauses|236.5.4.8]], and a copy of the requester's deed.  After receiving the request, district right of way should respond in writing to the requester, advising them their request is under review and as soon as a decision is reached they will be notified.  The request will be reviewed by the district engineer and forwarded to the district Right of Way Management Committee for processing.
+Upon completion of the project, the district shall attempt to sell all remaining excess not traded during negotiations.  Procedures in [[236.5 Property Management#236.5.9.4 Final District Action Involving Uneconomic Remnants|236.5.9.4 Final District Action Involving Uneconomic Remnants]] are to be used as a guide for the disposal of this remaining excess.
-===236.5.4.4 Excess Land Conveyances & Relinquishments – Regulated Utilities===
+==236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities==
-All conveyances and relinquishments of Commission-owned property shall be evaluated for the existence of any regulated utility facilities located within the areas to be conveyed or relinquished.  Regulated utility facilities consist of the regulated utilities as defined by the Public Service Commission.  By law, regulated utilities have the right to locate within Commission-owned property.  Therefore, a conveyance or relinquishment of Commission-owned property may have implications to the utility facilities, and the utility providers who own such facilities, when the Commission no longer controls the property.  It is important to maintain the continuity of utility facilities for the general public; therefore, to identify and minimize potential impacts, MoDOT shall involve utility providers in the conveyance and relinquishment processes.
+All conveyances and relinquishments of Commission-owned property shall be evaluated for the existence of any regulated utility facilities located within the areas to be conveyed or relinquished. Regulated utility facilities consist of the regulated utilities as defined by the Public Service Commission.  By law, regulated utilities have the right to locate within Commission-owned property.  Therefore, a conveyance or relinquishment of Commission-owned property may have implications to the utility facilities, and the utility providers who own such facilities, when the Commission no longer controls the property.  It is important to maintain the continuity of utility facilities for the general public; therefore, to identify and minimize potential impacts, MoDOT shall involve utility providers in the conveyance and relinquishment processes.
-===236.5.4.5 Excess Land Conveyances===
+===236.5.12.1 Excess Land Conveyances Utilities===
 MoDOT shall only recommend that a property be declared excess upon satisfactorily addressing the utility impacts.  Whether MoDOT or an external party initiates the conveyance of excess property, utility impacts shall be addressed by using one of the following methods:
-:*Each utility will be relocated by permit into a new utility corridor retained by the Commission.
+:1. Each utility will be relocated by permit into a new utility corridor retained by the Commission.
-:*Each utility will remain in place with the benefit of a non-exclusive permanent utility easement.
+:2. Each utility will remain in place with the benefit of a non-exclusive permanent utility easement.
-:::''If the Commission holds fee simple title to the property, the Commission shall convey a non-exclusive permanent utility easement to each utility provider''.
-:::''If the Commission holds a less than fee simple title interest in the property, MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider''.
+::''If the Commission holds fee simple title to the property, the Commission shall convey a non-exclusive permanent utility easement to each utility provider''.
-:*Each utility will be relocated to another portion of the property being conveyed.
-:::''If the Commission holds fee simple title to the property, the Commission shall convey a non-exclusive permanent utility easement to each utility provider''.
-:::''If the Commission holds a less than fee simple title interest in the property, MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider''.
+::''If the Commission holds a less than fee simple title interest in the property, MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider''.
-:*Each utility will be relocated onto a portion of the property already owned by the party acquiring the Commission-owned property, with the benefit of a non-exclusive permanent utility easement.  (''MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider''.)
-:*A three-party negotiated settlement taking into consideration the overall value of the proposed transaction.
-:*Additional options to address utility impacts may be utilized with approval from the Right of Way Director.
-===236.5.4.6 Road Relinquishments to Local Public Transportation Authorities===
+:3. Each utility will be relocated to another portion of the property being conveyed.
-MoDOT shall only recommend the relinquishment of roadways through the [[236.14 Change in Route Status Report|Change in Route Status Report]] upon satisfactorily addressing the utility impacts.  If the roadway will be relinquished to a local public transportation authority, with the intent that it continues to be used as a public roadway, the following clause shall be included in the deed from the Commission to the local public transportation authority:
+::''If the Commission holds fee simple title to the property, the Commission shall convey a non-exclusive permanent utility easement to each utility provider''.
-::''"Grantee, by acceptance of this conveyance, covenants and agrees for itself, its successors and assigns, to allow known or unknown utility facilities currently located on the property, whether of record or not, to remain on the property, and to grant the current and subsequent owners of those facilities the right to maintain, construct and reconstruct the facilities and their appurtenances over, under, and across the land herein conveyed, along with the right of ingress and egress across the land herein conveyed to and from those utilities".''
+::''If the Commission holds a less than fee simple title interest in the property, MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider''.
+:4. Each utility will be relocated onto a portion of the property already owned by the party acquiring the Commission-owned property, with the benefit of a non-exclusive permanent easement.  (MoDOT shall facilitate the conveyance of a non-exclusive permanent utility easement from the party acquiring the property to each utility provider.)
-Proposed roadway relinquishments to private entities shall be reviewed in a manner consistent with the conveyance of excess property described in [[236.5 Property Management#236.5.4.5 Excess Land Conveyances|236.5.4.5]].
+:5. A three-party negotiated settlement taking into consideration the overall value of the proposed transaction.
-===236.5.4.7 District Right of Way Management Committee===
+:6. Additional options to address utility impacts may be utilized with approval from the right of way director.
-The District Right of Way Management Committee will review each request for disposal of excess right of way.  The Committee shall decide if it is in the best interest of MoDOT to dispose of or lease the requested property.  In all cases, consideration must be given to any possible need to retain the area for a future highway project.  All requests should be handled as quickly as possible.  Due to varying workloads and circumstances of each request, no fixed time will be set for district and Right of Way Division review.  However, by utilizing the Committee to decide the disposition of a request, and to track the progress of the disposal, the district should be able to either deny the request or submit any disposal request to the Right of Way Division within a reasonable time after receiving the original request.  The extent of review in the district and the mechanics of operation of the Committee will be left to the district's discretion.
+===236.5.12.2 Road Relinquishment Utilities===
-Should the Committee decide that the requested area should not be disposed of, district right of way shall immediately notify the requesting party that the area is not available and that the processing fee will be refunded.
+MoDOT shall only recommend the relinquishment of roadways through the [[236.14 Change in Route Status Report|Change in Route Status Report]] upon satisfactorily addressing the utility impacts.  If the roadway will be relinquished to a local public transportation authority, with the intent that it continues to be used as a public roadway, the following clause shall be included in the deed from the Commission to the local public transportation authority:
-If the Committee approves the excess for disposal, they should give consideration to the following before selling it to the public:
+:''"Grantee, by acceptance of this conveyance, covenants and agrees for itself, its successors and assigns, to allow known or unknown utility facilities currently located on the property, whether of record or not, to remain on the property, and to grant the current and subsequent owners of those facilities the right to maintain, construct and reconstruct the facilities and their appurtenances over, under, and across the land herein conveyed, along with the right of ingress and egress across the land herein conveyed to and from those utilities."''
-Federal, State and local conservation, recreation, park, or other appropriate agencies shall be afforded the opportunity to acquire by purchase or donation in accordance with the state law, tracts of right of way being considered for disposal when there is indication that such tracts have a present or potential use for parks, conservation, recreational or related purposes.  The district shall notify the appropriate agencies of its intention to dispose of unneeded portions of right of way that it considers to have present or potential use for the aforementioned purposes.
+Proposed roadway relinquishments to private entities shall be reviewed in a manner consistent with the conveyance of excess property described in [[236.5 Property Management#236.5.3 Asset Management Committee|236.5.3 Asset Management Committee]].
-Lands or interests therein are not to be disposed of if they are suitable for retention in order to restore, preserve, or improve the scenic beauty and environmental quality adjacent to the highways.
+==236.5.13 Utility Easements Across Commission Property==
-===236.5.4.8 Processing by District===
+Utility easements across Commission property located outside of the land limits of the highway system may be granted without compensation if it offers a net benefit to the Commission property or Commission project.  Such an easement shall otherwise require approximate fair market value.  Such compensation may be determined to be offset by the value added to the site.  The district may accept the valuation provided by the utility company if it appears reasonable.  The district may value such easement based solely on the difference between the before and after values of the subject parcel.
+Even when it is in conjunction with a MoDOT project, the easement area shall be designed to limit the impact on the realty asset’s value.  For instance, allowing a utility facility to be placed diagonally across a remnant should generally be avoided.
-Once the Committee has approved disposal of the excess, district right of way will determine if the Commission has fee simple interest or an easement for highway purposes in the area.  The Commission has only an easement for highway purposes when either the deed in which the area was acquired has limitations or restrictions in it, or the area was condemned.  Examples of restrictive language that would cause the Commission's interest to be limited to an easement are:
+Easements are to be submitted on [http://wwwi/intranet/cc/contracts/RW/RW13%20%20Agreement%20for%20Utility%20Easement.doc Form RW13], which must be approved as to form by the Chief Counsel's Office prior to Commission execution.  The document is to be executed by the utility provider/grantee prior to submittal.  Since the document conveys a realty interest, it will also be executed by the Commission’s Chair or Vice-Chair.  Once fully executed, the district shall ensure that the document is recorded at the county recorder of deeds office.  The submittal of the easement to the Right of Way Division shall include a plan sheet or site plan depicting the easement area, as well as a memo outlining the request with the value of the easement and/or, where appropriate, justification for not charging the utility provider.  If the site contains a capital improvement, such as a maintenance building, the memo shall demonstrate concurrence from district general services.  A property inventory record is not needed.
-:*Right of way for  ___ Route
+Easements shall not be granted within the land limits of the highway system.
-:*For road purposes
-:*For State highway purposes
-:*For maintenance and construction of State highway
-:*Any use of the word easement in describing the right of way
-These examples are not all-inclusive of possible restrictive language.  If other restrictive language is used in the deed, Commission interest in the excess should be considered as an easement or, if it is uncertain as to the Commission's interest being fee simple or easement, District right of way should consult with either their regional counsel or the Right of Way Division.
+All approved easement agreements, as a conveyance of a real property interest, shall be executed on behalf of the Commission by the Chairman or Vice-Chairman and attested to by the Commission Secretary.
-After it has been determined what type of interest the Commission has in the property, an appraisal or payment estimate should be completed on the property.  At that time a [http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot categorical exclusion determination] must be requested in accordance with instructions in [[236.3 Administration# 236.3.1.2 Steps for Completing Categorical Exclusion (CE) Review|236.3.1.2]].  Once an estimate of value has been set and categorical exclusion determination completed the district can proceed with processing the request for disposal through the Right of Way Division.
+==236.5.14 Release of Temporary Easements and Retention Clauses==
-The district shall use the [http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement] on all disposals of $5,000 or more.  When using the sales agreement, a 10% security deposit shall be collected at the signing of the agreement.  The security deposit is in addition to the processing fee, as set out in [[236.5 Property Management#236.5.4.9 Processing Fee|236.5.4.9]].  The balance due at closing will reflect the settlement price minus the processing fee and the security deposit.  The district engineer will sign the sales agreement.
+Occasionally a property owner will request that a temporary easement that is no longer in effect or retention of possession and use clause in a deed be released.  This request is usually made at such time as the owner is selling the property and the easement or clause causes a cloud on the title.  This release can be accomplished by one of the following, depending upon which method is acceptable to the title company handling the title work for the owner.
-In cases where the sale is unable to close on the date set out in the Sales Agreement, an [[media:236.5 Form 5-4.5a RW22.doc|Extension of Closing Date Addendum]] can be used to extend the closing date.  The buyer and the district engineer will sign the extension.  The extension agreement can be used as many times as necessary to extend the closing date, as long as both parties are agreeable to the extension.  If either party is not agreeable to the extension, the contract is void.  If the buyer is in default, the processing fee and security deposit shall be retained as per the agreement.  If MoDOT is unable to deliver an executed deed, as per the agreement, the purchaser's processing fee and security deposit will be refunded.
+:1. A letter stating that the project is complete and the easement is no longer in effect.  The letter is to be signed by the district engineer.
+:2. An affidavit signed by the district engineer attesting to the completion of the project and release of the easement.
+:3. A quitclaim deed executed on behalf of the Commission by the Chairman or Vice-Chairman.
-On disposal of less than $5,000, the district has the option of using the Sales Agreement, or notifying the buyer in writing as to the terms and conditions of the sale.  The letter is to include, at a minimum, the following:
+Quitclaim deeds to clear up clouds on titles created by temporary easements or retention clauses shall be executed by the Chairman or Vice-Chairman and attested to by the Secretary.  No processing fee is charged in these situations.
-:*The sale amount at which the excess is being sold.
+===236.5.14.1 Release of Permanent Easements===
-:*Payment by cashier’s check or money order, payable to “Director of Revenue, Credit State Road Fund."
-:*Sale is subject to final approval by the Commission.
-:*Conveyance will be by quitclaim deed.
-:*Type of interest the Commission holds in the property.
-:*Restriction on outdoor advertising signs.
-:*Utility reservations.
-:*Abutter’s rights being reserved, if any.
-:*Any other special conditions of the sale.
-===236.5.4.9 Methods for Disposal===
+Permanent easements acquired by the Commission for special uses such as slope maintenance and drainage shall be processed the same as other excess as defined in [[236.5 Property Management#236.5.4 Origin of Request & Processing Fee|236.5.4 Origin of Request & Processing Fee]].
-Method of disposal depends upon the type of interest held by the Commission and type of excess.
+==236.5.15 Methods for Disposal==
 '''A. Fee simple interest is held; all types of excess property'''
-If the Commission has fee interest, district right of way shall determine if the area is of adequate size and in such a location that more than one member of the general public may have an interest in acquiring the property.  If so, in addition to notifying the adjoining property owner(s), the area must be made available to any potential buyer and disposed of by public sale.  However, if the property is of inadequate size or lacking access such that its highest and best use would be for assemblage, the excess can be sold directly to the abutting property owner(s).
