16 U.S.C. § 807 : US Code - Section 807: Right of Government to take over project works

Search 16 U.S.C. § 807 : US Code - Section 807: Right of Government to take over project works

(a) Compensation; condemnation by Federal or State Government
Upon not less than two years' notice in writing from the
commission the United States shall have the right upon or after the
expiration of any license to take over and thereafter to maintain
and operate any project or projects as defined in section 796 of
this title, and covered in whole or in part by the license, or the
right to take over upon mutual agreement with the licensee all
property owned and held by the licensee then valuable and
serviceable in the development, transmission, or distribution of
power and which is then dependent for its usefulness upon the
continuance of the license, together with any lock or locks or
other aids to navigation constructed at the expense of the
licensee, upon the condition that before taking possession it shall
pay the net investment of the licensee in the project or projects
taken, not to exceed the fair value of the property taken, plus
such reasonable damages, if any, to property of the licensee
valuable, serviceable, and dependent as above set forth but not
taken, as may be caused by the severance therefrom of property
taken, and shall assume all contracts entered into by the licensee
with the approval of the Commission. The net investment of the
licensee in the project or projects so taken and the amount of such
severance damages, if any, shall be determined by the Commission
after notice and opportunity for hearing. Such net investment shall
not include or be affected by the value of any lands, rights-of-
way, or other property of the United States licensed by the
Commission under this chapter, by the license or by good will,
going value, or prospective revenues; nor shall the values allowed
for water rights, rights-of-way, lands, or interest in lands be in
excess of the actual reasonable cost thereof at the time of
acquisition by the licensee: Provided, That the right of the United
States or any State or municipality to take over, maintain, and
operate any project licensed under this chapter at any time by
condemnation proceedings upon payment of just compensation is
expressly reserved.
(b) Relicensing proceedings; Federal agency recommendations of take
over by Government; stay of orders for new licenses; termination
of stay; notice to Congress
In any relicensing proceeding before the Commission any Federal
department or agency may timely recommend, pursuant to such rules
as the Commission shall prescribe, that the United States exercise
its right to take over any project or projects. Thereafter, the
Commission, if its (!1) does not itself recommend such action
pursuant to the provisions of section 800(c) of this title, shall
upon motion of such department or agency stay the effective date of
any order issuing a license, except an order issuing an annual
license in accordance with the proviso of section 808(a) of this
title, for two years after the date of issuance of such order,
after which period the stay shall terminate, unless terminated
earlier upon motion of the department or agency requesting the stay
or by action of Congress. The Commission shall notify the Congress
of any stay granted pursuant to this subsection.