Replies to This Discussion

Permalink Reply by Henry on November 7, 2012 at 0:34

Chuck,

You might want to talk to nearby landowners who are also getting offers, and see how much their offers are, and if any of them have successfully gotten a higher offer.  As others have said, the first offer is usually not their top offer.  

If the company wants to put the pipeline along the edge of your property, you have less leverage in negotiating a price, because they can always put the pipeline on the property of the person next door.  However, if they need to go right through the middle of your property, you have more leverage.  However, that is also less desirable, from your perspective.  Maybe you can compromise with them, and propose a slightly different route, that doesn't go through your oak grove??

As to the amount you should ask for regarding damages, that is tougher.  They may view the value of damages as just the price of timber on a narrow swath of land.  You might view it as having a pipeline running through the middle of your entire property, and now the value of your entire property is diminished.   You'd just have to negotiate that out...

And, yes, get an experienced attorney to help you.  There are all types of issues (make sure you allow only 1 pipeline in the agreement) including damages, indemnification, maintenance, surface structures, etc.  Also make sure you negotiate what happens when all this ends, even if it is 100 years from  now.

Good luck.

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Permalink Reply by chuck calvert on November 7, 2012 at 2:27

I am contacting an attorney today to help me with this stuff. Thanks you all for the help.

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Permalink Reply by Texas Gal on November 12, 2012 at 17:33

Yes, definitely hire an attorney or mineral manager.  The attorney who represented me in pipeline negotiations about 17 years ago was able to get the pipeline company agree to pay me $1,000 for every pecan tree that was damaged or died. The company also tunneled under the trees. My parents once had a similar concern and the pipeline company rerouted the line around the trees.

The larger the pipeline, the more it is worth. If you already have a pipeline on your place, the best use value is greater and makes the second pipeline worth more.  The contract is most important because the pipeline may be in operation for many, many years as someone else pointed out.  You want you and your heirs to be protected.

Good luck!

 

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Permalink Reply by Vernon on November 12, 2012 at 2:23

I heard a rumor yesterday that OneOk was considering changing the size of the Sterling III from 16" to 24" which would increase the volume by 125%.  Has anyone else heard this?

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Permalink Reply by Krkyoldhag on November 12, 2012 at 5:42

I was told that the pipeline was going to be underground..I didn't think so , and now here is your post saying its chest height or 60"..that's not underground..

Interesting....will they paint it green and let honey suckle grow up on it?  how do you get across it?

We all have some major learning experiences ahead of us.  Thank goodness for this site to help with the research.

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Permalink Reply by Vernon on November 12, 2012 at 6:00

With all due respect, I think you misread chuck's post.  His oak trees are 24-60" in circumference at about chest high.  

The pipeline will be underground.  In my case a "minimum depth of  36" below the surface of the earth".

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Permalink Reply by Eric Hamilton on November 15, 2012 at 5:10

Chuck,

I know for fact that OneOK has settled with landowners in Polk County for $550/rod and they are only asking for a 25 foot ROW, paralleling an existing ROW that they supposedly own.  This does not include damages either.  The price was pushed all the way to $550/rod because this was the only way that they could get the landowners to sign on their ROW form, opposed to the form that they had there lawyers draw up.  Most of this land is very remote land and some of it is in marshy areas (not much value on this land). 

If you need reference to your source...you can let them know that it was landowners east of Lake Livingston and SW of the town of Livingston and north of Goodrich, off FM 1988.  I hope this is helpful. 

Oh, and if you did or did not know.  OneOK is not a common carrier, so they have to buy there way to get the easement since they can't condemn.

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Permalink Reply by dbob on November 15, 2012 at 17:36

The new pipeline will parallel the existing pipeline in some areas and will be separated from it in others.  I would assume a larger ROW when they can't parallel their own line.  I do think Oneok is going to be operating this line as a common carrier, but could be wrong on that. 

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Permalink Reply by randy dawson on November 15, 2012 at 5:18

Get all you can and ask for more.....be sure you know your rights.....they are out to save money and at any cost....lying is not something they mind doing....Been there...I posted a note  over a year ago, going into detail about my encounter with MidContinent Pipeline and their 42 inch line going diagnoally through my property....It took out newly planted pines, pasture land, existing timber, hay meadow, fence rows etc...I even came across a list of stuff the company gave the landmen to use as a last resort (concessions if you will) if problems arose with landowners and I used some of it.....  They started out paying by the rod and then went to the acre.....acre is better.....I ever got money for the first survey crew....not many folks did.....they always threaten you with eminent domain.....But they do NOT want to go to court....And that is another story....If you want more information I will give it to you.....Randy

Send to rcdawson1@aol.com and I will reply

 

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Permalink Reply by Ol' Vet on November 15, 2012 at 6:27

You've already received the best advice, which is to get a qualified attorney. I'm glad to see that you have already contacted a lawyer. Just be sure it's someone who knows this area of the law. You are under no obligation to agree to anything with the pipeline company; their only recourse is to initiate a condemnation proceeding, if indeed they even qualify as a common carrier that has right of eminent domain. You are entitled to recover for the value of the land taken, all property damages including the value of the trees and their future loss of growth and the enhancement they make to your property as a whole, and damages to the remainder of your property by virtue of the existence of the pipeline. I'm a lawyer myself, but not expert in the field of condemnation. I used a very capable firm out of Corsicana recently in connection with a powerline crossing my property in Ellis County. After I rejected Oncor's final offer of around $140K, they filed for condemnation and the case was finally settled for $2.5M. Of course, the lawyers get a cut out of the additional amount obtained, but I still came out way of what Oncor wanted me to take.

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Permalink Reply by Henry on November 16, 2012 at 1:08

A qualified attorney is necessary, and I recommend a local, qualified attorney.  Someone who is local will know what the company is paying.  That will help you judge whether or not your offer is consistent with what One OK is paying other land owners.

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Permalink Reply by Kevin Dentzer on November 15, 2012 at 6:28

$200.00 is probably too low. Last year, in South Texas, we sold right of way for a 20" line for $25 per foot. In 2009 in Grayson County we sold right of way for an 11" line for $16.00 per foot. As important is the indemnity provision in the agreement. We got pretty much everything we asked for, they (not OneOK)just made us ask. Remember that when the tress are gone they are gone because they will keep the right of way clear of obstructions.

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