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HomeMy WebLinkAboutM-03-0268RELOCATION AND COST ESTIMATE ANALYSIS little, Park - ow= EL � .S4 ' � . ` � ♦ # �+�' � "� � ° kms. � & . a, q t t. t r 1. Acquisition Cost Estimates Acquisition Cost Estimates (cont.) Scope • Estimate parcel acquisition costs within two study areas • North - 29 parcels located North of 62nd Street • South - 82 parcels located South of 62nd Stree f -I " r-1 ® C3 G7 m m m " " " Cp" " f 7 f" ["7 ["7 [�7 0 C4 PO. Acquisition Cost Estimates (cont.) Purpose • Provide guidance to for planning & budgeting • Utilize four scenarios to identify potential total project costs using different acquisition and relocation criteria • Allow flexibility so study areas can be divided and arranged to provide unlimited acquisition cost scenarios Acquisition Cost Estimates (cont.) Format • FDOT approved process, modified to include four scenarios 1) All Negotiation - No Relocation Benefits 2) All Negotiation - Including Relocation Benefits 3) Condemnation - No Relocation Benefits 4) Condemnation - Including Relocation Benefits Acquisition Cost Estimates (cont.) Budgeted costs • Support costs (direct labor - City):1 .3% to 1.90/( • Acquisition Consultant Support: 2.1% to 3.0% • Operations (appraisal fees, demolition costs, other expert witness fees): 11.4% to 12.9% Acquisition Cost Estimates (cont.) Budgeted costs (cont.) • Land Costs (land and improvement costs plus any admin. settlement increase): 49.3% to 83.7% • Condemnation costs (litigation awards, owner appraisal fees, defendant attorney fees, expert witness fees): 25.5% to 28.0% • Relocation costs (residential, business, and personal property): 8.9% to 11.4% Relocation Assistance • Established under the Uniform Relocation and Real Properties Acquisition Policies Act of 1970 (amended in 1989) • The expressed intent of the Uniform Act is to ensure equitable treatment for all who are displaced by federally funded projects • Failure to comply with the Uniform Act may negate eligibility for federal assistance on all phases of the project Two Relocation Types • Residential Non=Residential I "WT I Residential Relocation • Personal property • Residential owner occupant • Residential tenants Residential Relocation • Personal property relocation involves reimbursement for moving displaced individual's personal property from acquired real estate Residential Relocation • Residential owner occupants and tenants are eligible to receive assistance in purchasing decent, safe, and sanitary replacement housing Types of Assistance Provided: Residential • Advisory assistance • Move cost reimbursement • Replacement housing payment assistance Non -Residential Relocation • Personal property • Business owners and tenants • Not for profit organizations (owner/tenant) Non -Residential Relocation • Personal property relocation involves reimbursement of the cost to move personal property from acquired real estate Non -Residential Relocation • Business owners, business tenants, and not for profit organizations are eligible to receive monetary assistance in searching for replacement sites, moving and reestablishment of the non-residential entity Relocation Assistance: Non -Residential • Advisory assistance • Move cost reimbursement • Search expense reimbursement • Reestablishment expense reimbursement Relocation Assistance • Implementing relocation guidelines per the Uniform Act helps ensure eligibility for federal assistance on all phases of the project • All displaced residential and non-residential entities are considered eligible for relocation assistance as established by the Uniform Act i PART 24 - UNIFORM RELOCATION ASSISTANCE AND REAL PROPERTY ACQUISITION FOR FEDERAL AND FEDERALLY ASSISTED PROGRAMS FEDERAL REGULATIONS Subpart A General Section Page 24.1 4 Purpose. 24.2 4 Definitions. 24.3 13 No duplication of payments. 24.4 13 Assurances, monitoring and corrective action. 24.5 14 Manner of notices. 24.6 14 Administration of jointly -funded projects. 24.7 14 Federal agency waiver of regulations. 24.8 15 Compliance with other laws and regulations. 24.9 15 Record keeping and reports. 24.10 16 Appeals. Subpart B Real Property Acquisition 24.101 17 Applicability of acquisition requirements. 24.102 18 Basic acquisition policies. 24.103 20 Criteria for appraisals. 24.104 22 Review of appraisals. 24.105 23 Acquisition of tenant -owned improvements. 24.106 23 Expenses incidental to transfer of title to the Agency. 24.107 24 Certain litigation expenses. 24.108 24 Donations. Subpart C -- General Relocation Requirements 24.201 25 Purpose. 24.202 25 Applicability. 24.203 25 Relocation notices. 24.204 26 Availability of comparable replacement dwelling before displacement. 24.205 27 Relocation planning, advisory services, and coordination. 24.206 30 Eviction for cause. 24.207 30 General requirements -- claims for relocation payments. 24.208 31 Aliens not lawfully present in the United States. 24.209 33 Relocation payments not considered as income. 1 03— 288 Subpart D -- Payments for Moving and Related Expenses :4.30134 Payment for actual reasonable moving and related expenses residential 24.302 35 Fixed payment for moving expenses --residential moves. 24.303 35 Payment for actual reasonable moving expenses --nonresidential moves. 24.304 38 Reestablishment expenses nonresidential moves. 24.305 39 Ineligible moving and related expenses. 24.306 40 Fixed payment for moving expenses --nonresidential moves. 24.307 42 Discretionary utility relocation payments. Subpart E -- Replacement Housing Payments 24.401 43 Replacement housing payment for 180 -day homeowner -occupants. 24.402 46 Replacement housing payment for 90 -day occupants. 24.403 49 Additional rules governing replacement housing payments. 24.404 51 Replacement housing of last resort. Subpart F -- Mobile Homes 24.501 53 Applicability. 24.502 53 Moving and related expenses --mobile homes. 24.503 54 Replacement housing payment for 180 -day mobile homeowner -occupants. 24.504 54 Replacement housing payment for 90 -day mobile home occupants. 24.505 55 Additional rules governing relocation payments to mobile home occupants. Subpart G -- Certification 24.601 56 Purpose. 24.602 56 Certification application. 24.603 56 Monitoring and corrective action. t r Appendix A 57 to Part 24 - Additional Information Schedule 67 Residential Fixed Moving Schedule The "Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as Amended. Authority: Section 213, Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, Pub. L. 91-646, 84 Stat. 1894 (42 U.S.C. 4601) as amended by the Surface Transportation and Uniform Relocation Assistance Act of 1987, Title IV of Pub. L. 100- 17, 101 Stat. 246-256 (42 U.S.C. 4601 note); and 49 CFR 1.48(cc). 0 I Ii Following are revisions to 49 CFR Part 24 effective 6/1/93. Pages: 10 - 24.2 (Definitions) (2)(x)- "Persons not displaced" 12 - 24.2 Small Business 17 - 24.101(a)(5) (Acquisition Req) New Paragraph 21 - 24.103(d) Add (2) Qualifications of Appraisers (FIRREA) 38 - 24.304 (Reestablishment Exp) (a); (a)(3); (a)(8); (a)(10); (a)(13); (b)(3) 56 - 24.602 (Certification Application) deleted 24.602 (a)(b)(c)(d)(e) 56 - 24.603(d) (Monitoring and Corrective Action) Following are revisions to 49 CFR Part 24 effective 10/1/99. (A) Section 24.2 - Definitions. The Government Printing Office (GPO) initiated a government -wide reformatting policy that removed all lettering references to the definitions. Definitions are arranged in alphabetical order (B) The following changes are a result of Public Law 105-117 - Aliens not lawfully present in the United States." Pages: 5 - New definition of "Alien not lawfully present in the United States" 6 - New definition of "Citizen" 10 - Add (xii) under "Persons not displaced" 12 - New definition of "State" 25 - Sec 24.203 - Ninety day notice 31 - Sec 24.208 - New section on "aliens not lawfully present in the United States" i I 03- 268 PART 24 - UNIFORM RELOCATION ASSISTANCE AND REAL PROPERTY ACQUISITION FOR FEDERAL AND FEDERALLY ASSISTED PROGRAMS Subpart A - General Sec. 24.1 Purpose.24.2 Definitions.24.3 No duplication of payments.24.4 Assurances, monitoring and corrective action.24.5 Manner of notices.24.6 Administration of jointly -funded projects.24.7 Federal agency waiver of regulations.24.8 Compliance with other laws and regulations.24.9 Recordkeeping and reports.24.10 Appeals. Authority: 42 U.S.C. 4601 et seq.; 49 CFR 1.48(cc). [57 FR 33264, July 27, 1992] Sec. 24.1 Purpose. The purpose of this part is to promulgate rules to implement the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (42 U.S.C. 4601 et seq.), in accordance with the following objectives: (a) To ensure that owners of real property to be acquired for Federal and federally -assisted projects are treated fairly and consistently, to encourage and expedite acquisition by agreements with such owners, to minimize litigation and relieve congestion in the courts, and to promote public confidence in Federal and federally -assisted land acquisition programs; (b) To ensure that persons displaced as a direct result of Federal or federally -assisted projects are treated fairly, consistently, and equitably so that such Dersons will not suffer disproportionate injuries as a result of projects designed for the benefit of the public as a whole; and (c) To ensure that Agencies implement these regulations in a manner that is efficient and cost effective. Sec. 24.2 Definitions. Agency. The term "Agency" means the Federal agency, State, State agency, or person that acquires real property or displaces a person. (1) Acquiring agency. The term "acquiring agency" means a State agency, as defined in paragraph (a)(4) of this section, which has the authority to acquire property by eminent domain under State law, and a State agency or person which does not have such authority. Any Agency or person solely acquiring property pursuant to the provisions of Sec. 24.101(a) (1), (2), (3), or (4) need not provide the assurances required by Sec. 24.4(a)(1) or (2). 4 J 03- US s (2) Displacing agency. The term "displacing agency" means any Federal agency carrying out a program or project, and any State, State agency, or person carrying out a program or project with Federal financial assistance, which causes a person to be a displaced person. (3) Federal agency. The term "Federal agency" means any department, Agency, or instrumentality in the executive branch of the Government, any wholly owned Government corporation, the Architect of the Capitol, the Federal Reserve Banks and branches thereof, and any person who has the authority to acquire property by eminent domain under Federal law. (4) State agency. The term "State agency" means any department, Agency or instrumentality of a State or of a political subdivision of a State, any department, Agency, or instrumentality of two or more States or of two or more political subdivisions of a State or States, and any person who has the authority to acquire property by eminent domain under State law. Alien not lawfully present in the United States. The phrase "alien not lawfully present in the United States" means an alien who is not "lawfully present" in the United States as defined in 8 CFR 103.12 and includes: (1) An alien present in the United States who has not been admitted or paroled into the United States pursuant to the Immigration and Nationality Act and whose stay in the United States has not been authorized by the United States Attorney General, and (2) An alien who is present in the United States after the expiration of the period of stay authorized by the United States Attorney General or who otherwise violates the terms and conditions of admission, parole or authorization to stay in the United States. Appraisal. The term "appraisal" means a written statement independently and impartially prepared by a qualified appraiser setting forth an opinion of defined value of an adequately described property as of a specific date, supported by the presentation and analysis of relevant market information. Business. The term "business" means any lawful activity, except a farm operation, that is conducted: (1) Primarily for the purchase, sale, lease and/or rental of personal and/or real property, and/or for the manufacture, processing, and/or marketing of products, commodities, and/or any other personal property; or (2) Primarily for the sale of services to the public; or J 03- 268 (3) Primarily for outdoor advertising display purposes, when the display must be moved as a result of the project; or (4) By a nonprofit organization that has established its nonprofit status under applicable Federal or State law. Citizen. The term "citizen," for purposes of this part, includes both citizens of the United States and noncitizen nationals. Comparable replacement dwelling. The term "comparable replacement dwelling" means a dwelling which is: (1) Decent, safe and sanitary as described in paragraph (f) of this section; (2) Functionally equivalent to the displacement dwelling. The term "functionally equivalent" means that it performs the same function, provides the same utility, and is capable of contributing to a comparable style of living. While a comparable replacement dwelling need not possess every feature of the displacement dwelling, the principal features must be present. Generally, functional equivalency is an objective standard, reflecting the range of purposes for which the various physical features of a dwelling may be used. However, in determining whether a replacement dwelling is functionally equivalent to the displacement dwelling, the Agency may consider reasonable trade-offs for specific features when the replacement unit is "equal to or better than" the displacement dwelling. (See Appendix A of this part); (3) Adequate in size to accommodate the occupants; (4) In an area not subject to unreasonable adverse environmental conditions; (5) In a location generally not less desirable than the location of the displaced person's dwelling with respect to public utilities and commercial and public facilities, and reasonably accessible to the person's place of employment; (6) On a site that is typical in size for residential development with normal site improvements, including customary landscaping. The site need not include special improvements such as outbuildings, swimming pools, or greenhouses. (See also Sec. 24.403(a)(2).); (7) Currently available to the displaced person on the private market. However, a comparable replacement dwelling for a person receiving government housing assistance before displacement may reflect similar government housing assistance. (See Appendix A of this part.); and C J 03-'26-8 (8) Within the financial means of the displaced person. (i) A replacement dwelling purchased by a homeowner in occupancy at the displacement dwelling for at least 180 days prior to initiation of negotiations (180 -day homeowner) is considered to be within the homeowner's financial means if the homeowner will receive the full price differential as described in Sec. 24.401(c), all increased mortgage interest costs as described at Sec. 24.401(d) and all incidental expenses as described at Sec. 24.401(e), plus any additional amount required to be paid under Sec. 24.404, Replacement housing of last resort. (ii) A replacement dwelling rented by an eligible displaced person is considered to be within his or her financial means if, after receiving rental assistance under this part, the person's monthly rent and estimated average monthly utility costs for the replacement dwelling do not exceed the person's base monthly rental for the displacement dwelling as described at Sec. 24.402(b)(2). (iii) For a displaced -person who is not eligible to receive a replacement housing payment because of the person's failure to meet length -of -occupancy requirements, comparable replacement rental housing is considered to be within the person's financial means if an Agency pays that portion of the monthly housing costs of a replacement dwelling which exceeds 30 percent of such person's gross monthly household income or, if receiving a welfare assistance payment from a program that designates amounts for shelter and utilities, the total of the amounts designated for shelter and utilities. Such rental assistance must be paid under Sec. 24.404, Replacement housing of last resort. Contribute materially. The term "contribute materially" means that during the 2 taxable years prior to the taxable year in which displacement occurs, or during such other period as the Agency determines to be more equitable, a business or farm operation: (1) Had average annual gross receipts of at least $5000; or (2) Had average annual net earnings of at least $1000; or (3) Contributed at least 33 1/3 percent of the owner's or operator's average annual gross income from all sources. (4) If the application of the above criteria creates an inequity or hardship in any given case, the Agency may approve the use of other criteria as determined appropriate. Decent, safe, and sanitary dwelling. The term "decent, safe, and sanitary dwelling" means a dwelling which meets applicable housing and occupancy codes. However, any of the following standards which are not met by an applicable code shall apply unless waived for good cause by the Federal agency funding the project. The dwelling shall: 7 :� 03 M 268 (1) Be structurally sound, weather tight, and in good repair. (2) Contain a safe electrical wiring system adequate for lighting and other devices. (3) Contain a heating system capable of sustaining a healthful temperature (of approximately 70 degrees) for a displaced person, except in those areas where local climatic conditions do not require such a system. (4) Be adequate in size with respect to the number of rooms and area of living space needed to accommodate the displaced person. There shall be a separate, well lighted and ventilated bathroom that provides privacy to the user and contains a sink, bathtub or shower stall, and a toilet, all in good working order and properly connected to appropriate sources of water and to a sewage drainage system. In the case of a housekeeping dwelling, there shall be a kitchen area that contains a fully usable sink, properly connected to potable hot and cold water and to a sewage drainage system, and adequate space and utility service connections for a stove and refrigerator. (5) Contains unobstructed egress to safe, open space at ground level. If the replacement dwelling unit is on the second story or above, with access directly from or through a common corridor, the common corridor must have at least two means of egress. (6) For a displaced person who is handicapped, be free of any barriers which would preclude reasonable ingress, egress, or use of the dwelling by such displaced person. Displaced person. (1) General. The term "displaced person" means, except as provided in paragraph (2) of this definition, any person who moves from the real property or moves his or her personal property from the real property: (This includes a person who occupies the real property prior to its acquisition, but who does not meet the length of occupancy requirements of the Uniform Act as described at Secs. 24.401(a) and 24.402(a)): (i) As a direct result of a written notice of intent to acquire, the initiation of negotiations for, or the acquisition of, such real property in whole or in part for a project. (ii) As a direct result of rehabilitation or demolition for a project; or (iii) As a direct result of a written notice of intent to acquire, or the acquisition, rehabilitation or demolition of, in whole or in part, other real property on which the person conducts a business or farm operation, for a project. However, eligibility for such person under this paragraph applies only for purposes of obtaining relocation assistance advisory services under Sec. 24.205(c), and E." 03- 268 moving expenses under Secs. 24.301, 24.302 or 24.303. (2) Persons not displaced. The following is a nonexclusive listing of persons who do not qualify as displaced persons under this part: (i) A person who moves before the initiation of negotiations (see also Sec. 24.403(d)), unless the Agency determines that the person was displaced as a direct result of the program or project; or (ii) A person who initially enters into occupancy of the property after the date of its acquisition for the project; or (iii) A person who has occupied the property for the purpose of obtaining assistance under the Uniform Act; (iv) A person who is not required to relocate permanently as a direct result of a project. Such determination shall be made by the Agency in accordance with any guidelines established by the Federal agency funding the project (see Also Appendix A of this part); or (v) An owner -occupant who moves as a result of an acquisition as described at Sec. 24.101(a) (1) and (2) , or as a result of the rehabilitation or demolition of the real property. (However, the displacement of a tenant as a direct result of any acquisition, rehabilitation or demolition for a Federal or federally -assisted project is subject to this part.); or (vi) A person whom the Agency determines is not displaced as a direct result of a partial acquisition; or (vii) A person who, after receiving a notice of relocation eligibility (described at Sec. 24.203(b)), is notified in writing that he or she will not be displaced for a project. Such notice shall not be issued unless the person has not moved and the Agency agrees to reimburse the person for any expenses incurred to satisfy any binding contractual relocation obligations entered into after the effective date of the notice of relocation eligibility; or (viii) An owner -occupant who voluntarily conveys his or her property, as described at Sec. 24.101(a) (1) and (2), after being informed in writing that if a mutually satisfactory agreement on terms of the conveyance cannot be reached, the Agency will not acquire the property. In such cases, however, any resulting s displacement of a tenant is subject to the regulations in this part; or (ix) A person who retains the right of use and occupancy of the real property for life following its acquisition by the Agency; or 0 03- 268 (x) An owner who retains the right of use and occupancy of the real property for a fixed term after its acquisition by the Department of Interior under Pub. L. 93-477 or Pub. L. 93-303, except that such owner remains a displaced person for purposes of subpart D of this part; or [58 FR 26070, April 30, 1993, (effective date June 1, 1993)] (xi) A person who is determined to be in unlawful occupancy prior to the initiation of negotiations (see paragraph (y) of this section), or a person who has been evicted for cause, under applicable law, as provided for in Sec. 24.206. (xii) A person who is not lawfully present in the United States and who has been determined to be ineligible for relocation benefits in accordance with Sec. 24.208. Dwelling. The term "dwelling" means the place of permanent or customary and usual residence of a person, according to local custom or law, including a single family house; a single family unit in a two-family, multi -family, or multi-purpose property; a unit of a condominium or cooperative housing project; a non -housekeeping unit; a mobile home; or any other residential unit. Farm operation. The term "farm operation" means any activity conducted solely or primarily for the production of one or more agricultural products or commodities, including timber, for sale or home use, and customarily producing such products or commodities in sufficient quantity to be capable of contributing materially to the operator's support. Federal financial assistance. The term "Federal financial assistance" means a grant, loan, or contribution provided by the United States, except any Federal guarantee or insurance and any interest reduction payment to an individual in connection with the purchase and occupancy of a residence by that individual. Initiation of negotiations. Unless a different action is specified in applicable Federal program regulations, the term "initiation of negotiations" means the following: (1) Whenever the displacement results from the acquisition of the real property by a Federal agency or State agency, the "initiation of negotiations" means the delivery of the initial written offer of just compensation by the Agency to the owner or the owner's representative to purchase the real property for the project. However, if the Federal agency or State agency issues a notice of its intent to acquire the real property, and a person moves after that notice, but before delivery to the initial written purchase offer, the "initiation of negotiations" means the actual move of the person from the property. 10 03- 268 (2) Whenever the displacement is caused by rehabilitation, demolition or privately undertaken acquisition of the real property (and there is no related acquisition by a Federal agency or a State agency), the "initiation of negotiations" means the notice to the person that he or she will be displaced by the project or, if there is no notice, the actual move of the person from the property. (3) In the case of a permanent relocation to protect the public health and welfare, under the Comprehensive Environmental Response Compensation and Liability Act of 1980 (Pub. L. 96-510, or "Superfund") the "initiation of negotiations" means the formal announcement of such relocation or the Federal or federally -coordinated health advisory where the Federal Government later decides to conduct a permanent relocation. Lead agency. The term "lead agency" means the Department of Transportation acting through the Federal Highway Administration. Mortgage. The term "mortgage" means such classes of liens as are commonly given to secure advances on, or the unpaid purchase price of, real property, under the laws of the State in which the real property is located, together with the credit instruments, if any, secured thereby. Nonprofit organization. The term "nonprofit organization" means an organization that is incorporated under the applicable laws of a State as a non-profit organization, and exempt from paying Federal income taxes under section 501 of the Internal Revenue Code (26 U.S.C. 501). Notice of intent to acquire or notice of eligibility for relocation assistance. Written notice furnished to a person to be displaced, including those to be displaced by rehabilitation or demolition activities from property acquired prior to the commitment of Federal financial assistance to the activity, that establishes eligibility for relocation benefits prior to the initiation of negotiation and/or prior to the commitment of Federal financial assistance. Owner of a dwelling. A person is considered to have met the requirement to own'a dwelling if the person purchases or holds any of the following interests in real property; (1) Fee title, a life estate, a land contract, a 99 -year lease, or a lease including any options for extension with at least 50 years to run from the date of acquisition; or (2) An interest in a cooperative housing project which includes the right to occupy a dwelling; or (3) A contract to purchase any of the interests or estates described in paragraphs (p) (1) or (2) of this section, or (4) Any other interest, including a partial interest, which in the judgment of the Agency warrants consideration as ownership. owl 03- 268 Person. The term "person" means any individual, family, partnership, corporation, or association. Program or project. The phrase "program or project" means any activity or series of activities undertaken by a Federal agency or with Federal financial assistance received or anticipated in any phase of an undertaking in accordance with the Federal funding agency guidelines. Salvage value. The term "salvage value" means the probable sale price of an item, if offered for sale on the condition that it will be removed from the property at the buyer's expense, allowing a reasonable period of time to find a person buying with knowledge of the uses and purposes for which it is adaptable and capable of being used, including separate use of serviceable components and scrap when there is no reasonable prospect of sale except on that basis. Small business. A business having not more than 500 employees working at the site being acquired or displaced by a program or project, which site is the location of economic activity. Sites occupied solely by outdoor advertising signs, displays, or devices do not qualify as a business for purposes of Sec. 24.304. [58 FR 26070, April 30, 1993, (effective date June 1, 1993)] State. Any of the several States of the United States or the District of Columbia, the Commonwealth of Puerto Rico, any territory or possession of the United States, or a political subdivision of any of these jurisdictions. Tenant. The term "tenant" means a person who has the temporary use and occupancy of real property owned by another. Uneconomic remnant. The term "uneconomic remnant" means a parcel of real property in which the owner is left with an interest after the partial acquisition of the owner's property, and which the acquiring agency has determined has little or no value or utility to the owner. Uniform Act. The term "Uniform Act" means the Uniform Relocation Assistance and Real Property Acquisition Policy Act of 1970 (84 Stat. 1894; 42 U.S.C. 4601 et seq.; Pub. L. 91-646), and amendments thereto. Unlawful occupancy. A person is considered to be in unlawful occupancy if the person has been ordered to move by a court of competent jurisdiction prior to the initiation of negotiations or is determined by the Agency to be a squatter who is occupying the real property without the permission of the owner and otherwise has no legal right to occupy the property under State law. A displacing agency may, at its discretion, consider such a squatter to be in lawful occupancy. Utility costs. The term "utility costs" means expenses for heat, lights, water and sewer. 