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“VALIDATING CERTAIN LAND CONVEYANCES IN THE CITY OF TULARE, CA” mentioning the Department of Interior was published in the House of Representatives section on pages H4854-H4857 on July 8, 1997.
The publication is reproduced in full below:
VALIDATING CERTAIN LAND CONVEYANCES IN THE CITY OF TULARE, CA
Mr. HANSEN. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 960) to validate certain conveyances in the city of Tulare, Tulare County, CA, and for other purposes, as amended.
The Clerk read as follows:
H.R. 960
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. FINDINGS.
The Congress finds that:
(1) It is in the Federal Government's interest to facilitate local development of jobs in areas of high unemployment.
(2) Railroad interests in rights-of-way prevent local communities from obtaining clear title to property for development unless the city also obtains the Federal revisionary interest in those rights-of-way.
(3) For development purposes, in order to secure needed financing, the City of Tulare Redevelopment Agency requires clear title to certain parcels of and within the city's business corridor that are part of a railroad right-of-way.
SEC. 2. TULARE CONVEYANCE.
(a) In General.--Subject to subsections (c) and (d), all conveyances to the Redevelopment Agency of the City of Tulare, California, of lands described in subsection (b), heretofore or hereafter, made directly by the Southern Pacific Transportation Company, or its successors, are hereby validated to the extent that the conveyances would be legal or valid if all rights, title, and interest of the United States, except minerals, were held by the Southern Pacific Transportation Company.
(b) Lands Described.--The lands referred to in subsection
(a) are the parcels shown on the map entitled ``Tulare Redevelopment Agency-Railroad Parcels Proposed to be Acquired'', dated 5/29/97, that formed part of a railroad right-of-way granted to the Southern Pacific Railroad Company, or its successors, agents, or assigns, by the Federal Government (including the right-of-way approved by an Act of Congress on July 27, 1866). The map referred to in thus subsection shall be on file and available for public inspection in the offices of the Director of the Bureau of Land Management.
(c) Preservation of Existing Rights of Access.--Nothing in this section shall impair any existing rights of access in favor of the public or any owner of adjacent lands over, under or across the lands which are referred to in subsection
(a).
(d) Minerals.--The United States disclaims any and all right of surface entry to the mineral estate of lands described in subsection (b).
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from Utah [Mr. Hansen] and the gentleman from American Samoa [Mr. Faleomavaega] each will control 20 minutes.
The Chair recognizes the gentleman from Utah [Mr. Hansen].
Mr. HANSEN. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, H.R. 960, introduced by the gentleman from California
[Mr. Thomas] will give the Tulare Redevelopment Agency the ability to purchase lands within the railroad right-of-way that bisects their city. This bill would validate the city's title to one parcel of land that they bought from the railroad before learning the title was clouded by the Federal Government's reversionary interest. It would also allow the railroad to pass clear title to parcels of land shown on the referenced map.
This legislation is a reasonable solution to a difficult problem. The BLM has studied the issue and concluded that the lands in question are best suited for local development as planned by the redevelopment agency. The gentleman from California has worked very hard with the BLM to craft a bill that would be satisfactory to all concerned. The bill has been amended to clarify language that gives the railroad the right to pass clear title to only the redevelopment agency. Language has also been removed from the bill that the administration felt could be construed as a waiver of environmental laws. The current bill would also preserve the Federal interest in mineral rights to the lands, while at the same time disclaiming any right the Government may have to surface entry to the mineral estate. This gives the city the ability to go forward with planning, financing and development.
This bill is intended to resolve an unusual problem within the city of Tulare. The bill is not intended to be dispositive of the status of other rail properties nor is it intended to set a general policy for the treatment of railroad grants. Concerns that this action would set an undesirable precedent regarding railroad right-of-way problems are, I believe, therefore unfounded.
This is a good bill. It is long overdue. I urge my colleagues to support it and allow the Tulare Redevelopment Agency to get on with their efforts to facilitate development and economic growth within their city.
Mr. Speaker, I reserve the balance of my time.
Mr. FALEOMAVAEGA. Mr. Speaker, I yield myself such time as I may consume and, before addressing the legislation before us, I want to thank the Speaker for properly pronouncing the jurisdiction of the district that I represent, American Samoa. It is not Somalia, Somoya, it is Samoa, and I thank the Speaker for that.
Mr. Speaker, I commend the gentleman from California [Mr. Thomas] for his sponsorship of this legislation. The purpose of H.R. 960, introduced by the gentleman from California, is to allow the city of Tulare in California to acquire property to then resell or lease in order to address redevelopment needs. The property in question is a railroad right-of-way comprised of a 400-foot-wide corridor which was given to Southern Pacific Transportation Co., now owned by the Union Pacific Railroad Co., on a limited fee basis by the United States for the construction of a railroad and telegraph line. If and when the right-of-way is no longer used for the original intent, the property would revert to the United States. Because Union Pacific Railroad Co., does not own this property free and clear, it cannot convey a clear title unless the United States relinquishes its interest in the land.
