Value and Credit.

EP 1165-2-502

30 Sep 99

then acquisition of additional interests or estates is required. When existing interests less than fee,

or existing non-standard estates, are found to be sufficient and available for the project

modification, approval to utilize such existing interests or estates must first be obtained as

described in paragraph 17b, above.

d. In determining whether relocation of a utility or public facility is necessary to implement a

project, an Attorney's Opinion of Compensability is required. Among other things, the opinion

will assess whether the owner of the utility or facility has a compensable property interest, whether

the anticipated project impact to the utility or facility is such that just compensation will be owed

to the owner, and whether provision of a functionally equivalent facility is the proper measure of

such compensation. For additional information on the definition of "relocations"and Attorney's

Opinion of Compensability, see Chapter 12 of ER 405-1-12.

e. Value and Credit. For crediting and total project cost calculation purposes, the value for

LERRD required to be provided or performed by the non-Federal sponsor for the ecosystem

restoration project shall be determined in accordance with the terms of the PCA for the project,

Section VII of Chapter 12 of ER 405-1-12, and other applicable guidance.

(1) Generally, the non-Federal sponsor will be afforded credit against its share of project costs

for the value of lands, easements, and rights-of-way it provides, and the value of relocations it

performs, that are required for the project as determined by the government. A detailed

description of the valuation and crediting process -- including principles regarding the appraisal

process, appropriate dates of valuation, and stipulating value and credit amounts in the PCA-- is

contained in Chapter 12 of ER 405-1-12.

(2) Not withstanding the general policy discussed above regarding affording of credit, the non-

Federal sponsor will not be afforded LERRD credit (and the value will not be included in total

project costs for the purposes of cost sharing) in the following circumstances:

(a) for LERRD that has been provided previously as an item of cooperation for another Federal

project;

(b) for LERRD that is provided using Federal funds unless the Federal granting agency verifies

in writing that credit therefor is expressly authorized by statute;

(c) for Federal lands provided for project use (except for reasonable incidental costs) unless

the non-Federal sponsor paid fair market value to the Federal managing agency for the required

real property interest; and

(d) for lands that are available to the project through proper exercise of the government's

navigation servitude rights.

f. Real Estate Plan (REP). A comprehensive REP prepared in accordance with the

requirements of Chapter 12 of ER 405-1-12 must be included in the feasibility report or other

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