12 J 03- 268 Utility facility. The term "utility facility" means any electric, gas, water, steampower, or materials transmission or distribution system; any transportation system; any communications system, including cable television; and any fixtures, equipment, or other property associated with the operation, maintenance, or repair of any such system. A utility facility may be publicly, privately, or cooperatively owned. Utility relocation. The term "utility relocation" means the adjustment of a utility facility required by the program or project undertaken by the displacing agency. It includes removing and reinstalling the facility, including necessary temporary facilities; acquiring necessary right-of-way on new location; moving, rearranging or changing the type of existing facilities; and taking any necessary safety and protective measures. It shall also mean constructing a replacement facility that has the functional equivalency of the existing facility and is necessary for the continued operation of the utility service, the project economy, or sequence of project construction. Sec. 24.3 No duplication of pavments. No person shall receive any payment under this part if that person receives a payment under Federal, State, or local law which is determined by the Agency to have the same purpose and effect as such payment under this part. (See Appendix A of this part, Sec. 24.3.) Sec. 24.4 Assurances, monitoring and corrective action. (a) Assurances. (1) Before a Federal agency may approve any grant to, or contract, or agreement with, a State agency under which Federal financial assistance will be made available for a project which results in real property acquisition or displacement that is subject to the Uniform Act, the State agency must provide appropriate assurances that it will comply with the Uniform Act and this part. A displacing agency's assurances shall be in accordance with section 210 of the Uniform Act. An acquiring agency's assurances shall be in accordance with section 305 of the Uniform Act and must contain specific reference to any State law ' which the Agency believes provides an exception to section 301 or 302 of the Uniform Act. If, in the judgment of the Federal agency, Uniform Act compliance will be served, a State agency may provide these assurances at one time to cover all subsequent federally -assisted programs or projects. An Agency which both acquires real property and displaces persons may combine its section 210 and section 305 assurances in one document. (2) If a Federal agency or State agency provides Federal financial assistance to a "person" causing displacement, such Federal or State agency is responsible for ensuring compliance with the requirements of this part, notwithstanding the person's contractual obligation to the grantee to comply. 13 .1 03- 268 (3) As an alternative to the assurance requirement described in paragraph (a)(1) of this section, a Federal agency may provide Federal financial assistance to a State agency after it has accepted a certification by such State agency in accordance with the requirements in Subpart G of this part. (b) Monitoring and corrective action. The Federal agency will monitor compliance with this part, and the State agency shall take whatever corrective action is necessary to comply with the Uniform Act and this part. The Federal agency may also apply sanctions in accordance with applicable program regulations. (Also see Sec. 24.603, Subpart G.) (c) Prevention of fraud, waste, and mismanagement. The Agency shall take appropriate measures to carry out this part in a manner that minimizes fraud, waste, and mismanagement. Sec. 24.5 Manner of notices. Each notice which the Agency is required to provide to a property owner or occupant under this part, except the notice described at Sec. 24.102(b), shall be personally served or sent by certified or registered first-class mail, return receipt requested, and documented in Agency files. Each notice shall be written in plain, understandable language. Persons who are unable to read and understand the notice must be provided with appropriate translation and counseling. Each notice shall indicate the name and telephone number of a person who may be contacted for answers to questions or other needed help. Sec. 24.6 Administration of iointly-funded proiects. Whenever two or more Federal agencies provide financial assistance to an Agency or Agencies, other than a Federal agency, to carry out functionally or geographically related activities which will result in the acquisition of property or the displacement of a person, the Federal agencies may by agreement designate one such agency as the cognizant Federal agency. In the unlikely event that agreement among the Agencies cannot be reached as to which agency shall be the cognizant Federal agency, then the lead agency shall designate one of such agencies to assume the cognizant role. At a minimum, the agreement shall set forth the federally assisted activities which are subject to its terms and cite any policies and procedures, in addition to this part, that are applicable to the activities under the agreement. Under the agreement, the cognizant Federal agency shall assure that the project is in compliance with the provisions of the Uniform Act and this part. All federally assisted activities under the agreement shall be deemed a project for the purposes of this part. Sec. 24.7 Federal agency waiver of regulations. The Federal agency funding the project may waive any requirement in this part not required by law if it determines that the waiver does not reduce any assistance or protection provided to an owner or displaced person under this part. Any request for a waiver shall be justified on a case-by-case basis. 14 I oil 03- 208 Sec. 24.8 Compliance with other laws and reeulations. The implementation of this part must be in compliance with other applicable Federal laws and implementing regulations, including, but not limited to, the following: (a) Section I of the Civil Rights Act of 1866 (42 U.S.C. 1982 et seq.). (b) Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq.). (c) Title VIII of the Civil Rights Act of 1968 (42 U.S.C. 3601 et seq.), as amended. (d) The National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.). (e) Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 790 et seq.). (f) The Flood Disaster Protection Act of 1973 (Pub. L. 93-234). (g) The Age Discrimination Act of 1975 (42 U.S.C. 6101 et seq.). (h) Executive Order 11063 --Equal Opportunity and Housing, as amended by Executive Order 12259. (i) Executive Order 11246 --Equal Employment Opportunity. 0) Executive Order 11625 -Minority Business Enterprise. (k) Executive Orders 11988, Floodplain Management, and 11990, Protection of Wetlands. (1) Executive Order 12250 --Leadership and Coordination of Non -Discrimination Laws. (m) Executive Order 12259 --Leadership and Coordination of Fair Housing in Federal Programs. (n) Executive Order 12630 --Governmental Actions and Interference with Constitutionally Protected Property Rights. Sec. 24.9 Recordkeeping and reports. (a) Records. The Agency shall maintain adequate records of its acquisition and displacement activities in sufficient detail to demonstrate compliance with this part. These records shall be retained for at least 3 years after each owner of a property and each person displaced from the property receives the final payment to which he or she is entitled under this part, or in accordance with the applicable regulations of the Federal funding agency, whichever is later. 15 03- 268 (b) Confidentiality of records. Records maintained by an Agency in accordance with this part are confidential regarding their use as public information, unless applicable law provides otherwise. (c) Reports. The Agency shall submit a report of its real property acquisition and displacement activities under this part if required by the Federal agency funding the project. A report will not be required more frequently than every 3 years, or as the Uniform Act provides, unless the Federal funding agency shows good cause. The report shall be prepared and submitted in the format contained in Appendix B of this part. Sec. 24.10 Anneals. (a) General. The Agency shall promptly review appeals in accordance with the requirements of applicable law and this part. (b) Actions which may be appealed. Any aggrieved person may file a written appeal with the Agency in any case in which the person believes that the Agency has failed to properly consider the person's application for assistance under this part. Such assistance may include, but is not limited to, the person's eligibility for, or the amount of, a payment required under Sec. 24.106 or Sec. 24.107, or a relocation payment required under this part. The Agency shall consider a written appeal regardless of form. (c) Time limit for initiating appeal. The Agency may set a reasonable time limit for a person to file an appeal. The time limit shall not be less than 60 days after the person receives written notification of the Agency's determination on the person's claim. (d) Right to representation. A person has a right to be represented by legal counsel or other representative in connection with his or her appeal, but solely at the person's own expense. (e) Review of files by person making appeal. The Agency shall permit a person t6 inspect and copy all materials pertinent to his or her appeal, except materials which are classified as confidential by the Agency. The Agency may, however, impose reasonable conditions on the person's right to inspect, consistent with applicable laws. (f) Scope of review of appeal. In deciding an appeal, the Agency shall consider all pertinent justification and other material submitted by the person, and all other available information that is needed to ensure a fair and full review of the appeal. (g) Determination and notification after appeal. Promptly after receipt of all information submitted by a person in support of an appeal, the Agency shall make a written determination on the appeal, including an explanation of the basis on which the decision was made, and furnish the person a copy. If the full relief requested is not granted, the Agency shall advise the person of his or her right to seek judicial review. 16 J 0 3" 260 (h) Agency official to review appeal. The Agency official conducting the review of the appeal shall be either the head of the Agency or his or her authorized designee. However, the official shall not have been directly involved in the action appealed. SUBPART B - REAL PROPERTY ACQUISITION Sec. 24.101 Applicability of acquisition requirements.24.102 Basic acquisition policies.24.103 Criteria for appraisals.24.104 Review of appraisals.24.105 Acquisition of tenant -owned improvements.24.106 Expenses incidental to transfer of title to the Agency.24.107 Certain litigation expenses.24.108 Donations. Sec. 24.101 Applicability of acquisition requirements (a) General. The requirements of this subpart apply to any acquisition of real property for a Federal program or project, and to programs and projects where there is Federal financial assistance in any part of project costs except for: (1) Voluntary transactions that meet all of the following conditions: (i) No specific site or property needs to be acquired, although the Agency may limit its search for alternative sites to a general geographic area. Where an Agency wishes to purchase more than one site within a geographic area on this basis, all owners are to be treated similarly. (ii) The property to be acquired is not part of an intended, planned, or designated project area where all or substantially all of the property within the area is to be acquired within specific time limits. (iii) The Agency will not acquire the property in the event negotiations fail to result in an amicable agreement, and the owner is so informed in writing. (iv) The Agency will inform the owner of what it believes to be the fair market value of the property. (2) Acquisitions for programs or projects undertaken by an Agency or person that receives Federal financial assistance but does not have authority to acquire property by eminent domain, provided that such Agency or person shall: (i) Prior to making an offer for the property, clearly advise the owner that it is unable to acquire the property in the event negotiations fail to result in an amicable agreement; and (ii) Inform the owner of what it believes to be fair market value of the property. 17 03- 268 (3) The acquisition of real property from a Federal agency, State, or State agency, if the Agency desiring to make the purchase does not have authority to acquire the property through condemnation. (4) The acquisition of real property by a cooperative from a person who, as a condition of membership in the cooperative, has agreed to provide without charge any real property that is needed by the cooperative. (5) Acquisition for a program or proiect which is undertaken bv, or receives Federal financial assistance from, the Tennessee Vallev Authoritv or the Rural Electrification Administration. (b) Less -than -full -fee interest in real property. In addition to fee simple title, the provisions of this subpart apply when acquiring fee title subject to retention of a life estate or a life use; to acquisition by leasing where the lease term, including option(s) for extension, is 50 years or more; and to the acquisition of permanent easements. (See Appendix A of this part, Sec. 24.101(b).) (c) Federally -assisted projects. For projects receiving Federal financial assistance, the provisions of Secs. 24.102, 24.103, 24.104, and 24.105 apply to the greatest extent practicable under State law. (See Sec. 24.4(a).) Sec. 24.102 Basic acquisition policies. (a) Expeditious acquisition. The Agency shall make every reasonable effort to acquire the real property expeditiously by negotiation. (b) Notice to owner. As soon as feasible, the owner shall be notified of the Agency's interest in acquiring the real property and the basic protections, including the agency's obligation to secure an appraisal, provided to the owner by law and this part. (See also Sec. 24.203.) (c) Appraisal, waiver thereof, and invitation to owner. (1) Before the initiation of negotiations the real property to be acquired shall be appraised, except as provided in Sec. 24.102 (c)(2), and the owner, or the owner's designated representative, shall be given an opportunity to accompany the appraiser during the appraiser's inspection of the property. (2) An appraisal is not required if the owner is donating the property and releases the Agency from this obligation, or the Agency determines that an appraisal is unnecessary because the valuation problem is uncomplicated and the fair market value is estimated at $2,500 or less, based on a review of available data. `M-? 03- 268. (d) Establishment and offer of just compensation. Before the initiation of negotiations, the Agency shall establish an amount which it believes is just compensation for the real property. The amount shall not be less than the approved appraisal of the fair market value of the property, taking into account the value of allowable damages or benefits to any remaining property. (See also Sec. 24.104.) Promptly thereafter, the Agency shall make a written offer to the owner to acquire the property for the full amount believed to be just compensation. (e) Summary statement. Along with the initial written purchase offer, the owner shall be given a written statement of the basis for the offer of just compensation, which shall include: (1) A statement of the amount offered as just compensation. In the case of a partial acquisition, the compensation for the real property to be acquired and the compensation for damages, if any, to the remaining real property shall be separately stated. (2) A description and location identification of the real property and the interest in the real property to be acquired. (3) An identification of the buildings, structures, and other improvements (including removable building equipment and trade fixtures) which are considered to be part of the real property for which the offer of just compensation is made. Where appropriate, the statement shall identify any separately held ownership interest in the property, e.g., a tenant -owned improvement, and indicate that such interest is not covered by the offer. (f) Basic negotiation procedures. The Agency shall make reasonable efforts to contact the owner or the owner's representative and discuss its offer to purchase the property, including the basis for the offer of just compensation; and, explain its acquisition policies and procedures, including its payment of incidental expenses in accordance with Sec. 24.106. The owner shall be given reasonable opportunity to consider the offer and present material which the owner believes is relevant to determining the value of the property and to suggest modification in the proposed terms and conditions of the purchase. The Agency shall consider the owner's presentation. (g) Updating offer of just compensation. If the information presented by the owner, or a material change in the character or condition of the property, indicates the need for new appraisal information, or if a significant delay has occurred since the time of the appraisal(s) of the property, the Agency shall have the appraisal(s) updated or obtain a new appraisal(s). If the latest appraisal information indicates that a change in the purchase offer is warranted, the Agency shall promptly reestablish just compensation and offer that amount to the owner in writing. (h) Coercive action. The Agency shall not advance the time of condemnation, or defer negotiations or condemnation or the deposit of funds with the court, or take any other coercive action in order to induce an agreement on the price to be paid for the property. RV I J 03- 268 (i) Administrative settlement. The purchase price for the property may exceed the amount offered as just compensation when reasonable efforts to negotiate an agreement at that amount have failed and an authorized Agency official approves such administrative settlement as being reasonable, prudent, and in the public interest. When Federal funds pay for or participate in acquisition costs, a written justification shall be prepared which indicates that available information (e.g., appraisals, recent court awards, estimated trial costs, or valuation problems) supports such a settlement. (j) Payment before taking possession. Before requiring the owner to surrender possession of the real property, the Agency shall pay the agreed purchase price to the owner, or in the case of a condemnation, deposit with the court, for the benefit of the owner, an amount not less than the Agency's approved appraisal of the fair market value of such property, or the court award of compensation in the condemnation proceeding for the property. In exceptional circumstances, with the prior approval of the owner, the Agency may obtain a right -of -entry for construction purposes before making payment available to an owner. (k) Uneconomic remnant. If the acquisition of only a portion of a property would leave the owner with an uneconomic remnant, the Agency shall offer to acquire the uneconomic remnant along with the portion of the property needed for the project. (See Sec. 24.2.) (1) Inverse condemnation. If the Agency intends to acquire any interest in real property by exercise of the power of eminent domain, it shall institute formal condemnation proceedings and not intentionally make it necessary for the owner to institute legal proceedings to prove the fact of the taking of the real property. (m) Fair rental. If the Agency permits a former owner or tenant to occupy the real property after acquisition for a short term or a period subject to termination by the Agency on short notice, the rent shall not exceed the fair market rent for such occupancy. Sec. 24.103 Criteria for appraisals. (a) Standards of appraisal. The format and level of documentation for an appraisal depend on the complexity of the appraisal problem. The Agency shall develop minimum standards for appraisals consistent with established and commonly accepted appraisal practice for those acquisitions which, by virtue of their low value or simplicity, do not require the in-depth analysis and presentation necessary in a detailed appraisal. A detailed appraisal shall be prepared for all other acquisitions. A detailed appraisal shall reflect nationally recognized appraisal standards, including, to the extent appropriate, the Uniform Appraisal Standards for Federal Land Acquisition. An appraisal must contain sufficient documentation, including valuation data and the appraiser's analysis of that data, to support his or her opinion of value. At a minimum, a detailed appraisal shall contain the following items: 20 (1) The purpose and/or the function of the appraisal, a definition of the estate being appraised, and a statement of the assumptions and limiting conditions affecting the appraisal. (2) An adequate description of the physical characteristics of the property being appraised (and, in the case of a partial acquisition, an adequate description of the remaining property), a statement of the known and observed encumbrances, if any, title information, location, zoning, present use, an analysis of highest and best use, and at least a 5 -year sales history of the property. (3) All relevant and reliable approaches to value consistent with commonly accepted professional appraisal practices. When sufficient market sales data are available to reliably support the fair market value for the specific appraisal problem encountered, the Agency, at its discretion, may require only the market approach. If more than one approach is utilized, there shall be an analysis and reconciliation of approaches to value that are sufficient to support the appraiser's opinion of value. (4) A description of comparable sales, including a description of all relevant physical, legal, and economic factors such as parties to the transaction, source and method of financing, and verification by a party involved in the transaction. (5) A statement of the value of the real property to be acquired and, for a partial acquisition, a statement of the value of the damages and benefits, if any, to the remaining real property, where appropriate. (6) The effective date of valuation, date of appraisal, signature, and certification of the appraiser. (b) Influence of the project on just compensation. To the extent permitted by applicable law, the appraiser shall disregard any decrease or increase in the fair market value of the real property caused by the project for which the property is to be acquired, or by the likelihood that the property would be acquired for the project, other than that due to physical deterioration within the reasonable control of the owner. (c) Owner retention of improvements. If the owner of a real property improvement is permitted to retain it for removal from the project site, the amount to be offered for the interest in the real property to be acquired shall be not less than the difference between the amount determined to be just compensation for the owner's entire interest in the real property and the salvage value (defined at Sec. 24.2) of the retained improvement. (d) Qualifications of appraisers. 21 03- 268 (1) The Agency shall establish criteria for determining the minimum qualifications of appraisers. Appraiser qualifications shall be consistent with the level of difficulty of the appraisal assignment. The Agency shall review the experience, education, training. and other qualifications of appraisers, including review appraisers, and utilize only those determined to be qualified. (2) If the appraisal assignment requires the preparation of a detailed appraisal pursuant to Sec. 24.103(a), and the Agency uses a contract (fee) appraiser to perform the appraisal, such appraiser shall be certified in accordance with title XI of the Financial Institutions Reform, Recoverv. and Enforcement Act of 1989 (FIRREA) (12 U.S.C. 3331 et seq.) i (e) Conflict of interest. No appraiser or review appraiser shall have any interest, direct or indirect, in the real property being appraised for the Agency that would in any way conflict with the preparation or review of the appraisal. Compensation for making an appraisal shall not be based on the amount of the valuation. No appraiser shall act as a negotiator for real property which that person has appraised, except that the Agency may permit the same person to both appraise and negotiate an acquisition where the value of the acquisition is $2,500, or less. Sec. 24.104 Review of appraisals. The Agency shall have an appraisal review process and, at a minimum: (a) A qualified reviewing appraiser shall examine all appraisals to assure that they meet applicable appraisal requirements and shall, prior to acceptance, seek necessary corrections or revisions. (b) If the reviewing appraiser is unable to approve or recommend approval of an appraisal as an adequate basis for the establishment of the offer of just compensation, and it is determined that it is not practical to obtain an additional appraisal, the reviewing appraiser may develop appraisal documentation in accordance with Sec. 24.103 to support an approved or recommended value. (c) The review appraiser's certification of the recommended or approved value of the property shall be set forth in a signed statement which identifies the appraisal reports reviewed and explains the basis for such recommendation or approval. Any damages or benefits to any remaining property shall also be identified in the statement. 