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B-185770 1 (1976-04-08)

handle is hein.gao/gaobaddpx0001 and id is 1 raw text is: ILA ER *\ THE CIVPTROLLER GENERAL DECISION OF THE UNITED STATES WASHINGTON. D. C. 20548 FIL E: BO85770 DATE: APR 8 1976 MATTER OF: Southern Pacific Railroad Company DIG EST: 1. 43 U.S.C. 1 881 (1970) requires that before patent may be issued on land granted to railroad by United States, railroad must pay cost of surveying, selecting, and conveying land. w6here surveys were conducted by Government but railroad did not apply for patent until many years after surveys, Depart- ment of Interior may not capitalize original cost of surveys in determining charge to railroad, but should recover only mount originally paid for surveys as ascertainable from survey contracts., 2. here survcys of land were conducted for Government by contractors but railroad did not apply for patent until many years after surveys, and there is no way to determine now the costs of issuing and supervising contracts for surveys, Department of Interior may add reasonable percentage to cost of surveys to recover costs of issuing and supervising contracts. 3. Where surveys of land were conducted for Govern- ment by contractors but railroad diZd not apply for patent until many years after surveys, Department of Interior may recover costs of searching records for original contracts and calculating ratable cost per acre,. since these costs are incident to conveyance of lands. The Assistant Secretary, Program Development and Budget, Depart- ment of the Interior, has requested a decision from thia Office con- cerning the costs to be charged the Southern Pacific Railroad Company in connection with its application for title to 37,653.84 acres of laud, pursuant to section 321(b) of the Transportation Act of 1940, 49 U.S.C. 9 65(b)(1970). The proposed conveyance is subject to the terms of 43 U.S.C. § 881 (1970), which stateas

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