Title 23 › Chapter 1— FEDERAL-AID HIGHWAYS › § 123
Federal money can pay back a State when the State pays to move utility lines or systems because of a transportation project. The federal share matches the federal share of the transportation project. “Cost of relocation” means what the utility spent to move, minus any added value of the new facility and any salvage from the old one. Federal funds cannot be used if the payment breaks State law or a contract. The State must prove to the Secretary that it paid the relocation from State funds for projects with federal funds obligated after April 16, 1958. A State may move utilities early, before the full environmental review, at its own expense. Federal funds can pay for that early work only if the State shows it was necessary, documents eligible costs, had an environmental review for the early work that found no significant harm and compliance with federal rules, and proves the early work did not affect the project’s environmental review, the decision to build, or the project’s design or location. The early work must follow all laws and financial rules (including section 109(l)), be in the approved transportation improvement program (section 134 or 135), and the main transportation project must complete NEPA review (National Environmental Policy Act of 1969, 42 U.S.C. 4321 et seq.) and be approved for construction before federal participation is allowed. Other eligibility rules and laws still apply, including section 138, the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. 4601 et seq.), Title VI (42 U.S.C. 2000d), and environmental review requirements.
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Highways — Source: USLM XML via OLRC
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Citation
23 U.S.C. § 123
Title 23 — Highways
Last Updated
Apr 5, 2026
Release point: 119-73not60