22 03-- 268 Sec. 24.105 Acquisition of tenant -owned improvements. (a) Acquisition of improvements. When acquiring any interest in real property, the Agency shall offer to acquire at least an equal interest in all buildings, structures, or other improvements located upon the real property to be acquired, which it requires to be removed or which it determines will be adversely affected by the use to which such real property will be put. This shall include any improvement of a tenant -owner who has the right or obligation to remove the improvement at the expiration of the lease term. (b) Improvements considered to be real property. Any building, structure, or other improvement, which would be considered to be real property if owned by the owner of the real property on which it is located, shall be considered to be real property for purposes of this Subpart. (c) Appraisal and establishment of just compensation for tenant -owned improvements. Just compensation for a tenant -owned improvement is the amount which the improvement contributes to the fair market value of the whole property or its salvage value, whichever is greater. (Salvage value is defined at Sec. 24.2.) (d) Special conditions. No payment shall be made to a tenant -owner for any real property improvement unless: (1) The tenant -owner, in consideration for the payment, assigns, transfers, and releases to the Agency all of the tenant -owner's right, title, and interest in the improvement; and (2) The owner of the real property on which the improvement is located disclaims all interest in the improvement; and (3) The payment does not result in the duplication of any compensation otherwise authorized by law. (e) Alternative compensation. Nothing in this Subpart shall be construed to deprive the tenant -owner of any right to reject payment under this Subpart and to obtain payment for such property interests in accordance with other applicable law. Sec. 24.106 Expenses incidental to transfer of title to the Ai!ency. (a) The owner of the real property shall be reimbursed for all reasonable expenses the owner necessarily incurred for: (1) Recording fees, transfer taxes, documentary stamps, evidence of title, boundary surveys, legal descriptions of the real property, and similar expenses incidental to conveying the real property to the Agency. However, the Agency is not required to pay costs solely required to perfect the owner's title to the real property; and 23 03- 268 (2) Penalty costs and other charges for prepayment of any preexisting recorded mortgage entered into in good faith encumbering the real property; and (3) The pro rata portion of any prepaid real property taxes which are allocable to the period after the Agency obtains title to the property or effective possession of it, whichever is earlier. (b) Whenever feasible, the Agency shall pay these costs directly so that the owner will not have to pay such costs and then seek reimbursement from the Agency. Sec. 24.107 Certain litigation expenses. The owner of the real property shall be reimbursed for any reasonable expenses, including reasonable attorney, appraisal, and engineering fees, which the owner actually incurred because of a condemnation proceeding, if: (a) The final judgment of the court is that the Agency cannot acquire the real property by condemnation; or (b) The condemnation proceeding is abandoned by the Agency other than under an agreed-upon settlement; or (c) The court having jurisdiction renders a judgment in favor of the owner in an inverse condemnation proceeding or the Agency effects a settlement of such proceeding. Sec. 24.108 Donations. An owner whose real property is being acquired may, after being fully informed by the Agency of the right to receive just compensation for such property, donate such property or any part thereof, any interest therein, or any compensation paid therefor, to the Agency as such owner shall determine. The Agency is responsible for assuring that an appraisal of the real property is obtained unless the owner releases the Agency from such obligation, except as provided in Sec. 24.102(c)(2). Subpart C - General Relocation Requirements Sec. 24.201 Purpose.24.202 Applicability.24.203 Relocation notices.24.204 Availability of comparable replacement dwelling before displacement.24.205 Relocation planning, advisory services, and coordination. 24.206 Eviction for cause.24.207 General requirements -claims for relocation payments.24.208 Aliens not lawfully present in the United States. 24.209 Relocation payments not considered as income. 24 03'- 268 .1 Sec. 24.201 Purpose. This Subpart prescribes general requirements governing the provision of,relocation payments and other relocation assistance in this part. Sec. 24.202 Applicabilitv. These requirements apply to the relocation of any displaced person as defined at Sec. 24.2. Sec. 24.203 Relocation notices. (a) General information notice. As soon as feasible, a person scheduled to be displaced shall be furnished with a general written description of the displacing agency's relocation program which does at least the following: (1) Informs the person that he or she may be displaced for the project and generally describes the relocation payment(s) for which the person may be eligible, the basic conditions of eligibility, and the procedures for obtaining the payment(s). (2) Informs the person that he or she will be given reasonable relocation advisory services, including referrals to replacement properties, help in filing payment claims, and other necessary assistance to help the person successfully relocate. (3) Informs the person that he or she will not be required to move without at least 90 days' advance written notice (see paragraph (c) of this section), and informs any person to be displaced from a dwelling that he or she cannot be required to move permanently unless at least one comparable replacement dwelling has been made available. (4) Describes the person's right to appeal the Agency's determination as to a person's application for assistance for which a person may be eligible under this part. (b) Notice of relocation eligibility. Eligibility for relocation assistance shall begin on the date of initiation of negotiations (defined in Sec. 24.2 for the occupied property.) When this occurs, the Agency shall promptly notify all occupants in writing of their eligibility for applicable relocation assistance. (c) Ninety -day notice. (1) General. No lawful occupant shall be required to move unless he or she has received at least 90 days advance written notice of the earliest date by which he or she may be required to move. (2) Timing of notice. The displacing agency may issue the notice 90 days before it expects the person to be displaced or earlier. 25 `� 03- 268 (3) Content of notice. The 90 -day notice shall either state a specific date as the earliest date by which the occupant may be required to move, or state that the occupant will receive a further notice indicating, at least 30 days in advance, the specific date by which he or she must move. If the 90 -day notice is issued before a comparable replacement dwelling is made available, the notice must state clearly that the occupant will not have to move earlier than 90 days after such a dwelling is made available. (See Sec. 24.204(a).) (4) Informs the person that any person who is an alien not lawfully present in the United States is ineligible for relocation advisory services and relocation payments, unless such ineligibility would result in exceptional and extremely unusual hardship to a qualifying spouse, parent, or child, as defined in Sec. 24.208(i). (5) Urgent need. In unusual circumstances, an occupant may be required to vacate the property on less than 90 days advance written notice if the displacing agency determines that a 90 -day notice is impracticable, such as when the person's continued occupancy of the property would constitute a substantial danger to health or safety. A copy of the Agency's determination shall be included in the applicable case file. Sec. 24.204 Availability of comparable replacement dwelling before displacement. (a) General. No person to be displaced shall be required to move from his or her dwelling unless at least one comparable replacement dwelling (defined at Sec. 24.2) has been made available to the person. Where possible, three or more comparable replacement dwellings shall be made available. A comparable replacement dwelling will be considered to have been made available to a person, if: (1) The person is informed of its location; and (2) The person has sufficient time to negotiate and enter into a purchase agreement or lease for the property; and (3) Subject to reasonable safeguards, the person is assured of receiving the relocation assistance and acquisition payment to which the person is entitled in sufficient time to complete the purchase or lease of the property. (b) Circumstances permitting waiver. The Federal agency funding the project may grant a waiver of the policy in paragraph (a) of this section in any case where it is demonstrated that a person must move because of: (1) A major disaster as defined in section 102(c) of the Disaster Relief Act of 1974 (42 U.S.C. 5121); or (2) A presidentially declared national emergency; or 26 0*3- 268 (3) Another emergency which requires immediate vacation of the real property, such as when continued occupancy of the displacement dwelling constitutes a substantial dancer to the health or safety of the occupants or the public. (c) Basic conditions of emergency move. Whenever a person is required to relocate for a temporary period because of an emergency as described in paragraph (b) of this section, the Agency shall: (1) Take whatever steps are necessary to assure that the person is temporarily relocated to a decent, safe, and sanitary dwelling; and (2) Pay the actual reasonable out-of-pocket moving expenses and any reasonable increase in rent and utility costs incurred in connection with the temporary relocation; and (3) Make available to the displaced person as soon as feasible, at least one comparable replacement dwelling. (For purposes of filing a claim and meeting the eligibility requirements for a relocation payment, the date of displacement is the date the person moves from the temporarily -occupied dwelling.) Sec. 24.205 Relocation planning, advisory services, and coordination. (a) Relocation planning. During the early stages of development, Federal and Federal -aid programs or projects shall be planned in such a manner that the problems associated with the displacement of individuals, families, businesses, farms, and nonprofit organizations are recognized and solutions are developed to minimize the adverse impacts of displacement. Such planning, where appropriate, shall precede any action by an Agency which will cause displacement, and should be scoped to the complexity and nature of the anticipated displacing activity including an evaluation of program resources available to carry out timely and orderly relocations. Planning may involve a relocation survey or study which may include the following: (1) An estimate of the number of households to be displaced including information such as owner/tenant status, estimated value and rental rates of properties to be acquired, family characteristics, and special consideration of the impacts on minorities, the elderly, large families, and the handicapped when applicable. (2) An estimate of the number of comparable replacement dwellings in the area (including price ranges and rental rates) that are expected to be available to fulfill the needs of those households displaced. When an adequate supply of comparable housing is not expected to be available, consideration of housing of last resort actions should be instituted. 27 03- 268 (3) An estimate of the number, type and size of the businesses, farms, and nonprofit organizations to be displaced and the approximate number of employees that may be affected. (4) Consideration of any special relocation advisory services that may be necessary from the displacing agency and other cooperating agencies. (b) Loans for planning and preliminary expenses. In the event that an Agency elects to consider using the duplicative provision in section 215 of the Uniform Act which permits the use of project funds for loans to cover planning and other preliminary expenses for the development of additional housing, the lead agency will establish criteria and procedures for such use upon the request of the Federal agency funding the program or project. (c) Relocation assistance advisory services. (1) General. The Agency shall carry out a relocation assistance advisory program which satisfies the requirements of Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq.), Title VIII of the Civil Rights Act of 1968 (42 U.S.C. 3601 et seq.), and Executive Order 11063 (27 FR 11527, November 24, 1962), and offers the services described in paragraph (c)(2) of this section. If the Agency determines that a person occupying property adjacent to the real property acquired for the project is caused substantial economic injury because of such acquisition, it may offer advisory services to such person. (2) Services to be provided. The advisory program shall include such measures, facilities, and services as may be necessary or appropriate in order to: (i) Determine the relocation needs and preferences of each person to be displaced and explain the relocation payments and other assistance for which the person may be eligible, the related eligibility requirements, and the procedures for obtaining such assistance. This shall include a personal interview with each person. (ii) Provide current and continuing information on the availability, purchase prices, and rental costs of comparable replacement dwellings, and explain that the person cannot be required to move unless at least one comparable replacement dwelling is made available as set forth in Sec. 24.204(a). (A) As soon as feasible, the Agency shall inform the person in writing of the specific comparable replacement dwelling and the price or rent used for establishing the upper limit of the replacement housing payment (see Secs. 24.403 (a) and (b)) and the basis for the determination, so that the person is aware of the maximum replacement housing payment for which he or she may qualify. (B) Where feasible, housing shall be inspected prior to being made available to assure that it meets applicable standards. (See Sec. 24.2.) If such an inspection is not made, the person to be displaced shall be notified that a replacement housing payment may not be made unless the replacement dwelling is subsequently inspected and determined to be decent, safe, and sanitary. (C) Whenever possible, minority persons shall be given reasonable opportunities to relocate to decent, safe, and sanitary replacement dwellings, not located in an area of minority concentration, that are within their financial means. This policy, however, does not require an Agency to provide a person a larger payment than is necessary to enable a person to relocate to a comparable replacement dwelling. (D) All persons, especially the elderly and handicapped, shall be offered transportation to inspect housing to which they are referred. (iii) Provide current and continuing information on the availability, purchase prices, and rental costs of suitable commercial and farm properties and locations. Assist any person displaced from a business or farm operation to obtain and become established in a suitable replacement location. (iv) Minimize hardships to persons in adjusting to relocation by providing counseling, advice as to other sources of assistance that may be available, and such other help as may be appropriate. (v) Supply persons to be displaced with appropriate information concerning Federal and State housing programs, disaster loan and other programs administered by the Small Business Administration, and other Federal and State programs offering assistance to displaced persons, and technical help to persons applying for such assistance. (vi) Any person who occupies property acquired by an Agency, when such occupancy began subsequent to the acquisition of the property, and the occupancy is permitted by a short term rental agreement or an agreement subject to termination when the property is needed for a program or project, shall be eligible for advisory services, as determined by the Agency. (d) Coordination of relocation activities. Relocation activities shall be coordinated with project work and other displacement -causing activities to ensure that, to the extent feasible, persons displaced receive consistent treatment and the duplication of functions is minimized. (Also see Sec. 24.6, Subpart A.) 29 03� 268 Sec. 24.206 Eviction for cause. Eviction for cause must conform to applicable state and local law. Any person who occupies the real property and is not in unlawful occupancy on the date of the initiation of negotiations, is presumed to be entitled to relocation payments and other assistance set forth in this part unless the Agency determines that: (a) The person received an eviction notice prior to the initiation of negotiations and, as a result of that notice is later evicted; or (b) The person is evicted after the initation of negotiations for serious or repeated violation of material terms of the lease or occupancy agreement; and (c) In either case the eviction was not undertaken for the purpose of evading the obligation to make available the payments and other assistance set forth in this part. For purposes of determining eligibility for relocation payments, the date of displacement is the date the person moves, or if later, the date a comparable replacement dwelling is made available. This section applies only to persons who would otherwise have been displaced by the project. Sec. 24.207 General requirements -claims for relocation pavments. (a) Documentation. Any claim for a relocation payment shall be supported by such documentation as may be reasonably required to support expenses incurred, such as bills, certified prices, appraisals, or other evidence of such expenses. A displaced person must be provided reasonable assistance necessary to complete and file any required claim for payment. (b) Expeditious payments. The Agency shall review claims in an expeditious manner. The claimant shall be promptly notified as to any additional documentation that is required to support the claim. Payment for a claim shall be made as soon as feasible following receipt of sufficient documentation to support the claim. (c) Advance payments. If a person demonstrates the need for an advance relocation payment in order to avoid or reduce a hardship, the Agency shall issue the payment, subject to such safeguards as are appropriate to ensure that the objective of the payment is accomplished. (d) Time for filing. (1) All claims for a relocation payment shall be filed with the Agency within 18 months after: (i) For tenants, the date of displacement; (ii) For owners, the date of displacement or the date of the final payment for the acquisition of the real property, whichever is later. we 03- 268 (2) This time period shall be waived by the Agency for good cause. (e) Multiple occupants of one displacement dwelling. If two or more occupants of the displacement dwelling move to separate replacement dwellings, each occupant is entitled to a reasonable prorated share, as determined by the Agency, of any relocation payments that would have been made if the occupants moved together to a comparable replacement dwelling. However, if the Agency determines that two or more occupants maintained separate households within the same dwelling, such occupants have separate entitlements to relocation payments. (f) Deductions from relocation payments. An Agency shall deduct the amount of any advance relocation payment from the relocation payment(s) to which a displaced person is otherwise entitled. Similarly, a Federal agency shall, and a State agency may, deduct from relocation payments any rent that the displaced person owes the Agency; provided that no deduction shall be made if it would prevent the displaced person from obtaining a comparable replacement dwelling as required by Sec. 24.204. The Agency shall not withhold any part of a relocation payment to a displaced person to satisfy an obligation to any other creditor. (g) Notice of denial of claim. If the Agency disapproves all or part of a payment claimed or refuses to consider the claim on its merits because of untimely filing or other grounds, it shall promptly notify the claimant in writing of its determination, the basis for its determination, and the procedures for appealing that determination. Sec 24.208 Aliens not lawfully present in the United States. (a) Each person seeking relocation payments or relocation advisory assistance shall, as a condition of eligibility, certify: (1) In the case of an individual, that he or she is either a citizen or national of the United States, or an alien who is lawfully present in the United States. (2) In the case of a family, that each family member is either a citizen or national of the United States, or an alien who is lawfully present in the United States. The certification may be made by the head of the household on behalf of other family members. (3) In the case of an unincorporated business, farm, or nonprofit organization, that each owner is either a citizen or national of the United States, or an alien who is 1 lawfully present in the United States. The certification may be made by the principal owner, manager, or operating officer on behalf of other persons with an ownership interest. (4) In the case of an incorporated business, farm, or nonprofit organization, that the corporation is authorized to conduct business within the United States. 31 Ll (b) The certification provided pursuant to paragraphs (a)(1), (a)(2), and (a)(3) of this section shall indicate whether such person is either a citizen or national of the United States, or an alien who is lawfully present in the United States. Requirements concerning the certification in addition to those contained in this rule shall be within the discretion of the Federal funding agency and, within those parameters, that of the displacing agency. (c) In computing relocation payments under the Uniform Act, if any member(s) of a household or owner(s) of an unincorporated business, farm, or nonprofit organization is (are) determined to be ineligible because of a failure to be legally present in the United States, no relocation payments may be made to him or her. Any payment(s) for which such household, unincorporated business, farm, or nonprofit organization would otherwise be eligible shall be computed for the household, based on the number of eligible household members and for the unincorporated business, farm, or nonprofit organization, based on the ratio of ownership between eligible and ineligible owners. (d) The displacing agency shall consider the certification provided pursuant to paragraph (a) of this section to be valid, unless the displacing agency determines in accordance with paragraph (f) of this section that it is invalid based on a review of an alien's documentation or other information that the agency considers reliable and appropriate. (e) Any review by the displacing agency of the certifications provided pursuant to paragraph (a) of this section shall be conducted in a nondiscriminatory fashion. Each displacing agency will apply the same standard of review to all such certifications it receives, except that such standard may be revised periodically. (f) If, based on a review of an alien's documentation or other credible evidence, a displacing agency has reason to believe that a person's certification is invalid (for example a document reviewed does not on its face reasonably appear to be genuine), and that, as a result, such person may be an alien not lawfully present in the United States, it shall obtain the following information before making a final determination. (1) If the agency has reason to believe that the certification of a person who has certified that he or she is an alien lawfully present in the United States is invalid, the displacing agency shall obtain verification of the alien's status from the local Immigration and Naturalization Service (INS) Office. A list of local INS offices was published in the Federal Register in November 17, 1997 at 62 FR 61350. Any request for INS verification shall include the alien's full name, date of birth and alien number, and a copy of the alien's documentation. [If an agency is unable to contact the INS, it may contact the FHWA in Washington, DC at 202-366-2035 (Marshall Schy, Office of Real Estate Services) or 202-366-1371 (Reid Alsop, Office of Chief Counsel), for a referral to the INS.] 32 03, 268 (2) If the agency has reason to believe that the certification of a person who has certified that he or she is a citizen or national is invalid, the displacing agency shall request evidence of United States citizenship or nationality from such person and, if considered necessary, verify the accuracy of such evidence with the issuer. (g) No relocation payments or relocation advisory assistance shall be provided to a person who has not provided the certification described in this section or who has been determined to be not lawfully present in the United States, unless such person can demonstrate to the displacing agency's satisfaction that the denial of relocation benefits will result in an exceptional and extremely unusual hardship to such person's spouse, parent, or child who is a citizen of the United States, or is an alien lawfully admitted for permanent residence in the United States. (h) For purposes of paragraph (g) of this section, "exceptional and extremely unusual hardship" to such spouse, parent, or child of the person not lawfully present in the United States means that the denial of relocation payments and advisory assistance to such person will directly result in: (1) A significant and demonstrable adverse impact on the health or safety of such spouse, parent, or child; (2) A significant and demonstrable adverse impact on the continued existence of the family unit of which such spouse, parent, or child is a member; or (3) Any other impact that the displacing agency determines will have a significant and demonstrable adverse impact on such spouse, parent, or child. (i) The certification referred to in paragraph (a) of this section may be included as part of the claim for relocation payments described in Sec. 24.207 of this part. Sec. 24.209 Relocation payments not considered as income. No relocation payment received by a displaced person under this part shall be considered as income for the purpose of the Internal Revenue Code of 1954, which has been redesignated as the Internal Revenue Code of 1986 or for the purpose of determining the eligibility or the extent of eligibility of any person for assistance under the Social Security Act or any other Federal law, except for any Federal law providing low-income housing assistance. 