This is because in most situations the street dedication on a plat merely grants an easement to the city for public travel and the underlying fee ownership of the street remains with the abutting property owners. Therefore, when the city vacates its easement, the abutting property owners on each side of the street become the owners of the land. Although this is rare, occasionally the city actually owns the underlying fee to the street area as well as the easement for public travel. If this is the case, then when the property is vacated the city becomes the fee owner of the vacated area. Ownership can be determined by a title search if there is doubt.
Many cities charge an initial fee for the street vacation application.
In addition, state law allows the city to require compensation for the vacated easement in an amount that does not exceed one-half the appraised value of the area so vacated. The ordinance vacating the street may provide that the city retain an easement to construct, repair and maintain public utilities in the vacated area. Yes, this is required. A certified copy of the ordinance granting the vacation must be recorded by the clerk and a copy must be sent to the office of the auditor of the county in which the land is located. It is not necessary that the entire street area be vacated.