HB606 Alabama 2025 Session

Summary

Primary Sponsor

Chris BlackshearRepresentative

Republican

Session

2025 Regular Session

Title

Public highways; relocation of certain utility facilities associated with the construction of public highways, provided

Summary

HB606 would change how utility relocations are handled for Alabama highway projects by defining utilities broadly, requiring cost estimates, limiting fees, and outlining who pays and repays relocation costs for interstate, non-interstate, and toll-road projects, with an effective date in 2026.

What This Bill Does

For interstate and defense highway projects, the DOT must obtain an estimated relocation cost and include it in federal funding requests. The bill broadens the definition of utility to include electricity, gas, water, sewer, broadband, cable, and telecommunications from any ownership type. The DOT may not charge a fee for using state right-of-way. The bill sets cost-sharing rules: the state may pay relocation costs eligible for federal reimbursement with the utility repaying the difference after federal audit for interstate projects; for non-interstate projects, relocation is generally at the utility’s expense unless income thresholds apply, with a similar post-audit repayment mechanism. It also extends relocation authority to toll-road projects and allows rights-of-way acquisition, with related provisions on moving utilities and operating in new locations, effective October 1, 2026.

Who It Affects

• Utilities (private, public, or cooperative) that own or operate facilities such as electricity, gas, water, sewer, broadband, cable, and telecommunications — they may be required to relocate facilities and could have relocation costs subsidized or recovered after federal audits, with specific thresholds and conditions.
• State and local transportation agencies (Department of Transportation and the toll authority) — they gain authority to require relocations, manage cost estimates and reimbursements, acquire rights-of-way, regulate the relocation process, and coordinate with utilities, including in toll-road projects.

Key Provisions

• Requires the DOT to obtain an estimated cost of utility relocation and include it in requests for federal participation for interstate/defense highway projects.
• Broadens the definition of 'utility' to cover electricity, gas, water, sewer, broadband, cable, and telecommunications, including public, private, and cooperative providers.
• Prohibits the DOT from charging or assessing any fee for the use or placement of a utility on state right-of-way.
• Establishes cost-sharing rules: for interstate projects, the state pays relocation costs eligible for federal reimbursement and the utility repays any difference after federal audit; for non-interstate projects, relocation is generally at the utility’s expense unless income thresholds apply, with a similar repayment mechanism after audit.
• Allows the DOT to acquire rights-of-way as needed and to enter into contracts or adjust existing ones to implement relocations.
• Extends authority to toll-road projects, making relocation costs part of the toll project and allowing utilities to relocate and operate in new locations under the same terms.
• Provides for specific definitions of relocation costs, including land rights and other related expenses, and outlines repayment procedures after federal audits.
• Effective date: October 1, 2026.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Telecommunications & Utilities