33 03- 268 Subpart D - Payments for Moving and Related Expenses Sec. 24.301 Payment for actual reasonable moving and related expenses- residential moves.24.302 Fixed payment for moving expenses -residential moves.24.303 Payment for actual reasonable moving and related expenses- nonresidential moves.24.304 Reestablishment expenses -nonresidential moves.24.305 Ineligible moving and related expenses.24.306 Fixed payment for moving expenses -nonresidential moves.24.307 Discretionary utility relocation payments. Sec. 24.301 Pavment for actual reasonable moving and related expenses -residential moves Any displaced owner -occupant or tenant of a dwelling who qualifies as a displaced person (defined at Sec. 24.2) is entitled to payment of his or her actual moving and related expenses, as the Agency determines to be reasonable and necessary, including expenses for: (a) Transportation of the displaced person and personal property. Transportation costs for a distance beyond 50 miles are not eligible, unless the Agency determines that relocation beyond 50 miles is justified. (b) Packing, crating, unpacking, and uncrating of the personal property. (c) Disconnecting, dismantling, removing, reassembling, and reinstalling relocated household appliances, and other personal property. (d) Storage of the personal property for a period not to exceed 12 months, unless the Agency determines that a longer period is necessary. (e) Insurance for the replacement value of the property in connection with the move and necessary storage. (f) The replacement value of property lost, stolen, or damaged in the process of moving (not through the fault or negligence of the displaced person, his or her agent, or employee) where insurance covering such loss, theft, or damage is not reasonably available. (g) Other moving -related expenses that are not listed as ineligible under Sec. 24.305, as the Agency determines to be reasonable and necessary. 34 03- ` 68 Sec. 24.302 Fixed pavment for moving expenses -residential moves. Any person displaced from a dwelling or a seasonal residence is entitled to receive an expense and dislocation allowance as an alternative to a payment for actual moving and related expenses under Sec. 24.301. This allowance shall be determined according to the applicable schedule approved by the Federal Highway Administration. This includes a provision that the expense and dislocation allowance to a person with minimal personal possessions who is in occupancy of a dormitory style room shared by two or more other unrelated persons or a person whose residential move is performed by an agency at no cost to the person shall be limited to $50. Sec. 24.303 Pavment for actual reasonable moving and related expenses -nonresidential moves. (a) Eligible costs. Any business or farm operation which qualifies as a displaced person (defined at Sec. 24.2) is entitled to payment for such actual moving and related expenses, as the Agency determines to be reasonable and necessary, including expenses for: (1) Transportation of personal property. Transportation costs for a distance beyond 50 miles are not eligible, unless the Agency determines that relocation beyond 50 miles is justified. (2) Packing, crating, unpacking, and uncrating of the personal property. (3) Disconnecting, dismantling, removing, reassembling, and reinstalling relocated machinery, equipment, and other personal property, including substitute personal property described at Sec. 24.303(a)(12). This includes connection to utilities available nearby. It also includes modifications to the personal property necessary to adapt it to the replacement structure, the replacement site, or the utilities at the replacement site, and modifications necessary to adapt the utilities at the replacement site to the personal property. (Expenses for providing utilities from the right-of-way to the building or improvement are excluded.) (4) Storage of the personal property for a period not to exceed 12 months, unless the Agency determines that a longer period is necessary. (5) Insurance for the replacement value of the personal property in connection with the move and necessary storage. (6) Any license, permit, or certification required of the displaced person at the replacement location. However, the payment may be based on the remaining useful life of the existing license, permit, or certification. 35 03- 268 (7) The replacement value of property lost, stolen, or damaged in the process of moving (not through the fault or negligence of the displaced person, his or her agent, or employee) where insurance covering such loss, theft, or damage is not reasonably available. (8) Professional services necessary for: (i) Planning the move of the personal property, (ii) Moving the personal property, and (iii) Installing the relocated personal property at the replacement location. (9) Relettering signs and replacing stationery on hand at the time of displacement that are made obsolete as a result of the move. (10) Actual direct loss of tangible personal property incurred as a result of moving or discontinuing the business or farm operation. The payment shall consist of the lesser of: (i) The fair market value of the item for continued use at the displacement site, less the proceeds from its sale. (To be eligible for payment, the claimant must make a good faith effort to sell the personal property, unless the Agency determines that such effort is not necessary. When payment for property loss is claimed for goods held for sale, the fair market value shall be based on the cost of the goods to the business, not the potential selling price.); or (ii) The estimated cost of moving the item, but with no allowance for storage. (If the business or farm operation is discontinued, the estimated cost shall be based on a moving distance of 50 miles.) (11) The reasonable cost incurred in attempting to sell an item that is not to be relocated. (12) Purchase of substitute personal property. If an item of personal property which is used as part of a business or farm operation is not moved but is promptly replaced with a substitute item that performs a comparable function at the replacement site, the displaced person is entitled to payment of the lesser of: (i) The cost of the substitute item, including installation costs at the replacement site, minus any proceeds from the sale or trade-in of the replaced item; or (ii) The estimated cost of moving and reinstalling the replaced item but with no allowance for storage. At the Agency's discretion, the estimated cost for a low cost or uncomplicated move may be based on a single bid or estimate. 36 03- 268 (13) Searching for a replacement location. A displaced business or farm operation is entitled to reimbursement for actual expenses, not to exceed $1,000, as the Agency determines to be reasonable, which are incurred in searching for a replacement location, including: (i) Transportation. (ii) Meals and lodging away from home. (iii) Time spent searching, based on reasonable salary or earnings. (iv) Fees paid to a real estate agent or broker to locate a replacement site, exclusive of any fees or commissions related to the purchase of such site. (14) Other moving -related expenses that are not listed as ineligible under Sec. 24.305, as the Agency determines to be reasonable and necessary. (b) Notification and inspection. The following requirements apply to payments under this section: (1) The Agency shall inform the displaced person, in writing, of the requirements of paragraphs (b) (2) and (3) of this section as soon as possible after the initiation of negotiations. This information may be included in the relocation information provided to the displaced person as set forth in Sec. 24.203. (2) The displaced person must provide the Agency reasonable advance written notice of the approximate date of the start of the move or disposition of the personal property and a list of the items to be moved. However, the Agency may waive this notice requirement after documenting its file accordingly. (3) The displaced person must permit the Agency to make reasonable and timely inspections of the personal property at both the displacement and replacement sites and to monitor the move. (c) Self moves. If the displaced person elects to take full responsibility for the move of the business or farm operation, the Agency may make a payment for the person's moving expenses in an amount not to exceed the lower of two acceptable bids or estimates obtained by the Agency or prepared by qualified staff. At the Agency's discretion, a payment for a low cost or uncomplicated move may be based on a single bid or estimate. (d) Transfer of ownership. Upon request and in accordance with applicable law, the claimant shall transfer to the Agency ownership of any personal property that has not been moved, sold, or traded in. 37 03- 268 (e) Advertising signs. The amount of a payment for direct loss of an advertising sign which is personal property shall be the lesser of: (1) The depreciated reproduction cost of the sign, as determined by the Agency, less the proceeds from its sale; or (2) The estimated cost of moving the sign, but with no allowance for storage. Sec. 24.304 Reestablishment expenses -nonresidential moves. In addition to the payments available under Sec. 24.303 of this subpart, a small business, as defined in Sec. 24.2, farm or nonprofit organization is entitled to receive a payment, not to exceed $10,000, for expenses actually incurred in relocating and reestablishing such small business, farm or nonprofit organization at a replacement site. (a) Eligible expenses. Reestablishment expenses must be reasonable and necessary, as determined by the Agency. They include, but are not limited to, the following: (1) Repairs or improvements to the replacement real property as required by Federal, State or local law, code or ordinance. (2) Modifications to the replacement property to accommodate the business operation or make replacement structures suitable for conducting the business. (3) Construction and installation costs for exterior signing to advertise the business. (4) Provision of utilities from right-of-way to improvements on the replacement site. (5) Redecoration or replacement of soiled or worn surfaces at the replacement site, such as paint, panelling, or carpeting. (6) Licenses, fees and permits when not paid as part of moving expenses. (7) Feasibility surveys, soil testing and marketing studies. (8) Advertisement of replacement location. (9) Professional services in connection with the purchase or lease of a replacement site. (10) Estimated increased costs of operation during the first 2 years at the replacement site for such items as: (i) Lease or rental charges, (ii) Personal or real property taxes, 38 03- 268 (iii) Insurance premiums, and (iv) Utility charges, excluding impact fees. (11) Impact fees or one-time assessments for anticipated heavy utility usage. (12) Other items that the Agency considers essential to the reestablishment of the business. [58 FR 26070, April 30, 1993, (effective date June 1, 1993)] (b) Ineligible expenses. The following is a nonexclusive listing of reestablishment expenditures not considered to be reasonable, necessary, or otherwise eligible: (1) Purchase of capital assets, such as, office furniture, filing cabinets, machinery, or trade fixtures. (2) Purchase of manufacturing materials, production supplies, product inventory, or other items used in the normal course of the business operation. (3) Interest on money borrowed to make the move or purchase the replacement property. (4) Payment to a part-time business in the home which does not contribute materially to the household income. [58 FR 26070, April 30, 1993, (effective date June 1, 1993)) Sec. 24.305 Ineligible moving and related expenses. A displaced person is not entitled to payment for: (a) The cost of moving any structure or other real property improvement in which the displaced person reserved ownership. However, this part does not preclude the computation under Sec. 24.401(c)(4)(iii); or (b) Interest on a loan to cover moving expenses; or (c) Loss of goodwill; or (d) Loss of profits; or (e) Loss of trained employees; or (f) Any additional operating expenses of a business or farm operation incurred because of operating in a new location except as provided in Sec. 24.304(a)(10); or M 03- 268 (g) Personal injury; or (h) Any legal fee or other cost for preparing a claim for a relocation payment or for representing the claimant before the Agency; or (i) Expenses for searching for a replacement dwelling; or (j) Physical changes to the real property at the replacement location of a business or farm operation except as provided in Secs. 24.303(a)(3) and 24.304(a); or (k) Costs for storage of personal property on real property already owned or leased by the displaced person. See. 24.306 Fixed oavment for moving expenses -nonresidential moves. (a) Business. A displaced business may be eligible to choose a fixed payment in lieu of the payments for actual moving and related expenses, and actual reasonable reestablishment expenses provided by Secs. 24.303 and 24.304. Such fixed payment, except for payment to a nonprofit organization, shall equal the average annual net earnings of the business, as computed in accordance with paragraph (e) of this section, but not less than $1,000 nor more than $20,000. The displaced business is eligible for the payment if the Agency determines that: (1) The business owns or rents personal property which must be moved in connection with such displacement and for which an expense would be incurred in such move; and, the business vacates or relocates from its displacement site. (2) The business cannot be relocated without a substantial loss of its existing patronage (clientele or net earnings). A business is assumed to meet this test unless the Agency determines that it will not suffer a substantial loss of its existing patronage; and (3) The business is not part of a commercial enterprise having more than three other entities which are not being acquired by the Agency, and which are under the same ownership and engaged in the same or similar business activities. (4) The business is not operated at a displacement dwelling solely for the purpose of renting such dwelling to others. (5) The business is not operated at the displacement site solely for the purpose of renting the site to others. (6) The business contributed materially to the income of the displaced person during the 2 taxable years prior to displacement (see Sec. 24.2). 40 03- 268 (b) Determining the number of businesses. In determining whether two or more displaced legal entities constitute a single business which is entitled to only one fixed payment, all pertinent factors shall be considered, including the extent to which: (1) The same premises and equipment are shared; (2) Substantially identical or interrelated business functions are carried out and business and financial affairs are commingled; (3) The entities are held out to the public, and to those customarily dealing with them, as one business; and (4) The same person or closely related persons own, control, or manage the affairs of the entities. (c) Farm operation. A displaced farm operation (defined at Sec. 24.2) may choose a fixed payment, in lieu of the payments for actual moving and related expenses and actual reasonable reestablishment expenses, in an amount equal to its average annual net earnings as computed in accordance with paragraph (e) of this section, but not less than $1,000 nor more than $20,000. In the case of a partial acquisition of land which was a farm operation before the acquisition, the fixed payment shall be made only if the Agency determines that: (1) The acquisition of part of the land caused the operator to be displaced from the farm operation on the remaining land; or (2) The partial acquisition caused a substantial change in the nature of the farm operation. (d) Nonprofit organization. A displaced nonprofit organization may choose a fixed payment of $1,000 to $20,000, in lieu of the payments for actual moving and related expenses and actual reasonable reestablishment expenses, if the Agency determines that it cannot be relocated without a substantial loss of existing patronage (membership or clientele). A nonprofit organization is assumed to meet this test, unless the Agency demonstrates otherwise. Any payment in excess of $1,000 must be supported with financial statements for the two 12 -month periods prior to the acquisition. The amount to be used for the payment is the average of 2 years annual gross revenues less administrative expenses. (See Appendix A of this part). (e) Average annual net earnings of a business or farm operation. The average annual net earnings of a business or farm operation are one-half of its net earnings before Federal, State, and local income taxes during the 2 taxable years immediately prior to the taxable year in which it was displaced. If the business or farm was not in operation for the full 2 taxable years prior to displacement, net earnings shall be based on the actual period of operation at the displacement site during the 2 taxable years prior to displacement, projected to an annual rate. Average annual net earnings may be based upon a different period of time when the Agency determines it to be more equitable. Net earnings include any compensation obtained from the business or farm operation by its owner, the owner's spouse, and dependents. 41 03- 268 The displaced person shall furnish the Agency proof of net earnings through income tax returns, certified financial statements, or other reasonable evidence which the Agency determines is satisfactory. Sec. 24.307 Discretionary utilitv relocation Pavments. (a) Whenever a program or project undertaken by a displacing agency causes the relocation of a utility facility (see Sec. 24.2) and the relocation of the facility creates extraordinary expenses for its owner, the displacing agency may, at its option, make a relocation payment to the owner for all or part of such expenses, if the following criteria are met: (1) The utility facility legally occupies State or local government property, or property over which the State or local government has an easement or right-of-way; and (2) The utility facility's right of occupancy thereon is pursuant to State law or local ordinance specifically authorizing such use, or where such use and occupancy has been granted through a franchise, use and occupancy permit, or other similar agreement; and (3) Relocation of the utility facility is required by and is incidental to the primary purpose of the project or program undertaken by the displacing agency; and (4) There is no Federal law, other than the Uniform Act, which clearly establishes a policy for the payment of utility moving costs that is applicable to the displacing agency's program or project; and (5) State or local government reimbursement for utility moving costs or payment of such costs by the displacing agency is in accordance with State law. (b) For the purposes of this section, the term "extraordinary expenses" means those expenses which, in the opinion of the displacing agency, are not routine or predictable expenses relating to the utility's occupancy of rights-of-way, and are not ordinarily budgeted as operating expenses, unless the owner of the utility facility has explicitly and knowingly agreed to bear such expenses as a condition for use of the property, or has voluntarily agreed to be responsible for such expenses. (c) A relocation payment to a utility facility owner for moving costs under this section may not exceed the cost to functionally restore the service disrupted by the federally assisted program or project, less any increase in value of the new facility and salvage value of the old facility. The displacing agency and the utility facility owner shall reach prior agreement on the nature of the utility relocation work to be accomplished, the eligibility of the work for reimbursement, the responsibilities for financing and accomplishing the work, and the method of accumulating costs and making payment. (See Appendix A, of this part, Sec. 24.307.) 42 03= 268. Subpart E - Replacement Housing Payments Sec. 24.401 Replacement housing payment for 180 -day homeowner-occupants.24.402 Replacement housing payment for 90 -day occupants.24.403 Additional rules governing replacement housing payments.24.404 Replacement housing of last resort. Sec. 24.401 Replacement housing pavment for 180-dav homeowner -occupants. (a) Eligibility. A displaced person is eligible for the replacement housing payment for a 180 -day homeowner -occupant if the person: (1) Has actually owned and occupied the displacement dwelling for not less than 180 days immediately prior to the initiation of negotiations; and (2) Purchases and occupies a decent, safe, and sanitary replacement dwelling within one year after the later of the following dates (except that the Agency may extend such one year period for good cause): (i) The date the person receives final payment for the displacement dwelling or, in the case of condemnation, the date the full amount of the estimate of just compensation is deposited in the court, or (ii) The date the displacing agency's obligation under Sec. 24.204 is met. (b) Amount of payment. The replacement housing payment for an eligible 180 -day homeowner -occupant may not exceed $22,500. (See also Sec. 24.404.) The payment under this subpart is limited to the amount necessary to relocate to a comparable replacement dwelling within one year from the date the displaced homeowner- occupant is paid for the displacement dwelling, or the date a comparable replacement dwelling is made available to such person, whichever is later. The payment shall be the sum of: (1) The amount by which the cost of a replacement dwelling exceeds the acquisition cost of the displacement dwelling, as determined in accordance with paragraph (c) of this section; and (2) The increased interest costs and other debt service costs which are incurred in connection with the mortgage(s) on the replacement dwelling, as determined in accordance with paragraph (d) of this section; and (3) The reasonable expenses incidental to the purchase of the replacement dwelling, as determined in accordance with paragraph (e) of this section. 43 03- 268 (c) Price differential. (1) Basic computation. The price differential to be paid under paragraph (b)(1) of this section is the amount which must be added to the acquisition cost of the displacement dwelling to provide a total amount equal to the lesser of: (i) The reasonable cost of a comparable replacement dwelling as determined in accordance with Sec. 24.403(a); or (ii) The purchase price of the decent, safe, and sanitary replacement dwelling actually purchased and occupied by the displaced person. (2) Mixed-use and multifamily properties. If the displacement dwelling was part of a property that contained another dwelling unit and/or space used for non-residential purposes, and/or is located on a lot larger than typical for residential purposes, only that portion of the acquisition payment which is actually attributable to the displacement dwelling shall be considered its acquisition cost when computing the price differential. (3) Insurance proceeds. To the extent necessary to avoid duplicate compensation, the amount of any insurance proceeds received by a person in connection with a loss to the displacement dwelling due to a catastrophic occurrence (fire, flood, etc.) shall be included in the acquisition cost of the displacement dwelling when computing the price differential. (Also see Sec. 24.3.) (4) Owner retention of displacement dwelling. If the owner retains ownership of his or her dwelling, moves it from the displacement site, and reoccupies it on a replacement site, the purchase price of the replacement dwelling shall be the sum of: (i) The cost of moving and restoring the dwelling to a condition comparable to that prior to the move; and (ii) The cost of making the unit a decent, safe, and sanitary replacement dwelling (defined at Sec. 24.2); and (iii) The current fair market value for residential use of the replacement site (see Appendix A of this part, Sec. 24.401(c) (4)(iii)), unless the claimant rented the displacement site and there is a reasonable opportunity for the claimant to rent a suitable replacement site; and (iv) The retention value of the dwelling, if such retention value is reflected in the "acquisition cost" used when computing the replacement housing payment. 44 03- 268 (d) Increased mortgage interest costs. The displacing agency shall determine the factors to be used in computing the amount to be paid to a displaced person under paragraph (b)(2) of this section. The payment for increased mortgage interest cost shall be the amount which will reduce the mortgage balance on a new mortgage to an amount which could be amortized with the same monthly payment for principal and interest as that for the mortgage(s) on the displacement dwelling. In addition, payments shall include other debt service costs, if not paid as incidental costs, and shall be based only on bona fide mortgages that were valid liens on the displacement dwelling for at least 180 days prior to the initiation of negotiations. Paragraphs (d) (1) through (5) of this section shall apply to the computation of the increased mortgage interest costs payment, which payment shall be contingent upon a mortgage being placed on the replacement dwelling. (1) The payment shall be based on the unpaid mortgage balance(s) on the displacement dwelling; however, in the event the person obtains a smaller mortgage than the mortgage balance(s) computed in the buydown determination the payment will be prorated and reduced accordingly. (See Appendix A of this part.) In the case of a home equity loan the unpaid balance shall be that balance which existed 180 days prior to the initiation of negotiations or the balance on the date of acquisition, whichever is less. (2) The payment shall be based on the remaining term of the mortgage(s) on the displacement dwelling or the term of the new mortgage, whichever is shorter. (3) The interest rate on the new mortgage used in determining the amount of the payment shall not exceed the prevailing fixed interest rate for conventional mortgages currently charged by mortgage lending institutions in the area in which the replacement dwelling is located. (4) Purchaser's points and loan origination or assumption fees, but not seller's points, shall be paid to the extent: (i) They are not paid as incidental expenses; (ii) They do not exceed rates normal to similar real estate transactions in the area; (iii) The Agency determines them to be necessary; and (iv) The computation of such points and fees shall be based on the unpaid mortgage balance on the displacement dwelling, less the amount determined for the reduction of such mortgage balance under this section. 