[Congressional Record Volume 143, Number 95 (Tuesday, July 8, 1997)]
[House]
[Pages H4854-H4857]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
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.
[[Page H4855]]
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.
{time} 1515
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
[[Page H4856]]
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.
[[Page H4857]]
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.
____________________