+When the Commission holds an excess stand-alone parcel in fee, the site shall be made available to any potential buyer and disposed of by public sale.  However, if the parcel is determined to be non-stand-alone, the excess can be sold directly to the abutting property owner(s).  If there is more than one abutting owner, each must be contacted to determine each owner’s interest in acquiring the area being considered for disposal or any part thereof.  If all owners express an interest in the area, it should be disposed of by a competitive bid sale among the interested parties.  However, it is possible for each abutting owner to purchase only a portion of the excess, or for one abutting owner to purchase the entire excess.  If each owner agrees in writing to an apportionment of the excess, or if all but one of the abutting owners waives their interest by signing a waiver, a competitive bid need not be pursued and the single owner can be dealt with individually.
-If there is more than one abutting owner, each must be contacted and the file documented to indicate each owner's interest in acquiring the area being considered for disposal or any part thereof.  If all owners express an interest in the area, it should be disposed of by a sealed bid sale among the interested parties.  However, it is possible for each abutting owner to purchase only a portion of the excess, or for one abutting owner to purchase the entire excess.  If each owner agrees in writing to an apportionment of the excess, or if all but one of the abutting owners waives their interest by signing a waiver, there is no need for a sealed bid sale and the abutting owner can be dealt with individually.
 '''B. Stand alone excess; less than fee simple interest is held'''
-'''1'''. Determine if the requester owns the underlying fee.  If so, proceed to deal with the requester in accordance with procedures as set out further in this article.
+:1. Offer to sell the excess to the fee holder(s) based on an appraisal and proceed in good faith negotiations toward the sale of the Commission’s interest.
-'''2'''. If the requester does not own the underlying fee, the district should proceed in attempting to sell the excess using the following guidelines; unless the district estimates that the value is insufficient to justify the work necessary for the sale, in which case the district may consider not selling the excess.
+:2. If the sale of the Commission’s interest to the fee-holder cannot be negotiated, the district shall negotiate a three-party agreement with the fee-holder and buyer whereby the sale proceeds are to be split between the Commission and the fee-holder.  The district may then proceed to sell the excess by competitive bid or other public sale.
-:'''a'''. The district shall determine who has the underlying fee.  If the underlying fee owner can readily be located, he/she/it should be contacted and advised that they have the underlying fee and its estimate of value.  They should also be advised that the Commission has an easement for right of way, which the Commission can either continue to use or, if it is in the best interest of the Commission, they can sell their interest.  The district should first attempt to sell the excess to the underlying fee owner for the best negotiated price.  If the underlying fee owner is not interested in acquiring the Commission's interest, the district shall request that they execute a quitclaim deed based on a negotiated amount.  The negotiated amount can be either an up-front dollar amount or a percentage of the amount for which the property finally sells.
+:3. With prior approval of the right of way director, the three-party agreement may be waived and the property offered by public or directed sale as stipulated in said approval.
-:If the negotiated amount is based on an up-front payment, the underlying fee owner executes a quitclaim deed, transferring their rights to the Commission.  If the negotiated amount is based on a percentage of the selling price, the quitclaim deed from the underlying fee owner can be made out directly to the buyer and delivered at closing along with the [http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473%20_w_grantor.doc Commission's quitclaim deed].
-:'''b'''. If the underlying fee owner agrees to sign a quitclaim deed, the district can proceed to sell the excess by sealed bids.  The initial requester shall be advised of the sealed bid sale, as well as any other interested party.
-:'''c'''. If the underlying fee owner refuses to sign a quitclaim deed, advise the Right of Way Division of all the facts prior to either selling or retaining the excess.
-:'''d'''. If the underlying fee owner cannot be located, the property can be sold by sealed bids.  All bidders are to be advised of MoDOT’s interest in the property and that in order to obtain clear title they will need to get a quitclaim deed from the underlying fee owner.
 '''C. Non-stand-alone excess; less than fee simple interest is held'''
-:'''1'''. Determine if the requester has the underlying fee or is the only abutting property owner.  In these cases, the requester may be dealt with individually for the sale of the excess.
+:1. Offer to sell the property to the adjoining owner holding the fee at a price based on an appraisal and proceed in good faith negotiation toward the sale of the Commission’s interest.
-:'''2'''. If the requester does not own the underlying fee, and there is more than one adjoining owner, each adjoining owner must be contacted and the file documented to indicate each owner's interest in acquiring the area or any part thereof.  If all owners express an interest in the area, it should be disposed of by sealed bid sale between the interested parties.  However, it is possible for each abutting owner to purchase only a portion of the excess, or for one abutting owner to purchase the entire excess.  If each owner agrees in writing to an apportionment of the excess, or if all but one of the abutting owners waives their interest by signing a waiver, there is no need for a sealed bid sale and the abutting owner(s) can then be dealt with individually.
-:'''3'''. In either of the above two situations, the purchaser of non-stand-alone excess shall be advised of the Commission's interest in the property.  If they are not the underlying fee owner, they should be advised that another party might hold the underlying fee interest in the property.  They are also to be advised that the Commission is willing to release its interest in the property; however, it will be the responsibility of the buyer to determine the underlying fee owner and clear the title, if they so desire.
-'''D. Non-right of way excess; fee or less than fee simple interest is held'''
-Non-right of way excess is property that is or was being used for purposes other than roadway right of way.  It includes excess stockpile sites, maintenance sites, construction project office sites, district office buildings, etc.  Disposal of these sites are usually the result of an internal request to dispose of a site that has been replaced by a new one.  Early coordination between the Right of Way Division and the requesting MoDOT work unit is needed to eliminate possible problems in the disposal.  It is recommended that in the initial planning stages for the replacement of one of these sites, district right of way review the deed in which the site being replaced was acquired.   Usually these sites are acquired in fee simple title in which case they can be sold in accordance with procedure "A" above.  However, in some cases they were acquired by an easement deed, in which case they should be disposed of as follows:
-:'''1'''. District right of way shall have an appraisal done on the site and an approved value assigned to it by the reviewing appraiser.
-:'''2'''. District right of way shall order an environmental impact study from the Design Division to determine if remedial clean up is required before property can be sold.
-:'''3'''. District right of way shall determine who has the underlying fee interest in the property and if that owner can be contacted.
-:'''4'''. If the owner cannot be contacted with reasonable effort, the district shall take no further action until the excess is ready for sale. When it is ready for sale, the district shall sell it by sealed bids.  If the appraisal needs updating, it shall be updated prior to advertising the property for sale.  The advertisement shall advise all bidders as to MoDOT’s interest in the property and that in order to obtain clear title the interest of the underlying fee owner shall be secured.
-:'''5'''. If the owner can be contacted, district right of way shall contact the owner and advise that he/she/it have the underlying fee interest in the property.  MoDOT's interest in the property shall also be explained to the owner.  The owner shall be advised that the Commission has an easement for right of way, which MoDOT can either continue to use or, if it is in the best interest of MoDOT, the Commission can sell its interest.  The owner of the underlying fee shall be advised of the appraised value.  An offer to acquire the fee owner's interest shall then be made.  The offer can either be in the form of an up-front amount or as a percentage of the amount for which the property finally sells.
-:If the owner is willing to sell his/her/its/their interest in the property, a quitclaim deed shall be executed in exchange for the agreed upon amount.  If the owner is willing to sell his/her/its/their interest, based on a percentage of the final sales price of the property, an agreement reflecting the agreed percentage shall be prepared.
-:'''6'''. If interest of the underlying fee owner is obtained, and once the property is ready for sale, the excess may be sold by sealed bid sale.  If the district is unable to secure interest of the underlying fee owner(s), the district shall consult with Chief Counsel’s Office before proceeding.
-===236.5.4.10 Transmittal to Right of Way Division===
-All requests for disposal of property or property rights shall be reviewed and approved in the district, then submitted to the Right of Way Division.  District letters shall contain all pertinent information and explain the proposal so additional information will not be needed.
-'''A. The letter shall cover the following points:'''
-:*A summary of the sequence of events that lead to submitting the request.
-:*If the Commission has less than fee simple title and the property can stand alone, a summary of the efforts to contact the underlying fee holder and the results of the contacts.
-:*The method in which the excess is being sold; i.e., sealed bid, negotiated sale, trade improvements to the State system, etc.
-:*If the property is sold to one or more adjoining owner by negotiated sale, did the excess adjoin other properties and, if so, did the other adjoiner(s) waive interest, or did the adjoining owner(s) acquiring the excess have the underlying fee to the area relinquished to him/her/it/them.
-:*Date sale was approved by the district right of way committee, or send copy of minutes of meeting where sale was approved, or other documentation that the sale was approved by the district.
-:*The proposed use of the area.
+:2. Where the excess is a frontage strip, and no abutter holds the fee, divide the excess at right angles to the centerline at the existing abutters’ property corners.  Offer to sell the property to the respective abutters and proceed in good faith negotiation toward the sale of the Commission’s interest.
-:*An explanation of the negotiated amount, if different than the appraisal.
+:3. When the property is valued at $10,000 or less, it may be conveyed to the adjoining owner for a $1 consideration, for the established value, or at an amount between $1 and the established value.
-:*A statement of whether utilities are located within the excess area.
+Other options may be pursued if each owner agrees in writing to an apportionment of the excess.  If all but one of the abutting owners waives their interest by signing a waiver, there is no need for a competitive bid sale and the abutting owner can be dealt with individually.
-:*A statement as to the need to reserve access rights.
+The purchasers shall be advised of the Commission’s interest in the property, and that another party might hold the underlying fee interest.  They are also to be advised that the Commission is willing to release its interest in the property; however, it will be the responsibility of the purchasers to explore the title to their satisfaction.
-:*A statement of the results of the environmental determination.
+==236.5.16 Legal Opinion of Title==
-:*Any other pertinent information.
+Once the Committee has approved disposal of the excess, district regional counsel shall determine if the Commission has fee simple interest or less than fee simple interest in the area.
-'''B. The following are to be attached to the transmittal letter:'''
+===236.5.16.1 Fee Simple vs. Less Than Fee Simple Interest===
+This distinction represents the level of the Commission’s ownership in a parcel.
-:*One copy of the full deed or a page from the condemnation petition where the parcel was acquired.
+Excess conveyances require a legal opinion as to title to proceed.  The Commission’s ownership interest in the property is to be determined.  Relinquishments do not require a legal opinion as to title as long as the roadway will continue to be used as a public roadway.
-:*One copy of the original request letter as submitted by the petitioner.
+The [[media:236.5 Legal Opinion Memo.doc|Realty Asset Sale Legal Opinion Memo]] may be provided for regional counsel’s use, or the district may use another format.  The format shall clearly indicate the Commission’s ownership interest in each parcel that makes up the excess site.
-:*One copy of the appraisal or payment estimate prepared by the District in accordance with appropriate instructions.
+All of the relevant acquisition documents are to be provided to regional counsel to establish a legal opinion of title.  If the fee holder is to be identified, plan sheets of the acquisition project(s) are relevant, as well.
-:*A legible plan sheet of the area, any plats or plans of the area, and a map showing the general location of the excess.
+Alternatively, the district may obtain a title commitment from an approved vendor of title services.  The title exceptions and requirements shall be carefully reviewed.
-:*One copy of the MoDOT [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot Property Inventory Record].
+Where the Commission owns the fee, the title is not a limitation on the market potential  (or pool of prospective purchasers) of the parcel.  In this case, an appraisal will be the primary guide in determining the market for the property. See “Stand Alone” vs. “Non-Stand Alone” below.
-:*Original [http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot CE determination].
+Where the Commission owns less than fee, the title can present limitations on the market potential of the parcel.  It is generally most preferable to deal with the fee holder, unless such a sale would create a “spite strip” or otherwise affect the rights of the abutters not holding the fee interest.  Where the adjoiner is the fee holder, a direct negotiated sale to the fee owner shall be pursued.
-:*Check list for Commission Agenda items (if applicable).
+===236.5.16.2 Stand-Alone vs. Non-Stand-Alone===
-:*Warranty deeds or quitclaim deeds to be executed by Commission
+This distinction represents the market potential of a property.  If the field of potential purchasers of a parcel is limited to the adjoining owner(s) by factors such as access, size, shape, value, etc., that makes its purchase unfeasible to any other member of the public, it is generally a non-stand alone property.  If the field of potential purchasers reasonably extends beyond the adjoining owner(s), the parcel is a stand-alone property.  This distinction is to be indicated in the appraisal.
-===236.5.4.11 Deed Forms and Clauses===
+If the Highest and Best Use is determined to be assemblage, the property can be considered to be non-stand-alone.  Stand-alone parcels are to be marketed publicly to ensure a sale at approximate fair market value, whereas non-stand-alone parcels may be sold directly through good faith negotiations (based on an appraisal) to the adjoining owner(s).
-The [http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473%20_w_grantor.doc Quitclaim Deed] is used for all property not held in full fee simple interest, or acquired for a roadway project, even if the roadway project land, excess or uneconomic remnant was acquired by warranty deed.
+===236.5.16.3 Adjoining Ownership===
-The [http://wwwi/intranet/cc/contracts/RW/RW03%20General%20Warranty%20Deed%20471A.doc Warranty Deed] is only used for district/Central Office sites, maintenance sites, resident engineer sites, etc., that were acquired in fee (by a warranty deed) for non-right of way purposes.
+[http://www.moga.mo.gov/statutes/c200-299/2270000290.htm RSMo 227.290] requires that in all instances, where the original grantor of excess to MHTC is still in possession of the adjoining property, that property owner shall be notified in writing before the consummation of any sale of the excess.  Where that still-adjoining owner donated the property without cost to MHTC, the property shall be conveyed back to owner without cost.
-====236.5.4.11.1 Deed Clauses for Quitclaim Deeds====
+==236.5.17 Valuing Excess Property==
-Use the following deed clauses for disposals by quitclaim deed.