Under current law, the National Trails Systems Act provides that railroad rights-of-way lands, once abandoned, will remain in the Federal domain. Further, the act establishes a mechanism by which these lands can be used for recreation purposes or for recreation trails. H.R. 960 would preempt this law.
In the past, Congress has voted to validate some limited conveyances by railroad companies. In those cases, private landowners bought what they believed to be clear titles to property only to find out about the U.S. interest in the lands when they went to build or resell the property.
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Other instances arose where an adjacent landowner mistakenly built a garage or add-on to a private home which infringed on the right-of-way. Parcels approved in the past have been of little monetary value and were mostly used for private housing.
This legislation will mark the first time a Congress will prospectively validate parcels in this manner. Enactment of this legislation will be the first time the United States relinquishes its interest in its railroad right-of-way lands for the purpose of community development.
By all accounts, the city of Tulare, CA is in need of revitalization. Extinguishing Federal rights in this land may help the redevelopment of the area, and I hope it does. How much profit Union Pacific Railroad Co. seizes from gaining the Federal interest will presumably be determined through price negotiation with the city of Tulare. This legislation reacts to a specific and unique set of circumstances in the city of Tulare.
In this instance, the Federal Government has determined that if the railroad right-of-way lands were to revert to the Federal Government, it would not be interested in managing the land and would seek to dispose of the land. Passage of this legislation should not be perceived as endorsing the concept of the Federal Government giving away public rights without compensation.
With that statement, Mr. Speaker, again I urge my colleagues to support this legislation with those bases of clarification; and again I thank our good friend from California for his diligence and working closely both with the administrators and with Members of this side of the aisle.
The United States gave Southern Pacific Transportation Co. an interest in the lands that are the subject of H.R. 960 through a right-
of-way granted under the Pacific Railroads Act of July 1, 1862, ch. 120, 12 Stat. 489, as amended. Section 2 of the act granted a 400-foot-
wide right-of-way through the public lands of the United States: ``For the construction of a railroad and telegraph line.''
In Northern Pac. Ry. v. Townsend, 190 U.S. 267, 271 (1903), the right-of-way grant was characterized as a ``limited fee made on an implied condition of reverter'' in the event that the railroad ceased to use the right-of-way for the purpose for which it was granted. Under these conditions, if the railroad were to cease use of the right-of-
way, and a forfeiture were declared by the Congress or a judicial proceeding initiated by the Attorney General of the United States, the railroad would lose its interest in the land, which would revert to the Federal Government.
The National Trails System Act, 16 U.S.C. 1241, provides that * * * all right, title, interest, and estate of the United States in all rights-of-way * * * shall remain in the United States upon the abandonment or forfeiture. * * * This act establishes a mechanism by which the reverted land can be used for recreation trails. H.R. 960 would preempt the National Trails System Act by eliminating the reversionary interest.
The city of Tulare wants to buy the right-of-way land alongside the railroad to sell or lease through the city of Tulare Redevelopment Agency. The railroad, however, does not own the land--the taxpayers do--and so the title is not cleared to convey. One parcel in the city of Tulare has already been sold by the railroad despite the fact it did not own the land. This legislation would validate title to the parcel already sold as well as prospectively extinguishing Federal reversion rights on all lands within the redevelopment plan area, thereby giving Southern Pacific Transportation Co. clear title to sell the lands and to profit from their disposal.
In the past Congress has validated some limited conveyances in situations where the new owner purchased the land in good faith without realizing there was a reversion interest to the Federal Government. Parcels approved in the past have been of little monetary value and were mostly used for private housing. This legislation will mark the first time that Congress prospectively validated parcels in this manner before they were sold and before any party was misled about the title of land which it had purchased.
Enactment of this legislation will be the first time the United States relinquishes its interest in railroad rights-of-way lands for the purpose of community redevelopment. By all accounts the city of Tulare is in need of revitalization. Extinguishing Federal rights to this land may help the redevelopment of the area. How much profit Southern Pacific Transportation Co. realizes from selling the Federal interest will presumably be determined through price negotiations with the city of Tulare.
It should be noted that this legislation responds to a specific and unique set of circumstances in the city of Tulare. In this instance, the Federal Government has determined that if the railroad right-of-way lands were to revert, the Federal Government would not be interested in managing the lands. Passage of this legislation should not be perceived as endorsing the concept of the Federal Government giving away public rights without just compensation.
Mr. Speaker, I reserve the balance of my time.
Mr. HANSEN. Mr. Speaker, I yield such time as he may consume to the gentleman from California [Mr. Thomas], the sponsor of this legislation, who has worked many, many hours to bring this to pass.
