Limited Access and No Access Line Break

LIMITED ACCESS AND NO ACCESS LINE BREAK

The Utah Department of Transportation requested a survey of the other states regarding

Limited Access and No Access Line Breaks.

·  Does your state charge a property owner to break the Limited Access? (i.e. if the property owner requests a new access, or to expand an existing access, or to change the use of an existing access from agricultural/residential to commercial.)

·  If yes, what is your valuation methodology for calculating the amount to charge the property owner? If you do an appraisal, how do you value the access?

·  May we contact your state's expert in this area? If so, please include the person's name and telephone number.

ALABAMA

·  Yes.

·  Before and after appraisal.

·  Ken Longcrier

ALDOT Chief Appraiser

334-242-6199

ARIZONA

·  The Arizona Department of Transportation will charge a property owner when access control has been modified to allow an opening along an access controlled highway.

·  When limited access exists and the property owner is requesting a driveway location change, and/or is changing the use of the property, it will require a new permit from the appropriate ADOT District office.

·  When valuing access rights, or to value the impact of the loss of those rights, we would do a "before and after appraisal". In the before you would have those rights. In the after you would value the remainder without those rights. The comparable selection would be different in the after condition. We might use comparable propertiesthat are off the highway. Once we have valued the remainder without those rights, the difference in the remainder before and after would provide an indication of the value of those rights.

·  For further questions regarding the valuation methodology utilized, please contact

Mr. Sid Hathaway

ADOT Review Appraiser

602-712-7160

.

ARKANSAS

·  On partially controlled access facilities, an access break can be moved if there is an existing break on that parcel. On fully controlled access facilities, each request is reviewed on an individual basis to determine if an access should be established, but are normally not allowed.

·  Additional information on interchange spacing is available. If interested, please contact Bob Colford as shown below.

·  Before and after appraisals are used in these instances.

·  Bob Colford, Section Head

Appraisals

501-569-2131

CONNECTICUT

·  Normally, there is charge if it is determined, after an exhaustive review by various offices in our Connecticut Department of Transportation, and approvals by our Attorney General and our Governor, that a break in the nonaccess highway line can be made. The amount is determined by an appraisal.

·  We do an appraisal on a before and after basis. In other words, we appraise the affected/benefited land as it presently exists, i.e., before the break, then appraise the property as it will exist after the break in access. The difference in the before and after values is considered the net benefit to the property, and essentially becomes the amount owed by the property owner if the break is to be effected.

·  Mr. David L. Labossiere, Division Chief

Property Management

Office of Rights of Way

860-594-2462

DELAWARE

·  Yes.

·  Basically what further development or improvements can be made to the property with the breaking of the line.

·  Eric Savage, Chief Review Appraiser

302-760-2228

HAWAII

·  In Hawaii, presently in accord w/advice from our legal people, we sell the access rights if we acquired said access rights. Appraisal instructions are basically, a before and after type appraisal, on a case by case, depending on the existing property rights of the requesting/abutting property owner/developer, ie. if there is no access, then the property is valued as though there is none and the after situation is w/good access (as requested). We negotiate the value based on a percentage of the difference in value.

·  We are trying to refine our procedures & rules & regs, so it is a work in progress but we are successful.

ILLINOIS

·  Access is a recognized property interest of value. Therefore, when we acquire it, we pay for it. When we grant it or release it, we in turn charge the fair appraised value. It is treated as any other property interest would be.

·  If access rights are being disposed of by themselves, we are required to do a "before" and "after" appraisal of the property to which they will be released to. The difference between these two values will be the amount to be received for the release.

