Right of Way - March/April 2016

In recent years, there has been some controversy concerning the role of move planners in non-residential relocations. The use of a move planner can be of great benefit to both non-residential displacees and displacing agencies in federally-funded projects. However, their services should be directed, managed and controlled. If a move planner is not instructed early on about their role, their services may not be eligible for reimbursement. When a displacee hires a move planner, adhering to best practices will help eliminate potential issues.

BY DARRYL ROOT, JD, R/W-RAC AND KONSTANTIN AKHREM, SR/WA, R/W-RAC

For most non-relocation professionals, the terms “moving” and ”relocation” are synonymous. Therefore, it is vital to clarify the difference between relocation planning and move planning, as defined by the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (URA) and its implementing regulations.

Relocation Planning

Relocation planning typically begins in the early stages of project development. Its purpose is to evaluate a project’s impact on the occupants of the properties needed.

The URA requires that a displacing agency plan in a manner that ensures the problems associated with the displacement are recognized and solutions are developed prior to initiating any right of way activities.

The process of relocation planning considers the impact on the occupants, both residential

Compensating a Move Planner

Determining what’s eligible for reimbursement

and non-residential. This is crucial because a residential occupant cannot be displaced legally without the offer of a “comparable replacement dwelling,” while unanticipated complexities of business relocations may cause costly project delays. One area of relocation planning associated with non-residential displacements is consideration of any special relocation advisory services that may be necessary for a timely and orderly business relocation.

The URA [ 49 CFR 205 (a)] states, “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.” The
complexity and nature of the anticipated
displacements must be addressed in
early project initiation documents, and
appropriate relocation planning reports
must be prepared. The relocation planning
requirements are fully stated in 49 CFR
24.205(a).

Move Planning

The issue of move planning is covered as part of the ”Relocation Assistance Advisory Services” to be provided to a specific, eligible displaced business. The federal rule requires the advisory program to include such measures, facilities and services as may be necessary or appropriate in order to determine the relocation needs and preferences of each business displaced and explain the relocation payments and other assistance for which the business may be eligible. This includes a personal interview with each business.

At a minimum, interviews with displaced business owners and operators should include “Determining the need for outside specialists in accordance with § 24.301(g)( 12) that will be required to assist in planning the move, assistance in the actual move, and in the reinstallation of machinery and/or other personal property.” The rule 49 CFR 24.301(g)( 12) allows for professional services as the Agency determines to be actual, reasonable and necessary for planning the move of the personal property, moving the personal property and installing the relocated personal property at the replacement location.

In order for such professional services to be considered “necessary,” they must be related to the moving of personal property, while the reasonableness of the cost and scope of these services may be dictated by comparative analysis of competing bids.

Eligible actual moving expenses under 24.301(g) are as follows:

1) 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.