How does a public utility acquire land?

In Washington, a public utility acquires land in a few different ways. The public utility can negotiate with the landowner to purchase the land, make an agreement with the landowner to lease the land, conduct an eminent domain proceeding to take the land, or use the power of inverse condemnation. In a negotiated purchase, the public utility and the landowner agree on the price and terms and the landowner willingly sells the land to the public utility. These sales are often done with a real estate broker. In a lease agreement, the utility and the landowner agree to a certain period of years that the utility can use the land in exchange for rent payments. In an eminent domain proceeding, the public utility can take the land for public use, but it has to follow a specific process. First, the utility must make an offer to the property owner that is at least the fair market value of the land. If the owner and the utility cannot agree on a price, the utility can file a lawsuit and then try to take the land through a court order. Inverse condemnation is when the public utility can take private land for public use without asking the landowner for permission, but must pay fair compensation to the owner. This right is established by the Fifth Amendment to the U.S. Constitution and state laws. When public utilities are allowed to take privately owned land, they must compensate the landowner with just compensation for the land they take. This is important to protect the rights of the landowners and ensure that utilities are able to provide a public service, while still respecting the rights of those who own the land.

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