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B-120012 1 (1954-10-15)

handle is hein.gao/gaobadahl0001 and id is 1 raw text is: . COLAPTROLLER GENERAL OF THE UNITED STATES WASHINGTON25 B-120012 October 15, 1954 Dear Ar. Secretary: Reference is made to my letter of Aa 21, 1954, 3-120012, requesting a complete report concerning the payment by your Depart- ment of part of the cost of paving a street adjoining the site of a Forest Service warehouse in Eugene, Oregon, and the reply thereto dated July 27, 195)4, from your Administrative Assistant Secretary. The letter of July 27, 1954, states that the street in question was in very bad condition, constituting a serious driving hazard as well as a drainage, mud and dust problem, and that the City of Eugene refused to pave it unless each property owner stood its share of the cost. The letter further states that the payment to the City of a special assessment for the street paving--which is achnowledged to be improper under the long-standing and well established rule that the Federal Government is not subject to such assessments--was not involved therein. The letter recites that the Government's title to the warehouse property extends 30 feet to the center of the street; that the Forest Service issued bid invitations for the paving of that portion of the street owned by said Service and awarded a contract therefor to the lowest bidder; that the low bidder was the company which was paving the remainder of the street under contract with the City of Eugene and the two jobs were performed simultaneously, with the City and the Forest Service independently paying the contractor for the individual job for which each had contracted. It is contended in the letter that since the title to the warehouse property extendod to the center of the street the paving of the portion of the street abutting on the warehouse constituted an improvement of Government property and hence the contracting and payment therefor as set out above was legal and proper. In the case of McQuaid v. Portland and V. Ry. Co., 22 Pae. 899, the Supreme Court of Oregon stated: ~* * * Nhen a street has been dedicated to the public, or land been taken for a street under the law of eminent domain, the inquiry as to whom the fee is in is not very material. * * * * * * The use of the land as a street includes, practically, its entire beneficial interest. There is

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