+[http://www.moga.mo.gov/statutes/c200-299/2270000290.htm RSMo 227.290] stipulates that the Commission is to obtain approximate fair market value for excess realty, except as addressed in this article (236.5 Property Management).  For the purpose of this chapter in meeting requirements established in state statute and in the CFR, “approximate fair market value” shall include that prices (in money or exchange) concluded as follows:  a) for excess parcels that are non-stand-alone or owned as less-than fee; through direct negotiation with the entire market for the property, such as all adjoining owners, or the fee owner; or, b) for marketable stand-alone excess parcels; through an open public sale process based upon the appraised value and subsequent good faith negotiations, a public auction, or other competitive bid process.  The documentation submitted to the Right of Way Division shall demonstrate how the transaction represents the approximate fair market value of the parcel.  For more on valuing excess property, see [[236.6 Appraisal and Appraisal Review#236.6.3.7 Realty Asset Valuation|236.6.3.7 Realty Asset Valuation]].
-'''Utility Clauses'''
+The appraisal and the title opinion together help define the sale process most appropriate to the parcel.  The appraisal is used to determine the potential market (stand alone or not) and the title opinion (fee or less than fee) may further define the field of potential purchasers.
-If utilities are located within the excess area, the following reservation clause must be included in the deed:
+==236.5.18 Categorical Exclusion (CE) Review==
-"Grantee(s), by acceptance of this conveyance, covenant and agree for (themselves/himself/herself), (his/her/its/their) successors and assigns, to permit        (Name of utility company)       to maintain ____ wide easement, centered on its existing      (type of utility)      facilities, for the purpose of maintaining, or reconstructing their existing    (type of utility)   facilities and its appurtenances over, under, or across the land herein conveyed."
-The district utility engineer shall provide the name of any utility company having facilities within the excess area.  He/she should also be able to provide the normal width that will need to be reserved for the easement.  The exact location of the utility does not need to be stated in the deed, as the easement is centered on the existing facility.
+A Categorical Exclusion (CE) is required for realty asset conveyances, leases, airspace agreements, and road relinquishments.
-'''Billboard Clause'''
+Full disclosure of the exceptions or conditions noted in the CE report shall be made to potential purchasers when conveying realty assets (provide a summary of the CE exceptions, not a copy of the form itself).  All requirements included within the CE report shall be addressed prior to consummation of the transaction.
-In compliance with Commission Policy, of August 9, 1996, the following billboard clause is required in all deeds of conveyance of excess realty where the property lies along the national highway system (interstate and primary routes) or designated [http://www.modot.org/scenicbyways/ scenic byways], unless specifically waived by the Commission.  If you are unsure of a specific route, check with the Outdoor Advertising Specialist in that area.  Please use the correct gender for Grantee, either singular or plural.
+District right of way completes Section A of the [http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot Categorical Exclusion Form], and submits it with attachments to Environmental Unit, Design Division, Central Office.  The environmental unit researches the request to make the CE determination and completes Section B of the CE form and returns it to District Right of Way.
-"Grantee, for itself, its successors and assigns, by acceptance of this conveyance, covenants and agrees, and it is made a condition of this conveyance, that the property herein described shall not be used for the construction, erection or maintenance of billboards or advertising signs other than signs advertising activities conducted on the property or services and products therein provided.  This shall be a covenant running with the land and is binding upon Grantee, its successors and assigns.  Upon a breach of this covenant and after 10 days' written notice to Grantee or its assigns to remove said offending sign as described above, Grantor retains the right to enter the property herein conveyed and remove said sign at the sole expense and liability of Grantee or its successors and assigns."
+==236.5.19 Survey Requirements==
-'''Contamination Clauses'''
+To ensure compliance with [http://www.moga.mo.gov/statutes/c300-399/3270000272.htm Section 327.272 RSMo] with regard to the disposition of right of way, the property description within each conveyance, if different from the property description within the acquisition document, must be reviewed by a professional land surveyor (PLS).  The PLS may determine that the conveyance property may be adequately described without a survey, or that a survey is required for the conveyance.
-When disposing of maintenance sites or stockpile sites, the following two paragraphs are to be included in the deed:
+Properties may be conveyed without additional surveys when the property descriptions are obtained from the last deed or deeds of record and are conveyed as a whole, without subdivision or alteration.  If the Grantee is to provide the survey as part of the transaction, district right of way and a PLS shall review the survey to ensure that it encompasses the area approved by the Asset Management Committee and does not include land or features that the Committee intended to be retained.
-"The Missouri Department of Transportation (MoDOT) has conducted a field investigation of the above described property.  Based on the field investigation (which is a visual observation of the land) and a review of the Department's records concerning past use of the land, it appears that there is currently no apparent environmental contamination present due to the past activities of MoDOT on this land.  However, MoDOT's findings are based solely on the information from the visual observation and review of Department files.  This finding does not in any manner constitute a certification or guarantee with regard to the potential contamination of this site."
+District right of way makes a request to the Central Office Survey Staff for surveys of realty assets shall include the following:
-"In the event a future environmental problem arises in the vicinity of the ____________ maintenance lot, MoDOT expressly reserves the right to have access to the property to conduct additional investigations to determine if the environmental problem is related to past activities by MoDOT at the lot or due to activities that have taken place since MoDOT owned the lot.  ___________ agrees to immediately notify MoDOT if an environmental problem arises and will grant MoDOT the right of reasonable access on the property to conduct investigations or testing."
+:1. The most current highway plans distinctively indicating the areas to be conveyed
+:2. The highway plans of the original acquisition parcels
+:3. The complete documents of acquisition for the excess area, whether deed or Report of Commissioners, with legible recording information
+:4. The last deeds of record for all adjoining properties, complete documents, with legible recording information
+:5. The complete title opinion for the property, and if available, any title commitments or insurance policies
+:6. The asset management committee’s approval as excess, particularly including any definition or clarification by the Committee as to the area to be excess.  This may be accomplished by a plan sheet altered by district design to indicate the area to be conveyed.
+:7. Any other documentation gathered that pertains to the areas to be conveyed and/or surrounding the areas to be conveyed
-'''Nondiscrimination Clause'''
+==236.5.20 Realty Transactions==
-Nondiscrimination clauses are required in deeds conveying land, under the following circumstances:
+Realty transactions involve an agreement, or contract, for the  transfer of realty interests, and the fulfillment of the terms thereof, which usually includes the delivery of a deed.
-:*to another public agency with no remuneration
+===236.5.20.1 Exchanges===
-:*when the federal government participated in the cost of the property
+Excess land may be negotiated in exchange for land needed for an MHTC project as described in [[236.7 Negotiation#236.7.2.11 Uneconomic Remnants and Future Excess Right of Way|236.7.2.11 Uneconomic Remnants and Future Excess Right of Way]].  The value of a remnant in an exchange may be much greater than the diminished uneconomic value attributed to it when acquired and the best value shall be sought in an exchange.
-Nondiscrimination clauses are not used in deeds conveying land under the following:
+Although a separate appraisal is not required in such an exchange, the value in exchange shall be shown to be the approximate fair market value and the details of the exchange provided in the [[media:236.7 Form 7-2.13.doc|Negotiator Report]] or Administrative Settlement for the acquired property.  These documents are to be provided with the excess conveyance submittal.
-:*to another public agency with remuneration
+A CE must be acquired for exchange parcels if one has not been specifically completed for conveyance of the parcel.  If the appraised value of the excess parcel is $200,000 or more, the exchange will require Commission approval by Commission Minute.  All excess can be used in the negotiations for the acquisition of land required for a project.  The deed for the excess may be executed and delivered prior to project completion.  If any part of it may be needed during the project, but the deed is to be delivered prior to project acceptance, continued possession shall be assured by the use of the retention of possession clause.  Utilities shall be addressed in any exchange in the same manner detailed in [[236.5 Property Management#236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities|236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities]].  An [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot RAI Form] must be completed and submitted for both the excess and the acquired parcels in an exchange.
-:*to the federal government, regardless of remuneration
+Other exchanges are possible, as long as the value received for the excess can be shown to be the approximate fair market value.  Exchanges must comply with the NEPA process as far as obtaining clearance prior to acquiring a parcel.
-:*when there were no federal government participation in the cost of the property
+===236.5.20.2 Transaction Agreements===
-The Grantee, for itself, its personal representatives, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running with the land that (1) no person on the grounds of race, color, religion, creed, sex, age, ancestry, national origin, disability or veteran status shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination in the use of said facilities, (2) no person shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination, in the construction of any improvement on, over or under such land and the furnishing of service thereon, on the grounds of race, color, religion, creed, sex, age, ancestry, national origin, disability or veteran status, (3) that Grantee shall comply with the provisions of Executive Order No. 94-03, issued by the Honorable Mel Carnahan, Governor, on January 14, 1994, which executive order is incorporated herein by reference and is made a part of this Agreement.  This Executive Order promulgates a Code of Fair Practices for the Executive Branch of Missouri Government and prohibits discrimination against recipients of services, and employees or applicants or employment of state contractors and subcontractors, on the grounds of race, color, religion, national origin, sex, age, disability, or veteran status.  The Grantee shall also comply with all state and federal statutes applicable to the Grantee relating to nondiscrimination, including but not limited to Chapter 213, RSMo; Title VI and Title VII of the Civil Rights Act of 1964 as amended (42 U.S.C. Sections 2000d and 20003, et seq.); and with any provision of the "Americans with Disabilities Act" (42 U.S.C. Section 12101 et seq.) which applies to the Grantee.  The Grantee shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Part 21.
+Whether by Sales Agreement or other agreement, all transactions shall include some evidence of the commitment by the grantee.  While it will most often be in the form a [http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement (RW22)], other possibilities include a [http://wwwi/intranet/cc/contracts/RW/RW27%20Road%20Relinquishment%20Agreement%20533.doc Roadway Relinquishment Agreement (RW 27)], a Cost Share Agreement, a County or Municipal Agreement, or some other form approved by CCO.  If the appraised value of an excess parcel is $200,000 or more, the authority to execute the document is to be established by Commission Minute, unless CCO determines such authority is granted otherwise in the delegation of authority policy.
-====236.5.4.11.2 Deed Clauses for Warranty Deeds====
+District right of way shall use the [http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement (RW22)] on all sale transactions in the amount of $5,000 or more.  When using the sales agreement, a 10% security deposit shall be collected at the signing of the agreement. The security deposit is in addition to the processing fee.  The balance due at closing will reflect the settlement price minus the security deposit.  A cashier's check, personal check, or money order tendered by the requesting party and made payable to "Director of Revenue - Credit State Road Fund" shall be required.  Upon receipt of the security deposit, district right of way shall process a transmittal to District Business & Benefits Services as described in [[236.5 Property Management#236.5.6 Handling of Funds Received|236.5.6 Handling of Funds Received]].  [http://wwwi/intranet/cc/contracts/RW/RW22A%20%20Sales%20Agreeement%20(Nominal%20Consideration).doc The Sales Agreement Form RW22A] may be used for nominal disposals where neither the Commission nor the grantee holds the fee interest.
-'''Contamination Clause'''
+The district engineer has the authority to execute sales agreements, which are contingent upon further Commission approval.  However, any sales agreements with parcels having an appraised value of $200,000 or more must be presented to the Commission for consideration prior to execution.
-When disposing of maintenance sites or stockpile sites, the following two paragraphs are to be included in the deed:
+In cases where the sale is unable to close on the date set out in the Sales Agreement, an [[media:236.5 Extension of Closing Date Addendum (Form 5-20.2).doc|Extension of Closing Date Addendum (Form 5-20.2)]], can be used to extend the closing date.  Both the buyer and the district engineer shall sign the addendum.  The extension agreement can be used as many times as necessary to extend the closing date, as long as both parties are agreeable to the extension.  If either party is not agreeable to the extension, the contract is void.  If the buyer is in default, the processing fee and security deposit shall be retained as per the agreement.  If MoDOT is unable to deliver an executed deed, as per the agreement, the purchaser's processing fee and security deposit will be refunded.
-:"The Missouri Department of Transportation (MoDOT) has conducted a field investigation of the above described property.  Based on the field investigation (which is a visual observation of the land) and a review of the Department's records concerning past use of the land, it appears that there is currently no apparent environmental contamination present due to the past activities of MoDOT on this land.  However, MoDOT's findings are based solely on the information from the visual observation and review of Department files.  This finding does not in any manner constitute a certification or guarantee with regard to the potential contamination of this site."
+Care shall be taken to address all of the specifics of the transaction.  The Sales Agreement shall address access if it is limited, the billboard restriction if on a controlled route and fee is held, any easement reservations, and any further Committee stipulations, such as drainage plan approval.
+Additional conditions to the sale required by the CE shall be incorporated into the agreement.   If the property is classified as a capital improvement, or otherwise includes structures to be included in the sale, district right of way will request an [http://epg.modot.mo.gov/forms/CO/Asbestos%20Survey%20Report%20-%20All%20Materials%20(Form%20T748).dot Asbestos Survey Report] and [[Demolition and Removal of Improvements|Painted Concrete Report]] from the Materials Division.
-:"In the event a future environmental problem arises in the vicinity of the ____________ maintenance lot, MoDOT expressly reserves the right to have access to the property to conduct additional investigations to determine if the environmental problem is related to past activities by MoDOT at the lot or due to activities that have taken place since MoDOT owned the lot.  ___________ agrees to immediately notify MoDOT if an environmental problem arises and will grant MoDOT the right of reasonable access on the property to conduct investigations or testing."
+===236.5.20.3 Property Description in Sales Agreement===
-'''Nondiscrimination Clause'''
+The sales agreement may provide that the Commission or purchaser provide the exact property description to be included in the deed.  Alternatively, if the property description is included in the Sales Agreement, it shall be prepared in accordance with [[236.4 Description Writing and Titles#236.4.6 The Description|236.4.6 The Description]].
