28-7156. Utility relocation; cost reimbursement

A. The director may authorize the reimbursement to a city, town or county for the cost of labor, equipment, materials, preliminary engineering and right-of-way purchase required to adjust or relocate a utility facility if all of the following apply:

1. An existing city, town or county public highway or street is established as a state highway.

2. At the time the highway or street is established as a state highway, a utility facility belonging to a city, town or county exists within the right-of-way of the highway or street.

3. It becomes necessary to adjust or relocate the utility facility due to modification or improvement of the state highway.

B. The director shall determine the payment for labor, equipment and materials. The cost of relocation shall not exceed the value of the substitute utility facility. The director shall base the determination of the value of a substitute utility facility on the costs for replacement of a like facility. Costs of relocation shall exclude any betterments or increases in the size or capacity beyond those of the existing utility facility.

C. This section does not apply to a city, town or county utility facility that is owned by the city, town or county and that exists within the highway or street right-of-way by virtue of any permit, franchise or other revocable authority granted by the department, unless the authority was previously granted as part of an adjustment or relocation pursuant to this section.

D. Once established pursuant to a relocation prescribed by this section, a city's, town's or county's rights remain with the applicable city, town or county for which the relocation occurred.