federal highway administration

Federal Highway Administration

Acquisition & Relocation Incentives

Federal Agency Update SymposiumJanuary 14, 2009

Las Vegas, NevadaMarshall WainrightRealty Specialist

FHWA-Office of Real Estate Services

David BlakeneyRealty Officer

FHWA-AR Division

Acquisition & Relocation Incentive History Acquisition & Relocation Incentive

Background and Policy Overview 2008 FHWA Incentive Payments Peer

Exchange 2008 Right-of-Way and Utilities (ROWU)

International Scanning Tour

Comments and questions

Acquisition & Relocation IncentivesAgenda

2000 International Scan Tour to Europe Implementation Results

Changes in appraisal waiver limits and appraisal review modifications

Acquisition and Relocation Incentives Pilot Success and guidance issued

Accelerated Construction Technology Transfer (ACTT) workshops implemented to include ROW

Acquisition & Relocation IncentivesHistory

Benefits demonstrated from pilots: Significant reduction in time Reduction in right-of-way costs Significant savings in project construction

costs

Personnel hours that can be re-directed Significant savings and benefits to the

traveling public

Acquisition & Relocation Incentives Policy Overview & Background

Acquisition & Relocation Incentives Policy Overview & Background

Federal funds may participate in acquisition and relocation incentive payments

Incentive payments can decrease project delivery time

Consistent with the Uniform Act by encouraging expeditious acquisition of real property

Cannot result in reducing entitlements to property owners or displacees

Prior to ImplementationState must:1. Assure that use of incentive payments is

permissible under State law2. Assure availability of decent, safe, and sanitary

comparable replacement dwelling units3. Identify market trends such as escalating

property values and increasing right-of-way costs

4. Determine the propriety of using acquisition and/or relocation incentive payments

5. Make a public interest finding that clearly demonstrates that the use of incentive payments is cost effective

Implementation of Incentives Policy

1. This is a voluntary program; States are not required to provide incentive payments

2. State must submit request in writing to FHWA3. FHWA will evaluate merits, determine if

proposal is appropriate and cost effective4. FHWA may approve as a permanent policy or

trial basis5. FHWA will monitor results the first 2 years6. INCENTIVES MUST NOT BE USED AS A

SUBSTITUTE FOR GOOD PROJECT PLANNING AND SCHEDULING ADEQUATE LEAD TIME

Factors to Be Addressed

State’s request must include: An identification and discussion of

factors to be considered Description of how payment amounts will

be determined Description of safeguards in place to

ensure there is no coercion Description of actions to monitor

implementation Identification of specific performance

measures to evaluate effectiveness

Additional Guidance

The State's determination that the use of acquisition incentive payments on a particular project is warranted must result from a rigorous examination of the relevant factors involved, including a discussion explaining why traditional methods will not meet project needs

Acquisition Incentives Guidance

1. Must present acquisition incentive offers to all project property owners on project

2. Acquisition incentive must not be coercive in nature

3. Can still do administrative settlements based on merit, which is documented

4. Acquisition incentive does not affect owner’s entitlement to relocation assistance

Relocation Incentives Guidance

These are additions to, not in place of, traditional relocation entitlements

These must be made available to all eligible displacees on the project

The acquisition incentive will NOT affect or reduce the relocation housing payment calculation

2008 FHWA Incentive Payments

Peer Exchange


Peer Exchange

Florida DOT Acquisition Incentive Program


Peer Exchange

Florida DOT Acquisition Incentive ProgramApproved Compensation is:

OverBut Not Over Incentive of Amount Over

$0 $1,000 $1,000

$1,000 $2,500 $1,000 + 83.3% $1,000

$2,500 $5,000 $2,250 + 70% $2,500

$5,000 $7,500 $4,000 + 50% $5,000

$7,500 $10,000 $5,250 + 45% $7,500

$10,000 $20,000 $6,375 + 40% $10,000

$20,000 $30,000 $10,375 + 35% $20,000

$30,000 $100,000 $13,875 + 32.5% $30,000

$100,000 $300,000 $36,625 + 30% $100,000

$300,000 $513,500 $96,625 + 25% $300,000

$513,500 $150,000


Peer Exchange

Florida DOT Acquisition Incentive Program


Peer Exchange

Florida DOT Acquisition Incentive Program Virginia DOT Relocation Incentive Project


Peer Exchange

Florida DOT Acquisition Incentive Program Virginia DOT Relocation Incentive Project Indiana Acquisition and Relocation Incentive

Program


Peer Exchange


Program Consultant Projects

USACE South Florida Water Management District “Fish Camps” Project


Peer Exchange




Lambert Field - St. Louis International Airport, St Louis Missouri


Peer Exchange





Texas DOT Continued Occupancy Relocation Incentive


Peer Exchange





Texas DOT Continued Occupancy Relocation Incentive

Wisconsin DOT Incentive


Peer Exchange Key Points

One size doesn’t fit all Don’t allow exceptions States can have alternate procedures Data & analysis needed to ensure process

works On-site offices beneficial Incentives won’t work on all projects Keep property owners informed (early & often) Be well prepared

Lessons Learned


Uniform Act Update

Right-of-Way and Utilities (ROWU) International Scanning Tour Australia - Canada

September 4-19, 2008

2008 Australia-Canada International Scan Overarching Themes

Promote non-adversarial solutions to right-of-way acquisition while respecting property rights

Improve working relationships with utility industry at all levels

Explore and promote the Alliance contract approach

Organize right-of-way and utility community to implement scan ideas

2008 Australia-Canada International Scan--Top Implementation Ideas

1. Integrate right-of-way acquisition and utility coordination in an alliance contract approach

2. Enhance cooperative relationship with property owners to facilitate timely property acquisition

3. Promote visualization techniques to communicate anticipated project impacts to property owners

4. Develop framework to establish proficiency of right-of-way and utility professionals in core disciplines

5. Promote incentive-based reimbursement for utility relocations

6. Pursue strategies to facilitate corridor preservation

7. Promote use of multiple-level MOU structure among transportation and utility interests

8. Develop GIS-based right-of-way project and asset management systems

9. Promote the use of best practices in utility coordination during the construction phase

2008 Australia-Canada International Scan--Top Implementation Ideas

Questions or Comments?

Federal Highway AdministrationUniform Act Update

Contacts

Federal Highway AdministrationUniform Act Update

David Blakeney, Realty OfficerFHWA Arkansas Division Office700 West Capital Ave, Suite 313Little Rock, AR [email protected]

Marshall Wainright, Realty SpecialistFHWA Office of Real Estate Services1200 New Jersey Ave, SEWashington, DC [email protected]

Gerald Solomon, DirectorFHWA Office of Real Estate Services1200 New Jersey Ave, SEWashington, DC [email protected]


THANK YOU!

Federal Agency Update SymposiumJanuary 14, 2009

Las Vegas, Nevada

Acquisition & Relocation Incentives

federal highway administration

Documents

use of incentive payments

projectacquisition incentive

incentive paymentsstate

project property owners

particular project

good project planning

permanent policy

rightofway costsdetermine