45 03- 268 (5) The displaced person shall be advised of the approximate amount of this payment and the conditions that must be met to receive the payment as soon as the facts relative to the person's current mortgage(s) are known and the payment shall be made available at or near the time of closing on the replacement dwelling in order to reduce the new mortgage as intended. (e) Incidental expenses. The incidental expenses to be paid under paragraph (b)(3) of this section or Sec. 24.402(c)(1) are those necessary and reasonable costs actually incurred by the displaced person incident to the purchase of a replacement dwelling, and customarily paid by the buyer, including: (1) Legal, closing, and related costs, including those for title search, preparing conveyance instruments, notary fees, preparing surveys and plats, and recording fees. (2) Lender, FHA, or VA application and appraisal fees. (3) Loan origination or assumption fees that do not represent prepaid interest. (4) Certification of structural soundness and termite inspection when required. (5) Credit report. (6) Owner's and mortgagee's evidence of title, e.g., title insurance, not to exceed the costs for a comparable replacement dwelling. (7) Escrow agent's fee. (8) State revenue or documentary stamps, sales or transfer taxes (not to exceed the costs for a comparable replacement dwelling). (9) Such other costs as the Agency determines to be incidental to the purchase. (f) Rental assistance payment for 180 -day homeowner. A 180 -day homeowner -occupant, who could be eligible for a replacement housing payment under paragraph (a) of this section but elects to rent a replacement dwelling, is eligible for a rental assistance payment not to exceed $5,250, computed and disbursed in accordance with Sec. 24.402(b). Sec. 24.402 Replacement housing pavment for 90-dav occupants (a) Eligibility. A tenant or owner -occupant displaced from a dwelling is entitled to a payment not to exceed $5,250 for rental assistance, as computed in accordance with paragraph (b) of this section, or downpayment assistance, as computed in accordance with paragraph (c) of this section, if such displaced person: 03- 268 (1) Has actually and lawfully occupied the displacement dwelling for at least 90 days immediately prior to the initiation of negotiations; and (2) Has rented, or purchased, and occupied a decent, safe, and sanitary replacement dwelling within 1 year (unless the Agency extends this period for good cause) after: (i) For a tenant, the date he or she moves from the displacement dwelling, or (ii) For an owner -occupant, the later of: (A) The date he or she receives final payment for the displacement dwelling, or in the case of condemnation, the date the full amount of the estimate of just compensation is deposited with the court; or (B) The date he or she moves from the displacement dwelling. (b) Rental assistance payment. (1) Amount of payment. An eligible displaced person who rents a replacement dwelling is entitled to a payment not to exceed $5,250 for rental assistance. (See also Sec. 24.404.) Such payment shall be 42 times the amount obtained by subtracting the base monthly rental for the displacement dwelling from the lesser of: (i) The monthly rent and estimated average monthly cost of utilities for a comparable replacement dwelling; or (ii) The monthly rent and estimated average monthly cost of utilities for the decent, safe, and sanitary replacement dwelling actually occupied by the displaced person. (2) Base monthly rental for displacement dwelling. The base monthly rental for the displacement dwelling is the lesser of: (i) The average monthly cost for rent and utilities at the displacement dwelling for a reasonable period prior to displacement, as determined by the Agency. (For an owner- occupant, use the fair market rent for the displacement dwelling. For a tenant who paid little or no rent for the displacement dwelling, use the fair market rent, unless its use would result in a hardship because of the person's income or other circumstances); or 47 J 03— 298 (ii) Thirty (30) percent of the person's average gross household income. (If the person refuses to provide appropriate evidence of income or is a dependent, the base monthly rental shall be established solely on the criteria in paragraph (b)(2)(i) of this section. A full time student or resident of an institution may be assumed to be a dependent, unless the person demonstrates otherwise.); or (iii) The total of the amounts designated for shelter and utilities if receiving a welfare assistance payment from a program that designates the amounts for shelter and utilities. (3) Manner of disbursement. A rental assistance payment may, at the Agency's discretion, be disbursed in either a lump sum or in installments. However, except as limited by Sec. 24.403(f), the full amount vests immediately, whether or not there is any later change in the person's income or rent, or in the condition or location of the person's housing. (c) Downpayment assistance payment. (1) Amount of payment. An eligible displaced person who purchases a replacement dwelling is entitled to a downpayment assistance payment in the amount the person would receive under paragraph (b) of this section if the person rented a comparable replacement dwelling. At the discretion of the Agency, a downpayment assistance payment may be increased to any amount not to exceed $5,250. However, the payment to a displaced homeowner shall not exceed the amount the owner would receive under Sec. 24.401(b) if he or she met the 180 -day occupancy requirement. An Agency's discretion to provide the maximum payment shall be exercised in a uniform and consistent manner, so that eligible displaced persons in like circumstances are treated equally. A displaced person eligible to receive a payment as a 180 -day owner -occupant under Sec. 24.401(a) is not eligible for this payment. (See also Appendix A of this part, Sec. 24.402(c).) (2) Application of payment. The full amount of the replacement housing payment for downpayment assistance must be applied to the purchase price of the replacement dwelling and related incidental expenses. M 03- 268 Sec. 24.403 Additional rules governing replacement housing pavments. (a) Determining cost of comparable replacement dwelling. The upper limit of a replacement housing payment shall be based on the cost of a comparable replacement dwelling (defined at Sec. 24.2). (1) If available, at least three comparable replacement dwellings shall be examined and the payment computed on the basis of the dwelling most nearly representative of, and equal to, or better than, the displacement dwelling. An adjustment shall be made to the asking price of any dwelling, to the extent justified by local market data (see also Sec. 24.205(a)(2) and Appendix A of this part). An obviously overpriced dwelling may be ignored. (2) If the site of the comparable replacement dwelling lacks a major exterior attribute of the displacement dwelling site, (e.g., the site is significantly smaller or does not contain a swimming pool), the value of such attribute shall be subtracted from the acquisition cost of the displacement dwelling for purposes of computing the payment. (3) If the acquisition of a portion of a typical residential property causes the displacement of the owner from the dwelling and the remainder is a buildable residential lot, the Agency may offer to purchase the entire property. If the owner refuses to sell the remainder to the Agency, the fair market value of the remainder may be added to the acquisition cost of the displacement dwelling for purposes of computing the replacement housing payment. (4) To the extent feasible, comparable replacement dwellings shall be selected from the neighborhood in which the displacement dwelling was located or, if that is not possible, in nearby or similar neighborhoods where housing costs are generally the same or higher. (b) Inspection of replacement dwelling. Before making a replacement housing payment or releasing a payment from escrow, the Agency or its designated representative shall inspect the replacement dwelling and determine whether it is a decent, safe, and sanitary dwelling as defined at Sec. 24.2. (c) Purchase of replacement dwelling. A displaced person is considered to have met the requirement to purchase a replacement dwelling, if the person: (1) Purchases a dwelling; or (2) Purchases and rehabilitates a substandard dwelling; or (3) Relocates a dwelling which he or she owns or purchases; or (4) Constructs a dwelling on a site he or she owns or purchases; or 49 k 03- 268 (5) Contracts for the purchase or construction of a dwelling on a site provided by a builder or on a site the person owns or purchases. (6) Currently owns a previously purchased dwelling and site, valuation of which shall be on the basis of current fair market value. (d) Occupancy requirements for displacement or replacement dwelling. No person shall be denied eligibility for a replacement housing payment solely because the person is unable to meet the occupancy requirements set forth in these regulations for a reason beyond his or her control, including: (1) A disaster, an emergency, or an imminent threat to the public health or welfare, as determined by the President, the Federal agency funding the project, or the displacing agency; or (2) Another reason, such as a delay in the construction of the replacement dwelling, military reserve duty, or hospital stay, as determined by the Agency. (e) Conversion of payment. A displaced person who initially rents a replacement dwelling and receives a rental assistance payment under Sec. 24.402(b) is eligible to receive a payment under Sec. 24.401 or 24.402(c) if he or she meets the eligibility criteria for such payments, including purchase and occupancy within the prescribed 1 -year period. Any portion of the rental assistance payment that has been disbursed shall be deducted from the payment computed under Sec. 24.401 or 24.402(c). (f) Payment after death. A replacement housing payment is personal to the displaced person and upon his or her death the undisbursed portion of any such payment shall not be paid to the heirs or assigns, except that: (1) The amount attributable to the displaced person's period of actual occupancy of the replacement housing shall be paid. (2) The full payment shall be disbursed in any case in which a member of a displaced family dies and the other family member(s) continue to occupy a decent, safe, and sanitary replacement dwelling. (3) Any portion of a replacement housing payment necessary to satisfy the legal obligation of an estate in connection with the selection of a replacement dwelling by or on behalf of a deceased person shall be disbursed to the estate. 3e J 03+ 268 Sec. 24.404 Replacement housing of last resort. (a) Determination to provide replacement housing of last resort. Whenever a program or project cannot proceed on a timely basis because comparable replacement dwellings are not available within the monetary Iimits for owners or tenants, as specified in Sec. 24.401 or Sec. 24.402, as appropriate, the Agency shall provide additional or alternative assistance under the provisions of this subpart. Any decision to provide last resort housing assistance must be adequately justified either: (1) On a case-by-case basis, for good cause, which means that appropriate consideration has been given to: (i) The availability of comparable replacement housing in the program or project area; and (ii) The resources available to provide comparable replacement housing; and (iii) The individual circumstances of the displaced person; or (2) By a determination that: (i) There is little, if any, comparable replacement housing available to displaced persons within an entire program or project area; and, therefore, last resort housing assistance is necessary for the area as a whole; and (ii) A program or project cannot be advanced to completion in a timely manner without last resort housing assistance; and (iii) The method selected for providing last resort housing assistance is cost effective, considering all elements which contribute to total program or project costs. (Will project delay justify waiting for less expensive comparable replacement housing to become available?) (b) Basic rights of persons to be displaced. Notwithstanding any provision of this subpart, no person shall be required to move from a displacement dwelling unless comparable replacement housing is available to such person. No person may be deprived of any rights the person may have under the Uniform Act or this part. The Agency shall not require any displaced person to accept a dwelling provided by the Agency under these procedures (unless the Agency and the displaced person have entered into a contract to do so) in lieu of any acquisition payment or any relocation payment for which the person may otherwise be eligible. (c) Methods of providing comparable replacement housing. Agencies shall have broad latitude in implementing this subpart, but implementation shall be for reasonable cost, on a case-by-case basis unless an exception to case-by-case analysis is justified for an entire project. AN 03- 268 (1) The methods of providing replacement housing of last resort include, but are not limited to: (i) A replacement housing payment in excess of the limits set forth in Sec. 24.401 or Sec. 24.402. A rental assistance subsidy under this section may be provided in installments or in a lump sum at the Agency's discretion. (ii) Rehabilitation of and/or additions to an existing replacement dwelling. (iii) The construction of a new replacement dwelling. (iv) The provision of a direct loan, which requires regular amortization or deferred repayment. The loan may be unsecured or secured by the real property. The loan may bear interest or be interest-free. (v) The relocation and, if necessary, rehabilitation of a dwelling. (vi) The purchase of land and/or a replacement dwelling by the displacing agency and subsequent sale or lease to, or exchange with a displaced person. (vii) The removal of barriers to the handicapped. (viii) The change in status of the displaced person with his or her concurrence from tenant to homeowner when it is more cost effective to do so, as in cases where a downpayment may be less expensive than a last resort rental assistance payment. (2) Under special circumstances, consistent with the definition of a comparable replacement dwelling, modified methods of providing replacement housinb, of last resort permit consideration of replacement housing based on space and physical characteristics different from those in the displacement dwelling (see Appendix A, of this part, Sec. 24.404), including upgraded, but smaller replacement housing that is decent, safe, and sanitary and adequate to accommodate individuals or families displaced from marginal or substandard housing with probable functional obsolesence. In no event, however, shall a displaced person be required to move into a dwelling that is not functionally equivalent in accordance with Sec. 24.2. (3) The agency shall provide assistance under this subpart to a displaced person who is not eligible to receive a replacement housing payment under Secs. 24.401 and 24.402 because of failure to meet the length of occupancy requirement when comparable replacement rental housing is not available at rental rates within the person's financial means, which is 30 percent of the person's gross monthly household income. Such assistance shall cover a period of 42 months. 52 43- 268 Subpart F - Mobile Homes Sec. 24.501 Applicability. 24.502 Moving and related expenses -mobile homes. 24.503 Replacement housing payment for 180 -day mobile homeowner -occupants. 24.504 Replacement housing payment for 90 -day mobile home occupants. 24.505 Additional rules governing relocation payments to mobile home occupants. Sec. 24.501 Applicabilitv. This subpart describes the requirements governing the provision of relocation payments to a person displaced from a mobile home and/or mobile home site who meets the basic eligibility requirements of this part. Except as modified by this subpart, such a displaced person is entitled to a moving expense payment in accordance with Subpart D and a replacement housing payment in accordance with Subpart E to the same extent and subject to the same requirements as persons displaced from conventional dwellings. Sec. 24.502 Moving and related expenses -mobile homes. (a) A homeowner -occupant displaced from a mobile home or mobile homesite is entitled to a payment for the cost of moving his or her mobile home on an actual cost basis in accordance with Sec. 24.301. A non -occupant owner of a rented mobile home is eligible for actual cost reimbursement under Sec. 24.303. However, if the mobile home is not acquired, but the homeowner- occupant obtains a replacement housing payment under one of the circumstances described at Sec. 24.503(a)(3), the owner is not eligible for payment for moving the mobile home, but may be eligible for a payment for moving personal property from the mobile home. (b) The following rules apply to payments for actual moving expenses under Sec. 24.301: (1) A displaced mobile homeowner, who moves the mobile home to a replacement site, is eligible for the reasonable cost of disassembling, moving, and reassembling any attached appurtenances, such as porches, decks, skirting, and awnings, which were not acquired, anchoring of the unit, and utility "hook-up" charges. (2) If a mobile home requires repairs and/or modifications so that it can be moved and/or made decent, safe, and sanitary, and the Agency determines that it would be economically feasible to incur the additional expense, the reasonable cost of such repairs and/or modifications is reimbursable. (3) A nonreturnable mobile home park entrance fee is reimbursable to the extent it does not exceed the fee at a comparable mobile home park, if the person is displaced from a mobile home park or the Agency determines that payment of the fee is necessary to effect relocation. 53 03' 268 Sec. 24.503 Replacement housing payment for 180 -day mobile homeowner -occupants. (a) A displaced owner -occupant of a mobile home is entitled to a replacement housing payment, not to exceed $22,500, under Sec. 24.401 if: (1) The person both owned the displacement mobile home and occupied it on the displacement site for at least 180 days immediately prior to the initiation of negotiations; (2) The person meets the other basic eligibility requirements at Sec. 24.401(a); and (3) The Agency acquires the mobile home and/or mobile home site, or the mobile home is not acquired by the Agency but the owner is displaced from the mobile home because the Agency determines that the mobile home: (i) Is not and cannot economically be made decent, safe, and sanitary; or (ii) Cannot be relocated without substantial damage or unreasonable cost, or (iii) Cannot be relocated because there is no available comparable replacement site; or (iv) Cannot be relocated because it does not meet mobile home park entrance requirements. (b) If the mobile home is not acquired, and the Agency determines that it is not practical to relocate it, the acquisition cost of the displacement dwelling used when computing the price differential amount, described at Sec. 24.401(c), shall include the salvage value or trade-in value of the mobile home, whichever is higher. Sec. 24.504 Replacement housing payment for 90-dav mobile home occupants. A displaced tenant or owner -occupant of a mobile home is eligible for a replacement housing payment, not to exceed $5,250, under Sec. 24.402 if: (a) The person actually occupied the displacement mobile home on the displacement site for at least 90 days immediately prior to the initiation of negotiations; (b) The person meets the other basic eligibilityrequirements at Sec. 24.402(a); and 54 03- 268 (c) The Agency acquires the mobile home and/or mobile home site, or the mobile home is not acquired by the Agency but the owner or tenant is displaced from the mobilehome because of one of the circumstances described at Sec. 24.503(a)(3). Sec. 24.505 Additional rules governing relocation pavments to mobile home occupants. (a) Replacement housing payment based on dwelling and site. Both the mobile home and mobile home site must be considered when computing a replacement housing payment. For example, a displaced mobile home occupant may have owned the displacement mobile home and rented the site or may have rented the displacement mobile home and owned the site. Also, a person may elect to purchase a replacement mobile home and rent a replacement site, or rent a replacement mobile home and purchase a replacement site. In such cases, the total replacement housing payment shall consist of a payment for a dwelling and a payment for a site, each computed under the applicable section in Subpart E. However, the total replacement housing payment under Subpart E shall not exceed the maximum payment (either $22,500 or $5,250) permitted under the section that governs the computation for the dwelling. (See also Sec. 24.403(b).) (b) Cost of comparable replacement dwelling. (1) If a comparable replacement mobile home is not available, the replacement housing payment shall be computed on the basis of the reasonable cost of a conventional comparable replacement dwelling. (2) If the Agency determines that it would be practical to relocate the mobile home, but the owner -occupant elects not to do so, the Agency may determine that, for purposes of computing the price differential under Sec. 24.401(c), the cost of a comparabl replacement dwelling is the sum of: (i) The value of the mobile home, (ii) The cost of any necessary repairs or modifications, and (iii) The estimated cost of moving the mobile home to a replacement site. (c) Initiation of negotiations. If the mobile home is not actually acquired, but the occupant is considered displaced under this part, the "initiation of negotiations" is the initiation of negotiations to acquire the land, or, if the land is not acquired, the written notification that he or she is a displaced person under this part. (d) Person moves mobile home. If the owner is reimbursed for the cost of moving the mobile home under this part, he or she is not eligible to receive a replacement housing payment to assist in purchasing or renting a replacement mobile home. The person may, however, be eligible for assistance in purchasing or renting a replacement site. 55 03- 268 (e) Partial acquisition of mobile home park. The acquisition of a portion of a mobile home park property may leave a remaining part of the property that is not adequate to continue the operation of the park. If the Agency determines that a mobile home located in the remaining part of the property must be moved as a direct result of the project, the owner and any tenant shall be considered a displaced person who is entitled to relocation payments and other assistance under this part. Subpart G - Certification Sec. 24.601 Purpose. 24.602 Certification application. 24.603 Monitoring and corrective action. Sec. 24.601 Purpose. This subpart permits a State agency to fulfill its responsibilities under the Uniform Act by certifying that it shall operate in accordance with State laws and regulations which shall accomplish the purpose and effect of the Uniform Act, in lieu of providing the assurances required by Sec. 24.4 of this part. Sec. 24.602 Certification application. An agency wishing to proceed on the basis of a certification may request an application for certification from the lead agency [Director, Office of Right -of -Way, HRW-1, Federal Highway Administration, 400 Seventh St. SW., Washington, DC 20590]. The completed application for certification must be approved by the governor of the State, or the governor's designee, and must be coordinated with the Federal funding agency, in accordance with application procedures. [58 FR 26070, April 30, 1993, (effective date June 1, 1993)] Sec. 24.603 Monitoring and corrective action. (a) The Federal lead agency shall, in coordination with other Federal agencies, monitor from time to time State agency implementation of programs or projects conducted under the certification process and the State agency shall make available any information required for this purpose. (b) The lead agency may require periodic information or data from affected Federal or state agencies. 56 03- 268 (c) A Federal agency may, after consultation with the lead agency, and notice to and consultation with the governor, or his or her designee, rescind any previous approval provided under this subpart if the certifying State agency fails to comply with its certification or with applicable State law and regulations. The Federal agency shall initiate consultation with the lead agency at least 30 days prior to any decision to rescind approval of a certification under this subpart. The lead agency will also inform other Federal agencies which have accepted a certification under this subpart from the same State agency, and will take whatever other action that may be appropriate. (d) Section 103(b)(2) of the Uniform Act, as amended, requires that the head of the lead agency report biennially to the Congress on State agency implementation of section 103. To enable adequate preparation of the prescribed biennial report, the lead agency may require periodic information or data from affected Federal or State agencies. Appendix A to Part 24 -Additional Information This appendix provides additional information to explain the intent of certain provisions of this part. Subpart A - General Section 24.2 Definitions Definition of comparable replacement dwelling. The requirement in Sec. 24.2 that a comparable replacement dwelling be "functionally equivalent" to the displacement dwelling means that it must perform the same function, provide the same utility, and be capable of contributing to a comparable style of living as the displacement dwelling. While it need not possess every feature of the displacement dwelling, the principal features must be present. For example, if the displacement dwelling contains a pantry and a similar dwelling is not available, a replacement dwelling with ample kitchen cupboards may be acceptable. Insulated and heated space in a garage might prove an adequate substitute for basement workshop space. A dining area may substitute for a separate dining room. Under some circumstances, attic space could substitute for basement space for storage purposes, and vice versa. Only in unusual circumstances may a comparable replacement dwelling contain fewer rooms or, consequentially, less living space than the displacement dwelling. Such may be the case when a decent, safe, and sanitary replacement dwelling (which by definition is "adequate to accommodate" the displaced person) may be found to be "functionally equivalent" to a larger but very run-down substandard displacement dwelling. 