After a failure of the owner of an unauthorized encroachment to comply with the notice or order of the department under AS 35.10.220, 35.10.240, or 35.10.260, the department may remove the encroachment, or cause it to be removed. The owner of the unauthorized encroachment shall pay to the department

1. (1) the expense of the removal of the encroachment;
2. (2) all costs and expenses paid by the state as a result of a claim or claims filed against the state by third parties for damages due to delays because the encroachment was not changed, removed, or relocated according to the order of the department; and
3. (3) costs and expense of suit.