(Mr. THOMAS asked and was given permission to revise and extend his remarks.)
Mr. THOMAS. Mr. Speaker, I thank the gentleman for yielding.
Mr. Speaker, I want to thank both the chairman and ranking member for taking the time that they have in looking at this obviously unique situation. I think all of us want to underscore the hours consumed in dealing with this issue is because it is a unique situation. It probably will remain unique, given the definition of unique, and it will not set a precedent.
The people in the small community of Tulare in the central valley of California have got to feel comfortable that people who represent American Samoa and Utah, in their subcommittee duties, took enough time to understand the uniqueness of this situation that would allow what would if it were precedent-setting be an extremely unusual situation to go forward. I want to thank both of you for their willingness to work with my office and my constituents.
Mr. Speaker, I am extremely pleased that the House is considering my bill, H.R. 960, today because the bill is an essential step toward giving the city of Tulare, California's Tulare Redevelopment Agency the tools with which to end a blight in the city's downtown area. This bill will give local people control over Federal reversionary interest in railroad rights of way bisecting the very heart of the city, allowing a rural community with high unemployment to bring in new jobs.
H.R. 960 takes a new approach to the complicated field of Federal land grants because of the unusual problem confronting the city of Tulare. Our Resources Committee colleagues passed the bill by voice vote on June 25, 1997, because they saw the need to foster redevelopment in this community. So does the Bureau of Land Management. In fact, the Bureau's full support of H.R. 960 is expressed in a letter I am submitting for the Record. We were able to reach agreement on the legislation because of the widespread agreement on the very unique setting H.R. 960 will address.
Tulare, a city of 40,350 located in California's Central Valley, has an unemployment rate of over 15 percent. The surrounding county has a similarly high-unemployment rate and residents of the area have median incomes that are 30 percent below the rest of California's. City of Tulare leaders have been looking for ways to bring more jobs to the region for years. Tulare's Redevelopment Agency has been working on a redevelopment program as part of that process and the agency needs H.R. 960 to carry out its program.
H.R. 960 is a very limited proposal intended to meet unique needs. It transfers the Federal reversionary interest in 12 parcels of land in the middle of the community to the city of Tulare's Redevelopment Agency so that the agency can pursue a 10-year program to finance and market a redevelopment program intended to help bring retailing opportunities and jobs to the community.
There is no reason for the lands covered by H.R. 960 to be retained at the Federal level for recreational purposes. The parcels are in the midst of an urban, largely industrial area. The Bureau of Land Management [BLM] does not want these properties back and that the agency would seek some way of getting the land to Tulare if the railroad ever relinquished control. In similar circumstances, BLM has found these urban settings to be a drain on its resources because the unoccupied properties become casual dumping grounds which cost BLM money to clean up.
If allowed to redevelop land adjacent to the rail line, the people of Tulare believe that it could generate more than 350 jobs in 6 years because of the agency's plan to create a retail shopping area.
The city cannot gain control over the core of this corridor without a change in Federal law. In the last century, Congress extended rights of way to railroads in order to encourage the creation of a rail transport system. The Southern Pacific Railroad received rights for tracks and land adjacent to those tracks within what is now Tulare. Because the Federal Government has a reversionary interest in the right of way and surrounding properties, the redevelopment agency cannot obtain control of all the 12 parcels of land along the rail line that the city wishes to redevelop. The city cannot condemn the Federal interest and as a result, cannot make use of anything the community might secure from the railroad.
The railroad and its successor, Union Pacific, run over 30 trains per day through the center of the city and as a result the tracks will probably never be abandoned under the law. The railroad will continue to argue that it controls the adjoining parcels of land because abandonment has not occurred. The Federal interest in these properties is at best a highly speculative, prospective one and that is the way things are likely to stay. That leaves Tulare with a problem.
Most of the land along the tracks is empty. Small shops east of the rail line and a cotton seed mill and family homes on the other side look out on blighted property. There are a few small businesses operating on short-term leases and an abandoned gas station on railroad property along the corridor. For the most part, however, a visitor can see nothing but vacant lots that have cut off business growth from the east. The Tulare Redevelopment Agency's plan would preserve the railroad tracks while allowing some of this empty space in the center of town to be turned into more productive use.
H.R. 960 clears the path for redevelopment. First, it gives the city clear title to one piece of property which Tulare already thought it had purchased from Southern Pacific before learning that railroad law clouded the title. Second, it transfers the reversionary interest in 11 other parcels so that the redevelopment agency can deal with the railroad and secure the remaining properties.
It is essential that we pass this bill because the redevelopment plan cannot be made to work piecemeal. Following the practices of the past and ``confirming'' title in someone who has already bought a clouded title only solves part of the city's problem. To ensure coherent economic redevelopment, the redevelopment agency has to control all the parcels of land so planning, marketing and community financing of the development are possible. Giving the city title to one piece of property will deny the city resources to continue developing. Forcing the city to come back to Congress each time an interest is transferred is a waste of the city's time and ours.