If access rights will be released along with dedicated right of way, the appraiser will appraise the property based on whether it is a stand alone parcel or have enhanced assemblage value with the adjoining property. If there is no enhanced assemblage value and it's not needed to develop the adjoining property, a before and after appraisal is not required because the access right would only have a nominal value. They should still be addressed in the appraisal. If the release of the dedicated land and access rights provide enhanced assemblage value or are a stand alone parcel, a before and after appraisal will be required to determine the value of the land being released. Then, we have a chart of appropriate percentages to apply for the release of access rights which relate to the type of property appraised. This percentage chart can be found in our current LAPPM under Exhibit 2.02-13. Once our revised manual is out for use next year, the percentage chart can be found in the text under 2.02-13.

·  Item questions can be directed to

Zachary Taylor, Property Manager

Bureau of Land Acquisition

Illinois DOT

2300 S. Dirksen Prkwy

Springfield, IL. 62764

·  Questions relating to appraisal / valuation issues can be directed to :

Teresa S. Pointe

Illinois Department of Transportation

Acquisition Unit Manager

2300 S. Dirksen Parkway

Springfield, IL 62764

(217) 782-3982

(217) 782-3813 fax

MAINE

·  The State of Maine by statute cannot break control of access except for a new state or state aid road. If there is an existing access point on a limited access road, that access point can be moved anywhere along that stretch provided the new access is the same width or smaller and that the existing break is closed. The Department requested the statutory amendment to lessen the pressures dealing with continuing requests from commercial entities to break access and that our Federal Highway Administration officials had issues with access being broken. They would say the access was taken for a reason and that it should stay that way. Hope this helps, but we don't get into appraisals anymore on items such as this.

MARYLAND

·  Yes.

·  Value before Break Value. After Break, they pay difference.

·  Don Wakefield, Division, Chief

Appraisal Review Division

Office of Real Estate

Maryland State Highway Administration

410-545-0031

MICHIGAN

·  If a property owner wants to change the use of an existing access from agricultural/residential to commercial, they would need to apply for a commercial drive permit and pay for any type of physical changes to the existing driveway to meet commercial standards. Typically, their only costs would be the permit and required changes to meet standards.

·  If they want to expand an existing access, they would need to obtain a permit, but there probably would not be any costs except for the permit and required construction costs to meet whatever standards apply. This is assuming their existing access was not a break in limited access.

·  If the property owner requests a break in limited access, they would be charged. This is assuming they have gone thru the entire permitting process and received approval from our engineers & etc. to do so. Our state is trying to be very pro-active on the access management issue, so each driveway is looked at very carefully to be certain it complies to standards.

·  If the break in limited access is approved, real estate will be requested to estimate the value of the break. Typically, we complete a Before & After appraisal report to estimate the value. This is, of course, just the opposite of Before & After appraisals for acquisition purposes, because the After Value would be higher than the Before. Based on the assumption that the site had access from a side road in the Before situation, we attempt to obtain matched paired sales of corner sites with only side road access, compared to sites with both side road and primary road access. As we all painfully know, matched paired sales are sometimes hard to come by. For this assignment, the appraiser quite often may need to include comparable sales for other similar properties in other locations (cities) besides the subject. The idea is, we are trying to estimate the difference, or premium, between side road access versus side road and primary road access. We can then apply this difference/premium to the subject's estimated value from comps in the area.

·  Doug Bixby, Appraisal Technical Specialist

Real Estate Division

Michigan Department of Transportation

517-373-3568

MINNISOTA

·  Yes, if the access rights were acquired, the property rights must be resold(reconveyed) for market value unless the property owner is giving up 2 or more access openings to get one new opening in a different location.

·  For a typical access exchange, our current fee is $1,000.00. if it is for a new opening through controlled access and the existing access is being retained, a full appraisal is required to determine the difference in market value before and after the access is reconveyance (value added to the property by the additional access). An access reconveyance will only be done if approved by the district access management Committee. the fee can be waived if the access change is clearly beneficial to MnDOT.

·  Reconveyances are processed by Neal Bartelt (651)296-8647. Valuation of reconveyances are handled by our Appraisal Management Unit, Skip Pitzen - Supervisor (651)296-8333.

