State Right of Way in Alton

[mcdude]

From the Baysider Oct. 2 - Selectman's Meeting Notes

State right of way

Bailey told the board it was one year ago this past July that the state of New Hampshire informed Alton they would be enforcing their right of way on both sides of Route 11 through a section of Alton Bay.
The state filed with the register of deeds all of the property owners who were encroaching on their property.
Currently, according to Bailey, landowners were being notified by their mortgage companies that part of the buildings, on which they carry a mortgage, is on land owned by the state.
He stated this will have an impact on the assessed value of the property.
Additionally, this impacts boathouses and septic systems as well. Bailey stated people will have a difficult time getting a mortgage.
"[You] can not adverse possess government land, includes our lands," said Bailey telling the board he would provide them with more information on the issue in the future.
Bailey

Would this be the old railroad right of way? What exactly are the ramifications of having a boathouse or septic system on state land?