-Nondiscrimination clauses are required in deeds conveying land, under the following circumstances:
+==236.5.21 The Conveyance Document==
-:*to another public agency with no remuneration
+All conveyances of real property or real property rights shall be executed by the Chair or Vice-Chair of the Missouri Highways and Transportation Commission.
-:*when the federal government participated in the cost of the property
+A [http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473.doc Quitclaim Deed, (Form RW1)] is used to convey the Commission’s property interest.  A [http://wwwi/intranet/cc/contracts/RW/RW03%20General%20Warranty%20Deed%20471A.doc Warranty Deed, (Form RW3)], may only be used for capital improvement sites that were acquired in fee simple title by warranty deed, or with approval by regional counsel.  The use of a general warranty deed is extremely limited.  Concurrence to do so shall be sought from the Right of Way Division and regional counsel.
+It is important to be thorough in addressing all issues that need to be in the deed. The [http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement] should be the primary point of focus for the deed.  If done properly, the sale agreement will address all items that need to be within the deed.  It is imperative that the deed writer ensures that the property description in the deed conforms to the survey requirements.
-Nondiscrimination clauses are not used in deeds conveying land under the following:
+===236.5.21.1 Billboard Clause===
-:*to another public agency with remuneration
+In compliance with Commission Policy, of August 9, 1996, the following billboard clause is required in all deeds of conveyance of excess realty owned in fee simple title where the property lies along the national highway system or designated [http://www.modot.mo.gov/scenicbyways/ scenic byways], unless specifically waived by the Commission.  If you are unsure of a specific route, check with the outdoor advertising specialist in that area.  Use the correct gender for grantee, either singular or plural.
-:*to the federal government, regardless of remuneration
+:''"Grantee, for itself, its successors and assigns, by acceptance of this conveyance, covenants and agrees, and it is made a condition of this conveyance, that the property herein described shall not be used for the construction, erection or maintenance of billboards or advertising signs other than signs advertising activities conducted on the property or services and products therein provided.  This shall be a covenant running with the land and is binding upon Grantee, its successors and assigns.  Upon a breach of this covenant and after 10 days' written notice to Grantee or its assigns to remove said offending sign as described above, Grantor retains the right to enter the property herein conveyed and remove said sign at the sole expense and liability of Grantee or its successors and assigns."''
-:*when there were no federal government participation in the cost of the property
+===236.5.21.2 Controlled Access===
-The Grantee, for itself, its personal representatives, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running with the land that (1) no person on the grounds of race, color, religion, creed, sex, age, ancestry, national origin, disability or veteran status shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination in the use of said facilities, (2) no person shall be excluded from participation in, denied the benefits of, or otherwise be subjected to discrimination, in the construction of any improvement on, over or under such land and the furnishing of service thereon, on the grounds of race, color, religion, creed, sex, age, ancestry, national origin, disability or veteran status, (3) that Grantee shall comply with the provisions of Executive Order No. 94-03, issued by the Honorable Mel Carnahan, Governor, on January 14, 1994, which executive order is incorporated herein by reference and is made a part of this Agreement.  This Executive Order promulgates a Code of Fair Practices for the Executive Branch of Missouri Government and prohibits discrimination against recipients of services, and employees or applicants or employment of state contractors and subcontractors, on the grounds of race, color, religion, national origin, sex, age, disability, or veteran status.  The Grantee shall also comply with all state and federal statutes applicable to the Grantee relating to nondiscrimination, including but not limited to Chapter 213, RSMo; Title VI and Title VII of the Civil Rights Act of 1964 as amended (42 U.S.C. Sections 2000d and 20003, et seq.); and with any provision of the "Americans with Disabilities Act" (42 U.S.C. Section 12101 et seq.) which applies to the Grantee.  The Grantee shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Part 21.
+When no access or a specific access break is to be granted along with the conveyance of an excess property, an access clause shall be included in the conveyance document.
-===236.5.4.12 Processing Fee===
+===236.5.21.3 Utilities===
-A processing fee of $100 shall be charged the party requesting MoDOT approve a conveyance of excess right of way.
+Utilities shall be addressed according to [[236.5 Property Management#236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities|236.5.12 Excess Land Conveyances & Relinquishments – Regulated Utilities]].
-A cashier's check, personal check or money order tendered by the requesting party and made payable to "Director of Revenue - Credit State Road Fund" shall be required.  Upon receipt of the processing fee, district right of way shall forward the fee to district business & benefits along with a Receipt-Transmittal of Money form.  A copy of the Receipt-Transmittal of Money form is also forwarded to the Right of Way Division.
+===236.5.21.4 Retention of Possession===
-'''NOTE''':  No processing fee will be charged if the proposed excess land is being given back to the original owner who donated the land or leasehold and is still in possession of contiguous property.  If donated, conveyance to the original owner will be without cost, as established by Commission policy adopted July 1986.  Also governmental agencies will not be charged any processing fee.
+It is possible to sell or exchange excess prior to project acceptance.  When the deed is delivered prior to completion of the new project, the deed shall include the following paragraph”
-Should the requesting party elect not to follow through on the purchase of the excess land, he/she/it/they will forfeit the earnest fee.  Should the Commission elect not to sell the excess land, the processing fee will be returned to the requesting party.  District right of way will then request the Controller’s office issue a refund check to the original requesting party.
+:''"The Missouri Highways and Transportation Commission retains full, free, and uninterrupted use and possession of the land herein conveyed until completion of construction and acceptance of the project for the construction of Route_________________ by the Commission’s District Engineer.''"
-If a mutually agreed upon sales price is reached and the transaction is completed, the initial processing fee will be credited toward the purchase price.
+===236.5.21.5 Reversion of Property to the Commission===
-If it is the district's recommendation that the requested parcel be disposed of by open sale, either sealed bid or auction, and the original requester does not get the bid, district right of way shall request that Controller issue a refund check to the original requesting party for the previously collected processing fee.
+There may be situations when it is in the best interest of the Commission to convey property to another party with conditions that would result in the property reverting to the Commission’s possession.  When instances like this occur, a reversionary clause shall be included in the deed.  Contact the district’s regional counsel’s office for assistance with developing a reversionary clause appropriate to the specific situation.
-===236.5.4.13 Processing by the Right of Way Division===
+===236.5.21.6 Public Use===
-Upon receiving a request for disposal, the Right of Way Division will forward the request to the Federal Highway Administration for its review and approval action, when excess property is located on an interstate route.  If the Right of Way Division approves the request, the deed of conveyance will be forwarded to the Commission Secretary for execution on behalf of the Commission.  If the property is being sold for more than $50,000 dollars and is owned in fee, all background information will be submitted to the Commission Secretary for presentation at the next Commission Meeting.  If approved by the Commission, the deed will be executed on behalf of the Commission.
+There are situations when it is in the Commission’s best interest to convey property to a city, county, or other political subdivision that is to be used solely for public purposes.  In conveyances such as these, the conveyance deed shall include a clause that results in the property reverting to the Commission should the property cease to be used for public purposes.  Consult with the district’s regional counsel’s office for assistance with developing language appropriate to the specific situation.
-If the Right of Way Division rejects the sale on behalf of the Commission, the district will be notified of the rejection and the reason.  The purchaser will be notified of the rejection and Controller will be requested to issue a check for refund of the processing fee and security deposit.
+===236.5.21.7 Acceptance of Conveyance===
-===236.5.4.14 Approval by the Missouri Highway and Transportation Commission===
+When excess property is conveyed to a city, county, or other political subdivision, the district shall obtain an [http://wwwi/intranet/cc/contracts/RW/RW42%20%20Acceptance%20of%20Conveyance%20by%20County%20or%20Other.doc Acceptance of Conveyance (Form RW42)] document executed on behalf of the city, county, or political subdivision.
-In compliance with Commission policy of August 9, 1996, authority to approve the following transactions involving the conveyance of Commission-owned property or property rights, is given to the Chief Engineer or his designee.
+==236.5.22 Transaction Submittal to Right of Way Division==
-:*Utility easements across Commission property.
+All conveyances and relinquishments shall be reviewed and approved in the district prior to submittal to the Right of Way Division.  Once reviewed and approved by the district, a parcel packet shall be saved to the RAI FTP site as a subfolder labeled with the packet’s “E” number within the district’s folder.  When the parcel packet has been saved to the FTP site, the district shall send an email to the “RW RAI” group stating that the parcel is ready for processing.  Parcel packets shall include the following:
-:*Property to local public agencies for their use and maintenance.
+:1. Transaction Memo, which describes the chain of events leading to the transaction submittal (RWmemo.doc)
+:2. Copy of executed agreement, if applicable (SlsAgrmnt. pdf)
+:3. Quitclaim deed or other deed of conveyance (Deed.doc)
+:4. Categorical Exclusion Review (CE.pdf)
+:5. Appraisal of the property (Appraisal.pdf)
+:6. Title Opinion or Commitment, including acquisition documents (Title.pdf)
+:7. Highway Plan as acquired with a depiction of the excess (AcqPlan.pdf)
+:8. Current highway plan with a depiction of the excess (ExstPlan.pdf)
+:9. RAI Form (RAI.doc)
+:10. Survey of the parcel (Survey.pdf)
+:11. Asset Management Committee Minutes (AMC.pdf)
+:12. Utility determinations and correspondence (Utilities.pdf)
+:13. Maps or aerials showing the property (Maps.pdf)
+:14. Administrative Settlement on property exchanged, if applicable (AdmStlm.pdf)
+:15. Copy of advertisement, if sold by a competitive bidding process
+:16. Other relevant documents (Misc.pdf)
-:*Property appraised for $50,000 or less (includes property owned in fee simple title and less than fee simple title).
+==236.5.23 Agreement Approval and Deed Execution==
-:*Property the Commission owns in less than fee simple title appraised for $50,001, or more, provided the selling price is at least 50 percent of the appraised value.
+The Right of Way Division will review the submittal.  Upon concurrence that the proposal is in the best interest of the Commission, the Right of Way Division shall pursue Commission approval of the conveyance, as prescribed in the [http://lnapp2/AO/Director.nsf/ceba8ad03e6c7dab86256ce600700e98/ea0231e294e10b40862571d80062ddc3?OpenDocument Commission’s Execution of Document Policy] or by specific Commission Minute.  The [http://wwwi/intranet/cc/contracts/RW/RW22%20Sales%20Agreement%20545.doc Sales Agreement (RW22)] is contingent upon such approval.  When in accordance with [[236.5 Property Management#236.5.1.1 Federal Highway Administration (FHWA) Oversight|236.5.1.1 Federal Highway Administration (FHWA) Oversight]], FHWA concurrence is required for the transaction.  The Right of Way Division shall seek FHWA approval when required.  Commission approval shall not be obtained without the required concurrence by FHWA.
-:*The Commission will approve the disposal of property owned in fee simple title having an appraised value of $50,001 or more.
+With the required approvals of the request, the deed of conveyance will be forwarded to the Commission Secretary for execution by the Chair or Vice-Chair on behalf of the Commission.  If approved by the Commission, the deed will be executed on behalf of the Commission.
-The Chairman or Vice-Chairman of the Commission will execute the conveyance documents on behalf of the Commission.
+==236.5.24 Closing Sale==
-===236.5.4.15 Closing Sale===
+Upon receiving the executed instrument, the district shall arrange the closing of the sale.  The closing can either be handled in person or by mail.  If handled in person, it is recommended that a department representative meet the buyer at the County Recorder’s Office.  The buyer shall tender the balance of the purchase price by either cashier’s check or money order.  Upon receiving the balance of the purchase price, the district representative will deliver the deed to the buyer and have the buyer record the deed.  If the closing is handled by mail, the buyer shall be advised to send the district a cashier’s check or money order for the balance of the purchase price along with a check made payable to the county recorder for the recording fee.  The district will mail the deed aloing with the check for recordation to the recorder’s office with a request the deed be returned to MoDOT.  When the recorded deed is returned, copies shall be made as required and the original recorded deed shall be sent to the grantee.
-Upon receiving the executed instrument, the district shall arrange the closing of the sale.  The closing can either be handled in person or by mail. If handled in person, it is recommended that a department representative meet the buyer at the county recorder's office.  The buyer shall tender the balance of the purchase price by either cashier's check or money order.  Upon receiving the balance of the purchase price, the district representative will deliver the deed to the buyer and have the buyer record the deed.  If the closing is handled by mail, the buyer shall be advised to send the district a cashier's check or money order for the balance of the purchase price along with a check made payable to the county recorder for the recording fee.  The district will mail the deed along with the check for recordation to the recorder's office with a request the deed be returned to MoDOT.  When the recorded deed is returned, copies shall be made as required and the original recorded deed shall be sent to the grantee.
+The district shall place either a copy of the recorded deed, or a copy of the executed deed with the recording information written on it, in the district deed file.  It shall be filed with the deed by which the property was originally purchased.  A copy of the executed deed, plat, plan sheet, and area map shall be furnished to district maintenance and the Design Division.
-The district shall place either a copy of the recorded deed, or a copy of the executed deed with the recording information written on it, in the district deed file.  It shall be filed with the deed by which the property was originally purchased.  A copy of the executed deed, plat, plan sheet and area map shall be furnished to district maintenance and the Design Division.
+==236.5.25 [http://www.fhwa.dot.gov/realestate/airguide.htm Leases and Airspace License Agreements]==
-==236.5.5 Lease and Airspace Agreements==
+All non-highway use of Commission property is to be administered through an approved agreement.  The use of Commission real property is generally addressed with a [http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc Lease (RW14)] or [http://wwwi/intranet/cc/contracts/RW/RW28%20Airspace%20License%20Agreement.doc Airspace License Agreement (RW28)].
-===236.5.5.1 Purpose===
+Leasing excess Commission real property is generally not desirable, and should only be done as an interim solution to selling the excess.
-This information describes leasing vacant Commission-owned property, other than through an extension of possession agreement, and for permitting the use of airspace for non-highway use by license (airspace agreement).  Each district is required to obtain Right of Way Division approval to permit the use of Commission-owned property through either a lease or airspace agreement.