·  Michael J. Stensberg, Assistant Director

Real Estate and Policy Development Section

Office of Land Management

Phone: 651-296-1133

Fax: 651-297-5399

MONTANA

·  Yes and no. The Montana Department of Transportation (MDT) recently revised how it implements access control so our procedures changed. Onolder projects weacquired access rights by deed and theaccesslocationsthat were allowed werecalled out onthe deeds.When we grantan additional access,we do so by deedandwe consider thedeeded access a property rightsothelandowner is required to payfair market valuefor thatright.This only applies to additional accesses,notchanges in use,because the access use is not specified on the deed. This is not to say the landowner won't haveout of pocket costs as a result ofland use changes because thelandowner is still required to obtain a new approach permit from MDT and MDTcould requirethe landownerto obtain a Traffic ImpactStudy andcouldrequire the landowner to mitigate thetraffic impactsassociated with the new use.Mitigationcould include the installation ofturn lanes,signals, etc., and thelandowner is responsible for any and allmitigation costs.Mitigation may also be required when additional accesses are allowed.

On newer projects,MDT isimplementing access controlin conjunctionwith its police powers, rather than as a property right.A greater amount of time is spentstudying the existing andpotential access problems and then developing guidelines for how to deal with these problems.Once guidelines are established,recommendations are made with respect to existing and new accesses.Under this scenario, MDTdoes not purchaseaccess rights unless a property is left without reasonable access and MDTmakes every attempt toprovide reasonable access to each property.Accessesarenotcalled out on deeds; therefore,individual accessesare not considered a property right sothere is no requirementtoreceive fair market value when an additional accessisallowed.Althoughfair market value isnot required,landownerscouldbe required to complete aTraffic Impact Study andthey could be required tomitigate thetraffic impacts associated with thenew access.Traffic Impact Studies and mitigation may be required for changes in the use of the access also.

·  On older projects where MDT is required to receivefair market value foradditionalaccesses,an appraisal is obtained.The appraisal should determinethe current value of the propertyin the current condition without the additional access andthen determine the value of the property with theadditional access. Any increase in the property's value is attributed to the additional access so the increase in value is consideredthe fair market value of the additional access.

·  Greg Pizzini, Access Management Manager

PO Box 201001

Helena, MT, 59620

406-444-9458

Paul Brown, AppraisalSupervisor

PO Box 201001

Helena, MT, 59620

406-444-6069

NEBRASKA

·  Yes.

·  Appraisal; Before and After Value.

·  Bob Frickel, Chief Appraiser

402-479-4477

NEW JERSEY

·  New Jersey DOT operates under a State Highway Access Management Code. All such actions involving the expansion of existing access, or development of new access, pass through the Bureau of Major Access Permits.

·  Richard Dube

NORTH DAKOTA

·  ND has limited history with respect to the question. Conceptually, if the request for access from a No Access zone were made, the owner would be charged.

·  Generally speaking, the Sales Comparison Approach would be used, though the relevance of the Income Capitalization to the problem shouldbe examined. The benefited parcel is valued Before and After access, with the difference attributed to the access benefit.

·  Gregory F. Doll, Chief Review Appraiser

North Dakota Department of Transportation

701-328-2613

SOUTH CAROLINA

·  Yes, we do charge when breaking the control of access.

·  To establish the value we have an appraisal of the before and after situation prepared.

·  Rick Callaham is SCDOT's Chief Appraiser and can supply any additional information. His phone number is 803-737-1406.

SOUTH DAKOTA

·  South Dakota only charges a property owner in cases of Control of Access (COA) projects where the Department has purchased the rights from the owner to control the access.

VERMONT

·  Vermont does not allow private property owners to break limited access. On true limited access highways (our interstate highways, for instance) with ramps it allows no limited access breaks. On controlled access highways (with at grade intersections) under certain circumstances it allows municipalities to break the access with a municipal highway or a quasi-public entity (ambulance service or fire district) to break it with an access road. No charges are made for these breaks.