(a) The director may execute the lease of the premises for the installation, operation, and maintenance of a saltwater pipeline facility if the director finds that:
  (1) there is sufficient area within the right of way to accommodate the saltwater pipeline facility;
  (2) the area proposed as the premises will not be needed for highway purposes during the term of the lease; and
  (3) the lessee's use of the right of way will be consistent with safety, maintenance, operation, and beautification of the state highway system.
(b) The lessee is required to pay to the department an amount determined by the department that is not less than fair market value for the lease of the premises. The department may consider its costs of administering the lease in establishing the amount charged.
(c) Except as provided by subsection (d) of this section, the term of the lease may not exceed 10 years, unless the lease contains a cancellation clause by which the department, in its sole discretion, may terminate the lease after 10 years with not more than 12 months' notice.
(d) The term of a lease for the installation of an above-ground saltwater pipeline facility may not exceed 180 days.

Source Note: The provisions of this §21.963 adopted to be effective October 12, 2014, 39 TexReg 7946; amended to be effective April 20, 2016, 41 TexReg 2777