+The Asset Management Committee shall decide if an area is available for non-highway use, subject to an environmental review.  An approved use must be consistent with the continued operation, maintenance, and safety of the facility, and such use shall not result in the exposure of the facility’s users or others to hazards.  The committee shall also recommend the duration period of the agreement.  The terms of any agreement are subject to approval by the right of way director, and for areas within the Interstate System, concurrence from FHWA.
-===236.5.5.2 Leasing Commission-Owned Property (''temporary use of R/W'')===
+The committee shall be presented with all of the relevant details of a proposed use.  If the requested area is beneath a highway structure, the [[236.5 Property Management#236.5.25.6 Security Assessment for Leased Areas|Security Assessment for Leased Areas]] shall be provided as completed for review of the security requirements.  It is incumbent upon the committee to provide for the direction needed to address all relevant factors of a request, including the oversight of proposed tenant improvements, if any.
-When Commission-owned property is not needed for current construction, or maintenance of a highway, it is permissible to lease the property to the general public.  Leasing of Commission-owned property is usually done in situations where the use is to be temporary and the lessee takes possession of the area for a particular use.  The lease shall have a specific term (usually five years), with a monthly or annual rental payment.
+On-premise signs, displays, or devices indicating the type of on-premise activities may be erected independently or upon structures occupying highway airspace.  Nothing classified as outdoor advertising shall be permitted.  Local ordinances and requirements shall apply.
+Uses allowed by lease or license agreements shall not include the manufacture or storage of flammable, explosive, or hazardous material or any occupation that is deemed by MoDOT to be a hazard.
-===236.5.5.3 Airspace Agreements (''permanent use of R/W'')===
+===236.5.25.1 Application/Request for Leases===
-Airspace, as used in the Code of Federal Regulations, is that space located above, at, or below the highway's established gradeline, lying within the approved right of way.  For MoDOT purposes, an airspace agreement grants a license allowing the use of airspace in situations where the use is intended to be somewhat more permanent in nature.  Examples of situations in which an airspace agreement is applicable are:  Tunnels under the highway, overhead walkways, hiking\biking trails along or across the right of way, etc.  The license may have no specific time limit and require a one time fee or may be written to specify a term length and involve periodic rental payments.  Provisions for specific use of the space and for cancellation or expiration of the license are set out in the agreement.
+The application or request may be generated internally or externally.  A $250 processing fee is required for new lease and license requests.  The fee is not to be applied to the rental payments, but is refundable should the request be denied.  Requests from governmental agencies for non-proprietary uses may be processed without charge and without a processing fee.
-===236.5.5.4 District Review===
+Each of the following items must be included in an application:
-All requests to use Commission-owned property shall originate in the district.  A District Right of Way Management Committee, as established by each district, shall review each request.  If, after review, it is recommended the area be leased or a license granted, District right of way will process the request and forward it to the Right of Way Division for handling.
+:1. Identification of the party requesting the use, as well as any others who may be responsible for developing, occupying, and maintaining the airspace
+:2. A general statement of the proposed use
+:3. The proposed design for the use of the space, including any facilities to be constructed, if any
+:4. Maps, plans, or sketches to adequately demonstrate the relationship of the proposed project to the highway facility, with the level of detail in proportion to the complexity of the request
-===236.5.5.5 General Guidelines for Lease of Premises Agreement===
+===236.5.25.2 Environmental Review for Leases===
-Lease agreements may be entered into by negotiations where there is only one prospective lessee for the area.  If there is more than one prospective lessee, the area will be leased by sealed bid unless other adjoining owners are contacted and express no interest in leasing the area by signing a written waiver, or the area can be divided between interested owners.  Those areas that can be utilized by parties other than adjoining property owners shall be offered for lease by sealed bid.
+A [http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot Categorical Exclusion (CE)] shall be obtained prior to any new lease or license agreement , but is not required for a lease renewal as long as the use remains the same.  Any special terms of the CE shall be incorporated into the lease or license agreement.
-Each [http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc lease agreement] will be prepared using standard paragraphs furnished by Chief Counsel’s Office.
+===236.5.25.3 Valuation – Compensation for Leases===
-The lease term shall not exceed five years.  If an agreement is needed for a longer term, the rental rate must be updated at the end of the fifth year.
+If a non-proprietary use (as agreed by Counsel) is proposed by a political subdivision of the state, or other governmental entity, the district engineer may authorize such a lease or license agreement without charge.  No appraisal is needed if this option is pursued.  FHWA concurrence is required for properties within the Interstate System.
-The Right of Way Division will review exceptions to the leasing policy for flexibility when requested by a district.
+The value of the lease or agreement shall otherwise be established in accordance with the [[236.6 Appraisal and Appraisal Review#236.6.1 Overall Operating Policies|236.6.1 Overall Operating Policies]].  The lessee shall be charged the value as so established, or another amount logically reasoned to be in the best public interest and approved by the Right of Way Director.
-===236.5.5.6 General Guidelines for Airspace Agreement===
+===236.5.25.4 Marketing Properties for Lease===
-Airspace agreements are entered into in situations where the licensee is the only one that can use the requested airspace.  It is, therefore, not necessary to determine if there are other prospective users.
+Leases for areas that have only one prospective tenant may be directly negotiated without marketing or a bid process.  If there is more than one prospective lessee, it shall be shown that all prospective adjoining property owners are afforded the opportunity to bid on the lease.  Dividing the lease area between interested parties may be an option.  Those areas that have a market potential beyond the adjoining property owners shall be made available to the public through a competitive bidding process.  The level of advertising is at the district’s discretion, but it shall not preclude the notification of the adjoining owners.  A real estate broker may be enlisted as with marketing excess properties.
-An [http://wwwi/intranet/cc/contracts/RW/RW28%20Airspace%20License%20Agreement.doc approved standard form] is supplied for this use.  However, the actual agreement will need to be customized to fit the particular situation, keeping in mind that certain paragraphs are standard in nature and should remain unchanged.   Examples of forms used in similar situations can be obtained from the Right of Way Division.  Modifications from the standard form will need approval by the Right of Way Division and the Chief Counsel’s Office.
+===236.5.25.5 Risk Assessment===
-===236.5.5.7 General Rules for Leases and Airspace Agreements===
+The standard lease insurance limits are $500,000 per individual and $3 million per occurrence.  A reduction or waiver of the standard insurance limits may be permitted through a [http://lnapp1/RI/RIManual.NSF/a6c50f24e45a087a86256e4b006162f7/f656c7d8461f1dcd862572ff00642d59/$FILE/Risk%20Assessment%20Form%20-%20Leases.doc Risk Assessment Form].  The district engineer may sign the assessment.  The risk assessment form shall be included with the lease submittal to Central Office when the required insurance is reduced.  A copy is to be forwarded to the Risk Management Director for quality assurance tracking and review.  See [http://lnapp1/RI/RIManual.NSF/a6c50f24e45a087a86256e4b006162f7/f656c7d8461f1dcd862572ff00642d59?OpenDocument Risk Management Ch 9 and 10/05/06 Blanket Exception –(2)Leases].
-Comply with all requirements of [http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?sid=99f14ba848d177196155c1c9b360e4ce&c=ecfr&tpl=/ecfrbrowse/Title23/23tab_02.tpl Title 23, CFR], Subpart D - Management of Real Property and conform to the provisions in the FHWA Airspace guidelines to 23 CFR 710.405-710.407.
+===236.5.25.6 Security Assessment for Leased Areas===
-A [http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot categorical exclusion determination] must be completed on all leases and airspace agreements in accordance with instructions in [[236.3 Administration# 236.3.1.2 Steps for Completing Categorical Exclusion (CE) Review|236.3.1.2]].
+When the proposed agreement includes an area beneath a highway structure or it proposes a structure to be placed above or beneath a highway facility, a [[media:236.5 Security Assessment Form.xls|Security Assessment Form]] shall be completed by a district bridge representative.  The security provisions established shall be incorporated into the agreement.  The Security Assessment form shall be provided to the Right of Way Division with the lease submittal.
-The rate of compensation for all leases and airspace agreements will be based on a rental study or appraisal to determine fair market rent.  The rental study is to be reviewed and approved by the district chief appraiser or district right of way manager with appropriate comments.  Review of the appraisal is to be completed according to [[236.6 Appraisal and Appraisal Review#236.6.4 Appraisal Review and Approval of Just Compensation|236.6.4 Appraisal Review and Approval of Just Compensation]].
+Additionally, when the lease is intended to allow automobiles to be driven or parked in an area beneath a highway structure that includes piers supporting the structure, as a minimum precaution, a [[media:236.5 Bridge Column Protection Vehicular Traffic.pdf|Bridge Column Protection for Vehicular Traffic]] diagram shall be attached as Exhibit A-1 and the following shall be added to the lease :
-Compensation for the license or lease does not apply when:
+:''"At Lessee's expense, Lessee will provide and maintain wheel stops around Lessor's concrete piers located in the leased area.  The exact specification concerning said wheel stops are contained in Exhibit A-1, which is attached to this lease agreement and made a part thereof.  Lessee will maintain during the term of the lease said wheel stops in good condition and appearance.  Ownership of the wheel stops around the concrete piers of the viaduct and any surface improvements, shall pass to the Lessor absolutely at the end of the term of the lease."''
-:*the area is for a utility use or occupancy under 23 CFR 645, Subpart B, or
+When the lease is intended to allow for truck traffic beneath a highway structure, as a minimum precaution, a [[media:236.5 Bridge Column Protection Truck Traffic.pdf|Bridge Column Protection for Truck Traffic]] diagram shall be attached as Exhibit A-2 and the following shall be added to the lease:
-:*the area use is part of a highway or transit project under Chapter 1 of Title 23 USC, or
+:''"At its own expense, Lessee will provide and maintain corrugated metal jackets backfilled with sand around Lessor's concrete piers located in the leased area.  The exact specifications concerning these protective jackets are contained in Exhibit A-2, which is attached to this lease agreement and made a part thereof. Lessee will maintain, during the term of the lease, said protective devices in good condition and appearance.  Ownership of the protective corrugated metal jackets around the concrete piers of the viaduct and any surface improvements, shall pass to the Lessor absolutely at the end of the term of the Lease."''
-:*the area is used for governmental purposes and, under state law, the State or State highway agency cannot charge another agency or political subdivision for such use and no income is generated, or
+All stipulated security measures shall be inspection items for the continued maintenance of the lease.
-:*the use is governmental but non-proprietary (based on a documented legal opinion by Chief Counsel).
+===236.5.25.7 Lease of Premises===
-When an area located beneath an elevated section of a highway or bridge is being reviewed for purposes of a lease, the lessee must provide pier protection around all piers located within the leased area.
+The [http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc Lease of Premises (RW14)] addresses the minimum required provisions for a lease without further review by CCO.  Additional stipulations by the Asset Management Committee, the [http://epg.modot.mo.gov/forms/DE-Env&Cultural/Categorial%20Exclusion%20Form.dot CE], or the [[media:236.5 Security Assessment Form.xls|Security Assessment]] shall be incorporated into the lease when appropriate.  Revisions to the standard form are to be approved by CCO.  This form is for a distinct period not to exceed five (5) years, unless prior approval has been obtained from the Right of Way Division.
-NOTES C, D and E on the [http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc Lease of Premises], must be made a part of the lease agreement along with Exhibit A-1 or A-2, depending on what type vehicles will be in the area of the lease.
+Where the leased area crosses the plane of a highway facility improvement, such as the lease of space beneath a highway structure, the property description shall adequately address the three-dimensional aspects of the leased area.  At a minimum, the area description shall include the following:
-===236.5.5.8 Transmittal for Headquarters Right of Way Review===
+:''"The vertical dimensions of the described property leased herein stops at and shall not extend above a plane horizontal to and eight (8) feet below the underside of the viaduct carrying said (Route) passing along and above the described premises."''
-All requests for leases or airspace agreements are to be sent to the Right of Way Division after execution by the lessee.  Requests for airspace agreements shall be sent to the Right of Way Division before execution, as it is important that the Chief Counsel’s Office review the agreement before it is executed.  Airspace Agreements on the [[:Category:123 Federal-Aid Highway Program#123.1.1 FHWA Oversight - National Highway System|National Highway System]] (NHS) must be reviewed and approved by FHWA prior to execution.  All requests are to be transmitted in letterform and are to include the following items:
+Leases of Commission property are to be approved and executed by the right of way director.
-:*A summary of the district review and recommendation of lease/airspace agreement conditions.
+===236.5.25.8 Airspace License Agreements===
-:*A completed copy of the MoDOT [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot Property Inventory Record] to update Right of Way Division records and verifies if there has been federal participation.
+Airspace is that space within the boundaries of the highway system not physically occupied by the highway facility.  Although a [http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc lease (RW14)] of airspace is technically an “airspace agreement,” the [http://wwwi/intranet/cc/contracts/RW/RW28%20Airspace%20License%20Agreement.doc Airspace License Agreement (RW28)] allows for a more permanent use, generally to accommodate a specific structure or improvement to be constructed, used, and maintained by the licensee.  Examples of situations in which an airspace agreement is applicable are:
-:*Four (4) executed originals of the lease (one each for the district, the Right of Way Division, Controller, and lessee), or three (3) unexecuted originals of the airspace agreement (one for the Right of Way Division, one for Chief Counsel’s Office, and one for FHWA) for review.
+:1. tunnels under the highway,
+:2. overhead walkways,
+:3. trails,etc.
-:*A legible plan sheet of the area (2 copies).
+[http://wwwi/intranet/cc/contracts/RW/RW28%20Airspace%20License%20Agreement.doc Form RW28] is more of a template than most forms and the final agreement will require extensive collaboration between the district and CCO.
-:*An estimated fair market rental value for the lease or an estimated payment for the airspace agreement (2 copies).
+Because each Airspace License Agreement is specific to the requestor, exploring other prospective users or marketing options is not needed.
