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ARTICLE II - Rights of Way <br />1. No contract for the construction of PROJECT shall be awarded until all necessary <br />rights of way have been secured. Prior to the advertising for construction of PROJECT, <br />LOCAL AGENCY shall certify and, upon request, shall furnish STATE with evidence <br />that all necessary rights of way are available for construction purposes or will be <br />available by the time of award of the construction contract. <br />2. The furnishing of right of way by LOCAL AGENCY as provided for herein <br />includes, and is limited to, the following: <br />a) Expenditures to purchase all real property required for PROJECT free and clear <br />of liens, conflicting easements, obstructions and encumbrances, after crediting <br />PROJECT with the fair market value of any excess property retained and not <br />disposed of by LOCAL AGENCY. <br />b) The cost of furnishing of right of way as provided for herein includes, in <br />addition to real property required for the PROJECT, title free and clear of <br />obstructions and encumbrances affecting PROJECT and the payment, as required <br />by applicable law, of damages to owners or remainder real property not actually <br />taken but injuriously affected by PROJECT. <br />c) The cost of relocation payments and services provided to owners and occupants <br />pursuant to Government Code Sections 7260-7277 when PROJECT displaces an <br />individual, family, business, farm operation or nonprofit organization. <br />d) The cost of demolition and/or the sale of all improvements on the right of way <br />after credit are recorded for sale proceeds used to offset PROJECT costs. <br />e) The cost of unavoidable utility relocation, protection, or removal. <br />f) The cost of all necessary hazardous material and hazardous waste treatment, <br />encapsulation or removal and protective storage for which LOCAL AGENCY <br />accepts responsibility and where the actual generator cannot be identified and <br />recovery made. <br />3. LOCAL AGENCY agrees to indemnify and hold STATE harmless from any <br />liability that may result in the event the right of way for PROJECT, including, but not <br />limited to, being clear as certified, or if said right of way is found to contain hazardous <br />materials requiring treatment or removal to remediate in accordance with federal and <br />state laws. LOCAL AGENCY shall pay from its own non-matching funds, any costs <br />which arise out of delays to the construction of PROJECT because utility facilities have <br />not been timely removed or relocated, or because rights of way were not available to <br />LOCAL AGENCY for the orderly prosecution of PROJECT work. <br />BTA1 112-12-oRA-10 3