
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 16USC807]

 
                         TITLE 16--CONSERVATION
 
         CHAPTER 12--FEDERAL REGULATION AND DEVELOPMENT OF POWER
 
SUBCHAPTER I--REGULATION OF THE DEVELOPMENT OF WATER POWER AND RESOURCES
 
Sec. 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.
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    \1\ So in original. Probably should be ``it''.
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(June 10, 1920, ch. 285, pt. I, Sec. 14, 41 Stat. 1071; renumbered pt. I 
and amended, Aug. 26, 1935, ch. 687, title II, Secs. 207, 212, 49 Stat. 
844, 847; Pub. L. 90-451, Sec. 2, Aug. 3, 1968, 82 Stat. 617; Pub. L. 
99-495, Sec. 4(b)(2), Oct. 16, 1986, 100 Stat. 1248.)


                               Amendments

    1986--Subsec. (b). Pub. L. 99-495 struck out first sentence which 
read as follows: ``No earlier than five years before the expiration of 
any license, the Commission shall entertain applications for a new 
license and decide them in a relicensing proceeding pursuant to the 
provisions of section 808 of this title.''
    1968--Pub. L. 90-451 designated existing provisions as subsec. (a) 
and added subsec. (b).
    1935--Act Aug. 26, 1935, Sec. 207, amended section generally.


                    Effective Date of 1986 Amendment

    Amendment by Pub. L. 99-495 effective with respect to each license, 
permit, or exemption issued under this chapter after Oct. 16, 1986, see 
section 18 of Pub. L. 99-495, set out as a note under section 797 of 
this title.

                          Transfer of Functions

    Federal Power Commission terminated and its functions with regard to 
licenses and permits for dams, reservoirs, or other works for 
development and improvement of navigation and for development and 
utilization of power across, along, from, or in navigable waters under 
this subchapter transferred to Federal Energy Regulatory Commission by 
sections 7172(a)(1)(A) and 7293 of Title 42, The Public Health and 
Welfare.

                  Section Referred to in Other Sections

    This section is referred to in sections 808, 820, 828b of this 
title.