-:*Plans or sketches, as necessary, to set out any pertinent features for use or to be constructed in conjunction with the use of the airspace.
+===236.5.25.9 Lease/Airspace License Submittals to Right of Way Division===
-:*A detailed 3-dimensional drawing is necessary when elevation is a consideration (2 copies).  Exceptions to the requirement of a 3-dimensional drawing include recreation, public park, beautification, parking of motor vehicles, public mass transit facilities, or other similar uses of the surface area beneath an elevated highway structure or adjacent to a highway.
+Airspace License Agreements and complex new leases shall be submitted to the Right of Way Division prior to execution by the licensee for concurrence by the right of way director.  Non-complex leases, such as those with no form revisions, for appraised value, to the only eligible lessee, do not require prior submittal.
-:*Other information necessary to explain the proposal (2 copies).
+Airspace License Agreements and new leases on the Interstate System must be reviewed and approved by FHWA as described in [[236.5 Property Management#236.5.1.1 Federal Highway Administration (FHWA) Oversight|236.5.1.1 Federal Highway Administration (FHWA) Oversight]] prior to execution.
-:*A copy of letter or application from lessee/licensee.
+All supporting documents of each request are to be transmitted electronically via the ftp site as described in [[236.5 Property Management#236.5.22 Transaction Submittal to Right of Way Division|236.5.22 Transaction Submittal to Right of Way Division]] and are to include the following items:
-:*The original [http://epg.modot.mo.gov/forms/RW/Chapter%203_Administration/Categorical%20Exclusion%20Review_Form%203-1_2.dot categorical exclusion determination].
+:1. Transaction Memo, which describes the chain of events leading to the lease submittal.
+:2. Asset Management Committee Minutes
+:3. RAI Form
+:4. Current highway plans of the area
+:5. Highway plans of the area as acquired
+:6. Appraisal or other valuation documents
+:7. Categorical Exclusion determination
+:8. Security Assessment, if applicable
+:9. Risk Assessment, if applicable
+:10. Insurance binder for the required coverage amount, naming MHTC as an additional insured
+:11. Copy of the request from leassee/licensee
-===236.5.5.9 Right of Way Division Review===
+In addition to these electronic submittals, four (4) originals of the agreement (one each for the district, the Right of Way Division, Controller, and lessee) executed by the lessee/licensee shall be submitted to Central Office for review and execution.  When needed, execution by CCO for approval as to form will be obtained through Central Office.  However, the district must ensure that the document has been approved by CCO prior to execution by the lessee/licensee.
-The Right of Way Division reviews all proposed leases.  The Federal Highway Administration also reviews the lease when leased property is located on an interstate route.  If the Right of Way Division and the Federal Highway Administration concur, the Right of Way Director will execute the lease with two documents returned to the district.
+The Right of Way Division reviews all proposed leases and airspace agreements. When required within the parameters outlined in [[236.5 Property Management#236.5.1.1 Federal Highway Administration (FHWA) Oversight|236.5.1.1 Federal Highway Administration (FHWA) Oversight]], the Right of Way Division shall submit the proposal to the FHWA for concurrence.  Additional support or revisions may be required for approval.
-The Right of Way Division and the Chief Counsel’s Office reviews all proposed airspace agreements.  The Federal Highway Administration will review airspace agreements when licensed property is located on the National Highway System.  When concurrence is received, or after recommended changes have been made, the district will be advised to proceed by having the licensee execute five (5) original copies of the agreement.  The five (5) executed originals are to be forwarded to the Right of Way Division for further handling.  The Chairman will execute the airspace agreement following Commission approval at the next Commission meeting.
+When a lease is approved, and necessary CCO approval as to form is obtained, and FHWA concurrence is obtained, the right of way director will execute the lease.  (See the [http://lnapp2/AO/Director.nsf/ceba8ad03e6c7dab86256ce600700e98/ea0231e294e10b40862571d80062ddc3?OpenDocument Execution of Documents Policy]).
-After execution of either a lease or airspace agreement, two copies will be returned to the district.  District personnel will deliver the lease or airspace agreement to the lessee/licensee and collect the rental payment for the lease or the payment for the license, as applicable.  Also at that time, a copy of the insurance binder shall be obtained from lessee/licensee and placed in the district's file.
+Once approved and executed, the district shall receive two executed agreements.  The district shall retain an original and deliver the other to the lessee/licensee.  A copy of the insurance certificate shall be collected and a copy forwarded to the Right of Way Division.  District maintenance shall also be advised of the lease agreement.
-Checks are to be made out to the "Director of Revenue - Credit State Road Fund".  Lease payments should be sent directly to Controller with a copy to Headquarters Right of Way.  If this is a new lease, a notation (i.e., NEW ACCOUNT) should be put on the transmittal to Controller;, alerting them to issue an account number.  District maintenance shall also be advised of the lease agreement.
+Upon approval of the agreement, Accounts Receivable will coordinate rent billing and collection.  Thereafter, lease payments should be sent by the lessee/licensee directly to the Controller.
-===236.5.5.10 Yearly Inspection===
+===236.5.25.10 Initial Inspection & Annual Inspections===
-Districts shall visually inspect leased or licensed areas at least once a year to ensure compliance with the terms of the lease and/or license.  Written documentation of the inspection and a copy of the current insurance binder shall be placed in the file annually.
+Upon establishment of a lease or airspace license agreement, the district must establish initial compliance with any conditions of the agreement, including security measures.
-===236.5.5.11 Renewal of Lease Agreements===
+The district shall inspect each leased or licensed site at least once a year to ensure compliance with the terms of the lease and/or license, which will be tracked in the RAI.
-Prior to expiration of a lease, a determination shall be made whether there is more than one party interested in leasing the area.  If more than one party is interested, sealed bids will be taken.  If only one party is interested, district right of way can negotiate an acceptable rental arrangement.  In all cases, a current rental study shall be prepared.  The District Right of Way Management Committee shall review all renewals.
+===236.5.25.11 Renewal of Lease Agreements===
-After preparation of the new lease, four (4) original copies executed by the lessee along with two (2) copies of the rental estimate and a letter summarizing the district's review shall be forwarded to the Right of Way Division for approval and execution.  The letter should state if this is a new lease or a renewal.
+The District Asset Management Committee shall review all renewals.
-===236.5.5.12 Cancellation of Lease or Airspace Agreement===
+Prior to the expiration of a lease, a determination shall be made by the district whether the lease may be renewed to the current leasee, or will be remarketed. If only one party is interested, district right of way may negotiate an acceptable rental arrangement.  In all cases, a current rental study shall be prepared.
-If a lease agreement is not renewed, or if either party desires to terminate a lease or airspace agreement, the district shall advise the Controller by letter of such action with a copy to the Right of Way Division and any appropriate district offices.
+After preparation of the new lease, four (4) original copies executed by the lessee, along with two (2) copies of the rental estimate and a letter summarizing the district's review shall be forwarded to the Right of Way Division for approval and execution.  The submittal letter shall state if this is a new lease or a renewal.
-===236.5.5.13 Inventory of Lease or Airspace Agreements===
+===236.5.25.12 Cancellation of Lease or Airspace Agreement===
-All leases and airspace agreements will be included in the MoDOT [http://epg.modot.mo.gov/forms/RW/Chapter%205_Property%20Management/Property%20Inventory%20Record.dot Property Inventory Record] maintained by the Right of Way Division and an executed copy of each lease will be on file.  Each district is required to maintain an inventory of all leases and airspace agreements to assure rent collections and inspections are current and as a reminder when renewals are necessary.  The Right of Way Division will use this system as a check only for past due accounts and expirations.
+If a lease agreement is not renewed, or if either party desires to terminate a lease or airspace agreement, a letter shall be forwarded by the district to the lessee/licensee detailing the expiration, cancellation, or termination  including  the date of repossession of the property.  The district shall concurrently forward the letter electronically to the Right of Way Division and the Controller to advise of the action.  The district shall also forward the notice to all appropriate district personnel.
-==236.5.6 Clearance of Right of Way==
+An inspection of the property to ensure possession and condition of the property shall be relayed to the Right of Way Division and any appropriate district personnel.
-===236.5.6.1 Inventory===
+==236.5.26 Acquired Improvements==
-All improvements that can be removed intact or razed from right of way shall be included in an inventory compiled by project and parcel.  Such improvement information should be assembled from the appraisal documents, [[media:236.7 Form 7-2.13.doc|Negotiator's Report]], appropriate legal documents, or by field inspection.
+===236.5.26.1 Inventory===
-The improvement inventory record shall be maintained by each right of way office on the [[media:236.5 Form 5-6.1.doc|Improvement Inventory Data Entry Form]] and shall be placed in each project file.
+All improvements that can be removed intact or razed from property and/or property rights acquired shall be included in an inventory compiled by project and parcel.  Such improvement information should be assembled from the appraisal documents, [http://epg.modot.org/files/c/c2/236.7_Form_7-2.13.doc Negotiator's Report], appropriate legal documents, or by field inspection.
-It is imperative, in all instances, when outdoor advertising is acquired, the Outdoor Advertising Manager must be notified.
+The improvement inventory record shall be maintained by each right of way office on the [[media:236.5 Improvement Inventory (Form 5-26.1).doc|Improvement Inventory Form (Form 5-26.1)]] and shall be placed in each project file.
-===236.5.6.2 Asbestos Inspection Request===
+When outdoor advertising is acquired, the outdoor advertising specialist shall be notified through the [http://epg.modot.mo.gov/forms/RW/Chapter%2016_Outdoor%20Advertising/ADV%20PROFILE%20REPORT1.DOT Outdoor Advertising Profile Report].
-Prior to the sale or demolition of any improvements acquired as part of the right of way, the Construction and Materials Division is to perform an asbestos inspection.  Requesting the inspection is the responsibility of district design.  Upon receiving possession of all improvements on a project, or at least a sufficient number to make efficient use of inspection time, district right of way shall provide the following information to district design:
+===236.5.26.2 Asbestos Inspection Request===
-:*Job number
+Prior to the sale or demolition of any improvements acquired as part of a project, the Construction and Materials Division is to perform an asbestos inspection. Requesting the inspection is the responsibility of district design.  Upon receiving possession of all improvements on a project, or at least a sufficient number to make efficient use of inspection time, district right of way shall provide the following information to district design:
-:*Tract numbers of properties to be inspected
-:*Addresses of properties to be inspected
-:*Plan sheets showing location of the properties
-:*Appraisal floor plan sketches of ALL buildings to be inspected
-===236.5.6.3 Rodent Control===
+:1. Job number
+:2. Tract numbers of properties to be inspected
+:3. Addresses of properties to be inspected
+:4. Plan sheets showing location of the properties
+:5. Appraisal floor plan sketches of ALL buildings to be inspected
-Upon possession of improvements, district personnel shall inspect the premises and determine if rodents are present.  Where such inspection reveals the presence of rodents, immediate action shall be taken to provide proper extermination, except where the improvement is to be immediately removed by a demolition contractor and extermination is a part of the contract.  The Missouri Pesticide Act restricts the purchase and application of restricted-use pesticides to individuals who are certified through the Department of Agriculture.  MoDOT does not have certified personnel to handle these restricted-use pesticides and a State-certified professional rodent exterminator should be contacted.
+===236.5.26.3 Rodent Control===
-Where land and improvements are acquired adjacent to or as part of a sanitary landfill and evidence of rodents exist, the district should notify the Right of Way Division that will coordinate the extermination through the Division of Health.
+Upon possession of improvements, district personnel shall inspect the premises and determine if rodents are present.  Where such inspection reveals the presence of rodents, immediate action shall be taken to provide proper extermination, except where the improvement is to be immediately removed by a demolition contractor and extermination is a part of the contract.  The Missouri Pesticide Act restricts the purchase and application of restricted-use pesticides to individuals who are certified through the Department of Agriculture.  MoDOT does not have certified personnel to handle these restricted-use pesticides and a state-certified professional rodent exterminator should be contacted.
+Where land and improvements are acquired adjacent to or as part of a sanitary landfill and evidence of rodents exist, the district should notify the Right of Way Division that they will coordinate the extermination through the Division of Health.
-===236.5.6.4 Extension of Possession===
+===236.5.26.4 Extension of Possession===
-When the proposed letting schedule permits, an owner or tenant may be authorized an extension of possession based on a monthly rental rate, as hereinafter set out.  An [http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement] shall be used when the original occupant is allowed to extend possession up to one year.  If it is necessary to extend possession beyond the one year time period, the Extension of Possession Agreement shall be canceled and replaced with a [http://wwwi/intranet/cc/contracts/RW/RW14%20Lease%20of%20Premises%20555.doc Lease of Premises Agreement]].  An extension of possession that is expected to last beyond one year is to be written on a Lease of Premises Agreement rather than an Extension of Possession Agreement.  The district engineer can execute an Extension of Possession Agreement but only the Director of Program Delivery, or the Right of Way Director can execute a Lease of Premises Agreement on behalf of the Commission.  Several requirements with reference to preparing this agreement are set forth in [[236.8 Relocation Assistance Program#236.8.1.14 Rental of Department-Owned Property|236.8.1.14(e)]].  After execution, a copy of the Extension of Possession Agreement is to be forwarded to the Right of Way Division.
+When the proposed letting schedule permits, an owner or tenant may be authorized an extension of possession based on a monthly rental rate, as hereinafter set out.  An [http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement] shall be used when the original occupant is allowed to extend possession up to one year.  If it is necessary to extend possession beyond the one year time period, the Extension of Possession Agreement shall be cancelled and replaced with a [http://wwwi/intranet/cc/contracts/RW/RW14A%20Lease%20of%20Premises%20Agreement.doc Lease of Premises Agreement].  An extension of possession that is expected to last beyond one year is to be written on a Lease of Premises Agreement rather than an Extension of Possession Agreement.  The district engineer can execute an Extension of Possession Agreement but only the director of program delivery, or the right of way director can execute a Lease of Premises Agreement for MHTC real property on behalf of the Commission.  Several requirements with reference to preparing this agreement are set forth in [[236.8 Relocation Assistance Program#236.8.1.14 Rental of Department-Owned Property|236.8.1.14(e)]].  After execution, a copy of the Extension of Possession Agreement is to be forwarded to the Right of Way Division.
