Office of Program Policy Analysis and Government Accountability
Office of Program Policy Analysis and Government Accountability

The Legislature Has Several Options for Reducing the State's Road Right-of-Way Costs

Report 06-18, February 2006




Report Summary

The Department of Transportation spent approximately $471 million to compensate landowners for right-of-way in Fiscal Year 2004-05, including $387 million for land and improvements and $84 million for associated landowner expenses and business damages.

To help reduce right-of-way acquisition costs, the Legislature could consider the following options:

  • requiring landowners to provide information on a property's characteristics earlier in the acquisition process;
  • establishing standards for hourly rates and the number of hours that may be billed by landowners' experts or capping the amounts paid for property owners' expert expenses similar to other states; and
  • eliminating the payment of business damages. Most states do not pay business damages for property acquired for right-of-way purposes. However, eliminating payment of business damages would likely face strong opposition from land and business owners and other stakeholders.


Related Reports
  1. Progress Report: Some Highway Right-of-Way Costs Decreased, But Legislative Changes Needed to Further Reduce Costs
    Report 01-46 October 2001
  2. Justification Review of the Right-of-Way Acquisition Program
    Report 99-02 August 1999
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
transportation, highway safety, land, property, condemnation, right-of-way, acquisition, business damages