DEPARTMENT RELOCATION OF UTILITY FACILITIES FOR ESSENTIAL HIGHWAY IMPROVEMENT

(a) At the discretion of the department, the department may cause a utility to relocate a utility facility, or make a relocation of a utility facility, not eligible for reimbursement under Section 203.092 at the expense of the state upon a finding of the commission that: (1) relocation of the utility facility is essential to the timely completion of a state highway improvement project; (2) continuous service to utility customers is essential to the public well-being or the local economy; (3) a short-term financial condition would prevent a utility from being able to pay the cost of relocation in full or in part at the time of relocation or, if paid at that time, would adversely affect the utility's ability to operate or provide essential services to its customers; and (4) the affected utility has been contacted by the department and such utility and the department have reached an agreement that: (A) appropriate safeguards are in place to ensure that relocation work activities are conducted safely in full compliance with applicable law and utility construction standards; (B) relocation work can be coordinated between the department and the utility in a manner that will ensure that any disruption of utility service is minimized; (C) the contractor, and any subcontractors, selected for relocation work activities are qualified to perform such work activities; and (D) there exists a factual basis for the commission findings required under Subdivision (3). (b) A utility whose facilities are relocated under Subsection (a) shall reimburse the department for any amount expended or advanced by the department for the relocation. The utility shall enter into an agreement with the department providing for reimbursement. The agreement shall: (1) require reimbursement of the amount expended plus interest to the department within five years from the date of completion of the work; (2) provide for reimbursement by a lump-sum payment or by installments; (3) require payment of interest at a rate of six percent per annum from the date of completion through the date of final payment; and (4) contain other terms and conditions as may be mutually agreed upon by the department and the utility. (c) In the absence of an agreement required by Subsection (b), a utility shall reimburse the department the full cost of relocation within 30 days of the date of completion of the work. (d) All funds received by the department under this section shall be deposited in the state treasury to the credit of the state highway fund.