 When an owner or a tenant is granted an extension of possession, a monthly rental rate shall be established and collected in advance for each monthly period of extension.  The rental value for owner-occupied and tenant-occupied property will be determined as follows:
-:*Owner-Occupied
+:'''1. Owner-Occupied'''
 :The monthly rental rate for an owner-occupied improvement will be based on one of two methods: (a) 80 percent of the economic rental rate as determined from the market for comparable units, or (b) two-thirds of one percent of the agreed purchase price of the property when market rental data is not readily available.  It will be necessary to apply the "carve out" method if only a portion of the property is to be rented, with the rate being established to the nearest dollar.
-:*Tenant-Occupied
+:'''2. Tenant-Occupied'''
 :The monthly rental rate for tenant-occupied property will be 80% of the actual rent being paid by the tenant when the property is acquired.  In rare cases where tenants are not paying rent, the monthly rental rate will be 80% of the economic rental rate for similar property within the area.  All rates shall be computed to the nearest dollar.
-:*Free Extension
+:'''3. Free Extension'''
 :Sometimes as a result of an approved administrative settlement, an extension of possession may be granted at no cost.
-:*Cancellation
+:'''4. Cancellation'''
-:When either party cancels an Extension of Possession Agreement, the district shall advise the Controller’s Division, by letter of such action with a copy to the Right of Way Division and any appropriate district offices.
-If the Extension of Possession Agreement is being replaced with a Lease of Premises Agreement, it is not necessary to notify the Controller’s Division.  Four copies of the Lease of Premises Agreement are to be submitted to the Right of Way Division with an explanation that the lease is replacing the Extension of Possession Agreement.
+:When either party cancels an [http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement], the district shall advise the Controller’s Division by letter of such action with a copy to the Right of Way Division and any appropriate district offices.
-===236.5.6.5 Acquisition and Disposal of Mobile Homes===
+If the Extension of Possession Agreement is being replaced with a Lease of Premises Agreement, it is not necessary to notify the Controller’s Division.  Four copies of the [http://wwwi/intranet/cc/contracts/RW/RW14A%20Lease%20of%20Premises%20Agreement.doc Lease of Premises Agreement] are to be submitted to the Right of Way Division with an explanation that the lease is replacing the Extension of Possession Agreement.
-The Department of Revenue in Jefferson City has advised that State agencies are not required to hold title and can purchase mobile homes on a bill of sale.  The bill of sale must be notarized.  At the time of disposal, a new bill of sale should be used and the title and a copy of the original bill of sale given to the buyer, who, in turn, will take it to the Department of Revenue for transfer of title.  The title will actually transfer from the previous owner to the new owner.  With a copy of the bill of sale in hand indicating the State held the title until transfer, the new owner will not have a penalty to pay.
+===236.5.26.5 Acquisition and Disposal of Mobile Homes===
-The preferred method of handling mobile home titles is to transfer ownership to MHTC at the time of acquisition.  The Department of Revenue, Motor Vehicle Bureau, P. O. Box 100, Jefferson City, MO  65105-0100, will handle this transfer when in receipt of the title and application (Form DOR-108).  State agencies are tax-exempt and, therefore, MoDOT will not be charged a transfer fee.  Local Department of Revenue offices have this form and should transfer the title without a charge; however, if a problem exists, the form can be completed by MoDOT's district office and forwarded directly to the Department of Revenue in Jefferson City.  The Right of Way Division has a small supply of the transfer forms, if needed.
+The Department of Revenue in Jefferson City has advised that state agencies are not required to hold title and can purchase mobile homes on a bill of sale. The bill of sale must be notarized.  At the time of disposal, a new bill of sale should be used and the title and a copy of the original bill of sale given to the buyer, who, in turn, will take it to the Department of Revenue for transfer of title.  The title will actually transfer from the previous owner to the new owner. With a copy of the bill of sale in hand indicating the state held the title until transfer, the new owner will not have a penalty to pay.
-At the time of disposal, the district engineer can sign the title for the sale of the mobile home as provided in the Execution of Documents Policy, effective June 2, 1995.
+At the time of disposal, the district engineer can sign the title for the sale of the mobile home as provided in the [http://lnapp2/AO/Director.nsf/ceba8ad03e6c7dab86256ce600700e98/ea0231e294e10b40862571d80062ddc3?OpenDocument Execution of Documents Policy].
-===236.5.6.6 Disposal===
+===236.5.26.6 Disposal of Improvements===
-Districts are authorized to dispose of improvements by public sale after asbestos testing and abatement action has been completed (see [[236.9 Asbestos Abatement-Removal of Building Improvement|Hazardous Materials]] for more specific guidelines).  Public sale can be either by auction or sealed bid.  When conditions warrant, prior approval may be obtained from the Right of Way Division to dispose of improvements without a public sale.  If the improvements are salvaged back to the owner, asbestos testing and abatement is not required.
+Districts are authorized to dispose of improvements by public sale after asbestos testing and abatement action has been completed (see [[127.8 Hazardous and Solid Waste]] for more specific guidelines).  Public sale can be either by auction or sealed bid. When conditions warrant, prior approval may be obtained from the Right of Way Division to dispose of improvements without a public sale.  If the improvements are salvaged back to the owner, asbestos testing and abatement is not required.
 When sealed bids are taken for the disposal of improvements, a 10% deposit in the form of a cashier's check, personal check or money order shall be required along with the bid.  This 10% deposit shall be part of the purchase price for the successful bidder.  As soon as the bids are in and the improvement awarded to the successful bidder, all other deposits will be returned.  Prior to submitting a bid, all prospective bidders shall be made aware that if the successful bidder declines the purchase of the improvement, the deposit will be forfeited.
@@ Line 643: / Line 669: @@
 Those improvements subject to vandalism should be disposed of as soon as possible after possession.  If prompt disposal of such improvements is not possible, the property should be secured (boarding up all doors and windows) by maintenance personnel or by an independent contractor.  If independent contractors are used, they shall be employed by competitive bidding or in emergency or hazardous situations by securing estimates from known contractors.
-Every attempt must be made to allow the public adequate notice of the sale.  The district can either advertise in local newspapers in the area with general circulation or place a for-sale sign on the property. The advertisement or sign should provide instructions of where to obtain more information about the property for sale.  If the sale is advertised in a local newspaper, the Controller’s Division requires an affidavit accompany the statement and a copy of the advertisement before payment will be made.
+Every attempt must be made to allow the public adequate notice of the sale.  The district can either advertise in local newspapers in the area with general circulation or place a for-sale sign on the property.  The advertisement or sign should provide instructions of where to obtain more information about the property for sale.  If the sale is advertised in a local newspaper, the Controller’s Division requires an affidavit to accompany the statement and a copy of the advertisement before payment will be made.
-The purchaser of any improvement shall be required to execute the Sale of Improvement and [[media:236.5 Form 5-6.6.doc|Performance Bond Agreement]].  The agreement is to be signed by the district engineer or designated representative.  The amount of the performance bond should cover any cost the Commission would incur if the purchaser fails to comply with the terms of the agreement.  This agreement may be revised for special situations subject to approval by the Right of Way Division and the Chief Counsel's Office.  Checks for improvements are to be made payable to the "Director of Revenue-Credit State Road Fund."  Checks for performance bonds are to be made payable to the "Director of Revenue-Credit State Road Fund-Escrow Account."  Submit performance bond by separate check.
+The purchaser of any improvement shall be required to execute the [[media:236.5 Sale of Improvement (Form 5-26.6).doc|Sale of Improvement and Performance Bond Agreement (Form 5-26.6)]].  The agreement is to be signed by the district engineer or designated representative.  The amount of the performance bond should cover any cost the Commission would incur if the purchaser fails to comply with the terms of the agreement.  This agreement may be revised for special situations subject to approval by the Right of Way Division and the Chief Counsel's Office.  Checks for improvements are to be made payable to the "Director of Revenue-Credit State Road Fund." Checks for performance bonds are to be made payable to the "Director of Revenue-Credit State Road Fund-Escrow Account."  Submit performance bond by separate check.
 All receipts and performance bonds shall be submitted directly to district controller’s office with a copy of the transmittal to the Right of Way Division.
-===236.5.6.7 Transferring Improvements or Fixtures===
+===236.5.26.7 Transferring Improvements or Fixtures===
-When it is determined that other departments have a need for certain improvements or fixtures from a right of way project, a transfer of such improvements or fixtures must be documented by the district and prior approval of the transfer must be received from the district engineer of the district initiating the transfer request.  When all approvals are secured, the Right of Way Division will process the proper paper charge documents through the Controller’s Division thereby transferring the improvement or fixture to the requesting department at its assigned salvage value, charging same to the approved fund expenditure (A.F.E.) or account of that department.  District right of way shall take appropriate action to record such transfers on the project [[media:236.5 Form 5-6.1.doc|Improvement Inventory]].
+When it is determined that other departments have a need for certain improvements or fixtures from a right of way project, a transfer of such improvements or fixtures must be documented by the district and prior approval of the transfer must be received from the district engineer of the district initiating the transfer request.  When all approvals are secured, the Right of Way Division will process the proper paper charge documents through the Controller’s Division thereby transferring the improvement or fixture to the requesting department. District right of way shall take appropriate action to record such transfers on the project [[media:236.5 Improvement Inventory (Form 5-26.1).doc|Improvement Inventory Form]].
-===236.5.6.8 Removal by Demolition Contract===
+===236.5.26.8 Removal by Demolition Contract===
-When the district determines that it is in the public interest to raze improvements on a given project, district design will be responsible for administering this activity.  District right of way shall advise district design when legal and physical possession of the improvements is obtained.  District right of way shall take appropriate action to record such action on the [[media:236.5 Form 5-6.1.doc|Improvement Inventory]].
+When the district determines that it is in the public interest to raze improvements on a given project, district design will be responsible for administering this activity.  District right of way shall advise district design when legal and physical possession of the improvements is obtained.  District right of way shall take appropriate action to record such action on the [[media:236.5 Improvement Inventory (Form 5-26.1).doc|Improvement Inventory Form]].
 All preconstruction demolition charges shall be a part of the right of way project.
-===236.5.6.9 Backfilling===
+===236.5.26.9 Backfilling===
-When considered necessary by the district engineer, MoDOT will backfill basements, swimming pools, etc., either by state personnel or contract.  All such contracts will be awarded based on competitive bids.  Each district shall use [[media:236.5 Form 5-6.9.doc|Forms 5-6.9]] and [[media:236.5 Form 5-6.9a.doc|5-6.9a]] (consisting of the specifications and contract) on a county, route, and project basis.  Advertising for bids shall be in local newspapers and all persons qualified to accomplish this work shall be furnished copies of the bid proposal.  Contractor's Notice to Proceed shall be issued at the earliest possible date.
+When considered necessary by the district engineer, MoDOT will backfill basements, swimming pools, etc., either by state personnel or contract.  All such contracts will be awarded based on competitive bids.  Each district shall use the following documents [[media:236.5 Proposal for Filling Basements (Form 5-26.9).doc|Specifications for Filling Basements and/or Foundations (Form 5-26.9)]] and [[media:236.5 Contract Agreement (Form 5-26.9a).doc|Contract Agreement (Form 5-26.9a)]] (the specifications and a contract) on a county, route, and project basis.  Advertising for bids shall be in local newspapers and all persons qualified to accomplish this work shall be furnished copies of the bid proposal.  Contractor's Notice to Proceed shall be issued at the earliest possible date.
 Supervision of backfilling will normally be the responsibility of the Construction and Maintenance Division.  Each district should develop internal procedures for such inspections.
-===236.5.6.10 Plugging Wells===
+===236.5.26.10 Plugging Wells===
 Measures must be taken immediately following possession of the property to ensure that uncapped wells do not become contaminated by surface water or debris prior to the final plugging during the construction stage.  This can be done by one of the following methods:
-:*Proceed immediately to plug the well in accordance with Standard Special Provision.
+:1. Proceed immediately to plug the well in accordance with Standard Special Provision.
+:2. Proceed immediately to spot weld a steel plate across the top of the steel well casing to temporarily protect the well from contamination until it is finally plugged by the roadway contractor.
-:*Proceed immediately to spot weld a steel plate across the top of the steel well casing to temporarily protect the well from contamination until it is finally plugged by the roadway contractor.
+Care should be taken to ensure that wells are not contaminated by debris when the house is moved from the site.  The well is subject to contamination from the time the pump is removed and steps should be taken to prevent contamination as early as possible.
-Any costs incurred prior to the award of the roadway contract should be charged to the project as a right of way incidental cost.  Care should be taken to ensure that wells are not contaminated by debris when the house is moved from the site.  The well is subject to contamination from the time the pump is removed and steps should be taken to prevent contamination as early as possible.
+District construction is responsible for assuring wells are plugged in the proper manner and that the affidavit of plugging is furnished to the Clean Water Commission.
-District construction is responsible for assuring wells are plugged in the proper manner and that the affidavit of plugging is furnished to the Clean Water Commission.  District right of way shall notify district construction when the pump is removed and assure ALL wells are spotted on plans for the project.
+==236.5.27 Removal for Public Safety==
-===236.5.6.11 Removal for Public Safety===
+If hazardous conditions are created by burned-out buildings, cisterns, ponding in basements, or through vandalism that are of an immediate danger to public safety, districts must take corrective action to eliminate the hazard.  Upon written requests from the district, the Right of Way Division will authorize corrective action without the benefit of competitive bids.  All costs incurred in correcting hazardous conditions shall be charged as incidental costs to the right of way project involved.