57 03- 268 Paragraph (7) in the definition of comparable replacement dwelling requires that a comparable replacement dwelling for a person who is not receiving assistance under any government housing program before displacement must be currently available on the private market without any subsidy under a government housing program. A public housing unit may qualify as a comparable replacement dwelling only for a person displaced from a public housing unit; a privately -owned dwelling with a housing program subsidy tied to the unit may qualify as a comparable replacement dwelling only for a person displaced from a similarly subsidized unit or public housing; a housing program subsidy to a person (not tied to the building), such as a HUD Section 8 Existing Housing Program Certificate or a Housing Voucher, may be reflected in an offer of a comparable replacement dwelling to a person receiving a similar subsidy or occupying a privately -owned subsidized unit or public housing unit before displacement. However, nothing in this part prohibits an Agency from offering, or precludes a person from accepting, assistance under a government housing program, even if the person did not receive similar assistance before displacement. However, the Agency is obligated to inform the person of his or her options under this part. (If a person accepts assistance under a government housing program, the rental assistance payment under Sec. 24.402 would be computed on the basis of the person's actual out-of-pocket cost for the replacement housing.) Persons not displaced. Paragraph (2)(iv) under this definition recognizes that there are circumstances where the acquisition of real property takes place without the intent or necessity that an occupant of the property be permanently displaced. Because such occupants are not considered "displaced persons" under this part, great care must be exercised to ensure that they are treated fairly and equitably. For example, if the tenant -occupant of a dwelling will not be displaced, but is required to relocate temporarily in connection with the project, the temporarily -occupied housing must be decent, safe, and sanitary and the tenant must be reimbursed for all reasonable out-of-pocket expenses incurred in connection with the temporary relocation, including moving expenses and increased housing costs during the temporary relocation. It is also noted that any person who disagrees with the Agency's determination that he or she is not a displaced person under this part may file an appeal in accordance with Sec. 24.10. Initiation of negotiations. This section of the part; provides a special definition for acquisitions and displacements under Pub. L. 96-510 or Superfund. These activities differ under Superfund in that relocation may precede acquisition, the reverse of the normal sequence. Superfund is a program designed to clean up hazardous waste sites. When such a site is discovered, it may be necessary, in certain limited circumstances, to alert the public to the danger and to the advisability of moving immediately. If a decision is made later to permanently relocate such persons, those who had moved earlier would no longer be on site when a formal, written offer to acquire the property was made and thus would lose their eligibility for a replacement housing payment. In order to prevent this unfair outcome, we have provided a definition which is based on the public health advisory or announcement of permanent relocation. M 03- 268 Section 24.3 No Duplication of Payments This section prohibits an Agency from making a payment to a person under these regulations that would duplicate another payment the person receives under Federal, State, or local law. The Agency is not required to conduct an exhaustive search for such other payments; it is only required to avoid creating a duplication based on the Agency's knowledge at the time a payment under these regulations is computed. Section 24.9 Recordkeeping and Reports Section 24.9(c) Reports. This paragraph allows Federal agencies to require the submission of a report on activities under the Uniform Act no more frequently than once every three years. The report, if required, will cover activities during the Federal fiscal year immediately prior to the submission date. In order to minimize the administrative burden on Agencies implementing this part, a basic report form (see Appendix B of this part) has been developed which, with only minor modifications, would be used in all Federal and federally -assisted programs or projects. Subpart B - Real Property Acquisition Section 24.101 Applicability of Acquisition Requirements Section 24.101(b) Less -than -full -fee interest in real property. This provision provides a benchmark beyond which the requirements of the subpart clearly apply to leases. However, the Agency may apply the regulations to any less -than -full -fee acquisition which is short of 50 years but which in its judgment should be covered. Section 24.102 Basic Acquisition Policies Section 24.102(d) Establishment of offer of just compensation. The initial offer to the property owner may not be less than the amount of the Agency's approved appraisal, but may exceed that amount if the Agency determines that a greater amount reflects just compensation for the property. Section 24.102(f) Basic negotiation procedures. It is intended that an offer to an owner be adequately presented, and that the owner be properly informed. Personal, face-to-face contact should take place, if feasible, but this section is not intended to require such contact in all cases. Section 24.102(1) Administrative settlement. This section provides guidance on administrative settlement as an alternative to judicial resolution of a difference of opinion on the value of a property, in order to avoid unnecessary litigation and congestion in the courts. All relevant facts and circumstances should be considered by an Agency official delegated this authority. Appraisers, including reviewing appraisers, must not be pressured to adjust their estimate of value for the purpose of justifying such settlements. Such action would invalidate the appraisal process. 59 03- 268 Section 24.1020) Payment before taking possession. It is intended that a right -of -entry for construction purposes be obtained only in the exceptional case, such as an emergency project, when there is no time to make an appraisal and purchase offer and the property owner is agreeable to the process. Section 24.102(m) Fair rental. Section 301(6) of the Uniform Act limits what an Agency may charge when a former owner or previous occupant of a property is permitted to rent the property for a short term or when occupancy is subject to termination by the Agency on short notice. Such rent may not exceed "the fair rental value * * * to a short-term occupier." Generally, the Agency's right to terminate occupancy on short notice (whether or not the renter also has that right) supports the establishment of a lesser rental than might be found in a longer, fixed -term situation. Section 24.103 Criteria for Appraisals Section 24.103(a) Standards of appraisal. In paragraph (a)(3) of this section, it is intended that all relevant and reliable approaches to value be utilized. However, where an Agency determines that the market approach will be adequate by itself because of the type of property being appraised and the availability of sales data, it may limit the appraisal assignment to the market approach. Section 24.103(b) Influence of the project on just compensation. As used in this section, the term "project" is intended to mean an undertaking which is planned, designed, and intended to operate as a unit. Because of the public knowledge of the proposed project, property values may be affected. A property owner should not be penalized because of a decrease in value caused by the proposed project nor reap a windfall at public expense because of increased value created by the proposed project. Section 24.103(e) Conflict of interest. The overall objective is to minimize the risk of fraud and mismanagement and to promote public confidence in Federal and federally -assisted land acquisition practices. Recognizing that the costs may outweigh the benefits in some circumstances, Sec. 24.103(e) provides that the same person may both appraise and negotiate an acquisition, if the value is $2,500 or less. However, it should be noted that all appraisals must be reviewed in accordance with Sec. 24.104. This includes appraisals of real property valued at $2,500, or less. Section 24.104 Review of appraisals This section recognizes that Agencies differ in the authority delegated to the review appraiser. In some cases the reviewer establishes the amount of the offer to the owner and in other cases the reviewer makes a recommendation which is acted on at a higher level. It is also within Agency discretion to decide whether a second review is needed if the first review appraiser establishes a value different from that in the appraisal report or reports on a property. 6u 03- 268 Before acceptance of an appraisal, the review appraiser must determine that the appraiser's documentation, including valuation data and the analyses of that data, demonstrates the soundness of the appraiser's opinion of value. The qualifications of the review appraiser and the level of explanation of the basis for the reviewer's recommended or approved value depend on the complexity of the appraisal problem. For a low value property requiring an uncomplicated valuation process, the reviewer's approval, endorsing the appraiser's report, may satisfy the requirement for the reviewer's statement. Section 24.106 Expenses Incidental to Transfer of Title to the Agency Generally, the Agency is able to pay such incidental costs directly and, where feasible, is required to do so. In order to prevent the property owner from making unnecessary out-of-pocket expenditures and to avoid duplication of expenses, the property owner should be informed early in the acquisition process of the Agency's intent to make such arrangements. In addition, it is emphasized that such expenses must be reasonable and necessary. Subpart C - General Relocation Requirements Section 24.204 Availability of Comparable Replacement Dwelling Before Displacement Section 24.204 (a) General. This provision requires that no one may be required to move from a dwelling without one comparable replacement dwelling having been made available. In addition, Sec. 24.204(a) requires that, "Where possible, three or more comparable replacement dwellings shall be made available." Thus the basic standard for the number of referrals required under this section is three. Only in situations where three comparable replacement dwellings are not available (e.g., when the local housing market does not contain three comparable dwellings) may the Agency make fewer than three referrals. Section 24.205 Relocation Assistance Advisory Services Section 24.205(c)(2)(ii)(C) is intended to emphasize that if the comparable replacement dwellings are located in areas of minority concentration, minority persons should, if possible, also be given opportunities to relocate to replacement dwellings not located in such areas. Section 24.207 General Requirements -Claims for Relocation Pavments Section 24.207(a) allows an Agency to make a payment for low cost or uncomplicated moves without additional documentation, as long as the payment is limited to the amount of the lowest acceptable bid or estimate, as provided for in Sec. 24.303(c). 61 03- 268 Subpart D - Payment for Moving and Related Expenses Section 24.306 Fixed Payment for Moving Expenses -Nonresidential Moves Section 24.306(d) Nonprofit organizations. Gross revenues may include membership fees, class fees, cash donations, tithes, receipts from sales or other forms of fund collection that enables the non-profit organization to operate. Administrative expenses are those for administrative support such as rent, utilities, salaries, advertising and other like items as well as fund-raising expenses. Operating expenses for carrying out the purposes of the non-profit organization are not included in administrative expenses. The monetary receipts and expense amounts may be verified with certified financial statements or financial documents required by public agencies. Section 24.307 Discretionary Utility Relocation Payments Section 24.307(c) describes the issues which must be agreed to between the displacing agency and the utility facility owner in determining the amount of the relocation payment. To facilitate and aid in reaching such agreement, the practices in the Federal Highway Administration regulation, 23 CFR 645, Subpart A, Utility Relocations, Adjustments and Reimbursement, should be followed. Subpart E - Replacement Housing Payments Section 24.401 Replacement Housing Pavment for 180-Dav Homeowner -Occupants Section 24.401(a)(2). The provision for extending eligibility for a replacement housing payment beyond the one year period for good cause means that an extension may be granted if some event beyond the control of the displaced person such as acute or life threatening illness, bad weather preventing the completion of construction of a replacement dwelling or other like circumstances should cause delays in occupying a decent, safe, and sanitary replacement dwelling. Section 24.401(c) Price differential. The provision in Sec. 24.401(c)(4)(iii) to use the current fair market value for residential use does not mean the Agency must have the property appraised. Any reasonable method for arriving at the fair market value may be used. Section 24.401(d) Increased mortgage interest costs. The provision in Sec. 24.401(d) set forth the factors to be used in computing the payment that will be required to reduce a person's replacement mortgage (added to the downpayment) to an amount which can be amortized at the same monthly payment for principal and interest over the same period of time as the remaining term on the displacement mortgages. This payment is commonly known as the "buydown." 62 43.-- 268 The remaining principal balance, the interest rate, and monthly principal and interest payments for the old mortgage as well as the interest rate, points and term for the new mortgage must be known to compute the increased mortgage interest costs. If the combination of interest and points for the new mortgage exceeds the current prevailing fixed interest rate and points for conventional mortgages and there is no justification for the excessive rate, then the current prevailing fixed interest rate and points shall be used in the computations. Justification may be the unavailability of the current prevailing rate due to the amount of the new mortgage, credit difficulties, or other similar reasons. 63 03- 268 SAMPLE COMPUTATION Old Mortgage: Remaining Principal Balance $50,000 Monthly Payment (principal and interest) 458.22 Interest rate (percent) 7% New Mortgage: Interest rate (percent) 10% Points 3 Term (years) 15 Remaining term of the old mortgage is determined to be 174 months. (Determining, or computing, the actual remaining term is more reliable than using the data supplied by the mortgagee). However, if it is shorter, use the term of the new mortgage and compute the needed monthly payment. Amount to be financed to maintain monthly payments of $458.22 at 10% - $42,010.18 $50,000.00 -42.010.18 Increased mortgage interest costs $ 7,989.82 3 points on $42,010.18 1,260.31 Total buydown necessary to maintain payments at $458.22 $ 9250.13 If the new mortgage actually obtained is less than the computed amount for a new mortgage ($42,010.18), the buydown shall be prorated accordingly. If the actual mortgage obtained in our example were $35,000, the buydown payment would be $7,706.57($35,000 by $42,010.18 = .8331; $9,250.13 X .83 = $7,706.57). The Agency is obligated to inform the person of the approximate amount of this payment and that he or she must obtain a mortgage of at least the same amount as the old mortgage and for at least the same term in order to receive the full amount of this payment. The displacee is also to be advised of the interest rate and points used to calculate the payment. Section 24.402 Replacement Housing Pavment for 90-Dav Occupants The downpayment assistance provisions in Sec. 24.402(c) are intended to limit such assistance to the amount of the computed rental assistance payment for a tenant or an eligible homeowner. It does, however, provide the latitude for Agency discretion in offering downpayment assistance which exceeds the computed rental assistance payment, up to the $5,250 statutory maximum. This does not mean, however, that such Agency discretion may be exercised in a selective or discriminatory fashion. The displacing agency should develop a policy which affords equal treatment for persons in like circumstances and this policy should be applied uniformly throughout the Agency's programs or projects. It is recommended that displacing agencies coordinate with each other to reach a consensus on a uniform procedure for the State and/or the local jurisdiction. 64 03- 268 For purposes of this section, the term downpayment means the downpayment ordinarily required to obtain conventional loan financing for the decent, safe, and sanitary dwelling actually purchased and occupied. However, if the downpayment actually required of a displaced person for the purchase of the replacement dwelling exceeds the amount ordinarily required, the amount of the downpayment may be the amount which the Agency determines is necessary. Section 24.403 Additional Rules Governing Replacement Housing Pavments Section 24.403(a)(1). The procedure for adjusting the asking price of comparable replacement dwellings requires that the agency provide advisory assistance to the displaced person concerning negotiations so that he or she may enter the market as a knowledgeable buyer. If a displaced person elects to buy one of the selected comparables, but cannot acquire the property for the adjusted price, it is appropriate to increase the replacement housing payment to the actual purchase amount. Section 24.404 Replacement housing of last resort. Section 24.404(b) Basic rights of persons to be displaced. This paragraph affirms the right of a 180 -day homeowner -occupant, who is eligible for a replacement housing payment under § 24.401, to a reasonable opportunity to purchase a comparable replacement dwelling. However, it should be read in conjunction with the definition of "owner of a dwelling" at § 24.2(p). The Agency is not required to provide persons owning only a fractional interest in the displacement dwelling a greater level of assistance to purchase a replacement dwelling than the Agency would be required to provide such persons if they owned fee simple title to the displacement dwelling. If such assistance is not sufficient to buy a replacement dwelling, the Agency may provide additional purchase assistance or rental assistance. Section 24.404(c) Methods of providing comparable replacement housing. The use of cost effective means of providing comparable replacement housing is implied throughout the subpart. The term "reasonable cost" is used here to underline the fact that while innovative means to provide housing are encouraged, they should be cost effective. Section 24.404(c)(2) permits the use of last resort housing, in special cases, which may involve variations from the usual methods of obtaining comparability. However, it should be specially noted that such variation should never result in a lowering of housing standards nor should it ever result in a lower quality of living style for the displaced person. The physical characteristics of the comparable replacement dwelling may be dissimilar to those of the displacement dwelling but they may never be inferior. One example might be the use of a new mobile home to replace a very substandard conventional dwelling in an area where comparable conventional dwellings are not available. E 03- 268 Another example could be the use of a superior, but smaller decent, safe and sanitary dwelling to replace a large, old substandard dwelling, only a portion of which is being used as living quarters by the occupants and no other large comparable dwellings are available in the area. Subpart F - Mobile Homes Section 24.503 Replacement Housing Payment for 180-Dav Mobile Homeowner -Occupants A 180 -day owner -occupant who is displaced from a mobile home on a rented site may be eligible for a replacement housing payment for a dwelling computed under Sec. 24.401 and a replacement housing payment for a site computed under Sec. 24. 402. A 180 -day owner -occupant of both the mobile home and the site, who relocates the mobile home, may be eligible for a replacement housing payment under Sec. 24.401 to assist in the purchase of a replacement site or, under Sec. 24.402, to assist in renting a replacement site. 66 03- 268 State Uniform Relocation Assistance and Real Property Acquisition Policies Act, Residential Moving Expense and Dislocation Allowance Payment Schedule Occupant owns furniture (1) and (2) Number of rooms of furniture 2 1 3 1 4 1 5 1 6 1 7 8 Revised: 1/12197 Occupant does not E ch own furniture (3) a add. First Each add. Room room I Room Alabama 250 400 550 650 1 750 1 850 1 950 I 1050 1 100 1 225 1 40 Alaska 525 750 975 1200 1400 1575 1750 1925 150 350 50 American Samoa 250 350 450 550 625 700 775 850 75 200 25 Arizona 500 600 700 800 900 1000 1100 1200 100 300 50 Arkansas 250 350 450 550 625 700 775 850 75 200 25 California 500 650 800 950 1150 1350 1550 1750 175 325 50 Colorado 250 400 550 650 750 850 950 1050 100 225 35 Connecticut 250 400 550 650 750 850 950 1050 100 225 35 Delaware 250 400 550 650 750 850 950 1050 100 225 35 0C 250 400 550 650 750 850 950 1050 100 225 35 Florida 450 600 775 950 1075 1200 1325 1450 125 300 50 Georaia 450 650 850 1000 1200 1350 1500 1600 125 250 35 Guam 250 350 450 550 625 700 775 850 75 200 25 Hawaii 400 550 750 900 1000 1150 1300 1400 100 300 50 Idaho 250 350 450 550 625 700 775 850 75 200 25 Illinois 250 400 550 650 750 850 950 1050 100 225 35 Indiana 250 400 550 650 750 850 950 1050 100 225 35 Iowa 300 450 550 650 750 850 950 1050 100 250 25 Kansas 250 400 550 650 750 850 950 1050 100 225 35 Kentuckv 400 550 700 850 1000 1150 1300 1450 150 300 50 Louisiana 250 350 450 550 625 700 775 850 75 200 25 Maine 350 450 550 650 725 800 875 950 75 200 25 Marvland 350 500 650 800 925 1050 1175 1300 100 225 35 Massachusetts 250 400 550 650 750 850 950 1050 100 225 35 Michiaan 300 475 650 700 825 925 1050 1150 100 275 40 Minnesota 250 400 550 650 750 850 950 1050 100 225 35 Mississippi 400 500 600 700 800 900 1000 1100 100 300 50 Missouri 300 400 500 600 700 800 900 1000 100 200 25 Montana 325 450 575 725 825 900 1000 1100 100 250 35 Nebraska 300 420 540 660 750 840 930 1020 90 240 30 Nevada 360 540 720 900 1080 1260 1440 1620 180 300 60 New Hampshire 250 350 450 550 625 700 775 850 75 200 25 New Jersev 250 400 550 650 750 850 950 1050 100 225 35 New Mexico 250 400 550 650 750 850 950 1050 100 225 35 New York 350 500 650 750 850 950 1050 1150 100 300 100 North Carolina 250 400 550 650 750 850 950 1050 100 225 35 North Dakota 300 425 550 650 750 850 925 1025 100 250 35 N. Mariana Is. 250 350 450 550 625 700 775 850 75 200 25 Ohio 250 400 550 650 750 850 950 1050 100 225 35 Oklahoma 350 500 650 800 925 1050 1175 1300 100 250 35 Oregon 300 500 700 825 950 1075 1200 1325 125 275 40 Pennsvlvania 250 400 550 650 750 850 950 1050 100 225 35 Puerto Rico 250 350 450 550 625 700 775 850 75 200 25 Rhode Island 400 500 600 700 800 900 1000 1100 100 300 25 South Carolina 500 575 775 900 1075 1225 1350 1500 150 350 50 South Dakota 350 500 650 800 900 1000 1100 1200 100 300 40 Tennessee 250 350 450 550 625 700 775 850 75 200 25 Texas 250 350 450 550 625 700 775 850 75 200 25 Utah 250 350 450 550 625 700 775 850 75 200 25 Vermont 250 350 450 550 625 700 775 850 75 200 25 Virain Islands 250 350 450 550 625 700 775 850 75 200 25 Viroinia 300 500 600 700 800 900 1000 1100 100 225 35 W ashinaton 450 600 750 900 1050 1200 1350 1500 150 300 50 West Viroinia 250 400 550 650 750 850 950 1050 100 225 35 Wisconsin 350 500 650 750 850 950 1050 1150 125 325 60 Wyoming 250 350 450 550 625 700 775 850 75 200 25 xcept ons. See supplementary information. (1) Person whose residential move is performed by agency, S50. (2) Move of a mobile home from site, actual cost: reasonable amount may be added for packing and securing personal property for the move at agency discretion (3) Occupant of dormitory, $50. 67 03- 268 'Public Law 91-646 91st Congress, S. 1 January 2, 1971 ('As amended by Public Law 100-17, Apr. 2, 1987, Title IV, Uniform Relocation Act Amendments of 1987.) ('As amended by Public Law 102-240, Dec. 18, 1991, Sec. 1055, Relocation Assistance Regulations Relating to the Rural Electrification Administration.) (`As amended by Public Law 105-117, Nov 21, 1997, Sec.104; Sec 2, an Alien not lawfully present in the United States) Office of Real Estate Services Federal Highway Administration AN ACT To provide for uniform and equitable treatment of persons displaced from their homes, businesses, or farms by Federal and federally assisted programs and to establish uniform and equitable land acquisition policies for Federal and federally assisted programs. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970". TITLE I --GENERAL PROVISIONS SEC. 101. As used in this Act -- (1) The term "Federal agency" means any department, agency, or instrumentality in the executive branch of the Government, any wholly owned Government corporation, the Architect of the Capitol, the Federal Reserve banks and branches thereof, and any person who has the authority to acquire property by eminent domain under Federal law. (2) The term "State" means any of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, any territory or possession of the United States, the Trust Territory of the Pacific Islands, and any political subdivision thereof. (3) The term "State agency" means any department, agency, or instrumentality of a State or of a political subdivision of a State, any department, agency, or instrumentality of two or more States or of two or more political subdivisions of a State or 'Original text appears in regular typeface. "Amended text is displayed in boldface. 3Amended text is in section 213(c) in regular typeface. `Amended text is in sections 104 & 2 in bold italics. 