[Code of Federal Regulations]
[Title 23, Volume 1]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 23CFR710.403]

[Page 340-341]
 
                           TITLE 23--HIGHWAYS
 
 CHAPTER I--FEDERAL HIGHWAY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION
 
PART 710--RIGHT-OF-WAY AND REAL ESTATE--Table of Contents
 
                   Subpart D--Real Property Management
 
Sec. 710.403  Management.

    (a) The STD must assure that all real property within the boundaries 
of a federally-aided facility is devoted exclusively to the purposes of 
that facility and is preserved free of all other public or private 
alternative uses, unless such alternative uses are permitted by Federal 
regulation or the

[[Page 341]]

FHWA. An alternative 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.
    (b) The STD shall specify procedures in the State manual for 
determining when a real property interest is no longer needed. These 
procedures must provide for coordination among relevant STD 
organizational units, including maintenance, safety, design, planning, 
right-of-way, environment, access management, and traffic operations.
    (c) The STD shall evaluate the environmental effects of disposal and 
leasing actions requiring FHWA approval as provided in 23 CFR part 771.
    (d) Acquiring agencies shall charge current fair market value or 
rent for the use or disposal of real property interests, including 
access control, if those real property interests were obtained with 
title 23 of the United States Code funding, except as provided in 
paragraphs (d) (1) through (5) of this section. Since property no longer 
needed for a project was acquired with public funding, the principle 
guiding disposal would normally be to sell the property at fair market 
value and use the funds for transportation purposes. The term fair 
market value as used for acquisition and disposal purposes is as defined 
by State statute and/or State court decisions. Exceptions to the general 
requirement for charging fair market value may be approved in the 
following situations:
    (1) With FHWA approval, when the STD clearly shows that an exception 
is in the overall public interest for social, environmental, or economic 
purposes; nonproprietary governmental use; or uses under 23 U.S.C. 
142(f), Public Transportation. The STD manual may include criteria for 
evaluating disposals at less than fair market value. Disposal for public 
purposes may also be at fair market value. The STD shall submit requests 
for such exceptions to the FHWA in writing.
    (2) Use by public utilities in accordance with 23 CFR part 645.
    (3) Use by Railroads in accordance with 23 CFR part 646.
    (4) Use for Bikeways and pedestrian walkways in accordance with 23 
CFR part 652.
    (5) Use for transportation projects eligible for assistance under 
title 23 of the United States Code.
    (e) The Federal share of net income from the sale or lease of excess 
real property shall be used by the STD for activities eligible for 
funding under title 23 of the United States Code. Where project income 
derived from the sale or lease of excess property is used for subsequent 
title 23 projects, use of the income does not create a Federal-aid 
project.
    (f) No FHWA approval is required for disposal of property which is 
located outside of the limits of the right-of-way if Federal funds did 
not participate in the acquisition cost of the property.
    (g) Highway facilities in which Federal funds participated in either 
the right-of-way or construction may be relinquished to another 
governmental agency for continued highway use under the provisions of 23 
CFR 620, subpart B.