The bill is not intended by the Resources Committee or by me to be dispositive of the status of other rail properties not addressed in the legislation nor is it intended to set a general policy for the treatment of railroad grants. Because the city needs the redevelopment H.R. 960 will facilitate, our colleagues decided this unique approach should be adopted in this case.
I urge my colleagues to join me passing H.R. 960 today. Tulare wants to take control over its own economic destiny by putting lousy land to better use. Unless this bill is enacted, Congress will be in the way of a city that badly needs our help.
U.S. Department of the Interior,
Office of the Secretary,
Washington, DC, June 24, 1997.Hon. Don Young,Chairman, Committee on Resources, House of Representatives,
Washington, DC.
Dear Mr. Chairman: Thank you for this opportunity to comment on H.R. 960, a bill that will extinguish the Federal government's right of reversion to lands encumbered by a railroad right-of-way within Tulare, California. The Bureau of Land Management (BLM), testified at a hearing on May 20, 1997, before the Subcommittee on National Parks and Public Lands on this bill. It is my understanding that this bill will soon be marked up by your Committee and we would like our views included for the Record. The Administration supports the legislation as reported to your Committee.
The BLM testified before the Subcommittee in support of H.R. 960 if certain changes were made to the bill. Those changes were made in Subcommittee markup and we now support this bill.
H.R. 960 would eliminate all rights of the United States to land within a railroad right-of-way, granted by an Act of Congress on July 27, 1886, in downtown Tulare, California. The City of Tulare has requested this action in order to obtain clear title to those portions of the right-of-way within an Urban Redevelopment Plan adopted by the City. H.R. 960 would accomplish this by validating conveyances made prior to or after April 15, 1996, to the City of Tulare's Redevelopment Agency by the Southern Pacific Transportation Company, the holder of the railroad right-of-way (or its successor, presently Union Pacific Railroad).
Currently, some 30 trains a day cross the tracks in the center of this right-of-way through downtown Tulare and the railroad owner has no plans to stop using the tracks. Therefore, until abandonment is legally determined, the property does not revert to the Federal government.
Our understanding of the situation is that the City of Tulare attempted to acquire one parcel of land within the right-of-way for redevelopment purposes and was informed by their title company that it would not insure title because of the reversionary nature of the railroad's right-of-way. Because of this, the City did not attempt to acquire any of the remaining lands within its redevelopment area
(encompassing approximately 60 acres) pending resolution of this issue.
The right-of-way granted pursuant to the Act of July 27, 1866, is a grant of a limited fee, made on an implied condition of reverter in the event that the company ceased to use or retain the land for the purpose for which it was granted. By the Act of May 24, 1920 (43 U.S.C. 913), the railroad owners were authorized to convey to States, counties or municipalities the outer portions of the right-of-way for use as a public highway or street (such conveyances would still be subject to the possible future reversion to the United States). The 1988 National Trails System Act (16 U.S.C. 1248(c)), provides that ``. . . all right, title, interest, and estate of the United States . . . shall remain in the United States upon the abandonment or forfeiture . .
.'' of the railroad.
BLM has examined the lands in downtown Tulare and has concluded that because of their location, and having reviewed the City's plans, the lands are best suited for local development as planned by the Redevelopment Agency.
BLM is not interested in managing the lands involved even if they did revert to the Federal government. In the interim, the City of Tulare deserves to be able to plan for the development of its downtown and revitalize its business center. The only way that this public goal can be realized is for the Federal government to relinquish its interest in the property involved through legislation such as H.R. 960.
We made several recommended changes which have been incorporated in the bill, including the deletion of the waiver of environmental laws and revised language clarifying that only conveyances from the railroad to the Redevelopment Agency would be validated. Finally, we requested that a map of this area be on file with the BLM and that we have an opportunity to see such a map before markup. We have reviewed that map and are satisfied with it.
Thank you for the opportunity to comment on this legislation. The Office of Management and Budget has advised us that it has no objection to the submission of this report from the standpoint of the President's program.
Sincerely,
Piet deWitt,
Acting Deputy Assistant Secretary.
Mr. Speaker, I thank the chairman and ranking member once again.
Mr. FALEOMAVAEGA. Mr. Speaker, I have no additional speakers, and I yield back the balance of my time.
Mr. HANSEN. Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore (Mr. Goodling). The question is on the motion offered by the gentleman from Utah [Mr. Hansen] that the House suspend the rules and pass the bill, H.R. 960, as amended.
The question was taken; and (two-thirds having voted in favor thereof) the rules were suspended and the bill, as amended, was passed.
A motion to reconsider was laid on the table.
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