68 States, and any po-,_son who has the authority acquire property by eminent domain under State law. (4) The term "Federal financial assistance" means a grant, loan, or contribution provided by the United States, except any Federal guarantee or insurance, any interest reduction payment to an individual in connection with the purchase and occupancy of a residence by that individual, and any annual payment or capital loan to the District of Columbia. (5) The term "person" means any individual, partnership, corporation, or association. (6)(A) The term "displaced person" means, except as provided in subparagraph (B) -- (i) any person who moves from real property, or moves his personal property from real property - (I) as a direct result of a written notice of intent to acquire or the acquisition of such real property in whole or in part for a program or project undertaken by a Federal agency or with Federal financial assistance; or (II) on which such person is a residential tenant or conducts a small business, a farm operation, or a business defined in section 101(7)(D), as a direct result of rehabilitation, demolition, or such other displacing activity as the lead agency may prescribe, under a program or project undertaken by a Federal agency or with Federal financial assistance in any case in which the head of the displacing agency determines that such displacement is permanent; and (ii) solely for the purposes of sections 202(a)and (b) and 205 of this title, any person who moves from real property, or moves his personal property from real property -- (I) as a direct result of a written notice of intent to acquire or the acquisition of other real property, in whole or in part, on which such person conducts a business or farm operation, for a program or project undertaken by a Federal agency or with Federal financial assistance; or (II) as a direct result of rehabilitation, demolition, or such other displacing activity as the lead agency may prescribe, of other real property on which such person conducts a business or a farm operation, under a program or project undertaken by a Federal agency or with Federal financial assistance where the head of the displacing agency determines that such displacement is permanent. (B) The term "displaced person" does not include - (i) a person who has been determined, according to criteria established by the head of the lead agency, to be either in unlawful occupancy of the displacement dwelling or to have occupied such dwelling for the purpose of obtaining assistance under this Act; 69 03- 268 (ii, in any case in which the aplacing agency acquires property for a program or project, any person (other than a person who was an occupant of such property at the time it was acquired) who occupies such property on a rental basis for a short term or a period subject to termination when the property is needed for the program or project. (7)The term "business" means any lawful activity, excepting a farm operation, conducted primarily -- (A) for the purchase, sale, lease and rental of personal and real property, and for the manufacture, processing, or marketing of products, commodities, or any other personal property; (B) for the sale of services to the public; (C) by a nonprofit organization; or (D) solely for the purposes of section 202 of this title, for assisting in the purchase, sale, resale, manufacture, processing, or marketing of products, commodities, personal property, or services by the erection and maintenance of an outdoor advertising display or displays, whether or not such display or displays are located on the premises on which any of the above activities are conducted. (8) The term "farm operation" means any activity conducted solely or primarily for the production of one or more agricultural products or commodities, including timber, for sale or home use, and customarily producing such products or commodities in sufficient quantity to be capable of contributing materially to the operator's support. (9) The term "mortgage" means such classes of liens as are commonly given to secure advances on, or the unpaid purchase price of, real property, under the laws of the State in which the real property is located, together with the credit instruments, if any, secured thereby. (10) The term "comparable replacement dwelling" means any dwelling that is (A) decent, safe, and sanitary; (B) adequate in size to accommodate the occupants; (C) within the financial means of the displaced person; (D) functionally equivalent; (E) in an area not subject to unreasonable adverse environmental conditions; and (F) in a location generally not less desirable than the location of the displaced person's dwelling with respect to public utilities, facilities, services, and the displaced person's place of employment. (11) The term "displacing agency" means any Federal agency carrying out a program or project, and any State, State agency, or person carr -ling out a program or project with Federal financial assistance, which causes a person to be a displaced person. (12) The term "lead agency" means the Department of Transportation. (13) The term "appraisal" means a written statement independently and impartially prepared by a qualified appraiser setting forth an opinion of defined value of an adequately described property as of a specific date, supported by the presentation and analysis of relevant market information. 70 03- 268 E_ -CT UPON PROPERTY ACQUISI )N SEC. 102. (a) The provisions of section Act create no rights or liabilities and validity of any property acquisitions by condemnation. (b) Nothing in this Act shall in any condemnation proceedings brought eminent domain, any element of value or existence immediately prior to the date CERTIFICATION 301 of title III of this shall not affect the purchase or be construed as creating under the power of of damage not in of enactment of this Act. SEC. 103. (a) Notwithstanding sections 210 and 305 of this Act, the head of a Federal agency may discharge any of his responsibilities under this Act by accepting a certification by a State agency that it will carry out such responsibility, if the head of the lead agency determines that such responsibility will be carried out in accordance with State laws which will accomplish the purpose and effect of this Act. (b) (1) The head of the lead agency shall issue regulations to carry out this section. (2) The head of the lead agency shall, in coordination with other Federal agencies, monitor from time to time, and report biennially to the Congress on, State agency implementation of this section. A State agency shall make available any information required for such purpose. (3) Before making a determination regarding any State law under subsection (a) of this section, the head of the lead agency shall provide interested parties with an opportunity for public review and comment. In particular, the head of the lead agency shall consult with interested local general purpose governments within the State on the effects of such State law on the ability of local governments to carry out their responsibilities under this Act. (c) (1) The head of a Federal agency may withhold his approval of any Federal financial assistance to or contract or cooperative agreement with any displacing agency found by the Federal agency to have failed to comply with the laws described in subsection (a) of this section. (2) After consultation with the head of the lead agency, the head of a Federal agency may rescind his acceptance of any certification under this section, in whole or in part, if the State agency fails to comply with such certification or with State law. DISPLACED PERSONS NOT ELIGIBLE FOR ASSISTANCE SEC. 104. (a) IN GENERAL- Except as provided in subsection (c), a displaced person shall not be eligible to receive relocation payments or any other assistance under this Act if the displaced person is an alien not lawfully present in the United States. 71 03- 268 (b) DET.. 1INATIONS OF ELIGIBILITY (1) PROMULGATION OF REGULATIONS- Not later than 1 year after the date of enactment of this section, after providing notice and an opportunity for public comment, the head of the lead agency shall promulgate regulations to carry out subsection (a). (2) CONTENTS OF REGULATIONS- Regulations promulgated under paragraph (1) shall (A) prescribe the processes, procedures, and information that a displacing agency must use in determining whether a displaced person is an alien not lawfully present in the United States; (B) prohibit a displacing agency from discriminating against any displaced person; (C)ensure that each eligibility determination is fair and based on reliable information; and (D) prescribe standards for a displacing agency to apply in making determinations relating to exceptional and extremely unusual hardship under subsection (c). (c) EXCEPTIONAL AND EXTREMELY UNUSUAL HARDSHIP- If a displacing agency determines by clear and convincing evidence that a determination of the ineligibility of a displaced person under subsection (a) would result in exceptional and extremely unusual hardship to an individual who is the displaced person's spouse, parent, or child and who is a citizen of the United States or an alien lawfully admitted for permanent residence in the United States, the displacing agency shall provide relocation payments and other assistance to the displaced person under this Act if the displaced person would be eligible for the assistance but for subsection (a). (d) LIMITATION ON STATUTORY CONSTRUCTION. Nothing in this section affects any right available to a displaced person under any other provision of Federal or State law.. TITLE II --UNIFORM RELOCATION ASSISTANCE DECLARATION OF FINDINGS AND POLICY SEC. 201. (a) The Congress finds and declares that -- (1) displacement as a direct result of programs or projects undertaken by a Federal agency or with Federal financial assistance is caused by a number of activities, including rehabilitation, demolition, code enforcement, and acquisition; (2) relocation assistance policies must provide for fair, uniform, and equitable treatment of all affected persons; (3) the displacement of businesses often results in their closure; (4) minimizing the adverse impact of displacement is essential to maintaining the economic and social well- being of communities; and 72 03- 268 (5, _mplementation of this Act .as resulted in burdensome, inefficient, and inconsistent compliance requirements and procedures which will be improved by establishing a lead agency and allowing for State certification and implementation. (b) This title establishes a uniform policy for the fair and equitable treatment of persons displaced as a direct result of programs or projects undertaken by a Federal agency or with Federal financial assistance. The primary purpose of this title is to ensure that such persons shall not suffer disproportionate injuries as a result of programs and projects designed for the benefit of the public as a whole and to minimize the hardship of displacement on such persons. (c) It is the intent of Congress that -- (1) Federal agencies shall carry out this title in a manner which minimizes waste, fraud, and mismanagement and reduces unnecessary administrative costs born by States and State agencies in providing relocation assistance; (2) uniform procedures for the administration of relocation assistance shall, to the maximum extent feasible, assure that the unique circumstances of any displaced person are taken into account and that persons in essentially similar circumstances are accorded equal treatment under this Act; (3) the improvement of housing conditions of economically disadvantaged persons under this title shall be undertaken, to the maximum extent feasible, in coordination with existing Federal, State, and local governmental programs for accomplishing such goals; and (4) the policies and procedures of this Act will be administered in a manner which is consistent with fair housing requirements and which assures all persons their rights under title VIII of the Act of April 11, 1968 (P.L. 90-284), commonly known as the Civil Rights Act of 1968, and title VI of the Civil Rights Act of 1964. MOVING AND RELATED EXPENSES. SEC. 202. (a) Whenever a program or project to be undertaken by a displacing agency will result in the displacement of any person, the head of the displacing agency shall provide for the payment to the displaced person of -- (1) actual reasonable expenses in moving himself, his family, business, farm operation, or other personal property; (2) actual direct losses of tangible personal property as a result of moving or discontinuing a business or farm operation, but not to exceed an amount equal to the reasonable expenses that would have been required to relocate such property, as determined by the head of the agency; (3) actual reasonable expenses in searching for a replacement business or farm; and (4) actual reasonable expenses necessary to reestablish a displaced farm, nonprofit organization, or small business at its new site, but not to exceed $10,000. 73 03- 268 (b) Any _splaced person eligible f payments under subsection (a)of this section who is displaced from a dwelling and who elects to accept the payments authorized by this subsection in lieu of the payments authorized by subsection (a) of this section may receive an expense and dislocation allowance, which shall be determined according to a schedule established by the head of the lead agency. (c) Any displaced person eligible for payments under subsection (a) of this section who is displaced from the person's place of business or farm operation and who is eligible under criteria established by the head of the lead agency may elect to accept the payment authorized by this subsection in lieu of the payment authorized by subsection (a) of this section. Such payment shall consist of a fixed payment in an amount to be determined according to criteria established by the head of the lead agency, except that such payment shall not be less than $1,000 nor more than $20,000. A person whose sole business at the displacement dwelling is the rental of such property to others shall not qualify for a payment under this subsection. (d) (1) Except as otherwise provided by Federal law -- (A) if a program or project (i) which is undertaken by a displacing agency, and (ii) the purpose of which is not to relocate or reconstruct any utility facility, results in the relocation of a utility facility; (B) if the owner of the utility facility which is being relocated under such program or project has entered into, with the State or local government on whose property, easement, or right-of-way such facility is located, a franchise or similar agreement with respect to the use of such property, easement, or right-of-way; and (C) if the relocation of such facility results in such owner incurring an extraordinary cost in connection with such relocation; the displacing agency may, in accordance with such regulations as the head of the lead agency may issue, provide to such owner a relocation payment which may not exceed the amount of such extraordinary cost (less any increase in the value of the new utility facility above the value of the old utility facility and less any salvage value derived from the old utility facility). (2) For purposes of this subsection, the term -- (A) "extraordinary cost in connection with a relocation" means any cost incurred by the owner of a utility facility in connection with relocation of such facility which is determined by the head of the displacing agency, under such regulations as the head of the lead agency shall issue -- (i) to be a non -routine relocation expense; (ii) to be a cost such owner ordinarily does not include in its annual budget as an expense of operation; and 74 03- 268 (iii) to meet such o er requirements as the lead agency may prescribe in such regulations; and (B) "utility facility" means (i) any electric, gas, water, steam power, or materials transmission or distribution system; (ii) any transportation system; (iii) any communications system (including cable television); and (iv) any fixtures, equipment, or other property associated with the operation, maintenance, or repair of any such system; located on property which is owned by a State or local government or over which a State or local government has an easement or right-of-way. A utility facility may be publicly, privately, or cooperatively owned. REPLACEMENT HOUSING FOR HOMEOWNER SEC. 203. (a) (1) In addition to payments otherwise authorized by this title, the head of the displacing agency shall make an additional payment not in excess of $22,500 to any displaced person who is displaced from a dwelling actually owned and occupied by such displaced person for not less than one hundred and eighty days prior to the initiation of negotiations for the acquisition of the property. Such additional payment shall include the following elements: (A) The amount, if any, which when added to the acquisition cost of the dwelling acquired by the displacing agency, equals the reasonable cost of a comparable replacement dwelling. (B) The amount, if any, which will compensate such displaced person for any increased interest costs and other debt service costs which such person is required to pay for financing the acquisition of any such comparable replacement dwelling. Such amount shall be paid only if the dwelling acquired by the displacing agency was encumbered by a bona fide mortgage which was a valid lien on such dwelling for not less than 180 days immediately prior to the initiation of negotiations for the acquisition of such dwelling. (C) Reasonable expenses incurred by such displaced person for evidence of title, recording fees, and other closing costs incident to the purchase of the replacement dwelling, but not including prepaid expenses. 75 03- 268 (2) +he additional payment aut_.rized by this section shall be made only to a displaced person who purchases and occupies a decent, safe, and sanitary replacement dwelling within one year after the date on which such person receives final payment from the displacing agency for the acquired dwelling or the date on which the displacing agency's obligation under section 205(c)(3) of this Act is met, whichever is later, except that the displacing agency may extend such period for good cause. If such period is extended, the payment under this section shall be based on the costs of relocating the person to a comparable replacement dwelling within one year of such date. (b) The head of any Federal agency may, upon application by a mortgagee, insure any mortgage (including advances during construction) on a comparable replacement dwelling executed by a displaced person assisted under this section, which mortgage is eligible for insurance under any Federal law administered by such agency notwithstanding any requirements under such law relating to age, physical condition, or other personal characteristics of eligible mortgagors, and may make commitments for the insurance of such mortgage prior to the date of execution of the mortgage. REPLACEMENT HOUSING FOR TENANTS AND CERTAIN OTHERS SEC. 204 (a) In addition to amounts otherwise authorized by this title, the head of a displacing agency shall make a payment to or for any displaced person displaced from any dwelling not eligible to receive a payment under section 203 which dwelling was actually and lawfully occupied by such displaced person for not less than ninety days immediately prior to (1) the initiation of negotiations for acquisition of such dwelling, or (2) in any case in which displacement is not a direct result of acquisition, such other event as the head of the lead agency shall prescribe. Such payment shall consist of the amount necessary to enable such person to lease or rent for a period not to exceed 42 months, a comparable replacement dwelling, but not to exceed $5,250. At the discretion of the head of the displacing agency, a payment under this subsection may be made in periodic installments. Computation of a payment under this subsection to a low-income displaced person for a comparable replacement dwelling shall take into account such person's income. (b) Any person eligible for a payment under subsection (a) of this section may elect to apply such payment to a down payment on, and other incidental expenses pursuant to, the purchase of a decent, safe, and sanitary replacement dwelling. Any such person may, at the discretion of the head of the displacing agency, be eligible under this subsection for the maximum payment allowed under subsection (a), except that, in the case of a displaced homeowner who has owned and occupied the displacement dwelling for at least 90 days but not more than 180 days immediately prior to the initiation of negotiations for the acquisition of such dwelling, such payment shall not exceed the payment such person would otherwise have received under section 203(a) of this Act had the person owned and occupied the displacement dwelling 180 days immediately prior to the initiation of such negotiations. 76 03- 268 RELOCATION PLA1 _NG, ASSISTANCE COORDINAT! AND ADVISORY SERVICES SEC.205 (a) Programs or projects undertaken by a Federal agency or with Federal financial assistance shall be planned in a manner that (1) recognizes, at an early stage in the planning of such programs or projects and before the commencement of any actions which will cause displacements, the problems associated with the displacement of individuals, families, businesses, and farm operations, and (2) provides for the resolution of such problems in order to minimize adverse impacts on displaced persons and to expedite program or project advancement and completion. (b) The head of any displacing agency shall ensure that the relocation assistance advisory services described in subsection (c) of this section are made available to all persons displaced by such agency. If such agency head determines that any person occupying property immediately adjacent to the property where the displacing activity occurs is caused substantial economic injury as a result thereof, the agency head may make available to such person advisory services. (c) Each relocation assistance advisory program required by subsection (b) of this section shall include such measures, facilities, or services as may be necessary or appropriate in order to: (1) determine, and make timely recommendations on, the needs and preferences, if any, of displaced persons for relocation assistance; (2) provide current and continuing information on the availability, sales prices, and rental charges of comparable replacement dwellings for displaced homeowners and tenants and suitable locations for businesses and farm operations; (3) assure that a person shall not be required to move from a dwelling unless the person has had a reasonable opportunity to relocate to a comparable replacement dwelling, except in the case of -- (A) a major disaster as defined in section 102(2) of the Disaster Relief Act of 1974; (B) a national emergency declared by the President; or (C) any other emergency which requires the person to move immediately from the dwelling because continued occupancy of such dwelling by such person constitutes a substantial danger to the health or safety of such person; (4) assist a person displaced from a business or farm operation in obtaining and becoming established in a suitable replacement location; (5) supply (A) information concerning other Federal and State programs which may be of assistance to displaced persons, and (B) technical assistance to such persons in applying for assistance under such programs; and (6) provide other advisory services to displaced persons in order to minimize hardships to such persons in adjusting to relocation. 77 03- 268 (d) The _ -4ad of a displacing agency fall coordinate the relocation activities performed by such agency with other Federal, State, or local governmental actions in the community which could affect the efficient and effective delivery of relocation assistance and related services. (e) Whenever two or more Federal agencies provide financial assistance to a displacing agency other than a Federal agency, to implement functionally or geographically related activities which will result in the displacement of a person, the heads of such Federal agencies may agree that the procedures of one of such agencies shall be utilized to implement this title with respect to such activities. If such agreement cannot be reached, then the head of the lead agency shall designate one of such agencies as the agency whose procedures shall be utilized to implement this title with respect to such activities. Such related activities shall constitute a single program or project for purposes of this Act. (f) Notwithstanding section 101(6) of this Act, in any case in which a displacing agency acquires property for a program or project, any person who occupies such property on a rental basis for a short term or a period subject to termination when the property is needed for the program or project shall be eligible for advisory services to the extent determined by the displacing agency. HOUSING REPLACEMENT BY FEDERAL AGENCY AS LAST RESORT SEC. 206. (a) If a program or project undertaken by a Federal agency or with Federal financial assistance cannot proceed on a timely basis because comparable replacement dwellings are not available, and the head of the displacing agency determines that such dwellings cannot otherwise be made available, the head of the displacing agency may take such action as is necessary or appropriate to provide such dwellings by use of funds authorized for such project. The head of the displacing agency may use this section to exceed the maximum amounts which may be paid under sections 203 and 204 on a case-by-case basis for good cause as determined in accordance with such regulations as the head of the lead agency shall issue. (b) No person shall be required to move from his dwelling on account of any program or project undertaken by a Federal agency or with Federal financial assistance, unless the head of the displacing agency is satisfied that comparable replacement housing is available to such person. STATE REQUIRED TO FURNISH REAL PROPERTY INCIDENT TO FEDERAL ASSISTANCE (LOCAL COOPERATION) SEC. 207. Whenever real property is acquired by a State agency and furnished as a required contribution incident to a Federal program or project, the Federal agency having authority over the program or project may not accept such property unless such State agency has made all payments and provided all assistance and assurances, as are required of a State agency by sections 210 and 305 of this Act. 78 03- 268 Such State agency all pay the cost of such - Iuirements in the same manner and to she same extent as the reams property acquired for such project, except that in the case of any real property acquisition or displacement occurring prior to July 1, 1972, such Federal agency shall pay 100 per centum of the first $25,000 of the cost of providing such payments and assistance. STATE ACTING AS AGENT FOR FEDERAL PROGRAM SEC. 208. Whenever real property is acquired by a State agency at the request of a Federal agency for a Federal program or project, such acquisition shall, for the purposes of this Act, be deemed an acquisition by the Federal agency having authority over such program or project. PUBLIC WORKS PROGRAMS AND PROJECTS OF THE GOVERNMENT OF THE DISTRICT OF COLUMBIA AND OF THE WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY SEC. 209. Whenever real property is acquired by the government of the District of Columbia or the Washington Metropolitan Area Transit Authority for a program or project which is not subject to sections 210 and 211 of this title, and such acquisition will .result in the displacement of any person on or after the effective date of this Act, the Commissioner of the District of Columbia or the Washington Metropolitan Area Transit Authority, as the case may be, shall make all relocation payments and provide all assistance required of a Federal agency by this Act. Whenever real property is acquired for such a program or project on or after such effective date, such Commissioner or Authority, as the case may be, shall make all payments and meet all requirements prescribed for a Federal agency by title III of this Act. REQUIREMENTS FOR RELOCATION PAYMENTS AND ASSISTANCE OF FEDERALLY ASSISTED PROGRAM; ASSURANCES OF AVAILABILITY OF HOUSING SEC. 210. Notwithstanding any other law, the head of a Federal agency shall not approve any grant to, or contract or agreement with, a displacing agency (other than a Federal agency), under which Federal financial assistance will be available to pay all or part of the cost of any program or project which will result in the displacement of any person on or after the effective date of this title, unless he receives satisfactory assurances from such displacing agency that -- (1) fair and reasonable relocation payments and assistance shall be provided to or for displaced persons, as are required to be provided by a Federal agency under sections 202, 203, and 204 of this title; (2) relocation assistance programs offering the services described in section 205 shall be provided to such displaced persons; (3) within a reasonable period of time prior to displacement, coraparable replacement dwellings will be available to displaced persons in accordance with section 205(c)(3). 