-If hazardous conditions are created by burned-out buildings, cisterns, ponding in basements or through vandalism that are of an immediate danger to public safety, districts must take corrective action to eliminate the hazard.  Upon written requests from the district, the Right of Way Division will authorize corrective action without the benefit of competitive bids.  All costs incurred in correcting hazardous conditions shall be charged as incidental costs to the right of way project involved.
+===236.5.27.1 Billboards Disposal Process===
-===236.5.6.12 Billboards Disposal Process===
+Districts shall determine a salvage value for a billboard as part of the parcel appraisal process and offer the structure back to the original owner.  Salvage value is the probable sale price of an item if offered for sale to knowledgeable buyers, including the previous structure owner, with the requirement that it be removed from the property at a buyer’s expense.  This includes items for re-use as well as items with components that can be reused or recycled when there is no reasonable prospect for sale except on this basis.  The salvage value for billboard structures shall address the previous owner’s ability to utilize or move the salvaged item.
-Billboards will not be offered back to sign owners.  In order to facilitate negotiations, district right of way may agree to leave a sign in place for a specified period of time by use of an [http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement] for the structure and the site.  The agreement should state a maximum time the sign may be left in place and a physical possession date should be agreed to by the parties.
+If the previous owner elects not to salvage the billboard, districts are authorized to dispose of the improvement by public sale.  When conditions warrant, prior approval may be obtained from the Right of Way Division to dispose of improvements without a public sale.
-As soon as practicable after we have possession, the sign face must be removed or obliterated, either by contract or by district maintenance, if equipment and personnel are available.
+In order to facilitate negotiations, district right of way may agree to leave a sign in place for a specific period of time by use of an [http://wwwi/intranet/cc/contracts/RW/RW12%20Extension%20of%20Possession%20Agreement%20564.doc Extension of Possession Agreement, (Form RW12)], for the structure and the site.  The agreement shall specify a definite date of expiration and physical possession.  The term of the agreement shall in no way reference the project schedule.
-The Maintenance and Construction and Materials Divisions should be notified that the sign is available for their use.  The notification should provide a description of the sign and its components.  If they have a potential use for it, they should view the sign and inform district right of way that they do or do not want it.
+It is imperative, in all instances, when outdoor advertising is acquired, the Outdoor Advertising Unit of the Right of Way Division must be notified.  District right of way will contact the ODA specialist to schedule an “ODA Structure Inventory.”  This inventory will be conducted during the conceptual plan/location study stage.  The district right of way representatives and the ODA representative will travel the project while conducting an ODA inventory of potential impacted structures that are located near the preferred alignment.  Pictures and notes will be taken at this time.
-A sign structure with components that can be used by a MoDOT division should be removed from right of way immediately.  If a division needs only part of the structure, arrangements should be made to deliver the unwanted components to a specified site to be dismantled and included in a surplus auction or scrapped.
+The ODA specialist will generate the profile form located in theTravelway Management System (TMS) and forward to district right of way.  District right of way will place the forms in the General file.
-If any MoDOT division cannot use a sign structure, district right of way should determine if components are salvageable.  Steel structures usually will be.  Some wooden structures may be and others will not, due to either the components used or the stage of physical deterioration.
+If the structure is to be removed by district maintenance, upon acquisition, an email will be generated by the negotiator and sent to the appropriate area engineer, resident engineer, shed supervisor, and ODA specialist, notifying them of the acquisition.  The request should ask that the structure be removed.  This email will serve as the notification to ODA and no additional billing statement will be sent to the former owner of the sign.  Upon removal by maintenance staff, a return email from the area engineer will be sent to the ODA specialist and the project manager verifying removal.  ODA will track and monitor the removal.  If the project manager is informed promptly after removal, structures will not be included in the contract.
-If components are not considered to be salvageable, due to poor condition or quality, district design should be notified to include demolition and disposal in the road construction contract.  Disposal of signs that are potentially reusable as signs should not be included in the road contract.
+If the structure is to be removed by a contractor, upon acquisition, the negotiator will complete the form and place a copy in the tract file and send the original to ODA.
-If the structure or components are determined to be salvageable and are to be sold, they shall be removed and delivered to a specified site, usually a district maintenance yard.  Removal and delivery may be done by contract for the specific sign or job, or a special provision may be inserted in the road construction contract for removal and delivery.  There may be instances in which a sign is not accessible without going across adjoining properties.  In order to avoid acquiring access, it may be necessary to wait until the road contract is let and let the contractor do all necessary work on the sign from right of way.  In some instances it may be necessary to acquire access.
+The ODA specialist will track the removal of the structure.  The ODA specialist will follow-up with the resident engineer to determine the approximate timeframe prior to removal.
-All signs not needed by MoDOT shall be cut to major components to render them unusable for rebuilding into signs.  The intent of this provision is to prevent sign companies from profiting by easily reassembling major components into signs.
+===236.5.27.2 Improvement Removal by Road Contractors===
-The sign components should be offered for sale in the periodic auctions for disposal of excess materials and equipment.  Minimum acceptable sale prices should be established.
+All improvements that remain on the right of way and are to be removed should be reported to district design prior to awarding the construction contract.  These items will be included as a part of the construction contract.  The project Improvement Inventory should be completed to indicate these items are included for removal in the prime construction contract.
-If an acceptable bid is received, the sign components will be sold.  If no acceptable bids are received, steel sign components should be cut to sizes required by scrap dealers.
+==236.5.28 Access Rights==
-It is imperative, in all instances, when outdoor advertising is acquired, the Outdoor Advertising Manager must be notified.
+===236.5.28.1 Purpose===
-===236.5.6.13 Departure Provisions===
+This information establishes procedures for the preparation of deeds and/or appraisals for changes in granting access rights on limited or fully controlled highways.
-Specific political subdivision regulations may necessitate deviation from the above policies. Where deviations are required, the district shall advise the Right of Way Division.  The Right of Way Division must approve deviation to the established policy.
+===236.5.28.2 Entrance "Widening" or "Widening and Shift"===
-===236.5.6.14 Improvement Removal by Road Contractors===
+Access control is the responsibility of the Traffic Division.  Shifts and/or the widening of entrances and the granting of access rights are handled by agreements prepared by the Traffic Division.  These agreements are recorded.
-All improvements that remain on the right of way and are to be removed should be reported to district design prior to awarding the construction contract.  These items will be included as a part of the construction contract.  The project Improvement Inventory should be completed to indicate these items are included for removal in the prime construction contract.
+:'''1. Conveyance from MHTC'''
-==236.5.7 Access Rights==
+:District right of way shall prepare a [http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473.doc quitclaim deed] on any entrance shift, widening, widening and shift, or granting of access rights on limited access highways at the request of district traffic.  The deed shall be sent to district traffic as soon as possible, and they, in turn, will forward it to the Traffic Division.  The Traffic Division will present the deed along with the agreement to the Commission for consideration.  When the Commission has executed the agreement and deed, they will be returned to district traffic.  District traffic will give the agreement and deed to district right of way for recording.  If the agreement is approved before the deed is prepared from the Commission to the property owner, the deed, when prepared, shall be forwarded to the Traffic Division who will forward it to the Commission Secretary for execution on behalf of the Commission by the Chairman or Vice Chairman of the Commission.
-===236.5.7.1 Purpose===
+:'''2. Conveyance to MHTC'''
-This information establishes procedures for the preparation of deeds and/or appraisals for changes in granting access rights on limited or fully controlled highways.
+:Should the property owner have to execute a [http://wwwi/intranet/cc/contracts/RW/RW03%20General%20Warranty%20Deed%20471A.doc general warranty deed] to the Commission releasing the existing access rights, it shall be recorded at the same time as the agreement and deed from the Commission to the property owner.
-===236.5.7.2 Entrance "Widening" or "Widening and Shift"===
-Access control is the responsibility of the Traffic Division.  Shifts and/or the widening of entrances and the granting of access rights are handled by agreements prepared by the Traffic Division.  These agreements are recorded.
-:*Conveyance from MHTC
+:'''NOTE''': In situations where the new access rights overlap the existing access rights, the deed releasing the existing access rights must be recorded first.
-:District right of way shall prepare a [http://wwwi/intranet/cc/contracts/RW/RW01%20Quitclaim%20Deed%20473%20_w_grantor.doc quitclaim deed] on any entrance shift, widening, widening and shift, or granting of access rights on limited access highways at the request of district traffic.  The deed shall be sent to district traffic as soon as possible, and they, in turn, will forward it to the Traffic Division.  The Traffic Division will present the deed along with the agreement to the Commission for consideration.  When the Commission has executed the agreement and deed, they will be returned to district traffic.  District traffic will give the agreement and deed to district right of way for recording.  If the agreement is approved before the deed is prepared from the Commission to the property owner, the deed when prepared shall be forwarded to the Traffic Division who will forward it to the Commission Secretary for execution on behalf of the Commission by the Chairman or Vice Chairman of the Commission.
+:The following paragraph shall be included in all conveyances to property owners involving limited access changes at locations that could be affected by future facility upgrade to expressway or freeway standards in the right of way and construction program:
-:*Conveyance to MHTC
+::''"The herein change in limited access between the property and the highway shall continue as long as the Missouri Highway and Transportation Commission does not upgrade the present highway to an expressway or freeway.  If the Missouri Highway and Transportation Commission makes the decision that the highway should be upgraded to expressway or freeway standards, then the herein access change will cease and any access between the property and the highway will revert back to the access status which existed immediately prior to the execution of this document.  This condition is a covenant running with the land and will be binding upon all successors and assigns of the parties herein.  Further, the reversion to the earlier access status will be without any compensation to the holder of the access rights. The reversion to the earlier access status will not affect any compensation to be paid for the acquisition of additional right of way.  The decision to upgrade the highway to expressway or freeway standards is in the sole discretion of the Missouri Highway and Transportation Commission."''
-:Should the property owner have to execute a [http://wwwi/intranet/cc/contracts/RW/RW03%20General%20Warranty%20Deed%20471A.doc general warranty deed] to the Commission releasing the existing access rights, it shall be recorded at the same time as the agreement and deed from the Commission to the property owner.
+===236.5.28.3 Compensation for Changes in Access===
-'''NOTE''': In situations where the new access rights overlap the existing access rights, the deed releasing the existing access rights must be recorded first.
+:'''1. Contiguous Properties'''
-The following paragraph shall be included in all conveyances to property owners involving limited access changes at locations that could be affected by future facility upgrade to expressway or freeway standards in the right of way and construction program:
+:Compensation to the Commission for changes in access rights on contiguous property will be according to the [[941.17 Removal of Usage Restrictions|Value Determination Schedule]].  It is the responsibility of district traffic to determine the amount of compensation in accordance with the schedule.
-:"The herein change in limited access between the property and the highway shall continue as long as the Missouri Highway and Transportation Commission does not upgrade the present highway to an expressway or freeway.  If the Missouri Highway and Transportation Commission makes the decision that the highway should be upgraded to expressway or freeway standards, then the herein access change will cease and any access between the property and the highway will revert back to the access status which existed immediately prior to the execution of this document.  This condition is a covenant running with the land and will be binding upon all successors and assigns of the parties herein.  Further, the reversion to the earlier access status will be without any compensation to the holder of the access rights.  The reversion to the earlier access status will not affect any compensation to be paid for the acquisition of additional right of way.  The decision to upgrade the highway to expressway or freeway standards is in the sole discretion of the Missouri Highway and Transportation Commission."
+:'''2. Noncontiguous Properties'''
-===236.5.7.3 Compensation for Changes in Access===
+:Compensation for a shift in access rights between noncontiguous properties shall be determined by an [[236.6 Appraisal and Appraisal Review|appraisal]], when there is a change in highest and best use, or a demonstrable change in density of use to the property to which the access rights are being shifted.  The amount of compensation shall be based on the appraised enhancement value to the property receiving the break in access.  If there is no change in highest and best use or density of use, the compensation is to be determined from the [[941.17 Removal of Usage Restrictions|Value Determination Schedule]].
-:*Contiguous Properties
+:'''3. Break in Access'''
-:Compensation to the Commission for changes in access rights on contiguous property will be according to the Value Determination Schedule.  It is the responsibility of district traffic to determine the amount of compensation in accordance with the schedule.
+:Compensation for a break in access, in which no shifting of an entrance is involved, is to be determined by an [[236.6 Appraisal and Appraisal Review|appraisal]].  The compensation charged shall be the enhancement value to the property for the break in access or determined from the [[941.17 Removal of Usage Restrictions|Value Determination Schedule]], whichever is higher.
-:*Noncontiguous Properties
+:'''4. Responsibilities'''
-:Compensation for a shift in access rights between noncontiguous properties shall be determined by an [[236.6 Appraisal and Appraisal Review#236.6.3 Valuation Formats and Instructions|appraisal]], when there is a change in highest and best use, or a demonstrable change in density of use to the property to which the access rights are being shifted.  The amount of compensation shall be based on the appraised enhancement value to the property receiving the break in access.   If there is no change in highest and best use or density of use, the compensation is to be determined from the Value Determination Schedule.
+:With respect to the above, it is the responsibility of district right of way to advise district traffic of the appraised enhancement value to the subject property.  The responsibility of district traffic is to collect the appraised enhancement value from the property owner.
-:*Break in Access
+==236.5.29 Departure Provisions==
-:Compensation for a break in access, in which no shifting of an entrance is involved, is to be determined by an [[236.6 Appraisal and Appraisal Review#236.6.3 Valuation Formats and Instructions|appraisal]].  The compensation charged shall be the enhancement value to the property for the break in access or determined from the Value Determination Schedule whichever is higher.
+Specific political subdivision regulations may necessitate deviation from the above policies.  Where deviations are required, the district shall advise the Right of Way Division.  The Right of Way Division must approve deviation to the established policy.
-:*Responsibilities
-:With respect to the above, it is the responsibility of district right of way to advise district traffic of the appraised enhancement value to the subject property.  The responsibility of district traffic is to collect 75% of the appraised enhancement value from the property owner.
 [[category:236 Right of Way|236.05]]