(a) The individual, corporation, or association that owns a structure may lease the right-of-way over the structure to:
(1) a municipality for public utilities owned and operated by the municipality; or
(2) a corporation to construct railroad tracks to operate a steam or electric train or car.
(b) An individual, corporation, or association by leasing the right-of-way may not:
(1) obstruct or interfere with a pedestrian’s or vehicle’s use of the structure; or
(2) permit a monopoly.

Terms Used In Texas Transportation Code 341.006

  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.

(c) The commission may prescribe the terms of a lease to a railroad corporation.
(d) If approved by the commission, a corporation that leases the right-of-way over the structure may:
(1) contract with the individual, corporation, or association that owns the structure to pay all money due under the contract; and
(2) issue and sell bonds up to the amount of its obligation to the individual, corporation, or association.
(e) A railroad corporation that leases the right-of-way over the structure may only charge for the use of the tracks as a part of mileage according to statutory rates and the general laws of this state.