79 03- 268 FEDERAL SHARE OF COSTS SEC. 211 (a) The cost to a displacing agency of providing payments and assistance under this title and title III of this Act shall be included as part of the cost of a program or project undertaken by a Federal agency or with Federal financial assistance. A displacing agency, other than a Federal agency, shall be eligible for Federal financial assistance with respect to such payments and assistance in the same manner and to the same extent as other program or project costs. (b) No payment or assistance under this title or title III of this Act shall be required to be made to any person or included as a program or project cost under this section, if such person receives a payment required by Federal, State, or local law which is determined by the head of the Federal agency to have substantially the same purpose and effect as such payment under this section. (c) Any grant to, or contract or agreement with, a State agency executed before the effective date of this title, under which Federal financial assistance is available to pay all or part of the cost of any program or project which will result in the displacement of any person on or after the effective date of this Act, shall be amended to include the cost of providing payments and services under sections 210 and 305. If the head of a Federal agency determines that it is necessary for the expeditious completion of a program or project he may advance to the State agency the Federal share of the cost of any payments or assistance by such State agency pursuant to sections 206, 210, 215, and 305. [42 U.S.C. 46311 ADMINISTRATION --RELOCATION ASSISTANCE IN PROGRAMS RECEIVING FEDERAL FINANCIAL ASSISTANCE SEC. 212. In order to prevent unnecessary expenses and duplications of functions, and to promote uniform and effective administration of relocation assistance programs for displaced persons under sections 206, 210, and 215 of this title, a State agency may enter into contracts with any individual, firm, association, or corporation for -services in connection with such programs, or may carry out its functions under this title through any Federal or State governmental agency or instrumentality having an established organization for conducting relocation assistance programs. Such State agency shall, in carrying out the relocation assistance activities described in section 206, whenever practicable, utilize the services of State or local housing agencies, or other agencies having experience in the administration or conduct of similar housing assistance activities. 80 03- 268 DUTIES OF LEAD AGENCY SEC. 213. (a) The head of the lead agency shall -- (1) develop, publish, and issue, with the active participation of the Secretary of Housing and Urban Development and the heads of other Federal agencies responsible for funding relocation and acquisition actions, and in coordination with State and local governments, such regulations as may be necessary to carry out this Act; (2) provide, in consultation with the Attorney General (acting through the Commissioner of the Immigration and Naturalization Service), through training and technical assistance activities for displacing agencies, information developed with the Attorney General (acting through the Commissioner) on proper implementation of section 104; (3) ensure that relocation assistance activities under this Act are coordinated with low-income housing assistance programs or projects by a Federal agency or a State or State agency with Federal financial assistance; (4) monitor, in coordination with other Federal agencies, the implementation and enforcement of this Act and report to the Congress, as appropriate, on any major issues or problems with respect to any policy or other provision of this Act; and (5) perform such other duties as may be necessary to carry out this Act. (b) The head of the lead agency is authorized to issue such regulations and establish such procedures as he may determine to be necessary to assure -- (1) that the payments and assistance authorized by this Act shall be administered in a manner which is fair and reasonable and as uniform as practicable; (2) that a displaced person who makes proper application for a payment authorized for such person by this title shall be paid promptly after a move or, in hardship cases, be paid in advance; and (3) that any aggrieved person may have his application reviewed by the head of the Federal agency having authority over the applicable program or project or, in the case of a program or project receiving Federal financial assistance, by the State agency having authority over such program or project or the Federal agency having authority over such program or project if there is no such State agency. (c) The regulations and procedures issued pursuant to this section shall apply to the Tennessee Valley Authority and the Rural Electrification Administration only with respect to relocation assistance under this title and title I. 81 03- 268 PLANNING AND fHER PRELIMINARY EXPENSES R ADDITIONAL HOUSING SEC. 215. In order to encourage and facilitate the construction or rehabilitation of housing to meet the needs of displaced persons who are displaced from dwellings because of any Federal or Federal financially assisted project, the head of the Federal agency administering such project is authorized to make loans as a part of the cost of any such project, or to approve loans as a part of the cost of any such project receiving Federal financial assistance, to nonprofit, limited dividend, or cooperative organizations or to public bodies, for necessary and reasonable expenses, prior to construction, for planning and obtaining federally insured mortgage financing for the rehabilitation or construction of housing for such displaced persons. Notwithstanding the preceding sentence, or any other law, such loans shall be available for not to exceed 80 per centum of the reasonable costs expected to be incurred in planning, and in obtaining financing for, such housing, prior to the availability of such financing, including, but not limited to, preliminary surveys and analyses of market needs, preliminary site engineering, preliminary architectural fees, site acquisition, application and mortgage commitment fees, and construction loan fees and discounts. Loans to an organization established for profit shall bear interest at a market rate established by the head of such Federal agency. All other loans shall be without interest. Such Federal agency head shall require repayment of loans made under this section, under such terms and conditions as he may require, upon completion of the project or sooner, and except in the case of a loan to an organization established for profit, may cancel any part or all of a loan if he determines that a permanent loan to finance the rehabilitation or the construction of such housing cannot be obtained in an amount adequate for repayment of such loan. Upon repayment of am,r such loan, the Federal share of the sum repaid shall be credited to the account from which such loan was made, unless the Secretary of the Treasury determines that such account is no longer in existence, in which case such sum shall be returned to the Treasury and credited to miscellaneous receipts. PAYMENTS NOT TO BE CONSIDERED AS INCOME SEC. 216. No payment received under this title shall be considered as income for the purposes of the Internal Revenue Code of 1954; or for the purposes of determining the eligibility or the extent of eligibility of any person for assistance under the Social Security Act or any other Federal law (except for any Federal law providing low-income housing assistance). 82 03— 268 ANSFERS OF SURPLUS PROPER SEC. 218. The Administrator of General Services is authorized to transfer to a State agency for the purpose of providing replacement housing required by this title, any real property surplus to the needs of the United States within the meaning of the Federal Property and Administrative Services Act of 1949, as amended. Such transfer shall be subject to such terms and conditions as the Administrator determines necessary to protect the interests of the United States and may be made without monetary consideration, except that such State agency shall pay to the United States all net amounts received by such agency from any sale, lease, or other disposition of such property for such housing. REPEALS SEC. 220. (a) The following laws and parts of laws are hereby repealed: (1) The Act entitled "An Act to authorize the Secretary of the Interior to reimburse owners of lands required for development under his jurisdiction for their moving expenses, and for other purposes," approved May 29, 1958 (43 U.S.C. 1231-1234). (2) Paragraph 14 of section 203(b) of the National Aeronautics and Space Act of 1958 (42 U.S.C. 2473). (3) Section 2680 of title 10, United States Code. (4) Section 7(b) of the Urban Mass Transportation Act of 1965 (49 U.S.C. 1606(b)). (5) Section 114 of the Housing Act of 1949 (2 U.S.C. 1465). (6) Paragraphs (7)(b)(iii) and (8) of section 15 of the United States Housing Act of 1937 (42 U.S.C. 1415, 1415(8)), except the first sentence of paragraph (8). (7) Section 2 of the Act entitled "An Act to authorize the Commissioners of the District of Columbia to pay relocation costs made necessary by actions of the District of Columbia government, and for other purposes", approved October 6, 1964 (78 Stat. 1004; Public Law 88-629; D.C. Code 5-729). (8) Section 404 of the Housing and Urban Development Act of 1965 (42 U.S.C. 3074). (9) Sections 107 (b) and (c) of the Demonstration Cities and Metropolitan Development Act of 1966 (42 U.S.C. 3307). (10) Chapter 5 of title 23, United States Code. (11) Sections 32 and 33 of the Federal -Aid Highway Act of 1968 (Public Law 90-495). (b) Any rights or liabilities now existing under prior Acts or portions thereof shall not be affected by the repeal of such prior Acts or portions thereof under subsection (a) of this section. WK 03- 268 EFFECTIVE DATE SEC. 221. (a) Except as provided in subsections (b) and (c) of this section, this Act and the amendments made by this Act shall take effect on the date of its enactment. (b) Until July 1, 1972, sections 210 and 305 shall be applicable to a State only to the extent that such State is able under its laws to comply with such sections. After July 1, 1972, such sections shall be completely applicable to all States. (c) The repeals made by paragraphs (4), (5), (6), (8), (9), (10), (11), and (12) of section 220(a) of this title and section 306 of title III shall not apply to any State so long as sections 210 and 305 are not applicable in such State. TITLE III --UNIFORM REAL PROPERTY ACQUISITION POLICY UNIFORM POLICY ON REAL PROPERTY ACQUISITION PRACTICES SEC. 301. In order to encourage and expedite the acquisition of real property by agreements with owners, to avoid litigation and relieve congestion in the courts, to assure consistent treatment for owners in the many Federal programs, and to promote public confidence in Federal land acquisition practices, heads of Federal agencies shall, to the greatest extent practicable, be guided by the following policies: (1) The head of a Federal agency shall make every reasonable effort to acquire expeditiously real property by negotiation. (2) Real property shall be appraised before the initiation of negotiations, and the owner or his designated representative shall be given an opportunity to accompany the appraiser during his inspection of the property, except that the head of the lead agency may prescribe a procedure to waive the appraisal in cases involving the acquisition by sale or donation of property with a low fair market value. (3) Before the initiation of negotiations for real property, the head of the Federal agency concerned shall establish an amount which he believes to be just compensation therefor and shall make a prompt offer to acquire the property for the full amount so established. In no event shall such amount be less than the agency's approved appraisal of the fair market value of such property. Any decrease or increase in the fair market value of real property prior to the date of valuation caused by the public improvement for which such property is acquired, or by the likelihood that the property would be acquired for such improvement, other than that due to physical deterioration within the reasonable control of the owner, will be disregarded in determining the compensation for the property. The head of the Federal agency concerned shall provide the owner of real property to be acquired with a written statement of, and summary of the basis for, the amount he established as just compensation. Where appropriate the just compensation for the real property acquired and for damages to remaining real property shall be separately stated. W 03-- 268 (4) No owner all be required to surrey. I possession of real property before the head of the Federal agency concerned pays the agreed purchase price, or deposits with the court in accordance with section 1 of the Act of February 26, 1931 (46 Stat. 1421; 40 U.S.C. 258a), for the benefit of the owner, an amount not less than the agency's approved appraisal of the fair market value of such property, or the amount of the award of compensation in the condemnation proceeding for such property. (5) The construction or development of a public improvement shall be so scheduled that, to the greatest extent practicable, no person lawfully occupying real property shall be required to move from a dwelling (assuming a replacement dwelling as required by title II will be available), or to move his business or farm operation, without at least ninety days' written notice from the head of the Federal agency concerned, of the date by which such move is required. (6) If the head of a Federal agency permits an owner or tenant to occupy the real property acquired on a rental basis for a short term or for a period subject to termination by the Government on short notice, the amount of rent required shall not exceed fair rental value of the property to a short-term occupier. (7) In no event shall the head of a Federal agency either advance the time of condemnation, or defer negotiations or condemnation and the deposit of funds in court for the use of the owner, or take any other action coercive in nature, in order to compel an agreement on the price to be paid for the property. (8) If any interest in real property is to be acquired by exercise of the power of eminent domain, the head of the Federal agency concerned shall institute formal condemnation proceedings. No Federal agency head shall intentionally make it necessary for an owner to institute legal proceedings to prove the fact of the taking of his real property. (9) If the acquisition of only a portion of a property would leave the owner with an uneconomic remnant, the head of the Federal agency concerned shall offer to acquire that remnant. For the purposes of this Act, an uneconomic remnant is a parcel of real property in which the owner is left with an interest after the partial acquisition of the owner's property and which the head of the Federal agency concerned has determined has little or no value or utility to the owner. (10) A person whose real property is being acquired in accordance with this title may, after the person has been fully informed of his right to receive just compensation for such property, donate such property, and part thereof, any interest therein, or any compensation paid therefor to a Federal agency, as such person shall determine. M 03- 268 BUILL CS, STRUCTURES, AND IMPRC SENTS SEC. 302. (a) Notwithstanding any other provision of law, if the head of a Federal agency acquires any interest in real property in any State, he shall acquire at least an equal interest in all buildings, structures, or other improvements located upon the real property so acquired and which he requires to be removed from such real property or which he determines will be adversely affected by the use to which such real property will be put. (b) (1) for the purpose of determining just compensation to be paid for any building, structure, or other improvement required to be acquired by subsection (a) of this section, such building, structure, or other improvement shall be deemed to be a part of the real property to be acquired notwithstanding the right or obligation of a tenant, as against the owner of any other interest in the real property, to remove such building, structure, or improvement at the expiration of his term, and the fair market value which such building, structure, or improvement contributes to the fair market value of the real property to be acquired, or the fair market value of such building, structure, or improvement for removal from the real property, whichever is the greater, shall be paid to the tenant therefor. (2) Payment under this subsection shall not result in duplication of any payments otherwise authorized by law. No such payment shall be made unless the owner and the land involved disclaims all interest in the improvements of the tenant. In consideration for any such payment, the tenant shall assign, transfer, and release to the United States all his right, title, and interest in and to such improvements. Nothing in this subsection shall be construed to deprive the tenant of any rights to reject payment under this subsection and to obtain payment for such property interests in accordance with applicable law, other than this subsection. EXPENSES INCIDENTAL TO TRANSFER OF TITLE TO UNITED STATES SEC. 303. The head of a Federal agency, as soon as practicable after the date of payment of the purchase price or the date of deposit in court of funds to satisfy the award of compensation in a condemnation proceeding to acquire real property, whichever is the earlier, shall reimburse the owner, to the extent the head of such agency deems fair and reasonable, for expenses he necessarily incurred for -- (1) recording fees, transfer taxes, and similar expenses incidental to conveying such real property to the United States; (2) penalty costs for prepayment of any preexisting recorded mortgage entered into in good faith encumbering such real property; and (3) the pro rata portion of real property taxes paid which are allocable to a period subsequent to the date of vesting title in the United States, or the effective date of possession of such real property by the United States, whichever is the earlier. 03- 268 LITIGATION EXPENSES SEC. 304. (a) The Federal court having jurisdiction of a proceeding instituted by a Federal agency to acquire real property by condemnation shall award the owner of any right, or title to, or interest in, such real property such sum as will in the opinion of the court reimburse such owner for his reasonable costs, disbursements, and expenses, including reasonable attorney, appraisal, and engineering fees, actually incurred because of the condemnation proceedings, if -- (1) the final judgment is that the Federal agency cannot acquire the real property by condemnation; or (2) the proceeding is abandoned by the United States. (b) Any award made pursuant to subsection (a) of this section shall be paid by the head of the Federal agency for whose benefit the condemnation proceedings was instituted. (c) The court rendering a judgment for the plaintiff in a proceeding brought under section 1346(a)(2) or 1491 of title 28, United States Code, awarding compensation for the taking of property by a Federal agency, or the Attorney General effecting a settlement of any such proceeding, shall determine and award or allow to such plaintiff, as a part of such judgment or settlement, such sum as will in the opinion of the court or the Attorney General reimburse such plaintiff for his reasonable costs, disbursements, and expenses, including reasonable attorney, appraisal, and engineering fees, actually incurred because of such proceeding. REQUIREMENTS FOR UNIFORM LAND ACQUISITION POLICIES; PAYMENTS OF EXPENSES INCIDENTAL TO TRANSFER OF REAL PROPERTY TO STATE; PAYMENT OF LITIGATION EXPENSES IN CERTAIN CASES SEC. 305. (a) Notwithstanding any other law, the head of a Federal agency shall not approve any program or project or any grant to, or contract or agreement with, an acquiring agency under which Federal financial assistance will be available to pay all or part of the cost of any program or project which will result in the acquisition of real property on and after the effective date of this title, unless he receives satisfactory assurances from such acquiring agency that -- (1) in acquiring real property it will be guided, to the greatest extent practicable under State law, by the land acquisition policies in section 301 and the provisions of section 302, and (2) property owners will be paid or reimbursed for necessary expenses as specified in sections 303 and 304. (b) For purposes of this section, the term "acquiring agency" means -- (1) a State agency (as defined in section 101(3)) which has the authority to acquire property by eminent domain under State law, and (2) a State agency or person which does not have such authority, to the extent provided by the head of the lead agency by regulation. 87 03- 268 REPEALS SEC. 306. Sections 401, 402, and 403 of the Housing and Urban Development Act of 1965 (42 U.S.C. 3071-3073), section 35(a) of the Federal -Aid Highway Act of 1968 (23 U.S.C. 141) and section 301 of the Land Acquisition Policy Act of 1960 (33 U.S.C. 596) are hereby repealed. Any rights or liabilities now existing under prior Acts or portions thereof shall not be affected by the repeal of such prior Act or portions thereof under this section. EFFECTIVE DATE SEC. 418. The amendment made by section 412 of this title (to the extent such amendment prescribes authority to develop, publish, and issue regulations) shall take effect on the date of the enactment of this title. This title and the amendments made by this title (other than the amendment made by section 412 to such extent) shall take effect on the effective date provided in such regulations but not later than 2 years after such date of enactment. 88 03- 268 To our Honorable Commission of the City of Miami: I am Bennet Pumo, owner of several warehouses targeted by the proposed park property acquisition campaign. My family business has been committed to this area for over 50 years. We welcome this Commission and the efforts toward area revitalization. It is fact this area, the North East district has, for years been neglected by past commissions with most revitalization efforts being directed to Park West, Downtown, Brickell Ave, Little Havana and other projects void of the North East quadrant of Miami. A park is a great start, but for the City to get wrangled into the expense of this very ambitious and broadly scoped project may prove very difficult. The maintenance, security, professional park employment and the perpetual expense to keep this endeavor truly first class must be scrutinized with all pitfalls identified. There have been many statements of conjecture with reference to the boundary lines, the job loss and the number of business's that will be lost. With the proposed boundary, there has not been a detailed impact study of the surrounding community with "the good of this park" versus the loss of the well-established business community providing a great percentage of the job base in the immediate area. We all agree the area needs help. One would think a park should be built near a school, surrounded by the residences to frequent it. This proposal places the children's park within an industrial park area. There also has been a future proposed transit terminal along the present railroad alignment within the park boundary that could serve the entire community. This commission has approved the immediate action to buy property for this park, but at what cost? There are reports and statements to this acquisition. The purporting cost is not within a five, ten or even twenty percent plus or minus estimation, but of estimates with the varied cost of two, three and almost four hundred percent in difference for this acquisition. This Commission must be proof positive in this expenditure. With the possible cost that may exceed 60 million dollars, the plus or minus of only a few percent means big bucks, yet alone these estimates being subject to suggested 100 percent variable. Care must be taken with this areas vacancy availability, for the evicted business owners and leasing occupants to relocate their shops and maintain this districts needed job base. Pumo has 6 buildings, with approximately 25 business's occupying over 76,000 square feet, providing perhaps 150 jobs that are subject to this proposal. Occupancy ranges from the Actors Playhouse — Children's Miracle Theater to Steiner Atlantic, a worldwide distributor of commercial laundry equipment and many small family owned businesses within the other units. As of this date, the area has 98% occupancy. This certainly is not enough footage in relocating just the Pumo affected tenancy. Most assuredly the majority of the evicted businesses will leave the area and those related jobs will be lost forever. With this, the City will have to make up the loss of all revenues generated by these businesses. Consideration must be given with the property tax loss for 60 acres of this largest industrial zoned property with its close proximity to the port, downtown and design district. With the effected Pumo property alone, the property tax loss will be in excess of $37,000 per year, "forever." "A park, yes, a great start for this district, but not this monster!" 03- 268 A few questions that must be considered: 1) is this park location the best choice for children's pedestrian access from school and residential areas; 2) can "this proposal" be completed for the 25 million dollar budget; 3) in this time of world defense and City preparedness, is this Commission prepared to spend another 25 or even 30 million dollars of "OUR" HOMELAND SECURITY BUDGET to complete this existing park proposal; 4) where will the City make up the loss of the millions in tax revenues over the years to come? 5) does the struggling parks department have the budget revenues to staff the many areas within this 60 acre park; 6) does public works have it their proposed budget approved to maintain the expansive park green areas, fields, stadium and the some twenty to forty additional structures that are a part of this proposed project? 7) does the police department have the additional officers to secure this park? 8) does this City have any intentions of "down -zoning" the surrounding industrial properties, for it was mentioned that activity inconsistent with the park will be subject to City action? How consistent is industrial activity with soccer fields and children's playgrounds sharing the same property line? 9) with the appearance of utilization and application of a "mass appraisal to value calculation," will a proper study with the determination of realistic acquisition cost for the economically valued buildings and realistic cost and compensation to the owner occupied business's be done on a building to building basis? 10) many property owners within the proposed boundaries will vigorously fight the destruction of their livelihood. Is the City prepared to pay these expanded cost for the years of legal negotiations ahead? Thank you for this opportunity to address these concerns for our district must maintain the vitality through its job base and give our residents the safe haven and facilities it deserves. We must maintain vitality of this area. Nurture the businesses, expand the neighborhood job base and most importantly enhance this areas quality of life with a safe environment with projects that are well thought out for all peoples of this North East District. Thank you again. 03- 268